The Road to the SDGs

X The pillars are aligned with the core targets of SDG 7 as follows: – Target 7.1 — By 2030, ensure universal access to affordable, reliable and modern energy services – Target 7.2 — By 2030, increase substantially the share of renewable energy in the global energy mix – Target 7.3 — By 2030, double the global rate of improvement in EE. POTENTIAL IMPACTS X There are four main enablers of the policy that will facilitate the success of energy projects in MCs: – Private sector development — IsDB acknowledges the pressing need to support the private sector to boost economic growth in MCs, and facilitates the private sector intervention in the sector – Innovative financing — The focus on energy efficiency/renewable energy/climate change will require a major increase in concessional or soft term financing, even in middle-income countries. IsDB will identify opportunities for developing effective and innovative financing mechanisms – Regional energy integration — IsDB is promoting and facilitating regional integration of energy systems, and in areas such as solar energy. As a South-South institution, IsDB is in a unique position to extend regional cooperation between MCs – Building partnership — IsDB supports building stronger partnerships with other multilateral and bilateral development institutions during the implementation of the policy while preserving its comparative advantage as one of the major South-South financing institutions. INVESTMENT X The 10YS and P5P call for greater selectivity in determining future financing operations, taking into account country needs and sustainability criteria adopted by MDBs and other development partners. In the energy sector, this selectivity will ensure the relevance of future operations for addressing priority development challenges, taking into account changing MC circumstances and needs. X IsDB will expand its support for private sector energy projects and public-private partnerships (PPPs), taking into account country circumstances and the need for prudent management of risks. IsDB will also assist MCs to strengthen their policy framework and institutional capacity for PPPs in energy projects. X IsDB will identify opportunities for developing effective and innovative cooperation models for developing innovative financing with partner development institutions. A L I G N I N G P O L I C Y W I T H S D G 7 The policy pillars are aligned with the SDG7 targets to ensure universal access to affordable, reliable and modern energy services, increase the share of renewable energy and double the global rate of improvement in EE by 2030 [ 39 ] T H E R O A D T O T H E S D G s | P R O G R E S S A N D A C H I E V E M E N T S