DEWA delays power plant bid deadline

Dubai, the second-largest sheikhdom in the United Arab Emirates, will give bidders two more weeks to make offers for a power plant consultancy project after being asked for more time, an official said.

State-run Dubai Electricity & Water Authority delayed the deadline for bids for a power generation and water project to March 8 from today, Waleed Ali Ahmed Salman, vice president of business development, said.

The utility met more than 30 potential bidders in Dubai last week to brief them on the project, he said by telephone today. DEWA issued a tender at the end of last year seeking consultants to develop the plan to attract private investors.

Persian Gulf states are boosting power supply to meet rising demand from growing populations while seeking investment to spur economic growth. The U.A.E., whose largest sheikhdom is Abu Dhabi, is beginning a nuclear energy program. This will be the first time Dubai has sought private investors to develop its power industry.

The consultants will help seek bidders to build a facility capable of generating 1,500 megawatts of power and turning 120 million gallons of salt water into drinking water each day.

Dubai aims to issue a tender for the power and desalination plant in the second half of this year and award its first contract with private investors to generate power by the end of the first half of 2011.