Energy Sector Transformation in the GCC: A Focus on Renewable Energy

July 24, 2025 | Industry Insights

The Gulf Cooperation Council (GCC) countries—comprising Saudi Arabia, the UAE, Kuwait, Oman, Qatar, and Bahrain—have long been global leaders in oil and gas production. Their economies have historically depended heavily on hydrocarbon exports, with vast reserves fueling both domestic energy needs and international markets. In recent years, rising global awareness of climate change has increased pressure on nations to reduce carbon emissions. Consequently, recent governmental plans and objectives have increasingly focused on diversifying GCC economies by reducing their reliance on hydrocarbons and lowering carbon emissions. By aligning economic diversification with climate goals, GCC countries are positioning themselves as emerging players in the global clean energy transition while safeguarding long-term economic stability.

Drivers of Change in the GCC Energy Sector

Several key factors are accelerating the transformation of the GCC energy sector. At the forefront are economic diversification goals embedded in national strategies like Saudi Arabia’s Vision 2030 and the UAE’s Energy Strategy 2050, which aim to reduce dependence on hydrocarbons and create more sustainable, resilient economies. Technological advancements are also playing a critical role: falling costs of solar and wind energy have made renewables increasingly competitive, while innovations in energy storage and smart grid management are enhancing efficiency and reliability (Reuters, 2025). Together, these drivers are reshaping the region’s energy landscape and laying the groundwork for a low-carbon future.

Renewable Energy Initiatives in Key GCC Countries

Saudi Arabia has launched ambitious projects under the Saudi Green Initiative (Vision 2030, n.d.). Landmark developments like NEOM, a futuristic smart city powered entirely by clean energy, and large-scale projects such as the Sakaka Solar Plant and Dumat Al Jandal Wind Farm, highlight the Kingdom’s serious commitment to transforming its energy mix (Arab News, 2024).

The United Arab Emirates has long been a regional leader in sustainability through entities like Masdar, which invests globally in renewable projects. Domestically, the Mohammed bin Rashid Al Maktoum Solar Park stands as one of the world’s largest solar energy complexes (Dubai Electricity and Water Authority, n.d.). The UAE is also pioneering in integrating hydrogen and nuclear energy, notably through the Barakah Nuclear Energy Plant, further solidifying its diversified clean energy strategy (Emirates Nuclear Energy Company, n.d.). This initiative would potentially generate 25% of the UAE’s annual electricity needs, utilizing sustainable, clean methods.

The Role of HR & Fisher HR Services

As the GCC accelerates its shift toward renewable energy, aligning human capital with evolving project demands is essential. Fisher HR supports this transition by aligning recruitment and staffing strategies with upcoming renewable energy pipelines, leveraging deep industry insight to place the right talent in the right roles. Through custom-designed upskilling and reskilling programs, Fisher HR also enables oil-and-gas professionals to smoothly transition into green-energy careers, preserving institutional knowledge while meeting future skill needs. To sustain this momentum, Fisher HR develops robust retention and engagement strategies that help organizations retain top talent in critical renewable projects, ensuring workforce stability during a period of rapid change.

The GCC's energy sector stands at a pivotal moment, driven by the urgency to reduce carbon emissions, diversify economies, and embrace technological innovation. While governments set bold sustainability goals, success depends equally on the people behind the transition. With its deep sector knowledge and tailored HR solutions, Fisher HR plays a vital role in building the skilled, agile workforce needed to power the region’s renewable energy future.

References

Arab News. (2024, July 5). How Saudi Arabia is harnessing its abundance of renewable energy resources (Rahaf Jambi). https://www.arabnews.com/gvxq5
Dubai Electricity and Water Authority. (n.d.). Mohammed bin Rashid Al Maktoum Solar Park. Mohammed Bin Rashid Solar Innovation Centre. https://www.mbrsic.ae/en/about/mohammed-bin-rashid-al-maktoum-solar-park/
Emirates Nuclear Energy Corporation. (n.d.). Barakah Plant. https://www.enec.gov.ae/barakah-plant/
Reuters. (2025, July 22). Around 90% of renewables cheaper than fossil fuels worldwide, IRENA says. https://www.reuters.com/business/energy/around-90-renewables-cheaper-than-fossil-fuels-worldwide-irena-says-2025-07-22/
Vision 2030. (n.d.). Saudi Green Initiative. Kingdom of Saudi Arabia. https://www.vision2030.gov.sa/en/explore/projects/saudi-green-initiative