Abu Dhabi National Energy Company PJSC (TAQA), one of the largest listed integrated utilities in Europe, the Middle East, and Africa, has announced its financial results for the fiscal year ending December 31, 2024. The Group’s earnings were bolstered by robust operational performance across its utilities sector, bolstered by the contributions from TAQA Water Solutions (formerly SWS Holding).
Financial performance and water sector growth
TAQA reported group revenues of AED 55.2 billion, marking a 6.7% increase year-on-year. A significant driver of this growth was the consolidation of TAQA Water Solutions. The company’s EBITDA stood at AED 21.4 billion, reflecting a 5.9% increase from the previous year, excluding the AED 10.8 billion related to the acquisition of a 5% stake in ADNOC Gas.
Capital expenditure surged by 63.8% to AED 9.2 billion, largely due to investments in the Mirfa 2 Reverse Osmosis (M2 RO) and Shuweihat 4 Reverse Osmosis (S4 RO) desalination projects. These projects are set to enhance TAQA’s water production capacity, supporting the UAE’s long-term water security goals.
Water solutions: Expanding capacity and innovation
Following the acquisition and rebranding of SWS Holding, TAQA Water Solutions became the sole entity responsible for wastewater collection, treatment, and the production of recycled water in Abu Dhabi. This move has expanded the company’s asset portfolio, adding approximately AED 17.5 billion in regulated assets. The newly integrated network spans around 13,000 km of sewer pipelines and boasts a water treatment capacity of approximately 1.3 million cubic meters per day.
In addition to its domestic expansion, TAQA made considerable strides in international water projects. Notably, the company achieved financial close on the Juranah Independent Strategic Water Reservoir Project in Saudi Arabia, aimed at supporting emergency municipal water demand, particularly during the Hajj season. The company also completed major desalination initiatives, including the Taweelah Reverse Osmosis (RO) Independent Water Plant, one of the world’s largest, with a production capacity of 200 million imperial gallons per day (MIGD).
Operational excellence in water distribution and treatment
Operational performance in TAQA’s water segment remained strong, with asset availability for Water Solutions reaching 95.3%, demonstrating efficiency in service delivery. Transmission availability for power and water also improved to 98.7%, up from 98.4% in the previous year.
TAQA also launched a new brand identity for its group of companies. This move marks a milestone in the transformation and growth of the Company and underpins its strategy to grow through delivering integrated power and water services in the UAE and internationally.
Strategic investments and sustainability initiatives
The company’s commitment to sustainable growth was recognized with an upgrade in its MSCI ESG rating to ‘A’ from ‘BBB,’ underscoring its role in responsible resource management.
Additionally, TAQA’s financial strategy remains robust, with the issuance of USD 1.75 billion in dual-tranche corporate bonds in 2024, part of which was allocated towards funding green projects.
Jasim Husain Thabet, Group CEO and Managing Director of TAQA said: “TAQA’s strong financial performance in 2024 was driven by robust results across our businesses. The year was a milestone for TAQA, highlighted by the merger of Abu Dhabi Distribution Company and Al Ain Distribution Company under the new TAQA Distribution brand, alongside the rebranding of our other operating entities in the UAE. This streamlining of our operations strengthens our customer service offering across the Emirate of Abu Dhabi, setting the stage for future growth. On the water side, we also expanded our capabilities in water treatment and reuse through the integration of TAQA Water Solutions, adding AED 17.5 billion to our regulated asset value.”
“Internationally, we made notable progress, particularly in the Kingdom of Saudi Arabia where we reached financial close for two of our projects, the Juranah Strategic Water Reservoir in Makkah region and the Najim Cogeneration Plant in Jubail, and signed project agreements with our partners to develop two high-efficiency gas power plants, one each in Rumah and Nairyah, with a combined capacity of 3.6 GW, further strengthening our presence in the Kingdom,” he added.
As TAQA looks ahead to 2030, its strategy will continue to prioritize water security, energy efficiency, and international expansion, ensuring long-term value for its shareholders and contributing to the sustainable development of the communities it serves.
