CEOs of over 60 industry partners step up efforts to combat climate change through joint targets in renewables, green energy technologies, human skills, and finance at COP28.
Dubai, United Arab Emirates, 5 December 2023 – Over 60 top executives and knowledge partners of the Alliance for Industry Decarbonization (AFID) held a roundtable at COP28 today and committed to raise decarbonization ambitions through tangible achievements by 2030.
Members of AFID have individual reduction plans that combined aim to reduce 51% of direct and indirect greenhouse gas (GHG) emissions and grow the installed renewable capacity from 84 gigawatts (GW) today to 187 GW in 2030.
Moreover, Alliance members also commit to almost double installed green hydrogen, drive green energy solutions, increase workforce re-skilling from currently 15% to 91% and significantly boost investments in energy transition projects to more than USD 50 billion by the end of this decade.
Joint achievements and targets will be reviewed on an annual basis to ensure significant progress towards net-zero. AFID also calls on governments to create enabling policies, regulations, and incentives that support emission cuts, facilitate transition towards a low-carbon economy and to invest in clean energy and sustainable technologies.
With more than 30% of GHG emissions and nearly 40% of global energy consumption, the industrial sector is the second largest emitter after power generation. Without increased emission reduction efforts within the industrial sector, the goal of limiting global temperature rise to 1.5° Celsius stays unreachable.
Francesco La Camera, Director-General of IRENA, said: “The Paris Agreement provides us with a clear direction, and science has underscored the milestones we must reach by 2030. Now, our challenge lies in translating these overarching goals into tangible, actionable steps. COP28 is the ‘COP of Action’, and this Alliance stands for bold and visionary commitments of the global industry to act on decarbonisation.”
As co-chair of the Alliance, Christian Bruch, President and Chief Executive Officer of Siemens Energy, said: “There is no alternative to the energy transition – we need to act together. Partnership promotes progress, and taking this commitment together is an important step. There are no reasons or excuses to wait for action. All technologies needed are available and it is clear that without major changes global warming will increase more than 3°C.”
Co-chair of the Alliance, Thachat Viswanath Narendran, CEO & Managing Director of Tata Steel, said: “ The palpable impact of climate change has made the case for concerted and swift action by the industrial sector stronger. By prioritising and strengthening the efforts on decarbonisation, AFID is sending out a clear message on both the future we want to build for the planet, and the needed urgency. I thank all the fellow members of the Alliance for the unanimous decision to join hands in our collective pursuit of a better tomorrow.”
The objective of AFID is to facilitate dialogue on industry level and increase cooperation to help companies to develop solid decarbonization strategies and implementation plans, aligned with their countries’ Paris Agreement net-zero and decarbonization ambitions.
The growing number of members and knowledge partners joining the Alliance highlights that an international, multi-stakeholder platform enabling exchange and collaboration to tackle the decarbonization of the industrial sector is gaining momentum.
Since its launch in 2022, the Alliance grew to 50 companies and 13 eco-system knowledge partners: Siemens Energy, Enel Green Power, TAQA Arabia, Eni, Technip Energies, EDF Renewables, JSW, Tata Steel, Sable Chemicals, Tatanga Energy, Repsol, Equinor, TAQA, OQ, KIS Group, VALE, ATC Development, Subsea7, El Sewedy Electric, Roland Berger, FLSmidth, State of Green, Envision, Alfanar, Zahid Group, Petronas, Ecopetrol, Unilever, TUV SUD, IEC, Orbital Energy, ISO, Kent, Electrified Thermal Solutions, UNIDO, Engie, Lekela Egypt Management Services, Gulf Cryo, BXVentures, Global Renewables Alliance, Bureau Veritas, Emirates Development Bank, EURELECTRIC, KROHNE, Nuventura, Enova, SLB, HIF Global, IRENA, Snam, Net Zero Think Private Limited, APChemi, IFC, Aquatech, Xodus, Standard Chartered, ABB, ERM, Emirates Steel, Mission Innovation, ADNOC, GreenEarthX and Topsoe.
The Alliance serves as a global platform for enhancing dialogue through exchange of insights, experiences, and best practices. The group focuses on five pillars and enablers: renewables, green hydrogen, bioenergy with Carbon Capture, Utilisation and Storage (CCUS), human capital, and finance.
IRENA acts as the Secretariat of the Alliance. Siemens Energy and Tata Steel co-chair the Alliance leadership.
More information about AFID and its Decarbonization Commitment at https://www.allianceforindustrydecarbonization.org/