While Egypt accounts for only 0.6 per cent of the world’s carbon dioxide emissions, the road to net zero requires increased collaboration between the environment and energy sectors, Minister of Environment Yasmine Fouad said at a petroleum conference in Cairo on Tuesday.
The challenge is to “keep the balance between the transformative and speedy development and the environment and conservation of natural resources”, Ms Fouad said at the fifth Egypt Petroleum Show (Egyps).
The three-day exhibition and conference, which opened on Monday, includes 11 international energy ministers as well as chief executives, secretary generals, business leaders and representatives from international and local oil companies.
Supporting the clean energy transition in North Africa and the Mediterranean region is one of the key topics of discussion, as Egypt prepares to host Cop27 in Sharm El Sheikh in November.
The Paris Climate Change Agreement, adopted in 2015 and signed by about 200 countries including Egypt, sets out ambitious goals to try to limit global warming to 1.5°C above pre-industrial levels.
Providing poor African nations with the financial support needed during the clean energy transition should be the top priority at Cop27, Egyptian President Abdel Fattah El Sisi said at the Egyps opening on Monday.
A pledge by rich nations to channel $100 billion a year to developing nations to help them adapt to climate change has not yet been met.
The top CO2-emitting countries globally are China, the US, India, Russia and Japan.
Africa is responsible for less than 2 per cent of global emissions, despite being the second-most populous continent, said Fatih Birol, executive director of the International Energy Agency.
“We have to make sure that Africa doesn’t shoulder a heavy burden in transitioning to clean energy,” Mr Birol said.
In Egypt, the energy sector, including electricity, transit and oil and gas, accounts for 65 per cent of the country’s emissions, Ms Fouad said. Oil and gas make up only 3 per cent.
To solve the challenge of reducing emissions, she said climate finance, the inclusion of the private sector, the use of green technologies in developing countries, and a national capacity-building programme to train and grow human capital is also necessary.
“If we have the financing and we have the technologies, but we don’t have the human resources who are able to manufacture, operationalise and maintain those technologies, we would not be closing that circle,” Ms Fouad said.
The relationship between the energy and environment sectors in Egypt has evolved in recent years to one of tension to one of co-operation, where now the “carrot is used more than the stick”, she said.
She pointed to several success stories that involved a joint effort between the Ministry of Environment and Ministry of Petroleum.
For example, 11 out of 13 petroleum companies in the Gulf of Suez have enacted environmental sanitation plans that include the establishment of industrial wastewater treatment plants at a total cost of 7 billion Egyptian pounds. The remaining two companies will complete the projects by the end of this year.
Oil and gas companies are connected to the national network for industrial air quality “so we are able to track their emissions minute-by-minute”, Ms Fouad said.
In the energy sector, solar and wind power have been further developed over the past seven years.
Refuse-derived fuel, a fuel produced from various types of waste, is now being used as an alternative in cement factories.
There are ways to “give a win-win to both the development and the environment”, Ms Fouad said.
In a speech later in the day, Egypt’s Minister of Petroleum Tarek El Molla said Cop27 is “a big responsibility”.
He said there is a need to demonstrate that “we can use our fossil fuels responsibly” while prioritising “decarbonising hydrocarbons, carbon capture and storing”.
“We need to represent Africa, we need to build for our brothers in the UAE for a continuation of the narrative that we will start writing together,” Mr El Molla said, referring to Cop28, which will be hosted by the Emirates.
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.”
Tamkeen's offering
- Option 1: 70% in year 1, 50% in year 2, 30% in year 3
- Option 2: 50% across three years
- Option 3: 30% across five years
The years Ramadan fell in May
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Global state-owned investor ranking by size
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United States
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China
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UAE
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Japan
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Norway
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Canada
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Singapore
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Australia
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Saudi Arabia
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South Korea
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Juliot Vinolia’s checklist for adopting alternate-day fasting
- Don’t do it more than once in three days
- Don’t go under 700 calories on fasting days
- Ensure there is sufficient water intake, as the body can go in dehydration mode
- Ensure there is enough roughage (fibre) in the food on fasting days as well
- Do not binge on processed or fatty foods on non-fasting days
- Complement fasting with plant-based foods, fruits, vegetables, seafood. Cut out processed meats and processed carbohydrates
- Manage your sleep
- People with existing gastric or mental health issues should avoid fasting
- Do not fast for prolonged periods without supervision by a qualified expert
The President's Cake
Director: Hasan Hadi
Starring: Baneen Ahmad Nayyef, Waheed Thabet Khreibat, Sajad Mohamad Qasem
Rating: 4/5
More on Quran memorisation:
MATCH INFO
Uefa Champions League semi-final, first leg
Tottenham v Ajax, Tuesday, 11pm (UAE).
Second leg
Ajax v Tottenham, Wednesday, May 8, 11pm
Games on BeIN Sports
Ziina users can donate to relief efforts in Beirut
Ziina users will be able to use the app to help relief efforts in Beirut, which has been left reeling after an August blast caused an estimated $15 billion in damage and left thousands homeless. Ziina has partnered with the United Nations High Commissioner for Refugees to raise money for the Lebanese capital, co-founder Faisal Toukan says. “As of October 1, the UNHCR has the first certified badge on Ziina and is automatically part of user's top friends' list during this campaign. Users can now donate any amount to the Beirut relief with two clicks. The money raised will go towards rebuilding houses for the families that were impacted by the explosion.”
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2025 Fifa Club World Cup groups
Group A: Palmeiras, Porto, Al Ahly, Inter Miami.
Group B: Paris Saint-Germain, Atletico Madrid, Botafogo, Seattle.
Group C: Bayern Munich, Auckland City, Boca Juniors, Benfica.
Group D: Flamengo, ES Tunis, Chelsea, Leon.
Group E: River Plate, Urawa, Monterrey, Inter Milan.
Group F: Fluminense, Borussia Dortmund, Ulsan, Mamelodi Sundowns.
Group G: Manchester City, Wydad, Al Ain, Juventus.
Group H: Real Madrid, Al Hilal, Pachuca, Salzburg.
Fixtures
50-over match
UAE v Lancashire, starts at 10am
Champion County match
MCC v Surrey, four-day match, starting on Sunday, March 24, play starts at 10am
Both matches are at ICC Academy, Dubai Sports City. Admission is free.