Although the UAE has the most diversified economy in the GCC and managed to completely replace traditional activities such as pearl fishing, date palm plantations and fishery, its economy remains extremely dependent on oil and gas revenues. Natural Gas continues to play a central role with reserves estimated at 215 trillion cubic feet that rank among the seventh largest in the world. The country currently holds 4 percent of the world’s gas reserves of which 94% are located in Abu Dhabi (offshore and onshore).
The numerous projects taking place in the Middle East and the UAE has made it that the gas production industry is experiencing exponential growth. Since Natural Gas is the main resource for the electric energy production, industrial and domestic demand has spiraled, making the resource the main source of revenue and providing the UAE with a sufficiently high level of average income.
With these opportunities come many government incentives as the UAE is continuously investing in gas development and production projects (oil and gas projects have exceeded Dh231 billion in November 2017) in order to develop a network of connecting pipelines and to explore new gas fields. This growth also stimulates the government to search for new alternative energy sources even though Natural gas remains the cleanest fossil fuel. Indeed, it presents a cleaner alternative to coal, making it an environmentally-friendly energy supply and a driving force for the economic growth of the world.
Sources:
https://www.uaeinteract.com/business/oilandgas.asp
https://www.khaleejtimes.com/business/markets/dh231b-worth-of-oil-and-gas-projects-active-in-uae