COP15: TERI-ADB dialogue on attracting private sector investment in Climate Change Solutions
The Energy and Resources Institute (TERI) and its Business Council for Sustainable Development (BCSD) India in association with the Asian Development Bank (ADB) organised a day-long dialogue on the sidelines of COP15 to promote Private Sector Solutions to address climate change in Asia and the Pacific. Themed Strategic Dialogue: Removing Barriers to Private Sector Investment in Climate Change Solutions, the discussions brought together more than 80 senior experts from the private sector and knowledge based international organisations to focus on mobilising support towards private sector investment in deploying more sustainable technology on a large scale; using private sector risk management and insurance schemes to respond to climate risks; identifying innovative public private arrangements to fast track the transition towards low-carbon climate resilient economies; and specially scaling up solar energy development in the Asia and Pacific.
At the special industry strategy session on scaling up solar initiatives, Dr. R K Pachauri, Chairman, Intergovernmental Panel on Climate Change (IPCC) and Director General, TERI, presented a roadmap on cost positive solutions for climate change for mainstreaming solar energy development for the developing countries. His four-fold strategy included:
1.Private sector should play a major role for combating climate change especially in the area of solar energy development.
2.Developing countries like India to set out a proactive policy for mainstreaming solar energy development – through its National Solar Mission of the National Action Plan on Climate Change – with the support of active private sector participation.
3.In order to implement the solar energy development policy in a timely manner, all the relevant stakeholders -- developing and developed countries agencies, international agencies, private sector, and Non-Profit Organizations -- should have extensive dialogues to identify issues, share perceptions and find solutions; &
4.TERI and ADB should play a major role of setting up a ‘knowledge platform’ where all the stakeholders can have regular and close communications.
The other notable speakers at the dialogue included Mr Nitin Desai, former UN Under-Secretary and Distinguished Fellow – TERI; Mr David McCauley, Principal Climate Change Specialist – ADB; Dr. Marianne Osterkorn, International Director, Renewable Energy and Energy Efficiency Partnership (REEEP); Mr. Yasuhiro Shimizu, Executive Director, New Energy and Industrial Technology Development Organization (NEDO), the Government of Japan; Mr. Takayuki Yamada, Advisor, ITOCHU Corporation (Japan); Mr. Carlos Segura, Asociación de la Industria Fotovoltaica (Solar Industry Association, Spain; Mr. Hakan Johansson, Smart Grid. ABB (Sweden); Mr. Hiroshi Hanafusa, Leader, SANYO Electric Corporation Limited and many more.
Speakers of the other sessions also stressed on the need to create greater certainty through policy and regulatory frameworks, along with innovative Risk Insurance schemes to encourage private sector investment in projects that promote energy security and climate change mitigation.
Representatives from the corporate, development organisations and governments called for TERI and ADB to continue to provide support to renewable energy regulatory frameworks build capacity and create innovative financing mechanisms - particularly risk mitigation -- to help solar energy reach its potential in the region.
Representatives from the World Economic Forum and ATP, Denmark's largest pension fund which collectively represent more than $13 trillion in institutional investment, expressed their commitment to leverage long-term investment for low carbon infrastructure. ATP announced that it is launching a $1 billion institutional investment fund for low carbon infrastructure, renewable in three years time. Participants were eager to form an informal regional network to exchange knowledge.
At the end, the participants unanimously expressed their strong interest to participate in the potential knowledge platform as suggested by the panelists.