From Gas to Green: The Growth of the UAE’s Electric Mobility Market

As the rest of the world transitions to a more sustainable future, the UAE’s electric mobility market had established its dedication and began spearheading the transformation early on. Businesses across the industry are committing to innovation and sustainability and are constantly looking for new and inventive ways to improve their goods and services. Since electric vehicles are undoubtedly the way of the future, we are even more committed to keeping the UAE at the forefront of this revolutionary change and advancing the country’s electric vehicle industry.

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According to a McKinsey & Company report, global sales of electric vehicles are expected to increase from 3% in 2020 to 26% in 2030, signalling significant growth in the electric mobility market over the next 10 years. Due to growing awareness of the negative effects traditional gasoline vehicles have on the environment, there has been a significant shift in consumer preference towards electric vehicles. According to the report, Europe and China are the two biggest markets for these sales, with Norway having the highest market share at 75%.

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The government of the United Arab Emirates has launched a number of initiatives to support clean energy and electric mobility, making significant efforts to transition to sustainable transportation systems across passenger cars and the electric bus market, with Dubai’s Roads and Transport Authority (RTA) aiming to have 50% of its public buses running on electricity by 2025. The implementation of EV charging infrastructure across the nation, the promotion of incentives for EV purchases, and the creation of regulations to lower transportation-related carbon emissions are a few of these projects. Because of this, it is anticipated that the UAE will contribute significantly to expanding the global EV market in the upcoming years, helping to lower greenhouse gas emissions and promote sustainable mobility.

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The Dubai Integrated Energy Strategy 2030 is one such initiative, with goals to increase the proportion of clean energy to 29% and decrease energy demand by 30% by 2030. To support electric mobility, the Dubai Electricity and Water Authority (DEWA) has established a number of programmes, such as the EV Green Charger Initiative, which provided free EV charging for non-commercial users until the end of 2021.

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Additionally, the ‘Smart Charging’ scheme was launched, which urges EV owners to charge their cars off-peak to lighten the load on the grid, which needs to manage the rise in electricity demand brought on by the widespread use of electric vehicles. Several businesses have installed EV charging stations in Dubai’s malls, airports, and gas stations with government support making it simpler for EV owners to charge their cars as they go about their daily lives, thanks to the expanded network of charging stations. Another move made in the right direction is the Dubai Supreme Council of Energy’s Dubai Green Mobility Initiative, which aims to reduce carbon emissions and promote sustainable transportation in the city. This seeks to encourage electric and hybrid vehicles and promote public transport and active modes such as cycling and walking.

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However, the UAE’s push for sustainability and innovation in the electric mobility market is not just limited to government initiatives; both the government and private sectors in the UAE are working hand in hand towards a greener and more sustainable future. A recent survey conducted by Ipsos found that an impressive 70% of respondents in the UAE would consider buying an electric vehicle in the next five years, highlighting the public’s growing awareness and interest in adopting sustainable transportation solutions, with environmental concerns and lower operating costs being cited as primary motivators. Hyundai is offering 8 years warranty or 150,000 Kms on the battery and 5 years warranty on the car. Additionally, Hyundai is investing in the UAE’s electric mobility market, exhibited by its launching the Kona Electric model in the UAE in 2018.

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?Hyundai batteries are manufactured using lithium, a lightweight metal that provides several advantages over other battery materials. Not only are they safer and more temperature tolerant, but they also have a longer lifespan, making them an excellent choice for powering a wide range of vehicles. Furthermore, lithium batteries are more environmentally friendly than their counterparts, as they can be recycled and reused multiple times without losing their performance capabilities.

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The UAE has emerged as a global leader in the electric mobility market, with its market projected to grow at an annual rate of 30% between now and 2028. The country ranks among the top 10 countries globally in terms of readiness for electric mobility, with significant growth trends in the EV sector and increased tourist footfall. With all these developments, the UAE ’s electric mobility market is set to expand rapidly in the coming years and interlink the transport and electricity sectors like never before, as the Gulf state aims to become carbon neutral by 2050.

The nation’s commitment to creating a sustainable and innovative electric mobility market is truly inspiring. The government, companies, and individuals are all playing a significant role in driving towards a more sustainable future, with the measurable progress made towards a more eco-friendly transportation system being a testament to the collective efforts of all involved. The future of electric mobility looks bright, and it’s an exciting time to be part of this transformative movement.