NewBase 21 December 2023 Energy News issue - 1683 by Khaled Al Awadi_compressed.pdf

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NewBase Energy News 21 December 2023 No. 1683 Senior Editor Eng. Khaled Al Awadi
NewBase for discussion or further details on the news below you may contact us on +971504822502, Dubai, UAE
UAE Taqa eyes vital role (shareholder) in Greece-Cyprus HVDC
Interconnection Project
NewBase + Trade Arabia
Abu Dhabi National Energy Company (Taqa), one of the largest listed integrated utility companies
in Europe, the Middle East and Africa, has signed a MoU with Greek and Cyprus governments to
explore the possibility of becoming one of the shareholders in a project to develop a 900km high-
voltage direct current (HVDC) electricity interconnection between Greece and Cyprus.
Under the terms of the deal, Taqa will explore joining Greece’s transmission system operator,
Independent Power Transmission Operation of Greece (IPTO) and the Cyprus Government as
shareholders in a project which is estimated to cost 1.9 billion euro.
The project will terminate Cyprus’ energy isolation, increase energy security in the Eastern
Mediterranean and encourage the development and export of clean energy to both Cyprus, Greece
and the rest of the European Union (EU).
ww.linkedin.com/in/khaled-al-awadi-80201019/

Cyprus has significant green energy export potential with the country investing heavily in the flow of
clean energy between neighbouring countries and regions.
Along with Greece, it has some of the highest potential for renewable energy in Europe for both
solar and onshore and offshore wind power generation, making the two countries ideal locations for
a project of this kind.
The agreement was signed at the recent COP28 event in Dubai, in the presence of George
Papanastasiou, Cyprus Minister of Energy, Commerce, and Industry, Manos Manousakis, President
and CEO of IPTO, the promoter of the project, and Jasim Husain Thabet, Taqa’s Group CEO and
Managing Director.
IPTO is implementing a 5 billion
euro development programme by
the end of the decade, which
includes not only a series of island
interconnections within Greece,
but also a series of cross-border
interconnections that act as a
catalyst for the energy transition.
The interconnection project
between Greece and Cyprus is in
an advanced stage, with feasibility
studies completed, and contracts
for two major engineering,
procurement and construction
(EPC) components have been reserved.
In July, Nexans was awarded a 1.43 billion euro contract for the HVDC cables contract.
Furthermore, Siemens AG was appointed as the preferred bidder for the contract to build the two
VSC HVDC converter stations for the project.
Lauding the deal, Papanastasiou said it constitutes an additional, pivotal milestone towards the
realisation of the electricity interconnection between Cyprus and Greece.
"As an EU Project of Common Interest, which has already been approved for a 657 million euro
grant from the “Connecting Europe Facility”, the interconnection is of crucial importance to Cyprus
as its construction will lift our island’s ongoing energy isolation.
The project is also key to reaching Cyprus’ wider energy strategy goals of fortifying its energy
security, reducing the cost of electricity for the benefit of our economy’s competitiveness, as well as
expediting our green transition," he stated.
"The Republic of Cyprus, which is now assessing its own active participation to the project, as
shareholder, is confident that the strategic involvement of distinguished and experienced entities
such as IPTO and now TAQA, can ensure its timely completion and enhance further the cooperation
between Cyprus, Greece and the United Arab Emirates," he added.
Manousakis said this agreement reflects the high investor interest for the project promoted by IPTO
that will be known from now on as the Great Sea Interconnector.

"The interconnection between Greece and Cyprus, which is the most mature segment, is entering
construction phase, beginning from the subsea cable, which will be built by Nexans. We are very
much looking forward to a close and fruitful cooperation with all stakeholders in order to expedite a
project of strategic importance which enhances the energy security and the green transition in the
Eastern Mediterranean, bringing the region closer to the electricity system of Europe," he added.
Thabet stated that Taqa aims to play a key role in this transformative project which will increase
energy security and accelerate the deployment of clean energy in the Eastern Mediterranean.
"As a low-carbon power and water champion, Taqa is committed to investing in the transmission
infrastructure needed for the energy transition, enabling decarbonisation and ensuring energy
security," he stated.
"HVDC projects are vital to connect clean energy projects to the end users, and we are ambitiously
accelerating investment and growth in our infrastructure business to help our stakeholders
Taqa had recently announced its new growth targets for 2030, including its plans to expand the
Transmission and Distribution business internationally.
This HVDC project is the third project of its kind outside of the UAE, that Taqa has announced this
year. Just last month, the company announced an MoU with the Romanian Power Grid Company
Transelectrica, Meridiam, E-INFRA and Fluor for a feasibility study of an HVDC infrastructure project
in Romania.
In April, the Abu Dhabi group also invested AED113 million into Xlinks First Limited to lay the world’s
longest HVDC subsea cables between the UK and Morocco to transport renewable power to the
UK.

Egypt: Acwa Power to develop $4bn green hydrogen Project
The National - John Benny
Saudi Arabia's Acwa Power has signed a framework agreement to develop a $4 billion green
hydrogen project in Egypt.
The first phase of the project will have the capacity to produce 600,000 tonnes a year of green
ammonia, which could be increased to two million tonnes annually in a second phase, the Riyadh-
based utility said in a statement on Wednesday.
“As a first mover in green hydrogen, Acwa Power is proud to bring its expertise in this new and
exciting market to Egypt,” said its chief executive Marco Arcelli.
“Egypt is well positioned to become one of the world’s top producers of green hydrogen and we are
elated to be a part of the country’s energy transition.”
Green hydrogen is produced using electrolysers powered by renewable energy to split water from
oxygen, significantly reducing the carbon dioxide emissions caused by traditional hydrogen
production methods that mainly use fossil fuels.
At the UN climate conference Cop27, Egypt brought forward its goal of sourcing 42 per cent of its
energy from renewable sources by 2035 to 2030. Its current renewable energy component is about
20 per cent.
Including the latest agreement, Acwa Power will operate five renewable energy projects in the North
African country with a total power generation capacity of 1.4 gigawatts.
Acwa Power, which is backed by the Public Investment Fund, has operations in 12 countries across
the Middle East, Africa, Central Asia and South-East Asia.
Its portfolio includes 77 projects in operation, advanced development or construction – with an
investment value of $82.8 billion – and the capacity to generate 53.69 gigawatts of power and
manage 7.6 million cubic metres of desalinated water a day.
The first phase of the project will have the capacity to produce up to
600,000 tonnes a year of green ammonia

Iraq: DNO Kurdistan production continues to climb
Source: DNO
DNO, the Norwegian oil and gas operator, has announced that gross production from its operated
Tawke license in the Kurdistan region of Iraq continues to climb, with the December to date average
approaching 90,000 barrels of oil per day (bopd).
That lifts the projected fourth quarter 2023 figure to 65,000 bopd, up from 26,000 bopd in the third
quarter and zero production in the second quarter, following closure of the Iraq-Türkiye Pipeline in
March 2023.
Of the total Tawke license production, close to 40 percent represents the Company’s current
entitlement share, which is sold to local buyers at prices in the low to mid-USD 30s per barrel. All
such sales are conditional on advance payment in US dollars to DNO to eliminate any risk of arrears
build up.
In addition to stepping up local sales, DNO has reduced costs materially since the pipeline closure,
with operational spend in the Tawke license averaging some 65 percent below the pre-export
shutdown level. The Tawke license holds the legacy Tawke field in production since 2007 and the
Peshkabir field in production since 2017. Both fields were developed and put in production less than
two years following discovery.
'These are resilient fields and DNO is a resilient company,' said DNO Executive Chairman Bijan
Mossavar-Rahmani. 'Even with local sales prices as low as half of those realized from export sales
through Türkiye, strong production generates material free cash flow for DNO,' he added.
'We remain confident that the latest challenges facing DNO and the other international oil companies
will be resolved once again and we remain committed to growing our business in Kurdistan as we
have over the past two decades,' Mr. Mossavar-Rahmani said. 'And that is notwithstanding a pivot
to Norway where we have been reporting exploration discovery after discovery over the past two to
three years.'
DNO is planning to drill another well in the Baeshiqa license in Kurdistan in 2024 following a
discovery made in 2019. DNO operates and has a 75 percent stake in the Tawke license with
partner Genel Energy International holding the balance. In the Baeshiqa license, DNO holds a 64
percent operated interest (80 percent paying interest) with partners Turkish Energy Company
Limited holding a 16 percent interest (20 percent paying interest) and the Kurdistan Regional
Government holding a 20 percent carried interest.

Indonesia:UAE's Mubadala Energy announces major gas
discovery in South Andaman.. Khaleej Times
Mubadala Energy, the international energy company headquartered in Abu Dhabi, on Tuesday
announced a significant gas discovery from the Layaran-1 Exploration well, drilled in South
Andaman, about 100km offshore North Sumatra, Indonesia.
Mubadala Energy is the operator of the South Andaman Gross Split PSC and this is the first deep
water well operated by the company, drilled to a depth of 4,208 meters in 1,207 meters water depth.
The well encountered an extensive gas column with a thickness of over 230 metres in an Oligocene
sandstone reservoir. A complete data acquisition including wireline, coring, sampling and production
test (DST) were conducted. The well successfully flowed over 30mmscf/d of excellent gas quality.
With an 80 per cent working interest in South Andaman, Mubadala Energy is the largest net acreage
holder in the area. In line with company’s gas-biased strategy, the positive outcome from the
Layaran-1 discovery will de-risk multi-TCF of prospective gas resources in the area, providing the
foundation for future organic growth and additional exploration drilling activities in 2024.
Mansoor Mohamed Al Hamed, CEO, Mubadala Energy, said: “With our strategy to expand our gas
portfolio to support the energy transition, this development offers material commercial opportunities
and adds momentum to our strategic growth story.
This is not only a significant development for Mubadala Energy but a huge milestone for Indonesia’s
and Southeast Asia’s energy security. We are proud to have achieved this by leveraging our world
class technical and operational capabilities.”
This new confirmed discovery is the second consecutive successful well for Mubadala Energy in
the Andaman area, coming after the success of Timpan-1 in Andaman-II, which itself came after
success at Cengkih-1 in our SK320 in Malaysia. These discoveries add material contingent volume
and provide a platform for continued growth for Mubadala Energy in the region.

U.S. crude oil exports reached a record high in first half of 2023
Data source: U.S. Energy Information Administration, Petroleum Supply Monthly
U.S. crude oil exports in the first half of 2023 averaged 3.99 million barrels per day (b/d), which is a
record high for the first half of a year since 2015, when the U.S. ban on most crude oil exports from
the United States was repealed. In the first half of 2023, crude oil exports were up 650,000 b/d
(19%) compared with the first half of 2022.
Europe was the largest regional destination for U.S. crude oil exports by volume, at 1.75 million b/d,
led by exports to the Netherlands and UK. Asia was the regional destination with the next-highest
volume, at 1.68 million b/d, led by exports to China and South Korea. The United States also
exported significantly smaller volumes of crude oil to Canada, Africa, and Central America and
South America.
Although exports increased in the first half of 2023, the United States still imports more crude oil
than it exports, meaning it remains a net crude oil importer. The United States continues to import
crude oil despite rising domestic crude oil production in part because many U.S. refineries are
configured to process heavy, sour crude oil (with a low API gravity and high sulfur content) rather
than the light, sweet crude oil (with a high API gravity and low sulfur content) typically produced in
the United States.
U.S. crude oil imports come primarily from historical trading partners such as Mexico and Canada.
Heavy, sour grades of crude oil are often discounted compared with light, sweet grades of crude oil
because they require more complex refinery units to produce profitable yields of refined products
such as motor gasoline, diesel, and jet fuel.
Most U.S. crude oil imports take place when it is more profitable for U.S. refiners to process
discounted heavier grades because those refineries have already invested in the additional
complexity required to refine them.

The rapid increase in U.S. domestic production in the early 2010s increased domestic light, sweet
crude oil production. Light, sweet grades of crude oil traditionally benefit from a price premium in
the global crude oil market because they yield high amounts of profitable petroleum products from
less complex refining processes.
Some U.S. refiners on the Gulf Coast have invested in expanding their light, sweet crude oil
processing capacity. However, for many refiners, particularly in the Midwest and along the Gulf
Coast, refining discounted heavy, sour crude oil grades remains more profitable.

NewBase December 21 -2023 Khaled Al Awadi
NewBase for discussion or further details on the news below you may contact us on +971504822502, Dubai, UAE
Oil set to end winning streak over US stock build
Reuters + NewBase
Oil prices fell on Thursday and were on track to snap a three-day winning streak, as concerns over
low demand following a surprise U.S. crude inventory build outweighed jitters over global trade
disruptions due to tensions in the Middle East.
Brent crude futures fell 22 cents, or 0.3%, to $79.48 a barrel by 0303 GMT while U.S. West Texas
Intermediate crude was at $74 a barrel, also down 22 cents or 0.3%.
Both benchmarks ended higher on Wednesday for a third straight session, as investors worried
about trade disruptions given major maritime carriers chose to steer clear of the Red Sea route, with
longer voyages increasing transport and insurance costs.
"Market focus returned to sluggish global demand as the impact on the Red Sea is seen to be limited
on oil as long as it does not spill over into the Strait of Hormuz," said Tsuyoshi Ueno, senior
economist at NLI Research Institute.
"A build in U.S. crude stocks and record domestic oil production also added to pressure," he said.
Oil price special
coverage

The U.S. Energy Information Administration (EIA) said on Wednesday that U.S. crude
inventories (USOILC=ECI) rose by 2.9 million barrels in the week to Dec. 15 to 443.7 million barrels,
compared with analysts' expectations in a Reuters poll for a 2.3 million barrel drop.
EIA also said U.S. crude output rose to a record 13.3 million barrels per day (bpd) last week, up
from the prior all-time high of 13.2 million bpd.
For shipping, about 12% of world traffic passes up the Red Sea and through the Suez Canal.
However, the impact on oil supply has been limited so far, analysts said, because the bulk of Middle
East crude is exported via the Strait of Hormuz.
"Since there will be no additional production cuts by OPEC+ this year, oil prices will likely remain in
range through the end of the year, with focus on key economic statistics and the U.S. dollar's
reaction to them," said Naohiro Niimura, a partner at Market Risk Advisory, a research and
consulting firm.
He predicted WTI would trade between $70 and $75 this month.
The U.S.-led coalition imposing a price cap on seaborne Russian oil announced changes on
Wednesday to its compliance regime that the Treasury Department said would make it harder for
Russian exporters to bypass the cap.

Shipping industry in the dark over US-led Red Sea navy force
Reuters
Shipping companies remain in the dark over a new international navy coalition being assembled by
the United States to combat attacks in the Red Sea, with many vessels continuing to avoid the area
or cancelling contracts, sources said on Wednesday.
The sources, who include shipping and maritime security officials, say few practical details are
known about the initiative launched on Tuesday by Washington or whether it will directly engage in
the event of further armed attacks at sea.
A cargo ship is seen crossing through the New Suez Canal, Ismailia, Egypt, July 25, 2015.
REUTERS/Stringer/File Photo Acquire Licensing Rights
Iran-backed Houthi militants in Yemen have since Nov. 19 stepped up attacks on vessels in the Red
Sea to show support for Hamas as Israel's military offensive in Gaza continues. Their leader said
on Wednesday the group would strike U.S. warships if it is targeted by Washington.
Houthi fighters have fired missiles and launched seaborne assaults on ships from fast boats.
Missiles fired have been repelled by U.S. warships.
"There are still a number of unknowns with the coalition. We don't know exactly how many warships
will be involved, how long it will take those vessels to get to the region, or their rules of engagement
and the actual protection scheme that will be put in place," said Corey Ranslem, chief executive of
British maritime risk advisory and security company Dryad Global.

"Globally this is a fairly small area, however providing protection to commercial vessels in this region
could be a major undertaking depending on the number of vessels along with any changes to the
Houthi tactics."
On Nov. 19, Houthi commandos landed on car carrier Galaxy Leader by helicopter and took it back
to Yemen's northern Hodeidah port. The vessel and its crew are still being held.
The attacks have disrupted a key trade route that links Europe and North America with Asia via the
Suez Canal and caused container shipping costs to rise sharply as companies seek to ship their
goods via alternative, often longer,
routes.
Dryad's Ranslem said the threat to
commercial shipping was likely to
continue as the war goes on.
"A number of global shipping
companies are diverting around
Africa or completely pausing
operations within this region. If the
coalition efforts are not effective we
expect more shipping companies to
divert around the Cape," he said.
Traffic through the narrow Bab al-
Mandab strait connecting the Red
Sea and the Gulf of Aden fell by 14%
in the Dec. 15-19 period compared
with Dec. 8-12, according to data
from AIS ship tracking and maritime
analytics provider MarineTraffic.
U.S. Secretary of Defense Lloyd
Austin, on a visit this week to
Bahrain, home to the U.S. Navy's
headquarters in the Middle East,
said Bahrain, Britain, Canada,
France, Italy, the Netherlands,
Norway, Seychelles and Spain were
among nations involved in the Red
Sea security operation.
The group will conduct joint patrols in the southern Red Sea and the adjacent Gulf of Aden. "Will
they do anything except swat the missiles out of the sky? If that's all, then will it give the assurances
that are needed for shipping companies? We don't know yet," said one shipping industry source.
"The market needs to see it have some success or concrete action," another source said.
The International Chamber of Shipping said it expected the new task force to enable a "co-ordinated
effort across a large number of military warships that will provide a significant suppressive
response".
Attacks by Yemen's Houthi militants on ships in the Red Sea are disrupting maritime trade through
the Suez Canal, with some vessels re-routing to a much longer East-West route via the southern
tip of Africa.

RED SEA VOYAGES PAUSED
Container shipping companies in particular have continued to pause their voyages through the Red
Sea, using instead a route around Africa that adds days to journey times and raises costs. That in
turn has stoked worries about delays to deliveries and price rises that could trigger a new bout of
global inflation.
"We will continue to re-route all vessels planned until Dec. 31. Then we will reassess the situation
and decide," a spokesperson for Germany's Hapag Lloyd said.
Another shipping industry source said some ship owners had cancelled charter contracts through
the Red Sea citing "unsafe navigation", or were requiring a risk premium on top of reimbursement
for rising war risk insurance cover.
A U.S.-led Combined Maritime Force already exists, comprising 39 countries and based in Bahrain.
Its main focuses are "counter-narcotics, counter-smuggling, suppressing piracy, encouraging
regional cooperation", according to its website.
The new coalition will initially be led by the United States and Britain and other members over time
"will be persuaded to do their bit", said Gerry Northwood, a consultant with maritime security
company MAST and former British navy captain.
"So, industry will have to lump it," said Northwood, who once commanded warships in the region.
"The rules of engagement will be configured to allow the ships to defend shipping against surface
and air threats. Taking the fight to the Houthis ashore will be for a different operation."

NewBase Specual Coverage
The Energy world –December 21 -2023
CLEAN ENERGY
Global consensus: COP28's message on fossil fuel transition
BY IMRAN KHALID - HTTPS://WWW.DAILYSABAH.COM
The Dubai deliberations underscore a global effort to address the urgent need for sustainable
energy, emphasizing a historic agreement that highlights shared responsibility in tackling the climate
crisis
The outcome of the COP28 climate summit in Dubai, where representatives from almost 200
nations reached a consensus to commence the reduction of global fossil fuel consumption, marks
a pivotal moment, signaling the eventual transition away from the oil age.
Climate activists protest after a draft of a negotiation deal was released, at the United Nations Climate Change Conference COP28 in
Dubai, United Arab Emirates, Dec. 13, 2023. (Reuters Photo)
The agreement, achieved after rigorous two-week negotiations, serves as a compelling
message to both investors and policymakers worldwide. It underscores a collective
commitment to sever ties with fossil fuels, a crucial step deemed by scientists as the
most viable solution to avert the impending climate catastrophe.
The deliberations in Dubai reflect a concerted effort to unite nations in acknowledging the urgency
of embracing alternative, sustainable energy sources. With its far-reaching implications, this historic
agreement highlights the global community's shared responsibility and resolve to address the
climate crisis and forge a sustainable path forward.

The final text of the Conference of Parties (COP), while not meeting the expectations of those
advocating for a more decisive commitment to phasing out fossil fuels, signifies a historic step.
This marks the first formal acknowledgment within the COP framework of the imperative to transition
from conventional, polluting energy sources like coal, oil and gas to cleaner, renewable alternatives.
The compromise achieved in Dubai lays the groundwork for future, more robust initiatives, providing
a foundation for continued global dialogue on sustainable practices. While some countries may find
the commitment less stringent than desired, the acknowledgment itself is a crucial precedent,
recognizing the urgency of addressing climate change and shifting toward environmentally
responsible energy sources.
The language of the final text reflects the hard bargaining and negotiations during the sessions to
secure consensus among diverse nations. Nonetheless, the conclusion of the United Nations
climate conference in Dubai signals a significant shift toward reducing reliance on fossil fuels, as
echoed by 198 participating nations.
While the conference faced delays due to objections from OPEC countries opposing the explicit
phrase "phasing out," the overall commitment to transition away from fossil fuels is evident.
This diplomatic achievement underscores the global consensus on addressing climate change and
marks a crucial step toward sustainable practices. The extended duration of the negotiations
highlights the complexities of balancing diverse interests, particularly from oil-producing nations,
emphasizing the need for nuanced language to accommodate varied perspectives and advance
collective environmental goals.
With its ambitious targets of tripling renewable capacity and doubling energy efficiency rates, the
agreed action plan can curtail global warming within the critical 1.5 degrees Celsius (2.7 degrees
Fahrenheit) threshold.

However, the efficacy of these measures hinges on the realization of an equitable climate financing
deal, particularly for developing nations. Unfortunately, the summit's outcome remains
conspicuously silent on this pivotal aspect.
The gravity of financial need
A U.N. report underscores the gravity of the financial need, estimating that developing countries
(excluding China) would require a substantial $2.4 trillion annually. While this figure appears
staggering, the question lingers: What is the cost of preserving our planet?
Despite being the wealthiest nation globally, the United States, the largest oil and gas producer, has
chosen an alarming path of expanding fossil fuel extraction, a move deemed reckless and
inexcusable, particularly considering Washington's historical responsibility in shaping the
environmental narrative.
The accord signifies a pivotal shift toward sustainable energy practices, articulating the imperative
of a phased departure from fossil fuels by 2050. This language mirrors ongoing global initiatives as
nations transition toward greener economies, evidenced by a surge in renewable power
installations.
The agreement, more a menu than a strict directive, accommodates diverse national trajectories
while emphasizing the overarching goal of limiting global warming to 1.5 degrees Celsius. The
strategy involves tripling global renewable energy capacity by 2030, expediting the reduction of coal
usage, and advancing technologies like carbon capture and storage for industries resistant to

decarbonization. This flexible approach acknowledges the distinct circumstances of each nation
within the framework of sustainable development.
As governments worldwide strive to actualize these commitments, the deal encapsulates a
cooperative, albeit pragmatic, blueprint for the international community to collectively address the
climate crisis.
The discourse around climate change champions in developed nations resonates as a crucial yet
complex narrative. These countries, historically major contributors to carbon emissions, now
champion climate initiatives at COP conferences, emphasizing early fossil fuel phaseouts and
accelerated adoption of renewable energy.
It is a narrative laden with optics, portraying commitment to environmental stewardship. However,
the essence of leadership lies not just in rhetoric but in substantial financial support for developing
nations navigating the transition to cleaner energy sources.
While the developed nations project an image of climate activism, the lack of robust financial
commitments raises questions about their sincerity. The optics of leadership crumble when
juxtaposed with the reluctance to invest significantly in global green initiatives.
Instead, scapegoating, exemplified by blaming OPEC for delays in agreements, becomes a
deflective strategy. However, this tactic exposes their shortcomings, especially when some of these
countries are major oil producers benefiting from any delay in transition. Moreover, the influence of
their dominant oil and gas companies complicates the narrative.
The global industry's giants quietly benefit from the delays, adding a layer of hypocrisy to the
purported climate leadership. The real test of leadership lies in championing ideals and actively
facilitating the necessary financial underpinnings for a global shift to sustainable practices. Without

this substantive commitment, the rhetoric of climate leadership remains hollow, revealing a stark
disconnect between words and meaningful action.
Fulfilling COP21's promise
In 2015, COP21 marked a pivotal moment when nations collectively committed to curbing global
temperature rise to the preindustrial benchmark of 1.5 degrees Celsius. This ambitious goal hinged
on a three-pronged strategy involving mitigation, adaptation and finance. While progress has been
made on the first two fronts, the lingering challenge lies in securing adequate financial support, the
linchpin for effective climate action.
Undoubtedly, the urgency to address climate change cannot tolerate the sluggish pace witnessed
in successive COP conferences since the groundbreaking Paris Accord. Scientists emphasize that
breaching the 1.5 degrees Celsius threshold heralds irreversible and catastrophic consequences –
from melting ice formations and heightened extinction rates to alarming groundwater depletion and
intolerable heat levels.
The COP series must transcend incremental progress and decisively address the financial
impediment, ensuring that the collective commitment made in Paris transforms into a dynamic force
capable of averting irreversible environmental degradation. The clock is ticking, and Earth demands
rhetoric and concrete, well-funded initiatives to secure a sustainable future.
In the past decade, the confluence of economic and political dynamics within the G-7 and EU has
hindered global unity in addressing the pressing existential crisis of our time. COP28 emerges as a
potential turning point, but its efficacy hinges on the rich world's profound introspection regarding
the current state of its democratic discourse in the coming year.
The success of COP28 necessitates a departure from the divisive trends that have marred
international collaboration, compelling affluent nations to engage in sincere self-reflection. This
introspective process must transcend economic interests and political maneuvering, prioritizing a
shared commitment to environmental stewardship and global well-being.
As the world stands at the precipice of profound ecological challenges, the rich world's course
correction in democratic discourse becomes not only a pragmatic necessity for COP28's success
but a moral imperative to navigate the complexities of our interconnected global future.

COP28 deal on fossil fuels gives impetus to 'just transition'
The hard-won agreement at the COP28 climate summit to transition away from fossil fuels for
energy was heralded as the "beginning of the end" for the production and use of oil, coal and gas,
and a key step in limiting global warming.
But what does that mean for workers whose jobs and incomes depend on extracting polluting fuels
from the ground, or burning them in power plants?
From coal miners to offshore oil rig engineers, the 32 million people who work in the fossil fuel
industry face losing their livelihoods over time as the global energy mix turns greener and the share
of renewables - like solar and wind - grows.
This, experts warn, could cause a backlash against the shift to low-carbon economies unless efforts
are made to cushion the blow to workers and communities, and ensure they can access new green
employment opportunities and acquire new skills.
At the Dubai climate talks, while efforts to end production and use of fossil fuels grabbed headlines,
there was also a growing emphasis on not leaving behind countries and workers that depend on
them and instead seeking a "just transition".
"Decarbonisation will create millions of decent new jobs, but governments must also ensure support,
training and social protection for those who may be negatively impacted," U.N. Secretary-General
Antonio Guterres said in a speech at COP28.

"At the same time, the needs of developing countries highly dependent on the production of fossil
fuels must also be addressed," he added.
WHAT WAS AGREED ON "JUST TRANSITION" AT COP28?
The package of decisions adopted in Dubai noted that a shift away from fossil fuel energy should
happen "in a just, orderly and equitable manner" - and developing countries redoubled their calls
for financial support to help them expand renewables.
Under the U.N.'s new "Just Transition Work Programme", a plan was approved to outline "just
transition pathways" to achieve the Paris Agreement climate goals.
Those pathways will differ according to how dependent a country is on fossil fuel extraction and use,
as well as its levels of poverty and development.
To advance understanding about the issues, governments agreed to hold twice-a-year dialogues at
the mid-year and end-of-year U.N. climate talks, as well as a ministerial roundtable once a year -
the first of which happened in Dubai.
There Nick Robins, a professor of sustainable finance at the London School of Economics'
Grantham Research Institute, said not enough attention had yet been paid to the social challenges
and opportunities arising from the transition to a carbon-neutral world.
He called for more policy leadership and finance to address that gap.
He noted that about 30% of 168 national climate action plans assessed by the U.N. climate
secretariat included efforts towards a just transition - while only 3% of the world's 150 most carbon-
polluting companies have just transition plans they have developed together with workers.
WHAT NEEDS TO HAPPEN NEXT TO ADVANCE JUST TRANSITION EFFORTS GLOBALLY?
Robins said the Just Transition Work Programme can help more countries incorporate the social
impacts of energy transition into their climate action plans, due to be updated in 2025.
What is being learned could also help deal with the need to cut planet-heating emissions in other
economic sectors, including forestry, agriculture and transport, he added.
Manal Shehabi, a researcher at Britain's University of Oxford, told ministers "just transition" efforts
are evolving beyond a narrow focus on providing decent work for those leaving fossil fuel jobs - but
said disagreements persist over timelines and priorities.
Developing countries, for instance, have emphasised the need to grow their economies and pull
their people out of poverty - something they fear could be compromised if they have insufficient time
and financial support to deal with the disruptions expected from a green shift.
Women's rights advocates, in turn, have said that the burden of the looming changes should not fall
harder on women, and that women should have strong access to new opportunities to help
overcome existing inequalities in labour markets.
WHAT ARE THE PRACTICAL CHALLENGES OF ACHIEVING A JUST TRANSITION FOR WORKERS?
The International Trade Union Confederation welcomed the references to labour rights and social
protection included in the COP28 decision on just transition.
But it warned that "the lack of an overall commitment to fully engage with trade unions in transitioning
away from fossil fuels and in other vital areas of climate action will hinder progress, as it risks leaving
workers and their communities behind".

Another key threat to the transition - in energy and other parts of the economy where emissions
must fall to net-zero by mid-century - is a global lack of green skills, according to professional
networking platform LinkedIn.
In its 2023 Global Green Skills Report, it found that only one in eight workers has green skills, based
on data from its more than 930 million users worldwide.
The situation is worse for women, with less than one in every 10 female workers possessing any
green skills.
Allen Blue, LinkedIn co-founder and vice president for product management, told the Thomson
Reuters Foundation in Dubai there is growing recognition of the deficit of green skills among workers
and the need to address it.
"It's easy to convince governments that it's important but actually coming to a solution is ... very
different wherever you go," he said.
European countries, for example, have systems in place to help tackle the shortfall, but it poses a
bigger challenge in developing countries which lack resources, he noted.
The European Union supports labour organisations, educational bodies and public authorities to
help job seekers in the green economy under its "Climate Pact", while the European Social Fund
aims to enable green training for 5 million people.
Blue said one option for poorer nations might be for governments to specify that investors in clean
energy - and companies carrying out those projects - should fund reskilling and training for local
workforces, which could be carried out by NGOs.
Anabella Rosemberg, an expert on just transition with Climate Action Network International, an
activist group, pointed to Spain as one country successfully rolling out regional plans for workers
and local economies to move beyond closures of coal mines and coal power plants, after wide-
ranging consultation.
Overall, Spain has committed about 5 billion euros ($5.45 billion) to investments in 15 "just
transition" zones, covering some 5,200 workers, with more jobs created in activities such as soil
restoration, technology and recycling than lost in the coal sector.
The U.N.'s Just Transition Work Programme could play a role in identifying practical measures -
including social support programmes, re-training and economic alternatives - for affected places,
and channelling international funding to them, Rosemberg said.
"My hope is that this (programme) helps us put some of the real issues on the table and then see
where is the consensus to make it happen," she said, adding that doing so would increase buy-in
from citizens for greater climate action.

NewBase Energy News 21-December - Issue No. 1683 call on +971504822502, UAE
The Editor:” Khaled Al Awadi” Your partner in Energy Services
NewBase energy news is produced Twice a week and sponsored by Hawk Energy Service – Dubai, UAE.
For additional free subscriptions, please email us.
About: Khaled Malallah Al Awadi,
Energy Consultant
MS & BS Mechanical Engineering (HON), USA
Emarat member since 1990
ASME member since 1995
Hawk Energy member 2010
www.linkedin.com/in/khaled-al-awadi-38b995b
Mobile: +971504822502
khdmohd@hawkenergy.net or khdmohd@hotmail.com
Khaled Al Awadi is a UAE National with over 30 years of experience in the Oil & Gas
sector. Has Mechanical Engineering BSc. & MSc. Degrees from leading U.S.
Universities. Currently working as self leading external Energy consultant for the
GCC area via many leading Energy Services companies. Khaled is the Founder of
the NewBase Energy news articles issues, Khaled is an international consultant,
advisor, ecopreneur and journalist with expertise in Gas & Oil pipeline Networks,
waste management, waste-to-energy, renewable energy, environment protection
and sustainable development. His geographical areas of focus include Middle East,
Africa and Asia. Khaled has successfully accomplished a wide range of projects in
the areas of Gas & Oil with extensive works on Gas Pipeline Network Facilities & gas
compressor stations. Executed projects in the designing & constructing of gas pipelines, gas metering &
regulating stations and in the engineering of gas/oil supply routes.
Has drafted & finalized many contracts/agreements in products sale, transportation, operation &
maintenance agreements. Along with many MOUs & JVs for organizations & governments authorities.
Currently dealing for biomass energy, biogas, waste-to-energy, recycling and waste management. He has
participated in numerous conferences and workshops as chairman, session chair, keynote speaker and
panelist.
Khaled is the Editor-in-Chief of NewBase Energy News and is a professional environmental writer with over
1400 popular articles to his credit. He is proactively engaged in creating mass awareness on renewable
energy, waste management, plant Automation IA and environmental sustainability in different parts of the
world. Khaled has become a reference for many of the Oil & Gas Conferences and for many Energy program
broadcasted internationally, via GCC leading satellite Channels. Khaled can be reached at any time, see
contact details above.

NewBase 21 December 2023 Energy News issue - 1683 by Khaled Al Awadi_compressed.pdf

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