This paper examines international, national and municipal mechanisms for financing adaptation, and reveals the systemic barriers that prevent money being channelled into the hands of low-income and highly vulnerable urban residents in low- andmiddle-income countries, and hinder effective urban adaptation. At the same time, a number of highly organised, pro-poor, locally managed funds are being pioneered across a number of cities in low- and middle-income countries.
Developing countries could receive international climate financing through diverse resource streams (private investment, traditional development aid, dedicated national funds, carbon markets, etc.), but it is fragmented both in terms of its source as well as its destination (various line ministries, general budget support, national implementing agencies, private sector, etc.). Additionally, application processes vary both in length and requirements.
The Clean Technology Fund (CTF) is the presently the largest multilateral mitigation fund, with a capitalisation of US$5.2 billion in grants and concessional loans. Its objective has been to harness the private sector in pursuit of “transformational change” in developing countries towards low carbon development strategies. The CTF experience reinforces the importance of grounding programs in country context with due attention to issues of institutional capacity and preparedness.
The Global Landscape of Climate Finance 2013 finds that global climate finance flows have plateaued at USD 359 billion, or around USD 1 billion per day – far below even the most conservative estimates of investment needs. On one hand, there is some cause for optimism: Although private investment has declined in general terms, technology costs for large-scale renewable energy have fallen further, perhaps as economies of scale start to take hold.
The Climate Change Open Data Platform serves as a one stop shop for data and content on climate change-, energy-, and environment-related topics.
This capacity assessment scorecard will be one key resource to identify Institutional Capacities for Climate Change, which will allow a prioritized Capacity Development Plan to be prepared.
The Direct Access Capacity Assessment for National Implementing Entity (NIE) Tool was developed to assess existing capacities and to determine actions required to meet the Adaptation Fund (AF) accreditation criteria (this version of the tool incorporates new criteria approved by the AF board on 17-18 March, 2011 – decision B.11/3).
The International Guidebook of Environmental Finance Tools provides guidance on developing and implementing the most commonly used, widely applicable, and potentially high-impact environmental finance tools. It aims to define and analyse the primary tools that are already in use and that can be applied globally to advance sustainable development. The tools explored in the Guidebook have been successfully applied to protect the environment and promote pro-poor and predominantly rural development.
The economic impacts of climate change are already apparent and they threaten development gains. Extreme weather events have brought severe droughts to Central Asia, heat waves and forest fires to Russia, and floods to Southeastern Europe. Unchecked emissions will come at rising economic cost and increasing risk to individuals. There is a clear case for all of the world’s economies to move to a low-carbon growth path.
To assess gaps and accelerate implementation of the climate reform agenda, in 2012 the Department of Budget and management and the climate change commission sought advisory services from the World Bank to carry out a Climate Public Expenditure and Institutional Review (CPEIR). Carried out at mid-term of the first phase of the national climate change action plan, the Philippine development plan (2011-2016), and the current administration, this review comes early enough to help guide the finalization and operationalization of the first phase of the climate reform agenda.