Day: October 4, 2022

ABU DHABI, Multiply Group, an Abu Dhabi-based holding company, has acquired 80% of International Energy Holding LLC (IEH).

International Energy Holding recently acquired a 50% stake in Kalyon Enerji Yatrimlari A.S., a market-leading clean and renewable energy company based in Türkiye. Under IEH, Multiply Group aims to continue expanding its utilities and energy investments globally.

Kalyon Enerji’s assets include the PV power plant project with an installed capacity of 1,347.734 MWp/1,000 MWe in Konya’s Karapinar region. When the project is completed in 2023, this facility alone will meet the annual electrical energy needs of approximately 2 million people.

The company also has a wind project of 1 GW capacity in Ankara developed by Türkiye’s Renewable Energy Resources Zone (YEKA), a 100 MW solar project in Nigde, a 50 MW solar project in Gaziantep, and other renewable energy projects in various cities of Türkiye.

Samia Bouazza, CEO and Managing Director at Multiply Group, said, “Our investment in International Energy Holding reflects our strategy to build up our utilities vertical which has contributed to our financial performance with a steady income, considering the current macroeconomic backdrop. The industry also offers strong growth potential as the world transitions towards clean and renewable energy. This also reflects our commitment to advancing the renewable and clean energy agenda in line with the goals of the UAE government.”

Multiply Group had recently invested AED10 billion in a 7.3% stake in the Abu Dhabi National Energy Company (TAQA). Other investments also include 100% ownership of PAL Cooling Holding, one of the top players in the UAE’s district cooling industry, and an AED367 million (US$100 million) stake in the initial public offering of Dubai Electricity and Water Authority (DEWA), the leading fully-integrated utilities company.

The remaining 20% of International Energy Holding has been acquired by Alpha Dhabi Holding, an Abu Dhabi-based conglomerate and subsidiary of the International Holding Company (IHC).

Source: Emirates News Agency

DUBAI, With the expansion of GCC urban areas, municipalities in the GCC are challenged to handle the ever-increasing waste generation through the existing landfill strategies. However, many GCC countries are already investing to improve their waste management, with deals soaring in volume and value in 2019, according to a new report by Boston Consulting Group (BCG) in collaboration with the World Business Council for Sustainable Development (WBCSD).

The report, titled “Recycling in the GCC: Securing Valuable Resources for a Sustainable Future”, finds that securing finite resources for future generations and minimizing environmental impact will depend on further increasing waste collection and recycling targets globally as well as across the GCC.

The GCC generates between 105 and 130 million tons of waste per annum, primarily from Municipal Solid Waste (MSW), Construction and Demolition Waste (CDW), and agricultural waste, with the Kingdom of Saudi Arabia (KSA) and the United Arab Emirates (UAE) accounting for approximately 75 percent.

The joint WBCSD-BCG study estimates that it will take US$ 60-85 billion invested across four key value streams, plastic, concrete & cement, metal, and bio-waste over the next 20 years to meet targets throughout the GCC region. This investment would cover design, collection, sorting, and recycling investment across these four key waste streams.

“Meeting bold targets and increasing circularity in the GCC region will yield multi-dimensional benefits. Beyond the obvious environmental value, the transition to a circular economy promises economic gains linked to job creation, economic growth, self-sufficiency, and independence from external regulatory pressures,” Shelly Trench, Managing Director and Partner, BCG, said.

Optimising circularity can moreover increase GDP by approximately USD 95 -105 billion across the GCC from the four key waste streams, and therefore accelerate economic diversification away from fossil fuel resources. It will increase independence from environmental regulatory pressures on key regional export goods. Circularity also supports economic independence from imported goods such as fertilizer through bio-waste recycling.

Increasing waste circularity also aligns with environmental and economic benefits since recycling creates over 50 times as many jobs as landfills and incinerators. Looking ahead, given additional waste volumes of approximately 255 million tons across the four key waste streams, making up 75 percent of all waste streams to be recycled in 2040 across GCC, this means potential for at least 200 – 300 thousand jobs in the GCC.

“It is estimated that contributing to such global targets is crucial as 80-90 percent recycling would not only save up to 1.5 billion tons of CO2 emission by 2040 in the GCC, helping to reduce global warming, but also protect nature through the conservation of water, land, and biodiversity. Quality of life in the GCC could also be enhanced through reduced air pollution and cleaner, more livable surroundings,” Stefano Castoldi, Principal, BCG, said.

“These targets positively acknowledge the challenges ahead. They are ambitious considering that it has taken some G20 countries 20-25 years to achieve such high landfill diversion targets from a starting point comparable to that of the GCC today,” Trench concluded.

Source: Emirates News Agency

DUBAI, The value of the UAE e-commerce market is expected to reach US$9.2 billion in 2026, while the sector’s share of total retail sales in the UAE is projected to reach 12.6 percent by the same year, a new analysis from Dubai Chamber of Commerce has revealed.

The study, based on data from Euromonitor and released ahead of GITEX Global 2022, on10-14 October 2022, highlighted several factors boosting e-commerce activity in the UAE, as well as high-potential growth opportunities.

Total e-commerce sales in the UAE recorded remarkable growth in 2021, reaching $4.8 billion during the year, compared to $2.6 billion in 2019.

Mobile devices, such as Smartphones and tablets, accounted for a majority of e-commerce transactions last year as the mobile retail market reached US$2.6 billion, accounting for 44 percent of the total e-commerce market value. Mobile retail sales are expected to record a compound annual growth rate of 15.6 percent over the 2022-2026 period to reach US$4.6 billion.

The study shows that more than one third of consumers in the UAE bought a product or service using their smartphone at least once a week, which is above the global average of weekly online purchases.

Among the key trends supporting the strong growth in mobile e-commerce transactions is the availability of apps, which has increased pricing transparency, the study said, adding that the growing number of loyalty rewards programmes offered by online retailers also drove up demand for online shopping in the UAE.

Shoppers in the UAE, according to the report, preferred local retail websites to overseas retailers. In 2021, domestic e-commerce websites accounted on average for 73 percent of the total sales while foreign websites received only a 27 percent share.

The report stated that despite the clear preference of buyers utilising domestic websites, increased competition from foreign e-retailers projected in the future. Between 2022 and 2026, foreign e-commerce platforms are expected to grow by 19.2 percent, which would mark a 34 percent gain in market share.

The UAE’s e-commerce landscape has evolved and grown considerably in recent years, through major investments, acquisitions and partnerships with global companies.

Investments in the sector have significantly changed the dynamics of the UAE e-commerce market, with the main impact being a downward pressure on prices due to increased competition and supply.

The improvement and modernisation of payment systems and services was identified as another key factor that has boosted demand and business activity within the UAE’s e-commerce sector.

Consumer electronics in the UAE constituted the top-selling online products in 2021 with a 34 percent share, consisting mainly of smartphones, phone accessories, computer accessories, tablets, computers and TVs. Apparel and footwear accounted for 31 percent, food and beverages 12 percent, media products 8 percent, personal accessories 5.8 percent, and consumer appliances 3.3 percent.

The relatively high shares of products purchased online indicate increased competition between online channels and traditional channels for electronics, apparel, accessories, cosmetics, as well as food and beverages.

Among the main product categories offering the most untapped potential in the e-commerce market in 2022 are: apparel and footwear, personal accessories, beauty and personal care and home and gardening.

Growth momentum within the UAE’s e-commerce sector is expected to continue, supported by rising demand for online shopping, and steady investment flows in the sector’s infrastructure.

The increasing momentum of e-commerce activity in the country is expected to provide more business opportunities in payment systems, financial technology, electronic logistics and distribution centres.

Source: Emirates News Agency