< PreviousMasdar submits lowest bid for Dubai’s mega solar plant Egypt eyes $8BN investment to ramp up desalination capacity DEWA has received bids from ACWA Power and Masdar for the PV project Egypt aims for 8.8 million cubic metres per day desalination capacity by 2050 with new Investment M asdar has submitted the lowest bid of USD 1.62154 cents per kilowatt hour (kWh) for the 1,800MW 6th phase of the Mohammed bin Rashid Al Maktoum Solar Park in Dubai. Dubai Electricity and Water Authority (DEWA), the main off-taker, received bids from Saudi Arabia’s ACWA Power and Abu Dhabi’s Masdar. This phase of the solar plant will use photovoltaic (PV) solar panels and is based on the Independent Power Producer (IPP) model. It will become operational in stages starting from Q4 of 2024. DEWA has commenced the evaluation of the bids received and aims to select the Preferred Bidder during Q3 2023. DEWA commenced the procurement process of the 6th phase of the Mohammed bin Rashid Al Maktoum Solar Park by issuing an E gypt is set to achieve a desalination capacity of approximately 8.8 million cubic metres per day (m3/day) by 2050, with an estimated investment of $8 billion, Expression of Interest (EOI) on 14 September 2022, followed by issuing the Request for Qualification (RFQ) to twenty-three (23) interested bidders on 15 November 2022. Following a rigorous qualification process, DEWA prequalified seven (7) international bidders to whom the Request for Proposal (RFP) was issued on 30 December 2022. according to a senior government official. The target for 2050 covers 11 governorates, with the initial phase aiming to attain a desalination capacity of 3.3 million m3/day within the first five years of the program, by 2025. Subsequently, the capacity is expected to reach 5.9 million m3/day in the following phase, said Sayed Ismail, Egypt’s deputy minister of housing for infrastructure affairs, who was speaking at the Builders of Egypt forum in Cairo. The minister further highlighted Egypt’s interest in establishing long-term partnerships and attracting investments for water desalination projects. The government also plans to increase the treatment capacity of the 10th Ramadan Water Plant from 600,000 m3/day to 1.2 million m3/ day, as the plant serves neighbouring regions and parts of the new administrative capital. Currently, there are 560 wastewater treatment facilities already operational, with 503 facilities currently under construction, according to Ismail. Egypt is also home to 3,000 drinking water distribution plants, with a current production capacity of 33.6 million m3/day. 33.6M Water capacity 1.8GW Capacity of the 6th phase of MBR solar park 10 July 2023 www.utilities-me.com NEWS$100M Contract value NWC to award contract for Riyadh Water Strategic Plan phase Bahrain unveils Al-Dur 2 water and power plant EPC contract will be handed out by the fourth quarter of 2023 It is Bahrain’s inaugural utility to be integrated into the 400kV high-voltage transmission network S audi Arabia’s National Water Company is on track to award a mammoth engineering, procurement, and construction (EPC) contract worth a staggering $100 million. Industry insiders have revealed that this massive undertaking marks the second phase of the highly anticipated Riyadh Water Strategic Plan, codenamed Contract No. 5 - Phase 1. With the stakes at an all-time high, sources quoted by Zawya suggest that the EPC contract will be handed out by the fourth quarter of 2023, signalling a major leap forward for Saudi Arabia’s water infrastructure. This news comes hot on the heels of the release of the much-awaited EPC tender on June 4, 2023, setting off a frenzy among top industry players. The ambitious project aims to install a sprawling network of cutting-edge main water pipelines, boasting an extensive length of 48 kilometers. These pipelines will be constructed using state-of-the-art ductile iron pipes of various sizes, ranging from a 1000 mm down to 300 mm, ensuring unmatched efficiency and performance. A second insider has hinted at an awe- inspiring timeline, revealing that the project is slated for completion by the electrifying fourth quarter of 2025. As Saudi Arabia continues to cement its position as a global leader in water management, this groundbreaking initiative not only promises to revolutionise the water infrastructure in Riyadh but also serves as a testament to the nation’s unwavering commitment to progress and development. B ahrain has successfully launched the second phase of the colossal Al-Dur 2 Independent Water and Power Project (IWPP), valued at $1 billion. The new plant is an extension of Al Dur Phase 1 and features a power generation capacity of 1,500MW and a desalination capacity of 50 million imperial gallons per day (MIGD). It marks Bahrain’s inaugural utility to be integrated into the 400kV high-voltage transmission network. Bahrain’s overall production capacity now reaches a staggering 5,044 MW of electricity and 204 MIGD of desalinated water. The development of this project was spearheaded by an ACWA Power-led consortium that also included Mitsui and Almoayyed Contracting Group. ACWA Power Chairman Mohammad Abunayyan said that the project was executed on time and with a strong emphasis on sustainability. Phase 1 of the ambitious $2.1 billion Al Dur IWPP, with a capacity of 1,243MW and 48 MIGD, is currently managed by a consortium comprising ENGIE and Gulf Investment Corporation (GIC). www.utilities-me.com July 2023 11 NEWSD ubai-based energy products manufacturer, Ducab Group, has unveiled its state-of-the-art Smart Factory of the Future project, codenamed ‘Blade,’ which is expected to boost output volumes by 20% within two years. The initiative, which harnesses the power of the Fourth Industrial Revolution (Industry 4.0), is expected to fast-track the adoption of smart manufacturing in the region. According to Ducab, the Blade initiative promises to propel the national industrial sector to new heights, leveraging the prowess of artificial intelligence, data analysis, and smart supply chain management. The project was a result of the company’s commitment to quality products and the advancement of the UAE’s industrial landscape Mohammad Almutawa, Group CEO at Ducab, highlighted the company’s pioneering role in embracing Industry 4.0 breakthroughs. Ducab senior officials and industry leaders discussed the potential of Blade during its launch in Dubai last month “Ducab’s dedication to staying ahead of the curve has enabled us to deliver exceptional customer service by reducing delivery times compared to market standards,” said Almutawa during the launch of Blade in Dubai last month at an event organised in partnership with MEED. Abdullah Al Shamsi, Assistant Undersecretary for the Industrial Development Sector at MoIAT pointed out the alignment between Ducab’s digital platforms and the National Strategy for Industry and Advanced Technology, affirming the company’s pivotal role in achieving the objectives of ‘Operation 300bn.’ “The partnership between MoIAT and Ducab demonstrates a shared commitment to foster digital transformation and accelerate the adoption of cutting-edge Industry 4.0 technologies,” said Al Shamsi. With Blade at the helm, Ducab is poised to revolutionise manufacturing operations by integrating transformative Industry 4.0 technologies, including the Internet of Things (IoT), cloud computing, big data analytics, artificial intelligence (AI), and machine learning. This bold endeavour is expected to boost output volumes by an impressive 20% within two years, driving customer service levels to an outstanding 99% and enhancing overall equipment efficiency (OEE) by 20% in just one year. Blade’s influence extends beyond productivity improvements. The project aims to decrease machine downtime by a staggering 30% within a year while reducing inventory holding costs by 20% and quality-related expenses by 10%, all within the same timeframe. Ducab’s commitment to sustainability and cutting-edge advancements is set to reshape the industry landscape, reduce waste, save energy, and contribute to the UAE’s ambitious Net Zero by 2050 initiative. Blade: Ducab unveils smart initiative to boost output Blade harnesses the power of the Fourth Industrial Revolution (Industry 4.0) 12 July 2023 www.utilities-me.com SMART INNOVATIONEmail - snarula@dmsglobal.net UAE Cell & +97150 6518010 CONTACT Sundeep Narula Chief Commercial Officer +971 249 161 71 (UAE Office) +973 17 405 590 (Bahrain Office)A s African nations seek to minimise energy poverty, they find themselves at a unique crossroads in 2023. While most are faced with a woeful lack of power-generating infrastructure, they could very well have an unprecedented bounty of options to solve that problem going forward. Fossil fuel technology will remain an important part of the solution, but renewable energy sources are poised, both technologically and politically, to begin filling the gaps. Additionally, Africa’s climate and geography are ideally suited to take advantage of renewable energy, giving the continent a bright outlook for growth in this sector over the coming decades, particularly in the area of green hydrogen. Moving in the Right Direction Natural gas is the largest source of power in Africa at 45% in 2023, and will likely remain above 40% at least through 2030 with an upstream gas potential north of 450 trillion cubic feet (tcf) still in development. The majority of Africa’s renewable energy capacity has been driven by projects mainly in Egypt, Morocco, Mauritania, and South Africa. “Our continent’s 2023 renewable energy capacity, defined as solar, wind, and hydrogen electrolyser in our report, is expected to reach 21.5 gigawatts (GW) this year and increase to nearly 30 GW by 2025,” says NJ Ayuk, Executive Chairman, African Energy Chamber. That upward trend will become more pronounced going forward as new solar and wind projects come online in Morocco, Algeria, and Ethiopia, along with project expansions in Egypt and South Africa. The total capacity of all projects currently on the board—including those still in the concept phase — should peak above 280GW by around 2035-2036. Then there’s hydrogen capacity, also picking up in Africa. “Our continent is expected to provide as much as 7% of global hydrogen capacity by 2035,” Ayuk adds. Green Hydrogen’s Huge Potential Hydrogen has long been recognised as a powerful and clean-burning source of energy, but it isn’t readily available on Earth in gaseous form, and separating it from water takes a lot of energy in its own right. Burning oil and coal to make hydrogen never made good economic sense, and difficulties with storage and transport only added to the disincentives. Such “brown” hydrogen in Africa today is mainly used in the production of ammonia-based fertilizer. “The recent growth in renewables, however, has given new hope to those who dreamed of abundant carbon-free hydrogen,” Ayuk explains. “By using solar and wind energy to produce green hydrogen, clean energy begets more clean energy, and hydrogen can then carry the load when the wind won’t blow and the sun won’t shine, neutralising one of the biggest criticisms of renewables.” According to the AEC report, Namibia has signed hydrogen export agreements with Germany and South Korea, Mauritania is building its pipeline capacity, and South Africa controls about 90% of the world’s reserves of Africa’s Renewable Energy: Looking Ahead Africa’s climate and geography are ideally suited to take advantage of renewable energy, giving the continent a bright outlook for growth in this sector over the coming decades 14 July 2023www.utilities-me.com NEWS ANALYSIS30 GW Hydrogen Electrolyzer capacity by 2025 “ The recent growth in renewables has given new hope to those who dreamed of abundant carbon-free hydrogen” NJ Ayuk, African Energy Chamber platinum group metals, which are critical for the manufacture of polymer electrolyte membrane electrolyzers. CWP Global, the largest renewable energy producer in Africa with nearly 25% of current announced capacity, is working along with North American company Bechtel on projects in Mauritania, Morocco, and Djibouti totalling 88.5 GW capacity when completed. The growth in hydrogen could boost Africa to 7% of global renewables capacity by 2035. The International Energy Agency (IEA) in its Africa Energy Outlook 2022 stated that global declines in the cost of hydrogen production could allow Africa to export green hydrogen to Europe at internationally competitive prices by 2030. Getting There Realising the potential of renewable energy and green hydrogen in Africa will take more than just throwing money at the problem. “African nations need to lay the economic, legal, and political frameworks necessary for this new industry to grow and thrive—and to ensure that African people, businesses, and communities realize the economic opportunities a renewable energy industry will offer,” says Ayuk. National planning and sound regulation will be needed to provide stability and accountability. Incentives will help mobilise private sector investment, and pilot projects can demonstrate the viability of the technology to both investors and the public. Domestic and international import/export partnerships based on market principles will build demand, as will public education about the benefits of renewable energy. Education to build a skilled African workforce that can maintain, develop, and innovate these technologies without heavy reliance on foreign suppliers is also a crucial element for energy independence. Building human capital is as important as building physical infrastructure if this endeavor is to succeed. Though fossil fuels are far from dead and still have an important place in Africa’s energy mix, renewable energy will play an increasingly important role in Africa’s future. By capitalizing on its greatest natural assets and partnering with an eager and hungry international market, Africa can ensure a prosperous future where millions of people can finally turn on the lights. Despite Africa’s huge fossil fuel reserves, renewable energy is gaining momentum as a source of power Hydrogen is crucial to the future of clean energy and energy security in Africa www.utilities-me.com July 2023 15 NEWS ANALYSIST he global energy crisis has become multidimensional, inflicting a capital crunch and leading to a drastic decline in investment levels, a renowned professional services company has revealed in a report. The report by GHD has uncovered a perfect storm of shocks hitting the energy sector due to the energy crisis that has gripped the world for the past three years. Dubbed “SHOCKED,” this study, one of the largest ever conducted among energy sector leaders, sends shockwaves through the industry. An astonishing 94% of energy leaders surveyed believe that the current energy crisis is the most severe their market has ever witnessed. The consequences are dire, with energy sector CFOs estimating a staggering $203 billion decrease in investment levels between 2020 and 2022 compared to the expected levels. Market volatility and geopolitical tensions have pushed energy security to the forefront of global concerns. A striking three-quarters of energy leaders express their utmost worry about energy security, making it their top priority. The implications of this crisis ripple far beyond economic realms. Societal pressure on the energy sector to deliver reliable, “The UAE has recognised the importance of diversification and has significantly bolstered investments in energy transition projects” Tom Foley, GHD affordable, and low-carbon energy has reached unprecedented levels. A massive 74% of energy leaders believe that energy prices are currently the primary driver of inflation, while 76% assert that the energy crisis is eroding the global standard of living. While the urgency for a transition to net- zero emissions continues, progress has been hampered by the intricate dynamics at play. 42% of respondents confirm that the energy crisis has expedited their organizations’ net-zero plans by an average of five years. However, a significant 47% state that the crisis has pushed back their net-zero targets by an average of six years. Energy crisis creates unprecedented shockwaves, new energy priorities While the urgency for a transition to net-zero emissions continues, progress has been hampered by the intricate dynamics at play, including the global energy crisis Energy security is a major priority 16 July 2023 www.utilities-me.com NEWS ANALYSISAmidst this turmoil, the volatility in natural gas prices has compelled energy companies to diversify their energy assets. A staggering 70% of energy sector leaders admit that the past year’s fluctuating natural gas prices have accelerated their adoption of renewable energy generation assets. Tom Foley, Executive Director (UK, Europe & Middle East) Future Energy at GHD, highlights the UAE’s proactive approach: “Despite being a prominent global oil producer and thus less vulnerable to supply shocks, the UAE has recognised the importance of diversification and has significantly bolstered investments in energy transition projects.” GHD’s research underscores this, revealing that 61% of UAE energy companies have expedited their investments in expanding their renewable energy portfolios. As the host of COP28 later this year, international expectations are high for the UAE to uphold its net-zero aspirations and spearhead the energy transition. Looking towards the future, GHD and energy leaders have identified five critical priorities to navigate the energy transition and mitigate risks: • Priority 1: Unlocking money and markets - Smart planning, permitting, policy, and regulatory frameworks are vital to attract capital flows into energy projects • Priority 2: Supercharging engineered solutions - Incorporating well-designed principles into new and existing energy infrastructure will enhance system resilience • Priority 3: Balancing supply chains and resources - Access to new raw materials, $203BN Decrease in energy investments during 2020-2022 revamped supply chains, and a skilled workforce are crucial for a successful transition • Priority 4: Securing community understanding and acceptance - Engagement and education efforts at both macro and community levels are necessary to gain social acceptance for vital projects • Priority 5: Ensuring a just transition - A fair and balanced transition must distribute the costs equitably among countries and communities, leaving no one behind. As the energy crisis continues to reverberate worldwide, it is imperative for the industry to heed these priorities and forge a path toward a sustainable future. Indeed the future looks brighter as the energy sector navigates uncharted waters, striving to overcome this unprecedented global challenge. www.utilities-me.com July 2023 17 NEWS ANALYSISWhat was the main highlight of Al Masaood Power at the recently concluded Sea-trade Maritime Logistics Middle East 2023? At the Seatrade Maritime Logistics Middle East 2023, the main highlight for Al Masaood Power was the unveiling of our updated product portfolio, which featured the MTU Hybrid Propulsion Solutions Model from Rolls Royce Solutions. This innovative model consists of a hybrid propulsion configuration with E-drive, switchboard, and an onboard generator set. Additionally, we showcased the state-of-the- art Volvo Penta D13 engine with IPS and IMO III, a superior choice for high-performance, energy-efficient commercial marine applications. How is Al Masaood Power supporting the maritime sector? Al Masaood Power is actively supporting the maritime sector by investing in and collaborating with existing and new partners to offer solutions that reduce carbon emissions through the use of cutting-edge, efficient engines. Furthermore, the company is investing in the development of energy-efficient systems, such as marine hybrid propulsion solutions that incorporate battery storage and electric drive technologies, ultimately contributing to CO2 reduction. Al Masaood Power unveils cutting-edge hybrid propulsion solutions at Sea-trade Maritime Logistics Middle East 2023 Rasso Jörg Bartenschlager, General Manager, Al Masaood Power Division speaks to Utilities Middle East on how the company is reshaping the future of the marine industry with game- changing solutions 18 July 2023www.utilities-me.com INDUSTRY TRENDSRasso Bartenschlager: GM Al Masaood Power Division What solutions are in place to drive efficiency within the maritime sector? To drive efficiency within the maritime sector, Al Masaood Power offers a diverse portfolio of existing and upcoming solutions designed to reduce emissions. These include products and systems capable of operating on low-carbon fuels, hybrid and all-electric propulsion systems, exhaust after-treatment, and clean energy sources. Additionally, the company provides guidance on mapping and improving energy efficiency, as well as optimization strategies. in their portfolio that enable seamless connection and visualisation of equipment efficiency and usage. Another significant trend is the decarbonisation of the maritime industry, which the company’s solution portfolio supports through low-carbon fuel, hybrid, and fully electric solutions. Technology and data are key enablers in driving this change. How is Al Masaood Power enabling sustainability across the division? We are committed to promoting sustainability by investing in the design and engineering of renewable energy solutions, such as solar power, to offer cleaner energy alternatives. The company has established its own brand, SHAMS+, which focuses on delivering green energy solutions. The portfolio under this brand includes green mobility charging solutions for electric vehicles, light and heavy-duty vehicles, marine vessels, and drones. These concepts are also applied to stationary and mobile energy sources. Furthermore, we are exploring the hydrogen supply chain to identify potential opportunities in electrolysers, fuel cells, and required accessories, aiming to support a green economy alongside the fossil fuel- driven industry. What are the new demand trends from the maritime market, and how is Al Masaood Power responding to them? The maritime market is witnessing a growing demand for digitisation and connectivity. Al Masaood Power is addressing this trend by offering solutions www.utilities-me.com July 2023 19 INDUSTRY TRENDSNext >