Wednesday, March 23, 2016

How climate finance can be transformational factor towards low-carbon economy


A working paper, published by World Resource Institute, examines the most critical elements for transformation by reviewing 20 case studies from both developed and developing countries and across all regions. A transformation is defined as a long-term fundamental shift in a system, whether political, economic, social, or biological.
Low-carbon energy transformation should have three characteristics or criteria: large magnitude impact, non-linear change, and sustained & long term. Authors emphasise eight factors that can help facilitate transformational change in low-carbon energy development, including national ownership and stakeholder engagement, alignment of financial incentives to address market distortions, investment in technology and innovation, and use of innovative financial instruments and arrange­ments to catalyze investments. Read more at http://www.wri.org/