What is DUBAL Holding’s role as part of the UAE’s Energy Strategy 2050?
DUBAL Holding (DH) plays a crucial role in the UAE’s Energy Strategy 2050 with its diversified industrial portfolio and contribution to key sectors. With our backing, a power plant is leading the UAE’s drive to saving natural resources, reducing costs and emissions.
The most efficient power plant at Emirates Global Aluminium (EGA) in Jebel Ali was developed by JA Power & Water Co, a joint venture of Abu Dhabi’s Mubadala and DUBAL Holding. We are also one of the parent companies of EGA and hold 50 percent stake in it. The project was initiated with the aim of lowering the costs in natural gas which aligns with UAE’s Energy Strategy 2050.
Meanwhile, DH’s acquisition of a 60 percent stake in Dubai-based aluminium extrusion company OSE Industries, has fostered evolution in the automotive market, a move towards a cleaner and greener future. Besides this, DH has also invested in a consortium of six strategic international partners with Dubai Municipality to build one of the world’s largest individual facilities, at a cost of around $1.3 billion (AED4.8 billion), to turn waste to energy and the capacity to treat nearly 5,600 tonnes of municipal waste per day in Dubai.
Our investments in companies aim to combine positive impact with positive returns, by aligning with the UAE Energy Strategy 2050 and helping to diversify and transform the UAE.
What challenges need to be overcome for the UAE to hit its goal of net zero by 2050?
The biggest challenge for the industrial and refining sectors will be decarbonising, as companies will have to invest more on research and development and come up with innovative ways to make clean energy more accessible and cost effective in the long run.
Other obstacles include lack of readiness to adapt to digital transformation and sustainable technologies. Companies are slow to adopt technology, such as Artificial Intelligence (AI) in the manufacturing systems. But we intend to pioneer the change and lead the fields of knowledge, technology, and innovation – including AI technologies – as evident from our portfolio of projects.
For example, the AI technologies adopted at Emirates Global Aluminium have proven to be worthwhile in many ways, whether at the level of savings in time and effort, ensuring high quality, or minimising pollution.
Can you talk me through some of the investments that you are making in green and sustainable projects?
Besides our contribution in building the world’s largest facility to convert waste into energy by processing some 5,600 tonnes of municipal waste per day, DUBAL Holding has signed a Memorandum of Understanding (MoU) with ENOC Group and Quantafuel of Norway to study the viability of establishing and operating plastic-to-liquid production plants, turning plastic waste into valuable products and a step towards circular economy.
Our company’s aspiration has always been to contribute more to green and sustainable projects. A large part of the aluminium residues produced by the UAE are exported abroad, which is a waste of resources. We seek to end or limit its export abroad.
Today, international laws and legislation oblige aluminium and other mining companies not to expand to new mines, for environmental reasons, and to press them to find alternative solutions, such as recycling mineral waste.
Which sectors and technologies do you see as crucial to serving the sustainability agenda?
The sectors which we feel are crucial to serving the sustainability agenda and have heavily invested include power, resourcing energy, waste management and mining. Switching to electric cars is paramount to realising the sustainability agenda in the UAE. In this context, the DUBAL Holding is planning to acquire several subsequent companies for its acquisition in OSE Industries.
The company uses its raw materials from Emirates Global Aluminium company to manufacture Multi Port Extruded Tubes that goes into EVs for Battery Cooling Applications. Another key sector is the recycling industry. We have invested in projects that convert plastic waste into products that can be used, such as diesel fuel, as well as another project to convert plant or food waste into organic or bio-fuels free of polluting gas emissions, to use companies wishing to reduce the carbon footprint of their vehicles and to upgrade their social responsibility.
As part of our efforts to innovate and find additional or alternative solutions in this area, we have launched a pilot project at Emirates Global Aluminium company to establish a unit to produce “green” aluminium, where renewable energy is used, where we used solar energy in manufacturing, starting with 40,000 tonnes.
What importance do you personally place on achieving net zero and navigating the energy transition?
I believe in the company’s vision to build a better world for all through rational investments simultaneously capable of promoting sustainability in industry, energy, commodities, and mining. Some may not realise the true meaning of the term “better and sustainable world”, but for me, it is a waste-free world in all its forms. We all produce waste either in the form of food or something that is damaged or old – including tyres, battery, electronic devices – and throw it in the garbage without thinking what will happen to them.
So, if you ask the question, where does this waste go, and can we all benefit from it by recycling it? Yes, we can. Apart from traditionally recycled waste, most of the discarded items consist of many recyclable elements, such as copper, aluminium, and iron. All these elements can be extracted in commercial quantities and further recycled and utilised for many things. This for me on a personal level would be achieving net zero in its true capacity.