The ‘Year of Sustainability’ was the first major shift in focus towards green energy and sustainability in the UAE. It emphasised the importance of sustainable practices for future generations and embedding these practices into daily life became part of the UAE Energy Strategy 2050 initiative. This strategy aims to achieve a 50% clean energy mix while reducing carbon emissions by 70%.
However, with rapid advancements in renewable energy infrastructure, the UAE announced that these targets may be brought forward. The country’s significant investments in solar and hydrogen energy, alongside policy reforms, suggest that achieving these sustainability goals sooner than anticipated is a real possibility.
This progress highlights the growing momentum of green initiatives within public and private sectors, urging businesses to align their operations and offerings with evolving environmental standards and driving innovation in these areas.
A huge focus has been placed on raising awareness of the UAE’s sustainability values and encouraging behavioural changes. Bringing together communities through global green energy and sustainability events – such as the 28th Conference of the Parties (COP28) which brought together global leaders to discuss and advance climate action. During the conference, over 159 Heads of State and Governments endorsed the ‘COP28 UAE Declaration on Sustainable Agriculture, Resilient Food Systems, and Climate Action,’ highlighting the UAE’s leadership in integrating sustainability into local and global agendas.
Sustainability in Business
Companies that support and drive the development of green energy and sustainability have a unique opportunity to thrive. With the aim to bring forward their 2050 deadline, the UAE government will incentivise and reward businesses that innovate and adopt practices at a local level, with global impact. Like all areas that fall into the UAE’s strategy, there is a wealth of guidance, financial support, business incubators, and accelerator programmes for companies setting up in these sectors.
The UAE Independent Climate Change Accelerators (UICCA) also recently concluded its 2024 Launchpad Programme. After the success of Dubai COP28 in 2024 and ahead of COP29 in Azerbaijan in November 2025, eight startups and SMEs showcased innovative carbon reduction technologies, specialising in areas such as carbon capture, waste-to-energy, hydrogen fuel cells, and carbon accounting. UICCA's Launchpad Programme has provided accelerated support for green startups in the UAE, creating an ecosystem for climate tech innovation. This is just one example of programmes that exist to support business setup and growth in line with the UAE’s wider ‘Green’ strategy.
Another area of opportunity for businesses, especially within cities like Abu Dhabi and Dubai, is sustainable urban development. Sustainable urban development is incredibly important for long-term progress, resilience, and a higher quality of life for UAE residents. Smart cities, energy-efficient buildings, green spaces, and electric public transportation provide ample opportunities for businesses to grow alongside the country.
In 2024, The Ministry of Energy and Infrastructure (MoEI) introduced the National Green Certificates Programme to enhance sustainability and reduce the carbon footprint of commercial buildings by implementing standards that adhere to criteria for sustainable construction and the use of sustainable materials. MoEI provides technical support and consultations to participating businesses to ensure the highest levels of sustainability.
These initiatives and programmes showcase the demand for green energy and sustainability not just at a public level, but at a private level too.
Adopting Green Energy in Operations
Sustainability is no longer a corporate option but a priority. Businesses worldwide are increasingly adopting sustainable practices, not only to comply with regulations and corporate responsibility but also to enhance their competitive advantage and offerings. With the UAE government firmly behind these initiatives, public and private companies will prioritise suppliers that follow sustainable practices, invest in renewable energy solutions, move towards reducing waste and reusing materials, and use advancements in AI-driven sustainability solutions to shape corporate strategies.
Although sustainability and green energy practices are not necessarily what is driving the clients' decision-making process, from an organisation perspective, we anticipate that the advantages of adopting greener practices will become increasingly important in the UAE business landscape.
Companies are investing in research and development to reduce their environmental impact. By adopting sustainable strategies, they can also enhance their brand reputation and build strong relationships with clients and partners. Understanding green energy and sustainability will also allow them to diversify and apply these practices to advance their services or product offerings.
Green energy and sustainability are no longer just trends; they are defining factors for the future of corporate success. The UAE’s rapid advancements in clean energy demonstrate the feasibility of early sustainability targets, setting an example for businesses. By integrating green energy solutions, companies can reap financial, environmental, and reputational benefits while contributing to a sustainable future.
As technology and regulations continue to evolve, businesses that embrace sustainability will not only thrive but also lead the way toward a greener world and will likely benefit from government support and reduced setup, licensing, and maintenance costs as part of longer-term business plans.
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