The UK Government will provide financial support for innovative low-carbon projects in Vietnam, the British Embassy in Hanoi gave the announcement on December 19.

The UK Government will support Vietnam through the Climate Finance Accelerator program. Photo: CFA

The assistance will be implemented under the Climate Finance Accelerator. Interested parties are required to submit their application to participate in the program until January 15, 2023.

The Climate Finance Accelerator (CFA) is a technical assistance program funded by the UK Government that responds directly to the urgency and scale of the climate crisis.

The CFA Vietnam is initially looking for 8-10 projects at the pre-feasibility stage to seek investment of at least US$5 million. Those holding projects need to complete the online application.

The projects that will help Vietnam meet its climate commitments span several fields: renewable energy, energy efficiency, e-mobility, water supply, wastewater treatment, waste management, waste-to-energy, low-carbon manufacturing, green agriculture, and decarbonization in the construction sector. 

Project proponents will be supported by technical, financial, gender equality and social inclusion experts to help them understand and overcome barriers to investment.

The CFA will also work with policymakers in the Vietnamese Government to share insights to support the development of the enabling environment for climate finance.

Iain Frew, British Ambassador to Vietnam, said: “I am delighted that the innovative Climate Finance Accelerator is now operational in Vietnam to support the realization of projects that directly deliver on the country’s net zero ambitions.”

He added the CFA has already seen great success in eight countries around the world and it is fantastic news that low-carbon projects in Vietnam will be able to benefit from technical support to help them to secure investment. 

This is a testament to the UK’s commitment to supporting Vietnam’s green transition as part of the Just Energy Transition Partnership, the British Ambassador to Vietnam underlined.

By bringing together project developers and financial experts who can develop and finance climate projects at scale, the CFA will support Vietnam’s efforts to implement its Nationally Determined Contribution (NDC) under the Paris Agreement, deliver emissions reductions, and raise its overall climate ambition.  

Dinh Thi Quynh Van, CEO of PwC Vietnam, said the CFA program provides a great opportunity for climate innovators in Vietnam to access the technical, financial and gender equality and social inclusion experts’ support from the UK. “Vietnamese businesses are increasingly showing proactive actions towards the environment and society," she noted.