ADNOC and Abu Dhabi National Energy Company PJSC (TAQA) signed a 27-year Utilities Purchase Agreement today to provide essential utilities to the TA’ZIZ Industrial Chemicals Zone in Ruwais Industrial City, Abu Dhabi. The period of the agreement consists of the period of offtake of the utilities and the plant construction.
As part of the agreement, ADNOC and TAQA shall jointly advance the central utilities project, such as the electricity grid connection, steam, process cooling, and various water and wastewater utilities necessary to support the chemicals and transition-fuels projects of TAZIZ.
TA-ZIZ, a partnership between ADNOC and ADQ, will establish and own a service management company that will be the only offtaker of the utilities, and this will create a stable base of productive industrial operation in the TA-ZIZ Industrial Chemicals Zone.
Farid Al Awlaqi, CEO of TAQA’s Generation business, said, “This agreement strengthens TAQA’s role in enabling industrial growth in the UAE by providing reliable and efficient utility infrastructure to service TA’ZIZ chemicals and transition-fuels production. Through this long-term partnership with ADNOC, we are supporting the diversification of Abu Dhabi’s economy and investing in strategic and sustainable infrastructure that will contribute to GDP growth. ADNOC and TAQA both have a proven track record in the energy sector and together are developing a world-class facility in Ruwais.”
Mashal Al-Kindi, Chief Executive Officer of TA’ZIZ, stated, “This multi-year agreement with TAQA is a pivotal step in advancing TA’ZIZ’s long-term vision, driving sustainable growth and strengthening the UAE’s industrial base. Reliable and efficient utilities remain central to our value proposition, providing industry leaders with the stable infrastructure essential for world-scale chemicals and transition fuels manufacturing.”
The agreement is a major milestone in the evolution of the TA’ZIZ ecosystem. TAZAZ aimed at boosting the industrial diversification processes in the UAE and will be capable of generating 4.7 million tonnes per annum (MTPA) starting in 2028.
This will also entail methanol, low-carbon ammonia, polyvinyl chloride (PVC), ethylene dichloride (EDC), vinyl chloride monomer (VCM), and caustic soda.
The Generation business of TAQA is still developing the region by building several large-scale projects, including a 1-gigawatt Al Dhafra Gas Turbine project in the UAE and 3.6 GW new high-efficiency power plants, Rumah 2 IPP and Al Nayerah 2 IPP, in Saudi Arabia, all under development with partners, JERA and AlBawani.
