Industrial Energy Efficiency Finance Program: ADB

The finance program will promote energy efficiency investments in industry through a loan facility to selected financial institutions. These financial institutions will onlend the proceeds to eligible energy efficiency projects in seven industries: brick making, textiles, steel, cement, ceramics, chemicals, and agri-industries. These industries have large energy saving potential and energy efficiency improvement technologies are readily identifiable (either retrofits of existing systems or new systems). A GTZ World Bank report showed that energy efficiency projects in textiles, steel, and chemicals have the greatest carbon emission reduction potential per dollar invested by comparing 16 pilot studies across industries.

The finance program will promote energy efficiency investments in industry through a loan facility to selected financial institutions. These financial institutions will onlend the proceeds to eligible energy efficiency projects in seven industries: brick making, textiles, steel, cement, ceramics, chemicals, and agri-industries. These industries have large energy saving potential and energy efficiency improvement technologies are readily identifiable (either retrofits of existing systems or new systems). A GTZ World Bank report showed that energy efficiency projects in textiles, steel, and chemicals have the greatest carbon emission reduction potential per dollar invested by comparing 16 pilot studies across industries.

The promotion of energy efficiency is a key objective under ADB's Strategy 2020. Energy efficiency is mentioned under both the infrastructure (energy) and the environment (climate change) core areas of operations. Strategy 2020 estimated the annual investment needs for energy efficiency in Asia and the Pacific at $14 billion over the 2009-2018 period. Energy efficiency is also an objective under ADB s country partnership strategy for Bangladesh.