Economy

Breaking: UAE Plans to Construct Second Nuclear Power Plant Now!

UAE Considers Building Second Nuclear Power Plant

In a bid to meet the increasing demand for electricity in the Gulf state, the UAE is contemplating the construction of a second nuclear power plant, as revealed by a government official to Reuters.

With a population of around 10 million people, the UAE has embraced nuclear power as a low-carbon energy source to diversify its economy and attract foreign investment. The country’s first nuclear plant commenced commercial operations in 2021.

The potential contract for a new nuclear power plant could be valued at tens of billions of dollars, drawing interest from countries like China, Russia, and the US for tender bids.

Evaluating the Need for a Second Plant

As the final reactor of the UAE’s current nuclear plant prepares to start commercial operations this year, Hamad Al-Kaabi stated that the government is assessing the possibility of constructing a second plant.

Although no final decision has been made regarding the tender process, Al-Kaabi confirmed that the government is actively exploring this option due to projections of a substantial increase in electricity demand over the next decade fueled by population growth and industrial expansion.

Potential Plans for the Second Power Plant

While the government has yet to allocate a budget or determine the size and location of the second power plant, Al-Kaabi mentioned the possibility of issuing a tender later this year.

Sources indicated in April that the UAE is planning a second nuclear power plant, potentially featuring a four-reactor facility. Al-Kaabi suggested that the new plant could consist of two or four reactors, with the size dependent on the build and technology.

Ensuring Fair Bidding Process

Al-Kaabi emphasized that all potential bidders would have an equal opportunity, with no favored treatment for any specific bidder. He also confirmed that South Korea, the builder of the existing plant, would not receive special consideration.

The UAE’s nuclear regulator, FANR, is closely involved in the decision-making process, with Al-Kaabi serving as the deputy chairman of the board of management.

Peaceful Nuclear Program

The UAE maintains that its nuclear program is solely for peaceful energy purposes, aiming to reduce its reliance on oil. The country procures fuel for its reactors from the international market to prevent uranium enrichment, a process that can be used for nuclear weapons development.

By eliminating enrichment from its nuclear programs, the UAE mitigates the potential for weapons proliferation. The country’s nuclear stance is in contrast to neighboring Iran and Saudi Arabia, both of which have their own nuclear ambitions.