Barbados, Belize and Jamaica will benefit from US$26.7M in funding from the Green Climate Fund (GCF) for an innovative energy initiative that will be implemented by the Caribbean Development Bank (CDB, the Bank).
The landmark ‘Scaling up the Deployment of Integrated Utility Services (IUS) to Support Energy Sector Transformation in the Caribbean (Phase 1) Programme‘ will accelerate the adoption of distributed renewable energy, energy efficiency, and other clean energy technologies. It is expected to benefit 40,700 people across Barbados, Belize and Jamaica.
This is the first CDB programme approved by the GCF, and signals a joint commitment to expand access to sustainable, affordable, and resilient renewable energy, particularly as the Caribbean faces intensifying climate risks including storms, floods, and rising temperatures.
CDB President, Mr. Daniel Best, expressed gratitude to the GCF for its investment, stating, “We thank the Green Climate Fund for its strong partnership and steadfast support to advance sustainable development in the Caribbean. This programme will mark a major step forward in strengthening our region’s energy security through cleaner, more reliable, and affordable energy that reduces our dependence on imported fuels and builds long-term climate resilience for our communities.”
Chief Investment Officer of the GCF, Henry Gonzalez, added: “The Integrated Utility Services programme will support the energy transition in Caribbean Small Island Developing States, among the world’s most climate-vulnerable countries. The approval of this initiative demonstrates how GCF is supporting country ownership by strengthening local institutions to deliver resilient, low-carbon energy systems.”
The Bank will lead implementation with national and regional partners to establish utility-led IUS models that reduce financial and technical barriers to the uptake of sustainable energy solutions. Participating utility companies will offer integrated sustainable energy services to their customers, including support for the procurement, installation, operation, and maintenance of key technologies. In addition to reducing greenhouse gas emissions and enhancing resilience, utility customers will benefit from lower costs, reduced risks, and equitable access.
The six-year Phase 1 programme will deliver support in Barbados, Belize and Jamaica. The lessons learnt from this initial phase will be integrated into a subsequent Phase 2 programme through which CDB aims to replicate this support in other Caribbean countries.
Approved during the GCF Board’s 42nd meeting in Papa New Guinea on July 3, 2025, the programme will be supported by US$26,736,295 in financing from the GCF. CDB and other partners will contribute US$42,010,000 in loan and in-kind funding.
This initiative leverages the recent upgrade of the Bank’s GCF accreditation, which allows the Bank to develop/deliver GCF-financed initiatives up to US$250 million each.
CDB looks forward to engaging communities, utilities, financiers, and development partners during Phase 1, setting the stage for further scaling in subsequent phases. (Caribbean Development Bank Press Release)
About the Caribbean Development Bank
The Caribbean Development Bank is a regional financial institution established in 1970 to contribute to the harmonious economic growth and development of its Borrowing Member Countries (BMCs). In addition to the 19 BMCs, CDB’s membership includes four regional, non-borrowing members, Brazil, Colombia, Mexico, and Venezuela, and five non-regional, non-borrowing members, Canada, China, Germany, Italy and the United Kingdom. CDB’s total assets in its Ordinary Capital Resources stood at US2.02 billion as at December 31, 2024, while it also manages US$1.40 billion of Special Funds Resources. The Bank is rated Aa1 Stable by Moody’s, AA+ Stable by Standard & Poor’s and AA+ Stable by Fitch Ratings. Learn more at caribank.org
