UAE’S Roadmap to Success: Energy Strategy 2050 and National Hydrogen Plan Unveiled
Mokshita P.
10x Industry

UAE’S Roadmap to Success: Energy Strategy 2050 and National Hydrogen Plan Unveiled

The plans aim to support the country's climate and net-zero commitments by 2050 and contribute to global environmental sustainability. The UAE will invest AED 150-200 billion by 2030, improve energy efficiency, create green jobs, and become a leading producer of low-carbon hydrogen by 2031. The strategies align with the UAE's commitment to the Paris Agreement and the UN Sustainable Development Goals.

In a recent media briefing organised by the Ministry of Energy and Infrastructure [MoEI], Suhail bin Mohammed Al Mazrouei, the Minister of Energy and Infrastructure, revealed the details of the UAE’s updated Energy Strategy 2050 and the development of the National Hydrogen Strategy. These strategies have been approved by the UAE Cabinet and are aimed at bolstering the country’s efforts to achieve its climate and net-zero commitments by 2050.

Al Mazrouei stated, “Through both strategies, we aim to shape a prosperous, climate-safe, energy-secure future for our nation, while contributing to the global agenda for environmental sustainability. He further emphasised the alignment of these strategies with the “We the UAE 2031” Vision, the Circular Economy Policy 2031, the National Strategy for Wellbeing 2031, and the UAE Net Zero by 2050 Strategic Initiative. The launch of these strategies coincides with the Year of Sustainability and the upcoming hosting of the 28th United Nations Climate Change Conference of the Parties [COP28].

Highlighting the UAE’s commitment to environmental sustainability, Al Mazrouei commended the country’s dedication to adopting policies and strategies that contribute to a more sustainable future both domestically and globally. The updated UAE Energy Strategy 2050 aims to accelerate the energy transition, increase the share of clean energy in the energy mix, achieve climate neutrality by 2050, and promote sustainable development. The strategy outlines a national program to meet the rising energy demand while ensuring the preservation of natural resources for future generations. It also aims to stimulate clean energy advancements and contribute significantly to the national economy and GDP.

As one of the first countries in the region to ratify the Paris Agreement and as the host of COP28, the UAE is committed to collaborative efforts with the international community in mitigating global warming.

Aligned with the revised objectives of the UAE Energy Strategy 2050, the country plans to invest between AED 150-200 billion by 2030 to meet energy demand and sustain economic growth. The strategy focuses on improving energy consumption efficiency rates, reducing carbon emissions, and promoting environmental sustainability at both individual and institutional levels. This is expected to result in AED 100 billion in financial savings and the creation of 50,000 new green jobs by 2030.

In addition to the Energy Strategy 2050, the UAE introduced the National Hydrogen Strategy as a long-term plan to position itself as a leading and reliable producer and supplier of low-carbon hydrogen by 2031. The strategy plays a crucial role in achieving the UAE's commitment to net-zero emissions by 2050 and accelerating the global hydrogen economy.

Sharif Al Olama, Under-Secretary for Energy and Petroleum Affairs at MoEI, highlighted that the updated UAE Energy Strategy 2050 aims to increase the deployment of renewable energy and improve energy efficiency, in line with the Paris Agreement and the UN Sustainable Development Goals. The strategy includes initiatives to promote solar and nuclear energy, encourage innovation in renewables technologies, and attract local and international investments in the renewable energy sector. By 2030, the UAE aims to achieve a grid emission factor lower than the global average, triple the share of renewable energy, and increase the installed clean energy capacity to 30 percent of the total energy mix.

Regarding the National Hydrogen Strategy, Al Olama emphasised its role in establishing hydrogen oases and exploring future hydrogen production capacities. The strategy aims to develop a regulatory framework, support hydrogen as a sustainable fuel, enhance regional collaboration, and drive investments in research and development. By 2050, the strategy is expected to generate economic growth and create numerous jobs in the hydrogen sector, while reducing emissions in hard-to-abate sectors, such as heavy industries, land transport, aviation, and sea freight, by 25 percent by 2031.

The UAE initially launched its Energy Strategy 2050 in 2017, which was the country's first unified energy strategy based on supply and demand. The strategy has been updated to incorporate developments in the energy sector and ensure access to reliable, sustainable, and affordable energy, with collaboration from all stakeholders.

With the unveiling of the updated Energy Strategy 2050 and the National Hydrogen Strategy, the UAE aims to solidify its position at the forefront of the global energy transition. These strategies align with the country's commitment to combat climate change and play a vital role in achieving its net-zero emissions target by 2050. The UAE's proactive approach in adopting sustainable policies and strategies sets an example for other nations and reinforces its dedication to environmental stewardship and international collaboration in addressing the pressing challenges of the future.