Saudi Chief Climate Agreements Negotiator: Saudi Arabia Will Remain ‘Kingdom of Traditional, Renewable Energy’

The Saudi Chief Negotiator for the Climate Agreements Khalid Abuleif (Asharq Al-Awsat)
The Saudi Chief Negotiator for the Climate Agreements Khalid Abuleif (Asharq Al-Awsat)
TT

Saudi Chief Climate Agreements Negotiator: Saudi Arabia Will Remain ‘Kingdom of Traditional, Renewable Energy’

The Saudi Chief Negotiator for the Climate Agreements Khalid Abuleif (Asharq Al-Awsat)
The Saudi Chief Negotiator for the Climate Agreements Khalid Abuleif (Asharq Al-Awsat)

Saudi Arabia has launched a host of initiatives and creative solutions for the global climate crisis in tandem with the UN’s flagship 2022 climate summit, COP 27. The Kingdom has held the second edition of the forums of the Saudi Green Initiative (SGI) and the Middle East Green Initiative (MGI).

The forums were launched under the widespread sponsorship of Saudi Crown Prince Mohammed bin Salman.

Over the course of the conference, the Kingdom made numerous announcements regarding climate and unconventional solutions to deal with the global crisis.

They included planting billions of trees in deserts, launching specialized environmental indicators in the energy field, new technological innovations to reduce emissions, as well as multiple multibillion-dollar deals for producing renewable energy.

The Saudi Chief Negotiator for the Climate Agreements Khalid Abuleif has affirmed to Asharq Al-Awsat that his country’s rich energy resources are the reason why Saudi Arabia is called an “energy Kingdom.”

“God has granted the Kingdom all the natural resources in the field of energy,” said Abulief, noting that Saudi Arabia has a great capacity for both solar and wind energy production.

“We have rare metals, and they have a wonderful future...and that of course is in addition to the hydrocarbon treasures underground.”

“All we need is to find and localize technologies, and ensure that they become an integral part of the national economy, not only in order to provide our energy needs, but also to export it, through electrical interconnection with the Gulf states, Iraq and Egypt,” asserted Abulief.

Abulief also noted that the Kingdom can produce both green and blue hydrogen.

“The Kingdom is one of the world's largest countries in desalination technologies and has enormous potential in this industry; this is crucial for the production of green hydrogen,” said Abulief, adding that the Kingdom can also use its carbon capture and storage technologies to produce blue hydrogen.

“All of these are opportunities that we can take advantage of,” affirmed Abulief.

Abulief also highlighted the Kingdom’s abilities in implementing a Carbon Circular Economy (CCE).

“Even for oil and gas, the Kingdom has capabilities to control the gas generated from burning them, so that they are captured and then converted into part of the economic system, whether through recycling or use, or underground storage in special reservoirs,” said Abulief.

When asked on whether the Saudi initiatives will give the Kingdom the opportunity to lead the renaissance of renewable energy globally, side by side with conventional energy, Abulief said: “I have absolutely no doubt about the Kingdom’s ability to do so, because it can produce large quantities of renewable and hydrocarbon energies, while at the same time maintaining its environmental commitments and emission reduction goals.”



US Job Growth Surges in September, Unemployment Rate Falls to 4.1%

A woman enters a store next to a sign advertising job openings at Times Square in New York City, New York, US, August 6, 2021. REUTERS/Eduardo Munoz/File Photo
A woman enters a store next to a sign advertising job openings at Times Square in New York City, New York, US, August 6, 2021. REUTERS/Eduardo Munoz/File Photo
TT

US Job Growth Surges in September, Unemployment Rate Falls to 4.1%

A woman enters a store next to a sign advertising job openings at Times Square in New York City, New York, US, August 6, 2021. REUTERS/Eduardo Munoz/File Photo
A woman enters a store next to a sign advertising job openings at Times Square in New York City, New York, US, August 6, 2021. REUTERS/Eduardo Munoz/File Photo

US job growth accelerated in September and the unemployment slipped to 4.1%, further reducing the need for the Federal Reserve to maintain large interest rate cuts at its remaining two meetings this year.
Nonfarm payrolls increased by 254,000 jobs last month after rising by an upwardly revised 159,000 in August, the Labor Department's Bureau of Labor Statistics said in its closely watched employment report on Friday.
Economists polled by Reuters had forecast payrolls rising by 140,000 positions after advancing by a previously reported 142,000 in August.
The initial payrolls count for August has typically been revised higher over the past decade. Estimates for September's job gains ranged from 70,000 to 220,000.
The US labor market slowdown is being driven by tepid hiring against the backdrop of increased labor supply stemming mostly from a rise in immigration. Layoffs have remained low, which is underpinning the economy through solid consumer spending.
Average hourly earnings rose 0.4% after gaining 0.5% in August. Wages increased 4% year-on-year after climbing 3.9% in August.
The US unemployment rate dropped from 4.2% in August. It has jumped from 3.4% in April 2023, in part boosted by the 16-24 age cohort and rise in temporary layoffs during the annual automobile plant shutdowns in July.
The US Federal Reserve's policy setting committee kicked off its policy easing cycle with an unusually large half-percentage-point rate cut last month and Fed Chair Jerome Powell emphasized growing concerns over the health of the labor market.
While the labor market has taken a step back, annual benchmark revisions to national accounts data last week showed the economy in a much better shape than previously estimated, with upgrades to growth, income, savings and corporate profits.
This improved economic backdrop was acknowledged by Powell this week when he pushed back against investors' expectations for another half-percentage-point rate cut in November, saying “this is not a committee that feels like it is in a hurry to cut rates quickly.”
The Fed hiked rates by 525 basis points in 2022 and 2023, and delivered its first rate cut since 2020 last month. Its policy rate is currently set in the 4.75%-5.00% band.
Early on Friday, financial markets saw a roughly 71.5% chance of a quarter-point rate reduction in November, CME's FedWatch tool showed. The odds of a 50 basis points cut were around 28.5%.