Rapid advances in solar panel technology could make it competitive with more conventional forms of producing energy in the UAE in as little as two years.

This projection has come from Matthias Fawer, VP for sustainable investment at Sarasin Bank in Switzerland, according to thenational.ae.

"We foresee an annual average cost reduction of 10 per cent as achievable, i.e. grid parity, in the UAE in two to three years' time," reportedly said Fawer. "You have most favourable solar conditions that will make the Middle East one of the first key markets where solar becomes the cost-competitive choice pretty soon."

The same report highlighted that Abu Dhabi is currently building a plant with an annual production of cells capable of generating 10 megawatts and plans to build another, 100 megawatt solar thermal plant, in Madinat Zayed. The cells from this plant are destined for power generation in other countries, but Masdar, the Abu Dhabi Future Energy Company, is looking to solar energy for 80 per cent of the power needs of a new carbon-free city in the capital.

The Middle East continues to be in news for CSP.

It was in March this year when Spanish engineering group Sener and Masdar had formed a JV, Torresol Energy, to design, build and operate concentrating solar power plants in the world's sunbelt regions. This joint venture was scheduled to commence work on three solar power plants in Spain with an approximate combined value of €800 million, one of which will be a CSP Central Tower Receiver System. It was then shared that this technology will feature the first-ever commercial deployment of the industry-changing technology, and will set the standards for an anticipated 500 MW of CSP projects across the Sunbelt countries by 2012.

Plus, a prototype of a floating Solar Island, being developed at Ras Al Khaimah for trial, is expected to get completed by the end of this year