MANILA, Philippines, April 21 (UPI) -- The Manila-based Asian Development Bank will give $1.2 billion to energy projects in Asia.
The ADB will give five private sector funds up to $100 million in capital each for clean energy projects, the Daily Mirror reported.
"ADB believes the success of these funds will help demonstrate the credibility of private equity in the emerging clean energy sector in developing Asia, and mobilize capital to support other private equity funds," said Mu-Shin Kim, Investment Specialist at ADB's Private Sector Operations Department.
The funds -- MAP Clean Energy Fund, China Environment Fund III, GEF South Asia Clean Energy Fund, Asia Clean Energy Fund and China Clean Energy Capital -- will each receive up to $20 million in capital from the ADB. The five funds were selected from 19 fund managers responding to the ADB's call for proposals issued in July 2007.
By 2030 global energy demand is expected to rise 53 percent from current levels, and developing Asia represents a large portion of that growth. With many Asian countries dependent on coal-fired power generation, the ADB wanted to invest in low-carbon emissions alternatives.
"Significant resources need to be invested into clean energy and low-carbon investment alternatives over the next few decades," Kim said.
