Spending on power and water jumps 38%

Capital expenditure climbed 38% to Dh7.2 billion during the first half, reflecting increased investment across power generation, water and transmission infrastructure.

The higher investment reduced free cash flow to Dh4.6 billion, compared with Dh7 billion during the same period last year.

TAQA also progressed several major UAE infrastructure projects during the period, including the 2.6 gigawatt Taweelah C Independent Power Producer project, where a TAQA-led consortium holds a 60% stake.

The company signed a 27-year Utilities Purchase Agreement with ADNOC to provide utilities to the TA'ZIZ Industrial Chemicals Zone in Ruwais, while TAQA Water Solutions joined Etihad Water and Electricity and Saur International on a wastewater treatment project in Ras Al Khaimah.

The planned facility will have capacity to process 60,000 cubic metres of wastewater a day and is expected to serve up to 300,000 people.

Renewable energy investments expand

TAQA also continued its renewable energy expansion through its stake in Masdar during the first six months of the year.

Masdar signed a binding agreement with TotalEnergies to create a $2.2 billion joint venture covering onshore renewable energy projects across Asia and agreed with Repsol to acquire a 49.99% stake in a €849 million, 705 megawatt renewable energy portfolio in Spain.

The company also secured Contracts for Difference for 3 gigawatts of new offshore wind capacity across the Dogger Bank South projects in the UK.

TAQA, EWEC, Masdar, EDF Power Solutions and Jinko Power completed a $870.75 million, or Dh3.2 billion, green bond issuance during the period to refinance the Al Dhafra Solar PV Independent Power Plant.

Thabet said the group had also advanced partnerships supporting Abu Dhabi's industrial development while expanding its international renewable energy presence through Masdar.

Nivetha Dayanand is Assistant Business Editor at Gulf News, where she spends her days unpacking money, markets, aviation, and the big shifts shaping life in the Gulf. Before returning to Gulf News, she launched Finance Middle East, complete with a podcast and video series. Her reporting has taken her from breaking spot news to long-form features and high-profile interviews. Nivetha has interviewed Prince Khaled bin Alwaleed Al Saud, Indian ministers Hardeep Singh Puri and N. Chandrababu Naidu, IMF’s Jihad Azour, and a long list of CEOs, regulators, and founders who are reshaping the region’s economy. An Erasmus Mundus journalism alum, Nivetha has shared classrooms and newsrooms with journalists from more than 40 countries, which probably explains her weakness for data, context, and a good follow-up question. When she is away from her keyboard (AFK), you are most likely to find her at the gym with an Eminem playlist, bingeing One Piece, or exploring games on her PS5.