Public Policy Document

The Policy to Regulate the Market for Energy Services Companies in the UAE was issued in 2023 and constitutes a framework for energy stakeholders at the federal and local levels. The policy provides guidelines for the contractual framework between energy stakeholders and the various contracting mechanisms to consolidate the mechanisms of doing business, financing, and partnerships between the public and private sectors. This will encourage energy service providers and private sector companies to invest in government projects, with the goal of reducing energy and water consumption, carbon footprint, and operational costs in buildings.

1. Support the energy services’ market in the UAE.
2. Develop the UAE’s market of energy service providers, in partnership between the public and private sectors.
3. Find the best solutions to encourage financing for energy efficiency and renewable energy projects.
4. Encourage investment in energy efficiency systems and renewable projects.
5. Reduce total energy demand by 40% by 2050, as per the UAE Energy Strategy 2050.
6. Reduce the total demand for water resources by 21%, as per the UAE Water Security Strategy 2036.
7. Comply with the national regulation for the minimum energy and water performance standards and efficiency.
8. Contribute to the construction of highly efficient buildings.
9. Support current policies and guidelines, and advocate for creating and activating new nationwide guidelines and policies in the same field.
10. Achieve sustainable economic development.
     

1. The policy regulates the relationship between energy services companies, government entities and the private sector, as it unifies the work mechanisms, financing mechanisms and partnership with the private sector. The policy clarifies the contractual framework between all parties and the different contracting mechanisms.
2. The policy encourages investment by energy services companies and the private sector in government projects (energy and water consumption reduction projects) as it helps achieve the government’s goals of reducing energy and water consumption, reducing the carbon footprint and rationalizing the operating expenses of buildings.
3. The policy supports the Emirates that do not have a regulatory or legislative framework for the energy services market, which contributes to achieving their goals and aligning them with the goals of the UAE and the National Energy and Water Demand Side Management Program.
4. The provisions set forth by the policy regulating the UAE’s market of energy service providers will be implemented as a guideline to further develop the market of energy services companies in the UAE, in partnership between the public and private sectors. 

1. Reduce energy consumption in government buildings by 20% for the next five years.
2. Reduce water use in government buildings by 23% for the next five years.
3. Contribute to clean energy by 5%.
4. Build a unified database of establishments.
5. Cut down operational costs by 20% in federal buildings.
6. Promote the sustainability of buildings by an approximate 5-10%.
7. Decrease the demand of energy in the construction sector by 51% by 2050.
8. Reduce the demand for water the buildings and facilities sector by 40% by 2050.
9. Raise awareness of energy and water conservation and underline the importance of behavioral change.
    

Federal Government Entities utilizing federal government buildings (Emirates Health Services, Emirates Schools Establishment, and the General Authority of Islamic Affairs and Endowments), relevant local authorities, such as electricity and water authorities, global and local energy service providers, and community members.