Photo: Eskender Debebe/UNDP
UNDP assists developing countries to attract and direct public and private investment towards low-carbon development. The bulk of greenhouse gases emissions caused by human activity come from the energy sector, primarily as a result of burning fossil fuels (coal, oil, and natural gas) to provide energy for industry, electrical power, heat, transportation, etc. UNDP supports countries to improve energy efficiency and promote renewable energy, such as solar, wind, and hydro.
Investment in low-carbon activities can be a key spur for sustainable development and poverty reduction. UNDP’s integrated approach to assisting developing countries supports the creation of enabling policy frameworks, local capacities, and provides advisory services for accessing, using, and reporting on a variety of sources of funding. Public funds for climate change mitigation and low-carbon development include the Global Environment Facility (GEF), the carbon markets, and various multilateral, bilateral and sub-national funds and donors.
In the transition to a green, low-carbon future, carbon finance – and the act of putting a price on carbon – is an increasingly important tool. UNDP has established MDG Carbon to serve as its corporate framework for carbon finance activities. MDG Carbon encompasses a variety of programs seeking to expand access to carbon finance to under-represented countries, to leverage carbon finance for sustainable development outcomes, and to promote carbon finance actions at scale.