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In a strategic partnership between the UAE and the US, the two countries have signed the Partnership for Accelerating Clean Energy (PACE) and agreed to invest $100 billion in the production of 100 gigawatts of clean energy worldwide by 2035.
The agreement, which was signed at the Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC) in the presence of UAE President Sheikh Mohamed, aims to ensure energy security, support climate action, and drive sustainable development globally.
“Today the United States joined with the United Arab Emirates in taking a bold step toward the resilient, affordable clean energy future the world needs,” White House Press Secretary Karine Jean-Pierre said.
“Our new Partnership (PACE) will catalyse $100 billion in clean energy financing in both countries, as well as robust commercial investment and other support for the emerging economies whose clean development is both underfunded and essential to the global climate effort.”
The agreement comes just days before the opening of the UN’s COP 27 climate conference in Egypt which is set to take place 6-18 November.
To ensure PACE is on track to achieve its targets, the US and UAE will establish an expert group to identify priority projects and remove potential obstacles.
Four pillars of PACE
According to the White House Fact Sheet on the agreement, PACE is built upon four pillars.
These pillars are:
- Clean energy innovation, deployment, and supply chains. As part of its cost-reducing efforts, PACE will draw on domestic and foreign resources and leverage the expertise of the public and private sectors in the US and the UAE.
- Carbon and methane management. The counterparties to the agreement will continue to invest in fossil fuel emissions abatement technologies.
- Nuclear energy. They will also promote advanced nuclear energy as a clean energy solution.
- Industrial and transport decarbonisation. PACE will encourage investment and project-level collaboration, and foment demand for net-zero emissions industrial products by ramping up the supply of clean energy applications in the industrial, long-haul maritime and aviation sectors.
Jean-Pierre added, “As the President prepares to travel to Egypt for COP 27, PACE 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.”