Natalya Makarochkina, Senior Vice President, Secure Power Division, International Operations, Schneider Electric, highlights the ambitious plans for the UAE to transition towards a green and digital future are supported by clear strategies, concrete initiatives and tangible signs of success.
The world has marvelled at the smart city ambitions and achievements of nations like the UAE, with Abu Dhabi consistently recognised as the smartest city in the region.
This reflects the UAE’s deep commitment to Digital Transformation, a shared goal among its neighbours. With unique challenges, as well as lofty goals, there is much to learn from these digital journeys.
The UAE’s digital evolution began decades ago and has achieved significant success along the way – with Abu Dhabi listed in the top 10 smart cities in the 2024 Smart City Index.
Recognised as a smart sustainable city, Abu Dhabi leverages Information and Communication Technologies (ICTs) and other innovations to enhance quality of life, improve efficiency of urban operations and services and boost competitiveness. This forward-thinking approach ensures the city meets the needs of present and future generations, addressing economic, social and environmental aspects comprehensively.
However, the UAE’s ambitions extend beyond existing cities, as exemplified by groundbreaking projects like Masdar City. This sustainable urban community and world-class business-free zone is a technology hub with innovation at its core. “Driven by the UAE’s commitment to sustainability, Masdar City is driving global solutions to climate change and helping create cities of the future,” says its literature.
Moreover, Masdar City’s technological innovations include development clusters for smart mobility, life sciences, energy, agri-tech, AI and space technology. These cumulative efforts are certainly yielding tangible results – the UAE’s real GDP growth is predicted to be 3.5% this year, surpassing the global average of 3.2% and outpacing all G7 nations.
According to the planners, sustainable design at Masdar City has been implemented into every aspect of its master plan, integrating gathering spaces, parks, landscaping, transportation and more into its urban framework.
Each building, street, and public space is thoughtfully designed and oriented to optimise thermal comfort, maximise energy and water efficiency, minimise waste and reduce carbon emissions. With over 11MW of solar PV panels installed throughout the city, renewable energy is a cornerstone of its development.
This focus on renewable energy is mirrored in the UAE’s broader goals. The country already boasts three of the world’s largest solar plants, with the Noor Abu Dhabi solar park alone reducing the UAE’s carbon footprint by 1 million metric tons annually – equivalent to removing 200,000 cars off the road. The energy plan is to triple renewable energy source (RES) capacity to 14GW by 2030, striving for carbon neutrality in energy by 2025.
Sustainability principle
Sustainability is a central principle of the UAE’s Green Agenda 2030, a comprehensive plan to cultivate sustainable development and create a more eco-friendly economy. The agenda includes strategic objectives and various initiatives in areas such as competitive knowledge economy; social development and quality of life; sustainable environment and valued natural resources; clean energy and climate action; and green life and sustainable use of resources.
Data infrastructure is a key element of this transformation, with digital technologies expected to underpin nearly every aspect of the initiative.
Additionally, significant investments are being made in greener, more sustainable data centres across the MENA region, particularly in the UAE.
Research indicates that investments in green data centres in MENA are expected to grow at a CAGR of 14.81% 2022 – 2027, reaching US$1.58 billion by 2027.
While the extent of adoption may vary across different countries and organisations, many colocation operators have made significant investments in operational efficiency, aligning their efforts with sustainability objectives. In the UAE, Khazna Data Centre’s facilities in Abu Dhabi and Dubai utilise high-temperature water-cooled chiller systems with free cooling options, reports JLL.
Furthermore, JLL expounds on the critical role of green data centres in reshaping the data centre landscape in MENA, paving the way for a more sustainable and environmentally responsible future. Reducing the cost of energy will be a major pillar for driving the growth of data centres in the future, and as the region’s commitment to environmental sustainability strengthens, green data centres will increasingly support Digital Transformation while minimising carbon footprints.
International cooperation
To achieve its vision, UAE has created a range of partnerships globally. It has committed US$6 billion to advance technology infrastructure in 16 countries, aiming to boost digital capabilities and economic activity through telecoms and technology company, e&, formerly Etisalat Group. This investment will foster digital capabilities and economic growth in markets across three continents.
The coalition is described as a ‘leadership-level pledging platform’ used to mobilise new resources, partnerships and commitments to achieve ‘universal and meaningful connectivity’, according to the Geneva-based ITU, the United Nations agency.
The partnerships extend to Europe as well,astheUAE and Greece signed a memorandum of understanding on Digital Infrastructure Investment.
Schneider Electric partnered with Ajman Bank to deliver a 1,000 square-metre tier-III colocation data centre and a holistic range of IT infrastructure management solutions at the bank’s premises in Ajman, that streamlined operations for sustainability, efficiency and security for all its stakeholders.
Developing new technologies and techniques will be a core part of the transformational efforts for the UAE. Its ResearchHUB initiative, led by the Advanced Technology Research Council, fosters innovation through collaboration with universities, research centres and government agencies, featuring over 14 hosting institutions, more than 60 providers and 51 scientific domains. This service is open to all and invites other institutions to be part of its growing community.
Future AI developments
AI is another key focus, with the UAE ranking among the top five countries globally for interest in Generative AI. The country is positioning itself as a regional AI innovation hub through initiatives like Smart Dubai and Dubai Artificial Intelligence in Health (DAIHL). The UAE’s Artificial Intelligence Strategy aims to integrate AI across healthcare, transportation and government services.
Notably, His Highness Sheikh Mohamed bin Zayed Al Nahyan, President of the UAE and Ruler of Abu Dhabi, issued a landmark law earlier this year establishing the Artificial Intelligence and Advanced Technology Council (AIATC), tasked with developing and implementing policies and strategies related to research, infrastructure and investments in AI and advanced technology in Abu Dhabi.
Ministry of Investment
In 2023, the UAE established the Ministry of Investment to cultivate a dynamic ecosystem of capital, talent and innovation, fostering the exchange of ideas between the East and West. “Our mission is to establish a sustainable platform for the advancement of technology, trade and human capital, which will ultimately generate a positive impact that reaches far beyond our seven emirates, benefiting the entire region,” says the Ministry.
These various transformational strategies, focused on a liveable, sustainable future with growth opportunities both locally and globally, set the UAE on a solid path for the future. Describing itself as ‘the world’s nexus’, the UAE is positioning itself at the intersection of technological, social and sustainable advancements, making it a key region to watch in the coming decades.
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