Energy Transition in the Middle East: Solar Energy Strategies and Impacts

Introduction:
The Middle East has historically depended on fossil fuels, particularly oil and natural gas, as the foundation of its economies, political influence, and energy consumption.

This dependency, however, faces mounting pressures from international climate commitments, volatile oil markets, and increasing domestic energy demands.

In response, several countries in the region have embarked on ambitious energy transition strategies to diversify their energy mix, reduce greenhouse gas emissions, and position themselves as leaders in renewable energy.

Solar power, abundant in the region due to its high solar irradiance, has become the focal point of these strategies.

This report analyzes key national solar projects, current renewable energy capacities and targets, government incentives and policies, and the economic and environmental implications of these transitions in leading Middle Eastern countries.

National Solar Projects:
Significant solar energy initiatives are underway in several Middle Eastern nations:

In the United Arab Emirates (UAE), the Mohammed bin Rashid Al Maktoum Solar Park in Dubai stands as one of the world’s largest solar parks with a planned capacity of 5 gigawatts (GW).

Additionally, the Al Dhafra Solar Photovoltaic (PV) Plant in Abu Dhabi contributes approximately 2 GW.

Both projects emphasize large-scale deployment and international cooperation, including partnerships with Masdar, a UAE-based renewable energy company known for its green projects worldwide.

Egypt has developed the Benban Solar Park near Aswan, with an installed capacity of about 1.8 GW, making it one of Africa’s largest solar complexes.

Egypt’s Gulf of Suez wind power project adds another 1.1 GW of renewable capacity.

This project is driven by joint ventures such as ACWA Power, a Saudi Arabian renewable energy developer, working alongside Egypt’s Sovereign Fund, reflecting growing regional and international collaboration.

Saudi Arabia’s National Renewable Energy Program articulates a strategic goal of achieving carbon neutrality by 2060.

The program includes development of large-scale solar projects and aims to harness green hydrogen production, notably through the NEOM project—an ambitious $500 billion futuristic city designed to incorporate solar and wind power with green hydrogen facilities targeting a green hydrogen production capacity of around 650 tons per day.

This reflects Saudi Arabia’s ambition to diversify beyond hydrocarbons while capitalizing on its renewable potential.

Oman’s Vision 2040 designates renewable electricity targets of 16% by 2025 and 30% by 2030.

Oman has also announced green hydrogen ambitions, planning a significant green hydrogen plant in Duqm, with an expected capacity in the multiple hundreds of megawatts.

This initiative aligns with its broader renewable development and positions Oman as a future green hydrogen exporter.

Morocco currently has a renewable energy target of 52% capacity from renewables by 2030.

It’s home to the Noor Ouarzazate Solar Complex, one of the world’s largest concentrated solar power plants, contributing significantly to Morocco’s solar capacity, estimated at around 1.9 GW of combined solar and wind power.

Jordan aims to generate 31% of its electricity from renewables by 2030, supported by projects leading to about 1.7 GW of total renewable capacity, with significant contributions from solar and complemented by wind energy.

Both countries have attracted substantial international financing, technical assistance, and participation by global companies in their renewable projects.

Solar Capacity and Renewable Energy Targets:

As of recent reports (2022–2024), the region’s solar and renewables capacities are expanding rapidly.

The UAE generates approximately 2.6 GW of solar electricity, while Egypt produces 1.9 GW solar and 1.6 GW wind capacity.

Across Arab countries, over 73 GW of new renewable capacity is planned by 2030, equating to more than a 500% increase in utility-scale solar and wind power compared to recent years.

This expansion corresponds to 91% of the Arab League’s collective renewable energy goals.

The region added 3.2 GW in renewable capacity in 2022 alone, reflecting a 12.8% year-on-year growth.

These increases are driven by the countries’ commitments to ambitious targets: the UAE pledges net zero emissions by 2050; Saudi Arabia targets carbon neutrality by 2060; Egypt aims for 42% renewables in electricity by 2035; Oman plans for 30% renewable electricity by 2030; Morocco targets 52% renewable capacity by 2030; and Jordan aims for 31% renewable electricity by 2030.

These targets reflect alignment with international climate agreements such as the Paris Accord and regional initiatives like COP28.

Despite these targets, renewables currently constitute just over 2% of the Middle East’s overall energy mix, while fossil fuels account for approximately 87%, underscoring both the challenge and opportunity ahead for a region traditionally dependent on hydrocarbons.

Government Incentives and Policy Frameworks:
Governmental support is critical for enabling the energy transition.

Saudi Arabia’s Vision 2030 and its National Renewable Energy Program aim to increase renewable energy production and diversify the economy.

The Saudi Public Investment Fund actively invests in renewable projects and sustainable technologies, including electric vehicle manufacturers like Lucid Motors, signaling a strategic shift from oil-dependent revenues toward clean technologies.

The UAE government has committed approximately $163.5 billion in clean and renewable energy investments over the next three decades.

It supports electric vehicle adoption through policies offering free registration, parking benefits, reduced charging costs, and expanding charging infrastructure.

Regulatory frameworks are evolving to streamline permitting, offer subsidies, and encourage both domestic and foreign investments, with Masdar playing a key role as an international renewable energy developer based in Abu Dhabi.

Egypt employs a Renewable Energy Feed-in Tariff (FiT) program that incentivizes renewable projects by offering fixed, preferential tariffs to producers.

The government integrates these mechanisms into its larger energy strategy targeting 42% renewable electricity by 2035.

Oman’s Vision 2040 includes regulatory reforms, subsidies, and incentives aligned with renewables and green hydrogen development.

Additional government incentives across the region feature tax exemptions, customs duty waivers, streamlined foreign investment approvals, and research and development (R&D) support mechanisms aimed at fostering innovation and local capacity.

These policies enhance project bankability and attract multinational firms and investors.

State-driven educational and workforce development programs have been initiated to support industrial and social adaptation to the energy transition.

This includes upskilling current workers, expanding specialized university programs in renewable energy and related technologies, and vocational training aimed at integrating local populations into emerging green jobs.

Countries such as Saudi Arabia and the UAE have launched initiatives to build human capital compatible with their renewable and green hydrogen ambitions, helping to mitigate social challenges linked to economic restructuring.

International partnerships are abundant.

ACWA Power (Saudi Arabia) is a major developer with projects in Egypt and Saudi Arabia.

Masdar (UAE) has spearheaded regional and global renewable initiatives, while strategic collaborations with Chinese companies drive electric vehicle infrastructure and manufacturing expansion across the region.

The World Future Energy Summit in Abu Dhabi exemplifies ongoing regional cooperation, knowledge exchange, and green finance mobilization efforts.

Economic and Climate Impact Analysis:
The renewable energy transition carries substantial economic and environmental implications.

Economically, the expansion of solar and renewables infrastructure is creating thousands of new jobs in construction, operations, manufacturing, and research sectors.

These projects foster diversification away from oil and gas revenue dependency, contributing to economic resilience amid fluctuating fossil fuel markets.

Green hydrogen is emerging as a new economic frontier.

Saudi Arabia’s NEOM project is expected to become a global hub for green hydrogen production, with significant export potential.

Oman’s green hydrogen plant in Duqm aligns with this regional strategy.

By 2050, Gulf countries foresee approximately $200 billion in revenues from green hydrogen exports, strengthening energy security and positioning the Middle East as a key player in future clean energy markets.

Environmental advantages include substantial reductions in carbon emissions supporting Nationally Determined Contributions (NDCs) under the Paris Agreement.

The UAE’s net zero emissions goal by 2050 and Saudi Arabia’s carbon neutrality target by 2060 represent measurable commitments to global climate mitigation.

Challenges remain.

The region’s current heavy reliance on fossil fuels for electricity generation and government revenues presents structural inertia.

Infrastructure constraints, such as limited energy storage capacity and smart grid technology deployment, constrain the pace of renewable integration.

Political instability and economic challenges also affect countries like Jordan and Lebanon, limiting investment and progress.

Social challenges include transitioning workforces dependent on traditional energy sectors, necessitating ongoing government support programs to ensure equitable growth.

Despite these challenges, escalating foreign direct investment continues to flow into the renewable energy sector, particularly in the UAE and Saudi Arabia, fueling green mergers and acquisitions.

Energy Transition in the Middle East: Solar Energy Strategies and Impacts

Introduction:
The Middle East has historically depended on fossil fuels, particularly oil and natural gas, as the foundation of its economies, political influence, and energy consumption.

Title:

Content: Contribution ｜ Explore Hong Kong ’ s role and opportunities in the development of renewable energy in the Middle East
Author: 01 More Voices
Published: Updated:
In recent years, Hong Kong has actively promoted the development of renewable energy and launched a number of related products in the financial market.
In addition, more and more Hong Kong enterprises have also started to participate in the development of this industry, especially in the financial market, and launched a number of financial products to support the development of renewable energy.
At the same time, many countries in the Middle East, such as the United Arab Emirates, Jordan, Saudi Arabia, Oman and Turkey, are also actively engaged in various large-scale projects to promote the development of renewable energy, and expect to see a different energy mix and economic development model in 2030 or 2050.
For Hong Kong, China and other countries, the development opportunities of the Middle East market cannot be ignored, and Hong Kong ’ s participation in this area cannot be underestimated.
Submitted by: Kwong Cheuk-wui
Recently, I had the opportunity to participate in several seminars on economic and energy development in the Middle East, and have in-depth exchanges with government representatives in charge of foreign affairs and trade from various Middle Eastern countries and Azerbaijan.
These exchange experiences provide the author with a wealth of insight.
After many in-depth talks, to understand the interest and momentum of the development of renewable energy in many countries in the Middle East, the author synthesized the information from various parties and came to the following insights: The reason why the major oil producers in the Middle East are actively developing renewable energy is to achieve economic diversification and get rid of dependence on oil and related industries.
They hope to turn the country ’ s surplus renewable energy into new, dependable foreign revenues (i.e., revenues generated from natural resource exports; “Rents ”) through innovative technologies.
For other non-oil producing countries, they want to achieve economic sustainability through the development of renewable energy, reduce dependence on traditional fossil fuels or electricity imports, and convert renewable energy into new external rental income to boost the country ’ s economic development.
From this, it can be seen that the Middle East countries are very concerned about the development of renewable energy, but also hope to complete the energy transformation as soon as possible, and look forward to renewable energy can produce more and greater economic benefits, create new dependent income, promote economic diversification and modernization, but also benefit thousands of people.
As a result, many countries in the Middle East have invested heavily in and promoted energy transformation and clean energy development.
Although many countries have made extraordinary achievements in driving renewable energy development, they also face many challenges.
Jordan, for example, has a wealth of renewable energy resources, including solar, wind, geothermal and bioenergy, as well as state-of-the-art renewable energy laws, regulatory mechanisms and development frameworks.
Earlier this year, Jordan successfully achieved its national roadmap, originally set for 2030, with renewable energy accounting for 31% of total energy.
The Jordanian government also plans to increase this target to 50%, and is committed to building the country into a regional renewable energy development center and exporting environmentally friendly power to neighboring countries to increase the country ’ s foreign revenue.
However, like other Middle Eastern countries, Jordan faces a host of challenges.
These challenges include lagging energy infrastructure, imperfect grid planning, an over-concentration of resources on solar and wind with less focus on geothermal energy, and a lack of energy storage systems and foreign investment.
In addition, there is the debt problem of the national power company.
These difficulties not only affect Jordan ’ s progress in developing renewable energy, but also act as a barrier to modernizing and diversifying the country ’ s economy.
Some Jordanian officials and scholars are concerned about whether the development of renewable energy is progressing as expected.
They are concerned that if the development of renewable energy and its core economic development model are not carried out smoothly, or if the newly set targets are not successfully achieved, the country ’ s economic sustainability will be adversely affected.
At the same time, it can undermine the credibility and governance of the government.
In particular, those political forces that have been opposed to the use of renewable energy to promote economic development and diversification may take the opportunity to launch opposition actions, further endangering the political stability and regional security of the country and the Middle East as a whole.
It is worth noting that these challenges are not only in Jordan, but also in Middle Eastern countries such as Morocco and Egypt.
Other countries such as the United Arab Emirates, Oman, Saudi Arabia and Qatar have also made great efforts to develop solar and wind power in recent years, but in addition to the above concerns and challenges, there are also concerns that the development of renewable energy will have some impact on the high dependence of these countries ’ economies on oil and gas markets, which may affect existing incomes and lead to economic and social instability.
Other factors include the huge demand for capital, the need for foreign technology and talents, the need for talent training, economic feasibility, etc. These are also issues of concern to the officials of these Middle Eastern countries.
These challenges are in fact a valuable development opportunity for Hong Kong.
The key is to make good use of our strengths, especially in the Belt and Road Initiative, to work with the Middle East countries to promote renewable energy and green economy development.
This not only helps these countries diversify their economies, but also creates development opportunities for Hong Kong businesses and governments, and indirectly promotes the development of other industries.
I suggest that Hong Kong can establish cooperation platforms and channels of communication with transnational organizations in the Middle East and North Africa, such as the Arab Parliamentary Union, the Gulf Cooperation Council, the Turkic Parliament and the Arab Maghreb Union.
Such a platform could be used to explore free trade agreements and to help Middle Eastern countries provide services such as finance, advisory, legal, education or training, and energy infrastructure.
This will not only help Hong Kong consolidate its leading position in the professional services sector and the financial sector, but will also directly or indirectly create many development opportunities, especially in Islamic finance.
Finally, Hong Kong can consider providing financial support to the Middle East countries by assisting in the issuance of Islamic financial bonds to promote the development of renewable energy, and can also take the opportunity to develop Islamic finance in Hong Kong as a new financial center outside the Islamic world.
Of course, Hong Kong should not only cooperate with major countries such as Saudi Arabia and the United Arab Emirates or the above-mentioned multinational organizations and platforms, but also consider other regions with development potential and worthy of investment, such as Turkey, Azerbaijan, Morocco, etc.
This diverse collaboration will help Hong Kong expand its international presence and contribute to global sustainability in the renewable energy sector.
The author, Mr Kwong Cheuk-rui, is the Executive Director of the Hong Kong Group of Ideas, a Master of Arts from the Australian National University, and has worked at the Australian Institute of International Affairs.
The article is only the opinion of the author and does not represent the position of Hong Kong 01.
Please email us at 01view @ hk01.com.
Please attach the author ’ s real name and contact details.
If not applicable, without prior notice.

This dependency, however, faces mounting pressures from international climate commitments, volatile oil markets, and increasing domestic energy demands.

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Tesla Competitor Lucid Raises $1.5 Billion, Majority From Saudi Sovereign Wealth Fund

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Key Takeaways

  • Lucid Group has raised an additional $1.5 billion to support ongoing operations, with $915 million being contributed by the Saudi Arabia Public Investment Fund.
  • It keeps the Fund’s stake in Lucid at around 62%, continuing their status as a majority owner of the company.
  • Despite almost $1 billion in additional investment, it’s a drop in the bucket compared to the funds total value, which is estimated at over $620 billion.
  • It marks a continued diversification of the oil states diversification away from fossil fuels, into a wide range of investment from video games to sports teams to major infrastructure projects.

Electric vehicle (EV) manufacturing has come a long way over the past ten years. Back in 2008 when the first generation Tesla Roadster was launched, EV's were very much a curiosity.

It was the first road legal production EV, and while less than 2,500 Roadsters were sold across the world, it kicked off a trend that continues to pick up pace today.

Tesla wasn't the first company to make an electric vehicle. They’ve been made in one form or another as far back as 1828. But Tesla were the first to mass produce one that was legally able to be driven on the road, and they made it sexy to boot.

Since then, the EV market has exploded.

There have been a huge number of newcomers to the space, with companies such as Rivian, Nikola, Polestar, Fisker and Lucid all vying for their share of the electric gold rush. Not only that, but traditional automakers are pumping billions of dollars into the sector as well.

Companies such as General Motors, Mercedes-Benz, Volkswagen Group, Kia and Hyundai and others have all jumped on the bandwagon and now offer a range of electric vehicles alongside their internal combustion range.

The trend is only going to pick up speed. Many jurisdictions are now seeking to ban the sale of new gasoline and diesel powered cars, such as California and all states signed up to their Zero Emission Vehicle Program, plus the UK and Europe, Canada, New Zealand, Singapore, Japan, Iceland, Norway and even China.

So with all that going on in the background, it’s not a stretch to suggest that the oil states might be getting a little nervous. It’s why we’ve seen such a huge push from places like Sudi Arabia, the United Arab Emirates and Oman to diversify their economies away from just oil.

The Saudi Arabia Public Investment Fund is already a majority owner of Lucid Motors, and with an additional $915 million cash tipped in with this round, their stake remains at sound 62%.

Download Q.ai today for access to AI-powered investment strategies.

Lucid raises $1.5 billion

In addition to the $915 million added by Saudi Arabia, Lucid raised an additional $600 million through a traditional secondary stock offering. The funds will be used to help bolster the company’s balance sheet, after it posted underwhelming third quarter results.

The figures showed delivery numbers way down from expectations which had been as high as 20,000 vehicles in 2022. Now the number is expected to be below 7,000.

Lucid is now likely to have over $5 billion in cash reserves, with the newly raised $1.5 billion being added to the $3.85 billion on hand on September 30.

After going public in January 2021, Lucid’s stock price rose very quickly from an IPO price of $14 to hit an all-time high closing price of $58.05 in February of that year. It came back down soon after to settle in the low $20 range, before running up to the high $50’s again in late 2021.

Since then the price has crashed in 2022 and is down over 81% year to date. It currently trades at just under $8 per share.

What is the Saudi Arabia Public Investment Fund?

By far the largest investor in Lucid is the Saudi Arabia Public Investment Fund (PIF), which holds around 62% of the company. The PIF is a sovereign wealth fund that was established by the government of Saudi Arabia in 1971. Its mandate is to manage the country's financial assets and make strategic investments that will contribute to the economic development of Saudi Arabia.

The PIF is one of the largest sovereign wealth funds in the world, with assets estimated at over $620 billion. It is a key financial institution in Saudi Arabia, and it is responsible for managing a large portion of the country's financial resources.

The PIF has made a number of high-profile investments in recent years, including a $3.5 billion stake in Uber, $522 million in Meta, $495 million in Disney, $487 million in Bank of America, $713 million in Boeing and $522 million in Citigroup.

The fund has also made a number of bets on gaming, at various times taking minority ownership in Electronic Arts, Take-Two Interactive, Activision Blizzard, Capcom, Nexon and Nintendo.

It doesn’t end there.

There have been a range of high profile investments in sports as well. In 2021 the fund purchased English Premier League club Newcastle United for $370 million and also launched LIV Golf, a high profile, big money competitor to the PGA Tour.

These investments were made in order to help the PIF diversify its portfolio and generate returns for the benefit of the Saudi government and its citizens.

The PIF has also played a key role in the Saudi government's efforts to diversify the country's economy away from oil. For example, it has invested in a number of infrastructure projects, like the construction of a new international airport in Riyadh and the development of a new city called NEOM - the crazy, 100 mile long, mirror-finished, futuristic ‘line’ in the desert.

These projects are intended to create jobs and stimulate economic growth in non-oil sectors, and they are part of the Saudi government's Vision 2030 plan to transform the country into a more diversified and modern economy.

The PIF is hugely important for Saudi Arabia, and it is expected to play a key role in the country's economic development in the future. It’s responsible for managing a significant portion of the country's financial resources, and it is working to make strategic investments that will contribute to the economic growth and diversification of the country.

Why are oil states moving away from oil?

It’s not just the move to EV’s which is driving this diversification.

At the end of the day, oil is a finite resource, which means that it will eventually run out. The oil reserves in these countries are not infinite, and at some point in the future, they’ll be gone.

That might be a long way off, but nonetheless it will happen.

This is a concern for the governments of these countries because oil has traditionally been the main source of income and economic activity in the region. If they don’t diversify their economies and find other sources of income, they’ll be in big trouble when oil or its demand begins to run out.

Another reason for diversification is that the demand for oil can fluctuate significantly, and this can have a big impact on their economies. For example, if there is a recession or a drop in global oil prices, the economies of these countries may suffer. This is because the demand for oil decreases during these times, and as a result, the revenues that these countries generate from oil exports may decrease as well. By diversifying their economies, these countries can be less reliant on a single resource and be less vulnerable to these fluctuations.

The oil states also recognize that there are increasing concerns about the environmental impacts of fossil fuels and the need to transition to more sustainable sources of energy.

Diversifying their economies can help them achieve this goal by promoting more diverse and sustainable sources of economic activity, such as renewable energy, tourism, and technology.

Overall, diversifying their economies away from oil is seen as a way for the Middle Eastern oil states to ensure their long-term economic stability and sustainability. By having a more diverse and resilient economy, they can better weather economic downturns and other challenges, and continue to thrive in the future.

How can investors benefit?

There’s no denying that moving towards a more sustainable future makes sense. Not just from an environmental standpoint, but from an investment one as well. There is a huge push for new technologies and strategies to make our economy cleaner, and this creates a big opportunity for companies.

In our Clean Tech Kit, we use the power of AI to invest across a range of different green technologies. These include renewable sectors such as EV producers and infrastructure manufacturers, hydrogen fuel cell tech, alternative fuels, battery manufacture, waste reduction and smart water technologies.

Every week our AI predicts how each holding in the predetermined investment universe is likely to perform in the coming week on a risk-adjusted basis, and then automatically rebalances the Kit in line with these predictions.

This includes three ETFs, plus a weekly allocation to between 16-19 individual stocks out of a total universe of 58.

It’s like having a professional investment manager, right in your pocket.

Download Q.ai today for access to AI-powered investment strategies.

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In response, several countries in the region have embarked on ambitious energy transition strategies to diversify their energy mix, reduce greenhouse gas emissions, and position themselves as leaders in renewable energy.

Solar power, abundant in the region due to its high solar irradiance, has become the focal point of these strategies.

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Content: The Middle East and North Africa have significant investments in wind energy
The Middle East and North Africa have significant investments in wind energy
Renewable energy throughout the Middle East and North Africa is usually talked about from one point of view: the sun shining strongly on the region ’ s deserts.
Solar energy is indeed a great source of energy and is designed to power equipment and appliances, but wind also blows through the plains, hills and seas of the Middle East, and megaprojects harness the power of wind and turn it into energy.
Political analyst Robin Mills says the Middle East and North Africa (MENA) region actually started using modern wind energy on a commercial scale a decade before using solar power, with projects in Morocco, Egypt, Israel and in Tafileh in Jordan, where the turbines are slowly spinning near the ancient fortress of Karak.
The cheapest electricity in the world is generated from solar power in the UAE and Saudi Arabia, and global projects such as the largest single-site solar farm in Al Dhafra in Abu Dhabi, with a power of 2 GW, and two of the largest multi-project sites, the Mohammed bin Rashid Solar Park in Dubai (5 GW) and Banban in Egypt (1.8 GW), can also be installed. solar on a smaller scale on the shelves of homes and factories.
Despite the lack of consistency unlike Northwest Europe, there are excellent wind resources in the MENA region.
Winds are blowing in southern Morocco and the areas around the Gulf of Suez and Aqaba in Egypt, Jordan, northwestern Saudi Arabia, southern Egypt and the southeastern coast of Oman.
Parts of Libya, southern Tunisia, the Algerian desert, inland Iran and Kuwait also experience strong winds, and in contrast to most parts of Europe, the region has open spaces where the construction of wind stations will not be rejected by some segments of society.
Egypt, which hosted the COP27, benefits from having projects that produce 1.59 GW currently installed, 0.75 GW under construction and 1.6 GW planned, and has signed a series of projects in recent weeks, which have included memorandums of understanding with Norwegian developer Skatek for 5 GW, with UAE clean energy company Masdar for 10 GW, and with Saudi energy development company Aqua for 10 GW.
It will be the second largest wind farm in the world, and the largest is Gansu, which produces 20 gigawatts in China.
Aqua is already building a 1.1 GW wind farm at Jebel Zeit on the Gulf of Suez, which will be the largest in the region when it comes into operation in late 2026, with Egypt ’ s total projected production capacity of 24 GW, the seventh largest national capacity in the world according to current figures.
In addition, Egypt, Saudi Arabia, Oman, Morocco and Mauritania will need huge wind farms to build their planned green hydrogen projects, which use renewable electricity to analyze water with electricity.
Under MENA conditions, wind power is likely to be more expensive than solar, even if Saudi Arabia gets a very competitive tariff of 2.13 cents per kilowatt-hour for its first wind farm in Dumat al-Jandal (which was the lowest solar contract in the region at 1.03 cents per kilowatt-hour).
Wind power also takes longer to build, and production cannot be predicted after a few days.
But wind has many advantages: it is clear that it often blows at night more strongly than during the day, making it complementary to solar energy.
This is especially useful in hot early autumn evenings, when people need air conditioning even after sunset.
Solar energy in the region has achieved a capacity factor, which is the average output of the source as a proportion of its peak output, and is about 20 percent over the year, allowing work at night and different seasons, Egyptian wind power manages 53 percent, and solar and wind power in the best locations can have a combined capacity factor of more than 70 percent.
And there are still some vital questions about the location of turbines and mega projects planned in Egypt?
Wind lanes around Sinai are relatively confined and surrounded by mountains, and areas to the south on the Red Sea coast, or inland areas with difficult logistical hurdles, will have to be considered.
And will the region venture out and explore offshore wind power, as Northwest Europe has successfully done?
There are stronger and more consistent winds, and much more room to develop them, albeit at higher costs.
Will current project announcements overlap with green hydrogen projects?
If this is done, the wind requirements will be much greater, and will provoke competition for good sites and equipment.
Can countries in the Middle East and North Africa that are less exposed to wind power, particularly the UAE, Qatar and Bahrain, benefit economically from improved turbines for slower wind speeds?
Will other wind-blowing countries with low energy, such as Iraq, Kuwait, Libya and Tunisia, start adopting this technology?
If those questions can be answered with a yes, the spinning turbines and shimmering solar panels in the Middle East and North Africa will become a symbol of the region ’ s shift to clean energy.
arabic

This report analyzes key national solar projects, current renewable energy capacities and targets, government incentives and policies, and the economic and environmental implications of these transitions in leading Middle Eastern countries.

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Content: General Supervision
Elham Aboul Fath
Editor-in-Chief
Thank you for your patience.
General Supervision
Elham Aboul Fath
Editor-in-Chief
Thank you for your patience.
World Future Energy Summit.
Green finance and climate change lead day 2
The second day of the World Future Energy Summit (WFES), held at the Abu Dhabi National Exhibition Centre (ADNEC) in the UAE, kicked off today.
The summit is the premier annual forum for future energy and sustainability.
The day ’ s events focused on green finance, with Boris Johnson, the former Prime Minister of the United Kingdom, stressing the urgency of correcting climate change and thinking outside the box, and providing inspiring views on the obstacles to investing in renewable energy and ways to develop it during a session entitled “Financing Global Approaches to Low-Carbon Economies ”.
“It takes a lot of in-depth social studies, practical solutions and a lot of financial support – governments around the world spend a lot of money to defend themselves against other governments, but we don ’ t spend that much money to fight everyone ’ s first enemy, climate change.
He believes that finding practical solutions requires a serious approach to financing and establishing an assembly line for simple renewable energy projects, so that tangible results can be achieved as soon as possible, which is not possible without setting aside the side issues that usually concern us or we will not be able to solve the problem for another 10 years.
Ahmed Bahieldin, General Manager and Commercial Officer for Europe, Middle East and Africa (EMEA) at GE Vernova, an independent public company spin-off of GE ’ s energy, wind and electricity business, also joined the panel.
“Time is an important factor, especially as there is a lot of capital looking for projects in advanced markets, especially in the areas of renewable energy sources and new technologies, and regulatory reforms and the structuring of the revenue model give more room for growth.
The second day of the summit also saw the launch of the Solar Outlook 2024 report, officially released by the Middle East Solar Industry Association at the World Future Energy Summit.
The report highlights the growing contribution of solar energy to the MENA region ’ s ongoing energy transition from traditional fossil fuels to renewables, amid continued manufacturing boom, population and economic growth, as well as concerns about climate change and environmental sustainability.
Solar Energy
According to the report, the Middle East and North Africa (MENA) region today has one of the highest levels of solar energy potential in the world, with countries such as Saudi Arabia, the United Arab Emirates, Morocco and Egypt contributing on average annual solar radiation exceeding 2,000 kilowatt-hours per square meter per year.
While the regional solar growth trajectory is expected to continue, the report reveals that it is still well below the levels required to replace the current fossil fuel contribution of 87%, with solar providing just over 2% of the current energy mix in the MENA region.
Denisa Vines, Secretary General of the Middle East Solar Industry Association, said: “The COP28 pledge to increase renewable energy capacity and double energy efficiency with the support of 124 countries has set ambitious targets to increase the deployment of renewable energy and energy efficiency measures by 2030, but we still face many challenges to achieve these goals, especially in the energy sector within the Gulf region. After 2030, a variety of technologies are expected to be market-ready, offering scalable solutions to decarbonize the energy sector, enabling a more effective role for renewables, energy efficiency and zero-emission technologies.
The broad pursuit of ambitious targets by 2030 is focused on public utility projects, which may overshadow the needs of the commercial and industrial sectors, and this underscores the importance of considering a balanced approach to energy deployment to ensure inclusive and sustainable development.
COP28 Pledges
Speaking at the Solar and Clean Energy Conference, Dr. Ralph Blumenthal, Head of Networks Programs Middle East at Siemens, praised the ongoing discussions on digitization and the great importance of integrating renewables into smart grids to help achieve the goals of the COP28 pledge.
Batteries are key if we want to triple renewables by 2030, and increase them nine-fold by 2050. Batteries are not only storage, they are essential to grid regulation and reduce disruptions that may occur during renewable energy generation. Today, around 1,500 GW of renewable energy has been installed globally and is ready for deployment, but cannot be integrated into networks. It operates 100% on renewable energy, but national grids have not yet been able to effectively integrate renewables on a large scale.
Constructive discussions and sessions on global energy issues and solutions will continue tomorrow with the Electric Mobility Forum, which will comprehensively examine the role of clean and independent transport in changing the future of city design, and what is needed to unlock the potential of investing in expanding electric mobility.

National Solar Projects:
Significant solar energy initiatives are underway in several Middle Eastern nations:

In the United Arab Emirates (UAE), the Mohammed bin Rashid Al Maktoum Solar Park in Dubai stands as one of the world’s largest solar parks with a planned capacity of 5 gigawatts (GW).

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Content: World Future Energy Summit to focus on providing ‘sustainability blueprint’

The three-day event will be held at the Abu Dhabi National Exhibition Centre from January 16 to January 18

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The 2023 World Future Energy Summit aims to provide a “crucial sustainability blueprint” amid a global focus on the energy transition and measures to boost investment in the renewables sector.

Energy industry leaders and policymakers from around the world will participate in the three-day event at the Abu Dhabi National Exhibition Centre from January 16 to January 18, organisers said on Wednesday.

The summit is the centrepiece of Abu Dhabi Sustainability Week, a global initiative championed by the UAE and Abu Dhabi's clean energy company Masdar to hasten sustainable development and advance economic, social, and environmental progress.

“This event has evolved just as the energy sector and our economies are transitioning,” said Suhail Al Mazrouei, Minister of Energy and Infrastructure.

“It has now morphed into the Middle East’s most important industry gathering, of which clean energy and infrastructure are key components.”

Countries in the Middle East such as the UAE, Saudi Arabia, Jordan, Oman and Egypt are boosting investment in the clean energy sector.

The UAE is investing Dh600 billion ($163.5bn) in clean and renewable energy projects over the next three decades as it aims to achieve net zero emissions by 2050.

It is building the world’s largest solar plant with a capacity of two gigawatts in Abu Dhabi's Al Dhafra region that is expected to be ready next year, as well as the Mohammed bin Rashid Solar Park in Dubai with a capacity of five gigawatts.

Saudi Arabia, the Arab world’s largest economy, also announced a number of new renewable energy projects as it seeks to become carbon neutral by 2060.

Egypt, the most populous country in the Arab world, aims to derive 42 per cent of its electricity mix from renewable sources by 2035. The North African country is hosting Cop27 next month.

“This newly transitioned event profile is in the right place at the right time, underlining a much-needed shift towards reaching our clean energy goals, as well as achieving sustainable governance and adopting consumption and [the] production of natural energy methods that ensure the quality of life for current and future generations,” Mr Al Mazrouei said.

Renewable energy investment continued to rise amid green transition efforts globally. Capital investments in renewables are set to surpass oil and gas spending for the first time in 2022 as high power prices prompt countries to further diversify their energy mix, according to a report by Rystad Energy.

Investment in renewable energy is set to hit $494bn in 2022, outstripping upstream oil and gas spending at $446bn for the year, the Oslo-based energy consultancy said this month.

In addition to the focus on energy, water, eco-waste, solar, smart cities, climate and the environment, next year's event will also preside over the launch of a dedicated hydrogen innovation centre as demand for the clean fuel picks up globally amid green transition efforts, organisers said.

The event takes place at a time when the UAE is preparing to host Cop28 next year.

Updated: October 19, 2022, 10:41 AM
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Additionally, the Al Dhafra Solar Photovoltaic (PV) Plant in Abu Dhabi contributes approximately 2 GW.

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Content: New technologies to achieve sustainability goals and address climate change
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Existing renewable energy initiatives in the Middle East are strengthening their role in supporting international efforts to address climate change.
In particular, the region is one of the largest contributors to the oil and gas sector globally, and at the same time is the cradle of a number of major and ambitious initiatives and projects aimed at enhancing the reliance on clean energy.
In the UAE, the Mohammed bin Rashid Al Maktoum Solar Park is the world ’ s largest IPP solar site, and the Al Dhafra Solar PV Plant is being built as the world ’ s largest solar power plant with a capacity of 2 GW.
Masdar City is the most sustainable urban community in the world.
ADFD is committed to funding innovative projects to accelerate access to sustainable energy as part of a joint initiative with the International Renewable Energy Agency (IRENA).
In Saudi Arabia, Neom recently launched The Line, the world ’ s first car-free, carbon-free city with 100% renewable energy.
King Abdullah University of Science and Technology (KAUST) leads green energy projects designed to manage the recycling of grey water for reuse for plant irrigation and other purposes, and also has large area photovoltaic panels that produce clean electricity.
In Egypt, hydropower is the second source of energy after thermal, wind and solar, and the country has developed a number of future projects that seek to exploit solar energy and replace non-renewable energy.
Other green projects in Egypt include the cities of Jebel Galala and El Alamein.
The Bahrain World Trade Centre is one of the world ’ s leading examples of sustainable architecture, taking the lead in being the first skyscraper in the world to introduce wind turbines to provide total energy consumption.
Morocco, famous for its huge and world-leading solar arrays, has made a big name for itself as a leader in the fight against climate change, renewable energy makes up nearly two-fifths of the country ’ s electricity, and the country implements some of the world ’ s largest clean energy projects.
Since 2012, Jordan has turned to solar power to generate electricity and government policies have pushed citizens and investors to turn to renewable energy to reduce carbon dioxide emissions, by offering financial facilities to investors and reducing the electricity bill.
Sustainability initiatives in the Arab countries contribute effectively to building a diversified digital economy that achieves the national visions of these countries, and the green economy initiative launched by the UAE, and the Saudi Green Initiative is a good example of this.
Today, the ICT sector is increasingly playing a role in achieving sustainability through new technologies such as 5G, cloud computing and artificial intelligence that will play a key role in implementing clean energy initiatives as they enhance productivity, improve efficiency, reduce costs and waste, evaluate business systems, analyze waste, track problems and develop solutions.
The International Telecommunication Union (ITU) says ICT will contribute to achieving the UN ’ s Sustainable Development Goals and improving the quality of life.
According to the United Nations, ICT can be relied upon in two ways: reliance on clean information and communication technology, and clean energy generation based on information and communication technology.
In the first scenario, ICT solutions that contribute to environmental safety and carbon reduction are designed.
In the second scenario, ICT solutions such as those in grids, buildings, smart logistics and industrial processes help promote sustainability and energy efficiency.
The sustainability efforts of tech companies have been recognized globally, Huawei is an example of companies that have adjusted their business in line with sustainability goals, and recently received an award from the International Mobile Phone Association for their contributions to achieving the United Nations Sustainable Development Goals through mobile devices.
The company aims to rely on innovative technologies to drive clean development across various sectors and industries, and in 2021 it used more than 300 million kWh of electricity produced from renewable sources, an increase of 42.3% compared to 2020.
Huawei ’ s digital power solutions have generated 482.9 billion kilowatt-hours of clean energy and reduced electricity consumption by 14.2 billion kilowatt-hours, equivalent to 230 million tons of carbon emissions.
In parallel with efforts to promote a sustainable approach to technology, the ICT industry must not lose sight of the issue of enhanced security.
Technology providers should focus on protecting user privacy when working to provide modern, seamless technology and communications.
Certainly, we will not be able to grow the business and ensure its sustainability if we do not provide safe and reliable technologies to protect cybersecurity, which is a shared responsibility of all stakeholders involved in sustainability.
The current digital divide could isolate millions of people around the world from contributing to the development of a clean economy.
Tech companies can contribute to making technology accessible to all thanks to their technical capabilities and resources.
Through initiatives such as TECH4ALL, Huawei has relied on digital technologies to implement programs aimed at enhancing the leadership capabilities of more than 110,000 people in 2021.
The digital divide in global talent could undermine sustainability efforts, so greater emphasis should be placed on redressing it and priority should be given to strengthening collaboration between tech companies, academia and government institutions in order to bridge the digital skills gap.
By investing in programs to prepare local technical cadres, hone skills and enhance practical experience, more bridges of cooperation between the public and private sectors can be built to prepare the future generation of sustainability leaders with the help of technology.
Huawei has established 163 ICT academies in the Middle East.
More than 3,500 students participated in the Seeds for the Global Future program, while more than 37,000 students received Huawei certifications.
The company has also provided training to more than 120,000 ICT talents in the region who are expected to contribute to the advancement of sustainability in the countries of the region by making the most of technology.
In light of the increasing challenges of reducing carbon emissions facing various countries around the world, we all have a responsibility to strengthen cooperation and work together to build a sustainable and prosperous future for future generations.
By: Ammar Taba, Huawei Vice President for Public Relations and Media in the Middle East
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Both projects emphasize large-scale deployment and international cooperation, including partnerships with Masdar, a UAE-based renewable energy company known for its green projects worldwide.

Egypt has developed the Benban Solar Park near Aswan, with an installed capacity of about 1.8 GW, making it one of Africa’s largest solar complexes.

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Economy: Benban and the Gulf of Suez are among the largest renewable energy projects
Economic Middle East magazine, which specializes in economics and energy, said that the Benban solar park and the Gulf of Suez wind project in Egypt are considered among the largest renewable energy projects in the Middle East.
Renewable Energy Projects in the Middle East
The Middle East has long relied on oil and gas, not only for revenue but also for power generation, but in the past years, the region has positioned itself as a leader in the renewable energy sector, boasting numerous renewable energy projects.
From 2023 to 2028, Mordor Intelligence expects the renewable energy market in the Middle East to grow by 13.43% annually.
The Arab Clean Energy Initiative was launched by the International Renewable Energy Agency (IRENA), and during the Arab Economic and Social Development Summit of 2013, the League of Arab States adopted the initiative, with leaders pledging to increase renewable energy generation capacity in the region from 12 GW in 2013 to 80 GW by 2030.
Benban Solar Park
Located in Aswan, Egypt with a capacity of 1,800 megawatts, Benban Solar Park is valued at $4 billion and includes 41 solar power plants, one of the largest solar PV parks in the world, spanning 37 square kilometers and containing 7 million photovoltaic panels, this initiative is a component of Egypt ’ s Renewable Energy Feed Tariff (FiT) program, which was unveiled in September 2014.
Gulf of Suez Wind Power Project
In November last year, ACWA Power and the Sovereign Fund of Egypt (TSFE) signed a memorandum of understanding, and together they will invest in a 1100 MW wind power project in Jebel Zeit and the Gulf of Suez. The project is one of the largest onshore wind farms in the world, and aims to provide power to more than one million households and reduce annual CO2 emissions by 2.4 million tons.

Egypt’s Gulf of Suez wind power project adds another 1.1 GW of renewable capacity.

This project is driven by joint ventures such as ACWA Power, a Saudi Arabian renewable energy developer, working alongside Egypt’s Sovereign Fund, reflecting growing regional and international collaboration.

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Arab Monetary Fund: Growing interest of Egypt and countries in the region in renewable energy
The Arab Monetary Fund (AMF) has confirmed the increasing interest of Arab countries in renewable energy with the aim of diversifying the national mix of energy sources and working to reduce harmful emissions to the environment through the adoption of clean energy technologies and the safe disposal of carbon.
In the 55th issue of its series of introduction booklets entitled “Renewable Energy ”, the Fund stated that the UAE aims to triple its renewable energy production capacity by 2030 and increase the contribution of clean energy in total energy production to 30% by 2030, reaching 38% by 2035.
He pointed out that the Arab Republic of Egypt aims in its integrated energy strategy until 2035 to reach 42% of the total electricity produced in 2035, where the current contribution of renewable energy including hydropower in the total electricity produced is about 12%.
The IMF pointed out that within the framework of Saudi Arabia ’ s National Renewable Energy Program, which is a strategic initiative launched within the Kingdom ’ s Vision 2030, and the Custodian of the Two Holy Mosques Renewable Energy Initiative, the Kingdom aims to increase its share in renewable energy production, balance the local energy mix and meet its commitments to avoid emissions.
The IMF pointed out that Oman ’ s Vision 2040 includes goals related to achieving energy security through diversifying energy sources, increasing reliance on renewable energy, and rationalizing consumption, and aims to increase the proportion of renewable energy consumption in total energy consumption to reach 20% in 2030, rising to between 35% and 39% in 2040.
Qatar National Action Plan for Climate Change 2030
According to the IMF, the Qatar National Action Plan for Climate Change 2030 stressed the importance of expanding renewable energy projects and the integration of renewable energy sources in the energy mix in Qatar is an opportunity to liberalize energy production for export, reduce the amount of oil and gas consumed in desalination and power generation, and reduce greenhouse gas emissions.
The IMF pointed out that the energy management strategy in Tunisia aims to enhance energy efficiency by reducing the national consumption of primary energy by 30%, and the development of renewable energy sources by raising the contribution of renewable energy in electricity production to 30% by 2030, while in Algeria the government ’ s action plan aims to achieve a production capacity of 15,000 GW by 2035 based on renewable energy sources, especially solar energy.
In its comprehensive energy sector strategy for the years 2020-2030, Jordan aims to increase the contribution of renewable energy to electricity generation to 31% in 2030 compared to 21% in 2020, while Morocco ’ s energy strategy aims to increase the share of renewable energies in electricity generation from 20% to more than 52% in 2030.
The IMF pointed out that the rest of the Arab countries such as Iraq, Bahrain, Libya and the United States are working to enhance their use of renewable energy sources, especially solar energy, which Arab countries rely on a lot in light of the Arab region's advantages related to the solar belt that surrounds it, which is characterized by the availability of bright sunlight and heat that extends for long periods during the year.
The Arab Monetary Fund pointed out that the global interest in expanding the use of renewable and clean energy sources, in light of the ongoing challenges related to achieving energy security that have emerged clearly globally on the one hand, and the increasing demand for energy on the other hand, in addition to the growing environmental challenges that push towards the transformation of energy systems to clean, sustainable and affordable energy.
The IMF pointed out that despite the increasing interest in renewable energy, its contribution to the global energy mix remains modest, with several challenges related to the ability of renewable energy to meet the requirements of reliability and sustainability in relation to the availability of certain weather and climate conditions such as intensity and longevity of sunlight and heat, wind speed and water flow strength.

Saudi Arabia’s National Renewable Energy Program articulates a strategic goal of achieving carbon neutrality by 2060.

The program includes development of large-scale solar projects and aims to harness green hydrogen production, notably through the NEOM project—an ambitious $500 billion futuristic city designed to incorporate solar and wind power with green hydrogen facilities targeting a green hydrogen production capacity of around 650 tons per day.

This reflects Saudi Arabia’s ambition to diversify beyond hydrocarbons while capitalizing on its renewable potential.

Oman’s Vision 2040 designates renewable electricity targets of 16% by 2025 and 30% by 2030.

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Content: MUSCAT: Renewable capacity expansion in the Middle East and North Africa (MENA) is projected to grow three-fold over the next five years (2023 – 2028), with the Sultanate of Oman ranked among the front-runners in driving this growth. According to a new report by the International Energy Agency (IEA), Oman’s renewables capacity growth is set to be the fourth largest in the region after Saudi Arabia, United Arab Emirates and Morocco.

These countries will account for the lion’s share of the 62 gigawatt (GW) increase in renewables capacity anticipated in the region by 2028, the Paris-based intergovernmental agency noted in its newly published report. “Over the next five years, the pace of growth is expected to accelerate to more than three times the previous five-year period, with solar PV making up over 85 per cent of the increase. Onshore wind and concentrated solar power also contribute,” said the IEA in its report, titled ‘Renewables 2023: Analysis and forecast to 2028’.

Driving much of this growth will be efforts by individual countries to decarbonize their electricity generation, but green hydrogen production is set to play a major role as well, according to the report. This is particularly the case in Saudi Arabia, UAE and Oman, it pointed out. “In fact, hydrogen accounts for more than 13 per cent of the region’s renewable capacity growth thanks to government policies to stimulate development for trade. Good solar resources, land availability and existing port infrastructure create favourable conditions for economically attractive renewable hydrogen to be shipped to demand centres in Europe and Asia,” the agency further stated.

Additionally, the report reaffirmed Oman’s positioning among the world’s top exporters of renewable hydrogen. It said: “By 2028, potential export countries could account for over one-fifth of hydrogen-driven renewable capacity deployment, led by Saudi Arabia, Australia, Oman and the United Arab Emirates. With the prospect of producing economically attractive renewable hydrogen to ship to potential demand centres in Europe and Asia, these countries aim to become major exporters of renewable hydrogen and hydrogen-based fuels.”

A revised Renewable Energy Plan enshrined in Oman’s 2040 Vision seeks to secure 16 per cent of electricity from renewables by 2025, rising to 30 per cent by 2030. Clean energy capacity is projected to rise to 2.6 GW by 2025 under the National Energy Master Plan. Supplementing this strategy is a commitment to embracing green hydrogen to, on the one hand, decarbonise the economy, and on the other to evolve into a major producer and exporter of renewable hydrogen. Green hydrogen output is targeted at around 1 million tonnes per annum by 2030.

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Oman has also announced green hydrogen ambitions, planning a significant green hydrogen plant in Duqm, with an expected capacity in the multiple hundreds of megawatts.

This initiative aligns with its broader renewable development and positions Oman as a future green hydrogen exporter.

Morocco currently has a renewable energy target of 52% capacity from renewables by 2030.

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Content: Sunday, 24 September 2023 02: 03 GMT
2030 Arab Goal to Advance Renewable Energy Capabilities Globally
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Several Arab countries are accelerating to keep pace with the international aspiration to achieve the goal of tripling global renewable energy capacity by 2030, which is receiving widespread attention, amid various plans and strategies at national levels in many countries.
The Arab countries that are likely to play the largest role in this regard, according to industry experts, are the UAE, Saudi Arabia, Oman, Kuwait, Egypt, Jordan, Algeria and Morocco, by injecting more investments into this vital and promising sector.
During the recent G20 summit in New Delhi in September, G20 leaders expressed their support for all efforts to increase renewable energy capacity and pledged to accelerate measures to address environmental crises and challenges.
With this growing international interest in the energy transition, the plans are facing many challenges, including (but not limited to) access to finance, especially for low- and middle-income countries, with significant investment required over the coming years.
(Al-Bayan), a group of American academics and specialists in the renewable energy sector were surveyed about the main opportunities and challenges on the way to increase the desired capacity, the investments required to achieve that goal, and the extent of its expected environmental and economic repercussions.
Huge spikes.
Achieving the ambitious goal of doubling global renewable energy capacity in the near term will be reflected concretely in several contexts, explains Gregory Nemet, a specialist in the analysis of international energy systems and environmental policies at the University of Wisconsin. By 2030, it will deliver significant benefits in terms of jobs, economic development, and improved air quality, as well as putting the world on the path to addressing climate change in the long term.
“The costs of renewable energy, especially solar and wind, have dropped dramatically over the last 10 years, and most experts expect them to continue to fall, ” says Nemet, explaining that a clean, affordable source of energy creates huge opportunities, allowing global renewable energy capacity to be tripled by taking full advantage of it.
According to Nemet, the 3-fold increase also presents challenges, such as “access to finance for low- and middle-income countries, and investments in electricity grids to accommodate this growth ”, stressing that“ challenges can be overcome through sustained efforts and supportive policies, as we have seen many examples in the recent past. ” A sign of broad international cooperation is required in this regard.
Last year, renewable energy capacity (globally) increased by 9.6 percent to 3,372 gigawatts, an increase of a record 295 gigawatts, despite global uncertainty in light of geopolitical developments and the Ukrainian war, according to data published by the International Renewable Energy Agency (IRENA) on March 22.
Almost half of the new capacity from renewable energy in Asia has been added, with China contributing more than 141 gigawatts to the new capacity of the entire continent.
Renewable energy sources in Europe and the United States grew by 57.3 gigawatts and 29.1 gigawatts respectively.
African capacity increased slightly by 2.7 gigawatts.
According to IRENA data, although hydropower accounts for the largest share of total global renewable energy capacity at 1,250 gigawatts, solar and wind power continue to dominate new capacity, contributing 90% of total capacity last year.
Solar capacity came first with an increase of 22%, followed by wind power with an increase of 9%.
Policies and Incentives
University of Massachusetts academic David Turcotte, whose research interests include climate change and environmental justice, believes that there are many opportunities in the context of increasing global renewable energy capacity, due to increases in oil prices as a result of the Ukrainian crisis, which makes renewable energy sources more cost-effective, as well as worsening economic and human costs. Recurrent, more severe climate change disasters.
“Many developed countries have expanded policies and incentives to encourage increased capacity to produce renewable energy.
However, we still face a lot of challenges […]
That threatens to derail efforts to increase renewable energy capacity, and the transition to a clean energy economy.
Among these challenges is the lack of adequate funding to support increases in renewable energy capacity in developing countries, a challenge he described as “serious. ”
While international efforts are accelerating to target investments in the context of increasing global renewable energy capacity, those investments are still below the 1.5 ° C target.
This is shown by data from IRENA and the Climate Policy Initiative (CPI) released in February, which estimate the total volume of investments in renewable energy sectors during 2022 at $499 billion, up from $430 billion in the previous year 2021.
Developments in the world over the past year, especially with the start of the Russian military operation in Ukraine in February 2022, have also encouraged many countries to move more towards renewable energy sources, to overcome the energy crisis caused by the consequences of the war, in the interest of the desired goal of increasing capacity.
Required investments
John Hall, Professor of Mechanical Engineering at the Center for Energy Production and Infrastructure, University of North Carolina, United States, notes that “the goal of tripling global renewable energy capacity by 2030 is a challenge, and achieving the goal requires an intensive global strategy, focused on significant financial investment, technological innovation targeting these communities, inclusive policies, and collaborative efforts. ”
Speaking with Al-Bayan, he stressed that community participation and infrastructure development in underserved areas should be central to the strategy, leading not only to the promotion of the energy transition, but also to economic upgrading.
The International Renewable Energy Agency (IRENA) estimates that $4 trillion per year will be required in the clean energy sector until 2030 to strengthen global capacity in this regard.
Logistical challenges
Warren Mabey, an academic at Queen ’ s University who specialises in energy policy and natural resource management, told Al Bayan that “it is technically possible to triple global renewable energy capacity over the next six years, and this will put enormous pressure on the global supply chains that support the sector. and manufactured goods, necessary for the transformation process).
Mabe believes that “the cost will be enormous, and the logistical challenge may be too great to overcome ”, stressing the need for“ strong and consistent leadership from countries around the world to achieve this. ”
Arabic Steps
At the Arab level, five Arab countries (Egypt, Morocco, Oman, Saudi Arabia and the United Arab Emirates) are expected to account for about 72% of the region ’ s total growth in renewable energy, according to the Organization of Arab Petroleum Exporting Countries (OAPEC), which expects renewable energy capacity to reach 45 gigawatts by 2027, an increase of 3 times. Compared to the last five years.
The International Renewable Energy Agency (IRENA) estimates that in 2022, the Middle East saw the highest increase in renewables ever, with 3.2 gigawatts of new capacity added last year, a 12.8 percent increase over the previous year.
According to the Arab Renewable Energy Authority (AREA), the volume of investments by Arab countries in renewable energy projects is expected to reach $1 trillion by 2040, in light of the interest of Arab governments in this file, to achieve global environmental goals.
A Great Leap in 10 Years
According to the current data, the renewable energy sector in the region is expected to witness a huge leap in the next 10 years, at a time when eight Arab countries are leading this trend, according to the researcher in international relations and political economy, Abu Bakr al-Deeb, adviser to the Arab Center for Studies and Research, who tells Al-Bayan that the countries strongly candidate to move in this direction are:, Kuwait, Egypt, Jordan, Algeria and Morocco).
Aldeeb also cites the volume of electricity generated from renewable sources in the Middle East and Arab countries, which is expected to increase six-fold in 10 years through heavy reliance on solar photovoltaic energy, noting that the Arab region has “great potential ” to help launch major projects to produce energy from the sun. And wind, among these possibilities or advantages (the right climate, the bright sun most days of the year, as well as human expertise, and financial capabilities also for some countries).
The UAE is at the top of the list of Arab countries that produce electricity from solar energy, while Egypt is the largest country in the Arab world in terms of electricity production from wind energy, according to a report issued by (Global Energy Monitor), which Al-Deeb cites when explaining the progress made by some Arab countries in this sector, The UAE, Egypt, Jordan and Morocco are among the first Arab countries to establish solar and wind power plants.
According to the report, renewable power plant projects for Arab countries are likely to achieve 92% of the region ’ s total target by 2030 when completed.
One of the most reliable projects in this regard is the Green Hydrogen projects, through which the Middle East is seeking global leadership, with export revenues likely to reach $200 billion by 2050 for the Gulf countries, according to a study by Dii Desert Energy.
In this context, Al-Deeb notes the abundance of renewable energy resources, clean hydrogen, human expertise, capital, and their geographical proximity to the European market, all of which provide them with important and growing opportunities.
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It’s home to the Noor Ouarzazate Solar Complex, one of the world’s largest concentrated solar power plants, contributing significantly to Morocco’s solar capacity, estimated at around 1.9 GW of combined solar and wind power.

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Content: In numbers...
Arab countries race to double their renewable energy production by 2030
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DUBAI, United Arab Emirates — (CNN) Arab countries are on track to grow their utility-scale wind and solar capacity by more than 500% by 2023, according to a report by Global Energy Monitor.
According to the report, the Middle East and North Africa (MENA) region has enormous potential for large-scale wind and solar power projects because of its favorable climate and sunny weather for most of the year.
Arab countries are planning more than 73 gigawatts of utility-scale solar and wind projects, a more than fivefold increase in current capacity, which together with operational projects will account for 91% of the Arab League ’ s renewable energy goals for 2030.
The UAE is at the top of the list of Arab countries that produce the most electricity from solar energy, with solar plants producing 2.6 gigawatts of electricity.
Egypt is among the Arab countries that produce the most electricity from wind power at 1.6 gigawatts.
Egypt produces 1.9 gigawatts of electricity from solar power plants.
Egypt ’ s total electricity production from both places it at the top of the list of Arab countries with a production capacity of 3.5 gigawatts.
Thanks to its huge investments in solar electricity production, the UAE ranks second in wind and solar electricity production, followed by Morocco in third place with 1.9 GW and Jordan in fourth place with 1.7 GW.
While Egypt, the United Arab Emirates, Morocco and Jordan are the first Arab countries to initiate wind and solar power plants, Oman, Algeria and Kuwait are poised to follow suit, ranking first in expected solar and wind power production in the near future.
Here are the top Arab countries in terms of the current operation of solar and wind energy on the scale of utilities and the capacity of wind and solar energy expected to be produced at the level of each country in the Arab region.

Jordan aims to generate 31% of its electricity from renewables by 2030, supported by projects leading to about 1.7 GW of total renewable capacity, with significant contributions from solar and complemented by wind energy.

Both countries have attracted substantial international financing, technical assistance, and participation by global companies in their renewable projects.

Solar Capacity and Renewable Energy Targets:

As of recent reports (2022–2024), the region’s solar and renewables capacities are expanding rapidly.

The UAE generates approximately 2.6 GW of solar electricity, while Egypt produces 1.9 GW solar and 1.6 GW wind capacity.

Across Arab countries, over 73 GW of new renewable capacity is planned by 2030, equating to more than a 500% increase in utility-scale solar and wind power compared to recent years.

This expansion corresponds to 91% of the Arab League’s collective renewable energy goals.

The region added 3.2 GW in renewable capacity in 2022 alone, reflecting a 12.8% year-on-year growth.

These increases are driven by the countries’ commitments to ambitious targets: the UAE pledges net zero emissions by 2050; Saudi Arabia targets carbon neutrality by 2060; Egypt aims for 42% renewables in electricity by 2035; Oman plans for 30% renewable electricity by 2030; Morocco targets 52% renewable capacity by 2030; and Jordan aims for 31% renewable electricity by 2030.

These targets reflect alignment with international climate agreements such as the Paris Accord and regional initiatives like COP28.

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Content: Environmental, Social, and Governance (ESG) issues have become increasingly prominent on the global stage as organisations recognise the need to integrate sustainability into their operations.

As the Middle East moves towards a low carbon future, sustainability has become a top priority for organisations and governments across the region.

Sheikh Mohammad bin Rashid, Prime Minister and Ruler of Dubai announced while launching the National Hydrogen Strategy that the UAE is to invest up to AED 200 billion ($54.5 billion) in renewable energy.

The launch of a AED 4 billion renewable energy plant in Dubai,  and the world’s largest waste-to-energy plant are proof of sustainability climbing the agenda.

With COP 28 being held in the UAE this year, there is a renewed sense of urgency on climate change action, and the net-zero carbon target is being prioritised through policies and actions.

After all, sustainability will boost the UAE’s economic competitiveness, drive innovative policy and improve investment opportunities.

The region has seen notable sustainability innovations, including Saudi Arabia’s rapid transition to a circular carbon economy, Bahrain’s state oil company refinancing a $2.2 billion sustainability-linked corporate finance facility, and Oman’s exploration of green hydrogen as a clean energy source.

However, the Middle East faces its own unique challenges in implementing ESG practices, especially around accurate sustainability reporting and implementing early regulations to fill in previous gaps.

Other challenges that hinder the progress of the region’s ESG agenda include the talent gap, how corporates in the region address the need to implement ESG practices, as well as data availability.

Regulatory frameworks

While standardised frameworks and reporting guidelines begin to form, the lack of clear regulations can hinder consistent measurement and disclosure of ESG performance.

Global frameworks have now become more widely adopted in the region such as the Global Reporting Initiative (GRI), the Sustainability Accounting Standards Board (SASB), and the newly published International Sustainability Standards Board (ISSB).

The gap in standardisation previously posed challenges for investors and stakeholders who relied on transparent and comparable ESG data for decision-making, however, we are starting to see drastic changes in this area.

Data availability

Many companies in the Middle East still face challenges in collecting, managing, and reporting ESG data, which can hinder their ability to effectively assess and manage their sustainability performance.

Data is the first step to measure any status, but also measure progress. Improving data collection mechanisms and investing in robust reporting systems will be instrumental in addressing this challenge.

ESG talent gap

Organisations need individuals with specialised knowledge and expertise in ESG practices to drive sustainable strategies effectively. Alongside this specialised knowledge, the industry also needs innovators, risk takers, agitators for change, mentors, and communicators in the field. There is however, a shortage of skilled professionals in the region with a deep understanding of ESG principles to drive innovative solutions.

Bridging this gap requires investment in education and training programmes to build a skilled workforce capable of integrating ESG considerations into business practices. Universities and training institutions are therefore increasingly offering courses and programmes on sustainability and ESG and businesses are partnering with academic institutions to develop tailored training initiatives and internships, nurturing a pipeline of talent equipped with the required knowledge and skills.

These efforts will cultivate a sustainable workforce capable of implementing and driving ESG practices in the Middle East.

Implementation by region’s corporates

Despite the challenges, corporations in the Middle East are embracing ESG practices, recognising the importance of sustainability and responsible business conduct. We see this through accelerated electrification and the increase of decarbonizing energy supply.

The GCC’s oil-producing nations have made efforts to diversify energy sources, transitioning towards net-zero carbon fuels for transportation. Investments in renewable energy, such as solar and wind, aim to mitigate environmental impacts and promote a low-carbon economic future transforming the economic system and supply chain.

Additionally, social considerations are gaining prominence. Companies are addressing social issues through initiatives that promote diversity, inclusion, and employee welfare.

Governance practices are also being strengthened to ensure transparency, accountability, regulatory reforms and ethical conduct.

While obstacles in integrating ESG practices persist in the Middle East, corporates in the region are proactively embracing sustainability and responsible business practices.

That the Middle East is emerging as a leader in ESG adoption is apparent through their fullfillment of the UN SDG goals which has driven positive environmental, social, and governance outcomes for businesses and society as a whole.

Despite these targets, renewables currently constitute just over 2% of the Middle East’s overall energy mix, while fossil fuels account for approximately 87%, underscoring both the challenge and opportunity ahead for a region traditionally dependent on hydrocarbons.

Government Incentives and Policy Frameworks:
Governmental support is critical for enabling the energy transition.

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Content: People 's Daily Online > > Economy and Technology
Electric cars welcome in the Middle East
Li Xuehua
July 18, 2024 08: 47 | Source: Economic Daily
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Original title: China's electric car welcomed by the Middle East market
In recent years, in the face of increasingly severe climate change challenges and increasingly urgent pressure to reduce emissions, countries in the Middle East have accelerated the green transformation of energy and economic diversification, and the development of green transportation has become one of the important contents.
With its cost-effective and beautiful design, Chinese-made electric vehicles are favored by more and more industry insiders and consumers in the region.
The Middle East is becoming a "blue ocean" for Chinese electric vehicle companies to explore the international market.
The development of electric vehicles is the general trend
According to the International Energy Agency (IEA), the transportation sector currently accounts for about 60% of global oil consumption.
In order to achieve global emission reduction targets, the proportion of electric vehicles must be greatly increased.
The development of electric vehicles has become an important part of the Middle East countries to promote the green transition.
The UAE is the first country in the Gulf region to commit to net zero emissions by 2050.
To this end, the UAE has formulated a National Electric Vehicle Policy, which provides preferential measures such as free registration, free parking and reduced charging and tolls to promote the development of the electric vehicle industry.
The UAE has converted 20% of federal government agency vehicles to electric vehicles and has set a target of at least 30% of government vehicles and 10% of road vehicles to be electric (pure electric or hybrid) by 2030.
By 2050, 50% of the UAE ’ s road vehicles will be electric.
The development of the electric vehicle industry is an important part of the Saudi strategic transformation program “Vision 2030 ”. In 2022, the Saudi government launched the national electric vehicle strategy, in addition to increasing the market share of electric vehicles, the Saudi government also provides a series of incentives for consumers to buy electric vehicles, including tax cuts and subsidies.
In addition, the Saudi government has also set a target of 30% of electric vehicles in the capital Riyadh by 2030, with an annual output of 300,000 vehicles.
Saudi Arabia has completed the formulation of relevant supporting policies for the infrastructure of electric vehicle charging stations in August 2022, and promoted the acceleration of the landing of charging infrastructure.
The Egyptian government launched the Electric Vehicle Development Plan in 2018, aiming to make up 2% of the total vehicle fleet by 2025 and 10% of the total vehicle fleet by 2030.
In order to achieve these policy objectives, the Egyptian government has adopted a series of policy measures and incentives to stimulate and support investment and consumption of electric vehicles and charging stations.
The Qatari government ’ s goal is to reach 10% penetration of pure electric vehicles by 2030, expand 15,000 charging stations, and make public transport 100% electric buses.
Governments in the Middle East have launched plans to promote electric vehicles, accelerating the growth of the electric vehicle market, and the acceptance and recognition of electric vehicles by consumers is rising.
Chinese car companies compete
According to PwC ’ s latest “Electric Vehicle Outlook 2024: UAE ” report, it is expected that by 2030, the market share of electric vehicles in new passenger and light commercial vehicle sales in the UAE will exceed 15% (about 58,000 vehicles), and by 2035, this share will increase to 25% (about 110,500 vehicles).
Arthur D. Little, an international consultancy, expects the UAE EV market to grow at a rate of 30% per year between 2022 and 2028.
Deloitte predicts that by 2030, the total value of the Saudi electric vehicle market is expected to reach 28 billion US dollars.
The huge demand for electric vehicles and supporting facilities in the Middle East is undoubtedly a major positive and unmissable opportunity for Chinese car companies.
According to the statistics of the China Automobile Industry Association, in 2023, China's new energy vehicles exported 1.203 million, an increase of 77.6%.
China's new energy vehicle production and sales account for more than 60% of the world's total.
In addition to meeting the needs of the domestic market, "going to sea" has become a concerted action of the industry, and the Middle East has become an important market for large car companies to explore.
Xie Qiyi, Vice President of Dubai One Road Group, said that electric vehicles have become a new business card for Chinese brand cars in the Middle East. During the 2022 World Cup in Qatar, China Yutong Bus provided 1,002 special electric buses to Qatar and put them into the national public transportation system after the World Cup. In October 2022, Red Flag Electric Vehicles successfully “joined ” the Dubai Police Force as the first electric vehicle for the Dubai Police, and the Red Flag E-HS9 has become one of the favorite electric vehicles of local chiefs, royals and government dignitaries.
At the end of 2022, Geely ’ s electric commercial vehicle brand Long Range Motors signed an order for 1,000 electric commercial vehicles with Emirati enterprises. In September 2023, Geely ’ s other electric vehicle brand, Gekrypton Automobile, signed a national general generation agreement with dealers in the UAE, Saudi Arabia, Qatar and Bahrain to build a sales service network.
BYD began to enter the Middle East market in 2023, entering the UAE, Saudi Arabia, Jordan, Qatar, Israel and other countries. In May 2024, BYD officially opened its first store in Riyadh, the capital of Saudi Arabia. In June 2024, BYD completed its 1000th delivery in the UAE.
BYD has established a leading position for electric vehicle brands in the Middle East.
Other Chinese electric vehicle companies such as the Great Wall, Beiqi, Changan, Xiaopeng, Skyworth, etc. have also opened up the Middle East market.
With its high cost performance and beautiful design, China's electric vehicles are favored by more and more consumers in the Middle East.
According to data released by the Israel Automobile Importers Association, in 2023, China 's electric vehicles accounted for about 61% of the Israeli electric vehicle market share. In the first half of 2024, the market share increased to 68.31%, and BYD became the sales champion brand, with the ATTO 3 becoming the best-selling model in Israel in the first half of the year with 7265 sales.
In Jordan, Egypt and other countries, sales of Chinese brand electric vehicles are also growing.
Industry insiders are generally optimistic about the sales prospects of Chinese brand electric vehicles in the Middle East.
Heiko Seitz, head of global and Middle East electric vehicles at PwC, expects to see more electric vehicle models from Chinese companies in the UAE in the coming years.
A report by Dubai-based Glasgow Research Consulting found that Chinese automakers are seizing the opportunity to deliver reliable and cost-effective electric vehicles, making them key players in the UAE ’ s transition to a green future.
Help the Middle East improve the industrial chain
Zhang Chenling, executive president of One Road Group, believes that China's electric vehicle industry chain is complete, upstream and downstream batteries, energy storage, infrastructure and other aspects are in the world's leading level, many Middle Eastern countries not only aim to import electric vehicles, but also hope to promote the development of their own electric vehicle industry chain through cooperation with China to expand their local manufacturing capacity, thereby boosting their own industrialization process.
The best way for Chinese auto companies to enter the Middle East market is to choose a reliable local partner, which can make full use of the preferential policies of the local government and effectively deal with some trade barriers.
Cooperation between the two sides can complement each other's advantages and be mutually beneficial and win-win.
In March 2024, Rongding Consulting released a research report that China's foreign direct investment in electric vehicle related industries is shifting from North America to Europe, the Middle East and Asia.
The report predicts that China's overseas investment in electric vehicles will remain strong in 2024, and the Middle East and North Africa will jump to second place.
In June 2024, Egypt ’ s GV Investment Company entered into a cooperation agreement with China FAW Group to begin production of China FAW ’ s affordable electric vehicles in Egypt in the first quarter of 2025. GV Investment aims to localize 65% of vehicle parts and export products to the Middle East, Africa, Europe and Latin America in the next three to five years.
In July 2024, BYD signed an agreement with the Turkish government, BYD will invest $1 billion to build a plant in Turkey with an annual output of 150,000 electric vehicles and set up a research and development center.
The plant is expected to go into production by the end of 2026, providing 5,000 jobs.
In June 2023, during the 10th Entrepreneur Conference of the China-Arab Cooperation Forum, the Saudi Ministry of Investment and Chinese electric vehicle manufacturer China Express signed a $5.6 billion contract to establish a joint venture for research, development, manufacturing and sales of automobiles.
In the same month, NIO Motor announced that it had signed a share subscription agreement with CYVN, the Abu Dhabi sovereign fund, which will make a total strategic investment of about $1.1 billion through the targeted issuance of new and old shares.
Some countries enjoy duty-free access to markets in Europe and North America.
While meeting the local market demand, Chinese electric vehicle companies can also take the Middle East countries as an important partner in developing third-party markets, and radiate broader markets such as Europe and Africa from here.
Cooperation between China and Middle East countries in the field of electric vehicles has broad prospects and great potential.
(Editor: Yang Xi, Chen Jian)
Public Number ： People 's Network Finance
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Saudi Arabia’s Vision 2030 and its National Renewable Energy Program aim to increase renewable energy production and diversify the economy.

The Saudi Public Investment Fund actively invests in renewable projects and sustainable technologies, including electric vehicle manufacturers like Lucid Motors, signaling a strategic shift from oil-dependent revenues toward clean technologies.

The UAE government has committed approximately $163.5 billion in clean and renewable energy investments over the next three decades.

It supports electric vehicle adoption through policies offering free registration, parking benefits, reduced charging costs, and expanding charging infrastructure.

Regulatory frameworks are evolving to streamline permitting, offer subsidies, and encourage both domestic and foreign investments, with Masdar playing a key role as an international renewable energy developer based in Abu Dhabi.

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Content: Middle East M & A growth, ‘ green deals ’ quadrupled since 2001
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A new report from Boston Consulting Group (BCG) shows that M & A activities across the Middle East are back to pre-pandemic levels, with the Middle East recording 283 M & A transactions in the first three quarters of 2022 – an increase of 16% compared to the same period last year – with a total value of $23.8 billion.
“Green Deal ” has quadrupled since 2001.
The 19th edition of Boston Consulting Group ’ s annual Mergers and Acquisitions Report 2022 predicts that environmental considerations will spur an increasing number of M & A transactions, despite generally unfavorable macroeconomic conditions, with green M & A growing from 5% in 2020 to 10.3% in 2021, indicating that more officials and decision-makers are recognizing the potential for value creation. such operations.
Ihab Khalil, Managing Director and Senior Partner at Boston Consulting Group, said: “Green M & A is seeing significant growth across the region.
The exponential growth of sustainability-sensitive deals in the Middle East is a clear result of the national transformation programs announced by the region ’ s governments as they seek to achieve diverse economic outcomes as they move towards meeting the requirements of climate neutrality strategies.
As the region continues to establish itself as a thriving global hub for partnerships and economic diversification plans, so will green mergers and acquisitions.
“The Green Deal. ”
BCG ’ s analysis revealed a clear upward trend in green and sustainable deals over the past decade, with 2021 seeing the fastest pace of such deals in the Middle East when the volume nearly doubled to 10.3% after two years of less active M & A and green deals.
Green M & A has seen particularly rapid growth in sectors at the forefront of the energy transition as well as in emerging markets, with the Middle East showing the highest level of green transaction activity globally.
Over the past 10 years, the energy and utilities sector has accounted for the largest share of green mergers and acquisitions, with the highest growth rate, with a 98% increase in deals from 2020 to 2021, contributing 10% of M & A deals in the Middle East in 2021.
Asia Pacific (especially China) was the second most active region in green M & A deals, with the share of green deals reaching around 8% in 2021.
The company ’ s new analysis shows that despite the large premium that green M & A operations often require, they generally create more value than non-green deals when disclosed and over the next two years.
By analyzing the abnormal cumulative return (CAR) for periods of three days before and after the deal announcement, BCG found that the average abnormal cumulative return for green deals (1.0%) was marginally higher than for non-green deals (0.0%).
The report also determined that the two-year average relative total shareholder return (rTSR) for non-green deals (-0.55%) exceeds the average relative total shareholder return for green deals (-2.38%).
Ronald Maalouf, Managing Director and Partner at Boston Consulting Group, said: “While countries in the Middle East are looking for ongoing solutions that meet the requirements of their climate neutrality strategies to support their economies, they will continue to develop energy sector operations and projects.
Conversely, increased hydrogen projects will strengthen the region ’ s position not only as a reliable and sustainable energy supply hub, but also as a leading destination that attracts and supports the burgeoning of a greater number of mergers and acquisitions across the board.
With the UAE hosting COP28, we expect to attract more attention to the region ’ s green investment portfolios to support the achievement of the global Sustainable Development Goals. ”
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Egypt employs a Renewable Energy Feed-in Tariff (FiT) program that incentivizes renewable projects by offering fixed, preferential tariffs to producers.

The government integrates these mechanisms into its larger energy strategy targeting 42% renewable electricity by 2035.

Oman’s Vision 2040 includes regulatory reforms, subsidies, and incentives aligned with renewables and green hydrogen development.

Additional government incentives across the region feature tax exemptions, customs duty waivers, streamlined foreign investment approvals, and research and development (R&D) support mechanisms aimed at fostering innovation and local capacity.

These policies enhance project bankability and attract multinational firms and investors.

State-driven educational and workforce development programs have been initiated to support industrial and social adaptation to the energy transition.

This includes upskilling current workers, expanding specialized university programs in renewable energy and related technologies, and vocational training aimed at integrating local populations into emerging green jobs.

Countries such as Saudi Arabia and the UAE have launched initiatives to build human capital compatible with their renewable and green hydrogen ambitions, helping to mitigate social challenges linked to economic restructuring.

International partnerships are abundant.

ACWA Power (Saudi Arabia) is a major developer with projects in Egypt and Saudi Arabia.

Masdar (UAE) has spearheaded regional and global renewable initiatives, while strategic collaborations with Chinese companies drive electric vehicle infrastructure and manufacturing expansion across the region.

The World Future Energy Summit in Abu Dhabi exemplifies ongoing regional cooperation, knowledge exchange, and green finance mobilization efforts.

Economic and Climate Impact Analysis:
The renewable energy transition carries substantial economic and environmental implications.

Economically, the expansion of solar and renewables infrastructure is creating thousands of new jobs in construction, operations, manufacturing, and research sectors.

These projects foster diversification away from oil and gas revenue dependency, contributing to economic resilience amid fluctuating fossil fuel markets.

Green hydrogen is emerging as a new economic frontier.

Saudi Arabia’s NEOM project is expected to become a global hub for green hydrogen production, with significant export potential.

Oman’s green hydrogen plant in Duqm aligns with this regional strategy.

By 2050, Gulf countries foresee approximately $200 billion in revenues from green hydrogen exports, strengthening energy security and positioning the Middle East as a key player in future clean energy markets.

Environmental advantages include substantial reductions in carbon emissions supporting Nationally Determined Contributions (NDCs) under the Paris Agreement.

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Content: Monday, 27 June, 2022, 1:59 AM
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Greener cities are critical to regional sustainability

Published : Monday, 27 June, 2022 at 12:00 AM  Count : 73
SARA AL-MULLA

From megacities to metropolises, cities of all kinds are experiencing an unprecedented spectrum of threats associated with climate change, necessitating a serious debate on the importance of transitioning toward greener cities in order to remain sustainable and resilient.

Currently, those living in urban areas make up just over half the global population. But this figure is projected to increase exponentially to a whopping 68 percent by mid-century, according to the UN. The modern urban landscape poses complex challenges for cities, as they are vulnerable to climate-induced hazards that threaten their economies and infrastructures and the well-being of their residents.

An influential 2018 report titled "The Future We Don't Want" - published by C40 Cities, the Global Covenant of Mayors, Acclimatise and the Urban Climate Change Research Network - revealed the manifold threats that cities are facing and will continue to face in greater intensity as a result of climate change. The report stated that 70 percent of cities are already feeling the wrath of climate change in the form of heat waves, rising sea levels, wildfires, storms and droughts. The fact that 90 percent of urban areas are coastal also poses a significant vulnerability to flooding due to rising sea levels and mass destruction from tsunamis.

By 2050, more than 45 percent of the global urban population is projected to live in cities with extreme summer temperatures of at least 35 degrees Celsius, leaving residents susceptible to dehydration, heatstroke, sleep loss, stress, cardiovascular disease and even death.

Many cities are currently counteracting these challenges, such as the case with Seoul, which implements a number of successful interventions when temperatures reach 33 C for two consecutive days. They include advisories to residents with practical advice and guidance to employers about allowing their outdoor workers to take breaks. The city has also installed shaded cooling centers in public locations, planted 16 million trees and expanded its green space by 3.5 million sq m.

The urgency of addressing climate change in the Middle East and North Africa has never been more critical, with UN experts projecting an urbanization rate of 59 percent by 2030. The region is already fraught with high temperatures, droughts, limited rainfall and scarce agricultural lands, and it is considered among the most water-stressed regions in the world. Climate-induced water scarcity alone is projected to cost MENA countries as much as 6 percent of their gross domestic product by 2050, according to the World Bank.

All of these challenges have important policy implications for city governments on how to balance economic growth while reducing environmental impacts and maximizing population well-being. The International Finance Corporation estimates the climate-centered investment opportunity for the MENA region to be $1.7 trillion.

Many cities have already implemented a vast range of interventions to bolster their resilience and successfully transition into greener cities. Chief among these actions is establishing a dedicated agency to plan, coordinate and manage climate-related strategies across the country. Regular extensive assessments of vulnerabilities and climate-related risks will inform decision-makers on the urgent and critical interventions needed.

Cities should also upgrade their infrastructure to ensure resilience in the face of extreme climate events, such as the flooding of drainage systems. Shifting to climate-smart infrastructure is an important step toward reducing greenhouse gas emissions and conserving resources. For example, a number of cities are currently relying on renewable energy and solar energy to power large buildings.

Meanwhile, the government of Dubai has issued regulations for "green buildings" that elaborate on a number of climate-friendly solutions, including creating vegetated rooftops, reducing hazardous waste, limiting pollution and improving energy and water efficiency. Many cities are also experimenting with vertical forests, whereby a variety of plant species are grown on buildings, such as the ones in Milan, Kuala Lumpur, Singapore and Utrecht.

Investing in climate-efficient public transportation and promoting the uptake of hybrid or electric vehicles will offer cleaner alternatives to fuel-reliant vehicles that amplify air pollution. To illustrate, the city of Santiago in Chile invested in electric-powered public buses, which do not generate emissions and cost a remarkable 70 percent less to operate than diesel-fueled buses. In tandem, guidance should be issued to enterprises on how to decarbonize their operations and shift toward electrification and digital solutions.

Launching mass greening and reforestation projects across cities can yield a number of benefits, such as cooling them during summer months and improving biodiversity. This can be done by planting trees to line streets and boulevards and creating gardens, grassy areas, public parks, flowery meadows, miniature urban forests and allotments. For instance, many cities offer allotments for urban farming and recreational gardening projects managed by residents, with an abundance of evidence pointing to improved physical and mental well-being, in addition to the growth of local, seasonal and organic produce.

Additionally, many countries, such as the UAE and Singapore, are capitalizing on vertical farming projects to maximize agricultural yield while relying on climate-friendly solutions to efficiently utilize water and energy.

City governments should also be creative with their public education campaigns to nudge the desired behavioral changes by residents, focusing on recycling, metered consumption and the reduction of wastage. Furthermore, MENA countries should invest in cutting-edge research and innovations related to climate change, which will empower cities to navigate an uncertain future and adjust their climate action plans accordingly.

When imagining the cities of tomorrow, a rather ambitious idea should be explored to include sustainability. By transforming its cities into greener cities, the MENA region can navigate the coming decades with enhanced resilience and competitiveness.
Source: ARAB NEWS

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The UAE’s net zero emissions goal by 2050 and Saudi Arabia’s carbon neutrality target by 2060 represent measurable commitments to global climate mitigation.

Challenges remain.

The region’s current heavy reliance on fossil fuels for electricity generation and government revenues presents structural inertia.

Infrastructure constraints, such as limited energy storage capacity and smart grid technology deployment, constrain the pace of renewable integration.

Political instability and economic challenges also affect countries like Jordan and Lebanon, limiting investment and progress.

Social challenges include transitioning workforces dependent on traditional energy sectors, necessitating ongoing government support programs to ensure equitable growth.

Despite these challenges, escalating foreign direct investment continues to flow into the renewable energy sector, particularly in the UAE and Saudi Arabia, fueling green mergers and acquisitions.