May 2016

Dubai devises plans to encourage people to drive electric vehicles.

Photo Source: Gulf News

The UAE’s Ministry of Energy has devised an incentives program in order to encourage people to buy electric cars. During the recent announcement at Emirates Towers, Suhail Mohammad Faraj Al Mazroui, Minister of Energy, stated mentioned that the “Incentives for Using Electric Vehicles" will call for up to 10 per cent of government cars to be electric vehicles, while the long-term goal aspires up to 20 per cent.

Green bank loans, green insurance plans, attractive EV prices and green registration of vehicles are some of the planned incentives that will help encourage people to buy zero-carbon-emission electric vehicles. More details on the incentives will be announced at a later stage, however Al Mazroui also added that the Ministry is working on a road map to facilitate a 15 per cent decrease of carbon emissions by 2020.

Emirates Transport in Abu Dhabi as well as the Minister of Energy together signed 10 new agreements to move forward on the greener path. The Ministry of Energy added that the new program is positive for consumers because it is collaborating with banks, car companies and insurance firms to educate potential electric vehicle buyers on the advantages of going green to reduce greenhouse gases in the UAE. Making cost-effective electric vehicles more accessible will lead to a rise in both private and public sectors utilizing them.

Al Mazroui also added that electric car advantages are becoming more attractive due to the lower prices, higher travel ranges in one charge and the increase in charging stations across the UAE.

Tesla, Renault, Toyota and BMW all had their new electric vehicles on display during the program launch. Tesla expects to open its new showroom and service center in July in Dubai and at a later stage in Abu Dhabi, while Renault will be launching its new electric vehicle in Dubai in September. According to Elon Musk, founder and CEO of Tesla Motors, a new deal has been made between Tesla and the Roads and Transport Authority (RTA) for the provision of 200 electric cars.

Sheikh Ahmad Bin Said Al Maktoum, chairman of Dubai Supreme Council of Energy along with other council members authorized an incentive program to promote the use of electric vehicles in Dubai, which was decided by Dubai Electricity and Water Authority (DEWA) along with the Dubai Municipality. The Supreme Council established that government sectors are obligated to ensure that 10 per cent of all new purchases of vehicles are electric vehicles. In order to reduce carbon emissions in Dubai by 19 per cent by 2021, a new target has been established, of 2 per cent of all vehicles to be hybrid or electric by 2020.

Source: Arabian Business