COP28 final negotiations have kicked off and it’s a fossil fuel standoff

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WHAT WE’RE TRACKING TODAY

TODAY: It’s a fossil fuel standoff as COP28 final negotiations progress

Good morning, ladies and gents. COP28 is nearly over and final negotiations are in progress over the next 36 or more hours — and it’s not impossible talks will stretch past tomorrow’s deadline. We have a full rundown on where discussions stand this morning and what we missed over the weekend. But first…

THE BIG CLIMATE STORY EVERYWHERE- COP28 pledges will not limit global warming to 1.5 °C: The 2030 pledges made so far at COP to triple renewables capacity, phase out methane emissions, and end routine gas flaring, represent only a third of the greenhouse gas abatements needed to meet the Paris-agreed 1.5 °C warming threshold, according to the International Energy Agency (IEA). To bridge the emissions gap, a large-scale financing mechanism, a solid global agreement to divest away from fossil fuels, and bringing an end to the commissioning of unabated coal plants, are needed to mobilize renewables investments for developing markets, the IEA says. More than 100 countries and 50 oil and gas companies have made pledges at COP.

The story made headlines in the international press:Financial Times | Reuters | CNN | Euronews

A BRIEF LOOK AT COPLAND-It’s a fossil fuel standoff: With COP28’s final negotiations in progress and the release of the COP28 Global Stocktake inching closer, negotiators are still disagreeing over reaching a unanimous verdict on phasing out or phasing down fossil fuels, according to Reuters. If the final text is to deliver a verdict on globally phasing out fossil fuels, it would be crucial that the phaseout be fair and “financed by developed countries,” representative for the developing countries bloc Diego Pacheco said.

OPEC’S WHIPPING MEMBERS INTO SHAPE- The division over the draft text has widened as OPEC nudges its members to reject a draft that targets a fossil fuel phaseout, Bloomberg reports, citing a letter sent to OPEC’s 13 members by Opec Secretary-General Haitham Al Ghais. The oil cartel — spearheaded by Saudi Arabia — has been pressuring the UAE to avert the focus of negotiations away from phasing out oil and gas production, according to the Financial Times.

EUROPE IS CRYING FOUL- Saudi’s lobbying prompted backlash from EU negotiators. EU officials are calling Saudi and OPEC’s actions at COP28 “out of whack” and “unhelpful” — even “disgusting.”

THE US IS ALSO NOT GAME ON PHASING OUT- The US has refused to join a Dutch-led coalition made up of 12 nations who have agreed to disclose their fossil fuel subsidies within a year, with the aim of setting up a comprehensive phaseout strategy to eliminate them.

BUT OPEN TO COMPROMISE- Some are trying to build consensus on the idea of phasing out fossil fuels for power plants and other facilities that don’t have carbon capture and sequestration technology. China and the US — the world’s two largest emitters of greenhouse gasses — are also pushing for a compromise.

THE STANDOFF IS CRITICAL- Any one of the 198 countries attending can prevent the adoption of a final text. Saudi foil Fatih Birol, the head of the International Energy Agency, is demanding delegates reach a consensus on an “orderly and just decline in fossil fuels in line with our international climate goals” before the summit wraps up, he told the Financial Times.

ON THE CLIMATE FINANCING FRONT-Russia is trying to unfreeze its gold reserves to contribute to financing the recently operational loss and damage fund, Reuters reported on Saturday. Russia's international reserves — amounting to around USD 300 bn — were frozen last year after the war on Ukraine started. The country is doing “everything possible” to stop the West from seizing its frozen reserves, the newswire wrote citing comments made by Russia's climate envoy at the COP28 summit.

AND THE UAE WON’T RETAIN COP PRESIDENCY- Azerbaijan to the rescue: Azerbaijan is set to host COP29 after the Eastern European bloc agreed to have its capital city Baku as the host of the UN climate summit, Bloomberg reported on Saturday. The petrostate won backing from the 23 members of the Eastern European bloc after it pushed Armenia to withdraw its own bid.

Geopolitical tensions (read: the Russia-Ukraine war) made things difficult: The UN had been struggling to find a host for COP29 due to threats by Russia to veto any bid by a European Union member. Prior to agreeing on Azerbaijan, Moldova and Serbia had both applied to preside over the COP29 climate summit. Under the UN’s guidelines, the COP venue rotates among the five UN regional groups yearly, with this year being the Eastern European bloc’s turn.

WATCH THIS SPACE #1- Gulf of Suez wind farm to begin commercial operations: Vestas’ 250 MW wind farm in Egypt’s Gulf of Suez is set to begin commercial operations by the end of the month, a government source tells Enterprise Climate. Vestas will hand over operations to Egypt’s New and Renewable Energy Agency (NREA) and handle maintenance on the farm for three years after commercial launch. The project will also see the capacity of wind-generated energy in Egypt reach a total of 2 GW, Youm7 reported on Friday. Vestas began trial operations on the wind farm last month before the start of commercial operations and the handover to NREA.

WATCH THIS SPACE #2- The EU’s central bank gains power to intervene if banks fail to manage climate risks: The European Central Bank (ECB) is set to gain increased authority in monitoring how lenders plan to transition to a net zero carbon economy as EU lawmakers expand its powers to include climate change risks, Bloomberg reported on Friday, citing the text of the provisional agreement yet to be formally approved by EU’s Parliament and Council. The new update in the provisional text allows the ECB to act “when there are risks arising from transition trends toward” the climate targets within the EU, the newswire adds.

The EU also extended a mandate on cutting gas imports: The EU has reached an agreement to grant member states the authority to halt gas imports from Russia and Belarus, the Financial Times reported on Friday. “The proposal could provide a basis for EU energy companies to get out of contracts with Russian gas providers without having to pay hefty compensation,” a senior official of the bloc said, according to FT. This would push EU countries to accelerate the diversification of their fuel sources away from natural gas and towards green energy. Last year, the EU Commision set a target for the bloc to cut off Russian fossil fuels by 2027.

WATCH THIS SPACE #3-Maersk to launch first large methanol-enabled vessel on AE7 string: Danish shipping giant Maersk is set to deploy the first of 18 large methanol-enabled vessels on the AE7 string — the trade lane connecting Asia and Europe through the Suez Canal — on 9 February 2024, according to a statement released on Thursday. The vessel is equipped with a dual-fuel engine, meaning it can run on methanol as well as biodiesel and conventional bunker fuel.

REMEMBER- Maersk wants to eventually make its own green fuel: Maersk and its parent company AP Moller Holding established a new company called C2X to produce and sell green methanol back in September. C2X is investing USD 3 bn for the annual production of 300k tons of green methanol and its derivatives in the Suez Canal Economic Zone.

Masdar’s COP28 train keeps rolling and it’s been a busy time for waste management agreements

Green hydrogen and waste galore at COP28: Green hydrogen was at the top of Masdar’s agenda the last few days and Amea Power entered the ring with a foray into Mauritania. Waste management has also made a splash with a spate of agreements from Bee’ah and Tadweer.

GREEN HYDROGEN-

Masdar and Austria’s OMV partner on green hydrogen: UAE renewables developer Masdar signed on Friday a Heads of Terms (HoT) agreement with Austria-based integrated oil and gas company OMV to develop a “large-scale” green hydrogen plant, according to a statement released on Friday. The location of the electrolysis facility, targeted generation capacity, and an expected timeline on the project were not disclosed, but the companies are expected to make a final investment decision on the plant in 2H 2024. The HoT follows an earlier agreement between the two sides to explore cooperation in the green fuels and renewables sectors.

More progress on a UAE-EU hydrogen corridor: The renewables firm also signed an agreement with the Port of Amsterdam and Dutch firms SkyNRG, Evos Amsterdam, and Zenith Energy to explore developing a supply chain for Europe to export green hydrogen from Abu Dhabi, Wam reported last week. The expected investment ticket for the green hydrogen corridor and when shipments are expected were not disclosed.

We knew this was coming: Both sides had signed earlier agreements back in January to explore the possibility of exporting green fuels produced by Masdar in Abu Dhabi to Europe through the Port of Amsterdam, the EU’s fourth largest sea port. The companies also plan to establish a land-based green fuels supply chain to transport green hydrogen to the remainder of Europe from Amsterdam via trucks, pipeline, and barge. The green hydrogen would be used in Dutch sustainable aviation, bunkering for shipping, and steelmaking industries, Wam notes.

Who’s doing what: Zenith will work on developing a liquid hydrogen supply chain to facilitate imports, while Evos Amsterdam will manage development of a liquid organic hydrogen carrier supply network. Sustainable aviation fuel (SAF) supplier SkyNRG is establishing a network of SAF production facilities and will use the hydrogen as feedstock for its operations.

ALSO- Masdar and Austria's Verbund Green Hydrogen GmbH have signed an agreement to jointly explore the feasibility of establishing a green hydrogen plant in Spain, according to a statement released on Thursday. The green hydrogen produced will be used to decarbonize Spain or Europe’s hard-to-abate sectors including steel, fertilizers, chemicals, heavy transportation, and aviation.

UAE’s Amea Power taps into Mauritania’s renewables and green hydrogen: UAE-based renewables developer Amea Power signed two MoUs with the government of Mauritania to establish a 3 GW green hydrogen plant and two renewables projects with a combined 200 MW generation capacity in the African country, according to a cabinet statement. Amea says it is looking to build a 100 MW wind farm and a 100 MW solar plant in Mauritania, both of which would be supplemented with battery energy storage systems. The timeline and investment tickets for the three projects were not disclosed.

Amea has big plans for Africa: Last week, Amea Power said it will build a USD 600 mn, 300 MW onshore wind power plant in Ethiopia and plans to sign a USD 800 mn agreement with Geothermal Development Co. of Kenya to develop the 200 MW Baka geothermal energy generation plant in the African country.

WASTE MANAGEMENT-

A waste management initiative by Bee'ah in Egypt: The UAE's Bee'ah has signed an agreement with Egypt's Environment Ministry and Administrative Capital for Urban Development (ACUD) to bolster waste management services in the country’s New Administrative Capital, according to a statement released on Saturday. The initiative aims to divert 80% of waste away from landfills as well as develop waste management infrastructure including advanced collection systems, recycling facilities, and waste treatment plants.

Tadweer + Levidian partner to slash landfill emissions: Tadweer has signed an agreement with the UK's Levidian to reduce methane emissions from Abu Dhabi's largest landfill site, according to a statement released on Friday. The agreement covers the deployment of Levidian's Loop tech to sequester and store carbon from organic waste gasses producing a hydrogen blend gas that can generate clean electricity and reduce about 40% of emissions. If successful, the project could be scaled up to process 1.2 bn cubic meters of landfill gas over the next decade.

Tadweer also partnered with Uzbekistan on waste management: Tadweer has signed an agreement with Uzbekistan's Ecology, Environmental Protection, and Climate Change Ministry to establish a waste-to-energy plant and conduct feasibility studies for waste collection, according to a statement released on Saturday. The company also signed an MoU with Japan's Bureau of Environment to advance sustainable waste management practices, the company said.

Dubai will repurpose COP28’s waste with help from Dulsco: The Dubai Municipality signed an agreement on Saturday with UAE waste management firm Dulsco to recycle some of the waste generated during COP28 into fertilizers and convert the rest into energy, Wam reports. 55% of the garbage produced during the summit will be used for waste-to-energy generation, while the other 35% will be recycled into fertilizers to be sold to Dubai’s agriculture sector, Wam notes. The summit has been producing around 30 tons of waste daily.

RENEWABLES-

Kuwait is getting a new green city courtesy of EnerTech and SEE Holding: Kuwaiti state-owned green tech investor and developer EnerTech signed an agreement with UAE-based sustainable architecture and investment company SEE Holding to establish a green, renewables-powered microcity in Kuwait, according to a statement released on Thursday. A planned 16 MW solar farm will generate 120% of the city’s energy needs. The green city will have a waste-to-biogas production plant, recycle 100% of its water, and produce 50% of its own agricultural needs. The investment ticket and construction date of the project were not disclosed.

Bahrain will get a 100 MW solar plant: Bahrain's Electricity and Water Authority (EWA) and Bahrain Steel are partnering on a 100 MW solar plant in the Kingdom, according to a statement released on Thursday. The project will be established in three phases over three years and across seven connection points, produce 167 GWh of solar energy annually, and reduce the carbon footprint by 44%.

ALSO- Masdar has another solar farm in the works: Masdar is partnering with Bee'ah Group and the Sharjah Electricity, Water, and Gas Authority to convert the 68 hectare Al Sajah landfill in Sharjah into a 120 MW solar farm, according to a statement released last week. The expected price tag and timeline of the project were not disclosed.

DECARBONIZATION-

Emirates Steel Arkan, Khalifa University and Ohmium International partner on decarbonizing steel: The UAE’s largest steel manufacturer Emirates Steel Arkan signed an agreement with Abu Dhabi’s Khalifa University and US-based electrolyzer producer Ohmium International to develop a green hydrogen-focused research and development program for decarbonizing the UAE’s steel industry, according to a statement released on Friday. Emirates Steel Arkan aims to build on the research as it looks to produce Direct Reduced Iron and expand in the green steel sector.

UAE tech research group launches Blockchain carbon platform: The Cryptography Research Center (CRC) at UAE's Technology Innovation Institute (TII) launched a blockchain-powered carbon tracking and trading platform to facilitate international trade in carbon tokens, according to a statement published last week. The platform is the first to implement a blockchain-enabled Proof of Concept to accurately track emissions by registering the credits from any public or private organization globally. Auditors can then certify the emissions through the different stages of capture, storage, and trading.

The UAE’s Taqa will trial Octopus Energy’s power management platform Kraken regionally: The Abu Dhabi National Energy Company (Taqa) signed an agreement with British renewables developer Octopus Energy Group to trial the latter’s AI-powered energy management platform Kraken across its UAE operations, according to a statement published last week. A timeline for the pilot project’s launch was not provided. The Kraken platform enables energy firms to create and launch eco-friendly energy solutions while also managing customer inquiries in a faster and more comprehensive manner, the company notes. Both sides are also exploring the creation of a UAE-based joint venture through which they would establish an energy tech innovation and development hub in the Emirates.

Not the first UAE suitor for the Kraken: Back in May, Emirati renewables developer Masdar signed an agreement with Octopus Energy to have the British company manage its UK-based BESS facilities using Kraken.

OTHER STORIES WORTH KNOWING ABOUT THIS MORNING-

The UAE’s Lootah partners with Malaysia’s FatHopes on SAFs: Dubai-based biofuels producer Lootah has signed an agreement with Malaysian counterpart FatHopes Energy to study the feasibility of establishing 200k sq meter sustainable aviation fuel (SAF) feedstock aggregation storage terminal in Malaysia that serve as a stockpile site for a planned UAE-based SAF refinery. Both sides will also explore franchising FatHopes’ biomass-to-SAF technology across MENA. (Wam)
Dubai Municipality + Dewa partner on waste to energy: Dubai Municipality and the Dubai Electricity and Water Authority (Dewa) signed an agreement for a project to generate electricity from biogases extracted from a landfill in Muhaisnah 5. The project will offset some 300k tons of CO2 annually. (Statement)
Abu Dhabi DoE partners with Irena + University of Arizona: The Abu Dhabi Department of Energy (DoE) has signed an MoU with the International Renewable Energy Agency (Irena) to cooperate on renewable energy policies and long-term energy scenarios and modeling to drive the energy transition. The two will also collaborate on water security in the UAE. (Statement)
Egypt + UAE partner on nuclear energy: The Emirates Nuclear Energy Corporation (ENEC) and Egypt’s Nuclear Power Plants Authority (NPPA) signed an MoU to set a framework for cooperating on advancing the use of nuclear energy. (Statement)
Adnoc and Japan’s Mitsubishi partner on green fuels: The Abu Dhabi National Oil Company inked a strategic collaboration agreement with Japan’s Mitsubishi Heavy Industries to jointly study the development of green hydrogen and ammonia value chains in a bid to help decarbonize their operations. (Statement)
KSA’s Modern Group partners with Zoetic Global on district cooling: KSA’s Modern Industrial Investment Holding Group signed an agreement with US-based green tech firm Zoetic Global to explore usage of the latter’s refrigerant technology as part of the company plans to expand district cooling across its operations. Zoetic’s tech can cut between 20-40% of cooling costs while slashing emissions. (Statement)
Schneider Electric teams up with LMD on green cities: Schneider Electric and Egypt-based real estate developer LMD to use its Aveva Unified Operations Center for Smart Cities across LMD projects in Egypt and Dubai. (Daily News Egypt)

EIB issues first common principles on nature-positive finance and USD bns in financing for solar and agriculture

EIB issues first common principles on nature-positive finance: The European Investment Bank (EIB) and a number of other multilateral development banks (MDBs) issued common principles (pdf) aimed at identifying and tracking investments earmarked for the protection, restoration, and sustainable use of natural resources (dubbed “nature-positive financing”), according to a statement released on Saturday. The move comes in efforts to help financial institutions, governments, and corporations implement the Kunming-Montreal Global Biodiversity Framework.

REFRESHER- The Kunming-Montreal Global Biodiversity Framework — passed during COP15 in Montreal last December — aims to protect 30% of the planet’s oceans and lands by 2030. The framework sets a goal for wealthy countries to increase their aid contributions for biodiversity to USD 25 bn annually starting 2025 and USD 30 bn annually by 2030.

About the common principles: The principles aim to guide the development and implementation of MDBs’ respective frameworks and internal methodologies for tracking nature-positive finance. It also sets out to facilitate comparability and enable financiers to assess whether the capital they’re earmarking for environmental projects deliver a meaningful and quantifiable contribution to nature, EIB notes.

China’s Trina will invest USD 5 bn to build a solar energy hub in the UAE: Chinese solar panel manufacturing giant Trina Solar says it will spend up to USD 5 bn to build an integrated solar energy value chain in the UAE, company CEO Katherine Gao told Wam on Thursday. A timeline on the company’s planned projects was not provided.

REMEMBER- Trina has been ramping up its activities in the UAE: The Chinese firm inked an MoU with AD Ports and China-based investment firm Jiangsu Provincial Overseas Cooperation and Investment (JOCIC) back in October to build a large-scale PV manufacturing base in Abu Dhabi. Trina also delivered 800 MW of solar modules to Abu Dhabi’s 2 GW Al Dhafra solar plant.

A UAE-US climate agriculture initiative secures USD 17 bn in investments: The UAE-US’ Agriculture Innovation Mission for Climate (AIM for Climate) initiative secured approximately USD 17 bn in investments, according to a statement (pdf) on Friday. USD 12 bn of the investments came from over 600 government partners, while the other USD 5 bn came from 27 new Innovation Sprints — initiatives led and funded by partners to support small farmers in low and middle-income countries, and invest in emerging technologies, agroecological research, and methane reduction. The USD 17 bn in investments is more than double the USD 8 bn pledged at COP27, and 4x the USD 4 bn invested when the program first launched at COP26.

The food and agriculture sector secured USD 3 bn at COP28 so far: Governments, philanthropies, and private sector players have so far pledged USD 3 bn in climate financing toward the food and agriculture industries at COP28, Asharq Business reported on Friday. Climate driven-extreme weather led to USD 3.8 tn worth of crop failures and livestock losses over the past three decades, according to the United Nations. Even if the Paris-agreed 1.5 C warming limit is met, global food production will still suffer a severe impact, US special envoy for global food security Cary Fowler told The Guardian yesterday. To unlock more climate finance for the agri and food sectors, the COP28 Presidency launched the three-year Sharm-El Sheikh Support Programme to support farmers, food producers, small agribusinesses and local communities.

OTHER STORIES WORTH KNOWING ABOUT THIS MORNING-

UAE pledges USD 220 mn for Africa’s health sector: The UAE will extend a USD 220 mn grant to help some African countries build health care systems to address the impacts of climate change.(Wam)
USD 186 mn in pledges for nature conservation efforts: Countries and non-state players pledged around USD 186 mn for forests, mangroves, and ocean climate action at COP28’s Nature, Land Use, and Ocean Day. (Statement)
US to unveil hydrogen subsidy guidance: The US will release guidance for hydrogen producers to get subsidies for production after COP28 to jumpstart the industry with subsidies of USD 3 per kg. (Reuters)
US-based KKR aims to raise USD 7 bn from its maiden climate fund:US-based investment firm KKR is looking to raise as much as USD 7 bn from its first planned climate transition fund. The new fund — expected to achieve its first financial close in 1H 2024 — will scope out green mobility, battery storage, and decarbonization projects across the US, EU, and Asia Pacific markets, with plans to earmark between USD 300 and 750 mn for each venture. (Reuters)
Another green loan from ADCB: Abu Dhabi Commercial Bank (ADCB) extended an AED 500 mn sustainability-linked loan to Lulu Group.(Statement)

COP28 negotiators introduce draft text for new global adaptation goals + Global finance experts roll out climate finance roadmap

COP28 delivers “weak” draft for global adaptation framework: COP28 negotiators introduced a draft for the new Global Goal on Adaptation (GGA) yesterday outlining the new global framework for adaptation plans and funding, The Guardian reports. Delegates from climate-vulnerable countries have raised their concerns about the “disappointing’ draft as it did not stipulate any targets committing “wealthy countries to provide the finance needed to make the adaptation goal a reality on the ground,” Teresa Anderson, global lead on climate justice for ActionAid International said.

Where did the draft fall short? Despite highlighting the funding gap for adaptation strategies and calling upon developed countries to double their adaptation finance, the draft failed to address a clear goal for effectively increasing the funding. There is a gap in climate finance amounting to USD 387 bn, according to UNEP’s Adaptation Gap report. The framework also pushed back setting solid, measurable targets for global adaptation until the implementation of a two-year program to develop a system for evaluating progress on the adaptation goals. Talks on Equity and Common But Differentiated Responsibilities (CBDR), stated as one of the UNFCCC principles, are also being foiled by some developed countries. Developed countries have reportedly introduced a “no text,” option, leaving out any mention of a CBDR provision in the draft.

Global finance experts roll out climate finance roadmap: The UN’s Independent High-Level Expert Group (IHLEG) released its Climate Finance Framework (pdf) report outlining the action plans needed to implement the recently released UAE Leaders Declaration on a Global Climate Finance Framework (pdf), and deliver on the Paris Agreement. The report outlines a roadmap to deliver climate funding and address the issues facing emerging markets and developing countries (EMDCs) in their implementation of adaptation and mitigation policies.

Mobilizing domestic funds: In its report, the IHLEG identified Domestic Resource Mobilization as the first pillar to establish the foundation for a resilient climate finance system. 60% of climate investment financing is expected to be raised from domestic resources on the back of being the most feasible of climate finance methods due to the prospects of boosting tax revenues. Ramping up domestic fiscal funding can be achieved through, expanding the taxation scope without raising tax rates, enforcing a minimum corporate tax rate, and harnessing digital tech in tax revenue administration, amongst other policies, the report outlines.

Scaling up private investment to meet climate goals: With a minimum of USD 1 tn needed annually to fund climate goals in EMDCs, the report highlighted the role of the private sector in raising domestic and international private finance. Private finance can be mobilized for climate funding through various channels, such as scaling up tailored and efficient de-risking instruments, enhancing data quality and availability, consolidating the role of private businesses in EMDCs, and calling for private investments in adaptation strategies.

Strengthening the role of MDBs: Multi Development Banks (MDBs) play an essential role in unlocking climate finance and sustainable investments. The IHLEG identified a couple of gaps that MDBs need to bridge, including ramping up transformative investments in energy transition and adaptation, scaling up the scope of partnerships with the private sector, tripling climate-oriented lending, and establishing a transparency and accountability system to assess the progress of the development banks.

Widening access to concessional finance: The framework called for scaling up EMDCs’ access to concessional funding through improving the special drawing rights (SDRs) allocation system. The IHLEG also highlighted worldwide carbon pricing and taxation of high-emitting sectors as two of the methods to inject liquidity into the concessional finance system, in addition to tapping international philanthropies (including from the corporate sector) to increase their donations for climate action.

Egypt, EU to collaborate on sustainable water management: The Egyptian Water Resources and Irrigation Ministry inked a Joint Declaration with the EU Commission for Environment to strengthen cooperation on sustainable water resource management in Egypt, according to a statement released on Saturday. The partnership will see the two parties exchange knowledge and expertise on water management and explore technologies to develop adaptation strategies. Under the partnership, a high-level progress review meeting is set to be held annually.

Roland Berger + Bee'ah Group-led consortium debuts global mechanism for recycling: A consortium led by UAE waste management company Bee'ah Group and management consultancy firm Roland Berger, in collaboration with DFINITY Foundation and the International Solid Waste Association (ISWA), launched the first global Voluntary Recycling Credits (VRC) initiative to cut companies’ solid waste footprints, Wam reported last week. The consortium premiered the first live transaction last week at COP28. The complete VCR platform is set to be officially introduced some time in 2024.

ALSO- The UAE unveils global ‘Waste to Zero’ decarbonization initiative: Spearheaded by the UAE Climate Change and Environment Ministry (MOCCAE) and Abu Dhabi Waste Management Company (Tadweer), the UAE launched its global ‘Waste to Zero’ initiative to reduce carbon emissions in the waste management sector, Wam reported on Thursday. Backed by global management consultancy firm Roland Berger, the initiative will serve as a voluntary coalition comprising governments, NGOs and the private sector. The initiative will promote cooperation and developing solutions for waste management by hosting discussions, workshops, and awareness programs globally.

OTHER STORIES WORTH KNOWING ABOUT THIS MORNING-

Morocco joins coal phase-out coalition: In alignment with its energy transition strategy, Morocco joined the Powering Past C oal Alliance — a coalition of national and subnational governments, businesses and organizations working to advance the move away from unabated coal power generation to clean energy. The US, the UAE, the Czech Republic, Norway, the Dominican Republic, and Iceland also joined the alliance which now has 60 members. (Reuters)
Canada x UAE join forces to decarbonize the cement industry: Canada and the UAE have launched a joint initiative to slash carbon emissions from the cement and concrete industry. In line with the UAE’s push to decarbonize its industrial sectors, the initiative targets ramping up investments in decarbonizing the cement sector and was endorsed by the governments of the UK, Ireland, Japan, and Germany. (Statement)
Aviation sector on track to cut carbon emissions: The international aviation industry is poised to achieve its 2050 decarbonization targets outlined in the Dubai Global Framework. The framework was launched by the International Civil Aviation Organisation ahead of COP28 and adopted unanimously by the members. (Wam)
Tadweer cracks down on textile waste: UAE-based Abu Dhabi Waste Management Company (Tadweer) unveiled its Integrated Textile Circularity initiative aimed at encouraging consumers and businesses to recycle textiles. (Wam)

Oman’s 500 MW Manah solar project secures USD 301 mn in funding

More funding for Oman’s Manah solar farm: Oman’s 500 MW Manah solar project — developed by a consortium comprising French power utility EDF Renewables and Korea Western Power (Kowepco) — has secured USD 301.8 mn in funding from three major international financial institutions, Oman Observer reported on Friday. Société Générale, the Korea Eximbank, and Bank Muscat of the Sultanate of Oman have signed on to finance the solar project.

REMEMBER- The project — which broke ground in September — will boast around 1 mn bifacial PV modules and provide clean energy for approximately 50k homes while offsetting 780k tons of CO2 annually. EDF Renewables and Kowepco tapped Australian engineering services firm Worley as owner engineer for the project. The Australian firm will partner with Wadi Noor Solar Power Company to deliver the facility in a timely manner.

There’s more to come: Manah 1 is one half of a larger project by Oman’s Power and Water Procurement Company to build a solar plant with a combined capacity of 1 GW. The combined cost of Manah 1 and Manah 2 will amount to over OMR 300 mn (c. USD 780 mn) and will be the largest in the sultanate. A JV made up of Singapore’s Sembcorp Utilities and China’s Jinko Power was selected to develop the Manah 2 solar plant in March, and both Manah 1 and Manah 2 are expected to be operational by 2025.

ADIB lists first USD-denominated green sukuk on ADX

ADIB USD-denominated green sukuk hits the ADX: Abu Dhabi Islamic Bank (ADIB) has listed its USD-denominated green sukuk — which debuted back in November — on the Abu Dhabi Securities Exchange (ADX), according to a statement released on Friday.

About the debut sale: ADIB’s USD-denominated green sukuk debut successfully raised USD 500 mn. The green sukuk issuance was 5.2x oversubscribed, closing at USD 2.6 bn. The oversubscription allowed the lender to tighten the final price to 115 bps over the five-year US Treasury Rate from the initial announced price of 145 bps. ADIB intends to allocate the issuance's net proceeds to fund green projects to accelerate the green transition.

Global demand: The lender saw strong demand globally, with the majority from MENA at 78% of final allocations. Some 13% of the allocations came from Europe and 9% from Asia and the US. Private banks accounted for 26% of the investors, followed by commercial banks (42%) and asset and fund managers (17%).

Advisors: The Islamic lender tapped Standard Chartered Bank as sole global coordinator, along with Emirates NBD Capital, First Abu Dhabi Bank, and Sharjah Islamic Bank as joint bookrunners and joint lead managers, according to the document. ADIB itself will also jump in as a joint bookrunner and manager.

UAE’s Enoc opens its first green hydrogen fueling station

UAE’s Enoc launches its first green hydrogen fueling station for vehicles: The Emirates National Oil Company Group (Enoc) has partnered with the Dubai Electricity and Water Authority (Dewa) and Al-Futtaim Toyota to open its first green fuel station for hydrogen-powered vehicles, according to a statement released on Friday. The station is located in the Service Station of the Future (SSoF) in Expo City Dubai. With the addition of the green hydrogen station, SSoF is now the first integrated station in the region to provide green hydrogen, hydrocarbon fuels (petrol and diesel) and electric charging stations.

Enoc + Dewa collaborated earlier this year: The company inked an MoU with Dewa in February to develop and operate a joint integrated pilot project for the use of hydrogen in the transport sector.

REMEMBER- Enoc has a green ammonia plant in the works: Enoc and Tokyo-headquartered engineering firm IHI Corporation are launching feasibility studies on their planned UAE-based green ammonia production plant after signing an MoU back in 2022.

Bee'ah partners with India’s Lohum on EV battery recycling: UAE waste management company Bee'ah Group signed an agreement with Indian lithium-ion battery recycling firm Lohum to establish the UAE’s first EV battery repurposing facility, according to a statement. The plant is expected to recycle some 30k end-of-life batteries annually, converting the spent cells into energy storage systems (ESS). The plant’s operational timeline and investment ticket were not disclosed.

OTHER STORIES WORTH KNOWING ABOUT THIS MORNING-

UK’s Gridserve joins Abu Dhabi's SAVI cluster: British sustainable energy company Gridserve has partnered with the Abu Dhabi Investment Office (Adio) to join the Smart and Autonomous Vehicles Industry (SAVI) cluster. (The National)
Abu Dhabi launches food loss and waste reduction strategy: The Abu Dhabi Agriculture and Food Safety Authority (ADAFSA) launched a food loss and waste reduction strategy to cut food waste by 50%. (Statement)
The Saudi Electricity Company will leverage AI to cut its emissions: The Saudi Electricity Company (SEC) signed an agreement with Scotland-based non-profit green tech developer Net Zero Technology Centre and business consulting firm Accenture to develop AI-powered carbon reduction mechanisms. (SPA)
New tech for ACs: Chinese HVAC company Gree Global unveiled its solar VRF (Variable Refrigerant Flow) air conditioning system equipped with AI leading to 99% power efficiency. (Statement)
Saudi’s Yelo to add Geely Geometry C electric cars to its fleet: Saudi Arabian car rental company Yelo has signed an agreement with Wallan Trading Company, Geely’s exclusive agent in Saudi Arabia, to receive Geely Geometry C electric cars. (Statement)

CALENDAR

NOVEMBER 2023

30 November - 12 December (Thursday-Tuesday): Conference of the Parties (COP 28), Dubai, UAE.

DECEMBER 2023

1-10 December (Friday-Saturday): Abu Dhabi Sustainability Week COP28 Special Edition, Dubai, UAE.

7-8 December (Thursday-Friday): Future Investment Initiative (FII) Priority, Hong Kong.

8 December (Friday): Youth for Sustainability Forum (Y4S), Dubai, UAE.

12-14 December (Tuesday-Thursday): Green Hydrogen Summit Oman, Muscat, Oman.

18-20 December (Monday-Wednesday):Saudi Arabia Smart Grid Conference, Riyadh, Saudi Arabia.

JANUARY 2024

9-11 January (Tuesday-Thursday): Future Minerals Forum, Riyadh, Saudi Arabia.

FEBRUARY 2024

26-28 February (Monday-Wednesday): Management and Sustainability of Water Resources, Dubai, UAE.

MARCH 2024

4-6 March (Monday-Wednesday): International Conference on Sand and Dust Storms in the Arabian Peninsula, Riyadh, Saudi Arabia.

APRIL 2024

16-18 April (Tuesday-Thursday): World Future Energy Summit, Abu Dhabi, UAE.

23-25 April (Tuesday-Thursday): Connecting Green Hydrogen MENA, Dubai, UAE.

MAY 2024

19-21 May (Sunday-Tuesday): Saudi Energy Convention, Riyadh, KSA.

JUNE 2024

5 June (Wednesday): World Environment Day, Saudi Arabia.

OCTOBER 2024

10-12 October (Tuesday-Thursday): Autonomous E-Mobility Forum, Doha, Qatar.

DECEMBER 2024

2-13 December (Monday-Friday): Conference of the Parties (COP16) to the United Nation Convention to Combat Desertification, Riyadh, KSA.

EVENTS WITH NO SET DATE

2024

Early 2024: The 2023 US Algeria Energy Forum, Washington DC, USA.

12-14 February (Monday-Wednesday): Sustainable Aviation Futures MENA Congress, Dubai, UAE.

End-2024: Emirati Masdar’s 500 MW wind farm in Uzbekistan to begin commercial operations.

QatarEnergy’s industrial cities solar power project will start electricity production.

2025

International Union for Conservation of Nature World Conservation Congress, Abu Dhabi, UAE.

UAE to have over 1k EV charging stations installed.

2026

26-29 October (Monday-Thursday): World Energy Congress, Riyadh, Saudi Arabia.

UITP Global Public Transport Summit, Dubai, UAE.

Annual Meetings of the World Bank and the International Monetary Fund, Bangkok, Thailand.

1Q 2026: QatarEnergy’s USD 1 bn blue ammonia plant to be completed.

End-2026: HSBC Bahrain to eliminate single-use PVC plastic cards.

2027

MENA’s district cooling market is expected to reach USD 15 bn.

2030

UAE’s Abu Dhabi Commercial Bank (ADCB) wants to provide AED 35 bn in green financing.

UAE targets 14 GW in clean energy capacity.

Tunisia targets 30% of renewables in its energy mix.

Qatar wants to generate USD 17 bn from its circular economy, creating 9k-19k jobs.

Morocco’s Xlinks solar and wind energy project to generate 10.5 GW of energy.

2035

Qatar to capture up to 11 mn tons of CO2 annually.

2045

Qatar’s Public Works Authority’s (Ashghal) USD 1.5 bn sewage treatment facility to reach 600k cm/d capacity.

2050

Tunisia’s carbon neutrality target.

2060

Nigeria aims to achieve its net-zero emissions target.

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