Taqa may buy 90% stake in Adwea plant

Abu Dhabi National Energy Company (Taqa) could spend $272.3 million (Dh1.16 billion) to buy a 90 per cent stake in the water and power plant owned by the emirate's utility, an executive said.

Taqa "plans to buy" Abu Dhabi Water and Electricity Authority's (Adwea) stake in the Fujairah 2 plant, Arabic newspaper Al Khaleej quoted Mohammed Mubaideen, Head of Taqa's investor relations, as saying.

Executives at Taqa were not immediately available for comment.

The plant will have a capacity of 2,000 megawatts of power and 130 million gallons a day of water and will begin operations in mid-2010.

Earlier this month, Taqa said it planned to spend $1.4bn on five capital projects in 2010 as the state-owned utility shifts its focus from acquisitions to internal projects.