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UAE signs contract with 7 international companies to set up national power grid

DUBAI - The UAE Minister of Electricity and Water, Humaid bin Nasser Al Owais on Wednesday signed a contract with seven companies from France, Japan and Sweden to establish the UAE National Power Grid (NPG) including power grids from Abu Dhabi, Dubai, Sharjah and Fujairah.

A ceremony was held at the Grand Hyatt in Dubai on Wednesday which was attended by the ministry officials and representatives from seven companies.

The entire project, scheduled to be completed in two years at a cost of Dh814 millions, is aimed at linking the electrical power networks in the emirates. The project will provide the necessary investment for exchange of power in case of emergency.

Speaking on the occasion, MrAl Owais said that the UAE national grid project is part of the power inter-connection throughout the Arab Gulf Cooperation Council Countries (AGCC). He added that the project would constitute an important addition to the infrastructure of the electricity networks and contribute significantly in satisfying the consumers' needs in the different economical sectors in the country.

Speaking to Khaleej Times, Engineer Waleed Suliman, Director of the project said that the seven companies have been chosen from a number of other bidders for the project.

These companies include Areva, VA tech, from France, TM T&D, Sumitomo from Japan, ABB from Sweden, Dubai-based Hyundai Consortium and Emirate Electricity Engineering.

He also said that the project was divided into seven parts including establishment of the main station in Al Dhaid which cost Dh291 million, expansion on Al Taweela station costing Dh42 million, expansion on Al Sajaa station in Sharjah costing Dh18.5 million, inter-connection lines to link Abu Dhabi, Dubai and Al Dhaid costing Dh 3,500 million, and establishment of a supervision and coordination centre to supervise the power exchange process cost nearly Dh33 million.

Mohammed Kassim, Deputy General Manager of Emirates Trading Agency said that the NPG is considered as one of the biggest power generation projects which will not only benefit UAE but all AGCC countries.