The UAE has announced its Energy Strategy 2050, which aims to invest Dh600 billion ($163 billion) targeting an energy mix that combines renewable and nuclear sources to achieve the country’s economic needs and environmental goals.
Announced by Vice President and Prime Minister of the UAE and Ruler of Dubai Sheikh Mohammed bin Rashid Al Maktoum, the strategy aims to increase the contribution of clean energy in the total energy mix to 50 per cent, which will enable savings of Dh700 billion ($190.5 billion) by 2050.
The strategy, which was announced in the presence of Crown Prince of Dubai HH Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, also aims to increase consumption efficiency of individuals and corporates by 40 per cent.
“Our new energy plan balances supply and demand, and takes into consideration our international commitments in terms of the environment. It also seeks to ensure a conducive economic environment for growth across sectors,” Sheikh Mohammed said.
“The new strategy takes into consideration an expected annual growth of 6 per cent, and efforts to increase the contribution of clean energy in the energy mix from 25 per cent to 50 per cent by 2050, apart from the reduction of the carbon footprint resulting from power generation by 70 per cent over the next three decades.
“Ensuring the sustainability of energy resources guarantees the sustainability of our country’s growth. Drafting the first unified energy strategy in the country based on supply and demand is a significant achievement of the government. He who does not think of energy is not thinking about the future,” he added.
“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,” Sheikh Mohammed noted.
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 by slashing residential energy consumption by 40 per cent.
The strategy will be implemented in three phases: the first aims to accelerate the move to efficient energy consumption, ensure stable sources of energy and the diversification of energy sources, while the second aims to find new energy-efficient solutions for transportation.
The third will focus on research and development in addition to enhancing innovation and creativity in the supply of sustainable energy.