page 1
page 2
page 3
page 4
page 5
page 6
page 7
page 8
page 9
page 10
page 11
page 12
page 13
page 14
page 15
page 16
page 17
page 18
page 19
page 20
page 21
page 22
page 23
page 24
page 25
page 26
page 27
page 28
page 29
page 30
page 31
page 32
page 33
page 34
page 35
page 36
page 37
page 38
page 39
page 40
page 41
page 42
page 43
page 44
page 45
page 46
page 47
page 48
page 49
page 50
page 51
page 52
page 53
page 54
page 55
page 56
page 57
page 58
page 59
page 60
page 61
page 62
page 63
page 64
page 65
page 66
page 67
page 68
page 69
page 70
page 71
page 72
page 73
page 74
page 75
page 76
page 77
page 78
page 79
page 80
page 81
page 82
page 83
page 84
page 85
page 86
page 87
page 88
page 89
page 90
page 91
page 92
page 93
page 94
page 95
page 96
page 97
page 98
page 99
page 100
page 101
page 102
page 103
page 104
page 105
page 106
page 107
page 108
page 109
page 110
page 111
page 112
page 113
page 114
page 115
page 116
page 117
page 118
page 119
page 120
page 121
page 122
page 123
page 124
page 125
page 126
page 127
page 128
page 129
page 130
page 131
page 132

change induced glacial lake outburst floods happening(through artificially lowering the water levels of one ofthe most dangerous glacier lakes), but also introducesmeasures and capacities such as early warningsystems and evacuation plans that will reduce theimpact of glacier lake outburst floods if or when they happen.These GEF successes are the result of many visionaries,many donors, and many partners. Over our history wehave laid a strong foundation to learn from and build.We see ourselves as a learning organisation with aunique role - to catalyse in the developing world waysto transfer new technology and to adapt to the existingchallenges of climate change. As the global communitybegins to embrace and accelerate future investments to protect the climate and promote sustainabledevelopment on a much larger scale, we believe that GEF investments will again lead the way. nABOUT THE AUTHORMonique Barbut, a French national, has been the Chief Executive Officer (CEO) and Chairperson of the Global Environment Facility since August2006. She was appointed by a unanimous decision of the GEF Council in June 2006. During her tenure she initiated widely recognised path-breaking reforms that have made the GEF organisation a more effective, responsive and results-basedinstitution. In November 2008, Monique Barbut was re-appointed by the GEF Council for an additional three-year term; as CEO she also led a record replenishmentfor the GEF's fifth funding cycle with donors recentlyannouncing a record US$4.3 billion over the nextfour years. Prior to joining the GEF, Mrs Barbut served as Directorof the Division of Technology, Industry andEconomics of the United Nations EnvironmentProgramme (UNEP) from September 2003 to July2006, where she undertook a reorganisation of theDivision and established a pragmatic approach toensuring the link between environment andeconomics, setting up development policies and pilotprojects, including in developing countries orcountries experiencing critical backgrounds (Chinaand Iraq).As a member of the French government delegation tothe 1992 Rio Earth Summit, Mrs Barbut was a keyplayer in the financing negotiations, and later on anactive negotiator in the creation of the GlobalEnvironment Facility (GEF) as well as the FrenchGlobal Environment Facility (FGEF), to which she wasappointed first Chief Executive Officer.FINANCE039control programmes in areas where changingtemperature and rainfall patterns create a newenvironment for diseases such as malaria and denguefever. Similarly, new investments in flood managementwill be required when frequency of flooding increases,especially if settlements have to be abandoned andpopulations relocated. We know this from past practice: in Bhutan, the LDCFfunded a project which limits the actual risk of climate

" "LAST YEAR THE EUROPEAN INVESTMENTBANK'S DEDICATED CLIMATE ACTIONAMOUNTED TO OVER ?17 BILLION OF LOANS ith the world's leaders in CancĂșn todiscuss climate action, the EuropeanInvestment Bank, as an observer to theConference of Parties, fully supports theEuropean Union's approach to international climatepolicy. We strongly support the goal of sustainable, low-carbon, climate-resilient growth, and work closely withCommissioner Connie Hedegaard and her colleagues toachieve this. Strong and effective action to limit globalwarming is urgently needed.Our corporate objectives, principles and standardsclosely follow EU and international climate policydevelopments. CO2 emission reduction is incorporatedin sector lending policies and practices. We assess thecarbon footprint of projects and screen for climaterisks to identify potential for carbon credits. Projectsalso benefit from our in-house technical expertise toencourage best practice, provide policy guidance andensure that borrowers can draw on our know-howthrough technical assistance. ENGAGEMENT AT ANUNPRECEDENTED SCALELast year the European Investment Bank's dedicatedclimate action amounted to over ?17 billion of loansfor climate change mitigation, reduction of CO2emissions and adaptation that increases resilience toclimatic uncertainty. We are on track to achieve a higherengagement in climate change mitigation or adaptationprojects, rising to 27 per cent of all lending by 2010.The EIB has provided nearly ?3 billion to supportonshore wind projects inside and outside the EU.Lending for emerging technologies in off-shore windand solar, both photovoltaic and concentrated solarpower, has substantially increased. We further wish toplay a constructive role in supporting second generationbiofuels, carbon capture and storage, and marinetechnologies. We cannot say how fast costs will drop orwhich technologies will be most successful in the end,but there is a special role for us to give early adopters ahelping hand, for the subsequent benefit of everyone.SCALING UP LENDING FORRENEWABLE ENERGY AND ENERGYEFFICIENCYRenewable energy technologies - wind turbines, solarenergy parks - look great in pictures and are the mostvisible business, although they represent only part ofour climate action lending. We work with cities andregions to improve the energy efficiency of buildingsand public infrastructure (transport, public lighting).We are in partnership with the European Commissionto provide necessary technical assistance - needed inEurope just as much as elsewhere. Energy efficiencyprojects may not make the best photographs, butenergy efficiency is recognised as the most costeffective way of reducing greenhouse gas emissions.Our energy efficiency lending reached ?1.5 billion in2009, and we are determined to do more in this area.CARBON CAPTURE AND STORAGEIt is clear that carbon capture and storage is anemerging technology that needs to be proven atcommercial scale. I would like to mention that theEuropean Investment Bank's close cooperation withthe European Commission on a new programme tosupport demonstration plants in the areas of carboncapture and storage, using funding provided by theEuropean Parliament from the New Entrants ReserveINVESTING IN CLIMATE ACTION: AN EIB PRIORITYREGIONAL 040PERSPECTIVESPHILIPPE MAYSTADT, PRESIDENT, EUROPEAN INVESTMENT BANK (EIB)W