All transactions within the water and electricity sector now occur on an economic basis. At the point at which the distribution companies come to supply customers, the government can set tariffs below cost and make up the shortfall in revenue to the distribution companies by way of subsidies.
Charges and tariffs applied to services provided by the sector related to:
- wholesale generation/production, transmission, distribution, and supply of electricity and water
- collection, treatment and disposal of wastewater
- production, distribution and supply of recycled water
The tariffs and charges can be categorised as:
(a) charges applied at an intra-sector level between operating companies
Electricity and Water Bulk Supply Tariff (BST): Emirates Water and Electricity Company (EWEC) is responsible for setting the Bulk Supply Tariff (BST), which defines the terms on which it sells bulk power and water to its licensed customers within the Emirate of Abu Dhabi, mainly Al Ain Distribution Company (AADC) and Abu Dhabi Distribution Company (ADDC). The BST may also be used to define the terms on which EWEC allocates costs to unlicensed sales outside the Emirate of Abu Dhabi.
Transmission Use of System (TUoS): Abu Dhabi Transmission and Dispatch Company is responsible for setting the TUoS charges to be levied to its customers, mainly Al Ain Distribution Company (AADC), Abu Dhabi Distribution Company (ADDC) and Emirates Water and Electricity Company (EWEC), for their use of TRANSCO’s electricity and water transmission systems. The objective of the TUoS charge is to allow TRANSCO to recover its MAR as per the price control as well as provide suitable economic signals to its customers for efficient use of its transmission systems.
Recycled Water Bulk Supply Tariff (BST): Abu Dhabi Sewerage Services Company (ADSSC) is responsible for setting the Bulk Supply Tariff (BST) rate for the sale of bulk recycled water to its customers, mainly Al Ain Distribution Company (AADC) and Abu Dhabi Distribution Company (ADDC). The Distribution companies sell the recycled water to their customers (end-users) who pay a standard tariff decided by the government for the use of recycled water.
(b) tariffs charged to end-users
For more information on end-user tariffs, please refer to the main websites of the Distribution Companies (AADC and ADDC).