Major Change in Trust Fund: Energy Transition Mechanism Partnership Trust Fund under the Clean Energy Financing Partnership Facility

The proposed changes will expand the Energy Transition Mechanism Partnership Trust Fund's (ETMPTF) scope, use of funds, and implementation arrangements to (i) allow ETMPTF resources to be used to support stand-alone projects without any financing by ADB or with cofinancing by a third-party financier; (ii) allow ETMPTF resources to be used to refinance existing debt; (iii) allow ETMPTF grant and non-grant1 resources to be used to provide debt, equity, guarantees, and other risk transfer products, with repayments from concessional loans provided by the ETMPTF using grant resources reverting to the ETMPTF for further use; and (iv) enable the ETMPTF to accommodate financing partners who may wish to opt out of specified countries and decline the application of their contribution to such countries.