IFC’s appraisal considered the environmental and social management planning process and documentation for the Project and gaps, if any, between these and IFC’s requirements. Where necessary, corrective measures, intended to close these gaps within a reasonable period of time, are summarized in the paragraphs that follow and (if applicable) in an agreed Environmental and Social Action Plan (ESAP). Through implementation of these measures, the Project is expected to be designed and operated in accordance with Performance Standards objectives.
PS 1 - Assessment and Management of Environmental and Social Risks and Impacts
Policy
The project Sponsors have in place E&S policies which include Meridiam’s Sustainability Risk Policy and Principal Adverse Impact Policy, Sustainable Development Charter, Human Rights Policy and Climate Policy. These policies define how Meridiam integrates Environmental, Social and Governance (ESG) criteria and performance indicators throughout its investment and asset management processes.
Suez’s Health and Safety Policy identifies Occupational Health & Safety (OHS) as a fundamental prerequisite for operational excellence and sustainable growth and commits Suez to embed H&S management into its management systems, training, and performance objectives, aiming for a “Zero Accident” culture. Building on the Sponsors’ corporate policies, as per ESAP#1, the Company will develop its own E&S and Human Resources policies aligned with PS requirements and tailored to the Project and the country of operation.
Environmental and Social Management Systems
At the stage of conceptual definition and outline design of the Project in 2022, a framework Environmental and Social Management Plan (ESMP) was developed as part of the preliminary ESIA prepared for the Project (“2022 ESIA”). The ESMP includes the MWI’s Policy Statement on E&S matters, which outlines Jordan’s priorities on E&S welfare and commits the Project developers to strive for effective management of E&S risks. The ESMP framework stipulates that the detailed Construction and Operation ESMPs are to be informed by, and form an integral part of, the Project detailed design and are to be implemented by the Company to prevent adverse E&S impacts associated with Project implementation.
Since commencement of the Project activities, the Company has developed an initial Environmental and Social Management System (ESMS), which outlines the approach to E&S management for the Project, identifies key E&S risks and approach to mitigation, lists the planned E&S resources and outlines the implementation tools that will be developed, which include a set of draft ESMPs. As per ESAP #2, the Company will expand the scope and depth of the initial ESMS and develop a PS-compliant ESMS including: (i) Company’s core E&S policies; (ii) applicable local and international standards that the Project will comply with, including the IFC Performance Standards and WBG EHS Guidelines; (iii) the list of ESMPs that are applicable to the Project phases; (iv) E&S roles and responsibilities; (v) training and communication; (vi) monitoring, reporting and management review of E&S performance; (vii) onsite and offsite emergency response procedures; and (viii) stakeholder engagement and a community grievance mechanism.
Identification of Risk and Impacts
Meridiam’s Principal Adverse Impact Policy provides a structured methodology to identify, assess, and manage ESGrelated risks across all projects. The policy identifies four progressive stages: (i) eligibility and regulatory check; (ii) preliminary evaluation; (iii) detailed evaluation; and (vi) implementation planning, ensuring that ESG considerations are embedded in every step of project screening and management. Within this Policy framework, the Company has commissioned a specialized consulting firm to update the preliminary 2022 ESIA based on the construction and operational approach proposed by the EPC contractor as part of the tender process, addressing in more detail the key aspects that were identified through the preliminary assessment, and thus develop avoidance and mitigation measures that will inform the detailed design of the Project and be reflected in the ESMPs.
As per ESAP #3, the Company will finalize the updated ESIA in line with IFC PS requirements that will include an upto-date description of the Project Area of Influence (AoI), including all Project phases, permanent and temporary facilities, associated facilities, and cumulative effects. The updated ESIA will include confirmation that the Project’s development is in line with the national laws, international conventions and ASEZA’s regulations, including the Regulatory Provisions for the Wadi Rum Protected Area Buffer Zone (refer to PS6 and PS8). The updated ESIA will document the steps that have been followed to apply the mitigation hierarchy during planning and design to avoid and minimize adverse social and environmental effects. The assessment of residual impacts will inform the formulation of detailed mitigation measures, including allocation of responsibilities between the Company, the EPC contractor and the Operation and Maintenance (O&M) contractor. The updated ESIA will include an assessment of cumulative impacts associated with increased sewage generation in Amman as a result of increased water consumption, planned expansion of the Aqaba port and any other developments that may take place within the timescale of the Project and within the AoI. The updated ESIA will include an assessment of transboundary impacts during construction and operation, considering routine and non-routine scenarios for dredging/trenching (construction), desalination plant and pipe testing, seawater intake location and design and brine discharge (pre-commissioning, commissioning, operation and maintenance).
Drawing on the findings of the updated ESIA, as per ESAP #4 and #5, the Company will develop ESMPs for the construction and operational phases of the Project, as applicable to the various components and phases of the Project. The ESMPs will include, but not be limited to:
Stakeholder Engagement Plan
Community Health and Safety Plan
Road Transport Safety Plan
Water Management Plan
Waste Management Plan
Air Quality Management Plan
Noise Management Plan
Dredging Management Plan
Worker Accommodation Management Plan
Vulnerable People Management Plan
Community Development Plan
Contractors Management Standard
Training and Development Procedure
Occupational Health and Safety Management Plan
Worker Grievance Mechanism
Human Rights Management Plan
Supply Chain Management Plan
Gender Action Plan (GAP)
Emergency Preparedness and Response Plan
Environmental and Social Monitoring Plan
Community Grievance Mechanism
Security Management Plan
Responsible Sourcing Policy, Supplier Code of Conduct and Supply Chain Risk Management Procedure (SCRMP)
Additional topic specific plans, such as resettlement action plan, biodiversity related plans and cultural heritage management plans, are described in more detail in the following sections.
Organizational Capacity and Competency
The Company has appointed an ESG director and a Community Liaison Officer (CLO). In addition, it draws on the resources of the sponsors as well as external consultants to manage E&S matters during the design phase of the Project. As per ESAP #6, and prior to start of construction the Company, or the EPC contractor, will retain, additional E&S resources that will include as a minimum, an E&S manager and a certified (NEBOSH or equivalent) OHS manager for each of the three project components, a CLO for the desalination plant and marine works, a second CLO for the SPP and a CLO for each construction spread of the conveyance system. In addition, the EPC Contractor will designate OHS inspectors in a ratio of 1 to every 50 workers for each active construction site.
As per ESAP #7 and #8, the Company will prepare an E&S resourcing plan for the operational phase of the Project.
Contractors Management
NCPC will mobilize several EPC contractors, namely Desalination and Marine Works Consortium, Conveyance Joint Venture and Renewable Energy Contractor for construction phase and O&M Company during operations phase of the Project. Each of these EPC contractors and O&M contractor will have their own sub-contractors and suppliers. As per ESAP #9, prior to start of construction, EPC contractors will prepare a Construction Environmental and Social Management Plan (CESMP) aligned with the Company’s ESMS and addressing the requirements of the ESMPs (ESAP #4 and #5) that will have been prepared by the Company as part of the ESIA update process. Similarly, as per ESAP #10, the O&M contractors that will operate and maintain the facilities will prepare an Operation Environmental and Social Management Plan (OESMP) aligned with the Company’s ESMS and addressing the requirements of the ESMPs.
NCPC will integrate contractor management requirements in its corporate ESMS outlining how the Company will monitor compliance with the E&S policies and standards including health and safety management practices by its contractors and their sub-contractors (ESAP #2).
PS 2 – Labor and Working Conditions
As of October 2025, NCPC employed 6 staff at its office in Amman, of which 2 are women and the EPC contractors had mobilized approximately 80 technical personnel, of which 15 are women. No construction activities have started at the Project sites. The construction phase (48 months) is expected to result in a peak workforce of over 4000 workers, covering both EPC contractors and subcontractors. The operational phase of the Project is expected to create additional employment that will be quantified in due course.
Human Resources Policy, Procedures and Worker’s Grievance Mechanism
The Sponsors have Human Resources (HR), Ethics and Human Rights policies that make commitments to: (i) provide decent and equitable wages and benefits, fair remuneration for overtime, other conditions of employment including access to a grievance mechanism, and safe and healthy working conditions; (ii) explicitly prohibit child and forced labor, any form of discrimination, and gender based violence and sexual harassment (GBVH) at the workplace; and (iii) recognize freedom of association and access to collective bargaining agreement rights of their workforce. As per ESAP #1, the
Company will develop its own Human Resources (HR) policies in line with national regulations and IFC PS2, applicable to all Project employees, including contracted and third-party workers.
As per ESAP #11, the Company will also develop a set of Project specifications/commitments on Labor and Working Conditions in line with Jordanian labor laws and PS2 requirements and applicable to all construction and O&M contractors as relevant.These specifications/commitments will include: (i) the principles of non-discrimination, equal opportunity, prevention of all forms of forced and child labor, and support for Freedom of Association and Collective Bargaining; (ii) employment terms and conditions (covering amongst other aspects, the provision of written contracts, wages and deductions, pay slips, working hours, overtime requirements, leave and rest periods, etc.); (iii) the principles for recruitment (including local employment), worker induction, disciplinary requirements and termination or demobilization of the project workforce following completion of construction; (iv) management of migrant workforce; (v) worker accommodation in line with IFC/EBRD Guidance on Worker’s Accommodation Guidelines (2009); (vi) the Workers Code of Conduct accounting for respectful worker behavior including in host communities and zero-tolerance provisions against GBVH and Sexual Exploitation and Abuse (SEA); and (vii) provisions for a Workers’ Grievance Redress Mechanism (WGRM). Based on these Project specifications/commitments, all EPC (ESAP #9) and O&M contractors (ESAP #10) will develop their own HR policies and procedures. These HR policies and procedures will be made readily accessible, and clearly communicated as part of induction and through the provision of additional sensitization and training.
The Project will also define a WGRM through which all direct, contracted and third-party workers will be able to raise work-related grievances. The WGRM will include provisions for anonymous grievances, confidentiality, and nonretribution and provide a dedicated and accelerated procedure, including trained focal points for handling ‘sensitive cases’ – such as discrimination, mobbing, harassment, and GBVH – while also ensuring multiple options for reporting (in person, via phone, email, and anonymously). The procedure will also identify and provide accessible referral pathways for
complainants of sensitive cases to obtain free of charge services (medical services, psychological support and legal aid) (ESAP #12).
The Company will incorporate its HR policies and procedures requirements, including access to the WGRM into the contractual agreements with EPC and O&M contractors and sub-contractors. This will include a requirement for necessary staffing as trained focal points for handling sensitive cases by the main contractors. Specialized training on how to handle and investigate sensitive cases will be provided to managers, focal points and HR (ESAP #13 and #14).
Gender and Gender-Based Violence and Harassment
Female participation in the workforce has been recognized as one of the key development objectives of the Project and to further promote gender equality, the Company will develop and implement a GAP (ESAP #4 and #5), aimed at fostering greater inclusivity in the workplace and improving women's access to resources within local communities. The GAP will also address requirements related to the prevention of GBVH and Sexual Exploitation Abuse and Harassment (SEAH), and Child Protection and Safeguarding (CPS), with the objective of protecting individuals from harm or exploitation,
particularly women and children.
Furthermore, as per ESAP #11, the Worker’s Code of Conduct will explicitly address and prohibit GBVH/SEAH amongst the workforce, make provisions for respectful worker behavior including in host communities and, as per ESAP #4 and #5, the Training and Development Procedure will include provisions for training of all workers on GBVH/SEAH and equal opportunity policies during their initial induction and annually thereafter. The Contractor Management Plan (ESAP #4 and #5), the CESMP (ESAP #9) and the OESMP (ESAP#10) will include the requirement for all contract workers to be provided with training on the prevention, management, and monitoring of GBVH in the workplace.
Occupational Health and Safety
The Project involves the construction and operation of various onshore and offshore facilities including a water conveyance system, each with distinct occupational health and safety risks, in addition to typical hazards associated with large construction sites.
The Company will develop, based on the ESIA findings, a OHS Management Plan (ESAP #4 and #5) addressing construction and operation phase OHS management, identifying detailed procedures for: (a) hazard identification and risk assessment including traffic safety; (b) job and task specific hazard analyses, provision and use of personal protective equipment (PPE); (c) training; (d) safe working procedures; (e) prevention, reporting, recording, investigation, analysis of accidents and incidents, and follow up corrective actions; (f) emergency response; (g) provision of medical care, first aid and provision of medical treatment; (h) workplace and health monitoring; (i) measures for prevention of disease spread; (j) fire prevention and fighting system; (k) inspections and audits; (l) performance reporting; and (m) management review and the roles and responsibilities and arrangements regarding OHS. The EPC contractor and the O&M contractor will include Standard Operating Procedures for OHS management in the CESMP (ESAP #9) and OESMP (ESAP#10).
Supply Chain Management
NCPC will develop a Responsible Sourcing Policy, Supplier Code of Conduct and a Supply Chain Risk Management Procedure (SCRMP) as part of the suite of ESMPs (ESAP #4 and #5), which will include provisions for specifying selection, contractual agreements, auditing, monitoring and supervision requirements for contractors and suppliers. The Company will implement the principles outlined in these procedures at the project level; in particular, for those provisions prohibiting child and forced labor.
PS 3 – Resource Efficiency and Pollution Prevention
Greenhouse gas Emissions (GHG)
GHG emissions associated with the Project will mainly include emissions associated with fuel consumption and mobile generators (Scope 1) during the construction phase of the Project and, during operation, emissions associated with power generation by the national power generation company (Scope 2). The average absolute emissions per year over the time of the Project are estimated to be approximately 750,000 tons of CO2eq. Operation of a captive solar photovoltaic power (SPP) plant to power the desalination plant and water conveyance system, will enable the Project to avoid approximately 260,000 tons of CO2eq in greenhouse gas emissions (GHG) each year. Over the anticipated 26-year operational lifetime of the SPP plant, this cumulatively results in 6,742,402 tons of avoided CO2eq emissions.
Air emissions (non GHG)
During the construction phase of the Project, gaseous emissions will be generated as a result of operation of vehicles and construction equipment, which will mostly run on diesel fuel. The 2022 ESIA includes an assessment of impacts on air quality as a result of vehicles’ emissions and traffic, and mobile/temporary generators and concludes that the impacts would be on nearby receptors, such as residential areas, along the conveyance pipeline. The Project will ensure that “best practice mitigation measures” are adopted including, but not limited to:
• Use of equipment and construction and transport methods to ensure that emissions are not in excess of national and international emission standards.
• Dust suppression through water dampening, using treated domestic wastewater, as well as other dust control measures such as using windbreaks, netting screens or semi-permeable fences.
• Control vehicle speeds.
• Suspend dust-generating activities during strong winds.
• Use a dust collection system for bulk materials unloading.
The EPC Contractor will develop an air quality management plan, as per ESAP #9, incorporating the mitigation measures included in the ESIA with specific focus on areas where receptors could be adversely affected by degraded air quality.
Water Consumption
During the construction phase of the Project, water will be required for drinking and sanitary purposes by the construction workforce, which is estimated to peak at approximately 4,000 people. In addition, water will be required for various purposes such as dust suppression and soil compaction. During the pre-commissioning phase of the Project, large volumes of water will be required to test the integrity of the piping at the desalination plant and to test the integrity of the conveyance system. The EPC contractor will determine water use requirements and sources for all water during the construction and commissioning phase of the project as part of the Project design and, as per ESAP #9 the EPC contractor will develop a detailed water management plan specifying the water requirements for each phase of the Project and for each activity and location. The plan will detail the quality specifications of the water required for human and sanitary use and will include a description of the planned methodology to achieve such standards, including chemical usage and effluent management, in case that small-scale reverse osmosis plants or other means of treatment will be required. The water management plan will include the specifications for hydrotest and will document how hydrotest alternatives have been considered to reach a solution that has the least impact on water resources. Water consumption and management during operation of the facilities is not expected to be significant.
Waste
Solid waste management in Jordan is challenging, due to a legacy of less than adequate disposal practices, which the government of Jordan is addressing through reforms and investment in the waste management sector that will, however, require some time for full implementation. The Project will develop a waste management plan that will address the waste management requirements during the construction and operation phase of the project, the details of which will be addressed as part of the updated Project ESIA (ESAP#4 and #5).
Solid waste generation will be most significant during the construction phase of the project and to this effect, as per ESAP #9 the EPC contractor will be developing a waste management plan that meets Good International Industry Practice (GIIP). The waste management plan will include details of means of waste reduction, segregation where recycling is viable in the local context, and final disposal with details of facilities where the waste will be delivered and handled consistently with GIIP. Where no such facilities are identified, the EPC contractor will identify solutions that may include the operation of temporary waste processing/disposal facilities to be developed for the purpose of the Project. Solid waste may include dredge spoil as discussed below under “Seawater Quality” and the waste management plan will include relevant provisions for this waste stream.
As per ESAP #10, the O&M contractor will develop a Waste Management Plan for the operational phase of the project to ensure that all solid waste is handled, stored and disposed of in accordance with GIIP.
Wastewater
During the construction phase of the Project, sanitary wastewater will be generated at workers’ camps, which will be equipped with temporary wastewater treatment units. After primary treatment, the effluent will either be discharged to the municipal sewer system, where available, or tinkered to municipal wastewater treatment facilities. Sludge will be handled as solid waste as per the waste management plan. As per ESAP #9, the EPC contractors will develop wastewater management plans for the construction and operational phase of the Project.
Seawater Quality
Marine construction will temporarily affect seawater quality due to seabed trench excavation and backfilling for intake and outfall structures. Dredging equipment will be used, and the EPC contractor is developing a detailed methodology. Turbidity will increase during dredging and backfilling until fine sediments settle or disperse. If excess dredged material is disposed at sea, turbidity will rise temporarily; if dredge spoil is to be disposed on land, it will be dewatered and managed as solid waste onshore. Sediment plumes may extend beyond the work area and, under extreme conditions, beyond Jordanian territorial waters. The updated ESIA (ESAP #3) will guide dredging technology selection and include mitigation measures, a sediment dispersion model, and a monitoring protocol. These measures will be detailed in a dredging management plan and environmental monitoring plan (ESAP #4) and implemented by the EPC contractor.
Operation of the desalination plan will generate approximately 400 million m3 of brine per year. The brine will be discharged at sea through an outfall system engineered with diffusers to maximize dispersion. As per the dispersion modeling included in the 2022 ESIA and conducted for several meteorological conditions, the salinity at a distance of 100 m from the diffusers is predicted to be less than 2% above the ambient seawater salinity thereby complying with the Project standard of <2% increase of salinity at 100 m from the diffusers. The model was based on standard operating parameters and routine discharges of brines. The updated ESIA will supplement the output of the 2022 model with non-routine operating scenarios, that may include discharge during process upsets and discharge of hydrotesting, commissioning fluids and maintenance fluids. The revised model will also include additional chemical compounds that will be specified by the EPC Contractor based on the final process design and operational parameters.
Noise and Vibration
Construction activities (e.g. marine trenching, vehicles traffic and machinery operations) will result in localized noise emissions that may affect sensitive receptors, especially at night or in sensitive areas (marine environment, populated areas, places of worship, etc.). The updated ESIA (ESAP #3) will include an assessment of noise emissions in relation to national legislative requirements as well as sensitivity of marine receptors and stipulate mitigation measures to be adopted, including for example scheduling of activities and use of noise barriers. The relevant mitigation measures will be captured in a noise management plan that will be developed by the EPC contractor (ESAP #9).
Noise and vibrations during operation of the facilities is not expected to result in significant adverse effects in view of the location of the desalination plant within an active industrial area and port.
PS 4 – Community Health, Safety, and Security
The conveyance pipeline will traverse several residential areas, such as the Disi village, as well as various additional areas with significant human presence, such as highways and roads with roadside shops and other commercial activities (petrol stations, garages, kiosks, street vendors), government complexes, residential dwellings, and dispersed farms that may be affected by construction activities. Community health and safety concerns, mostly during the construction phase of the conveyance system, are anticipated to arise from fall hazards associated with open trenches, operation of large construction equipment in the proximity of urban areas, dust and noise generated by vehicles, equipment, material transport, and personnel movement, interactions with security staff, and the introduction of extensive external workforce required for construction.
Transport and Traffic Safety
The 2022 ESIA highlights three main traffic hotspots: the project’s intake system site on undeveloped land in Aqaba's industrial zone near the Red Sea, urban areas in Amman—especially Sahab and Abu Alanda with mixed land use—and the route of the conveyance pipeline, which will cross major highways like the Desert Highway and the “Port Back Road,” as well as smaller roads. The Road and Transport Safety plan and the Community Health and Safety Management Plan (ESAP #4), which will be prepared as part of the updated ESIA, will outline construction safety protocols such as
barricades, traffic controls, area marking, appropriate lighting, pedestrian safety instructions, and a public road safety campaign aimed at local communities and vulnerable groups. It will also include control measures designed to address potential gender-related risks to local women associated with workers’ conduct during both construction and operation through specified procedures.
Labor Influx
The Project aims to maximize the use of local workers through recruitment procedures to be defined under the Labor and Working Conditions Specifications. Workers from outside the area will be housed either in private housing in Aqaba or in dedicated accommodation camps governed by the Worker Accommodation Management Plan and the Worker’s Code of Conduct. Furthermore, the Project, as part of the OHS Management Plan, will provide adequate medical care and first aid for occupational injuries and have measures for prevention of disease spread. Additional control measures to manage influx risk and feedback from relevant government authorities and communities will be developed as part of a Community Health and Safety Management Plan (ESAP #4). This plan will include measures to manage fall hazard risk due to open trenches, community sensitization, and monitoring activities. The Company will also develop Communities Development Plans (ESAP #4) which may include additional measures should where influx-related pressures be identified.
Gender and Gender Based Violence / Sexual Harassment and Child Protection and Safeguarding
For the Project’s GBVH/SEAH and CPS risks to be properly addressed, the Company will develop, as per ESAP #4 and #5, a GAP, outlining how the project will put in place the necessary protocols and mechanisms to address such risks and procedures to manage any allegations of incidents that may arise. The GAP will also establish requirements for the EPC and O&M contractors to develop and implement comprehensive training programs for their workers, security personnel and drivers on the Company’s policies, traffic management planning, regulations, procedures, and grievance mechanism, with a particular focus on addressing issues such as discrimination, child abuse and GBVH/SEAH. In addition, the Company will adopt and enforce Code of Conduct provisions that clearly prohibit abusive behavior, including discrimination, harassment, child abuse and GBVH/SEAH by Project workers towards community members.
Security Personnel
The Company will undertake a security risk assessment taking into account the Project's strategic value, local contextual risks, including competing water demands and tribal power dynamics. Based on the findings, the Company will develop a Security Management Plan (SMP), as per ESAP #4, in consultation with the national and local governmental authorities and communities, identify the security strategy for the Project and control measures in line with IFC PS4 and Voluntary Principles on Security and Human Rights. The SMP will be guided by the principles of proportionality and good
international practice and include procedures to: assess risks posed by security arrangements; ensure hiring, rules of conduct, training, equipping, and monitoring of security personnel; provide for background verification on security personnel's individual character with no incidents of past abuses; train security personnel to exhibit appropriate conduct towards Project workers and neighboring communities; train security personnel to manage mock sessions of labor unrest and protests; and to receive and resolve grievances about the security arrangements and acts of security personnel.
PS5 – Land Acquisition and Involuntary Resettlement
The Project’s design, including the routing of the conveyance pipeline, is in the process of being reviewed and finalized. The preliminary estimate of the permanent land footprint resulting from the installation of the Project components is around 1300 ha. The location of the marine works and the desalination system is within an industrial area owned by the state, with no physical or economic impacts expected. The SPP plant is also located on state owned land in a desert area with low shrubs and bushes and no structures or other assets present. Based on the site visit undertaken in December 2024, evidence of some grazing activities in and around the site was noted. Whilst the route of the 440 km conveyance pipeline largely follows the Right of Way (RoW) of existing roads, highways and the Disi water conveyance pipeline, thus minimizing the need for land acquisition, sections of the alignment pass through private lands. Based on surveys carried out for the 2022 ESIA, MWI identified 107 land parcels of which 48 were registered as privately owned for the 10-meterwide operational right of way of the pipeline. At the time of disclosure, the public interest decision for expropriation of these privately owned lands was issued by the Cabinet but the actual process has not been initiated yet. In addition, pipeline alignment will require at least a 30-meter-wide corridor to facilitate construction activities, causing mostly temporary disruption but also permanent impacts to additional land and structures including residents, shops and businesses, particularly in urban areas.
To comply with IFC PS5 requirements, NCPC commissioned an international resettlement expert to develop a Resettlement Policy Framework (RPF) as the first step in the Land Acquisition, Resettlement and Livelihood Restoration (LARLR) process and will be complemented at a later stage of Project development, when a final footprint is available, by a Resettlement Action Plan (RAP) and a Livelihood Restoration Plan (LRP). The RPF establishes all principles applicable to the LARLR process.
The RPF, based on the analysis of available aerial imagery and direct observations along the pipeline route (40 m corridor) in June 2025 identifies more than 300 residential structures (houses and apartment buildings) and more than 1,000 businesses which could be affected, mostly on a temporary basis, due to construction activities along the pipeline. These figures cover not only the businesses, residences or public amenities that could be physically impacted but also those properties to which access could be temporarily disrupted, thereby entailing livelihood impacts to business owners, operators or employees. Physical impacts on a large part of these structures and businesses could be avoided during the detailed design and construction. Overall, the RPF estimates that physical displacement could be limited to about 20 residential structures after impacts minimization.
The RPF identifies gaps between Jordanian land-related legal provisions and IFC Performance Standard 5 (PS5) requirements. These gaps primarily pertain to the preparation of a resettlement plan, restoration of livelihoods for affected people, provisions for vulnerable and severely affected groups, consultation with affected persons, information disclosure, and grievance redress mechanisms. In addition, the Jordanian legislation does not contemplate compensation for temporary economic displacement. The RPF establishes the key principles for addressing the identified gaps through
developing and implementing a Project RAP, including an LRP. The document identifies a mechanism for avoiding and minimizing impacts throughout the design review and construction phases. It includes a preliminary entitlement matrix and implementation arrangement alternatives that assign distinct roles and responsibilities to the MWI and the NPCP. The RPF also provides an indicative timeline and a projected budget for the LARLR. The implementation arrangement model proposed by the RPF, stipulates that privately owned lands will be acquired by MWI based on Jordanian statutory land acquisition rules, and NPCP will bridge the gap, if any, between Jordanian regulations and IFC PS requirements and compensate for the temporary displacement and disruption impacts during construction to meet the requirements of IFC PS5. The proposed model is under review by the MWI. As per ESAP #15, NCPC will ensure that the RPF is approved by MWI, and all required agreements between the NCPC and MWI and other relevant parties are signed for cooperation throughout the RAP and LRP preparation and implementation phases, and the institutional arrangements are enacted.
NCPC, as per ESAP #16, will commission a competent resettlement consultant and a team of experts to develop and implement a RAP including an LRP in line with the principles identified in the Project RPF and PS 5. The consultant, within the scope of RAP, will also assess: (i) the land acquisition requirement for the 60 km OHTL connecting the 281MWp SPP to the desalination plant; and (ii) the possible livelihood impact of the state-owned lands allocated to Project facilities for the herders and/or other users and develop necessary measures in line with IFC PS5 requirements and these
measures will be integrated into the RAP including the LRP. The Company will hire an external resettlement consultant, to monitor the implementation of the RAP, including LRP biannually. At completion of the land acquisition and resettlement related plans and programs, the consultant will carry out a completion audit to verify the expected outcomes achieved as per the requirements of IFC PS5 (ESAP #17).
PS 6 – Biodiversity Conservation and Sustainable Management of Living Natural Resources
The Project components are situated in three different types of ecoregions and biomes. The desalinization system, SPP and the associated OHTL are located in the Red Sea-Arabian Desert shrublands ecoregion of the deserts and xeric shrublands biome. The conveyance system also crosses this ecoregion, as well as the Syrian xeric grasslands and shrublands ecoregion of the temperate grasslands, savannas and shrublands biome, and the Eastern Mediterranean coniferbroadleaf forests ecoregion of the Mediterranean forests, woodlands and scrub biome.
The desalinization system, including the marine components, overlaps with the coastal and marine sections of the Aqaba Coast and Mountains Key Biodiversity Area (KBA), which is a migratory bottleneck for raptors that also holds breeding populations. The Project’s marine components are approximately 3 km to the south of the legally protected Aqaba Marine Reserve (AMR), designated for corals, sea turtles, marine fish and mammal species, which is also a tentative Natural World Heritage Site (WHS). The conveyance system and OHTL also overlap with the Aqaba Coast and Mountains KBA. The OHTL alignment extends northeast and passes outside the northern boundary of the Hisma Basin Rum KBA, designated for desert and mountain birds, including breeding raptor populations. The conveyance system crosses the Hisma Basin Rum KBA and the buffer zone of the Wadi Rum Protected Area Mixed World Heritage Site (WHS). The Wadi Rum Protected Area (WRPA) was initially designated as a Legally Protected Area (IUCN Category V) in two phases, first in 1997, and then 2002. The WRPA is a significant site for diverse migratory and resident bird species and also holds populations of threatened and restricted-range plants, reptiles and mammals. The WHS inscription was not based on biodiversity-specific criteria but the management objectives for the WRPA set by Aqaba Special Economic Zone Authority (ASEZA), include protection of the nationally significant biodiversity, as well as the natural and cultural Outstanding Universal Values (OUV) and geological diversity. The legally protected WRPA boundaries defined by ASEZA extend beyond the boundaries of the WHS. Therefore, the conveyance system, SPP and OHTL also overlap with the WRPA as defined by ASEZA.
Biodiversity baseline surveys were conducted within the scope of the 2022 ESIA, both for the terrestrial and marine project components. For the updates of the desalinization plant site, SPP and OHTL in 2025, additional walk-over and rapid surveys were undertaken. For the updated Project ESIA, the Company appointed specialized consultants to conduct additional terrestrial and marine biodiversity surveys. Terrestrial surveys were completed in August 2025, while marine surveys were undertaken in September 2025. The main types of terrestrial Natural Habitat that overlap with the conveyance system include sand dunes, weathered sandstone and granite shrubland, Acacia woodlands, sandy and gravel hamadas, desert lowlands and wadi systems. The SPP and OHTL, on the other hand, overlap with undulated bare land hills, rocky sandy rangeland wadis, and flat sandy clay areas. The marine Project components are in an area where types of Natural Habitat include coral reefs, mixed-sediment reef systems, and sandy and seagrass habitats.
Priority biodiversity values associated with the Project include the above-listed areas of terrestrial and marine Natural Habitat, and any additional types of Natural Habitat to be identified through the ongoing biodiversity studies and surveys to be conducted in 2026. Terrestrial priority species are the Nubian Ibex and Marbled Polecat (IUCN Red List – IUCN Red List Vulnerable), Egyptian Vulture and Steppe Eagle (IUCN Red List – Endangered), Syrian Serin and Sooty Falcon (IUCN Red List – Vulnerable), Levant Sparrowhawk (IUCN Red List – Least Concern), Egyptian Spiny-tailed Lizard (IUCN Red List – Vulnerable) and two other lizard species; Acanthodactylus ahmaddisii and Phoenicolacerta kulzeri (IUCN Red List – Endangered), Common Tortoise (IUCN Red List – Vulnerable), Black Iris (IUCN Red List – Vulnerable) and other restricted-range nationally threatened plants, freshwater fish, migratory birds, and nationally threatened and restricted-range reptiles and nationally threatened mammals. Marine priority species are the Indian Ocean Humpback Dolphin (IUCN Red List – Endangered), Indo-Pacific Bottlenose Dolphin (IUCN Red List – Near Threatened), Pantropical Spotted Dolphin (IUCN Red List – Least Concern), Hawksbill Turtle (IUCN Red List – Critically Endangered), Green Turtle (IUCN Red List – Endangered), Loggerhead Turtle and Leatherback Turtle (IUCN Red List – Vulnerable), Fluted Giant Clam and Small Giant Clam (IUCN Red List – Least Concern), and marine fish species. Of these, Acanthodactylus ahmaddisii, Phoenicolacerta kulzeri, and the Levant Sparrowhawk are the likely CH values, and the Project could possibly be in CH for coral reef and seagrass habitats as well. IFC’s Natural Habitat No Net Loss (NNL) requirements will apply to all priority biodiversity values, including those that will be further identified through the 2025/2026 biodiversity workstream. IFC’s Net Gain (NG) requirements will apply to CH values, which will be further defined by a terrestrial and marine Critical Habitat Assessment (CHA) to be undertaken within the scope of the updated project ESIA and informed by data available through surveys, other available resources, and stakeholder engagement.
In line with PS6, the updated ESIA will demonstrate that the Project is legally permitted on the basis of its overlap with the WRPA (ESAP #3). Per ESAP#18, the Company will complete 2025 terrestrial and marine assessments and modelling and include detailed methodologies for habitat and species surveys to be conducted in 2026 within the scope of the updated Project ESIA. The surveys to be conducted in 2026 will be designed to have clear temporal and spatial scales, which will consider distribution and seasonality of targeted biodiversity values and data requirements. Survey outcomes, together with data and information gathered through desktop studies, expert input and stakeholder engagement, will inform (i) terrestrial and marine CHA, (ii) identification and mapping of priority biodiversity values including those associated with Legally Protected and Internationally Recognized Areas, (iii) a clear demonstration of areas of Natural and Critical Habitat, including quantification and mapping, (iv) impact assessment including assessment of residual impacts, (v) an Ecosystem Services Review, and (vi) the project’s mitigation strategy to include avoidance, minimization and restoration measures, within the scope of the updated Project ESIA.
Project-related impacts will be identified and assessed within the scope of the updated project ESIA and will consider design specifications, construction methods, marine modelling results, habitat features, species populations and seasonal distribution, and other relevant data and information to be further acquired through the 2025 and 2026 surveys, desktop studies, expert input and stakeholder engagement. The Company will develop and implement terrestrial and marine construction-phase Biodiversity Management Plan (BMPs) to set forth mitigation measures to avoid and minimize impacts
on Natural Habitat, Critical Habitat and priority biodiversity values that overlap with the terrestrial and marine components of the Project (ESAP#19). The construction-phase BMPs will incorporate all related procedures that will be implemented during the project’s terrestrial and marine activities, which at the minimum, will include procedures for pre-construction checks, vegetation removal, topsoil management, sediment management, and invasive alien species management. The construction-phase BMPs will be aligned with the other management plans that will be developed and implemented within the scope of the project’s ESMP per ESAP #4, specifically the CESMP Dredging Management Plan and CESMP (ESAP #9). The Company will appoint specialized teams of experts, who will be responsible for implementation and reporting of mitigation measures.
Along the OHTL route, construction within the boundaries of the Hisma Basin Rum KBA and buffer zone of the Wadi Rum WHS will be avoided by design but the line will be crossing the WRPA. There are several threatened and migratory bird species that have been identified to be at risk of collision and electrocution with the OHTL. To minimize risk of impacting priority biodiversity values using the airspace, which are subject to Natural Habitat NNL, and possibly Critical Habitat NG requirements, the Company will use best endeavors with NEPCO to incorporate a bird-safe design in the placement of the pylons, and fixed bird flight diverters and insulators will be installed and staggered along the entire OHTL.
To identify high-risk areas for priority bird species and inform a post-construction fatality monitoring (PCFM) program, the Company will complete ongoing survey campaigns including carcass searches along the existing OHTL and conduct pre-construction surveys along the Project’s OHTL route. The Company will contract an internationally recognized and specialized consultancy to design and develop the PCFM program based on GIIP. During the operations-phase of the Project, the PCFM program will be implemented by the international consultancy in collaboration with a local consultancy
to monitor bird flight activity, assess the effectiveness of mitigation and identify any additional measures to be taken in line with an adaptive management approach. The program will take place for at least a two-year period with semi-annual reporting following a standardized template, but the actual timeframe of the PCFM program will depend on fatality results (ESAP#20, #21, #22, #23).
In addition to the PCFM program, per ESAP #24 and #25, the Company will develop and implement terrestrial and marine operations-phase BMPs to identify measures to meet Natural Habitat NNL objectives. The operations-phase BMPs will include terrestrial and marine Habitat Restoration Programs, which will be informed by the residual impact assessment that will be conducted within the scope of the updated Project ESIA. The programs will include recommendations for restoration measures in areas of Natural and Critical Habitat The marine operations-phase BMP will be aligned with the Project’s brine management strategies, which will be developed to mitigate impacts on biodiversity values through implementing relevant measures for volume reduction, treatment and discharge minimization. The Company will contract qualified experts with international experience to develop and implement terrestrial and marine operations-phase BMPs.
For the Critical Habitat values, per ESAP #26 and #27, the Company will develop a Biodiversity Action Plan (BAP) and Biodiversity Monitoring and Evaluation Plan (BMEP) based on the CHA and residual impact assessment to be undertaken within the scope of the ESIA. The BAP will include a loss/gain assessment and define habitat and species-specific actions to address residual impacts on Natural Habitat, Critical Habitat and priority biodiversity values. In line with PS6, the BAP will also define requirements for offset measures and additional conservation actions to achieve NG objectives. The
Company will contract qualified experts with international experience on offsets to: (i) quantify residual impacts on CH; (ii) define offset criteria and options; (iii) conduct an offset feasibility study; and (iv) develop and monitor implementation of a Biodiversity Offset Management Plan (BOMP), aiming to deliver measurable conservation outcomes.
As part of the baseline surveys and assessments, the Company has engaged with ASEZA and experts working for the Royal Society for the Conservation of Nature (RSCN), which is the local BirdLife International partner in Jordan. The Company is undertaking a Heritage Impact Assessment (HIA) for the Wadi Rum WHS in line with UNESCO’s 2022 Guidance and Toolkit for Impact Assessments in a World Heritage Context. The HIA will provide a detailed assessment of the Project’s impacts on the OUVs and other heritage/conservation values including biodiversity. The Company will seek a “No Objection” statement from UNESCO, as further described under PS8, below. The Company will consult with the State Party with respect to the proposed boundaries for the Aqaba Marine Reserve tentative WHS, associated priority biodiversity values and Project-related risks. The Company will continue engaging with UNESCO, ASEZA, RSCN and other relevant stakeholders, incorporate the outcomes into related assessments and further document the engagement processes within the scope of the BAP. The BAP will also make provisions for additional conservation programs for the AMR, WRPA, Aqaba Coast and Mountains KBA and Hisma Basin Rum KBA Additional conservation programs will be developed and implemented in coordination with stakeholders (i.e. UNESCO, ASEZA, RSCN) to enhance the conservation objectives and effective management of the AMR, WRPA and KBAs (ESAP #26 and #27).
PS 8 – Cultural Heritage
The southern part of the conveyance system will be constructed in the buffer zone of the Wadi Rum UNESCO World Heritage Site (WHS), also referred to as the Wadi Rum Protected Area (WRPA). In addition, construction activities associated with the Project’s terrestrial components and the conveyance system could potentially impact as yet unknown cultural heritage sites.
Wadi Rum
Wadi Rum was designated as a Protected Area by UNESCO in 2011 in acknowledgement of its outstanding and internationally significant natural and cultural qualities The Outstanding Universal Values of Wadi Rum, based on which the site has been inscribed in the World Heritage Sites (WHS) list are summarized below. The full description can be found at https://whc.unesco.org/en/list/1377/.
Criterion (iii): The rock art, inscriptions, and archaeological evidence, which includes 25,000 petroglyphs, 20,000 inscriptions, and 154 archaeological sites, provides evidence of continuity of habitation and land-use over a period of at least 12,000 years.
Criterion (v): The variety of landforms in the WHS has played an essential role in fostering the settlement of successive communities in the semiarid eastern desert environment of the Arabian Peninsula.
Criterion (vii): The WHS is recognized globally as an iconic desert landscape, renowned for its spectacular series of sandstone mountains and valleys, natural arches, and the range of narrow gorges, towering cliffs, massive landslides, and dramatic cavernous weathering forms displayed.
The Project also lies in an area that, in 2008, UNESCO inscribed upon its Representative List of the Intangible Cultural Heritage of Humanity. This list highlights cultural areas, practices, and aspects across the world that are considered of global importance for the intangible cultural beliefs, practices, traditions, and values that they preserve and exhibit. In Wadi Rum, the local communities continue to practice many aspects of their traditional lifestyle, including pastoral techniques and skills; a complex social and moral code (transmitted orally); and a rich local mythology (expressed as poetry, folktales, and songs).
UNESCO’s WHS site includes a core area and a buffer zone, with clearly identified boundaries. The Aqaba Special Economic Zone Authority (ASEZA) manages the WRPA and has developed regulatory instruments for its management, notably “Regulation No. 24 for the Development of the Wadi Rum Protected Area” and “Regulatory Provisions for the Wadi Rum Protected Area Buffer Zone”. ASEZA’s regulatory instruments have different boundaries for both the core area and the buffer zone: the core area of ASEZA’s WRPA is approximately 15% larger than UNESCO’s WHS and the buffer zone is approximately twice the size of the UNESCO’s WHS’ buffer zone. The regulatory provisions for AZESA’s WRPA buffer zone also include a zoning system to regulate the activities that can take place within each sub-zone. The enlarged buffer zone and revised core area have not yet been officially accepted or approved by UNESCO. It is not, however, clear if ASEZA’s regulatory provisions have been ratified by national legislation and if they are applicable to the Project. The PV plant and part of the OHTL are located within ASEZA’s WRPA Buffer Zone, where the development of any kind of industrial plant is prohibited. As per ESAP #3 the updated ESIA will need to demonstrate that the Project’s development is legally compatible with the Regulatory Provisions for the Wadi Rum Protected Area Buffer Zone.
The Company has commissioned a reputable cultural heritage consulting company to prepare a HIA screening report for the portion of the Project that intersects the buffer zone of the WRPA. The screening report will contribute to the updated Project ESIA.
The HIA screening report concludes that there is potential for a wide range of impacts, to the OUV of the WRPA, to the intangible cultural heritage associated with local culture and traditions, and to the other relevant heritage assets such as the Jordanian Hejaz Railway. These impacts could be permanent or temporary, new or cumulative, direct or indirect and the level of impact on the significance of heritage assets will be assessed through a full HIA, which will be completed as part of the updated Project ESIA (ESAP #3). Potential impacts identified in the screening assessment include direct and
indirect physical impacts (potential damage or destruction) to natural and cultural features; detrimental changes to the significance of heritage assets within the setting; changes to the historical and natural landscape character, and potential impacts to the intangible culture and livelihood of the Wadi Rum communities, and upon tourism and research, as a result of potential (temporary or permanent) access restrictions or changes as part of the Project.
The full HIA will ensure that all potential impacts are comprehensively assessed and characterized and allow for the formulation of appropriate mitigation measures (e.g., element redesign; the assessment of alternatives) to avoid or reduce impacts to an acceptable level. This, in turn, will ensure the Project can proceed sustainably (i.e., in such a way that the heritage and natural significance of the area is also properly preserved, conserved, and ideally enhanced). Based on the final mitigated design, as per ESAP #28, the Company will consult with UNESCO to seek a “No Objection”
statement, or to confirm that a “No Objection” statement is not required.
Remainder of the Project’s Area of Influence
In view of the long history of human habitation in Jordan and the wealth of documented cultural heritage in most of the country, it cannot be excluded that additional yet unearthed cultural heritage objects and sites may be encountered during the Project development. The Cultural Heritage specialists that have been retained by the Company will address the potential risks as part of the updated Project ESIA (ESAP #3) and will develop a Cultural Heritage Management Plan (CHMP) for the detailed design and construction phase of the Project.
The CHMP, as per ESAP #29, will include specifications for above surface and sub-surface investigations along the construction corridor, minimum requirements and qualifications for specialists personnel to be present on site during survey and construction activities, the design review process that shall be triggered by any new Cultural Heritage discovery during the survey and design phase of the Project and a detailed Chance Find Procedure to address unexpected finds that may be unearthed during any works that require ground disturbance.
