London – The Global Innovation Lab for Climate Finance (“the Lab”) has launched an initiative to focus funders and investors on Lab-endorsed projects for sustainable and resilient economic recovery.
The Lab develops climate adaptation and mitigation projects that are scalable, catalytic and are primed to make measurable impact in resilience, sustainability, carbon emission reductions and economic growth. While all Lab instruments support this aim, due to their innovative nature, some are still in development phase. The following subset of Lab instruments are “shovel ready” projects, able to leverage funds into immediate action on the ground for driving resilient growth in developing countries.
Climate Investor One: A financing facility for early-stage development, construction financing, and refinancing to fast-track renewable energy projects in developing countries.
Cooling as a Service (CaaS): CaaS is a pay-per-service model for clean cooling systems that eliminates upfront investment in clean cooling technology and has built-in incentives for efficient consumption.
CRAFT: A fund that blends commercial and catalytic finance to invest growth equity in companies to accelerate the diffusion of climate intelligence products and resilience building solutions.
Energy Efficiency Enabling Initiative: A private equity fund that relies on donor-backed equity capital, technical assistance, and risk mitigation instruments to crowd in private investment in energy efficiency.
Energy Savings Insurance: An instrument to insure the financial performance of energy efficiency savings projects in Mexico and other countries.
Green FIDC: An instrument to package and securitize the cashflows of renewable energy projects and sell shares in local capital markets, providing long-term finance for projects in Brazil.
Low Carbon Auto Rickshaws: A facility to deploy more electric auto-rickshaws in Indian cities and provide better livelihoods for auto-rickshaw drivers, through a model that provides up to 100% debt financing at competitive rates, and opportunities for driver ownership.
PopLuz: A vehicle to enable distributed solar energy for low-income tenants in Brazil who cannot make the investments or don’t have access to credit, by providing a robust legal and financial structure to make it an attractive and low-risk investment option.
Smallholder Forestry Vehicle: A mechanism to scale up sustainable forestry in Africa through which investors buy portfolios of trees that have been planted by smallholders on degraded land, and recoup their investment once the trees are harvested and sold.
Sustainable Energy Bonds: A class of bonds to drive impact investment to sustainable energy in India by offering debt exposure, sufficient returns, and standardized impact measures.
TCX: An instrument to provide tools to address currency and interest rate risk for climate relevant projects in developing countries.
For additional information about the following opportunities, please visit the Lab’s website: Shovel Ready Climate Finance Projects.