Jamaica is among three regional states set to benefit from US$26.7 million in funding approved by the Green Climate Fund (GCF) for an innovative energy initiative that will be implemented by the Caribbean Development Bank (CDB).

Barbados and Belize are the other countries earmarked for assistance from the landmark, ‘Scaling up the Deployment of Integrated Utility Services (IUS) to Support Energy Sector Transformation in the Caribbean (Phase 1)’.

The programme is designed to accelerate the adoption of distributed renewable energy, energy efficiency, and other clean energy technologies in the three countries. 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,” the bank said in a release on Thursday.

CDB President Daniel Best expressed gratitude to the GCF for its investment.

“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,” said Best.

In the meantime 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 CDB 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 lessons learnt from the six-year Phase 1 of the programme 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 Papua New Guinea on July 3, the programme will be supported by financing from the GCF while the CDB and other partners will contribute US$42 million in loan and in-kind funding.

According to the CDB, this initiative leverages the recent upgrade of its GCF accreditation, which allows it 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,” the bank added in its media release.