Islamic Development Bank

Energy access and fuel poverty

This page is part of the E3G Public Banks Climate Tracker Matrix, our tool to help you assess the Paris alignment of public banks, MDBs and DFIs

 

 

Share
Paris AlignmentReasoning
N/AIt is unclear whether a bank-specific goal has been set and whether progress monitoring is taking place.
 Alignment and Reasoning
Energy Access TargetN/A – clarification welcome.
Minimum Definition of AccessN/A – clarification welcome.
% of Energy Financing Dedicated to Energy AccessN/A – clarification welcome.
Is Progress MonitoredN/A – clarification welcome.
Progress Against MetricsN/A – clarification welcome.

Explanation 

In 2014, the Islamic Development Bank (IsDB) and the Islamic Solidarity Fund for Development (ISFD) along with other development partners launched a 3-year program called Renewable Energy for Poverty Reduction, which focuses on improving access to electricity through off-grid hybrid energy solutions such as mini-grids that combine solar and diesel generators. The program focused on six countries, mainly in Sub-Saharan Africa.

The programme is part of IsDB’s “pro-poor” energy initiative that seeks to make electricity accessible to the poor, especially rural populations that are 2.5 times less likely to access electricity than those in urban areas in the bank’s region of operation.

In 2018, IsDB signed a partnership with Sustainable Energy for All (SE4All), a non-profit international organisation established by the UN and World Bank, to create the new Hub which will support energy access, scale up renewable energy and enhance energy efficiency in the Middle East region.    

The new SE4All Middle East Hub will raise awareness at the national and regional level of the challenges, constraints and opportunities available while achieving the three core objectives of SDG7:

  • Ensuring universal access to modern energy services
  • Doubling the share of renewable energy in the global energy mix
  • Doubling the global rate of improvement in energy efficiency

The Hub will enable the exchange of ideas and technology transfer in renewable energy solutions. It will also work with governments and the private sector to boost energy efficiency in the commercial and residential sectors.

The Hub will assist fragile IsDB countries with energy access whilst developing plans for the reconstruction of its energy sector, leveraging the resources and synergies of SE4ALL partners worldwide to boost energy access, scale up renewable energy and enhance energy efficiency in the region. 

Recommendation: The Bank should consider setting a bank-specific energy access target and develop a method of monitoring progress against this and SE4All metrics.

Last Update: November 2020

Subscribe to our newsletter

    Privacy and Cookie policy