The project is a part of the nation’s $20bn investment program intended to help to expand the energy mix in Gulf Arab Emirate by 2030.

As part of the 2030 energy strategy, state utility Dubai Electricity and Water Authority (DEWA) has also issued a tender for the construction of a 100MW independent solar power project (IPP).

Reuters quoted DEWA CEO Saeed Mohammed al-Tayer as saying that DEWA is planning to expand its M-Station power production and desalination plant by adding about 600MW of capacity.

al-Tayer said: "We expect the total investments in those three projects at more than $20 billion."

He added that DEWA has no plans to issue bonds to raise money for the projects this year.

Scheduled to commence operations by 2021, the clean coal project, known as Hassyan power plant, would cost more than $2bn, another DEWA executive said.

The short-listed companies would submit bids by the end of November for the Hassyan power plant.

About 24 companies have also been short-listed by DEWA for the 100MW solar project and the bids will be evaluated by the end of October.

Dubai is also seeking to develop up to 1,000MW of solar power plants as part of its plans to produce 5% of its electricity from renewable sources by 2030.