RERA disavows district cooling fees responsibility

Official says body in talks with government authorities over high fees

Discovery Gardens are one of the areas that would benefit from individual meters, RERA says. Picture: Supplied
Discovery Gardens are one of the areas that would benefit from individual meters, RERA says. Picture: Supplied

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The Real Estate Regulatory Authority of Dubai does not have any responsibility to regulate district cooling charges as it does not come under its remit, an official said earlier this week.

However, Mohammed Khalifa Bin Hammad, head of Real Estate Relations Management, RERA, said that the body would attempt to find a resolution in tandem with government authorities.

“RERA will not be responsible for controlling district cooling rates in Dubai. We are however, in talks with government authorities to do something about the high district cooling charges. From our side, we tell buildings with district cooling to fit individual meters in every apartment to help reduce costs to owners,” he explained, citing the Discovery Gardens as an example.

“Owners pay just AED1.66 per square foot annually towards common area maintenance. But they pay an additional AED12.06 per square foot towards total utility costs – split as AED4.62 per square foot per annum for common area utilities and AED7.44 per square foot for AC costs inside individual apartment units,” he told Xpress, a Dubai based free daily newspaper.

“Should individual meters be installed in apartments, the cost of district cooling is likely to come down.”

“People mistakenly believe that service fees are high in Discovery Gardens. According to RERA, the one-time cost of setting up individual meters in apartments should range between AED600 and AED1,500,” Bin Hammad added.

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