01 | THE HIGHLIGHTS – CLIMATE FINANCE
CLIMATE FINANCE
Climate finance that makes a difference The OPEC Fund exceeds its ambitious targets in support of the Paris Agreement
The year 2024 was the hottest in history, reaching a record 1.55°C above pre-industrial temperatures. The OPEC Fund responded to the growing dangers associated with climate change by further stepping up its efforts in climate mitigation and adaptation with a combination of project financing, policy reform and technical assistance. In 2024, the OPEC Fund published its first Climate Finance Report, show- casing achievements, case studies and progress toward climate goals. While the institution’s Climate Action Plan initially set a target for a quarter of all new financing to be climate-focused by 2025, the OPEC Fund has already surpassed this — achieving 34 percent in 2023. The report marked the begin- ning of the institution's annual climate finance reporting. Climate action was delivered through a range of vehicles and sectors. The annual review of the impact of the OPEC Fund’s projects in its Development Effectiveness Report found that 51 percent of the 45 approved projects and 16 completed projects from July 2023 to June 2024 contributed to Sustainable Development Goal 13 – Climate Action. Measurable impact included the reduc- tion of CO 2 emissions by almost 75,000 tons per year. The OPEC Fund significantly increased its investments in renewable energy projects, which constituted nearly 40 percent of the institution’s energy sector commitments in 2024. One example was the landmark 1.1 GW Suez Wind Farm, which will power more than a million homes and cut CO 2 emissions by 2.5 million tons per year. To find effective strategies against climate change it is also important to join forces in knowledge sharing and developing joint approaches. In April 2024, the OPEC Fund hosted its inaugural Climate Solutions Week, convening experts from partner organizations, developing countries and the private sector. The event facilitated both high-level policy discussions and in-depth technical exchanges, reinforcing the OPEC Fund’s role as a key platform for climate dialogue and action.
Investments in renewable energy projects constituted nearly
40 %
of the energy sector commitments in 2024
20
Powered by FlippingBook