• Diving centres in Sharm El Sheikh are helping to rejuvenate the Red Sea’s ecosystem with clean-up initiatives. All photos: Mahmoud Nasr / The National
    Diving centres in Sharm El Sheikh are helping to rejuvenate the Red Sea’s ecosystem with clean-up initiatives. All photos: Mahmoud Nasr / The National
  • A memorial in Sharm El Sheikh.
    A memorial in Sharm El Sheikh.
  • People gather at the old part of Sharm El Sheikh.
    People gather at the old part of Sharm El Sheikh.
  • A dog admires the city, which is undergoing a major transformation before hosting Cop27 in November.
    A dog admires the city, which is undergoing a major transformation before hosting Cop27 in November.
  • Tourists are beginning to return after a long Covid-19 layoff.
    Tourists are beginning to return after a long Covid-19 layoff.
  • Sharm El Sheikh is on the Red Sea coast.
    Sharm El Sheikh is on the Red Sea coast.
  • Much is being spent to upgrade its infrastructure.
    Much is being spent to upgrade its infrastructure.
  • Impressive landscapes surround Sharm El Sheikh.
    Impressive landscapes surround Sharm El Sheikh.
  • The calm waters of Sharm El Sheikh at night.
    The calm waters of Sharm El Sheikh at night.
  • Building work is breathing new life into the city.
    Building work is breathing new life into the city.

Sharm El Sheikh faces eco question as Egypt prepares for Cop27 climate conference


Kamal Tabikha
  • English
  • Arabic

Decades of mass tourism have taken a toll on the waters, coral reefs and natural spaces of Egypt’s most popular resort city.

Now, as Sharm El Sheikh gears up to host the Cop27 climate change conference in November, preparations have brought much-needed development for the beach town, which suffered a slump in tourism when the Covid-19 pandemic struck.

But locals are apprehensive about an anticipated increase in global interest in the tourist destination after Cop27.

Some worry the crowd will further damage the fragile ecosystem surrounding the Red Sea.

The National spoke to some of the city’s local diving instructors, who see first hand the state of the Red Sea’s ecosystem and the damage it has sustained over the years because of tourism.

“Sharm has some of the most beautiful diving spots in the world, no question. But what you have to keep in mind is that the majority of its tourists don’t come here for the diving,” said Sherif Khairat, head of technical diving at Circle Divers, a prolific centre in the area which organises regular clean-up initiatives in the Red Sea.

“Most people come for the nightlife or the beach, and they’re on vacation, they treat the city like any other beach resort they have been to, which is not right because it is truly unique.”

Sharm El Sheikh will host the Cop27 climate summit. Mahmoud Nasr / The National
Sharm El Sheikh will host the Cop27 climate summit. Mahmoud Nasr / The National

Mr Khairat said before president Hosni Mubarak was ousted in 2011, the city was not accessible to a large portion of Egyptians, mainly lower-paid citizens who were kept away by high pricing schemes.

However, in the politically unstable years between Mubarak’s removal and the election of President Abdel Fattah El Sisi in 2014, the city began to open to a larger segment of the populace, making it much more crowded than it once was, which Mr Khairat said had a direct effect on the deterioration of the city’s environment.

“The trick is that we as Egyptians are not raised with an awareness of the environment and how to preserve it,” he said.

“This is why I think that the top priority for the government with Cop27 is to set a good example for the citizens and educate them that their actions have consequences for the world around them.”

In response to increasing amounts of plastic waste thrown into the Red Sea by tourists, in 2019 the city’s municipal authorities banned the use of single-use plastics.

Diving centres in Sharm El Sheikh undertake clean-up initiatives to save the Red Sea’s ecosystem. Photo: Jovana Milanko
Diving centres in Sharm El Sheikh undertake clean-up initiatives to save the Red Sea’s ecosystem. Photo: Jovana Milanko

Circle Divers is one of several diving centres in the city that organises regular clean-up efforts in the sea. However, it is not enough to resolve the problem.

Like Mr Khairat, the city’s more environmentally minded residents are hoping that sustainability mandates announced by the government ahead of the conference will bear fruit. But many of them are unsure whether the strategies will be enforced after the conference closes.

“Rules are nothing without enforcement,” Mr Khairat said. “We already have signs everywhere asking people politely to not throw their garbage in the sea or feed the fish. They don’t listen a lot of the time and they are not reprimanded, because tourists are valuable in Sharm, which creates a little bit of a conflict of interest.”

On the other hand, many of the city’s residents admit to being more excited by a potential boost in tourism after Cop27 than they are about a greener future for the city.

“Sharm El Sheikh is nothing without tourists in it,” said Mohamed Hashem, 34, a coffee shop attendant in the city.

The pedestrian area at Naama Bay in the Red Sea resort of Sharm El Sheikh, Egypt, June 3, 2022. Reuters
The pedestrian area at Naama Bay in the Red Sea resort of Sharm El Sheikh, Egypt, June 3, 2022. Reuters

“The city has had quite a dramatic history compared with other tourist destinations in Egypt. Whether it’s terror attacks like the downing of the Russian plane in 2015 or the regular droughts in the tourism markets because of international crises, there is always something that sets us back here.

"The hope is that this conference will establish a blank slate for Sharm and maybe lead to more steady business.”

Meanwhile, others among the city’s workers are happy that their financial interests are aligned with a more sustainable future for the city.

“I think it was very intelligent of President El Sisi to combine all of the nation’s interests into one event,” said Ali Ibrahim, 58, a resident of the coastal city.

“On the one hand you’ve got the environmentalism stuff that is the talk of the whole world right now. On the other hand, it is a perfect opportunity to put Egypt and Sharm El Sheikh in the international spotlight, which will inevitably result in a boost in tourism.”

Sharm El Sheikh is undergoing one of its most extensive makeovers in preparation for the conference, with several projects under way, including two additional solar power plants, a number of charging stations for electric vehicles, a large-scale road-widening project and the establishment of a 12.5-hectare central park.

Cop27 takes place from November 7-18.

COMPANY%20PROFILE%20
%3Cp%3E%3Cstrong%3EName%3A%3C%2Fstrong%3E%20Haltia.ai%0D%3Cbr%3E%3Cstrong%3EStarted%3A%3C%2Fstrong%3E%202023%0D%3Cbr%3E%3Cstrong%3ECo-founders%3A%3C%2Fstrong%3E%20Arto%20Bendiken%20and%20Talal%20Thabet%0D%3Cbr%3E%3Cstrong%3EBased%3A%3C%2Fstrong%3E%20Dubai%2C%20UAE%0D%3Cbr%3E%3Cstrong%3EIndustry%3A%3C%2Fstrong%3E%20AI%0D%3Cbr%3E%3Cstrong%3ENumber%20of%20employees%3A%3C%2Fstrong%3E%2041%0D%3Cbr%3E%3Cstrong%3EFunding%3A%3C%2Fstrong%3E%20About%20%241.7%20million%0D%3Cbr%3E%3Cstrong%3EInvestors%3A%3C%2Fstrong%3E%20Self%2C%20family%20and%20friends%26nbsp%3B%3C%2Fp%3E%0A

Mountain Classification Tour de France after Stage 8 on Saturday: 

  • 1. Lilian Calmejane (France / Direct Energie) 11
  • 2. Fabio Aru (Italy / Astana) 10
  • 3. Daniel Martin (Ireland / Quick-Step) 8
  • 4. Robert Gesink (Netherlands / LottoNL) 8
  • 5. Warren Barguil (France / Sunweb) 7
  • 6. Chris Froome (Britain / Team Sky) 6
  • 7. Guillaume Martin (France / Wanty) 6
  • 8. Jan Bakelants (Belgium / AG2R) 5
  • 9. Serge Pauwels (Belgium / Dimension Data) 5
  • 10. Richie Porte (Australia / BMC Racing) 4
Avatar: Fire and Ash

Director: James Cameron

Starring: Sam Worthington, Sigourney Weaver, Zoe Saldana

Rating: 4.5/5

Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

The years Ramadan fell in May

1987

1954

1921

1888

Specs
Engine: Electric motor generating 54.2kWh (Cooper SE and Aceman SE), 64.6kW (Countryman All4 SE)
Power: 218hp (Cooper and Aceman), 313hp (Countryman)
Torque: 330Nm (Cooper and Aceman), 494Nm (Countryman)
On sale: Now
Price: From Dh158,000 (Cooper), Dh168,000 (Aceman), Dh190,000 (Countryman)
SPECS

Engine: 4-litre V8 twin-turbo
Power: 630hp
Torque: 850Nm
Transmission: 8-speed Tiptronic automatic
Price: From Dh599,000
On sale: Now

The specs

Engine: 8.0-litre, quad-turbo 16-cylinder

Transmission: 7-speed auto

0-100kmh 2.3 seconds

0-200kmh 5.5 seconds

0-300kmh 11.6 seconds

Power: 1500hp

Torque: 1600Nm

Price: Dh13,400,000

On sale: now

GOLF’S RAHMBO

- 5 wins in 22 months as pro
- Three wins in past 10 starts
- 45 pro starts worldwide: 5 wins, 17 top 5s
- Ranked 551th in world on debut, now No 4 (was No 2 earlier this year)
- 5th player in last 30 years to win 3 European Tour and 2 PGA Tour titles before age 24 (Woods, Garcia, McIlroy, Spieth)

Updated: June 08, 2023, 5:25 AM