DEWA mulls electric vehicle incentives

Reducing customs duty or subsidising the cost of the vehicle are being discussed.

Saeed Mohammed Al Tayer, MD and CEO of DEWA
Saeed Mohammed Al Tayer, MD and CEO of DEWA

DEWA is mulling a number of incentives to promote electric vehicles in Dubai including reducing the customs duty or subsidising the cost of the vehicle.

Saeed Mohammad Al Tayer, MD and CEO of DEWA, revealed the potential measures following the inauguration of Dubai’s first public electric vehicle charging station at Dubai Silicon Oasis (DSO).

Promoting the use of the eco-friendly vehicles is one of the three pillars of an initiative to make Dubai the smartest city in the world, along with smart metres and solar power.

“The Executive Council of Dubai is studying various proposals to encourage people to use eco-friendly vehicles. Having the infrastructure ready for charging the vehicles is a first step in this direction,” Al Tayer said, according to Gulf News.

DEWA unveiled the first charging station at its premises last month and plans to have 100 points across Dubai by the end of the year.

“Electric vehicles have a 50% reduction in fuel cost compared with conventional petrol vehicles, which itself is a big incentive to go for these vehicles and if the proposal of subsidy that is being studied is approved, it will be an added incentive for people,” said Eng Muammar Khalid Al Katheri, executive vice president, engineer management at DSO.

He added that DEWA’s reduced tariff of 29 fils per kW should also encourage people to go for electric vehicles once there are enough charging stations across the city.

“In Europe and in the US there are subsidies at various levels if you own an electric vehicle, such as a waiver on customs duty, a discount at the dealership as well as reduced registration and testing charges. All these things are under study in Dubai as well and could be implemented soon,” he added.


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