TODAY: There’s a waiting game happening in Baku + Lots of action in KSA

Good morning, nice people. It’s a brisk read this morning as news trickles in from COP29, with no solid developments moving forward on negotiations. G20 has concluded without any tangible weight thrown behind finance commitments…

THE BIG CLIMATE STORY OUTSIDE THE REGION- COP and G20 continue to dominate the headlines this week. The highly-anticipated G20 statement (pdf) contained weak language on climate, crushing COP29 leaders and negotiators’ hope for a boost to stimulate the stalled process. The statement declared the group “commit to successful negotiations in Baku,” but failed to make any finance commitments on thorny issues stalling COP negotiations. An explicit mention of the need to transition away from fossils was also removed from the statement, despite initial versions including the commitment.

Some think the G20’s statement call for “tns” in climate funding — instead of bns — is good news. UN climate chief Simon Stiell described the statement as sending a strong message for COP29 negotiators about the urgency of the new finance goal.

WATCH THIS SPACE-

#1- A new EV charging manufacturer is launching in Saudi: Saleh Suleiman Alrajhi & Sons and Hong Kong-listed Foxconn Interconnect Technology (FIT) will launch a USD 100 mn joint venture to locally manufacture electric vehicle chargers in the kingdom, according to a press release. Once established, the JV — Smart Mobility SJSC — will see each partner hold a 50% stake in the venture. Sullivan & Cromwell are advising FIT on the transaction.

#2- Egypt ramps up efforts to localize solar cell components manufacturing: Egypt is preparing to ink an agreement with a solar Emirati firm and a Chinese partner to set up a solar factory, Egyptian Deputy Prime Minister and Industry and Transport Minister Kamel El Wazir said during a Cabinet meeting. The Ministry of Military Production also presented a study on localizing solar cell and component manufacturing and the needed legal and technical frameworks to attract foreign investors. The study aims to lay the ground for the production of synthetic polymer silicon, polysilicon, and solar panels.

REMEMBER- Egypt has been pursuing localization for some time: In June, the Egyptian government said it would launch a tender to select an international consultant tasked with developing a strategy to localize the manufacturing of chips and solar PV cells, but no timeline was disclosed for the consultant selection process. Egypt was also reportedly in talks with several Chinese companies — including Hony Capital, China National Building Material (CNBM), and LONGi — for solar and semiconductor production opportunities in 2023.

#3- The UAE is leveraging AI to enhance its cloud seeding efforts, aiming to boost rainfall and address water security challenges, the National Centre of Meteorology’s Director General Abdulla Al Mandous told Arabian Business. The country is planning to disperse funding for pioneering research projects on the tech, earmarking USD 1.5 mn for each winning project. The UAE Research Program for Rain Enhancement Science (UAEREP) is planning to launch the research funding program in January 2025 during the upcoming International Rain Enhancement Forum (IREF).

UAE is no stranger to the tech: Earlier in January, the UAE said it was planning for around 300 cloud seeding missions in 2024 to address water scarcity and boost rainfall. The country was testing several methods for the seeding process, including using Unmanned Aerial Vehicles for atmospheric charge dispersal and cloud measurement, coupled with AI trained on data from weather models.

#4- African countries’ debt trades at a high discount making the continent an attractive location for debt-for-nature swaps, Bloomberg reports. African bonds yield about 120 basis points higher than those of other emerging markets, Bloomberg says, citing JP Morgan Chase data. This makes the continent’s nature swaps extra attractive, where the debts are bought in secondary markets at discounted rates, clearing some savings to go for nature conservation efforts. Standard Chartered Chief Sustainability Officer Marisa Drew told Bloomberg that the continent’s potential is high and lots of investors are lining up.

And a Southern Africa coast nature swap in the pipeline: US-based conservation nonprofit The Nature Conservancy (TNC) is exploring debt-for-nature swaps and blue bond sales to protect over 4.2k miles of southern Africa’s coastline, Bloomberg reports. The financial instruments offer longer-term funding compared to traditional finance, supporting marine conservation efforts in South Africa, Namibia, and Angola. TNC has previously implemented similar swaps in Belize and Gabon, securing over USD 1 bn in total for the efforts. The current project, the Blue Benguela Partnership, aims to create an additional 148k sqkm of marine conservation areas, enhancing the protection of the already safeguarded 238k sqkm.

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CIRCLE YOUR CALENDAR-

Qatar will host the World Energy Storage Conference from Tuesday, 3 December to Thursday, 5 December in Doha. The event will gather scientists, researchers, engineers, policymakers, and industry experts to discuss advancements and challenges in energy storage technology. The detailed agenda is yet to be announced.

Saudi Arabia will host the Conference of the Parties (COP16) to the United Nations Convention to Combat Desertification from Monday, 2 December to Friday, 13 December in Riyadh. The summit will convene leaders and officials from 196 member-states and territories to advance actions and hold ministerial dialogues on resilience and finance, focusing on policies, tech and innovative funding mechanisms.

The UAE will host the World Energy Summit from Tuesday, 14 January to Thursday, 16 January in Abu Dhabi. The summit will host over 350 speakers including energy industry leaders and policymakers with discussions ranging from eco-waste to sustainable cities. An exhibition will also be held for showcasing green products.

Saudi Arabia will host the Future Minerals Forum from Tuesday, 14 January to Thursday, 16 January in Riyadh. The forum will gather stakeholders from over 170 countries to discuss mineral technology and exploration. Speakers will include senior government officials and CEOs from renowned mining companies Vale, Rio Tinto, and Manara.

Bahrain will host the Sustainability Forum Middle East from Tuesday, 28 January to Wednesday, 29 January in Manama. Climate experts and decision-makers will convene to discuss a number of issues ranging from decarbonization to supporting SMEs on their path to net zero. Speakers will include GCC government officials and industry leaders from the banking and industrial sectors.

Check out our full calendar on the web for a comprehensive listing of upcoming news events, national holidays and news triggers.