Masdar and Silk Road Fund Partner in Renewable Energy Push
Deal News | Nov 22, 2024 | Zawya
Abu Dhabi Future Energy Company PJSC (Masdar) and China's Silk Road Fund (SRF) have signed a Memorandum of Understanding (MoU) to explore co-investment opportunities in renewable energy projects under the Belt and Road Initiative (BRI), focusing on the developing world and the global south. At COP29, the agreement was signed by Masdar's CEO Mohamed Jameel Al Ramahi and Silk Road Fund's Chairwoman Zhu Jun. SRF aims to invest up to RMB 20 billion (or USD 2.8 billion) in these projects, aligning with Masdar's strategy to reach 100GW in renewable energy capacity by 2030. The partnership underscores the UAE's strategic role in the BRI, reflecting its $10 billion investment in a China-UAE fund for East Africa. As part of their sustainability efforts, both Masdar and SRF aim to foster the energy transition and advance renewable initiatives across regions connected by the BRI. Masdar has been pivotal in promoting the UAE's global sustainability goals since its inception in 2006, expanding its operations in over 40 countries and targeting significant growth in renewable energy and green hydrogen production within a decade.
Sectors
- Renewable Energy
- Investment Management
- Infrastructure Development
Geography
- United Arab Emirates – The headquarters of Masdar and a key participant in the Belt and Road Initiative, reflecting its strategic geographic involvement.
- China – Home to Silk Road Fund, it plays a critical role in the Belt and Road Initiative and investments in sustainable infrastructure.
- Global South – Targeted for renewable energy projects as part of the collaboration between Masdar and Silk Road Fund, focusing on developing countries.
Industry
- Renewable Energy – The article discusses investments and plans in renewable energy projects like solar and wind energy, aligned with global sustainability efforts.
- Investment Management – The collaboration focuses on strategic and financial investment plans in renewable energy through a significant joint effort by Masdar and Silk Road Fund.
- Infrastructure Development – The mention of Belt and Road Initiative projects implies significant involvement in infrastructure development across multiple regions.
Financials
- USD 2.8 billion – The amount Silk Road Fund plans to invest alongside Masdar in renewable energy projects.
- RMB 20 billion – The equivalent in Renminbi of Silk Road Fund's planned investment in projects alongside Masdar.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Masdar | Target Company | Company | A leading UAE-based renewable energy company co-investing with Silk Road Fund in renewable projects. |
| Silk Road Fund | Bidding Company | Company | A Chinese investment fund dedicating significant resources to renewable energy projects in partnership with Masdar. |
| Mohamed Jameel Al Ramahi | CEO of Masdar | Person | The Chief Executive Officer of Masdar who signed the MoU with Silk Road Fund. |
| Zhu Jun | Chairwoman of Silk Road Fund | Person | The Chairwoman overseeing Silk Road Fund's involvement in the renewable energy initiative. |