Financing provisions for technologies for adaptation under the UNFCCC: the role of the GEF

UNFCCC Seminar on Technology Transfer for Adaptation Tobago ( June 14-16, 2005 ) Prepared by Bonizella Biagini Ph.D

Global Environment Facility 1

  Climate Convention Guidance on Adaptation to the GEF – – Staged approach (11/CP.1) COP1 Stage I : planning, studies (COP1) Stage II : measures, including capacity building (COP4) – COP7, Marrakech Accords Pilot & Demonstration Projects (COP7)

=> Strategic Priority “Piloting an Operational Approach to Adaptation” (5/CP.7 and 6/CP.7)

– 3 New Funds (COP7, Marrakech accords): 1.

2.

3.

Least Developing Country Fund (LDCF- UNFCCC) ( preparation and implementation of NAPAs) Special Climate Change Fund (SCCF – UNFCCC) Adaptation Fund (Kyoto Protocol) 2

UNFCCC guidance (continues)

 COP9 (Milan, 2003) Guidance to the GEF on how to operationalize the SCCF (5/CP.9) => GEF programming paper Initial guidance to operationalize the LDCF (6/CP.9)  SBI22 (Bonn, a few weeks ago) => Agreement on the LDCF 3

GEF Adaptation Program: Evolution and Overview

 Staged approach (COP1, COP4) => Enabling Activities  Implementation (COP7 – COP9) => Strategic Priority on Adaptation (SPA) Trust Fund => LDC Fund (UNFCCC) => SCCF Fund (UNFCCC)

$110 M currently available for adaptation

=> Adaptation Fund (Kyoto Protocol) 4

GEF support to adaptation technology transfer-related activities: EAs, project implementation, new funds  National Communications (V&A component) => Selected Projects: Vulnerability and Adaptation to climate change (in the context of National Communications)  => Initial support for NAPA preparation (for LDCs under the LDCF) 5

List of selected EA projects

      CPACC -- Caribbean Planning for Adaptation to Climate Change (regional, WB) $6.5 M (GEF) PICCAP -- Pacific Islands Climate Change Assistance Programme (regional, UNDP) $3.44 M (GEF) MACC -- Mainstreaming Adaptation to Climate in the Caribbean (regional, WB -- builds on CPACC) $5.345 M Capacity Building for Stage II Adaptation to climate change in Central America (regional, UNDP) $3.315 M AIACC -- Assessments of Impacts of and Adaptation to Climate Change in Multiple Regions and Sectors (global, UNEP) $7.5 M (GEF) China: Targeted Research Related to Climate Change (UNDP) $1.72 M (GEF) 6

Implementation: accessing funds under the Strategic Priority “

Piloting an Operational Approach to Adaptation

” (SPA) Projects submitted under the SPA will

:



“Show how adaptation planning and assessment can be practically translated into projects that will provide real benefits” (5/CP.7)

– $50 million allocation (GEF Business Plan, November 2003) – Operational guidelines – GEF Assistance to Address Adaptation (GEF Council, May 2004) 7

GEF Adaptation Pipeline (SPA)



Kiribati

Adapt. Project (KAP) (GEF $1.5 M) WB 

Colombia

Integrated National Adaptation Pilot: High Mountain Ecosystems, Colombia’s Caribbean Insular Areas, and Human Health (INAP) (GEF $4M) WB 

Regional (Caribbean)

Implementation of Pilot Adaptation Measures in coastal areas of Dominica, St. Lucia and St. Vincent & the Grenadines (GEF $1.9M) WB 8

GEF Adaptation Pipeline (SPA) (continues)

  

Regional (West Africa)

Responding to Shoreline Change (GEF $4M) UNDP countries include: Senegal, Gambia, Guinea Bissau, Mauritania, Cape Verde Global: Community-Based Adaptation Program (pilot in Bangladesh, Bolivia, Niger and Samoa) (GEF $5M) UNDP Regional, Africa: Coping with Drought and Climate Change (GEF $4M) countries include: Ethiopia, Kenya, Mozambique and Zimbabwe  MSPs – Lake Balaton, Hungry – ALM, global -- pilot in Asia 9

LDCF and SCCF



LDC Fund

(

GEF paper, November 2004)

implementation of NAPAs

(urgent and immediate needs)



Special Climate Change Fund (GEF programming paper, November 2004)

(a) top priority: adaptation Areas:

Water, land management, agriculture, health, infrastructure development, fragile ecosystems, integrated coastal zone management (longer term approach and strategy)

(b) second priority: technology transfer => Complementarity of the funds => Concept of additional cost 1 0

Comparison of SPA, LDCF and SCCF SPA (GEF Trust Fund)

Incremental cost

(global benefits) LDCF

Urgent and immediate

(NAPAs)

Additional cost

(of adaptation measures) Project includes incremental reasoning Project may include sliding scale SCCF Priority areas of intervention

Additional cost

(of adaptation measures) Project may include sliding scale 1 1

Examples of sliding scale

Proposed sliding scale for the LDCF < $ 250,000 up to 75% < $ 2 M up to 50% $ 2 > 5 M up to 33% < $5 M up to 20% Proposed sliding scale for the SCCF > $1 M => up to 50% $1 > 5 M => up to 33% < $5M => up to 25% 1 2

Status of the new funds



LDCF

– already operational – Total pledges $32.5 million – allocation for preparation of NAPAs $12 million – available for implementation of NAPAs $21.5

– additional pledges are expected 

SCCF

– opening for operations: Pipeline 21 – Total pledges: $34 million ($1M for TT) – TNAs as the basis for TT activities – additional pledges are expected 1 3

Ratification of the Kyoto Protocol (future steps)  Adaptation Fund – 2% proceeds from the Clean Development Mechanism – Managed by the GEF 1 4

Observations

 Adaptation interventions are effective when integrated into development plans, projects and programs  The GEF adaptation program and related portfolio does not include stand-alone adaptation projects  Similarly, technology transfer for adaptation has been considered within the broader context of adaptation programs, and not as a stand-alone activity 1 5

Thank you

GEF Adaptation-related papers www.thegef.org

GEF projects database: www.gefonline.org

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