Restructure of the Sector

Abu Dhabi is positioning itself as a leader in the field of structural reforms and the development of organizational practices in the water and electricity sectors in the Middle East. In the last few years we have witnessed significant changes in the organizational methods and supervision of this sector.

Prior to the year 1995, the Department of water & Electricity { WED ) was responsible for all matters related to the sector, including power generation ,water desalination,  transmission, distribution and supply operations. The organization was based on a conventional hierarchical system descending from top to bottom like any other government department composed of different interrelated sections.

After establishment, ADWEA dissolved and restructured the vertical & horizontal organizational system of the old WED and implemented a new structure for the water and electricity sector on the first of January 1999.

ADWEA Organizational Structur

The affairs of ADWEA are managed by a Board of Management appointed by virtue of Amiri Decree.  The Board is chaired by H. H. Shaikh Diab Bin Zayed Al Nahyan. The Board carries out the assigned duties in accordance with government policies with respect to the water and electricity sector, including the privatization of this sector

The Planning and Development Directorate plays a very important role in the ADWEA Group and has four areas of responsibilities: Management and Development Department, Business Planning and Performance Department, Digital System Department and Quality Unit.

This Directorate is responsible for the ADWEA Group overall strategy, organization and development; monitoring and implementation of human resource policies and procedures; development of corporate business objectives, consolidation of the business plan for each group company and ensures compliance with short and long term objectives; coordinating all efforts to improve the quality of ADWEA’s services; directing efforts to become an organization with a business process design based on digital utility concept; and recommending automation of various feasible business operations and activities.

The Business Support Directorate comprises four Divisions: Human Resources, Administration, Supply and Finance. The overall objective of this Directorate is to complete the transition of the four functional divisions of ADWEA and its affiliates from governmental practices and procedures to a high performance group in its activities. The objective is to direct ADWEA Group to become a leader in the Gulf and comparable to other premier international companies in the sector.

ADWEA accomplishes this objective by adopting the best international management practices in the context of the environment and characteristics of the Abu Dhabi water and electricity sector. In order to achieve these goals, ADWEA has undertaken several major projects to increase the efficiency and effectiveness of the ADWEA Group. Such projects include: ORACLE FINANCIALS for finance; ORACLE HRMS for human resources management; MAXIMO for Computerized Maintenance and Materials Management (CMMMS); automated computerized purchase orders, contract communication, evaluation and approval without using paper forms; and Geographical Information System (GIS) for a geographical database for the transmission and distribution assets.  Many of these systems are integrated with each other to maximize the benefits from computer technology and programs to serve all maintenance, materials, stores, purchases and contract activities.  ADWEA is in step with global management developments by adopting these modern and advanced technology systems in all aspects pertaining to its daily affairs.

The Privatization Directorate carries out ADWEA policy with respect to the privatization pursuant to directives of AD Government, as a strategic option, in order to achieve many advantages including reduction of government financing of major projects in the water and electricity sector, boosting the domestic economy and provide job opportunities for UAE nationals.

The Privatization Directorate determines studies and manages privatization projects; as well as supervises the execution of these including sale of asset and incorporating independent production projects in order to secure supplies in accordance with the main plan. The directorate is also responsible for the coordination and supervision over all activities of ADWEA and its subsidiaries, from execution to commercial operation.

At present, and as part of ADWEA long term water & electricity sector privatization plan in AD, eight IWPP projects have been added to the water & electricity sector by inviting transparent competitive tenders based on "BOO" formula. Two projects included the sale and expansion of existing production assets. For establishing IWPP Projects, Public Joint Stock Companies were incorporated by ADWEA by entering into partnerships with international investment groups. Presently, action is being taken to privatize the rest of ADWEA companies operating in the field of production and distribution of water & electricity.

Participation of private capital and administrative expertise into a sector, which was monopolized by the Government, resulted in positive impacts giving rise to cost effective   performance and quality of services, utilizing updated techniques. Modern AWPP administration methods were reflected in all ADWEA companies, resulting in decreased costs.

The role of the Projects Directorate changed gradually in recent years; being not only confined to the execution of projects but also extended to participation, controlling and coordinating implementation of the projects by subsidiary companies.

 Projects Directorate manages the execution of highly valued projects on behalf of ADDC & AADC. It also plays an important function in consolidation and of common issues including standard specifications for water & electricity projects. The Projects Directorate is also revising the annual balance for the new projects drafted by ADDC & AADC and passing the estimates for approval. The Directorate supervises the execution of the special and strategic projects for storage of water for emergencies.

ADWEA Projects