New Zealand commits $25 million to ADB’s energy transition mechanism for Southeast Asia

The ETMPTF aggregates concessional funds from financing partners to finance essential groundwork, including feasibility studies for projects aligned with ETM’s objectives. These projects aim to facilitate the transition from fossil fuels to clean energy sources, including the retirement or repurposing of coal and other fossil fuel plants.

New Zealand’s contribution marks the third investment in the ETMPTF, following previous support from Japan and Germany. Luxon emphasized that New Zealand’s involvement seeks to accelerate Southeast Asia’s transition to clean energy while ensuring equity and fairness throughout the transformation process.

ETM represents a transformative regional program aimed at expediting the retirement or repurposing of existing coal and fossil fuel power plants and replacing them with clean energy alternatives.

In addition to ETM, ADB is engaged in various initiatives to address the adverse impacts of climate change in the Asia-Pacific region, including extreme weather events and rising sea levels.

ADB reaffirmed its commitment to fostering a prosperous, inclusive, resilient, and sustainable Asia-Pacific region, with a continued focus on eradicating extreme poverty. Established in 1966, ADB boasts ownership by 68 members, with 49 hailing from the region.