GHD and Fraunhofer Cluster of Excellence Integrated Energy Systems CINES have partnered with the UAE Ministry of Energy and Infrastructure (MOEI) to deliver a comprehensive National Hydrogen Strategy.

The project was commissioned by the government of the UAE; the strategy is said to be built around the UAE’s vision to become a leading global producer of low-carbon hydrogen by its 60th anniversary in 2031.

The strategy sets a goal of leveraging the country’s abundant natural gas reserves, high solar radiance, and favourable position as a global energy and business hub. With the added advantage of substantial financial resources and a high credit rating, the UAE is well-positioned to become a global leader in low-carbon hydrogen production. The strategy is a fact-based analysis that evaluates the opportunities and challenges associated with establishing a hydrogen-based economy in the UAE, and has been endorsed by the MOEI.

A partnership between GHD and Fraunhofer was formed to ensure the successful delivery of this project. In addition to liaising with stakeholders to co-design the strategic framework, GHD gathered stakeholder insights including ongoing projects, planned initiatives, enablers, and worked with MOEI to develop a roadmap for establishing the UAE hydrogen economy, a statement from GHD noted.

“Hydrogen has the potential to play an important role in the UAE’s transition to a low-carbon economy. We are committed to implementing the National Hydrogen Strategy to unlock opportunities and benefits and achieve our net-zero target. Our goal is to establish the UAE as a leader in the global hydrogen market, create new economic opportunities and contribute to a more sustainable future for all,” explained His Excellency Eng Sharif Al Olama, MOEI’s Undersecretary for Energy and Petroleum Affairs.

The partnership is said to have also incorporated Fraunhofer’s technical parameters derived from its HYPAT – Hydrogen Potential Atlas project, along with extensive research from primary and secondary literature sources, to ensure the accuracy of the data on hydrogen production and domestic forecasted targets. The combined expertise and experience of GHD and Fraunhofer played a pivotal role in the successful delivery of their project and contributed to positioning the UAE as a frontrunner in hydrogen development and drive sustainable growth and advancements in the field, the statement added.

The strategy sets the stage for the nation’s ambitious hydrogen goals, with the next milestone being the development of a Low Carbon Hydrogen policy.

The National Hydrogen Strategy presents several key highlights, which include:

• Exponential hydrogen production growth: The strategy targets a production of 1.4m tonnes per annum of low-emission hydrogen by 2031, out of which 71.4% will be green hydrogen. By 2050, the country aims to increase production tenfold to reach 15m tonnes per annum.
• Green job creation: The strategy sets a target of creating thousands of new green jobs by 2031. This initiative not only drives economic growth but also contributes to developing a skilled workforce in the renewable energy sector.
• Hydrogen infrastructure expansion: The UAE plans to establish two hydrogen oases (hubs) by 2031 to support the hydrogen economy. Additionally, a hydrogen centre for research and development will be set up by 2031, with the vision of transforming it into a globally recognised innovation centre for hydrogen by 2050.

Thomas Evans, Executive Advisor at GHD added, “Building a successful hydrogen economy requires multiple complex enablers to come together, including infrastructure, a skilled workforce, and a clear and consistent policy environment. GHD is committed to unlocking sustainable pathways to net-zero, and developing a hydrogen economy is a critical part of the broader decarbonisation puzzle.”

Dr Jan Frederik Braun, Head of Hydrogen Cooperation (MENA Region) at Fraunhofer CINES concluded, “This hydrogen strategy, which has been developed together with all key hydrogen and energy stakeholders in the UAE considers all aspects of the hydrogen value chain: production, distribution and usage. The UAE’s opportunities to create value in the emerging global hydrogen market will lie in its ability to produce innovative and competitive hydrogen-based end products along the entire value chain. As Europe’s largest applied research organisation, Fraunhofer has the expertise and experience to develop and test hydrogen technologies for industrial partners in the UAE and bring them to market.”

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A Memorandum of Understanding (MoU) has been signed by Oman and Etihad Rail Company (OERC) with integrated steel producer Jindal Shadeed Iron & Steel (Jindal). The deal will see the establishment of a sustainable, end-to-end transport logistics solution between Jindal’s steel complex at Sohar Port and the United Arab Emirates (UAE), via the UAE-Oman Rail Network.

According to a statement, the deal is part of OERC’s (the developer and operator of the UAE-Oman Rail Network) commitment to providing efficient and cost-effective logistics solutions for major global players across different sectors.

The MoU will allow Jindal to annually transport up to four million tons of raw materials and finished products from its steel complex at Sohar Port to the UAE’s industrial markets. Under the terms of the agreement, OERC will leverage its state-of-the-art rail network to support Jindal in optimising operational integration through facilitated loading and unloading processes, while guaranteeing rolling stock and facilities’ requirements of iron ore and steel.

“Our partnership with Jindal Shadeed Group reinforces Oman and Etihad Rail Company’s commitment to improving logistics services to meet the future needs and expectations of our customers by providing comprehensive solutions and stimulating the growth of various industrial sectors within Oman and the UAE. Furthermore, the MoU will enable Jindal to enhance its supply chain efficiency, benefiting from the UAE-Oman Rail Network’s fast, cost-effective, and sustainable services,” said Mohammed bin Zahran Al Mahrouqi, Deputy CEO of OERC.

Through this collaboration, Jindal will not only streamline its transportation and logistics operations, but also further advance its sustainability objectives and strengthen its green value chain. OERC will ensure an environmentally friendly transportation and logistics solution through the Oman-UAE Rail Network, and thus, contribute to the reduction of CO2 emissions in Oman and the UAE, in line with their national goals of Net Zero carbon emissions by 2050, the statement noted.

Harsha Shetty, CEO of Jindal added, “This is an important milestone for our company as we look forward to further expanding the reach of our high-quality, industry-leading products in the region and beyond. Our ability to seamlessly transport nearly four million tons of raw materials will greatly help us in our operations, supporting our ambition to reduce our carbon footprint. We are very proud of our partnership with this national strategic project that will bring enormous economic and social returns to both the Sultanate of Oman and the UAE, whilst also emphasizing the region’s competitive advantage as a logistics hub.”

OERC has recently entered several commercial and investment partnerships with major international players in various industrial sectors to provide innovative logistics solutions and facilities, opening new corridors for economic cooperation, and unlocking promising opportunities for sustainable economic growth in Oman, the UAE, and the wider region, the statement concluded.

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Significant progress has been made on phase one of The Red Sea Destination according to developer Red Sea Global (RSG). Releasing a comprehensive update on construction progress, the firm said that this month marks six years since project was first announced by His Royal Highness the Saudi Crown Prince Mohammad bin Salman as an international tourist destination as part of the Kingdom’s 2030 Vision.

Now, with The Red Sea’s first three hotels and phase one of the international airport on track to open later this year, its latest construction update reveals the remarkable progress achieved across the destination, including at a further 13 hotels and on the supporting infrastructure, the firm said in a statement.

“We stand at the brink of an extraordinary moment as we prepare to unveil The Red Sea destination to the world. In six years, we have made exceptional progress, creating exquisite resorts and best-in-class, sustainable infrastructure in a remote location, demonstrating innovation in line with our regenerative approach and commitment to responsible development,” said John Pagano, Group CEO at Red Sea Global.

He added, “While the anticipation builds for the opening of our first hotels and the initial phase of our solar powered airport, we are busy working on the rest of phase one. We are ready to deliver countless more extraordinary moments on our journey to positioning Saudi Arabia proudly on the world stage as a must-visit destination.”

Sharing an update on resort construction, RSG said that Desert Rock – a unique mountain resort being built into the rockface – is more than 50% complete overall. The developer notes it has fully excavated and formed the 10 rooms integrated into the mountainside, as well as all 195m of tunnelling. Major structural and infrastructure works are well advanced, including the construction of the wadi villas, guest hubs, back of house, and other structures, the developer added.

Work is ongoing on all 11 resorts and infrastructure across Shura Island. Over 100 construction contracts are in place, with a similar number out in the market for tender. RSG continues to maximise use of off-site manufacturing with precast structures progressing rapidly, bathroom pod deliveries underway, and the prefabricated timber structure on the Golf Clubhouse nearing completion. The developer is moving onto beach formation and beautification works which includes the creation of new mangrove habitats in the coming months, the statement explained.

Highlighting progress on Sheybarah Island, RSG pointed out it has installed all 38 stainless steel overwater villas. While the first overwater villa took nine hours to install, the developer perfected this process, so that it now requires less than two hours. The first beach villas have arrived at the island, one of which has successfully been installed. The developer is also making substantial progress on other front and back of house structures and infrastructure, including foundation work on the spa and two specialized restaurants, it stated.

Discussing infrastructure, RSG said that the Start-Up Distribution Centre and Start-Up Transportation Hub are being completed to provide operational logistic facilities ahead of the opening of the first hotels. Already, more than 150 trucks of materials and 2,000 people are transported to the various offshore projects each day. The Red Sea International Airport is progressing as planned and is on track to start receiving its first domestic flights later this year, the firm remarked.

Last week, RSG fully installed more than 760,000 photovoltaic panels, needed to power phase one of The Red Sea. One of its five solar farms is located near Six Senses Southern Dunes, The Red Sea, which will be the first hotel to open at The Red Sea in the coming months. The utilities at the resort are already being powered by the solar farm. There are now more than 25,000 personnel working at the destination, delivering at pace across The Red Sea, it added.

Upon full completion in 2030, the destination will comprise 50 resorts, offering up to 8,000 hotel rooms and more than 1,000 residential properties across 22 islands and six inland sites. The destination will also include luxury marinas, golf courses, entertainment, F&B, and leisure facilities, the statement concluded.

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In a bid to improve road travel between Addis Ababa and Djibouti, the International Development Association (IDA) will lend Ethiopia US $720mn to develop necessary infrastructure.

The financial package aims to improve the flow of goods and people between Addis and Djibouti, Ethiopia’s main outlet to the Indian Ocean and world markets. Around 95% of Ethiopia’s external trade is said to use the Djibouti corridor. The IDA is the division of the World Bank that deals with very impoverished countries.

The World Bank notes that the initiative will be “a catalyst for commerce, assisting businesses to trim their overheads and strengthen linkages to regional and global value chains”.

“This project is important to support our commitment to fostering inclusive growth and regional integration, as we are now fully focused on sustaining the growth and reaping the peace dividends,” stated Ahmed Shide, Ethiopia’s Finance Minister.

The project will see a 150km dirt road between Mieso and Dire Dawa become a four-lane highway. At present, trucks are unable to use this road and must use a different route on the A10. The project also includes: logistics facilities, freight truck terminals, and secondary roads to connect towns and villages to the main corridor.

Boutheina Guermazi, a World Bank Director for regional integration, added that the programme was “one of the priority operations that we are supporting in the Horn to help connect hinterland to ports and markets, and to increase opportunities for regional trade”.

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Red Sea Global (RSG) has opened its first mangrove nursery, which will support the developer’s goal to plant 50m mangrove trees by 2030. The initiative is said to closely align with the national objectives of the Saudi Green Initiative and RSG’s commitment to conserving and revitalising the Kingdom’s Red Sea coast, underpinned by an overarching ambition to deliver a 30% net conservation benefit by 2040.

The seedlings will be cared for in the nursery for approximately eight months until they grow to 80cm, at which point they will be carefully transplanted in designated mangrove parks within the destination. RSG’s experts chose to cultivate native mangrove species to increase the chances of survival, such as the Rhizophora Mucronate (red mangrove) and the Avicenna Marina (gray mangrove), the statement noted.

“We hold the utmost respect for the environment in which we operate and recognise it as our most valuable asset. It is our shared obligation to not only safeguard it but also proactively enhance it wherever possible. The successful opening of our Mangrove Nursery is a testament to that unyielding dedication to the preservation and rejuvenation of the Red Sea coastline,” said John Pagano, Group CEO at Red Sea Global.

He added, “While we will continue to explore novel approaches, embrace cutting-edge methodologies, and utilise innovative technology, often nature already provides the greatest solutions. The power of mangrove forests to store carbon, to manage flooding and stabilise coastlines, and to provide shelter for fish and other organisms, makes them one of nature’s super ecosystems. Our Mangrove Nursery will increase numbers of mangroves and boost biodiversity, ensuring we reach the environmental ambitions we have set ourselves.”

Raed Albasseet, Group Chief Environment and Sustainability Officer at RSG added, “The establishment of a sustainable mangrove ecosystem is a key part of our commitment to protect and enhance the natural environment of our destination. These trees are among the most efficient tools we have for carbon sequestration, with the capacity to absorb up to 5-10 times more carbon than other plants. Coupled with the positive impact on biodiversity, the successful cultivation of seedlings forms a central pillar in our ambition to achieve a 30% net conservation benefit across our destinations. I speak for the entire team when I express my pride in reaching this milestone moment for our organisation.”

Mangrove nurseries must also be protected from natural threats in their own habitats such as storms, extreme high tides, grazing animals, and algae that feed on them. RSG has implemented the highest measures of protection for the nursery to minimize any harm to the seedlings. The dedicated mangrove parks will soon form part of the guest experience, being open for visitors to explore and learn more about the important role they play in natural ecosystems, the developer stated.

Tarik Alabbasi, Environmental Programs Director at RSG remarked, “The process of the cultivation and transplantation of mangrove trees is highly technical requiring significant planning and proficiency. Since mangrove forests require water to survive, nurseries are typically located near a source of water within the intertidal zone to ensure the optimal growth of the seedlings. We need to carefully track the tide cycles to find periods of low tide in addition to consistently monitoring the weather to avoid windy days.”

The establishment of the mangrove nursery is the latest initiative launched by RSG to protect and enhance key habitats crucial to biodiversity. Previous projects include the first-ever successful transplantation of native Doum Palm Trees, achieved earlier this year, and the establishment of pioneering floating coral nurseries to help expand the region’s coral reefs. The group also regularly conducts environmental surveys of wildlife ecosystems to track impacts and improvements, to optimize its approach, and ensure it reaches its regenerative goals, the statement outlined.

The Red Sea destination is on track to welcome its first guests this year, when the international airport and the first hotels will open. Amaala will be opened to visitors soon after in 2024, the developer concluded.

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Samana Developers has launched its US $58.53m ‘California’ residential project in Al Furjan, a project headed by master developer Nakheel Properties.

The developer said it has a target to launch 12 projects by the end of 2023, and the G+P+10+Roof California is the sixth project launched by the developer in H1 2023. The new residences are inspired by the vibrant lifestyle of the state of California, a lifestyle reflected in every aspect of the design, features and amenities. The project has already seen strong commercial appeal, being 90% sold out within a few days of the launch.

The project spans 254,000sqft, offering 178 apartments. The units include 60 studio apartments with private pools, 76 one-bedroom apartments with private pools, 32 two-bedroom apartments, and 10 two-bedroom duplex apartments.  The project is scheduled for handover in December 2025.

“Samana’s new concepts and the designs inspired by the resorts and islands are picked up well by property buyers, especially from Europe and the UK who account for 50% of the investors of Samana Developers. In addition, other key contributors that are helping boost Dubai real estate transactions are the 10-year UAE residency, fast recovery from the Covid-19 pandemic, the success of Expo 2020 and the UAE winning the hosting rights for the COP28, the United Nations Climate Change Conference,” explained Samana Developers’ CEO, Imran Farooq.

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The real GDP of Saudi Arabia grew by 1.1% in the second quarter of 2023, compared to the same period last year, according to the General Authority for Statistics (GASTAT).

Meanwhile, ‘snapshot’ estimates for the GDP in Q2 2023, issued in the report by GASTAT, showed a 5.5% increase in non-oil activities in Q2 of this year over the same period last year.

GASTAT is the only official reference for statistical data and information in Saudi Arabia; it carries out all statistical work, as well as the technical oversight of the statistical sector. It also designs and implements field surveys, conducts statistical studies and researches, analyses data and information,

These figures are highly significant in that they reveal the growing importance of the non-oil sector in Saudi Arabia, as the Kingdom massively diversifies the economy via a series of government initiatives – placing far greater emphasis on its construction and enterprise sectors. This is borne out by further data from the GASTAT report, which shows the kingdom witnessed a 4.2% decrease in oil activities in Q2 2023 as compared to Q2 2022.

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