Abu Dhabi energy company sells stake in Indian power plant
Abu Dhabi National Energy Company (TAQA) has sold its entire stake in an Indian power plant for around $104.65 million, in a bid to have cleaner energy investments, TradeArabia reported on October 30th.
TAQA, one of the biggest listed integrated utility companies in Europe, the Middle East and Africa, divested its 100 per cent stake in TAQA Neyveli Power Company to MEIL Energy, which is affiliated with Megha Engineering & Infrastructures Limited (MEIL), an India headquartered conglomerate with business interests in infrastructure, energy and hi-tech manufacturing.
This transaction sees TAQA fully exit its interest in TAQA Neyveli as the company increases its focus on low-carbon gas-fired power generation and, through its stake in Masdar, renewable energy investments.
Chief Executive Officer of TAQA’s Generation business, Farid Al Awlaqi, said: “This sale represents a considered adjustment to our generation portfolio as we continue progressing towards a more sustainable energy mix. It aligns with TAQA’s broader efforts to transition towards cleaner energy solutions, reduce long-term emissions, and respond to the changing dynamics of global energy demands.”
“Our focus remains on developing flexible, efficient and low-carbon power generation assets that support sustainable growth and the energy transition.”
TAQA Neyveli owns and runs a 250 MW lignite-fired power plant situated in Tamil Nadu, India.
The National reported that Lignite is a type of coal, and that the accessible material produces electricity at a low price, according to the US-based Lignite Energy Council. India imports the majority of its energy requirement and is dependent on coal to meet its increasing electricity demand.
The UAE intends to achieve net-zero emissions by 2050 and is looking to heighten its target for clean energy generation to 30% by 2030. These renewable energy goals have quickened efforts by UAE-based companies to divest from polluting fuels.
Despite the move, TAQA operates the biggest coal-fire power plant in the MENA region through its Moroccan subsidiary, the 2 gigawatt Jorf Lasfar plant.
It was reported on October 13th, that the Emirates Water and Electricity Company (EWEC) has awarded Abu Dhabi’s renewables developer, Masdar, and France’s Engie a development contract to build its new 1.5 GW gigawatt (GW) solar plant in Abu Dhabi.
The Khazna Solar Photovoltaic (PV) Independent Power Project is situated near Abu Dhabi’s Al Khazna and will include almost three million solar panels which will give enough electricity to power around 160,000 homes and cut over 2.4 million metric tons of carbon emissions, per year.
TradeArabia, The National, Maghrebi.org
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