Aluminium smelter Emirates Global Aluminium (EGA) announced last week a partnership with Abu Dhabi National Energy Company PJSC (TAQA), Dubal Holding, and Emirates Water and Electricity Company (EWEC) to increase solar power use, optimize power generation, and cut carbon production at its aluminium operations in the United Arab Emirates.
Though official approvals have yet to be obtained, TAQA and Dubal Holding have agreed in principle to each purchase half of EGA’s power generation equipment and begin supplying power to the grid via an extended purchase agreement. The power that will be subject to the sale will run through EWEC’s infrastructure.
EGA’s 6,474 megawatts of produced power would increase TAQA’s power production total in UAE to 23 gigawatts, helping it to approach its goal of boosting overall output to 30 gigawatts by the end of the decade.
After the sale of its assets, EGA would become the grid’s single biggest buyer of electricity by virtue of a long-term sales agreement. A major part of that agreement will be a sizable fraction of clean energy generated by EWEC.
Abdulnasser Bin Kalban, Chief Executive Officer of EGA, said in a press release that the new arrangement was a major milestone in its journey to cleaner aluminium production.
“Sourcing cost-effective clean power from the grid will enable EGA to lead our global industry into a more sustainable future. Today, we are taking another historic step towards achieving net zero greenhouse gas emissions by 2050. We are also assuring that EGA’s global competitiveness will strengthen over the decades ahead, not only as the world’s largest ‘premium aluminium’ producer but also one of its most environmentally-responsible.”
“At TAQA, we have set out our plans for sustainable growth, and the potential acquisition of EGA’s power assets supports our 2030 ambitions to add value for our stakeholders while further supporting the UAE’s sustainability efforts,” explained Jasim Husain Thabet, Group Chief Executive Officer and Managing Director of TAQA. “Working together with EGA, Dubal Holding and EWEC, we will enable EGA to connect to a diverse energy mix as well as allow for the development of additional renewable energy projects in Abu Dhabi.”
Othman Juma Al Ali, Chief Executive Officer of EWEC, said the accord spoke well of EGA’s commitment to sustainability.
“This initiative supports EGA in making a powerful statement in their sustainability goals, and ensures EWEC can continue to significantly invest in our strategic clean energy initiatives and achieve greater efficiencies from our existing fleet through optimised operations. EWEC has overseen the development of the world’s current largest single-site solar power plant, Noor Abu Dhabi, and future world’s largest single-site solar power plant, Al Dhafra PV. Through this initiative we can secure new solar power generation capacity, diversify our power production portfolio with a focus on sustainability, and further advance our decarbonisation of the energy sector.”
“Supporting the environment through systematic and careful investments in green energy projects aligns with our broader investment strategy and mandate,” added Ahmad Hamad Bin Fahad, Chief Executive Officer of Dubal Holding. “There is a global alignment to reduce our carbon-footprint and we are excited to pursue this initiative by supporting EGA with its goal to achieve net-zero emissions by 2050. We are also encouraged to support the broader inter-Emirate cooperation in the energy sector as this will further boost both the local and larger UAE economy.”