TAQA Business Overview H1 2023
OPEX*
•
Regulatory Control 2 (RC2) comes into force for 2023-2026
Favorable changes for TAQA relative to RC1
RC2
•
•
Approved and applicable
from 1 Jan 2023 to 31 Dec
2026
Framework applicable to
TRANSCO, AADC, & ADDC
Average annual OPEX
allowance of c. AED 3.5
billion/year for all three
companies combined
A healthy increase over RC1
allowance
*: Permitted revenues, opex and capex allowances, all exclude the impact of inflation
CAPEX*
Real WACC
Revised higher to 4.9%,
compared to 4.6% for RC1
AED 47.5 billion over 2023-
2026 in aggregate for all three
companies
•
Exclusive of passthrough
costs
Corporate Tax
Permitted revenues*
•
•
Aggregate CAPEX allowance
of c. AED 14.5 billion over
2023-2026 for all three
companies combined
RC2 final decision also allows
unapproved schemes to be
included in RAB subject to ex-
post review by the DoE
UAE corporate income tax to
be compensated via
adjustment to OPEX allowance
on an ex-post basis
11
TAQA
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