meed-logo

line1 line2 line3
SIGN IN / REGISTER

The way forward for the region’s energy transition

12 December 2022

Published in partnership with

Whichever way one looks at it, the world faces a climate emergency. In its most recent multi-agency report published in September, the World Meteorological Organisation (WMO) warns that there is an almost one in two chance that the annual mean temperature in at least one of the next five years will be 1.5°C higher than the 1850-1900 pre-industrial average. 

This figure is important because it would breach the maximum temperature rise set by countries under the terms of the 2015 Paris Agreement and underlines the lack of progress in reducing harmful emissions. 

“Floods, droughts, heatwaves, extreme storms and wildfires are going from bad to worse, breaking records with alarming frequency,” said UN secretary-general Antonio Guterres in the report.

“Heatwaves in Europe. Colossal floods in Pakistan. Prolonged and severe droughts in China, the Horn of Africa and the United States. There is nothing natural about the new scale of these disasters. They are the price of humanity’s fossil fuel addiction.”

There are multiple ways to reduce global greenhouse gas emissions, with a common thread among them being using technology as a solution. 

Whether by making gas turbines more efficient, producing new low-carbon or carbon-free fuels such as hydrogen, increasing renewable energy output, or ensuring homes, towns and cities are ‘smarter’ in their use of electricity, technological innovation presents a means for countries to lower their carbon outputs. 

All [the reports] stressed we are not on track to keep climate change below 2 degrees, or even keep the 1.5 degree target within reach. More work needs to be done

Mohamed Nasr, Egypt's lead negotiator at Cop27

Scale of the problem

In the series of six articles MEED has published in association with Siemens Energy, we have explored the chief challenges the Middle East and Africa regions are facing in the fight against global warming and some of the opportunities and potential solutions to overcome them.

The first hurdle is recognising the scale of the climate challenge. The Siemens Energy Middle East & Africa Energy Week in June highlighted the disconnect between the perception of progress and reality, even among industry professionals. 

When asked to quantify CO2 reductions in their country today and what they will be in 2030 compared to 2005, Energy Week participants estimated that total emissions had fallen by 23 per cent on average over the past 17 years. Only one-third correctly answered that emissions had not only failed to fall, but had actually risen by 50 per cent over the same period. 

“All [of the reports] stressed that we are not on track to keep climate change below 2 degrees, or even keep the 1.5 degrees target within reach. More work needs to be done,” emphasised Mohamed Nasr, director of the Environment & Sustainable Development Department at Egypt’s Foreign Affairs Ministry and lead negotiator for Egypt at Cop27 during the event.

The harsh reality of the situation has underscored the pressing need for more rapid action among countries in the region. For the wealthier oil-exporting nations of the Middle East, much of the emphasis over the past 18 months has been placed on developing a green hydrogen industry to produce cleaner fuels. This is reflected by the more than 50 new green hydrogen projects announced in the GCC and North Africa over the past 18 months, which have an estimated investment value of more than $150bn. 

On the other hand, the priority for many countries in sub-Saharan Africa is very different as they battle the energy trilemma of extending affordable and reliable electricity provision to their populations. Spending billions of dollars on greenfield hydrogen developments and their associated infrastructure is not an option for many. Instead, the focus has generally been on smaller, off-grid renewable energy capacity to resolve the trilemma.

Working in tandem

Regardless of the approach adopted, the private sector recognises that companies need to work more collaboratively in the drive toward net zero. A case in point is the newly formed Alliance for Industry Decarbonization.

Announced in early September by the International Renewable Energy Agency (IRENA) and Siemens Energy, the alliance has already grown nearly threefold from the original 13 international energy and industrial members. 

The new industry grouping aims to achieve country-specific net-zero goals faster by encouraging action to decarbonise industrial value chains and enhance the understanding of renewables-based solutions and their adoption by industry. 

The alliance met for the first time at Cop27, where its members played a prominent role in discussions and thought leadership. Ultimately governments recognise that without corporates worldwide investing in clean energy projects and technology, there is little hope that targets will be achieved.

The intergovernmental summit ended on 20 November with a historic accord on setting up a fund to help compensate poorer nations for the economic and social destruction caused by climate change. 

But while the agreement, a culmination of some 30 years of negotiations between developed economies and developing nations, was a major step in the right direction, there remains a lot more that needs to be done to avoid an environmental catastrophe, such as setting legally-binding emission reduction targets, for example. 

The good news is that technologies and know-how are increasingly available to solve many of these challenges.

What is now needed is the political will and collaboration among nations and companies to work together to overcome our greatest threat. 

In the words of Siemens Energy president and CEO Christian Bruch: “The energy transition is the biggest investment programme since the dawn of industrialisation. If governments, business and society work together, energy transition is a massive opportunity. There is no excuse for waiting any longer.” 

Related reads:

Click here to visit Siemens Energy 
https://image.digitalinsightresearch.in/uploads/NewsArticle/10426502/main.gif
MEED Editorial

Register for MEED's guest program now to access this article.

Click here to register
Exclusive from Meed
Related Articles
  • Adnoc Onshore selects contractors for well tie-ins project

    27 October 2026

     

    Abu Dhabi National Oil Company’s onshore operating arm (Adnoc Onshore) has selected contractors for a major project to tie in wells across the Bab and North East Bab oil field developments in Abu Dhabi.

    Located 84 kilometres southwest of Abu Dhabi city, the Bab field has been in production since 1960 and is the emirate’s first oil-producing asset. The North East Bab cluster comprises the Al-Nouf, Rumaitha and Shanayel fields. 

    The Bab and North East Bab One Tie-In project is central to Adnoc Onshore’s contribution to Adnoc Group’s target of expanding crude oil production capacity to 5 million barrels a day (b/d) by 2027, an initiative known as the Accelerated Integrated Programme 5. The state energy company’s total production capacity currently stands at approximately 4.85 million b/d.

    According to industry sources, Adnoc Onshore has selected local contractor Robt Stone Middle East and China’s Jereh Group to carry out engineering, procurement and construction (EPC) works on the project. While both firms have been notified of their selection, a formal project kick-off meeting has yet to take place.

    Adnoc Onshore is understood to have started the tendering process for the Bab and North East Bab One Tie-In project last year, with contractors submitting technical and commercial bids earlier this year.

    Following the evaluation of bids, Adnoc Onshore sought best commercial offers from the bidders, which contractors submitted in May, MEED previously reported.

    The project budget is estimated at $1.2bn.

    Bidders for the contract are understood to have included:

    • Galfar Emirates (UAE branch of Oman’s Galfar Engineering & Construction)
    • Jereh (China)
    • Kalpataru Projects International (India)
    • Matrix Construction (UAE)
    • Robt Stone Middle East (UAE)
    • Target Engineering Construction Company (UAE)

    The project scope covers residual engineering, procurement of materials not supplied as free-issue items, site surveys, construction, installation, inspection, testing, and pre-commissioning and commissioning support. The works will deliver new wellsite facilities, including a new mini-pad, well bays and clusters across the Bab and North East Bab developments.

    Adnoc Onshore is Adnoc Group’s largest production subsidiary, accounting for roughly 2 million b/d of crude and about 7 billion cubic feet a day of associated gas from four primary onshore asset clusters: Bab, Bu Hasa, North East Bab and South East.

    ALSO READ:

    https://image.digitalinsightresearch.in/uploads/NewsArticle/20951928/main.jpg
    Indrajit Sen
  • Ashghal tenders Al-Udeid air base access road works

    27 October 2026

     

    Qatar’s Public Works Authority (Ashghal) has invited contractors to bid on a contract to build roads and related infrastructure around Al-Udeid Air Base.

    The project is located in Zone 95 of Al-Wakra Municipality, adjacent to Al-Majd Road. 

    The tender was issued on 22 October, with a submission deadline of 22 November.

    The scope includes the construction of a dual-lane carriageway to improve access to the air base, together with three roundabouts. The alignment will connect to Al-Majd Road to the east and tie into Street 203 in Zone 95 to the west. The contractor will also resurface and maintain connections to the existing road network.

    Associated works include street lighting, intelligent transport systems, directional signage and a surface-water drainage collection system.

    The contractor will provide crossing ducts, protect and relocate conflicting existing utilities, and complete detailed utility designs as required by relevant stakeholders through the Qatar Design Review System.

    The project also includes the design and construction of two electrical substations. The contractor must secure the necessary stakeholder and authority approvals before starting these works.

    The scheme will be delivered on a remeasurable, build-only basis using designs approved by others. It will also include designated contractor-designed elements and design-and-build packages for the substations.

    Bidders must submit two commercial pricing options: a base offer subject to material price-fluctuation provisions, and an alternative authority option without such provisions.

    The contract has a 550-day completion period from the commencement date, including mobilisation, followed by a 400-day maintenance period after the completion certificate is issued.

    Participation is restricted to local and international contractors registered under the Ministry of Finance classification system in Grade A or Grade B for road specialisation.

    Unclassified foreign firms may submit equivalent certified documentation from their country of origin, attested by Qatari diplomatic missions. They must obtain Ministry of Finance registration before contract award.

    For joint-venture bids, the lead partner must hold the required classification grade.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/20950810/main.jpg
    Yasir Iqbal
  • Saudi Arabia gauges interest for Al-Ula wastewater expansion

    27 October 2026

     

    Saudi Arabia’s Royal Commission for Al-Ula (RCU) is conducting market sounding for the first phase of the Mughayra wastewater treatment plant (WWTP) expansion before formally starting its tendering process, according to industry sources.

    The project is valued at SR400m ($107m) and is intended to increase the Mughayra plant’s wastewater treatment capacity to 62,000 cubic metres a day.

    RCU is gauging interest from potential contractors and has not yet issued a prequalification questionnaire, a source said.

    The scheme forms part of Saudi Arabia’s broader investment drive to develop its cultural and tourism offering across Al-Ula.

    The commission launched its Journey Through Time Masterplan in April 2021, with implementation scheduled in three phases through 2035. The masterplan covers infrastructure development, water management and irrigation, alongside the regeneration of a 9-kilometre cultural oasis.

    French engineering firm Artelia previously noted in its 2025 annual corporate report that it is involved in the design phase of the Mughayra WWTP.

    RCU is also developing strategic potable-water storage infrastructure in Al-Ula, including a design-and-build project covering a 50,000-cubic-metre reservoir at Hub 06 and a 15,000-cubic-metre reservoir at Hub 08.

    Local contractor Bin Omairah previously confirmed that it is serving as the engineering, procurement and construction contractor for the storage facilities.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/20950333/main.jpg
    Mark Dowdall
  • Qatari firm wins $147m Syria road deal

    27 October 2026

    Qatari contractor Al-Mohannadi for Roads, Trading & Contracting has signed a $147m contract with Syria’s General Directorate of Roads to rehabilitate and expand a 215-kilometre (km) highway corridor connecting to the Iraqi border.

    The project covers the rehabilitation and dualisation of a 170km section linking the Al-Busairi junction to the Al-Tanf border crossing, alongside the construction of a 45km link between the Al-Sabaa Biyar junction and Al-Busairi. Work is scheduled for completion within 900 days.

    The agreement was signed in Damascus by Moaz Najjar, director-general of the General Directorate of Roads, and Abdullah Adnan Al-Zattam, chief executive of Al-Mohannadi, in the presence of Syrian Transport Minister Yarob Badr and Finance Minister Mohammad Yusr Barnieh.

    The upgrade is intended to restore and expand one of Syria’s primary overland arteries to Iraq, which has suffered significant deterioration and capacity bottlenecks following years of conflict. The Al-Tanf corridor represents the most direct overland link between Damascus, central Syrian industrial centres and Baghdad.

    The project is designed to accommodate heavier commercial freight vehicles and reduce transit times between the two countries.

    The investment also forms part of broader efforts to re-establish Syria’s role as a regional transit corridor connecting Mediterranean ports with landlocked trade routes into Iraq and the wider region.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/20950332/main.gif
    Yasir Iqbal
  • Adnoc showcases $16.3bn local manufacturing potential

    27 October 2026

    Abu Dhabi National Oil Company (Adnoc Group) has identified more than AED60bn ($16.3bn) in local manufacturing opportunities through 2030.

    The Abu Dhabi energy company also announced changes to its procurement, supplier registration and In-Country Value (ICV) localisation frameworks.

    The measures were announced at the second Make it with Adnoc Forum, held in Abu Dhabi on October 25. They are intended to give manufacturers, suppliers and investors greater visibility of future demand and a faster, clearer route to compete for Adnoc contracts, the company said.

    The more than 200 manufacturing opportunities cover products required for Adnoc’s projects and operations, including:

    • Rotating equipment and power
    • Electrical, control and automation systems
    • Drilling and completion equipment
    • Chemicals and catalysts
    • Piping, fabrication and heavy equipment
    • Spare parts and advanced manufacturing

    Many of the identified products are currently imported, Adnoc said. “Manufacturing them in the UAE shortens lead times, reduces exposure to global supply disruptions and strengthens the resilience of Adnoc’s operations,” it said in its statement.

    Adnoc, the UAE Ministry of Industry & Advanced Technology and the Abu Dhabi Investment Office (Adio) will work together to connect manufacturers with these opportunities. The collaboration will combine visibility of Adnoc’s demand, access to the national industrial database and financing through the National Industrial Resilience Fund, the company said.

    Adnoc also signed two memorandums of understanding on the sidelines of the forum with Adio and Kezad Group.

    ICV scheme expansion

    Adnoc announced the expansion of its Local+ programme, part of its ICV framework, to more than 100 UAE manufacturers, compared with 70 at its launch in May. The programme gives UAE-made products priority in Adnoc projects by requiring engineering, procurement and construction (EPC) contractors bidding for new tenders to source relevant products from manufacturers approved under the programme.

    Separately, Adnoc announced a redesign of its supplier registration and prequalification process. The company is targeting a reduction of up to 80% in the time required for suppliers to complete the process and become eligible to compete for Adnoc opportunities.

    The new model halves the number of required documents and removes prequalification requirements for 60% of service categories.

    A single window brings together registration, qualification and compliance, with requirements tailored to the nature of the work and its level of risk. Artificial intelligence will support document verification and the reuse of existing data, reducing repetitive submissions and administrative processing.

    ALSO READ:
    Adnoc steps up crude oil capacity expansion
    Adnoc funnels billions into boosting gas processing

    “Adnoc’s enhanced ICV model will more closely connect procurement decisions with commercial value and suppliers’ contribution to the UAE economy. Under the new model, commercial and ICV offers will be integrated into a single evaluation model,” the company said.

    “The previous bid-matching approach will be retired, encouraging suppliers to submit their most competitive commercial and ICV offers from the outset. Requirements will be proportionate to contract size and scope.

    “The model also enhances the administration of ICV-related retention payments. Where retention applies, automated calculation and release processes through the Adnoc Supplier Hub will improve transparency, reduce manual follow-up and support suppliers’ cash flow as obligations are met.”

    Alongside the ICV and registration enhancements, Adnoc outlined a new commercial approach built around four strategic shifts: agile, competitive, strategic and forward-looking.

    “The approach will advance simpler procurement and faster decision-making, contracting models aligned with project and market dynamics, targeted commercial negotiations and earlier visibility of Adnoc’s future demand.”

    Since its launch in 2018, Adnoc’s ICV programme has directed more than AED307bn ($83.6bn) into the UAE economy, the company said. By the end of 2025, it had also supported the localisation of more than 130 products, the development of 95 UAE factories, and employment opportunities for more than 27,500 Emiratis at participating private sector companies.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/20948385/main5518.jpg
    Indrajit Sen