Dubai Electricity and Water Authority (DEWA) has signed a memorandum of understanding (MoU) with Sweden-based technology company Cleanergy and construction firm Al-Futtaim Carillion to build a solar power plant in Dubai.

As part of the MoU, both companies will install Stirling Engine Concentrated Solar Power (CSP) plant for DEWA.

The plant, which is expected to complete in early 2014, includes installation of 10 units with a total capacity of 110kW, reports arabianbusiness.com.

The partnership has been formed to understand the working of CSP technology in the Dubai climatic conditions, as well as to build pilot project to measure and monitor performance.

DEWA managing director and CEO Saeed Mohammed Al Tayer said the MoU aims to support the long-term national initiative green economy for sustainable development.

"Our long-term plan is to deploy more large-scale solar installations in Dubai and the test plant will function as an important learning tool for this," Tayer added.