Dubai $6.4bn 2016 Power Spend

The Dubai Electricity and Water Authority (DEWA) plans to spend Dh23.66bn ($6.4bn) in 2016, up 3.4% on the Dh22.87bn allocated for 2015.

Of the 2016 budget, Dh8.72bn ($2.37bn, 36.9% of the total) will be allocated to capital expenditure and projects, compared with Dh8.03bn ($2.19bn) in 2015.

While the authority says it has launched independent power producer (IPP) projects worth a total Dh27bn ($7.35bn) to boost generating capacity over the longer term, the largest component of this year’s largest capex outlay will be on transmission and distribution capacity.

The 2016 capital budget includes spending of Dh2.96bn ($810mn) on generation, Dh3.42bn ($930mn) on power transmission, Dh1.21bn ($330mn) on power distribution and Dh1.04bn ($280mn) on “water and civil,” says DEWA Chief Executive Muhammad al-Tayir. (CONTINUED - 286 WORDS)