Power and water projects are expected to be a key growth driver for the UAE construction sector in the coming year, analysts say.
There are currently 401 active projects in the UAEs utility sector, with an estimated value of $83.5bn, according to BNC Construction Analytics.
The utilities sector constitutes 4 percent of the number of active construction projects and 11 percent of the total estimated value of ongoing construction.
BNC Project Intelligence identified four major new utility projects with a combined estimated value of approximately $175mn awarded in January alone. The largest of these was a District Cooling Plant worth $150mn for the National Food Products Company located in Khalifa Industrial Zone.
“The UAE has always shown exceptional foresight. The significant ongoing investment in the power sector is one of the best indicators of an aggressive development plan in the years ahead.” said Avin Gidwani, CEO, Industry Networks.
In addition to the Barakah nuclear power plant in Abu Dhabi, notable multi-billion dollar utility projects under construction include the Hassyan Coal Fired Power Plant in Dubai, an Independent Water & Power Plant (IWPP) located at Mirfa, Abu Dhabi and the Mohammad Bin Rashid Al Maktoum Solar Park in Dubai.