81 FR 70094 - Executive-Led Power Technologies Trade Mission to the United Arab Emirates and Saudi Arabia, March 12-16, 2017

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 81, Issue 196 (October 11, 2016)

The United States Department of Commerce (DOC), International Trade Administration (ITA), is organizing an executive-led Power Technologies Trade Mission to the United Arab Emirates (UAE) and Saudi Arabia (KSA) on March 12-16, 2017. The purpose of the trade mission is to introduce U.S. firms to KSA and UAE's expanding power technology sector, which seeks to procure power equipment, distribution, power grid, as well as spare parts, and equipment with a focus on the renewable sector, and also to assist those U.S. firms in pursuing export opportunities in this sector, by helping new-to-market companies learn about the KSA and UAE energy markets and make initial contacts, and by supporting U.S. companies already doing business in the KSA and UAE to widen and deepen their business interests.

[Federal Register Volume 81, Number 196 (Tuesday, October 11, 2016)]
[Notices]
[Pages 70094-70097]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-24479]


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DEPARTMENT OF COMMERCE

International Trade Administration


Executive-Led Power Technologies Trade Mission to the United Arab 
Emirates and Saudi Arabia, March 12-16, 2017

AGENCY: International Trade Administration, Department of Commerce.

ACTION: Notice.

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SUMMARY:  The United States Department of Commerce (DOC), International 
Trade Administration (ITA), is organizing an executive-led Power 
Technologies Trade Mission to the United Arab Emirates (UAE) and Saudi 
Arabia (KSA) on March 12-16, 2017. The purpose of the trade mission is 
to introduce U.S. firms to KSA and UAE's expanding power technology 
sector, which seeks to procure power equipment, distribution, power 
grid, as well as spare parts, and equipment with a focus on the 
renewable sector, and also to assist those U.S. firms in pursuing 
export opportunities in this sector, by helping new-to-market companies 
learn about the KSA and UAE energy markets and make initial contacts, 
and by supporting U.S. companies already doing business in the KSA and 
UAE to widen and deepen their business interests.

UAE Commercial Setting

    The UAE is a federation of the seven emirates of Abu Dhabi, Ajman, 
Dubai, Fujairah, Ras Al-Khaimah, Sharjah and Umm Al-Quwain. The 
generation, transmission and distribution of electricity in the UAE is 
dominated by three water and power authorities owned by each of the 
individual emirates: Abu Dhabi Water and Electricity Authority (ADWEA), 
Dubai Electricity and Water Authority (DEWA) and Sharjah Electricity 
and Water Authority, and by a federal authority that operates in the 
smaller northern emirates (FEWA).
    In Abu Dhabi, ADWEA has established a long-term program for the 
privatization of the electricity sector and a number of independent 
water and power producers have been established as joint-venture 
arrangements between ADWEA and various international power companies as 
Build--Operate--Own projects. The Dubai government is also promoting 
private investment in its electricity generation sector, and recently 
passed legislation allowing the private sector to participate in 
electricity generation by establishing project companies and by 
collaborating with third parties.
    Per the UAE Ministry of Energy, the total generated electricity in 
2014 was 116, 528 GWH and consumption was about 111.685 GWH. Rapid 
economic and demographic growth over the past decade is pushing the 
UAE's electricity grid close to its limits. The UAE currently relies 
primarily on natural gas, but it is also adding nuclear, renewable, and 
coal-fired electricity generating capacity. To support its economic 
diversification and sustainable development, the UAE plans to meet a 
significant portion of its energy needs using renewable sources. 
According to statements made by Energy Minister Suhail Al Mazrouei in 
January 2016, the UAE plans to increase its target for power generation 
from clean energy to 30 percent by 2030, with at least 25 percent of 
the country's electricity generated from both nuclear and solar.
    Below is information on various sub-sectors of the power sector in 
the UAE.
    [ssquf] Solar: In 2013, DEWA launched the Mohammed bin Rashid Al 
Maktoum Solar Park in Dubai, which was originally slated to generate 
1,000MW of solar energy; however, in January 2016, DEWA announced that 
it would triple the project's size to 3,000MW, and then in February, 
the Dubai directives expanded the plant to 5,000MW by 2030 (the 
expected completion date). Also in 2013, Abu Dhabi's Masdar Clean 
Energy commissioned the 100-megawatt, grid connected concentrated solar 
power plant Shams One, a joint venture with Abengoa Solar and Total. 
Masdar also developed the 10MW solar PV plant at Masdar City and is 
developing a 30MW wind farm and a PV array on Sir BaniYas Island.
    [ssquf] Smart Grid and Smart Metering: In 2014, ADWEA achieved a 
milestone when it successfully deployed a Battery Energy Storage System 
which is connected to the Abu Dhabi electricity

[[Page 70095]]

grid. That was one of many Smart Grid initiatives being implemented in 
the sector that will contribute to accomplishing the 2030 vision of 
having a fully integrated ``Smart Utility.'' Late last year, DEWA 
signed a contract to build a smart grid station at the Dubai 
Electricity and Water Authority's Green Garage in Ruwayyah.
    [ssquf] Selected Projects: In January 2016, DEWA announced it would 
tender renewable energy projects worth more than Dh27 billion (U.S. 
$7.3 Billion) based on an independent power producer model to leverage 
public-private partnerships. The DEWA 2016 budget includes a number of 
key projects including U.S. $.6 bn in generation, U.S. $.9 bn in power 
transmission, U.S. $.32 bn in power distribution and U.S. $.28 bn in 
water and civil works in addition to other amounts totaling U.S. $25.9 
million. In addition, DEWA has released the standards for installing 
solar photovoltaic (PV) panels on buildings in Dubai and has invited 
manufacturers to submit their eligibility applications.

KSA Commercial Setting

    The Saudi Electricity Company (SEC) is the largest producer of 
electricity in the KSA with current available generation capacity of 
around 58 GW. Other producers include the Saline Water Conversion 
Corporation (SWCC), SABIC, MARAFIQ and Saudi Aramco. For the medium 
term, the Saudi Arabia Electricity and Cogeneration Regulatory 
Authority (ECRA) allow Saudi Aramco to sell excess electricity it 
produces back to the SEC. ECRA also projected that the Kingdom would 
need to invest approximately USD 140 billion through 2020 to increase 
SEC generation capacity to 71 GW, in which it is projected that the 
country will have sufficient generating capacity to meet demand. SEC 
plans to increase electricity generating capacity to 120 GW by 2032.
    The KSA continues to experience population growth, greater 
industrial diversification led by the development of petrochemical and 
financial cities, high demand for air conditioning, and subsidized 
electricity rates. As a result, the KSA requires additional production 
capacity of 4 GW generation capacity to come on line each year to meet 
growing electricity demand. Saudi Arabia generated 292.2 billion 
kilowatt hours (kWh) of electricity in 2013, which represents a 7 
percent increase and more than double the electricity generated in 
2000. The 7 percent increase in electricity generation still does not 
meet the 9 percent annual growth rate in the demand for electricity. 
For this reason, the KSA has embarked on the largest infrastructure 
expansion plan in the Middle East to address electricity generation, 
efficient distribution, the diversification of fuels, and electricity/
energy conservation issues. Below is information on various sub-sectors 
of the power sector in the KSA.
    [ssquf] Solar: The KSA plans to install a staggering 54 GW of new 
renewable power by 2032. Solar photovoltaic (PV) and concentrated solar 
power (CSP) boast great long term potential in isolated areas of the 
Kingdom. The SEC is developing non-fossil-fuel-fired power plants as is 
evidenced by the integrated solar combined-cycle scheme at Dubai 1, 
under which two main contracts have been awarded in 2015. The project 
marks Saudi Arabia`s first integration of CSP in a combined cycle 
plant. Saudi Aramco is working with relevant corporate and national 
stakeholders to form joint ventures to develop, build and operate a 
portfolio of 300MW of solar and wind projects to displace high value 
hydrocarbons.
    [ssquf] Wind: Wind has considerable potential to be a short term 
solution and the KSA enjoys good wind speeds particularly in the 
southeast offering potential development in this sector.
    [ssquf] Smart Grid and Smart Metering: The SEC has taken an 
important step into the deployment of smart grids by defining a new 
functionality and a new data model for the performance of smart meters. 
The SEC plans to install smart meters across the country first in the 
industrial, construction, commercial and government sectors, and then 
the residential sector by 2021.
    [ssquf] Engineering Projects: With the SEC planning to increase 
electricity generating capacity to 120 GW by 2032 with approximately 
$140 billion of investment through 2020, the awarding and execution of 
a string of new power plants presents exciting opportunities to U.S. 
engineering companies.

The following equipment enjoys strong export sales from the U.S. to the 
KSA: Gas turbines; power transformers; industrial generators; valves; 
compressors; pumps; spare parts; turbine filters; gas turbine inlet 
systems; fuel oil system skid packages (unloading, transfer, forwarding 
and heating skids); fuel gas system skid packages for natural gas 
cleaning and conditioning.

Mission Goals

    The mission will help participating firms and associations or 
organizations gain market insights, make industry contacts, implement 
business strategies, and advance specific projects, with the goal of 
increasing U.S. exports of products and services to KSA and UAE. New 
opportunities exist as a result of demand approaching capacity and 
recent legislation that will allow private sector participation in the 
electricity sector. The focus of this mission is on renewable energy 
and not nuclear energy.
    Specifically, the mission will provide U.S. participants with 
first-hand market information, site visits, one-on-one meetings with 
potential business partners, and meetings with relevant government 
entities in the UAE and KSA. The mission will include participants from 
leading U.S. companies that provide state-of-the-art generation, 
transmission and distribution equipment. Participants will meet key 
power sector contacts in the UAE and KSA, and gain insights on relevant 
export opportunities. Participants will have the opportunity to explore 
contacts with local firms and distributors active in the UAE and KSA 
who are seeking to procure power equipment, distribution, power grid, 
as well as spare parts, equipment. Target sub-sectors of the power 
sector holding high potential for U.S. exporters include: Solar, Wind, 
Smart Electrical Engineering, Grid and Smart Metering.

Mission Scenario

    Trade mission delegates will participate in a five-day program, 
including roundtables and policy meetings with officials in UAE and 
KSA. The delegates will also have networking opportunities to meet 
face-to-face with decision maker officials, potential strategic 
partners, local firms, industry experts and distributor systems 
integrators.

Abu Dhabi, United Arab Emirates (UAE)

Sunday, March 12, 2017

 Delegates arrive in Abu Dhabi
 Briefing with Embassy and industry experts
 Networking reception

    (All day group bus transportation included.)

Abu Dhabi, Dubai, United Arab Emirates (UAE)

Monday, March 13, 2017

 Business matchmaking sessions
 Government meetings
 Evening travel to Dubai

    (All day group bus transportation included.)

[[Page 70096]]

Dubai, United Arab Emirates (UAE) Riyadh, Saudi Arabia (KSA)

Tuesday, March 14, 2017

 Business matchmaking sessions
 Government meetings
 Delegates depart for Riyadh
 Briefing with Embassy and industry experts

    (All day group bus transportation included.)

Riyadh, Saudi Arabia (KSA)

Wednesday, March 15, 2017

 Business matchmaking sessions
 Government meetings
 Evening travel to Dhahran

    (All day group bus transportation included.)

Dhahran, Saudi Arabia (KSA)

Thursday, March 16, 2017

 Briefing with U.S. Consulate in Dhahran
 Business matchmaking sessions
 Visit to Aramco
 Networking reception

    (Group bus transportation to official events only, included.)
    Traded Mission concludes.
    Web site: Please visit our official mission Web site for more 
information: http://export.gov/trademissions/eg_main_023185.asp.

Participation Requirements

    All parties interested in participating in the trade mission must 
complete and submit an application package for consideration by the 
Department of Commerce (DOC). All applicants will be evaluated, 
staggered comparative, on their ability to meet certain conditions and 
best satisfy the selection criteria as outlined below. A minimum of 12 
and a maximum of 15 companies will be selected to participate from the 
applicant pool.

Fees and Expenses

    After a firm or trade association/organization has been selected to 
participate in the event, a payment to the Department of Commerce in 
the form of a participation fee is required. The participation fee for 
the trade mission will be $5,000 for a small or medium-sized enterprise 
(SME) \1\ and $6,700 for large firms and trade associations/
organizations. The fee for each additional representative (SME or large 
firm or/trade associations/organizations) is $750 and is subject to 
availability. Expenses for travel, lodging, meals, and incidentals will 
be the responsibility of each event delegate. Delegation members will 
be able to take advantage of U.S. Embassy rates for hotel rooms.
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    \1\ An SME is defined as a firm with 500 or fewer employees or 
that otherwise qualifies as a small business under SBA regulations 
(see http://www.sba.gov/services/contractingopportunities/sizestandardstopics/index.html). Parent companies, affiliates, and 
subsidiaries will be considered when determining business size. The 
dual pricing reflects the Commercial Service's user fee schedule 
that became effective November 24, 2015 (see http://itacentral/
myorg/gm/odg/osp/User%20Fees%20Resource%20Document%20Library/
Marketing%20Flyer%20for%20Communicating%20with%20Clients%20(FY2016).p
df.
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Application

    All interested firms and associations may register via the 
following link: http://2016.export.gov/trademissions/powertechsaudiuae/
.

Exclusions

    The mission fee does not include any personal travel expenses such 
as lodging, most meals, local ground transportation (except for 
transportation to and from meetings, and airport transfers during the 
mission), and air transportation. Participants will, however, be able 
to take advantage of U.S. Government rates for hotel rooms. Electronic 
visas are required to participate on the mission, which are easily 
obtainable online. Applying for and obtaining such visas will be the 
responsibility of the mission participant. Government fees and 
processing expenses to obtain such visas are not included in the 
participation fee. However, the Department of Commerce will provide 
instructions to each participant on the procedures required to obtain 
necessary business visas. Further, U.S. Trade Mission members 
participate in the trade mission and undertake mission-related travel 
at their own risk. The nature of the security situation in a given 
foreign market at a given time cannot be guaranteed. The U.S. 
Government does not make any representations or guarantees as to the 
safety or security of participants. The U.S. Department of State issues 
U.S. Government international travel alerts and warnings for U.S. 
citizens available at https://travel.state.gov/content/passports/en/alertswarnings.html. Any question regarding insurance coverage must be 
resolved by the participant and its insurer of choice.

Timeline for Recruitment and Applications

    Trade mission recruitment will be conducted in an open and public 
manner, including, posting on the Commerce Department trade mission 
calendar and other Internet Web sites, email, press releases to general 
and trade media, notices by industry trade associations and other 
multiplier groups, and publicity at industry meetings, symposia, 
conferences, and trade shows. Recruitment for the trade mission will 
begin immediately and conclude no later than December 31, 2016. The 
Department of Commerce will review applications and inform applicants 
of selection decisions periodically during the recruitment period. All 
applications received subsequent to an evaluation date will be 
considered at the next evaluation. However, applications received after 
December 31, 2016, will be considered only if space and scheduling 
constraints permit.

Conditions for Participation

    An applicant must sign and submit a completed application and 
supplemental application materials, including adequate information on 
the company's products and/or services, primary market objectives, and 
goals for participation. If an incomplete application form is submitted 
or the information and material submitted does not demonstrate how the 
applicant satisfies the participation criteria, the Department of 
Commerce may reject the application, request additional information, or 
take the lack of information into account when evaluating the 
application. Each applicant must also:
     Identify whether the products and services it seeks to 
export through the mission are either produced in the United States, 
or, if not, marketed under the name of a U.S. firm and have at least 
51% U.S. content. In cases where the U.S. content does not exceed 50%, 
especially where the applicant intends to pursue investment in major 
project opportunities, the following factors, may be considered in 
determining whether the applicant's participation in the Trade Mission 
is in the U.S. national interest:
    [cir] U.S. materials and equipment content;
    [cir] U.S. labor content;
    [cir] Contribution to the U.S. technology base, including conduct 
of research and development in the United States;
    [cir] Repatriation of profits to the U.S. economy;
    [cir] Potential for follow-on business that would benefit the U.S. 
economy;
    A trade association/organization applicant must certify to the 
above for all of the companies it seeks to represent on the mission.
    An applicant must also certify that:
     The export of its goods, software, technology, and 
services would be in

[[Page 70097]]

compliance with U.S. export control laws and regulations, including 
those administered by the Department of Commerce's Bureau of Industry 
and Security;
     It has identified any matter pending before any bureau or 
office of the Department of Commerce;
     It has identified any pending litigation (including any 
administrative proceedings) to which it is a party that involves the 
Department of Commerce;
     It and its affiliates (1) have not and will not engage in 
the bribery of foreign officials in connection with its involvement in 
this Mission, and (2) maintain and enforce a policy that prohibits the 
bribery of foreign officials.

Selection Criteria for Participation

     Suitability of the company's products or services to the 
market. Please note: this mission will not include nuclear power 
technologies given the imbalance of this sub-sector in UAE and Saudi 
Arabia.
     Applicant's potential for business in the target 
countries, including likelihood of exports resulting from the mission.
     Consistency of the applicant's goals and objectives with 
the stated scope of the mission. Balance of company size, sector or 
subsector, and location may also be considered during the review 
process. Referrals from political organizations and any documents 
containing references to partisan political activities (including 
political contributions) will be removed from an applicant's submission 
and not considered during the selection process.

FOR FURTHER INFORMATION CONTACT: 
International Trade Administration, Melissa Blackledge, Trade Promotion 
Programs, Washington, DC, Tel: (202) 482-1765, Email: 
[email protected].

U.S. Commercial Service Saudi Arabia, Douglas Wallace, U.S. Commercial 
Service, Riyadh, Saudi Arabia, Tel: + 966 +11- 488-3800, Email: 
[email protected].

U.S. Commercial Service United Arab Emirates, Dao M. Le, U.S. 
Commercial Service, Abu Dhabi, UAE, Tel: + 971 +2- 414-2665, Email: 
[email protected].

Frank Spector,
Trade Missions Program.
[FR Doc. 2016-24479 Filed 10-7-16; 8:45 am]
BILLING CODE 3510-DR-P