Dewa aims to meet all financial needs from its own funds next year
The Dubai Electricity and Water Authority (Dewa) plans to meet all its financing needs next year from its own cash and short-term loans as the authority undertakes new solar, coal and power projects, its chief executive said.
Dewa, which has a US$1 billion bond maturing in April, will not need to go to the bond market next year. “We will fund it internally and through short-term loans,” said Saeed Mohammed Al Tayer.
Dewa plans to award a number of contracts next year as it fulfils its aim to diversify the emirate’s energy mix. Currently all electricity plants run on gas, but by 2030 Dubai is planning to get 5 per cent of its energy needs from solar power, with coal to provide 12 per cent, nuclear 12 per cent and the remainder from gas. Dubai intends to get nuclear power from Abu Dhabi, where the authorities are building a nuclear plant.
The authority is also planning to award the contract for a 100MW solar photovoltaic plant in the first quarter of next year, he said.
Saudi Arabia’s Acwa Power is currently the lowest bidder for the solar project, which is expected to be commissioned before the summer of 2017.
To achieve its target of 5 per cent solar power generation by 2030, Dubai is setting up the Mohammed bin Rashid Al Maktoum Solar Park project, which will have an installed solar power capacity of 1000MW by 2030. In the first quarter of next year Dewa also plans to award the contract to expand its existing power and desalination plant, the M-Station, by adding about 600MW of capacity, he said.
Dewa expects to receive bids for the Hassyan coal-fired power plant project by the end of next month, he email@example.com
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Published: December 15, 2014 04:00 AM