As of 2024, the United Arab Emirates (UAE) has about 7.90 gigawatts of solar energy installed, the largest in the Middle East.⁶

The UAE Solar Power Market size in terms of installed base is expected to grow from 7.90 gigawatts in 2024 to 36.06 gigawatts by 2029, at a CAGR of 35.48% during the forecast period(2024-2029).⁶

The UAE is expected to generate 25% of its electricity from solar energy and have a total installed solar capacity of 44 GW by 2050.⁷

The average costs of different electricity generation sources in UAE:

Coal: not available

Natural Gas: not available

Solar Energy: In 2024 the cost of electricity produced by solar is just 1.69 cents per kilowatt hour in USD 10 years ago it was 11 cents in USD per kWh.⁸

Electricity produced by different sources in UAE is as follows:⁹

Natural Gas: 86%           Nuclear: 7%             Solar: 4%                   Coal: 2%         Oil: 1%

Projected Renewable Energy:

Renewable energy was planned to be the largest energy source in the United Arab Emirates (UAE) by 2050 at a share of 44 percent.

UAE aims to increase the contribution of clean energy sources to  50 percent by 2050.¹⁰

In the UAE, electricity is generally available 24 hours a day due to the country’s highly developed and reliable UAE solar power infrastructure. ⁴⁵

There isn’t a specific figure for the number of photovoltaic (PV) systems installed in the UAE.

Under Shams Dubai solar program DEWA, In October 2019, Dubai managed to deploy 1,354 solar PV, collectively equal to 125MW solar capacity. The region aims to reach 5,000 megawatts by the end of 2030.¹¹

Installed:

Approximately 8 solar farms are currently operational in the UAE, with capacities ranging from 7 MW to 2,000 MW.¹²

Projected:

Approximately 7 future solar farm projects are planned in the United Arab Emirates (UAE) to be completed between 2030 and 2050 with capacities ranging from 60MW to 1500MW.¹²

No such information was found

The United Arab Emirates Solar Energy Market size in terms of installed base is expected to grow from 7.90 gigawatts in 2024 to 36.06 gigawatts by 2029, at a CAGR of 35.48% during the forecast period (2024-2029).⁶

A Solar Engineer in the United Arab Emirates typically earns around $1771 per month.
A project manager in the solar industry earns USD 3474 per month.¹³
The average hourly rate is around $32.64. Salary ranges from $47,582.05 to $82,656.99 per year¹⁴

The current population of the United Arab Emirates is 9,587,467 as of Monday, June 10, 2024. 94.0 % of the population is urban and 6% lives in rural areas.¹⁵

Estimate for Factory Rent

Rent for commercial location(factory) in UAE is calculated manually to be $8.17/square feet/year.¹⁶

Industrial Electricity Rates

The electricity price for businesses in UAE is $0.11 per kWh³

Water Costs

For industrial use, water cost is manually calculated as $114.3 for 10,000 gallons. Cost increases with each slab.¹⁷

Key Components of Administrative Costs

Salaries and Wages:¹³

• A Solar Engineer in the United Arab Emirates typically earns around $1771 per month.
• A solar technician earns half of it $885 per month.

Rent for Office Space

For office space rent in UAE is $88.48/square feet/year.¹⁶

Insurance

The average spending per capita in the Property Insurance market in UAE is estimated to amount to US$92.65 in 2024.¹⁸

Total installed electricity generation capacity: Total installed power capacity of 51.2GW in 2023.¹⁹

Total generation (in 2021): 149 TWh

Total consumption: 135 TWh

Per capita consumption: 14,400 kWh in 2021

Generation mix: natural gas 129 TWh (86%); nuclear 10.1 TWh (7%); solar 6.3 TWh (4%); coal 3.0 TWh (2%); oil 0.9 TWh (1%).⁹

Leading players:¹⁹

key players in electricity production and transmission are:

• Dubai Electricity and Water Authority (DEWA)²⁰
• Abu Dhabi National Energy Company (TAQA)²¹
• Sharjah Electricity & Water Authority(SEWA)²²
• Emirates Nuclear Energy Corporation (ENEC)²³
• Abu Dhabi Transmission and Dispatch Company (Transco)²⁴
• Emirates Water and Electricity Company (EWEC)²⁵
• ACWA Power²⁶

Transmission & Distribution²⁷

In the United Arab Emirates (UAE), the transmission and distribution of electricity are carried out by several key players:

1. Dubai Electricity and Water Authority (DEWA): DEWA is responsible for the transmission and distribution of electricity in Dubai. It operates the Dubai Electricity Transmission and Distribution Network, which includes high-voltage transmission lines, substations, and distribution lines
2. Abu Dhabi Water and Electricity Authority (ADWEA): ADWEA is responsible for the transmission and distribution of electricity in Abu Dhabi. It operates the Abu Dhabi Electricity Transmission and Distribution Network, which includes high-voltage transmission lines, substations, and distribution lines
3. Federal Electricity and Water Authority (FEWA): FEWA is responsible for the transmission and distribution of electricity in the other five emirates of the UAE, excluding Dubai and Abu Dhabi. It operates the Federal Electricity Transmission and Distribution Network, which includes high-voltage transmission lines, substations, and distribution lines
4. Private Companies: Private companies such as General Electric Company, Siemens AG, ABB Ltd, and Schneider Electric SE also play a significant role in the transmission and distribution of electricity in the UAE. They provide equipment and services for the construction and maintenance of transmission and distribution infrastructure.

These organizations work together to ensure the reliable transmission and distribution of electricity across the UAE, supporting the country’s growing energy demands and its transition to a cleaner energy mix.

Major power plants:

The United Arab Emirates (UAE) has a diverse range of power plants that contribute to its energy mix.²⁸

Thermal Power Plants:

The country is home to several large-scale thermal power plants, including the EGA – Al Taweelah Combined Cycle Power Plant, Hassyan Thermal Power Plant, Jebel Ali L Power Station, EGA – Jebel Ali Power Plant, and Jebel Ali M Power Station. These plants have a combined capacity of over 10,000 MW.²⁹

Solar Power Plants:

Additionally, the UAE has several solar power plants, including the Shams Solar Power Plant, Noor Abu Dhabi Solar Power Plant, and Mohammed bin Rashid Al Maktoum Solar Park, which have a combined capacity of over 3,000 MW (2021).

Nuclear Power Plant:

The country is also investing in nuclear power with the Barakah Nuclear Power Plant, which is currently under construction and will have a capacity of 5,600 MW

Other Renewable Energy sources

Wind energy:³⁰

The UAE Wind Program, launched by Masdar, includes four wind farms with a total capacity of 103.5 MW. The locations and capacities of these wind farms are:

• Sir Bani Yas Island, Abu Dhabi: 45 MW capacity wind farm and a 14 MW solar farm.
• Delma Island: 27 MW capacity wind farm.
• Al Sila, Abu Dhabi: 27 MW capacity wind farm.
• Al Halah, Fujairah: 4.5 MW capacity wind farm.

These projects are expected to power more than 23,000 UAE homes annually.

Hydropower:³¹

UAE has one hydropower project in its pipeline.

Hatta Pumped Storage Hydroelectric Project: Located in Hatta, Dubai, this 250 MW project is the first of its kind in the Arabian Gulf region. It uses water from the existing Hatta dam to generate electricity during peak demand periods. The project is expected to be commissioned in February 2024.

Energy Imports:³²

• The UAE imports most of its natural gas via pipeline, all of which is piped from Qatar. The country, however, also imports small quantities of natural gas in the form of LNG. In 2022, the UAE imported 32 Bcf of LNG from Qatar.
• The UAE imports all the coal it consumes, nearly all of which is metallurgical coal. The UAE also imports small quantities of bituminous and sub-bituminous coal.

The United Arab Emirates (UAE) has introduced several laws and regulations to promote the growth of solar energy and regulate the installation of solar photovoltaic (PV) systems.

Certification for solar panels:³³

Solar panels in the UAE must meet various national and international standards to ensure quality and safety:

• Emirates Authority for Standardization and Metrology (ESMA) Certification: Ensures that solar panels meet UAE national standards.
• International Electrotechnical Commission (IEC) Certification: Widely recognized international standards such as IEC 61215 for crystalline silicon solar modules and IEC 61730 for safety qualification.

Quality Standards & Testing

• International Standards: The UAE adheres to strict international standards for solar panels, including ISO IEC 17024, IEC 61215, and IEC 61730
• Testing Conditions: Solar panels undergo testing under standard conditions (STC) to determine their performance. STC specifies a temperature of 25°C, an irradiance of 1000 W/m², and an air mass of 1.5 (AM1.5)

The UAE has launched several significant initiatives and investments to promote solar panel production and usage as part of its broader strategy to increase the share of clean energy in its energy mix. Here are some of the key initiatives:

• UAE Energy Strategy 2050: The UAE plans to invest between $45 Billion to $54 Billion by 2030 to triple the share of renewable energy and increase clean energy capacity from 14.2 GW to 19.8 GW.³⁴
  This strategy aims to balance energy demand with sustainability and economic growth, targeting a grid emission factor of 0.27 kg CO₂/kWh by 2030 and creating 50,000 new green jobs by the same year​
• Shams Dubai: This initiative encourages residential and commercial buildings to install photovoltaic panels to generate electricity and connect them to the grid.
  The excess electricity generated can be fed back into the grid, helping to reduce the carbon footprint​.
• Net Metering Policies: These policies allow for the energy produced by solar panels on buildings to be used on-site, with any surplus energy being fed back into the grid.
  This not only reduces the energy bills for consumers but also encourages the adoption of solar technology​.³⁵
• Investment in Research and Development: The UAE is focusing on becoming a global hub for renewable and clean energy research and innovation. Significant investments are being made in developing new technologies and enhancing existing ones to increase the efficiency and affordability of solar power​.

Incentives and Tax Benefits:

In the UAE, solar installers and consumers can benefit from various incentives and tax benefits designed to encourage the adoption of solar energy:

• Tax and Duty-Free Advantages: Equipment and materials for solar power generation are eligible for tax and duty-free advantages within the first ten years of certification
• Zero-rated VAT: Solar power generation equipment and materials also enjoy zero-rated VAT, making them more affordable.
• Tax Rebates: Subject to the Department of Finance guidelines, tax rebates may be available for solar energy investments.

Mohammed bin Rashid Al Maktoum Solar Park:

MSRBIC in Dubai is the largest single-site solar park in the world, planned to reach 5,000 MW by 2030​ with a total investment of $13.6 billion.³⁶

• Capacity: It will generate 1,000MW by 2020 and 5,000MW by 2030.
• Status: Announced in 2017
• Technology: Concentrated solar power

Other notable solar projects are as follows:

Al Dhafra Solar PV³⁷

• Capacity: 2GW
• Status: inaugurated in 2023
• Technology: bifacial solar technology

Shams Solar Power Plant¹²

• Capacity: 100MW
• Status: commissioned in 2015
• Technology: Concentrated solar power

Masdar City Solar Photovoltaic Plant³⁸

• Capacity: 10MW
• Status: inaugurated in 2009.
• Technology: Mult crystalline and thin-film modules

Noor Abu Dhabi Solar Power Plant (Sweihan)

• Capacity: 1170 MW
• Status: Started on April 30, 2019
• Technology: Monocrystalline Photovoltaic (PV) Modules

Khazna Data Center Photovoltaic Plant (Masdar city)³⁹

• Capacity: 7 MW
• Status: completed in 2023
• Technology: Solar PV

Warner Bros. World Abu Dhabi Solar Photovoltaic Plant(Rooftop)⁴⁰

• Capacity: 7 MW
• Status: completed in 2023
• Technology: Solar PV

SeaWorld Solar Project(Yas Island, Abu Dhabi)⁴¹

• Capacity: 8.2 MW
• Status: completed in 2023
• Technology: Solar PV

Projected Solar Projects in UAE:⁴²⁴³⁴⁴

TAQA KIZAD Solar PV Park

• Capacity:2000MW
• Status: Start in 2027
• Location: Abu Dhabi

Al Ajban Solar PV

• Capacity:1.5 GW
• Status: 2025- 2027
• Location: Ajban Abu Dhabi

Al Khazna Solar Farm

• Capacity: 1500 MW
• Location: Al Khazna, Abu Dhabi
• Year: 2023-2025

Ras Al Khaimah Solar Project

• Capacity: 1200 MW
• Location: Ras Al Khaimah
• Year: 2025-2030

Sharjah Solar Power Plant

• Capacity: 60 MW
• Location: Sajaa, Sharjah
• Year: 2024-2025

Barjeel Solar Project

• Capacity: 1200 MW
• Location: Ras Al Khaimah
• Year: 2025-2030

Landfill Conversion to Solar Park

• Capacity: 120 MW
• Location: Beeah, UAE
• Year: 2025-2027

• Masdar (Abu Dhabi Future Energy Company): A leader, in the development of renewable energy and sustainable technologies, particularly in solar energy projects globally and in the UAE.⁴⁵
• ACWA Power: A developer, investor, and operator of power generation and water-desalinated production plants, with a significant investment in solar energy across the UAE. More information can be found on their official website.²⁶
• Siraj Power: Dedicated to providing comprehensive solar energy solutions including development, financing, construction, operation, and maintenance, primarily for commercial and industrial clients.⁴⁶
• Enerwhere: Known for their portable solar generators and solar rooftop installations, catering mostly to temporary or semi-permanent installations in remote or off-grid locations.⁴⁷
• Enviromena Power Systems: As one of the leading solar PV plant developers in the Middle East, Enviromena has extensive experience in deploying solar projects across the region.
• Yellow Door Energy: Offers solar leasing and energy efficiency solutions to commercial and industrial businesses to help reduce energy costs and carbon emissions.⁴⁸
• Al Shirawi Solar: Provides solar installation projects across Dubai, focusing on both commercial and residential sectors.⁴⁹
• Shams Al Khaleej Solar: Delivers a range of solar solutions, from system design and installation to maintenance and repair, specializing in both residential and commercial sectors.⁵⁰