A Q&A guide to electricity regulation in the United Arab Emirates. . The Abu Dhabi Water and Electricity Authority (ADWEA) is the single buyer. (Adwea) into the emirate’s newly established department of energy as The Regulation & Supervision Bureau (RSB), which oversees water. 3. Abu Dhabi Water and Electricity Authority (ADWEA). 4. Regulation and Supervision Bureau (RSB). 5. Town Planning Department (TPD). 6.

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Some industrial projects have not been able to secure sufficient power supply and have had to resort to captive power generation. Three water and power authorities owned regu,ation each of the individual emirates of Dubai, Abu Dhabi and Sharjah see below.

Two new solar photovoltaic plants called Noor 1 and Noor 2 are proposed to be constructed bywhich will have a combined generating capacity of MW. See table, Renewable energy sources.

In regulafion UAE, private companies do not supply electricity directly to end users. Renewable energy Solar power is currently viewed as the most attractive renewable technology for the UAE, as:.

The Private Equity Review. The Healthcare Law Review. SEWA has commissioned and inaugurated the Al Khan power transmission and distribution station worth All activities relating to electricity generation, transmission, distribution and supply of electricity are considered regulated activities in Dubai and require a licence from the Office. Editor Theodore L Garrett. Decentralised energy decision-making structures, which may not allow for the making of economically optimal choices for an emirate or the country.

Electricity demand in the UAE reached billion kilowatt-hours inplacing the UAE among the highest electricity consumers per capita in the world. With the industry enduring a fourth straight year of low oil prices, and with no prospects for a significant increase in sight, participants in the industry have been forced to adapt.

Concerns about the need to provide baseload power. Electricity rates are subsidised throughout the UAE and it is therefore not viable for private producers to construct power plants within the free zones.

United Arab Emirates

To what extent is electricity imported? With the success of its pilot project involving the installation of solar photovoltaic cells on 11 school and government buildings across the emirate, Masdar proposes to further expand the installation of solar panels to reduce dependence on hydrocarbon fuels. Are there any requirements to ensure new power stations are ready for carbon capture and storage CCS technology, or requiring a plant to retrofit CCS technology once this is ready?


The components of the power distribution system include all associated equipment including:. The currency is freely convertible and funds can be freely repatriated. Owns and operates all the electricity transmission and distribution networks within the northern emirates.

Additionally, the Regulation and Supervision Bureau provided support to the Abu Dhabi Environment, Health and Safety Centre in reviewing and developing codes of practice. The UAE started to take serious steps towards the promotion of diversity in the energy sector, through the adoption of the UAE nuclear programme for adewa production of electricity at the Barakah nuclear power plant in the western region of Abu Reghlation.

Dubai has also established the Dubai Carbon Centre of Excellence, responsible for encouraging and developing strategies towards reducing the emirate’s dependence on carbon fuels and reducing carbon emissions. The UAE is recognising the need for the efficient use of energy and electricity and is currently revamping its existing infrastructure.

A specialist regulatory body for the nuclear energy sector has been created. The notable projects 13 are as follows:. In the same year, DEWA Innovation Centre, rgulation consists of a laboratory for research and development in clean energy, was inaugurated.

Electricity regulation in the United Arab Emirates: overview | Practical Law

The present fuel surcharge rate applicable in the emirate of Dubai is 6. Environmental law is global in its reach. This plant has been operational since September and generates 1,MW. These developments, however, currently remain restricted to the government sector despite the various initiatives that were launched to permit private sector participation.

SEWA is authorised to determine electricity prices and connection fees, which are subject to approval by the Ruler of Sharjah. These authorities are vertically integrated and operate in all three segments of the market. Two new regulatory bodies have been created: Nonetheless, recent initiatives in the field of renewable energy have made the UAE one of the most dynamic and exciting markets for renewable energy in the region.


It has also launched a carbon capture and storage project in the UAE.

Masdar currently produces 17,MWh of electricity annually, at its solar photovoltaic power plant located at the Masdar City for supply of clean power to the project. So far, only Dubai and Abu Dhabi have enacted laws creating specialised regulatory bodies for the electricity sector.

As ofDEWA has signed a memorandum of understanding with Siemens to kick-off a pilot project for the regions first solar-driven hydrogen electrolysis facility at DEWA’s outdoor testing facilities at the Solar Park in Dubai. Regulatory framework The UAE power and water sectors are heavily influenced by the structure of the government and the significant powers afforded to the individual emirates under the UAE Constitution of UAE Constitution. EnPark is also Dubai’s first master-planned community built on sustainable principles.

In Dubai, existing buildings are currently being retrofitted by Etihad ESCO while Sharjah is replacing and renovating its cables and meters.

The DSCE also proposes any and all initiatives related to the energy sector, which includes the privatisation of its electricity assets and implementing the provisions of Dubai’s Law No. Dubai has established a Dubai Green Fund and established Etihad ESCO, which is expected to contribute towards the development of the renewable energy sector and an energy efficient community.

The northern emirates have been suffering insufficient power and electricity generation. See box, The regulatory authorities.

Electricity regulation in the United Arab Emirates: overview

The project has not yet been awarded to any bidder. The restructuring was intended to create a more specialised and robust central regulatory authority at the federal level. In addition, according to its website, a number of patents are already pending registration. An agreement was also signed this year to transmit nuclear power to the ENG.

Last modified: November 20, 2020