United States and the United Arab Emirates (UEA) signed on Tuesday a partnership expected to attract $100 billion in investment in clean energy projects worldwide, the White House said today.
The U.S. and the UAE have signed the U.S.-UAE Partnership for Accelerating Clean Energy (PACE), set to catalyze $100 billion in financing, investment, and other support for clean energy, and to deploy 100 gigawatts (GW) of clean energy globally by 2035.
The projects are expected to take place not only in the U.S. and the UAE but also in emerging economies, as “the two countries intend to elevate climate action by vigorously pursuing and encouraging investment in clean energy in emerging economies,” the White House said.
Under the new partnership, the U.S. and the UAE plan to work together to prioritize commercial projects in developing and low-income countries and provide them with technical and financial assistance.
The parties will also aim to facilitate investment in mining, production, and processing of critical minerals and materials critical for the energy transition and to encourage efforts for reducing emissions, including via carbon capture and hydrogen projects.
The clean energy partnership also supports the full-scale implementation of the civil nuclear cooperation between the U.S. and the UAE, as both countries believe that nuclear energy can be a driver of decarbonization in the electricity sector and in heavy industry and heavy-duty transport because it can be used to produce hydrogen, industrially process heat, and desalinate water, among other uses.
The U.S. and UAE also plan to work together to scale up the production of clean fuels for the aviation and shipping sectors.
“As the President prepares to travel to Egypt for COP 27, PACE also reflects our unwavering commitment to working closely with allies and partners to accelerate the clean energy transition and deliver the climate action our shared future depends on,” White House Press Secretary Karine Jean-Pierre said in a statement, commenting on the partnership.
The UAE is a key influential member of OPEC and the OPEC+ pact with Russia, which the White House slammed last month for the “misguided” and “shortsighted” decision to reduce the collective oil production as of November. NB: Tsvetana Paraskova wrote this article for Oilprice.com