A new Memorandum of Understanding (MoU) has been signed to explore preferential electricity tariffs for industrial customers in Ras Al Khaimah. The agreement, involving Etihad Water and Electricity (EtihadWE) and the Investment and Development Office of Ras Al Khaimah (IDO), was formalized in the presence of Sheikh Khalid bin Saud Al Qasimi, Vice Chairman of IDO, and H.E. Suhail Mohamed Al Mazrouei, UAE Minister of Energy and Infrastructure and Chairman of EtihadWE’s Board of Directors.
The MoU outlines plans to negotiate a bulk supply agreement (BSA), which would provide eligible industrial customers in Ras Al Khaimah with discounted electricity rates through a bulk aggregation mechanism.
Eng. Yousif Ahmed Al Ali, CEO of EtihadWE, highlighted the initiative’s economic potential, saying “This MoU with the Investment and Development Office of Ras Al Khaimah demonstrates our commitment to supporting the industrial sector in the Northern Emirates. By exploring opportunities to provide more competitive electricity pricing, we aim to contribute to a positive business environment, fostering economic growth and job creation in the region.”
“This has clear benefits for industrial businesses, their employees, and their customers; as well as for communities and the wider economy. This is a reflection of EtihadWE’s commitment to providing energy and supporting the growth of the national economy.”
Mr. Mohammed Sultan Al Qadi, Managing Director of IDO, emphasized the broader benefits, stating “This collaboration reflects our shared commitment to supporting businesses and driving growth in Ras Al Khaimah. By exploring solutions that make energy more accessible and affordable, we aim to create meaningful opportunities for industries, their employees, and the wider community.”
The agreement is part of EtihadWE’s broader strategy to support the industrial sector in the Northern Emirates through enhanced energy management. Established in 2020, the utility company manages electricity and water infrastructure in the region, operating a network of 8,000 km of water pipelines and 15,000 km of power lines, with a water storage capacity of 600 million gallons.
The Industrial Tariff Initiative, launched in May 2024, has already reduced electricity costs for industrial consumers and data centers with high energy usage. Tariffs range from 32 fils/kWh to 26 fils/kWh, depending on consumption levels, along with reduced connection fees and waived security deposits.
The IDO, established in 2004, is a key economic development arm of Ras Al Khaimah, managing long-term investments to drive the Emirate’s economic diversification and growth in line with the UAE’s national agenda.
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