Sacyr's thirst to expand in Latin America's desalination sector

Faced with increasing pressure on water resources due to population growth and drought linked to climate change, several countries in the region have shown interest in desalination and water reuse to complement traditional sources.

However, these projects face obstacles such as lengthy permitting processes and rejection by local organizations due to the potential environmental effects.

Despite these stumbling blocks, Spanish multinational Sacyr is looking very closely at the projects that are being formulated in the region, particularly in Chile where it already has a significant presence in the infrastructure sector.

To find out more about the opportunities in desalination and the challenges it faces, BNamericas speaks with the director of innovation and strategic projects at Sacyr Agua, Domingo Zarzo, who is also president of Spanish desalination and water reuse association AEDyR, at a conference hosted by Chilean desalination association Acades.

BNamericas: What is in Sacyr's portfolio of desalination projects? Are there any projects in Latin America?

Zarzo: For Sacyr, Latin America is one of the strategic regions for our growth. We're studying projects in Brazil, Colombia, Peru and, of course, Chile. We're paying close attention to all the new opportunities that are emerging in desalination, where we have greater expertise, and also in wastewater treatment and other areas.

For the moment, we don't have specific projects under construction in Latin America that I can talk about.

BNamericas: Regarding your area of innovation, what trends are gaining momentum in terms of new desalination and water treatment technologies?

Zarzo: Almost all innovation in water today is focused on increasing the sustainability of operations.

For example, with regard to desalination we're working on decarbonization, that is, increasing the use of renewables, reducing emissions and even generating energy from brines.

The other trend is the circular economy. For example, there is brine mining, which consists of obtaining salts and chemical compounds from brines. There is also the reuse of certain components such as membranes to give them a second life so they don't end up in landfills.

In the case of wastewater, the main trend is the transition from the concept of a 'wastewater plant' that produces waste to that of a 'bio-factory', which would produce water to reuse, produce biogas to generate energy and produce nutrients to use as fertilizers in agriculture.

BNamericas: In your experience, what are the biggest obstacles to the development of these projects in Latin America that still remain to be resolved?

Zarzo: On the one hand we talk about 'permitology' as it's called in Chile, which are barriers that mean that projects take a long time to develop, so it's difficult to offer solutions to drought problems today when projects take between five and seven years to be ready.

There are also regulatory barriers and another very important one is social perception. It's important for the public to understand that both desalination and waste disposal are sustainable activities that will improve the lives of citizens. Both we and the media have to work hard to educate people in that sense.

For example, in the case of desalination plants there's a lot of talk about the rejection of brine, which is actually concentrated seawater. When this is done correctly, which is 90% of the time, before sending the brine to the sea, it's mixed with seawater through diffusers a few meters from the point of emission so that it becomes seawater again.

The general public doesn't know about that, even though science has proven that the impact is notable.

BNamericas: At a regulatory level, how does Sacyr view Chile's efforts to reduce permitting problems in project processing?

Zarzo: All countries are making efforts in this area, including Spain. Drought, climate change and water resource stress are huge problems, and everyone is trying to reduce the implementation timelines of these technologies.

Today it can take five or six years to obtain permits for a large desalination plant. We have to try to shorten that period and we're working on that.

BNamericas: Sacyr has extensive experience in the Chilean concessions market. Does it have any interest in participating in the next desalination concessions planned for Coquimbo and Rancagua?

Zarzo: Of course. For us they're strategic projects. We're established throughout the world with concessions in Germany, Australia, Algeria, Spain, etc. Chile is one of our priority objectives and of course we'll be participating in these tenders once the processes are launched.

BNamericas: In his presentation at the Acades congress, former president Eduardo Frei made a call for no new laws to be introduced for desalination due to the risk of increasing delays even further. Do you think regulatory adjustments could be made instead of new laws regarding desalination in Chile?

Zarzo: Yes. As I said before, the issue of permits is what causes the most delays. I believe that the current environmental controls are rigorous enough and that there's no need to add more.