Publication: Assessing the Investment Climate for Climate Investments : A Comparative Framework for Clean Energy Investments in South Asia in a Global Context
Date
2012-09
ISSN
Published
2012-09
Author(s)
Mani, Muthukumara S.
Abstract
One of the strong messages that came out
of the recent United Nations Climate Change conference in
Durban was that the private sector has to play an important
role if we are to globally move toward a low carbon, climate
resilient -- or "climate compatible" -- future.
However, private investment will only flow at the scale and
pace necessary if it is supported by clear, credible, and
long-term policy frameworks that shift the risk-reward
balance in favor of less carbon-intensive investment. The
private sector also needs information on where to invest in
clean energy in emerging markets, and it needs policy
support to lower investment risk. Barriers to low carbon
investments often include unclear and inconsistent energy
policies, monopoly structures for existing producers,
stronger incentives for conventional energy than clean
energy, and a domestic financial sector not experienced in
new technologies. With the long-term goal of promoting and
accelerating the implementation of climate mitigation
technologies, this study aims to facilitate development of a
policy framework for promoting sustainable investment
climates for clean energy investments in South Asia and
elsewhere. A key aspect of the study is also the pilot
construction of the Climate Investment Readiness Index for
several countries. The index is a tool to objectively
evaluate the enabling environment for supporting private
sector investment in select climate mitigation or low carbon technologies.
Citation
“Mani, Muthukumara S.. 2012. Assessing the Investment Climate for Climate Investments : A Comparative Framework for Clean Energy Investments in South Asia in a Global Context. Policy Research Working Paper; No. 6211. © World Bank, Washington, DC. http://openknowledge.worldbank.org/entities/publication/eeca879d-b41d-5427-8fa2-afda95786518 License: CC BY 3.0 IGO.”
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