Time-of-day pricing trial to be launched in Abu Dhabi


Nick Carter, Director
General, Regulation and
Supervision Bureau of
Abu Dhabi
Abu Dhabi, UAE — (METERING.COM) — January 8, 2013 – A time-of-day energy purchasing trial is about to get under way in Abu Dhabi under the supervision of the Powerwise Office of the Regulation and Supervision Bureau of Abu Dhabi, following the successful completion of the installation phase.

The trial involves 400 households, fitted with smart meters and in-home customer display units (CDUs) featuring easy-to-read LCD screens and consumer friendly green, amber and red lights that provide at-a-glance information.

The smart meters are linked to an indicative tariff that will measure the effectiveness of time-of-day pricing. Peak time runs from 14h00 to 20h00 and off-peak time from 20h00 to 14h00 the following day, with the off-peak electricity 40 percent cheaper and the peak rate double the current standard rate.

Volunteer homes were selected in June from pre-defined gated communities.

“It is at the top of the Abu Dhabi’s agenda to conserve energy and precious resources for future generations,” said Nick Carter, the Bureau’s director general. “By helping people understand how much energy they consume and when they consume it, collectively we can work towards more efficient and economical solutions for everyone; the sector and consumers alike.”

With the completion of the installation phase, households will now familiarize themselves with the workings of the CDUs. This will allow them to effectively track their household electricity use on an ongoing basis.

Next steps include the introduction of a web portal that will allow participants to understand their progress throughout the trial. All households in the trial will receive personalized reports on a monthly basis.

The trial will run through late 2013, when the Powerwise Office will review the results to determine the effect of time-of-day pricing on consumption habits.

The initiative is aimed at ultimately changing consumption habits by encouraging conservation and incentivizing the use of electricity outside of peak demand hours, thus putting less strain on the electricity grid and potentially saving money.