The Middle East’s rapidly growing renewable energy shift

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The Middle East is today the fastest-growing renewable energy market outside of China. This is a step in the right direction, as it points to a profound and strategic shift in the region’s energy policy.

This shift did not occur overnight. The past decade has witnessed a great transformation, as several governments, companies, private sector actors and investors have recognized the multifaceted benefits of adopting renewable energy.

This does not come from international climate pressures, it is a strategic move because it contributes to economic diversification and technological innovation, as well as long-term energy security, which is critical for regional stability.

Countries such as ºÚÁÏÉçÇø, the UAE, Oman, Morocco and Jordan are at the forefront of this movement. They have been investing heavily in solar and wind projects, energy storage technologies and green hydrogen initiatives. The region’s mission should not only be to participate in the global energy transition but to shape it.

ºÚÁÏÉçÇø is considered the most prominent example of leadership when it comes to the renewable energy sector in the Middle East. Thanks to its Vision 2030, the Kingdom has undertaken an ambitious reorientation in order to reduce its dependence on oil. One of the key goals is to generate about 50 percent of the country’s electricity from renewable sources. According to a recent report, ºÚÁÏÉçÇø will add 15 gigawatts of renewable and gas power by 2028. Some of its large-scale solar projects include the Sakaka plant in the Jouf region and the ambitious Neom solar initiative, which is designed to integrate green hydrogen production with solar power generation.

Another example in the region is the UAE, which has positioned itself as a renewable energy hub through projects such as the Mohammed bin Rashid Al-Maktoum Solar Park in Dubai. That project’s goal is to achieve a production capacity of 5 GW by 2030, making it one of the largest solar power projects in the world.

Oman, Morocco and Jordan have also made substantial investments in renewable infrastructure, including wind farms and solar parks. These developments show a wider regional recognition of the benefits that adopting clean energy can bring. These initiatives are supported by both public investment and private sector innovation.

The benefits can be seen in the economic, environmental, social and technological dimensions.

When it comes to the economy, the deployment of renewable infrastructure creates jobs because it requires construction, engineering, research and project management. In addition, the energy transition attracts foreign investment, provides opportunities for export-oriented industries and, most importantly, diversifies energy portfolios. This helps the Middle East reduce its vulnerability to fluctuations in global oil prices. Such a rapidly growing transition will not only strengthen domestic economies in the region, it will also help the region to compete and even lead in global energy markets.

When it comes to the environment, the shift toward renewable energy addresses climate concerns in the region, as many countries are facing extreme temperatures, water scarcity and increasing urbanization. This rapid transition means that the region is reducing its greenhouse gas emissions, which will improve air quality and align with global climate commitments like the Paris Agreement.

The region will also benefit from the technological advancement resulting from the transition to renewable energy. Investment is increasing in solar power technologies and other cutting-edge solutions. This will lead to innovations in energy sector storage. So, by investing in the deployment of renewable technologies, the region can become a knowledge hub capable of exporting technology and expertise across the world.

The region’s mission should not only be to participate in the global energy transition but to shape it.

Dr. Majid Rafizadeh

The Middle East’s potential to be a global leader in renewable energy is supported by the unique geographic, financial and strategic advantages it possesses. The region benefits from some of the highest solar irradiance levels on the planet, offering ideal conditions for large-scale solar power projects. In addition, coastal areas and desert plains offer significant potential for wind energy development.

Furthermore, the financial reserves of many of the region’s countries provide the capital needed to fund transformative, large-scale renewable energy projects. And its strategic location gives it the potential to be a hub for energy distribution, such as by supplying renewable electricity to neighboring countries or even exporting it to Europe, Asia and Africa.

In a nutshell, the Middle East’s rapid growth in renewable energy production is one of the most significant transformations in the global energy sector. Countries such as ºÚÁÏÉçÇø, the UAE and Oman are leading this transition through ambitious projects, significant investments and technological innovation. The benefits of this shift include economic diversification, environmental sustainability and energy security. While some nations in the region are still in the early stages of adopting renewable energy, they can accelerate progress and hopefully help the Middle East become a global leader in renewable energy.

  • Dr. Majid Rafizadeh is a Harvard-educated Iranian American political scientist. X: @Dr_Rafizadeh