Abu Dhabi wins tussle for Irena HQ

The United Arab Emirates (UAE) has won the tug of war with Germany to home the headquarters of the new International Renewable Energy Agency (Irena), after it was today announced that the agency's interim HQ will be established at Masdar City in Abu Dhabi.

Under the deal, the other frontrunner to house the HQ, Bonn in Germany, will host Irena's centre of technology and innovation, while Vienna will provide a home for the agency's Liaison Office, tasked to manage co-operation with other energy and renewables bodies.

In a statement released at a meeting of the new agency in Sharm El Sheikh, Egypt, Irena attempted to play down talks of a rift between Germany and the UAE, arguing that the allocation of the three new offices "reflects the spirit of co-operation that is needed for Irena to grow into a strong and effective organisation".

However, the decision is not without controversy after France signalled that it would support the UAE's proposals to locate the HQ at rent-free offices in its new Masdar low carbon project.

Supporters of the UAE's proposals have said it is better placed to manage the rollout of renewable energy technologies in the developing world than Germany, and that the new zero-carbon Masdar development represents the perfect home for the group.

But critics have pointed to France's recent nuclear co-operation deal with the UAE, suggesting that the French government is quietly lobbying for Irena's remit to be extended to cover "low carbon" power, including nuclear.

Moreover, Germany originally proposed the launch of an international agency dedicated to renewable energy and, privately at least, German officials will be frustrated that they have missed out on the chance to host its HQ.

The decision comes as Irena also announced its ranks have increased to more than 130 members over the last few days after a raft of new countries, including the UK, US and Australia, signed up to the group.