CLIMATE ACTION AND GREENHOUSE GAS ACCOUNTING: A VITAL PART OF UAE’s SUSTAINABLE STRATEGIC PLANNING!

 Climate change is becoming and undeniable threat – happening in an accelerated rate!!!

According to UAE’s Federal Decree-Law No. (11), climate change is - “A change of climate which is attributed directly or indirectly to human activity that alters the composition of the global atmosphere and which is in addition to natural climate variability observed over comparable time periods”. As we witness the severity of extreme weather events both globally and locally, the urgency of climate action has never been clearer.If there is no proper balancing between climate change mitigation and economic development, then the entire economy will be at risk.

UAE’s rapid urbanisation, industrial growth and economic diversification have led to a significant increase in greenhouse gas emission, making climate action mandate more than optional one. With an ambitious goal of achieving net zero by 2050, UAE started its transition to a more sustainable economy. In 2015 UAE became the first GCC country to sign Paris Agreement in reduction of GHG emission. Even though UAE is one of the biggest fuel suppliers, it is now transitioning away from fossil fuels to cleaner and sustainable renewable resources. As the upcoming policies, laws and regulations are more focussed on sustainability, climate action is inevitable. With a clear commitment to Net Zero 2050, UAE is making climate action a fundamental component in business more than an optional one by complying with national regulations, maintaining competitiveness in global markets by reducing emissions, assessing investment options by prioritizing ESG performance, managing economic resilience and cost efficiency.

Federal Decree-Law No. (11) of 2024 On the Reduction of Climate Change Effects” is a pivotal legislation introduced in UAE aiming to address and mitigate climate change effects and a significant milestone in environmental policy. Key objectives of this legal regulation were mitigation of climate change effects, identifying emission sources and reduction of emission by source entity, strengthening adaptation and resilience, promoting sustainable development and implementation of climate action plans. Even though UAE is an emerging global business hub, its commitment to sustainability is remarkable.

The “Federal Decree-Law No. (11) of 2024 On the Reduction of Climate Change Effects” federal and local government entities, businesses and industries to adopt sustainable practices, climate risk assessments and implement decarbonisation strategies. While positioning as a global sustainability leader, this law serves as a crucial instrument to ensure climate action accountability, support UAE’s economic diversification and enhance UAE’s global competitiveness.

This Law aligns with;

There are certain regulatory measures to achieve this law;

  • Emission reduction targets: Aligning with national pathway to carbon neutrality, the ministry is mandated to set sectoral annual GHG emission reduction targets
  • Climate Action Plans: MOCCAE, is the responsible authority for developing and implementing climate change adaptation and mitigation plans, which assess key climate related risks, establish response measures and ensure necessary actions.
  •  Monitoring and Reporting: A centralised electronic system will be established to track emission data, ensuring transparency and accountability and all the entities should monitor, report and verify emission data.
  •  National Carbon Credit Registry: Carbon emissions, credits and their retirement facilitating carbon offsetting and emission tracking were established by this national registry

                                                                                                  
The law mandates all public and private entities, including those operating within free zones, are mandated to align all their operations and activities within the limit of national emission reduction targets and adaptation strategies. And all local authorities are tasked to develop and implement localized climate change mitigation and adaptation plans.

     At EHS Management Consultants, with experts from multiple sectors, we are here to assist you for achieving climate mandates, avoid penalties and leverage sustainability for profitability and growth, paving their way to green finance. Rather than only assuring compliance, we incorporate sustainability and climate action to help you unlock more opportunities on your business pathway.

     
                                                                                             

WHY PARTNER WITH US?

Regulatory Confidence: Stay fully compliant with UAE’s evolving climate policies.
Cost Savings & Efficiency: Reduce operational expenses through smart sustainability strategies.
Competitive Advantage: Gain ESG leadership and attract responsible investors.
Expert Insights: Leverage our deep industry knowledge to future-proof your business.

Sustainability is about building long-term business value, —not just about complying with rules.

📞Let’s future-proof your business together!

To transform compliance into opportunities, get in touch with us right now!!🌍♻️




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