Publication: Results-Based Financing to Promote Clean Stoves: Initial Lessons from Pilots in China and Indonesia

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Zhang, Yabei
Adams, Norma
Past market failures to deliver clean cooking and heating solutions, especially to low-income households, suggest the continued need for subsidies if universal access is to be achieved. To succeed, however, subsidies must be well-targeted, have low potential for “leakage,” and be calibrated to avoid destroying commercial incentives and discipline. Results-based financing, which disburses public resources against demonstrated results, can be used to mobilizeand sustain private-sector participation in scaling up access to clean stoves. Pilots implementing this approach under the World Banks Clean Stove Initiative show promising results.
Zhang, Yabei; Adams, Norma. 2015. Results-Based Financing to Promote Clean Stoves: Initial Lessons from Pilots in China and Indonesia. Live Wire, 2015/46. © World Bank, Washington, DC. License: CC BY 3.0 IGO.
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