Dubai’s electricity and water authority (DEWA) will not increase tariffs for utilities during 2012 despite plans to slash the emirate’s carbon emissions, the CEO of DEWA has said.
Rates for electricity and water will remain the same for both industry and residents, even in the face of a new carbon abatement programme which aims to reduce greenhouse gas emissions partly by trimming the demand for power, Saeed Al Tayer said.
Total fees could be subject to changes in surcharges due to oil price variations, but these were different from the basic rates charged by government, he added.
“There will be no increase in the tariffs [this year],” Al Tayer told Arabian Business on the sidelines of a Dubai press conference. “The surcharge is something else, this goes up and down with oil prices.
“But this is a separate issue. There will be no increase for tariffs.”
The Supreme Council of Energy (DSCE) today unveiled its carbon reduction initiative, which aims to minimise carbon emissions and in turn, boost foreign investment.
In partnership with the Dubai Carbon Centre of Excellence (DCCE), the DSCE said it was carrying out preliminary studies to verify the amount of carbon dioxide emissions in the emirate, before deciding on a target for reduction.
Eventually the DSCE wants to monetise the scheme through carbon trading. Plans to build renewable and nuclear energy facilities would therefore also form part of the carbon reduction strategy, officials said.
The UAE took its first steps towards reducing its dependence on oil and minimising its carbon footprint in 2009, when it announced plans to build a nuclear power plant.
The plant, which has already begun construction, is set to include four nuclear reactors, the first of which will come online in 2017.
Last month, the emirate also unveiled its first multi-billion-dirham, 1000Mw solar energy park, to be managed and operated by DEWA. The first unit, with a capacity of 10MW, would be commissioned by October 2013, Al Tayer said.For all the latest energy and oil news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.