UAE Unveils $54 Billion Investment Plan to Triple Renewables Contribution
The country also approved National Hydrogen Strategy and Electric Vehicle Policy
The United Arab Emirates’ Cabinet has approved the updated UAE National Energy Strategy, which aims to triple the contribution of renewable energy by 2030, mitigate the effects of climate change, and achieve climate neutrality.
Under the strategy, the UAE aims to achieve savings of up to AED100 billion (~$27.2 billion) by 2030. Additionally, national energy investments are expected to reach between AED150 billion (~$40.8 billion) and AED200 billion (~$54.4 billion) by 2030.
The UAE aims to increase the share of clean energy in its total energy mix to 30% by 2031.
The strategy emphasizes the importance of research and development programs, fostering innovation, and attracting investments in the energy sector to facilitate these goals.
In line with recognizing the growing significance of clean energy sources, the UAE Cabinet also approved the National Hydrogen Strategy to position the country as a prominent producer and exporter of low-emission hydrogen over the next eight years. It encompasses the development of robust supply chains, the establishment of hydrogen oases, and the creation of a dedicated national research and development center.
The country has also approved a national policy on electric vehicles, which aims to foster cooperation with federal and local partners and the private sector to build a comprehensive national network of electric vehicle chargers. The network will cater to electric vehicle owners’ needs and regulate the UAE’s electric vehicle market.
The policy’s implementation is expected to significantly reduce energy consumption in the transport sector by 20% through the Green Mobility Project. Moreover, it will contribute to reducing carbon emissions by 2050 and facilitate the creation of a unified database of electric vehicle charging stations. These measures will enhance road quality and solidify the UAE’s standing as a global leader in sustainable transportation.
According to a report by Global Energy Monitor, Arabic-speaking countries in the Middle East and North Africa plan to add over 73 GW of new utility-scale solar and wind power projects by 2030.
According to Arab Petroleum Investments Corporation, MENA countries must rapidly scale up and integrate variable renewable energy into their respective power grids to meet their national renewable energy targets in the medium term.