Regulatory Framework for Water & Electricity Tariffs in Dubai

Dubai Electricity & Water Authority (DEWA), a Public Joint Stock Company, is the primary provider of electricity and water to consumers in Dubai and has a critical role in Dubai’s economy, society, and achievement of sustainability goals.

The electricity and water tariffs employed by DEWA are determined based on the following process:

The Board of Directors of DEWA may propose revisions to tariffs chargeable to electricity and water consumers.
The Dubai Supreme Council of Energy (“DSCE”) will review and assess any tariff revisions proposed by DEWA.
The DSCE will make recommendations in respect of the proposed tariff revisions to the Dubai Executive Council; and
The Dubai Executive Council will then consider for approval the recommendations made by the Board of Directors of DEWA, as per the Law No. 27 of 2021, taking into consideration the review and recommendations of the DSCE.

In assessing proposed tariff revisions, the DSCE will take into consideration and aim to deliver a fair outcome for consumers, DEWA (including its shareholders), and other key stakeholders.

Any tariff revisions will consider, among other factors, DEWA’s asset base, investment plans, operating and maintenance costs and financial structure.

Tariffs will also seek to ensure efficiency, including:

Service quality: maintenance and improvement of safety, security of supply, and customer service standards.
Sustainability: alignment with the environmental and social policy goals of Dubai and the UAE.
Investment and operations: recovery of efficiently incurred operating costs and capital costs including a fair return on investment.