Further climate progress can be made in the UAE, and there is a unique opportunity for the country to become a global leader in clean energy innovation, design and manufacturing. As the world moves towards a major transition in how we generate and consume energy, and how we interact with the planet, the race for accelerating investment in renewables is on. The countries with clear, state-led industrial policies will own the future, and the UAE is marching forward to be one of them.
The technology for clean energy is rapidly evolving, with batteries becoming denser and cheaper, wind turbines getting bigger and better, and solar projects generating some of the cheapest electricity in the world. Investments are also rising fast in cutting-edge technologies like hydrogen electrolysis and direct-air carbon capture.
Major economies like the US, China, India and the EU are in a race to capture and dominate the benefits of this new economic sector, valued well over $5 trillion, according to the Future Possibilities report issued by the UN in co-operation with the UAE.
The UAE has already made significant investments in clean energy solutions, such as the Baynouna solar park in Jordan and the new partnership with Egypt to deliver one of the world's biggest onshore wind farms. In addition, the Emirates has invested over $50 billion in 70 countries, from developed economies to small island nations.
However, despite this potential, and despite all the actions and commitments since Cop21 in Paris, the world is falling behind. We pinned our hopes on agreements made in Paris back in 2015, but the world has not delivered. In fact, in a report in October 2022, the UN Environment Programme confirmed that there “no credible pathway to 1.5ºC in place” today. Similarly, the International Energy Agency notes that investments in clean energy have increased and now represent a 1.5 to 1 ratio with fossil fuels, but this is far from enough. These investments need to be scaled up dramatically, to a ratio of 9 to 1, by 2030 to be consistent with the net-zero path.
Business as usual is neither sustainable nor credible, and we need a major rethink. In fact, our planet does not need more political negotiations and ultra long-term commitments. We need transformative innovation today. We need the focus to shift to a global race on clean energy innovation, and we need all stakeholders to be engaged.
A large component of this puzzle must be innovation-leveraging disruptive technology for adaptation, mitigation and resilience. We need to focus resources on climate technology to deliver solutions that work and can be scaled with policies. Time to shift from excuses to solutions.
As the host of Cop28 and with a strong focus on sustainability this year, the UAE has a unique opportunity to become emerging markets’ climate action technology hub. The country can leverage its investments and industrial efforts to become a global green-tech hub by advancing its national agenda on sustainable development and delivering its own net-zero commitment.
The world needs transformative innovation today, and the focus should be placed on a global race on clean energy innovation. The winner of this race in the next decade will be the nations that deploy the right policies, for the right reasons, with a clear vision today.
The UAE can lead the way with pragmatic, realistic, practical and commercially viable initiatives. It has already demonstrated its commitment to clean energy, with initiatives such as the UAE-US Partnership for Accelerating Clean Energy (Pace), which aims to catalyse $100bn in financing and investment to deploy 100 new gigawatts of clean energy in the US, UAE and emerging economies by 2035. The UAE also recently announced its industrial strategy, Operation 300bn, which aims to develop the UAE’s industrial sector and enhance its role in stimulating the national economy. It aims to raise the industrial sector’s contribution to GDP to $81.69bn by 2031. The strategy focuses on sustainable economic growth, deploying clean energy solutions, driving industrial innovation and promoting responsible consumption and production.
Developing an advanced manufacturing hub for green technologies and climate tech can be a complex and multifaceted process that involves a combination of strategic planning, investment and policy support. This requires elements that the UAE excels at, including a clear and focused vision; targeted investment in R&D; an environment to foster collaboration between universities, research institutions and private companies to facilitate the development of new technologies and promote knowledge transfer; access to a skilled workforce; and a supportive policy environment. It also needs wide access to global markets for export, which is at the heart of the UAE’s new strategy to double its GDP while signing comprehensive economic co-operation agreements with countries like India, Indonesia, Turkey and others.
As the world starts to accelerate the transition to cleaner energy, the UAE is at the forefront of this effort. A whole-of-nation movement towards advanced green technologies can ensure that climate action is "made in the UAE". It is a unique opportunity to create a sustainable future for us and the planet.
