Dubai Electricity and Water Authority (DEWA) has officially announced the signing of a significant Water Purchase Agreement and a Shareholder Agreement with Acwa, totaling approximately AED 1.76 billion (around USD 478 million). This investment marks a pivotal step in the development of the second phase of the seawater reverse osmosis desalination project located at the Hassyan complex in Dubai.
The agreements were signed by Saeed Mohammed Al Tayer, Managing Director and CEO of DEWA, alongside Mohammad Abunayyan, Founder and Chairman of Acwa. With these agreements in place, DEWA will hold a 60% stake, while Acwa will take a 40% stake in the project. The newly formed project company will be tasked with the development, financing, construction, and operation of the desalination plant.
The second phase of the Hassyan project is expected to have a production capacity of approximately 60 million imperial gallons per day, or 272,000 cubic meters. This phase significantly supplements the first phase’s capacity of 180 million imperial gallons per day, achieved through an investment of AED 3.357 billion. Together, upon completion of both phases, Dubai’s total desalination capacity is projected to reach about 735 million imperial gallons per day by 2029.
Al Tayer emphasized that this initiative aligns with Dubai’s commitment to enhancing water security through sustainable and innovative technological solutions. The project aims to reinforce the importance of partnerships in transforming visionary ideas into practical accomplishments. Once operational, the Hassyan facility is set to become the world’s largest seawater reverse osmosis desalination plant, boasting an overall production capacity of 240 million imperial gallons per day.
This development not only highlights DEWA’s leadership in adopting cutting-edge technologies but also aligns with broader sustainability goals, including the UAE Water Security Strategy 2036 and the Dubai Clean Energy Strategy 2050. By emphasizing emissions reduction and sustainable access to water, Dubai is positioning itself as a leader in efficient water management, which is crucial as the demand for water services continues to escalate in line with the emirate’s growth.
Mohammad Abunayyan remarked on the strategic importance of water security for sustainable economic growth, indicating that the partnership with DEWA, which has spanned over ten years, epitomizes a shared commitment to developing reliable infrastructure. This expansion of the Hassyan project represents a logical advancement in their collaboration, aimed at leveraging existing investments while generating long-term value. The emphasis on efficiency and reliability will remain a hallmark of Acwa’s operational strategy.
As Dubai’s population continues to expand, the demand for water resources is expected to rise, making investments in desalination technologies ever more critical. The completion of the Hassyan project not only serves immediate needs but also prepares the region for future challenges related to water scarcity. Looking ahead, the successful execution of this project could set benchmarks for similar initiatives across the GCC, encouraging further investments in sustainable water solutions not only within the United Arab Emirates but also in neighboring countries. Such developments signal a strengthening commitment to environmental sustainability and economic resilience in the region.
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