The South African BRICS Business Council (SABBC) is spearheading an initiative to establish the BRICS Clean Energy Fund – a financing mobilisation platform that will be funded, operated, and managed within the New Development Bank (NDB). Insights provided by Mojabeng Manthata.
The mandate of the BRICS Clean Energy and Climate Fund is to invest across the energy value chain, including sustainable and decentralised energy generation and storage technologies, smart grid infrastructure, resource and energy efficiency, the green economy and environment, and critical minerals and rare earths beneficiation.
The Fund will support projects throughout their lifecycle, including the development, implementation and operation phases. It will deploy funding instruments such as grants, quasi–equity, concessional loans, trade finance as well as credit guarantees. The funding will be provided in both hard and member country currencies.
BRICS countries have taken an increasingly urgent approach to climate resilience and climate change mitigation, in light of the growing threat that Global South countries in particular face from the climate crisis Brazil has made it clear that it intends to place the crisis high on the agenda of this year’s BRICS Summit.
Earlier this year, Brazil indicated that it wants BRICS countries to present a joint position at the 30th United Nations Climate Change Conference (COP30). Brazilian Ambassador Mauricia Lyrio said that his country would suggest to the BRICS emerging economies forum that it design a joint proposal to finance the fight against climate change in the poorest countries.
Lyrio said that Brazil aims to strengthen climate change- related financing for the poorest countries, especially after what he described as the “insufficient outcome of COP29, held in Baku in 2024. He said that the consensus to set climate financing at $300 billion per year is “far from ideal” to contain the global warming process.
Other focus areas for the SABBC in 2025 include:
- the energy transition and sustainable development
- strengthening intra–BRICS trade and supply chain integration and
- achieving food security through trade.
In a statement, the SABBC’s Head of Research and Content, Dr Mtheza Mtyopo, said that, to enhance the global trade system, BRICS countries need to develop an interoperable carbon mitigation policy, and trade-related early warning systems to mitigate climate risks before they disrupt global markets.
In relation to intra-BRICS trade and supply chain integration, Trade Investment Working Group Chair, Adv Mtho Xulu, calls for a partnership to expand trade and investment opportunities by introducing a standing calendar of complementary trade fairs, exhibitions, and business forums to attract BRICS Alliance nations’ companies and investors.
Wandile Sihlobo, Chair of the Agribusiness Working Group, said that the BRICS Alliance countries must take courageous steps to improve intra-BRICS trade via the exploration of a BRICS agricultural trade agreement
The BRICS Clean Energy and Climate Fund aims to invest across the energy value chain, focusing on sustainable energy, smart grids, and the green economy, according to Mojabeng Manthata, Deputy Chair, Energy, Green Economy and Climate Working Group.
