Bloomberg Philanthropies and IRENA create COP28 partnership

Bloomberg Philanthropies and the International Renewable Energy Agency (IRENA) have announced a new COP28 partnership to speed up clean energy deployment and capital mobilisation in emerging markets and developing economies.

Bloomberg Philanthropies’ support will enable IRENA to advance efforts to drive the widespread adoption of renewable energy and reduce political, technical and financial barriers to the energy transition by:

1. Building capacities in Southeast Asia, Africa and Latin America: Deepening IRENA’s capacity to design tailor-made, scalable renewable energy initiatives through policy recommendations, technical support and financing solutions towards accelerated decarbonisation and stronger climate resilience for lives and livelihoods.
2. Strengthening project finance and preparation: Bolstering the Energy Transition Accelerator Financing (ETAF) Platform – IRENA’s global climate finance platform aimed at mobilising capital to scale up renewables-based energy transition technologies in Emerging Markets and Developing Economies (EMDEs) by 2030 – and expanding the technical and financial feasibility work needed to deliver a robust pipeline of potential projects.
3. Facilitating private capital mobilisation: In the lead-up to COP28 – in partnership with the Glasgow Financial Alliance for Net Zero (GFANZ) – Bloomberg Philanthropies and IRENA will work together toward the goal of presenting readily investable energy transition projects to financial institutions that have committed to net zero and seek to increase investments in climate solutions in developing countries.

According to IRENA, a robust supply of bankable renewable energy projects is one of the main barriers to scaling up the financing of clean energy – especially in EMDEs. Although investment in renewables reached $0.5 trillion in 2022, this is less than one-third of the average annual investments needed until 2030 to hit net-zero emission goals by 2050.

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Bloomberg & IRENA: Accelerating the pipeline

To accelerate the pipeline of attractive renewable energy projects, Bloomberg and IRENA’s partnership will reduce the risk for potential developers and investors by providing technical and financial expertise to eligible projects that meet environmental, social, regulatory and economic factors and implementation readiness.

“While we continue to make progress on the energy transition, it is still way off track,” said Francesco La Camera, Director-General of IRENA. “Annual additions of renewable power capacity must grow three times the current level by 2030 if we want to stay on track to limiting the impacts of climate change and stay below 1.5°C.

“As we drive towards solutions at COP28, today’s agreement between IRENA and Bloomberg Philanthropies will accelerate the development and delivery of renewable energy projects in the countries that need it most.”

According to IRENA, the announcement supports Bloomberg Philanthropies’ partnership with the COP28 Presidency to drive climate action through increasing clean energy development and capital mobilisation both in the lead-up to and on the ground at the climate conference later this year in Dubai.

The partnership also complements Bloomberg Philanthropies’ collaborations with GFANZ, Sustainable Energy for All (SEforALL), and other organisations to support developing countries across Africa, Asia and Latin America to accelerate coal phaseout, develop viable pathways to net-zero, and speed deployment of renewable energy.