OPEC Fund commits $250million to IRENA’s Financing Platform

10x Industry

Mokshita P.
10x Industry
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OPEC Fund commits $250million to IRENA’s Financing Platform

The ETAF platform, initiated by IRENA and supported by the United Arab Emirates, initially aimed to mobilise a minimum of USD1billion in capital by 2030. This significant commitment solidifies the OPEC Fund’s dedication to addressing climate change and energy poverty through innovative collaboration. The partnership between the OPEC Fund and IRENA signifies a significant milestone in the joint efforts to combat climate change, promote sustainable energy solutions, and eradicate energy poverty.

The OPEC Fund for International Development (the OPEC Fund) has joined the International Renewable energy Agency (IRENA)’s Energy transition Accelerator Financing (ETAF) platform, pledging $250 million until 2030 to support renewable energy projects in partner countries. This significant commitment solidifies the OPEC Fund’s dedication to addressing climate change and energy poverty through innovative collaboration.

The ETAF platform, originally initiated by IRENA and supported by the United Arab Emirates, initially aimed to mobilise a minimum of USD 1 billion in capital by 2030. However, with the OPEC Fund’s commitment and contributions from existing ETAF partners, the platform has surpassed its initial target, with total commitments now exceeding USD 1.15 billion. This achievement not only amplifies the platform’s impact but also attracts interest from other international financing institutions, multilateral development banks, development financial institutions, donors, and corporate sector entities.

IRENA Director-General, Francesco La Camera expressed the urgency of accelerating the energy transition based on renewables. He emphasised the need to combat climate change and reduce social inequalities, highlighting the OPEC Fund’s decision to join the ETAF platform as a crucial step towards  mobilising capital for the most vulnerable economies.

Abdulhamid Alkhalifa, OPEC Fund Director-General acknowledged the collaboration’s importance in tackling the dual challenges of climate change and energy poverty. He noted that the partnership would facilitate an inclusive and equitable energy transition by leveraging investments, new technologies, and knowledge sharing.

The partnership between the OPEC Fund and IRENA signifies a significant milestone in the joint efforts to combat climate change, promote sustainable energy solutions, and eradicate energy poverty. By joining forces, these organisations are set to make a substantial global impact and foster a just and inclusive energy transition that leaves no one behind.