local climate adaptive living facility (local), cambodia
TRANSCRIPT
Local Climate
Adaptive Living Facility (LoCAL)
LDCs’ Local Governments & Resilience
Underfunded Responsibilities • Local governments worldwide have
mandate and comparative advantage to strengthen resilience
• Often this is underfunded by central government, so they seek PPPs, issue bonds, take out loans...
• Yet small local governments in Least Developed Countries do not share these funding possibilities
• And almost all climate finance in LDCs is still channeled through central government agencies
• Therefore LDCs, the most vulnerable, are not able to fully build resilience to climate change
Inter-national
Na-tional gov
Prov / State gov
Local Gov
Responsibility for resilience
Inter-national
National gov
Prov / State gov
Local Gov
Financing for resilience
LoCAL is designed to enable LDCs to deal with this problem
Mainstreaming climate change adaptation into local government’s planning and budgeting systems
Increasing awareness and response to climate change at local level
Increasing the amount of finance available to local governments for climate change adaptionAddressing the challenge of channeling climate change adaptation finance to local level in LDCs
Mediating local level ‘s direct access to climate change adaptation finance
The PBCRGs (Performance based climate resilience grants as)
• Fiscal transfers to subnational level
• Financial top-ups• Use of country
systems• Minimum conditions
(access)• Performance measures
(annual assessments)• Menu of investments
(eligible measures)
Sustainability
UNCDF
KEI
WRI
LoCAL Secretariat
Regular Local Government planning, budgeting, financial management, procurement
VA
Investment Menu
Vulnerability Assessment
Central Governm
ent
GCF and global
climate finance
$
PBCRGIGFT1
1
2
2
3
3 2
3
Annual Performance Assessment
Local Government and Local Community working with partners on the ground (like PEI, BDC etc)
Bank
PBCRL
ISF
PBCRB33
Reporting
Reporting
Scoping mission UNCDF & LDC govt.
Mou & LO
A
Annual resilience and climate monitoring (whole country)
PEIetc.
1
Global
Policy Impa
ct2
LDC
Grants &Loans
Resilience, adaptation, local fixed capital, local fiscal space
SustainabilityA form of Mediated and Verified Direct Access to Climate Finance for Local Resilience t
IIED 2
The Characteristics of LoCAL?
1. Owned by the Least Developed Countries that sit on its board
2. Managed on behalf of these countries by UNCDF (UN Capital Development Fund) – a UN agency dedicated to LDCs.
3. Channels climate finance through national systems directly to local governments – no parallel mechanisms or additional overheads.
4. Annual audit to measure the resilience built (according to pre-defined baseline). Performance based rewards and sanctions.
5. Robust methodology and peer pressure from board members keeps system honest. LoCAL secretariat carries out monitoring and pooled reporting to climate funds
6. This enables LDC member states to use LoCAL as a form of mediated and verified direct access to climate finance for local resilience that demonstrates immediate, verifiable and concrete results
1. Owned by the Least Developed Countries that sit on its board
2. Managed on behalf of these countries by UNCDF (UN Capital Development Fund)
SustainabilityOwn by LDCs
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LoCAL introduced/tested in 11 LDCs & 29 Local Governments
Tuvalu (phase I), Solomon Islands
and Vanuatu (preparation)
Bhutan and Cambodia (phase
III)Bangladesh ,Nepal
and Lao PDR (phase II)
Benin (phase II), Ghana Mali,
Mozambique and Niger (phase I),
Lesotho, Uganda and Tanzania (preparation)
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Key partners and stakeholders
• At local level, local governments and populations are both partners and beneficiaries
• At national level, LoCAL partners with ministries in charge of decentralization, climate change, planning/finance and development partners– Ex. Belgian cooperation in Mozambique, SIDA in Cambodia, EU and
DANIDA in Bangladesh, UNDP GEF in Lao PDR, IIED-UK AID in Tanzania
• At global level, LoCAL is financed by EU (GCCA), SIDA, Liechtenstein and UNCDF is partnerships with the World Resource Institute (WRI), the Korean Environment Institute (KEI)) and the UNDP-UNEP Poverty-Environment Initiative; IIED
