Dubai - Arabstoday
Dubai Electricity and Water Authority (DEWA), the monopoly state utility, said Tuesday its income in the first half of the year rose nine percent on increased sales. Income in the six months to June 31 rose to AED1.63bn from AED1.5bn in the year-earlier period, the state utility said in a statement to Nasdaq Dubai. Revenue gained 42 percent to AED6.6bn, the company said, but finance costs jumped to AED1.6bn on foreign currency losses and bank borrowings. DEWA, considered one of Dubai\'s strongest assets, has sole responsibility for transmission and distribution of power and water supply in the emirate. The UAE is one of the highest per capita consumers of water and electricity in the world. Rising demand for power in Dubai, where soaring summer temperatures drive up air conditioning use, has forced the emirate to buy more natural gas to feed its power stations. Dubai\'s Supreme Council of Energy said this month it planned to launch a gas strategy in 2012 aimed at cutting energy demand in Dubai. The emirate’s top energy council also said it would freeze electricity and water tariffs in the emirate over the coming years. DEWA’s chief executive said in March the company plans annual capital expenditures of around $1bn over the next three years and expects Dubai\'s energy use to increase by between six and seven percent in 2011.The utility was rated investment grade by Standard & Poor\'s in June. The international ratings agency rated it BBB-, the lowest investment grade rating on the agency\'s scale, with a \"stable\" outlook, citing the high potential of government support in the event of financial trouble. From / Arabian Business News