Transcript 20 Climate change finance

CLIMATE CHANGE
FINANCE
Brian Dawson
Principal Adviser, Climate Change
Secretariat of the Pacific Community
Outline
• An overview of international climate
change finance streams
• Describe some of the climate change
finance options
• Taking advantage of the opportunities
Climate Change Finance?
• Refers to money allocated to assist in reducing
emissions, and adapting to, climate change
– Various sources exist (UNFCCC, bilateral programmes,
multilateral agencies, private sector, NGOs and others)
• Copenhagen commitments: developed countries
pledged to deliver $100 billion a year by 2020
– Fast start funds: $30 billion over the 2010-2012 period
• Loosely defined: Consists of many forms (grants,
loans, private sector flows)
Key message: CC Funds will grow over time
What are the funding modalities?
• Difficult to know how much will be delivered and
when but there are many possible options
• Project based funding
– UNFCC funds: (Green Climate Fund, Adaptation Fund,
Special Climate Change Fund, GEF, CDM)
– Multilateral Funds: Climate Investment Fund
(CIF/PPCR), World Bank, ADB, UN Agencies
– Bilateral Funds: AusAID, GIZ, EU, USAID and others
– NGO/Private: CN, TNC, Oxfam etc
• Some take considerable effort to access as
detailed project documentation often required
What are the Funding Modalities?
• Regional Climate Change Funds
– An option currently being assessed
• National Trust Funds
– Favoured by many but also has downsides
• Direct Budget Support
– Potentially a viable option but many hurdles to jump
– Many donors evaluating this option
• Sector Based Support
– Funding for programmatic approaches
– Offers considerable promise in the medium term
Key Message: Many options but all face challenges
Accessing CC Finance: Next Steps
• Understand how climate change impacts your
sector and possible response options
– SPC and others can assist in this area
• Develop well structured project/programme
proposals
– Medium term strategies and priorities
– Emphasis on no-regret actions
• Prepare for direct budget support options
– Programmatic approaches
Be well positioned for future finance flows
THANK YOU