Emirates Water and Electricity Company (EWEC) has announced the signing of a new Power Purchase Agreement (PPA) for the Shuweihat 1 (S1) power project, marking a major step in the UAE’s ongoing transition towards a cleaner, more sustainable energy mix.

Under the new agreement, the S1 facility—currently a cogeneration plant producing both power and desalinated water—will be reconfigured to operate solely as a natural gas-fired open-cycle power plant. Located in the Al Dhafra region, approximately 250 km from Abu Dhabi City, the plant will provide up to 1.1 gigawatts of flexible reserve power for a 15-year term starting from 2027.

The new configuration supports EWEC’s strategic initiative to decouple water desalination from electricity generation, a critical element in Abu Dhabi’s broader energy reform. Once the transition is complete, the existing water desalination unit, which is currently powered by natural gas, will be decommissioned to reduce carbon emissions and enhance system flexibility.

Originally commissioned in 2005 under a 20-year Power and Water Purchase Agreement due to expire in 2025, S1 is jointly owned by Abu Dhabi National Energy Company (TAQA) with a 60% stake, while Engie and Sumitomo each hold 20%. All three entities will continue their operational roles, with TAQA owning 30% of the operations and maintenance (O&M) company, and Engie and Sumitomo holding 35% each.

EWEC emphasized that the reconfiguration of S1 will help ensure grid stability during peak demand while enabling greater integration of renewable and clean energy sources with minimal emissions. The move aligns with the UAE’s net-zero strategy and reinforces EWEC’s goal of generating over 50% of Abu Dhabi’s electricity from renewable and clean energy sources by 2030.