Deadline: 31-Jan-22
The United Nations Office for Project Services (UNOPS) has announced the call for proposals for Energy Transition Partnership – Energy Efficiency Innovation Programme, a multi-stakeholder platform that aims to accelerate the energy transition in Southeast Asia and deliver the Paris Agreement targets on climate change by bringing together government donors, philanthropies and partner governments.
ETP aims to empower its partner countries to transition towards an energy system that simultaneously ensures environmental sustainability, economic growth and energy security. To achieve this goal, ETP will mobilize and coordinate the necessary technical and financial resources to create an enabling environment for renewable energy, energy efficiency and sustainable infrastructure in the region.
ETP aims to deliver joint action, improved coordination and dialogue to accelerate the energy transition in the region by addressing impediments to renewable energy, energy efficiency and sustainable infrastructure. ETP Members have come together to fund ETP to
- support an improved delivery environment to accelerate the energy transition in Southeast Asia;
- improve coordination between other relevant initiatives in the region, including capital investments and technical assistance; and
- where possible and appropriate, to promote communication and knowledge-sharing among stakeholders in the region on the energy transition.
With an initial focus on Indonesia, the Philippines and Vietnam, ETP has a mandate to mobilise resources and coordinate the necessary technical assistance to create an enabling environment for the energy transition. This includes high-level technical advisory support, grant-making and capital investment programmes, capacity and skills development programs, and convening of cross-sectoral dialogues with decision- makers and broader sets of stakeholders
Objectives
The ETP Energy Efficiency (EE) Innovation Window can provide an effective pathway through which ETP can provide early-stage grant financing for innovative approaches to address the systemic problem of under-investment into energy efficiency in Southeast Asia. This will allow for a consistent, rapid, and non-duplicative assessment of the many small solicitations for EE funding that are currently being received by ETP on an ad hoc basis. If well-targeted and efficiently implemented, this EE Innovation Window can have a material impact on some of the barriers to EE investment in the target countries, and thereby significantly improve the uptake of energy efficiency in the region.
Outcomes
- ETP seeks to increase the flow of public and private investments to energy efficiency projects in the energy and end-use sectors, and measures its success at this through the following performance metrics:
- National budgets indicate a resolve to maximize RE/EE capacity by allocating increased amounts of public funds and attracting FDI into the RE/EE sector: Through advocacy efforts and technical support, ETP would see that more public funding is allocated to the renewables sector as against the non-renewable sector that indicates the nation’s resolve to promote RE and EE. In addition, national governments advocate and seek support from foreign investments into the RE and EE sector.
- Indicators
- Amount of public funding allocated to RE/EE projects
- Amount of FDI inflow into RE and EE sector initiatives
- Overall, it is expected that the initial investment of grants through the EE Innovation Window can provide grant support for somewhere in the range of 6-12 EE projects in Southeast Asia. Grant recipients are expected to provide cost share, through co-funding of the grant at a minimum rate of 1:1 (including direct and in-kind resources), but the catalytic effect is expected to be much larger. The grant investments will act as catalysts for expanded and increased investment in the marketplace. Each $1.0 of grant funding is expected to unlock and leverage at least $10 of investment into energy-efficiency projects, products, or initiatives in Southeast Asia. These figures are based on conservative expectations for the ability of catalytic investment in energy efficiency barriers to unlock significant additional investments that can be made at positive and attractive rates of return.
Beneficiaries
- The key target beneficiary group(s) of the EE Innovation Window comprise EE project developers and owners, their technical advisors, potential investors, and government agencies involved in energy efficiency projects and businesses. EE project developers and owners may include private companies, civil society organizations, non-profit entities, sub-national governments, or energy sector institutions such as utilities and other market intermediaries. Entities are eligible as long as the grant project does not have the purpose of directly producing a financial profit. Grants to eligible entities can allow for a reasonable recovery of a grantee’s overhead or operational costs up to a limit of 10% of the total project amount.
- ETP’s mandate includes efforts to increase the availability of project finance, de-risk financial instruments, and increase the speed and scale of the development of bankable clean energy projects. Impact is expected to be recorded as a measurable increase in investments in energy efficiency from supported projects, which mirrors the ETP goal to increase public and private investments flows into energy efficiency and renewable energy in each of its target countries.
Eligible Countries
Indonesia, the Philippines and Vietnam
Requirements
- The EE Innovation Window will select projects for grant funding and will guide their implementation phase towards activities that create improved market conditions and “bankability” of energy efficiency projects, and that subsequently catalyse increased public investment and foreign direct investment in energy efficiency in the target countries. In terms of mechanics, it will operate in line with established UNOPS procedures for similar funding windows.
- Eligible technologies and innovations include any that address any of the categories (Category 1: Project Development Support; Category 2: Access to EE Finance; Category 3: Facilitation of Policy Implementation for Energy Efficiency), and also that directly address one or more of the barriers to EE investment. During the application process, ETP will explicitly screen for these questions. ETP will accept applications on an ongoing basis, with evaluation of applications carried out on a quarterly basis.
For more information, visit https://www.ungm.org/Public/Notice/161091