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Ugandan Communities Say Total’s Oil Project Is More of a Land Grab than a Development Opportunity

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Fred Balikenda and his family were forcefully evicted from their home in Kirama village, Buliisa district on May 13, 2024 to make way for the Tilenga project. Photo by Diana Taremwa-Karakire.

When Jealousy Mugisa Mulimba, a 52-year-old father of nine in Uganda’s oil-rich Buliisa district, was informed he would need to move his family from his ancestral home because French oil giant TotalEnergies needed his three acres to build their central processing facility in the region, he was reasonable. He didn’t put up a fight. Instead, he asked that the company give him three acres nearby; somewhere out of the way of the facility, but still near the place he’d always called home, the health facilities he and his family rely upon, and his kids’ schools.

He was instead shown land far away, isolated and distant from everything and everyone he’d ever known. After a five-year legal battle, a Ugandan court expropriated his land anyway in 2023, along with that of 41 other affected people.

“They are inhuman,” he said during a recent interview. “This is my land on which my ancestors are buried. I will not just leave like they want, I will continue fighting.”

Together with other affected people, Mr. Mulimba plans to appeal the decision of the Hoima court in Uganda’s high court.

A resettlement house built by TotalEnergies for project affected persons PAPS . Some PAPs have expressed concerns that these houses are isolated compared to the communal settings they were accustomed to. Photo by Diana Taremwa-Karakire.

A resettlement house built by TotalEnergies for project affected persons PAPS . Some PAPs have expressed concerns that these houses are isolated compared to the communal settings they were accustomed to. Photo by Diana Taremwa-Karakire.

Although the Ugandan government promises that oil projects will lift the country out of poverty and put Uganda’s natural resources to work for the betterment of Ugandan citizens, activists are concerned not only about the hundreds of millions of tons of carbon dioxide these projects will generate, but also about the more immediate impacts. These range from the potential for spills and the impact on animals and birds in biodiverse regions, to the way the country’s burgeoning fossil fuel industry is displacing various communities, bringing them not the promised riches of an oil boom, but sending them ever deeper into poverty.

Uganda first discovered commercial quantities of oil nearly 20 years ago, but it wasn’t until TotalEnergies and the Chinese National Offshore Oil Company CNOOC inked a deal to exploit the resources in the Lake Albert region in 2022 that the country’s fossil fuel industry began in earnest. The region, which lies on the country’s western border with the Democratic Republic of the Congo, is estimated to hold over 6.5 billion barrels of oil, with 1.4 billion barrels economically recoverable. TotalEnergies is the major operator for both the Tilenga oilfields, a $6 billion project covering Buliisa and Nwoya districts near the shores of Lake Albert, and the East African Crude Oil Pipeline, or EACOP, project that will transport that oil from Uganda to an export port in Tanzania. Other partners are CNOOC and the state-owned Uganda National Oil Company, as well as Tanzania’s state-owned Tanzania Petroleum Development Corporation.

Getting all that oil and gas to customers requires infrastructure, which is where EACOP comes in. The plan calls for a 900-mile pipeline stretching from the small town of Kabale, in western Uganda, to the Tanzanian port of Tanga. If completed, it will have the capacity to carry up to 246,000 barrels of crude a day to a storage terminal and loading jetty in Tanga. The waxy nature of Uganda’s crude will require the pipeline to be heated constantly for the crude to keep flowing. Experts say that this is the largest heated oil pipeline to be constructed.

Meanwhile, the Tilenga oilfields lie in one of not just Uganda’s but Africa’s most biodiverse regions. According to state environment regulator National Environment Management Authority NEMA, the Albertine region hosts 14 percent of all of African reptiles, 19 percent of Africa’s amphibians and 52 percent of the continent’s birds, as well as 35 percent of all of Africa’s butterflies and 39 percent of all African mammals.

The project includes the development of 6 oil fields and the drilling of about 426 wells, with 10 wellpads located inside Murchison Falls National Park, Uganda’s largest national park. It also includes an industrial area with a lake water abstraction facility and a central processing facility capable of processing up to 200,000 barrels of oil per day. Currently, the project aims to produce up to 190,000 barrels of oil daily to meet global demand. Drilling activities are ongoing at Tilenga with over 110 wells drilled so far.

Land Grab

The completion of the Tilenga and EACOP projects will not only displace animals, birds and amphibians, but also people. The projects require a land acquisition program covering some 6,400 hectares. This means relocating 775 primary residences, and affecting a total of  19,262 stakeholders, landowners, and land users.

TotalEnergies is responsible for overseeing the land acquisition process, including all administrative costs and compensation payments. However, the company contracted Atacama Consulting, a Ugandan firm, to carry out the implementation of this process.

While land and property rights in Uganda are safeguarded under Article 26 of the Constitution and the Land Act of 1998, the land acquisition process for these projects is guided by government-mandated Land Acquisition Resettlement Framework and Resettlement Action Plans (RAPS) that are part of assessments carried out by TotalEnergies. The compensation rates for land, permanent buildings, rates for crops and temporary structures are determined based on market analysis approved by the chief government valuer.

The Tilenga RAP stipulates that the project will re-establish the livelihoods of affected persons to an equal or greater level than before the project activities. Most of the land has been acquired from the 5,576 landowners or project affected people under the Tilenga project.

However, many of the people in question, like Mulimba, report unresolved disputes and claim that these projects have left them worse off than before, driving them deeper into poverty.

On December 8, 2023, the High Court in Hoima ruled that 42 households be evicted before compensation to make way for the Tilenga Project. The court allowed TotalEnergies to deposit compensation funds in court and take the land, even by force if needed. While the company made compensation payments after resolving disputes, many affected families still argue that the compensation was inadequate.

The Ugandan project, along with the vast natural gas fields of Mozambique, are at the center of TotalEnergies’s Africa strategy, which it says is to “develop responsible, low cost, low emission oil and gas production.” This strategy fits well into the plans of Uganda’s long-time leader, Yoweri Museveni, who has made the development of the $10 billion hydrocarbon industry a cornerstone of his plan to transform this impoverished East African nation.

At an event to announce the final investment decision for the $10bn project in February 2022, TotalEnergies chief executive Patrick Pouyanné said that he had travelled to Uganda more than any other country since 2018 to push through the project.

“The development of Lake Albert resources is a major project for Uganda and Tanzania, and our ambition is to make it an exemplary project in terms of shared prosperity and sustainable development. We are fully aware of the important social and environmental challenges it represents,” he said.

But allegations of rights violations to local communities have dogged the oil giant. Activists say the Tilenga project’s land acquisition process has been marked by delayed, inadequate and unfair compensation as well as the use of threats, intimidation, and other tactics to coerce many poor families into accepting bad deals for their land. This has led to resistance to the project’s efforts to fence off land in some areas, despite the company’s insistence that it sought consent and is following social safeguards.

“TotalEnergies has failed to respect the rights of local communities. It has failed to gain the informed consent of affected communities for the project as is legally required,” said Benon Tusingwire, the executive director at Navigators of Development Association NAVODA, a local rights group working in the project area. He also noted that officials from Atacama have been coercing and tricking affected people into signing consent forms for the acquisition of their land.

TotalEnergies did not reply to multiple requests for comment.

As the deadline for the production of first oil approaches, the actions of both TotalEnergies and government officials have become more aggressive, residents claim.

On the morning of May 13, 2024, Fred Balikenda (pictured in the photo at the top of this story), a local peasant farmer living on the margins of one of TotalEnergies oil wells, suffered one of the most brutal evictions to date. A group of gun-toting policemen in Toyota Pickup trucks bumped into the fenced enclosure of Balikenda’s home and ordered him and his wife out of their 4 bedroom house. As they waited in the yard, the officers, backed by around a dozen un-uniformed men, started demolishing the house.

Balikenda, along with other landowners, including Mulimba, lost the suit in April 2024 in which they had sought to halt their evictions. The Judge in Hoima city, near the oil fields, ruled that money meant for the expropriation compensation should be deposited with the court and that the government could evict locals so that TotalEnergies construction activities could go ahead.

“They threw out some of my belongings through the windows,” Balikenda said, gazing into the distance. “We are now living a life of destitution, we have lost so much land to the project and yet what we were being compensated isn’t equal to what is being taken. We no longer have access to community grazing land, all my cows and pigs have died.”

Even before this eviction, Balikenda was effectively living in an open-air prison for months after TotalEnergies fenced in his home and a 1-acre piece of land that he had refused to vacate before his replacement house was complete. His pigs starved to death because he could no longer get out of the enclosure to get them fodder, he says. Court is yet to rule on their appeal.

“We are really going through some of the roughest times,” Balikenda said.  “Our families are traumatized”

The Petroleum Authority of Uganda, or PAU, the state regulator for the oil and gas sector, says that recent evictions of Tilenga affected persons followed the due legal process.

“The Tilenga Project prioritizes minimizing disruption to affected communities and ensuring that all PAPs [project-affected persons] are adequately compensate for their losses and inconveniences. Despite the comprehensive compensation and resettlement efforts, the final PAPs’ repeated refusal to relocate necessitated legal action by the government,” says a statement from PAU.

However, lawyers representing Balikenda and others insist that the court process was flawed. In a country where the justice system mostly rules in favor of the government, affected people remain helpless.

“If it were not for the harassment, intimidation, arrests, detentions and other threats that they face, they would never have accepted the low compensation,” said Tusingwire.

Pump Station 1 (PS1) of the East African Crude Oil Pipeline  project in Hoima district, a critical part of the EACOP infrastructure, receiving crude oil from feeder pipelines from the Kingfisher and Tilenga oil fields and transporting it to port Tanga in Tanzania. Photo by Diana Taremwa-Karakire.

Pump Station 1 (PS1) of the East African Crude Oil Pipeline project in Hoima district, a critical part of the EACOP infrastructure, receiving crude oil from feeder pipelines from the Kingfisher and Tilenga oil fields and transporting it to port Tanga in Tanzania. Photo by Diana Taremwa-Karakire.

The Pattern Continues in Mozambique

More than 2000 kilometers to the south, TotalEnergies’ $20 billion natural gas project in northern Mozambique’s Cabo Delgado province was saved in 2021 by a well-timed donation from France to Rwanda, which was followed just a few weeks later by the deployment of some 2,500 Rwandan peace-keeping troops to fight Jihadist fighters in the region. The deployment happened months after TotalEnergies had declared force majeure on the project due to an offensive by Islamic State-linked insurgents.

The insurgency, which has been raging since 2017, is mainly spearheaded by angry young men who resent security force abuses and believe elites monopolize the region’s natural resources while local communities starve. As in Uganda, the company’s approach to land acquisition and community outreach has not served to quell that anger; relocation efforts have often resulted in the displacement of communities far from their traditional and familial roots, with farmers being moved to non-arable land or fishermen to new villages far from the sea.

Critics of the gas project argue that while the insurgency is rooted in Cabo Delgado’s complex political and religious history, so far Total’s operations follow a familiar pattern of extracting wealth from the province with little benefit to local residents.

According to the International Crisis Group, the insurgents are fighting for a “meaningful role in the Cabo Delgado economy, so they can benefit from the opportunities created by major mining and gas projects.”

TotalEnergies has been forced to shore up more security measures, signing a security pact contracting Isco Segurança, a security company backed by  Rwanda’s ruling party, to secure the gas fields. But analysts believe that such security arrangements will not leave a lasting solution since the grievances are felt deeply by large sections of the region’s impoverished population.

“Thousands of Livelihoods Devastated”

A 2023 report by Human Rights Watch indicated that the EACOP project has devastated thousands of livelihoods in Uganda and risks locking in decades of greenhouse gas emissions, contributing to the global climate crisis. More than a dozen banks and insurance companies have shunned investment in EACOP, citing environmental and human-rights concerns.

With so many lenders on the sidelines, China has been willing to show support for the project. Last year, Ruth Nankabirwa, the Minister of Energy and Mineral Development, told state media that China would provide more than half of the $3.05 billion in debt financing needed, with smaller lenders taking up the rest of the slack.

According to the government, the oil industry is projected to bring a $40 billion boost to Uganda’s economy. When production is at its peak, the government will receive an anticipated $2 billion a year in revenue from the development.

Irene Batebe the permanent secretary at the Ministry of Energy and Mineral Development says that the government is committed to ensuring that the oil and gas sector is exploited without breaching environmental guidelines. Commercializing Uganda’s  oil and gas will provide funds to spur  development and investment in more renewable energy sources. The industry will also produce Liquified Petroleum Gas, which Batebe says will provide a cleaner cooking energy source and help to save crucial forest cover.Uganda is set to produce 100,000kg of liquified petroleum gas annually at the peak of oil production which is set to be used for cooking in homes, transport and heating.

From 2001 to 2023, Uganda lost 1.10 Mha of tree cover, equivalent to a 14% decrease in tree cover since 2000 according to figures from Global Forest Watch.

Forest cover has been shrinking at a rate of 15 percent each year over the past decade, due largely to the country’s over-reliance on charcoal and firewood for cooking.

“The real problem is not EACOP or fossil fuels , the real problem is, you have at least 57%of households having access to a source of electricity meaning the bulk of us are depending on rudimentary biomass,about 80% of our population is burning fuel wood and charcoal,” Batebe says.

But not everyone agrees on what constitutes “betterment” and for which people. In an interview, Dickens Kamugisha, the Chief Executive Officer of Africa Institute for Energy Governance, contends that the Ugandan government appears bent on maximizing proceeds from the industry without regard for Indigenous communities and the environment.

“The longer we wait to reduce emissions, the greater our collective suffering will be,” said Mr. Kamugisha , who spent weeks in detention in 2021 over charges related to his environmental advocacy work around EACOP “We must reduce and eventually eliminate our dependence on fossil fuels if we are serious about halting global warming.”

Source: drilled.media

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Will Uganda’s next government break the land-grabbing cycle?

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By Witness Radio team

Uganda has experienced persistent land evictions for decades. However, some actors are increasingly deliberating on how to ensure people have land tenure security. As the country heads into another general election on Thursday, the 15th of this month, land has once again emerged as one of the most emotionally charged and politically sensitive issues during the campaigns.

From the Kiryandongo land grabs involving multinational companies to the Amuru land wrangles, and from Bunyoro’s oil-rich fields to increasing evictions in the Buganda (Central) sub-region of Uganda, stories of land grabbing and displacement continue to dominate public debate and news headlines, especially during presidential campaigns. Every election season brings renewed promises from political actors to end land injustice.

According to the 2024 Police Annual Report, 397 land-related criminal cases were recorded, up from 271 in 2023, underscoring the urgent need for systemic solutions to address this escalating crisis.

Land grabbing in Uganda often leaves communities landless and powerless, which should evoke empathy and motivate the citizenry to seek justice and systemic change.

Mr. Ulama Dison Duke Ukerson will take decades to forget how his land, which he invested all his savings in, was forcibly seized by the Uganda Peoples’ Defense Forces (UPDF), a national army.

“The UPDF has taken over my land. They occupied it and are now using my six buildings. I had constructed them for my piggery and poultry farming project on my five acres of land,” he revealed in an interview with Witness Radio.

The chief is among hundreds of people in the Koch community living in distress after the alleged grabbing of clan land by the Uganda Army in March 2020, which seized approximately 100 acres of land used by the community for over 150 years without consultation or compensation, illustrating the widespread injustice faced by vulnerable communities.

“People are suffering, and no one has compensated us. We just woke up one day to see the army forcefully taking our land. I first heard about the soldiers’ presence from the chairman. By then, they had already broken into my manager’s house,” he added.

Although he is the traditional chief of the Pangero Clan, this did not stop those in power from grabbing his land. The land taken covers three villages: Aleikra, Kochi Central, and Panyabongo in Koch Parish, Nebbi District, belonging to the Pangero clan. Despite the years passing by, the Pangero Chiefdom remains in uncertainty and hardship.

Across Uganda, many communities face evictions, and presidential candidates’ acknowledgment of this nationwide concern can inspire Ugandans to use this opportunity to push for concrete actions and hold leaders accountable for real change.

Manifestos full of promises.

Major political parties contesting for power acknowledge the gravity of the land crisis and have placed solving the problem prominently in their manifestos. Other aspirants have promised not only to stop land grabbing but also to reinstate displaced people on their land.

The Forum for Democratic Change (FDC) promises legal reforms, including a review of the Constitution and the Land Act, simplified registration of customary land, stricter controls on notable land titles, faster resolution of land cases in courts, enforcement of women’s land rights, and harmonization of land and environmental laws.

The National Unity Platform (NUP) frames land grabbing as a human rights and governance crisis driven by elite capture, foreign investment, and intimidation. Its manifesto proposes restoring land to rightful owners, establishing a National Customary Land Registry, subsidizing Certificates of Customary Ownership, protecting Mailo land tenants, preventing politically connected land grabs, and introducing blockchain-based land registration.

Under the current regime, land evictions continue to escalate. Many alleged land grabbers are power-connected. Other persistent challenges in the land sector include double titling, disregard for laws, court orders, and directives, and multiple offices issuing conflicting instructions that they lack the capacity or will to enforce. One of the most uncomfortable truths in Uganda’s land crisis is the involvement of security agencies in evictions. Police, private security companies, and military personnel are frequently deployed during land disputes, often siding with investors or landlords against vulnerable communities.

Although the Minister of Lands, Judith Nabakooba, has issued several directives barring security agencies other than the police from enforcing land evictions, these orders are not implemented.

Despite the challenge posed by this problem, the ruling National Resistance Movement (NRM) has also proposed measures in its manifesto, building on existing programs. These include mass land titling, expansion of the Land Fund, issuance of Certificates of Customary Ownership and occupancy certificates, investigations into multiple titling, action against illegal evictions, use of technology, and faster land transactions.

Will the next Government break the cycle?

Despite well-articulated promises, many believe that systemic enforcement failures-such as corruption, impunity, and lack of political will-are the main drivers of ongoing land grabbing, underscoring the need for accountability to motivate action.

Uganda does not lack land laws or policies; what it needs is more vigorous enforcement and protection for the vulnerable, which should motivate the audience to demand action and accountability.

“If you observe the proposals by NRM, which is in power, NUP, which is not in power, and FDC or any other political aspirant, they are all largely structural and administrative. They all point to behavioral change. NRM continues to promise solutions to problems; it already has the authority to solve,” Land rights expert, Mr. Jimmy Ochom told Witness Radio.

Mr. Ochom, who has worked in the land sector for over 10 years, argues that existing laws are sufficient if properly implemented.

“If we followed what the Constitution, the Land Act, and the National Land Policy provide, we would not be facing this crisis. The problem is implementation. That is the truth. That’s why I get frustrated when new land laws are proposed. We already have adequate legal frameworks,” he said.

According to Ochom, the missing link is accountability, particularly for those in power.

“Land grabbing in Uganda rarely involves ordinary citizens. It often includes politically connected individuals, senior security officers, influential business interests, and complicit land officials. It involves a lot of forces and money, which a poor person cannot afford,” he added.

Emerging technology.

Both NUP and NRM propose using blockchain and digital systems to secure land records. While these tools can enhance transparency, land rights advocates should remain cautious about over-reliance on technology alone, as political will and enforcement are crucial for real change, warns Ochom.

“Digitizing land records doesn’t fix corruption by itself. If the underlying titles are fraudulent and political and legal systems are weak, technology may make injustice faster, more credible, and harder to challenge.”

Breaking the land-grabbing cycle requires accountability across all sectors, not just better land laws, political promises, or election-time excitement. If land continues to be politicized and accountability avoided, the situation will remain unchanged; leaders will enjoy the benefits of office while citizens who voted for them continue to suffer evictions and dispossession.

“I am wondering where my people are going to live. Why should a sane government do this to its subjects?” the traditional clan chief questioned.

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COP30 : a further step towards a Just Transition in Africa

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Climate change has emerged as one of the predominant challenges for Africa, through its cascading environmental, social and economic effects.

Africa is still a continent where over 600 million people do not have access to electricity1, 230 million people do not have access to safe drinking water2, and more than 300 million people continue to suffer from hunger3, while its population is expected to double to 2.5 billion people by 20504.

It accounts for only 3.6% of global greenhouse gas emissions5, while the continent is home to 18.8% of the world’s population6.

Yet there is a real risk that it will endure some of the worst impacts of climate change.

In the assessment and projections made by the African Adaptation Initiative in the Africa State of Adaptation Report (2023)7, the conclusions are stark: the macroeconomic costs associated with the various adverse effects of climate change are significantly higher in Africa than in other regions of the world. African economies are highly sensitive not only to climate-related disasters, but also to annual variations in climate variables. The economic and livelihood impacts of climate change in Africa are therefore profound and are already leading to a slowdown in economic growth. And while the extent of this impact varies across the continent, seven of the ten countries identified as most vulnerable to the effects of climate change are in Africa8.

However, at the same time, Africa has enormous natural resources that could sustainably support its economic and social development, while positioning it as a key global player in the fight against climate change, thanks in particular to its wealth of minerals and biodiversity.

It is therefore in these three areas (adaptation, development and climate action) that it must be able to mobilise its resources and attract public and private funding. Needs are high: Africa’s climate finance needs are now measured in the trillions9.

On each of these points, COP30, held in Belém (Brazil) from 10 to 21 November 2025, made several advances.

1. Ensuring a Just Transition

In line with the Sustainable Development Goals (SDGs), Just Transition refers to the need to implement the sustainability transition in a socially just way that guarantees proper engagement with and support for affected and vulnerable people and communities. A declination of climate justice, it also acknowledges that without actively including and supporting affected groups within the transition, the disruptive changes brought about by climate action risk resulting in political opposition, contestation and even climate backsliding.

The imperative of a Just Transition was recognised already in the 2015 Paris agreement, but the work on Just Transition within the UNFCCC regime has gained more momentum in the past few years, with the Just Transition Work Programme10 established at COP28 in Dubai in 2023.

The Addis Ababa Declaration on Climate Change and Call to Action11 adopted on 10 September 2025 during the Second African Climate Summit also emphasized the importance of achieving Just Transition pathways in the implementation of all pillars of climate action under the Paris Agreement.

1.1 The Just Transition Mechanism

COP30 went a step further, through what is praised as one of its most concrete and successful achievements: the decision to develop a Just Transition Mechanism12. Popularly known as the Belém Action Mechanism or BAM, its purpose is ‘to enhance international cooperation, technical assistance, capacity-building and knowledge-sharing, and enable equitable, inclusive just transitions’.

Importantly, the decision acknowledges the need to support the Just Transition in a manner that does not exacerbate the debt burden of countries.

This decision also provided important clarity on what the international community views as a just transition. It recognizes the ‘importance of just transition pathways that respect, promote and fulfil all human rights and labour rights, the right to a clean, healthy and sustainable environment, the right to health, the rights of Indigenous Peoples, people of African descent, local communities, migrants, children, persons with disabilities and people in vulnerable situations, and the right to development, as well as gender equality, empowerment of women and intergenerational equity’.

The Just Transition Mechanism aims to be operational by COP31 next year. In the meantime, the concrete design of the mechanism will take place.

1.2 Africa’s Special Needs and Circumstances

COP30 also formally opened a long-awaited two-year process on recognising Africa’s Special Needs and Circumstances (SNC), including a mandated conference under COP31 in 2026 and a report to COP32 in 2027 in Addis Ababa, Ethiopia.

This is a first step in response to Africa’s long-standing demand for this formal recognition, which would acknowledge its unique vulnerabilities, including low historical emissions, disproportionate climate impacts and limited adaptive capacity, and could help it attract greater climate finance and technological support in the future.

1.3 Integrated Forum on Climate Change and Trade (IFCCT)

In parallel to the UN process, Brazil launched the Integrated Forum on Climate Change and Trade (IFCCT) to better address the potentially significant consequences of trade-related environmental instruments on development and the risk of economic exclusion of developing countries, particularly the least developed countries, without recognition of historical responsibility or differences in capacity.

This initiative follows the introduction, by the European Union in particular, of trade-related climate and environmental instruments such as the Carbon Border Adjustment Mechanism (CBAM)13 and the Deforestation Regulation (EUDR)14. These measures aim to better internalise the environmental impacts of products and encourage improvements in environmental production conditions in Europe’s trading partner countries, aligning them with the constraints imposed on its own manufacturers.

Nevertheless, the EU CBAM has met with considerable resistance, both within Europe and from many countries in the Global South and the United States, which argue that it is a unilateral trade measure and question its compatibility with its international obligations under the World Trade Organisation (WTO).

This is a major challenge for South Africa due to its dependence on coal, but also for all African countries seeking to industrialise and strengthen their capacity to process, refine and manufacture components, such as batteries, rather than exporting raw materials, and may need to rely temporarily on fossil fuels.

2. Financing Africa’s Green Growth

Africa’s natural resources are first and foremost an opportunity for its population, but also for the world, in the context of the global fight against climate change and the preservation of biodiversity. COP30 saw the first breakthrough in grid financing and a major innovation in forest conservation financing.

2.1 The Climate Finance Principles to Unlock Grid Financings

Developed by the Green Grids Initiative (GGI) and advanced by COP 30 under the ‘Plan to Accelerate the Expansion and Resilience of Power Grids’, the Climate Finance Principles15 aim to address the barriers faced in emerging markets for accessing climate finance to support the development of power grids, as the diversity of generation sources that are connected to them make their environmental impact more complex to assess than for individual generation projects.

Co-developed with investors and industry representatives, these Principles establish a common approach to assessing grids’ eligibility for climate and green finance, combining system-level and project-level criteria (climate contribution, consistency, measurability and attribution).

2.2 The Tropical Forest Forever Facility (TFFF)

Recognised as one of the key achievements of COP30, the Tropical Forest Forever Facility (TFFF)16 is a proposed, large-scale, blended-finance mechanism that provides ‘payment-for-performance’ incentives to tropical forest countries for keeping annual deforestation below 0.5%, verified through agreed geospatial satellite monitoring standards. It would operate alongside the Tropical Forest Investment Facility (TFIF), a companion investment fund intended to generate returns that finance TFFF’s annual payments.

The TFIF seeks to raise up to USD 125 billion through public and private investments, hosted at the World Bank. So far, 53 countries, including 34 tropical forest countries, have endorsed the Facility. The fund has yet to reach Brazil’s $25 billion for government investments, which are intended to secure investor confidence and unlock an extra $100 billion in private financing.

If the facility reaches this $125 billion target, it would be the world’s largest blended finance mechanism of its kind.

“Sponsor” countries (and potentially philanthropic foundations) would provide 40 year, first-loss (junior) capital at rates comparable to long-dated U.S. Treasuries, creating a risk buffer to mobilise an additional ~USD 100 billion in private, corporate, and philanthropic capital.

The combined capital would be invested primarily in emerging-market sovereign and corporate fixed income (excluding fossil fuels and environmentally harmful sectors). After servicing investor returns, net profits would flow to the TFFF to fund country payments.

If fully capitalized, expected returns could generate USD 3–4 billion per year, enabling payments of roughly USD 4 per hectare of conserved forest.

At least 20% of all payments are designated to Indigenous Peoples and local communities.

3. Financing Adaptation

Adaptation is a largely underfunded area of climate action worldwide, despite growing and now urgent needs. This issue is particularly acute for developing countries. The latest United Nations Adaptation Gap Report17 shows that developing countries’ needs are 12-14 times higher than current financial flows, while wealthy nations continue to favour mitigation funding.

One of the obstacles to increasing adaptation funding is that it is easier to increase mitigation funding than adaptation funding. Mitigation activities, such as energy efficiency and the development of clean energy production, are concentrated in the wealthier developing countries and often generate a financial return, allowing them to be financed with less concessional public funds and by mobilising private funds. In contrast, investments in adaptation often bring significant economic, social and environmental benefits, but few direct financial returns, such as investments in wetland restoration for flood protection or climate-smart agriculture. Adaptation investment needs are also often concentrated in the poorest countries, which require more concessional public finance.

COP30 nevertheless showed progress in this area.

Parties adopted the 59 Belém Adaptation Indicators. Voluntary and non-prescriptive, these indicators will enable progress to be tracked under the Global Goal on Adaptation, representing a significant step forward for transparency and accountability.

They concomitantly launched the ‘Belém–Addis vision on adaptation’, a two-year policy alignment process to develop guidance for operationalising those indicators.

Parties also formalised the Baku Adaptation Roadmap, a 2026-2028 work programme for operationalising adaptation goals, including support for vulnerable nations to develop national adaptation plans.

Above all, the ‘Belém Package’ confirms a commitment to triple adaptation finance from US$40bn to $120bn annually by 2035. While this is not yet a binding commitment and leaves timing and delivery modalities largely to future finance processes, it is seen as a major political signal.

Negotiations will need to continue on issues such as reforming the international debt architecture or the Bretton Woods institutions in order to support climate finance and action.

Conclusion

While international mobilisation is important, regional mobilisation is essential and will further bolster Africa’s influence at future meetings.

As significant as COP30 was, another major event in 2025 was the second African Climate Summit in September 2025, at which African leaders and financial institutions demonstrated their ability to mobilise.

They committed to mobilising $50 billion annually in catalytic finance through the Africa Climate Innovation Compact and African Climate Facility, with the aim of scaling up locally led climate innovations, while the African Development Bank announced the operationalization of the African Climate Change Fund, which will provide financial support for climate adaptation and mitigation projects across the continent.

At the same time, the Africa Finance Corporation, AfDB, Afreximbank, and Africa50 signed a framework for cooperation to realise the $100 billion Africa Green Industrialization Initiative (launched by the African Union in 2023), which aims to revolutionize industrial growth and renewable energy on the continent.

Taking over from COP30, 2026 will be the implementation year for Africa.


  1. https://www.iea.org/reports/financing-electricity-access-in-africa.
  2. https://www.afdb.org/en/news-and-events/world-water-day-2023-accelerating-change-solving-africas-water-and-sanitation-crises-59935#:~:text=Climate%20change%20is%20causing%20water,the%20available%20supply%20by%202025.
  3. https://www.who.int/news/item/28-07-2025-global-hunger-declines-but-rises-in-africa-and-western-asia-un-report.
  4. https://esgclarity.com/why-is-esg-different-in-africa/.
  5. https://www.iea.org/regions/africa/emissions.
  6. https://www.worldometers.info/world-population/africa-population/.
  7. https://www.ipcc.ch/report/sixth-assessment-report-cycle/.
  8. https://gain.nd.edu/our-work/country-index/.
  9. https://www.climatepolicyinitiative.org/publication/climate-finance-needs-of-african-countries/.
  10. https://unfccc.int/topics/just-transition/united-arab-emirates-just-transition-work-programme.
  11. https://au.int/en/pressreleases/20251118/african-leaders-addis-ababa-declaration-climate-change-and-call-action.
  12. https://unfccc.int/sites/default/files/resource/cma7_5_UAE%20JTWP_auv.pdf.
  13. Regulation (EU) 2023/956 of the European Parliament and of the Council of 10 May 2023 establishing a carbon border adjustment mechanism.
  14. Regulation (EU) 2023/1115 of the European Parliament and of the Council of 31 May 2023 on the making available on the Union market and the export from the Union of certain commodities and products associated with deforestation.
  15. https://greengridsinitiative.net/wp-content/uploads/2025/11/Climate-Finance-Principles-to-Unlock-Grids-Financing.pdf.
  16. https://www.wri.org/insights/financing-nature-conservation-tropical-forest-forever-facility and https://tfff.earth/.
  17. https://www.unep.org/resources/adaptation-gap-report-2025.

Source: ashurst.com

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United States withdraws from core United Nations climate institutions

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  • United States withdraws from the UN Framework Convention on Climate Change, Green Climate Fund and Intergovernmental Panel on Climate Change.
  • Global leaders warn decision will weaken climate cooperation, economic resilience and clean energy investment.
  • The move raises concerns for climate finance flows and international scientific collaboration.

The United States has formally withdrawn from the United Nations Framework Convention on Climate Change, the treaty that underpins global action on climate change, marking one of the most far reaching reversals of international climate engagement by the country to date.

On 7 January the country’s president Donald Trump cut ties with 66 international bodies as he continued a push to dismantle US involvement in global efforts to fight climate change and safeguard biodiversity.

The decision, announced by the White House and confirmed by senior United States officials, includes immediate withdrawal from the Green Climate Fund and the Intergovernmental Panel on Climate Change, the world’s leading scientific body assessing climate risks and mitigation pathways. United States scientists have historically played a central role in the IPCC’s assessment reports.

United Nations climate chief Simon Stiell described the move as a serious strategic error, warning it would undermine the United States economy, employment and long term prosperity. He said that as climate related disasters intensify globally, disengaging from cooperation and science would leave the country less secure and less competitive.

The UN Framework Convention on Climate Change requires industrialised nations to reduce emissions, report transparently on climate performance and support developing countries through finance and capacity building. Its mechanisms are central to climate finance flows into emerging markets, including across Africa, where adaptation and clean energy investment needs remain substantial.

United States Treasury Secretary Scott Bessent confirmed the country would also exit the governing board of the Green Climate Fund, a key channel for funding renewable energy, resilience and low carbon development projects in developing economies. For African governments and project developers, the withdrawal raises uncertainty over future funding commitments and partnership continuity.

The move has drawn strong criticism from European leaders and environmental groups. European Union climate commissioner Wopke Hoekstra said the UN climate convention underpins global climate action and called the United States retreat regrettable and unfortunate. European Commission Vice President Teresa Ribera said the decision signalled a lack of concern for environmental protection, public health and human suffering.

Former United States Vice President Al Gore warned that withdrawing from the UNFCCC and IPCC risks dismantling decades of diplomatic progress and weakening trust in climate science at a critical moment.

The climate withdrawals form part of a broader policy shift under President Donald Trump, whose administration has exited dozens of international organisations. Nearly half of the affected bodies are linked to the United Nations, including agencies working on climate change, development, gender equality and conflict prevention. The White House said the organisations no longer serve American interests and promote agendas that conflict with national sovereignty and economic priorities.

Although the formal withdrawal from the UNFCCC will take up to a year to complete, the United States has already ceased active participation in many climate forums and declined to attend recent global summits. The administration has also blocked United States scientists from attending international meetings, raising concerns that future IPCC reports could face delays.

For African energy markets, the decision underscores the growing importance of diversified climate finance sources and regional leadership in clean energy deployment. While the United States steps back, other governments like South Africa, Kenya and Egypt plus private sector players are expected to continue advancing renewable energy and climate resilient infrastructure across the continent.

Author: Bryan Groenendaal

Source: greenbuildingafrica.co.za

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