Norway is to provide 850 million Norwegian crowns to fund clean energy projects in Ethiopia, Kenya and Liberia, finance that could unlock private sector investment in new types of carbon markets, the country’s government said on Monday.
The African countries will get the cash as part of the Norway-led Energy+Partnership, which aims to give the world’s developing countries access to energy and encourage new market-based system to limit emissions from global energy generation.
Efforts to promote new means of financing cleaner energy in developing countries comes at a time when investment in current U. N. mechanisms is shrinking fast.
Through the terms of the deal which was signed last week at the Rio+20 climate talks, Ethiopia will get NOK 500 million to invest in low carbon energy, forests and agriculture.
The Norwegian government said the finance to the three countries would only be made available as the results are achieved, and is part of a wider NOK 1.8 billion a year contribution.
Besides Norway the partnership includes developed countries such as the UK, France, Denmark, Switzerland, the Netherlands and South Korea. The initiative also includes multilateral finance institutions such as the World Bank, U.N agencies, the International Energy Agency and charitable foundations.
(The Daily Monitor)