C40 Cities Partners With World Bank

Posted on June 10, 2011 by

On June 1, 2011, the World Bank signed an agreement with the C40 Cities Climate Leadership Group (C40) that will support cities in their emission reduction efforts and climate change adaptations. The C40 is an organization of large and engaged cities from around the world committed to combating climate change through meaningful and sustainable climate related actions. C40 cities account for 8 per cent of the global population, 12 percent of the global greenhouse gas emissions and 21 per cent of the global GDP. The C40 cities are partners of the Clinton Climate Initiative that tackle climate change in cities.

The agreement was signed at the C40 Cities Mayors Summit in Sao Paulo by C40 chair New York city Mayor Michael R. Bloomberg and World Bank Group President Robert B. Zoellick. The New York Mayor said that this partnership will help solve many of the problems that cities face in terms of obtaining finance for climate related projects from the world banks and from other lenders. It will also provide such cities with access to the resources of the World Bank. Robert B. Zoellick stated: “This agreement will help us work with C40 cities to integrate growth planning with climate change adaptation and mitigation, with special attention to the vulnerabilities of the urban poor.”

This agreement will address the structural issues that make it difficult for cities to finance climate actions as identified by both the C40 cities and the World Bank.

The agreement will help establish two key points.

  • A consistent approach to climate action plan and strategies so as to attract investors who would have otherwise been reluctant to invest in disorganized initiatives.
  • A standardize approach to measuring and reporting on city greenhouse gas emissions. Such a standard is non-existent in the whole world today. This quantification will allow the verification and monitoring of emission reduction efforts and hence facilitate access to carbon finance.

World Bank’s accessibility for the C40 cities will be through a single entry point through which World Bank would be able to help build climate change related capacity for the C40 and to provide technical assistance.

This agreement will play a pivotal role in providing the C40 cities with access to governments and to private sector partners who are interested in funding climate change projects. Through the International Finance Corporation, the World Bank also will identify opportunities from among sources of concessional finance, carbon finance, innovative markets, risk management instruments and private sector investors and give project developers access to these resources.

Posted in: Sustainability