A New Approach for Pre-Financing Emission Reduction Purchase Agreements for Household Energy Access Programs

2016

A New Approach for Pre-Financing Emission Reduction Purchase Agreements for Household Energy Access Programs

Resolving an issue of pre-financing climate payments by private lenders and investors will play a key role in unlocking the full potential of the results-based climate finance (RBCF), helping avoid the shortcomings of the market mechanisms under the Kyoto Protocol. Appropriately designed pilot facilities are needed to catalyze the required learning both on the private and public side to ensure that RBCF achieves its full potential.