Enabling the Development of Inclusive, Resilient, Diverse, and Responsible Critical Minerals and Clean Energy Technology Manufacturing Supply Chains (ADB-58185-001)

Regions
  • East Asia and Pacific
  • Europe and Central Asia
Geographic location where the impacts of the investment may be experienced.
Countries
  • Indonesia
  • Mongolia
  • Uzbekistan
  • Vietnam
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • Asian Development Bank (ADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
U
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
May 31, 2024
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
Government of Indonesia, Government of Vietnam, Government of Uzbekistan, Government of Mongolia
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Energy
  • Law and Government
  • Mining
  • Technical Cooperation
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Advisory Services
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 0.23 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Grant Amount (USD)
$ 0.23 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 0.23 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Primary Source

Original disclosure @ ADB website

Updated in EWS Jun 26, 2024

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to the ADB, supply risks threaten the tripling of renewable energy capacity by 2030. The global stock take agreed at the United Nations Climate Change Conference (COP28) outlines mitigation actions to reach Paris Agreement goals. Two key actions included in the UAE Consensus limiting global warming to 1.5 degrees Celsius underscored the urgent need to tripling renewable energy capacity and doubling the average annual rate of energy efficiency improvements by 2030. The accelerated shift to clean energy systems will require a radical increase in clean energy technology (CET) manufacturing capacity. Given the high mineral- and material-intensity of key energy transition technologies, the world is already experiencing an unprecedented demand growth for extracting and processing critical minerals (CM) and materials.

For low- and middle-income DMCs of ADB to seize the tremendous growth opportunity from the clean energy transition and to secure their CM and CET supply chains, governments need capacity building, policy and regulatory design support, as well as assistance in developing their processing capacity. They need support in (i) establishing an enabling environment and regulatory framework that catalyzes private sector investments in mining, minerals production and processing, and CET manufacturing while addressing the myriad of ESG risks and other risks that could set off supply chain disruptions; (ii) trade facilitation and economic corridor development; (iii) project identification and development must be enhanced; and (iv) blended financing solutions to de-risk supply chain investments in CM and CET manufacturing.

Moreover, governments need to invest in (i) detailed geological surveys; (ii) reinforcing infrastructure and logistics value chain, from constructing necessary roads and railway networks, ports, and building logistics hubs; (iii) digitizing the value chain to facilitate traceability of minerals and technology components; (iv) putting in place decarbonized energy supply; and (v) upskilling a specialized labor force. Several ADB DMCs and private sector clients approached ADB and ADB has begun to commit initial knowledge solutions, technical assistance, and lending support.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

ADB Team Leader:

Annika Seiler - Principal Energy Specialist

No contacts provided at the time of disclosure.

ACCESS TO INFORMATION

You can submit an information request for project information at: https://www.adb.org/forms/request-information-form

ADB has a two-stage appeals process for requesters who believe that ADB has denied their request for information in violation of its Access to Information Policy. You can learn more about filing an appeal at: https://www.adb.org/site/disclosure/appeals

ACCOUNTABILITY MECHANISM OF ADB

The Accountability Mechanism is an independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an Asian Development Bank-financed project. If you submit a complaint to the Accountability Mechanism, they may investigate to assess whether the Asian Development Bank is following its own policies and procedures for preventing harm to people or the environment. You can learn more about the Accountability Mechanism and how to file a complaint at: http://www.adb.org/site/accountability-mechanism/main.

How it works

How it works