The COP28 host country UAE announced the launch of ALTERRA, a groundbreaking US $30 billion investment fund for transformative climate partnerships.
Key points
- Alterra’s $30 billion will be split into two parts. First, $25 billion will be deployed at Alterra Acceleration and will steer institutional capital toward climate investments at scale.
- Alterra Transformation will get $5 billion to be deployed as risk mitigation capital to incentivize investment flows into the Global South.
- In collaboration with global asset managers BlackRock, Brookfield and TPG, ALTERRA has committed $6.5 billion to climate-dedicated funds for global investments, including the Global South.
- From the initial tranche, an unspecified amount has been earmarked for the development of over 6.0 GW (1 GW is 1,000 MW) of new clean energy capacity in India.
- By 2030, emerging markets and developing economies will require reportedly US$2.4 trillion every year to address climate change.
- ALTÉRRA will have four key verticals namely: Energy Transition, Industrial Decarbonisation, Sustainable Living and Climate Technologies.
- ALTERRA was established by Abu Dhabi-based alternate investment manager Lunate, and COP28 Director-General Majid Al Suwaidi will serve as ALTERRA’s chief executive officer.
