(MENAFN- Khaleej Times) Each country will allocate concessional funding for power generation projects under the deal as part of its climate change efforts.
Abu Dhabi — The UAE and France on Tuesday announced a new partnership to expand renewable energy deployment in developing countries. Each country will allocate concessional funding for power generation projects under the deal as part of its climate change efforts in the lead-up to this winter’s negotiations in Paris which will aim to establish a new global climate agreement.
Dr Sultan bin Ahmed Sultan Al Jaber Minister of State and Special Envoy for Energy and Climate Change said: “The UAE believes that renewable energy is a core element of the global response to climate change while promoting economic growth and creating jobs. With the guidance of our leadership the UAE was an early champion of renewable energy demonstrating the potential for developed and developing countries alike.”
Segolene Royal France’s Minister for Ecology Sustainable Development and Energy said “France is glad to strengthen its cooperation with the UAE through this agreement to enhance our common support toward renewable energy. Renewables are a capital-intensive energy. Creating good financing conditions is thus necessary to accelerate the world-wide development of these low-carbon energy sources.”
The UAE ranked by the OECD as the world’s leading per capita donor has emerged as a major funder of renewable energy globally. It has mobilised over $700 million in aid since 2009 with projects from Mauritania to Samoa. On the commercial side Abu Dhabi’s pioneering renewable energy company Masdar recently announced major wind projects in the UK Jordan and Oman to complement its existing 1 GW portfolio of projects in operation.
The agreement empowers the Abu Dhabi Fund for Development and L’Agence Francaise de Developpement (AFD) to jointly finance renewable energy projects on concessional terms.
Mohammed Al Suwaidi Director-General of the ADFD said “Supporting the renewable energy sector is an important element of the ADFD’s funding and international partnership strategy. Renewable energy resources are available in abundance in developing countries and now a cost-effective tool for sustainable development. The UAE and French assistance will help countries to move up the learning curve so that they can deploy projects faster in the coming years.”
Laurence Breton-Moyet Head of the Infrastructure Department of the AFD said “Renewable energy is at the core of AFD strategy with commitments of Euro 2 billion worldwide in this sector in the past three years. This partnership with the ADFD is a first step to better coordinate our actions towards renewable energy deployment. The AFD is keen to pool efforts with other donors and to support multilateral initiatives like those of the Irena.”
The two countries aim to announce the first project in 2015 and are currently reviewing proposals in the Middle East.