President Ibrahim Mohamed, on Monday, has ratified the Maldives Energy Act.
Maldives Energy Act (Law no: 18/2021) was passed by the People’s Majilis at the 16th sitting of its third session of this year, held on Tuesday, September 21.
The Act establishes a legal framework for the provision of energy in the Maldives – dealing with both production and consumption. It also sets out the rights of consumers and the rights of service providers, including the quality providers must uphold and the responsibility to price reasonably.
The Act also addresses enhancing energy in the view of establishing sustainable energy services which are safe for the environment. In this regard, the Act stipulates tolerance for climate change and awareness of the carbon footprint – in addition to indicating measures to reduce expenditure and promote greener methods and technology of generating and disseminating energy.
As a main purpose - the Act also stipulates the safe, secure and suitable storage and maintenance of energy-related, along with the rights and obligations of energy users and providers.
It also lays down policies for granting energy service provider licenses, and the transition to a renewable-energy-based economy and meets the Maldives’ carbon-neutral goals.
Regulations for taking action against individuals who intentionally damage energy resources and services, as well as against inadequate energy service providers are also outlined.
The ratification of this Act – means that the existing Maldives Energy Act, (Act no. 4/96), the Public Services Act will now be void.
Following ratification, Maldives Energy Act has now been published in the Government Gazette and will take immediate effect.
As per the Act, the regulations which need to be formulated under the Act must be published within 12 months of its effective date.