New Delhi, March 10, 2008—IFC,
a member of the World Bank Group, the Bureau of Energy Efficiency, and
the Alliance to Save Energy have come together to launch a program that
will facilitate market transformation and replicate municipal energy efficiency
projects on a large scale in India.
As part of the program, the institutions
have jointly developed the Manual for the Development of Municipal Energy
Efficiency Projects in India to help municipalities, energy service
companies, other energy efficiency providers, and financial institutions.
Through cost-effective actions, municipalities
can bring about significant savings in energy, resulting in financial,
environmental, and social benefits for citizens.
Commending the manual, Dr. Ajay Mathur,
Director General for the Bureau of Energy Efficiency, explained, “Energy
efficiency interventions in sectors like power, agriculture, municipalities,
commercial buildings, and transportation are essential to mitigating emissions.
We are happy to be a part of this forward-looking initiative.” He added
that reducing energy expenditures by urban-local bodies can translate to
substantial energy savings and help avoid having to augment capacity.
Paolo M. Martelli, IFC Regional Director
for South Asia, added, “Quality urban infrastructure is critical to improving
people’s lives. Adopting municipal energy efficiency is one of the few
cost-effective options available for meeting growing demand for vital services
like electricity, water, and wastewater treatment, as well as for optimizing
the use of scarce resources.” This initiative is an important fit for
IFC, which has made climate mitigation and adaptation a strategic priority
globally.
Sudha Setty, Senior Program Manager,
Alliance to Save Energy, said, “Energy audits in India have identified
that energy represents 40 to 60 percent of operating expenses for supplying
water, and that by becoming energy efficient, an urban local body can save
a minimum of 25 to 40 percent of this cost.”
The Bureau of Energy Efficiency has
endorsed the manual as a standard reference document for urban local bodies
and other stakeholders. It will help promote the implementation of municipal
energy efficiency programs in water supply and sewerage systems, street
lighting, and municipal buildings. The manual can be beneficial to municipalities
and utilities when designing bankable projects. It can also show energy
service companies how to adapt their industrial business model to the municipal
sector. It will provide financial institutions with a comprehensive summary
of risk-reducing tools for energy efficiency processes and projects that
are not part of their usual asset-based financing portfolio.
About IFC
IFC, a member of the World Bank Group,
fosters sustainable economic growth in developing countries by financing
private sector investment, mobilizing private capital in local and international
financial markets, and providing advisory and risk mitigation services
to businesses and governments. IFC’s vision is that people should have
the opportunity to escape poverty and improve their lives. In FY07, IFC
committed $8.2 billion and mobilized an additional $3.9 billion through
syndications and structured finance for 299 investments in 69 developing
countries. IFC also provided advisory services in 97 countries. For more
information, visit ww.ifc.org.
For more information about IFC’s partners,
please visit:
Bureau of Energy Efficiency, www.bee-india.nic.in
Alliance to Save Energy, www.ase.org