UAE energy consumption grows 4% in past six years

Rising energy consumption calls for a more sustainable strategy

Energy usage in the UAE is projected to grow 5% through 2020.
Energy usage in the UAE is projected to grow 5% through 2020.

Energy usage in the UAE has grown at an annual average of 4% over the past six years, and is projected to increase to 5% through 2020, according to a study by management consultancy Strategy&, formerly Booz & Company.

The UAE’s gross domestic electricity consumption has more than doubled over the past ten years, and is expected to grow even more rapidly over the next five years as the country undergoes substantial population and economic growth.

A recent forum organized by the Energy Working Group of the UAE-UK Business Council and facilitated by Strategy&, highlighted three key aspects of energy efficiency which comprise of smart cities, building efficiency and water usage.

Although numerous initiatives have already been launched in the UAE, implementing additional comprehensive measures and policies can help reap the full benefits of an improved energy efficiency strategy, as challenges cannot be overcome in isolation.

The study suggests four strategic priorities that will aid towards implementing a more sustained energy efficient program in the UAE. These consist of:

  • The need for an overarching strategy that joins individual sectors and their respective value chains around a single set of goals and objectives.
  • Ensuring a regulatory framework that addresses demand/market challenges, in order to change behaviors and maximize benefits;
  • Introducing communication and information campaigns to demonstrate the benefits of energy efficiency and obtaining support from all stakeholders including consumers:
  • Identifying and promoting region-specific R&D and technology that will create an innovative ecosystem to help meet energy efficiency goals while also boosting the overall economy.

Per-Ola Karlsson, a senior partner with Strategy&, formerly Booz & Company in Dubai, said : “For decades, the abundance of hydrocarbon resources meant that energy efficiency was not a pressing topic in the UAE. However the steady population and economic growth have changed attitudes.

"Today, sustainability is a critical issue, and the UAE government needs to reinforce its efforts to create a more sustainable future for the country and for generations to come."



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Oil & Gas Middle East - September 2020

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