Subject:

The Make it in the Emirates Forum is an annual event to unveiling initiatives, partnerships, and enablers designed to boost the growth and competitiveness of the UAE's industrial sector. Since its launch in 2022, the forum has offered various enablers and incentives aimed at strengthening the purchasing power of industrial and service companies operating in the country.

Furthermore, the forum attracted industrial and technological investments, bolstering the national economy and reinforcing the UAE's status as a leading industrial hub, with a strong emphasis on innovation and foresight.

During the third edition of the forum in May 2024, a new initiative was announced to offer a reduced energy consumption tariff for the industrial sector in four emirates - Ras Al Khaimah, Fujairah, Ajman, and Umm Al Quwain. In collaboration between the Ministry of Industry and Advanced Technology, the Ministry of Energy and Infrastructure, and Etihad Water & Electricity Company, the initiative aims to support the growth of industrial companies.

This new measure is designed to reduce manufacturers' operational costs and enhance their competitiveness in the market. Under this initiative, companies will benefit from an energy discount ranging from 10% to a maximum of 26% per kilowatt-hour. Factories consuming more than 10,000 megawatt-hours per month will receive the most favorable rate of 26 fils per kilowatt-hour.

The tariff reduction comes as an outcome of the Industrial Development Council, which led by His Excellency Dr. Sultan Al Jaber, Minister of Industry and Advanced Technology. The council, comprising federal and local government entities alongside private sector representatives, is devoted to fostering integration and creating a conducive and attractive business environment for local and international investors in the industrial sector.

These efforts are in line with the National Strategy for Industry and Advanced Technology (Operation 300bn), aimed at boosting the growth and competitiveness of the UAE's industrial sector by offering more enablers and competitive advantages for industrial companies. The new tariff intends to enhance the competitiveness of UAE products in both local and international markets, increase national in-country value, and promote technological transformation.

The initiative also offers additional incentives for plants, such as flexible installation and connection service fees with the network. These fees can be either added to the monthly consumption fees or paid upfront, with the latter option being 20% less expensive than traditional installation service fees. Furthermore, all clients in this category will be exempt from insurance fees at no additional cost.

Objective:

·       Inform partners, stakeholders and the community about the latest initiatives that support and enable the growth and competitiveness of the industrial sector.

·       Clarify the requirements for industrial companies to benefit from the new tariff.

·       Highlight the integration between the ministry and its stakeholder to create an attractive investment ecosystem in the industrial sector.

Outcomes:

·       Enhance the awareness of manufacturers and suppliers about the significance of Operation 300bn and its role in cultivating a supportive environment for business growth.

·       Increase awareness among industrial companies about the efforts of the Make it in the Emirates initiative and the Industrial Development Council.

·       Strengthen investors' confidence in the enablers and incentives provided by the National Strategy for Industry and Advanced Technology.