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DEWA Invests $2.7B in Dubai Electricity Transmission

Dubai Electricity and Water Authority (DEWA) commits over $2.7 billion to expand its transmission network, ensuring power for Dubai's continued growth and development.

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Alvaro de la Maza

Partner at Aninver

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Key Takeaways

  • Sector: Energy Infrastructure & Renewables.
  • Geography: United Arab Emirates.

Analysis

Dubai Electricity and Water Authority (DEWA) has significantly bolstered its electricity transmission infrastructure, channeling over AED10 billion (approximately $2.72 billion) into network enhancements. This substantial capital deployment underscores Dubai's ambitious development trajectory and DEWA's commitment to underpinning the emirate's economic and social advancement, aligning with the objectives of the Dubai Economic Agenda D33 and the Dubai Social Agenda 33.

The utility provider recently commissioned eight 132kV substations in the first half of 2026, adding 1,200 megavolt-amperes (MVA) of conversion capacity at a cost of AED970 million. These projects, which also involved extending 20km of transmission cables, were executed with a strong emphasis on digital integration, efficiency, and reliability, requiring over nine million man-hours. Furthermore, a critical 400/132kV substation was activated within the Mohammed bin Rashid Al Maktoum Solar Park, contributing an additional 2,000 MVA capacity for AED630 million and incorporating 117km of 400kV overhead transmission lines.

Looking ahead, DEWA is actively expanding its high-voltage network, with 65 new 132kV substations and one 400kV substation currently under construction. The utility giant also plans to tender for more than 30 additional 132kV substations over the next three years, alongside plans to lay 340km of underground transmission cables and build two more 400kV substations. This proactive approach ensures the grid can meet escalating power demands driven by Dubai's continuous urban and economic expansion.

In the first half of 2026 alone, DEWA awarded 21 contracts for the construction of 132kV substations across numerous Dubai districts, including key areas like Al Barsha South, Al Jaddaf, and Jebel Ali First. These contracts, valued at AED3 billion, also encompass the extension of 64km of 132kV cables to integrate these new facilities into the existing power grid. This strategic awarding of contracts highlights DEWA's robust project pipeline and its role as a major facilitator of development.

The expansion efforts are crucial for maintaining Dubai's status as a leading global hub. The energy infrastructure sector in the Middle East is experiencing significant investment, driven by population growth, industrial diversification, and a push towards cleaner energy sources. DEWA's substantial investments position it to capitalize on these trends, ensuring a stable and resilient power supply essential for attracting further foreign investment and supporting large-scale residential and commercial projects.

As of the first half of 2026, DEWA's transmission network comprised 402 substations, with 28 operating at 400kV and 374 at 132kV. This extensive network is a testament to DEWA's strategic planning and execution capabilities, enabling it to serve a growing customer base and support the ambitious vision for Dubai's future, as articulated by leaders like H.E. Saeed Mohammed Al Tayer, MD & CEO of DEWA.