The race towards sustainable energy needs to be sped up. Salah Malkawi for The National
The race towards sustainable energy needs to be sped up. Salah Malkawi for The National

We must think beyond fuel cells, wind power and even solar energy



Energy efficiency is urgently needed because climate is changing and sea levels are rising due to our excessive and inefficient use of fossil fuels. Whereas scientists debate the extent of the problem, nearly everyone agrees that climate change is a fact, and its impact will be disastrous for the social and economic fabric which has been woven over the past centuries. Humanity will have to adapt.

The problem, however, is broader than global warming. We burn oil to generate power at very low efficiency. Oil to power for transportation through a combustion engine only reaps 13 per cent of its energy potential. There is no investment that survives the scrutiny of financial experts when the return is a mere 13 per cent reached after 100 years of research. Our refusal to push for substantially greater fuel efficiency is inexcusable. Worse, the refusal to invest heavily in research and development to move us towards a renewable economy is a lost opportunity.

Energy efficiency is nowhere yet compared to where it could be. The time has come to go beyond the obvious. It is urgent to think beyond fuel cells, wind power and even solar. While these forms of renewable energies represented a great start with billions invested, we need to scale and speed up if we want to make a real dent in the statistics. The time has come to identify the key areas for fundamental research and embrace creativity in order to imagine the next levels of fuel and energy efficiency that can target breakthroughs by a factor of 100.

Did you know that the power of your heart has the equivalent strength of 0.003 horsepower? This core system that secures our survival requires about 1.5 Watts of energy. This is generated thanks to a chemical reaction of potassium and calcium that we accumulate through an appropriate inflow of nutrients. This muscle has the strength to channel 8,000 liters of blood through some 60,000 km of veins and arteries each day. Have we ever simulated energy efficient systems which can emulate this performance? Now imagine the whale, pumping 1,000 litres every pulse through a hundred million veins and arteries.

Do you know how a butterfly moves around? It harvests the micro flows of energy available through minute gusts of wind that are sufficient to surf from Mexico to the United States, and get the food it needs. No other living species is as efficient as the butterfly in harvesting these unnoticeable sources of energy. Do you know how a trout can hold still in a gush of water in a mountain creek?

Did you ever stop and think about the natural energy which permits the apple to defy gravity? We know well how the apple and any other object, respects the law of gravity and drops down, but why do we not wonder how the apple gets up there in the first place. This is a major lack of understanding how nature works. Whereas each of these phenomena could be explained haphazardly, it is necessary to pay more attention to the capacity of nature to harvest energy with levels of efficiency our human living systems cannot even dream of.

We urgently need to rethink our framework of reference for energy efficiency. The best option is to inspire children at an early age. That is why the Zayed Future Energy Prize is such a welcome initiative. If we remain inventive only with the obvious energy sources which we know today, we will make major strides forward, but we will not design a society capable of responding to everyone's needs. There is no doubt that nature can be a bigger inspiration than we ever considered possible; and even better, nature does not generate carbon or methane emissions while thriving on numerous forces which we have just begun to understand.

Gunter Pauli is author of 15 books, including The Blue Economy

Cultural fiesta

What: The Al Burda Festival
When: November 14 (from 10am)
Where: Warehouse421,  Abu Dhabi
The Al Burda Festival is a celebration of Islamic art and culture, featuring talks, performances and exhibitions. Organised by the Ministry of Culture and Knowledge Development, this one-day event opens with a session on the future of Islamic art. With this in mind, it is followed by a number of workshops and “masterclass” sessions in everything from calligraphy and typography to geometry and the origins of Islamic design. There will also be discussions on subjects including ‘Who is the Audience for Islamic Art?’ and ‘New Markets for Islamic Design.’ A live performance from Kuwaiti guitarist Yousif Yaseen should be one of the highlights of the day. 

Founder: Ayman Badawi

Date started: Test product September 2016, paid launch January 2017

Based: Dubai, UAE

Sector: Software

Size: Seven employees

Funding: $170,000 in angel investment

Funders: friends

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THE SPECS

Engine: 6.75-litre twin-turbocharged V12 petrol engine 

Power: 420kW

Torque: 780Nm

Transmission: 8-speed automatic

Price: From Dh1,350,000

On sale: Available for preorder now

Formula Middle East Calendar (Formula Regional and Formula 4)
Round 1: January 17-19, Yas Marina Circuit – Abu Dhabi
 
Round 2: January 22-23, Yas Marina Circuit – Abu Dhabi
 
Round 3: February 7-9, Dubai Autodrome – Dubai
 
Round 4: February 14-16, Yas Marina Circuit – Abu Dhabi
 
Round 5: February 25-27, Jeddah Corniche Circuit – Saudi Arabia

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

Test

Director: S Sashikanth

Cast: Nayanthara, Siddharth, Meera Jasmine, R Madhavan

Star rating: 2/5

Real estate tokenisation project

Dubai launched the pilot phase of its real estate tokenisation project last month.

The initiative focuses on converting real estate assets into digital tokens recorded on blockchain technology and helps in streamlining the process of buying, selling and investing, the Dubai Land Department said.

Dubai’s real estate tokenisation market is projected to reach Dh60 billion ($16.33 billion) by 2033, representing 7 per cent of the emirate’s total property transactions, according to the DLD.

The five pillars of Islam
Ain Issa camp:
  • Established in 2016
  • Houses 13,309 people, 2,092 families, 62 per cent children
  • Of the adult population, 49 per cent men, 51 per cent women (not including foreigners annexe)
  • Most from Deir Ezzor and Raqqa
  • 950 foreigners linked to ISIS and their families
  • NGO Blumont runs camp management for the UN
  • One of the nine official (UN recognised) camps in the region
Company profile

Name: Thndr

Started: October 2020

Founders: Ahmad Hammouda and Seif Amr

Based: Cairo, Egypt

Sector: FinTech

Initial investment: pre-seed of $800,000

Funding stage: series A; $20 million

Investors: Tiger Global, Beco Capital, Prosus Ventures, Y Combinator, Global Ventures, Abdul Latif Jameel, Endure Capital, 4DX Ventures, Plus VC,  Rabacap and MSA Capital

Unresolved crisis

Russia and Ukraine have been locked in a bitter conflict since 2014, when Ukraine’s Kremlin-friendly president was ousted, Moscow annexed Crimea and then backed a separatist insurgency in the east.

Fighting between the Russia-backed rebels and Ukrainian forces has killed more than 14,000 people. In 2015, France and Germany helped broker a peace deal, known as the Minsk agreements, that ended large-scale hostilities but failed to bring a political settlement of the conflict.

The Kremlin has repeatedly accused Kiev of sabotaging the deal, and Ukrainian officials in recent weeks said that implementing it in full would hurt Ukraine.

Specs

Engine: Duel electric motors
Power: 659hp
Torque: 1075Nm
On sale: Available for pre-order now
Price: On request

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Queens of the Stone Age
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