Electric Vehicles are increasingly visible on UAE’s roads. This number is set to expand rapidly in the coming years and will interlink the transport and electricity sectors like never before as the UAE aims to become carbon neutral by 2050. Under the UAE Vision 2021, the government has promoted EV adoption across the nation. It has converted 20 percent of the government agency cars to EVs and is aiming for 42,000 on the streets by 2030.
The energy transition is a fact nowadays and it is happening globally at a fast pace. The world is shifting towards low-carbon emission energy sources. This requires a systematical change in all aspects of life with new, innovative, smart, and clean technologies in all sectors and industries. Electric vehicles are becoming the need of the hour, rather the mode of the moment. Traditionally car-centric, the combination of urban growth and a younger demographic open to innovation is attracting attention from major global brands and strong growth from regional startups.
The Middle-East and Africa E-Bike Market was valued at $805.12 Million in 2021, and it is projected to reach $1.27 billion by 2027, registering a CAGR of 7.89% over the forecast period, according to a report by Mordor Intelligence titled: Middle East and Africa E-bike market – growth, trends, Covid-19 impact and forecasts 2023-2028.
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The market is still in its initial stages in the region but is believed that especially the UAE will have a good share of the global industry in the next few years. The success of ridesharing in the MENA and the need for first-mile/last-mile solutions present major opportunities for the uptake of e-scooters. The future of e-scooters is particularly bright in the UAE, which has positioned itself as a regional leader in defining the future of mobility.
The micromobility transportation sector continues to evolve and grow, fueled by developments in technology, partnerships, and infrastructure. As growth accelerates, new makers, operators, and technology will eventually move into the realm. Hence, the energy and transport sector must get ready for EV deployment in the coming years, as automotive manufacturers will launch a larger range of EVs more suited to the UAE market.
Despite the fact that fewer electric vehicles are sold annually in the UAE compared to China, Europe, and the US, the UAE still appears to be a global leader in moving towards emission-free transport solutions.
Dubai is definitely ahead of the curve but the Northern Emirates are also stepping up efforts to reduce carbon emissions. The Emirate of Ras Al Khaimah has introduced the Efficient Vehicles Programme to promote the entire spectrum of efficient and electric vehicles. The Strategy aims to promote efficient vehicles, including EVs, hybrids, and fuel-efficient conventional vehicles, to improve the energy efficiency of the transportation sector in Ras Al Khaimah. A key objective of the program is to ensure that 50% of all vehicles sold in Ras Al Khaimah by 2040 are electric.
Not only are cities working to reduce private vehicle use and congestion by offering greater support for alternative mobility modes like bicycles. Consumer behavior and awareness are also changing as more people accept alternative and sustainable mobility modes.
TERRA TECH Ltd. (Terra), the MENA region’s first B2B micro-mobility tech start-up will introduce its fleet of electric motorbikes with a swap and drive operations model for the region’s growing business landscape, whilst considering environmental impact. This solution enables companies to diligently decrease their carbon footprint with reduced carbon dioxide (C02) emissions. At the same time, time efficiency, cost/overhead reduction, driver tracking, and limitless range improve operational efficiency.
We have acquired $1 million in pre-seed funding which will be used to expand operations across the region with our commitment to creating professional, sustainable, and high-quality electric bikes to accelerate growth in electric vehicles.
The concept of sustainability isn’t new but consumer perceptions are now changing toward greener mobility choices. As the UAE is one of the fastest-growing regions in the world, shifting towards sustainable mobility is essential for ensuring a healthy, livable, and safe environment for people in this region.
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