The European Investment Bank has joined the new Global Energy Alliance for People and Planet (GEAPP) that was launched on 2 November 2021 at the COP26 World Leaders Summit. The new alliance has made an initial $10 billion commitment to accelerate and scale a more equitable green energy transition and renewable power in developing countries worldwide.
Over the next decade, the alliance aims to mobilize USD100 billion in public and private money to tackle three profound problems:
1) Power – provide one billion people with reliable, renewable electricity
2) Climate – avoid and avert four billion tons of carbon emissions
3) Jobs – develop opportunities for employment and create more than 150 million jobs.
The alliance also announced a global call for transformational country partnerships that will transform the future, inviting developing countries to apply for technical support and funding to speed up clean energy projects.
Countries that still suffer from energy poverty today are only responsible for 25% of global CO2 emissions. This could grow to 75% by 2050, according to an analysis by the alliance. These countries receive only 13% of the world’s supply of clean energy financing, even though they represent nearly half of the world’s population.
There are 243 GW of coal plants being planned, receiving permits or under construction across developing countries. If constructed, they will emit 38 billion tons of CO2 over the coming decades, which is nearly the same as total global emissions last year. To change this development and help jobs and livelihoods at the same time, the alliance announced it is providing more than USD10 billion to advance fossil fuel transitioning, grid-based renewables, and distributed renewables.
Members of the Global Energy Alliance include:
- Global Philanthropies: The Rockefeller Foundation, IKEA Foundation, Bezos Earth Fund
- Public development banks: 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;
- Countries: Hosts of the 26th Climate Change Conference – Italy, the UK and Denmark.
“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 and renewable electrification is the only way to restart economic progress for all while at the same time stopping the climate crisis,” said Rajiv Shah, president of the Rockefeller Foundation. “Providing people with an on-ramp to the modern economy while making real, measurable progress against the existential threats of climate change, the Global Energy Alliance for People and Planet is one of the boldest, most transformative initiatives in our history.”
EIB Vice-President Ambroise Fayolle commented: “To reach the Paris climate goals, we must triple energy investments by 2030 and deliver universal access to clean and affordable energy worldwide. The European Investment Bank, as the EU climate bank, is increasing its support for climate action in developing and emerging economies. We are delighted to join the Global Energy Alliance for People and Planet. We will work closely with our partners to help develop and finance renewable energy systems, with a special focus on Sub-Saharan Africa. We are grateful to the Rockefeller Foundation and the IKEA Foundation for the leadership in spearheading this important alliance.”
