South Africa will be joined by the countries of Indonesia, India and the Philippines as the first beneficiaries of a multi-billion dollar pilot program to accelerate the transition from coal to clean energy. The four selected countries account for the world’s 15% emissions associated with coal which is said to be the dirtiest fossil fuel. Reducing emissions faster will support global efforts to achieve net zero carbon emissions by the year 2050, a key goal of the UN COP26 Climate Change Summit held in the city of Glasgow, Scotland.
About the programme
According to the CIF, the ACT program is the first program for developing countries that lack sufficient resources to fund their departure from coal, helping to raise global temperatures. It is considered essential to maintain. By the year 2030, we will be the first to benefit from limiting to 1.5 degrees Celsius. The new program has been approved by a group of seven developed countries and is supported by financial commitments from the United States, Germany, United Kingdom, Denmark and Canada. Denmark will donate DKK 100 million which is equivalent to US $ 15.5 million to a program effort to invest in new energy sources and abolish coal-fired power plants.
Investments through the ACT programme
The ACT programme invests in projects ranging from strengthening the country’s domestic capacity to address energy transitions to the reuse or decommissioning of coal-fired power plants, creating economic opportunities for coal-dependent communities. The project, in collaboration with six multilateral development banks, will provide coal-transitioning countries with a comprehensive set of financing tools, including low-income lending and technical assistance.
About Coal Combustion
Combustion of coal, the number one cause of rising temperatures in the world, faces competitive challenges from renewable energy sources, and the number of uncompetitive coal-fired power plants will be three in the world by 2025. It is expected to increase by more than two minutes. Coal is a high-emission energy source that hinders a climate-friendly future. The market is starting to move in the right direction, but the transition is not fast enough to respond quickly to the climate crisis at hand.
