UAE, Saudi Arabia join world's leading investors in green energy- report

ADL has recently issued a report entitled "The Green Gambit: Investing for corporate strategic advantage in the post-COVID-19 world" that evaluates how the coronavirus (COVID-19) crisis has transformed the green investment environment, according to a recent press release.

The report argues that organisations and industrial companies need to adopt bold green transformation strategies to contribute to tackling climate change by depending on technology, scale-up capabilities, and capital.

The ADL referred that the UAE is forecast to supply 50% of its power needs from renewable sources by 2050 due to nuclear and solar power contributions.

Meanwhile, Mubadala Investment Company, the Abu Dhabi National Oil Company (ADNOC), and ADQ recently reached an agreement to set up the Abu Dhabi Hydrogen Alliance.

Under this agreement, these entities seek to set up a hydrogen economy nationally and establish Abu Dhabi as a trusted leader of blue, grey, green, and pink hydrogen in international markets.

As for Saudi Arabia, $50 billion will be invested in the renewable energy sector by 2023, as part of the kingdom's strategy to cut dependency on oil and diversify its energy mix.

In the meantime, NEOM has launched the world’s largest Green Hydrogen Project, with 650 tonnes of carbon-free daily production by 2025, through a large consortium including ACWA Power and Air Products.

The Partner and Energy Practice Lead at Arthur D. Little MEI, Adnan Merhaba, said: "Recent events stemming from the pandemic have encouraged governments, corporates, and investors to take a fresh look at their priorities, and we are now seeing new drivers for green growth emerge."