World Bank Group World Bank Group Support for Clean Support for Clean

Energy DevelopmentEnergy Development

Washington, D.C.December 14, 2006

Anil CabraalLead Energy SpecialistEnergy and Water DepartmentThe World Bank

OutlineOutline

WBG Clean Energy Commitments

FY06 Results

Project Examples

Future Commitments and Actions

WBG Commitment to WBG Commitment to Clean EnergyClean Energy

Bonn Commitments (2004 ):• Support Renewable Energy (RE) &

Energy Efficiency (EE) scale-up

• Committed to an average 20%/year growth over the next 5 years for new RE & EE investments.

G-8 Summit Request (2005):• Raise the profile of climate change

globally and to expand the participation of key countries in long term climate management.

• Lead to the creation of Clean Energy and Development Investment Framework

WBG Renewable Energy WBG Renewable Energy and Energy Efficiency and Energy Efficiency

Commitments, 1990 - 2006Commitments, 1990 - 2006

-

200

400

600

800

1,000

1,200

1,400

Ann

ual U

S$

mill

ions

-

2,000

4,000

6,000

8,000

10,000

12,000

Cum

ulat

ive

US

$ m

illio

ns

Energy eff iciency New renew able energy Hydro > 10 MW Cumulative commitment

FY06 RE/EE Results - FY06 RE/EE Results - By WBG InstitutionBy WBG Institution

(Millions of dollars)(Millions of dollars)

Source of FundsNew-RE

Hydro>10MW EE Total

Word Bank (IBRD/IDA) 135.7 118.6 115.3 369.5

World Bank (GEF and Carbon Finance) 54.7 6.0 1.2 62.0

IFC 17.4 67.0 309.0 393.4

IFC (GEF,CF and other trust funds) 13.0 0.0 20.1 33.1

MIGA 0.0 0.0 1.8 1.8

Total 220.8 191.6 447.4 859.8

New RE: Solar, wind, biomass, geothermal, hydro up to 10 MW/facility

WBG Energy Sector Commitments 1990-2006

(millions of US dollars)

Energy Sector

FY1990-2005 FY05 FY06 FY90-06

Percent

IBRD/IDA a IFC a, b MIGA WBG WBG Total

Power 24,415 2,406 2,345 1,064 2,452 31,617 55%

Renewable Energy 5,346 942 514 666 412 7,214 12%

Energy Efficiency 2,075 305 5 243 447 2,832 5%

Coal 3,323 15 35 234 103 3,476 6%

Oil & Gas 6,895 2,266 707 462 893 10,760 19%

General energy sector 1,753 0 0 125 170 1,923 3%

Total 43,807 5,933 3,606 2,794 4,477 57,822 100%

a/ Includes GEF co-financing and Carbon Finance. b/ IFC FY05 RE and EE data updated from IFC 2005 Sustainability Report

Share of RE and EE Share of RE and EE Commitments Relative to Other Commitments Relative to Other

WBG Energy CommitmentsWBG Energy Commitments

14%

21%

26%

32%

21%

0%

5%

10%

15%

20%

25%

30%

35%

1990-1994 1995-1999 2000-2004 2005-2006 (2yrs.)

Total (1990-2006)

World Bank Group Activities in World Bank Group Activities in Extractive Industries FY06Extractive Industries FY06

WBG EI Financing by Institution ($m)

0

200

400

600

800

1000

1200

1400

1600

1800

FY97 FY98 FY99 FY00 FY01 FY02 FY03 FY04 FY05 FY06

MIGA

IFC

IBRD/IDA

Investments Non Investment

US$ millions

Mining Oil Gas General Policy and Capacity Building

IDA - - - 30.9

IBRD - - 412.5 3.8

IFC 79.4 239.8 189.9 -

MIGA 110.0 - - -

Total 189.4 239.8 602.4 34.7

WBG FY06 EI Financing by Sub Sector

PROJECT

ID PROJECT NAME

PRODUCT

LINE REGION COUNTRY

ENERGY FORM/

TECHNOLOGY

P094917

WAPP APL 1 (2nd Phase - COASTAL

TRANSMISSION BACKBONE) IBRD/IDA AFR Africa T&D

P096305

CD-Emergency Multi Sectoral Rehab & Recovery

ERL Suplemental (FY06) IBRD/IDA AFR

Congo, Democratic

Republic of T&DP077380 ENERGY ACCESS PROJ ECT GEF AFR Ethiopia RE, T&D

P097271 Accelerated Electricity Access (Rural) Expansion IBRD/IDA AFR Ethiopia T&D, EE

P077317 Guinea Electricity Sector Efficiency Improvement IBRD/IDA AFR Guinea

RE, EE, Hydro & Thermal

Rehabilitation

P097975 Multi-sector Infrastructure Rehabilitation Project IBRD/IDA AFR Guinea-Bissau Oil, REP083351 Integrated Growth Poles IBRD/IDA AFR Madagascar Oil (upgrading)P057761 INFRASTRUCTURE SERVICES IBRD/IDA AFR Malawi T&D, REP090104 Nigeria National Energy Development Project IBRD/IDA AFR Nigeria Gas, RE

P075531

Rural Electrification Phase I Project of the Rural

Electrification (APL) Program IBRD/IDA EAP

Lao People's

Democratic Republic T&D, RE

P089576

20 MW Palinpinon II Geothermal Optimization

Project Carbon Offset EAP Philippines REP084871 Second Transmission and Distribution Project IBRD/IDA EAP Vietnam T&DP057880 Urban Heating Project IBRD/IDA ECA Armenia EE

P090666

Energy Community of South East Europe (ECSEE)

APL3-Bosnia and Herzegovina Project IBRD/IDA ECA Bosnia-HerzegovinaCoal (Rehabilitation),

RE

P098850 Infrastructure Pre-Investment Facility IBRD/IDA ECA Georgia RE (Hydro)P095155 North-South Electricity Transmission Project IBRD/IDA ECA Kazakhstan T&D

P096181

Energy Sector Cleanup and Land Reclamation

Project IBRD/IDA ECA Kosovo Coal (Ash cleanup)P082337 ECSEE APL 3 - FYR Macedonia IBRD/IDA ECA Macedonia T&D

P096598

Energy Community of South East Europe APL 3 -

Montenegro Project IBRD/IDA ECA Montenegro EE, T&DP078250 POLAND - Stargard Geothermal Project (PCF) Carbon Offset ECA Poland RE

P085561

Electricity Generation Rehabilitation and

Restructuring Project IBRD/IDA ECA Turkey EE

P096400

Energy Community of South East Europe APL 3

Project IBRD/IDA ECA Turkey T&D, EEP079182 Nova Gerar Landfill Rio de J aneiro Carbon Offset LCR Brazil REP093787 Bahia State Integrated Project: Rural Poverty IBRD/IDA LCR Brazil TbdP092015 Chile Quilleco Hydropower Project Carbon Offset LCR Chile REP086775 HN Rural Infrastructure Project IBRD/IDA LCR Honduras RE

P091299 J M Inner City Basic Services for the Poor Project IBRD/IDA LCR J amaica Street Lighting

P090116 PE Rural Electrification IBRD/IDA LCR Peru T&DP086379 DJ -POWER ACCESS AND DIVERSIFICATION IBRD/IDA MNA Djibouti RE, EE

P091945 EG-EL TEBBIN POWER IBRD/IDA MNA

Egypt, Arab Republic

of Gas, EEP086865 RY-POWER SECTOR IBRD/IDA MNA Yemen, Republic of T&D, EEP089382 Investment Promotion and Financing Facility IBRD/IDA SAR Bangladesh Oil

P086414 POWER SYSTEM DEVELOPMENT PROJ ECT -III IBRD/IDA SAR India T&DRE - Renewable Energy; EE - Energy Efficiency; Gas, Coal, Oil, T&D - Transmission and Distribution

CLASSIFICATION OF WORLD BANK CLASSIFICATION OF WORLD BANK FY06 POWER PROJECTS BY TYPE OF FY06 POWER PROJECTS BY TYPE OF

TECHNOLOGY AND ENERGY FORMTECHNOLOGY AND ENERGY FORM

IFC FY06 Power Sector Investments

IFC's Infrastructure Department did $360M in 10 power sector investments in FY06

Renewables- Four projects totaling $87.45M involved RE

Of the six remaining projects totaling $272.6M two are natural gas-fired power generation & two are diesel

IFC's financing is not supporting Greenfield coal-fired power generation capacity

Used for retrofitting existing coal-fired power plants with flue gas desulphurization equipment to reduce pollution.

Project ExamplesProject Examples

Renewable Energy• China: RE Scale-Up

Program –wind, hydro, cogeneration

• Philippines: PCF-Northwind Bangui Bay

• Moldova: RE from Agricultural Waste

• Honduras: La Esperanza Hydroelectric Development

• India: BCML Bagasse Cogeneration Plants

• Laos PDR: Nam Theun II – Large Hydro

• Ukraine: Hydropower Rehabilitation

• Peru: Biofuels

Energy Efficiency• Tunisia: Energy

Efficiency Program / Industrial Sector

• Bulgaria: District Heating

• Poland: Energy Efficiency

• Vietnam: Rural Energy II – T&D Loss Reduction

• China: Heat Reform & Building EE

• Burkina Faso: Power Sector Development

Commitments in Commitments in Clean Energy and Development Clean Energy and Development

Investment FrameworkInvestment Framework

Scale up World Bank Group support:

Energy for development and increasing access: Focus on Africa Energy Access.

Low carbon investments: Focus on G8+5 countries.

Adaptation to climate change

Looking Forward: Transition Looking Forward: Transition to a Low Carbon Economyto a Low Carbon Economy

Transport Efficiency Projects

LAC Regional Transport Project

India Transport Project

China Transport Project

Thermal Power Rehabilitation

India Thermal Power Rehabilitation

China Thermal Power Rehabilitation

India Programmatic Fund for Cleaner and Lower Carbon Development

ECA Geothermal

China Renewable Energy

Coal-Fired Power Plant Efficiency Improvement (IGCC)

Low Carbon Action Plan (FY07-08):

Country Case StudiesIndiaChina Mexico BrazilSouth Africa

Next Steps – Clean Next Steps – Clean Energy & DevelopmentEnergy & Development

Mobilization of donor assistance and implementation of the Africa Energy Access Action Plan;

Further refinement of the financing options to support the transition to a low-carbon economy;

Strategy Development including tools and finance to meet the challenge of adaptation.

For more For more information…information…

http://www.worldbank.org/rehttp://www.worldbank.org/retoolkit

FY06 RE & EE Progress Report forthcoming in December 2006