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Developing a GCF proposal

Developing a GCF proposal. Lessons from Kenya. Ms. Nancy SOI Programme Management Officer Climate Change Adaptation Unit UN Environment. How project concepts were identified.

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Developing a GCF proposal

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  1. Developing a GCF proposal Lessons from Kenya Ms. Nancy SOI Programme Management Officer Climate Change Adaptation Unit UN Environment

  2. How project concepts were identified NDA: Through the“GCF Accelerating Direct Access event” aimed to accelerate the development of project/programme pipelines, country programmes and develop capacity on gender. Direct Access Entity: National Environment Management Authority (NEMA) through a call for proposals. International Access: The IUCN’s project pipeline

  3. Project Concept (voluntary)BY NDA In 2016, the NDA submitted 5 project concepts to the GCF Secretariat during the “Accelerating Direct Access event” held in Songdo in April 2016. 2 Concept notes on transport sector and northern rangeland ecosystems received formal comments from the GCF. Transport sector project, recommendation by the GCF was that this project be merged with a bigger (multi-country) transport project currently developed by UN Environment. The project countries include Kenya, Rwanda, etc. Northern rangelands ecosystems project, again the GCF proposed to be merged with another similar proposal that had been submitted by IUCN

  4. By NEMA • The proposals were a developed through a call for proposals posted by NEMA in 2016. • Constituted a technical working group to review the applications and select projects to be submitted to the GCF • National Environment Management Authority (NEMA) submitted additional 5 concepts to the GCF as a Direct Access Entity. The proposals were on: • Water resources, • food security (crop trees), • ecosystem restoration (water towers), • Transport sector (air pollution) • Governance climate fund • All 5 project concepts received feedback, however 4 of those concepts had the potential to be further developed into full proposals.

  5. BY IUCN IUCN also submitted project concept on Ecosystem based Adaptation in sustainable management of dryland ecosystems in the Northern Kenya. This proposal was similar to a proposal by the Ministry of Agriculture, Livestock and Fisheries - State Department of Livestock (MoALF- SDL) and the National Drought Management Authority (NDMA) submitted by the NDA (thematic focus on dryland and rangeland ecosystems and northern Kenya) to the GCF almost at the same time. The Feedback from the GCF Secretariat proposed that the IUCN proposal and a proposal by the National Drought Management Authority (NDMA) be merged into one proposal. The outcome of the merger was the project titled: TWENDE – “Towards Ending Drought Emergencies: Ecosystem Based Adaptation in Kenya’s Arid and Semi-Arid Rangelands”.

  6. IUCN Project proposal- TWENDE The project titled: TWENDE – “Towards Ending Drought Emergencies: Ecosystem Based Adaptation in Kenya’s Arid and Semi-Arid Rangelands” was submitted by IUCN in June 2018 to the GCF Sec. The objective of this project is to reduce the cost of climate change induced drought on Kenya’s national economy by increasing resilience of the livestock and other land use sectors in restored and effectively governed rangeland ecosystems. Component 1: Climate change adapted planning for drought resilience Component 2: Restoration of rangeland landscapes for ecosystem based adaptation Component 3: Investments and incentives for climate change resilient ecosystem management The project is valued at USD 26.4M and the Executing Entities are the Ministry of Agriculture and Irrigation (MoAI) and National Drought Management Authority (NDMA).

  7. NEMA proposal NEMA prioritized water catchment project titled: Enhancing the resilience of communities and ecosystems in the Athi River catchment area to be supported under the BMUB funded programme. The water catchment project however experienced delays due to lack of consensus on mechanism for UN Environment to deliver technical support required by NEMA to advance the Concept Note into a full project proposal. The support got further complicated with the entry of the Korea Environmental Industry and Technology Institute (KEITI) who offered similar support to NEMA to advance the concept to full proposal. KEITI and NEMA went ahead to finalise the funding proposal and submitted to the GCF Secretariat in June 2018.

  8. Challenges/ Lessons learnt • A merger of the 2 projects is never easy– negotiating and agreeing on project focus and key components in accordance with the GCF priorities is challenging. • Ambition and mandate of the NDMA (e.g. geographical focus) • Grey infrastructure v.s. Green infrastructure • Building teamwork and trust take time • Lack of clear understanding of Climate Finance Fund v.s. Sustainable Development Fund among all stakeholders. • Lack of Local GCF expertise including economic and financial analysis, Environmental & Social safeguards, gender • GCF Readiness project development budget – (proposal development requires approximately USD 250,000 and above). • Consensus building among the core project design team and the multi-stakeholder consultation process take time.

  9. Challenges, cont’d • Working and partnering with direct access entities/ candidate direct access entities, is key towards a successful outcome. • Early and continuous engagement with the fund secretariat is critical.  • Building on ongoing projects and initiatives reduces costs and increases effectiveness: scaling up successful pilots. • Direct access entities still require enormous support before they are able to develop bankable proposals i.e. still lack capacity on proposal development, budget, etc. • Limited guidance from the GCF on proposal development – both NEMA and IUCN. For instance: What constitutes a transformational project? • Adaptation vs development projects; • Co-finance; • Incremental cost vs full cost (adaptation)

  10. Take home message • Managing expectations: GEF and other grants vs GCF project development • Level of detail • Time: 12 months+ • Resources: UN agencies budgeting >US$0.5 million for leveraging $50 million • Diverse range of experts: GCF, adaptation, economics, E&S safeguards, gender. • Reliance on national consultants to produce credible data • Large upfront investment in data collection, • Strong working relationship with the NDA is key

  11. Thank you

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