Abu Dhabi National Oil Company (ADNOC) and Dubai Supply Authority (DUSUP) have signed a landmark gas sales agreement to supply Dubai with natural gas to be used in generating electricity.
The agreement showcases UAE’s commitment to progressive and pragmatic climate action and reinforces ADNOC’s role in enabling a responsible energy transition.
Under the agreement, ADNOC will supply DUSUP with natural gas, which will be used instead of clean coal for electricity generation at Dubai Electricity and Water Authority (DEWA)’s Independent Power Producer (IPP) Hassyan Power Complex, further reducing carbon emissions from the power generation process. This supports the UAE Net Zero by 2050 Strategic Initiative and its plans to generate electricity from cleaner energy sources.
It was signed at Qasr Al Watan by H.H. Sheikh Ahmed bin Saeed Al Maktoum, Chairman of the Dubai Supreme Council of Energy and Director-General of DUSUP, and Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO.
Sheikh Ahmed bin Saeed Al Maktoum Director-General DUSUP
“This agreement supports the vision and directives of the wise leadership to turn Dubai into a carbon-neutral economy and provide 100 percent of Dubai’s total power generation capacity from clean energy sources by 2050. This agreement further strengthens energy cooperation between Abu Dhabi and Dubai, building on the foundations originally laid in 1998 and reinforced over the years, to expand the breadth and depth of our energy relations. While many countries around the world are returning to coal as a result of geopolitical uncertainty and energy price volatility, the UAE is delivering on its commitment to decarbonize its power sector.”
Dr. Al Jaber stated that in line with the directives of the UAE’s wise leadership, ADNOC is advancing its efforts to harness Abu Dhabi’s vast natural gas resources to meet the world’s growing demand for this important transition fuel and enable a responsible energy transition.
The Hassyan Power Complex was initially built as a dual-fuel plant with the ability to operate full-time at full load on both natural gas or clean coal but has been transformed to run only on natural gas. The present net electricity generation capacity of Hassyan Power Complex is 1,200 megawatts (MW). A further 600 MW (net) is scheduled to be added in Q4 of 2022 and an additional 600 MW (net) will be added by Q3 of 2023.
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