Qatar Energy District Cooling Services Regulations
The March 2025 announcement by Qatar’s Minister of State for Energy Affairs marks an important milestone in the regulation of district cooling services under the framework of Cabinet’s Law No. 19 of 2024.
The law’s implementation will give the Qatar General Electricity and Water Corporation (KAHRAMAA) a critical role in managing and overseeing the district cooling industry, ensuring it meets the country’s broader sustainability and energy efficiency goals.
District cooling, which provides cooling energy through chilled water systems, will now be subject to rigorous regulations aimed at ensuring quality, sustainability, and the reduction of environmental impact.
Key provisions include:
Regulation and oversight by KAHRAMAA: KAHRAMAA will manage the licensing process, regulate service providers and retailers, determine service areas, and set technical and service standards. This ensures that cooling services are reliable and efficient.
License Requirements: To establish or operate a district cooling system, a license from the KAHRAMAA is mandatory. The license is granted for a period of 15 years and can be renewed for up to five years, with renewal applications required to be submitted one month before expiration.
Environmental and Sustainable Practices: The new regulations emphasize reducing energy consumption, water use, and carbon emissions. Specifically, the use of desalinated water for district cooling is prohibited, in line with Qatar’s broader sustainability initiatives.
This regulatory framework is designed to align district cooling services with Qatar’s strategic energy objectives, promoting sustainable growth and ensuring that the services are in line with global best practices in energy efficiency and environmental responsibility. The clear procedures for licensing and renewals also contribute to a well-structured and transparent regulatory environment that will encourage industry growth while prioritizing sustainability.
Sub-sectors with strong market potential
The list below provides the key sub-sectors in this industry:
• Heating, ventilation and air conditioning (HVAC) design, piping and equipment
• Energy Transfer Stations (ETS)
• Smart and digital technologies
• Research and Development – potential pilot projects on renewables, and energy efficiency and savings
Next Steps for the U.S. Client
U.S. companies offering quality solutions that match these opportunities should work with Commercial Specialist Golda Agnazata (Golda.Agnazata@trade.gov) at the U.S. Commercial Service in Qatar to explore matchmaking, market research, and other assistance.
Conduct Market Research
U.S. firms should closely monitor the following resources (hyperlinks included) to learn more about Qatar’s unique market and review potential opportunities:
• Qatar General Electricity & Water Corporation, for more information about KAHRAMAA
• Qatar New Agency, for any information and updates on the announcement.
For more information about opportunities in this sector, please contact: Golda Agnazata, Commercial Specialist, Golda.Agnazata@trade.gov