Providing <a href="https://www.thenationalnews.com/business/energy/2024/11/03/adipec-2024-energy-leaders-to-convene-in-abu-dhabi-amid-growing-middle-east-tension/" target="_blank">sustainable energy</a> security is “more important than ever” at a time of “complexity and conflict”, Dr Sultan Al Jaber, Minister of Industry and Advanced Technology, and Cop28 President, said on Monday. Speaking at Adipec, <a href="https://www.thenationalnews.com/business/energy/2024/11/04/enact-majlis-abu-dhabi-hosts-global-energy-tech-ai-and-climate-leaders-on-eve-of-adipec/" target="_blank">Dr Al Jaber</a>, who is also managing director and group chief executive of Adnoc, said that, against the current geopolitical backdrop, “the UAE will always choose partnership over polarisation, dialogue over division and peace over provocation". “Given these dynamics, our industry’s role in providing sustainable energy security is more essential than ever … we need more of it [energy] and we need to deliver more energy with fewer emissions to more people than ever before,” he said. Dr Al Jaber added that the world was facing the "dawn of a new era" defined by three megatrends – the rise of the Global South and emerging markets, the transformation of energy systems, and the exponential growth of artificial intelligence. "These three megatrends present mega opportunities that demand mega solutions," he added. Dr Al Jaber said that by 2050 the world’s population would grow by 1.7 billion, mostly in the Global South, and as a result energy markets must "shift and grow". “Wind and solar will expand seven times. Liquefied natural gas will grow by 65 per cent. Oil will continue to be used for fuel and as a building block for many essential products," he said. "And as the world becomes increasingly urban, demand for electricity will double. Adding to this demand is AI ... and it has the potential to accelerate the transformation of energy systems and to supercharge low carbon growth. But the exponential growth of AI is also creating a power surge that no one anticipated 18 months ago." On Monday, Adnoc and AIQ also announced the launch of ENERGYai, the "world’s first" custom-built agentic AI solution for the energy industry. The platform will combine large language model technology with AI "agents" that are trained in specific tasks across Adnoc’s value chain, the company said in a statement. The International Energy Agency has predicted that the total electricity consumption of data centres could exceed 1,000 terawatt-hours by 2026, nearly matching the electricity use of Japan. "No single source of energy is going to be enough to meet this demand. We need to integrate renewable energy, nuclear energy and gas in the most cost and carbon-efficient way," Dr Al Jaber said. Adipec, which takes place from November 4 to 7, comes as the Middle East remains embroiled in geopolitical turmoil. With heightened tensions between Israel and Iran, along with the conflicts in Gaza and Lebanon, the stability and energy security of the region face significant challenges. Industry stakeholders are also closely monitoring the US presidential election, which could have far-reaching implications for the global energy sector. "I would rather not talk about the election in the US [as it is] a political matter. We wish both the candidates the best," Suhail Al Mazrouei, the UAE's Minister of Energy and Infrastructure, said during a ministerial panel. He said the world would require "every source of energy" to meet the demand from AI and data centres, adding that the lack of investment in the oil and gas sector needed to be addressed. Annual upstream oil and gas capital expenditures will need to rise by 22 per cent by 2030, to ensure adequate supplies due to growing demand and cost inflation, a report by the International Energy Forum and S&P Global Commodity Insights said in June. Speaking at the same Adipec panel session, Indian Energy Minister Hardeep Singh Puri said "the global energy situation 40 years ago was very different from the situation today, and it's quite likely to be very different in 10-20 years from now". When asked whether India would expect a US election win for Donald Trump to bring down oil prices by encouraging shale production, he said "I would like to think it is a little more complicated than that". Global shocks have hastened the energy transition, Mr Puri said. The acceleration of clean energy and traditional fossil fuels will be needed for "the next two decades, if not longer", he added. India, the world's most populous country, is expected to be the largest source of oil demand growth between now and 2030, the IEA said.
