The World Bank-led Carbon Initiative for Development (CI-Dev) has signed its first purchase agreement, contracting with developer SimGas to buy carbon credits from a PoA to roll out home biogas systems in east Africa.
“We have a pipeline of projects and SimGas’s Kenya project is the first to cross the finish line,” said Vikram Widge, who heads the World Bank’s climate and carbon finance unit, by phone on Friday.
The four-year old CI-Dev has whittled down hundreds of applicants and plans to sign contracts with 12-15 projects this year with its $100 million capitalisation ringfenced for buying carbon credits.
The agreements are expected to average between $3-15 million of so-called results-based financing, which pays out upon delivery of CERs for a period of 5-7 years.
The price the fund expects to pay for CERs from these projects varies between €4 and €10 each ($4.30-$10.80), with the exact price negotiated with each project.
Blog » Four years on, World Bank CDM fund signs up first Program of Activities (PoA)
Four years on, World Bank CDM fund signs up first Program of Activities (PoA)
The World Bank-led Carbon Initiative for Development (CI-Dev) has signed its first purchase agreement, contracting with developer SimGas to buy carbon credits from a PoA to roll out home biogas systems in east Africa.
“We have a pipeline of projects and SimGas’s Kenya project is the first to cross the finish line,” said Vikram Widge, who heads the World Bank’s climate and carbon finance unit, by phone on Friday.
The four-year old CI-Dev has whittled down hundreds of applicants and plans to sign contracts with 12-15 projects this year with its $100 million capitalisation ringfenced for buying carbon credits.
The agreements are expected to average between $3-15 million of so-called results-based financing, which pays out upon delivery of CERs for a period of 5-7 years.
The price the fund expects to pay for CERs from these projects varies between €4 and €10 each ($4.30-$10.80), with the exact price negotiated with each project.
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