New insights on energy efficiency finance in China

August 1, 2013
Presenters at our July webinar provided many rich insights on the future of energy efficiency finance in China.

The topic of debate for our 30 July webinar was how the Chinese government could help facilitate financing for energy efficiency (EE) projects for industrial enterprises that account for more than 30 percent of manufacturing output – an important challenge for the government to meet its latest goals for reducing energy intensity.

The presenters – some of the world's most renowned experts on EE financing issues – discussed the rapid evolution of EE financing products in China and the need to develop additional products to mitigate both financial and performance risk to effect real change. Chinese-based banks will need to recognize future revenue streams from energy savings as part of the collateral for EE loans, they said.

Presenters were Tom Dreessen, the CEO of EEPIC; Bob Taylor, Principal at Energy Pathways LLC; Dr. Dilip Limaye, President and CEO of SRC Global Inc. and Senior Advisor to the World Bank; and Patrick D’Addario, IIP’s Senior Advisor for Financial Products.

Also discussed was how energy service companies (ESCOs) play a different role in the industry sector in China than in other countries; they are significantly more important, yet represent a relatively small part (< 30%) of the overall industrial EE financing landscape. Industrial hosts need to arrange most of the financing – meaning banks will have to play a key role in mainstreaming EE lending to accommodate the investment needs of their industrial customers.

For more insights into this compelling subject, you can download the presentation from our website or listen to the audio recording and download the transcript.

 

2013 webinar series
 

This webinar was part of a series being organized by both the Institute for Industrial Productivity (IIP) and the Clean Energy Solutions Center (CESC). Upcoming webinars will be posted on our website.