UAE's energy diversification move to ensure Dh700b in savings

FAR-SIGHTED VISION: Shaikh Mohammed and Shaikh Hamdan at the unveiling of UAE Energy Plan 2050 on Tuesday.

His Highness Shaikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai, has unveiled the UAE energy strategy for the next 30 years, which is aimed at increasing the contribution of clean energy to half of the total energy mix, which will save Dh700 billion by 2050.
The strategy, which was announced in the presence of Shaikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, also aims to increase consumption efficiency of individuals and corporates by 40 per cent.
Shaikh Mohammed announced that the UAE Energy Plan for 2050 is targeting an energy mix that combines renewable, nuclear and clean energy sources to achieve the UAE's economic needs and environmental goals, and that the country aims to invest Dh600 billion by 2050 to meet growing demand and ensure sustainable growth in the UAE's economy.
The plan is a joint effort of all energy-related authorities and all executive councils in the UAE, and under the supervision of the federal government represented by the Ministry of Energy and the Ministry of Cabinet Affairs and The Future.
"Our new energy plan aims to balance supply and demand, and takes into consideration our international commitments in term of environment. It aims to ensure comfortable economic environment for growth across the sectors," Shaikh Mohammed said during the launch of the plan.
"The new strategy takes into consideration an expected annual growth of 6 per cent, and work on increasing the contribution of the clean energy in the energy mix from 25 per cent to 50 per cent by 2050, and also slashing carbon footprint during power generation by 70 per cent over the next three decades," he added.
"Ensuring the sustainability of energy resources is a guarantee of the sustainability of the growth of our country. The government has made an achievement by drafting the first unified energy strategy in the country based on supply and demand. He who does not think of energy is not thinking about the future."
Shaikh Mohammed also noted that "the Gulf countries are similar in their economic structure, and we hope that we will one day have a unified GCC energy strategy in order to ensure sustainable growth for our people and global influence for our economies."
The equation targeted by the 2050 strategy is as follows: 44 per cent clean energy, 38 per cent gas, 12 per cent clean coal and 6 per cent nuclear. The strategy also aims to change the energy consumption culture through slashing residential energy consumption by 40 per cent.
The strategy will be implemented in three phases: the first phase aims to accelerate the move to efficient consumption of the energy as well as diversifying and securing it, while the second path aims to find new solutions that integrate with energy and transportation solutions. The third path will focus on research and development in addition to innovation and creativity to supply sustainable energy.
The launch of the strategy was attended by Ahmed bin Saeed Al Maktoum, President of the Dubai Civil Aviation Authority and CEO and Chairman of the Emirates airline and Group; along with a number of ministers and senior officials.
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