Category: ENVIRONMENT

  • Africa Must Set the Timing for its Energy Transition, Whether the World Likes It or Not

    Africa Must Set the Timing for its Energy Transition, Whether the World Likes It or Not

    About a year ago, before COP27 began in Egypt, Fiona Harvey and Matthew Taylor wrote in an opinion piece for The Guardian that it was time for gas exploration in Africa to stop.

    “Africa must embrace renewable energy, and forgo exploration of its potentially lucrative gas deposits to stave off climate disaster and bring access to clean energy to the hundreds of millions who lack it, leading experts on the continent have said,” they wrote.

    This is hardly new. For several years now, wealthy nations and environmental organizations have been strong-arming African countries to leave their petroleum assets in the ground.

    The stance of the African Energy Chamber has been consistent: Yes, African oil and gas-producing countries should and will do their part to support global emissions-reduction goals. Yes, the dangers of climate change should be taken seriously.

    However, we refuse to let the world set the timing for when Africa will ease up on oil and gas exploration and production. We are convinced that oil and gas production, when managed strategically, provides a pathway for economic growth and energy security, and we are determined to help Africa realize those benefits.

    This is the message we’re bringing to COP28: African countries have every right to set the timing for their energy transitions. And like nations around the world, African states will be exercising those rights.

    Africa’s Miniscule Contribution

    The world must understand that African countries cannot be on the same energy transition timeline as Western countries. Africa still needs time – time that the Western world has already had and, frankly continues to milk – to resolve energy poverty and industrialize.

    Let’s first address the proverbial elephant in the room: When it comes to global emissions, Africa is NOT the problem.

    In 2021, global CO2 emissions hit 37.12 billion tonnes. China ranked first in contributing 11.47 billion tonnes; the entire continent of Africa contributed 1.45 billion tonnes, only 4% of global carbon emissions. In fact, over the last two decades, Africa’s total contribution to global greenhouse gas emissions has never been above 4% — by far the smallest share in all the world. Africa has the lowest per-capital emissions of all continents, averaging 1 tonne of CO2 emitted annually by each individual. The average American emits as much CO2 in one month as the average African does in an entire year.

    And yet, Africa is disproportionately being punished for the climate catastrophe that, let’s be honest, was initiated and is perpetuated by Western and developed economies.

    “The story of Africa or the developing world is not really an energy transition story, it’s a development story,” Andrew Kamau with the Center on Global Energy Policy at Columbia University said in a recent interview with Energy Intelligence.

    “You hear a lot about all these technologies that are being developed, but where are they at scale?” Kamau asked. “And has somebody industrialized using wind and solar only? I don’t know. We wait to see if it’s possible.”

    Kamau also questioned where all the international funding is. The West has made grand financial promises, but the level of support truly needed to undertake a transition to renewables at the pace dictated by the West has yet to materialize.

    Using the Resources at Our Feet

    While we at the African Energy Chamber agree that it’s important to develop affordable and sustainable green technologies to supply our energy, we strongly disagree with being pigeonholed into accepting the West’s one-size-fits-all timeline.

    I hear from Africans who are skeptical about the benefits of oil and gas because they have seen the problems caused by the energy sector. You could make the same arguments about the Internet, which has been blamed for harming social relationships, decreasing our safety and security, and damaging children’s cognitive development. Yet, used wisely, the Internet does considerable good as well, and I’m not hearing widespread calls to get rid of it. My point is, oil and gas can and does do good (I’ve written whole books on the subject!) — the key is to be smart about how we capitalize on our resources.

    Some 600 million people on the continent still lack adequate electricity access or even clean cooking technologies. These Africans aren’t focused on the fact that reliable energy infrastructure facilitates economic growth by generating jobs, increasing productivity, and reducing the cost of doing business. Most would be elated to have light in their homes after dark or the ability to refrigerate their food.

    But think about Africa’s abundant energy potential!

    By 2050, the continent will be home to 11% of the world’s liquefied natural gas (LNG) market and the second-highest growth supply of gas. By tapping into the vast stores of natural gas at our feet, we can first work to eradicate energy poverty from the continent, and then secure our economic growth as we transition toward renewables.

    I agree with Mohamed Hamel, the Secretary General of the Gas Exporting Countries Forum, in his description of the argument that Africa should not develop its natural gas resources as “misguided.”

    “A prosperous Africa will be more capable to protect its environment. The right of Africa to develop its vast natural resources can be preserved, and its access to finance and technology, facilitated,” Hamel said.

    Turning the Pressure into Partnership

    Around the time of COP27, I made it clear that, while African nations would not be continuing oil and gas operations indefinitely, with no movement toward renewable energy sources, we Africans should be setting the timetable for Africa’s transition.

    “What I’d like to see instead of Western pressure to bring African oil and gas activities to an abrupt halt, is a cooperative effort,” I wrote at the time. “Partnerships, relationships rooted in respect, open communications and empathy. What does that look like? It begins with the belief that when African leaders, businesses, and organizations say the timing is not right to end our fossil fuel operations, we have a point. That when we are discussing our own countries, we know what we are talking about.”

    Clearly, we still have progress to make. Too many outsiders suggest that African leaders are being manipulated or influenced by greed when they work to foster oil and gas exploration and production in their countries. Few seem to believe that, when countries establish and fine-tune local content laws, adapt investor-friendly fiscal regimes, and promote policy that protects human dignity, they are making reasoned, strategic moves to create better futures for their people.

    That saddens me, but it also strengthens my resolve. We will continue to fight for what’s right, for what’s ours. We are not giving up on a just energy transition for Africa — a transition on a timetable that benefits and uplifts Africans.

  • West Africa’s Energy Transition Offers $1T+ in Investment Opportunities

    West Africa’s Energy Transition Offers $1T+ in Investment Opportunities

    PARIS, France, December 11, 2023/ — West Africa is home to a diverse landscape of energy players, from mature petroleum producers to emerging gas frontiers. For established markets, the energy transition requires decarbonizing and optimizing existing operations, while bringing renewable energy and carbon capture technologies to the forefront.

    Meanwhile, frontier markets are seeking to build sustainable energy mixes from the ground up, relying on integrated gas developments to fuel their transition. As a result, an array of partnership and investment opportunities are shaping the region, which European and global investors can access at the upcoming Invest in African Energy Forum, taking place in Paris on May 14-15, 2024.

    Nigeria

    As the largest oil producer on the continent, Nigeria is seeking to attract sizable foreign investments to meet net-zero targets by 2050. At COP28 earlier this month, the Nigerian Federal Government announced investment opportunities totaling $585 billion within its energy sector, promising significant returns and the support of local authorities. In the short term, the country’s strategy involves driving renewable energy penetration across its operations, while reducing methane emission intensity and achieving net-zero in the medium-to-long term.

    Within these investment opportunities, $272 billion relates to installed renewable power production, transmission and distribution, natural gas transmission and distribution infrastructure and electric chargers. Investment opportunities totaling $96 billion lie in oil and gas processing optimization, energy efficiency and carbon capture and storage, while $80 billion are in the adoption of zero-emissions technologies and fuels.

    The remaining $2.8 billion comprises opportunities associated with clean cooking. As a result, the country features growing demand for European investors and technology and service providers who are capable of implementing clean energy solutions.

    Ghana

    As another mature producer in the region, Ghana has also unveiled an ambitious energy transition framework that totals $550 billion in investment opportunities and provides a path to net-zero emissions. The plan focuses on deploying low-carbon solutions in six main categories, which would achieve 90% of targeted emission reductions.

    These include electrification and renewables; carbon capture and storage; low-carbon hydrogen; battery electric vehicle technologies; clean cooking technologies; and negative-emissions solutions.

    Several innovative projects are underway in Ghana, which could serve as a model for European investors and project developers.

    The country is currently building its first hybrid plant utilizing solar and hydro resources to generate 250 kWas well as piloting a wave energy project in the Gulf of Guinea capable of producing 1,000 MW and generating up to two billion dollars in investment opportunities.

    The government has also launched a hybrid waste-to-energy pilot project at the Atwima Nwabiagya South Municipality that aims to produce 100 kW of biogas from municipal waste, with the potential to produce green hydrogen. Still, an influx of capital and technology is needed to fully explore the viability of clean energy technologies, for which there is strong government will.

    Senegal

    As one of the most exciting energy hotspots on the continent, Senegal offers frontier hydrocarbon resources and an attractive operating environment, along with close proximity and cultural ties to Europe.

    The country is awaiting first oil and gas production next year from its Sangomar Field Development and Greater Tortue Ahmeyim Liquefied Natural Gas Project, respectively, which present considerable opportunities for service and technology providers in the fields of gas processing, gas-to-power and associated infrastructure.

    Last June, Senegal launched its Just Energy Transition Partnership with France, Germany, the European Union, the UK and Canada to support its efforts to attain universal energy access on the back of a low-carbon, sustainable energy matrix. The country is currently drafting a comprehensive investment plan that will identify the type and scope of investments required.

    Distributed by APO Group on behalf of Energy Capital & Power.

    SOURCE
    Energy Capital & Power

     

  • As Conference of the Parties (COP28) Wraps Up, We Must Remember, Aid to Africa Is (Still!) Not the Answer (By NJ Ayuk)

    As Conference of the Parties (COP28) Wraps Up, We Must Remember, Aid to Africa Is (Still!) Not the Answer (By NJ Ayuk)

    JOHANNESBURG, South Africa, December 10, 2023/ — By NJ Ayuk, Executive Chairman, African Energy Chamber (www.EnergyChamber.org).

    There was an era when Africa and Western pop music were closely linked.

    Western entertainers spearheaded a number of internationally renowned events to raise awareness about the plight of starving Africans and generate funds for famine relief.

    In December 1984, the supergroup Band Aid sang about feeding the world, asking “Do They Know it’s Christmas?” Within a year, the group had raised over USD9 million.

    Three months later, USA for Africa released “We Are the World” and banked USD44.5 million after one year for its African humanitarian fund. Then on a hot July day in 1985, the worldwide concert event Live Aid raised more than USD150 million for famine relief in Africa.

    These are just a handful of grand and noble gestures intended to lift Africa out of poverty. And these famous events arguably raised both awareness and funds. Unfortunately, the efforts — and others like them — fall far short of making any real socioeconomic change. In fact, some argue that injecting monetary aid into Africa, time and time again, has actually done more harm than good.

    I acknowledge that stance may sound ungrateful. At first blush, many might counter that starving people have no agenda. Destitute parents still need to feed their children. Turning a blind eye to their plight is inhumane.

    Let me explain why the African Energy Chamber (AEC) continues to push for free-market solutions rather than good-will handouts.

    History of ‘Help’

    Even aid genuinely given to help Africa tends to do more harm than good.

    Since 1960, more than USD2.6 trillion has been pumped into Africa in the form of aid. From 1970 and 1998, when aid was at its peak, poverty actually rose alarmingly — from 11% to 66% — due in large part to this massive influx of foreign aid that counteracted its intended good.

    Aid decreased long-term economic growth by fueling systemic corruption, in which powerful aid recipients funneled foreign funds into a personal stash instead of public investment. Many leaders realized that they no longer needed to invest in social programs for their constituents because of the revenues from foreign donors.

    Large inflows of aid also caused higher inflation, hindering African nations’ international competitiveness in exporting. That resulted in diminishing the manufacturing sector – which is critical in helping developing economies grow — across the continent. And well-intentioned Westerners who saw the economic shrink just kept pouring more and more money at “the problem” — leading to a vicious cycle that furthered corruption and economic decline.

    But here’s the kicker: The World Bank has admitted that 75% of the agricultural projects it implemented to help Africa failed. So why do they and other aid providers continue to fund these failing efforts?

    Examples of Failure

    Across the continent, we see example after example of failed aid projects, with agricultural projects routinely providing little or no benefit to African farmers.

    In Mali, the U.S. Agency for International Development (AID) injected USD10 million into “Operation Mils Mopti” to increase grain production. The government imposed “official” prices on the grain, which forced farmers to sell their crops at these below-market rates and resulted in grain production falling by 80%.

    AID also spent USD4 million to help livestock producers grow the number of cattle in the Bakel region from 11,200 to 25,000 — but ultimately only succeeded in increasing it by 882 head. Another USD7 million was injected into the Sodespt region, but that investment managed to sell only 263 cattle and failed to sell any goats or sheep.

    Then we see example after example of Westerners wastefully “helping” without any understanding of the local situation. Norwegian aid agencies built a fish-freezing plant to improve employment in northern Kenya — a region where the local people traditionally do not fish because of their semi-nomadic pastoralist lifestyle. Couple the lack of fishing experience with the unfortunate reality that the plant required more power than was available in the entire region, and the result was that the brand-new processing plant sat idle.

    The World Bank financed a USD10+ million expansion of Tanzania’s cashew-processing capabilities, which resulted in 11 factories with the capacity to process three times as many cashews as the country was growing on a yearly basis.

    The plants were too efficient for the available workforce and cost so much to run that it was cheaper to process the raw nuts in India. Half the plants were inoperable, and the other half only ran at about 20% capacity.

    I’m not saying that we Africans are ungrateful for the outpouring of heartfelt care. The compassion of the West is certainly real. However, the outcome of said compassion is the concern: The more foreign aid African governments receive, the worse they perform.

    As long as the aid keeps flowing, government leaders and their employees who administer development programs may prosper while the rest of the citizenry continues to suffer the effects of a mismanaged economy.

    Questionable Benefits

    We also must acknowledge that, in far too many cases, aid has also been given to African nations and communities in attempts to manipulate and control.

    “While hungry faces are used on posters and in media reports to sell the virtues of foreign aid, it is the hungry who rarely see any of the funds,” James Peron, executive director of the Institute for Liberal Values in Johannesburg, South Africa, lamented in a piece for the Foundation for Economic Education.

    “Poverty may be used to justify the programs, but the aid is almost always given in the form of government-to-government transfers. And once the aid is in the hands of the state it is used for purposes conducive to the ruling regime’s own purposes.”

    And now we witness the international community talking about aid for African countries as a substitute for our oil and gas activities. Western environmentalists argue that Africa should keep all of its petroleum resources in the ground to prevent further climate change.

    In exchange for that sacrifice, African nations would be compensated and inject that money into other opportunities like developing their sustainable energy technologies.

    I’ve said it before, and I’ll say it again: What a horrible idea!

    I‘m offended by foreign stakeholders feeling that providing humanitarian assistance gives them the right to influence our domestic decisions. With Africa poised to participate in the worldwide energy transition, my fear is that international donors will feel justified to dictate Africa’s policy regarding the lengths to which, and speed with which, our energy transition occurs. This would be a huge step backward in our energy, economic, and even individual independence.

    Aid packages to incentivize giving up our oil and gas operations will be detrimental to Africans. Because let’s be honest: History has shown that this assistance could never replace the oil and gas industry’s ability to create jobs and business opportunities, grow local capacity, open the door to technology sharing, facilitate economic growth, and alleviate energy poverty.

    Instead of continuing a pattern that clearly does more harm than good, why aren’t African nations encouraged to leverage the wealth of resources at our feet?

    During the final few days of COP28 — and beyond — the AEC is determined to make a case for African nations harnessing their oil and gas solutions to help themselves. We will not be bullied, or manipulated with aid, into a path that is not in our best interests.

    Use What We Have!

    One reason why the AEC is an outspoken advocate for Africa’s oil and gas industry is because it represents more than big revenue for African governments. It is a free-market solution that creates pathways for Africans to help themselves. And, ultimately, empowering Africans is our number one goal.

    We endorse an energy mix approach that allows Africa to use and sell our own hydrocarbon reserves to alleviate energy poverty, while at the same time moving toward a future in which renewable energy sources power the continent.

    The energy mix method can help more people more quickly because it takes a practical, people-first approach to helping those who have traditionally been left behind by the energy sector, while moving us toward greener energy sources.

    Natural gas, in particular, can transform African lives and communities. Its potential benefits range from eradicating energy poverty to allowing Africans to develop skills for good jobs to creating hope for our youth.

    Ramping up gas production to help alleviate the lack of access to electricity will create thousands of new employment opportunities in Africa. In addition, the new sources of energy can be exported to Western countries to replace Russian energy.

    Then, as Europe transitions to sustainable energy, a larger portion of Africa’s natural gas can power domestic needs. By the time other countries complete their transitions to carbon-neutral sources, Africa will have a much more expansive and reliable grid system, which will allow for an easier transition.

    And before we argue about the evils of hydrocarbons, let me point out that, although it might seem counterintuitive, it is possible for Africa to make use of its abundant fossil fuels while moving toward a future sustained by renewable energy sources.

    In fact, I believe that African nations must do everything they can to ensure that these two things work in tandem. Considering that 600 million people on the continent have no access to electricity and 900 million people lack access to clean cooking technologies, it’s impossible — if not altogether inhumane — to discuss climate change without looking at energy poverty.

    As I recently wrote in an article published by Medium, we cannot transition from the dark to the dark. We must deliver energy to the people of Africa and then worry about transitioning to environmentally friendly alternatives, just like we have everywhere else in the world.

    This has been our platform at COP28, and we will continue to stand by it in 2024 and beyond.

    Distributed by APO Group on behalf of African Energy Chamber.

    SOURCE
    African Energy Chamber

    Distributed by APO Group
    PS: Opinions expressed in Opinion Pieces  represents that of the authors and doesn’t necessarily  represent the official Opinion of the Eco-Enviro-News Africa magazine.

     

     

  • South Africa: African Development Bank approves $1 billion guarantee from the United Kingdom to support SA’s Just Energy Transition

    South Africa: African Development Bank approves $1 billion guarantee from the United Kingdom to support SA’s Just Energy Transition

    ABIDJAN, Ivory Coast, December 10, 2023/ — The Board of Directors of the African Development Bank Group (www.AfDB.org) has approved a $1 billion guarantee program in collaboration with the UK Foreign Commonwealth and Development Office (FCDO), which will allow the Bank to increase its lending capacity in support of South Africa’s Just Energy Transition (JET).

    Developed in close collaboration with the government of the Republic of South Africa, the program will support projects aligned with South Africa’s JET investment plan, such as transmission and grid-balancing storage, renewable energy generation, energy efficiency, rehabilitation of municipal electricity delivery, green hydrogen, new electric vehicles. It also includes projects addressing the “just” dimension, notably in the Province of Mpumalanga, in the north-eastern part of the country, bordering Swaziland and Mozambique.

    The approval, coming during COP28, where ramping-up climate finance is an issue, is timely and topical. African Development Bank Vice President for Power, Energy, Climate and Green Growth, Dr. Kevin Kariuki observed: “this is another innovative operation that reaffirms AfDB’s leadership in crafting financial solutions to increase access to climate finance for Africa’s low carbon development and net zero ambitions.”

    Melinda Bohannon, Foreign Commonwealth and Development Office Director General of Humanitarian and Development stated,” FCDO remains committed to the Just Energy Transition Partnership with South Africa, which supports green growth and jobs, improves energy security, and helps South Africa achieve its carbon reduction ambitions as set out in its National Determined Contribution.

    This guarantee will unlock funds for projects within the remit of South Africa’s recently released Just Energy Transition implementation plan. This comes alongside the recently significantly increased grant offer from the International Partners Group, and we are using some of those grants to help develop an investment project pipeline”.

    Mmakgoshi Lekhethe, Deputy-Director General for Asset and Liability Management in South Africa’s National Treasury commented, “We are pleased with the approval by the AfDB Board of the guarantee framework that will increase South Africa’s access to funding from the Bank by $1 billion.

    This marks an important partnership between our government, the UK and AfDB to enhance our ability to implement South Africa’s just energy transition in a way that is just and socially responsible.

    We look forward to working closely with the AfDB on the preparation and financing of a pipeline of programs and projects under our just transition priority areas, including those identified in the JET Implementation Plan. As a development bank with vast experience in just transition in the continent, the AfDB is an ideal partner for us on this important initiative”.

    Max Ndiaye, Director of Syndications, Co-financing and Client Solutions, noted previous collaboration between the Bank and FCDO, and applauded this transaction as further demonstration of the Bank’s continued efforts to heed the G20 recommendations on capital adequacy that call for increased collaboration and additional shareholder support for the balance sheet optimization of MDBs.

    “By enabling the Bank to increase its lending capacity, this landmark guarantee agreement will greatly support South Africa’s Just Energy Transition,” noted African Development Bank Director General for Southern Africa, Leila Mokaddem. “The African Development Bank remains committed to accompanying South Africa on this important journey,” she added.

    Distributed by APO Group on behalf of African Development Bank Group (AfDB).

    Link to Images: https://apo-opa.co/4afJ94I

    Contact:
    Amba Mpoke-Bigg
    Communication and External Relations Department
    email: media@afdb.org

    Technical contact:
    Max Ndiaye
    Director of Syndications
    Co-financing and Client Solutions

  •   African Countries Should Reject Anti-Fossil Fuel Policies at COP 28

      African Countries Should Reject Anti-Fossil Fuel Policies at COP 28

    The Executive Chairman of the South Africa based Africa Energy Chamber,N.J.Ayuk  has taken a swipe at the climate agenda describing it as hypocritical, biased, unjust and that it also poses a direct threat towards Africa’s development, and countries should remain resilient in their efforts to defend their right to utilize oil and gas.

    “With COP 28 set to conclude in the coming days, a COP where African countries fiercely defended the role oil and gas plays across the continent,it has become clear that developed nations seem committed to phasing out fossil fuels, advocating for an anti-fossil fuel energy transition that does not take into account the needs of the developing world”,the Chamber intimates.

    If endorsed,this approach,it warns, would cause detrimental impacts on Africa’s economies, and the African Energy Chamber (AEC) strongly urges African countries to reject any and all anti-fossil fuel policy that may arise.

    Earlier this week, Haitham Al Ghais, Secretary General of the Organization of Petroleum Exporting Countries (OPEC), issued a similar remark, urging member countries to reject any agreements that target fossil fuels during the climate negotiations.

    Advocating for focus to be placed on reducing emissions rather than reducing energy, Al Ghais noted that, “It seems that the undue and disproportionate pressure against fossil fuels may reach a tipping point with irreversible consequences, as the draft decision still contains options on fossil fuels phase out.”

    “Phasing out fossil fuels and opting for a ‘western approach’ to the energy transition is simply not an option for Africa.The continent has not only contributed the least to global greenhouse gas emissions – less than 2% – but faces the worst impacts from climate change, owing largely to the actions taken by developed countries for centuries” it argues.

    For decades, Africa’s oil and gas resources have been extracted and exported for the benefit of wealthy nations, while the continent has been left with inadequate resources to meet its growing demand.

    Wealthy nations have not only used these resources to develop but have positioned themselves as financially and infrastructurally ready to transition away from fossil fuels. Now, Africa is trying to take the same path, and is being directed to abandon an approach taken by those that went before it.

    With oil and gas, Africa is seizing control of its energy future. By directing substantial investments towards these resources, the continent will not only be able to bolster industrialization, alleviate energy poverty and join the world in its development, but strengthen its capacity to deal with climate change.

    By phasing out fossil fuels, Africa will not only reduce its inconsequential emissions, but essential phase out energy in almost its entirety. Remember, the main sources of energy in Africa are oil (42%), gas (28%) and coal (22%). If Africa were to phase out these resources, it would be transitioning from dawn to darkness.

    As Al Ghais put it, “What we will continue to advocate for is reducing emissions, not choosing energy sources. The world requires major investments in all energies, including hydrocarbons, all technologies, and an understanding of the energy needs of all peoples. Energy transitions must be just, fair and inclusive.”

    “Last year, I wrote that I was going to COP 27 because I believe that if Africa is not on the table, it will be on the menu. It is unfortunate that a year on, we have seen little to no progress by western nations to take into account the developmental needs of Africa. A year on, we are faced with the same threat: developed nations telling the world to abandon fossil fuels, thereby abandoning any chances of economic growth.

    Africa cannot afford to adopt the western-centric energy transition. Doing so would eliminate any chance of making energy poverty history, of industrializing economies and improving the lives of millions of people,” stated NJ Ayuk, Executive Chairman of the AEC.

    Africa and the developed world are at vastly different stages of their development. Why then, is the continent required to follow the same approach to transitioning?

    Why is the continent being told to abandon any chance of lighting its economies? Why do the wealthy nations of the world continue to choose politically-driven agendas over Africa? Phasing out fossil fuels might reduce emissions but it will surely send Africa into irrevocable economic decline.

    “The green agenda promoted by the wealthy nations continues to ignore how instrumental oil and gas is in Africa. Climate panic and fear mongering continues to be alive and well, and Africa should remain strong in its commitment to utilizing oil and gas for the betterment of its people,” concluded Ayuk.

  • Conference of the Parties (COP28): Multilateral development banks publish first common principles for nature-positive finance

    Conference of the Parties (COP28): Multilateral development banks publish first common principles for nature-positive finance

    LUXEMBOURG CITY, Luxembourg, December 9, 2023/ — New principles will guide multilateral development banks’ support for countries and the private sector in implementing the Kunming-Montreal Global Biodiversity Framework; For the first time, multilateral development banks define common principles and the criteria for identifying and tracking nature-positive finance; Announcement follows COP26 Joint MDB Statement on Nature, People and Planet.

    The European Investment Bank (EIB) and fellow multilateral development banks (MDBs) have today published (https://apo-opa.co/3RdNOeQ) common principles for identifying and tracking nature-positive finance. The announcement comes on nature day of the United Nations COP28 climate change conference in Dubai, United Arab Emirates.

    The common principles aim to increase nature-positive finance by mainstreaming nature in MDB operations and investments in a systematic manner. This is one of the key deliverables from the COP26 Joint MDB Statement on Nature, People and Planet (https://apo-opa.co/4aeV2ba), in which multilateral development banks collectively committed to step up efforts for the protection, restoration and sustainable use of nature in support of the Kunming-Montreal Global Biodiversity Framework.

    Nature plays a critical role in providing resources and services that underpin the achievement of the Sustainable Development Goals and are essential to solving development challenges such as health, jobs and livelihoods, inequality, climate change, food security and fragility.

    EIB Vice-President Ambroise Fayolle, said: “Scaling up nature positive finance is key to solving the climate change, biodiversity loss and pollution crises. With the common principles for tracking nature-positive finance, MDBs are implementing a key deliverable from their joint statement on nature. At the EIB, from 2024 onwards, we will be integrating the common principles into our existing environmental sustainability tracking methodology. In doing so, we are committed to working with countries and the private sector to scale up nature positive investments worldwide.”

    The common principles will help guide the development and implementation of multilateral development banks’ respective frameworks and internal methodologies for tracking nature-positive finance as they support countries and the private sector in implementing the Kunming-Montreal Global Biodiversity Framework in a systematic manner.

    The common principles will also facilitate comparability across multilateral development banks in their respective screening and tracking processes.

    They will enable the EIB to better assess whether its finance is expected to deliver a meaningful and measurable positive contribution to nature, and to communicate such nature-positive outcomes. In addition, the common principles may be informative for other investors, including capital markets and governments.

    Distributed by APO Group on behalf of European Investment Bank (EIB).
    Press contacts:
    Bruno Hoyer,
    b.hoyer@eib.org,
    +352 621 886 056Shirin Wheeler,
    s.wheeler@eib.org,
    +32 474 242 494

    Press Office:
    +352 4379 21000
    press@eib.org

  • Youth-led African enterprises awarded $800,000 at Conference of the Parties (COP28) for climate solutions

    Youth-led African enterprises awarded $800,000 at Conference of the Parties (COP28) for climate solutions

    DUBAI, United Arab Emirates, December 5, 2023/ — Eight dynamic African young women-led businesses emerged as winners of the 2023 YouthAdapt challenge. Each business will receive grant funding of up to $100,000.

    They will also receive a comprehensive mentorship and coaching as part of a 12-month accelerator program. Since its launch in 2021, the YouthADAPT initiative (https://apo-opa.co/49ZU0zH) has provided more than $5 million to 33 young entrepreneurs from 19 African nations.

    Jointly organised by the African Development Bank Group and the Global Center on Adaptation (https://GCA.org), supported by the Africa Climate Change Fund (https://ACCF.AfDB.org), YouthADAPT is an annual competition for young entrepreneurs leading micro-, small- and medium-sized enterprises in Africa with innovative climate change adaptation solutions.

    This year’s focus was on female-owned enterprises pioneering Fourth Industrial Revolution (4IR) technologies such as artificial intelligence, big data analytics, virtual reality, robotics, Internet of Things, quantum computing, additive manufacturing, blockchain, and fifth-generation wireless for climate adaptation.

    Speaking at the ceremony held on the side lines of COP28 in Dubai, President of the African Development Bank, Dr Akinwumi Adesina emphasised the importance of harnessing youth ideas and creativity to enhance livelihoods and national prosperity.

    Adesina said: “The Jobs for Youth in Africa and the Skills Employability initiatives at the Bank stand as a testament to our commitment to create 25 million jobs for our youth, ensuring that 250 million individuals find their path to the labour market. The Youth ADAPT initiative is a pledge to invest in the youth and shape a thriving future.”

    Professor Patrick Verkooijen, CEO of the Global Center on Adaptation, stressed the need to nurture Africa’s youth talent. “Young people hold the key to unlocking Africa’s economic potential. Through initiatives like the YouthADAPT awards, we provide opportunities for training and jobs to retain African talents at home.”

    During a panel discussion, Cheryl Urban, Canada’s Assistant Deputy Minister for Sub-Saharan Africa, spoke about the critical role of development finance institutions can play. “The African Development Bank’s YouthADAPT program provides crucial support in scaling up youth-led climate businesses and innovations in Africa. Canada is proud of being a contributor to the initiative.”

    Dr Beth Dunford, the African Development Bank’s Vice President for Agriculture, Human, and Social Development, stressed the importance of supporting entrepreneurs tackling climate change. She also emphasised the need to remove barriers to finance, particularly for women.

    The African Union Youth Envoy, Chido Cleopatra Mpemba, underscored the need to foster effective information-sharing mechanisms across regions.

    Lucy Wangari, one of this year’s award recipients from Onion Doctor, a firm specialized in monitoring onion growth, said the award would motivate her to do more. “It serves as a significant driver in scaling (our) innovative solution to boost local onion production by 20% and transform the onion value chain into a lucrative employment source for farmers in Kenya’s arid and semi-arid Lands.”

    Past winners shared experiences about how the grant empowered their ventures. Fela Akinse, CEO of Salubata—a business converting plastic waste into affordable footwear, emphasised how the grant is propelling their business expansion and innovation of clean technologies, and helping them to generate global impact.

    The winning ventures, led by women from across Africa, focus on sectors affected by climate change: agriculture, energy efficiency, disaster risk management, water resources, and biodiversity conservation.

    Full list of winners:

    • Deborah Nzarubara, ETS Grencom, Democratic Republic of Congo: Leveraging big data, ETS Grencom provides real-time weather data, bolstering agricultural productivity and supporting pollinating bees for sustainable farming practices.
    • Mirriam Chapi, Chapi Core Tech (https://ChapiCoreTech.com), Zambia: Through the EaseOn Track app, Chapi Core Tech has empowered over 5,000 women farmers, facilitating clean energy adoption and enhancing agricultural output.
    • Eddah Wanjiru, Arinifu Technologies (https://Arinifu.com), Kenya: The Smart Brooder & Kuku Smart innovation utilise Internet of Things technology, offering poultry solutions and operational insights, benefitting Kenya’s farming community.
    • Fatoumata Diaby, Jeune Agro-Innovatour (https://Jaimmali.org), Mali: Jeune Agro-Innovatour’s E-Compost software transforms invasive water hyacinth into premium compost, championing sustainable agricultural practices.
    • Beth Koigi, Majik Water Technologies (https://MajikWater.co), Kenya: Majik Water Technologies pioneers atmospheric water harvesting, providing vital water resources to drought-stricken farming communities in Kenya.
    • Lucy Wangari, Onion Doctor Limited (https://OnionDoctor.co.ke), Kenya: Using the Internet of Things and machine learning, Onion Doctor Limited monitors onion crops, optimising sustainability and profitability for Kenyan farmers.
    • Daniella Ushindi Viruvuswagha, ETS Chemchem Agro (https://ChemchemAgro.com), DRC: Their ApiConnect app employs Machine Learning for strategic beehive placement, significantly boosting honey production in the Democratic Republic of Congo.
    • Stephanie Meltus, Green Eden Farms (https://GreenEden.com.ng), Nigeria: Green Eden Farms utilise Scaregrow technology to offer real-time insights, enhancing productivity and resilience in Nigerian agriculture.

    More details about the YouthAdapt competition and awards are available here (https://apo-opa.co/49ZU0zH).

    Distributed by APO Group on behalf of African Development Bank Group (AfDB).
    Contacts:
    African Development Bank:
    Joash Moitui
    Africa Adaptation Acceleration Program
    media@afdb.orgAfrica Climate Change Fund:
    Rita Effah
    Coordinator
    r.effah@afdb.org

    Global Center on Adaptation:
    Alex Gee
    Head of Communications
    alex.gee@gca.com

  • Strengthening African Islands States’ Climate Resilience: President Ramkalawan chairs the AISCC Ministerial Dialogue at COP28

    Strengthening African Islands States’ Climate Resilience: President Ramkalawan chairs the AISCC Ministerial Dialogue at COP28

    04th December 2023

    In the midst of the bustling COP28 in Dubai, a significant event unfolded at the Seychelles Pavilion—the Ministerial Dialogue of the African Union Commission (AUC) in partnership with the African Islands States Climate Commission (AISCC). Seychelles as the Chair of this commission organized this gathering to enhance collaboration among African Island nations and chart a strategic course to amplify the visibility and communication efforts of the AISCC.

    President of the Republic of Seychelles and Chair of the AISCC, His Excellency President Wavel Ramkalawan, reiterated Seychelles’ dedication to leading the commission. He underscored the necessity of reinforcing exchanges to amplify the voices of African Island States at the level of the African Union Commission, Regional Economic Communities, and Regional Organizations. President Wavel Ramkalawan concluded his statement by commending the work of the AISCC and highlighting the importance of extending this platform for the younger generation, ensuring continuity in addressing climate challenges.

    Minister Flavien Joubert set the tone for the dialogue with a warm welcome to Ministers, National Focal Points, and Partners from Cabo Verde, Comoros, Equatorial New Guinea, Guinea Bissau, Madagascar, Mauritius, Sao Tome and Principe, and the United Republic of Tanzania. He articulated the primary objective of the meeting which is to provide a platform for direct exchange with the Chair since the official launch in 2020 in Addis Ababa.

    Minister Joubert emphasized the importance of fostering direct communication and collaboration to address the unique challenges faced by African island States. He acknowledged the need for strategic direction and cooperation to propel the AISCC’s mission forward.

    Expressing gratitude, Minister Joubert extended thanks to partners such as 4C Maroc, the United Nations Economic Commission for Africa (UNECA), and the Indian Ocean Commission (IOC) for their support in operationalizing the AISCC. This collaboration underscores the shared commitment to climate resilience in African island nations.

    To summarize the event, Ms. Gina Bonne, the Focal Point of the Indian Ocean Commission, provided a brief presentation of a progress report, outlining key achievements. She offered valuable insights into the next steps for developing the AISCC’s mandate and strategies for mobilizing funding.

    One key proposal discussed was the development of a Memorandum of Understanding (MoU), a soft instrument with no financial implications for states. This MoU would serve as a foundational document for states to collaborate on climate change matters. Importantly, it was clarified that the MoU would not replace or supersede existing arrangements that states may have with other regional organizations or the African Union Commission.

    Ms. Bonne also shed light on the communication plan, emphasizing the importance of ensuring the visibility of AISCC. Effective communication is seen as crucial for garnering support, both regionally and internationally, and for raising awareness about the challenges faced by African island States in the context of climate change.

    In conclusion, the Ministerial Dialogue at COP28 served as a pivotal moment for the AISCC, reinforcing its commitment to climate resilience in African island nations. The discussions and proposals put forth during this dialogue set the stage for enhanced collaboration, strategic planning, and increased visibility on the global stage, all contributing to a more sustainable and resilient future for the African Islands.

    SOURCE

    State House News Alert

  • African Development Bank with other multinational development banks commits to boost collaboration on climate and development

    African Development Bank with other multinational development banks commits to boost collaboration on climate and development

    DUBAI, United Arab Emirates, December 3, 2023/ — Multilateral development banks attending the 2023 UN Climate Change Conference (COP 28) today affirmed their commitment to a concerted, global action, including increasing co-financing and private sector engagement to address climate change, felt acutely in Africa.

    Despite contributing the least to global warming and having the lowest emissions, Africa faces existential risks due to catastrophic impact of climate change. Perennial droughts in the Horn of Africa and recent devastating floods in Libya, Malawi, Mozambique, Zimbabwe and other parts of the continent have claimed thousands of lives, destroyed infrastructure, washed away hundreds of hectares of food crops and threatened to push millions of people into extreme poverty.

    In a joint statement released in Dubai, United Arab Emirates, the banks committed to collaborating on “socially inclusive, gender-responsive and nature positive climate and development actions,” leveraging their unique expertise and networks.

    Signatories to the statement include the African Development Bank Group, European Investment Bank, Asian Development Bank, Asian Infrastructure Investment Bank, Council of Europe Development Bank, European Bank for Reconstruction and Development, Inter-American Development Bank Group, Islamic Development Bank, New Development Bank, and the World Bank Group.

    For impact, the MDBs will collaborate to attract private capital at scale for countries, expand the scope of reporting climate results and impact, and help countries identify priorities and investment opportunities.

    They also committed to support countries’ adaptation and disaster risk management efforts through the MDBs’ Early Warning for All initiative, which promotes accessible and inclusive early warning systems for all by 2027. MDBs will launch a Long-term Strategies Program to help countries and subnational entities to formulate long-term, low-emission development strategies and other long-term climate strategies.

    The banks also expressed support for various sectors including water, health and gender, committing to identify and expand financing for gender-responsive solutions for governments and businesses.

    According to a joint MDB report (https://apo-opa.co/414XDA4) launched in October, climate finance by Multilateral Development Banks for low-income and middle-income economies reached a new record of $60.7 billion in 2022, up 46 percent compared to 2019. About $38.0 billion, or 63% of the amount went into climate change mitigation finance, and $22.7 billion or 37%, supported climate change adaptation. Private finance stood at $16.9 billion.

    Distributed by APO Group on behalf of African Development Bank Group (AfDB).

    Media contact: 
    Kwasi Kpodo
    Communication and External Relations
    media@afdb.org

    SOURCE
    African Development Bank Group (AfDB)

  • Conference of Parties (COP28): Global and African partners pledge $175m to the Alliance for Green Infrastructure in Africa (AGIA)

    Conference of Parties (COP28): Global and African partners pledge $175m to the Alliance for Green Infrastructure in Africa (AGIA)

    DUBAI, United Arab Emirates, December 3, 2023/ — In a powerful signal of support during COP28, African and global institutions together with governments of Germany, France and Japan and philanthropies have pledged over $175 million to the Alliance for Green Infrastructure in Africa (AGIA). The landmark initial pledge will help to rapidly scale up financing for transformative climate-aligned infrastructure projects across the continent.

    The new pledges will also advance AGIA towards its first close of $500 million of early-stage project preparation and development blended capital. The Alliance is a partnership of the African Union Commission, the African Development Bank, Africa50 and other partners. It works to unlock up to $10 billion private capital for green infrastructure projects and to galvanise global action to accelerate Africa’s just and equitable transition to Net-Zero.

    Among the signatories of the memorandum of intent were representatives of the African Development Bank, Africa50, France, Germany, Japan, the Arab Bank for Economic Development in Africa (BADEA), Banque Ouest-Africaine de Développement (BOAD), Proparco and the Three Cairns Foundation.

    The Union of the Comoros President and Chairperson of the African Union Azali Assoumani, Madagascar’s President Andry Rajoelina and African Union Commission Chairperson Moussa Faki Mahamat witnessed the signing ceremony.

    Germany’s Minister for Economic Cooperation and Development, Mrs Svenja Schulze, said, “Germany is very pleased to join the launch of the Alliance for Green Infrastructure in Africa. We congratulate the African Development Bank on this important Africa-led initiative and want to highlight AGIA’s commitment to the 1.5°C target and its dedication to accelerate Net-Zero emissions in Africa.”

    She added, “Today marks an important step towards our shared goal of a just and equitable green transition in Africa. Supporting the commitment towards green infrastructure, we are planning to contribute up to €26 million to AGIA starting in 2024.”

    Tomoyoshi Yahagi, Japan’s Deputy Vice-Minister of Finance, said, “As part of the pledge made by Prime Minister Fumio Kishida yesterday, Japan will provide US$10 million to AGIA to support Africa in undergoing a just and equitable transition to Net-Zero and achieving the 1.5°C pathway. We encourage other donors to contribute to this important initiative.”

    Emmanuel Moulin, Director General of the French Treasury, said, “By addressing the gap in funding green infrastructure project preparation and development, AGIA will play an instrumental role in Africa’s transition to Net-Zero. Directing concessional resources to such an initiative is in line with France’s vision and solidarity policy for sustainable investment in Africa. This is why we have supported AGIA since inception and we are glad that the Summit on a New Global Financing Pact further raised momentum for the initiative. We are therefore delighted to announce a contribution of €20 million to AGIA and we hope that our contribution will catalyse more private and concessional resources.”

    African Development Bank Group President Dr Akinwumi Adesina said: “We need private sector financing at scale to tackle climate change and fill Africa’s huge infrastructure gap in a sustainable and climate-resilient manner. By working together and pooling our resources together through AGIA, we are committed to accelerating these efforts. The Bank Group plans to contribute up to $40 million, after approval from its Board of Directors.”

    Sidi Ould Tah, President of BADEA said, “We have pledged $40 million to support AGIA. We are glad to be part of this vital partnership, aiming at enabling transformational green infrastructure projects in Africa, and accelerating the continent’s transition to Net-Zero in a sustainable manner.”

    Alain Ebobissé, Africa50 CEO, said: “AGIA is set to become Africa’s largest fund focused on project development, which is a critical component to scale up the delivery of bankable green projects and help the continent achieve its climate goals. This initial fundraising round which includes strong African and international organisations is a great sign of investor confidence in AGIA. We are pleased to be part of this landmark initiative.”

    Serge Ekué, President of BOAD: “As part of our 2021–2025 Djoliba strategic plan, we have committed that about 25% of our new financing will be aimed at strengthening the resilience of our member countries to climate change. Our interest in AGIA reflects this ambition and will be in line with our strategic approach of mobilising increased climate resources in our region.”

    Françoise Lombard, CEO of Proparco said his company alongside the French government, “is proud to support AGIA, an initiative aiming to unlock Africa’s potential for green infrastructure by targeting one of its main constraints: the lack of existing bankable projects in this area. The innovative blended structure of the initiative will allow AGIA to mobilise and channel public and private resources towards project preparation and development, the riskier stages of any infrastructure project. In addition, With AGIA, we are one step closer to bridging the infrastructure gap in Africa and one-step further towards Net-Zero.”

    Mark Gallogly, cofounder of the Three Cairns Foundation, said, “We support AGIA’s mission to catalyse economic development and green infrastructure in Africa. More risk-tolerant, early-stage equity is essential to increase the number of clean energy and climate-related projects across the continent. We commend Africa50 for leading this initiative.”

    AGIA was launched a year ago at COP27 in Sharm El Sheikh, Egypt, by the African Union Commission, the African Development Bank, and Africa50 and other partners.

    Distributed by APO Group on behalf of African Development Bank Group (AfDB).

    Media contact:
    African Development Bank:
    Chawki Chahed
    media@afdb.org

    Africa50:
    Nana Boakye-Yiadom
    n.boakyeyiadom@africa50.com

    SOURCE
    African Development Bank Group (AfDB)