The Barakah One PJSC Company (Barakah One), a subsidiary of the Emirates Nuclear Energy Corporation (ENEC) and the Korea Electric Power Corporation (KEPCO), announced today the signature of the Power Purchase Agreement (PPA) for the purchase of electricity generated at the Barakah Nuclear Energy Plant with the Abu Dhabi Water and Electricity Company (ADWEC).
The agreement was signed in Abu Dhabi by H.E. Khaldoon Al Mubarak on behalf of Barakah One Company and Abdullah Musleh Al Ahbabi, Chairman of the Abu Dhabi Water and Electricity Authority (ADWEA) on behalf of ADWEC.
The agreement establishes the contractual framework between the two entities for nuclear-generated safe, clean, efficient and reliable electricity produced at Barakah. The electricity produced by the four Barakah Units plays a strategic role in powering the growth of the UAE, aligning the nation to the COP21 sustainability goals, and reducing greenhouse gas emissions (GHG) in the energy generation sector.
H.E. Khaldoon Al Mubarak, Chairman of the Board of ENEC, said, “Since 2009 we focused on the safe delivery of the UAE Peaceful Nuclear Energy Program, and today is another major step towards diversifying the UAE’s energy mix and making the nation more energy secure and environmentally sustainable. The Barakah Plant will soon provide the nation with the clean energy it needs to grow, through an established, robust and technologically advanced nuclear energy industry.”
“This is a pivotal agreement in the UAE energy sector, and the result of a close collaboration between Barakah One, ENEC and ADWEA. Strong stakeholder partnerships are integral to the successful delivery of safe, clean and reliable nuclear energy to power the UAE grid,” added H.E. Khaldoon Al Mubarak.
Commenting on the agreement, H.E. Abdullah Musleh Al Ahbabi, ADWEA Chairman, said, “The signing of this agreement shows the ongoing transformation of Abu Dhabi’s energy mix. We welcome the addition of safe and sustainable low-carbon nuclear energy to our increasingly diverse power grid. Securing energy from a variety of sources allows us to provide Abu Dhabi with the supply of power and water it needs to sustain its growing economy.”
In October 2016, ENEC and KEPCO announced the establishment of Barakah One Private Joint Stock Company (Barakah One), an independent subsidiary owned by both companies, which is mandated to represent the commercial and financial interests of the Barakah project. Under the Joint Venture Agreement signed by the two companies, KEPCO owns an 18 percent stake in Barakah One, with ENEC as the majority owner of the remaining 82 percent.
The four units of the Barakah Nuclear Energy Plant are scheduled for completion in 2020, with construction having started in 2012. With four reactors online, the facility will deliver up to a quarter of the UAE’s electricity needs and save up to 12 million tons in carbon emissions every year.
The project at Barakah is progressing steadily. Overall, construction of Units 1 to 4 is now more than 72 percent complete. All four units will deliver safe, clean, reliable and efficient nuclear energy to the UAE grid, pending regulatory reviews and licensing.