A report titled Power UAE has been published by research specialists Global Business Reports and it reveals how the UAE power industry will be revolutionised over the next five-to-ten years, as a result of changes in the regional social and economic landscape.
Abu Dhabi’s power sector remains the prime regional investment spot, according to the report. Besides eight independent power and water producers, the GCC’s first nuclear power plant is being constructed in Abu Dhabi. In Dubai, 11 plants have a total capacity of producing about 9,000 megawatts of electricity.
From the Report.
Generation: Diversification in motion
As it stands today, 97.5% of power generation across the country comes from natural gas-powered plants. However the next 10 years will see the introduction of a nuclear program in Abu Dhabi and the highly anticipated move towards renewable technologies, namely solar power, which holds huge potential in this desert environment. The push towards power diversification is in line with the strategy of industrial diversification away from fossil fuel dependence. For Dubai this will reduce the cost of liquefied natural gas (LNG) imports, while in the case of Abu Dhabi diversification will give greater opportunities for export of its remaining hydrocarbon resources. “The UAE might well have enough gas to last until 2030 or 2050, but it doesn’t want to take the risk,” says the regional manager of Hatch, Roy Dabbous on the push for nuclear power. “In the last four years, there has been good push to develop the more of the UAE’s sour gas fields. These tend to cost more and require greater diligence when it comes to HSE” Dabbous continues. — Excerpt from the ‘Power UAE’ report.
A new project has also been launched to extend and activate a transmission cable network across Abu Dhabi. The other Emirates of Sharjah, Fujairah, Ajman, Ras Al Khaimah and Umm Al Quwain are still in the initial stages of industrial development, but are actively seeking to attract foreign investment to their power and water sectors.
The report predicts the annual demand for electricity is likely to grow by eight-to-ten per cent over the next 10 years. As a result of the higher demand, the role of events such as Power + Water Middle East, the region’s premier showcase for power and water sectors, is expected to rise in importance and overall scope. The 2013 event, is being held with the strategic partnership of the Abu Dhabi Water & Electricity Authority (ADWEA), and will take place from September 23-25 at the Abu Dhabi National Exhibition Centre.
The event will also mark UAE celebrations of the International Year of Water 2013 and feature a number of developers, manufacturers, buyers and service providers from the power and water sector in the region. It will serve as a vital platform to discuss and address issues related to the industry in the coming years.