This book gives the first no-nonsense, hands-on account of the financing principles and perspectives for Nationally Appropriate Mitigation Actions (NAMAs), the new kid on the block in the battle against climate change. NAMAs are finding their own identity, and most importantly, finding a new financial basis without relying on a carbon market and carbon credit. While the NAMA model may be the right instrument at the right time, it is spawned from the climate change negotiation sphere that continues to suffer from its lack of interaction with the other spheres involved in its actual deployment. Despite 20 years of negotiations, a barrier remains between concept and action. The disconnect is first and foremost between the political sphere and the private-sector sphere, and is particularly rooted in the understanding – or misunderstanding – of finance. This book bridges the gap by addressing policymaking and private sector financing in one volume. It disarms myths, hides nothing behind political correctness and applies a good measure of common sense to advance guidance for the financing of actions that will allow developing countries, having become the prime source of greenhouse gas emissions, to contribute to the global battle against climate change.

Søren E. Lütken is a senior adviser at the UNEP Risø Centre located at the Danish Technical University.

Anthem New Energy Finance

Anthem Environment and Sustainability Initiative

List of Figures and Tables; List of Abbreviations; Foreword; Preface; Chapter 1 Introduction; Part I What Is; Chapter 2 Climate Change and Nationally Appropriate Mitigation Action; Chapter 3 Learning from the CDM; Chapter 4 Defining NAMA Finance; Chapter 5 The Financing Tools . . .; Chapter 6 . . . And the Financiers; Chapter 7 Engineering and Leveraging the Finance; Part II What Ought to Be; Chapter 8 Challenges to NAMA Finance – Mandates, Aggregation and Lack of Instruments; Chapter 9 Roles of the Green Climate Fund; Chapter 10 Conclusion; Notes; References; Index