1 / 23

Intergovernmental Fiscal Transfers and Adaptation to Climate Change

Intergovernmental Fiscal Transfers and Adaptation to Climate Change. Dr. Sonny Mumbunan Research Centre for Climate Change University of Indonesia – RCCC UI. The Governance of Adaptation: International Symposium March 22-23, 2012, Amsterdam, the Netherlands. The overview. Background

debbie
Download Presentation

Intergovernmental Fiscal Transfers and Adaptation to Climate Change

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Intergovernmental Fiscal Transfers and Adaptation to Climate Change • Dr. Sonny Mumbunan Research Centre for Climate Change University of Indonesia – RCCC UI The Governance of Adaptation: International Symposium March 22-23, 2012, Amsterdam, the Netherlands

  2. The overview • Background • Question • Framework - 3E criteria - Responsibility assignments and public functions - Fiscal transfers for adaptation • Concluding notes

  3. Background • Financial needs for adaptation measures still far outweigh the available fund • Risks and vulnerabilities from CC are unevenly distributed among jurisdictions (rural/urban, district/municipality, poor/rich countries)

  4. Background • CC impacts occur at different scales – so do CC adaptation actions and measures • Different actors at different scales and public agencies are important in public goods provision for adaptation measures

  5. Background Scientific interests • The relationship between scales in CC adaptation; Really, is there an ‘adaptation paradox’ (Ayers 2011)? • The importance of scale and public financing in CC adaptation have begun to be addressed (e.g. Swart et al 2009; Termer et al 2011). So far, rather casually – not a systematic treatment.

  6. Background Scientific interests (continued) • The notion of agency-scale and the challenges of Ostrom’spolycentricity as an enabler to adaptation (Boyd and Kjellen, in progress) The differentiation between public provision (i.e. by state actors) and public production for adaptation (i.e. by individuals and communities for state-based public provision)

  7. Background Policy interests • The present need of policy response: effective, efficient and equitable set of (financing) instruments for CC adaptation in light of differences in scale and governmental relation

  8. The question How to conceptually build a meaningful relationship between adaptation measures to climate change and intergovernmental fiscal transfers in a multi-layered system of governance at different jurisdictional scale?

  9. The framework

  10. The framework

  11. Note: UNFCC Adaptation Fund • Source of fund: CDM mechanism; potentially from international ‘adaptation levies’ e.g. International Air Travel Adaptation Levy (IATAL) or bunker fuels under International Maritime Emission Reduction Scheme (IMERS) • It is on the revenue side • Question: how to allocate and distribute the fund to different scales of government?

  12. Note: UNFCC Adaptation Fund Governance issue: Interactions at international and supranational levels should beincorporated (read: institutionally arranged) into the national system of governmental structure and relations For example: - REDD mechanism in CC mitigation - Or, adaptation fund under GEF channeled through institutions like UNDP, UNEP, the World Bank?

  13. The framework

  14. The 3Es criteria in adaptation • Effectiveness – in meeting desired adaptation results • Efficiency – the use of resources; incentive structure in terms of cost and benefit • Equity – sharing or equalizing the burden

  15. The 3Es criteria in adaptation • Effectiveness - Outcome oriented in addressing CC adaptation • Efficiency - Economies of scale - Public goods and ‘correspondence principle’ • Equity - Fiscal gap approach for regions with weak fiscal capacities

  16. Scaling up or down? On responsibility assignments

  17. Public functions for adaptation

  18. Fiscal transfer instruments • General-purpose transfers Lower level governments have full discretion on its use (block grant) • Specific-purpose transfers Outcome oriented, for priority sectors and measures • Revenue-sharing arrangement Sharing arrangement of revenues from taxes or sector-based revenues (marine, forestry, infrastructure, etc)

  19. Transfer instrument for adaptation

  20. Transfer instrument for adaptation • “Ecological fiscal transfers” are already in place to address ecological issues in general (Mumbunan, 2011) • In CC, intergovernmental fiscal transfers have been proposed for mitigation measures Most of which are in form of revenue-sharing arrangement (e.g. Busch et al 2011; IndartikNurfatriani and Ginoga 2011)

  21. The framework

  22. Concluding notes • The options for intergovernmental fiscal transfers for CC adaptation are there • Mixed instruments of transfer to fulfill multi-criteria of adaptation measures

  23. Thank you for your attention! • Dr. Sonny Mumbunan Research Centre for Climate Change University of Indonesia – RCCC UI E-mail: sonny_mumbunan@yahoo.com GedungRektorat Lt. 8,5 Kampus UI Depok, 16424 Indonesia

More Related