BAKU, Azerbaijan, December 21. Climate change is severely impacting people’s lives in the developing world, hampering efforts to alleviate poverty, Cheryl Edleson Hanway, International Finance Corporation's (IFC) Regional Senior Manager for Infrastructure and Natural Resources said in an exclusive interview with Trend.
"IFC is working hard to accelerate a resilient and inclusive transition in developing countries by supporting emerging market companies so they can access the capital they need for the climate transition. Every year, we help developing countries avoid 153 million tons of carbon emissions, the equivalent of taking 13 large-scale coal-fired power plants off the grid," she said.
Hanway pointed out that lack of access to electricity also poses a severe obstacle to private sector development and achieving the Sustainable Development Goals (SDGs).
"The SDGs were adopted by all Member States of the United Nations in 2015, as part of the 2030 Agenda for Sustainable Development. Widespread and equitable access to affordable, reliable, and clean energy is essential to reduce poverty, create markets and opportunities, accelerate gender equality, and meet the SDGs. We believe more action is needed to accelerate the reduction of global greenhouse gas emissions while meeting soaring energy demand and closing the energy access gap. Accelerating renewable energy solutions and leveraging innovative technologies to increase the energy efficiency, inclusivity, and cost-effectiveness of our power sector will be key to achieving these goals," she added.
The regional senior manager noted that out of 17 SDGs, IFC contributes to SDG 7 (affordable and clean energy) and SDG 13 (climate action) by financing innovative energy solutions that increase access to clean, affordable energy in emerging markets, while reducing and avoiding greenhouse gas emissions, and investing in asset and power system resilience.
"In addition, we are supporting the acceleration of energy transition through:
• Supporting first-of-kind renewable energy projects and innovative new technologies.
• Scaling large renewable energy programs.
• Standardizing approaches to accelerate the replication of renewable energy projects.
• Helping corporates to decarbonize by sourcing renewable energy and adopting energy efficiency projects.
• Mobilizing capital and facilitating greater investment in renewable energy projects through IFC engagements with financial institutions and capital markets," she said.
Follow the author on X: @Lyaman_Zeyn