The sustainability challenge
Dubai’s construction market is being shaped by the need for resilience to climate change and by broader societal aims around the built environment
Dubai’s development ambitions are as expansive as the emirate’s booming construction market. Alongside iconic schemes such as Palm Jebel Ali, Dubai Islands and Dubai South, major infrastructure projects are moving ahead, including the $33bn Al-Maktoum International airport, Dubai Metro’s Blue Line and the $22bn Dubai Strategic Sewerage Tunnels project.
Yet as the April 2024 floods demonstrated, Dubai’s construction sector remains vulnerable to climate-related events. Project sponsors understand the importance of ensuring that this massive buildout is undertaken in a sustainable manner, to build resilience into the system and keep pace with best international practice.
The Mashreq MEED Construction Business Leaders Forum in December 2024 focused on sustainability as a core element of the emirate’s development.
Progress is clear enough. For example, Al-Maktoum International airport will rely entirely on clean energy. Palm Jebel Ali will power 30% of public facilities through renewable energy.
The commitment to sustainability goes beyond protecting the built environment from black swan events. There is a widespread consensus that future projects must link to the Dubai 2040 Urban Master Plan’s focus on liveable cities and people-centric development.
“Sustainability is not just about going green. It involves ensuring the concept is hard-wired into the construction life cycle,” said Basel Tachwali, construction technology specialist, building regulation and permits agency at Dubai Municipality.
“There will be a lot of initiatives launched around the circular economy. We have reached out to manufacturers to start registering their systems and their materials in a central database that would give access to consultants to start registering that data at the building permit stage.”
This will also help funding institutions and the public to gain greater visibility on which entities are adopting a responsible approach.
Investor influence
One key driver behind Dubai’s sustainability effort is the pressure from international investors and the wider global financial community.
“The real eye-opener for us was when we approached debt capital markets and started to meet international investors,” said Katralnada BinGhatti, CEO of luxury real estate developer Binghatti Holding in Dubai. “Then it became apparent how important the sustainability narrative is.”
“International funders really look for green credentials. Many well-known international banks are almost at the limit of their portfolios and can only look at carbon-sensitive projects now,” BinGhatti added.
For construction sector players in Dubai, this means making efforts to bolster their sustainability standards, sometimes at a granular level. Binghatti, for example, uses reflective rather than matte facades on their buildings and has integrated solar panels; energy-efficient lighting; and intelligent heating, ventilation and air-conditioning systems.
This reinforces a wider message about the importance of design in framing the sustainability agenda.
Chris Seymour, managing director Middle East and Africa at global consultancy and construction firm Mace, said clients now routinely talk about “designing to carbon”.
“We need to look at carbon in a whole-life context, to focus everybody a bit more, because clients need to make adjustments to some of their assets. It means investing a bit more at the front end to save the carbon – and the cost – in the operational phase,” said Seymour.
For example, companies have started implementing life-cycle assessments – independent analyses of the sustainability of construction products. They also use natural light, ventilation, low-carbon materials, advanced insulation systems and more innovative technologies.
By developing design guidelines and working towards integrating sustainability in the early design practices, and deploying innovative technologies to revitalise existing buildings, businesses in the UAE are breathing new life into the urban environment while significantly reducing emissions, according to the World Green Building Council.
Government-level moves have made an impact. Dubai introduced the Dubai Green Building Regulations in 2011 for public sector buildings, following it up with mandatory green building regulations for all buildings.
Mandates are also in force at the federal level. For example, a National Green Building Regulation was introduced in 2021, mandating minimum energy and water standards for all new buildings in the UAE.
The client view
So, where do clients fit into the sustainability picture, and is there a bottom-up push for sustainability in Dubai’s construction sector?
Scott Keaney, director and head of project management at real estate consultant CBRE, said clients are interested in sustainability.
“The interest is driven from internal governance mandates to achieve a certain level of sustainability.”
Some developers have implemented green material specifications and system performance criteria across their project portfolios. For example, Nakheel has implemented a range of sustainability initiatives through building design, energy and water consumption, including carrying out in-house reviews, inspections and audits of operational and maintenance activities.
Retrofitting older buildings has become a key sustainability priority in Dubai’s built environment. Most post-2008 buildings, which form a significant portion of Dubai’s developments, already meet silver standards for air conditioning and insulation under the city’s building classification system, where bronze is the minimum requirement since the introduction of the green building code.
For pre-2008 buildings, the focus is on retrofitting to improve sustainability ratings, aligned with the Dubai 2040 Urban Master Plan’s goal of enhancing and maximising existing infrastructure.
“Our focus should be on pre-2008 buildings,” said Tachwali. “We need to address fundamental development needs – such as housing demand and traffic management – before upgrading living standards.”
Local authorities across the UAE have rolled out retrofit programmes to enhance the energy performance of existing buildings. Dubai Electricity & Water Authority’s project to retrofit 30,000 buildings across the emirate is projected to help unlock savings of more than $22bn.
The project aims to help Dubai eliminate nearly 1 million tonnes of carbon dioxide emissions and reduce water and electricity consumption, saving more than 5.6 billion imperial gallons of water and 1.7 terawatt hours of electricity by 2030.
Ultimately, sustainability has become a cornerstone of Dubai’s construction sector, driving value for both clients and developers while shaping a resilient and future-ready built environment.
