Suhail Al Mazrouei, UAE minister of Energy and Infrastructure, announced that the UAE is set to invest up to AED200 billion ($54.45 billion) over the next six years to satisfy the growing demand for sustainable energy. This initiative is part of the country’s commitment to decarbonizing the economy and achieving net-zero emissions by 2050.
During his address at ADIPEC 2024, Al Mazrouei emphasized the importance of diversifying the energy mix and increasing reliance on clean energy sources, noting that these efforts align with the objective of reducing carbon intensity in the oil and gas sectors by an additional 25 percent within the next decade.
Bold approach to clean energy
Al Mazrouei asserted that the UAE exemplifies a bold and pragmatic approach to transitioning towards clean energy, expressing a commitment to fulfilling today’s global energy requirements while making substantial investments in clean energy systems for the future. He mentioned that significant projects in clean energy are already operational, with many more in development.
Call to action for the energy sector
ADIPEC 2024 commenced on Monday, celebrating 40 years of energy leadership by gathering global leaders under the theme “Connecting Minds. Transforming Energy.” In his opening remarks, His Excellency Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and ADNOC managing director and group CEO, urged the energy sector to spearhead the next phase of sustainable socioeconomic development. He further called on the industry to seize opportunities presented by global megatrends and emphasized that capitalizing on these trends necessitates unprecedented integration across sectors to accelerate sustainable growth.
Focus on energy transition
Taking place in Abu Dhabi from November 4 to 7, ADIPEC 2024 is expected to attract over 184,000 attendees. Among the more than 1,800 speakers, over 40 ministers and 200 top executives from around the world will participate in more than 370 conference sessions. These discussions will explore critical energy transition priorities, highlighting the importance of adopting transformative solutions such as artificial intelligence to enhance lives globally and promote sustainability and prosperity.
UAE leading the clean energy revolution
The UAE’s rapid progress in clean energy highlights its role as a leader in the global transition to sustainable energy. Ryan McPherson, regional director for the Middle East and Africa at the Energy Industries Council (EIC), noted in September 2024 that the country’s comprehensive strategy incorporates solar, wind, green hydrogen, and carbon capture technologies, positioning it at the forefront of the clean energy revolution.
Expansion of renewable energy projects
McPherson commended the UAE’s dedication to expanding its renewable energy portfolio. In a statement to the Emirates News Agency (WAM), he pointed out that the UAE launched seven renewable energy projects valued at $2.16 billion between the latter half of 2023 and the first half of 2024. These initiatives encompass various renewable technologies, including energy from waste and geothermal energy. He also mentioned that by the end of the year, the UAE will have 13 operational solar power projects, contributing 10.6 GW to the national energy grid by 2024. McPherson further that the UAE’s abundant solar potential will further drive investments in solar energy, aiding the nation in achieving its ambitious clean energy objectives.
Read more: ADIPEC 2024: Microsoft supports energy transition towards more sustainable future
Future projections for renewable energy
Looking ahead, the International Energy Agency (IEA) forecasts that electricity generated from renewable sources in the UAE will increase to 12 percent by 2026, nearly doubling the output from 2022. The IEA also noted a rise in the total share of renewable sources in the electricity mix, from 5 percent in 2022 to 8 percent in 2023.
The agency observed that electricity consumption in the UAE rose by approximately 3 percent last year and anticipates an annual growth rate of about 2.6 percent in total electricity demand from this year through 2026.
Additionally, the IEA highlighted the UAE’s readiness to operate the fourth reactor at the Barakah Nuclear Energy Plant this year. With this new reactor, the facility is expected to supply over 25 percent of the nation’s energy demand, which will help reduce the reliance on natural gas to 64 percent as nuclear power generation and renewable energy sources expand.
Regarding energy emissions, the UAE experienced an 11 percent decrease in 2023, attributed to significant increases in both renewable and nuclear energy utilization. The agency projects an additional 9 percent reduction this year with the operation of the fourth reactor at the Barakah plant.
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