Client United Steel Industries

Location UAE

Sectors Manufacturing

The Challenge

Cleaner, cost-effective power solution for largest steel mill in UAE

The Fujairah steel mill, located in the UAE, is the largest steel mill of its kind in the country. The site produces approximately 1.1 million tonnes of steel for the construction and manufacturing sectors in the UAE and beyond. A large output demands plenty of power too and United Steel Industries (USI) – owners of the mill – were keen to optimise electricity costs, with an innovative cleaner solution enabling them to reduce their production costs and impact on the environment.

But above all, was the need for reliability. If production were to cease thanks to a lack of power, it would lead to large losses in both income and trust with its customers - so the provider had to be trustworthy. 

USI required an experienced partner who could swiftly deliver a decentralised energy solution under challenging conditions, with the system optimised for efficient power in temperatures up to 50°C.

Project fact file

5 MW

Battery storage

19 MW

Gas generated power

24 MW

Hybrid power package

49 %

Saved on cost of fuel

1.1 Million tonnes

Steel produced by mill

The Solution

First-of-its-kind hybrid power package

Aggreko has a solid reputation in the Middle East spanning nearly three decades. Our mobile, modular equipment and deep agile expertise perfectly placed us to engineer a solution for the steel mill’s power.

We worked closely with USI to determine exactly what was needed and our team of engineers delivered a bespoke solution to ensure all of their needs would be met. 

A hybrid power solution was the answer – and mark's a milestone for Aggreko too, as it's the first gas-battery hybrid solution implemented in an off-grid industrial complex in the Middle East.

We carefully scrutinised the specifics of the site, taking into account the existing framework and how our equipment would operate and fit, prioritising safety for all concerned.

19 MW of gas generation as primary main power, alongside 5 MW of battery storage in the form of five battery packs, containerised in five standard 20 foot containers. This would be easy to fit on site and the batteries would serve two purposes.

Firstly, when loads peak, the batteries will kick in, providing freqeuency regulation and negating the need for extra thermal generation. Previously this would have been managed by diesel generators running constantly on part load, consuming excessive amounts of fuel and increasing overall carbon emissions. And secondly, the batteries act as back-up contingency power, adding an extra layer of reliability to an already robust system.

The Aggreko Difference

Pioneering power

The Impact

Costs and emissions reduced

Aggreko harnessed their expertise to forge a new path and deliver a solution for USI that delivers reliable cost effective energy and strengthens their position by implementing this innovative energy solution. 

With the battery systems working alongside the efficient gas generators, fuel costs are expected to reduce by up to 49%. With battery storage producing almost zero emissions, this is also an environmentally-friendly power package that will reduce the carbon footprint for our customer.

The steel mill will receive uninterrupted power to meet its production targets, and allocate any production cost savings for further growth of the company. All in a far more efficient, cleaner way thanks to our hybrid power pushing things forward.

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