Acwa Power taps artificial intelligence

14 October 2024

Riyadh-headquartered utility and green hydrogen developer and investor Acwa Power has topped MEED’s annual power and water developer ranking over the past few years.

The company’s portfolio, which it values at approximately $94bn, includes 49 thermal and renewable energy power plants and about a dozen water desalination plants.

These assets can generate 65GW of power and 8 million cubic metres a day of desalinated water.

Acwa Power continues to bid and win new contracts at home and abroad under Marco Arcelli, who was appointed as the firm’s chief executive shortly after Paddy Padmanathan, the firm’s CEO for 18 years, stepped down in March last year.

The company has tapped artificial intelligence (AI) and the stacks of technologies behind it to enable its future strategy, notes Thomas Altmann, the company’s executive vice-president for innovation and new technology.

“At Acwa Power, we are not talking about AI, we are doing it,” says Altmann, who cites that the company has developed an in-house algorithm to enable an augmented AI or human-in-the-loop (HITL) AI application.

Through this application, a plant operator may receive data or advice from an AI-enabled module that can trigger a response after the data is validated through the operator’s experience.

“We are focusing on human-in-the-loop, under the umbrella of collective intelligence … this in-house artificial neural network (ANN) algorithm has so far contributed to about 12% cost reduction of chemical dosing in one of our water desalination plants, which encourages us to industrialise this technology and implement it in selected plants,” explains Altmann.

“I think generally that AI is not stoppable; we’re not using it as a buzzword; we are focusing very much on use cases that make sense and create bottom-line impact.”

Analytics and machine learning

Acwa Power has been at the forefront of innovations not just in operating its plants but in winning tenders by proposing the use of new technologies.

“Over the past decade, we managed to reduce power consumption in our desalination plants by over 80%,” notes Altmann.

“I recall in 2005 when Acwa Power submitted the first bid, most of the desalination plants that were built during that period were based on thermal water desalination technologies such as MSF.”

However, things changed when Saudi Arabia tendered the Shuqaiq 2 independent water and power project (IWPP), which, for the first time, did not prescribe a specific technology for the project’s desalination unit. 

There are a lot of things that typically are not discussed, like having to write new procedures to distinguish tasks that can be done by robots, algorithms and humans

“This allowed Acwa Power to innovate and deploy for the first time a membrane-based desalination technology at scale in Saudi Arabia. We were the only consortium that offered to build a 100% reverse osmosis plant in combination with a power plant (IWPP). Our bid was successful by offering 17% to 19% lower tariff due to significantly lower energy consumption compared to an MSF plant,” Altmann said.

Several years later, with the Rabigh 3 independent water project, the offtaker specified a drastically reduced energy consumption. Altmann said they “had to press the reset button, turn every stone and create a paradigm shift in RO design to meet these requirements”.

At this point, Acwa Power has used the so-called Typical Meteorological Year (TMY) methodology for renewable energy to predict future power generation in solar plants.

Altmann subsequently introduced a similar Typical Seawater Year (TSY) methodology, which used the previous five years’ worth of seawater data, used big data analytics to understand seawater resources, and designed their plant according to this result.

“This contributed significantly to our successful bid because we used real data rather than assumed data based on the request for proposals and implemented several design improvements, which resulted in the lowest ever specific energy consumption for RO in the region,” the executive noted.

Altmann says Acwa Power also introduced the so-called pressure centre in an RO plant in Saudi Arabia, where a high-pressure pump in a desalination plant is not necessarily linked to one reverse osmosis (RO) train. Instead, a pipe connects the pump and the racks, and each pipe can fit any rack. This allows fewer and larger pumps to be used and improves efficiency.

“Rabigh 3 was a breakthrough, and we continued to further optimise the process, and the results were applied, for example, in Taweelah in Abu Dhabi and Jubail 3A in Saudi Arabia. 

“We added a solar component to the Taweelah IWP as an innovation and we continued to fine-tune and optimise as we move forward.”

Altmann also says they were the first to introduce machine learning to reduce chemical costs and predict the optimal time for membrane cleaning in RO desalination plants in the region.

The goal is to continue innovating into the future, says Altmann, citing their research and development (R&D) centres in leading universities across the GCC, in particular at the King Abdullah University of Science and Technology in Saudi Arabia, where they operate centres of excellence focusing on water, solar, hydrogen and AI.

AI and the future of utility jobs

While a fully autonomous water desalination plant may still be a few years away depending on how fast AI technologies develop, Altmann acknowledges that future plants will have fewer people on the floor.

This does not necessarily mean large-scale staff displacement since “we keep winning new plants, and we can reassign and retrain or reskill our staff.”

“As some jobs disappear, new jobs will be created,” adds Altmann. “There are many opportunities to utilise experienced people.”

The executive, however, cautions that AI deployment in a company is not just a matter of installing software codes.

It requires a change in culture and processes, particularly in HR, where one has to move away from thinking of employees’ positions or jobs but rather their tasks.

“One needs to distinguish which tasks require a lot of data, and involve routines, and which can be done by an algorithm, versus tasks involving creativity, human interaction or validation against ethical standards or privacy compliance and so on.”

“There are a lot of things that typically are not discussed, like having to write new procedures to distinguish tasks that robots, algorithms and humans can do,” he continues.

The executive also cites the paramount importance of the quality of data and the AI readiness of the Internet of Things (IoT) system to enable AI applications.

“The most important thing, besides ethics and privacy, from a technical perspective, is data. If you want a high-quality prediction or an advisory module, you need to put most of your effort into the data first.

“Utilising an algorithm … that’s the easy part, the difficult one is to get clean data, eliminate bias, noise and spurious correlations and consider differential shifts in the training of data since AI works differently to a human brain. AI doesn’t have an intuition or awareness to sense biases and is susceptible to providing wrong predictions,” explains Altmann.

Renewable-powered desalination plants

Altmann argues that if green hydrogen can be produced using 100% renewable energy, the same can be applied to water production.

Acwa Power built a 20MW solar PV to complement the grid-sourced electricity supply for the Taweelah IWP in Abu Dhabi because, according to Altmann, the RFP did not disallow it.

They are looking at doing more of these projects where it makes sense from a sustainability and efficiency point of view.

“The (Taweelah) RFP did not disallow the installation of a solar PV, and there was an available space, so we went ahead to build an on-site solar PV farm, which allowed us to reduce more expensive energy import from the grid.”

Altmann asserts that desalinated water can have a zero-carbon footprint by building captive water desalination plants or sourcing clean energy from the grid.

However, moving to a 100% renewable source will increase the complexity of building desalination plants.

“There’s a difference from a technical perspective if you take power from the grid, which has certain stability and inertia and is often linked to power plants.

“You will need to redesign the desalination plants differently, with a different operation strategy and different motors, and to deploy long-duration energy storage due to intermittency of renewable energy,” he concludes.

https://image.digitalinsightresearch.in/uploads/NewsArticle/12681934/main.gif
Jennifer Aguinaldo
Related Articles
  • Visa agrees to support digital payments in Syria

    5 December 2025

    Visa and the Central Bank of Syria have agreed on a strategic roadmap that will allow the US-based card and digital payments company to begin operations in Syria and support the development of a modern digital payments system.

    Under the agreement, Visa will work with licensed Syrian financial institutions under a phased plan to establish a secure foundation for digital payments.

    The early stages will involve Visa supporting the central bank in issuing Europay, Mastercard and Visa (EMV)-compliant payment cards and enabling tokenised digital wallets – bringing the country in line with internationally interoperable standards.

    Visa will also provide access to its platforms, including near-field communication (NFC) and QR-based payments, invest in local capacity building and support local entrepreneurs seeking to develop solutions leveraging Visa’s global platform.

    “A reliable and transparent payment system is the bedrock of economic recovery and a catalyst that builds the confidence required for broader investment to flow into the country,” noted Visa’s senior VP for the Levant, Leila Serhan. “This partnership is about choosing a path where Syria can leapfrog decades of legacy infrastructure development and immediately adopt the secure, open platforms that power modern commerce.”

    The move marks one of the most significant steps yet in Syria’s slow and uneven return to the formal global financial system and carries implications that reach beyond just payments technology.

    It lays the groundwork for overturning more than a decade of financial isolation in which Syria has operated largely outside global banking and settlement networks.

    Visa’s entry will not erase all existing barriers – as many restrictions remain in force and will continue to shape what is practically possible – but its support signals a reopening of channels that could smooth Syria’s reintegration into financial networks.

    The involvement of the US-based payments provider is also a further tacit sign of the US government’s enthusiastic bear hug of the new post-Assad Syrian government under President Ahmed Al-Sharaa.

    For investors assessing long-term opportunities, the presence of a globally recognised payments operator will provide reassurance that Syria’s financial system is returning to international norms, and the security and transparency that comes with it.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/15207198/main.gif
    MEED Editorial
  • Meraas announces next phase of Nad Al-Sheba Gardens

    5 December 2025

    Dubai-based real estate developer Meraas Holding, which is part of Dubai Holding, has announced the eleventh and final phase of its Nad Al-Sheba Gardens residential community in Dubai.

    It includes the development of 210 new villas and townhouses and a school, which will be located at the northwest corner of the development.

    The latest announcement follows Meraas awarding a AED690m ($188m) contract for the construction of the fourth phase of the Nad Al-Sheba Gardens community in May, as MEED reported.

    The contract was awarded to local firm Bhatia General Contracting.

    The scope of the contract covers the construction of 92 townhouses, 96 villas and two pool houses.

    The contract award came after Dubai-based investment company Shamal Holding awarded an estimated AED80m ($21m) contract to UK-based McLaren Construction last year for the Nad Al-Sheba Gardens mall.

    The project covers the construction and interior fit-out of a two-storey mall, covering an area of approximately 12,600 square metres.

    The UAE’s heightened real estate activity is in line with UK analytics firm GlobalData’s forecast that the construction industry in the country will register annual growth of 3.9% in 2025-27, supported by investments in infrastructure, renewable energy, oil and gas, housing, industrial and tourism projects. 

    The residential construction sector is expected to record an annual average growth rate of 2.7% in 2025-28, supported by private investments in the residential housing sector, along with government initiatives to meet rising housing demand.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/15206904/main.jpg
    Yasir Iqbal
  • Frontrunner emerges for Riyadh-Qassim IWTP

    5 December 2025

     

    Saudi Arabia’s Vision Invest has emerged as frontrunner for the contract to develop the Riyadh-Qassim independent water transmission pipeline (IWTP) project, according to sources.

    State water offtaker Saudi Water Partnership Company (SWPC) is preparing to award the contract for the IWTP "in the coming weeks", the sources told MEED.

    The project, valued at about $2bn, will have a transmission capacity of 685,000 cubic metres a day. It will include a pipeline length of 859 kilometres (km) and a total storage capacity of 1.59 million cubic metres.

    In September, MEED reported that bids had been submitted by two consortiums and one individual company.

    The first consortium comprises Saudi firms Al-Jomaih Energy & Water, Al-Khorayef Water & Power Technologies, AlBawani Capital and Buhur for Investment Company.

    The second consortium comprises Bahrain/Saudi Arabia-based Lamar Holding, the UAE's Etihad Water & Electricity (Ewec) and China’s Shaanxi Construction Installation Group.

    The third bid was submitted by Saudi Arabia's Vision Invest.

    It is understood that financial and technical bids have now been opened and Vision Invest is likely to be awarded the deal.

    The Riyadh-based investment and development company made a "very aggressive" offer, one source told MEED.

    In November, the firm announced it had sold a 10% stake in Saudi Arabia-based Miahona as part of a strategy to reallocate capital "towards new and diversified investments".

    The company did not disclose which projects the capital might be reallocated towards.

    As MEED recently reported, Vision Invest is also bidding for two major packages under Dubai's $22bn tunnels programme in a consortium with France's Suez Water Company.

    The Riyadh-Qassim transmission project is the third IWTP contract to be tendered by SWPC since 2022.   

    The first two are the 150km Rayis-Rabigh IWTP, which is under construction, and the 603km Jubail-Buraydah IWTP, the contract for which was awarded to a team of Riyadh-based companies comprising Al-Jomaih Energy & Water, Nesma Group and Buhur for Investment Company.

    Like the first two IWTPs, the Riyadh-Qassim IWTP project will be developed using a 35-year build-own-operate-transfer contracting model.

    Commercial operations are expected to commence in the first quarter of 2030.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/15206609/main.jpg
    Mark Dowdall
  • Adnoc creates new company to operate Ghasha concession

    5 December 2025

    Register for MEED’s 14-day trial access 

    The board of directors of Abu Dhabi National Oil Company (Adnoc Group) has approved the establishment of a new company to operate the Ghasha offshore sour gas concession in Abu Dhabi waters.

    The decision to create the new entity, to be called Adnoc Ghasha, was taken during a recent meeting of Adnoc Group’s board in Abu Dhabi, which was chaired by Sheikh Mohamed Bin Zayed Al-Nahyan, UAE President and Ruler of Abu Dhabi.

    Adnoc Group owns and operates the Ghasha concession, holding the majority 55% stake. The other stakeholders in the asset are Italian energy major Eni with a 25% stake, Thailand’s PTTEP Holding, which holds a 10% interest, and Russia’s Lukoil, owning the remaining 10% stake.

    The Ghasha concession consists of the Hail and Ghasha fields, along with the Hair Dalma, Satah al-Razboot (Sarb), Bu Haseer, Nasr, Shuwaihat and Mubarraz fields.

    Adnoc expects total gas production from the concession to ramp up to more than 1.8 billion cubic feet a day (cf/d) before the end of the decade, along with 150,000 barrels a day of oil and condensates. This target will mainly be achieved through the Hail and Ghasha sour gas development project.

    In October 2023, Adnoc and its partners awarded $16.94bn of engineering, procurement and construction (EPC) contracts for its Hail and Ghasha project – the biggest capital expenditure made by the Abu Dhabi energy company on a single project in its history.

    Adnoc awarded the onshore EPC package to Italian contractor Tecnimont, while the offshore EPC package was awarded to a consortium of Abu Dhabi’s NMDC Energy and Italian contractor Saipem.

    The $8.2bn contract relates to EPC work on offshore facilities, including facilities on artificial islands and subsea pipelines.

    The Hail and Ghasha development will also feature a plant that will capture and purify carbon dioxide (CO2) emissions for sequestration (CCS), in line with Adnoc’s committed investment for a carbon capture capacity of almost 4 million tonnes a year (t/y). The CO2 recovery plant will have a total capacity to capture and store 1.5 million t/y of emissions from the Hail and Ghasha scheme.

    Prior to reaching the final investment decision on the Hail and Ghasha project in 2023, the Ghasha concession partners, led by Adnoc, awarded two EPC contracts worth $1.46bn in November 2021 to execute offshore and onshore EPC works on the Dalma gas development project. The project will enable the Dalma field to produce about 340 million cf/d of natural gas.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/15206382/main2754.jpg
    Indrajit Sen
  • Dubai RTA announces Al-Wasl road development project

    5 December 2025

    Register for MEED’s 14-day trial access 

    Dubai’s Roads & Transport Authority (RTA) has announced the Al-Wasl Road upgrade project, spanning 15 kilometres (km) from the intersection with Umm Suqeim Street to the junction with 2nd December Street.

    The scheme includes upgrading six intersections – Al-Thanya, Al-Manara, Umm Al-Sheif, Umm Amara, Al-Orouba and Al-Safa streets – along with upgrading Al-Thanya Street and constructing five tunnels totalling 3.8km.

    A new tunnel will be built at the intersection with Al-Manara Street. It will consist of three lanes and split into two routes: two lanes from Sheikh Zayed Road to Jumeirah Street and two lanes from Sheikh Zayed Road to Umm Suqeim Street, with a total capacity of 4,500 vehicles per hour.

    The project also includes a 750m-long tunnel on Umm Al-Sheif Street, comprising two lanes from Sheikh Zayed Road to Jumeirah Street, accommodating up to 3,200 vehicles per hour.

    A tunnel will be constructed at the intersection of Al-Wasl Road with Umm Amara Street, featuring two lanes in each direction, with a total length of 700m and a combined capacity of 6,400 vehicles per hour.

    The road will also be widened from two to three lanes in each direction.

    The project is expected to reduce travel times along Al-Wasl Road by 50% and increase capacity from 8,000 to 12,000 vehicles per hour in both directions.

    Planning for growth

    In March 2021, the government launched the Dubai 2040 Urban Master Plan. Its launch referenced studies indicating that the emirate’s population will reach 5.8 million by 2040, up from 3.3 million in 2020. The daytime population is set to increase from 4.5 million in 2020 to 7.8 million in 2040.

    In December 2022, Sheikh Mohammed Bin Rashid Al-Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, approved the 20-Minute City Policy as part of the second phase of the Dubai 2040 Urban Master Plan. 

    In addition to the road projects, the RTA’s Dubai Metro Blue Line extension forms part of Dubai’s plans to improve residents’ quality of life by cutting journey times, as outlined in the policy.

    The policy aims to ensure that residents can meet 80% of their daily requirements within a 20-minute journey time, on foot or by bicycle. This goal will be achieved by developing integrated service centres with all necessary facilities and by increasing population density around mass transit stations.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/15205950/main.jpg
    Yasir Iqbal