A/13/4

14 January 2023
Thirteenth session of the Assembly
Abu Dhabi, 14-15 January 2023

Report of the Director-General

Medium-Term Strategy 2023-2027
A/13/4

Executive Summary

The last decade moved renewables from niche to mainstream. A seismic shift in the balance of
competitiveness between renewables and incumbent fossil fuel and nuclear options emerged.
The wide-ranging effects of the pandemic continue to reverberate across economies and communities,
amplified by the Ukrainian crisis and its profound impact on the global energy and food systems.

The multiple crises have highlighted the cost of tying economies to the fate of fuels prone to price
shocks and supply risks and by far the largest contributors to global climate change. Moreover,
heightened concerns around energy security have prompted several countries and regions to revise
their energy transition strategies to more ambitious levels and timelines. A critical mass of solutions
required until 2030 now exist. Electrification and efficiency, enabled by renewables, hydrogen, and
sustainable biomass, are emerging as pillars of energy transitions. Investment in a comprehensive and
systemic change – involving not just a mix of technologies but also the policy packages to put them
in place and optimise structural, economic, and social impact – will be the key to the collective ability
to realise development and climate objectives.

IRENA’s Medium-term Strategy for 2023-2027 sets out a new direction for the Agency focused on
urgent and targeted action, unparalleled international cooperation, and continuous innovation.

For the next five years, the following mission will guide the Agency’s work:
IRENA will take the leading role in accelerating the global, renewables-based energy
transition to fight climate change, enhance human welfare and drive an urgent and systemic
shift for increased energy access, reduced inequalities, improved energy security, and
prosperous and resilient economies and societies.

2
 A/13/4

Figure 1: IRENA Theory of Change

 A/13/4

Medium-Term Strategy 2023-2027

 A/13/4

I. Introduction

The Medium-term Strategy 2023-2027 (MTS) defines a strategic and forward-looking vision for
IRENA as it enters its third midterm period. The context in which the Agency exists today significantly
differs from 2018, when the last Medium-term Strategy was adopted. Several dramatic global events
have shaken the energy system, amplifying the case for rapid deployment of cost-effective renewable
energy solutions. There are increasing options – and pressures – to proactively shape the future energy
system, while ensuring its affordability, resilience, security, and efficiency to underpin sustainable
developments and tackle the challenges of climate change.

The adoption of the 2030 Agenda for Sustainable Development and the Sustainable Development
Goals (SDGs) and the Paris Agreement on Climate Change in 2015 provided a direction for joint
action, with energy at the heart of both agreements. The coming years are deeply consequential, as
they will define whether the goals set for 2030 will be realised, while staying on a 1.5°C pathway.
Amidst the pressure to deliver, renewables-based transitions create a vibrant climate for innovation,
investment, job creation and new economic opportunities. With the backdrop of a shrinking timeline
and pressure to deliver, the MTS is the last full five-year cycle towards 2030 that outlines IRENA’s
contribution to global energy efforts.

The strategy for the next five-year period reflects a careful assessment of the context in which the
Agency operates and the trends that indicate where its contribution would be most impactful.
Designed with extensive Member input, the MTS will be the foundation for a Member-driven, results-
oriented approach to work programme delivery. It embodies the urgency of IRENA’s global mandate
to accelerate renewables-based energy transitions. The MTS is informed by the lessons learned over
the past decade in our efforts to support countries in redesigning and strengthening their energy
systems to enable human development and climate-proof the future.

5
A/13/4
II. The Changing Energy Landscape
The last decade moved renewables from niche to mainstream. A seismic shift in the balance of
competitiveness between renewables and incumbent fossil fuel and nuclear options emerged.
As a result, and bolstered by enabling policies, renewable capacity increased by 130%, while
non-renewables only grew by 24%, albeit from a larger base.
Among renewable technologies, solar PV installations have seen the fastest growth, with a 21-fold
increase since 2010, due to major cost reductions backed by technological advancements, high learning
rates, policy support and innovative financing models. The global weighted average levelised cost of
electricity (LCOE) of newly commissioned utility-scale solar PV projects declined by 88% between
2010 and 2021, that of onshore wind and Concentrated Solar Power by 68%, and offshore wind by
60% 1 (Table 1). However, despite their relatively steady growth, investments in renewable
technologies remain limited and concentrated in a handful of regions and countries.

Table 1: Evolution of the renewable energy landscape

2011 2022 2
IRENA Membership reaches 85 IRENA Membership reaches 168
Global capacity: 1332 GW Global capacity: 3064 GW
Solar PV installed capacity: 73 GW Solar PV installed capacity: 849 GW
Onshore wind installed capacity: 220 GW Onshore wind installed capacity: 825 GW
Off-grid capacity: 3963 MW Off-grid capacity: 11.2 GW
Off-grid renewable electricity access Off-grid renewable electricity access
reaches 20 million reaches 176 million
Solar PV costs USD 0.36/kWh Solar PV costs USD 0.048/kWh
Onshore wind costs USD 0.08/kWh Onshore wind costs USD 0.033/kWh
Investment reaches USD 250 billion per Investment reaches USD 366 billion per
year year
96 countries have renewables targets 144 countries have renewables targets
0 countries have net zero commitments 137 countries have net zero commitments 3

1 IRENA, Renewable Power Generation Costs in 2021, 2022.

2 Unless noted, the numbers are from IRENA reports reflecting 2021 values.
3 Net Zero Tracker. This total is as per 6 October 2022.

6
 A/13/4

The global developments since 2020 have been extraordinary by all accounts. The wide-ranging effects
of the pandemic continue to reverberate across economies and communities, amplified by the
Ukrainian crisis and its profound impact on the global energy and food systems. At the same time, the
increasing incidence of floods, droughts, heatwaves, extreme storms, and wildfires have provided a
mirror to face the greatest challenge of the 21st century. The World Meteorological Organization
(WMO) State of the Global Climate 2021 4 report found the most recent seven years, 2015 to 2021, to
be the warmest on record, with a 93% chance that at least one in the next five years will be the hottest
on record. This reality requires practical and urgent action to increase the resilience of energy systems
that underpin economies and societies.
The multiple crises have highlighted the cost of tying economies to the fate of fuels prone to price
shocks and supply risks and by far the largest contributors to global climate change. The intertwined
nature of fossil fuels with the global economy, and the resulting fragility, is evident. Worldwide, new
questions concerning the affordability of energy have emerged, with a growing number of households
having difficulty in meeting their basic energy needs. Notably, the challenges facing over 700 million
people without energy access were magnified, rendering services like health, water, and information
technology out of reach.
Moreover, heightened concerns around energy security have prompted several countries and regions
to revise their energy transition strategies to more ambitious levels and timelines. While the scale of
the current energy crisis is unprecedented, volatile prices and supply issues are not new. Thus, the
economic, social, and environmental case for a new energy system has become abundantly clear.
We have entered a new era of climate action with more than 137 countries with net-zero strategies,
increasingly reaffirmed through enacted legislation and implementation plans. In 2021, energy
transition-related investment was just shy of USD 1 trillion, a 21% increase from the year before 5.
It is a promising trend with renewable energy attracting USD 366 billion of the total, but only one
fifth of what is required annually until 2030 to stay on the 1.5°C path.
A critical mass of solutions required until 2030 now exist. Electrification and efficiency, enabled by
renewables, hydrogen, and sustainable biomass, are emerging as pillars of energy transitions (Table 2).
The coming years need to be dedicated to a widespread implementation, across geographies,
communities, and sectors. Attracting investments in grid infrastructure is a priority, as are the strategies
and enabling technologies to manage power supply and demand flexibly. Renewable energy has yet to
make sufficient inroads into the end-use sectors, such as direct heat, buildings, and transport. Energy
efficiency remains significantly behind the necessary improvement rate. Importantly, energy is no
longer confined to a handful of players and decision-makers but is a collective effort where many,
including communities and citizens worldwide, hold a strategic stake in the outcomes.
Ultimately, energy transitions are complex and multifaceted and can only be approached holistically.
Investment in a comprehensive and systemic change – involving not just a mix of technologies but
also the policy packages to put them in place and optimise structural, economic, and social impact –
will be the key to the collective ability to realise development and climate objectives.
The coming five years will require urgent and targeted action, unparalleled international cooperation,
and continuous innovation. IRENA must be ever more agile, practical, and anticipatory to support its
global Membership in navigating the path ahead.

4 Available here.
5 IRENA, World Energy Transitions Outlook: 1.5°C Pathway, 2022.

7
A/13/4

Table 2: Milestones and actions until 2030

Source: IRENA, World Energy Transitions Outlook: 1.5°C Pathway, 2022.

III. Strategic Considerations

IRENA has a clear purpose set out in its Statute, fully aligned with the 2030 Agenda and the Paris
Agreement. A decade after its establishment, IRENA’s contribution to the global discourse on energy
is undeniable. As hoped by its founders, IRENA brought renewable energy to the forefront of global
discussions, helped prove its business case, and mainstreamed solutions in energy transition efforts.
In the last strategic cycle, IRENA focused on positioning renewables as a central consideration in the
energy transition. The Agency pioneered a holistic approach to the transition, with areas such as
comprehensive policy frameworks, job creation, GDP, and welfare considerations.
This mission has been fulfilled as the unfolding energy landscape reflects the centrality of renewables
in the global energy transitions discourse. This also means that many entities are increasingly focused
on renewables and the energy transition, joining IRENA’s decade-long quest. The next five years
should therefore build on IRENA’s core comparative advantages of the renewables-centric mandate
and global Membership.
Members noted that many elements of the current MTS remain valid but also stressed the urgency to
accelerate just and inclusive transitions and tackle the increasingly complex impacts of systemic change
reverberating across all energy sectors and beyond. Global Membership sets IRENA apart from other
energy agencies. It gives it a great advantage of a deep and nuanced understanding of the transitions,

8
 A/13/4

along with access to immense knowledge and experience of its Members.

It is of utmost importance for the Agency to proactively use this comparative advantage and remain
relevant to all Members, with a range of programmatic activities across knowledge, technical assistance
and capacity building, project facilitation and convening activities.
Moreover, the Agency’s global Membership gives it a unique ability – and responsibility – to consider
energy transitions based on countries’ priorities, abilities, and needs. The range of drivers is vast,
from development imperatives, climate change, energy security, job creation and green growth, to
energy poverty and local pollution concerns. New considerations continue to emerge, and the
upcoming five-year period will be both tumultuous and highly consequential. IRENA needs to be able
to both influence and respond to the dynamism in the energy and related sectors, with the overriding
purpose of being an effective tool for international cooperation and support to countries and regions
as they navigate complex and multifaceted transitions.
The varied transition drivers and priorities underline the need for a shared understanding of the long-
term vision and focused and concerted action in the near term. IRENA’s World Energy Transitions
Outlook (WETO) was a substantive framework for the Agency’s activities in the adoption of the Work
Programme and Budget for 2022-2023. WETO shows the avenue to achieve the Sustainable
Development Goal on Energy (SDG7) and make the necessary emission reductions by 2030 for a
chance to stay on the 1.5°C pathway (Table 1). As such, WETO offers an indispensable framework
for IRENA’s Strategy in the coming five years. Members will provide regular guidance and alignment
on the MTS implementation, as it will be implemented in three successive programmatic cycles.
Members will require the Agency to remain at the cutting edge of knowledge and experience in
renewables to take it to the next level of the transition. In addition to the ongoing work across the
areas of technology, policy and finance, IRENA will consider in greater depth how renewables-based
transitions can help address complex challenges of ensuring/enhancing energy security, access and
affordability for greater economic and societal prosperity and resilience. This will include topics high
on the agenda today, notably supply chains, critical and rare-earth materials, and green hydrogen.
IRENA has long promoted a holistic approach to transitions, which cannot be considered in isolation
from the broader economy, given the systemic change that will have wide-ranging effects.
WETO therefore shows the technology pathway and investment, alongside policy, socio-economic
footprint and human welfare to better show and help anticipate the systemic change.
The next level for the Agency will be to consolidate all aspects of renewables-based transitions and
consider structural impacts and effects on human welfare, along with its potential to reduce the
development divide. A greater focus will also be placed on nexus issues where renewables can play a
significantly positive role, including agriculture and food security, water, health, gender, and education,
among other cross-sectoral issues. Equally important will be the work on environmental stewardship,
and circular and green economies, which has been largely absent in the global energy discourse.
This approach will be increasingly relevant as the pressure to align development and climate objectives
increases.
Accelerating the energy transition is an urgent and daunting task that requires farsighted choices,
discipline, and wise investments. The urgency to realise impact on the ground will require radical
action and extraordinary levels of international cooperation. Bolstered with extensive analyses and
data, IRENA will continue to provide its expertise and support to countries and regions with a suite
of technical assistance and capacity-building activities.

9
A/13/4

Targeted work on project facilitation and investment, specifically aimed at overcoming the bottlenecks
in developing countries, has filled an important gap in the Agency’s ability to support the countries in
this last step and bring the learnings to the global audience. IRENA’s real-life, practical application of
knowledge will be even more critical in the next five years, as countries implement their energy
strategies, plans and NDCs, with wide-reaching and systemic effects. IRENA will draw on its work
and expertise on the whole energy transition cycle to enable Members to benefit from diverse
experiences, latest innovations, and best practices. Further, this 360-degree approach will also allow
the Agency and its Members to continuously learn and benefit from the collective effort and fully
realise the value of international cooperation.

Maintaining excellence in knowledge is the bedrock of IRENA’s credibility and authority, and practical
application of this knowledge is the priority for the next strategic cycle. Given the global Membership,
taking the regional approach is deemed not only efficient but also unique to IRENA as other agencies
working on energy transitions do not have comparable levels of access to, and ownership by countries.
At the same time, country level work remains essential, especially with LDCs and SIDS who
significantly rely on IRENA’s expert support. IRENA’s shift toward inclusion and partnerships will
remain important given the need to accelerate implementation, and the growing number of actors in
the energy transitions space. The Agency should use its mandate to mobilise and convene other energy
stakeholders to maximise collective impact on the ground, rally support around gaps and
opportunities, and promote efficiencies and complementarity of effort.

What is new in the Medium-term Strategy 2023-2027

• Focus on systemic changes in energy and beyond

• Greater focus on access and equality
• Substantive additions of interaction between renewables and energy security and
resilience
• An additional pillar nuancing regional and country level work
• 360° approach to programme

IV. Mission Statement and Strategic Objectives

For the next five years, the following mission will guide the Agency’s work:

IRENA will take the leading role in accelerating the global, renewables-based energy
transition to fight climate change, enhance human welfare and drive an urgent and
systemic shift for increased energy access, reduced inequalities, improved energy
security, and prosperous and resilient economies and societies.

This mission is reflected in five strategic objectives that will give orientation to successive
programmatic cycles, where they will be translated into action.

10
 A/13/4

IRENA will work to:

• Provide thought leadership and authoritative knowledge, data and analyses on all
aspects of the energy transition and its impacts at global, regional, national and
sectoral levels
• Galvanise international collaboration and provide an inclusive platform for all
stakeholders to foster targeted action, alignment of activities and knowledge-
sharing for impact on the ground
• Pursue excellence in renewables innovation, development and deployment and
promote practical application of knowledge for systemic change
• Assist regional and country-level decision-making and support implementation
strategies to reduce global emissions, adapt to climate change, and improve
energy access, security and affordability for sustainable development
• Facilitate the development of project pipelines and channeling investment
toward renewables-based energy systems in developing countries.

IRENA Theory of Change

The IRENA Theory of Change (Figure 1) is an overarching view of the results that the Agency seeks
to achieve to contribute to the global climate and development agenda. It depicts the link between the
Agency’s activities and outputs and the achievement of the long-term climate and development goals,
so that they are more fully understood. The Theory of Change illustrates IRENA’s sphere of control
and accountability as well as the outcomes that it seeks to influence. It also identifies the enablers,
which are the pillars upon which IRENA's ability to deliver is built.

11
A/13/4
Figure 1: IRENA Theory of Change
 A/13/4

1. Centre of Excellence for the Energy Transition

Objective: Provide thought leadership and authoritative knowledge, data and analyses on all aspects of
the energy transition and its impacts at global, regional, national and sectoral levels;

The energy transition is entering a new phase and the next five years is set to be a period of rapid
change and unpredictability. An important task will be to keep sight of the medium and long-term
goals and objectives, while tackling short-term priorities. IRENA will continue to identify transition
pathways and monitor progress at different levels to provide to its Members the necessary granularity
and nuance for evidence-based policymaking. Within the framework of WETO, and guided by the
Membership, work should focus on priorities across all sectors (electricity and end-use), as well as
analyses of the socio-economic, environmental, and geopolitical aspects of the energy transition.
IRENA has already commenced work on human welfare included in WETO, to have a deeper
understanding of the structural changes and progress in the sustainable development agenda.
Given the structural and systemic impacts of the energy transition, these aspects will be broadened
and deepened. This work will be particularly relevant to the ongoing policy evolution on just and
inclusive transitions, sustainable industrialisation and distributional aspects.

As requested by Members, IRENA will also provide thought leadership in clarifying the links and
impacts of renewables on energy security. In this regard, several topical priorities will remain, including
supply chains, critical materials and hydrogen, as well as considerations such as digitalisation, cyber
security, climate impacts and supply-demand dynamics. The institutional focus on energy access will
be expanded to provide deeper insights and evidence on how the renewables-based transitions can
accelerate progress toward universal access by 2030. Insights into nexus issues across areas such as
education, food, gender, health, and water will also be examined, given their transformational potential
and importance for economic and social resilience.

2. International Collaboration and Network Hub

Objective: Galvanise international collaboration and provide an inclusive platform for all stakeholders to
foster targeted action, alignment of activities and knowledge-sharing for impact on the ground;

IRENA’s global Membership, broad reach, and access to the vast expertise contained by its Members
are recognised as key advantages compared to other organisations operating in the energy field.
IRENA has proven to be an able convener of Members and stakeholders, including the private sector,
international and regional organisations, academia, research institutions, and others while maintaining
focus, impartiality, and independence.
In this context, several Collaborative Frameworks have been established to promote engagement,
facilitate peer-to-peer exchange, and enrich programmatic output. These will be further evolved to tap
into the abundance of knowledge that exists in IRENA’s Membership and foster a sense of ownership
as well as with other stakeholders, where appropriate.

13
A/13/4
IRENA will also harness its Governing Body Meetings and Global High-Level Forum on Energy
Transition to promote international cooperation and multilateralism. The Agency will innovate to
provide rich content and a dynamic setting for these regular meetings so they can become global
touchstones to assess progress and coalesce action around priority areas. Moreover, given that IRENA
is not an implementing agency, it is essential to maintain strong links with those operating on the
ground to ensure the lasting impact of its programmatic activities.
The work ahead will also require the greater inclusion of groups that have a special stake in shaping
the energy transitions, such as youth, labour unions, parliamentarians, and community representatives.
IRENA will seek their input and participation in the Agency’s processes and programmatic activities,
to include diverse voices as a critical input to acceleration of energy transitions worldwide.
As the pace of change increases, capturing experiences and best practice is even more critical. IRENA,
with its global reach, will become the repository of this information to make it a public good for the
benefit of all. Where possible and appropriate, IRENA will seek synergies and leverage the work of
others to maximise the effect of its resources and avoid duplication of effort.

3. Global Voice for Renewables

Objective: Pursue excellence in renewables innovation, development and deployment and promote practical
application of knowledge for systemic change;

IRENA has a significant comparative advantage in the renewable sector and retaining its excellence
and a leadership role will be of the essence as the pace of transition accelerates. While the previous
strategic period focused on mainstreaming renewables into the global energy transitions discourse, the
coming years will require not only a holistic approach to transitions, but also granular work on
renewables-related elements of the systemic shifts. IRENA will therefore retain its leadership on
renewables by staying abreast of key developments and innovations, especially with regard to enabling
aspects such as grids, storage, flexibility solutions, power-to-X, electrification and direct application in
end-uses, supply chains, green hydrogen, and alike. In line with the current practice, this work will
spread across technology, policy, and markets to offer advanced insights and practical support for
increasing the share of renewables.

Moreover, the Agency will ramp up its communication efforts to strategically position renewables-
based energy transitions at the forefront, while underscoring the need for increased cooperation to
accelerate a just and inclusive transition in every nation. IRENA has the mandate, legitimacy, and
authority to be the global voice on renewable energy. Using targeted media engagement, social media
outreach, stirring content, improved stakeholder relations, a visually engaging website and unique
branding, the Agency will tailor clear messaging revealing the scale of the opportunities and challenges,
and the depth and breadth of IRENA’s contribution to the global effort on sustainable future.
In reaching key audiences, IRENA will demonstrate that renewables are a strategic and cost-effective
investment in resilience, energy security and socio-economic prosperity.

14
 A/13/4

4. Support for Regions and Countries

Objective: Assist regional and country-level decision-making and support implementation strategies to
reduce global emissions, adapt to climate change, and improve energy access, security and affordability for
sustainable development.

IRENA will consolidate country and regional analytical and advisory work under a dedicated strategic
pillar for greater alignment and coherence of programmatic activities. The energy transition pathways
for countries and regions vary depending on circumstances and priorities, starting conditions, and
capabilities. As energy transitions accelerate in different parts of the world, IRENA will work with
countries to help ensure that all Members have access to knowledge and practical support to keep
pace and are not left behind. IRENA will provide capacity building, technical assistance, and
investment advice drawing from the Agency’s established areas of expertise related to data collection,
policy and regulation, Renewable Readiness Assessments, outlooks, and long-term plans, along with
the support for integration of Variable Renewable Energy and system flexibility. Given the
multifaceted nature of the energy transition, it is important to support Members in maximising its
benefits. To this end, IRENA will continue to provide capacity building and technical assistance on
the development and implementation of NDCs and long-term strategies. With the raising institutional
focus on access, resilience, and human wellbeing, and the 2030 timeline fast approaching, support to
African countries, Least Developed Countries (LDCs) and Small Island Developing States (SIDS), will
continue to be a priority. IRENA’s work will include direct support but also a greater effort to partner
with implementing and financing entities to ensure complementarity, continuation, and impact on the
ground.

Regional approaches are a crucial element for bringing about the necessary flexibilities, efficiencies,
and economies of scale for renewables-based transitions. Adopting an integrated approach to
transboundary issues such as energy trade, regulatory frameworks and policies, and regional
infrastructure allows countries to leverage regional resources and maximise local capabilities.
Given its global Membership, IRENA’s comparative advantage rests in the ability to lead regional
energy transition efforts. Regional frameworks can also promote competitiveness in the climate-safe
global economy and support emerging value chains such as for green hydrogen. IRENA will therefore
pursue Regional Energy Transition Outlooks (RETOs) to provide coherent technology, policy and
socio-economic frameworks for impactful investment that creates jobs, industrial value additions, and
inclusive and healthy societies. RETOs will be developed also as an effective tool to support the
implementation of regional commitments and development strategies already in place. The Agency
should also pursue new and practical avenues to accelerate regional transitions tailored to
respective circumstances.

5. Facilitating Projects and Mobilising Capital

Objective: Facilitate the development of project pipelines and channeling investment toward renewables-
based energy systems in developing countries.

Decisions on the adoption of renewable technologies and solutions to meet the energy needs of
developing countries are often dictated – or restricted – by well-known barriers to financing and
investment. IRENA is utilising its knowledge, expertise, and professional relationships to facilitate the

15
A/13/4
creation of project pipelines and access to finance.
The Agency will have to maintain even stronger relationships with multilateral development banks,
funds, and the private sector to channel the necessary investment toward renewables in the coming
period. IRENA will thus leverage instruments, such as the Climate Investment Platform (CIP),
Investment Forums following their successful launch in Indonesia, and the Energy Transition
Accelerator Financing (ETAF) Platform, to enhance the flow of financial resources to emerging
economies and scale up the development of renewable energy projects. Special focus will be placed to
projects that have a systemic impact and areas that need help such as proof of concept and crowding
in the private sector. IRENA’s experience in these areas will be invaluable for better understanding
systemic and context relevant challenges and bottlenecks. Simultaneously, it will close the feedback
loop and pass this information to IRENA’s analytical work, including on policy, finance, and
investment, to bring greater awareness and deeper knowledge on how to ensure capital flows to
developing countries.

Effectiveness and Impact

Providing added value is of utmost importance in today’s challenging global context, where varied
agendas compete for limited resources. The clarity of IRENA’s purpose, timeliness and strength of
its mandate, and global Membership are an asset in the global energy landscape. The Agency must
remain alert and agile, while adapting its organisational structure and strengthening institutional
capacities to respond to the growing needs and increasing complexities of the sector. This is especially
important in view of multiple players entering the renewables space and starting to work in the areas
that IRENA pioneered over the last decade. This is a welcome trend that also calls for the Agency to
stay a step ahead in leading the global transitions, setting the new trends and strategically tapping into
the immense knowledge and experience of its global Membership.

In the 2023-2027 period, the Agency will continue to enhance its institutional approaches, tools, and
mechanisms to continuously improve its overall outputs and delivery with sharply articulated
programmatic activities. This will include strategies to track the discernible and traceable impact of
IRENA’s actions to the benefit of Members. In this regard, Member support will be critical, as the
Agency depends on their feedback and active guidance to understand how the programmatic outputs
are used at the country level, and where the gaps exist. Aligned with its mandate and functions, IRENA
will:
a. Remain focused on its core functions, creating a seamless feedback loop where
knowledge and support functions are interacting and mutually reinforcing (Figure 2);
b. Build on synergies and cooperation, avoiding duplication, redundancies, and marginal
endeavours; and
c. Systematically review and evaluate its work to demonstrate impact and strengthen
programme delivery.

16
 A/13/4

Figure 2: IRENA Medium-term Strategy 2023-2027

Resource base

The ability to deliver impactful results hinges upon a predictable and sustained resource base.
As envisaged by the IRENA Statute, the core budget provides a stable source of funding, but these
resources alone are not sufficient to meet Members’ ambition for the Agency. Therefore,
diversification of the resource base and the growth of non-core resources has become an integral part
of IRENA’s programming approach, as requested by Members in the previous MTS cycle. The trends
in voluntary funding to-date have had positive effects on programme delivery and some key
programmatic activities have grown through such support. Voluntary contributions have also
provided a boost to the Agency’s impact at critical junctions.

The key objective remains securing a sustainable balance between core budget and voluntary
contributions and other resources, in a way that programme expansion and delivery capacity are
adequately ensured. The establishment of the Renewables Acceleration Fund, envisaged in the
2022-2023 programmatic cycle can play a catalytic role in this regard. The establishment of the Fund
will seek to expand the range of funding sources, including from other international organisations,
philanthropies, and the private sector. Such a fund will help secure a multi-year resource base
supporting successive programmatic cycles aligned with the MTS priorities and direction.

17
A/13/4
To ensure coherence of delivery and sustainability of effort, it is essential that all voluntary and other
resources complement core programme priorities and contribute to meeting agreed-upon strategic
objectives. Therefore, IRENA will continue to provide a transparent overview of the use of voluntary
contributions, along with funding needs and priorities to orientate Members’ consideration of
additional contributions and facilitate longer-term planning of projects and activities. In addition to
voluntary contributions, this will include a proactive pursuit of secondment and loan arrangements,
shared implementation of projects and activities, and in-kind contribution of expert and other
resources. To this end, the alignment of non-core resources with the Agency’s strategic direction,
efficient use of voluntary resources, and compliance with donor conditions and requirements will be
paramount. An integral part of the resource diversification strategy will be accessing private finance,
while ensuring that these resources remain subject to transparent criteria and a strict set of guidelines
that safeguard IRENA’s independence and objectivity and maintain trust.

Attracting, development and retaining of highly qualified staff is central to the Agency’s success.
IRENA has undertaken significant efforts on aligning human resource policies and processes more
closely with the Agency’s strategic and programmatic objectives. The coming period will be complex,
given the growing number of institutions dealing with renewables, many of which have more attractive
conditions of service and room for career development and growth. With this reality in mind, the
Agency will take a comprehensive approach to its workforce planning and development to ensure not
only effective programme delivery, but also the long-term stability of the Agency.

18