Representatives of 40 developing and industrialized countries agree to create the Climate Investment Funds, a pair of funds to help developing countries pilot low-emissions and climate-resilient development. “Rich and poor countries have come together to collectively match urgency with action,” said Gareth Thomas, Then Minister for Trade and Development for the United Kingdom.
“We think the CIFs will have a significant impact in generating even more financing for climate action,” said World Bank Group President Robert B. Zoellick. The two CIF funds, the Clean Technology Fund and the Strategic Climate Fund, will be administered through five multilateral development banks for quick and flexible implementation of country-led programs and investments.
Bangladesh, Bolivia, Cambodia, Mozambique, Nepal, Niger, Tajikistan and Zambia are invited to participate in the Pilot Program for Climate Resilience (PPCR) which will provide about US$500 million for integrating climate resilience in national development planning. “The developed countries are sending an important signal by providing these additional resources so that we may get started on this innovative programmatic approach to address climate resilience ” said Sami Sofan, Then Yemeni Co-Chair of the PPCR Sub-Committee.
Turkey receives financing for the country’s Private Sector Renewable Energy and Energy Efficiency Program and is the first to use resources from the newly established Clean Technology Fund. The main objective of Turkey’s project is to help increase privately owned and operated energy production from local renewable sources.
Six developing countries join five contributor countries on the governing body of the Forest Investment Program, a program of the Strategic Climate Fund. “This new program will provide much-needed upfront investment to developing countries and forest-dependent communities to help them prepare for and benefit from financial flows for the sustainable management of forests,” said Eduardo Saboia, who represented Brazil in the meetings.
Six African countries receive $1.1 billion in new financing for climate action. "The CIF support for Africa is coming at a critical time. Climate change has the potential to turn back the clock on hard won development gains across the continent,” said Katherine Sierra, Then Vice President of Sustainable Development at the World Bank.
The Clean Technology Fund approves $750 million to accelerate Concentrated Solar Power in Algeria, Egypt, Jordan, Morocco, and Tunisia. CTF's funds mobilize an additional $4.85 billion from other sources. “This endeavor is far-reaching with global objectives, implications, and potential impact,” said Shamshad Akhtar, World Bank Regional Vice President of the Middle East and North Africa.
Scaling up Renewable Energy in Low Income Countries, a targeted program under the Strategic Climate Fund, is launched in Copenhagen. It aims to demonstrate in a small number of low income countries how to initiate energy sector transformation by helping them take renewable energy solutions to a national, programmatic level.
Vietnam, the Philippines, and Thailand are awarded a total of $800 million for a range of innovative climate activities. "In supporting global efforts to reduce greenhouse gas emissions, these investments will contribute to increased economic efficiency and energy security," said Asian Development Bank President Haruhiko Kuroda.
The Clean Technology Fund endorses a $400 million plan to help transform Indonesia's use of renewable energy and nearly double geothermal power capacity. It is expected to mobilize an additional $2.7 billion from a range of other sources.
The Clean Technology Fund (CTF) endorses investment plans for Colombia, Indonesia, Kazakhstan and Ukraine, bringing the total number of plans funded by CTF to 13. The $4.3 billion of CTF financing is estimated to leverage an additional $36 billion from other sources.
As a sign of its rapid expansion, CIF endorses new pilot programs in 14 countries under the Strategic Climate Fund that will focus on renewable energy, sustainable forest management, and climate resilience.
Three countries, Niger, Tajikistan and Bangladesh, each receive $50 million in grants from CIFs to pilot climate resilience strategies. This is among the largest funding ever granted to countries for national-level adaptation to climate impacts.
With financing from CIFs, twenty developing countries announce plans to use large-scale renewables, particularly solar, wind and geothermal services, as a clean, reliable source of electricity for their citizens. Just weeks before the global climate negotiating session in Cancun, this trend away from high-emissions sources and toward clean energy sounds a positive note for real climate-smart development.
From the world’s largest solar power program in North Africa to the greening of Mexico’s buses, 45 developing countries are now taking climate action with the support of the $6.5 billion Climate Investment Funds.
“When we undertook this partnership with the multilateral banks two years ago, we wanted to address an urgent financing and knowledge gap that our client countries in the developing world were facing." said President Zoellick of the World Bank Group.
The Climate Investment Funds, in collaboration with the African Development Bank, are hosting the 2011 Partnership Forum in South Africa on June 24-25. The Partnership Forum provides a venue for dynamic dialogue among a range of stakeholders. Discussions will focus on lessons learned and how to scale up climate-smart investments.