Mena plans $250bn power projects in 5 years
Doha, January 12, 2013
The Middle East and North African (Mena) countries are likely to pump in $250 billion into power projects over the next five years to expand generation capacity and meet the growing domestic demand, said experts ahead of a major industry event in Qatar.
Power-Gen, one of the most important events of its kind in the region, will be held at Qatar National Convention Centre under the patronage of Dr Mohammed bin Saleh Al-Sada, Qatar’s Minister of Energy and Industry from February 4 to 6.
The event will explore new venture investments, intellectual property, enhanced technology solutions, management skills and innovative new products, said the event organisers, the British PennWell Corporation.
Significant energy-related projects as part of the 200 planned and announced ventures valued between $100 million and $20 billion will be major points of discussion at the event, they added.
According to an official Arab group, the Gulf Cooperation Council (GCC) countries are expected to pump more than $63 billion into electricity projects over the next five years to expand their power generation capacity to meet growing domestic demand.
The six countries, which control 40 per cent of the world’s recoverable oil resources, will add nearly half the expected additional power generation capacity in the region, said a study by the Dammam-based Arab Petroleum Investment Corp (Apicorp).
It estimated the total capital in power generation in Mena at $147.5 billion during 2013-2017 to add about 123.9 GW of electricity while the rest could cover water projects.
“A regional breakdown shows that about 43 per cent of that expansion in Mena region is expected in the GCC, which remains the fastest growing area. This should come as no surprise, taking into account its record rates of urbanization and the massive requirements for water desalination and air conditioning,” said the study.
The study put investments in power projects at around $63.1 billion in the GCC, $36.8 billion in Mashreq (east) Arab nations, $21.4 billion in Iran, $14.6 billion in Maghreb Arab countries and nearly $2.3 billion in other Arab nations.
The study pointed out that many countries in the region have been struggling to meet demand as a result of high population growth, record levels of urbanization, sustained economic growth and pressing needs for air conditioning and sea water desalination.
In a separate study, Apicorp said the GCC is projected to record the highest power demand growth of around 8.5 per cent in the region in the medium term.
It put growth at 7.6 per cent in Mashreq (Egypt, Iraq, Jordan, Lebanon and Syria), 7.2 per cent in other Arab states, seven per cent in Iran and 6.5 per cent in Maghreb (Algeria, Libya, Mauritania, Morocco and Tunisia).
More than 60 distinguished delegates from over 20 countries will speak about a variety of issues, including the challenges and opportunities for power project development, maximizing today’s grid potential and tomorrow’s alternatives, renewable energy technologies and integration and operation and maintenance.
Delegates and visitors will also have the opportunity to view first-hand innovative and cutting-edge products and technologies by over 135 leading regional and international companies including ABB, Ansaldo Energia, Bilfinger Berger Power Service, Doosan Heavy Industries & Construction, Fata EPC division of Fata SpA, Northern Technical and SPX.
“We expect a very successful event as our esteemed speakers from the GCC region and around the world present innovative thinking for discussion, debate and deliberation about business, technology and financial challenges required for energy efficient development, investments and partnerships,” remarked Debbie Stanford-Kristiansen, international events director, PennWell Corporation – Middle East.
“We are also delighted to present an unparalleled exhibition that will showcase some of the most innovative technologies and viable, sustainable solutions to meet the region’s growing energy challenges by leading established and growth companies,” she added.-TradeArabia News Service