Volvo Penta and Volvo Financial Services have joined forces to support DFDS in shifting towards electric-powered terminal operations, marking a step forward in port decarbonisation efforts.

The collaboration centres on a seven-year leasing agreement covering six electric RoRo terminal tractors, developed by MOL and equipped with Volvo Penta’s electric driveline systems. The package also includes preventative maintenance support and insurance, forming part of a broader end-to-end solution designed to ease the transition to electromobility.

The initiative aligns with DFDS’ longer-term strategy to convert a significant share of its fleet of 280 diesel-powered terminal tractors into electric alternatives. By opting for a leasing structure, the company can adopt new technology without the burden of high upfront capital costs, which remain a barrier for many operators considering electrification.

Volvo Penta noted that such financial models are becoming increasingly important as industries navigate rapidly evolving electric technologies. The integrated offer developed with Volvo Financial Services aims to make adoption more accessible, while reducing risk for customers exploring low-emission equipment.

The electric 4x4 RoRo tractors themselves have been under development since 2021, when Volvo Penta and MOL began working together on what became one of the first operational models of its kind. A prototype was deployed at a DFDS terminal in Ghent, where it underwent extensive real-world testing as part of validation trials lasting over a year.

Feedback from operations has played a central role in refining the machines. Engineers from both companies worked closely with DFDS teams to tailor performance, ensuring the tractors meet the specific demands of port environments.

Electrification of terminal tractors offers several operational and environmental advantages. These include lower emissions, contributing to improved air quality in port areas, as well as reduced noise and vibration levels. Such benefits are particularly relevant in confined or enclosed spaces, where conventional diesel equipment can have a greater impact on working conditions.

In addition, Volvo Penta’s involvement ensures access to an established service network, supporting reliability and ongoing maintenance of the electric driveline systems.

The first batch of six electric units is scheduled for delivery to DFDS operations in the Netherlands in the second quarter of 2026, as the company continues to scale up its transition to more sustainable logistics solutions.

The International Atomic Energy Agency has underscored the growing importance of clean energy in shaping the Middle East and North Africa’s evolving power landscape, as electricity demand continues to accelerate across the region.

Long recognised as a backbone of the global oil and gas market, MENA is now experiencing a parallel transformation driven by rapid population growth, urban expansion and higher living standards.

Increased reliance on cooling systems and desalination has further intensified power consumption, placing additional pressure on existing infrastructure.

According to the IAEA’s report, The Future of Electricity in the Middle East and North Africa, electricity demand has risen sharply over the past two decades.

Since 2000, consumption has tripled, climbing by more than 1,000 terawatt-hours. This upward trajectory shows little sign of slowing, with forecasts indicating a further 50% increase by 2035.

As governments respond to these pressures, attention is turning towards building more resilient and lower-emission energy systems.

The report highlights how clean energy technologies can support this shift, offering a route to reliable power supply while also opening up new industrial and economic opportunities.

Both energy exporters and importers stand to benefit, particularly through participation in emerging clean energy value chains.

In parallel with long-term planning, several countries are already taking steps to improve efficiency and reduce environmental impact.

In Algeria, Egypt, Iraq and Libya, collaborative initiatives have focused on curbing methane emissions and strengthening overall energy security.

Algeria, for instance, has launched a new programme in partnership with international stakeholders and domestic specialists.

The initiative aims to expand methane monitoring and mitigation efforts, while also developing local expertise through to 2027.

The IAEA notes that such targeted actions, combined with broader adoption of renewable energy and efficiency measures, will be critical in ensuring the region can meet rising demand without compromising sustainability goals.

Global renewable energy capacity reached a record 5,149 GW in 2025, driven by unprecedented annual additions of 692 GW, according to the latest report from International Renewable Energy Agency.

The Renewable Capacity Statistics 2026 report highlights a 15.5% year-on-year increase, with renewables accounting for 85.6% of all new power capacity installed worldwide. The findings underline a continued shift away from fossil fuel-based generation, particularly as geopolitical tensions heighten concerns around energy security and price volatility.

Rising instability in key regions, including the Middle East, has placed energy resilience firmly on the global agenda. IRENA noted that renewable energy sources, being locally generated and cost-effective, offer a strategic advantage by reducing reliance on imported fuels and exposure to global market fluctuations.

Francesco La Camera, director-general of IRENA, said the sustained growth of renewables demonstrates both market momentum and their role in strengthening energy systems. He emphasised that decentralised energy models, supported by diverse renewable sources, are better equipped to withstand economic and geopolitical shocks.

Solar power continued to dominate capacity additions, contributing 511 GW in 2025, or around three-quarters of the total increase. Wind energy followed with 159 GW, meaning the two technologies together accounted for nearly 97% of all new renewable installations. Their dominance reflects continued cost reductions and scalability compared to other technologies.

Bioenergy saw modest growth, expanding by 3.4 GW, while hydropower added 18.4 GW, largely driven by developments in China. Other renewable sources, including geothermal and off-grid systems, recorded smaller but steady increases, highlighting the diversification of clean energy solutions.

Regional disparities, however, remain a key challenge. Asia led global growth, contributing more than 74% of new renewable capacity, with total additions exceeding 513 GW. The region also holds the largest installed base at 2,891 GW, reinforcing its position as the global leader in renewable deployment.

Africa recorded its strongest annual increase, with capacity rising by 15.9%, supported by projects in countries such as Ethiopia, South Africa and Egypt. The Middle East also posted significant growth of 28.9%, led by Saudi Arabia, reflecting accelerating investment in clean energy infrastructure.

In contrast, regions such as Central America and the Caribbean continue to lag, with total capacity remaining comparatively low. IRENA warned that such imbalances could leave certain economies more vulnerable to energy supply disruptions and price shocks, underscoring the need for broader adoption of renewables.

The report concludes that while progress is accelerating, achieving global climate and energy security goals will require more balanced growth across regions and sustained investment in renewable technologies.

Emirates Water and Electricity Company (EWEC) has received four proposals from international developers for the Al Nouf 1 independent power producer (IPP) project.

The submissions come from a mix of global consortia and standalone firms, including partnerships led by Al Jomaih Energy and Water Company with Sembcorp Industries and EDF Power Solutions; ENGIE with Korea Overseas Infrastructure and Urban Development Corporation and Korea Western Power Company; and Korea Electric Power Corporation (KEPCO) with Etihad Water and Electricity. Sumitomo Corporation also submitted an individual bid.

Al Nouf 1 is set to become the UAE’s largest single-site combined cycle gas turbine (CCGT) plant designed to be compatible with carbon capture technologies.

With a planned capacity of up to 3.3 GW, the project will play a critical role in ensuring reliable electricity supply as the country expands its renewable energy portfolio.

The facility will be located within the Al Nouf Complex, a newly designated coastal hub intended to support integrated power generation and water desalination.

The site has been selected for its ability to accommodate advanced reverse osmosis systems alongside energy production, enabling more efficient and lower-carbon operations.

Designed with scalability in mind, the complex is expected to host multiple large-scale projects in the future.

Using AI and digital twins

EWEC said the project will utilise high-efficiency turbines and incorporate advanced digital solutions, including artificial intelligence and digital twin technologies, to optimise performance and enhance operational resilience.

These features are intended to ensure stable output while reducing emissions intensity.

Chief executive Ahmed Ali Alshamsi said strong interest from international developers reflects the attractiveness of Abu Dhabi’s IPP programme and its transparent procurement framework.

He noted that flexible gas-fired capacity remains essential to balancing intermittent renewable energy sources and maintaining grid stability.

The development is aligned with broader national objectives, including the UAE Net Zero by 2050 Strategic Initiative and the Abu Dhabi Department of Energy’s clean energy targets for 2035. In addition to supporting energy transition goals, the project is expected to contribute to workforce development through Emiratisation initiatives.

EWEC will now proceed with detailed technical and commercial evaluations of the bids, with the project targeted to begin commercial operations by the third quarter of 2029.