13 November 2008: The World Bank is moving ahead with the
Energy for the Poor initiative, a programme that seeks to provide rapid support
for countries’ efforts to strengthen social safety nets to reduce the poor’s
vulnerability to volatile fuel prices.

The initiative was announced by the Government
of Saudi Arabia when it convened an international energy conference in Jeddah
last June. Within the programme, financing is expected to: expand the poor’s
access to sustainable energy services; deploy alternative, renewable energy
systems where the increase in fuel prices suggests that a shift in supply
options is economically prudent; and develop energy efficiency interventions
that have become economically attractive under higher energy prices.
Examples
of projects that could be financed include: deploying renewable energy
technology, such as hydropower; supporting inter-modal shifts in
transportation; promoting cross-border energy trade and complementing end-use
improvements in energy efficiency. Donor nations are scheduled to meet in
Paris, France, at the end of November 2008 to discuss their role in the
initiative that will be integrated by two components: a multi-donor trust fund,
called Energy Price Crisis Response, which will finance social safety nets for
the poorest people in the most affected countries in the short-term; and a
medium-term programme to scale up financing of energy projects to reduce a
country’s longer-term vulnerability to high and volatile fuel prices.
This
scaling up will be achieved through co- and parallel financing with donors to
leverage more effectively their limited resources [World
Bank Press Release]