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News

Climate Change demands Transformational Change

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Sep 30, 2022

The Transformational Change Learning Partnership (TCLP) will make significant strides this week as diverse stakeholders come together in Washington DC. From October 4 to 6, 2022, the partnership will cooperatively build a strategic action plan to put transformational change linked to climate finance into practice.

The TCLP is a group of more than 650 individuals from over 250 organizations and it is growing. While the TCLP is hosted by the Climate Investment Funds (CIF), this community of policymakers, practitioners, and climate advocates finds common ground in cooperative knowledge-sharing and collaboratively developing concepts, methods, and metrics for transformational change in climate action.

Fundamental Change, Transformational outcomes

Since its inception, CIF’s guiding principle has been to realize the transformative outcomes of climate finance programs. Transformational change is in CIF’s DNA, so to speak: It is set in the organization’s original mandate. That mandate has evolved and is now embodied in a ground-breaking multidisciplinary, multistakeholder community of practice that the learning partnership has become. Since its launch 5 years ago, the TCLP has developed concepts and frameworks of transformational change, including a working definition of transformational change in climate action:

“Fundamental change in systems relevant to climate action with large-scale positive impacts that shift and accelerate the trajectory of progress towards climate neutral, inclusive, resilient, and sustainable development pathways.

The group also identified five dimensions that must be present for transformational change to occur. The five dimensions—Relevance, Systemic Change, Speed, Scale, and Adaptive Sustainability—vary in emphasis and significance based on context and timing. See the graphic below.

Five Dimensions of Transformational Change

Transformational change in action

The TCLP’s framework became the impetus for building an evidence base for transformational change by applying the 5 dimensions to the CIF’s climate finance projects. One example of this application has happened in Türkiye. There, CIF’s Clean Technology Fund (CTF) supported the country’s goal to lower greenhouse gas (GHG) emissions through a two-pronged approach:

1) CTF provided concessional finance for energy efficiency programs with longer loan repayment periods and lower interest rates.

2) It supported an innovative project design that leased energy-efficient equipment to SMEs.

These approaches helped Turkish SMEs access debt financing that they were unable to access before. It also helped leasing companies expand into new markets. On renewable energy, CTF support focused on promoting private sector investment in wind, geothermal, solar PV energy, and small-scale hydro development. This transformed Türkiye’s national energy consumption, over several years, to lower carbon emission sources.

The evidence gathering and learning in Türkiye was captured through a case study that has developed the CIF’s understanding of transformational change and given it direction on more ambitious targets for transformational change in other projects or contexts. Read the full case study on Türkiye here. Also see examples of transformational change in Mexico’s forestry sector through the CIF’s Forest Investment Program (FIP) and how the Pilot Program for Climate Resilience (PPCR) built Zambia’s long-term climate resilience with transformative outcomes. A study of Transformational Change in Concentrated Solar Power (CPS), a technology that uses mirrors to concentrate solar radiation to generate heat, focuses on Chile, Morocco, and South Africa, and draws on lessons to enhance the transformational impacts of future investments in clean energy transition.

From concepts to implementation

The TCLP now is moving forward by further operationalizing the conceptual framework and expanding its focus beyond emerging practices to implementation at scale. The meeting in Washington DC this week will plot a strategic path forward that will shape and deepen the partnership’s work and position partner organizations to be at the forefront of transformational climate action more broadly. The TCLP invites others with similar goals for transformational climate action to join the initiative and to be a part of this ground-breaking and influential body of work. For more information or to join the partnership, please email CIFTCLP[@]worldbank.org or subscribe to the TCLP mailing list  for the latest news on the TCLP’s work

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