France, U.A.E. Sign Energy Cooperation Deal.

The governments of France and the United Arab Emirates signed an agreement this week on energy cooperation to ensure oil and natural gas supplies from the Gulf country as Europe prepares for a potential gas cutoff from Russia. 

A statement from the French government said that the collaboration is aimed to establish joint investment projects between France and other nations in the sectors of hydrogen, renewable, and nuclear energy. “The agreement we are signing with the United Arab Emirates is of double strategic importance: it allows us to address the pressing challenges of energy security in the short term, while preparing for a de-carbonized future,” French Finance Minister Bruno Le Maire said in a statement. 

The deal comes as U.A.E. President Sheikh Mohammed bin Zayed Al Nahyan visits Paris in his first overseas state visit since assuming power in May. Other trade and energy agreements are expected to be signed during this visit, including an agreement between the French energy giant TotalEnergies and Abu Dhabi National Oil Company to ensure energy supply, according to the economy ministry. 

As the meeting occurs, the war in Ukraine pervades into its sixth month and Europe is in the midst of a sweltering heat wave. Amid soaring energy prices, inflation, and a cost-of-living crisis, European countries are preparing for a Russian gas shutdown in retaliation for sanctions over the war. Russia has cut off or reduced natural gas to a dozen European countries so far; this gas is necessary to keep industry running, generate electricity, and heat homes in the winter. Nord Stream 1, a major gas pipeline, also closed for scheduled maintenance last week, and there are concerns that the channel between Russia and Germany will not restart. 

French President Emmanuel Macron said last week that his government would prepare a “sobriety plan” to conserve energy and that France continues to seek out gas source diversification. He specifically called for a hastier transition to offshore windfarms and for more European crossborder energy cooperation as the nation prepares for “the scenario where we have to go without all Russian gas.” 

The U.A.E.’s energy exports to France are predominantly refined petroleum products. The United States Energy Information Agency estimates that the U.A.E. holds the seventh largest proven reserves of natural gas in the world, at over 215 trillion cubic feet. The country is among the world’s largest oil producers, with most of its oil and gas wealth concentrated in Abu Dhabi. 

Human rights groups have called for Macron to leverage the U.A.E.’s poor human rights record during their meetings. A statement from Human Rights Watch said “for years, the UAE has systematically crushed dissent…Activists, lawyers, teachers, students, and those deemed critics are arrested, prosecuted, and detained, women and LGBT people face discrimination.”

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