1 July 2016 – In its first round of approvals this year, the Green Climate Fund approved funding for Energy Savings Insurance (ESI).
The Global Innovation Lab for Climate Finance (the Lab) endorsed Energy Saving Insurance in 2015. It has been developed and led by the Inter-American Development Bank (IDB), with funding to-date from the Danish government, and it is currently operating in Mexico and Colombia. The instrument guarantees the financial savings of energy efficiency projects, helping small and medium-sized businesses make investments in more efficient practices.
The Green Climate Fund financing will allow IDB to partner with BANDESAL, the national development bank of El Salvador, and expand the Energy Savings Insurance program to over 500 small and medium-sized enterprises. IDB estimates this expansion will deliver an additional 560,000 tCO2eq in emission reductions over a 15-year period.
More information:
The Global Innovation Lab for Climate Finance identifies, develops, and pilots cutting edge climate finance instruments that can drive billions of dollars of private investment in climate change mitigation and adaptation in developing countries. Founded in 2014, The Lab has been funded by the UK Department of Energy & Climate Change (DECC), the German Federal Ministry for the Environment, Nature Conservation, Building and Nuclear Safety (BMUB), the U.S. Department of State, the Netherlands Ministry for Foreign Affairs, Bloomberg Philanthropies, and The Rockefeller Foundation. Climate Policy Initiative serves as The Lab Secretariat.
CONTACT:
Elysha Rom-Povolo – Lab Communications Lead
Maria Netto – Capital Markets and Financial Institutions Division, IDB
