The Arab Petroleum Investments Corporation (APICORP) is planning to commit $1 billion to fund green energy projects in efforts to prioritise sustainable investments in compliance with its new environmental, social and governance policy, according to media reports.
The investment will be made over a two-year period and it is a part of its low-carbon footprint energy transition strategy, with a primary focus on the Middle East North Africa (MENA) region.
The investment firm is owned by the governments of the Organisation of Arab Petroleum Exporting Countries and it plans to review its holdings’ environmental, social and governance (ESG) footprint in 2023. The company also mentioned that it will “focus on supporting the proliferation of renewable energy sources and low-carbon technologies, as well as forging more strategic partnerships to promote” its sustainable program.
APICORP chairman Aabed bin Abdulla Al-Saadoun told the media, “We want to support a transition to a low-carbon, climate-resilient economy by mitigating risks across our operations, supply chain and client transactions by embedding sustainable principles in our business practices.”
Ahmed Ali Attica, chief executive officer of APICORP also chimed in, saying that APICORP will continue to drive the ESG agenda in its member countries by carrying out research and knowledge sharing activities along with the unique position of the company in advising key policymakers within government and regulatory circles.
The plans of the investment were made earlier this year after the company launched its new ESG policy framework, which is a part of APICORP’s drive to support energy transition. The new framework includes a robust toolkit that includes a toolkit to measure the ESG impact when making financing and investment decisions.