Greg Barker, the UK’s minister of state for energy and climate change, has recently stated that the UAE will be a major investor in Britain’s £200 billion ($321 billion) renewable energy plans which will transform the energy sector over the next decade.
Barker, at the World Future Energy Summit in Abu Dhabi, has said that Gulf countries will make the largest contributions to help Britain reduce its greenhouse gas emissions by 34% by 2020.
The largest investments are expected to be in the form of large wind farms, where Abu Dhabi has already made some progress in the form of the London Array, the largest offshore wind farm in the world, in which its Masdar investment company owns a 20% stake.
Related Article: Rail and Pipelines Merge in Oil Transit Bonanza
Barker stated that, “the London Array is just the beginning. I’m really delighted at the way in which the investment relationship between a number of actors from Abu Dhabi and the UK is developing.
Abu Dhabi has recognised that they are an energy economy, that they are not just a fossil fuel producer. They have a much more 21st century take on the global energy economy, and are determined to be a participant in every sector of that.”
MPs are discussing the new energy bill before it becomes official. Currently it allows electricity providers to charge higher rates to consumers in order to attract investors who will be guaranteed a minimum return for their new energy projects.
By. Joao Peixe of Oilprice.com
Joao is a writer for Oilprice.com