WASHINGTON, June 9 (UPI) -- It is "critical" that the United States support the Clean Technology Fund, a Treasury Department official told a House subcommittee.
The statement came from the testimony of David McCormick, U.S. Treasury undersecretary for international affairs, before a House Subcommittee on Financial Services.
The Clean Technology fund is a multilateral initiative that aims to help developing countries fund the cost of deploying clean energy technologies.
"If we take no action to provide developing countries with the right incentives, their investments today could lock in a legacy of highly polluting, less efficient technologies for which we would all eventually pay through the accelerated effects of climate change," McCormick said.
The record-breaking economic growth in developing has increased demand for energy.
The Bush administration has asked Congress to commit $2 billion to the fund, making the United States the lead donor.
The United Kingdom and Japan already have pledged their support to the effort, and with the help of other countries up to $10 billion could be raised over the next three years.
The fund has three objectives: to reduce emissions through the accelerated deployment of clean technologies, to stimulate and leverage private sector investment in clean technology, and to promote international cooperation on global climate change agendas, McCormick said.