It's been two months now since the historic climate change conference, COP21, wrapped up in Paris, concluding with 195 countries pledging to take actions to keep global warming to under 2 degrees Celsius. This is an unprecedented achievement in the long history of international climate policy.
Compared to past negotiations, there was a different atmosphere in Paris. The negotiators were determined to find common ground rather than draw insurmountable lines in the sand. Investors lined up with billions of dollars in new financial commitments in addition to the suggested roadmap for developed nations to contribute to the needed $100 billion annually for mitigation and adaptation efforts.
And the private sector was more active and visible than ever before: CEOs from industries as far ranging as cement, transportation, energy, and consumer goods manufacturers announced their own climate commitments in Paris to decrease their carbon footprints, adopt renewable energy, and improve natural resource management.
This enthusiasm was especially apparent during the CEO panel that IFC, the organization I represent, convened during the Caring for Climate Business Forum by UN Global Compact. CEOs from client companies in India, Turkey, Thailand, and South Africa discussed their innovative climate change initiatives, investments, and technologies, and the challenges of scaling up their climate business.
Concentrated Solar Power is the greatest energy technology you have probably never heard of. While it may not be as widely known as other renewable energy sources, there’s no doubting its potential - the International Energy Agency estimates that up to 11 percent of the world’s electricity generation in 2050 could come from CSP.
And this week in Morocco, the King, His Majesty Mohammed VI, is officially opening the first phase of what will eventually be the largest CSP plant in the world – the same size as Morocco’s capital city Rabat. I congratulate Morocco for taking a leadership role that has placed it on the frontlines of a revolution that is bringing low-carbon development to emerging and developing economies worldwide.
In collaboration with the World Bank and the African Development Bank, the CIF has already provided US$435 million into this three-phase Noor CSP complex in Morocco.
Sub-Saharan Africa continues to suffer from a major energy deficit, with hundreds of millions of people lacking access to electricity and clean cooking fuels. There is a great need for innovative mechanisms that can help families access clean and affordable energy. The Carbon Initiative for Development (Ci-Dev) is one such mechanism.
A $125 million fund with a pipeline of 14 pilot projects in Africa, Ci-Dev will help improve living standards and sustainable energy through results-based finance. Along the way, it will generate valuable lessons in how reducing greenhouse gas emissions can generate tangible development benefits for local communities, like cleaner air, improved safety, and financial and time savings.
These lessons can help in the delivery and scale up of innovative climate finance business models.
Try to imagine a world without the Internet.
Impossible, isn’t it?
Over the past 25 years, the Internet has become the nervous system of our society, interconnecting all the different parts of our everyday lives. Our social interactions, ways of doing business, traveling and countless other activities are supported and governed by this technology.
At this very moment, just over three billion people are connected to the Internet, 105 billion emails are being sent, two million blog posts have just been written (including this one) and YouTube has collected four billion views. These numbers give you a glimpse of the extent to which humanity is intimately and deeply dependent on this technology.
The digital revolution has changed the daily lives of billions of people. But what about the billions who have been left out of this technological revolution?
This and many other questions have been addressed in the just released 2016 World Development Report 2016: Digital Dividends, which examines how the Internet can be a force for development, especially for poor people in developing countries.
So, food systems are finally on the climate change map and embedded in the language of the Paris Climate Agreement.
This is a long way from the previous involvement of agriculture as a contentious area that was subject to fractious debate and fatally entwined with the discussion around climate-change related loss and damage. A vast majority of national plans to address climate change or Intended Nationally Determined Contributions (INDCs) presented at the COP in Paris contained language and commitments on agriculture – for both adaptation and mitigation measures.
What’s behind this change in sentiment and action?
Last Saturday, UN climate negotiators from 195 countries agreed on a historic climate change accord in Paris after two weeks of intense negotiations. While many of us were hoping for a hook that would support the use of markets, we were happily surprised to see the extent and detail on carbon markets that was ultimately included in the Paris Agreement.
More than 180 countries have submitted their intended national climate plans to get on a low-carbon development pathway ahead of COP21 climate talks, now underway in Paris.
Called the Intended Nationally Determined Contributions (INDCs), most include mitigation targets to be implemented by 2025 or 2030. But these plans are not just about numbers. Many of them, particularly those put forward by developing countries, also propose climate actions within the countries’ overall development framework, including adaptation. Hardly surprising, as after all, tackling climate change is about effectively managing a country’s economy.
This certainly seems to be the case for China.
Today at the COP21 climate talks in Paris, people will gather and pay tribute to the life, vision and accomplishments of Maurice Strong who passed away November 27, 2015 on the eve of COP 21.
When he died in Ottawa at the age of 86, the world lost a crucial voice on the global environment and the urgent need for climate action. Ironically, Strong died on the eve of the Paris climate conference - for which he had laid the foundation over the last 45 years.
According to the International Energy Agency (IEA), full implementation of countries’ submitted pledges for low-carbon development will require USD 13.5 trillion in investments in energy efficiency and low-carbon technologies from 2015 to 2030. That’s almost USD 1 trillion every year. This means all hands need to be on the deck if the global community is to address one of the biggest development challenges of our times.
Today, a group of 26 financial institutions from across the globe, including the World Bank Group, launched five voluntary Principles for Mainstreaming Climate Action within Financial Institution. The Principles are meant to support and guide financial institutions moving forward in adapting to and promoting climate-smart development, and have been developed based on practices implemented by financial institutions worldwide over the last two decades.