The UAE has built one of the world’s most structured clean energy transitions in the Gulf. The UAE’s renewable energy push is driven by technological innovation, huge investments in ambitious renewable energy projects and foreign collaborations.

The Gulf countries are formulating energy policies and implementing strategies to transition from a resource-based economy to a diversified, renewable-energy economy. Historically, oil-producing nations in West Asia have received political and economic leverage due to their geostrategic locations and oil reserves. As the international energy market undergoes transformative change, countries with rentier economies focus on economic diversification and on strengthening global energy governance through cooperation and diplomacy to address environmental and energy-security implications.

The United Arab Emirates (UAE) is emerging as one of the fastest-growing markets for renewables, driven by technological innovation, huge investments in ambitious renewable energy projects and foreign collaborations. The country is expanding its energy sources, leading to diversification in its energy mix and economy. Under its National Energy Strategy 2050, the UAE is committed to contributing up to AED 200 billion to the renewable energy sector by 2030.[1] To meet growing energy demand, the country plans to generate most of its electricity from renewable sources, primarily solar power.  The UAE’s installed renewable energy capacity surpassed 7.7 gigawatts (GW) in April 2026.[2]

The Gulf States are seeking to expand their renewable energy footprint to transition towards sustainable power and support low-carbon energy. The shifting geopolitical dynamics also prompted economies dependent on hydrocarbons to navigate changes in global energy markets and redefine their economic and global positioning. On 6 April 2026, Suhail Al Mazrouei, the UAE’s Minister of Energy and Infrastructure, emphasised the creation of green corridors and dry ports to facilitate regional trade. In the wake of Iran’s closure of the Strait of Hormuz amid the US–Israel–Iran conflict, Al Mazrouei confirmed the prioritisation of energy security, evidenced by a 20-fold increase in capacity at eastern ports since the conflict began.[3] The UAE’s transition from hydrocarbons to sustainable energy reflects not only environmental commitments but broader considerations for regional influence and energy security.

Net-zero announcements and long-term development strategies, such as the UAE’s Clean Energy Strategic Vision 2050, account for institutional embeddedness in redefining energy security. With state-backed investments and ambitious national targets, the UAE aims to build a more resilient energy sector characterised by a sophisticated grid system, technology transfer and infrastructure development. In an effort to build a diversified economy beyond oil, the UAE is working on a model that is developmental, commercial and diplomatic.

Evolution of the UAE’s Renewable Energy Strategy

The UAE has built one of the world’s most structured clean energy transitions in the Gulf. The UAE implemented its first national development strategy in 2010 with the launch of ‘Vision 2021’—a long-term plan focused on environmental sustainability and the transition to a diversified knowledge-based economy.[4] The UAE’s energy transition originated with the establishment of Masdar, also known as Abu Dhabi Future Energy Company, in 2006, marking a major milestone in the country’s systematic expansion of renewable energy policy. Progressively, Masdar, a state-owned renewable energy company, shaped the UAE’s national framework for energy security, which prioritised energy diversification, global expansion and strategic investment.

The company has emerged as a pioneer in investing in and developing renewable energy projects in more than 30 countries worldwide. With a target of 100 GW by 2030, the company’s capacity grew from 20 GW to 51 GW between 2022 and the end of 2024.[5] Masdar has increased its renewable energy capacity from 51 GW in 2025 to 65 GW in January 2026, marking 20 years of leadership in the renewable energy sector.[6] Moreover, the first unified national energy policy was launched in 2017 as ‘UAE Energy Strategy 2050’. With an investment of US$ 15 billion, the UAE’s Energy Strategy 2050 outlines long-term national energy goals. The strategy was updated in 2023 to include new objectives: increasing installed capacity from 14.2 GW to 19.8 GW by 2030 and achieving Net Zero emissions by 2050.[7]

Figure 1. UAE 2050 Energy Goals Source: Embassy of the United Arab Emirates, Washington, DC, 2023

As global demand increasingly focuses on decarbonisation targets and clean energy initiatives, the UAE is developing an export-oriented hydrogen industrial strategy. The UAE’s National Hydrogen Strategy 2050 aims to position the country as one of the largest producers and suppliers of green hydrogen by 2031, with a production capacity of 1.4 million tons per annum (mtpa).[8] Launched in 2023, the National Hydrogen Strategy 2050 emphasises supply chain advancement, research and development and regional collaboration. With the potential to become a crucial exportable commodity in the future, investments in green hydrogen initiatives and projects present an opportunity for the UAE to become one of the leading players in the decarbonised energy sector. The country aims to become a regional leader in clean energy export while........

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