BAKU, Azerbaijan, November 24. The Asian Development Bank (ADB) approved a set of changes to its energy policy that strengthen the bank’s commitment to increasing energy access and improving energy security, Trend reports via the Bank.
“These changes further enhance ADB’s ability to support countries in Asia and the Pacific as they work to meet their rapidly growing energy needs,” said ADB President Masato Kanda. “Nuclear power, for example, is an important technology option for countries looking for reliable alternatives to baseload electricity.”
These changes pave the way for ADB to support nuclear power, including investments for the first time. ADB support for developing member countries that choose to pursue nuclear power will be subject to rigorous assessments and the highest standards of safety, security, and environmental and social safeguards. The bank will work closely with the International Atomic Energy Agency (IAEA) and other international authorities to help its developing member countries pursue international best practices and comply with stringent standards on nuclear power. Kanda is expected to sign an agreement with the IAEA this week to further these objectives.
Another amendment allows the bank to finance projects that manage methane, one of the most potent greenhouse gases, and curb routine gas flaring in existing oil and gas fields.
Recognizing the crucial long-term role of carbon capture, utilization, and storage (CCUS), ADB has been supporting CCUS technologies in power plants and other hard-to-abate sectors. A third change extends this support to CCUS projects that use depleted gas and oil wells to store carbon dioxide.
A fourth amendment—a new addition to the policy—recognizes ADB’s potential role in enabling the development of diversified and responsible critical minerals-to-manufacturing value chains.
The changes are part of a mandatory, scheduled review of the existing energy policy, approved in October 2021, and were informed by extensive consultations with ADB’s stakeholders.