UAE aims to build clean and stronger hydrogen economy

Dubai - The UAE plans to invest Dh600 billion until 2050 in clean energy, when it aims to have 44 per cent of clean energy as part of its energy mix.

Sustainable development is one of the key elements of the UAE Vision 2021, which aims to preserve the environment and the country’s social and economic development. With the world heading towards net-zero energy, the UAE is a leader, among oil and gas producing nations, in developing clean energy as a replacement for fossil fuels and a driver of sustainable prosperity.

The UAE Energy Strategy 2050 aims to achieve an energy mix that combines renewable and low carbon energy sources to achieve strategic economic and environmental goals. The UAE plans to invest Dh600 billion until 2050 in clean energy, when it aims to have 44 per cent of clean energy as part of its energy mix. A key part of this strategy will be hydrogen, with the UAE positioning itself as a low-cost producer and exporter of blue and green hydrogen, as well as liquid ammonia, produced using hydrogen.

Work is already underway on megaprojects to expand the UAE’s hydrogen economy. One of the many projects being developed is the two-gigawatt green ammonia project by Taqa, the Abu Dhabi National Energy Company, and Abu Dhabi Ports. The project will produce green hydrogen and process it into liquid ammonia, to be used in ships as bunker fuel and for export.

Meanwhile, the Khalifa Industrial Zone Abu Dhabi (Kizad) has announced plans for a $1 billion green ammonia plant, which will produce 200,000 tonnes of green ammonia from 40,000 tonnes of green hydrogen. In addition, Masdar have partnered with Siemens Energy, the Abu Dhabi Department of Energy, Etihad Airways, Lufthansa, Marubeni Corporation and Khalifa University to develop an electrolysis facility to produce green hydrogen for the transport industry.

And, in Ruwais, the Abu Dhabi National Oil Company (Adnoc) is developing a blue ammonia project at its downstream industrial hub, which will have a capacity of 1,000 kilo tonnes a year. Adnoc has also formed an alliance with ADQ and Mubadala to accelerate the use of hydrogen in key economic sectors, including utilities, transport, and industry. The alliance seeks to establish Abu Dhabi as a trusted provider of low-carbon green and blue hydrogen to emerging international markets. In line with this initiative, ADNOC has already sold a blue ammonia cargo to Japan’s INPEX for use in power generation, pioneering the export of clean energy from the UAE.

The UAE’s leadership recognises that for a successful hydrogen-based economy key elements need to be in place, including the right infrastructure, technological readiness, and market access. The UAE’s long and successful experience in energy and transport infrastructure, advanced digital technology deployment, and a history of being a trusted and dependable energy partner for the world’s growth economies will give it a competitive advantage as fossil fuel producers seek to deliver net-zero energy by 2050.

With the widespread use of green hydrogen, the UAE could achieve a secure energy future, while creating jobs and supporting new industries that would contribute to economic diversification and environmental sustainability. Gastech, which will take place in Dubai from September 21-23, is where the global gas, LNG, hydrogen, and energy industry will come together to discuss and formulate a roadmap for the low carbon future of energy. With pressure mounting to decarbonise, while ensuring affordable energy for all, Gastech will be the ideal platform the for the UAE to showcase its commitment to a cleaner, greener, more sustainable energy future, with hydrogen at its heart.

The writer is President-Energy, dmg events. Views expressed are his own and do not reflect the publication’s policy.