UAE allows foreign investors to own 40% of Al Tawila station
United Arab Emirates, Business, 10/23/1997

The UAE stated that foreign investors are invited to contribute up to 40% of the capital of Al Tawila project, while the government will possess the remaining 60%.

The Electricity and Water Committee in Abu Dhabi finished its study to select the companies that will compete to build Al Tawila Station, which is the first private sector project in the field of generating electricity to be carried out by foreign investors. This project will save 11 billion dirhams for the government of Abu Dhabi, as the foreign investment will finance a great part of the project.

8 companies were selected to go into competion out of 21 companies which had applied, each company represents a group of international companies. These companies were selected by technical, financial and legal committees.

The privatization process in the UAE tries to reduce the cost of providing electriciy and water services and to improve these services through reducing the time required to offer these services.

The government confirmed its pledge to continue subsidizing the prices of water and electricity. Sheikh Zayed Al Nahyan had asked the water and electricity committee to write rules for foreign participation in the privitization of any government organization.

Previous Stories:
  Foreign investors reap profits from their first UAE fund   (10/14/1997)
  International companies attend electronics exhibition in Dubai   (10/4/1997)
  Stock exchange set up in the UAE for the first time   (9/27/1997)

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