Congress Demands World Bank Reform as Condition for Clean Tech Fund Authorization

June 23, 2008
Solar Thermal Power

Congress will consider new legislation this week that would contribute $400 million to a multilateral Clean Technology Fund (CTF) administered by the World Bank to promote low-carbon energy production in developing countries. But before any money changes hands, lawmakers are demanding key reforms to World Bank investment policies that mirror recommendations CGD senior fellow David Wheeler set out in congressional testimony earlier this month. CGD outreach and policy associate Joel Meister reports that the new bill requires CTF investments to show a preference for zero-carbon energy alternatives like solar thermal power and directs the multilateral development banks to adopt carbon accounting. Meister commends the provisions and says if the House Financial Services committee maintains them during markup of the bill this week it could mean big changes for the World Bank's role in addressing the climate crisis.

Read the blog and comment