Doha: The global cleantech industry is growing rapidly driven by the pressing demand for sustainable solutions and the need to reduce carbon emissions. The global market for key mass-produced clean energy technologies is expected to exceed $650 billion annually by 2030, given the energy and climate change commitments announced by countries around the world. This is more than three times the current level. Investors are increasingly interested in supporting sustainable innovation, with the average size of climate technology deals quadrupling between 2020 and 2021 to reach $96 million.
Globally, more than 80% of potential emissions reductions can be attributed to five key technologies: solar power, wind power, food waste technology, green hydrogen production, and alternative foods/low GHG proteins. Wind and solar energy accounted for a record 12% of global electricity generation last year, up from 10% in 2021, as innovation drives a growing share of the energy sector. In parallel, carbon capture, utilization and storage (CCUS) technology is advancing. Developed to capture up to 90% of CO2 emissions from power plants and heavy industry, IoT-connected devices are expected to reduce food waste by 20% over the next four years. Similarly, the development of green hydrogen could have a major impact on renewable energy, with production costs predicted to fall by 50 percent by 2030, and alternative low greenhouse gas (GHG) protein food sources. is predicted to account for 11% of protein consumption by 2035.
Meanwhile, both Qatar and the MENA region have significant growth opportunities in the cleantech industry due to favorable government policies, successful sustainability initiatives and national strategies, and abundant natural resources such as solar energy. . Green hydrogen production is a first-mover advantage for the Gulf's national oil companies, and technology-based agricultural practices have revolutionized the region's agri-food sector.
Main highlights of the region in cleantech:
– Sectoral growth: Renewable energy in the MENA region will grow at an average annual growth rate of 8% from 2010 to 2035.
– Exposure to sunlight: The MENA region receives 22% to 26% of all solar energy that falls on the planet, increasing the potential for a vibrant renewable energy sector.
– Solar power: MENA's installed solar power capacity is expected to increase by approximately 40 GW by 2025.
– Green sector jobs: The GCC aims to reduce oil consumption by 23% by 2030 and create more than 220,000 jobs in the renewable energy sector.
According to a sectoral study by the Qatar Investment Promotion Authority (IPA Qatar), Qatar in particular has a dynamic and integrated cleantech value chain, which presents rich investment opportunities. Just recently, the Qatari delegation at Hannover Messe 2023, the world's leading industrial trade fair, highlighted the emerging leaders in the cleantech industry, driven by a dynamic and integrated value chain that includes technology development, manufacturing, distribution and project development. He emphasized the country's potential as a And the service.
Notably, IPA Qatar partners with global energy leaders such as Iberdrola Group to explore and implement clean energy projects in Qatar. The partnership between IPA Qatar and Iberdrola involves the establishment of a world-leading center to advance digital utility in Qatar. It is also supporting the expansion of the Spanish group's research, development and innovation (RDI) activities through Iberdrola Innovation Middle East, based in Doha.
The hub addresses technical challenges related to power grid innovation and digitalization by developing solutions for smart grids, renewable energy integration, and energy efficiency.
With abundant solar energy resources, Qatar is well-positioned to leverage hydrogen production, which is essential for decarbonizing hard-to-abate sectors. Additionally, Qatar's low-cost electricity, abundant natural gas resources, and establishment of a well-connected and efficient power grid have established a solid foundation for hydrogen production.
Qatar Energy, the country's integrated energy company, announced the construction of the world's largest blue ammonia plant, which will be operational by 2026 and will produce 1.2 million tons per year. The $1 billion project will also support Qatar's goal to develop carbon capture and storage facilities that will sequester up to 11 million tonnes of CO2 per year by 2035.
Qatar strives to reduce greenhouse gas emissions, conserve land, promote biodiversity and improve indoor air quality based on WHO guidelines. These efforts are reflected in the construction of Lusail City, the country's flagship sustainable city, and the development of a renewable energy-powered metro rail transport network.
Emerging hydrogen and renewable energy sources in the MENA region, along with international partnerships, are increasing the growth potential of the cleantech industry. Qatar's efforts to fight climate change and promote clean technology extend beyond national and regional boundaries. Several years ago, Qatar Energy and Royal Dutch Shell agreed to jointly invest in blue and green hydrogen projects in the UK. Similarly, Qatar Energy's agreement with Korea's Hydrogen Convergence Alliance (H2Korea) supports multilateral efforts to accelerate hydrogen-related technology cooperation around the world.
