India, Indonesia and Philippines join coal transition programme
- Climate Investment Funds (CIF) launched the nearly $2.5 billion Accelerating Coal Transition (ACT) investment program, a first-ever effort to advance a just transition from coal power to clean energy in emerging economies.
- South Africa, India, Indonesia, and the Philippines, representing over 15% of coal-related emissions globally, have been selected as the first beneficiaries of the initiative.
- The four countries account for 15% of global emissions related to coal, the dirtiest fossil fuel.
About the Climate Investment Funds
- The Climate Investment Funds (CIF) was established in 2008 to mobilize resources and trigger investments for low-carbon, climate-resilient development in select low and middle-income countries.
- 14 contributor countries have pledged up to $10.5 billion to the Funds.
- To date, committed CIF capital has generated an additional $61 billion in co-financing for mitigation and adaptation interventions at scale in 72 recipient countries.
About Coal Transition programme
- CIF announced the establishment of the Accelerating Coal Transition (ACT) Investment Program in early 2021.
- In June, the G7 announced up to $2 billion in support for the ACT and other complementary CIF programs aimed at increasing the penetration of renewables.
How the ACT Works
- The ACT offers a holistic toolkit to support countries transitioning away from coal, tackling challenges linked to national strategies, people and communities, as well as land and infrastructure.
- It builds support at the local level to reconsider the development of new coal plants and accelerate the retirement of existing coal assets.
- Finally, it fosters new economic activities fueled by new sources of energy, working with public sector utilities and private sector operators to define paths to advance transitions.