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As climate change continues to reshape global priorities, governments around the world are stepping up their regulatory efforts to drive environmental responsibility and the UAE is no exception. In 2024, the UAE issued Federal Decree Law No. 11 on the Reduction of Climate Change Effects, marking a significant milestone in the country’s journey toward its Net Zero by 2050 target.

One of the key pillars of this law is the mandatory reporting of Greenhouse Gas (GHG) emissions for companies operating in major sectors. For businesses in manufacturing, construction, and other carbon-intensive industries, this is more than a regulatory requirement, it is a call to action.

What is GHG Reporting?

GHG reporting is the process of identifying, calculating, and disclosing the greenhouse gas emissions generated by an organization’s operations. These emissions are usually expressed in carbon dioxide equivalents (CO₂e), allowing for a standardized view of environmental impact. Monitoring GHGs not only promotes transparency and accountability, but also provides the data needed to implement effective emission reduction strategies.

Why Does It Matter?

Under Federal Decree Law No. 11 of 2024, GHG reporting is no longer optional for companies operating in the UAE. This law mandates that organizations in key sectors regularly monitor and report their emissions, aligning local business practices with international climate commitments such as the Paris Agreement.

Companies found to be non-compliant may face significant penalties ranging from AED 50,000 up to AED 2 million, as outlined in the law. These fines highlight the serious nature of the regulation and the urgency for businesses to act.

Beyond avoiding penalties, there’s a bigger picture: collaboration across sectors is essential to achieving the UAE’s sustainability goals and securing a greener, more resilient future. Early action on sustainability reporting and decarbonization not only ensures compliance, but also positions businesses as leaders in environmental responsibility.

How Grey Matters Can Help

At Grey Matters, we specialize in providing comprehensive solutions for GHG reporting to help your business meet the requirements set forth by Federal Decree Law No. 11 of 2024. Our expert team offers tailored services designed to simplify the process and ensure compliance, including:

• GHG Emissions Inventory Development: We help you measure and categorize your emissions across Scope 1, 2, and 3, ensuring a complete and accurate emissions inventory.
• Regulatory Compliance: Our team ensures that your GHG reporting aligns with the UAE’s regulations, including adherence to reporting standards and deadlines specified in the new law.
• Data Collection & Reporting Framework: We assist in setting up systems for consistent and efficient GHG data collection, ensuring that your reports are timely, accurate, and meet regulatory requirements.
• Emission Reduction Strategies: Beyond reporting, we guide your business in identifying opportunities for reducing emissions, helping you take proactive steps toward decarbonization.

With our extensive experience in sustainability consulting and GHG reporting, Grey Matters is the trusted partner you need to navigate the complexities of the UAE’s climate regulations and ensure your business’s compliance.

For inquiries on how Grey Matters can assist with GHG Reporting, CONTACT US NOW.

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