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1,200 MW PROJECT

Officials announce the preferred bidders.

Harbin, Acwa poised to win Dubai clean coal power plant deal

DUBAI, October 13, 2015

A consortium including China's Harbin Electric and Saudi Arabia's Acwa Power has been chosen as the preferred bidder to build and operate a 1,200 MW clean coal power plant in Dubai, UAE, state utility Dubai Electricity and Water Authority (Dewa) said.

Harbin Electric and Alstom of France will build the plant while those companies as well as Acwa and US-based NRG Energy will operate it, Dewa said on Tuesday.

The plant is the first phase of the Hassyan clean coal project. One unit of 600 MW is to be operational by March 2020 and another unit of the same size by March 2021.

The consortium bid to provide electricity at a levelised cost of 4.501 US cents per kilowatt hour based on May 2015 coal prices, Dewa said.

Meanwhile, Acwa Power  chief executive Paddy Padmanathan said the consortium plans to secure a loan of about $1.4 billion to help finance the project.

Padmanathan said the total cost of phase one would be $1.8 billion and that the consortium was working with a Chinese export credit agency and a range of banks to obtain the $1.4 billion loan.

The banks include Industrial and Commercial Bank of China, Bank of China, Standard Chartered and Abu Dhabi's First Gulf Bank, he said.

Dubai state utility Dubai Electricity and Water Authority is to own 51 percent of the venture that will be established to build and operate the power plant.  - Reuters




Tags: Dewa | Acwa |

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