Good morning, friends. The news cycle is relatively calm this morning, but we have significant updates emerging from Oman and Qatar on the solar and green ammonia front. Stay tuned today for news on Masdar’s new blockbuster green bond issuance, we have all the details in the news well below.

THE BIG CLIMATE STORY OUTSIDE THE REGION- There’s no single story shaping the conversation this morning, but plans for a joint venture between French oil giant TotalEnergies and India’s Adani Green Energy are advancing after the Indian company’s board approved the partnership. The plan sees TotalEnergies investing USD 444 mn in the JV which will have access to 1.15 GW of operational and under construction solar assets in India, according to a disclosure (pdf) by Adani. Both TotalEnergies and Adani Green will own an equal 50% stake in the joint venture.

A tweak in price: TotalEnergies said last year that it would invest USD 300 mn to form a JV with Adani Green for a renewable energy project in India. The French company is among Adani Green’s major shareholders with a c. 20% stake. This joint venture will be the first between the two companies since fraud allegations made against Adani in 2023 battered investor confidence. Reuters and Bloomberg picked up the story.

WATCH THIS SPACE-

#1- A USD 1 bn green bond issuance by UAE’s renewables giant Masdar will go live on the ADX today, Wam reports. The issuance features two tranches worth USD 500 mn each — one with a five-year tenor and a 4.875% yield, and the other with a 10-year tenor and a 5.25% yield.

REFRESHER- Masdar sold the green bonds in July, after booking USD 4.6 bn in orders with a 4.6x oversubscription rate. Some 70% of the allocation went to international investors, with the remainder going to MENA investors.

#2- Kuwait turns to residential solar amid energy crisis: Kuwait’s Electricity, Water, and Renewable Energy Ministry is planning to purchase solar energy from its citizens as part of priorities outlined in its 2024-2025 development plan, Kuwaiti daily Al Seyassah reported last week, citing government sources it says have knowledge of the matter. The initiative aims to encourage citizens to install solar panels on their rooftops and produce electricity which the ministry will purchase at competitive prices, the sources said. 2.5 GW of renewable energy is projected to be generated under the plan, the sources added, with the ministry currently assessing the project's economic return on the sector and the installation of solar panels on rooftops among others.

REMEMBER- Kuwait has been facing an energy crisis since June: Kuwait’s energy crisis began in June after a 300 MW steam turbine at the 6 GW Az Zour South power complex went offline as peak load reached 16.81 GW, up 1 GW above June’s record last year. Extreme temperatures of over 50°C worsened the crisis and caused Kuwait to roll-out daily power cuts nationwide.

#3- China will lobby African nations to snap up green tech exports: China will try to convince leaders from 50 African countries to purchase more of its green exports in return for more loans and investment at the China-Africa Cooperation Summit tomorrow, Reuters reports. The country is hoping to secure agreements before Western levies come into effect on some of their exports, mainly electric vehicles and solar panels.

A change in tactics: China wants to gain access to critical minerals — such as copper, cobalt, and lithium mainly from Botswana, Namibia, and Zimbabwe — in exchange for more imports of its EVs and solar panels in Africa to replace buyers from the West. It has already begun amending conditions for its loans to Africa with more committed to green industries, including solar farms, EV plants and others. This is a change of policy for Beijing that is shifting away from funding major infrastructure projects in the continent.

In context- China is Africa’s “biggest two-way lender” with some 13 loans worth USD 4.2 bn provided last year to eight African countries and two regional banks, the newswire writes, citing data from Boston University’s Global Development Policy Center. The loans include USD 500 mn for hydropower and solar projects in Africa.

It might not be that easy: African leaders might not be easy to sway after China failed to meet its 2021 pledge to buy USD 300 bn of goods, Reuters writes. They’ll also need to see evidence of a game-plan to complete Chinese-funded infrastructure projects in Africa.

ON A RELATED NOTE- Resource-rich Africa is drawing interest from Southeast Asia: Indonesia is aiming to become a global EV battery production hub by leveraging its nickel reserves and partnering with Africa on critical minerals, Indonesia’s Vice Foreign Affairs Minister Pahala Mansury told Bloomberg in an interview. “Indonesia will need to work with Africa because not all of the critical minerals [including lithium, cobalt and graphite] that are required to produce battery materials are available in Indonesia,” Mansury said. Talks over such partnership were still preliminary pending geophysical survey results, he added.

What to expect: Indonesia aims to sign trade and investment agreements totalling USD 3.5 bn with Africa during the Indonesia-Africa Forum in Bali which wraps today, Mansury said. The agreements include projects in the gas, health, agriculture sectors among others, he said.

#4- EU to mobilize funding for hydrogen projects to counteract Chinese overtake: The European Commission will launch a new round of funding for green hydrogen projects this month, with stricter rules aimed at benefiting European companies amid concerns over cheaper Chinese imports, Reuters reports, citing statements by the EU’s head of climate change policy Wopke Hoekstra. "The next auction will be different. We will have explicit criteria to build European electrolyzer supply chains," Hoekstra said. The plan comes as European manufacturers urged the EU to protect them against cheaper Chinese producers with Hoekstra saying that the EU would intervene when it sees unfair competition.

***
YOU’RE READING EnterpriseAM Climate, the essential MENA publication for senior execs who care about the world’s most important industry. We’re out Monday through Thursday by 9am in Cairo and Riyadh and 11am in the UAE.

EnterpriseAM Climate is available without charge thanks to the generous support of our friends at HSBC and Infinity Power.

Were you forwarded this email? Tap or click here to get your own copy of Enterprise Climate.

Want to send us a story idea, request coverage, ask for a correction, or otherwise get in touch? Reach out to us on climate@enterprisemea.com.

DID YOU KNOW that we also cover Egypt, Saudi Arabia, the UAE, and the MENAlogistics industry ?
***

CIRCLE YOUR CALENDAR-

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.

The UAE will host the Green Steel Summit from Wednesday, 25 September to Thursday, 26 September in Dubai. The event will bring together steel industry professionals and decision makers to discuss market intelligence and the latest technological developments in sustainable steelmaking.

Egypt will host the Portfolio Egypt conference on Monday, 30September in Cairo. The event aims to enhance cooperation among Arab stock exchanges and will cover crucial topics including market integration, product diversification, carbon markets, and regional debt markets. It will aim to outline recommendations to strengthen regional financial markets.

Egypt will host Cairo Sustainable Energy Week from Tuesday, 1 October to Thursday, 3 October in Cairo. The event will bring together policymakers, companies, and experts to discuss collaboration on the renewable energy transition across 17 Arab countries.

The UAE will host the World Green Economy Summit from Wednesday, 2 October to Thursday, 3 October in Dubai. The summit will promote the push for a green economy and will offer a platform for international entities to collaborate on sustainable development, financing, and policymaking.

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

Tags: