UAE Nuclear Energy Program: Dh11bn contracts for UAE firms

The Emirates Nuclear Energy Corporation (Enec) has announced contracts with UAE-based companies totalling more than $3 billion (Dh11bn) for the construction of the country’s first nuclear energy plant, the firm said in a media statement today.

More than 1,400 UAE-based companies have now been contracted for the delivery of products and services for the Barakah plant, currently under construction in the Western Region of Abu Dhabi, the statement added.

This achievement not only further facilitates the development of a local nuclear energy industry but also contributes to the development of the greater economy and stimulates the growth of heavy industry in the UAE.

“By working with Enec’s dedicated Industrial Development Team to raise their standards and meet the unique requirements of the nuclear energy industry, Emirati companies are now contributing to the construction of the nuclear plant at Barakah and also gaining a competitive advantage in providing nuclear-quality services and materials worldwide,” said Mohamed Al Hammadi, CEO, Enec.

“A major factor in the UAE’s decision to pursue a peaceful nuclear energy program was the opportunity to develop and enhance the nation’s budding industrial sector and provide a diverse range of opportunities for talented Emiratis. The UAE’s peaceful nuclear energy program has supported the diversification and growth of the nation’s economy since its inception,” Al Hammadi added.

The contracts have been awarded over the past six years through collaboration between Enec, the entity responsible for the construction and operation of the plant, and Korea Electric Power Corporation (Kepco), Enec’s Prime Contractor.

In order to contract for the UAE’s peaceful nuclear energy program, Enec’s Industrial Development Team works with companies to enhance their quality and safety policies and procedures to meet the highest standards in the world. This has clear benefits for companies across the UAE as many of Enec’s suppliers also supply other industries and the higher standards set for the Barakah project will lead to improved quality and safety outcomes across the country.

Enec’s team works with companies to upgrade their processes and systems to become American Society of Mechanical Engineers (ASME) Nuclear Component certified companies. Companies that have upgraded their processes see benefits beyond the nuclear industry as their products and services are seen to uphold a higher standard of quality and excellence.

One example is the Dubai-based, Ducab, who have recently signed their first international export contract with the Korean Hydro-Nuclear Power Company (KHNP) to provide nuclear industry standard cables for the Shin Hanul 1 and 2 Nuclear power plant. This is a result of Ducab’s success in supplying cables for the Barakah plant.

Another local company that has benefitted from Enec’s development of the Barakah nuclear energy plant is Emirates Steel who supply nuclear quality reinforcing steel bars (rebars) and who were the first company in the GCC to be awarded a Quality System Certificate (QSC) from the ASME.

By focusing on local companies, Enec is also helping to stimulate the local economy in the Western Region and the UAE as a whole. Nuclear energy plants generally have a very positive impact on local economy long-term growth. For example international research from institutions such as the US Nuclear Energy Institute (NEI) in 2014, showed that every dollar spent from the total number of operating reactors at that time created $1.04 (Dh3.82) in the local community and $1.87 (Dh6.87) in the US economy.

The project at Barakah is progressing steadily – Unit 1 is now more than 87 per cent complete, Unit 2 is 70 per cent complete, Unit 3 is 48 per cent complete and Unit 4 is 29 per cent complete.

Overall, construction of Units 1 to 4 is now more than 65 per cent complete. All four units will deliver safe, clean, reliable and efficient nuclear energy to the UAE grid, pending regulatory reviews and licensing.

When the four reactors are completed, the UAE’s peaceful nuclear energy program will provide approximately 25 per cent of the UAE’s electricity needs and save up to 12 million tonnes of greenhouse gas emissions each year.

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