Britain has been in talks with the UAE, which has been chosen to host Cop28, the annual UN climate conference, in 2023. Getty
Britain has been in talks with the UAE, which has been chosen to host Cop28, the annual UN climate conference, in 2023. Getty
Britain has been in talks with the UAE, which has been chosen to host Cop28, the annual UN climate conference, in 2023. Getty
Britain has been in talks with the UAE, which has been chosen to host Cop28, the annual UN climate conference, in 2023. Getty

Alok Sharma: Cop26 'just words on a page' unless promises delivered


Thomas Harding
  • English
  • Arabic

The historic commitments made at the Cop26 conference on climate change will remain "just words on a page” unless countries deliver on promises they made, Britain’s climate chief has said in a hard-hitting speech.

In his first pronouncement since the Glasgow conference in November, Alok Sharma will urge the 200 countries that signed the Glasgow Climate Pact to make the changes required to ensure temperatures climbing above 1.5°C “do not slip from our grasp”.

The UK’s Cop26 president has also spoken to the UAE’s and Egypt’s climate representatives to help preparations for their climate conferences over the coming two years.

“There is no doubt that the commitments we secured at Cop26 were historic,” Mr Sharma said in his speech at the Chatham House think tank in London on Monday.

“Yet at the moment they are just words on a page and unless we honour the promises made, to turn the commitments in the Glasgow Climate Pact into action, they will wither on the vine.

“We will have mitigated no risks. Seized no opportunities. We will have fractured the trust built between nations. And 1.5°C will slip from our grasp.”

Despite the current threat of war between Russia and Ukraine, the world still needed to unite in “collective self-interest” to combat global warming, he said.

Glasgow had demonstrated “that climate can create a space for co-operation amongst the splintered global politics” showing that the world “can work together to improve our common future to address major global challenges and to seize opportunities”.

He referred to the apocalyptic Netflix film Don’t Look Up, in which an asteroid destroys Earth. “The final line has stayed with me: 'We really did have everything, didn’t we?' We do have everything," he said. "And we must not throw it away. There is no more time to ‘sit tight and assess’. We must deliver.”

Mr Sharma, who last year told The National that climate change was the world’s biggest security risk, outlined Britain’s priorities that include ensuring countries understand it was in their own interest to work together on climate change.

The politician wants to turn the conference’s “ambition into action”, insisting that the world must maintain the urgency and the energy to honour promises made before Cop27 in Sharm El Sheikh in November.

The key is keeping to the agreements to reduce carbon emissions to ensure temperature rises do not exceed 1.5°C, Mr Sharma said. He wants countries to deliver on their net zero commitments and 2030 emissions reduction targets, particularly ending coal power, halting deforestation and transitioning to clean vehicles.

Alok Sharma, Cop26 president, at Expo Dubai 2020. He says promises must be fulfilled to ensure climate change remains stable. Pawan Singh / The National
Alok Sharma, Cop26 president, at Expo Dubai 2020. He says promises must be fulfilled to ensure climate change remains stable. Pawan Singh / The National

Britain also wants international financial institutions to deliver on the $100 billion commitments to help developing countries transition to renewable energy.

Mr Sharma has promised towork hand-in-hand” with Egypt and UAE’s Cop27 and Cop 28 presidents, respectively, to deliver on the priorities and keep climate at the top of the international agenda.

“At Cop26 itself almost 200 countries came together and agreed the historic Glasgow Climate Pact,” Mr Sharma said.

“In doing so they demonstrated that climate can create a space for co-operation amid a splintered global politics, that the world can work together to improve our common future, to address major global challenges and to seize opportunities.”

He argued that clean energy was now competitive and that the “global race to supply the technologies and solutions a net-zero world needs is on”.

“The train is pulling out of the station and countries and companies that want to remain competitive need to leap on now,” he said.

That was why the private sector is now no longer interested in investing in coal. “They can see it is the direction of travel, they can see that they're going to end up with potentially stranded assets.”

Britain will seek to ensure that countries honour commitments made to poorer nations vulnerable to climate change, particularly those at risk of rising sea levels, and to double financing by 2025.

“The Glasgow Climate Pact was a product of international co-operation and a practical demonstration of Global Britain in action,” Mr Sharma said. “So my absolute focus for the UK presidency year is delivery.”

Mr Sharma is expected to undertake further meetings with his UAE and Egypt counterparts this year to build strong partnerships.

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2012-2015

The company offers payments/bribes to win key contracts in the Middle East

May 2017

The UK SFO officially opens investigation into Petrofac’s use of agents, corruption, and potential bribery to secure contracts

September 2021

Petrofac pleads guilty to seven counts of failing to prevent bribery under the UK Bribery Act

October 2021

Court fines Petrofac £77 million for bribery. Former executive receives a two-year suspended sentence 

December 2024

Petrofac enters into comprehensive restructuring to strengthen the financial position of the group

May 2025

The High Court of England and Wales approves the company’s restructuring plan

July 2025

The Court of Appeal issues a judgment challenging parts of the restructuring plan

August 2025

Petrofac issues a business update to execute the restructuring and confirms it will appeal the Court of Appeal decision

October 2025

Petrofac loses a major TenneT offshore wind contract worth €13 billion. Holding company files for administration in the UK. Petrofac delisted from the London Stock Exchange

November 2025

180 Petrofac employees laid off in the UAE

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Install an air filter in your home.

Close your windows and turn on the AC.

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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

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Name: Hassan Mohsen Elhais

Position: legal consultant with Al Rowaad Advocates and Legal Consultants

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

England's lowest Test innings

- 45 v Australia in Sydney, January 28, 1887

- 46 v West Indies in Port of Spain, March 25, 1994

- 51 v West Indies in Kingston, February 4, 2009

- 52 v Australia at The Oval, August 14, 1948

- 53 v Australia at Lord's, July 16, 1888

- 58 v New Zealand in Auckland, March 22, 2018

Updated: January 24, 2022, 2:00 PM