|
EBRD, EIB agree joint Carbon Credit fund
Countries and private sector to benefit from new carbon credit facility
The EBRD and EIB today agreed to establish a new fund to generate carbon
credits from projects across the high energy intensity countries of central
and eastern Europe and the Commonwealth of Independent States.
The Multilateral Carbon Credit Fund (MCCF), which should be operational within
the coming months, will enable registered public and private sector
participants to buy carbon credits from emission reduction projects generated
by both institutions. Sovereign participants must be a shareholder of either
the EBRD or EIB.
Typical projects will include industrial energy efficiency, fuel-switch,
renewable energy (for example, biomass, wind and mini-hydro) and landfill gas
extraction and utilisation projects across the MCCF region, which covers all
27 EBRD countries of operations, where the EIB also works extensively. The
negotiation, contracting and monitoring of carbon credit transactions will be
outsourced to private “Carbon Managers” selected on a competitive basis.
Speaking at the signing at the EBRD Annual Meeting in London, the Bank’s
President Jean Lemierre said the MCCF will help promote much-needed energy
savings projects in the EBRD countries of operation while at the same time
helping those countries and corporate companies purchasing carbon credits to
meet their emissions reductions targets.
Philippe Maystadt, President of the EIB, said that, by improving the
bankability and attractiveness of much-needed energy savings and carbon
abatement projects, the sale of credits will help EBRD and EIB scale-up the
financing of this type of projects in the region.
The EBRD and EIB together have a unique knowledge of the region, as well as a
private project financing expertise in a region which has the potential to
become one of the largest exporters of carbon credits due to its current high
energy and carbon intensity, and therefore scope for Greenhouse gas emission
reduction projects.
A key strength of the MCCF is that the projects from which Carbon Credits will
be sourced will be financed and appraised by either institution – or both if
projects are cofinanced – in line with standard requirements for project
viability and sustainability, integrity and corporate governance.
|
