UAE Power Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

The Report Covers United Arab Emirates Power Market Size and Share, and It is Segmented by Power Generation Sources (Thermal, Renewable, and Other Sources) and Transmission and Distribution. The Report Offers Market Sizes and Forecasts in Installed Capacity for all the Above Segments.

UAE Power Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

UAE Power Market Size

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UAE Power Market Summary
Study Period 2019 - 2030
Base Year For Estimation 2024
Forecast Data Period 2025 - 2030
Market Volume (2025) 45.79 gigawatt
Market Volume (2030) 53.63 gigawatt
CAGR 3.21 %
Market Concentration Medium

Major Players

UAE Power Market Major Players

*Disclaimer: Major Players sorted in no particular order

Compare market size and growth of UAE Power Market with other markets in Energy & Power Industry

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UAE Power Market Analysis

The UAE Power Market size in terms of installed base is expected to grow from 45.79 gigawatt in 2025 to 53.63 gigawatt by 2030, at a CAGR of 3.21% during the forecast period (2025-2030).

The United Arab Emirates power sector is undergoing a transformative shift toward sustainable energy sources, marked by substantial investments and strategic initiatives. In July 2023, the UAE updated its National Energy Strategy with plans to invest USD 54 billion in renewable energy over the next seven years, demonstrating its commitment to achieving net-zero emissions by 2050. The country's energy landscape is further diversified by its significant natural gas reserves, with the United States Energy Information Administration reporting that the UAE held an estimated 290 trillion cubic feet of proved natural gas reserves at the beginning of 2023, positioning it as a key player in the regional power market.


The power infrastructure development in the UAE continues to expand rapidly to meet growing demand and support the integration of renewable energy sources. In January 2024, Dubai Electricity and Water Authority (DEWA) introduced 14 new 132 kV electricity grid substations with a conversion capacity of 2,100 MVA, installing 120 kilometers of ground cables to connect these substations to the main electricity transmission network. This expansion reflects the country's commitment to strengthening its power distribution capabilities while ensuring reliable power supply to support economic growth and urbanization.


The nuclear power sector has emerged as a crucial component of the UAE's energy diversification strategy, with significant developments in operational capacity. In March 2024, Nawah Energy achieved a milestone with the successful startup of Unit 4 at the Barakah nuclear power plant, marking a significant step toward the facility's full operational status. The UAE's commitment to nuclear power is further evidenced by its plans to tender for a new nuclear power plant consisting of four reactors, announced in April 2024, with construction aimed to begin in the third quarter of 2024 for operational readiness by 2032.


The renewable energy landscape in the UAE is experiencing unprecedented growth, particularly in solar and wind power sectors. In October 2023, Masdar launched four wind farms with a combined capacity of 103.5 MW as part of the UAE Wind Program, capable of powering 23,000 UAE households annually. This development is complemented by significant investments in clean power and energy storage solutions, as exemplified by Statevolt's announcement in April 2024 to construct a USD 3.2 billion cutting-edge battery cell Gigafactory in Ras Al Khaimah, strengthening the country's position in advanced energy storage technologies and supporting its renewable energy integration goals.

Segment Analysis: Power Generation Sources

Thermal Segment in UAE Power Market

The thermal power segment continues to dominate the UAE power generation market, holding approximately 77% of the total power generation in 2024. Natural gas remains the primary fuel source for thermal power generation in the UAE, supported by the country's substantial natural gas reserves and established infrastructure. The UAE's commitment to increasing its natural gas production is evident through major development projects like the Dalma sour gas project and the Hail and Ghasha project, which are set to produce more than 1.5 billion cubic feet per day of natural gas by the end of 2029. The exploration of untapped reserves, such as the recent discovery of new gas reserves at the Al-Hadiba field near the Al-Sajaa Industrial Area in Sharjah in May 2024, further strengthens the thermal power segment's position. The country currently operates 37 gas-fired power plants, with continued expansion plans to meet growing electricity demand.

Market Analysis of UAE Power Market: Chart for Power Generation Sources

Renewable Segment in UAE Power Market

The renewable power segment is experiencing remarkable growth in the UAE power generation market, with a projected growth rate of approximately 28% during the forecast period 2024-2029. This substantial growth is driven by the UAE Energy Strategy 2050, which aims to increase the clean energy share to 44% by 2050. The country has already allocated AED 200 billion (USD 54.45 billion) for investments in clean energy projects until 2030. Major developments include the 1.5-gigawatt Al Ajban Solar PV Independent Power Project, awarded to an international consortium of EDF Renewables and Korea Western Power Company, expected to power 160,000 households upon completion in Q3 2026. Additionally, the UAE's first large-scale utility wind power project, with a 103.5-megawatt capacity across four locations, demonstrates the country's commitment to diversifying its renewable power portfolio.

Remaining Segments in Power Generation Sources

The other power generation sources in the UAE power market primarily consist of nuclear power, which plays a crucial role in the country's energy diversification strategy. The nuclear power segment has shown significant development with the Barakah Nuclear Energy Plant project, which includes multiple operational units. The UAE's vision for nuclear power extends beyond electricity generation, as the country explores ways to integrate nuclear power with critical industries like oil, gas, and chemicals to reduce carbon emissions. This segment is further strengthened by strategic partnerships and collaborations in advanced nuclear power technologies, including agreements with international developers for small modular nuclear reactors and fuel design engineering.

Segment Analysis: Transmission and Distribution

Transmission Segment in UAE Power Market

The power transmission segment represents a crucial component of the UAE power market, facilitating the transfer of electricity from generation sources to distribution networks through high-voltage power lines. The segment's infrastructure includes extensive power transmission networks operating at various voltage levels, including 132 kV and 400 kV systems. In Dubai alone, the power transmission network has expanded significantly, with 27 substations at 400 kV and 348 substations at 132 kV levels as of 2023. Major developments in this segment include the implementation of high-voltage direct current (HVDC) subsea power transmission systems, particularly exemplified by the USD 3.8 billion power project initiated by ADNOC and Abu Dhabi National Energy Company PJSC in 2024. The segment continues to grow with substantial investments in new power transmission infrastructure, including the development of smart grid technologies and the expansion of existing networks to accommodate increasing power generation capacity from both conventional and renewable power sources.

Distribution Segment in UAE Power Market

The power distribution segment of the UAE power market demonstrates significant growth potential, focusing on the final delivery of electricity to end-users through an extensive network of lower voltage lines and substations. This segment has seen remarkable expansion in infrastructure development, particularly evident in Dubai's power distribution network, which comprises over 44,000 substations operating at 11 kV and 6.6 kV levels. The segment is witnessing substantial modernization efforts, with companies like Dubai Electricity and Water Authority (DEWA) deploying advanced technologies and smart metering systems. In 2024, major initiatives include the installation of new power distribution substations and the implementation of smart grid solutions to enhance efficiency and reliability. The power distribution segment's growth is further driven by increasing urbanization, with projects aligned with the Dubai 2040 Urban Masterplan that anticipates population growth to 5.8 million by 2040, necessitating continuous expansion and upgrading of power distribution infrastructure.

UAE Power Industry Overview

Top Companies in UAE Power Market

The UAE power market is dominated by major state-owned enterprises and established private sector players who are actively driving innovation and operational excellence. Companies are increasingly focusing on renewable power technologies, particularly solar and nuclear power, to align with national sustainability goals. Strategic partnerships and collaborations between local and international players have become commonplace, enabling knowledge transfer and technological advancement in the sector. The market has witnessed significant investments in smart grid technologies, energy storage solutions, and digital transformation initiatives to enhance operational efficiency. Companies are also expanding their geographical presence within the UAE while simultaneously developing expertise in specialized areas such as concentrated solar power, photovoltaic systems, and sustainable energy solutions.

State-owned Enterprises Lead Market Development Initiatives

The UAE power market exhibits a relatively concentrated structure dominated by state-owned enterprises such as TAQA, DEWA, and Emirates Nuclear Energy Corporation, alongside strategic private sector participants like ACWA Power and Masdar. These major players have established strong vertical integration across the power value chain, from power generation to power distribution. The market demonstrates a balanced mix of local conglomerates with deep market understanding and international players bringing advanced technological capabilities and global best practices.


The industry has experienced steady consolidation through strategic partnerships and joint ventures, particularly in the renewable power sector. Market participants are increasingly forming consortiums to undertake large-scale power projects, sharing both risks and resources. The collaboration between public and private sectors has become more pronounced, with government entities actively encouraging private participation through various initiatives and supportive policies. This has created a dynamic environment where both established players and new entrants can contribute to the market's growth while maintaining healthy competition.

Innovation and Sustainability Drive Future Growth

Success in the UAE power market increasingly depends on companies' ability to embrace technological innovation and sustainable practices while maintaining operational efficiency. Incumbent players are strengthening their market position by investing in renewable power capabilities, digital transformation, and smart grid technologies. Companies are also focusing on developing specialized expertise in areas such as energy storage, grid optimization, and demand response management to create competitive advantages and meet evolving customer needs.


For new entrants and growing players, the key to gaining market share lies in identifying and capitalizing on niche opportunities, particularly in the renewable power sector and energy efficiency services. The regulatory environment continues to evolve in favor of sustainable energy solutions, creating opportunities for companies with strong environmental credentials and innovative technologies. Building strong relationships with government entities, participating in public-private partnerships, and maintaining high standards of operational excellence have become crucial factors for long-term success in the market. Companies must also focus on developing local capabilities and contributing to the UAE's power infrastructure transition goals to ensure sustainable growth.

UAE Power Market Leaders

  1. Abu Dhabi National Energy Company PJSC (TAQA)

  2. Abu Dhabi Transmission & Despatch Company (Transco)

  3. Emirates Nuclear Energy Corporation

  4. Emirates Water and Electricity Company

  5. Dubai Electricity and Water Authority(DEWA)

  6. *Disclaimer: Major Players sorted in no particular order
UAE Power Market Concentration
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UAE Power Market News

  • April 2024: The Emirates Water and Electricity Company (EWEC) issued a request for a proposal (RFP) to develop a 1.5 GW solar photovoltaic (PV) power project in the Ajban area for the Emirates of Abu Dhabi. The company anticipates bidders' responses to the RFP by the third quarter of 2024. The project’s scope includes the development, construction, financing, ownership, and maintenance of the power plant and its associated infrastructure.
  • March 2023: The first wind turbine in the region was installed on Sir Bani Yas Island. The 65-meter-tall turbine features three rotor blades, each with a 52-meter wingspan, and has an 850-kilowatt-hour production capacity. Masdar and Abu Dhabi's Tourism Development and Investment Company (TDIC) intend to develop a 30-MW onshore wind farm on this island.

UAE Power Market Report - Table of Contents

1. INTRODUCTION

  • 1.1 Scope of the Study
  • 1.2 Market Definition
  • 1.3 Study Assumptions

2. EXECUTIVE SUMMARY

3. RESEARCH METHODOLOGY

4. MARKET OVERVIEW

  • 4.1 Introduction
  • 4.2 Installed Power Generation Capacity and Forecast in GW, till 2028
  • 4.3 Recent Trends and Developments
  • 4.4 Government Policies and Regulations
  • 4.5 Market Dynamics
    • 4.5.1 Drivers
    • 4.5.1.1 Investments and Projects in the Power Sector
    • 4.5.1.2 Transition Toward Renewable Energy
    • 4.5.2 Restraints
    • 4.5.2.1 Inadequate Transmission and Distribution Network
  • 4.6 Supply Chain Analysis
  • 4.7 PESTLE Analysis

5. MARKET SEGMENTATION

  • 5.1 Power Generation Source
    • 5.1.1 Thermal
    • 5.1.2 Renewables
    • 5.1.3 Other Sources
  • 5.2 Transmission and Distribution (Qualitative Analysis only)

6. COMPETITIVE LANDSCAPE

  • 6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
  • 6.2 Strategies Adopted by Leading Players
  • 6.3 Company Profiles
    • 6.3.1 Abu Dhabi National Energy Company PJSC (TAQA)
    • 6.3.2 ACWA Power Company SJSC
    • 6.3.3 Abu Dhabi Transmission & Despatch Company (Transco)
    • 6.3.4 Dubai Electricity and Water Authority (DEWA)
    • 6.3.5 Emirates Nuclear Energy Corporation
    • 6.3.6 Emirates Water and Electricity Company
    • 6.3.7 Beta Green Solar Energy Systems Installation LLC
    • 6.3.8 Siraj Power Contracting LLC
    • 6.3.9 Al Jaber Energy Services LLC
    • 6.3.10 Etihad WE
  • *List Not Exhaustive
  • 6.4 List of Other Prominent Companies (Company Name, Headquarters, Revenue, Relevant Products and Services, Operating Sector, Recent Trends, Technology or Projects, Contact Details, etc.)
  • 6.5 Market Ranking Analysis

7. MARKET OPPORTUNITIES AND FUTURE TRENDS

  • 7.1 Grid Modernization and Smart Grid Technologies
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UAE Power Industry Segmentation

Power is generated through various primary sources such as coal, hydro, solar, and thermal. In utilities, it is a step before its delivery to its end users. Then, the process is followed by transmission and distribution. Under this system, the generated power is distributed through high-voltage lines (transmission lines) and low-voltage lines (distribution lines) based on the end user's requirements.

The UAE power market is segmented by power generation source and transmission and distribution (T&D). By power generation source, the market is segmented into thermal, renewables, and other sources. Only qualitative analysis is provided for power transmission and distribution. For each segment, the market sizing and forecasts are based on installed capacity, except for power transmission and distribution, for which only qualitative analysis will be provided.

Power Generation Source Thermal
Renewables
Other Sources
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UAE Power Market Research Faqs

How big is the UAE Power Market?

The UAE Power Market size is expected to reach 45.79 gigawatt in 2025 and grow at a CAGR of 3.21% to reach 53.63 gigawatt by 2030.

What is the current UAE Power Market size?

In 2025, the UAE Power Market size is expected to reach 45.79 gigawatt.

Who are the key players in UAE Power Market?

Abu Dhabi National Energy Company PJSC (TAQA), Abu Dhabi Transmission & Despatch Company (Transco), Emirates Nuclear Energy Corporation, Emirates Water and Electricity Company and Dubai Electricity and Water Authority(DEWA) are the major companies operating in the UAE Power Market.

What years does this UAE Power Market cover, and what was the market size in 2024?

In 2024, the UAE Power Market size was estimated at 44.32 gigawatt. The report covers the UAE Power Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the UAE Power Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.

UAE Power Market Research

Mordor Intelligence delivers a comprehensive analysis of the UAE power sector. This analysis combines expertise in power generation, power distribution, and power transmission systems. Our extensive research covers the complete spectrum of electrical power solutions. These range from conventional power to renewable power sources, including solar power, wind power, hydropower, and nuclear power. The detailed report PDF, available for download, provides in-depth insights into power infrastructure developments, smart grid implementation, and microgrid technologies that are shaping the UAE's utility landscape.

The analysis benefits stakeholders across industrial power, commercial power, and residential power segments. It offers valuable insights into power equipment deployment and thermal power capabilities. Our research examines the evolution of green power initiatives, clean power solutions, and distributed power systems. Additionally, it analyzes power trading dynamics and wholesale power operations. The report covers emerging trends in retail power distribution, supporting strategic decision-making for businesses involved in the UAE's rapidly evolving energy sector. Particular attention is given to power infrastructure development and technological advancement in the region.

UAE Power Market Report Snapshots