COP26: New alliance to unlock $100bn for renewable electrification

294

The Global Energy Alliance for People and Planet (GEAPP) will be launched today (2 Nov) at COP26 to accelerate investment in green energy transitions and renewable power solutions in emerging economies worldwide.

The new Alliance, consisting of The Rockefeller Foundation, IKEA Foundation, and Bezos Earth Fund, aims to unlock $100 billion in public and private capital over the next decade and tackle three human problems simultaneously, namely:

POWER – reaching one billion people with reliable, renewable energy;

CLIMATE – avoiding and averting four billion tons of carbon emissions; and

JOBS – creating, enabling, or improving 150 million jobs.

The Alliance is unique as it brings together philanthropies, multilateral and development finance institutions, and governments to focus on meeting the growing demand for power with renewables in place of coal and extending productive-use power to communities that lack reliable access to electricity.

Have you read?
#COP26 – Gresham House chief: ESG critical to investment processes
G20 nations commit to phasing out new coal generation plants

The Alliance has also opened a Global Call for Transformational Country Partnerships, inviting developing and emerging economies to apply for technical support and funding to advance ecosystems of clean energy projects.

“The world is undergoing an economic upheaval, in which the poorest are falling farther behind and being battered by climate change’s effects. Green energy transitions with renewable electrification are the only way to restart economic progress for all while at the same time stopping the climate crisis,” said Dr. Rajiv J. Shah, President of The Rockefeller Foundation.

“Providing people with an on-ramp to the modern economy while making real, measurable progress against the existential threat of climate change, the Global Energy Alliance for People and Planet is one of the boldest, most transformative initiatives in our history.”

The share of global emissions from energy-poor countries could grow to 75% by 2050, according to analysis published by the Alliance. However, these countries only receive 13% of clean energy financing.

Furthermore, there are 243GW of coal plants being planned, permitted, or under construction in developing countries. To change this trajectory and improve livelihoods, the Alliance will provide more than $10 billion to focus on fossil fuel transitioning, grid-based renewables, and distributed renewables.

“By replacing diesel generators and coal-fired power plants with renewable alternatives we can reduce carbon emissions quickly. The alliance will work closely with emerging and developing countries who are keen to embrace an inclusive and just energy transition, to bring carbon emissions down and incomes up,” said Per Heggenes, CEO of the IKEA Foundation.

Alliance partner members have already established relationships in several countries, to work with governments and enhance their domestic policy, planning, and regulatory frameworks, as well as create more favourable investment environments.

“By bringing the leading technical providers and financing agents together, the Global Energy Alliance for People and Planet is well placed to become the most significant initiative to extend clean, reliable energy to those who don’t have it, while eliminating carbon pollution. In turn, it will create millions of jobs, benefit health, and provide essential development and climate gains,” said Andrew Steer, CEO of Bezos Earth Fund.

The Alliance also launched a global mobilization campaign with non-governmental organizations and youth activists to advocate for the long-term changes needed to “Change Energy for Good,” asking people to use #LetsChangeEnergy and add the reason why they want energy changed.

Alliance partners also include:

The African Development Bank Group, Asian Development Bank, European Investment Bank, Inter-American Development Bank, International Finance Corporation, UK’s CDC Group, US International Development Finance Corporation, and World Bank; Co-Hosts of the 2021 United Nations Climate Change Conference (COP26) Italy and the UK, and Denmark.