Dubai Electricity and Water Authority has laid out its expansion plans for the next decade in a prospectus issued to investors ahead of its bond issue through which it expects to raise $2bn.
The plans, which come amid fast growing demand for power and water across the Gulf, have been laid out in a prospectus issued to investors ahead of a bond issue. It is hoping to raise up to $2bn in the bond issue, although far more funding will be required to complete the plans.
By 2017, Dewa plans to have a total installed capacity of 21,907MW of power and 1,038 million gallons a day (g/d) of water, up from the current 5,448 MW and 278 million g/d. The additional capacity is required to meet a surge in electricity demand, which has been growing at 15 per cent a year.
Between 2008-2012, Dewa plans to increase its installed electricity and water production capacity by 2.5 times. This will require up to $19.1bn in capital expenditure, which will be funded largely by borrowing from banks or through the capital markets.
Dewa also says it is seeking government approval for an increase in its water and electricity tariffs in the future, although this is unlikely to happen in the near future.
The following projects are planned:
|Station||Location||Power Capacity||Water Capcity||Commission|
|H Phase II||Al-Aweer||419||-||2007-08|
|H Phase III||Al-Aweer||818||-||2008|
|L Phase II||Jebel Ali||1,356||55||2008|
|M Phase I||Jebel Ali||1,330||70||2009-10|
|M Phase II||Jebel Ali||665||70||2010|
|P Phase I||Hassyan||1,500||100||2011-12|
|P Phase II||Hassyan||1,500||100||2011-12|
|Q and R||Hassyan||6,000||400||2012-17|
|Additional new sites||2,520||-||2016-17|
*The station at Lehbab has the potential to reach a final capacity of 5,000MW after 2017.
A MEED Subscription...
Subscribe or upgrade your current MEED.com package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.