Adaptation Fund state of operationalization

Alpha Oumar Kaloga Policy Officer - Adaptation to Climate Change/Development International Climate Policy Team Germanwatch

27. 06. 2012

• 1997: Origins under the Kyoto Protocol • 2001: Fund concept and financing further

defined • 2007: Adaptation Fund established (Board,

trustee, secretariat) • 2008-09: Development of operational

procedures • 2010: First NIE/MIE accredited and project

grants awarded

History

Core mandate and priorities of the AF

Target the ‘particularly’ vulnerable’ developing country parties

provide international financial assistance to developing country parties to adapt to the adverse effects of climate change and to meet the full costs of adaptation

“to support concrete adaptation activities that reduce vulnerability and increase adaptive capacity to respond to the impacts of climate change, including variability at local and national levels.”

Institutional arrangement and responsibilities

11 National Implementing Entities

1 Regional Implementing Entity

10 Multilateral Implementing Entities

1. Governance

2. Innovative funding

3. Direct Access

Results Based Management

Consultative Process

A special attention is given to the needs of the most vulnerable

communities and gender Groups

A strong consultative process with the

involvement of all key stakeholders, and

vulnerable groups.

Financial Status of the AF

Status of resources: Current availability of funding is US $146 million

Level of need: A record 22 projects (including 18 fully-developed proposals amounting to US $110 million and 4 concepts) are up for consideration at the next Board meeting.

Supporting innovative, tried, and tested approaches to adaptation: Funding needed to contribute to the evolving area of adaptation.

Regional programmes: Recognizing the potential for synergies amongst countries with similar circumstances or that share borders,

Status of Resources

Tyes of the Projects funded by the AF

• Protecting lives and livelihoods in the coastal zone of Senegal (rising sea level and increasing coastal erosion)

• Combining scientific and traditional knowledge to help smallholders in drought-prone areas of Uruguay (reduced and less predictable rainfall)

• Helping rural residents in Georgia to improve hazard mapping, insurance schemes, new building codes and other policies against landslides, mud and snow flows (increased flooding and melting glaciers)

• Ensuring reliable and safe freshwater supply for communities in the Maldives (less predictable rainfall and rising sea level)

Fundraising Strategy of the AF

The AFB set a USD 100 million fundraising target through the end of 2013.

The AF intends to work collaboratively with both the private and public sector in achieving this goal.

Work is ongoing to finalise an agreement with UNF to facilitate donations by individuals.

The AFB is open to discussing innovative options for fundraising tools and strategies.

Benefits & Lessons learned

Empowers developing countries to manage their own funds

Recognizes the potential of strong institutions in developing countries

Improved institutional and operational processes through the accreditation proces

Need to further assist developing countries through the accreditation process

Green Climate Fund

Convention KP

Funding windows

Mitigation xxx Adaptation

Adaptation Fund

Legal and political (US?) barrier (governance etc.)

Option 1

concret projects and programmes (current mandate)forward resources to

fill gaps

Mitigation xxx AdaptationOption 2 forward ALL adapt. resources

projects, programmes, policies, capacity building (expand mandate)

Mitigation xxx AdaptationOption 3legally move AF to become Adapt window

policies, mainstreaming, capacity building etc.

request by the AFB

Regional Distribution of Projects approved by the AF

50% Cap issues of MIEs projects

Were AFB18 to approve all full proposals, 80% of funding would go to MIEs, far exceeding the cap.

Distribution of Cumulative Funds if all proposals submitted to AFB 18 are funded

Endorsement and Approval rate Endorsement/Approval rate consistent with the Fund’s strategic priorities of swift processes and disbursements: 81-86%

Key questions for the discussion?

• What could the Green Climate Fund learn from the AF?

• What could be the future of the AF in relation to the Green Climate Fund?

Thank you for your attention

www.af-network.org

www.germanwatch.org/klima/af

Kaloga@germanwatch.org