Mandatory Climate Legislation
Federal Decree-Law No. (11) of 2024, the UAE's first binding climate legislation, entered into force on May 30, 2025. Full MRV compliance is required by May 30, 2026.
AED 2M
Maximum Fine
May 30
2026 Deadline
100%
Businesses impacted
10+ Days
Path to compliance
Until now, sustainability in the UAE has been a reputational consideration for most businesses — a choice, not an obligation. Federal Decree-Law No. (11) of 2024 changes this fundamentally. Enacted on May 30, 2025, it establishes a binding national framework for measuring, reporting, and reducing greenhouse gas emissions across all economic sectors.
The law draws its authority from the UAE's commitment to climate neutrality by 2050 and its obligations under the Paris Agreement. It creates a national Measurement, Reporting, and Verification (MRV) system and empowers the Ministry of Climate Change and Environment (MOCCAE) to enforce compliance with a comprehensive penalty regime.
Critically, there are no carve-outs for small businesses, startups, or free zone entities. If your organisation consumes energy, operates vehicles, or runs any process that produces emissions (direct or indirect) you are subject to the law.
The law applies to all sources of greenhouse gas emissions in the UAE, whether public or private, in free zones or otherwise, without exception as to size or sector.
— Federal Decree-Law No. (11) of 2024, Article 3
First binding climate law in UAE history: Previous sustainability frameworks were voluntary. This legislation creates legally enforceable emissions obligations with criminal penalties for non-compliance.
Scope 1 and Scope 2 emissions both count: The law requires reporting of both direct emissions from your own operations (Scope 1) and indirect emissions from purchased electricity and heat (Scope 2).
One year to comply: The law entered into force on May 30, 2025, giving businesses exactly twelve months. Establishing a credible MRV system from scratch typically requires six to nine months of structured work.
Judicial inspection rights: Ministry-designated judicial officers are authorised to inspect premises, request records, and audit emissions data at any time without prior notice.
Compliance creates commercial opportunity: Entities exceeding reduction targets can register carbon credits with the National Carbon Credit Registry and trade them in the UAE's emerging carbon market.
Mandatory
Emissions from sources your business directly owns or controls.
Mandatory
Indirect emissions from energy your business buys and uses.
Future Watch
Indirect emissions from your supply chain. Not yet mandated but expanding.
Note: Federal Decree-Law No. (11) currently mandates Scope 1 and Scope 2 reporting. Businesses should nonetheless begin cataloguing Scope 3 data now, as MOCCAE has indicated the framework will expand. Scope 3 visibility will be essential for future compliance cycles and green financing assessments.
"Honestly, we weren't just looking for another report; we needed to know if we were actually breaking any rules. The Aurlume team sat down with us, went through our fuel receipts, and found exactly where our exposure was. They made the mandatory requirements feel completely manageable."
"The technical depth was what really made the difference for us. Most consultants just hand over a PDF of suggestions and leave you to it. Aurlume actually built the tracking spreadsheets and trained our guys on how to use them. It’s been six months and the system is still running perfectly."
"I was worried that the new Climate Law would be a huge drain on our resources. Instead, they showed us that being resilient actually makes us more efficient. We've already seen a 12% drop in our utility costs just by following the roadmap they laid out."
"Verification used to be such a headache for our department. With Aurlume coordinating everything, the accredited verifiers were finished in three days. They knew exactly what the auditors needed to see before they even stepped through the door."
Contact Aurlume for a confidential, no-obligation conversation about your compliance situation. We will tell you precisely what is required, how long it will take, and what it involves — and we will be straightforward about whether we are the right fit for your needs.
.svg)
48-HOUR RESPONSE
Every inquiry is triaged and responded to within two business days.
.svg)
STANDARD NDA
We provide mutual confidentiality agreements before any data exchange.
.svg)
SENIOR PARTNER REVIEW
Your profile is assessed directly by a lead strategist, not a sales representative.
