Climate change is one of the biggest challenges in development today. According to the World Development Report 2010, approximately 80 percent of the investment needed to stabilize the climate must come from the private sector. The Europe and Central Asia region is responsible for 10 percent of global emissions (three billion tons of CO2 per year), and it emits more greenhouse gas per unit of GDP than any other region. Outdated industrial technologies mean energy wastage and unnecessary fossil fuel use, leading to poor air and water quality.
To help the private sector address climate change, we promote climate-friendly investments in renewable energy, energy efficiency, and cleaner production technologies, all of which significantly reduce GHG. IFC’s major target for the ECA region is tackling climate change through an integrated investment and advisory platform. In fiscal 2014, we committed more than $500 million to climate-related investments in the region. Key examples include:
Helped broker a $350 million, 185 megawatt hydro power project in southwest Georgia, partnering with Clean Energy Invest and Tata Power. The new plant will increase the country's renewables production and generate 483 GWh of power per year, to export to Turkey and sell domestically in winter, when Georgia is energy deficient.
Boosted Albania's renewable energy production with a €106 million package for Kurum International, a leading iron and steel producer, to buy and rehabilitate four hydroelectric plants that will provide sustainable, cost-effective energy.