EWEC, ACWA Power Sign Deal for Abu Dhabi Desalination Facility

FILE PHOTO: General view of Abu Dhabi, United Arab Emirates, January 3, 2019. Picture taken January 3, 2019. REUTERS/ Hamad I Mohammed/File Photo
FILE PHOTO: General view of Abu Dhabi, United Arab Emirates, January 3, 2019. Picture taken January 3, 2019. REUTERS/ Hamad I Mohammed/File Photo
TT

EWEC, ACWA Power Sign Deal for Abu Dhabi Desalination Facility

FILE PHOTO: General view of Abu Dhabi, United Arab Emirates, January 3, 2019. Picture taken January 3, 2019. REUTERS/ Hamad I Mohammed/File Photo
FILE PHOTO: General view of Abu Dhabi, United Arab Emirates, January 3, 2019. Picture taken January 3, 2019. REUTERS/ Hamad I Mohammed/File Photo

The Emirates Water and Electricity Company and Saudi Arabia’s ACWA Power have signed the water purchase agreement for the world’s largest sea water reverse osmosis desalination plant to be constructed at Taweelah Power and Water Complex, 50 km north of Abu Dhabi, at a cost of up to $900 million.

The Taweelah IWP will be the first stand-alone independent water project in Abu Dhabi.

Emirates Water and Electricity Company had awarded the project to ACWA Power in January 2019.

The project, when constructed, will set a world record by utilizing the lowest amount of energy per gallon of desalinated water produced.

“Our decision to bid for the Taweelah IWP demonstrates our confidence in the Emirates Water and Electricity Company as a reliable partner and confirms our commitment to contribute to the development of the United Arab Emirates by increasing our participation in the power generation and water desalination sectors,” said President and CEO of ACWA Power Paddy Padmanathan.

“Through the Taweelah IWP and the enabling environment provided by Abu Dhabi, we are proud to be setting new global bench marks in both the cost of desalinated water and the energy consumed in producing that water.”

Following the final award, construction of the project has started with the completion expected in October 2022. The plant is expected to deliver 909,200 cubic meter of water per day to support the industries and the community at Al Taweelah and the surrounding areas. The plant will also play a role in catering to Abu Dhabi’s peak water demand, which is expected to rise by 11 percent between 2017 and 2024.

“This is an especially significant project, not only because of its scale but also in its role in securing cost-effective and energy efficient potable water supply for Abu Dhabi,” said Chief Investment Officer of ACWA Power Rajit Nanda.

“This project is yet another testament to ACWA Power living its mission of reliably delivering electricity and desalinated water at the lowest possible cost.”



Biden Admin Delays Enforcement of Order Blocking Nippon Steel, US Steel Deal

FILE PHOTO: The logos of Nippon Steel Corp. are displayed at the company headquarters in Tokyo, Japan March 18, 2019. REUTERS/Yuka Obayashi/File Photo
FILE PHOTO: The logos of Nippon Steel Corp. are displayed at the company headquarters in Tokyo, Japan March 18, 2019. REUTERS/Yuka Obayashi/File Photo
TT

Biden Admin Delays Enforcement of Order Blocking Nippon Steel, US Steel Deal

FILE PHOTO: The logos of Nippon Steel Corp. are displayed at the company headquarters in Tokyo, Japan March 18, 2019. REUTERS/Yuka Obayashi/File Photo
FILE PHOTO: The logos of Nippon Steel Corp. are displayed at the company headquarters in Tokyo, Japan March 18, 2019. REUTERS/Yuka Obayashi/File Photo

The Biden administration will hold off enforcing a requirement laid out in an executive order this month that Nippon Steel abandon its $14.9 billion bid for US Steel, the companies said on Saturday.

US President Joe Biden blocked Nippon Steel's planned acquisition of US Steel on national security grounds on Jan. 3, and his Treasury Secretary Janet Yellen said this week that the proposed deal had received a "thorough analysis" by interagency review body, the Committee on Foreign Investment in the United States.

The delay will give the courts time to review a legal challenge brought by the parties earlier this month against Biden's order. The parties previously had 30 days to unwind their transaction, Reuters reported.
"We are pleased that CFIUS has granted an extension to June 18, 2025 of the requirement in President Biden's Executive Order that the parties permanently abandon the transaction," the companies said in a joint statement.
"We look forward to completing the transaction, which secures the best future for the American steel industry and all our stakeholders," they said.
US Steel and Nippon Steel alleged in a lawsuit on Monday that the CFIUS review was prejudiced by Biden's longstanding opposition to the deal, denying them of a right to a fair review. They asked a federal appeals court to overturn Biden's decision to allow them a fresh review to secure another shot at closing the merger.
The US Treasury secretary chairs the CFIUS panel, which screens foreign acquisitions of US companies and other investment deals for national security concerns. CFIUS normally decides directly on cases or submits recommendations to the president, but in the US Steel-Nippon Steel case, the panel failed to reach consensus on whether Biden should to approve or reject it, leaving the decision to him.
Both Biden and his successor, Republican Donald Trump, had voiced opposition to the Japanese company acquiring the American steelmaker as the candidates courted union votes in the November election won by Trump.
CFIUS has rarely rejected deals involving the Group of Seven closely allied countries, which include Japan.