Since its inception the UAE has been relentless in building world-class infrastructure strong economic principles and an unwavering commitment towards a sustainable future.
The government’s bold and forward-looking approach has consistently set global benchmarks for progress and innovation especially in the green-energy space.
We’ve seen the rise of UAE Energy Strategy 2050, which targets 50 per cent clean energy in the national energy mix by mid-century. While significant strides have been made particularly in solar energy with large-scale projects such as the Mohammed bin Rashid Al Maktoum Solar Park and the Noor Abu Dhabi plant beyond these landmark projects, adoption at commercial and residential levels remains slow.
It is no secret that the UAE must fast-track solar adoption across industrial sectors, communities, and households in order to meet its long-term sustainability goals. By turning solar from a centralised utility investment into a nationwide effort, we can unlock several benefits including reducing carbon emissions reducing pressure on the grid and eventually driving sustainable green economic growth.
The Need for Speeding Up Solar
There are a handful of places on the planet that receive sunshine almost 365 days a year.
Given that the UAE has an abundance of sunshine and landbanks suitable for expansive photovoltaic deployment, the country possesses the ideal environmental conditions to become a leading solar capital.
On the economic front, setting up solar energy facilities whether on a small or large scale is becoming increasingly cheaper and by having smaller, distributed systems across the UAE, there is a great opportunity to reduce strain on the grid, improve efficiencies and create scenarios for greater energy independence.
However, bigger benefits lie on the environmental side. Utilising solar power can noticeably cut emissions, support the UAE climate goals and reinforce its position as a leading sustainable energy hub.
Understanding Barriers Related to Operations and Cost Maintenance
Despite the vast promise solar holds, there are quite a few barriers deterring faster adoption on a large scale-with the most important being the upfront costs. While economies of scale can drive prices down, businesses and building owners don’t often feel comfortable facing the higher per-unit costs and longer payback periods.
Other key challenges include the maintenance and reliability of solar energy systems, which play an important role in determining long-term efficiency and cost-effectiveness. Even though, solar systems are generally low maintenance, they require monthly cleaning and inspection, especially in desert environments where dust accumulation can pose a major problem. To solve this particular issue, businesses have to invest in periodic cleaning using basic equipment or can adopt smart monitoring system that help ensure optimal performance with minimal manual intervention. Additionally, companies can request for extended guarantees from their service provider for up to 25 years in some cases.
The Private Sector Central Role
So far, the government has played an instrumental role in driving renewable infrastructure, but for long-term success, the private sector must take a larger part in driving the next phase of the energy transition. Real estate and manufacturing businesses have begun incorporating solar energy in pockets but there is a ready opportunity to scale adoption not just on their sites but within developments through green building design, procurement and construction.
Other business can also look into investing in solar by distributed generation networks such as rooftop installations across industrial clusters, shopping malls, schools, or residential communities, reducing grid dependence and creating sustainable outcomes in the long run. A case in point is Dulsco Group’s installation of a total of 1655 solar panels where 1,250 new panels are being installed across the rooftops of its staff accommodation facilities. These panels will generate clean energy to partially offset daily electricity consumption and reduce carbon emissions equivalent to planting approximately 986,000 trees, cutting around 20,176,385 kilograms of CO2 emissions, and generating an estimated 44,836,410 kWh of clean energy over the next 30 years.
To mobilise adoption in the solar space, financial institutions have a key enabling role especially when it comes to allotting green financing instruments, concessional loans, and renewable energy credit programs. This can helps build market confidence, attract more corporates, and make solar more accessible for SMEs and homeowners. A comprehensive green finance offering and ecosystem has the potential to empower several new projects to take shape, which can actively contribute to the country’s broader decarbonisation agenda.
Building a Solar Mindset
The adoption of solar goes beyond technological and financial considerations and is highly dependent on cultural and behavioural change. And this begins with awareness.
For industries, the concept of generating solar power is unfamiliar and factors such as perceived high costs, installation challenges, and limited understanding of available technologies can make the transition seem complex and difficult.
To address this, the right awareness programs, incentive programs and supporting frameworks will play an important role in wide-spread adoption by simplifying and rewarding solar adoption.
In the UAE, sunlight is one of the UAE’s most valuable natural resources. Being unlimited, clean, and free makes it one of the best sources for energy generation. By addressing challenges around cost, maintenance, and storage as well as fostering an environment that supports innovation in the solar space can help transform the UAE’s vast solar potential into a defining competitive advantage.
