Dewa to open up to private sector, wider fuel mix
Up to 49% of power gen could be in private hands by 2030, says CEO
Dubai’s Electricity and Water Authority (Dewa) is set to embrace private ownership of the emirate’s power generation sector, the authorities CEO has revealed. In an effort to broaden the fuel mix, nuclear and clean coal will become sources of energy.
“The private sector will be allowed to invest in energy projects in the future as part of the Energy Strategy 2030,” Saeed Mohammad Al Tayer, Dewa CEO, told Gulf News.
“According to the final stage of the strategic plan, the private sector’s participation would be between 40 to 49 per cent,” he added.
The authority is already working on private sector involvement in its next power project, with Al Tayer telling Utilities Middle East recently that Dewa will most likely launch the tender for the Hassyan
independent power and water project (IWPP) in Q1, 2011. IWPP’s are public private partnerships, and Dubai is currently working on the legal framework to facilitate this ownership model.
The strategic plan also calls for the diversification of fuels used for power generation. DEWA on Saturday issued a tender for a study to look into power generation from coal. Currently, Dubai relies on oil and gas to fire its power plants.
But in future, clean coal and nuclear power could feature as energy sources, as Al Tayer envisions that they will account for 20 percent of generated energy each by 2030, Gulf News reports.