UAE-US Partnership: Advancing Clean Energy Goals for Global Prosperity
Key Ideas
  • The UAE and US launched the Partnership for Accelerating Clean Energy (PACE) to deploy $100bn for 100GW of clean energy by 2035.
  • Both nations committed $20bn to establish 15GW of clean energy projects in the US, with a focus on technologies supported by Masdar.
  • Abu Dhabi National Oil Company (Adnoc) acquired a 35% stake in ExxonMobil's blue hydrogen project, expanding its clean energy efforts.
  • Masdar, a key player, aims for a 25GW clean energy portfolio in the US, with investments in wind, solar, and battery storage projects.
The United Arab Emirates (UAE) and the US have joined forces through the UAE-US Partnership for Accelerating Clean Energy (PACE) to advance clean and renewable energy technologies. Launched in November 2022, this initiative targets mobilizing $100 billion to deploy 100GW of clean energy by 2035. In January 2023, a significant step was taken as the two nations committed $20 billion to establish 15GW of clean energy projects in the US, with Masdar leading alongside American private-sector investors. Furthermore, the partnership saw Abu Dhabi National Oil Company (Adnoc) acquiring a 35% stake in ExxonMobil's blue hydrogen project in Texas, signaling a commitment to low-carbon solutions. The venture aims to produce one billion cubic feet daily of blue hydrogen and over one million tonnes per annum of low-carbon ammonia. The push for innovation is evident through collaborations between the Abu Dhabi Department of Energy and esteemed institutions like the University of Arizona and the International Renewable Energy Agency. Masdar, a prominent player, is actively engaged in the US market, with the goal of achieving a 25GW clean energy portfolio within a decade. Their investments in wind, solar, and battery storage projects across multiple states have been instrumental in expanding their operations. Notably, the acquisition of a 50% stake in Terra-Gen has significantly boosted Masdar's presence, adding 3.7GW of operating capacity and a substantial development pipeline in California and Texas. In addition to these efforts, the UAE launched a groundbreaking energy storage project in Abu Dhabi in January 2025, combining solar power and battery storage for continuous renewable energy supply. This noteworthy project will incorporate the world's largest solar and battery energy storage system, featuring a 5.2GW solar photovoltaic plant and a 19GWh battery energy storage system (BESS), emphasizing the commitment to sustainable energy solutions.
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