The Climate Finance Facilitation (CFA) is a technical assistance program funded by the UK Government to respond directly to the emergency and the widespread effects of climate change. The program invites interested parties to submit their application to participate in the program by the end of January 15, 2023, for projects implemented in Viet Nam.
As noted by the CFA program, although capital flows for the climate finance sector are still available on the market, ensuring that this flow of capital flows into the projects that need it most is still a challenge.
The program allows project developers to meet and access financial institutions capable of developing and financing large-scale climate projects.
With this approach, CFA contributes to Viet Nam’s overall efforts in implementing the Nationally Determined Contribution (NDC) in the Paris Agreement, reducing greenhouse gas emissions, and setting targets for a more ambitious climate.
The initiative is a continuation of the UK’s efforts as the host country of COP26 and the negotiating process to establish a Fair Energy Transition Partnership Program (JETP) with Viet Nam which has just been recently approved. The objective of the initiative is to mobilize financial resources and technical assistance to accelerate Viet Nam’s clean energy transition.
In the first phase, the CFA program will select 8-10 pre-feasibility projects that need to raise capital from 5 million USD or more. Projects wishing to participate in the Viet Nam CFA Program need to complete the online application by the deadline mentioned above.
The program will select projects in the following fields: Renewable energy; efficient use of energy/resources; electric vehicles; water supply; wastewater treatment; waste management; energy production from waste; low carbon production, green agriculture; decarbonization in the construction sector, which can help Viet Nam achieve its climate commitments.
Projects participating in the program will be supported by experts in the fields of technology, finance, gender equality, and social inclusion, to enhance their capacity to understand more and overcome barriers to investment attraction. In addition, the CFA program will work with policymakers of the Government of Viet Nam to share in-depth knowledge and promote building an enabling environment for climate finance in Viet Nam.