9 November 2017
HE Saeed Mohammed Al Tayer, MD & CEO of Dubai Electricity and Water Authority (DEWA), participated in a panel discussion entitled ‘Sustainability – UAE and France Common Ambitions on Future Energies’ at the UAE-France Business Forum, organised by Dubai Chamber at Zayed University, Dubai Academic City. HE Mohamed Jameel Al Ramahi, CEO of Masdar; Jean-Bernard Levy, Chairman and CEO of EDF Group; and Isabelle Kocher, CEO of Engie, also took part in the session, which was moderated by Francisco Silverio Marques, Director of SIRAM (Enova Branch).
The session included discussions, and questions focused on sustainability initiatives and projects, in the UAE and Dubai. Answering a question about Dubai’s energy strategies to increase renewable energy to 25% and energy efficiency by 30% by 2030, Al Tayer said, “We follow the ambitious vision of our leadership, headed by His Highness Sheikh Khalifa bin Zayed Al Nahyan, President of the UAE; and HH Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, for sustainable development and anticipating the future. We also work in line with our strategies at both federal and local levels as stipulated in the UAE Vision 2021, UAE Centennial 2071, and the Dubai Plan 2021. The security of supply is a top priority. We also want to be a role model in the world in energy efficiency, reliability, green economy and sustainability. This is why, the UAE, represented by DEWA, is ahead of other countries and has been ranked number one in the world in getting electricity, as per the World Bank’s Doing Business 2018 report.”
“We have a holistic approach for the energy sector and we translated that into workable strategies. We are securing our supply by diversifying the energy mix, to include clean energy to provide 7% of Dubai’s total power output from clean energy by 2020, 25% by 2030 and 75% by 2050. To achieve that, we launched many green programmes and initiatives including the Mohammed bin Rashid Al Maktoum Solar Park which is the largest single site solar park in the world with a total capacity of 5,000MW by 2030. We adopt a strategy to optimise energy efficiency. We have a clear Demand Side Management Strategy that aims to reduce power and water consumption by 30% by 2030 and has 8 main programmes: Building Regulations, Building Retrofits, District Central Cooling, Water Reuse and Efficient Irrigation, Specifications of Energy Efficiency, Outdoor Lighting, and the Shams Dubai Initiative to install solar panels on houses and buildings. DEWA has established a demand side management company, Etihad ESCO, to support the improvement of energy efficiency in over 30,000 existing buildings in Dubai by retrofitting. The present value of the cumulative costs up to 2030 is estimated at AED 30 billion, while the present value of savings is estimated in the order of AED 82 billion. This gives the DSM plan a Positive Net Economic Impact of Net Present Value of AED 52 billion,” added Al Tayer.
Commenting on the first projects launched within Dubai Clean Energy Strategy 2050 such as the first energy performance contracts and the first pilot projects on solar energy, which have reached the stage where they need to be scaled up, and how Dubai is facing this challenge, Al Tayer said, “We have a clear 2050 clean energy strategy with 5 main pillars: Infrastructure, legislation, funding, building capacities and skills and environment-friendly energy mix. Meeting the clean energy target (75% by 2050) requires a capacity of 42,000MW of clean and renewable energy by 2050. That’s why, Dubai is building the Mohammed bin Rashid Al Maktoum Solar Park, with an installed capacity of 5,000 MW by 2030 based on the IPP model, with a total investment of AED 50 billion. We have 213MW PV in service and a further 800MW PV is under construction, with 700 MW of CSP also being developed. For Shams Dubai, we have connected over 450 solar systems on the roofs of buildings in Dubai. In addition, we have a capacity of over 180MW in the pipeline at different stages of implementation. By 2030, 100% of desalinated water will be produced by clean energy and waste heat. Our electricity and water generation projects to improve efficiency will make cumulative savings of up to AED 70 billion and will also contribute to reducing carbon emissions by 235 million tonnes by 2030. In 2015, and as part of the 3rd pillar of the Dubai Clean Energy Strategy 2050, Dubai has launched the ‘Dubai Green Fund’, worth AED 100 billion, to finance investments in clean energy,” continued Al Tayer.
“Large scale utility projects require a strong regulatory framework. Dubai has established the Regulatory & Supervisory Bureau for electricity and water (RSB) that will encourage private sector investments. When DEWA started the first phase of the 13 MW project, one of the main challenges was the price. DEWA has put in place a full mitigation plan to meet its requirements with world records low prices in solar s (5.6 cent / Kwh for Phase Two 200 MW project in 2015 and 2.99 cents/kWh for Phase Three 800MW project in 2016) and USD 7.3 cents (kW/h) for Phase Four 700MW CSP which is the lowest in the world based on the (IPP) model. DEWA has also reduced electricity line losses to 3.3% and Unaccounted-for Water to 8% as global benchmarks.”
Commenting on opportunities for development in Europe, and France in particular, inspired by the work that is done in the UAE, and opportunities for UAE companies, Al Tayer said, “We have very ambitious targets to achieve on both supply and demand sides. We give our top priority to achieve the happiness of society and all stakeholders. Our investments exceed AED 80 billion, by 2021 to meet the rapid growth, in Dubai. We are open for fruitful local and international cooperation and partnerships. We are expanding our projects and implementing energy projects with a capacity of up to 4,000MW, in cooperation with the private sector. Yearly we are commissioning 200 – 300MW from solar energy. DEWA is developing the 800-megawatt (MW) at the Mohammed bin Rashid Al Maktoum Solar park project in partnership with Masdar-led consortium and EDF Group’s subsidiary, EDF Energies Nouvelles. DEWA is also working with France’s EDF on the pumped-storage hydroelectric power station at the 250MW Hatta Dam. We are not only building PV and CSP power plants but we are working on curbing the demand for power and water 30% by 2030 through our DSM programmes which, among others, includes building retrofits and offers AED 30 billion up to 2030 investment opportunities for all including local and European companies. We are collaborating with EDF on R&D Projects: Energy storage technologies and integration, virtual power plant development with algorithms and Artificial Intelligence applications. Furthermore, we are collaborating with worldwide organizations on R&D including ENEL, ENREL, KEPCO, CENER, TATA among others. We are also working with French companies to develop solar cells installed on road surfaces to transform them into solar roads that produce clean energy. Our company Innogy IME is working with RAGNI, a leading French outdoor lighting company, to develop the Manarati Smart Street Lighting Pole that will have EV chargers, environmental sensors, speech interface, LED screens, PV, Radio-Mesh and Wifi. We developed a global energy startup accelerator program that connects the world’s most promising startups with leading utility companies from many countries around the world. We have established Jumeirah Energy International Silicon Valley, a company with the purpose of scouting for investment opportunities and contributing to the achievement of our objectives related to R&D, innovation and sustainability.”