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Sustainability has become a crucial focus for Kuwait as it aims to mitigate the environmental impact of its oil production, which accounts for approximately 43 percent of its GDP. While Kuwait’s petrochemical industry, led by the impressive Al Zour refinery, remains a significant player in the global market according to the Vision 2035 roadmap, the country has also embarked on various environmental projects to promote the production of clean fuels and maintain its position as a regional leader in downstream refining.
One notable project is the new hydrocracking unit at the Mina Abdullah refinery, which commenced operations in 2021. This unit is capable of producing up to 70,000 barrels per day (bpd) of low-sulfur diesel and kerosene that meet European standards. By adhering to these stringent standards, Kuwait demonstrates its commitment to reducing harmful emissions and promoting cleaner energy sources.
Another significant endeavor is the Sulaibiya wastewater treatment plant, which caters to 26 percent of the country’s overall water demand. This facility plays a vital role in providing non-potable water for agricultural and industrial purposes, as well as replenishing aquifers. Additionally, the Umm Al Hayman plant serves as an essential water treatment facility, further emphasizing Kuwait’s dedication to conserving water resources and ensuring their efficient utilization across economic sectors.
“ENGIE has a strong commitment to accelerating the energy transition, which we achieve through three key approaches: replacing conventional energy with renewables, deploying cooling and heating networks, and saving energy through our energy services,” stated Yassine Lafhail, Kuwait General Manager at ENGIE Solutions. With the implementation of digitalization and automation solutions, Lafhail estimates that Kuwaiti companies can potentially reduce their energy costs by up to 90 percent. Achieving such significant savings not only benefits businesses but also contributes to a substantial reduction in carbon emissions, thereby aiding Kuwait in its quest to lower greenhouse gas emissions.
As part of its sustainability vision, Kuwait aims to increase the share of renewables in its energy mix to 15 percent by 2030. To achieve this ambitious goal, the country has planned the construction of the Subiya solar PV water storage plant in Al Jahra. This plant, with a generating capacity of 30MW, is set to commence its construction phase in 2023 and become operational in 2025. Furthermore, the Shagaya renewable energy project, a combination of wind and solar generation systems, is expected to generate a clean energy capacity of 3.2GW by 2030. Some phases of this project are already operational, showcasing Kuwait’s commitment to diversifying its energy sources and reducing its reliance on fossil fuels.
According to a report by consulting firm Mordor Intelligence, the solar energy sector in Kuwait is projected to experience a compound annual growth rate of 7 percent from 2022 to 2027. This growth is largely driven by companies, particularly those in the oil and gas sector, seeking to decarbonize their energy supply and integrate solar projects into their operations through power purchase agreements (PPAs).
“We have received numerous inquiries from the private sector regarding solar energy. Most of our private sector clients are large companies looking to embrace sustainable practices and reduce their carbon footprint,” added Lafhail.
With these initiatives and the growing demand for solar energy, Kuwait is paving the way for a greener and more sustainable future. By embracing renewable energy sources and implementing innovative solutions, Kuwait is not only addressing its environmental challenges but also setting an example for other countries to follow. The efforts made by Kuwait will undoubtedly have a positive impact on the global fight against climate change and contribute to a more sustainable planet for future generations.
Source: From the ground up