USD 210 million
For large scale renewables such as geothermal, the preparation, construction and commissioning could take four to five years. For industrial and residential energy efficiency programs, the lead time to emission reductions generation is shorter, likely two to three years.
The Transformative Carbon Asset Facility (TCAF) is a World Bank trust fund designed to support developing countries in implementing market-based carbon pricing mechanisms and creating the conditions for private sector investment in low-carbon technologies.
TCAF offers an innovative hybrid funding structure—mobilizing both climate finance and carbon market funding for payment against emission reductions.
Germany, Norway, Sweden, Switzerland, Spain, Canada, and the UK.
Co-financing Requirement Details
TCAF funding can be used to leverage private financing.
Funding Type
Organizational and Decision Making Structure
TCAF is hosted and administered by the World Bank.
Eligibility Criteria
To be eligible for TCAF funding several core parameters must be met. These include sustainable development, transformational change, baseline(s) setting, additionality, MRV, crediting periods, and pricing considerations. Please refer to the TCAF Guidebook for additional eligibility criteria information.
Eligible Countries
IBRD and IDA eligible countries
Understand steps to access
To build the Facility pipeline, the Facility management team will reach out to development partners both within and outside of the World Bank Group to identify promising concepts and programs. Funding can be accessed through the following steps:
- Identification: Programs that align with the objectives of the Facility are identified and the Trustee will prepare a preliminary Program Information Note (pre-PIN). If moved into the preparation phase by the World Bank, the implementing entity will develop the Program Information Note (PIN) that explains how the identified program meets eligibility criteria on technology and sector and is designed to meet the six guiding principles
- Preparation: the implementing agency will prepare a series of studies and plans. Concurrently, the TCAF team will provide policy and project advice, directly or through external consultant(s), along with financial assistance to the implementing entity to have broad internal consultation(s) and develop a Program Design Document that provides details on the technical and institutional “building blocks” required for the crediting program.
- Appraisal: The World Bank GP team will prepare a draft Project Appraisal Document (PAD) to conclude whether the project meets requirements. A decision meeting, chaired by the CMU, will make a decision for appraisal. Upon completion of satisfactory appraisal, the project will be reviewed and authorized by the World Bank Board negotiation and signing of loan agreement.
- Implementation and supervision: The World Bank will supervise the crediting program implementation as per its policies and guidelines, reporting on implementation progress on a regular basis. As provided by the ERPA and the methodological approach developed for each program, emission reductions will be independently verified on a pre-determined schedule and payments will be made to the implementing entities.
Find additional information on the application process here. Review Facility core parameters here.