The $8 billion Climate Investment Funds (CIF) accelerates climate action by empowering transformations in clean technology, energy access, climate resilience, and sustainable forests in developing and middle income countries. The CIF’s large-scale, low-cost, long-term financing lowers the risk and cost of climate financing. It tests new business models, builds track records in unproven markets, and boosts investor confidence to unlock additional sources of finance.
To increase the scale of climate change finance and support low-carbon, climate resilient growth in developing countries. The Green Climate Fund will finance projects and programmes in a range of developing countries, including the poorest and most vulnerable, through a range of financial instruments and terms designed to meet country priorities and needs. It will also leverage private finance in support of low-carbon, climate resilient development.
The NAMA Facility is targeted fund set up in 2012 by Germany and the UK to help finance measures that tackle and shift challenging sectors within a country’s climate mitigation action plans. Projects in these plans (their Nationally Appropriate Mitigation Actions Plans) funded by the NAMA Facility offer good potential for replication and are important building blocks towards implementing ambitious NDCs. The NAMA Facility is unique within the ICF for its open access competitive structure and projects are wide ranging in terms type (energy efficiency, transport, agriculture, renewables, waste) and geography (Asia, Africa and South and Central America) and noticeable for high level of country support.
The FCPF-C is a World Bank administered fund that is helping to build long-term reforms in forested countries that ultimately align incentives clearly towards sustainable forest management.
As core part of our Climate Partnerships strategy, SIP is a UK-branded private finance flagship programme in which ICF provides concessional financing for sustainable infrastructure projects. We are currently working with Inter-American Development Bank to focus on priority climate partnership countries in Latin America (Brazil, Colombia, Mexico & Peru).
The REDD Early Movers Programme is a global programme designed to reward pioneers in forest conservation and climate protection, providing conditional payments to countries or regions upon verified emission reductions from deforestation.
The project aims to raise the level of technical understanding of Carbon Capture, Usage and Storage (CCUS) within key developing countries and emerging economies with high emissions (such as South Africa, Mexico, Indonesia and China), leading to the establishment of the necessary policy frameworks and incentive structures to support commercial, large-scale CCUS demonstration and ultimately accelerate the deployment of CCUS.
UK is providing funding to a major new programme (Market Accelerator for Green Construction) with the International Finance Corporation (IFC) to build demonstration portfolios of green construction at scale, reducing emissions, mobilising new finance and inspiring markets to shift towards the new energy efficient buildings of the future.
The Transformative Carbon Asset Facility will target sector or policy wide programmes where the implementing country is planning to take climate mitigation action. This could be via regulations, fiscal policies, feed-in-tariff or incentives. As long as these plans are in line with the TCAF programme selection criteria, in collaboration with the implementing entity (normally a Government ministry) TCAF will design a methodology that pays for the verified emissions reductions of the programme above its intended ambition, giving targeted support to unlock the barriers to allow the increased ambition to be realised.
The Global Climate Partnership Fund finances energy efficiency and small scale renewable energy projects in developing countries whilst giving Technical Assistance to build the green lending capacity of local banks and reducing investment risk.
It has a mandate to make equity investments into renewable energy and energy efficiency projects in India and Sub-Saharan Africa. UKCI aims to demonstrate that investments in these sectors and countries can be profitable as well as sustainable, crowding in private capital.
CP3 aims to demonstrate that climate friendly investments in developing countries, including in renewable energy, water, energy efficiency and forestry are not only ethically right but also commercially viable. It aims to attract new forms of finance such as pension funds and sovereign wealth funds into these areas by creating two commercial private equity funds of funds which will invest in subfunds and projects in developing countries, creating track records of investment performance which should in turn encourage further investments and accelerate the growth of investment in climate.
The Fund will provide technical assistance for REDD+ implementation and measures which improve the enabling environment for private sector investment; offer a finance for Verified Emission Reductions associated with avoided deforestation; and secures private sector finance, for example through purchasing commitments for sustainable commodities produced in the jurisdiction (sometimes called ‘offtaker agreements’). Each country programme under the BioCarbon Fund will operate at the jurisdiction-scale, that is within a landscape-wide area that is governed by a single political jurisdiction.
The REPP programme provides support to private sector developers of small scale renewable energy projects in sub-Saharan Africa. REPP supports solar, hydro, biomass, biogas, geothermal, and wind projects up to 25MW installed capacity (up to 50MW for wind). REPP provides technical assistance direct to project developers, provides pre-construction and bridging loans, post-construction financing, and equity financing.
Ci-Dev will invest in low carbon technologies that deliver community and household level benefits, particularly focused on improving poor peoples’ access to clean energy. By successfully demonstrating the ability of carbon finance to deliver low carbon development in least developed countries Ci-Dev hopes to increase future carbon finance flows to these countries.
Supports small-scale on-grid renewable energy projects in Uganda in an effort to both avoid an energy shortfall and promote private sector investment. Aims to demonstrate to developing countries that an effective regulatory regime and cost-reflective tariffs will bring in investment in renewables.
The World Bank’s Energy Sector Management Assistance Programme (ESMAP) has developed an Energy Transitions programme that targets six Asian countries (China, India, Indonesia, the Philippines, Pakistan and Vietnam) where the most new, unabated coal-fired power generation is due to begin operation (from 2018 to 2020). ESMAP is influential in advising countries on the clean energy transition, with significant demand for its technical assistance.
The fund supports the development of renewable energy and energy efficiency projects in developing countries in the Asia-Pacific region, in order to contribute to the mitigation of climate change impacts in those countries by reducing their carbon emissions. The fund focuses specifically on technical assistance, which involves building the knowledge and skills base of the industries and governments in the supported countries, as well as undertaking feasibility studies of potential low carbon energy projects.
Designed to support the growth of low carbon agriculture in Colombia by gathering evidence on whether introducing Silvopastoral Systems to cattle ranching can help reduce deforestation and alleviate poverty through the increase of milk and beef production and the provision of alternative income through payments for ecosystem services. Silvopastoral Systems are agricultural techniques which improve and convert cattle grazing land into a richer environment by planting trees, shrubs, fodder crops and living fences and conserving existing forest.
UK funding to PMEH specifically supports support 1) procurement of air quality monitoring equipment in seven middle-income countries, to provide a more accurate picture of the scale and structure of air pollution and 2) establish and build on existing digital platforms for the dissemination of knowledge in relation to air pollution, including both the level of pollution but also policy solutions.