The Climate Investment Funds (CIF) is a multilateral fund established to finance and scale climate pilot projects in developing countries. Established in 2008 at the request of the G8 and

G20 The G20 or Group of Twenty is an intergovernmental forum comprising 19 countries and the European Union (EU). It works to address major issues related to the global economy, such as international financial stability, climate change mitigatio ...

, the CIF administers a collection of programs that help resource-strapped nations fight the impacts of

climate change In common usage, climate change describes global warming—the ongoing increase in global average temperature—and its effects on Earth's climate system. Climate change in a broader sense also includes previous long-term changes to ...

and accelerate the shift to a

low-carbon economy A low-carbon economy (LCE) or decarbonised economy is an economy based on energy sources that produce low levels of greenhouse gas (GHG) emissions. GHG emissions due to human activity are the dominant cause of observed climate change since the mi ...

. Through contributions from 14 donor countries, CIF supports more than 350 projects in 72 low and middle-income countries on the frontlines of the

climate crisis ''Climate crisis'' is a term describing global warming and climate change, and their impacts. The term and the alternative term ''climate emergency'' have been used to describe the threat of global warming to humanity (and their planet), and to u ...

. Mafalda Duarte, a

Portuguese Portuguese may refer to: * anything of, from, or related to the country and nation of Portugal ** Portuguese cuisine, traditional foods ** Portuguese language, a Romance language *** Portuguese dialects, variants of the Portuguese language ** Portu ...

national, is the current CEO of CIF. CIF partnerships have channeled more than $60 billion from governments and the private sector to projects such as the world's largest solar park, the first geothermal power plant in South America, and investments in Mexico’s

wind power industry The wind power industry is involved with the design, manufacture, construction, and maintenance of wind turbines. The modern wind power industry began in 1979 with the serial production of wind turbines by Danish manufacturers. The industry is un ...

. CIF supports 10 of the UN’s 17 Sustainable Development Goals (SDGs). CIF works in partnership with governments, the private sector, civil society, local communities, and six major

multilateral development banks An international financial institution (IFI) is a financial institution that has been established (or chartered) by more than one country, and hence is subject to international law. Its owners or shareholders are generally national governments, al ...

(MDBs). Independent evaluations have shown that CIF has succeeded in progress toward a climate-smart future, particularly in the areas of clean technologies, energy access,

climate resilience Climate resilience is defined as the "capacity of social, economic and ecosystems to cope with a hazardous event or trend or disturbance".IPCC, 2022Summary for Policymakers .-O. Pörtner, D.C. Roberts, E.S. Poloczanska, K. Mintenbeck, M. Tignor, ...

, and sustainable forests. CIF investments are overseen by a governing board that provides equal authority to donor and recipient countries with input from official observers representing the private sector, civil society, and indigenous peoples. CIF consists of two funds, the Clean Technology Fund and the Strategic Climate Fund.

Clean Technology Fund

The

World Bank The World Bank is an international financial institution that provides loans and grants to the governments of low- and middle-income countries for the purpose of pursuing capital projects. The World Bank is the collective name for the Inte ...

is the Trustee of the CIFs, which works with most major multilateral development banks. In June 2019, the CIF governing board decided to indefinitely postpone the CIF "

sunset clause In public policy, a sunset provision or sunset clause is a measure within a statute, regulation or other law that provides that the law shall cease to have effect after a specific date, unless further legislative action is taken to extend the law ...

Solar thermal power Concentrated solar power (CSP, also known as concentrating solar power, concentrated solar thermal) systems generate solar power by using mirrors or lenses to concentrate a large area of sunlight into a receiver. Electricity is generated when ...

provides a useful illustration because it shows promise as a renewable option for baseload power. A recent study indicates that under a

carbon pricing Carbon pricing (or pricing), also known as cap and trade (CAT) or emissions trading scheme (ETS), is a method for nations to reduce global warming. The cost is applied to greenhouse gas emissions in order to encourage polluters to reduce the co ...

scheme with charges consistent with the low-end requirements for safe atmospheric carbon loading, public financing through the CTF Fund could close the cost gap between solar thermal and coal-fired power in a 5 to 10-year program that expands capacity at 500–1000 MW/year. Total Clean Technology Fund subsidies for this program would be $4 – $8 billion – easily within the range for a serious multilateral effort.

Strategic Climate Fund

The Pilot Program for Climate Resilience (PPCR) is the first program under the Strategic Climate Fund. It seeks to explore practical ways to mainstream climate resilience into core development planning and budgeting that is consistent with poverty reduction and sustainable development goals. The PPCR will build on

National Adaptation Programme of Action A National Adaptation Programme of Action (NAPA) is a type of plan submitted to the United Nations Framework Convention on Climate Change (UNFCCC) by least developed countries, to describe the country's perception of its most "urgent and immediat ...

(NAPAs) and other national strategies and work in 11 pilot countries and regions. It is aligned with, and maintains links to, the Adaptation Fund established under the Kyoto Protocol. The Scaling-Up Renewable Energy Program (SREP) in Low Income Countries, approved in May 2009, is aimed at demonstrating the economic, social and environmental viability of low carbon development pathways in the energy sector by creating new economic opportunities and increasing energy access through the use of renewable energy.When it Comes to Climate Investment Funds, Diverse Management is Imperative
/ref> The Forest Investment Program (FIP), approved in May 2009, aims to support developing countries' efforts to reduce emissions from deforestation and forest degradation by providing bridge financing for readiness reforms and public and private investments. It will finance efforts to address the underlying causes of deforestation and forest degradation and overcome barriers that have hindered past efforts to do so.

References

{{Reflist

External links

Climate Funds Update - Information on international funding initiatives to tackle climate change

Proposed Climate Investment Funds (CIF)
(

).
CGDEV Statement Before The Subcommittee

Environment Matters
World Bank Economics and climate change

Clean Technology Fund

Strategic Climate Fund

See also

References

External links