How Dubai innovates on renewable projects to boost climate finance, support COP28 goals

Dubai: The Dubai Electricity and Water Authority (DEWA) is steadfastly supporting the directives of the UAE’s visionary leadership in pursuit of a sustainable economy that aligns with the national agenda.

This commitment is manifested through strategic partnerships with the private sector, fostering the implementation of cutting-edge projects in clean and renewable energy, and hosting global events aimed at attracting investments to bolster sustainability, not only in the UAE but across the region.

This is in line with the wise vision of High Highness Sheikh Mohamed bin Zayed Al Nahyan, President of the UAE; and His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai.The Independent Power Producer (IPP) projects contribute to enhancing the UAE’s efforts to develop methods of climate financing and consolidate Dubai’s position as a global capital for green economy.- Saeed Mohammed Al Tayer, MD & CEO of Dubai Electricity and Water AuthoritySupporting COP28 goalsThis also supports the goals of the Conference of the Parties to the United Nations Framework Convention on Climate Change (COP28), to be hosted by the UAE at Expo City Dubai from 30 November to 12 December 2023, where DEWA is participating as a Principal Pathway Partner.”The Independent Power Producer (IPP) projects contribute to enhancing the UAE’s efforts to develop methods of climate financing and consolidate Dubai’s position as a global capital for green economy,” Saeed Mohammed Al Tayer, MD & CEO of DEWA.”These projects support the Dubai Clean Energy Strategy 2050 and the Dubai Net Zero Carbon Emissions Strategy 2050 to provide 100 per cent of the energy production capacity from clean energy sources by 2050. Since 2014, DEWA has pioneered the IPP project management and implementation model,” he added.Pioneering private-public partnership modelAl Tayer cited how DEWA has developed a pioneering model of partnership between public and private sectors to attract investments in energy and water in Dubai, as well as transfer knowledge and modern technologies to diversify energy sources according to best international practices.The projects at the Mohammed bin Rashid Al Maktoum Solar Park, the largest single-site solar park in the world implemented by DEWA based on the IPP model, are of great interest to international developers and reaffirm investor confidence in the major projects supported by the Government of Dubai.”DEWA has attracted huge investments to the UAE from the private sector and foreign banks, leading to increased cash flow to the economy of Dubai and the UAE,” said Al Tayer.Changes in energy distribution”There is an urgent need to make rapid, radical, and comprehensive changes in energy distribution worldwide and the mechanisms of capital flow. It is also important to rethink the transport sector and reduce waste, as well as strengthen collaboration between societies and individuals to build a sustainable future and find sustainable solutions for challenges that concern the world.DEWA, the World Green Economy Organisation (WGEO), and the Dubai Supreme Council of Energy, are organising the World Green Economy Summit (WGES).WGES is a strategic platform for supporting international collaboration in fighting global challenges and promoting sustainable development as well as investments in the green economy and adopting effective policies, plans, and initiatives in this regard,” added Al Tayer.CAPACITY BOOST** The capacity of DEWA’s current projects with the private sector using the IPP model exceeds 4,000 megawatts (MW), with investments amounting to more than Dh40 billion.** Through this model, DEWA was able to save an additional investment of approximately Dh26 billion ($7.08 billion), which allows DEWA to invest in other infrastructure projects.** Through this model, DEWA has achieved world-class results and developed a new benchmark for solar energy prices for every kilowatt hour, thus making Dubai a global benchmark for solar energy prices.Dubai Green FundThe funding pillar within the Dubai Clean Energy Strategy 2050 focuses on finding financing solutions for investment in research and development related to clean energy and its applications. This pillar includes the Dubai Green Fund (DGF).DGF is a member of the Global Impact Investing Network, a leading non-profit organisation dedicated to increasing the scale and effectiveness of impact investing. Impact investing is a relatively new term, used to describe investment funds and global companies that invest across many asset classes, sectors, and regions, and focus on improving society or the environment while generating financial returns.This method has exponentially moved towards investing in companies that create a positive social or climate impact on the world. Most of these mutual funds are traded as private equity firms (open only to institutional or accredited investors) or corporations and are willing to deal with less liquidity and returns in exchange for making a bigger difference.DEWA’s key investment projects using the IPP model include:** The Mohammed bin Rashid Al Maktoum Solar Park is the largest single-site solar park in the world, using the IPP model, and will have a production capacity of 5,000 megawatts (MW) by 2030, using photovoltaic panels and concentrated solar power (CSP), with total investments of Dh50 billion. When completed, the solar park will reduce more than 6.5 million tonnes of carbon emissions annually. The commissioned solar energy projects within the park currently total 2,627MW.** The Hassyan Power Complex, which runs on natural gas. Its current production capacity has reached 1,800MW, using the IPP model. A further 600MW will be added in 2023. This will raise the capacity of the Complex to 2,400MW. The Hassyan Desalination Plant project is the largest of its kind in the world for water production based on Sea Water Reverse Osmosis (SWRO) technology using solar energy. It is DEWA’s first Independent Water Producer (IWP) model project.The 180 Million Imperial Gallon per Day (MIGD) Sea Water Reverse Osmosis Hassyan Phase 1 Independent Water Producer (IWP) project has an investment of AED 3.357 billion (USD 914 million). DEWA has achieved a world record by receiving the lowest bid of 0.36536 USD/m³ of desalinated water.Public-private cooperationFor energy efficiency projects, DEWA focuses on enhancing energy use efficiency in the buildings. In line with the vision and directives of the wise leadership to consolidate a green economy in the UAE, DEWA is keen on strengthening cooperation with public and private organisations that share its vision to enhance environmental sustainability and achieve net-zero emissions. Phase 3 of the MBR Solar park, Image Credit: Supplied The battery storage system delivers power on demand reducing the need for conventional power generation during nights and overcast conditions Image Credit: Supplied The Mohammed bin Rashid Al Maktoum Solar Park. When completed, the solar park will reduce more than 6.5 million tonnes of carbon emissions annually. The commissioned solar energy projects within the park currently total 2,627MW, according to Dewa. Image Credit: SuppliedDEWA has established an energy services company (Etihad Esco) to enhance energy efficiency in Dubai. The company has retrofitted nearly 8,000 existing buildings in Dubai.World Green Energy SummitThe 9th World Green Economy Summit (WGES) will be held on 28-29 November 2023. It will focus on the UAE’s priority areas during COP28.This includes fast-tracking a just, orderly, equitable energy transition and climate finance. WGES will focus on the following thematic pillars: green policy, green finance, green technology and innovation, green energy and green partnerships.WGES will bring together intellectuals, government institutions, and major corporates, as well as leaders of sustainability funding from around the world.This is to exchange best practices and explore the green and fair economy theoretically and practically. WGES will engage all society members and empower youth to play an influential role in creating a sustainable Future