Today’s ESG Updates
- Starvation risk escalates in 13 global hotspots: A UN report warns of urgent humanitarian crises, urging immediate aid to prevent famine.
- EIB allocates €1.6B for Bay of Biscay power link: The European Investment Bank is funding a key electricity interconnection between Spain and France.
- Morocco ramps up desalination and dam projects: Facing prolonged drought, Morocco is expanding its freshwater infrastructure.
- U.S.-China tensions disrupt battery production: Escalating trade restrictions are stalling American battery projects, exposing the fragility of U.S. supply chains.
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Starvation looms in 13 “hunger hotspots” worldwide
The United Nations released a report Monday highlighting the urgent need for aid in 13 areas across the globe. According to the report, Palestine, Sudan, South Sudan, Mali, and Haiti were the top five states facing immediate starvation. In Sudan, 25 million people are at risk, as famine was confirmed last year. The report, created by the UN’s Food and Agriculture Organization (FAO) and World Food Programme (WFP), calls for investors to secure much-needed humanitarian aid for these states. Cindy McCain, the WFP’s Executive Director, said, “Without funding and access, we cannot save lives.” While funding is crucial, the root causes of this hunger are climate hazards and conflict. This report calls for immediate intervention, urging companies to reassess their strategies regarding climate resilience and social equity.
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Further reading: UN warns of starvation in ‘hunger hotspots’
EIB allocates €1.6 billion to Bay of Biscay interconnectivity project
In an effort to connect the Iberian Peninsula with mainland Europe, the European Investment Bank (EIB) is allocating €1.6 billion for the Bay of Biscay electricity interconnection project. This project will be crucial for enhancing Spain’s connectivity with France and the rest of the EU. Nadia Calviño, president of the EIB Group, said, “EIB support for the France-Spain electricity interconnection will be key to ensuring that the Iberian Peninsula is no longer an energy island.” Construction has already begun on the project, which is expected to become operational in 2028. The new Bay of Biscay link is estimated to cut 600,000 tonnes of carbon emissions annually, while increasing France and Spain’s electricity exchange capacity to 5,000 megawatts (MW).
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Further reading: EIB supports with €1.6 bn the strategic Bay of Biscay electricity interconnection between Spain and France
Morocco to accelerate desalination plants and dam projects
To meet rising freshwater demands, Morocco is investing in desalination and waterway systems. The country has faced years of drought, which has impacted not only the food supply but also employment and cattle populations. A waterway, backed by funding from the UAE, is expected to be extended by 2030. The expansion aims to fill in dams along the waterway’s current route from the northwest to Rabat and Casablanca and beyond, aiding farmers in the dry regions of Doukala and Tadla. Currently, Morocco has 17 operational desalination plants. The country plans to increase its capacity to 1.7 billion cubic meters of fresh water annually by 2030, with four plants currently under construction and an additional nine planned. The water minister plans to incorporate renewable energy into the projects, lowering the cost of water nationwide.
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Further reading: Morocco invests in desalination, waterways to mitigate drought
U.S.-China relations slow battery manufacturing
As China’s access to American markets is quickly being restricted by Republican lawmakers, rechargeable battery manufacturing has come to a halt in the United States. With the Trump administration seeking to impose steep tariffs and withhold tax credits from corporations affiliated with China, projects have been delayed and canceled. Companies like AESC and Group14 Technologies are withdrawing investments, while Ford’s $3 billion battery factory is at risk. Trump and his advisors are advocating for more manufacturing and mining of critical materials within the United States. However, experts warn that severing all ties with China could cripple U.S. manufacturing efforts, as China has a significant market advantage in battery components. The slowdown in the electric vehicle market further compounds the issue.
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Further reading: Trump’s Trade and Tax Policies Start to Stall U.S. Battery Boom
Editor’s Note: The opinions expressed here by the authors are their own, not those of impakter.com — Cover Photo Credit: Emad El Byed
