UAE Considers Building Second Nuclear Power Plant

18 Jul 2024 CW Team

The United Arab Emirates is weighing the construction of a second nuclear power plant to address the rising energy needs of the oil-rich Gulf state, a government official has revealed to Reuters.

The country, home to a population of around 10 million, has emerged as a proponent of nuclear power as a low-carbon energy source, seeking to diversify its economy and attract foreign investment. Its first nuclear plant began commercial operations in 2021.

Any contract for a new nuclear power plant would be worth tens of billions of dollars and could attract bids from major players like China, Russia, and the United States, among others.

As the final reactor of the UAE's sole existing nuclear plant is set to start commercial operations this year, Hamad Alkaabi, the UAE's Ambassador to Austria and Permanent Representative to the UN's nuclear agency, said the government is actively exploring the option of building a second plant.

"The government is looking at this option. No final decision has been made in terms of the tender process but I can tell you that the government is actively exploring this option," Alkaabi said.

The government's projections indicate a substantial increase in electricity use over the next decade, driven by population growth and an expanding industrial sector. While the government has yet to budget for a second power plant or decide on its size or location, Alkaabi suggested that a tender could be issued as early as this year.

Any new power plant would likely consist of two or four reactors, and the size would depend on the build and technology. Alkaabi noted that South Korea, which built the existing plant, would not be treated as a favored bidder for the potential tender.

The UAE awarded a $20 billion contract to Korea Electric Power Corporation (KEPCO) in 2009 to design, build, and operate the four reactors at the Barakah power plant in Abu Dhabi, near the border with Saudi Arabia. Each of the plant's reactors has a capacity of 1400 megawatts, with a total combined capacity of 5600 megawatts.

The UAE has had discussions with major developers of nuclear energy technology but has not named them, Alkaabi said. The country's nuclear program is aimed at decreasing its reliance on oil and is solely for energy purposes, with the UAE buying the fuel it needs for its reactors from the international market to avoid enriching uranium.

The United Arab Emirates is weighing the construction of a second nuclear power plant to address the rising energy needs of the oil-rich Gulf state, a government official has revealed to Reuters. The country, home to a population of around 10 million, has emerged as a proponent of nuclear power as a low-carbon energy source, seeking to diversify its economy and attract foreign investment. Its first nuclear plant began commercial operations in 2021. Any contract for a new nuclear power plant would be worth tens of billions of dollars and could attract bids from major players like China, Russia, and the United States, among others. As the final reactor of the UAE's sole existing nuclear plant is set to start commercial operations this year, Hamad Alkaabi, the UAE's Ambassador to Austria and Permanent Representative to the UN's nuclear agency, said the government is actively exploring the option of building a second plant. The government is looking at this option. No final decision has been made in terms of the tender process but I can tell you that the government is actively exploring this option, Alkaabi said. The government's projections indicate a substantial increase in electricity use over the next decade, driven by population growth and an expanding industrial sector. While the government has yet to budget for a second power plant or decide on its size or location, Alkaabi suggested that a tender could be issued as early as this year. Any new power plant would likely consist of two or four reactors, and the size would depend on the build and technology. Alkaabi noted that South Korea, which built the existing plant, would not be treated as a favored bidder for the potential tender. The UAE awarded a $20 billion contract to Korea Electric Power Corporation (KEPCO) in 2009 to design, build, and operate the four reactors at the Barakah power plant in Abu Dhabi, near the border with Saudi Arabia. Each of the plant's reactors has a capacity of 1400 megawatts, with a total combined capacity of 5600 megawatts. The UAE has had discussions with major developers of nuclear energy technology but has not named them, Alkaabi said. The country's nuclear program is aimed at decreasing its reliance on oil and is solely for energy purposes, with the UAE buying the fuel it needs for its reactors from the international market to avoid enriching uranium.

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