China Climate Change Framework Loan

Promoter – Financial Intermediary

Government of China

Location

• China

Description

The operation would be a large-scale multi-investment scheme under which the Bank could support several individual projects that contribute to the avoidance or reduction of greenhouse gas emissions by the use of renewable energy sources, energy efficiency enhancements, or the capture and use or storage of greenhouse gases, some schemes with the possibility to generate carbon credits.

Objectives

The overall purpose of the operation is to improve the global environment by supporting projects that help to mitigate climate change. It would support materially the EU-China Partnership on Climate Change, which encompasses the China-EU Action Plan on Energy Efficiency and Renewable Energies and the China-EU Action Plan on Clean Coal.

Comments

Targeting projects in the energy sector.

Sector(s)

• Energy

Proposed EIB finance (Approximate amount)

EUR 500 million

Total cost (Approximate amount)

Over EUR 1,000 million.

Environmental aspects

The operation is aimed at improving the global environment. It could support projects with the potential to generate carbon credits. The schemes to be selected for funding shall comply with relevant EU environmental standards, subject to prevailing conditions, as well as the social safeguards of the Bank. If located in the EU the project schemes would most likely fall under either Annexes I or II of the EIA directive (97/11/EC), which would require, respectively, a mandatory EIA or allow the competent authorities to determine the EIA requirements.

Procurement

The procurement procedures for the schemes to be financed by the EIB loan shall be in compliance with the EIB Guide to Procurement.

Status

Signed - 28/11/2007