Unlocking the potentials of private financing for accelerated low-carbon energy transition: An overview

Venkatachalam Anbumozhi, Fukunari Kimura, Kaliappa Kalirajan

Research output: Chapter in Book/Report/Conference proceedingChapter

Abstract

Emerging economies of Asia will need to see some US$200 billion in annual capital expenditure on low-carbon energy supply and in energy efficiency to meet the Nationally Determined Contributions (NDCs) targets under the Paris agreement framework. The scale of this investment required to decouple carbon emissions from economic growth, will inevitably have to rely largely on mobilizing private capital. This chapter provides an overview of available channels to mobilize private investment in low-carbon transition. It argues that the private capital that can be mobilized to support low-carbon transition, is very much depend on the risk return profile of the investment and the regulatory environment in which these investors operate. If the governments wish to mobilize capital from the markets, they need to simultaneously understand not only the barriers to the investment but also effective channels through which such capital can flow. This chapter also presents an analytical framework that can characterize the risks to private investments and highlights the role of transaction enablers that governments can use to mobilize institutionally held capital in support of low-carbon energy transition.

Original languageEnglish
Title of host publicationFinancing for Low-carbon Energy Transition
Subtitle of host publicationUnlocking the Potential of Private Capital
PublisherSpringer Singapore
Pages1-13
Number of pages13
ISBN (Electronic)9789811085826
ISBN (Print)9789811085819
DOIs
Publication statusPublished - 2018 Jun 23

Fingerprint

carbon
energy
analytical framework
carbon emission
energy efficiency
expenditure
financing
Carbon
Financing
Energy
economic growth
market
Private investment
Government
Economic growth
Carbon emissions
Investors
Regulatory environment
Risk-return
Capital expenditures

Keywords

  • Banks and bond markets
  • De-risking tools
  • Low-carbon technology
  • Private capital
  • Sustainability

ASJC Scopus subject areas

  • Economics, Econometrics and Finance(all)
  • Business, Management and Accounting(all)
  • Environmental Science(all)

Cite this

Anbumozhi, V., Kimura, F., & Kalirajan, K. (2018). Unlocking the potentials of private financing for accelerated low-carbon energy transition: An overview. In Financing for Low-carbon Energy Transition: Unlocking the Potential of Private Capital (pp. 1-13). Springer Singapore. https://doi.org/10.1007/978-981-10-8582-6_1

Unlocking the potentials of private financing for accelerated low-carbon energy transition : An overview. / Anbumozhi, Venkatachalam; Kimura, Fukunari; Kalirajan, Kaliappa.

Financing for Low-carbon Energy Transition: Unlocking the Potential of Private Capital. Springer Singapore, 2018. p. 1-13.

Research output: Chapter in Book/Report/Conference proceedingChapter

Anbumozhi, V, Kimura, F & Kalirajan, K 2018, Unlocking the potentials of private financing for accelerated low-carbon energy transition: An overview. in Financing for Low-carbon Energy Transition: Unlocking the Potential of Private Capital. Springer Singapore, pp. 1-13. https://doi.org/10.1007/978-981-10-8582-6_1
Anbumozhi V, Kimura F, Kalirajan K. Unlocking the potentials of private financing for accelerated low-carbon energy transition: An overview. In Financing for Low-carbon Energy Transition: Unlocking the Potential of Private Capital. Springer Singapore. 2018. p. 1-13 https://doi.org/10.1007/978-981-10-8582-6_1
Anbumozhi, Venkatachalam ; Kimura, Fukunari ; Kalirajan, Kaliappa. / Unlocking the potentials of private financing for accelerated low-carbon energy transition : An overview. Financing for Low-carbon Energy Transition: Unlocking the Potential of Private Capital. Springer Singapore, 2018. pp. 1-13
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