Understanding Electricity Costs in Dubai: Key Insights
Intro
As one of the world’s fastest-growing cities, Dubai stands as a significant hub for business and tourism. But with growth comes responsibility, particularly concerning energy consumption. Understanding the cost of electricity in this vibrant city is no small feat; it involves wading through layers of pricing structures, governmental policies, and market trends. This exploration is vital not only for residents but also for prospective investors and expatriates looking to establish roots in Dubai’s realm.
For anyone who has settled in Dubai or is contemplating it, the cost of electricity is more than just a line item on the monthly bill. It reflects the intricate ecosystem of supply and demand, cultural habits, and legislative shifts that shape the energy landscape. Clarity in this area can offer crucial insights, enabling households and businesses to optimize their energy use effectively.
Market Trends
Current Market Overview
In the heart of the Middle East, Dubai's electricity sector is undergoing rapid transformation. The current cost per kilowatt-hour varies, influenced by factors such as fuel prices, demand cycles, and energy-saving initiatives from the government. As of 2023, consumers can expect to pay an average of 24 fils per kilowatt-hour for residential needs, though this figure can fluctuate based on consumption levels and time of use.
The government’s push for renewable energy, notably the Dubai Clean Energy Strategy 2050, is also reshaping the market. The strategy sets an ambitious target to generate 75% of Dubai's energy from clean sources by 2050. This shift will likely alter pricing structures in unforeseen ways, allowing for more sustainable options and possibly lower costs in the long run.
- Fuel Prices: Fluctuations in global oil and gas prices directly impact electricity rates.
- Peak Demand: In summer months, the surge in air conditioning use represents a significant portion of electricity consumption, which can drive up prices.
- Sustainable Initiatives: As renewable energy sources become more prevalent, there's a potential to see competitive pricing emerge as technology advances.
Predictions for Future Developments
Looking ahead, the trajectory of electricity costs in Dubai appears to be on an upward curve, at least in the short term. The combination of increasing demand, global market influences, and ongoing development projects suggest that those moving to the city, either for business or pleasure, may want to brace for a slightly tighter energy budget.
Long-term forecasts do hint at a more optimistic scenario as wide-scale adoption of renewable technologies could potentially stabilize or even decrease costs. Keeping a keen eye on how these energy policies unfold is essential for anyone with a vested interest in the Dubai market.
"In an era where sustainability intertwines with energy consumption, understanding these trends can open doors not only for savings but also for environmentally conscious living."
Staying informed about such trends today may illuminate opportunities for potential investments and more prudent lifestyle choices tomorrow.
Prelims to Electricity Costs in Dubai
Electricity costs in Dubai are a crucial topic of discussion for residents, expatriates, and investors alike, influencing countless decisions from budgeting to property selection. In a rapidly growing metropolis known for its towering skyscrapers and innovative infrastructure, understanding how electricity rates are determined and the factors affecting them is essential for anyone engaging with the real estate market or considering relocation.
The cost of electricity impacts not only individual households but also businesses, shaping the economic landscape. It is vital for potential buyers and renters to grasp these costs as they directly affect monthly expenses and overall living standards. Whether it's a small apartment downtown or a spacious villa in the suburbs, the price of powering one’s home can vary significantly based on usage patterns and tariff structures.
Moreover, the interplay between government policies, economic trends, and sustainable initiatives adds layers of complexity to electricity pricing. If you’re a prospective investor looking to capitalize on Dubai’s booming property market, awareness of these pricing mechanisms can provide a competitive edge.
Consider this:
The Dubai Electricity and Water Authority (DEWA) implements regulations that directly influence consumer bills. A nuanced understanding enables individuals and businesses to plan financial commitments better, making it an indispensable part of financial literacy in the region.
In this section, we will delve into the foundational aspects of electricity costs in Dubai, shedding light on different pricing models, the role of government subsidies, and the nuances that residents must navigate. By grasping these elements, readers will be well-equipped to make informed decisions, aligning their personal or investment goals with the realities of the electricity market in this vibrant city.
Understanding electricity costs is not merely an academic exercise; rather, it's an essential component of a strategic approach to living, investing, or simply enjoying the unique lifestyle that Dubai offers. Throughout this article, we will unravel this intricate subject, ensuring that both seasoned investors and newcomers alike find valuable insights tailored to their needs.
Current Electricity Rates per Unit
Understanding the current electricity rates per unit in Dubai is essential for anyone living in or considering moving to this vibrant city. Knowing these rates can help residents, businesses, and investors make informed decisions about their energy consumption. It's not just about the costs, but how these rates fit into the larger context of financial planning, budgeting, and investment opportunities in the real estate market.
The pricing structure for electricity impacts everything from rental agreements to the cost of owning homes, which can be a significant concern for newcomers. For real estate agents, comprehending electricity rates can enhance their advisory services, helping clients establish feasible budgets. For investors, the utility costs might play a critical role in assessing potential property values or returns.
Standard Tariffs for Residential Consumers
In Dubai, the electricity tariffs for residential consumers are tiered to ensure that households can manage their utility expenses effectively. The standard rate, as of the latest data, tends to vary based on the overall consumption. This means that the more one uses, the higher the rates can climb, reflective of a tiered pricing system designed to encourage energy conservation.
Generally, the base rate for electricity starts at around 0.30 AED per kilowatt-hour (kWh). Once consumption surpasses certain thresholds, the cost can rise. This progressive structure supports energy-saving behaviors among residents. Consumers should take note of how much energy they typically use, as it can significantly influence their monthly bills.
For those looking to keep costs in check, being aware of peak usage hours and adjusting routines can help minimize expenses. Simple steps, like using energy-efficient appliances or turning off lights when not in use, are golden opportunities for savings.
Commercial Electricity Rates
Commercial electricity rates in Dubai differ from residential ones, primarily based on the size and nature of the businesses. Higher demand typically results in different pricing, with costs averaging around 0.45 AED per kWh for commercial entities. This higher rate reflects the increased load that businesses place on the electrical grid. Although the tariffs can seem steep, they are structured to support the growth of businesses in the city.
Such considerations can greatly affect the profitability of ventures operating in Dubai. Entrepreneurs and business owners need to factor in these costs when devising their financial models. For instance, a cafe or retail outlet should project their utility costs accurately to avoid falling short on budgets, especially during hotter months when air conditioning loads soar.
Government Subsidies and Their Impact
The role of government subsidies in electricity pricing is another critical dimension worth analyzing. The Abu Dhabi Water and Electricity Authority (ADWEA) and the Dubai Electricity and Water Authority (DEWA) implement various subsidies to keep the electricity affordable for low-income households. These subsidies can lower the energy tariff significantly, making it easier for residents to manage their utility bills.
In recent years, these subsidies are gradually being reduced as the government shifts its focus towards renewable energy sources. Thus, while current residents may benefit from these subsidies, future implications suggest that rates could increase as subsidies decrease. This adjustment may impact new expatriates or those considering real estate investments, amplifying the importance of evaluating long-term costs and sustainability initiatives.
"The subtle interplay of tariffs and subsidies can influence market dynamics significantly. Understanding them is key for anyone looking to invest in real estate or open a business in Dubai."
By comprehensively examining the current electricity rates per unit, stakeholders can better navigate the complexities of the energy market in Dubai. Whether it’s homeowners, renters, or business leaders, knowledge of these tariffs, their structure, and the government’s influence can lead to more judicious financial decisions and strategic planning.
Factors Influencing Electricity Costs
Understanding the various factors that influence electricity costs in Dubai is crucial for residents, businesses, and investors alike. This knowledge not only aids in comprehending how costs are structured but also highlights areas where efficiencies can be pursued. As the city grows and evolves, keeping a finger on the pulse of these elements aids in making informed decisions regarding energy consumption and costs. Whether you’re a property buyer deciding on the right location or a renter trying to budget utility expenses, grasping these dynamics can help you avoid any unpleasant surprises on your utility bills.
Supply and Demand Dynamics
The interplay of supply and demand tremendously shapes electricity pricing. In Dubai, the demand for power spikes notably during the summer months when air conditioning units are running full throttle. This increased demand can lead to higher costs per unit. It's a classic case of basic economic principles at work. When demand outstrips supply, prices tend to climb. Conversely, in cooler months when the energy load decreases, consumers might enjoy lower rates.
To give you a glimpse into how this dynamic plays out, let’s consider the importance of historical data on consumption patterns. Energy providers look at these trends to plan for future needs. The fluctuations can lead to adjustments in energy tariffs, making it vital for consumers to stay informed. Residents in high-demand areas, for instance, may experience price surges much quicker than those in less populated regions. Therefore, understanding these factors can mean the difference between smart energy choices and costly oversights.
Energy Source Variability
The type of energy sources utilized in Dubai significantly influences electricity costs. Dubai's energy primarily relies on natural gas, although there’s an ongoing initiative to integrate more renewable sources like solar power. The variability in energy production means that when cheaper energy sources are in abundance, prices can drop. However, as reliance on fossil fuels continues, fluctuations in the global oil market can spike costs unexpectedly.
For example:
- If natural gas prices rise internationally, consumers can feel the pinch almost immediately.
- On the contrary, if solar power projects gain momentum and effectively contribute to the energy grid, savings could trickle down to consumers.
It’s also important to consider the cost associated with infrastructure needed to support these energy sources. The initial capital for renewing energy infrastructure can be high, but the potential savings regarding ongoing supply buying is an essential calculation for future cost trends.
Economic Growth and Infrastructure Development
As Dubai continues its rapid economic expansion, the demand for electricity invariably grows. New businesses, including luxury hotels and sprawling malls, require significant energy to operate, making energy infrastructure pivotal for sustained economic health. However, this growth can lead to increased prices if supply does not keep pace with demand.
Moreover, governmental investments in energy efficiency initiatives and infrastructure can either alleviate or exacerbate these rising costs. If the city invests in smart grids or more efficient energy distribution channels, it may help mitigate some cost increases associated with growth. On the other hand, if investments lag, it could lead to inefficiencies that result in higher prices across the board.
Comparison to Global Electricity Costs
Understanding how Dubai's electricity rates stack up against global metrics offers crucial insights for various stakeholders, such as real estate agents, investors, and homebuyers. This comparison helps to identify whether Dubai’s rates are competitive and what that means in a broader context, affecting decisions regarding property purchases and utility management. Moreover, such an analysis highlights opportunities for cost savings and efficiency improvements in energy consumption.
Electricity Prices in Neighboring Regions
When examining electricity prices in the nearby regions, it becomes evident how local economies impact cost structures. Neighboring countries like Oman, Saudi Arabia, and Qatar have varying approaches to energy pricing. For instance, Oman often experiences electricity charges that are lower than those in Dubai, largely due to governmental subsidies and different methods of energy production. In contrast, Saudi Arabia's electricity prices are also regulated, but their reliance on oil too can lead to fluctuations that affect consumer costs.
- Oman: Lower tariffs attributed to extensive natural gas supplies.
- Saudi Arabia: Price volatility linked to oil dependency.
- Qatar: Competitive rates resulting from a diverse energy mix.
In Dubai, the base electricity rates tend to be structured based on consumption tiers, making it essential for consumers to understand not just their local charges but also those of their neighbors. This knowledge enables them to appreciate the nuances of their own utility bills in the context of regional standards.
Analysis of International Electricity Rates
Broadening the scope to include international electricity rates reveals even more layers to the conversation. Many cities across Europe and North America face significantly higher costs than Dubai, primarily due to varied energy production sources and environmental regulations.
For example, cities like Copenhagen and San Francisco have made strides in renewable energy, resulting in high per-unit prices but also cleaner energy transitions. Comparatively, cities in developing countries, such as New Delhi or Jakarta, may show lower rates but often suffer from unreliable service and poor infrastructure.
"In Europe, average electricity prices can hover around €0.20 per kWh, emphasizing the importance of policy and renewable integration."
- Europe: Higher prices due to renewables and taxes.
- North America: Rates can vary widely, depending on state regulations and energy sources.
By analyzing these international comparisons, it's clear that while Dubai offers competitive pricing, it must also navigate the trade-offs associated with its energy sources and economic structure. This complexity is vital for prospective investors and residents to consider, as energy costs play a pivotal role in long-term financial planning and lifestyle choices in Dubai.
Environmental Considerations
When analyzing electricity costs in Dubai, it's essential to consider the environmental ramifications that accompany energy production and consumption. The intricate balance between managing electricity costs and ensuring a sustainable energy future cannot be understated. As global awareness grows regarding the impact of fossil fuels and traditional energy sources, this section sheds light on significant facets that touch both ecological and economic grounds.
Understanding environmental considerations directly enhances the insight into how pricing structures are influenced by ecological policies and developments. Furthermore, there’s a pressing need for electricity generation that minimizes harm to the environment while effectively meeting the demands of residents and businesses alike.
Sustainability Initiatives in Energy Production
Dubai has made remarkable strides in promoting sustainability within its energy production framework. The government's vision for a green economy has led to various initiatives aimed at reducing the carbon footprint associated with electricity generation. Key measures include investments in solar power and other eco-friendly technologies, fostering an environment where sustainable development becomes the norm rather than the exception.
For instance, the Mohammed bin Rashid Al Maktoum Solar Park stands out as one of the largest in the world, emphasizing the use of solar energy. This solar park not only contributes significantly to the energy supply but also helps in reducing dependence on fossil fuels.
Additionally, projects like rooftop solar panels are being encouraged across the emirate, allowing homeowners and businesses to generate their own electricity while promoting a culture of energy efficiency.
Engagement with local communities is equally critical. Programs aimed at raising awareness of energy conservation and sustainability practices can help residents understand the benefits of using clean energy, ultimately reflecting on electricity costs in a positive manner.
Renewable Energy Adoption in Dubai
Renewable energy adoption in Dubai is rapidly gaining traction, and it plays a pivotal role in shaping the electric landscape of the emirate. The push for diversified energy sources is crucial for reducing costs and enhancing the reliability of the electricity supply. By tapping into wind, solar, and other renewable resources, Dubai aims to reach its ambitious goal of sourcing 75% of its energy from renewable sources by 2050.
The integration of these resources entails specific challenges, such as the need for advanced infrastructure and smart grids. However, the long-term benefits—lower costs, energy independence, and favorable environmental impact—truly outweigh the initial hurdles.
Moreover, the adoption of renewables gives rise to job creation and economic growth in sectors associated with green technologies, which can be particularly attractive for investors and expatriates looking into Dubai's real estate market. As more residential and commercial properties equip themselves with renewable energy systems, the ripple effects can be seen in the broader financial ecosystem, driving down overall electricity costs in the long run.
"Transitioning to renewable energy isn't just about saving the planet; it’s an economic strategy that lays the groundwork for future investments and sustainable growth."
Impact of Electricity Costs on Real Estate Decisions
As the landscape of Dubai continues to evolve, the importance of understanding electricity costs cannot be overstated, particulary for those involved in real estate, whether as investors, property buyers, or renters. The cost of electricity plays a crucial role in determining the overall affordability and appeal of properties, shaping decisions from the ground up. For instance, a seemingly attractive property may lose its luster when potential buyers or tenants realize that the electricity costs are sky-high.
Buying a home or investing in property involves numerous factors, but utility expenses can tip the scales dramatically. High electricity bills can limit the spending power of potential tenants and buyers, making properties with reasonable energy costs far more desirable. Key considerations for prospective property owners often revolve around assessing the implications of these costs in relation to their overall financial strategy.
Considerations for Property Buyers
When buyers are looking at different properties, electricity costs should definitely be on their radar. Let's face it: a beautiful, spacious home may seem like a steal until electricity rates come into play. Buyers need to perform a careful analysis of potential utility expenses, including:
- Researching Average Costs: Familiarizing oneself with the average electricity rates in specific neighborhoods can prevent unpleasant surprises down the line.
- Assessing Property Energy Efficiency: Energy-efficient homes offer better insulation and less reliance on electricity for heating or cooling, which is key in Dubai's hot climate. Homes built with materials designed to retain cool air can drastically reduce energy consumption.
- Understanding Building Age and Condition: Older buildings might not be insulated properly and could use more energy for heating or cooling than newer, more technologically advanced properties.
Renting Properties in Relation to Utility Costs
The rental market in Dubai showcases varied electricity charges that can deeply affect budgeting for renters. A property with low rent might come with high electricity costs, impacting an individual’s decision-making process.
Here are several factors to weigh when renters consider electricity in their leasing agreements:
- Fixed vs. Variable Costs: Some rentals include fixed electricity charges, while others don’t. Before signing a lease, reading between the lines is essential. A tenant should know if they might face separate utility bills that could surprise them.
- Identifying Energy Consumption Patterns: It’s valuable to look at past electricity bills for a property. This provides insight into how much energy is consumed on average, helping to gauge future bills.
- Exploring Location Benefits: Properties closer to public transport or amenities may share loading in terms of energy usage, allowing for shared facilities that can ultimately reduce electrical expenses.
Investment Opportunities and Energy Costs
In terms of investment, understanding electricity costs can help identify lucrative opportunities. An area with anticipated growth in energy-efficient properties might spell profit down the line. Some important things to keep in mind include:
- Emerging Markets in Sustainability: With Dubai’s significant push toward renewable energy initiatives, properties that showcase lower electricity costs or higher efficiency could appreciate faster.
- Resale Value: Energy-efficient homes tend to hold their value better and attract more buyers, especially those conscious of utility expenses in an increasingly competitive market.
- Government Policies: Understanding the future direction of electricity pricing and any impending regulations can provide foresight into potentially profitable investments.
"A deep understanding of the electricity pricing landscape can not only influence your decisions today but can also shape your potential returns tomorrow."
Investing in real estate in Dubai without considering the remote aspects of electricity costs might be akin to playing a game of darts blindfolded; the odds are stacked against making a fruitful shot. By remaining vigilant and informed about these factors, investors and home seekers alike can make more strategic decisions that align their investments with a more sustainable future.
Strategies for Reducing Electricity Expenses
Reducing electricity expenses is not just a matter of saving money; it’s about wise management of resources and sustainable living. In a city like Dubai, where the climate can drive up energy consumption, understanding how to lower these costs is crucial for residents, expatriates, and business owners alike. Implementing strategies for reducing electricity expenses can help individuals and businesses keep their budgets on track while minimizing their environmental impact.
Energy Efficiency Measures
Energy efficiency measures can take various forms, from simple lifestyle changes to larger investments in home improvements. Adopting efficient appliances and devices is a fundamental step. For instance, Energy Star-rated appliances consume less electricity compared to standard models. Furthermore, upgrading to higher-efficiency heating, ventilation, and air conditioning systems can drastically reduce energy usage. Here are some more measures that can be effective:
- Insulation: Ensure walls and roofs are properly insulated to reduce the need for heating and cooling.
- Lighting: Switch to LED bulbs, which use significantly less energy than incandescent or fluorescent lamps.
- Programmable Thermostats: These devices allow users to set temperatures according to their schedules, ensuring that energy is not wasted when no one is home.
By adopting energy-efficient practices and technologies, consumers in Dubai can see a noticeable decline in their monthly electric bills.
Smart Home Technologies and Their Benefits
The rise of smart home technologies presents an innovative way to manage and reduce electricity expenses effectively. Smart home systems provide users with flexible and convenient control over their energy use. For example, smart thermostats can learn the homeowner's habits and adjust the heating and cooling systems accordingly, optimizing energy consumption.
Benefits of Smart Home Technologies:
- Remote Control: Access home systems from anywhere via smartphone apps, allowing for adjustments that reduce unnecessary energy use.
- Automated Scheduling: Set schedules for devices, such as turning off lights or adjusting thermostats at specific times.
- Real-time Monitoring: Receive data on power usage, helping users identify areas to cut back.
Integrating smart technology can not only lead to financial savings but can also create a more comfortable living environment.
Effective Usage Patterns for Consumers
Effective usage patterns form the backbone of an energy-conscious household or business. The way electricity is used can dramatically influence overall costs. Here are some key patterns to consider:
- Peak Hours Awareness: Being mindful of peak demand times can lead to savings. Avoid running large appliances during peak hours when rates tend to be higher.
- Unplugging Unused Devices: Many devices consume power even when not in use—this is known as phantom load. Unplugging these devices can help reduce unnecessary consumption.
- Routine Maintenance: Regular maintenance of appliances ensures they operate efficiently. For example, cleaning filters in air conditioners or checking insulation can prevent energy loss.
Ultimately, the key to reducing electricity expenses lies not only in technology but in changing behaviors and creating new habits around energy use.
"Energy efficiency isn’t just a cost-cutting measure; it’s a way to build a sustainable future for everybody."
By applying these strategies diligently, homeowners, renters, and businesses in Dubai can better manage their electricity costs, contributing to a more energy-efficient community.
Future Trends in Electricity Pricing
In a city as dynamic as Dubai, the trajectory of electricity pricing holds substantial implications for residents, businesses, and potential investors. Understanding these future trends isn’t merely an academic exercise; it’s a crucial aspect that influences economic viability, sustainability efforts, and overall quality of life in this vibrant metropolis. A keen eye on how electricity costs evolve over time can equip stakeholders with the foresight needed to make informed decisions.
Long-term Projections for Energy Costs
Analyzing the long-term projections for energy costs in Dubai requires a multi-faceted approach. Several factors are at play, ranging from advancements in technology to shifts in global energy markets.
In recent years, the emergence of renewable energy sources has begun reshaping the landscape. The Dubai Clean Energy Strategy aims to ensure that at least 75% of the city’s energy comes from clean sources by 2050. If this ambitious plan is executed well, residents and businesses could see a marked reduction in electricity costs over time due to decreased reliance on fossil fuels.
- Key factors influencing long-term projections include:
- Global Oil Prices: Fluctuations in oil markets can have a downstream effect on electricity costs.
- Technological Advances: The rise of battery storage and smart grid technologies could enhance efficiency and lower costs.
- Regulatory Changes: Government initiatives aimed at boosting renewable energy could alter the pricing structure considerably.
The economic variability, coupled with ongoing investments in technology, might mean that while initial costs may remain high, the projected long-term outcome can lead to savings for both consumers and businesses.
Policy Changes and Predictions
Policies play a pivotal role in shaping the electricity pricing framework in any region, and Dubai is no exception. With the ongoing push for sustainability, local policymakers are likely to introduce measures that not only promote renewable energy adoption but also revamp how traditional electricity tariffs are structured.
- Some potential policy changes on the horizon include:
- Incentives for Green Energy Use: Policies that incentivize the installation of solar panels or other renewable sources could shift consumer behavior and influence cost structures.
- Dynamic Pricing Models: Introducing time-based pricing models can encourage consumers to use electricity during off-peak hours, potentially leading to lower bills.
- Environmental Regulations: Stricter emission standards may lead to increased operational costs for fossil fuel-based power plants, which might be translated into higher consumer prices.
Understanding these policy changes is vital for anyone invested in Dubai's property market or energy sector. As the regulatory environment evolves, so too will the financial landscape of electricity consumption, making it necessary for consumers to stay informed.
As Dubai navigates these changes, being proactive in understanding future trends will be essential for maximizing savings and making prudent decisions.
In summary, anticipating the future of electricity pricing in Dubai involves diving into technological, economic, and policy trends. Awareness of these elements prepares stakeholders for impending changes and fosters a deeper understanding of the energy landscape.
Culmination
In delving into the topic of electricity costs in Dubai, it's clear that understanding these expenses is vital for residents, investors, and businesses. Electricity is not just a commodity; it's a foundational element that influences lifestyles, operational costs, and investment decisions. For those eyeing real estate in this vibrant city, grasping the nuances of electricity pricing can greatly inform purchasing strategies or rental choices.
The complexity of electricity pricing arises from multiple factors that interplay within the economy. From fluctuating demand during peak seasons to the sources of energy utilized, which could range from natural gas to solar power, each component factors significantly into the final cost per unit. This understanding isn't merely academic – it affects tangible aspects of daily life. For homeowners, it means budgeting more accurately; for investors, it translates to assessing the viability of properties in various locales.
Moreover, the wider implications extend beyond individual consumers. The policies set by the Dubai Electricity and Water Authority (DEWA) shape the landscape of energy consumption. As initiatives aimed at sustainability evolve, the ripple effect on electricity costs can be profound. Keeping an eye on these developments offers insights into future investment opportunities as the energy sector continues to adapt and respond to global trends.
"In today’s rapidly changing world, knowledge is the currency of power. Understanding the costs that underlie electricity consumption in Dubai empowers consumers and investors alike."
As one navigates the complexities of this marketplace, being informed about the underlying economic principles and environmental factors is crucial. The comparison of regional electricity costs provides context, making it easier to grasp where Dubai stands on the global stage, further influencing decisions regarding long-term commitments – be it buying a home or starting a new business.
By synthesizing the information from various sections explored in this article, one can appreciate that electricity costs are not isolated figures. Rather, they are interconnected with many aspects of life in Dubai. Therefore, for anyone looking to engage with this dynamic city, a thorough understanding of electricity pricing is not just beneficial; it is essential.
