For the five billion years that our sun has existed, so has solar power. Naturally, our Earth has, ever since its inception some 4.7bn years ago, relied on the sun’s energy. While humans have not been around that long, we too have always relied on the sun. Today, however, we seem to have forgotten the power and significance of this elementary cosmological principle. It is time to remember it.
Relatively speaking, we have only recently found a viable and affordable way to convert solar power into electricity. In this sense, solar has been playing catch-up to the more expedient forms of energy that we have used to heat our homes, fuel our transport systems and power industry and manufacturing in the wake of the industrial revolution. But it has caught up. And it’s time to embrace the modernisation of our innately heliocentric ways.
We need only look at the history of our natural world and its current trajectory to see why. As anyone who has seen David Attenborough's most recent Netflix documentary, A Life on Our Planet, will know that our plants capture 3 trillion kilowatt hours of solar energy each day – that's almost 20 times the energy we need to live, from sunlight alone.
Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, inaugurated Dewa's Innovation Centre. Wam
So why are we looking elsewhere for our energy, when everything we need is already beaming down on us every day?
The answer lies in aligning the financial demands of a globalised world predicated on capitalist models with the needs of the planet. Only when it makes financial sense for investors and venture capitalists will renewable energies, such as solar, become desirable as well as essential.
In this sense, we must find a way to make solar power a currency in its own right. A commodity that is cherished and valued in the same way that fossil fuels and money have been. We have already seen this new kind of currency emerging in the form of Renewable Energy Credits (REC), a system enabled by blockchain technologies that has begun to clearly show the intrinsic value of renewables. To do this, we need to turn the attention of our banks, private equity and venture capital firms to solar.
If we do not take a proactive approach to pitching the benefits of solar to investors, we will lose more of our biodiversity, our climate will grow ever more volatile and our public health, particularly for those who live in cities, will be taken to the precipice. Generating wealth is useful for economic development and social mobility. But what use will that money be if its source is jeopardising the very future it is being saved for?
This point is particularly pertinent in light of a recent Irena report, published in early November that claimed that institutional investors – sitting on an estimated $87tn of global assets – supplied just 2 per cent of investment for renewables in 2017 and 2018.
But the momentum is there. Indeed, European Investment Bank president, Werner Hoyer, said recently at the Finance in Common Summit that diversifying investments into renewable energy sources to curtail planet-warming greenhouse gas emissions is “not only a question of political wishful thinking, but also good economics”. At the same summit, the world’s public development banks pledged to align their investments with the Paris Agreement on climate change. They did not, however, offer any stance on phasing out fossil fuel subsidies.
Knowing solar to be integral to the future we need to build and invest in, the UAE was an early adopter of the power and potential of solar. Guided by the nation’s 2050 Energy Strategy, we have made great strides in our journey to put the sun back at the centre of our world; a point exemplified with two recent examples.
In May 2020, the Dubai Electricity and Water Authority awarded the 900MW photovoltaic fifth phase of the Mohammed bin Rashid Al Maktoum Solar Park to a consortium led by ACWA Power. The consortium’s winning tariff of $1.7/kWh setting was at the time a new global benchmark for solar energy. Then, two months later, the 2GW Al Dhafra solar project in Abu Dhabi was awarded to a French-Chinese bidder consortium of EDF Renewables and Jinko Power Technology Co, Ltd at a bid of $1.35 per kilowatt-hour, setting a new global benchmark.
This means that solar energy is no longer just a competitive option. It is now the most affordable and goes a long way to fulfilling the promise that renewable energy sources will eventually become the most cost-effective means of energy production. And in the days ahead, as we build back better from the coronavirus pandemic fallout, we have a chance to restructure our economies with solar at the centre.
Economic analysts surveyed in a Reuters poll suggested that the GCC states will begin to rebound and rebuild in 2021, having been hit particularly hard by Covid-19’s impact on oil demand and prices.
A customer sits on a display chair to use his laptop while shopping in an Ikea store in Riyadh, Saudi Arabia, on Tuesday, May 19. 2020. Bloomberg
A customer wears a protective face mask while shopping in an Ikea store in Riyadh, Saudi Arabia, on Tuesday, May 19. 2020. Bloomberg
Muslims pray during the Muslim holy night of Laylat Al Qadr while practicing social distancing, following the outbreak of the coronavirus, at the Grand Mosque in Mecca, Saudi Arabia May 19, 2020. Saudi Press Agency/Handout via Reuters
Empty seats and tables are seen in a restaurant after its reopening at 30 per cent capacity in Dubai, United Arab Emirates on May 13, 2020. Reuters
Triathlete Brett Hallam trains at the Al Qudra Cycling Track on May 14, 2020 in Abu Dhabi, United Arab Emirates. Getty Images
Local Bahraini Mixed Martial Arts (MMA) fighter, Dawood Javed, trains for MMA Championship at his building's basement car park, following the outbreak of the coronavirus, in Manama, Bahrain, May 17, 2020. Reuters
Youths ride a scooter past a home with a stuffed gorilla outside wearing a face mask with a sign reading in Arabic "I, the gorilla, wore a mask, why don't you wear (one)?", in Hamad Town, south of Bahrain's capital Manama on May 19, 2020. AFP
Mask-clad residents walk in a neighbourhood of Kuwait City on May 12, 2020, as authorities allowed people to exercise for two hours under a nationwide lockdown due to the coronavirus pandemic. AFP
Shops are closed at the Mubarakiya market in Kuwait city during the 20-day nationwide lockdown due to the coronavirus pandemic, on May 11, 2020. AFP
A man wearing latex gloves and a mask, due to the coronavirus pandemic, checks airline tickets and travel documents while behind him Indian nationals residing in Oman queue with their luggage in Muscat International Airport ahead of their repatriation flight from the Omani capital, on May 12, 2020. AFP
Indian nationals residing in Oman, wearing face masks due to the coronavirus pandemic, have their body temperatures measured at a terminal in Muscat International Airport ahead of their repatriation flight from the Omani capital, on May 12, 2020. AFP
If we do not take a proactive approach to pitching the benefits of solar to investors, we will lose more of our biodiversity
As further context, a 2019 S&P report warned that the Middle East’s solar ambitions could burn out early due to “slowing energy demand growth” and an uncertain economic outlook that has seen investors to holding back. Indeed, according to S&P’s Global Platts Analytics, annual Middle East power demand will grow by an average 2.3 per cent over the next five years, down from 3.4 per cent for 2013 to 2018.
Yet, this is no reason to think that solar cannot cover this decrease in demand. On the contrary, as we witnessed from many nations including the UK, Germany and France, during the peak of the pandemic, when overall energy consumption levels plummeted, solar and other renewable sources stepped in to offer a more cost-effective option for maintaining the grid at a time when demand reached its nadir.
In the next 20 years, renewables are expected to become the world’s main source of power. And if, like the earliest human civilisations that positioned their buildings to face south to gather heat and light, we embrace solar architecture, we can begin to return our planet to its natural balance. And unlike other forms of energy, this kind will never run out.
Dr Nawal Al-Hosany is a permanent representative of the UAE to the International Renewable Energy Agency
Our legal columnist
Name: Yousef Al Bahar
Advocate at Al Bahar & Associate Advocates and Legal Consultants, established in 1994
Education: Mr Al Bahar was born in 1979 and graduated in 2008 from the Judicial Institute. He took after his father, who was one of the first Emirati lawyers
The Sinopharm vaccine was created using techniques that have been around for decades.
“This is an inactivated vaccine. Simply what it means is that the virus is taken, cultured and inactivated," said Dr Nawal Al Kaabi, chair of the UAE's National Covid-19 Clinical Management Committee.
"What is left is a skeleton of the virus so it looks like a virus, but it is not live."
This is then injected into the body.
"The body will recognise it and form antibodies but because it is inactive, we will need more than one dose. The body will not develop immunity with one dose," she said.
"You have to be exposed more than one time to what we call the antigen."
The vaccine should offer protection for at least months, but no one knows how long beyond that.
Dr Al Kaabi said early vaccine volunteers in China were given shots last spring and still have antibodies today.
“Since it is inactivated, it will not last forever," she said.
Winner: Celtic Prince, David Liska (jockey), Rashed Bouresly (trainer).
7.05pm: Conditions Dh240,000 (D) 1,600m
Winner: Commanding, Richard Mullen, Satish Seemar.
7.40pm: Handicap Dh190,000 (D) 2,000m
Winner: Grand Argentier, Pat Dobbs, Doug Watson.
8.15pm: Handicap Dh170,000 (D) 2,200m
Winner: Arch Gold, Sam Hitchcott, Doug Watson.
8.50pm: The Entisar Listed Dh265,000 (D) 2,000m
Winner: Military Law, Antonio Fresu, Musabah Al Muhairi.
9.25pm: The Garhoud Sprint Listed Dh265,000 (D) 1,200m
Winner: Ibn Malik, Dane O’Neill, Musabah Al Muhairi.
10pm: Handicap Dh185,000 (D) 1,400m
Winner: Midnight Sands, Pat Dobbs, Doug Watson.
Key figures in the life of the fort
Sheikh Dhiyab bin Isa (ruled 1761-1793) Built Qasr Al Hosn as a watchtower to guard over the only freshwater well on Abu Dhabi island.
Sheikh Shakhbut bin Dhiyab (ruled 1793-1816) Expanded the tower into a small fort and transferred his ruling place of residence from Liwa Oasis to the fort on the island.
Sheikh Tahnoon bin Shakhbut (ruled 1818-1833) Expanded Qasr Al Hosn further as Abu Dhabi grew from a small village of palm huts to a town of more than 5,000 inhabitants.
Sheikh Khalifa bin Shakhbut (ruled 1833-1845) Repaired and fortified the fort.
Sheikh Saeed bin Tahnoon (ruled 1845-1855) Turned Qasr Al Hosn into a strong two-storied structure.
Sheikh Zayed bin Khalifa (ruled 1855-1909) Expanded Qasr Al Hosn further to reflect the emirate's increasing prominence.
Sheikh Shakhbut bin Sultan (ruled 1928-1966) Renovated and enlarged Qasr Al Hosn, adding a decorative arch and two new villas.
Sheikh Zayed bin Sultan (ruled 1966-2004) Moved the royal residence to Al Manhal palace and kept his diwan at Qasr Al Hosn.
Starring: Ramy Youssef, Steve Carell, Jason Schwartzman
Director: Jesse Armstrong
Rating: 3.5/5
The National Archives, Abu Dhabi
Founded over 50 years ago, the National Archives collects valuable historical material relating to the UAE, and is the oldest and richest archive relating to the Arabian Gulf.
Much of the material can be viewed on line at the Arabian Gulf Digital Archive - https://www.agda.ae/en
MATCH INFO
What: 2006 World Cup quarter-final When: July 1 Where: Gelsenkirchen Stadium, Gelsenkirchen, Germany
Result:
England 0 Portugal 0
(Portugal win 3-1 on penalties)
Lexus LX700h specs
Engine: 3.4-litre twin-turbo V6 plus supplementary electric motor
Power: 464hp at 5,200rpm
Torque: 790Nm from 2,000-3,600rpm
Transmission: 10-speed auto
Fuel consumption: 11.7L/100km
On sale: Now
Price: From Dh590,000
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.”
The utilitarian robe held dear by Arab women is undergoing a change that reveals it as an elegant and graceful garment available in a range of colours and fabrics, while retaining its traditional appeal.
A comparison of sending Dh20,000 from the UAE using two different routes at the same time - the first direct from a UAE bank to a bank in Germany, and the second from the same UAE bank via an online platform to Germany - found key differences in cost and speed. The transfers were both initiated on January 30.
Route 1: bank transfer
The UAE bank charged Dh152.25 for the Dh20,000 transfer. On top of that, their exchange rate margin added a difference of around Dh415, compared with the mid-market rate.
Total cost: Dh567.25 - around 2.9 per cent of the total amount
Total received: €4,670.30
Route 2: online platform
The UAE bank’s charge for sending Dh20,000 to a UK dirham-denominated account was Dh2.10. The exchange rate margin cost was Dh60, plus a Dh12 fee.
Total cost: Dh74.10, around 0.4 per cent of the transaction
Total received: €4,756
The UAE bank transfer was far quicker – around two to three working days, while the online platform took around four to five days, but was considerably cheaper. In the online platform transfer, the funds were also exposed to currency risk during the period it took for them to arrive.
