The coalition pledges to “unlock financing and de-risk investments, particularly in developing countries, by lowering costs, attracting capital and closing the financing gap, in close partnership with international financial institutions and development banks.”
“Stark disparities in access to energy and investment remain,” the statement goes on to warn. “Much more needs to be done to ensure the transition not only advances globally but also benefits the people and economies that need it most.” The statement cites a lack of investment in power grids and electricity storage that would allow countries with abundant wind and solar potential to decarbonize.
“Of the $2 trillion spent in 2024, only $40 billion went to Africa. Although this is twice the 2020 level, it is still woefully insufficient. If we do not act, 550 million people on the continent will remain without modern access to energy in 2030,” a situation that the leaders warn “claims lives” through pollution and poverty.
World leaders will meet to discuss how to combat the climate crisis at the COP30 conference in Brazil in November, where cash for island nations and developing countries threatened by rising sea levels and drought is again expected to be a subject of discussion.
Previous efforts to ensure wealthier nations would collectively agree to help fund the green transition and bolster resilience have faced major hurdles, with a lack of unanimous support.
In South-East Asia, for example, the leaders said an additional $47 billion a year is needed by 2035 to ensure sufficient growth in green energy capacity. They call on the private sector to join forces with governments to overcome the funding crisis. They also urge new financing instruments, development of local renewables manufacturing, and closer collaboration between countries.