The Federal Decree-Law No. 11 of 2024 aims to manage emissions within the UAE while supporting global climate efforts. It also seeks to boost the country’s ecosystems, economy, and society. The law outlines what both public and private entities need to do to measure and reduce their emissions, keeping the UAE on track to meet its Net Zero 2050 targets.
Industries such as construction, manufacturing, energy, logistics, and real estate are expected to be among the most affected by the new compliance standards. This decree is overseen by the UAE Ministry of Climate Change and Environment, which will monitor implementation and enforce compliance.
For businesses operating in the UAE, this represents more than regulatory compliance—it’s a chance to lead in sustainable innovation and corporate responsibility. All companies must meet the decree’s requirements within one year of its enforcement, with compliance potentially due as early as Q4 2025.
Critical Compliance Requirements
The new rules come with a few must-do requirements that will affect how businesses operate:
- Emission Monitoring and Reporting: Companies will have to keep track of their emissions, report them, and verify them, holding onto records for five years. This helps make sure businesses are open about their environmental impact and are following the rules.
- Climate Adaptation Planning: Businesses will need to create plans to deal with climate risks specific to their sector. This proactive approach helps businesses prepare for environmental challenges while building long-term sustainability into their operational strategies.
- Financial Implications: Non-compliance could result in penalties ranging from AED 50,000 to AED 2,000,000, which could double if they keep ignoring the rules. So, staying in line with these new regulations is important for both the environment and the bottom line.
Transforming Challenges into Opportunities
While these regulations present compliance challenges, they also offer exciting opportunities for businesses to innovate and differentiate.
The law encourages companies to reimagine their operations in ways that meet emissions targets and address climate risks—driving efficiency, innovation, and resilience.
Forward-looking companies that act early will gain a strong competitive edge, including:
- A stronger brand image
- Better operational efficiency
- Access to green financing and investor interest
By taking early steps to follow the law’s guidelines, businesses cannot only meet the rules but also strengthen their position in a world that’s placing more value on sustainability.
How Companies for Good Facilitates Business Transformation
At Companies for Good, we understand that navigating these regulatory changes while maintaining business excellence requires strategic partnership and expert support. With our proven track record of engaging 584 companies and involving over 35,271 employees on meaningful projects, we know how to turn compliance into real achievements.
Here’s what we focus on:
- Environmental Programs: Our activities, like tree planting and beach clean-ups, let businesses show they care about the environment while strengthening team bonds. So far, we’ve planted 104,836 trees in the UAE and collected 52,128 kg of waste from nature.
- Community Initiatives: We help businesses connect with and support those in need, which also builds a better workplace culture. We’ve supported 40,329 people through various efforts, helping companies meet their social responsibility goals.
- Impact Tracking: With 85,714 hours dedicated to social impact across our programs, we provide businesses with concrete metrics that align with the new decree’s reporting requirements while demonstrating genuine commitment to positive change.
Leading the Sustainable Future
The Federal Decree-Law No. 11 of 2024 gives UAE businesses a chance to lead in sustainability while staying compliant. At Companies for Good, we help you turn these rules into real advantages for your business—improving your brand, motivating your team, and making a positive difference for the environment.
Don’t wait until the deadlines hit. Join over 584 companies already working towards a better future with us.
Ready to get started? Book your free consultation today and see how we can support your sustainability journey.