Dubai Electricity and Water Authority PJSC (ISIN: AED001801011) (Symbol: DEWA), the exclusive provider of electricity and water services to the Emirate of Dubai, listed on the Dubai Financial Market (DFM), today reported its preliminary report and no audited for the full year 2023. consolidated financial results, which recorded full-year consolidated revenue of AED 29.2 billion, net profit of AED 7.9 billion and quarterly revenue of AED 7.1 billion and net profits of AED 1.8 billion. Full-year audited results are expected to be released in the first week of March 2024.
DEWA strategy delivers record financial performance
DEWA’s annual consolidated revenue increased by 7.0% to AED 29.2 billion in 2023, which was mainly due to an increase in demand for electricity, water and cooling services. DEWA focuses on its core strategic objective of achieving sustainable growth, staying at the forefront of intelligent and innovative operational excellence and optimizing returns for all its stakeholders while minimizing its environmental footprint.
Annual Operating Performance Summary:
The system’s energy demand soared to a maximum of 56.5 TWh in 2023, representing an annual increase of 6.3% compared to the 53.2 TWh recorded in 2022. In particular, DEWA generated 6.2 TWh of clean energy during the year, which represents an increase of 32.7% compared to the previous year. year. This clean energy accounted for 11% of the total energy generated in 2023. DEWA is committed to using clean energy to maintain a sustainable generation mix to meet ever-growing demand.
DEWA saw a notable 9.0% increase in its annual peak demand compared to 2022, reaching 10.4 GW in 2023. The annual gross heat rate of 8,365 BTU/kWh achieved represents a 2.79% improvement over to the previous year and is the best in DEWA history. . The plant’s annual reliability factor remained above the target of 99.70%. These achievements highlight the company’s unwavering commitment to operational excellence.
The system’s desalinated water demand in 2023 grew 5.2% from the previous year, reaching a record 144.1 billion imperial gallons (BIG). The maximum daily demand for desalinated water reached 434 MIG, which represents an increase of 4.91% compared to the previous year.
By the end of 2023, DEWA serves 1,211,475 customers, having added 53,974 customer accounts in the year, an impressive 4.66% increase over the previous year. DEWA achieved a global milestone by recording the lowest loss of electricity minutes per customer in 2023, with a minimum of 1.06 minutes per customer, surpassing its previous record of 1.19 minutes per customer in 2022.
Quarterly summary of operational performance:
In the fourth quarter of 2023, DEWA continued its upward trajectory by generating 13.4 TWh, a notable increase of 7.66% compared to the same period in 2022. During this quarter, DEWA achieved a 26.79% increase in generation of clean energy, contributing 1.4 TWh to the total. generational mix. Simultaneously, the production of desalinated water in the quarter reached 36.2 BIG, showing an increase of 5.3%. DEWA expanded its customer base by 11,163 customer accounts during the quarter, reflecting steady growth.
“At DEWA, we continue our journey of excellence and sustainable growth, guided by the vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the United Arab Emirates and Ruler of Dubai, and the directives of His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of the Dubai Executive Council, and His Highness Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai, Deputy Prime Minister and Minister of Finance of the United Arab Emirates Joined. I am pleased to report that we have achieved significant results and unprecedented milestones for DEWA. We have achieved the highest annual revenue and operating profit in DEWA’s history. Our growth in electricity generation of 6.1%, our total installed capacity of 15.7 GW with around 17% contributed by renewable sources, our peak load of 10.4 GW and customer accounts exceeding 1.2 million, are the highest ever reported.”
saying HE Saeed Mohammed Al Tayer, MD and CEO of DEWA.
I am optimistic about our operational and financial prospects for 2024 and beyond. DEWA is keen to support the Dubai Economic Agenda (D33), which aims to double the size of Dubai’s economy over the next decade. Our strategy, growth pillars and capital commitments are well positioned to deliver on our energy transition ambitions to achieve the Dubai Clean Energy Strategy 2050 and the Dubai Net Zero Emissions Strategy 2050 to provide 100% production capacity. of energy from clean energy sources by 2050. while supporting the strong demand for our unique portfolio of products and services in Dubai,”
aggregate Al Tayer.
“DEWA’s shareholder strategy focuses on long-term value creation through strong management, strategic investment in infrastructure and a commitment to continuous innovation. By taking a client-centric approach and embracing ESG leadership, we aim to deliver sustainable returns and position the company as a trusted investment option.”
noted Al Tayer.
At the end of 2023, the Company’s installed generation capacity was 15.7 GW, of which 2.6 GW came from clean energy sources.
At the end of 2023, DEWA’s 829 MW Phase 4 Al Aweer station was 94.5% complete and the 250 MW Hatta Hydropower Station was 82.5% complete. DEWA expects to add additional solar capacity as part of its ongoing IPP projects. The company’s total installed generation capacity is expected to reach 20 GW by 2030. Of this 20 GW capacity, DEWA will have 5.3 GW representing around 27% of the generation, coming from clean sources.
By 2030, DEWA will add 240 MIGD of desalination capacity, using seawater reverse osmosis technology. By then, DEWA’s total installed desalinated capacity will reach 735 MIGD.
In 2023, DEWA expanded its substation network.
DEWA expanded its fiber optic cable network by 364 km to 3,998 km in 2023.
At the end of 2023, DEWA’s water tank capacity was 911 MIG. Additional capacity is being built.
In 2023, DEWA will reduce 9.1 million tons of CO2, of which 6.6 million tons of CO2 emissions thanks to its efficiency improvement and emissions reduction initiatives and 2.5 million tons of the operational phases of the Mohammed bin Rashid Al Maktoum Solar Park.
Corporate Actions: Dividends, Dividend Policy and General Assembly
Under DEWA’s dividend policy, the company expects to pay a minimum annual dividend of AED 6.2 billion in the first five years starting October 2022. Dividends are paid semi-annually in April and October. On October 26, 2023, DEWA distributed AED 3.1 billion as dividend for the first half of 2023 to its shareholders, based on a record date of October 18, 2023. The upcoming dividend of AED 3.1 billion for the second half of 2023 is distributed in April 2024. , subject to the approval of DEWA shareholders at the general meeting, which is proposed to be held on March 28, 2024. The issuance of an invitation to the next general meeting of DEWA is subject to the approval of the UAE Securities and Commodities Authority.
Awards selected for 2023
DEWA won Guinness World Records in 2023 for the fourth phase of the Mohammed bin Rashid Al Maktoum Solar Park, which features the world’s tallest solar tower, at 263,126 metres, and the largest thermal energy storage capacity of 5,907 megawatt hours (MWh). ).
DEWA won the Great Place to Work Certificate® 2023, presented by the Great Place to Work® Institute, in collaboration with Fortune magazine, being the first among UAE and GCC government organizations. HE Saeed Mohammed Al Tayer, Director General and CEO of DEWA, received the UAE Leadership of the Year 2023 award, for his successful leadership of DEWA following the highest international standards of excellence.
DEWA won the Hydrogen Project of the Year 2023 award for its green hydrogen project at the Mohammed bin Rashid Al Maktoum Solar Park. This was part of the Hydrogen Future Awards 2023, organized during the ‘Connecting Green Hydrogen MENA’ (CGHM2023) conference in Dubai. HE Saeed Mohammed Al Tayer, CEO and CEO of DEWA, was also awarded the 2023 Global Energy Transition Leader award, which recognizes influential leaders who have made significant global contributions to the clean energy industry.
DEWA also won the ‘Research and Innovation Award’ for first place in government sector organizations in the field of national energy balance. These awards corroborate DEWA’s continued efforts in research, development and innovation.
News source: Dubai Press Office