Syndicate content

Water

Green Bonds Market Tops $20 Billion, Expands to New Issuers, Currencies & Structures

Heike Reichelt's picture

Also available in Français | Español | 中文

Annual Green Bonds Issuances


In January, World Bank Group President Jim Yong Kim urged the audience at the World Economic Forum in Davos to look closely at a young, promising form of finance for climate-smart development: green bonds. The green bond market had surpassed US$10 billion in new bonds during 2013. President Kim called for doubling that number by the UN Secretary-General's Climate Summit in September.

Just a few days ago—well ahead of the September summit—the market blew past the US$20 billion mark when the German development bank KfW issued a 1.5 billion Euro green bond to support its renewable energy program.

Talking to the UN Security Council about Climate Change

Rachel Kyte's picture

Flags at the United Nations. UN Photos

Last week, I had the honor of speaking to the UN Security Council about an increasingly dangerous threat facing cities and countries around the world, a threat that, more and more, is influencing everything that they and we do: climate change.

World Bank President Jim Kim was in Russia talking with G20 finance ministers about the same thing – the need to combat climate change. Every day, we’re hearing growing concerns from leaders around the world about climate change and its impact.

If we needed any reminder of the immediacy and the urgency of the situation, Australia Foreign Minister Bob Carr and our good friend President Tong of Kiribati spoke by video of the security implication of climate effects on the Pacific region. Perhaps most moving of all, Minister Tony deBrum from the Marshall Islands recounted how, 35 years ago, he had come to New York as part of a Marshall Islands delegation requesting the Security Council’s support for their independence. Now, when not independence but survival is at stake, he is told that this is not the Security Council’s function. He pointed to their ambassador to the UN and noted that her island, part of the Marshall Islands, no longer exists. The room was silent.

A view from the top: mountain forests

Klas Sander's picture

“Mountain Forests – roots to our future”. That was the headline for this year’s International Mountain Day celebrated by the UN every 11th of December since 2003. This year especially emphasized the interdisciplinary implications of sustainable mountain development. Whenever I have the opportunity to spend time in mountains, I realize how strongly the different elements in that landscape depend on each other and how fragile it all is. Earlier this year, for example, I had the privilege to visit the mountain gorillas in Rwanda. The experience of seeing these amazing animals in their natural habitat was incredible and it wasn’t just the climb up the Virunga Volcanoes that was breathtaking.

But the conservation of this ecosystem does not only provide benefits in terms of biodiversity conservation. Adjacent communities and the Government of Rwanda as a whole benefit from the income streams the tourism sector generates. Protecting the ecosystem also helps to assure sustainable flow of water from these “water towers” benefiting agriculture and lowland ecosystems alike. Not only are the Virunga gorillas and other mountain species threatened by climate change but there are also consequences for the communities that depend on them.

Covering 24% of the Earth’s surface, mountain ecosystems play a critical role in maintaining a sustainable flow of resources to the plains below. Mountains are the source for nearly 50% of the world’s freshwater for direct consumption, agriculture, and energy. Also, mountain tourism accounts for 15-20% of the world’s tourism industry, totaling an estimated $US70-90 billion per year. Mountain regions are also severely impacted by climate change, which only magnifies existing development challenges. Ecosystems will experience a vertical shift, as climates warm, generally flora and fauna will move towards higher altitudes. Fragile alpine ecosystems systems and endemic flora and fauna are likely to change resulting in significant negative ecological and socio-economic implications.

Innovation in water, part 3: necessity is the mother of invention

Julia Bucknall's picture

 Futuristic water design that would provide water for food in the desert, featured in The Guardian in 2008. Photograph: Exploration Architecture.

“What are the new developments in water? Are there new technologies that developing countries could use to bypass expensive and cumbersome systems?  What’s the next big thing that could solve the water crisis?”  Politicians and the media often ask experts for new ideas to make water “interesting”.  Yet, on the whole, water systems constructed today use much of the same technology they did 100 years ago. 

Innovation in water, part 2: desalination

Julia Bucknall's picture

People skeptical of hearing water experts talking about water crises put their faith in the human capacity to innovate.  They point to the rapid decline in costs of taking the salt out of sea water as evidence that – when we really have to – we will innovate and make sure we can meet our water needs. 

Necessity is the mother of invention.  Israel, one of the driest countries in the world, has invested heavily in non-conventional sources of water.  Desalination currently provides around 40 percent  of Israel’s municipal water supply and the plan is for this source to provide 70 percent by 2015. In March, a team from the the World Bank's WDR2010 and Middle East North Africa units visited the largest operational reverse osmosis desalination plant in the world, in Hadera. 

Twenty minutes ago this water was sea water! from World Bank on Vimeo.

Desalination does indeed have potential to meet the municipal water needs of many people in the world – but only those who live near the sea.  

Uri Shamir, Professor Emeritus at Technion on 'Desalination' from World Bank on Vimeo.

Costs have come down to about $0.55 per cubic metre, about half what it was a decade ago.  How have engineers managed this?  Economies of scale are important.  They have also been able to save on costs by designing an efficient system within the plant and by clever energy saving technology. Will the costs come down much further?  About 10% say the Israeli experts.  Not more.

Israel’s very careful management of every drop of water has led to an interesting problem. 

Innovation in water, part 1: drip irrigation

Julia Bucknall's picture

 


Today is World Water Day, a good time to ponder the impacts of global climate change on water availability and quality. Julia Bucknall was part of a team of experts from the WDR2010 and the World Bank's Middle East and North Africa region visiting Israel last week to learn about innovation in water. The blog below is the first in three installments.

Can high-tech agriculture help developing countries get more from their water? 

Israel invented drip irrigation, a technology that has spread rapidly since its introduction in the 1960s and which is widely touted as a key way for countries to close their water gap and be more adapted to climate change.  It certainly does reduce evaporative losses, is often associated with a switch to high-value crops, and reduces fertilizer use when liquid fertilizer is added to the mix and delivered precisely to the root of the plant (a process that delights in the name “fertigation”).  We often see important productivity gains. 

Yet it’s not as simple as that. 

International waters: Conflict, cooperation, and climate change

Aaron Wolf's picture

Almost all human and ecosystem activity relies on a safe, stable supply of water resources.  And since the resource needs to be allocated to myriad uses, from drinking to agriculture to instream flows to transportation, industry, and spiritual transformation, water management is conflict management.  Moreover, when surface basins or aquifer systems cross international boundaries the unifying principles of integrated watershed management and all the attendant centripetal forces within a basin directly contradict the centrifugal needs of state separation and sovereignty. 

     Photo © iStockphoto.com

There are 263 basins, and 265 aquifers, which cross the political boundaries of two or more countries.  International basins cover 45.3 percent of the earth’s land surface, affect about 40percent of the world’s population, and account for approximately 80 percent of global river flow. Ninety percent of the global population lives in countries with international basins. While the potential for paralyzing disputes is especially high in these basins, history shows that water can catalyze dialogue and cooperation, even between especially contentious riparians. Moreover, as we move from thinking about rights to thinking in terms of equitably sharing “baskets” of benefits, opportunities to cooperate become palpable.

Pages