MENA is set to capitalize on AI systems in transport, renewable energy and agritech, contributing over 6% to the region’s energy GDP by 2030, a report by Google and the Economist found. The Economist Intelligence Unit estimated in 2019 that Saudi Arabia and the UAE alone could add USD 200 bn and USD 122 bn to their economies from value added by AI by 2030, while the Google-Economist report says MENA stands to gain USD 320 bn within the same timeframe. Value added by AI is largely realized by automation-driven cost savings and product and service improvement.

AI’s role in the climate sphere: AI can be used to monitor, predict, forecast, design and optimize climate impacts and solutions, which can help businesses and governments measure the environmental footprint of products and policies.

How does it work? By using real-time data and near-real-time analytics, AI can be used to monitor the environmental impact of products, business, policies, and events, whether through satellite observation or smart micro-solutions like smart metering. The UN Environmental Program’s (UNEP) World Environment Situation Room, for example, uses AI to analyze datasets and generate predictive forecasts to track CO2 and methane emissions, provide near-real-time insights on the impact of air quality for health protection measures, as well as predict sea level rise and changes in glacier mass.

GCC has ambitious AI strategies: In 2017, the UAE published its AI strategy (pdf) — and appointed a minister of state for artificial intelligence — with the aim of making the country one of the world’s leaders in AI by 2031. Saudi Arabia launched the National Strategy for Data and AI (pdf) in 2020, which includes KPIs that aim to place the kingdom in the top 15 globally when it comes to AI, with a focus on governance, healthcare, energy and mobility. More recently in 2021, Qatar published its AI strategy (pdf) prioritizing transportation, food security, and improving efficiency in oil and gas processes to reduce downtime and pollution.

And MENA isn’t far behind: Egypt formed the National Council for Artificial Intelligence (NCAI) in 2019 and unveiled its AI strategy (pdf), which includes using AI for agriculture, water management and environment, manufacturing and smart infrastructure management. Oman, which published its AI strategy in 2020, includes among its target areas urban planning and smart cities, agriculture, energy, as well as plans to transform the city of Duqm into a smart city.

AI climate investments are on the rise: Neom — which partnered with Oracle and NVIDIA in AI technology at LEAP23 earlier this month — is incorporating AI and advanced robotics into its DNA, including promises of a fully autonomous transportation system for the smart city. Last year, Saudi’s Ministry of Environment, Water and Agriculture, and the Saudi Data and Artificial Intelligence Authority partnered up with the Google Cloud Platform for Cloud Computing and the Climate Engine Foundation for climate research to launch a scientific program for Earth foresight, which uses AI to address environmental preservation, pollution control, sustainable agriculture, climate and nature protection, and water and food security.

Transport AI systems are the regional frontrunners: Transport AI systems are forecast to contribute some 15% to the GDPs of the GCC and Egypt by 2030, according to the Google-Economist report. This includes predictive transport management and traffic safety as well as autonomous vehicles. As electric vehicle adoption increases, AI is increasingly being used to monitor and predict demand and usage of charging terminals, optimize battery usage and improve safety and efficiency. Dubai’s Roads and Transport Authority (RTA) is using AI to improve its public bus service by shortening journeys, reducing fuel consumption and increasing bus ridership using big data gathered from smart cards, buses and taxis. It is also being used in the aviation industry, with Etihad signing an agreement last year to begin using AI to measure and benchmark its environmental footprint.

And contributions by the energy sector are picking up speed: AI systems are forecast to contribute more than 6% to the region’s energy GDP by 2030, according to the report. This includes using AI technologies to improve energy management and efficiency, forecast energy demand, achieve renewable energy targets, refitting electricity grids, monitor grid stability, optimize energy usage and reduce system losses and carbon emissions. In much of the GCC, the infrastructure needed to employ AI has been installed, with examples including in Saudi Arabia, Dubai, Abu Dhabi, Bahrain, Oman, Qatar and Kuwait. Meters — paired with IoT, Big Data and AI — will improve energy efficiency and energy needs forecasting, as well as help to identify weaknesses in the energy systems. Critically, AI can aid in the decentralization and optimization of renewable energy as utilities shift to a regulatory role, shifting excess electricity to parts of the grid where energy is needed and detecting surpluses.

State-owned oil and gas companies in the GCC are only hopping on the bandwagon: Oil and gas companies are increasingly investing in AI to optimize operations, reduce risks and costs, minimize their environmental footprint and monitor greenhouse gas emissions. Oil giant Aramco signed an MoU with King Abdullah University of Science and Technology last April for a research center advancing AI technology, and in 2021, Aramco partnered up with the UK-based Aveva to use digital technologies including AI to drive sustainability. In 2019, Aramco established the 4IR Center, an AI center that includes in its scope using AI to reduce the carbon footprint of fossil fuel extraction and deployment. In the UAE in 2020, Adnoc and Abu Dhabi-based AI and cloud computing company Group 42 launched a joint venture company named AIQ to develop AI applications for global oil and gas.

** In Part Two: We’ll take a look at how startups and the private sector are using AI for climate mitigation and adaptation in MENA.