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With over half of the estimated US$18 trillion of power and energy efficiency investment through 2035 forecast to come from outside the OECD, solutions for funding and financing emerging market infrastructure are becoming increasingly critical. It is widely acknowledged that the vast majority of such investments would need to be funded by the private sector, which should be achievable given that the annual investment requirements represent a fraction of assets under management by institutional investors…

The OECD estimates that $6.9 trillion a year needs to be spent globally until 2035 in order to maintain global temperature increase within a 2℃ range, of which 60–70% will be in emerging economies. The energy sector alone represents a third of this investment need, or circa $1.5 trillion in these countries (of which 40% is in energy generation). Against this, investment in clean energy generation has amounted to an average of $160 billion in emerging countries in the past couple of years. This suggest a funding shortfall of about $450 billion a year, equivalent to three times current levels of investment…