UNLOCKING SUSTAINABLE SOLUTIONS

Carbon Pricing in the UAE

A desert oasis of green innovation

The sprawling urban landscape of Dubai at sunrise features iconic skyscrapers and intricate highway networks. The image symbolises the rapid urban development and the potential for sustainable urban planning in one of the world’s most dynamic cities. Photo by on

Imagine this: tall skyscrapers emerging from the desert, symbolising human creativity and ambition. Now, envision these buildings powered by clean energy, leaving a minimal carbon footprint. This vision represents the future the United Arab Emirates strives for through its proactive approach to carbon pricing.

The Emirates’ Green Revolution

The UAE is often associated with oil, but the country is now leading in the Middle East’s shift towards green energy. In 2023, the UAE made headlines by introducing the region’s first emissions trading scheme, signalling a significant transition towards eco-friendly practices on a national level.

But what exactly is carbon pricing, and why should you care? Well, imagine if you had to put a dirham in a jar every time you left the lights on unnecessarily. You’d probably start flicking that switch off pretty quickly, right? That’s the basic idea behind carbon pricing — it makes polluting costly, encouraging businesses and individuals to clean up their act.

How Does It Work in the UAE?

The UAE’s system is what’s known as a cap-and-trade scheme. Here’s how it works: