The State Secretariat For Economic Affairs (SECO) Of The Swiss Government Provides Funding To IIC For Developing Two Highly Important Environmental Projects
03/13/2007Projects consist of dissemination of the New Certified Emission Reduction Sale and Purchase Agreement (CER SPA) template and an environmental risk management tool for financial institutions in Latin America
Washington, D.C.- March 14, 2007. The Swiss Government, through the IDB Technical Cooperation Trust Fund for Consulting Services and Training Activities, is funding two environment-related projects of the Inter-American Investment Corporation (IIC). The support of the Swiss Government follows a two-day workshop hosted by the IIC in October 2006 at its headquarters in Washington, D.C. to develop an annotated, publicly-available, carbon credits sale and purchase agreement template that reflects in a more balanced manner the interests of buyers, sellers, and financial institutions. The latter effort received support from the IIC-Korea SME Trust Fund. More than thirty legal experts from the private sector, civil society, intergovernmental organizations, and financial institutions from all over the world participated in the initiative. The annotated model agreement will be particularly helpful in improving access to financing for smaller-scale developers, who frequently do not have access to international legal counsel during the development phases of their projects when they face negotiations for purchase of the carbon credits they plan to generate.
For this first program, SECO will finance the dissemination and extensive distribution of the CER SPA template and guidance document, with the objective of educating the emerging carbon market and reaching out to project developers and CER sellers in developing countries who have limited or no access to relevant expert legal advice.
Dissemination will be accomplished through activities such as a side event at Carbon Expo 2007 in Cologne, Germany, May 2-4, 2007; an interactive website that will allow for discussions between lawyers, project developers, and other interested stakeholders worldwide; and presentation of the CER SPA and Guidance Document at selected regional events in Europe, Latin America, and the Caribbean.
The second environmental program to be financed by SECO will be to develop an environmental risk management tool for financial institutions in Latin America. The tool consists of an interactive CD-Rom to help users manage the risks and opportunities related to environmental and social aspects of financial services, with a particular emphasis on providing information on local environmental regulatory requirements, a tool which is not always readily available to business professionals. Both the Swiss Government and the IIC believe that these programs represent a great opportunity to promote environmentally-friendly projects in Latin America and the Caribbean.
The Inter-American Investment Corporation is a multilateral financial institution that is a member of the Inter-American Development Bank (IDB) Group. It provides financing (in the form of equity investments, loans, guarantees, and other instruments) and advisory services to private enterprises in Latin America and the Caribbean. The IIC's mission is to promote the economic development of its regional member countries by stimulating the establishment, expansion, and modernization of private enterprises, particularly those that are small and medium in size. For more information on the IIC's activities, please visit www.iic.int.
Contact: Michael Apel (in Washington D.C.)
Telephone: (202) 623-2521