IRENA, ADFD open new funding round for developing countries

Business & Finance

The International Renewable Energy Agency (IRENA) in collaboration with the Abu Dhabi Fund for Development (ADFD) has opened a fourth round of funding to support renewable energy projects in developing countries.

The funding round of approximately $50 million is part of a $350 million commitment by ADFD to provide concessional loans to projects endorsed by IRENA over seven funding cycles.

The eligible projects for the funding include those from ocean energy, solar energy, wind energy, bioenergy, geothermal energy, and hydropower sectors.

According to IRENA, the projects must be transformative, replicable, scalable and/or innovative, improve energy access and help address energy security issues.

Adnan Amin, IRENA’s General Director, said: “This new funding cycle provides another opportunity for developing countries to access low cost capital for renewable energy projects to drive an energy transition and achieve sustainable development. The continued partnership between ADFD and IRENA brings funding to the places where it can have the most impact and where financing is one of the greatest challenges.”

Mohammed Saif Al Suwaidi, ADFD’s General Director, added: “The scale of current energy demand globally requires close collaboration among governments and international agencies to ensure access to clean and cost-effective energy across the developing world. We are confident that such inter-governmental collaboration will help narrow the gap between developed and developing countries in this crucial sector.”

Applications for this fourth of seven funding cycles will be accepted until February 15, 2016.

IRENA is an intergovernmental organization made up from 144 members (143 states and the European Union) that promotes the adoption and sustainable use of renewable energy.

ADFD is an independent national entity affiliated to the Abu Dhabi government that offers concessionary loans, manages government grants through the direct supervision of such aid in project implementation and makes long-term investments and direct contributions to help developing countries achieve sustainable development.