January 14, 2007

Renewable energy standards on the rise
The European Commission is to create a global risk capital fund worth €100 million to boost energy efficiency and renewable energy projects in developing countries.
Brussels hopes that the Global Energy Efficiency and Renewable Energy Fund will encourage private investment in such projects.
Renewable energy projects in these countries are struggling to attract private capital, because of relatively high levels of perceived risk.The Commission hopes that the fund will allay these concerns by offering risk-sharing financing options to encourage investments. It intends to kick-start the fund with a contribution of €15 million next year and a total of around €80 million over the next four years.