Recommendation 3

HM Government · verbatim extract Accepted

Government response: Partially Agree 6. We welcome recognition of the UK’s tangible impact in this area and the value of our research and innovation support. 7. The UK is on track to deliver £11.6bn in International Climate Finance (ICF) by the end of FY25/26. 8. While we agree on the importance of sustainable energy access policy and programming and intend to continue this work, it is not reasonable to expect that energy access investments can be fully protected in a scenario of ODA budgets moving to 0.3% of Gross National Income (GNI). Now that the Spending Review has determined ODA allocations for each government department, we are working through internal resource allocations, including for climate focussed programming. We will set out our spending plans for future years following completion of this process, keeping the recommendations of the committee in mind as we do. 9. As the UK pivots from a traditional donor to an investor in line with the 0.3% target, we will need to enhance our co-operation with like-minded partners and continue to seek opportunities for collaboration that accelerate progress toward achieving the SDG7 targets by 2030. 10. The UK’s ICF commitment for FY 25/26 includes support for clean energy access through multilateral initiatives like Mission 300, led by the World Bank and the African Development Bank (AfDB), which aims to connect 300 million Africans to electricity by 2030. The UK remains a key contributor to International Development Assistance (IDA) and the African Development Fund (ADF) concessional windows at the World Bank which will fund much of Mission 300. The UK has contributed to the development of Mission 300 through our Transforming Energy Access (TEA) platform, and we will continue strong engagement with Mission 300 via TEA, but also directly through country posts, regional desks, BII and PIDG. 11. Blended finance, working with the private sector and locally responsive initiatives will remain central. We expect to continue our focus on blended finance and public-private partnerships via investment vehicles including BII, Private Infrastructure Development Group (PIDG), Financial Sector Deepening Africa, and the Renewable Energy Performance Platform. Conclusion and Recommendation 2