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…and answers to all your adaptation finance questions! Pieter Terpstra, WRI Adaptation Summer Brownbag Series, September 9 th , 2013 Adaptation FINANCE Tracking

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Adaptation Finance Tracking ... and answers to all your adaptation finance questions!

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Page 1: Adaptation Finance Tracking

…and answers to all your adaptation finance questions!

Pieter Terpstra, WRI Adaptation Summer Brownbag Series, September 9th, 2013

Adaptation

FINANCE Tracking

Page 2: Adaptation Finance Tracking

Content

• Defining Adaptation Finance – Context Specific – Dynamic – Not about finance

• Accountability and Transparency Project – Country Results – Next Steps

Page 3: Adaptation Finance Tracking
Page 4: Adaptation Finance Tracking

What is Adaptation to Climate Change? Adaptation activates can fall along a continuum

Managing Climate Risk

Vulnerability Focus Impacts focus

Developing monitoring capacity, collecting climate data, executing risk assessments, etc.

Developing networks, capacity building, research into farming practices, etc.

Building Response Capacity

Confronting Climate Change

Improving flood defenses, reducing the risk of glacial lake outburst floods, etc.

Addressing Drivers of Vulnerability

Programs focused on poverty reduction, health, diversification of livelihood strategies, etc.

Page 5: Adaptation Finance Tracking

What is Adaptation Finance?

• Context Specific - Climate change impacts vary from place to place

• Dynamic - what counts as effective

adaptation in a specific context today may no longer count as effective adaptation 25 years from now.

Page 6: Adaptation Finance Tracking

What is Adaptation Finance? • It’s not about finance - Adaptation is about

going beyond business-as-usual and incorporating the possible effects of climate change into the design of an activity.

• But, deciding which part of “beyond business-as-usual” should count towards adaptation finance is difficult to determine.

• For an example, see http://www.wri.org/blog/difficulty-defining-adaptation-finance

Page 7: Adaptation Finance Tracking

How much do we need?

Commitment in Copenhagen, 2009: ‘Mobilize $100 billion per year by 2020’ for adaptation and mitigation in vulnerable countries

Organization Amount Estimated UNFCCC $28-67 billion per year until

2030 Project Catalyst $26-77 billion per year until

2030 World Bank $75-100 billion per year

until 2050

Page 8: Adaptation Finance Tracking

Are we on track?

• OECD commitments decreased from USD 8.5 billion in 2010 to USD 7.5 billion in 2011

• MDBs estimate an expenditure of approximately USD 4.5 billion in 2011

• Climate Funds pledges approximately USD 29 billion of which USD 1.5 billion for adaptation

• Big question is how much funding was raised by countries through their national budget

Page 9: Adaptation Finance Tracking

The Issue

• Local communities in vulnerable countries will feel the biggest impact of climate change

• Reaching local communities with support is notoriously difficult How much adaptation funding is reaching

vulnerable communities?

Page 10: Adaptation Finance Tracking

Adaptation is Local!

Page 11: Adaptation Finance Tracking

Adaptation Finance Accountability Initiative http://www.wri.org/publication/the-plumbing-of-adaptation-finance

Page 12: Adaptation Finance Tracking

AFAI Project Objective

Empower coalitions of local civil society organizations to monitor and influence

adaptation finance Countries Nepal, Zambia, Uganda and Philippines

Partners Oxfam, ODI, WRI, Clean Energy Nepal, Institute for Climate and Sustainable Cities, Uganda Climate Action Network, Zambia Climate Change Network

Page 13: Adaptation Finance Tracking

AFAI Project

Phase 1 - Mapping of international flows - Institutional analysis Phase 2 - Deep dive research into selected flows - National and international level advocacy

Page 14: Adaptation Finance Tracking

Unraveling Adaptation Finance Flows: It’s Not Straightforward

• start

Page 15: Adaptation Finance Tracking

International to National Adaptation Finance Flows

Bilateral

Local Gov.

National Gov. (Min. Finance)

Multilateral

Beneficiaries

Line Ministries / Agencies / others

CSOs

Natl. sources

Conditional Unconditional

Local Taxes

International Financial Streams

National Financial Streams

NB National institutions can also be beneficiary

Special Funds

Page 16: Adaptation Finance Tracking

Phase 1 – Methodology

• Gather data from public sources

• Assess adaptation relevance – Primary focus – Significant focus

• Compile data into one database

• Analysis of data

Page 17: Adaptation Finance Tracking

Findings – Commitments

$-

$20

$40

$60

$80

$100

$120

$140

$160

$180

2010 2011 2010 2011 2010 2011 2010 2011

Nepal Nepal PhilippinesPhilippines Uganda Uganda Zambia Zambia

Mill

ions

PrimarySignificant

Page 18: Adaptation Finance Tracking

Main recipients

Page 19: Adaptation Finance Tracking

Main sectors

Page 20: Adaptation Finance Tracking

Main sectors

Page 21: Adaptation Finance Tracking

Five Principles for Good Delivery of Adaptation Finance at the Local Level

1. Transparency

2. Ownership

3. Responsiveness

4. Participation

5. Equity

Page 22: Adaptation Finance Tracking

Transparency?

• A recipient of the finance was mentioned in 55% of projects

• An actual location was given in the project document 21% of the time

Page 23: Adaptation Finance Tracking

Transparency – Geographic Mapping?

• start

Projects rarely list geographical location – defaulted to the capital, Lusaka

Page 24: Adaptation Finance Tracking

Ownership?

Channel Nepal Philippines Uganda Zambia National Organization 41% 62% 42% 85% Donor Organization 23% 29% 39% Multilateral 14% 6% Other 22% 9% 19% 9%

Page 25: Adaptation Finance Tracking

Responsive?

Nat

iona

l Prio

ritie

s

Nepal Philippines Uganda Zambia Agriculture and Food Security

Food Security Forestry Land Use (agriculture and forestry)

Water Resources and energy

Water Sufficiency Weather/climate information

Water

Climate- induced disasters

Ecological and Environmental stability

Water resources Health and social infrastructure

Forests and biodiversity

Human Security Agriculture Physical infrastructure

Public health Climate friendly industries and services

Wildlife Transport

Urban Settlements and infrastructure

Sustainable energy Health Energy

Knowledge and capacity development

Mining

Page 26: Adaptation Finance Tracking

The Philippines Philippines

Food Security – 11% Water Sufficiency – Not Listed Ecological and Environmental stability – 20% Human Security – 10% Climate friendly industries and services – Not Listed Sustainable energy – Not Listed Knowledge and capacity development – Not Listed

Page 27: Adaptation Finance Tracking

Uganda Uganda

Forestry – Not Listed Weather / climate information – 11%

Water Resources – Portion of 76%

Agriculture – 5%

Wildlife – 6%

Health – Not Listed

Page 28: Adaptation Finance Tracking

Participation? Country National Climate

Policy National Coordination Role of Local Government Civil Society

Engagement Nepal Climate Change

Council headed by Prime Minister

Multi-sectoral Climate Change Initiatives Coordination Committee (MCCICC)

Ministry for Local Development is member of CCC; 3 Local government representatives in MCCICC

NGOs and academe have seats in MCCICC

Philippines Climate Change Commission chaired by President

- Advisory Board and technical committee not formalized yet - Cabinet Cluster on Climate Change (CCCC)

Secretary of the Department of Interior and Local Government, and Representatives of each sub-national administration level are part of the Advisory Board

NGOs, academia and private sector are part of the advisory board

Uganda Proposed National Climate Change Policy Committee to be chaired by the Prime Minister

Proposed National Climate Change Advisory Committee (NCCAC)

District Authorities and Ministry of Local Government have seats in NCCAC

Proposed engagement in the National Climate Change Advisory Committee

Zambia Proposed National Climate Change Development Committee (NCCDC)

Transitional Climate Change Secretariat under Ministry of Finance; Proposed working groups under the NCCDC

Local government is described as a constituency in the proposed NCCDC organizational chart

NGO climate network proposed as member of the NCCDC

Page 29: Adaptation Finance Tracking

Equity?

Country Gender in OECD

Represented in National Institutions

Gender Analysis in Strategy

Gender Incorporated into Plan

Nepal 77% No formal position No No Philippines 77% Chairperson of the National

Commission on the role of Filipino Women is a member of the Advisory Board to the CCC

Recognizes women and children in rural areas; Mandates gender sensitive approach

Some actions included

Uganda 63% Insufficient detail in proposed structure

Mandates gender mainstreaming

No plan available as of yet

Zambia 57% Insufficient detail in proposed structure

Gender is cross-cutting issue

NCCRS includes specific interventions

Page 30: Adaptation Finance Tracking

Next steps

Country In depth tracking Nepal Special climate funds

3 districts Philippines 2 domestic funds

2 donor projects Uganda 3 districts Zambia 3 districts

Page 31: Adaptation Finance Tracking

Contact Info:

Pieter Terpstra • Phone: +1 (202) 729-7805 • Email: [email protected]