 In 2005 , Based on commitment from FEWA to provide power to industries at Al Ghail and al Hamra industrial park , RAKIA started promoting the industries in 2005.   RAKIA investors constructed industries. However, FEWA declined from responsibility to provide the power. In that scenario the investors put up pressure on RAKIA to find a solution. Some of them asked for compensation for difference in cost of power if they are forced to operate on electricity from Diesel generating set.   With this background, RAKIA decided to put up two power plants , one at Al Ghail and another at Al Hamra , with help of gas supply from RAK Gas. Al Hamra Plant was commissioned in March 2009 and Al Ghail plant was commissioned in Sept 2009. Both plants were operating independently without any connection between them.   When Al Ghail plant was installed, Seventy customers with 60MW connected load committed to RAKIA and deposited the connection fee. When Al Ghail Plant commissioned, due to economic recession those industries didn’t took off. only 20% customers were ready to take power and Al Ghail Power was forced to operate with 3% of its capacity, which was neither technically viable due to low efficiency decided to operate the plant.   Whereas at Al Hamra, the plant was operating near full capacity and was unable to fulfill growing electricity demand at Al Hamra. As per instruction and discussion of HH with FEWA, efforts made to use FEWA network to transmit power from Al Ghail to Al Hamra. Two substation 33/11kV were set up at Al Hamra and Al Ghail as per FEWA standard to dispatch and receive the power at plants.  Despite our serious efforts and perusal for three years, we could not make deal with FEWA. nor commercially profitable. However, RAKIA

Our clients base is 246 numbers now and plant load factor improved to 60% in summer and 50% in winter. Accordingly.4 million Dhs are due from those customers. which was costing more and not budged by AGPL. To top-up shortfall in supply.  However.  Power capacity at a glance. when load increased. completed in Oct’2012. o Surplus capacity at Al Ghail Plant : 20MW  The surplus 20MW capacity is available to meet future demand. Please finds summary of . we could operate both plants efficiently to optimize cost of generation and could turn EBITA profitable. RAK Gas started facing gas supply problems.  This created dissatisfaction among RAKIA clients. Thirty four customers are not settling the additional gas cost surcharge and approaching to RAKIA to resolve the issue. installation of overhead line  Since then. RAK Gas is taking gas from Dolphin @12$/mmBtu. We provide it on first come first serve basis  One of our major customer in future is Marjan Island. Finally. As of now Nineteen new power connection application are with us and are in different stages of power connection. RAKIA took decision to charge the additional gas cost to clients . Total 9. HH and RAKIA decided to construct our own Over head transmission line to link Al Ghail with Al Hamra. We are in process to connect the Marjan island by constructing 33/11kV substation. o Al Ghail Plant : 65MW o Al Hamra plant : 35MW o Over head transmission line : 30 MW.