Energy Crisis & Ukraine: A new opportunity to quit our addiction to fossil fuels and refocus on climate change
As the UK Prime Minister Boris Johnson visits the UAE and Saudi Arabia amid the Ukraine war and energy crisis, we ask the question: does this present an opportunity to accelerate the clean energy transition, improve national security and do something really positive for the climate crisis?
Oil and gas prices are at record highs for recent times, further consolidating rising food prices and rising cost of living. While countries like the UAE and Saudi Arabia could easily increase supply, they are part of OPEC+, which includes Russia, and thus bound by production quotas. The volatility of oil prices does make it particularly risky to rely on it as the sole source of income for exporting countries and as a reliable source of energy for importing countries.
When prices are high, exporters benefit, but ordinary consumers can suffer with increased prices. Vice versa when prices are low.
Therefore, the transition underway in the UAE and Saudi Arabia (both major oil exporters), is important to note as they have strategically recognised that there is a strong business and economic case for doing so.
Photo: Twitter/UK Prime Minister
Clean energy, batteries, green hydrogen, electric vehicles, carbon capture and storage and nature based solutions present huge opportunities for new jobs, growth and prosperity, while tackling the climate crisis AND the energy crisis. These projects could also potentially pose very interesting investment opportunities.
Projects like the Lighthouse Green Fuels Project in the UK, backed by Saudi energy giant Alfanar who has announced a £1bn investment, will create more than 900 roles and turn household waste into green aviation fuel. The project aims to be the first in the UK to produce sustainable aviation fuel from waste "at scale", with the potential to produce 80% less greenhouse gases than its fossil fuel equivalent.
COP 28 in the UAE
While the world recovers from the COVID pandemic, it was encouraging to see the positive global plans to tackle the climate crisis at COP 26. And while the current situation in Ukraine is another terrible and urgent crisis, we must try not to lose focus on these climate targets, and look to short term solutions.
With the 28th session of the Conference of the Parties (COP 28) to the UNFCCC scheduled to take place from 6-17 November 2023 in the United Arab Emirates, the Abu Dhabi Department of Energy (DOE) has outlined nine initiatives to help accelerate the UAE's sustainable economic growth, while supporting the country's Net Zero By 2050 strategic initiative. The Dh600 billion ($163.3bn) pledge was hailed by UN Secretary General Antonio Guterres as “ambitious” and “important".
The first and second reactors at the nuclear power plant in Barakah. Christopher Pike / The National
The nine existing and planned projects have the combined potential of reducing emissions associated with power generation and water production by at least 50% in the next 10 years. This would drive total emission reductions of more than 29 million tonnes per year by 2030.
The UAE initiatives include:
Noor Abu Dhabi solar PV plant projected to avoid up to 1 million tonne of CO2 emissions per year
Barakah nuclear power plant to avoid 21 million tonnes of CO2 emissions per year
Al Dhafra 2GW single site solar PV plant which could reduce 2.4 million tonnes of CO2 emissions
Two additional solar projects with a combined capacity of 2GW and potential to avoid 2.6 million tonnes of CO2 emissions
Two waste-to-energy plants in Abu Dhabi and Al Ain expected to help reduce 2.4 million tonnes of CO2 emissions
Source: www.thenationalnews.com READ MORE HERE
We hope that amid these new challenges, the UAE and Saudi Arabia remain focused on accelerating their plans to increase new sources of income and work towards their COP28 pledges. Simultaneously, it is also crucial for importing countries in the west to accelerate their own energy independence by looking to clean energy.
Calls for exploiting shale gas and oil are very short term in nature, and now is the time to double down on efforts in Europe and North America to increase energy efficiency, use more renewables and move away from their addiction to fossil fuels. This will help address energy prices, help national security and address climate change.
Have a listen to the latest episode of Outrage + Optimism for more interesting insights into the fuel crisis: