Katib Belkhodja, Customer Centricity Director at Al-Futtaim Automotive, discusses the private sector’s pivotal role in advancing sustainable mobility within UAE’s urban master plan.
The United Arab Emirates concluded its participation in the 16th session of the Conference of the Parties (COP16) to the United Nations Convention to Combat Desertification (UNCCD) by emphasising the importance of strengthening international cooperation to develop practical solutions for halting desertification and addressing drought. The UAE also underlined the importance of the active involvement of all community groups, with a focus on enhancing the role of women in global sustainable land management.
COP16 was held in Riyadh from December 2 to 13 under the theme “Our Land. Our Future”. The conference aimed to explore strategies for transforming land degradation into renewal. The United Nations Convention to Combat Desertification (UNCCD) serves as the global advocate for bringing together governments, businesses, and civil society to address challenges and collaboratively shape a sustainable future for land.
“COP16 on combating desertification marked a new chapter in the UAE’s achievements to address the global drought crisis and halting land degradation”, said Her Excellency Dr. Amna bint Abdullah Al Dahak, Minister of Climate Change and Environment, who led the UAE delegation at the conference.
“Through effective contributions to global efforts, the UAE has strengthened sustainable agriculture and food systems, and leveraged innovation to develop solutions to the global water crisis, particularly through the ‘Mohammed bin Zayed Water Initiative’ and other efforts.”
“The participation of the Emirati work teams, representing relevant authorities in the country, exemplified our collaboration and unity in pursuing shared goals. Our goals include addressing national challenges, expanding innovation-driven agriculture and food systems, promoting sustainable water management, and maximising the benefits derived from natural resources while preventing waste. Additionally, our teams played an active role in rallying global efforts in this regard.”
Interactive Engagements
During his participation in a session titled ‘Strengthening the Environmental Dimension of Food Systems Amid a Polycrisis in the Arab Region’, His Excellency Mohammed Saeed Al Nuaimi, Undersecretary of the Ministry of Climate Change and Environment, emphasised that water scarcity is a significant challenge for the Arab region. As one of the most arid places in the world, the Arab region faces immense pressure on its limited freshwater resources especially for agriculture.
“We must invest in climate-smart land solutions to mitigate the impacts of climate change and enhance climate resilience across the Arab region”, said HE Al Nuaimi. “The success of these efforts hinges on cooperation, as the active participation and coordination among the various stakeholders is urgently needed to achieve the shared goals of our Arab nations.”
His Excellency said that tackling the challenges of climate change, water scarcity, land degradation, and desertification calls for concerted regional efforts. These include leveraging advanced technologies, strengthening resource management, and enhancing international cooperation.
His Excellency also highlighted the ‘Plant the Emirates’ National Programme, which aims to empower local communities in achieving sustainable food security in the UAE by encouraging their participation in agricultural practices. HE also referred to the ‘National Agriculture Centre’, which aims to advance research and innovation in agricultural technologies.
Hiba Obaid Al Shehhi, Acting Assistant Undersecretary for Biodiversity and Marine Life Sector at MOCCAE, participated in a session titled ‘High Level Interactive Dialogue of the Gender Caucus: HerLand: Women’s leadership on sustainable land management’. She emphasised the UAE’s commitment to gender equality as part of the nation’s efforts to address the impact of climate change, particularly in sustainable land management.
““The climate crisis does not affect one gender more than the other; both women and men are significantly impacted by climate change”, said Hiba Obaid Al Shehhi. “This presents a unique opportunity to strengthen efforts to combat desertification, land degradation, and drought, while enhancing the leadership role of women and girls by leveraging their expertise, knowledge, and skills.”
“The presence of women in this field globally remains modest, which necessitates the formulation of more effective and inclusive policies and projects. Women constitute nearly 50 per cent of the agricultural workforce worldwide; however, they own less than one-fifth of the total land globally.”
Al Shehhi highlighted the significant role of the UAE in empowering women in agriculture through efforts that included a project to enhance the capabilities of refugees in Uganda, funded by the Sheikha Fatima Fund for Refugee Women, in collaboration with the United Nations High Commissioner for Refugees.
“The call to enhance the role of women in achieving climate resilience and land restoration aligns with our national strategies. Women play a pivotal role in shaping policies and driving innovative solutions to combat land degradation and desertification”, she added.
Hiba Al Shehhi also participated in a session titled ‘Multilateral Environmental Agreements Synergies for Strengthened Environmental Governance: Insights from the Bern III Conference’, where she emphasised that climate change, biodiversity loss, and land degradation represent a link between interconnected environmental crises, reinforcing how addressing these challenges requires a comprehensive response.
Al Shehhi described the launch of the Mangrove Alliance for Climate (MAC) by the UAE in collaboration with the Republic of Indonesia, which aims to globally expand the planting of mangrove trees, which act as natural carbon sinks, and serve as a vital link in preserving the marine environment and biodiversity. The alliance currently includes 45 countries. She also shed light on the groundbreaking ceremony of the Mohamed bin Zayed – Joko Widodo International Mangrove Research Centre in Indonesia, which will lead research and innovation efforts to expand mangrove forests globally.
Furthermore, Al Shehhi emphasised the importance of enhancing international cooperation by aligning actions with global frameworks such as the United Nations Convention to Combat Desertification, the Convention on Biological Diversity, and the United Nations Sustainable Development Goals (SDGs) to ensure coherent strategies – “Policy tools at national level can help enhance cooperation among diverse sectors”, she said.
The United Arab Emirates (UAE) is set to introduce a new tax at the start of 2025, and is considering options for incentives to support innovative businesses advancing the economy.
The UAE Ministry of Finance has announced updates in relation to specific provisions of Federal Decree Law No. 47 of 2022 on the Taxation of Corporations and Businesses.
A Domestic Minimum To-Up Tax (DMTT) will be effective in the UAE for financial years starting on or after the 1st January 2025 – this follows the issuance of Federal Decree Law No. 60 of 2023.
This step highlights the UAE’s commitment to implementing the Organisation for Economic Co-operation and Development’s (OECD) Two-Pillar Solution, targeted at establishing a fair and transparent tax system aligned with global standards.
The Pillar Two rules will require large multinational enterprises (MNEs) to pay a minimum effective tax rate of 15 per cent on profits in each country where they operate.
The DMTT will apply to multinational enterprises operating in the UAE with global revenues of $794 million or more in at least two out of the four financial years immediately preceding the financial year in which the DMTT applies.
In a bid to promote sustainable development, innovation and investment, the Ministry of Finance is considering the introduction of Corporate Tax Incentives under Federal Decree Law No. 47 of 2022.
In order to promote and encourage research and development activities, and foster innovation and economic growth in the UAE, a Research and Development Tax is being considered.
Following feedback received during public consultations conducted in April 2024, the proposed incentive is expected to take effect for tax periods starting on or after the 1st January 2026.
The research and development tax incentive will be based on expenditure, potentially offering 30-50 per cent tax credit and that will be refundable depending on the revenue and number of employees in the business in the UAE.
Refundable tax credit for high-value employment activities is being considered. This aims to encourage businesses to engage in practices that deliver significant economic benefits, inspire innovation, and enhance the UAE’s global competitiveness. This incentive is proposed to take effect on the 1st January 2025.
The final form and implementation of the aforementioned proposed incentives are subject to legislative approval. The Ministry of Finance will provide further details and guidance for taxpayers regarding these incentives in due course.
A new report by Bloomberg Intelligence reveals the UAE banks’ growing position as a potential leader in sustainable finance, partially driven by an AED 1 trillion ($270 billion) commitment by 2030, announced by the UAE Banking Federation at COP28 in Dubai.
Commitments such as this announcement and the Sustainable Finance Framework, have accelerated the mobilisation of UAE financial institutions in sustainable bond issuance above other industries, as the country targets Net Zero by 2050. The report finds that financials now lead in the MENA region, accounting for 64 per cent of its green, social, sustainability and sustainability-linked bond (GSSS) issuance in 2024, an increase from 24 per cent in 2021.
In the UAE, First Abu Dhabi Bank (FAB), Abu Dhabi Islamic Bank (ADIB), and Emirates NBD are among most active banks, reflecting strong investor demand. Recent issuances, such as ADIB’s green Sukuk in 2023, was oversubscribed by up to 5.2x.
FAB, the largest issuer of sustainable debt among UAE banks, as of March has allocated around $1.1 billion to green buildings and $1 billion to renewable energy projects. Emirates NBD’s $750 million green Sukuk similarly supported green infrastructure, dedicating 40 per cent to renewables, 37 per cent to green buildings, and 18 per cent to clean transport as of June 2024. These efforts align with the UAE’s targets to cut emissions by 47 per cent by 2035 and triple renewable energy capacity by 2030.
“The UAE has emerged as a leader in sustainable finance in the Middle East, with the UBF AED 1 trillion by 2030 pledge accelerating the role of national banks in financing the country’s Net Zero 2050 ambitions”, said Grace Osborne, ESG Analyst at Bloomberg Intelligence.
“Banks are scaling finance towards green buildings, renewable energy and clean transport, key to meeting the UAE’s targets such as tripping renewable energy capacity by 2030, and to capturing potential green premiums, with UAE green bonds from banks seeing strong demand with deals 2-5x oversubscribed. Though our findings suggest clarity is needed on what counts towards to UBF target, with robust frameworks, polices and regulations in place to empower banks to further drive sustainable finance and capture green growth opportunities in the region.”
UAE’s green bonds from banks continue to see strong demand in the dollar market with deals 2-5x oversubscribed, resulting in more attractive pricing. However, there is a call for banks to tighten exposure to high-carbon clients while increasing sustainable finance volumes.
The UAE’s progress is fostering regional growth in sustainable finance, with Saudi Arabia and Qatar following suit. Saudi Arabia’s Public Investment Fund is driving $19 billion in green investments, and Qatar debuted its first $2.5 billion in green bonds. This regional push in green investments presents opportunities for banks in the region to initiate sustainable finance issuance.
In an effort to direct private sector contributions towards implementing corporate social responsibility (CSR) initiatives aligned with ESG metrics and national priorities, MAJRA, the National CSR Fund, revealed the MAJRA Impact Stream – a innovative digital gateway.
The announcement was made during a press conference, which also marked the launch of the MAJRA Sustainable Impact platform, offering an array of services to support and guide the efforts and contributions of the private sector towards impactful CSR initiatives.
The conference saw the announcement of partnerships between MAJRA and Dubai University, Umm Al Quwain University, and MBRSG, with the aim of providing a diverse range of knowledge content to enrich the Knowledge Square platform, including studies, articles, training programs, and specialised workshops.
“The launch of MAJRA Impact Stream marks a pivotal moment in the journey and dedication to fostering CSR principles and ESG practices, which are integral to our identity and heritage”, said H.E. Abdullah Al Saleh, Undersecretary of the Ministry of Economy and Vice Chairman of the Board of Trustees of MAJRA.
“This initiative empowers businesses to embrace innovative solutions and contribute meaningfully to our society, environment, and economy by prioritising CSR, ESG principles, and sustainability. We look forward to deepening our collaboration with the private sector unlocking new opportunities and fostering a positive, lasting impact.”
MAJRA Impact Stream, the digital gateway for sustainable impact that focuses on four key principles – Listen, Unify, Magnify, and Certify, is a key component of MAJRA’s strategy to strengthen the CSR frameworks of companies, consolidating the UAE’s position as a global leader in this field.
“With the launch of MAJRA Impact Stream, our goal is to enhance transparency, accountability and trust across sectors in their CSR and ESG activities”, said Sarah Shaw, Director of MAJRA – The National CSR Fund.
“This will help unify efforts and amplify the impact of these initiatives. Additionally, through the MAJRA Community, we seek to create a collaborative space where individuals and organisations can share experiences, knowledge, and innovative ideas to elevate positive change.”
In an effort to tackle overstock and support sustainability changes in dynamic markets, eJaby, a commerce marketplace, has launched in the UAE. The eJaby platform connects customers directly with quality overstock products, creating a win-win scenario for conscious consumers, suppliers and the planet, by tackling food and other limited-lifespan product waste.
eJaby utilises advanced technology to connect suppliers with customers who value quality products at exceptional value, including food, beverages and non-food products. By focusing on overstock items – products that are past the product of their shelf life but still meet rigorous quality standards – eJaby provides customers with products that support sustainability efforts. This approach aligns with international sustainability goals, including the UAE’s target to reduce food loss and waste by 50 per cent by 2030.
“The cost of food waste, related to food service and retail combined, tops at around $23 billion annually in the region alone”, said Maxim Haartsen, Co-Founder of eJaby. “By providing an alternative online sales channel for suppliers, we ensure a smart shopping experience, adhering to a positive lifestyle where customers appreciate both quality and value.”
Sustainability at the Core
The company says it is deeply committed to sustainability, incorporating eco-friendly practices throughout its operations. The platform supports the UN’s Sustainable Development Goals, particularly SDG 12 (Responsible Production and Consumption) and SDG 13 (Climate Action), by minimising the environmental impact of food waste and promoting responsible consumption.
“We see eJay as more than just a marketplace”, said Menna Shahin, Co-Founder of eJaby. “We want out eJaby community to join us in reducing CO2 and making a positive impact on the environment. Every other played through eJaby contributes to reducing waste and building a healthier planet. It’s a movement towards a more sustainable and efficient system.”
Expanding Research and Impact
The recent eJaby launch in the UAE marks the platforms expansion into the MENA region, with plans to enter the Saudi Arabian market by early 2025. The company’s growth reflects a broader trend towards sustainability in the region, positioning eJaby at the forefront of this critical movement.
In a bid to promote the UAE’s Vision for tackling drought and land degradation, and advancing global food and water security, HE Dr. Amna bint Abdullah Al Dahak, UAE Minister of Climate Change and Environment, is leading the UAE delegation at the 16th Conference of the Parties to the United Nations Convention to Combat Desertification (UNCCD COP16).
COP16 has commenced in Riyadh, Saudi Arabia, and will run until the 13th December, under the theme ‘Our Land. Our Future’. The Conference aims to explore strategies for transforming land degradation into renewal.
The United Nations Convention to Combat Desertification (UNCCD) serves as a global platform for bringing together governments, businesses, and civil society to address challenges and collaboratively shape a sustainable future for land.
Dr. Amna Al Dahak took part in the ‘Ministerial Dialogue on Drought Resilience; From Geneva to Riyadh and Beyond: Enhancing Global and National Policy Instruments for a Proactive Drought Management Approach’. In her address, HE emphasised that considering the climate challenges confronting the world, drought remains a critical issue and a significant global concern.
“Effective drought management calls for a combination of proactive planning, innovative strategies, and collaborative efforts in water management and distribution”, Dr. Al Dahak said. “Adopting sustainable practices, such as rainwater harvesting and climate-smart agriculture, is essential for improving water use efficiency and strengthening resilience to drought.”
HE highlighted the UAE’s ‘National Strategy to Combat Desertification’ and it’s Water Security Strategy 2036, as well as the UAE’s contributions to enhancing global water security through initiatives such as the Mohamed bin Zayed Water Initiative. HE also emphasised the significance of the UAE’s role as the host of the upcoming UN Water Conference in 2026, in partnership with the Republic of Senegal, which will serve as a pivotal platform to advance global efforts towards ensuring the availability and sustainable management of water for everyone.
During a session titled ‘Ministerial Dialogue on Finance: Unlocking Public and Private Finance for Land Restoration and Drought Resilience,’ HE Dr. Al Dahak emphasised the critical role of investing in sustainable land management and restoration as a fundamental driver for advancing sustainable agricultural practices.
“Land restoration efforts – especially for agriculture and food systems – are of profound importance and must be addressed to achieve our climate goals”, HE said. “It is imperative for governments and the private sector to scale investments in transforming agrifood systems by fostering more policies, initiatives and facilities that can support countries in land restoration and to deliver significant food and environmental benefits.”
HE reviewed the UAE’s efforts in implementing projects aimed at enhancing land ecosystems such as ‘Sustainable Grazing Projects’, ‘Land Degradation Neutralisation Programme’, ‘Development of Gene Banks for Local Plants Contributing to Combating Desertification’, ‘Prediction and Early Warning Programmes for Sand and Dust Storms’, as well as two programmes focused on ‘Green Belts’ and ‘Urban Forest Management’. Additionally, the UAE is working on other projects supported by integrated financing mechanisms.
Her Excellency affirmed that through collaboration, the world aims to develop large-scale sustainable solutions for land protection and restoration by aligning financial incentives with environmental goals.
UAE Statement at COP16
His Excellency Mohammed Saeed Al Nuaimi, Undersecretary of the Ministry of Climate Change and Environment, delivered the UAE’s statement at the UNCCD COP16.
HE emphasised that land degradation and desertification pose a significant threat to global sustainable development and resilience to climate change, stressing the need for unified and collaborative efforts to address land degradation to develop sustainable agricultural practices and restore biodiversity.
“The UAE is acutely aware of the devastating impacts of declining soil fertility, water scarcity, and increased vulnerability to drought on our land, livelihoods, and future”, HE Al Nuaimi said. “This was reflected in the launch of the ‘COP28 UAE Declaration on Sustainable Agriculture, Resilient Food Systems, and Climate Action’, which has already been endorsed by 160 countries.”
His Excellency also discussed the recently launched Plant the Emirates National Programme, which aims to stimulate agricultural development and strengthen sustainable national food security in the country.
HE also highlighted the National Agricultural Centre which seeks to empower local farmers through training and financing programmes that promote sustainable and climate-smart agricultural projects. These initiatives aim to maximise land rehabilitation benefits while ensuring more efficient management of natural resources and water.
His Excellency noted that effective action against land degradation and desertification requires addressing key enablers such as securing land rights, gender equality, and youth empowerment. “The decisions we make at this Conference will have a profound impact on the future of our land, our planet and the legacy we leave to future generations”, HE concluded.
The UAE Ministry of Energy and Infrastructure launched the Global Energy Efficiency Alliance (GEEA) at COP29, an initiative aimed at doubling global energy efficiency rates annually while significantly reducing carbon emissions.
The GEEA highlights some of the potential of climate efficiency as such;
- Environmental Impact – Energy efficiency can reduce emissions significantly, preserving resources and protecting natural habitats. Improved efficiency could account for up to 40 per cent of the emissions reductions needed to reach global climate targets.
- Economic Impact – Energy efficiency can drive economic growth , reduce operational costs and increase competitiveness. Every $1 invested in energy efficiency returns $2 in savings.
- Social Impact – Improving energy efficiency enhances quality of life by reducing pollution , improving public health and promoting sustainable cities.
The GEEA calls for global collaboration to drive energy efficiency, which is one of the quickest, most impactful ways to reduce emissions and build resilience.
“Energy efficiency is not just a goal; it’s the foundation of our sustainable future”, said H.E. Sharif Al Olama, Undersecretary for Energy and Petroleum Affairs, Ministry of Energy and Infrastructure.
Key objectives of the Global Energy Efficiency Alliance:
Global knowledge exchange, establishing a platform for sharing best practices and data. Capacity building, providing training and resources for emerging economies to adopt advanced technologies, regulatory frameworks and financing models. Public-private partnerships, facilitating collaborations between governments, private sectors and financial institutions. Standards and certification, harmonising global energy efficiency standards to ensure consistent benchmarks.
Key actions the GEEA propose:
Policy guidance, helping countries design and implement best-in-class energy efficiency policies. Innovation and technology, fostering innovation by creating a platform for sharing new technologies. A financial framework, establishing a model for green financial funding in collaboration with the banks. Knowledge and capacity building, providing resources and training for energy efficiency implementation.
The GEEA put forward a roadmap to forming an international alliance –
In 2024, the initiative hopes to establish a founding committee, create framework documents and engage stakeholders for initial partnerships.
In 2025, the official launch of the GEEA will hope to initiate flagship projects and monitor global energy efficiency progress.
In 2025 and beyond, the GEEA hopes to achieve targeted improvement rates, become a recognised leader in energy efficiency, and expand the alliance’s impact.
The GEEA’s vision is “A world where energy efficiency leads the way to a sustainable, resilient and equitable future”, which can be accelerated through international collaboration on energy efficiency and carbon emission reductions.
The GEEA states “We invite governments, organisations, and industry leaders to join us in creating this alliance, setting ambitious goals and working collaboratively. This alliance will play a pivotal role in realising a sustainable future through energy efficiency. We call on all nations to join us in this crucial effort.”
In an effort to promote solidarity and progression in global climate discussions, Dr. Sultan Al Jaber formally handed over the UAE’s COP presidency to Azerbaijan on the first day of COP29. In his address, Dr. Al Jaber urged Parties to build on the UAE Consensus and take an inclusive, integrated approach to climate action, which ensures sustainable economic growth.
Negotiations at COP28 had “proved that multilateralism can move the dial and make a difference”, Dr. Al Jaber said, “In the end, determination conquered doubt and your hard work paid off with first after first for climate progress.”
In his speech, Dr. Al Jaber said he was “humbled by the experience” and thanked the many people who had helped deliver the “historic, comprehensive and groundbreaking UAE Consensus”, including His Highness Sheik Mohamed bin Zayed Al Nahyan, President of the UAE and the entire UAE leadership.
The Consensus contains a series of firsts across the climate agenda, including an agreement on a just, orderly and equitable energy transition, and goals for tripling renewable energy capacity, doubling energy efficiency and ending deforestation by the end of the decade.
“To date, 55 companies have joined the Oil and Gas Decarbonisation Charter (OGDC), covering 44 per cent of global oil production”, said Dr. Al Jaber, he called the OGDC the “most comprehensive private sector partnership on decarbonisation to date.”
Dr. Al Jaber also highlighted the importance of collaboration, referencing a summit held earlier in November in Abu Dhabi that brought together leaders in climate, energy, artificial intelligence (AI) and an integrated effort to drive low-carbon growth.
ALTÉRRA, the world’s largest climate focused investment fund also launched at COP28, has placed $6.5 billion with impact investors – “a model that must be build on”, said Dr. Al Jaber.
The COP Presidencies Troika is a new “mechanism for momentum”, uniting the Presidencies of COP28, COP29 and COP30. The Troika will mobilise multilateral platforms, from the UN to the G20 to “solidify the legacy of the UAE Consensus.”
“History will judge us by our actions, not our words,” concluded Dr, Al Jaba in his speech. “Let positivity prevail and let it power the process. Let actions speak louder than words. Let results outlast the rhetoric and remember, we are what we do, not what we say”.
The Dubai Multi Commodities Centre (DMCC), a commodities exchange and free-trade zone in the UAE, has signed a cluster of agreements to expand the services available through its recently launched Sustainability Hub.
According to the DMCC, three partnership and collaboration agreements were entered into with S&P Global Market Intelligence (SPGMI) and S&P Global Sustainable1, and sustainability platforms Earthly and Climate Essentials.
The collaboration agreement with SPGMI and S&P Global Sustainable1 will provide members with access to the S&P Global Corporate Sustainability Assessment (CSA), which is produced and issued by S&P Global Sustainable1.
It was shared that the CSA helps companies link sustainability to their business strategies and benchmark their progress against peers.
Members will also have access to its Sustainability Starter Pack to better understand how to report their sustainability performance in line with global reporting frameworks.
Climate Essentials will provide tools to calculate carbon footprints across all three scopes, in accordance with leading climate science protocols.
Meanwhile, Earthly will support members with tailored carbon management strategies and access to verified carbon offset projects via its platform.
The DMCC Sustainability Hub was launched in March 2024 and comprises a network of industry leaders from within DMCC’s business district who are reportedly seeking to drive “meaningful ESG change and impact.”
“With key resources from S&P Global’s Market Intelligence and Sustainable1 businesses, Earthly and Climate Essentials we will broaden our community’s access to critical ESG tools, in turn, ensuring that Dubai remains a central part of the conversation on addressing climate action,” said Feryal Ahmadi, Chief Operating Officer, DMCC. “By helping businesses deepen their understanding of their ESG standing and the steps they can take to reduce their carbon emissions, we significantly support the UAE’s Net Zero by 2050 ambitions.”
Newer Posts