Dubai encourages private sector power projects

• 13 years ago (2010-11-12)
• Junior Isles

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The Dubai government is to allow the private sector’s role in power generation to rise to 49 per cent by 2030, as part of a strategy to diversify the emirate’s utility sector, according to Vice-Chairman of the Supreme Council of Energy, Saeed Mohammad Al Tayer.

“According to the final stage of the strategic plan, the private sector’s participation would be between 40 to 49 per cent,” said Al Tayer, who is also managing director and chief executive of DEWA (Dubai Electricity and Water Authority).

Al Tayer also stressed that despite the new plan the majority of the power projects would remain with the government.
Dubai’s power plants have historically been fired by oil and gas. But to meet growing demand, the government created the Supreme Council of Energy to help explore alternative energy resources to power its utilities sector and maintain strong growth.

Clean coal and peaceful nuclear technology are the main options to be considered by the Dubai government. Each could contribute 20 per cent of the generation mix.

An exponential growth in energy demand and the need to secure fuel sources has meant the government has decided it should not rely exclusively on gas for energy and “would look at diversification of energy sources to meet the requirements of future development”.

“Power demand in Dubai reaches its peak in August and we expect a 50 per cent increase by 2030,” said Al Tayer.