Result Based Finance (RBF)
To date, the participation of urban authorities and of urban mitigation projects in the global carbon market and other RBF activities remains extremely limited. The under-representation can be linked both to the difficulties to implement urban mitigation projects and to the difficulties for cities to access the carbon market.
Resulting from “Closing the Gap through Transformative LoCaL Action” (CGTLA) project, Result-Based Finance builds on identified interest and momentum around results-based financing for city-level sustainable development actions. To further enable this financing mechanism to flourish, the project aims to:
- Evolve the Gold Standard Sustainable Cities Framework into a results based financing certification standard for city level actions
- Create a pipeline of lowIcarbon city projects for certification; and
- Develop and pilot low carbon city projects/programme under the certification Standard
The proposed outcomes (1) (partially) and (2) (fully) would be realized using Climate-KIC funding. The outcome
(3) is dependent on securing additional external funding, as detailed under the ‘fundraising’ section.
New: Factsheet Publication!
Have a look at the recently published factsheet on valuing development co-benefits to make low-carbon investment in cities bankable, including a comparative analysis between projects in waste and transportation sectors.