Role of public sector in mobilizing private sector engagement in climate finance : case study : German climate finance

다국어 초록 (Multilingual Abstract)

The thesis examines the role of public sector in mobilizing private sector engagement in climate finance. First, it analyzes the global climate finance by each sector and explains limitations and difficulties in capturing accurate climate finance flows due to an absence of internationally agreed definition of climate finance. Then the study highlights the importance of private sector’s involvement in keeping global temperature rise at 2℃ above the pre-industrial level. It also identifies barriers and risks involved with investment in low-carbon development to explain limited involvement in climate finance by the private sector. The private sector will only engage in stable and profitable environment, so the thesis recommends active role of public sector to create attractive investment environment giving incentives and predictable regulatory framework.
The paper has a case study on German climate finance to find what has been done differently to explain the active engagement by the private sector in Germany. Some of the German government’s standards, regulations and incentives are examined to highlight the role of public sector in mobilizing private sector’s involvement in climate finance. Ambitious targets set by the government, set of right incentive measures and financing mechanism have pulled the private sectors to get engaged in investments for decarbonized society.

목차 (Table of Contents)

• Ⅰ. Introduction 1
• Ⅱ. Analysis of Climate Finance 4
• 2.1 Overview 4
• 2.2 Definition of Climate Finance 7
• 2.3 Global Climate Finance 8
• 2.4 Barriers for Private Sector Investment 15
• Ⅲ. Role of Public Sector 19
• 3.1 Removal of Fossil Fuel Subsidies 19
• 3.2 Feed-in Tariff 20
• 3.3 Quota Systems 21
• 3.4 Tax Incentives 22
• 3.5 Loan Guarantees 24
• 3.6 Loans 25
• Ⅳ. Case Study: German Climate Finance 27
• 4.1 Overview 27
• 4.2 Ambitious Goals 31
• 4.3 Feed-in Tariff in Germany 34
• 4.4 Energy-related Products Directive (ErP) 35
• 4.5 Concessionary Loans 36
• Ⅴ. Conclusion 39
• Bibliography 41