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UAE and Uzbekistan discuss $3 billion power sector investment

May 23, 2023 at 2:38 pm

The Abu Dhabi National Energy Company (TAQA) logo [Rafael Henrique/SOPA Images/LightRocket via Getty Images]

The Abu Dhabi National Energy Company, TAQA, has signed agreements with the government of Uzbekistan worth $3 billion to invest in the Central Asian country’s power sector. The investment includes the construction of a new power station with a capacity of approximately 1.5 gigawatts.

According to Saudi Arabia’s Al-Sharq TV, under this new partnership TAQA expects to conduct all work related to plant design, financing, engineering, procurement, outsourcing, testing, ownership and operation.

TAQA said that another agreement has been signed as part of exploring investment opportunities in a number of existing power plants and other new gas-fired plants with a total capacity of more than 3 gigawatts, as well as electricity transmission and distribution infrastructure in Uzbekistan. The company statement referred to the signing of another joint development agreement between the Ministry of Energy and the Ministry of Investment, Industry and Trade in Uzbekistan, and the Abu Dhabi Future Energy Company (Masdar).

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The agreement aims to develop solar and wind energy power generation projects with a total capacity of more than 2 gigawatts, and energy storage using batteries with a capacity of 500 MWh in several locations throughout Uzbekistan.

Gulf companies implement traditional and renewable energy projects in Uzbekistan. Saudi Arabia’s ACWA Power is leading the implementation of a group of renewable energy projects. The Saudi company announced recently the signing of a hydrogen purchase agreement and a renewable energy purchase agreement with Uzbekistan to the value of $100 million.