Chapter 5 | PROJECTS CONTRIBUTING TO THE OPEC FUND’S CLIMATE FINANCE
objectives are: (i) to strengthen the Colombian government’s capacity to plan, manage and finance climate action; (ii) to foster economic opportunities based on the sustainable use of natural resources and the development of circular econ- omy models; and (iii) to promote the energy transition. The OPEC Fund is funding each of the 41 policy actions equally (in other words, about US$3.7 million per action). Each ac- tion was assessed for its contribution to mitigation, adapta- tion or both. Below is a summary of this analysis. Mitigation: A total of 18 effective policy actions contribute to mitigation with each action assigned a mitigation contribu- tion between 0 percent and 100 percent. The total effective number of mitigation actions is the sum of these percentag- es, resulting in 18 effective actions. This number is used to calculate mitigation finance. Adaptation: A total of 12 effective policy actions contrib- ute to adaptation with each action assigned an adaptation contribution between 0 percent and 100 percent. The total effective number of adaptation actions is the sum of these percentages, resulting in 12 effective actions. This number is used to calculate adaptation finance. Finance calculations: Each of the 41 actions in the US$150 million loan is funded equally. Therefore, mitigation finance comes in at US$65.85 million (18 of 41 actions) while adapta- tion finance amounts US$43.9 million (12 of 41 actions).
SPOTLIGHT STATEMENT The OPEC Fund’s Contribution to Climate Resilience in Colombia & Panama (page 54) “The OPEC Fund has been a pivotal strategic part- ner for CAF in advancing environmental and climate change initiatives. Through a strong collaborative effort, we have co-financed key projects such as the Program to Support the National Climate Change Policy in Panama and the Sectoral Support Program for Biodiversity and Climate Change in Colombia. Together, CAF and the OPEC Fund have invested close to US$1 billion (US$700 million from CAF and US$300 million from the OPEC Fund) to help coun- tries develop and implement sustainable public pol- icies. Thanks to the OPEC Fund’s flexibility, agility and technical expertise, these projects have played a crucial role in enhancing comprehensive climate change strategies and driving impactful environ- mental investments.”
SERGIO DÍAZ-GRANADOS Executive President CAF
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