Transformative Carbon Asset Tender

The goal of the Transformative Carbon Asset Facility TCAF is helping developing countries implement their plans to cut emissions by working with them to create new instruments associated with reduced greenhouse gas emission reductions including those achieved through policy actions.BackgroundClimate change is a fundamental threat to sustainable economic development and the fight against poverty. A warming planet threatens to put prosperity out of reach of millions. Pricing carbon is a necessary element in spurring climate change mitigation action. TCAF which is managed by the World Bank and supported by countries like Germany Norway Sweden Switzerland and United Kingdom is an important initiative in the international fight against climate change. The facility will pay for emission cuts in large scale programs in areas like renewable energy transport energy efficiency solid waste management and low carbon cities.ObjectivesTCAF will support countries to implement market-based carbon pricing and sectoral mitigation measures and in the process pilot new and innovative greenhouse emission reduction crediting mechanisms providing blueprints for efficient and low-cost mitigation globally and at scale. The instruments that will be piloted by the Fund will provide a financial incentive in the form of payments for verified emission reductions or carbon credits. The Fund will aim to support programs that can achieve results relatively quickly and that are scalable.