Dewa gets nine bids for carbon capture scheme

Dubai: The Dubai Electricity and Water Authority (Dewa) has received nine bids from international utilities, banks and carbon funds for its Clean Development Mechanism (CDM) project that will help reduce its carbon footprint.

BNP Paribas, EDF Trading, First Climate, Macquarie Bank, Masdar, RWE, Shell Trading, Trading Emissions/EEA and Vitoil have submitted bids under a tender floated by Dewa last October.

The project is part of Dewa's strategic goals towards renewable and environmental initiatives which will have significant importance in determining its contribution to a sustainable UAE carbon credit programme, and in compliance with the Designated National Authority (DNA).

Saeed Mohammad Al Tayer, managing director and chief executive of Dewa, said: "As a follow-up to the open tender for the acquisition of Clean Development Mechanism project opportunities in Dubai, published in October of 2009 regarding Dewa projects eligible for UNFCCC [United Nations Framework Convention on Climate Change] compliance, we have the pleasure to announce the receipt of nine interesting bids."

The initial evaluation of the offers resulted in Dewa entering into negotiations with some of these companies, he said. The bids offered a variety of potential opportunities for Dewa. It is expected to invite some of the other companies for further discussions.

Investor interest

"The content of the technical and commercial proposals was of a high level. It furthermore confirmed that there is a significant appetite by local and foreign utilities, banks, funds, traders and financial institutions to invest in Dubai's environmentally friendly and sustainable economic projects," he said.

Meanwhile, Dewa yesterday reiterated its efforts to rationalise the consumption of electricity and water during Wetex 2010.

A Dewa statement said it aims to highlight the importance of the rational consumption of energy resources and how it is reflected on the community through the regulation of applications to ensure the efficient use of these utilities.

At the exhibition, it showcased its projects that will contribute to rationalising the use of electricity and water to reduce the greenhouse gas emissions.

Greenhouse gases are gases in an atmosphere that absorb and emit radiation within the thermal infrared range.

The burning of fossil fuels since the Industrial Revolution has increased the levels of greenhouse gases in the atmosphere.

"Through its platform at the exhibition, Dewa demonstrates its position and strategy, to convey its message that focuses on the need to unify ideas and selection of technologies that will lead to a significant reduction of electricity and water consumption and wastage, and set a definition to these smart technologies," the statement said.