Abu Dhabi has a growing population (Power and Water growth rate estimated at 7.4% and 17% respectively in 2005) and a rising standard of living. As a result of these factors and Government policy to encourage agriculture, the demand for power and water in the Emirate has been growing robustly in recent years and is forecast to maintain this strongly upward trend for the foreseeable future.
Additionally there are existing power generation and water desalination assets in the Emirate that are nearing the end of their productive lives, and will be retired in the next few years. These factors combined mean that there is significant new construction activity required if the level of supply is to keep pace with the growing demand of the population and industry. This Project is an important part of the planned installation of combined power and water assets that the Government has formulated to meet this demand.
Power demand in the Emirate is seasonal, with a marked increase in demand in the summer months when air conditioning is in widespread use. Demand for water is much more constant, although still peaks in summer, and is constrained by production capacity.