Missed opportunities: The billions sacrificed annually to generate electricity in the GCC
The GCC governments still cover over 40% of the cost of domestic electricity production. Yet, electricity subsidy bills alone do not reflect the full extent of their economic losses. Once the forgone revenues from the export of natural gas and oil used to meet rising domestic energy demand are added in, the total economic cost of the GCC’s electricity is too great to ignore.
A Saudi-Houthi deal won’t bring lasting peace in Yemen
The recent agreement to restore diplomatic relations between Saudi Arabia and Iran raised hope among Western leaders and some Yemen watchers that it could help bring an end to the war in Yemen. The international community, however, can do more harm than good if its actions are driven by hope and desperation rather than a careful reading of the reality on the ground. Yemen must not be a sacrificial lamb for improving relations between Iran and Saudi Arabia.
The Gulf Arab states, while major oil and gas producers, can play a significant role in supporting global efforts to achieve net-zero goals. They are not only endowed with great potential for renewable energy resources as well as some of the world’s lowest carbon content fuels, but also with, to varying extents, sizable financial resources. Yet, to unlock such huge potential, the Gulf Arab states will need to systematically identify and address the various challenges in their path to net zero.
Under pressure: Houthis target Yemeni government with economic warfare
Even as the Iran-backed Houthi rebels pursue back-channel talks with Saudi Arabia as Riyadh looks for a major de-escalation in the coming weeks, they have also been ratcheting up the pressure on the internationally recognized Republic of Yemen Government. The Houthis’ strikes on government-controlled critical infrastructure exhibit the same strategic use of Iranian-supported non-conventional warfare tactics seen in their previous cross-border attacks into Saudi Arabia and the United Arab Emirates.
The dilemma of public sector salary payments in Yemen
Amid international efforts to resurrect the fragile peace in Yemen, the Iran-backed Houthi militia is imposing stringent conditions for their return to the negotiating table, demanding that state payments of civil servant salaries also go to their militia members and loyalists through direct deposits, which would bolster both their forces and their transnational allies. While the need to compensate Yemeni civil servants is undeniable, the Houthis’ self-serving demands threaten to undermine any progress toward a lasting peace.
Saudi-Houthi talks could pave the way for intra-Yemeni ones, but will they ensure sustainable peace?
A Saudi-Houthi agreement now looks increasingly likely, but it is highly doubtful that such a deal by itself will end the multi-layered war or build a sustainable peace.
Is There a Way Forward for Political Resolution in Yemen?
Director of MEI’s Arabian Peninsula Program Gerald Feierstein speaks to MEI Non-Resident Scholars Fatima Abo Alasrar & Ibrahim Jalal on a host of current events in Yemen. What have been the takeaways from U.S. Special Envoy Timothy Lenderking’s recent visit to the country – and what are the current trends in the Saudi-Houthi dialogue?
Saudi Arabia’s proactive military strategy in southern Yemen is a risky gamble
Despite formal agreements and vast financial resources, Saudi Arabia has largely failed to integrate the various armed groups in Aden and southern Yemen under one national security sector. This adds to Riyadh’s ineffectiveness in establishing military-political influence in southern Yemen or in limiting the UAE’s continuing leverage. In an effort to boost its influence, since late 2022 Saudi Arabia has established new armed formations in Aden and nearby governorates, such as the Nation Shield Force.
Climate-induced migration in the GCC states: A looming challenge
Gulf states are collectively investing billions of dollars in developing renewable energy. Yet climate change patterns in neighboring regions, combined with rising average temperatures, could eventually trigger more serious climate migration problems for the Gulf countries themselves.
On Nov. 21, the Iranian-backed Houthi militia launched a drone attack against the Dhabba Oil Terminal in Yemen’s Hadramawt Governorate. The threat of further attacks on oil ports and military targets remains high as the militant group tests the tolerance and response of Yemen’s government and the international community while increasing its demands.
Since seizing the capital of Sana’a in September 2014, the Houthis have been transforming the portions of Yemen under their control in line with a radical political and religious ideology. The Houthis’ war is complicated and may not be resolved quickly. But for now, the main obstacles to peace are ones that only Yemenis can resolve, which are rooted in rival concerns over the distribution of political power and equitable delivery of public services.
