ADDED Expands Energy Incentives Programme

  • ETIP 2.0 is an expansion of the Electricity Tariff Incentive Programme launched by ADDED’s Industrial Department Bureau (IDB) in 2019.
  • This programme accentuates our transition towards a circular, smart, and sustainable economy

The Abu Dhabi Department of Economic Development (ADDED) has announced the expansion of the energy incentives programme to enhance further economic impact and boost manufacturers’ productivity in the Emirate. The Energy Tariff Incentive Programme 2.0 (ETIP 2.0), an expansion of the Electricity Tariff Incentive Programme launched by ADDED’s Industrial Department Bureau (IDB) in 2019, will support the industrial sector by offering preferential rates for gas and electricity based on eligibility criteria. These criteria include Emiratisation rate, economic impact, energy management efficiency, etc. Expanding the programme to include gas tariffs will reduce operations expenses drastically.

The Manufacturing entities earned (ETIP) certificates reached 55, having AED24 billion as a total investment, and the number of new enrolments have increased since the programme was extended to include SMEs. In addition, reports show that the productivity of industrial facilities has increased by 15 per cent due to this programme. The Chairman of ADDED, Mohamed Ali Al Shorafa, said, “The Abu Dhabi industrial strategy has set ambitious objectives to establish the Emirate as the most competitive industrial hub in the region. To this end, we are rolling out initiatives to enhance the manufacturing sector’s attractiveness to local, regional, and international investors by continuously enhancing the business ecosystem.”

He also added, “Our energy incentives programme is taking a new depth to address new realities in energy markets and the industrial sector. Enhancing the efficiency of energy consumption will support the industrial sector to increase its contribution to the GDP as we target to more than double it to AED172 billion by 2031. This programme also accentuates our transition towards a circular, smart, and sustainable economy as well as other pillars and transformational programmes of the industrial strategy, including talent development- a top priority for us,”. In conclusion, ADDED recent launch of the land incentives programme offers long-term lease contracts with rates as low as AED5 per square metre, enhancing capital expenditures and cash-flow management to promote manufacturers’ growth and development.

 

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