20 likes | 95 Views
Financing energy efficiency: role of multilateral organisations. Financing of energy efficiency projects by multilateral organisations is always announced to increasing rapidly but what is the reality and does it really contribute to increase efficiency? :
E N D
Financing energy efficiency: role of multilateral organisations • Financing of energy efficiency projects by multilateral organisations is always announced to increasing rapidly but what is the reality and does it really contribute to increase efficiency? : • Energy efficiency financing very often fall under a category that is called sustainable development , that includes renewables and CO2 abatement (fuel substitutions) • difficult to know exactly what is going to end-use efficiency projects • most projects go actually to energy supply (power generation, district heating, cogeneration) • Why end use efficiency receives less attention from multilateral organisations , what are the barriers?: • The need of local financing institutions to channel the funds with expertise on energy efficiency, this is a first constraint and may explain why the actual funding of project is not progressing as fast as could be expected • Most of the projects “labelled as energy efficiency” are not going where the largest potential, the building sector, because of the complexity and the small size of the projects
Flexibility mechanisms of Kyoto (CDM & JI) and energy efficiency • Few projects on energy efficiency ( implementation and validation more complex) and delays and failures are more important than for other projects. • Actual generation of CER is on average 94% below the ex-ante evaluation (80% for energy related projects and 50% for energy efficiency projects) • Out of 4250 projects in progress that could potentially abate 2.9 GtCO2e by 2012, only 2/3 could be really available or ~2 GtCO2e and energy efficiency projects may be the more affected