
GSU’s CEO Ali Alshimmari described the programme as “an expansion of an energy system capable of supporting a larger economy and a more active market in Yemen.” Under the plan, dozens of solar and wind projects, battery storage installations and upgrades to transmission infrastructure will begin across multiple governorates.
The UAE’s intervention comes against the backdrop of chronic electricity shortages that have plagued Yemen for years. In Aden alone, before the new deal, daily power supply seldom exceeded a few hours, leaving many neighbourhoods reliant on costly diesel generators or enduring extended blackouts.
GSU has already inaugurated a 53-megawatt solar farm in the Shabwah governorate’s Ataq City that can supply electricity to around 330,000 households. The facility includes a 15-megawatt-hour battery storage system, connecting via a newly installed 15-km overhead transmission line and multiple transformer stations — a sign of practical efforts to deliver both capacity and reliability.
Another major project under the umbrella effort involves the expansion of the solar plant in Aden. The second phase, slated for completion in 2026, will double the plant’s capacity, enabling it to supply power to an additional 687,000 homes — positioning it as the largest solar facility in Yemen. Once combined with the Shabwah plant, the projects will deliver electricity to more than one million homes.
Beyond residential usage, the upgraded energy infrastructure is designed to underpin essential services. GSU officials emphasise that stable electricity supply will enable hospitals, schools and local industries to function more reliably, with a view to invigorating economic activity and improving living conditions across Yemen.
Implementation of this $1 billion portfolio reflects a larger shift in regional energy diplomacy, where Gulf-based firms are emerging as key players in restoring infrastructure in conflict-affected states. For Yemen, the project offers one of the first substantial injections of private capital into utility-scale energy assets since the civil war began more than a decade ago.
The deployment timeline is crucial. With the first solar plant already online and distribution networks on track for upgrades, GSU’s phased rollout aims to deliver tangible improvements over the coming years. If fully realised, the transformation could mark a turning point in Yemen’s struggle for stable electricity and pave the way for recovery across multiple sectors.
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