The Minister of Planning, Economic Development, and International Cooperation Delivers the Opening Speech at the Launch Event of the 2nd Progress Report of the Country Platform for the "NWFE" Program

In the presence of H.E. Dr. Mostafa Madbouly, the Prime Minister
 
The Minister of Planning, Economic Development, and International Cooperation Delivers the Opening Speech at the Launch Event of the 2nd Progress Report of the Country Platform for the "NWFE" Program

 

 

Al-Mashat: "We review together the progress made in the "NWFE" program for the second consecutive year, in line with the principles of transparency."

 

Climate change is more costly for developing countries, and the climate financing gap is widening every year.

 

Egypt has presented a comprehensive model based on national ownership that integrates development and climate action.

 

Efforts are underway to launch a regional initiative with the African Development Bank to leverage the successes of the "NWFE" program in Kenya, Senegal, and Zambia as 1st phase

 

New projects in renewable energy and desalination are being added to the program to benefit from innovative financing mechanisms.

 

The green transition is one of the main pillars of the national structural reforms program, and we have implemented ambitious reforms in several sectors, primarily renewable energy.

 

Expanding the scope of the "NWFE" program will enhance Egypt’s access to the $1.3 billion financing from the Resilience and Sustainability Trust (RST).

 

We are coordinating with various national entities to implement a package of structural reforms in the field of green transformation.

 

The expansion of energy projects has contributed to Egypt's rise as the second-largest producer of renewable energy in Africa.

 

New projects from the Norwegian company Scatec and the Arab Energy Company have been added to the energy sector of the "NWFE" program, along with a seawater desalination plant in Ain Sokhna.

 

 

 

H.E. Dr. Rania A. Al-Mashat, Minister of Planning, Economic Development, and International Cooperation, delivered the opening speech at the launch event of the 2nd progress report of the country platform for the "NWFE" program, focusing on the nexus between water, food, and energy projects. The event was held under the patronage and presence of H.E. Dr. Mostafa Madbouly, Prime Minister, Lieutenant General Eng. Kamel El-Wazir, Deputy Prime Minister for Industrial Development, Minister of Industry and Transport, Dr. Hani Sewilam, Minister of Water Resources and Irrigation, Dr. Mahmoud Esmat, Minister of Electricity and Renewable Energy, and Mr. Alaa Farouk, Minister of Agriculture and Land Reclamation. Representatives of development partners included Mark Bowman, Vice President of the European Bank for Reconstruction and Development, Malinne Blomberg, Deputy Director-General of the African Development Bank, Guido Clary, Head of the Regional Hub of the European Investment Bank, and Mark Davis, Managing Director for the Southern and Eastern Mediterranean (SEMED) region at the European Bank for Reconstruction and Development. Additionally, Alvaro Lario, President of the International Fund for Agricultural Development (IFAD), participated with a recorded speech.

In H.E.’s speech, Dr. Rania Al-Mashat explained that the event organized by the Ministry of Planning, Economic Development, and International Cooperation, held for the second consecutive year, under the theme "Two Years of Implementation," comes as part of the ministry’s efforts to promote transparency, which underpins economic diplomacy, aims to review the progress made in implementing projects under the country platform for the "NWFE" program, one of the initiatives launched during Egypt's presidency of the COP27 Climate Conference.

 

H.E. Dr. Al-Mashat added that the climate financing gap continues to widen, with adaptation and mitigation efforts requiring an additional investment of nearly $366 billion annually in developing countries. These countries are the most affected by the impacts of climate crises and successive natural disasters. Meanwhile, Africa's needs were estimated at approximately $2.7 trillion by 2030, equivalent to $400 billion annually. This necessitates the urgent contribution of the private sector to the required investments for climate action.

H.E. Minister Al-Mashat noted that, amidst geopolitical tensions and economic crises, the severity of climate change is increasing, which requires a significant rise in funding, particularly for developing countries and activities related to climate adaptation. H.E. Dr. Al-Mashat emphasized the growing international momentum around development finance and climate action. This is with the aim to present an innovative model to overcome the challenges posed by climate change, with minimal costs and maximum efficiency and effectiveness.

H.E. Dr. Al-Mashat highlighted that practical experience has shown that development and climate action are two sides of the same coin. From this perspective, and reflecting Egypt’s ambition in climate action, the Egyptian government worked diligently during its presidency of COP27 to present an innovative and more comprehensive mechanism that is applicable in various economic, social, and business systems and emerging markets. This mechanism aims to enhance the optimal use of development resources and achieve resilience in the face of climate change.

H.E. Dr. Al-Mahat also discussed the launch of two initiatives under Egypt’s presidency of COP27: the "Sharm El-Sheikh Guidebook for Just Financing" and the country platform – the "NWFE" program, aimed at providing practical frameworks to move from commitment to implementation. The Sharm El-Sheikh Guide aims to promote the principles of just financing and define the roles and responsibilities of all relevant parties, including governments, international organizations, civil society, and the private sector, with the aim of enhancing the capacity of developing and emerging countries to attract green finance and investments.

The Minister further reviewed the integration of national efforts, particularly with respect to the National Structural Reform Programme. H.E. noted that green transformation is one of the key pillars of the national reforms. She explained that numerous structural reforms in the transition to a green economy have been implemented, enhancing Egypt's ability to attract foreign direct investments and development financing for the renewable energy sector. Among these reforms are the launch of the national MRV (Monitoring, Reporting, and Verification) system, the adoption of the revised sustainable energy strategy, and the activation of Egypt's first voluntary carbon credit trading market.

H.E. Minister Al-Mashat continued, "The country platform for the “NWFE” program embodies the model of multilateral country platforms based on country ownership, shared responsibility, and transparency, as endorsed by the G20, with international institutions issuing joint recommendations to benefit from Egypt’s experience in accelerating the achievement of sustainable development goals, particularly those related to climate action.

H.E. Dr. Al-Mashat continued that, following the successes achieved by the program over the past two years and its compliance with the standards set by international institutions and the G20 regarding country platforms, efforts are currently underway in collaboration with the African Development Bank (AfDB) to launch a regional initiative that seeks to leverage what has been achieved in the framework of the Country Platform for the "NWFE" program in three key countries—Kenya, Senegal, and Zambia—as a first phase, with plans to eventually cover the entire continent.

H.E. Dr. Al-Mashat outlined that, in line with the principles of governance and transparency in international partnerships, which are an essential part of economic diplomacy, the Ministry launched the first progress report. The report tracked a year of implementation and joint work with various stakeholders in the NWFE program, for the nexus of water, food, energy, and sustainable transport sectors. Today, the 2nd progress report is being launched to monitor the progress of the project.

 

H.E. Minister Al-Mashat added that the program is a major driver towards achieving the 2050 National Climate Change Strategy and the Nationally Determined Contributions (NDCs), which reflect the state’s commitment to transitioning to a low-carbon development path. The goal is to reach 42% renewable energy in the energy mix by 2030, rather than 2035 as previously planned in the earlier NDCs. She pointed out that "NWFE" is a comprehensive platform that combines mitigation and adaptation projects to climate change, ensuring water, food, and energy security, while providing innovative financing tools and mechanisms for just financing to boost green investment in Egypt.

H.E. Dr. Al-Mashat also noted that the International Monetary Fund (IMF) had approved a $1.3 billion loan for Egypt from the Resilience and Sustainability Trust (RST), which involves several structural reforms in green transformation, being implemented in coordination with national authorities. These include the addition of more projects to the "NWFE" program to enhance green transformation efforts and support sustainable development.

H.E. Dr. Al-Mashat emphasized that the achievements of the "NWFE" program, alongside other national efforts, particularly in the energy sector, have contributed to Egypt’s position as a key player in Africa’s clean energy production, ranking second as the largest producer of renewable energy on the continent, according to a recent report by the International Energy Agency (IEA).

H.E. Dr. Al-Mashat also mentioned the addition of four new projects to the "NWFE" program in renewable energy and seawater desalination, which represents an expansion of the projects included in the program to benefit from its innovative financing mechanisms and the advantages it offers in mobilizing international efforts to support climate action.

H.E. Minister Al-Mashat affirmed the complementarity between national efforts, noting that the country's focus on public investment governance has directed investments to priority sectors. She also highlighted efforts to increase the share of green investments in the national budget, aiming for 50% by the end of the current fiscal year, alongside the progress made within the framework of the Country Platform for the "NWFE" program.

H.E. Dr. Al-Mashat concluded that the achievements of the program contribute to attracting more foreign direct investments in the energy sector. As a result, four new projects in the water and energy sectors are being added to the program, including two energy projects with the Norwegian company Scatec, the Zaafrana plant project with the Arab Energy Company, and a seawater desalination plant project in Ain Sokhna.

H.E. Minister Al-Mashat expressed gratitude to H.E. Dr. Mostafa Madbouly, the Prime Minister, for his active role in supporting the country platform – the "NWFE" program, as part of Egypt's commitment to its Nationally Determined Contributions (NDCs). She also thanked the Deputy Prime Minister for Industrial Development, the Minister of Industry and Transport, the Minister of Electricity and Renewable Energy, the Minister of Housing, Utilities, and Urban Communities, the Minister of Agriculture and Land Reclamation, the Minister of Water Resources and Irrigation, the Minister of Environment, and all technical teams at national entities for their efforts in the technical qualification stages of the projects and the launch of this ambitious platform.

H.E. Dr. Al-Mashat also commended the role of development partners, including the European Bank for Reconstruction and Development, the African Development Bank, the International Fund for Agricultural Development, and the European Investment Bank, for their efforts in supporting the Egyptian government in fulfilling its climate commitments.