Asian Development Bank's support for clean energy

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The Asian Development Bank's (ADB) support for the development of the clean energy sector in Asia and the Pacific is examined, together with its implications for mitigating climate change. A key question is whether financing has shifted from fossil fuel projects to renewable energy and energy efficiency in the past decade (2000–2009). Financial data from the ADB – a multilateral source of significant financing in the region – are assessed, and 127 technology-deploying projects and 199 technical assistance projects are evaluated. The assessment suggests that clean energy assistance has gained momentum during the last few years, peaking in 2008, implying a considerable shift in energy investments from conventional fossil-fuel projects to clean energy. Although private sector involvement has been central to the ADB's investment policy, only 30% of funding has been channelled into this sector over the past decade. The reporting of clean energy investments has also progressed within the ADB by including renewable and energy efficiency components in conventional energy projects and other investments, which was not previously accounted for. Nevertheless, the ADB needs to address several challenges in the future, including sustaining funding for clean energy, strengthening private sector investments and improving financial reporting.
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