UAE energy firm TAQA plans to expand its renewables portfolio

DUBAI: United Arab Emirates power producer Abu Dhabi National Energy Co. (TAQA) announced on Wednesday plans to increase its renewable energy assets, in a shift away from reliance on oil.

TAQA said in a statement that by the end of the decade more than 30% of its power generation would come from renewable sources such as solar, up from 5% today.

Energy companies around the world are shifting towards renewable energy amid concerns about the long-term future for the oil industry as economies transition away from fossil fuels and pressure increases to counter climate change.

The UAE is a major oil producing nation and member of OPEC.

TAQA said it would invest 40 billion dirhams ($10.9 billion) in the UAE and increase its domestic power capacity by 2030 to 30 gigawatts (GW) from 18 GW today. It said it would add 15 GW of power capacity internationally.

TAQA, which this year took control of power generation assets of an Abu Dhabi state-owned firm, operates oil and gas assets in North America and Iraq, and electricity assets in Morocco.

"As we emerge from the pandemic, around the world there will be an increasing focus on the need for clean, reliable and sustainable sources of power and water," TAQA Chairman Mohamed Hassan al-Suwaidi said in a statement.

"TAQA is uniquely positioned to use its platform to play a key part in meeting Abu Dhabi's own ambitions in this space, as well as taking its expertise to international markets where it can add value," he said.