UAE to spend $40 bln on water, power plants Imprimir
Escrito por Bisiness / Energy   
Lunes 15 de Junio de 2009 00:00

Oil money to Hidros

by Zawya Dow Jones

Emiratos ArabesThe United Arab Emirates will spend at least $40 billion in the next eight to 10 years on power and water projects, even as Dubai studies scaling down its demand projections, a senior official at an international water desalination organisation said Monday.

"We are talking significant investments to create a river of water," said Leon Awerbuch, chairman of the IDA Technical Programs at the non-profit International Desalination Association.

Abu Dhabi and Dubai plan to add combined water desalination capacity of at least 1 billion gallons in the coming 10 years, Awerbuch said.

Energy and water requirements have risen rapidly in the Arab Gulf region in recent years as governments have embarked on spending billions of dollars in oil revenues on developing industries and infrastructure to diversify their economies and to accommodate their growing populations.

"Abu Dhabi wants to almost double its desalination capacity, and that alone will require $20 billion," Awerbuch said. "Dubai will require $10 billion to $20 billion."

Dubai is revising its demand projections for power and water use, he added, as the emirate adjusts its plans amid a global economic downturn.

"They want to scale down demand projections, but even if they reduce, it still would be an investment of $10 billion," he said, adding that the emirate was seeking to install another 500 million gallons a day of desalinated water and 5,000 megwatts of power capacity.

The UAE is the second-largest user of desalinated water in the world, with Dubai securing more than 95 percent of its potable water by desalinating sea water from the Persian Gulf, according to the IDA.