MODULE 7 –
Policy, Governance & Climate Finance Instruments
Estimated time: 5 hours | Format: Policy Lab + Negotiation Game
Learning Objectives
- Compare policy families: standards, pricing, subsidies, public investment.
- Design policy mixes across innovation stages (R&D → diffusion → phase-out).
- Explain finance vehicles that mobilize capital at scale.
Policy & Finance Toolkit
- Standards & Mandates: building codes, fuel economy, ZEV standards.
- Market Instruments: carbon taxes, ETS, contracts-for-difference, feed-in/tenders.
- De-Risking: guarantees, blended finance, first-loss capital, green banks.
- Phase-out: coal retirement mechanisms, just transition funds.
Negotiation Game
Roles: Government, Utility, Developer, Community, Labor. Goal: retire a coal unit and replace with clean capacity while meeting reliability, affordability, and jobs criteria.
Assignment
Draft a 2-page policy mix for a target: “80% clean electricity by 2032.” Include instrument objectives, timelines, and equity safeguards.