Access to energy is a fundamental building block of economic development, yet many developing country power sectors face acute challenges with insufficient and expensive generation compounded by limited and ageing distribution infrastructure. As a result, over 1.6 billion people worldwide live without access to electricity and many more have to make do with expensive and unreliable service. Concerns about global climate change and energy security have also increased the demand for renewable energy.
IFC, a leader in emerging market renewable energy finance, is uniquely positioned to help countries transition to a low carbon future. As part of a wider program to help mitigate climate change, IFC is investing in and providing advisory services to private enterprises in the renewable energy sector, throughout emerging markets, and across all parts of the supply chain.
In FY’10, renewable energy projects represented nearly 70% of IFC’s commitments in the power sector, in terms of number of investments and dollars invested. Since 2005, IFC has financed more than $2.3 billion in renewable energy projects and betweenFY’09-11, it has committed to providing a further $3 billion in financing for renewable energy and energy efficiency projects. IFC’s renewable energy investment and advisory support spans the globe, from Africa, Asia, Eastern and Southern Europe, Latin America and Middle East and North Africa. And since different technologies show promise in different parts of the world, IFC’s activities support all proven renewable technologies including biomass, geothermal, hydro, solar and wind.