European Bank for Reconstruction and Development

Technical assistance for implementing Paris goals

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

 

 

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Paris AlignmentReasoning
Some ProgressThe EBRD supports members in NDC implementation and “updating” through its support programme and GET approach, but it is unclear if it supports increased ambition.
Climate-related technical assistance at policy-levelNDC ambition increase goal?Non-NDC technical assistance
Implementing partner of NDC Partnership; engages countries through GET and NDC Support Program.More information requested regarding NDC ambition raising, reference to “updating” NDCs in Green Economy Transition approach.GET approach includes an array of technical assistance platforms.

Explanation

Nationally Determined Contributions

The EBRD has an NDC Support Program, which provides technical assistance, capacity building, policy dialogue with governments and the private sector. The EBRD is providing support to strengthen countries monitoring, reporting and verification (MRV) through this platform. Primarily, support is focused in two areas: first, providing support including policy/legal analysis, revision of action plans and developing appropriate regulations aligning with the NDC; and second, engaging the private sector to facilitate cooperation and recommendations, alongside knowledge sharing and “creating a stronger narrative around NDCs”. The EBRD, along with other MDBs, is part of the NDC Partnership, showing its commitment to support countries with the implementation of NDCs.

The original conception of the Green Economy Transition approach did not include an aspect of NDC support, but this has since been amended. The approach now includes the NDC Support Program, which allows the Bank to help countries “develop, implement and update” their NDCs in line with GET priorities. While this platform is welcome, we would like to see more public information on the Program’s operations and priorities, as currently information can only be found in relation to the GET approach.

Other technical assistance

The EBRD is playing a role in catalysing markets in countries using the private sector. For example, the EBRD’s work in Kazakhstan has involved technical assistance to improve the renewable energy law, ensuring the country has an adequately resourced agency to implement energy efficiency strategies. This support has been potentially transformational in helping the country to enhance the bankability of renewable energy and energy efficiency projects. 

The GET Approach also addresses the need for cross-cutting technical assistance programmes. Aside from NDCs, the approach assists member countries with national and sectoral planning and policy development.  Specifically, the energy sector is well covered as it includes assistance for scaling up renewable energy, energy efficiency, power market reform  and certification schemes. Other areas include capacity building and knowledge sharing on climate change mitigation and sustainable transport.  Policy and regulatory support includes these and non-energy sectors such as sustainable afforestation standards, carbon markets and finance.

Fossil fuel subsidy reform

Regarding energy subsidies, the EBRD’s Transition Report for 2017-8 covers this topic as well as progress on reducing GHG emissions. It notes that according to the IMF, the EBRD regions fossil fuel subsidies had a total value (excluding tax treatment) of $112bn in 2013 (equivalent to 1.7% of the region’s GDP). The EBRD highlights that a business environment conducive to low carbon investment should “start with the removal of energy subsidies and the introduction of appropriate pricing of carbon emissions”. The EBRD has also worked with governments in Egypt and Kazakhstan to better understand the fiscal implications of a green economy transition including stranded asset risks.

Last Update: November 2020

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