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Nuclear Power In The Uae Essay

1868 words - 8 pages

Nuclear Power Plant Design for the United Arab Emirates

The United Arab Emirates (also referred to as the UAE or the Emirates) is a relatively young country that has established a powerful world economy in a short period of time. After breaking ties from the United Kingdom just over four decades ago, the UAE has quickly developed one of the most appealing economies for foreign investment in Western Asia. The Emirates’ largest cities, Dubai and Abu Dhabi, are significant business gateways between the Middle East, Africa and Asia. Leveraging its prime geographical location and plentiful oil and natural gas reserves, the UAE has endeavored to develop its economy to the point that “today, ...view middle of the document...

The UAE’s top three import partners are India, China and the United States. Major import items include oil and gas field machinery and transport equipment, as well as textile, electronic and computer products. The trade relationship between the UAE and the United States is heavily weighted towards reliance on the United States, with nearly a 38% increase in U.S. exports to the UAE in 2011. The Emirates’ largest export items are petroleum, crude oil and precious metals, which have the largest distribution among Japan, India, Iran and South Korea. Because of its significant oil and natural gas reserves, the Emirates naturally has a comparative advantage in the export market of petroleum and natural gas. It has used this advantage to rapidly build its economy and infrastructure through the revenues generated from energy sector exports. The UAE has also created a competitive advantage in multiple business sectors by improving the efficiency and ease of the processes for foreign companies to do business within the Emirates. This tactic has increased FDI steadily over the past four years, with continued growth expected in 2014.
While the United Arab Emirates has strict policies with regards to religion, law and internal government, by strategic design there are very few limitations on foreign relations with regards to FDI and trade. The UAE is a member of the Organization of Petroleum Exporting Countries (OPEC) and the United Nations (UN), and is also a founding member of the Gulf Cooperation Council (GCC). Affiliation with these organizations shows the UAE’s commitment to being a major player in global trade. As the Emirates’ FDI increases, the country seeks to sustain its growth over the long-term by directing revenues from non-renewable fossil fuel resources towards the non-oil and non-gas economy. One of these reinvestment areas, and arguably the most important, is other energy sectors. As the UAE (and truly the world) looks toward other sources of energy as oil reserves are steadily depleted, the Emirates has highlighted alternative energy as an integral part of its future growth plan, stating that “the UAE government believes that the most environmentally friendly and most sustainable solution to its energy requirements will be electricity generated by nuclear plants.”
In 2009, the newly formed Emirates Nuclear Energy Corporation (ENEC) partnered with the International Atomic Energy Agency (IAEA) to establish stringent design requirements, regulatory framework and inspection protocols related to nuclear facilities and operations. Also in 2009, the UAE and the United States entered into a bilateral agreement for “peaceful nuclear cooperation that enhances international standards of nuclear non-proliferation, safety and security.” The UAE initiated the movement towards supplementing its future energy needs with nuclear power and now looks to implement that strategy. The UAE hopes to be gradually less reliant on natural gas...

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