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Enhancing access to modern and reliable energy supplies is widely regarded as a prerequisite for economic development in developing countries and countries with economies in transition. For such development to be sustainable, this energy must be used to promote productive uses that create jobs and more income-generating opportunities for local communities.

Given the growing gap between energy supply and demand, renewable energy has assumed a critical role in meeting the rising demand for energy, especially by industry, in developing countries. Several renewable energy technologies have emerged as economically viable and environmentally friendly options, which if suitably adopted, can meet growing energy needs of industry, and particularly of small and medium-sized enterprises (SMEs).

UNIDO enables countries increase their  competitiveness through the use of renewable energy, thus achieving sustainable low-carbon industrial development. It is responsible for enhancing the use of renewable sources of energy and efficient use of energy by industry, and for facilitating access to affordable and sustainable energy to support productive activities and the income and employment opportunities they create, thereby contributing to the mitigation of climate change.