The window of opportunity for keeping 1.5C within reach is closing. In 2022, the test will be whether emerging economies in particular are able to shift from heavily fossil-dependent development to low-carbon and climate-resilient development pathways. Yet the capacity of low- and middle-income countries to attract at-scale investment for a just transition is limited.
There is growing interest in South Africa-style Just Energy Transition Partnerships – particularly amongst G7 members. To scale up these sorts of partnerships in 2022 and beyond will require enabling the financial architecture that can free up the trillions needed – for South Africa-style deals and keeping 1.5C in reach.
This paper explores actions the G7 can take to unlock finance for climate partnerships.