12. International Renewable Energy

International Renewable Energy Projects Supported by the World Bank

The Global Environmental Facility (GEF) is a financial mechanism created in 1991 that provides grant and concessional funds to recipient countries for projects and activities that aim to protect the global environment.^a^ It is jointly implemented by the United Nations Development Program, the United Nations Environment Program, and the World Bank.

In March 1994, some 73 participating governments successfully concluded negotiations to restructure the GEF and replenish its Core Fund with $2 billion over a 3-year period.^b^ A total of 147 projects have been funded at a total of about $870 million, allocated as follows: 46 percent for biodiversity, 14 percent for international waters,^c^ 33 percent for climate change, 5 percent for ozone, and 2 percent for other projects. The following is an example of a GEF project:

Outside the GEF, the World Bank's International Bank for Reconstruction and Development (IBRD) has approved the following projects for fiscal year (FY) 1994:^d^

Renewable energy also has begun to play a role in the energy projects funded by the International Financial Corporation (IFC), a member of the World Bank group. For FY 1994, the IFC approved $2.5 billion for new projects in 65 countries as part of $4.29 billion in total financing■of which energy accounted for $271 million¯including syndications and underwriting on the projects, the total worth of which is $15.8 billion.^e^ For FY 1995, the IFC approved a total of 183 projects totaling $2.9 billion.^f^ IFC projects approved for FY 1994 include the following:g

    aUnless otherwise noted, the source for information in this section is personal communication between Maria Subiza, GEF Secretariat, and Gabriel Sanchez, Science Applications International Corporation, on September 8, 1995.
    bAll funding and cost values are shown in year dollars in which funds were obligated.
    cProjects on saltwater or freshwater resources that span more than one country.
    d"Renewables Getting More Attention from World Bank, IFC, ESMAP," Solar Letter (September 20, 1994), pp. 240-241.
    eInternational Financial Corporation, Annual Report 1994.
    fInternational Financial Corporation, Annual Report 1995.
    g"Renewables Getting More Attention from World Bank, IFC, ESMAP," Solar Letter (September 20, 1994), pp. 240-241.