Challenges and Opprotunities

There already exists, outside California, a significant body of experience in the design and operation of public-private collaboration to encourage critical investment in early stage technologies designed to reduce GHGs. In addition to the UKCT and SDTC, Ireland and Finland also have clean energy investment funds, and all four are members of the United Nations Environmental Program Sustainable Energy Finance Initiative14.). The Initiative supports member exchange of best practices, pooling of resources, launching of joint projects, and assisting other governments in establishing new or similar financing models. California faces significant economic, political, and institutional challenges in establishing a “Carbon Trust”. At the same time the state has an existing mandate, a group of committed state agencies, including CARB and the CEC, experienced venture capital firms, a broad range of companies already engaged in the energy, transportation, and renewable energy markets, major research institutions engaged in renewable energy related research, and a wealth of entrepreneurial talent.