Building a Carbon-free Future
With innovation, government initiatives, and private-sector partnerships, the UAE is transforming its industries for a sustainable future
As part of its commitment to a sustainable future, the UAE has set an ambitious target to achieve net-zero emissions by 2050, a goal that positions the nation as a global leader in combating climate change. A crucial pillar of this commitment is the decarbonisation of the industrial sector, which is responsible for a significant portion of the country’s carbon emissions. For the UAE, which is home to a diverse range of industries, from oil and gas to manufacturing and construction, transforming its industrial sector is not just an environmental obligation but also an economic opportunity.
THE ROLE OF INDUSTRY IN THE UAE’S CARBON FOOTPRINT
The UAE’s industrial sector, responsible for significant carbon emissions, faces a critical challenge in achieving net-zero emissions by 2050. Key sectors like aluminium, steel, and cement produced 103 million metric tons of CO₂ in 2019. The Ministry of Industry’s ‘Industrial Decarbonization Roadmap’ targets a 93 per cent reduction in emissions by 2050. Ducab Group is leading efforts with smart manufacturing and clean energy initiatives, including solar power at its Jebel Ali facility. Through partnerships and innovation, Ducab is
helping the UAE move towards its net-zero goal, demonstrating that sustainable industrial practices are both achievable and essential.
EMBRACING
TECHNOLOGY AND INNOVATION
Technology is at the heart of the UAE’s strategy to decarbonise its industrial sector. Innovations such as carbon capture, utilisation, and storage (CCUS), green hydrogen, and energy-efficient industrial processes are being explored to reduce emissions across key industries. For example, EMSTEEL, the UAE’s largest steel manufacturer, is leading the way in low-carbon steel production, aligning with the UAE’s Net Zero by 2050 goal. With 84 per cent of its electricity sourced from clean energy, it utilises recycled scrap and CO2 capture. The company has launched the MENA region’s first green hydrogen project for steelmaking, driving sustainability in construction.
EMSTEEL’s innovative products, like the ES600 high-strength rebar, and AI-led Green Steel Monitoring System further reinforce its commitment to decarbonisation and sustainability. The company has been recognised globally for its efforts, including awards from the World Economic Forum and the Ministry of Industry and Advanced Technology.
The UAE is also investing in smart manufacturing and Industry 4.0 technologies, which integrate artificial intelligence (AI), the Internet of Things (IoT), and data analytics to optimise resource use and reduce waste. By adopting energy-efficient systems and digitising operations, industries can significantly lower their carbon footprint while boosting productivity. Through bold action and strategic investments, the UAE can decarbonise its industrial sector, helping to achieve its ambitious net zero by 2050 goal while contributing to global efforts in mitigating climate change.
Decarbonising the UAE’s hard-to-abate sectors for a net-zero future
Ducab offers a practical blueprint to industrial sector for decarbonisation
Mohammad Almutawa
Heavy industries that once fuelled economic growth are now under scrutiny for their significant role in carbon emissions.
While the industrial sector accounts for nearly 30 per cent of global greenhouse gas emissions, in the UAE, the challenge is especially pressing. The country’s industrial landscape, anchored by sectors such as aluminium, steel, and cement, generated 103 million metric tonnes of CO₂ in 2019 alone.
With the government’s ambitious goal of achieving net-zero emissions by 2050, the need for a transformative shift in these industries has never been clearer.
The UAE’s Ministry of Industry and Advanced Technology has laid out a comprehensive ‘Industrial Decarbonisation Roadmap’ that aims to slash emissions by an
impressive 93 per cent by 2050. This is no small feat, especially for sectors that have long been considered ‘hard-to-abate’ due to their reliance on high-energy processes.
As a leading energy solutions provider, Ducab Group embraces its responsibility to national goals by adopting a multi-faceted approach to sustainability, driving initiatives to reduce its carbon footprint. Among its key initiatives is the Blade Smart Factory, a state-of-the-art facility that leverages Industry 4.0 technologies to optimise resource use and minimize waste. By implementing these cutting-edge solutions, the factory is reducing energy consumption by 30 per cent, waste by 20 per cent, and improving resource use by 15 per cent.
Alongside its focus on efficiency, Ducab Group has made significant investments in
clean energy. The Jebel Ali facility now boasts two solar photovoltaic (PV) plants, generating 50 per cent of the factory’s energy needs, aligning with Dubai’s goal of ensuring 75 per cent of its energy comes from clean sources by 2050.
Beyond its own facilities, Ducab has supported more than 30 renewable energy projects worldwide, including the Mohammed bin Rashid Al Maktoum Solar Park, one of the largest solar installations in the world. Through these efforts, Ducab is playing a key role in advancing clean energy infrastructure and reinforcing the UAE’s net-zero ambitions.
Recognising that the path to decarbonisation is a collective effort, Ducab has forged a strategic partnership with Schneider Electric to further strengthen its ESG and decarbonisation strategies. This collaboration focuses on reducing emissions across all scopes.
The path to net-zero for the UAE’s industrial sector is formidable, but a holistic sustainability approach is proving that it’s achievable. By integrating clean energy, embracing smart manufacturing, and fostering strategic partnerships, Ducab Group offers a practical blueprint for other industries. With sustainability at the core of business strategies, the industrial sector can meet decarbonisation goals while adapting to a world that increasingly prioritises environmental responsibility.
The writer is Group CEO of Ducab.
One-stop shop for sustainable solutions
The UAE’s leading steel player offering sustaintable solutions to manufacturing and construction sectors
EMSTEEL is a public joint stock company and the UAE’s largest steel and building materials manufacturer, leveraging cutting-edge technologies to supply both the local market and over 70 international markets with high-quality, low-carbon products, creating a one-stop shop for sustainable the manufacturing and construction sectors.
Aligned with the UAE’s Net Zero by 2050 Strategic Initiative, and now a global leader in low-carbon steel production, EMSTEEL is the first steel player globally to capture its CO2, operate with energy efficiency, source the majority of its electricity needs through clean energy, and utilise recycled scrap in its processes.
In 2023, the group utilised 84 per cent clean electricity in its steel business unit and has taken significant strides to decarbonise its operations, products, and supply chain, as evidenced by more than 50 per cent year-on-year increase in renewable materials used in its steel production.
As one of the leading steel manufacturers in the region commanding 60 per cent of the UAE’s steel market share, EMSTEEL’s priority is to drive sustainability in construction and manufacturing. In alignment with this goal, the group joined forces with Masdar to establish the Mena region’s first green hydrogen demonstration project for the steel industry, which began production in October this year, enabling sustainability-first developers to become offtakers of domestically produced green hydrogen and key enablers of the UAE hydrogen economy.
This ground-breaking initiative aims to decarbonise the steel sector to contribute to a greener and more sustainable future. If scaled-up, this transformative endeavour could drastically reduce CO2 emissions in steelmaking through the use of green hydrogen, in clear alignment with the UAE’s vision of becoming a major hydrogen producer by 2031. The rising global demand for green steel, presents huge growth potential for the UAE’s steel industry as the country aspires to be at the forefront of decarbonising the global steel value chain. The
project aims to be a beacon for how clean energy and heavy industry partners in the UAE can take urgent action to accelerate decarbonisation.
EMSTEEL’s commitment to low-carbon innovation is additionally reflected in its products — The sustainable ES600 high-strength steel rebar redefines sustainability and efficiency with 18-24 per cent reduced steel consumption. The incorporation of ES600 within two prominent projects in Dubai, Al Habtoor Group’s ‘Al Habtoor Tower’ and SOBHA Realty’s “SOBHA Crest,” signifies a momentous stride towards the realisation of sustainable construction methodologies in one of the world’s most thriving real estate markets. The rebar’s superior characteristics, reduced carbon footprint, and innovative design position ES600 as the preferred choice for low-carbon construction endeavours for the industry, supporting efforts to reduce emissions and contribute to a greener tomorrow. Further reinforcing sustainable commitment, EMSTEEL’s pioneering initia-
Aligned with the UAE’s Net Zero by 2050 Strategic Initiative, and now a global leader in low-carbon steel production, EMSTEEL is the first steel player globally to capture its CO2, operate with energy efficiency, source the majority of its electricity needs through clean energy, and utilise recycled scrap in its processes.
tive — the world’s first AI-led Green Steel Monitoring & Certification System was created in partnership with Sentra World and leverages their cloud-based software. The group is now equipped to calculate emissions at the heat level, ensure blockchain-enabled traceability, and even pro -
vide a digital wallet for carbon credits. With the capability to monitor ongoing decarbonisation initiatives such as CCUS and renewable energy integration in realtime, EMSTEEL is proud to offer steel products with reduced carbon emissions. In addition, EMSTEEL launched its DitchCarbon Emissions Intelligence subscription, enabling its suppliers to track and reduce their carbon emissions. The Group also introduced a three-year ESG and Sustainability assessment program, with scores planned to be part of supplier evaluation and selection. This framework evaluates governance and organisational management, supply chain management, human rights, employee well-being, and environmental stewardship, ensuring suppliers meet ethical and sustainable standards. EMSTEEL — steel business unit was recognised as a 2024 Steel Sustainability Champion by the World Steel Association (worldsteel). This prestigious accolade, now in its seventh year, recognizes companies in the steel industry for their
commitment to sustainability.