The Abu Dhabi skyline. The UAE;s Ministry of Energy and Infrastructure has signed an agreement with GHD in partnership with applied research organisation Fraunhofer-Gesellschaft to develop its hydrogen strategy. Victor Besa / The National
The Abu Dhabi skyline. The UAE;s Ministry of Energy and Infrastructure has signed an agreement with GHD in partnership with applied research organisation Fraunhofer-Gesellschaft to develop its hydrogen strategy. Victor Besa / The National
The Abu Dhabi skyline. The UAE;s Ministry of Energy and Infrastructure has signed an agreement with GHD in partnership with applied research organisation Fraunhofer-Gesellschaft to develop its hydrogen strategy. Victor Besa / The National
The Abu Dhabi skyline. The UAE;s Ministry of Energy and Infrastructure has signed an agreement with GHD in partnership with applied research organisation Fraunhofer-Gesellschaft to develop its hydroge

UAE in deal to develop national hydrogen strategy


Deena Kamel
  • English
  • Arabic

The Ministry of Energy and Infrastructure (MoEI) signed an agreement with GHD in partnership with the Germany-based Fraunhofer-Gesellschaft to develop its National Hydrogen Strategy.

As part of the UAE's Hydrogen Roadmap and the ongoing commitment to decarbonisation and energy transition, the National Hydrogen Strategy will help establish the UAE's hydrogen vision and inform its policy decisions as one of its energy-mix diversification strategies and net-zero targets by 2050.

“We remain focused on our goal of capturing 25 per cent of the most important hydrogen market. Our ambition is to see the UAE become a world-leading authority on the role of hydrogen in the energy transition,” Suhail Mohamed Al Mazrouei, Minister of Energy, said.

GHD had initially collaborated with the MoEI to assess the critical elements necessary to establish a hydrogen strategy in the UAE. GHD's scope for developing and implementing the National Hydrogen Strategy is expected to set the direction for a hydrogen economy across the UAE.

“As the global hydrogen economy accelerates through technological innovation, partnerships and investment commitments, hydrogen could be a decarbonisation solution that provides multiple market opportunities across electricity, transportation and mobility, and the industrial sectors,” said Sharif Al Olama, Undersecretary of the MoEI, said,

The UAE recognises that crucial elements must be in place for a booming hydrogen-based economy, including the proper infrastructure, technological readiness, and market access.

Commenting on the agreement, Bassam Halabi, GHD's regional manager for the UAE, said: “GHD looks forward to collaborating with the UAE government in developing its National Hydrogen Strategy in partnership with Fraunhofer-Gesellschaft. We are committed to leading and supporting our clients, partners and communities in the transition to future with affordable, reliable, secure and low-carbon energy.”

GHD's partnership with the Germany-based Fraunhofer-Gesellschaft to develop the UAE National Hydrogen Strategy presents a unique opportunity to further strengthen the bilateral relations between the UAE and Germany through contributions to the UAE's net-zero ambition.

Professor Dr Christopher Hebling, co-spokesman of the Fraunhofer Hydrogen Network and director of the Fraunhofer Institute for Solar Energy Systems ISE, said: “The Fraunhofer Society is pleased to make a contribution to the ambitious goals of the UAE for climate neutrality by 2050 by helping to develop a National Hydrogen Strategy.”

The specs: 2019 Mini Cooper

Price, base: Dh141,740 (three-door) / Dh165,900 (five-door)
Engine: 1.5-litre four-cylinder (Cooper) / 2.0-litre four-cylinder (Cooper S)
Power: 136hp @ 4,500rpm (Cooper) / 192hp @ 5,000rpm (Cooper S)
Torque: 220Nm @ 1,480rpm (Cooper) / 280Nm @ 1,350rpm (Cooper S)
Transmission: Seven-speed automatic
Fuel consumption, combined: 4.8L to 5.4L / 100km

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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The burning issue

The internal combustion engine is facing a watershed moment – major manufacturer Volvo is to stop producing petroleum-powered vehicles by 2021 and countries in Europe, including the UK, have vowed to ban their sale before 2040. The National takes a look at the story of one of the most successful technologies of the last 100 years and how it has impacted life in the UAE. 

Read part four: an affection for classic cars lives on

Read part three: the age of the electric vehicle begins

Read part two: how climate change drove the race for an alternative 

German intelligence warnings
  • 2002: "Hezbollah supporters feared becoming a target of security services because of the effects of [9/11] ... discussions on Hezbollah policy moved from mosques into smaller circles in private homes." Supporters in Germany: 800
  • 2013: "Financial and logistical support from Germany for Hezbollah in Lebanon supports the armed struggle against Israel ... Hezbollah supporters in Germany hold back from actions that would gain publicity." Supporters in Germany: 950
  • 2023: "It must be reckoned with that Hezbollah will continue to plan terrorist actions outside the Middle East against Israel or Israeli interests." Supporters in Germany: 1,250 

Source: Federal Office for the Protection of the Constitution

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Updated: September 27, 2022, 2:26 AM