British VC firm A/O PropTech launched a EUR 250 mn fund to invest in decarbonization startups focusing on the real estate and construction sectors, according to a statement released on Friday. A/O — which invests across the entire built-world sector — will channel its financing toward companies operating in electrification and the energy transition, new materials, architecture, engineering, construction, automation, and big data management in a bid to digitize and hasten the energy transition of the USD 330 tn real estate industry, which it says accounts for 40% of global emissions.

Malaysia will develop the largest solar hybrid energy plant in Southeast Asia at a cost of USD 1.3 bn, Bloomberg reported on Thursday. Part of the country’s National Energy Transition Roadmap, the solar farm will be developed by the country’s sovereign wealth fund Khazanah Nasional Bhd and is part of a larger planned clean energy portfolio of 10 projects at an investment ticket of c. USD 5.5 bn. Malaysia increased its targeted renewables production capacity for 2050 from 40% to 70% last May.

ISA is shoring up investor confidence with a solar facility: The International Solar Alliance (ISA) aims to raise USD 100 mn for a solar facility that will act as a payment guarantee mechanism to spur investments in solar energy, especially in Africa where investments are perceived as risky, its director general Ajay Mathur told The National on Thursday. Mathur revealed the alliance has already received commitments of up to USD 50 mn, hoping to reach the target of USD 100 mn by the end of October. “In case there is a delay in payments [to the investor], it would be met by cash flow from the facility,” he said.

About the ISA: The ISA is a treaty-based organization launched by India and France in 2015 to scale up investment in and deployment of solar energy, according to their website (pdf). It aims to mobilize USD 1 tn in solar energy investment solutions by 2030.

OTHER STORIES WORTH KNOWING ABOUT THIS MORNING-

• EU private sector is not-so-green: Most European companies do not have any revenue that aligns with the EU’s climate-friendly activities list and have no planned green capital expenditure. (Reuters)
• American solar is booming: US solar panel manufacturer First Solar plans to invest USD 1.1 bn on its fifth production plant. The new 3.5 GW factory will increase the company’s US manufacturing capacity by a third in 2026 to 14 GW. (Statement)
• Bad news for Canadian emissions: Canada’s wildfires are expected to at least double the country’s overall greenhouse gas emissions this year. (Bloomberg)
• Reviving Japanese nuclear power: Japan has reactivated its oldest nuclear reactor — the 48-year-old Takahama 1 plant — after a 12 year hiatus. (The Japan Times)
• And more Japanese EV investments: Japanese automaker Nissan will invest EUR 600 mn in Ampere, Renault's EV and software subsidiary. (AP News)
• Thyssenkrupp secures decarbonization funding: German conglomerate Thyssenkrupp AG’s steel unit is set to receive EUR 2 bn in federal and state government funding to finance its tkH2Steel decarbonization project. (Reuters)