The Mitigation Action Facility – an agile, grant-based multi-donor fund – drives sectoral decarbonisation.
The Mitigation Action Facility, evolved from the NAMA Facility in 2023, as a go-to platform for providing technical support and climate finance for ambitious mitigation projects with an aim of decarbonising key sectors of the economy and society.
It continues to fund ambitious climate change mitigation projects to implement Nationally Determined Contributions (NDCs) and long-term strategies (LTS) that are central to meeting the Paris Agreement goals.
The Facility primarily focuses on three priority sectors – energy, transport and industry, but remains open to cross-sectoral projects linked to one of the priority sectors. As highlighted in the IPCC’s Sixth Assessment Report, energy, transport and industry cumulatively account for more than 40 GtCO2e, or 67% of global annual GHG emissions (as of 2021). To shift the targeted sector towards a carbon-neutral development pathway, the Mitigation Action Facility selects innovative projects that can catalyse sector-wide transformational change.
Energy
Transport
Industry
These efforts can help close the gap in climate finance required to avoid the worst impacts of climate change. According to the Breakthrough Agenda Report, provision of technical and financial assistance are needed to improve the affordability, accessibility and attractiveness of clean technologies and sustainable practices.
Activities and aims of the Mitigation Action Facility
The Mitigation Action Facility continues to launch annual competitive Calls enabling partner countries, or organisations on their behalf, to apply for funding. The most ambitious and feasible climate change mitigation projects are selected for support through a comprehensive assessment process.
The grant-based funding provided by the Mitigation Action Facility is used for a combination of technical assistance measures and financial cooperation. The aim of the latter is to develop and offer market-based, sustainable and scalable financial mechanisms unlocking investments in technologies and practices that lead to a reduction of GHG emissions.
Mitigation Action Facility support, in the form of technical assistance, not only catalyses investments, but also strengthens capacities and triggers behaviour change, resulting in sector-wide shifts to improve livelihoods and create other co-benefits – environmental, social and economic. Since 2012, the portfolio has grown to 47 projects across 33 countries and a total funding volume of EUR 668 million (as of February 2023).
What we do
We provide grant-based funding for transformational climate action projects that contribute to reducing global greenhouse gas (GHG) emissions in alignment with the Breakthrough Agenda.
We help strengthen partner countries’ capacity through diverse technical and financial instruments to create replicable projects that enable innovation and upscaling.
We gather and share learnings from our portfolio and collaborate within the climate finance community to speed up NDC implementation.
