It is a wise choice. The government has avoided being swept up by the urge to sponsor overly ambitious plans that are unlikely to attract enough traffic.
The most important issue now for Abu Dhabi will be harder to get right: ensuring that the new port is efficient.
The new Khalifa port at Taweelah will now become Abu Dhabi’s main shipping terminal, taking over from Port Zayed in Abu Dhabi city.
The industrial area at Mussafah, which was to have a new port, will instead be linked by rail to Taweelah.
Despite the plans for industrial facilities at Mussafah, there is no doubt that focusing on the Khalifa port makes sense. Taweelah will be home to the Emirates Aluminium smelting complex and an industrial city.
In the meantime, it is unlikely that the emirate’s industrial development will suffer from a lack of capacity. The nearby Jebel Ali port in Dubai could expand to handle up to 80 million twenty-foot equivalent units by 2030.
The challenge now for Abu Dhabi is to ensure it continues being realistic in its ambitions and offers the facilities that businesses need, rather than getting dazzled by the prestige of megaprojects.
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