Fareeha Y. Iqbal

Global Environment Facility

Rome, Italy

Dec. 9-12, 2014

GEF Adaptation ProgramAccessing Financing from the Least Developed Countries

Fund and Special Climate Change Fund

GEF is a partnership for global environmental issues: 183 countries, international institutions, civil society organizations and the private sector.

• Since 1991, $13.5 billion in grants and leveraged $65 billion in co-financing for 3,900 projects in 165 developing countries;

• Biodiversity, climate change, international waters, land degradation, and chemicals and waste

GEF was requested by UNFCCC to manage Least Developed Countries Fund (LDCF) and Special Climate Change Fund (SCCF)

• mandated to finance the additional cost of adaptation in all vulnerable developing countries (COP 7)

• Support enabling National Adaptation Plan Process (COP 17/18)

GEF

GEF and Adaptation

GEF Agencies• UNDP• UNEP• WB• ADB• AfDB• EBRD• FAO• IADB• IFAD• UNIDO• CI• WWF-US• IUCN• DBSA

GEF Secretariat

STAP

Indep.Eval. Office

Projects & ProgramsCountries:• GEF OFPs• Convention FPs• Other Govt. Agencies• CSOs• Private Sector

GEF CouncilLDCF/SCCF Council

Countries: Council Members / Constituencies

GEF AssemblyCountries: GEF PFPs

UNFCCCCountries:

Convention FPs

Donors

Guidance Operations Action

Trustee

LDCF and SCCF• Follow the operational policies, procedures and governance

structure of the GEF

• Separate LDCF/SCCF Council

• Voluntary contributions from donors

GEF, through LDCF, SCCF and SPA:

The most comprehensive and the most advanced global portfolio of adaptation projects and programs

LDCF ($M) SCCF ($M) SPA ($M) Total ($M)

Pledges and Contributions

Total cumulative pledges* 926 347 50 1,323

Total paid contributions* 906 337 50 1,293

Project Approvals and CEO Endorsements**

Total Grants Approved 894 328a 50 1,272

Total Co-Financing Mobilized 3,755 2,376 609 6,740

Total Number of Projects 160 74 26 260

Number of countries 48 78 53

*From Nov. 2014 Trustee Status Report** From internal database, Progress Report (Sept. 2014) and Oct. 2014 SCCF WP

a SCCF-A: $270.1 M;SCCF-B: $ 58.2 M

Least DevelopedCountries Fund

(LDCF)

• To help LDCs address their urgent and priority adaptation needs

• To help LDCs formulate their medium and long-term adaptation needs

• $30 million per LDC

Special Climate Change Fund

(SCCF)

• All non-Annex 1 Parties to UNFCCC• Aligned with development priorities• Catalyst for additional resources• 2 funding windows:

Adaptation, Tech transfer

Principle of additionality applies to both

GEF-6 Adaptation Programming Strategy:Goal and Objectives

GOAL

To increase resilience to the adverse impacts of climate change in vulnerable developing countries, through both near-and long-term adaptation measures in affected sectors, areas and communities; leading to a reduction of expected socio-economic lossesassociated with climate change and variability.

1) Reduce the vulnerability of people, livelihoods, physical assets and natural

systems

2) Strengthen institutional and technical capacities

3) Integrate climate change adaptation into relevant policies, plans and associated processes

Adaptation Strategy: Programming Priorities

Agriculture and Food Security

Water Resources Management

Coastal zone management

Infrastructure (cities, transport, energy)

Disaster Risk Management

Natural Resources management

Health

Climate Information Services

Climate-Resilient Urban Systems

Small Island Developing States

In line with country demand and COP guidance

GEF-6 Adaptation Programming Strategy:Goal and Objectives

GOAL

To increase resilience to the adverse impacts of climate change in vulnerable developing countries, through both near-and long-term adaptation measures in affected sectors, areas and communities; leading to a reduction of expected socio-economic lossesassociated with climate change and variability.

1) Reduce the vulnerability of people, livelihoods, physical assets and natural

systems

2) Strengthen institutional and technical capacities

3) Integrate climate change adaptation into relevant policies, plans and associated processes

GEF-6 Adaptation Programming Strategy:Results Framework

GEF-6 LDCF and SCCF:Tracking Tool

• Direct beneficiaries;

• Establishing/strengthening early-warning systems;

• Projects/programs establishing/ strengthening climate information services;

• People trained;

• Strengthening national and sub-national agencies/ institutions;

• Strengthening/ developing national or subnational policies/ plans/ frameworks

Portfolio Results and Monitoring

LDCF $894.5 million for approx. 160 projects in 48 countries

29

1813

13

11

78 1

LDCF Global Sectoral Distribution (%)

Agriculture/Food Security

Natural ResourcesManagementWater Resources Management

Coastal Zone Management

Climate Information Services

Infrastructure

Agriculture, NRM and Water constitute a large share of the LDCF portfolio

18

17

1617

15

13

4

LDCF Sectoral Distribution for Asia (%)

Agriculture

Natural ResourcesManagement

Water ResourcesManagement

Disaster RiskManagement

Coastal ZoneManagement

Infrastructure

Climate InformationServices

Total $265.2 M

35

1713

4

12

5

14

LDCF Sectoral Distribution for Africa (%)

Total $606.1 M

SCCFGlobal: $329 million for 74 projects in 76+ countries

28

246

5

7

12

6

102

SCCF Global Sectoral Distribution (%)

Agriculture/FoodSecurity

Water ResourcesManagement

Natural ResourcesManagement

ClimateInformationServicesDisaster RiskManagement

Coastal ZoneManagement

Infrastructure

77.7

70.6

43.4

78.5

26.2

0

10

20

30

40

50

60

70

80

90

AFR Asia ECA LAC Global

SCCF Regional Distribution ($M)

0

20

40

60

80

100

120

Distribution of SCCF financing by GEF Agency* ($M)

*LDCF/SCCF Progress Report, Sept. 2014

FAO/IFAD Programming in Ag, NRM, Water (LDCF and SCCF)

12

88

IFAD

IFAD Others

13%

87%

FAO

FAO Others

Modalities

• Full-sized projects: >$2M, two-step process

• Medium-sized projects: <$2M, one-step or two-step process

• Programmatic approach: coherent program of projects that contribute towards a shared objective across a common system or theme, simplified approval process being developed

• Project preparation grants: linked to projects and programs, no separate application process

• LDCF PIFs are accepted and processed on a rolling basis.

• SCCF proposals follow the Work Program cycle.

Project cycle (full-sized project*)

1. ADB submits a PIF (& PPG request) and OFP endorsement letter

2. GEF Sec technical review (10 business days), CEO clearance.

3. LDCF/SCCF Council has 4 weeks to review. If approved, funds are committed and PPG is released.

4. Agency has up to 18 months for approval of full project document, co-financing letters and results tracking tool.

revision

Projectprep

5. GEF Sec technical review

6. GEF CEO endorses the project. Impl. can start.

Comments from STAP, Council

*Slightly different process for FSPs (>$2M), MSPs, EAs and Programs

The GEF Project Review Sheet1. Basic questions (eligibility, alignment with country priorities and CCA objectives;

2. Description of baseline project and problem

3. Project framework:

Table

BComponents Fin. type (TA/INV) Outcomes/puts TF GEF proj. fin. ($) Co-fin

Typically, Agency fee is within 9.5% of grant request and PMC within 5% of project costProject preparation grant (PPG) can be requested and is proportional to project cost.

4. Identification of additional adaptation benefits. Cost-effectiveness.

5. Public participation, gender, indigenous peoples: all taken into account?

6. Does the project coordinate with other related initiatives in the country/region?

7. Project sustainability, innovativeness, potential for scale-up, risks

8. Adequacy of financing and co-financing.

9. Tracking tool

Stronger focus on Gender, EbA, Private sector, SIDS

Gender-responsive project preparation & design: moving beyond sex-disaggregated data• GEF’s has a Gender Mainstreaming Policy and a Gender Action Plan is

under development• LDCF and SCCF project developers are encouraged to conduct Gender

Assessments

Ecosystem-based Adaptation offers high potential for win-win solutions• Often highly cost-effective• Flexible• Addresses drivers of environmental degradation• Provides community co-benefits

The GEF plans to ramp up private sector participation, including in its adaptation efforts• ‘Non-grant pilot’ is under development• So far, sporadic examples across LDCF/SCCF portfolio

Next steps

How to move forward most effectively?

Resources

GEF Programming Strategy on Adaptation to Climate Change

LDCF/SCCF Council Documents

Country Fact Sheets (Council Members, OFPs)

Thank you

Fareeha Y. Iqbal (fiqbal1@thegef.org)