Tirana, 14 November 2022: Funding from the Government of Japan supports implementation of Albania’s Nationally Determined Contribution on Climate Change in the area of Renewables -Solar Energy through UNDP Climate Promise Initiative from pledges-to -action.

The Embassy of Japan, UNDP, and the Agency for Energy Efficiency launched in Tirana the new initiative "Market transformation for solar power acceleration in Albania."

The Government of Japan has partnered with UNDP in Albania to accelerate the implementation of the Nationally Determined Contribution (NDC) Action Plan towards achieving the overall enhanced target and climate-resilient development, in response to the climate emergency.

A new project, "Market transformation for solar power acceleration in Albania," funded by the Japan Supplementary Budget -JSB with an amount of  USD 859,000 USD and implemented by UNDP, aims to assist Albania in implementing the new national target in response to the Paris Agreement on Climate Change by supporting the transition process towards diversification from hydropower and promoting alternative sources of renewable energy by 2030, accounting for 42 % of renewable energy (rather than large hydro) in gross final energy consumption".

The project will work to remove the market barriers and accelerate penetration of solar photovoltaic systems (solar PVs), reaching an additional installed capacity of 1000 kW through enabling the policy framework, ensuring availability of financing mechanisms, ensuring supply of reliable technology and services, and leveraging experience, and know-how from other countries with relevant advanced technologies, such as Japanese ones.

"The project will use Japanese technology know-how and technical expertise to help improve the policy framework and financing mechanisms, removing market barriers and facilitating the penetration of solar PV, while also ensuring the supply of reliable technology and services. At the same time, the project will implement at least 10 pilot projects in municipal buildings and rural communities," said Takada Mitsuyuki, Japan's Ambassador in Tirana.

"Investing in climate action makes smart economic sense and drives sustainable development. For instance, every dollar invested in renewables creates three times more jobs than that invested in the fossil fuel industry. I take the opportunity to congratulate the Government of Albania for their commitment and concrete steps towards energy diversification and promoting alternative sources of renewable energy. I also wish to acknowledge Albania for delivering the enhanced National Determined Contributions (NDC) and fulfilling its obligations as a party to the Climate Change Convention. Thanks to our core funding partners, the Government of Japan being among the most important ones, we were able to mobilize funds to deliver our UNDP Climate Portfolio. I wish to express our gratitude to the Government of Japan (through the Japan Supplementary Budget for decarbonization and climate change through promotion of Japanese technologies), for your partnership and funding of this important project," said Monica Merino, UNDP Resident Representative in Albania.

Some of the project interventions include targeted support for the national policies on solar energy following the revised law "On Renewable Energy" and financing mechanisms to boost the solar power market. The project targets municipal buildings and rural communities by installing pilot projects with high demonstration visibility and easy replication potential. Installation of pilot solar PV systems will also contribute to the development of skills for local producers/assemblers of solar panels as well as for service providers to operate and maintain them.