The emirate will witness a six per cent increase in energy demand over the next five years…


The Emirate of Dubai is expected to see growth in demand for electricity and water over the next five years, a top official at the Dubai Electricity and Water Authority (Dewa) said on Sunday.

Saeed Mohammed Al Tayer, MD and CEO of Dewa, said monthly reports that monitor Dubai’s growth based on energy consumption and population increase predicted that the emirate will witness a six per cent increase in energy demand over the next five years.

“According to our studies, Dubai receives more than 1.3 million visitors every year,” said Al Tayer. “The Government of Dubai is constantly announcing new projects based the emirate’s growth, not just its population.”

He stated that while the world struggled during the 2008 financial crisis, Dubai still saw a 6-12 per cent growth in energy production.

Al Tayer was speaking on the sidelines of a Press conference that announced Masdar as the selected bidder for the 800 megawatt third phase of the Mohammed bin Rashid Al Maktoum Solar Park, which will follow the Independent Power Producer (IPP) model.

He stated that witnessing the energy consumption in Dubai has led to the recent launch of the Concentrated Solar Power (CSP) project with an expected capacity of 1,000MW by 2030 at the Mohammed bin Rashid Al Maktoum Solar Park, which will produce 5,000MW by 2030.

“We figured we needed storage, so we decided to generate 4,000 MW in PV and the remaining 1,000MW will be CSP,” said Al Tayer.

He added that fluctuating petrol prices will not largely impact or increase the cost of energy production in the UAE since it is a non-oil exporting country that functions on long-term contracts with predetermined costs.

“Organisations that are entirely dependent in the market are likely to be influenced by oil prices, but our clean energy strategy is based on predetermined contracts,” said Al Tayer.

Renewable energy is the future

Mohamed Al Ramahi, CEO of Masdar, said that investments in renewable energy has exceeded investments of other types including nuclear energy and liquid fuse, and figures will continue to grow.

He added that a recent study by the International Renewable Energy Agency (Irena) predicted that future investments in renewable energy will reach $35 billion in Mena region, with 25 per cent in GCC alone.

“There are tenders in Morocco, Egypt and Jordan, which shows that all sectors are hungry for energy,” said Al Ramahi.


Mohammed bin Rashid Solar Park

The Dewa announced on Monday that a Masdar-led consortium beat four bidders for the third phase, which will be operational by 2020 using PV technology, at a record breaking bid of 2.99 US cents per kilowatt hour (kWh). Masdar will team up with Spanish firms, Fotowatio Renewable Ventures (FRV) – an Abdul Latif Jameel company, and Gransolar Group.

Al Ramahi said power-purchase agreements will be signed in September and construction will take place in Q4 of 2016 in three stages: 300MW, 200MW and 200MW.

The solar park’s 13MW first phase became operational in October 2013, and the 200MW second phase will be operational in April 2017. Once completed, the Dh50 billion project will reduce 6.5 million tonnes of carbon emissions annually.

Dubai is looking to have seven per cent of its total power from clean energy in the next four years, followed by 25 per cent by 2030 and 75 per cent by 2050.


Sherouk Zakaria / Dubai ; sherouk@khaleejtimes.com ; Khaleej Times ; 28 June 2016

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