A new initiative will explore how to accelerate energy efficiency solutions, as part of a joint program agreed today by the UAE Ministry of Energy and Infrastructure (MoEI), technology giant Siemens, the UAE’s largest bank First Abu Dhabi Bank (FAB), and sustainability consultancy Zest Associates.

The initiative, dubbed Efficient EARTH, aims to reinforce the UAE’s long-term commitment to climate action through a new entity that coordinates, funds and accelerates the deployment of energy efficiency solutions internationally. Efficient EARTH aims to place the UAE at the technical and financial center of global energy efficiency deployment, building on its position as an emerging green finance hub and early mover in the field of energy efficiency action, having established Etihad ESCO in 2013.

“The Ministry of Energy and Infrastructure is working with Siemens, FAB and Zest Associates to explore how Efficient EARTH can build on the UAE’s successful track record of facilitating energy-saving solutions. This initiative aligns with our practical approach to climate action by combining technology and finance to invest in commercially viable solutions that reduce emissions and leave a lasting legacy beyond COP28,” said His Excellency Eng Sharif Al Olama, Undersecretary for Energy and Petroleum Affairs at the Ministry of Energy and Infrastructure.

Energy efficiency is among the highest potential, lowest cost carbon mitigation options globally. International Energy Agency (IEA) analysis shows that implementing cost-effective energy efficiency measures could deliver around 40% of the emission reductions needed to meet climate goals by 2040.

“Siemens provides technology that enhances energy efficiency, and we have committed to make all our production facilities and buildings worldwide net zero in carbon emissions by 2030. We are dedicated to helping our customers across the Middle East to meet their sustainability targets, and this collaboration with the Ministry of Energy and Infrastructure, FAB and Zest Associates demonstrates that commitment,” said Helmut von Struve, the CEO of Siemens in the UAE and the Middle East.

While investment in energy efficiency rose by 16% in 2022 to $560 billion, it still represents only half of what is needed to align with the IEA’s Net Zero Scenarios. Underinvestment remains chronic, despite the economic attractiveness of energy efficiency and the availability of mature technologies.