Electric car drivers in the UAE got a big break recently. The UAE Government announces new EV charging subsidy, ushering in a fair and transparent system that charges AED 0.70/kWh for AC and AED 1.20/kWh for DC charging at public stations. This update, tied to broader green goals, went live in January 2025.
Let’s see what this subsidy means, how it affects EV owners, the tools now available, and what it all means for driving EVs in the UAE.
A Simple Overview
Starting January 2025, free charging is ending across the UAE public EV stations. Instead, drivers will now pay:
- AED 0.70/kWh + VAT for AC (slow) charging
- AED 1.20/kWh + VAT for DC (fast) charging
These two standardized rates apply across the board thanks to the UAEV (UAE Vehicle) network, the government’s primary EV charging operator.
This marks the shift from incentive-based charging to a sustainable, long-term model that supports network upkeep, future growth, and quality service.
Why the Charge and What Makes It a ‘Subsidy’?
At first glance, charging drivers for power seems anything but a subsidy. But here’s why it’s considered one:
- Below-market rates: Even with VAT, AED 0.70/kWh is well below usual electricity costs. Fast charges are still capped below global DC rates.
- Government support: It’s a controlled rollout meant to promote EVs, not punish them. Early infrastructure benefited from public funding and subsidies. Now, drivers help share maintenance costs.
- Investor confidence: By avoiding sudden hikes, the UAE signals consistency to private partners and charging operators, key for their continued participation.
This controlled pricing helps the UAE move from free rides to sustainable infrastructure support without shocking EV owners.
How It Impacts EV Owners Financially
Let’s compare the charging costs before and after January:
- Previously, Charging was free. Drivers saved thousands compared to petrol vehicles.
- Now:
- AC: AED 0.70 × 50 kWh = AED 35 (+ VAT)
- DC: AED 1.20 × 50 kWh = AED 60 (+ VAT)
In real terms, a full AC charge now costs AED 36.75, and DC comes out to AED 63 with VAT.
- AC charge (~300 km range on a midsize EV) costs AED 0.12/km
- DC gets you there faster (within 30–40min) but doubles the cost per kWh
EV charging remains way cheaper than petrol, where fuel prices hover around AED 3.00/liter.
Helping Drivers—Apps, Support, and Simplicity
The UAE isn’t just introducing charges—they’re rolling out tools to make charging easy:
- UAEV app launch: Locate stations, check real-time availability, start charging sessions, and pay automatically. EVLife
- 24/7 call centre: Round-the-clock assistance keeps drivers secure, especially during trips across Emirates.
- Price clarity: Standard rates prevent rate surprises across networks.
This user-focused rollout aims to make EV ownership practical, predictable, and hassle-free.
How the Charging Network Is Growing
A subsidy only works if the network can support demand. Here’s what’s happening:
- Goal of 1,000 stations by 2030: UAEV aims to roll this out across cities, highways, and key locations.
- DEWA’s expansion: Dubai alone has over 400 stations, aiming to nearly triple that by 2025.
- Private investment: ADNOC and TAQA’s E2GO plan to install 70,000 chargers in Abu Dhabi by 2030.
- Local production: A recent joint venture will produce EV chargers in the UAE starting late 2025. The EV Report
So, charging stations are not just increasing in number—they’ll be more advanced and widely distributed, offering drivers flexibility wherever they go.
Environmental and Strategic Benefits
Why push EV adoption? Here’s what’s behind the decision:
- Supports Net Zero 2050 strategy: The UAE aims to dramatically reduce transport emissions.
- Reduced CO₂ emissions: EVs run cleaner, especially when powered by renewable-clean grids.
- Cost savings for consumers: Even with fees, EVs remain cheaper to refuel and maintain.
- Energy independence: Charging EVs helps shift demand from imported petrol to locally produced electricity.
This policy isn’t just financial—it’s about climate leadership and energy transition.
What This Means for You as a Driver
For current EV owners
- Budget AED 40–70 more per full charge monthly, versus zero before.
- Enjoy better access and reliability as network quality improves.
- Manage sessions conveniently via app and support services.
For potential buyers
- Factor new usage costs into your ROI calculations.
- Compare AC vs DC usage based on your travel habits.
- Look out for deals: some developers and supermarkets may offer free AC charging perks.
How the UAE Subscription Compares Globally
| Region | AC (c/kWh) | DC/CSS (c/kWh) |
| Dubai (UAE) | 70 | 120 |
| USA avg | 15–25 | 30–60 |
| Europe avg | 30–50 | 50–70 |
| GCC before UAE | 50–70 | 90–120 |
Despite the introduction of fees, the UAE’s AC rate still ranks fairly low globally, making public EV charging competitive and driver-friendly.
What Drivers Should Do Now
- Download the UAEV app (search “UAEV EV charging UAE”) before driving.
- Monitor stations regularly, especially during Ramadan weekend trips.
- Choose station types wisely: use AC for regular health; DC only when needed.
- Check for subscription or membership plans that may offer lower pricing for frequent users.
- Plan long trips: factor in DC costs and station availability in your route.
The Future Outlook
- Rate reviews: Expect annual adjustments. The first is due in January 2026.
- Battery recycling infrastructure: Rolling out under National EV policy
- Tech improvements: Think V2G chargers and ultra-fast hubs beyond 2025.
- Home charging evolution: Residential setups could see incentives in near future.
Final Thoughts
The UAE Government announces new EV charging subsidy as both a milestone and a pivot. Charging is no longer free, but it’s now structured, affordable, predictable, and sustainable. Thanks to apps, growing infrastructure, and consumer-ready rates, the UAE ensures EVs stay a smart and green choice.
If you’re thinking of going electric, you’re not just saving on fuel—you’re part of a national transformation. With AC prices still under AED 1/kWh, the UAE makes sure being green doesn’t come at a high cost.
