The headquarters of Opec in Vienna, Austria. Reuters
Brent crude finished last week down $0.84 per barrel, in anticipation of the Opec+ meeting, after an overall tepid week. On Saturday, the group agreed to raise production limits by 411,000 barrels per day for July, the third consecutive monthly increase of this amount. The market responded positively, gaining about $1.50 per barrel over Monday and Tuesday, relieved that the increase was not larger.
From October, a big chunk of the compensation cuts promised for past over-production should expire, raising output further. Opec+ crude exports have actually been stable since April, because of the compensation cuts and higher internal consumption, offsetting the rising production targets. The policy may be intended to bolster group cohesion as Russia, Iraq and Kazakhstan have been over-producing.
Swissquote Bank analyst Ipek Ozkardeskaya said prices could drop another $10 in the second half of the year, as trade problems continue and after a US court reinstated Donald Trump’s tariffs. UAE Minister of Energy and Infrastructure Suhail Al Mazrouei said that Opec should be “mindful” about oil demand and “if this group was not there, there will be chaos”.
Fereshteh Sultani, one of the few lorry drivers in Tehran, carries out maintenance work on her vehicle. Iranian lorry drivers have been on strike over the cost of fuel. Reuters
Fuel price rises have brought more public discontent to Iran. Lorry drivers have launched a nationwide strike, complaining about insufficient subsidised diesel, and corruption in the allocation system. Meanwhile, UAE petrol prices will stay unchanged in June, while diesel is cut by 2.8 per cent and has now dropped by more than 8.5 per cent this year.
A large fire at the Hamriyah fuel storage depot in Sharjah was contained on Saturday.
Adnoc has made acquisitions of gas assets in the US, Turkmenistan, Azerbaijan and Mozambique. Victor Besa / The National
Adnoc’s international unit XRG intends to develop 20 to 25 million tonnes per year of liquefied natural gas capacity by 2035. The company has made acquisitions of gas assets in the US, Turkmenistan, Azerbaijan and Mozambique, and carried out major petrochemical deals in Europe by buying German speciality chemical maker Covestro and merging its polyolefins business with that of Austria’s OMV in Borouge Group International.
Adnoc’s drilling subsidiary has agreed to take a 70 per cent stake in the land rigs business of oilfield services giant SLB in Kuwait and Oman. SLB has two rigs active in Kuwait and six in Oman.
Syria's President Ahmad Al Shara, centre, shakes hands with Orhan Cemal Kalyoncu, chairman of Kalyon Holding, as Syrian Minister of Energy Mohammad Al Bashir, looks on after they signed the agreement in Damascus, Syria. AP
A Qatari-led consortium has signed a $7 billion deal with the new government of war-torn Syria to build 5,000 megawatts of electricity generation. This will include four gas-fired power stations spread across the country, and a 1,000 megawatt solar farm in southern Syria. Kalyon Energy from Turkey, owned 50 per cent by Abu Dhabi’s International Holding Company, is part of the consortium. It aims to grow its renewable portfolio from more than 2 gigawatts today to 5 gigawatts.
Abu Dhabi-based power company Taqa is looking closely at tariffs as it considers opportunities for international expansion, chief executive Jasim Thabet told The National. It wants to expand its renewables portfolio, and on Thursday announced a joint investment with Abu Dhabi sovereign investor Mubadala in the Talimarjan gas-fired power station in Uzbekistan.
For developing nations to cope with economic and geopolitical turmoil, they need to look for opportunities in the energy sector. Delegates at the World Utilities Congress in Abu Dhabi last week pointed to the challenge of powering data centres, and the advantages offered by the Asean Power Grid. Abu Dhabi’s cooling company Tabreed is confident that data centres will need district cooling, and promoted its new geothermal-based solution. Saudi Arabia has launched the world’s biggest cooling system at the Grand Mosque in Makkah, to help Hajj pilgrims, who begin gathering on Wednesday.
The UAE experienced its hottest May on record. Chris Whiteoak / The National
Rapidly worsening global warming means we need to contemplate ugly but effective solutions. The UAE experienced its hottest May on record, following the hottest April. Sweihan near Al Ain set a record at 51.6°C. Excessive temperatures have also struck around the world, including Kuwait, the UK and Ireland, China and parts of the US. A Swiss glacier collapsed and destroyed the village of Blatten, which had been home to 300 people.
The UAE has passed a landmark climate law. It requires both large and small companies to report and monitor their greenhouse gas emissions, and develop plans for decarbonisation that align with the UAE’s 2050 net-zero target. A National Carbon Credit Registry will enable carbon trading and pricing.
Abu Dhabi’s Plant Genetic Resource Centre has been established to conserve the UAE’s native flora. Antonie Robertson/The National
Cutting chlorofluorocarbon pollution has saved the ozone layer – perhaps the greatest triumph of international environmental co-operation. But now the layer, which protects us from ultraviolet rays causing skin cancer, faces a new threat. Old satellites burning up in the upper atmosphere release metals and other chemicals which can deplete ozone. Space launches and hypersonic high-altitude flight are further dangers.
A UK-based initiative to map carbon in the seabed could have valuable implications for marine conservation in the Gulf.
The UAE’s seed vault, on the outskirts of Al Ain, is designed to conserve national plants in the face of climate change. Abu Dhabi agribusiness Al Dahra aims to become the world’s largest irrigated farming platform. Its vision is to raise the share of regenerative agriculture in its business to 80 per cent by 2030, from 35 per cent today.
The UAE’s Minister of Climate Change and the Environment, Dr Amna Al Dahak, launched the National Agricultural Museum last week. And property developers in the mountain exclave of Hatta have teamed up to encourage bees, which pollinate 75 to 80 per cent of our fruit and vegetables, as part of boosting sustainability.
Ensure decoration and styling – and portal photography – quality is high to achieve maximum rates.
Research equivalent Airbnb homes in your location to ensure competitiveness.
Post on all relevant platforms to reach the widest audience; whether you let personally or via an agency know your potential guest profile – aiming for the wrong demographic may leave your property empty.
Factor in costs when working out if holiday letting is beneficial. The annual DCTM fee runs from Dh370 for a one-bedroom flat to Dh1,200. Tourism tax is Dh10-15 per bedroom, per night.
Check your management company has a physical office, a valid DTCM licence and is licencing your property and paying tourism taxes. For transparency, regularly view your booking calendar.
Islay Robinson, group chief executive of mortgage broker Enness Global, offers his advice on buying property in today's market.
While many have been quick to call a market collapse, this simply isn’t what we’re seeing on the ground. Many pockets of the global property market, including London and the UAE, continue to be compelling locations to invest in real estate.
While an air of uncertainty remains, the outlook is far better than anyone could have predicted. However, it is still important to consider the wider threat posed by Covid-19 when buying bricks and mortar.
Anything with outside space, gardens and private entrances is a must and these property features will see your investment keep its value should the pandemic drag on. In contrast, flats and particularly high-rise developments are falling in popularity and investors should avoid them at all costs.
Attractive investment property can be hard to find amid strong demand and heightened buyer activity. When you do find one, be prepared to move hard and fast to secure it. If you have your finances in order, this shouldn’t be an issue.
Lenders continue to lend and rates remain at an all-time low, so utilise this. There is no point in tying up cash when you can keep this liquidity to maximise other opportunities.
Keep your head and, as always when investing, take the long-term view. External factors such as coronavirus or Brexit will present challenges in the short-term, but the long-term outlook remains strong.
Finally, keep an eye on your currency. Whenever currency fluctuations favour foreign buyers, you can bet that demand will increase, as they act to secure what is essentially a discounted property.
The internal combustion engine is facing a watershed moment – major manufacturer Volvo is to stop producing petroleum-powered vehicles by 2021 and countries in Europe, including the UK, have vowed to ban their sale before 2040. The National takes a look at the story of one of the most successful technologies of the last 100 years and how it has impacted life in the UAE.
The government has taken an increasingly tough line against companies that fail to pay employees on time. Three years ago, the Cabinet passed a decree allowing the government to halt the granting of work permits to companies with wage backlogs.
If wages are 10 days late, the new measures kick in and the company is alerted it is in breach of labour rules. If wages remain unpaid for a total of 16 days, the authorities can cancel work permits, effectively shutting off operations. Fines of up to Dh5,000 per unpaid employee follow after 60 days.
Despite those measures, late payments remain an issue, particularly in the construction sector. Smaller contractors, such as electrical, plumbing and fit-out businesses, often blame the bigger companies that hire them for wages being late.
The authorities have urged employees to report their companies at the labour ministry or Tawafuq service centres — there are 15 in Abu Dhabi.
Clinical psychologist, Dr Saliha Afridi at The Lighthouse Arabia suggests three easy things you can do every day to cut back on the time you spend online.
1. Put the social media app in a folder on the second or third screen of your phone so it has to remain a conscious decision to open, rather than something your fingers gravitate towards without consideration.
2. Schedule a time to use social media instead of consistently throughout the day. I recommend setting aside certain times of the day or week when you upload pictures or share information.
3. Take a mental snapshot rather than a photo on your phone. Instead of sharing it with your social world, try to absorb the moment, connect with your feeling, experience the moment with all five of your senses. You will have a memory of that moment more vividly and for far longer than if you take a picture of it.
