By September 25, 2015 Read More →

Asian Development Bank ups support for clean energy in developing countries

Asian Development Bank dedicates $4B to lowering GHG emissions

Asian Development Bank

Monies committed by the Asian Development Bank will go towards fighting climate change in developing countries.  ADB photo.

MANILA, PHILIPPINES — The Asian Development Bank announced on Friday that in an effort to tackle climate change, it will double its annual climate financing to $6 billion by 2020.

President Takehiko Nakao says the news comes against a backdrop of a promise by developed countries to mobilize $100 billion every year from 2020 to counter climate change in developing countries.

Of the $6 billion, $4 billion will be dedicated to mitigation through scaling up support for renewable energy, energy efficiency, sustainable transport, and building smart cities. $2 billion will be for adaptation through more resilient infrastructure, climate-smart agriculture, and better preparation for climate-related disasters.

“World leaders gathering in New York this weekend will commit to achieving 17 historic Sustainable Development Goals (SDGs) by 2030 and ADB stands ready to be an important part of global efforts to finance these goals,” Mr. Nakao said. “Nowhere is tackling climate change more critical than in Asia and the Pacific, where rising sea levels, melting glaciers, and weather extremes like floods and droughts are damaging livelihoods and taking far too many lives.”

SDG 13 specifically calls for urgent action to combat climate change and its impacts. Also, mitigating and adapting to a changing climate are key to most of the other goals including ending poverty, achieving food and water security, providing access to energy, and building  sustainable cities.

Later this year, at the Conference of the Parties to the United Nations Framework Convention on Climate Change (COP21) in Paris, the international community is expected to finalize a new global climate agreement and the way to finance it.

In addition to scaling up its own climate financing, ADB says it will continue to explore new and innovative co-financing opportunities with public and private partners.  As part of that goal, ADB is working to mobilize concessional financing from the Green Climate Fund, which is becoming operational, for ADB’s adaptation projects in poorer countries.  According to the bank, it will tap institutional investment through private equity funds like the ADB-sponsored Asia Climate Partners.  ADB says it will also issue more green bonds as an important source of funding for its climate operations.

Mr. Nakao said technology can play a key role in tackling climate change.  He added that ADB will adjust its procurement systems in order to facilitate the integration of cleaner and more advanced technology into its projects.

ADB will also strengthen partnerships with centers of excellence across the world to provide its member countries with cutting-edge knowledge and expertise on climate change.


Posted in: Energy Financial

Comments are closed.