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The Arab Petroleum Investments Corporation (APICORP) has issued a whitepaper comprising recommendations for sustainable energy sector growth in the MENA region.

Recommendations included in the “The Energy Transition: Reshaping Investments and Strategies,” have been compiled from a round table of 40 energy sector representatives from finance, government and private institutions.

The recommendations include:

  • Improving access to private sector financing for the development of the industry, and an increase in the participation from the private sector through the creation of new financial and commercial models. These steps will fill the gaps that energy majors, national oil companies and governments cannot meet alone and enable better risk-sharing.
  • While the renewable energy industry has certainly benefitted from tailored financing mechanisms – such as mini-perms, green bonds, standardisation and aggregation of projects, soft loans and crowdfunding – the rest of the energy value chain is lagging behind.
  • Improved industry regulations to increase investor sentiment and confidence
  • Simplified, stable and transparent regulation will increase investor sentiment and confidence.
  • The introduction of carbon pricing to steer the industry towards lowering carbon emissions.
  • Increased energy efficiency across the value chain to maximise value out of energy assets
  • Promoting public awareness about the energy industry and its role in the development

Ahmed Ali Attiga, CEO of APICORP, said: “In this age of rapid evolution for the energy industry, greater stakeholder collaboration between leaders of the energy and finance markets is of critical importance.

At the APICORP workshop on Energy Transition, the participants identified the need for countries to develop new regulatory models with higher standards of governance to create the right incentives and enable higher private sector participation. This involves outlining clear and specific national and local environmental concerns, setting targets and establishing independent authorities to oversee the implementation of the entire process.”

The whitepaper is available for download here.