Nov 04, 2021
WASHINGTON, DC—Today, the Climate Investment Funds (CIF) launched the Renewable Energy Integration (REI) program, a first-of-its kind investment program designed to help developing countries transform their energy systems to absorb ever-growing levels of variable renewable energy generation.
Ukraine, Fiji, Colombia, Kenya, and Mali are the first participants in the program. Brazil, Costa Rica, India, Indonesia and Turkey are priority countries for subsequent phases of the program.
Announced at COP26 in Glasgow, REI is to date the world’s first large-scale multilateral initiative dedicated to bridging the renewables integration finance gap in developing countries. As more and more clean energy is generated globally, more finance is needed to help existing infrastructure prepare for its rapid uptake. It is estimated that infrastructure investments will need to ramp up to $820 billion annually by 2030 to facilitate the decarbonization of power systems.
REI will work through multilateral development bank partners to offer a toolbox of flexible cost and risk-bearing financial instruments, alongside technical assistance, tailored to the integration needs of each individual country. This combination of resources aims to scale public and private investments in energy storage, smart grids, new business models, and other approaches that prepare national power systems for rapid and scaled adoption of renewables.
Endorsed by the G7 this year, REI is supported by financial pledges from the Netherlands and the United Kingdom.
Building on CIF’s unrivaled 12-year track record in climate finance mobilization, REI will support grid flexibility measures on both the supply and demand side in four key ways: scaling up renewable-energy-enabling technologies, enhancing readiness of energy infrastructure for renewables, supporting innovative business models, and improving power system and market design and operations.
Learn more about the REI Factsheet and Video.
Climate Envoy of the Netherlands, His Royal Highness Prince Jaime de Bourbon de Parme: “The Netherlands stands ready to support access to renewable energy in low income countries. Energy systems must be prepared for high shares of variable renewable energy such as solar and wind. This is essential to address climate change and offers great opportunities for economic growth and job creation. That is why we are contributing 100 million US Dollars to the Climate Investment Funds, intended for the Renewable Energy Integration program that we launch today.”
Minister of Mines and Energy of Colombia, Diego Mesa Puyo: “The opportunity to access concessional resources from the Renewable Energy Integration programme of the Climate Investment Fund (CIF), represents a unique opportunity for our country to continue increasing the use of renewable energy sources and diversifying our energy matrix while attending environmental, social and economic needs. This funding will allow us to leverage important resources for future public and private investments, which are essential to achieve our national climate targets as well as future commitments acquired in the margins of the COP26. We are looking forward to work jointly with the CIF and their partners towards net-zero paths in the Colombian energy and mines sector.”
CEO of the Climate Investment Funds, Mafalda Duarte: “Clean power is cheaper and more widespread than ever, but renewables generation alone cannot deliver the change we need to meet the Paris Agreement. Simply put, our grids won’t be ready for a clean energy future unless we can unlock significantly more investment in fit-for-purpose energy systems. I’m proud to say REI is today the first dedicated effort to do precisely that.”
About the Climate Investment Funds
The Climate Investment Funds (CIF) was established in 2008 to mobilize resources and trigger investments for low-carbon, climate-resilient development in select low and middle-income countries. 14 contributor countries have pledged up to $10.5 billion to the Funds. To date, committed CIF capital has generated an additional $61 billion in co-financing for mitigation and adaptation interventions at scale in 72 recipient countries. CIF is one of the largest active climate finance mechanisms in the world. https://www.climateinvestmentfunds.org
MEDIA CONTACT:
Scott Vincent Andrews
