What Happens Now

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What Happens Now
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But first,

• The Context!

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Sustainable Human Development
EQUITY
EMPOWERMENT AND PARTICIPATION
SUSTAINABILITY
SECURITY AND RESILIENCE
COOPERATION
Functional and stable political governance
(transparent, accountable, inclusive, effective)
Sustained and inclusive green growth
Prevention and Reduction of risks from, and
increased Resilience to, shocks
Social well-being and realization of basic
capabilities
Well-managed natural resource base, with
equitable benefit-sharing
Examples of areas that can be influenced by UNDP
in the area of Human Development and
Environmental Sustainability Structural
transformation of the economy, changes in
productivity and employment-intensity of growth,
greening and low emission production processes.
Sustainable use and governance of natural
resources (production processes/access/pricing/rev
enues/benefit-sharing/conservation) Preparedness
and resilience for shocks and foundations for
rapid and broad-based recovery Climate change
adaptation, building resilience of ecosystems,
communities and infrastructure. Functionality,
transparency, efficiency, effectiveness and
inclusiveness of systems of public administration
(at all levels). Capacity development, public
policies and plans for pro-poor, green
development (economic and fiscal tools, national
budget systems, social and environmental
strategic assessments, etc.). Existence, coverage
and sustainability of systems for transfer of
risk and for social protection and of social
services (including energy and water) access)  
POLICIES (Scope, Quality, Relevance, Ownership) INSTITUTIONAL CAPABILITIES (Knowledge, Skills, Systems, Openness, Accountability, Partnering, Provisioning) LEADERSHIP (Approach, Experience, Skills) PARTICIPATION AND CONSENSUS-BUILDING (Credible and Functioning Systems for Voice and Engagement) RESOURCES (Equity, Transparency, Efficiency and Effectiveness of Mobilisation, Allocation and Expenditure)
STRUCTURAL FACTORS Natural endowments location
- historical experience, traditions and legacies
political, administrative, social and ethnic
structures - social and civic culture and norms
social capital (associational base, levels of
civic trust, record of consensus and
collaboration)
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The Climate Finance Readiness Challenge

• Despite growing volume and variety of resources
  (international domestic, public private),
  developing countries face
• 3 key challenges to climate finance readiness
• National capacities are required to navigate
  complex landscape and allow countries to access
  and deliver different forms of finance
• Need to catalyze private finance public finance
  alone is insufficient to meet demands of climate
  challenge, must catalyze greater volumes of
  private finance
• Limited alignment between climate and
  development to drive economy-wide
  transformation, climate finance must be
  mainstreamed into planning and development policy

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Components of Climate Finance Readiness and
Associated Capacities Required
Levels of national capacities Financial Planning  Accessing Finance Delivering Finance Monitoring, Reporting Verifying
Policy Level Formulation of green, low-emission and climate-resilient development strategies and implementation plan, including costing Sectoral policy incentives and regulations to catalyze private investments
Institutional Level Effective national multi-stakeholder coordination mechanisms Implementing entities with fiduciary systems and safeguards national banking institutions Implementing executing entities with fiduciary systems and safeguards project-level multi-stakeholder mechanisms climate-aware public financial management systems Centralized unit to compile data and for quality control reporting communications unit
Individual/ skills level Baseline assessments IFF assessments expenditure reviews sector analysis/investment appraisal of costs-benefits Financial management (combining/ blending) skills project/programme formulation skills expertise in private sector pricing incentives Specialist technology skills (e.g. wind energy technologies installation) project management skills Expenditure review methodologies GHG inventory skills independent verification skills
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Green, Low Emission Climate Resilient Development
Strategies Promoting robust strategic planning
and decision-making
Develop Green LECRDS
Determine appropriate policy-mix and financing
options

• Technical and Policy Advice
• Developing and Applying Methodologies
• Oversight and Financial Management
• Training
• Multi-stakeholder Dialogues
• Convening and Coordination

Generate Share Knowledge
Establish Enabling Environment to Catalyze Capital
Catalyze Finance
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Great!

• So, where are we then..

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Ongoing LDCF, SCCF, AF financed projects need
to build off these
Mongolia Ecosystem-based adaptation
mainstreamed into sector policies and capacity
development for integrating climate change risks
into land and water resource management planning.
Bangladesh - Developing the capacity of coastal
communities for dealing with climate risks
engaging in coastal afforestation and building
local level government capacity in managing
climate change risks and adaptation.
Vietnam - Updating coastal zone management and
development policies to promote increased
resilience of critical infrastructure in
vulnerable coastal areas enhancing government
capacity to understand/ incorporate climate risks
in development planning.
Cambodia - Enhancing local institutional capacity
for climate resilience (e.g. training local
engineers setting up dispute mechanisms). Water
related adaptation options at the local level
such as resilient design, management and
enhancement of water infrastructure.
Maldives - costs and benefits of climate-proof
sensitive infrastructure (freshwater management,
solid waste and wastewater management, energy
services, infrastructure) Enhanced capacity of
national, provincial, atoll and island
authorities and civil society leaders to
integrate climate risk information into policy,
planning and investment decisions.
Philippines - Assisting the agriculture sector in
adapting by creating regulatory environment for
private sector engagement with farming
households, creating financial products for
farmers and building farmer capacity.
Nepal - Assessing impacts of climate risks and
adaptation options (physical infrastructure and
community preparedness) for glacial and other
flooding in mountainous regions.
Sri Lanka - Disaster resilient infrastructure
development controls and building codes
restoration and rehabilitation of natural buffer
zones and technical human resources capacity
building to account for climate risks in planning
and building of physical infrastructure
Indonesia - Cost-benefit analysis on promoting
economic diversification in several vulnerable
villages. Focus on measures that will stimulate
entrepreneurship especially for women foster
close linkages to the private sector
Lao PDR - Economic impacts of climate change
assessed. Increased knowledge and understanding
of climate variability and climate induced
threats on agricultural production, food security
and vulnerability, in Lao PDR.
Timor Leste Assessing climate vulnerabilities
and adaptation options at the national level
capacity building at the national and local
level and developing adaptation projects in
rural areas (especially water related).
Thailand - Economic assessment of options for
climate-resilient coastal protection and
enhancing local knowledge and capacity and
implementing small scale adaptation measures.
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Green Climate Fund
Cancun Adaptation Framework (CAF) - National
Adaptation Plans (NAPs) - Medium- and long-term
climate change adaptation needs

• Supporting LDCs to Advance
• National Adaptation Plans (NAPs)

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So, what did we hear from you this week
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Country Needs

• Demand for understanding of economics of climate
  change adaption at technical and policy levels
• Key sectors- Agriculture (rural development),
  Water (flooding/drought) and inter-sectoral
  implications
• Trained personnel at country level
• Intra Ministry capacity development
• Targeting High level Policy Makers (Awareness)
• Emphasizing issues of prominence for
  decision-makers (speaking their language)

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Views on Tools and Issues

• Tools
• Sectoral and Inter-Sectoral Analysis
• Market and Non-Market Valuation
• Investment (project) Appraisal
• Key Issues
• Short-term, long-term
• Equity, Gender, distributional impacts
• Must go beyond research and result in change in

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So, here is what we will do.
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So, here is what we will do.

• (1) Build your technical capacity to conduct
  assessments on the economics of adaptation
• For portfolio ( of projects) appraisal and
• For sectoral and cross-sectoral planning
• (2) Build support among decision-makers through
  awareness and sensitization to key issues
• Support your efforts to link this programme with
  others aimed at advancing climate resilient
  development

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Priority sectors (National Communications and
NAPAs)
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Key Questions that you will be able to get
insights on through this programme

• Managing water sector and the agriculture sector
  under current climate conditions
• How plans may need be adjusted so that sectoral
  economic development takes into account climate
  change risks and opportunities
• Evaluating portfolio of initiatives (comprising
  discrete projects) in context of climate change
  (e.g. Khulna type Government projects)

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Other topics of interest

• What are most profitable (efficient) choices for
  farmers in different regions of my country given
  current conditions? What type of farm, what
  crops, what livestock, how much irrigation, and
  how much input (labor, machinery, fertilizer)
  should they use?
• How do the choices above change as market
  conditions (such as prices) change?
• How do the choices above change as climate
  changes?

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Exploring distributional and equity issues

• What is the best allocation of water across users
  in each major water basin in my country today?
• How should water allocation change as the demand
  by different types of users changes over time?
• How should water allocation be adjusted in years
  with abundant water and with water shortages?
• What water investments would be efficient (dams,
  canals, levees) and where and when should they be
  made?
• How would climate change alter these water
  investments and water allocation plans above?

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Expected results

• National plans/strategies taking economics of
  climate change adaptation into account (Sector
  Plans, National Development Strategies)
• Appraised Portfolio of projects
• Trained technical national teams
• Supportive, knowledgeable decision-makers
• Sectoral results on the costs-benefits of
  adaptation options
• Case Studies and Curriculum
• Community of Practice and Mentoring support

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So, what is the modality for achieving these
expected results

• Two year capacity building programme
• Country teams will conduct relevant project
  appraisal/sector analysis in context of ongoing
  initiatives of priority to them
• Experts from region and international to provide
  training/mentoring
• At least 4-5 regional gatherings and demand based
  in-country support
• Technical Support Available from a network
• Linking with other ongoing capacity building
  programmes on climate modelling, vulnerability
  analysis (eg. UNU-ISP, UNDP, USAID adaptation
  projects, and others)

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Leverage financing from initiatives already in
place and are being developed
Mongolia Ecosystem-based adaptation
mainstreamed into sector policies and capacity
development for integrating climate change risks
into land and water resource management planning.
Bangladesh - Developing the capacity of coastal
communities for dealing with climate risks
engaging in coastal afforestation and building
local level government capacity in managing
climate change risks and adaptation.
Vietnam - Updating coastal zone management and
development policies to promote increased
resilience of critical infrastructure in
vulnerable coastal areas enhancing government
capacity to understand/ incorporate climate risks
in development planning.
Cambodia - Enhancing local institutional capacity
for climate resilience (e.g. training local
engineers setting up dispute mechanisms). Water
related adaptation options at the local level
such as resilient design, management and
enhancement of water infrastructure.
Maldives - costs and benefits of climate-proof
sensitive infrastructure (freshwater management,
solid waste and wastewater management, energy
services, infrastructure) Enhanced capacity of
national, provincial, atoll and island
authorities and civil society leaders to
integrate climate risk information into policy,
planning and investment decisions.
Philippines - Assisting the agriculture sector in
adapting by creating regulatory environment for
private sector engagement with farming
households, creating financial products for
farmers and building farmer capacity.
Nepal - Assessing impacts of climate risks and
adaptation options (physical infrastructure and
community preparedness) for glacial and other
flooding in mountainous regions.
Sri Lanka - Disaster resilient infrastructure
development controls and building codes
restoration and rehabilitation of natural buffer
zones and technical human resources capacity
building to account for climate risks in planning
and building of physical infrastructure
Indonesia - Cost-benefit analysis on promoting
economic diversification in several vulnerable
villages. Focus on measures that will stimulate
entrepreneurship especially for women foster
close linkages to the private sector
Lao PDR - Economic impacts of climate change
assessed. Increased knowledge and understanding
of climate variability and climate induced
threats on agricultural production, food security
and vulnerability, in Lao PDR.
Timor Leste Assessing climate vulnerabilities
and adaptation options at the national level
capacity building at the national and local
level and developing adaptation projects in
rural areas (especially water related).
Thailand - Economic assessment of options for
climate-resilient coastal protection and
enhancing local knowledge and capacity and
implementing small scale adaptation measures.
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What Happens Now

• Immediate Action
• By countries
• Require you (or nominated personnel) to get
  substantive training in the economics of climate
  change (co-benefits of training allow you to do
  all sorts of other analyses)
• Training through a series of meetings/training
  sessions.
• Please discuss this with your counterparts and
  superiors
• By organizers (UNDP-USAID)
• Updated concept note for this programme

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Draft Timeline

• By end of Jan 2013
• Talk to colleagues and coordinate, make linkages
  to ongoing UNDP, LDCF, SCCF, AF, USAID and other
  initiatives
• Identify projects to appraise
• Identify data available and gaps for sectoral
  analysis
• By end of March 2013
• Technical Training for countries
• April- Oct/Nov
• Policy awareness
• Country support (technical)
• Additional data collection, early analysis by
  countries
• Nov/early Dec 2013
• Technical Training
• First Quarter 2014
• Country support
• Analysis
• Policy Dialogue

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Keep in mind

• The Context!

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Change in Lives
Increased resilient food security
Healthy, educated, employed, empowered people /
communities
Why results? What results? How to achieve and
sustain them?
 
Changes in behaviors, norms
 Local farmers adapt their practices to reflect
climate-related factors
People and communities are using the services and
changing their behavior or norms, etc.
Real, meaningful, and sustainable improvements
in peoples lives.
 
Improved Performance
 Local government plans/budgets more effectively
reflect climate change adaptation needs
provincial agricultural extension services
adapted
Institution or systems are performing more
effectively and efficiently, in a more
consistent and resilient manner (performance,
stability, adaptability)   r  
Increased Capacity
 Systems related to climate change adaptation
(planning, financing, etc) are strengthened in
multiple institutions in the sector
 
 
 
 
Better functioning systems, structures,
mechanisms, processes etc. in areas
institutional arrangements leadership
knowledge management and accountability
 
 
 
 
The Results/ Development Story
We analyze capacity needs related to climate
change adaptation develop and implement a
capacity development strategy/plan to address
them (incl. tech skills development)
 
Capacity Development Processes
Stakeholder engagement, capacity assessments,
capacity development strategies and change
processes, change management
Source Ashley Palmer (2012)
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Green, Low Emission Climate Resilient Development
Strategies Promoting robust strategic planning
and decision-making
Develop Green LECRDS
Determine appropriate policy-mix and financing
options

• Technical and Policy Advice
• Developing and Applying Methodologies
• Oversight and Financial Management
• Training
• Multi-stakeholder Dialogues
• Convening and Coordination

Generate Share Knowledge
Establish Enabling Environment to Catalyze Capital
Catalyze Finance