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The report analyzes Indonesia's public finance levers for clean energy, finding that while IDR 12.4 trillion was provided between 2012 and 2016, this is insufficient to meet the 2025 target of 23% renewable energy in the primary energy mix. It identifies key barriers to private investment, including high financing costs and a lack of long-term debt, and argues that capital injections into local development financial institutions (DFIs) like SMI and the use of guarantees are more effective at leveraging private capital than direct budget appropriations. The report recommends adjusting tariff structures to ensure project viability and expanding the role of DFIs to bridge financing gaps.

The report updates global climate finance estimates for 2015 and 2016, finding an annual average of USD 463 billion. While private investment remains the dominant source, particularly in renewables and the growing electric vehicle sector, the report highlights significant data gaps in tracking adaptation and energy efficiency. It also discusses the challenges of operationalizing Article 2.1(c) of the Paris Agreement to ensure all financial flows are consistent with low-emission and climate-resilient development.

The report examines the adoption of no-till farming, tractors, and fertilizers in Brazil from 2006 to 2017. It finds that while no-till farming has become more spatially decentralized, tractor use has become more concentrated in wealthy, urbanized regions, and fertilizer use has increased without a clear spatial pattern.

The document identifies a critical gap in India's goal to achieve 40 GW of rooftop solar by 2022, noting that as of March 2018, capacity was only ~2.53 GW. It argues that while the Commercial and Industrial (C&I) segment is growing, expansion is limited to high-credit entities, leaving MSMEs underserved due to a lack of credit history and collateral. To address this, the authors propose a Credit Guarantee Mechanism (CGM) as a bilateral loss-sharing agreement between a trust fund and lending institutions. This mechanism would provide a Liquidity Backstop Pool for payment delays and a Partial Loss Guarantee Pool for defaults, effectively reducing the risk for banks lending to Renewable Energy Service Companies (RESCOs). The study estimates that $1 million in donor grant capital could mobilize $14 million in capital and install 18 MW of capacity.

The report evaluates two alternative income streams for oil palm smallholders in Central Kalimantan to mitigate risks from climate change and market volatility. Beef cattle farming, utilizing oil palm leaf waste for feed, is found to be highly profitable with a potential net profit of IDR 2 million per month, though it requires significant upfront capital. Fish cultivation, specifically tilapia and silver catfish, offers a lower-investment alternative, with tilapia providing a potential annual net profit of IDR 7.4 million. Both options are deemed feasible and scalable to help diversify rural incomes and support a green growth strategy in the region.

The report identifies three distinct patterns of agricultural technology adoption in Brazil from 2006 to 2017. The Direct Planting System (DPS) is converging, becoming more widespread across the country. Tractor use is diverging, with increased concentration in wealthier, urbanized regions of the South and Southeast. Fertilizer use has increased overall but lacks a clear spatial pattern, with growth scattered across diverse regions including the Cerrado and Caatinga.

The report evaluates the CAPEX loan model as a way to scale rooftop solar for Indian MSMEs, who struggle with the high upfront costs of the CAPEX cash model and the bankability issues of the RESCO model. Analysis shows the CAPEX loan model can be up to 14% cheaper than the RESCO model, primarily due to accelerated depreciation benefits. However, adoption is hindered by lender disinterest—driven by perceived credit risks and high transaction costs for small projects—and a lack of awareness among MSMEs. The authors recommend implementing partial risk guarantee funds, mandatory O&M contracts, EPC performance guarantees, and standardized solar loan products to mitigate these risks and reduce costs.

The document analyzes energy efficiency (EE) and productive efficiency in 106 Brazilian industrial sectors. It finds that while the efficiency of typical firms improved between 2003 and 2015, the market share of the most efficient firms declined. The analysis suggests that resource reallocation—particularly correcting capital distortions—could significantly increase total factor productivity, far exceeding the gains from energy efficiency improvements alone. It argues that Brazil's EE policies have historically been reactive and focused on residential use, neglecting the industrial sector, which is the largest energy consumer.

The Distributed Energy for Social Housing (DESH) fund is a third-party ownership and rental model designed to overcome financial barriers for low-income Brazilian households accessing solar energy. By funding 100% of projects and eliminating upfront costs and interest rates for tenants, the instrument aims to provide energy at 10-20% below standard utility rates. A 5 MW pilot involving five 1 MW plants in state capitals is projected to require US$ 6 million in investment, serving 2,900 households and mitigating 105,000 tons of carbon emissions. The fund utilizes a dual-class structure with a first-loss tranche for concessional capital and a senior tranche for commercial investors, with a long-term goal of mobilizing US$ 1.1 billion to reach over 677,000 households within 12 years.

The research finds that protected territories in the Brazilian Amazon effectively shield the vegetation within their boundaries from advancing deforestation, particularly in high-risk contexts. However, this protection does not reduce the overall level of deforestation in the region; instead, it appears to deflect clearing activities to unprotected areas. The shielding effect is most pronounced in protected areas for sustainable use and decreases as proximity to transport infrastructure increases.

The Battery Subscription Facility is a special purpose vehicle (SPV) designed to lower the high upfront cost of electric buses in India—which are 1.5 to 2 times more expensive than diesel buses—by providing batteries on a subscription basis. By separating the cost of the battery from the vehicle, the facility aims to reduce upfront capital expenditures for bus operators by 40-50%. The implementation is structured in three phases: a pilot phase (10-30 buses), a catalytic phase (1,000 buses), and a scale-up phase (up to 10,000 buses). The model relies on a tripartite agreement between the bus operator, the Facility, and a local financial institution (LFI), with long-term debt (8-10 years) sourced from development finance institutions (DFIs) to match the cash flow profile of electric bus operations. The facility primarily targets the corporate bus segment to minimize counterparty risk and simplify charging infrastructure installation.

The briefing outlines a sustainable finance instrument designed to transition Indian auto-rickshaw drivers from conventional vehicles to electric ones. By providing 100% debt financing, eliminating collateral requirements, and offering lower interest rates (22%-24% per annum), the instrument aims to replace the current rental model and predatory informal loans. The proposed NBFC structure will pool equity, commercial debt, and concessional capital, utilizing a community-driven loan appraisal and collection system to mitigate default risks. A pilot project targeting 500 vehicles in Bengaluru, Chennai, and Chitradurga is planned to demonstrate the model's viability and environmental impact, with a long-term goal of capturing 5% of the Indian market to avoid 9 million tons of carbon emissions.

The Green Aggregation Tech Enterprise (GATE) is a proposed guarantee facility designed to mitigate demand and payment risks for mini-grids in Sub-Saharan Africa. By guaranteeing a baseline level of revenue, GATE aims to transform mini-grids into a bankable asset class, shifting their financing from donor grants to private debt. The instrument will be piloted in Nigeria, Kenya, Zambia, and the DRC, with a phased implementation pathway moving from a proof-of-concept (2018-2019) to full commercialization by 2028-2030. Financial modelling suggests that at scale, GATE can be sustainable and catalytic, potentially mobilizing US$ 1.725 billion in private investment by 2030 and providing electricity to millions of households and businesses.

The report proposes the PAYS for Clean Transport instrument to address the high upfront costs of electric buses, which can be up to 40% higher than diesel alternatives. Under this model, utilities invest in batteries and charging infrastructure and recover costs through a fixed charge on the bus service provider's (BSP) electric bill. This approach shifts capital expenditure from the BSP's balance sheet to a monthly operating expense, reducing the need for grants and leveraging private finance. Modeling for a 100-bus fleet in Santiago, Chile, indicates that PAYS can make electric buses cheaper than diesel over their lifecycle and leverage over 70 dollars of private investment for every grant dollar provided.

The Responsible Commodities Facility (RCF) is a proposed debt fund designed to halt agricultural expansion into the Brazilian Cerrado by providing low-interest loans to farmers who produce soy and corn on degraded lands. The facility aims to raise US$ 300 million through green bonds to provide crop financing and land restoration loans, utilizing blockchain for traceability and a dedicated exchange to link producers with international sustainable buyers. Over 10 years, the RCF targets the restoration of 1.2 million hectares of land and the avoidance of 55 million tonnes of carbon emissions.

The Rooftop Solar Accelerator (RSA), implemented by Peacock Solar, aims to overcome barriers to residential solar adoption in India—such as high upfront costs and operational inefficiencies—by using a solar leasing model, standardized product offerings, and advanced data analytics. The instrument targets smaller Indian cities, starting with a test phase in Kota, and seeks a mix of commercial debt, equity, and philanthropic capital to scale. If replicated, the model could potentially mobilize US$ 380 million and abate 640,000 tons of CO2 by 2022.

The Smallholder Forestry Vehicle (SFV) is a proposed financial instrument designed to scale smallholder forestry in Africa by aggregating tree production contracts into a Special Purpose Vehicle (SPV). By separating the high-risk establishment and harvest phases from the lower-risk growth phase, the SFV aims to lower the cost of capital and attract institutional investors. A proof-of-concept facility targeting US$ 35 million in coastal Kenya is proposed to restore 5,000 hectares of degraded land and provide climate-resilient savings to over 16,000 households. The analysis suggests that with concessional debt and first-loss equity, the vehicle can achieve a gross internal rate of return (IRR) of 11.1%. Long-term goals include expanding into Greater East Africa and mobilizing up to US$ 8.5 billion in initial investment to meet regional land restoration targets.

The Smallholder Forestry Vehicle is a proposed financial instrument designed to enable forestry companies in Africa to access long-term, low-cost finance by aggregating smallholder tree production contracts into a Special Purpose Vehicle (SPV). By separating the high-risk establishment and harvest phases from the lower-risk growth phase, the vehicle aims to attract institutional investors, including pension funds and impact investors. A proof-of-concept facility targeting US$ 35 million in coastal Kenya is proposed to demonstrate risk-adjusted returns and climate resilience benefits, such as land restoration and diversified income for farmers. The analysis suggests that the instrument can leverage significant private capital and be replicated across other East African nations to meet land restoration targets.

The Socio-Climate Benefits Fund (SCBF) is a proposed investment vehicle designed to combat small-scale deforestation in the Brazilian Amazon. It operates by funding a 'New Company' that provides upfront capital, technical training, and market access to smallholders who implement sustainable agroforestry systems (SAFs) on their land. The model utilizes a vertical integration approach, similar to poultry or swine supply chains, where the New Company and smallholders co-own the harvest. The initial pilot targets the state of Acre, aiming to restore 12,000 hectares of forest and engage up to 3,000 properties over a decade. The fund seeks a mix of grants, concessional debt, and equity to overcome barriers such as lack of long-term finance and market access for small-scale farmers.

The report argues that Brazil's energy efficiency (EE) policies have been reactive and focused on residential consumption, neglecting the industrial sector, which is the country's largest energy consumer. Economic analysis of 106 industrial sectors shows that while the efficiency of typical firms improved between 2003 and 2015, the market share of the most efficient firms decreased. The study finds a strong correlation between energy efficiency and productive efficiency, suggesting that a total reallocation of productive inputs (capital, labor, and electricity) could have increased aggregate productivity by 81% in 2015, though capital misallocation is the primary driver of these losses.