The role of financing institutions

The production, conversion, transport and use of primary energy have considerable impacts on the environment and climate. Throughout the world, the energy sectors face the problem of reducing energy-related emissions, preventing them form occurring and contributing towards the development of environmentally friendly and sustainable energy systems. This requires an integrated planning and decision-making process, in which domestic and international financing institutions also participate since they are frequently involved in the appraisal of electricity projects. To ensure that assessment procedures cover not only project risks and aspects of credit worthiness in a narrower sense but also overall environmental and efficiency aspects, the report outlines elements of a code of conduct. This code of conduct should serve as guideline for financing institutions involved in financing energy sector investments. (author). 7 refs, 1 tab