Abu Dhabi National Energy Company, better known as Taqa, has signed a 24-year power purchase agreement with Emirates Water and Electricity Company, to build and operate a one-gigawatt open-cycle gas turbine project in Al Dhafra as part efforts to support the UAE's technology needs.
Taqa will both own and manage the plant, including its operation and maintenance. The company’s subsidiary, Taqa Transmission, will build the grid connections to distribute the generated power, the companies said on Thursday.
Open-cycle gas turbines are typically employed for short-term power boosts, not constant operation, to meet peak electricity needs.
The projects will support the UAE’s $6 billion “round the clock” renewable energy facility announced by Masdar in January, which will combine 5 gigawatts of solar capacity with 19 gigawatt hours of battery storage to produce 1 gigawatt of clean power.
The partnership between Ewec, Taqa and Masdar will drive investment of about Dh36 billion ($9.8 billion) in Abu Dhabi's energy infrastructure, with about 75 per cent allocated to renewable and conventional power generation and the remaining 25 per cent to funding grid infrastructure, the companies said.
“Providing reliable low-carbon power plays an important role in enabling the global energy transition,” said Jasim Thabet, group chief executive and managing director of Taqa.
Ewec currently supplies more than 55 per cent of Abu Dhabi's power through renewable and clean energy sources and plans to raise it to 60 per cent by 2035.
Last year, Ewec said there was urgent need for an additional 5.1 gigawatts of gas capacity in the emirate to support the integration of renewable energy projects and provide flexibility during peak demand, state news agency Wam reported.
This includes 2.6 gigawatts of flexible and cost-effective open-cycle gas turbine capacity, expected to be available by 2027, along with about 2.5 gigawatts of combined-cycle gas turbine capacity by 2028, the company said at the time.
“By creating a future-ready energy framework that integrates next-generation renewable energy technologies and advanced transmission solutions, this collaboration is setting a new global benchmark for sustainable energy systems,” said Ahmed Al Shamsi, chief executive of Ewec.
Under the updated objectives of the UAE Energy Strategy 2050, the country will invest between Dh150 billion and Dh200 billion by 2030 to ensure energy demand is met while sustaining economic growth in the Emirates.
Projects under the plan include the 1.8-gigawatt sixth phase of the Mohammed bin Rashid Al Maktoum Solar Park, the second phase of Dubai’s waste-to-energy project, and two major photovoltaic projects – the 1.5-gigawatt Al Ajban plant and the 1.5-gigawatt Al Khazna – both in Abu Dhabi.
Masdar alone aims to reach 100 gigawatts of renewable energy capacity by 2030, up from about 20 gigawatts at present.
