Abu Dhabi: The Abu Dhabi Department of Energy (DoE) has signed a Memorandum of Understanding (MoU) with the Global Climate Finance Centre (GCFC). The agreement was signed during the 2025 World Utilities Congress, at a high-level consultation co-convened by the DoE and GCFC in preparation for the 2026 United Nations Water Conference. GCFC has been formally mandated to lead the Finance Track of the conference.
According to Emirates News Agency, the agreement was witnessed by Dr. Abdulla Humaid Al Jarwan, Chairman of the Department of Energy, and Abdulla Balalaa, Assistant Minister of Foreign Affairs for Energy and Sustainability. The memorandum was signed by Ahmed Al Falasi, Energy Efficiency Sector Executive Director, and Mercedes Vela Monserrate, CEO of GCFC, in the presence of several directors and senior officials from both sides.
Ahmed Al Falasi stated, "This agreement represents a strategic milestone in our ongoing efforts to drive the transition toward a sustainable economic model that helps address climate change challenges. We recognize the importance of activating partnerships with leading institutions such as the Global Climate Finance Centre, given their pivotal role in enhancing our capacity to develop pioneering projects and enabling innovative and flexible financing solutions that benefit both the economy and society."
Al Falasi added that the collaboration would focus on implementing high-impact initiatives, starting with projects like 'Cooling as a Service,' and aims to create an effective ecosystem involving government entities, the private sector, and the community. As the 2026 UN Water Conference approaches, there is a commitment to deepen partnerships that deliver measurable progress and scalable innovation in energy and water efficiency.
Mercedes Vela Monserrate noted that the agreement formalizes the collaboration between GCFC and the Department of Energy to develop financing mechanisms for energy and water efficiency. The focus will be on mobilizing capital, supporting regulatory frameworks, and delivering practical solutions through a strong pipeline of investable projects.
The MoU seeks to strengthen bilateral partnerships, support the implementation of Abu Dhabi's Finance Strategy, and reinforce the Emirate's position as a leading hub for climate finance and innovation. It aims to build institutional capacities, exchange knowledge, and scale financing for energy and water efficiency projects, including behavioral change and environmental conservation initiatives.
Specific areas of cooperation outlined in the MoU include the development of financing instruments for energy and water efficiency infrastructure, capital structuring tools such as guarantees, linked loans, and bond frameworks, technical support and capacity-building for regulators, project developers, and financial institutions, and policy and regulatory alignment to support investment-readiness. High-level convenings will support pipeline development and institutional coordination.
GCFC and the DoE will collaborate to align financing solutions with Abu Dhabi's strategic priorities and help position the Emirate as a regional leader in climate finance.