Abu Dhabi Continues Its Sustainability Push With New DSM Regulations

The Abu Dhabi Department of Energy is continuing to work towards promoting sustainability in the energy industry during the Year of Sustainability, 2023. The DoE announced that its Demand Side Management Regulations will be implemented from July 1, 2023, as part of the initiative to support Abu Dhabi Vision, the UAE Net Zero 2050 Strategic Initiative and related strategies.

The regulations are designed to reduce greenhouse gases, promote energy efficiency, and ensure customer comfort, safety, and health. The DoE also updates and expands the Abu Dhabi Demand Side Management and Energy Rationalization Strategy 2030 (DSM) to ensure the sustainability of energy resources in the Emirate.

The new Regulations also support future supply-side plans and projects, by delaying or avoiding investments in generation infrastructure, transmission infrastructure, and distribution networks, as well as reducing losses on the transmission and distribution network.

DoE will release the DSM Plan Guidelines each year as part of the annual planning phase. These guidelines will outline the main focus areas and priorities that must be captured by stockholders, who are required to develop and submit a DSM Plan for approval to DoE.

The DSM Plan will describe each DSM Initiative and the expected annual savings to be achieved. Annually, the DoE will review and approve DSM Plans based on a cost-benefit evaluation. Calculations that clearly demonstrate the effectiveness of initiatives are included.

Ahmed Mohammed Al Rumaithi said, “The Abu Dhabi DSM Strategy 2030 demonstrates the Emirate’s continual efforts to lead the transformation towards a reliable, secure and sustainable energy system, in line with UAE Net Zero by 2050 and the National DSM Programme. The strategy is based on cost-effective ways to improve energy security, reduce energy demand and supply gaps, and mitigate climate change while promoting sustainable development. “The implementation of DSM Regulations is not only beneficial to our industry but also our customers as it will improve health and convenience while ensuring the preservation of resources.”

Abu Dhabi’s projected energy demand will increase steadily in the coming decade. Consumption rates are expected to rise by 1.4% per year until 2035. Energy efficiency and rationalization will be key solutions in this scenario to combat energy and climate concerns. According to the latest forecasts by the Emirates Water and Electricity Company, the demand for electricity in Abu Dhabi is expected to continue growing rapidly until 2030 with an average annual growth rate of 5.4%. The increase in base load is due to an expected rise in manufacturing requirements. This makes energy efficiency and energy rationalisation necessary to tackle challenges related to climate change and energy security.

Al Rumaithi, the DoE’s Acting Executive Director for Energy Efficiency, stated that DoE is working to improve infrastructure in Abu Dhabi and enable it to excel globally. “We are committed to contributing actively to Abu Dhabi Demand-Side and Energy Rationalization Strategy 2020 with a bundle of regulatory enablers and supportive tools to help program owner meet their statutory requirement.”

DoE has been working hard to tackle urban challenges, particularly those related to water and energy consumption. The DSM strategy, so far, has helped reduce 3.3 million tons of carbon dioxide emissions. This is equivalent to a benefit of AED 1.1 billion and also saved up to 6,500GWh of electric power and 234 million cubic meters of water.

The DSM Regulations are in support of the government’s objectives in the Abu Dhabi Demand-Side Management and Energy Rationalization 2030 Strategy, which was announced in 2019. This strategy provides economic and environmental benefits that align with Abu Dhabi Vision as well as UAE’s national strategies. The strategy is designed to tackle supply and demand problems through a multi-stakeholder nine-program approach. This has the potential to reduce water and electricity consumption by up to 32% by 2030.

The programmes include Building Retrofits and Demand Response, as well as Building Regulations.