The Electricity Tariff Incentive Program (ETIP), recently launched in line with the Abu Dhabi Development Accelerators Programs ‘Ghadan 21,’ is expected to contribute to the increase of companies’ capitals, which will enable them to further develop their industrial products, enhance their business value, and improve competitiveness across the local and wider markets.
‘Electricity Tariff Incentive Program’ took effect at the start of July 2019, while the reduced costs will be applied retroactively from April 1, 2019, for the benefit of concerned companies. This program falls in line with ADDED’s vision to enhance the business environment and create new horizons for further growth and sustainability, which in turn, will provide key support for these companies’ efforts to be competitive across the local, regional, and global levels.
The program falls in line with the ‘Ghadan 21’ program and follows three key criteria--economic impact, productivity – value addition, and distribution companies’ eligibility criteria, in addition to three other identified categories for industrial facilities’ evaluation. The new tariff is calculated based on their respective categories based on the three identified criteria, starting from AED 0.17 for category ‘A,’ which requires the facility to score more than 80 points, noting that this tariff increases when evaluating the company under category ‘B,’ requiring between 60 to 80 points and category ‘C,’ requiring between 50 to 59 points based on the fact that the program will contribute to reducing electricity cost by 40 percent.