The United Arab Emirates and the International Renewable Energy Agency (IRENA) today announced the Energy Transition Accelerator Financing (ETAF) Platform, a new global climate finance facility to accelerate the transition to renewable energy in developing countries.
The UAE committed USD 400 million in funding provided by the Abu Dhabi Fund for Development (ADFD) toward the platform’s goal of securing a minimum of USD 1 billion in total funding.
The formal launch took place on the sidelines of the COP 26 United Nations Climate Summit in Glasgow in the presence of His Highness Sheikh Abdullah bin Zayed al Nahyan, UAE Minister of Foreign Affairs and International Cooperation, together with the Prime Minister of Antigua and Barbuda Mr. Gaston Browne, President of the Maldives Mr. Ibrahim Mohamed Solih and President of Togo, Mr. Faure Gnassingbé, and UAE Climate Envoy Dr. Sultan Al Jaber.His Highness Sheikh Abdullah bin Zayed Al Nahyan said: “The new ETAF platform reinforces our long-standing commitment to support positive climate action for economic growth in developing and vulnerable countries. As one of the countries that have signed the UN framework convention on climate change, the UAE fundamentally believes we must work together globally to address climate change. The UAE is proud to act decisively in pushing forward a responsible, sustainability-led agenda, and in partnering with other nations to enable the significant benefits of renewable energy.”
HE Dr. Sultan Al Jaber, UAE Special Envoy for Climate and Minister of Industry and Advanced Technology, said: “The UAE views development aid and climate action as powerful catalysts for economic growth, both domestically and internationally. Today’s announcement will help to advance the economies of partner countries by providing reliable, low-cost renewable energy for businesses, industry, and homes. We are proud of this significant new contribution by the Abu Dhabi Fund for Development to accelerate climate action and deliver immediate economic benefits in the process. This is the kind of initiative that combines partnership, policy, and finance to create tangible progress, and it is this focus on practical results that has motivated the UAE to offer to host COP 28 in 2023.”
Through co-financing, ETAF will aim to mobilise an additional USD 2 billion in energy transition investments, targeting a total deployment of 1.5 GW of clean renewable energy generation and storage by 2030. ETAF will be managed by IRENA from its Abu Dhabi headquarters, capitalising on the UAE’s climate finance market and renewable energy innovation infrastructure. The new accelerator platform will help mitigate investment risks and finance renewable energy projects in developing countries that may otherwise struggle to secure sufficient capital.