This paper is backgrounder for the ongoing and further work on the question of how to finance a NAMA. It aims to identify in the context of technical assistance what has to be considered when planning and implementing a NAMA and mobilizing the financing of that individual NAMA.
Building upon the UNFCCC's global, top down analysis of the costs of climate change, UNDP commissioned a User Guidebook to support developing countries to undertake a bottom-up, national sectoral analyses of the costs of adapting to the impacts of climate change and mitigating GHG emissions. The User Guidebook, which was developed by UNDP with a group of international experts and regional centres of excellence, comprises:
The guide book offers a quick screen methodology to identify NAMA opportunities with potential for climate financing, and a deep screen methodology to analyze and determine the most appropriate development options to meet country-specific needs. And the process has been tailored to produce NAMA Concepts and Proposals that align with the requirements of the UNFCCC NAMA registry that will open this year. The guide walks policy makers through all the steps needed to successfully develop NAMAs and demonstrate preparedness to access available funding.
In this paper BNEF presents an alternative negotiating process based on the concept of “emissions intensity” in which emission targets are related to economic activity, rather than the current paradigm of absolute emission reductions for developed countries and little obligation on developing countries. Expressed in this way, targets can be agreed for all countries, not just developed countries. They would also be more flexible and give governments more control over achieving the targets.
This case study is an annex to the report Mobilizing Climate Investment: The Role of International Climate Finance in Creating Readiness for Scaled-up Low-Carbon Energy and presents a more detailed description of the case study which is summarized in the report.
China has embarked on one of the largest endeavours in climate economics ever, to establish a national carbon emission trading system by 2015. As a first step, carbon-trading pilots have been initiated in seven provinces and cities. The success or failure of those experiments will to a large extent determine the future of climate policies in China.
The report highlights that governments need to strategically target their public finance to attract private capital into green investment through measures such as guarantees, insurance products and incentives, combined with the right policy support. It includes examples where governments and public financing agencies have successfully mobilized significant amounts of private investment for clean energy, water and agricultural investment. It concludes with a series of recommendations for investors and governments to scale up these successes to close the green investment gap.
The objective of the NAMA study is to provide Uganda with an opportunity to help shape its future low-carbon development. Reforming the charcoal sector currently provides one of the most important opportunities to not only reduce emission reductions but also achieve multiple sustainable development outcomes for developing countries, and in particular Least Developed Countries (LDCs).
This Discussion Paper outlines how covered bond markets could be adapted for renewable energy finance and how covered bonds could provide a stepping-stone towards broadening debt capital markets for low-carbon finance.
This paper aims to enrich knowledge sharing about the establishment and management of national climate funds (NCFs), which is organized by the Asia-Pacific Community of Practice on Climate Finance. It reports the lessons learned extracted from the establishment and management of the Lao Environmental Protection Fund (EPF), which is one of seven national funds across the Asia-Pacific region selected as a case study.