We are thrilled to announce that six ambitious Projects from the Call for Projects 2025 have been selected to enter the Detailed Preparation Phase (DPP). These projects, located in Brazil, Kenya, Kazakhstan, the Philippines, and Viet Nam are poised to shift their respective sectors towards a carbon-neutral development pathway.
Below is an overview of each selected project:
Philippines – Green Cooling Solutions emphasises a green economy transition, with policies focusing on renewable energy, sustainable agriculture, waste management and low-carbon development. The current NDC commits to reduce GHG emissions by 990 MtCO2e by 2030 and aims for 10% reduction in overall energy demand by 2040. The commercial and industrial (C&I) sectors, account for 33% of final energy consumption, are crucial in this transformation. The project’s financial mechanism combines concessional loans through the Development Bank of the Philippines, a credit guarantee facility at PhilGuarantee to ease lending requirements, and repayable grants for investment-grade audits, all supported by standardized performance contracts to strengthen the enabling environment for energy-efficiency investments. The project aims to reduce GHG emissions by supporting 283 cooling-intensive C&I facilities transition to EE and renewable energy solutions.
Viet Nam – Decarbonising Cement is the third-largest cement producer in the world, with the sector accounting for 10-12% of the country’s total CO2 emissions, driven by high energy intensity and heavy reliance on clinker. The initiative contributes to the Viet Nam’s Green Growth Strategy, NDC and Power Development Plan VIII by abating 12.1 Mt CO2e during Project Implementation Phase. The project aims to improve energy efficiency, reduce process emissions and demonstrate scalable low-carbon cement solutions such as LC3, resulting in transformation of the nation’s cement sector through a cross-section of technological, financial and institutional innovation to accelerate deep decarbonisation. The project provides concessional loans, sustainability-linked credit lines, and SPV-based financing for firms adopting low-carbon technologies such as LC3 and Waste Heat Recovery, while mobilizing private capital and offering targeted support for women-led SMEs through reduced guarantee premiums and blended advisory grants.
Brazil – Sustainable Aviation Fuel is establishing the first industrial-scale Macúba oil milling facility, enabling cost-effective, second-generation Sustainable Aviation Fuel (SAF) production. The project supports Brazil’s NDC target of 59-67% GHG reduction by 2035 and aligns with the National Biofuel Policy and the National SAF Programme. With an annual production capacity of 97 million litres of Macúba oil, the project will enable 85 million litres of SAF, achieving up to an 80% GHG reduction compared to fossil jet fuel, resulting in a reduction of 1,416,727 tCO2e over the project’s lifetime plus ten year post-project . The project will mobilise a blended finance package, including sponsor equity and concessional finance, to provide affordable capital that de-risk first-movers investments, funds industrial infrastructure, and enable inclusive financial tools for smallholders.
Kenya – Renewable and Efficient Water Systems’s water sector, vital to both the economy and the population, faces high energy costs and emission due to reliance on diesel generators and grid electricity. Energy expenses account for up to 63% of operation costs for Water Service Providers (WSPs), undermining both financial and environmental sustainability. The project aims to replace diesel generation by integrating 39 MW of solar PV systems and implement advanced energy efficiency technologies across 70 WSPs, mitigating an estimate of 116,603 tCO2e during implementation thereby strengthening service reliability for over 23 million people. The project establishes a blended finance facility, managed by the Water Sector Trust Fund (WSTF), to mobilise private co-finance alongside concessional funding, providing affordable loan for WSPs to invest in RE and EE technologies. The facility features a revolving structure to ensure financial sustainability.
Kazakhstan – Wind and Energy Storage Systems is the largest CO2 emitter in Central Asia, with the energy sector accounting for 85% of the GHG emissions, driven by predominant reliance on fossil fuels, with coal responsible for 70% of electricity generation. The project is expected to achieve a GHG emissions reduction of 8.9 MtCO2e over the 20-years lifetime of the plant by deploying two wind turbines with a total installed capacity of 2 GW along with a 600MW/1,200MWh battery energy storage system (BESS). The deployment will reduce coal reliance increase green energy capacity and enhance national energy security. The investment grant will partially cover capital expenditure for the construction of two wind turbines and the BESS, helping to overcome financial barriers related to high capital costs and extended payback periods, thereby supporting commercial viability and enabling access to long-term financing that is not currently available in the market.
Multi-Country – SCAF III focuses on clean energy generation through solar and wind technologies, as well as small hydro, battery energy storage systems and energy efficiency solutions. The initiative contributes to improving the energy mix by addressing structural barriers that hinder clean energy development in Sub-Saharan Africa and Southeast Asia, South Africa, Zambia, Indonesia and the Philippines. The project expects to show direct mitigation impact of 6,994,345 tCO2e over the project lifetime by creating a demonstration effect, encouraging private capital to move upstream in the development value chain through financing projects with mature developers in stable clean energy policy environments, catalysing market replication and scale. The project’s Financial Cooperation component will serve as first-loss capital in a multi-layer capital debt fund, providing an effective instrument to mobilise both public and private sector investment.
Furthermore, the Donors approved two projects from the 2023 and 2024 Call for Projects for Implementation Phase 1.
Colombia – Energy Communities strengthened the country’s climate commitment by revising the NDC to achieve 51% reduction in emissions by 2030, with the energy sector at the core of this effort. The project focuses on implementing the ESCO-led Energy Communities (EC) model, encouraging local communities to participate in energy production through self-generation and distributed energy resources. The initiative is envisaged to reduce 177,243 tCO2e and to provide sustainable energy to low- and middle-income communities introducing 105 MW of new distributed renewable energy capacity, strengthening institutional frameworks, mobilising public and private investment and building capacity of stakeholders to manage ECs. The financial component of the project consists of two main interventions: energy community convertible grants and a credit guarantee fund to leverage public and private co-funding. The project additionally aims to generate 10,157 green jobs, with women occupying half of these positions.
Kazakhstan – Reactive power for energy savings low electricity prices driven by fossil fuel subsidies, reduces incentives for investment in addressing reactive power inefficiencies. Consequently, the energy sector is responsible for 77% of the national GHG emissions. The project promotes large-scale utilisation of reactive power to reduce energy losses during electricity transmission, through demonstrating the economic viability of the technology, potentially contributing to scaling up reactive power solutions and addressing regulatory barriers to investment. The project will leverage existing green finance mechanisms in the country, including green bonds and loans, to scale-up the technology, and will provide CAPEX grants for piloting and follow-up investments.