ADNOC Distribution, the UAE’s leading mobility and convenience retailer, has announced the second phase of its service station solarization initiative in collaboration with Emerge, a joint venture between Masdar and the EDF Group.
The initiative will see Emerge financing, designing, installing, and maintaining solar photovoltaic (PV) panels across ADNOC Distribution’s UAE service stations. This move aligns with the company’s sustainability strategy, targeting a 25% reduction in operational carbon intensity by 2030. Additionally, the program is expected to lower energy costs and optimize the energy mix at ADNOC’s stations.
Sustainability-Linked Financing
The solarization program is part of ADNOC Distribution’s broader sustainability goals, supported by its adoption of sustainable financing. In January 2023, ADNOC Distribution converted an existing $1.5 billion term loan into a sustainability-linked loan, marking a first for the UAE fuel retail sector. The loan ties financial incentives to achieving specific environmental targets, including solarization.
Leadership Commentary
Eng. Bader Saeed Al Lamki, CEO of ADNOC Distribution, expressed pride in the initiative, stating:
“We are pleased to partner with Emerge to bring solar energy to our Abu Dhabi service stations, building on the successful solarization of our Dubai network last year. Incorporating solar power into our energy mix reflects our strong commitment to sustainability and the UAE’s net-zero ambitions.”
Michel Abi Saab, General Manager of Emerge, highlighted the program’s progress:
“We are proud to extend our partnership with ADNOC Distribution and launch the second phase, covering over 100 stations. At Emerge, we remain dedicated to helping businesses reduce carbon emissions and achieve sustainability goals.”
Phase 1 Success and Phase 2 Targets
During the first phase, solar panels were installed at 28 service stations in Dubai, generating 6,300 MWh of electricity by the end of 2024. This resulted in a reduction of over 2,900 tonnes of CO₂ emissions.
In Phase 2, solar panels will be installed at more than 100 service stations in Abu Dhabi. These installations are projected to generate 30,000 MWh of renewable energy annually, equivalent to powering one billion smartphones and avoiding over 13,000 tonnes of carbon emissions—comparable to the carbon absorption of 250,000 tree seedlings over a decade.
Broader Decarbonization Efforts
The solarization program is part of ADNOC Distribution’s comprehensive decarbonization strategy, which also includes AI-driven tools for emissions management, biofuels for fleet operations, and other sustainability initiatives.
ESG Achievements
ADNOC Distribution solidified its position as an ESG leader in 2024, ranking in the top quartile of ratings by Bloomberg, S&P Global, the London Stock Exchange, and FTSE Russell. It also became the first fuel retailer in the Middle East to earn the Dubai Chamber of Commerce Centre for Responsible Business’ ESG Label.
Emerge’s Contribution
Since its inception, Emerge has developed over 200MWp of solar capacity across various sectors, offering turnkey solar solutions without upfront costs to clients. The company continues to earn recognition for its commitment to building a sustainable future.
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