Green Growth Action Alliance Launched to Catalyze Private Sector Investment
17 June 2012: The Green Growth Action Alliance (G2A2) has been launched to address the estimated US$1 trillion annual shortfall in green infrastructure investment and support greater investments in clean energy, transportation, agriculture, and other green growth areas. The first action to be undertaken by the Alliance will be to assist Mexico in unlocking private finance for investments in businesses and technologies, to help reduce greenhouse gas (GHG) emissions by 30% by 2020.
The Alliance, which was launched at the Business 20 (B20) Summit in Los Cabos, Mexico, on 17 June 2012, calls for actions to be adopted in five target priority areas over the next three years, as follows: promote free trade in green goods and services; achieve robust carbon pricing; end inefficient subsidies and other forms of fossil fuel support; accelerate low-carbon innovation; and increase efforts to target public funding to leverage private investment.
The Alliance will focus on identifying and deploying public money that can be used to catalyze private sector investment. It will also: identify innovative financing and de-risking structures; support pilots of new models and market frameworks; and feed results into key international processes. It will work with existing initiatives, such as the UN Sustainable Energy for All (SE4ALL) initiative, the Green Climate Fund (GCF) and the International Development Finance Club (IDFC). It will report on its progress to future Group of 20 (G20) Summits.
The World Economic Forum (WEF) will serve as Secretariat of the Alliance, supporting members and G20 governments to track progress and encourage compliance with the objectives. [Launch Announcement]