Transformative Carbon Asset Facility
The goal of the Transformative Carbon Asset Facility (TCAF) is helping developing countries implement their plans to cut emissions by working with them to create new instruments associated with reduced greenhouse gas emission reductions, including those achieved through policy actions.
| Country/region | Topic | Period | Budget |
|---|---|---|---|
|
Global |
Climate-friendly growth |
30.06.2016
- |
CHF 12'026'500
|
- World Bank - International Bank for Reconstruction and Development
-
Sector according to the OECD Developement Assistance Commitiee categorisation ENERGY
Sub-Sector according to the OECD Developement Assistance Commitiee categorisation Energy policy and administrative management
Project number UR01006
| Background |
Climate change is a fundamental threat to sustainable economic development and the fight against poverty. A warming planet threatens to put prosperity out of reach of millions. Pricing carbon is a necessary element in spurring climate change mitigation action. TCAF which is managed by the World Bank and supported by countries like Germany, Norway, Sweden, Switzerland and United Kingdom, is an important initiative in the international fight against climate change. The facility will pay for emission cuts in large scale programs in areas like renewable energy, transport, energy efficiency, solid waste management, and low carbon cities. |
| Objectives |
TCAF will support countries to implement market-based carbon pricing and sectoral mitigation measures, and in the process pilot new and innovative greenhouse emission reduction crediting mechanisms, providing blueprints for efficient and low-cost mitigation globally and at scale. The instruments that will be piloted by the Fund will provide a financial incentive in the form of payments for verified emission reductions, or carbon credits. The Fund will aim to support programs that can achieve results relatively quickly and that are scalable. |
| Medium-term outcomes |
Greater participation/mobilization of private and public sector financing for low carbon development in relevant sectors. Mitigation from crediting programs. Establishment of necessary technical requirements for further mitigation activities/programs. |
| Results |
Expected results: Countries have formally entered in the TCAF portfolio with donors agreeing to a funding envelope. Financing mobilized from private and public sources. High Quality baseline methodology and stringent Measurement, Reporting and Verification system in place, endorsed by host country agencies and TCAF Contributors when appropriate. Crediting programs have received disbursements in support of TCAF interventions. Innovation, learning, and Knowledge dissemination. |
| Directorate/federal office responsible |
SECO |
| Credit area |
Development cooperation |
| Project partners |
Contract partner |
| Budget | Current phase Swiss budget CHF 12'026'500 Swiss disbursement to date CHF 0 Budget inclusive project partner CHF 250'000'000 |
| Project phases | Phase 1 30.06.2016 - 31.12.2028 (Current phase) |