Renewable Energy Policy and Feed-in Tariff Scheme Implementation in the UAE

This paper explores renewable energy policy in the United Arab Emirates (UAE), with particular focus on the potential introduction of a Feed-in Tariff (FIT) scheme. It provides a broad analysis of solar energy, highlighting its growing importance in sun-rich countries such as the UAE, the reasons solar energy is prioritised, and the rapid expansion of the solar market. It also examines historical and current energy trends in the UAE alongside national ambitions to transition towards a green economy. Owing to its strategic geographical location and high solar irradiance, the UAE presents significant opportunities for large-scale investment and long-term economic returns from solar energy. The potential implementation of a FIT scheme is evaluated through comparison with neighbouring regions and countries such as Germany, where FIT mechanisms have been successfully adopted. A solar calculator simulation for a villa rooftop installation is presented. Results indicate that under conditions of 2285 kWh/m²/year irradiance, 180° orientation, and a 30° tilt angle, profitability begins in the ninth year, yielding a total return of approximately USD 13,700 over a 25-year panel lifespan.