The UAE needs to invest around Dh80 billion in projects in the next eight years to expand its power generation capacity to meet a rapid rise in consumption, a government official was quoted on Wednesday as saying.
But the country, the second largest Arab economy, should also cut its power consumption rate to preserve economic resources and save funds, said Rashid Al-Khadeem from the Federal Electricity Authority.
Khadeem, who was speaking at a seminar organised by Ajman Chamber of Commerce and Industry on Tuesday, said the UAE is one of the largest electricity consumers in the world relative to its population.
"To meet this rapid growth in demand, the UAE needs to pump nearly Dh80 billion in the coming eight years to expand its electricity production...these investments should also be prompted by an expected upswing in the real estate and industrial sectors," he said, quoted by Alkhaleej newspaper.
Independent estimates show the UAE and other Gulf oil producers are among the largest consumers of electricity and water in the world because of their hot weather, high growth in some sector, and a rapid increase in their population. They put growth in the two sectors at over 10 per cent over the past 10 years.
To save power and funds, the six Gulf Cooperation Council (GCC) nations, which sit atop 45 per cent of the world's proven oil wealth, have joined hands in setting up the Middle East's largest common power grid at a cost of more than $1.5 billion. The network, which is nearly completed, will save large funds, conserve consumption and ensure power needs of any member in distress.
By Staff
© Emirates 24|7 2010
