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Abu Dhabi selects French consortium for Phase 2 of energy-efficient Road Lighting LED PPP project tender

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Abu Dhabi selects French consortium for Phase 2 of energy-efficient Road Lighting LED PPP project tender

UAE, December 19, 2022:

  • Department of Municipalities and Transport (DMT) signs partnership agreement with Nojoom – a JV between EDF and ENGIE – following PPP tender process managed by Abu Dhabi Investment Office (ADIO)
  • New LED energy-efficient luminaires to reduce power consumption by 74% over a 12-year concession

The Abu Dhabi Investment Office (ADIO), in collaboration with the Department of Municipalities and Transport (DMT), has selected French consortium EDF (Eléctricité de France) and ENGIE to deliver Phase 2 of its Road Lighting LED public-private partnership (PPP) project. EDF and ENGIE have formed a 50-50 joint venture called Nojoom (meaning “stars” in Arabic) to deliver the project in the UAE capital. 

The project, which forms part of the wider Abu Dhabi Road Lighting Programme, includes the finance, supply, installation, operation and maintenance of 133,473 LED energy-efficient luminaires in the Emirate of Abu Dhabi. It will result in significant electricity savings of almost 2,400 million kWh, equivalent to a reduction of approximately 74 percent in power consumption, over the 12-year concession period.

Eng. Abdulla Abdul Aziz AlShamsi, Acting Director General of ADIO, said: “The completion of the second phase of the LED road lighting tender demonstrates the strength of Abu Dhabi’s PPP framework and our commitment to support partnerships between the public and private sectors to deliver strategic infrastructure projects. Building on the success of the first phase, the partnership agreement with DMT will deliver significant energy reductions across the emirate’s road lighting infrastructure, making an important contribution to the UAE’s ambitious sustainability goals.”

H.E. Dr. Salem Al Kaabi, Director General of Operational Affairs at DMT, said: “I look forward to seeing the project progress and reviewing the energy savings resulting from energy-efficient LED street lighting. Thanks to effective collaboration between the public and private sectors, we will be able to meet the highest road safety standards as a result of the project’s implementation. Furthermore, we will be able to improve the quality of life for those who live in and travel through these areas. As we move forward with this critical project for Abu Dhabi, our team will continue to collaborate with all parties.”

The project was procured in accordance with Abu Dhabi’s PPP Law and ADIO’s Partnership Projects Guidebook and Environmental, Social and Governance (ESG) Policy. EDF and ENGIE signed a partnership agreement with DMT after a thorough three-stage evaluation of the proposals submitted by pre-qualified bidders. The selected consortium offered the best technical solution and will deliver the project over five phases covering smaller geographical zones across Abu Dhabi to ensure the highest standards of efficiency and sustainability.

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Luc Koechlin, Managing Director and CEO of EDF Middle East, said: “This strategic partnership between EDF, ENGIE, and DMT for delivering sustainable street lighting solutions, aims to improve the quality, performance and resilience of the lighting infrastructure in Abu Dhabi. Through this project, EDF brings its long-lasting expertise and know-how in smart solutions for cities to support the UAE in meeting its energy efficiency targets set out in the Net-Zero by 2050 initiative.” 

Ian Harfield, Managing Director of ENGIE Energy Solutions, said, “The Abu Dhabi lighting project is a template for future delivery of regional infrastructure projects. The design/financing/installation/operations model delivers true value to municipalities by eliminating the need for capital expenditure which can be invested in other community improvement projects. Our global and regional expertise in energy and infrastructure will ensure the highest levels of quality and delivery. We look forward to similar projects in the region and beyond.”

ADIO is the central Abu Dhabi government hub managing the facilitation, development and procurement of all infrastructure projects delivered through a PPP framework in Abu Dhabi, in line with its mandate to support private sector investment in the emirate. Find out more about ADIO’s infrastructure projects here: https://www.investinabudhabi.gov.ae/en/Infrastructure-Partnerships

DMT aims to encourage investment in Abu Dhabi through partnerships with the private sector. It facilitates projects related to its expertise in cooperation with strategic partners to ensure integration and knowledge exchange.

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