NEXI signs MOU with Ministry of Mines and Energy (MME)

Nippon Export and Investment Insurance (NEXI; Chairman and CEO: Atsuo Kuroda) has signed a Memorandum of Understanding Concerning Cooperation (MOU) with the Ministry of Mines and Energy (MME) of Cambodia.

Atsuo Kuroda, Chairman and CEO of NEXI and H.E Dr. Ty Norin, Secretary of State, MME, have signed the MOU on March 3, 2023, on the occasion of the Asia Zero Emissions Community (AZEC) Public-Private Investment Forum and Ministerial Meeting held on March 3 and 4.

provided by Ministry of Economy, Trade and Industry

In Cambodia, demand for power is expected to grow led by its rapid economic growth, and to address the growing needs, a number of infrastructure development projects are planned mainly in the power sector. Also, with the global acceleration of climate control, efforts to achieve carbon neutrality on a long-term basis have become critical in each country.

In line with NEXI’s LEAD Initiative launched in December 2020, the MOU aims to build a framework for dialogue between MME and NEXI, to strengthen cooperation primarily to improve the domestic power transmission network in Cambodia, and to support MME in its efforts to achieve a realistic energy transition. The signing of the MOU is anticipated to create and facilitate Japanese business opportunities in Cambodia by introducing Japanese companies’ technologies and exchanging views on potential projects in which Japanese businesses can participate.

Additionally, the MOU that contributes to realistic energy transition in Cambodia aligns with the Asia Energy Transition Initiative (AETI) and Asia Zero Emissions Community (AZEC) concept announced by the government of Japan.

NEXI continues to actively support Japanese companies to expand their global business by reinforcing cooperation with other governmental enterprises.

2. 1. For MME and NEXI to confirm that AZEC is an efficient and realistic framework to address climate change while achieving economic growth.
3. 2. For NEXI to provide support needed to consider the possibility of providing a loan or bond with its insurance, in order to help the government of Cambodia (the Government) to implement measures in line with the AZEC concept.
4. 3. For the Government to identify priority technologies among sectors, such as energy efficiency, renewable energy, grid connection, natural gas, biomass, hydrogen and ammonia, and CCUS, in a roadmap to be prepared for achieving zero emissions by 2050.
5. 4. For NEXI to support the Government to strengthen the power transmission system, with the aim to contribute to its efforts to increase the supply and improve the quality of green power in Cambodia. Additionally, for NEXI to provide MME with capacity building support related to insurance and risk management, with the aim for the Ministry to promote investment in high-priority technologies.
6. 5. For the Government to especially strengthen the construction of power transmission lines to SEZs, while exploring the opportunity to study the development of a green power certification system with the United Nations Development Programme (UNDP) and develop solar rooftop guideline.

Reference from the MOU between MME and NEXI

Contact
Power Group, Structured and Trade Finance Insurance Department
Tel: +81-3-3512-7340

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