Australia has announced a $125 million investment to support Pacific nations' clean energy transition and improve energy security, in a bid to enhance the region's resilience to climate change. The funding, unveiled at the UN Climate Change Conference (COP29) in Azerbaijan, will be directed towards renewable energy initiatives aimed at scaling up grid-based infrastructure and supporting the transition from fossil fuel dependency.
Australian Foreign Minister Penny Wong stated that the investment will provide Pacific nations with the necessary tools to advance their energy transitions while ensuring the establishment of policies and regulations to foster the growth of renewable energy assets.
“Supporting Pacific nations' transition to renewable energy and away from imported fossil fuels will enhance economic resilience, improve energy security and help them meet their climate goals,” Wong said.
The funding comprises $75 million through the REnew Pacific program and $50 million through the Australia-Pacific Partnership for Energy Transition (APPET). The new initiative will back various projects, including feasibility studies, grid studies, and energy transition modelling, as well as support university collaborations and skills development for the renewable energy workforce in the Pacific region.
Australia's Department of Climate Change, Energy, the Environment and Water (DCCEEW) emphasized that the investment is designed to align with the priorities of Pacific nations to maximize the benefits of renewable energy.
“This may include energy transition modelling, grid studies, renewable energy project feasibility studies, university collaborations and other activities to support energy transition progress,” said the DCCEEW.
The Australian government plans to continue collaborating with both Australian and Pacific stakeholders to finalize the partnership, with further details expected in early 2025, including governance and collaboration areas.
Federal Energy Minister Chris Bowen highlighted the critical role of the new funding in advancing the Pacific region's energy transition, underscoring the urgency of addressing climate change for Pacific nations.
“Climate change is no longer an abstract concern, it's a reality and an existential threat for Pacific nations,” Bowen said. “Australia is working with our Pacific neighbours to strengthen their energy security and accelerate the renewable energy transformation across our region.”
