Press Release

NAMA Facility announces name change to Mitigation Action Facility and focus on priority sectors from 2023

November 11, 2022

green palm trees near body of water during daytime

Photo credit: © Karine Avetisyan (Unsplash license)

At the 27th Conference of Parties (COP27) held in Sharm El-Sheikh, Egypt, the NAMA Facility presented its new name, the Mitigation Action Facility, restating its decade-long commitment to fund ambitious climate solutions in partner countries in line with the Paris Agreement while shifting toward driving decarbonisation in priority sectors. It was also revealed that a new Call for Projects will be launched in the first half of 2023, with a funding volume comparable to previous Calls of the NAMA Facility. The Call will offer a simplified application process inviting public and private actors to submit project concepts. Remaining agile, high-impact and country-driven, the Facility enters a new phase as a go-to platform for technical support and climate finance reflecting the evolution in the international climate finance architecture.

With the new Call, the future Mitigation Action Facility will refine its approach to competitive Calls focusing on transformational climate mitigation projects in the priority sectors, energy, industry and transport. As highlighted in the IPCC’s Sixth Assessment Report [1], these sectors cumulatively account for more than 40 GtCO2e, or 67% of global annual GHG emissions. This narrowed focus, aligned with the Breakthrough Agenda Report [2] recommendations, will ensure that the future Mitigation Action Facility is targeted to leverage the most relevant financial investments to accelerate global decarbonisation efforts. The Facility will equally welcome cross-sectoral projects linked to one of the priority sectors.

Building on the success of the Ambition Initiative Calls in driving more ambitious climate action, the future Mitigation Action Facility will continue to demonstrate alignment with Nationally Determined Contribution (NDC) implementation and long-term strategies (LTS) as well as the UNFCCC process. Aligning with the Breakthrough Agenda’s 2030 goal to improve the affordability, accessibility and attractiveness of clean technologies and sustainable practices through the provision of technical and financial assistance, the Facility will continue to provide grant-based funding for projects that combine technical assistance and financial cooperation targeting market-based, sustainable and scalable financial mechanisms supporting partner countries in achieving their climate goals.

As a valuable knowledge and learning hub, the future Mitigation Action Facility will expand its reach, disseminate lessons learnt and tackle frontier challenges in priority sectors through monitoring, evaluation and learning.

Quotes

“As the NAMA Facility, the future Mitigation Action Facility, enters its second decade of driving ambitious climate action, the Technical Support Unit as the portfolio manager is keen to continue supporting our Board and project proponents alike. We are excited to further increase our reach and impacts through simplified application processes, additional means of project development support and advice to projects to contribute to NDC implementation.” 

– Dr. Sören David, Head of the NAMA Facility’s Technical Support Unit  

“The new name reflects the vision for the Mitigation Action Facility to become a key vehicle for the implementation of ambitious mitigation goals in the context of the Paris Agreement and UNFCCC. As a multi-donor funding programme, we encourage interested governments to join the Mitigation Action Facility and our objective to drive decarbonisation for net zero emissions.”

– State Secretary Wenzel, German Federal Ministry for Economic Affairs & Climate Action (BMWK)

[1] IPCC, 2022: Summary for Policymakers. In: Climate Change 2022: Mitigation of Climate Change. Contribution of Working Group III to the Sixth Assessment Report of the Intergovernmental Panel on Climate Change. Cambridge University Press, Cambridge, UK and New York, NY, USA. View PDF

[2] IEA, IRENA, UNCC HLC 2022: The Breakthrough Agenda Report 2022: Accelerating Sector Transitions Through Stronger International Collaboration. IEA Publications. View PDF

Contact:

Halina Rachelson
Strategic Communications Specialist
NAMA Facility
Halina.rachelson@nama-facility.org

About the NAMA Facility

The NAMA Facility, the future Mitigation Action Facility, is a joint initiative of the German Federal Ministry for Economic Affairs and Climate Action (BMWK), UK’s Department for Business, Energy and Industrial Strategy (BEIS), the Danish Ministry of Climate, Energy and Utilities (KEFM), the Danish Ministry of Foreign Affairs (MFA), the European Union and the Children’s Investment Fund Foundation (CIFF). The NAMA Facility provides tailor-made finance for climate change mitigation projects. Partner countries can apply for funding through open competitive Calls. The most ambitious and feasible mitigation projects, which are called NAMA Support Projects (NSPs), are selected for support. This support catalyses investment, strengthens capacities and triggers behaviour change, resulting in transformational sector-wide shifts to improve livelihoods, create co-benefits and establish carbon-neutral development pathways.

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