Mixing Different Financing Sources and Stimulating Investments are Necessary for Financing Climate Projects in Africa
Scientific Research and Studies are Essential to Find Scientific Solutions For Climate Crisis
Dr. Mahmoud Mohieldin, UN Climate Change High Level Champion for Egypt and UN Special Envoy on Financing 2030 Sustainable Development Agenda, confirmed that African Carbon Markets Initiative (ACMI) is one of the most important mechanisms for financing climate action in Africa that goes in line with the continent’s innovative approach to deal with climate change.
This came during his participation in “Carbon Markets for Global South, featuring ACMI” within the events of Africa Climate Summit (ACS) taking place in Nairobi, Kenya, with the participation of Dr. Andrew Steer, President and CEO of Bezos Earth Fund, Lamin Manjang, Standard Chartered Vice Chairman for Africa, and Angela Churie Kallhauge, Executive Vice President of Environment Defense Fund.
Mohieldin said that the launch of ACMI during COP27 in Sharm El Sheikh came after intensive talks and discussions before and during the conference between all actors and potential sponsors on the best innovative mechanisms for financing climate and development action in Africa.
“Since day one, the initiative has received official support from Africa leaders and governments as well as some regional and international financing institutions, beside the effective participation of private sector, civil society and philanthropies.” Mohieldin added, explaining that this momentum has created mechanisms to accelerate action to activate the initiative.
Mohieldin pointed out the need for the initiative to deal with the challenges facing the establishment of carbon markets in general such as its main objective, technology, the type of the market whether it is compliance or voluntary, and how far the market contributes to achieving energy transition and, thus, reducing emissions, as well as the challenge of transboundary carbon and the criteria set by some parties such as the EU on carbon trade.
Mohieldin called on all actors to intensify work to create a sustainable carbon market in Africa in the long term that suits the continent’s priorities, economies and objectives of environmental and climate action, taking into account the socioeconomic dimension of the continent countries, with the need to set standards and criteria for the African carbon market that achieve the continent’s goals and go in line with global market standards.
Mohieldin also stressed the need to scale investment in climate projects in Africa in general and the African Carbon Markets Initiative and carbon projects in particular.
In a related context, Mohieldin stressed the importance of fighting poverty in Africa by achieving sustainable development and providing financing and technology for development and climate projects and infrastructure improvement, which all require the availability of information and data as well as the legislative framework for making decisions.
This came during his participation in a session entitled “Investing in South-led Science and Innovation for a Just and Equitable Climate Finance Framework” within the events of Africa Climate Week (ACW).
Mohieldin stressed the importance of determining the required finance for implementing climate projects, confirming the need to make optimal use of local financing sources in developing countries in general and African countries in particular, and not to rely on external sources alone, with the need to stimulate the participation of private sector in financing and implementing climate and development action in the continent.
The climate champion highlighted the importance of scientific research and studies and the role of universities and research centers in this regard in order to find scientific solutions to the climate crisis, noting that climate initiatives and projects in Africa, including ACMI, need support from researchers as well as cooperation in sharing information at the regional and international levels.