TODAY: Thank you for coming + EU tariff squabble could lead to a price hike for EVs
Good morning, friends. We bring you a relatively calm morning in terms of regional climate news, although we’re writing to you after the Enterprise team had an exceptionally exciting day yesterday.
We were thrilled to welcome so many of you from Egypt and the region at our first Enterprise Climate X Forum at the Grand Egyptian Museum yesterday to discuss what we firmly believe is the most compelling industry of our generation.
The forum tackled the climate industry from A-Z, from explaining green hydrogen — which remains an early stage of its rollout, looks set to become is a key component of our future energy mix — to how corporates in global emerging markets are coping with climate change. We also took a deep dive into climate finance to look at the role banks play in getting green projects off the ground — and what the opportunity in climate financial means for financial institutions (which we recap for you in the news well below).
WE HAVE MORE in this morning’s EnterpriseAM and will have additional coverage over the coming days.
Please join us in thanking the wonderful people who made yesterday, our friends at: USAID, HSBC, Mashreq, Attijariwafa Bank, Etisalat by e&, Hassan Allam Utilities, and Infinity.
STAY TUNED- The Enterprise Climate X Forum is our first large-scale event, but it’s not our last. We look forward to welcoming many more of you at our slate of Enterprise X Forums coming up in 2023.
ICYMI- Should we prioritize adaptation to climate change or mitigation? It shouldn’t be a zero-sum game, our panelists yesterday at the Enterprise Climate X Forum agreed — in fact, the regional private sector is growing particularly interested in adaptation (learning to live with a changing world) and not just mitigation (how to lower our emissions).
But when big money is involved, the debate can get heated. The state of the debate globally has seen wealthy nations champion mitigation for a long time now, but developing nations — who disproportionately bear the brunt of climate change — are pushing for much more financing for adaptation. We have more on the mitigation vs. adaptation debate in this week’s Going Green in EnterpriseAM.
THE BIG CLIMATE STORY OUTSIDE THE REGION- The EU doesn’t want products linked to deforestation: The European Commission sealed a provisional agreement yesterday to reject products that come from deforested lands. This includes coffee, beef, palm oil, timber, cocoa, rubber, charcoal and soy — generally in their pure form, but also including their derivatives. The commodities and products that fall under this category will no longer be imported or sold in the EU. (Bloomberg | Reuters | Euronews)
SOUND SMART- The decision comes a day before the kickoff of the UN’s biodiversity summit COP15 in Montréal. COP15 runs through19 December. The UN Biodiversity Conference is looking to reach a post-2020 global biodiversity framework which includes 21 targets to hit by 2030 in a bid to preserve and safeguard nature.
ALSO- EV prices could rise by 10% in Europe: The EU’s refusal to extend tariff exemptions on essential components needed for electric vehicle manufacturing could lead to a 10% price hike from 2024, the Financial Times reports. Under the UK-EU Trade and Cooperation Agreement, EVs are temporarily exempted from the rules that products must be substantially made in Britain or the EU to qualify for a zero tariff. A large portion of EV batteries are imported from Asia, leading both EU and UK car manufacturing groups to press for an extension on the tariff exemption due to a lack of locally-made batteries and precursor chemicals needed for EV manufacturing.
WATCH THIS SPACE #1- Moroccan farmers will be the first to grow a drought-resistant variety of wheat within three years, the Guardian reports. Farmers and crop scientists developed this cross hybrid variety of wheat — called Jabal — by mixing commercial durum wheat with a wild Syrian relative to produce a climate resilient crop.
REMEMBER- A 1°C rise in temperatures could cause a 6.4% drop in the amount of wheat grown around the world, the BBC reported last month. Universities and institutions worldwide have been engineering more resilient and nutritious foods as droughts and other climate risks threaten agriculture and food security.
WATCH THIS SPACE #2- The construction contract for Kuwait’s North Kabd sewage treatment extension project could be awarded by 1Q 2023, Zawya reports, citing a source it says is in the know. The country’s Public Works Ministry had issued the tender for the contract, which will include the management, operation, and maintenance of the entire plant, in July. The project is set to increase North Kabd’s capacity by 90k cubic meters per day (cbm/d), bringing the entire facility’s treatment capacity to 270k cbm/d. The USD 500 mn overall plant is expected to be fully completed by 2025, the outlet quotes the source as saying.
HAPPENING TODAY-
The Big 5 Global Construction Impact Summit is kicking off today at the Dubai World Trade Center in UAE. The event will bring together more than 2k exhibitors and regional and global construction industry leaders to discuss ways to meet net-zero and waste-reduction targets.
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CIRCLE YOUR CALENDAR-
Saudi Arabia will host the China-Arab Summit this Friday, 9 December. The Chinese delegation — including President Xi Jinping — will discuss and potentially sign dozens of agreements with KSA and other Arab states covering energy, security and investments, according to Reuters.
Tunisia will host the International Renewable Energy Congress from Tuesday, 13 December to Thursday, 15 December in Hammamet. The event will provide a platform for researchers and industry leaders to showcase trends in the renewable energy sector.
Saudi Arabia will host The Future Minerals Forum on Tuesday, 10 January to Thursday, 12 January at the King Abdulaziz International Conference Center. The forum will discuss the region’s critical minerals supply and creating resilient and responsible minerals value chains for the energy transition.
Check out our full calendar on the web for a comprehensive listing of upcoming news events, national holidays and news triggers.