Establishing a Climate Innovation Center in Ghana

On behalf of the World Bank and our Country Director, Mr. Yusupha Crookes, I would like to acknowledge the leadership of the Ministry of Environment Science Technology and Innovation, the Ministry of Trade and Industry, and the Ministry of Energy in championing green growth within Ghanas development agenda. I would also like to acknowledge the Embassy of Denmark for its support to the Climate Innovation Center feasibility assessment and the broader green growth agenda in Ghana, a commitment shared by the World Bank.

Only by greening growth, can Ghana achieve what were formerly understood to be competing goals: robust economic expansion and proper stewardship of the environment. Today we know that the combination makes for a win-win situation. Recent research from the World Bank and others increasingly shows that strong economic growth can be combined with sustainable management of natural resources in order to promote shared prosperity and reduce poverty.

We know that climate change is bringing new challenges to Ghanas growth and natural resources. This is because a significant part of Ghanas economic activity is dependent on climate sensitive sectors such as agriculture, fisheries, tourism, and forestry. These vulnerable sectors support a large share of employment and livelihoods for Ghanas rural poor. As an example, the changing climate is expected to adversely affect crop yields leading to a decline in agricultural GDP of 3-8% in the medium to long term. Increasing competitiveness in non-oil and gas sectors, such as agriculture, figures prominently in Ghanas Shared Growth and Development Agenda. It is also a key aspect of the World Banks upcoming Country Partnership Strategy, which will be discussed by the World Banks Board of Directors this coming September 19th.

We all now have an opportunity to use technology andinnovation to steer future economic gains towards a greener growth. It is clear that new technologies and innovation will be essential to reduce the long-term cost of climate change and support competitiveness in Ghana. The worldwide attention to climate change and advances in clean technology offer an opportunity to attract significant investments in clean technology and to build up the capacity of local businesses to participate in these high value sectors. By seeking to capitalize on these advances in modern, clean technologies, Ghana can strengthen its resilience to climate change while also building its competitiveness in clean technology markets and industries.

The Climate Innovation Center (CIC) being considered here would support domestic climate technology industries by addressing locally relevant barriers to climate technology transfer, development and deployment by the private sector development. In addition to incubating promising start-ups, the CIC would also provide access to finance, access to product testing facilities, market information, policy advocacy and technical assistance. Some promising areas which potentially benefit from the CIC include climate smart agriculture, off-grid renewable energy, waste water treatment technology, climate-resistant infrastructure and energy-efficient manufacturing.

A Ghana CIC, if established, would join a growing global network of these centers which have now been established in a number of countries including Ethiopia, India, Kenya, South Africa, the Caribbean and Vietnam. One of the strengths of the centers is the application of the best technologies from around the world, made relevant and available to the local context. It is important that the CIC, if established in Ghana, is tailored to meet the needs of local industry, investors, technology and skills, and strengthen the capacity of these groups.

I would like to thank everyone participating today in this important event. Represented here are local and international entrepreneurs, innovators, investors, technologists and other stakeholders. With your combined experience, perspectives and resources, we can realistically assess the viability of a CIC in Ghana and determine the essential features of a center that fits with the Ghanaian context. Today is your opportunity to influence the design of the center, so that it can best meet the demands and needs of the private sector. Your ideas and feedback shared in the workshop will be used to prepare a full business plan for the Ghana Climate Innovation Center, to be then considered for funding and implementation.

In closing I would like to assure you that the World Bank will continue to look for ways to support Ghanas climate change goals and green growth objectives. Beyond financial instruments, we will continue to share our knowledge of global best practices and ideas with the government, and maintain an ongoing engagement and dialogue in the area of climate technology and innovation. We look forward to a dynamic event today and a strong engagement with Ghana around green growth in the months and years ahead.

Thank you.