Emirates Development Bank Commits AED 1.3 Billion To IRENA’s Global Renewable Energy Initiative For UAE’s Sustainable Future

Emirates Development Bank (EDB), a key player in UAE’s economic development, has allocated up to AED 1.3 billion (USD 350 million) to support the Energy Transition Accelerator Financing (ETAF) platform. This global climate finance initiative, spearheaded by the International Renewable Energy Agency (IRENA), aims to expedite funding for renewable energy projects in developing nations.

The commitment was formalized through a Collaborative Partnership Agreement signed between EDB and IRENA, attended by prominent figures including His Excellency Dr. Sultan Al Jaber, Minister of Industry and Advanced Technology, and Mr. Francesco La Camera, Director-General of IRENA.

Under the agreement, EDB will provide financing for projects endorsed by IRENA that align with the Paris Agreement and the UN Sustainable Development Goals (SDGs). This move underscores EDB’s dedication to advancing global climate goals and facilitating a just, equitable, and responsible energy transition.

Dr Sultan Al Jaber emphasized the significance of the agreement, stating, “COP28 marks the first global stocktake since the Paris Agreement, and this agreement is a significant milestone in helping to provide adequate climate financing to drive global investments that meet the 2030 global goals.”

The partnership builds on the enduring collaboration between the UAE and IRENA, with the UAE committing AED 1.46 billion (USD 400 million) to ETAF, supporting the deployment of an additional 1.5 GW of clean renewable energy generation and storage by 2030.

IRENA’s Director-General, Mr. La Camera, highlighted the critical role of renewable energy in addressing emissions and growing energy demand. He commended the UAE’s commitment to tripling its renewable energy capacity by 2030 and noted that EDB’s participation in the ETAF platform would directly contribute to translating ambitious goals into actionable projects.

Mr. Ahmed Mohamed Al Naqbi, CEO of EDB, expressed the bank’s commitment to supporting the UAE’s energy transition. He stated, “Through the ETAF platform, we will cultivate a robust pipeline of bankable renewable energy projects, and support entrepreneurs to bring high-quality, sustainable, and financially viable clean energy businesses to market.”

The ETAF platform, managed by IRENA, aims to leverage approximately USD 1.0 billion in capital by 2030 from various funding sources to finance proven, mature renewable energy projects globally.

As part of its broader mandate, EDB aims to approve AED 30 billion in financing support to companies in sectors including renewables, manufacturing, technology, healthcare, and food security by 2026. The bank is also driving local initiatives, including a Solar Energy Financing Program, allocating AED 100 million to support micro, small, and medium enterprises in adopting green energy solutions.