Abu Dhabi: EWEC (Emirates Water and Electricity Company) has announced the signing of a Power Purchase Agreement (PPA) for the Shuweihat 1 (S1) power project. The agreement marks a significant step in the company's strategic effort to accelerate Abu Dhabi and the UAE's energy transition.
According to Emirates News Agency, the PPA will see S1, located in the Al Dhafra region, reconfigured from a cogeneration power and water desalination facility to a power plant only. This transformation will provide a flexible reserve supply to support the integration of renewable and clean energy sources. The facility, which has been operational since 2005 under a 20-year agreement, will continue operations beyond its original 2025 conclusion.
Ownership of the plant is shared among Abu Dhabi National Energy Company (TAQA), which holds a 60 percent stake, and ENGIE and Sumitomo, each with a 20 percent stake. These companies will also manage the operations and maintenance of the plant, with TAQA owning 30 percent of the O and M company and ENGIE and Sumitomo owning 35 percent each.
The new PPA will see the decommissioning of the water desalination component, converting S1 to a natural gas-fired open-cycle power plant. This will provide up to 1.1 gigawatts of flexible reserve supply for 15 years, starting commercial operations in 2027. The reconfiguration supports the UAE's transition towards net zero and ensures reliability during peak demand periods while minimizing carbon emissions.
Mohamed Al Marzooqi, EWEC's Chief Asset Development and Management Officer, emphasized the project's role in maximizing infrastructure use and reducing carbon emissions. Andreas Collor of TAQA highlighted the importance of flexible gas power generation in the energy mix, while Niko Cornelis of ENGIE and Jun Minase of Sumitomo reaffirmed their commitment to the UAE's energy transition goals.