Dewa increase price of security deposits for new accounts


Ramola Talwar Badam
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DUBAI // The security deposit for new electricity and water connections in Dubai homes has been doubled by the Dubai Electricity and Water Authority.

The refundable deposit for Dewa utility connections for an apartment has increased to Dh2,110 from Dh1,110 and for a villa to Dh4,100 from Dh2,100, confirmed a Dewa customer centre official.

The new rate has been in effect from September 21, he said.

Dewa clarified that the higher rate did not apply to residents in existing premises.

“Dewa is not increasing security deposits for existing customers in their current premises but there is a new rate for security deposits for new move-ins to ensure that new tenants will not be affected by any outstanding bills from previous tenants,” the authority said in a statement on Wednesday.

“Dewa would like to emphasise that all security deposits are fully-refundable on settling the final bill, so that residents will continue to receive world-class electricity and water services.”

The news upset residents already weighed down by rising rents.

“This is just ridiculous,” said Karim, who rents an apartment in Discovery Gardens.

“It just makes things worse for new tenants because they are already struggling because of the very high rents. Generally people should not be worried about it because it’s a deposit and they will get it back. But it’s still ridiculous because with the current hike in rent and now this new deposit, it’s just too much for people to pay.”

Another tenant said the refund process should be quick and straightforward.

“I’ve never gone through a refund process with Dewa yet but in most cases to get money back you face lots of challenges,” said Bilal, who had to clear an amount of Dh230 that his landlord had not settled when he first moved into his apartment.

“You will put cash on the counter to open an account but to get a refund you will have to go through six people. I had to clear outstanding dues because I was told I could not get a new account unless I cleared the outstanding and of course I haven’t yet got it back from the landlord.

“The refund process should be simple and fast especially since the deposit amount has gone up.”

rtalwar@thenational.ae