The targets set, mobilising finance comes next. This is also, however, where the level of complexity begins to rise, as the need for policy to become integrated across sectors and areas of expertise increases.
Dubai’s Clean Energy Strategy, for example, includes the AED100 billion Dubai Green Fund, which provides low interest loans to finance green projects. At the same time, those projects – which may include rooftop solar photovoltaic (PV) – also require regulatory frameworks in place that enable such projects to connect to the grid, operate net metering systems and set tariffs, establish safety standards and enforce them. Without all of these other elements being in place, many projects that the Green Fund might back would find it difficult to get off the ground.
The Shams Dubai solar programme, for example – a rooftop solar PV scheme with net metering in the emirate – works within a framework of rules and regulations set by the Dubai Electricity and Water Authority (DEWA), which in turn must also comply with the UAE’s federal regulations.
In Abu Dhabi, the Small-scale Solar PV Energy Netting Regulation of 2017 is a similar programme, while at the federal level, the Federal Distributed Energy Law applies across the UAE and in the free zones. The MoEI is designated the “competent authority” under this law when it comes to issuing licenses for projects, monitoring and supervising producers, setting the technical parameters for generation, setting annual limits for the amount generated and setting fees and tariffs. [1] Etihad Water and Electricity Company (Etihad WEC) provides services from the MoEI in this regard, and acts as the implementing agency in the Northern Emirates. [2]
At the same time, when it comes to clean energy certification for clean energy, the Dubai Carbon Centre for Excellence has the exclusive rights to this in the UAE. The Centre works in agreement with the International Renewable Energy Certificate Standard (I-REC Standard). In addition, however, the DoE in Abu Dhabi also has its own Clean Energy Certificate (CEC) policy, also to the I-REC standard, with the Emirates Water and Electricity Company (EWEC) – Abu Dhabi’s power and water entity – charged with ensuring that all clean energy entering the grid meets that standard. The DoE’s CECs may also be traded as carbon credits, [3] with these measured under the December 2024 National Register for Carbon Credits regulation. [4]
Sharjah’s Sustainable Financing Framework, meanwhile, seeks to finance or refinance green projects ranging from renewables to energy efficiency to green buildings. The emirate will issue financial instruments under the framework exclusively for this purpose, which I also in line with the UN Sustainable Development Goals (SDGs).
The Framework also highlights how certification for green building in the UAE is also largely at the emirate level. In Abu Dhabi, the Estimada Pearl Rating system holds sway, while Dubai Municipality has worked with DEWA to produce the Dubai Green Building Regulations and Specifications. [5] In 2017, these were re-issued under the title Al Sa’fat, then updated in 2020. [6]
The Environment Agency Abu Dhabi (EAD) also has its voluntary Green Industries Labelling Programme (GILP), which aims to assist the public in identifying which companies and industries use environmentally-friendly practices. GILP sets a number of criteria to determine this, including the degree of environmental protection, innovation, and compliance with environmental regulations. Additionally, the degree to which a company has implemented demand side management systems and reduced emissions are key considerations.
A GILP label, the programme hopes, will then draw consumers to the company’s products, with this more likely if the fifth aspect of regulation mentioned above is also having an effect.
Campaigns to raise awareness and the need to switch to more environmentally-friendly products involve both state education systems and the general public. The Emirates Environmental Group (EEG), for example, is one such non-governmental organisation (NGO) and has seen its membership and range of campaigns mushroom since it was established in 1991. [7] Its most recent initiative has been the 2023 edition of the “Clean up the UAE’ campaign. [8]
Joining the dots
Pulling all these five strands of regulation together is therefore a complex undertaking, with each part of the energy transition requiring rules and laws that are fit for purpose, while also being flexible enough to allow adaptation as the transition pathway rolls out.
Thanks to many campaigns and educational programmes, however, consumers are more aware than ever of the need for change in their patterns and modes of consumption, as are the private and public sectors. The job of regulators is to bring all these elements together – much as a conductor in front of an orchestra, with the work always something still in progress.
