This archive report was first published on 16 November 2019.
On November 16, 2019, the European Investment Bank (EIB) announced its plan to end funding for coal, oil, and gas projects by 2021.
Under the bank's new policy, energy projects applying for EIB funding will need to show they can produce one kilowatt hour of energy while emitting less than 250g of carbon dioxide, effectively disqualifying traditional gas-burning power plants.
Manuel Pulgar-Vidal, leader of the World Wildlife Fund's global climate and energy practice, welcomed the decision, saying, "They have set a new global standard. All other banks, private and public, must follow suit. Cutting funding for polluting fossil fuel projects and switching to clean renewable energy is the least we must do to address this crisis."
Meanwhile, the construction of the East African Crude Oil Pipeline (EACOP) is facing funding challenges after private oil firms stopped the project due to a tax dispute with the Ugandan government.
Uganda and Tanzania have opened discussions with the African Development Bank (AfDB) for partial financing of construction of the crude oil pipeline between the two countries.
The AfDB's Nepad-IPPF Special Fund offers financial assistance to African countries, Regional Economic Communities, and related institutions by providing grants for developing high-quality and viable regional and continental infrastructure projects.
Uganda's Energy Minister Irene Muloni expressed optimism that the oil firms would make their final investment decisions on the project by the end of March next year, paving the way for the first oil to pass through the pipeline by 2023.
