United Arab Emirates

The Challenge

As an integrated water and electricity utility company in Abu Dhabi emirate, the Al Ain Distribution Company (AADC) must comply with the regulatory framework governed by the Regulation & Supervision Bureau (RSB). This includes incentives and residential energy efficiency and management targets. Failure to meet these targets or to develop and submit a strategy which would set out how the company intended to achieve these targets would result in AADC incurring a substantial financial penalty. IPA was commissioned to help AADC comply with these requirements and, thereby, avoid the financial penalties.

Our Solution

IPA provided regulatory and consulting support for AADC in three key areas:

  • Developing a Performance Benchmarking Strategy, linked to the Risk Management Process, to guide the long term improvement of corporate performance;
  • Maximising value by reducing residential demand for power and water, as well as water distribution losses; and
  • Providing ongoing support to AADC in its Regulatory Compliance, Monitoring and Reporting interfaces with the RSB.

IPA also assisted AADC in the development of water and electricity Demand Side Management (DSM) Plans covering the period to 2020. These plans included:

  • Setting out the business case for implementing a robust DSM strategy within the organisation;
  • Establishing the company’s Vision and Mission Statements for DSM;
  • Developing a strategic approach for implementing the DSM plans by identifying the key factors that need to be met for the successful implementation of the plans;
  • Setting out the strategy for engaging with and managing stakeholders efficiently and effectively; and
  • Providing detailed Implementation Roadmaps for both the water and electricity sectors.

We also provided capacity building and training support to AADC staff to enable them to effectively implement and manage these plans.