The recently launched World Bank Group’s Climate Change Action Plan states it will assist countries in meeting their Paris COP21 pledges – including renewable energy commitments.
Under the Plan, the body intends doubling its current contributions to global renewable energy capacity, with a goal of seeing 30 gigawatts of renewables added by 2020.
“The World Bank is in a unique position to work with countries to develop the solutions that build their resilience to climate impacts, protect their people and environment, and reduce their emissions,” said Laura Tuck, World Bank Group’s vice president for Sustainable Development.
The World Bank says it will “de-risk” renewable energy investments through policy advice, regulatory reforms, direct investment funding and guarantees. In this regard it has its sights set on a cumulative target of 20GW in renewable energy capacity over 5 years.
The World Bank will also assist the growth of renewables by supporting related infrastructure and systems, with view to an additional 10GW of renewables being integrated into the grid over the next 5 years. These projects would include investments in smart grids, hydro and battery storage plus natural gas generation to support renewable energy intermittency.
The Plan states WBG will have a special focus on bringing in private sector funding for clean energy projects and aims to mobilize USD $25 billion of commercial funds during the 2016 financial year. If successful, this will represent more than double the amount of funding mobilized over the last 5 year period.
Part of the plan sees International Finance Corporation (IFC) and the Multilateral Investment Guarantee Agency (MIGA) supporting the growth of large hydropower and grid connected wind energy and solar power.
The Action Plan extends beyond just renewables and reducing emissions – it will also support building resilience against climate-related shocks, such as drought and flooding, on agriculture. Climate-smart agriculture investment plans will be developed for at least 40 countries, with all agriculture lending to be climate-smart by 2020.
“With the Action Plan, we will be helping countries to integrate climate change into their national policies, planning and budgeting; and to mobilize financing and use it for maximum impact,” said John Roome, Senior Director for Climate Change at the World Bank Group.
World Bank Group’s Climate Change Action Plan can be viewed in full here (PDF).
