UTICO Middle East, a major private utility and solutions provider in the GCC, said it has joined hands with top coal power company Shanghai Electric to set up ‘the world’s greenest coal-fired power plant’ at a cost of Dh1.5 billion ($408 million) in Ras Al Khaimah.

On completion, the new plant will generate 270 MW of power for the UAE’s industries in 2015 and will also capture 80 per cent of the carbon, revealed Rashid Mehran Al Baloushi, the chairman of Utico Middle East after signing the agreement with HanYoutian, the vice-chairman of Shanghai Electric.

Senior officials from Ras Al Khaimah government took part in the signing ceremony held on the sidelines of the concluding day of Global IWPP (Independent Water and Power Plant) Summit last month.

More than 150 high-ranking delegates and professionals from 25 countries attended the summit held at Al Hamra Convention Centre in Ras Al Khaimah.

As per the terms of the agreement, Shanghai Electric will be equity partner in the project as well as provide the know-how and technology while Utico Middle East will be joint equity partner along with several prominent investors.

The duo will also operate and maintain the project. Utico is the power off-taker of the project.

The facility will be located at the RAK Maritime City in Khor Khowir, a fast growing industrial hub with marine facilities that include Saqr Port, the Middle East’s largest dry bulk port.

The project will utilise 100 per cent carbon capture technology as nominal design capacity and 80 per cent at operational point and this will involve the establishment of world-class power generation facilities and environment protection standards and related utility infrastructure.

Richard Menezes, the managing director and executive vice-chairman of Utico ME, described the project as a milestone development that would enable the emirate meet its utility requirements and showcase its commitment towards clean, green energy resources.