UAE revises energy strategy in view of competitive PV prices

UAE Dune

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The United Arab Emirates looks set to increase its use of solar energy in its power grid and for hydrogen production, according to Bloomberg.

Local energy companies Abu Dhabi National Energy Co. (Taqa) and Masdar Abu Dhabi Future Energy Co. have offered to supply solar power at a record-low price, the news agency reported, citing Sharif Al Olama, under-secretary at the UAE’s Ministry of Energy & Infrastructure.

The companies have said they can sell power at $0.0135 per kilowatt-hour from a new 2 GW PV plant in Abu Dhabi. Taqa and Masdar are partnering with Electricite de France SA and China’s Jinko Power Technology Co.

Al Olama said Monday that the UAE was “revising and refreshing our energy strategy and roadmap,” adding: “These kinds of prices are very competitive.”

The under-secretary said lower solar prices could also facilitate production of green hydrogen in the UAE. While increasingly seen as a viable energy source in the face of climate change, green hydrogen is costly to produce.

The competitive prices of solar PV could form part of the UAE's future hydrogen strategy, Al Olama added.

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