Climate Change and the World Bank Group: The Challenge of Low‐ Carbon Development

The publication presents the results of an evaluation that aimed to seek lessons and recommendations in relation to the low‐carbon development of the World Bank Group’s portfolio in energy, forestry and transport. The evaluation sought to establish how the WBG’s investments in low‐carbon growth opportunities can have the greatest impact, both for development and for greenhouse gas mitigation.

The three key findings emerging from the evaluation are that (1) The WBG can achieve great impact by providing advice and support for favourable policies such as removal of energy subsidies and other biases against renewables and energy efficiency, (2) Act more like a venture capitalist, by supporting the transfer and adaptation to local conditions of existing technologies, policies and financial practices, and (3) By focusing on high‐impact sectors and instruments, such as energy efficiency and forestry interventions. The report is based around financial investments and their importance in the development of low carbon economies. Again, the publication refrains from defining exactly what low‐carbon development is, but offers a multitude of elements that comprise economic development from a low‐carbon perspective.