Dewa signs contracts worth Dh3.13b to expand infrastructure

Dubai: The Dubai Electricity and Water Authority (Dewa) yesterday signed six contracts with a combined value of Dh3.13 billion to expand the emirate's utility infrastructure, Saeed Mohammad Al Tayer, Managing Director and CEO of Dewa, said at the Wetex 2010 exhibition.

Of these, France's Areva T&D SA received the biggest contract, worth Dh1.03 billion, to supply, install, test and commission three 132/11 KV substations.

"In line with Dewa's master-plan, we found that there is a need to develop our infrastructure and to produce adequate amounts of water and electricity," Al Tayer told Gulf News on the sidelines of a press briefing.

Assets

Dewa's assets are valued at more than Dh74 billion and the combined bookvalue of its projects is worth Dh30 billion, Al Tayer said.

About 80 per cent of these projects are nearing completion.

The ceremonies started with the signing of a contract with AAB Industries worth Dh250 million.

Among the major deals, Ghantoot Gulf Contracting won a Dh820 million contract to supply, install, test and commission Glass Reinforced Epoxy Water Transmission Pipelines and associated works in Dubai.

Al Tayer said: "We did achieve a lot of major projects with the same contractors in the past.

"Within two months, we will go ahead with these development projects, although there might be some delays in construction work."

Dewa is expanding capacities based on the demand growth projections.

"We are boosting the power supply to meet rising demand from the growing population as well as the system growth," Al Tayer said.

Dewa, Dubai's lone power and desalinated water producer, powers more than 530,000 customers with electricity while the number of water customers stands at 469,000, part of a 1.5 million population.

Dewa plans to launch a roadshow to raise $1.5 billion through a bond programme from March 15 in Europe and the United States, to power its future projects. The government will not guarantee the bonds, Al Tayer said.