The UAE is introducing a new pricing structure for Electric Vehicle (EV) charging, which will take effect on September 6. This initiative aims to standardize EV charging fees and promote sustainable transportation in the country.
According to Cabinet Resolution No. 81, published in the Official Gazette on July 8, service providers must charge a minimum of Dh1.20 plus VAT per kWh for ‘express’ charging and Dh0.70 plus VAT per kWh for ‘slow’ charging. The new fees will become effective 60 days after the publication date, on September 6, 2024.
The unified pricing structure is designed to make EV charging more predictable and encourage the adoption of electric vehicles across the UAE. By standardizing fees, the UAE seeks to enhance its EV infrastructure and support the transition to eco-friendly transportation options.
“The resolution aims to regulate the utility of electric vehicle services. It paves the way for a new era of renewable energy usage as a reliable alternative source of energy,” said Mostafa Hegab, Legal Counsel at Mansoor Lootah Advocates and Legal Consultants.
Hegab added that the decision benefits the industry “The resolution will encourage investors in the industry to install more renewable energy sources such as solar panels.” Although users who previously used the charging services for free will now incur charges, he noted that EV charging would still be cheaper and more affordable than petrol and diesel itself.
