Law No. (6) of 2011 Regulating the Participation of the Private Sector in Electricity and Water Production in the Emirate of Dubai.

This Law consisting of 37 articles aims at regulating the private sector participation (Licensed Entities) in all Regulated Activities, meaning any activity related to generating electricity, desalinating and adding minerals to water, or a combination of generating electricity and desalinating and adding minerals to water, for the purpose of supplying the Transmission System with produced electricity and/or water. The entity is licensed by the Electricity and Water Sector Regulation and Control Office which also holds the following powers (i) establish the relevant standards and controls (including technical, health, environmental and safety) for conducting Regulated Activities; (ii) process applications for Licences and Exemptions related to conducting the Regulated Activities, and decide after obtaining the approval of the Supreme Energy Council; (iii) establish the rules and standards for operating the Transmission System and networking electricity generation and/or water desalination facilities; (iv) prepare the necessary studies and researches; and (v) maintain and organize registers that include all data and information related to the Licensed Entities.
The Law establishes that (i) it is prohibited to conduct Regulated Activities unless obtaining in advance the relevant license from the Office; (ii) the Dubai Electricity and Water Authority (DEWA) may establish all types of Project Companies including individuals, companies and corporations that are not holding the nationality of the United Arab Emirates; (iii) the DEWA may grant a Project Company, for a period not exceeding 99 years, usufruct or any other real right over any part of land (specified by Law) or the land owned by the Authority; (iv) upon request of the Licensed Entity, the Office may decide to exempt it from compliance with certain conditions set out in its license and notify the exempted entity in writing with the nature, extent, conditions and term of this exemption, or any amendment or cancellation thereof; (v) the Council shall issue the environmental, health and technical standards as well as the safety standards related to conducting Regulated Activities in order to ensure that Licensed Entities conduct the Regulated Activities in accordance with the best international practice; (vi) a Licensed Entity may not sell, supply or provide the produced electricity or water to any entity; and (vii) the Office is authorized to audit and inspect the Licensed Entity.