(Reuters) – The Group of Seven (G7) industrialised nations will provide $15.5 billion to help Vietnam transition away from coal, the British foreign office said on Wednesday.
The deal, previously reported by Reuters, will be the third agreement of this type reached by G7 nations, as pressure mounts on rich, heavy-emitting nations to help poorer countries cope with climate change and transition to cleaner energy.
The group signed similar deals last year with South Africa and last month with Indonesia.
An initial amount of $15.5 billion in public and private finance will be disbursed over the next three to five years, the British foreign office said in a statement.
The deal will help Vietnam to peak its greenhouse gas emissions by 2030, bringing forward a previous 2035 projection, limit its peak coal capacity to 30.2 gigawatts (GW) instead of an initially planned 37 GW, and source 47% of its power from renewable energy by 2030, the statement said.