Statement: CETP signatories must stick to their commitment to fully prioritize international public finance for clean energy
One year into the implementation of the Clean Energy Transition Partnership (CETP), research shows that signatories have not yet fully shifted their financing into clean energy. On Energy Day at COP 28, a group of civil society organizations have released a statement calling on CETP signatories to stick to their commitment to prioritize financing for the clean energy transition.
Signatories to the Clean Energy Transition Partnership (CETP) committed to ending new direct public support for the international unabated fossil fuel energy sector by the end of 2022, and instead prioritize their support fully toward the clean energy transition.
However, recent IISD research reveals that while signatories to the CETP have made significant progress in cutting international public finance for fossil fuels, most countries and institutions have not yet matched these cuts with equal increases in support for clean energy. In 2022, signatories collectively reduced their fossil fuel financing by USD 6.5 billion compared with the 2019–2021 average, but put only an extra USD 5.2 billion into clean energy—and this increase was due to a small handful of signatories.
In the statement, the civil society organizations emphasize that CETP signatories have a critical opportunity to fulfill their commitment to fully prioritize international public finance for the clean energy transition in a just and equitable way that "does no significant harm."
The signatories of the statement call on the signatories to the CETP to
- set targets to increase the scale and quality of public support for the clean energy transition;
- direct international support to enabling clean energy subsectors, such as off-grid and distributed renewables for energy access, smart grids, and storage infrastructure;
- ensure that all clean energy financing is rights based, community led, gender sensitive, and implemented through democratic and participatory processes;
- update national and institutional policies and strategies to prioritize international support for clean energy in 2024; and
- annually report publicly on progress in increasing international public finance for clean energy.
Participating experts
You might also be interested in
What Will Happen at COP 29?
Talks at the 2024 UN Climate Change Conference (COP 29) will range from defining a way forward on finance through a new collective quantified goal (NCQG) to mitigation, and loss and damage. Ahead of negotiations in Baku, IISD’s Earth Negotiations Bulletin Team Lead Jennifer Bansard examines the agenda and breaks down what to watch as eyes turn to Azerbaijan.
Capping Potential Blowouts
This policy brief argues that the oil and gas emissions cap is necessary but cautions that some of its compliance flexibilities may amount to a critical weakening.
How Can a Fossil Fuel Levy Cut Emissions and Finance Climate Action?
A levy on extracting fossil fuels could reduce emissions and help finance climate action. How can governments implement the most effective fossil fuel levy?
October 2024 | Carbon Minefields Oil and Gas Exploration Monitor
In September 2024, a total of 19 oil and gas exploration licences were awarded across eight countries, with a concerning estimated volume of embodied emissions reaching 147.1 million metric tons of CO2.