Good morning, folks. It’s a busy morning as we kick off the last week in August and prepare to welcome the fall season. Egypt has approved another two renewables projects and EGA is lining up an expansion for its recycled aluminum offerings state-side, but first, climate change-driven activity in South America grabbed the headlines over the weekend…

THE BIG CLIMATE STORY OUTSIDE THE REGION- Brazil’s massive wildfires turn deadly: A surge of wildfires fueled by low humidity and extreme heat in over 30 cities in Brazil’s Sao Paulo state killed at least two people over the weekend. Between August 22 and 24, the state recorded a staggering 2.6k fires, pushing the year-to-date total to 4.9k — an all-time high since records began in 1998, according to INPE data. Other regions, such as Mato Grosso and Para, are also grappling with significant fire outbreaks due to dry conditions and above-average temperatures. In response, Sao Paulo Governor Tarcisio de Freitas has deployed an aircraft and over 7.3k personnel, including professionals and volunteers, to extinguish the fires and provide assistance to residents. The fires have impacted critical areas, including a sugar-cane field near Raízen SA’s Santa Elisa mill, where flames damaged equipment and biomass stocks.

The story made headlines in the international press over the weekend: Reuters | AP | Bloomberg | BBC | Deutsche Welle | The Guardian | ABC

WATCH THIS SPACE-

#1- The hunt for critical minerals is restoring interest in African rail: Southern Africa's railways are experiencing a revival, attracting bns of USD in investment to secure copper supplies essential for the energy transition, Bloomberg reported on Saturday. From Angola to Tanzania, governments and investors are revitalizing old rail lines and building new ones. The central African Copperbelt, shared by Zambia and the Democratic Republic of Congo, is at the heart of this logistics boom. The region's railways, neglected for years, are now seen as crucial for facilitating exports, with the US, EU, and China showing significant interest.

A spike in investments: The growing interest was seen during the Southern African RailwaysAssociation's annual conference in Johannesburg this week. The event saw the loading of the first copper shipment from Congo to the US via the Lobito Atlantic Railway which is backed by the US through a USD 553 mn development finance. Zambia also hopes to seal a USD 1 bn refurbishment agreement next month with China for its rail line to the Tanzanian port of Dar es Salaam, while South Africa's Transnet received a USD 1 bn loan from the African Development Bank for rail recovery.

But there are challenges ahead: Years of neglect have left a USD 10 bn maintenance backlog, with only 7% of cargo currently traveling by rail, according to analysts. Securing investment has also been difficult, with many projects stagnant for decades. Development financiers are needed to prepare projects and reduce risks, ensuring they are attractive to private investors, they said.

#2- More criticism for EU’s tariffs on Chinese EVs: The China Chamber of Commerce for Import and Export of Machinery and Electronic Products (CCCME) said the European Union’s draft findings from an anti-subsidy investigation into Chinese electric vehicles were unfair, Reuters reported last week. The CCCME urged the European Commission to consider the broader interests of China-EU cooperation and work towards a balanced solution. The industry body emphasized its commitment to defending the rights and interests of Chinese EV firms through various means.

The findings: The draft findings by the EU proposes definitive and adjusted countervailing duties on various Chinese EV manufacturers and allows interested parties to give their say before the definitive duties apply on 30 October. The adjusted tariffs are 17% for BYD, 19.3% for Geely, 36.3% for SAIC, 21.3% for other cooperating companies and 36.3% for other non-cooperating companies.

ICYMI- China took the EU tariffs fight to the WTO: China lodged a complaint earlier this month with the World Trade Organization (WTO) over the EU’s decision to impose anti-subsidy duties on Chinese EVs. China’s Ministry of Commerce stated that the EU’s provisional conclusion lacks both factual and legal foundation and that the decision severely violates WTO rules and undermines global cooperation on climate change.

COP WATCH-

COP30 host Brazil named first partner of Industrial Transition Accelerator: Brazil was named the first country partner of the Industrial Transition Accelerator (ITA) under a push for industrial decarbonization, according to a statement. The collaboration between the ITA Brazil Project Support Programme and the Brazil-UK Industrial Decarbonisation Hub will seek private sector investment to support technology development and sustainable growth. Brazil will also provide support for large-scale decarbonization projects using its natural resources and renewable energy.

About the ITA: The ITA was launched in December 2023 at the World Climate Action Summit and aims to gather investment to bolster decarbonization efforts in heavy-emitting industries — aluminum, cement, chemicals, steel, shipping, and aviation. The ITA will also support the acceleration of commercial scale, clean industrial projects to help them reach final investment decisions.

THE SCORECARD-

Morocco’s ranking down in Climate Change Performance Index: Morocco dropped two spots to 9 in this year’s Climate Change Performance Index (CCPI). The index ranks countries based on their efforts to combat climate change and assesses their emissions, energy use, policies, and renewables development. Morocco was rated medium for renewable energy development and climate policy, but received a high rating for greenhouse gas emissions and energy use criteria. Despite the drop in ranking, Morocco was still among the 10 top high-performing countries included in the index due to its low GHG emissions and pathway to more energy efficiency as well as renewable energy production growth.

It’s not all positive: Morocco remains heavily dependent on fossil fuels which account for the majority of the North African country’s energy consumption, according to the CCPI’s country experts assessment. They also questioned Morocco’s exploration of domestic oil and gas resources despite hailing a growing share of renewable energy in the energy mix. They also pointed out that energy prices remain high with the country not yet subsidizing solar energy.

How can Morocco move up ranks? Morocco should focus on fossil fuel-phase out policies and ensure that both utility-scale and small-scale solar and wind projects adhere to strict social and environmental guidelines, the experts said. They also stressed the necessity of subsidizing solar energy in the country and installing drip irrigation systems and solar pumps to cut down on water wastage and use of fuel.

How other MENA countries fared: Egypt’s ranking was also down to 22 in 2024 from 20 a year earlier due to low and very low ratings in climate policy and renewable energy. The UAE marked its entry into the index this year at the 65th spot as one of the lowest performing countries with its per capita GHG emissions among the highest globally. Saudi Arabia’s score came in at 67th this year, down from 62 last year to mark the lowest ranking country for all those surveyed. It scored very low in the index’s four categories.

HAPPENING THIS WEEK-

UK-Egypt trade and investment in the spotlight: Our friends at HSBC, together with the Egyptian-British Chamber of Commerce (EBCC) and UK Export Finance (UKEF), will host a webinar this week to discuss how to support infrastructure reforms, potential partnerships in Egypt, and ways to support and connect companies around the world. The webinar takes place next Thursday (29 August) from 12-1pm CLT / 1-2pm UAE.

Want to attend? You can sign up here.

The webinar is a scene-setter for the Egypt-UK Investment and Opportunities Forum in London on Monday, 16 September.

Infrastructure is a key part of the forum. The gathering — which follows on from a Juneinfrastructure mission — will focus on promoting trade and investment in infrastructure, with an emphasis on green hydrogen and renewables as well as sectors including the auto industry, food processing, and tech.

Networking: The forum will include both open panels and pre-arranged business-to-business networking. It will also give attendees the chance to meet with government officials and industry leaders. GAFI will be on hand to deliver an economic update.

Want to join them in London? Register your interest in attending the event here.

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CIRCLE YOUR CALENDAR-

Turkey will host the International Conference on Clean and Green Energy Engineering from Saturday, 24 August to Monday, 26 August in Izmir. The event will gather researchers and professionals to share advances in clean energy. It will also offer a platform to discuss the latest research, practices, and applications in clean and green energy engineering.

The UAE will host the World Utilities Congress from Monday, 16 September to Wednesday, 18 September in Abu Dhabi. The event will gather global energy leaders, policymakers, and other industry professionals from the power and water utilities value chain to discuss industry trends and challenges.

Saudi Arabia will host the EV Auto Show from Tuesday, 17 September to Thursday, 19 September in Riyadh. The show offers a platform for participants to learn about the latest EV technologies and services.

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

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