Inclusive Green Growth for EAP Cities

Project Summary:

The project aimed to increase energy efficiency and job opportunities and decrease greenhouse gas emissions. Choosing energy-efficient solutions for urban infrastructure challenges can help cities become global engines of green growth. This World Bank KGGTF-funded green growth implementation program aims to incorporate energy efficiency and emissions targets in green business strategies in Da Nang and Surabaya. The proposed program would identify possible public- and private-sector investors, attempt to reform national and local financing policies and incentives, monitor and evaluate pilot programs, share lessons learned from Korea, and organize capacity-building workshops on how to scale-up sustainable urban growth. The intent is to help cities develop their own plans for low-carbon futures that strengthen governance and economic growth, and improve quality of life and environmental protection.

List of Activities:

• Overall coordination and project planning and management
• Develop MRV toolkit and pilot testing
• Identify potential financing sources
• Operationalize the GBP
• Project Development and feasibility studies
• Develop a financing package
• Transaction closing of selected projects

Outcomes:

Output 1:

• Potential financiers to support PPP SUEEP projects in Da Nang, Surabaya, and other cities.

Output 2:

• Accounting Framework to evaluate energy consumption and GHG emissions impact over time.

Output 3:

• Develop and scale solutions for in other cities in the two countries, Vietnam and Indonesia.

Outcomes:

The requested KGGTF grant for Work Stream1 together with proposed partnership arrangements amongst PPIAF and IFC to support the other two Work Streams will seek to support the WBG in delivering green growth initiatives in the two countries Vietnam and Indonesia. Further, support from other internal and external partners as envisaged would be timely in sharing the lessons learned in implementing green growth through the infrastructure sectors, to achieve the following outcomes in the long run: (i) Improved Efficiency: Use of complimentary measures to promote investments and shift consumer behavior using a combination of energy planning that use energy efficiency technology, stakeholder engagement, and low carbon promotion investments in public transport, pricing policies and energy and environmental management. (ii) Greater Resilience: Use of multi-sector coordination and institutional process to increase communication efficiencies; and (iii) Increased Competitiveness: Use of green growth policies where substantial synergies exist between environment, energy efficiency and growth objectives.

Collaboration with K-Partners and Others:

• WBG internal partners: PPIAF, IFC PPP Advisory, IFC Sub-National Financing, Low Carbon Livable City Initiative
• K-partners: KEMCO and Korea University Urban Lab
• Other external partners: Green Climate Fund, Singapore Government, C40 Cities Climate Leadership Group, ICLEI, ADB, JICA