Adaobi Rhema Oguejiofor
The OPEC Fund for International Development has signed an agreement with the International Renewable Energy Agency (IRENA) to join the Energy Transition Accelerator Financing (ETAF) platform in order to support it with up to $250 million financing.
The Fund, which is equivalent to N172 billion, is expected to keep coming until 2030 in order to finance renewable energy solutions in its partner countries.
The Director General of IRENA, Francesco La Camera, and the Director General of OPEC Fund, Abdulhamid Alkhalifa, signed the agreement during the OPEC Fund Development Forum in Vienna, Austria.
La Camera said that Accelerating the renewable-based energy transition is imperative in the fight against climate change, as it enables organizations to simultaneously tackle pressing energy challenges and alleviate persistent social inequalities.
In his own words, “we are proud to announce the OPEC Fund’s decision to join IRENA’s ETAF Platform, which will significantly strengthen the Platform’s role as an effective and agile mobilizer of capital for the most vulnerable economies.”
The OPEC Fund Director General, on his part, stated that “this collaboration marks an important milestone in our joint efforts to tackle the twin challenges of climate change and energy poverty thanks to this innovative platform. It will help to progress an inclusive and just energy transition that leaves no one behind with investments, new technologies, and knowledge sharing.”
The ETAF platform is a global initiative that seeks to mobilize funds for renewable energy investments. It was established by IRENA and backed by the United Arab Emirates (UAE). The platform initially aimed to mobilize at least $1 billion of capital by 2030 but now, with the commitment from the OPEC Fund and contributions from all other existing ETAF partners, the initial target has been surpassed, with the total commitments amounting to $1.15 billion.