Energy

Standard Chartered finances Abu Dhabi's Waste-to-Energy Project

Standard Chartered leads financing for Abu Dhabi's pioneering Waste-to-Energy Project, supporting UAE's sustainability goals and innovation. (Image source: Adobe Stock)

Standard Chartered has announced the successful financing for Abu Dhabi’s Waste-to-Energy Project, marking Abu Dhabi’s first venture into large-scale waste-to-energy conversion

This significant project is being procured jointly by Tadweer Group and Emirates Water and Electricity Company (EWEC) and will be developed as a collaboration between Tadweer Group and an international consortium comprising of Marubeni, Hitachi Zosen Inova (HZI) and Japan Overseas Investment Corporation for Transport & Urban Development (JOIN).

Transformative waste solution

The Waste-to-Energy Project will be constructed as a multiline facility with the capability to treat 2,700 tons of municipal solid waste per day, equivalent to 900,000 tons per annum. This project aligns with the UAE’s broader environmental objectives by reducing landfill usage and promoting renewable energy. The project is integral towards helping divert 80% of waste in Abu Dhabi from landfills by 2030 and to showcase the value of waste as an energy source to reduce environmental pollution. Net emissions of up to 1 million tons of CO2 per year are envisaged to be saved by the project.

Rola Abu Manneh, CEO, Standard Chartered UAE, Middle East and Pakistan, commented, “We are delighted to spearhead the financing for Abu Dhabi’s first waste-to-energy project. This initiative is a crucial step forward that demonstrates our commitment to supporting the UAE’s sustainability goals. By converting waste into energy, we are not only addressing waste management issues but also contributing to the generation of low carbon energy solutions. This project exemplifies the innovative and forward-thinking approach the UAE leadership has put in place to tackle the environmental challenges we face today, and we are proud to be part of the country's journey towards achieving the 2050 Net Zero objective."

Standard Chartered played a pivotal role in this project from its inception. The bank supported a Japanese consortium comprising Marubeni, HZI and JOIN. From the pre-bid stage, Standard Chartered acted as the sole senior debt underwriter. Post the award of the project to the Marubeni-led consortium, the bank successfully syndicated the financing, attracting a blend of local and international banks to participate.

The financing for the Waste-to-Energy Project was met with overwhelming interest, being significantly oversubscribed. This high level of interest reflects the strong confidence in the project's viability and its alignment with global sustainability goals. The oversubscription allowed for a diverse mix of lenders, enhancing the financial robustness and credibility of the project.

Standard Chartered’s extensive involvement in the project included roles as Pre-Bid Lead Bank, Documentation Bank, Bookrunner, Initial Mandated Lead Arranger, Green Loan Coordinator for Tadweer Group’s inaugural Green Financing, Hedging Bank, Sole VAT Lender, sole Equity Bridge Loan (EBL) Lender and Hedge Bank to Tadweer, Global Facility Agent, Commercial Facility Agent, Offshore Security Agent, and Onshore Security Agent. The financing will also benefit from being classified as a green loan which is a key milestone for the project. This comprehensive engagement underscores the bank’s dedication to the successful execution and sustainability of the project.

L&T powers Middle East solar

Larsen & Toubro's Renewables arm secures 3.5GW solar contracts in the Middle East. (Image source: Adobe Stock)

Larsen & Toubro's Renewables arm has secured substantial contracts with a prominent developer in the Middle East to construct two Gigawatt-scale Solar PV plants, totaling 3.5GW in capacity

The scope includes grid interconnections involving pooling substations and overhead transmission lines. Detailed engineering and initial construction activities are set to commence soon.

Previously, L&T announced a solar-cum-storage plant order in India, further bolstering its renewables portfolio, which is on track to reach a cumulative capacity of 22 GWp, encompassing both commissioned and upcoming solar and wind projects.

Madhava Das, whole-time director & Sr executive vice-president (Utilities) at L&T, stated, "The successive order wins stand testimony to our proven engineering and project management capabilities to meet the requirements in terms of plant performance, workforce mobilisation, safety, quality and timeline. We cherish this level of customer trust."

Reflecting on these significant contracts, S N Subrahmanyan, chairman & managing director of L&T, remarked, "The Middle East is leading in sustainable energy infrastructure and smart lifestyle provisions. These orders are valuable additions to our green portfolio as we forge ahead with next-generation technologies, building the company of the future."

SNOC & Emerge JV launch Sharjah's largest solar project

Ground breaking ceremony for solar PV plant in Sharjah

Emerge Limited, a joint venture between Masdar and the EDF Group, breaks ground on SNOC's 60MWp solar PV plant in Sharjah. (Image source: Masdar)

Sharjah National Oil Corporation (SNOC) and Emerge Limited, a joint venture between Masdar and the EDF Group, marked a major milestone with the groundbreaking ceremony for Sharjah's largest solar installation to date

Situated at SNOC's Sajaa Gas Complex, the 60MWp ground-mounted solar PV plant will annually offset 66,000 tons of CO2 emissions, equivalent to removing over 14,600 cars from the road each year.

This project underscores SNOC's commitment to decarbonisation and its target of achieving net-zero emissions by 2032. It aims to significantly reduce SNOC's reliance on traditional fossil fuels while providing a cost-effective source of clean energy. Aligned with the UAE's ambitious Net-Zero 2050 strategy, this initiative promotes renewable energy sources, supporting the country's transition to a sustainable, environmentally conscious future for Sharjah and the broader region.

SNOC CEO, Hatem Al Mosa, stated, "SNOC is happy to witness this significant milestone on its path to achieve Net-Zero by 2032 across its own operations and to support the Emirate of Sharjah’s sustainability agenda and commitment to protecting the environment. We value this strategic cooperation with Emerge, Masdar and EDF and we look forward to more prospects in the same path."

Michel Abi Saab, Emerge general manager, said, "Emerge is proud to be a part of this landmark project, alongside our client SNOC. Our turnkey solutions offer businesses like SNOC the ability to transition towards a sustainable future without upfront costs. This project will empower SNOC to achieve its decarbonisation goals, and also to secure a more cost-effective energy future for the Emirate as a whole. We look forward to its successful completion."

Emerge will handle the entire project lifecycle under a Build-Own-Operate-Transfer (BOOT) agreement. This includes financing, design, procurement, construction, operation, and maintenance of the solar modules for a period of 25 years.

DEWA sets global solar benchmarks in Dubai

DEWA leads Dubai's green economy with innovative IPWP models, attracting billions in investments and setting global solar benchmarks. (Image source: DEWA)

DEWA leads Dubai's green economy drive with innovative IPWP models, attracting billions in investments and setting global benchmarks in solar energy pricing and sustainable development

HE Saeed Mohammed Al Tayer, managing director and CEO of Dubai Electricity and Water Authority (DEWA), underscored DEWA's alignment with the vision and directives of HH Sheikh Mohammed bin Rashid Al Maktoum, vice-president and prime minister of the UAE and Ruler of Dubai, to position Dubai as a global hub for the green economy

Al Tayer highlighted DEWA's development of the Independent Power and Water Producer (IPWP) model, incorporating leading international practices tailored to Dubai's legislative and technical requirements. The IPWP model has attracted investments totaling approximately US$11.9bn over a decade, fostering partnerships between the government and private sectors. This approach has enabled DEWA to achieve the world's lowest Levelised Cost of Energy (LCOE) in solar energy projects, establishing Dubai as a benchmark for global solar energy pricing.

"The regulatory and legislative frameworks in Dubai, facilitating private sector participation in energy generation projects, have incentivized international investors and developers to engage in projects like the Mohammed bin Rashid Al Maktoum Solar Park under the IPP model," noted Al Tayer. "Our IPWP initiatives support Dubai's Economic Agenda D33, aimed at doubling the city's economy over a decade and solidifying its position among the world's top three cities. They are also aligned with Dubai's Clean Energy Strategy 2050 and Net Zero Carbon Emissions Strategy 2050, targeting 100% clean energy production by 2050."

Ideal environment for investment

Dubai's conducive business environment has made it a premier destination for foreign direct investment (FDI), attracting US$10.7bn in FDI capital in 2023, creating around 45,000 job opportunities, according to Financial Times Ltd.'s "fDi Markets" data.

Pioneering energy and water projects

This environment supports DEWA's efforts to draw foreign investments through pioneering energy and water projects under the Independent Power and Water Producer (IPWP) model, which DEWA has embraced since 2014, supplanting the Engineering, Procurement and Construction (EPC) model.

Key among DEWA's IPWP projects is the Mohammed bin Rashid Al Maktoum Solar Park, the world's largest single-site solar park slated to produce over 5,000MW by 2030, with a total investment of USD 13.6 billion. DEWA has commissioned five phases of the solar park and is currently implementing its 6th phase, a 1,800MW project costing approximately US$1.5bn. Noteworthy global consortiums, including major firms like Saudi Arabia's ACWA Power and Abu Dhabi Future Energy Company (Masdar), have participated in these phases.

DEWA's other significant IPWP-based projects include the Hassyan Power Complex, a 2,400MW natural gas facility employing state-of-the-art technologies in energy production, and a 180 million imperial gallons per day (MIGD) seawater reverse osmosis (RO) desalination project in Hassyan, the world's largest of its kind using RO technology under the Independent Water Producer (IWP) model, with an investment of approximately USD 925 million.

Henkel Adhesive Technologies' renewable electricity milestone

Installed solar panels. (Image source: Henkel)

Henkel Adhesive Technologies, the world’s leading solution provider for adhesives, sealants and functional coatings, has reached a significant sustainability milestone: all manufacturing sites in the Middle East and Africa (MEA) region now operate on 100% renewable electricity.

Henkel's eight MEA Adhesive Technologies manufacturing sites, located in six countries, have successfully transitioned to renewable electricity sources, eliminating carbon dioxide (CO2) emissions from their electricity usage, also known as Scope 2 emissions. This shift includes on-site solar installations and external renewable sources such as hydroelectric and wind energy.

Specific initiatives include renewable electricity derived from on-site photovoltaic (PV) solar and hydroelectricity in Turkey and Kenya, wind energy in South Africa, and solar power in Saudi Arabia and the UAE.

Through this, Henkel has eliminated approximately 10,471 tons of carbon emissions per year from its Scope 2 activities, equivalent to removing the carbon footprint of around 2,500 gasoline-powered cars driven for one year or 2,700 flights from New York to Singapore. By drastically reducing its reliance on fossil fuels, Henkel is making a substantial environmental impact and setting a benchmark for the industry.

Veerabhadra Konakalla, head of safety health & environment Henkel Adhesive Technologies IMEA, stated “By achieving complete decarbonisation of our scope 2 operations in our MEA sites, we’ve turned our commitments into tangible progress on the path to achieving climate positive operations by 2030. This achievement is a testament to the zeal of our IMEA team to drive transformative environmental change and create a more sustainable future.”