1. Bangkok, June 2013

2. GEF AT A GLANCE Largest public funder of projects to improve the global environment. GEF provides grants for projects related to biodiversity, climate change, international waters, land degradation, the ozone layer, and persistent organic pollutants. Provided $11.5 billion in grants and leveraging $57 billion in co- financing for over 3,215 projects in over 165 developing countries and countries in transition. Through its Small Grants Program (SGP), the GEF has also made more than 16,030 small grants directly to civil society and community based organizations, totaling $653.2 million. For more information, visit www.thegef.org.www.thegef.org

3. GEF Assistance to Address Adaptation GEF Trust Fund Strategic Priority on Adaptation (SPA) adaptation action with GEBs Total: $50M Total: $534MTotal: $241M GEF Trust Fund UNFCCC climate change funds Kyoto Adaptation Fund Estimate $80-300 million/year Secretariat services for the AF provided by GEF on an interim basis. Background on the GEF and Adaptation Adaptation Fund (AF) Adaptation in KP developing I parties NO GLOBAL BENEFITS Special Climate Change Fund (SCCF) Top priority to Adaptation NO GLOBAL BENEFITS Least Developed Country Fund (LDCF) (implementation of NAPAs) NO GLOBAL BENEFITS *As of May 31, 2012

4. LDCF and SCCF Two Convention Funds on adaptation managed by the GEF Why finance adaptation? Convention guidance GEF Trust Fund does not support adaptation under GEF-5 Purpose Bridge time between now and the launch of the new financial architecture under the Climate Convention Mobilize scaled up and predictable resources 4

5. Mandate & COP Guidance – LDCF (Decisions 7/CP.7; 28/CP.7; 3/CP.11) 5 LDCF established under UNFCCC at COP7 2001, managed by the Global Environment Facility (GEF) Addresses the special needs of the Least Developed Countries (LDCs) Priority: to finance the preparation and the implementation of NAPAs NAPAs  identify “urgent and immediate needs”  specific guidelines provided by the Least Developed Countries Expert Group (LEG) LDCF operational guidelines developed consistent with specific guidance COP11

6. Mandate & COP Guidance – SCCF (Decisions 7/CP.7; 5/CP.9) 6 SCCF established under UNFCCC at COP7 2001, managed by the Global Environment Facility (GEF) 4 different windows, financing through 2 so far: Adaptation Transfer of technologies (for adaptation and mitigation) Energy, transport, industry, agriculture, forestry, and waste management Economic diversification Top Priority!

7. LDCF and SCCF: Main Features LDCF and SCCF are Voluntary Funds LDCF supports the special needs of the LDCs under the Convention: Preparation and implementation of National Adaptation Programs of Action (NAPAs) streamlined project cycle, sliding scale equitable access ongoing dialogue and training workshops with LDCs SCCF finances two programs: A. Adaptation B. Technology Transfer – 7

8. GEF, through LDCF, SCCF and SPA : The most comprehensive and the most advanced global portfolio of adaptation projects and programs More than 170 interventions in more than 110 countries. LDCFSCCFSPATotal Pledges and Contributions Total cumulative pledges$748.1$328.1$50.0 $1,126.3 Total paid contributions$585.4$227.9NA $813.3 Project Approvals and CEO Endorsements Total Grants Approved$502.9$193.8$50.0 $746.7 Total Co-Financing Mobilized$2,086.78$1,400.8$608.8 $4,096.38 Total Number of Projects1034726 176 Project Currently Under Implementation Number of Projects261713 56 Total Grants$91.0$75.7$48.3 $235.1 Total Co-Financing$406.7$520.4$379.2 $1,306.3 GEF AND RESILIENCE

9. GEF Climate Change Adaptation Program Goal: To finance concrete adaptation actions that increase resilience to climate change of vulnerable countries 9

10. Tangible adaptation measures in all key development sectors, from agriculture and water resources management to urban infrastructure, public health and tourism. LDCF and SCCF at a glance LDCF funding by sectorSCCF funding by sector

11. Status of Funds (March 31, 2013) LDCF: Total approvals: $481.7 million Total commitments: $205 million Disbursements to IAs: $132 million ($73 million) SCCF: Total approvals: $231 million Total commitments: $147 million Disbursements to IAs: $107 million ($40 million) Source: Status Reports of LDCF and SCCF, publicly available at: http://www.thegef.org/gef/meetingdocs/96/50

12. Access to Resources – LDCF Eligibility – all LDCs (14 East Asia-Pacific countries) Resources available per LDC: Equitable Access  Balanced Access Ensuring funding for implementation will be available to all LDCs No first-come, first-served Upwardly moving ceiling per LDC Currently at US $20 million per country 12

13. Access to Resources – LDCF 13

14. Priorities – LDCF NAPA: Project/Program resources can be accessed after NAPA has been submitted NAPA priorities guide eligibility of activities proposed 14

15. LDCF: pledges and approvals Total cumulative pledges, April 30, 2013: USD 605.13 million Total received contributions: USD 585.52 million NAPA preparation: USD 11.98 million; 50 LDCs NAPA implementation: USD 555.18 million; 112 projects; 46 LDCs; USD 2.46 billion in total, cumulative co- financing

16. Access to Resources – SCCF Eligibility – all developing countries (i.e. non- Annex I) Based on National Communications and other relevant studies SCCF demand is much greater than supply of funding 16

17. Convention Priorities – SCCF Funding projects in following areas: (a) Water resources management; (b) Land management; (c) Agriculture; (d) Health; (e) Infrastructure development; (f) Fragile ecosystems (including mountain ecosystems); and (g) Integrated coastal zone management. monitoring of diseases and vectors affected by climate change, disease control and prevention. 17

18. SCCF: pledges and approvals Total cumulative pledges, April 30, 2013: USD 258.86 million Total received contributions: USD 239.98 million SCCF Adaptation: USD 193.28 million for 47 projects SCCF Technology Transfer: USD 26.64 million for 6 projects Total co-financing: USD 1.51 billion

19. Tangible adaptation measures in all key development sectors, from agriculture and water resources management to urban infrastructure, public health and tourism. LDCF and SCCF at a glance LDCF funding by sectorSCCF funding by sector

20. 70% Sub-Saharan Africa, 30% Asia-Pacific USD 108 million (20%) to LDC SIDS Agriculture (30%), water (17%), coastal (17%), climate information services (16%) Focus on tangible adaptation measures: 70% to reduce vulnerability, transfer CCA technology LDCF: portfolio at a glance

21. LDCF: Expected results IndicatorValueNumber of projects Number of direct beneficiaries 1,836,11943 Number of people trained 32,55517 Number of national policies/ plans/ frameworks strengthened/ developed 5321 Number of sub-national plans/ frameworks strengthened/ developed 22222 Number of institutions strengthened 11621 Number of hectares under more resilient management 502,59020 Number of monitoring /climate information systems established 14

22. 30% Asia-Pacific; 27% Africa; 17% LAC; 14% ECA USD 19 million (8%) to SIDS Water (27%), agriculture (27%), coastal (15%), climate information services (8%) Focus on tangible adaptation measures: 75% to reduce vulnerability, transfer CCA technology SCCF: portfolio at a glance

23. SCCF: Expected results IndicatorValueNumber of projects Number of direct beneficiaries 2,263,98920 Number of people trained 3,53611 Number of national policies/ plans/ frameworks strengthened/ developed 537 Number of sub-national plans/ frameworks strengthened/ developed 848 Number of institutions strengthened 6610 Number of hectares under more resilient management 399,3289 Number of monitoring /climate information systems established 11

24. 24 Bhutan: Reduce CC-induced Risks and Vulnerabilities from Glacial Lake Outbursts in the Punakha-Wangdi and Chamkar Valleys LDCF/GEF $3.64M CC Vulnerabilities: Glacial lakes reaches critical threshold as Himalayan glaciers melt  massive flashfloods in river valleys ↓ Adaptation Actions: Increase disaster risk management capacity in affected valleys Artificial lowering of water level in glacial lakes Creation of an Early Warning System for glacial flashfloods ↓ Outcomes: Decreased risk of massive destruction from glacial flash floods Limitation of human and economic loss if/when catastrophic flash floods occur

25. Congo DR: Building the Capacity of the Agriculture Sector in DR Congo to Plan for and Respond to the Additional Threats Posed by Climate Change on Food Production 25 LDCF/GEF amount:: $3 M CC Vulnerabilities: Increasing temperatures and shorter more erratic rainy seasons  Significant impact on primarily rain fed subsistence agriculture. ↓ Adaptation Actions: Pilot measures implemented locally, including: – Diffusion of more drought tolerant varieties of maize, cassava and rice. – Demonstration of alternative and diversified climate resilient livelihood options (e.g. non timber forest products and fish farming) – Updating crop calendars and providing training to farmers on more climate resilient crop and soil management options (e.g. water conservation measures) – Creation of a drought early warning system and protocols for diffusion of climate information to farmers. – Training of provincial technical staff in relevant ministries on the integration of climate risks in the development of decentralized agricultural plans. Outcomes:↓ Increased food security and sustainable agricultural development

26. Maldives: Integration of Climate Change Risks into the Maldives Safer Island Development Program 26 LDCF/GEF amount:: $4.49 M CC Vulnerabilities: More than 85% of country less than 1.5 m. above sea level + more than 70 percent of critical infrastructure within 100 m of shoreline  extremely vulnerable to sea level rise and increased cyclonic activity. ↓ Adaptation Actions: Pilot measures implemented locally, including: – Development of climate resilient land use plans (e.g. reevaluate appropriateness of environmental protection zones and new infrastructure development), – Update drainage systems, – Restoration of natural ridge systems providing coastal protection Training of key specialists dealing with land use planning, coastal zone management, coastal infrastructure development and land reclamation and assuring that climate change concerns is considered in key national policies governing such activities ↓ Outcomes: Reduced impact of sea level rise on critical infrastructure and sustainable development

27. What exactly do LDCF/SCCF finance? Additional Cost = Full Cost of Adaptation Adaptation in context of development Cofinancing = Baseline Project = BAU Development 27

28. What exactly do LDCF/SCCF finance? Additional Cost = Full Cost of Adaptation Adaptation in context of development Cofinancing = Baseline Project = BAU Development 28

29. Key Concepts Additional Cost - Definition: the costs imposed on vulnerable countries to meet their immediate adaptation needs (Decision 3/CP.11) The additional cost approach includes: A baseline scenario => what development activities would be undertaken also in absence of cc (baseline costs) An adaptation scenario => which includes additional activities to be implemented to address the adverse impacts of climate change in the vulnerable sector selected for the project (baseline costs + additional costs)  The LDCF will finance only the additional costs imposed on vulnerable LDC countries to meet their (urgent and immediate) adaptation needs, as identified by their NAPAs. 29

30. SEA Projects – LDCF & SCCF (1/2) GEF ID AgencyCountryProject TitleProject Status Total Grant Amount Co- Financing Total Project Cost Trust Fund 1869UNDPCambodia Programme of Action for Adaptation to Climate Change Project Closure221,445 LDCF 2148UNDPLao PDR Lao PDR National Adaptation Program of Action for Climate Change Project Closure222,000 LDCF 3464UNDP Timor Leste National Adaptation Programme of Action to Climate Change (NAPA) Formulation Project Project Closure220,00020,000240,000LDCF 3702UNEPMyanmar Myanmar: Preparation of National Adaptation Programmes of Action (NAPA) IA Approved220,00030,000250,000LDCF 3404UNDPCambodia Promoting Climate-Resilient Water Management and Agricultural Practices in Rural Cambodia Under Implementation 2,145,0002,340,3504,485,350LDCF 3890UNEPCambodia Vulnerability Assessment and Adaptation Programme for Climate Change within the Coastal Zone of Cambodia Considering Livelihood Improvement and Ecosystems Under Implementation 1,853,5004,245,0006,098,500LDCF 4034UNDPLao PDR Improving the Resilience of the Agriculture Sector in Lao PDR to Climate Change Impacts Under Implementation 4,999,9957,818,54812,818,543LDCF 4434FAOCambodia Strengthening the adaptive capacity and resilience of rural communities using micro watershed approaches to climate change and variability to attain sustainable food security Council Approved5,607,80018,805,39524,413,195LDCF 4554UNDPLao PDR Effective Governance for small-scale rural infrastructure and disaster preparedness in a changing climate CEO Endorsed5,302,00031,134,39636,436,396LDCF 4696UNDPTimor Leste Strengthening the Resilience of Small Scale Rural Infrastructure and Local Government Systems to Climatic Variability a nd Risk Council Approved5,192,00052,510,39957,702,399LDCF 30

31. SEA Projects – LDCF & SCCF (2/2) GEF ID AgencyCountryProject TitleProject Status Total Grant Amount Co- Financing Total Project Cost Trust Fund 5056UNDPTimor Leste Strengthening Community Resilience to Climate Induced Natural Disasters in the Dili to Ainaro Road Development Corridor, Timor Leste Council Approved5,880,15079,016,78084,896,930LDCF 5318UNDPCambodia Strengthening climate information and early warning systems in Cambodia to support climate resilient development and adaptation to climate change Council Approved5,541,01216,672,93122,213,943LDCF 5419UNDPCambodia Strengthening the resilience of Cambodian rural livelihoods and sub-national government system to climate risks and variability Recommended5,151,41314,347,85019,499,263LDCF 3103 ADB, UNDP Vietnam Promoting Climate Resilient Infrastructure in Northern Mountain Provinces of Vietnam CEO Endorsed3,850,000145,270,000149,120,000SCCF-A 3243 World Bank PhilippinesPhilippine Climate Change Adaptation ProjectUnder Implementation5,782,70050,580,00056,362,700SCCF-A 3299UNDPThailand Strengthening the Capacity of Vulnerable Coastal Communities to address the Risk of Climate Change and Extreme Weather Events Under Implementation1,000,0002,744,7723,744,772SCCF-A 4340UNDPIndonesia Strategic Planning and Action to Strengthen climate Resilience of rural Communities in Nusa Tenggara Timor province (SPARC) CEO Endorsed5,599,00074,764,69080,363,690SCCF-A 4967UNDPPhilippinesScaling up Risk Transfer Mechanisms for Climate Vulnerable Farming Communities in Southern Philippines Council Approved1,210,0009,408,32510,618,325SCCF-A 31

32. What is the Process for Funding? Role of Country: Operational Focal Point Role of Implementing Agency Choice of Financing Modality GEF Agencies are responsible for p Project Cycle

33. OFPs endorse project proposals, confirming that these are consistent with national plans and priorities In order to be reviewed by GEFSEC, a signed Letter of Endorsement from the OFP should be attached to each project proposal OFPs facilitate national consultations, execution, as well as the coordination of LDCF/SCCF projects and programs OFPs support M&E and knowledge sharing at the national level Operational Focal Points (OFP)

34. GEF Agencies 10 Multilateral Agencies GEF Agencies are responsible for preparing and submitting project proposals for review and approval by GEFSEC and the LDCF/SCCF Council – as driven and endorsed by the recipient country, and in collaboration with CSOs and other stakeholders Once a project proposal is approved, the Implementing Agency (IA) is responsible for its preparation, implementation, M&E, and performance IA is responsible for submitting annual Project Implementation Reports (PIR), Mid-Term Reviews (MTR) and Terminal Evaluations (TE) to GEFSEC

35. Financing modalities Full-sized projects (FSP) – requesting financing above $2 million. Approved by the LDCF/SCCF Council Medium-sized projects (MSP) – requesting financing up to $2 million. Approved by the GEF CEO through a single step or two steps Programmatic Approach (PA) – a program of projects with common objectives, aiming to achieve economies of scale and sustainability, improved horizontal and vertical integration, and greater opportunities to leverage partnerships and co-financing. Delegation of project approvals to eligible Agencies, such as the MDBs Enabling Activities (EA) – NAPA preparation under the LDCF. Approved by the GEF CEO through single-step procedure. Direct access an option for EAs in GEF-5

36. Project cycle for FSPs: identification The country in collaboration with the IA and other relevant stakeholders drives the development of the project. The IA develops and submits a Project Identification Form (PIF) to GEFSEC. A Project Preparation Grant (PPG) may also be requested at this stage. GEFSEC reviews the PIF within 10 business days. Once recommended by the Program Manager (PM) and cleared by the GEF CEO, the PIF is web-posted for review and approval by the LDCF/SCCF Council (in the case of the LDCF) or included in a Work Program for Council Approval (in the case of the SCCF) If a PPG request has been approved, PPG is released upon Council Approval

37. Project cycle for FSPs: preparation Project preparation to be completed in a timely manner – no later than 18 months after Council Approval of PIF. Request for CEO Endorsement (CER) submitted to GEFSEC GEFSEC Reviews CER. Once recommended by PM and endorsed by GEF CEO, the project is ready for implementation CER may be circulated for review by the LDCF/SCCF Council if (i) this has been requested at PIF Approval, or (ii) major changes to the project scope, approach or financing have been made

38. PIF: key considerations Eligibility: is the country eligible for financing under the LDCF/SCCF? Country-drivenness: is the proposal endorsed by the OFP, consistent with national plans and priorities (NAPA, National Communications, PRSP, etc.)? Baseline project(s) and co-financing: are the baseline project(s) and the problem(s) they seek to address clearly described? Additional cost reasoning: are the activities proposed for LDCF/SCCF financing based on additional cost reasoning?

39. Project cycle for MSPs TWO STEPS If a PPG is requested, PIF approval is required. MSP PIFs are approved by the GEF CEO. Project preparation completed and Request for CEO Approval (CAR) to be submitted no later than 12 months after approval of PIF. ONE STEP If no PPG is required, CAR may be submitted directly for review and approval by GEFSEC and GEF CEO

40. Programmatic Approaches PAs submitted by Qualified GEF Agencies (QGA): Program Framework Document (PFD) submitted for GEFSEC review and CEO clearance. Posted for review and approval by the LDCF/SCCF Council (in the case of the LDCF) or included in a Work Program for Council Approval (in the case of the SCCF) Once PFD is approved, QGA approves the project concepts that form part of the program following its own internal procedures Upon preparation, CARs/CERs are submitted to GEFSEC for CEO endorsement (FSPs) or approval (MSPs) (no later than 18 months after Council Approval of PFD)

41. CER/CAR: key considerations Alignment with PIF: is the proposal sufficiently close to what was approved at PIF? Does it clarify and elaborate on the PIF, as requested by GEFSEC and the LDCF/SCCF Council? Cost-effectiveness: has the cost-effectiveness been adequately demonstrated? Sustainability and risk analysis: does the proposal clearly articulate how sustainability will be ensured, and relevant risks mitigated? Co-financing: has the co-financing been confirmed? M&E, tracking: does the proposal include a budgeted M&E plan? Has the Adaptation Monitoring and Assessment Tool (AMAT) been attached to the submission, with information for relevant indicators?

42. PFD: key considerations In addition to the elements to be considered in a PIF, PFDs should provide adequate information of the following: Added value of PA: does the program present opportunities to address the enabling environment, local investments and cross-cutting elements in a more comprehensive way than is currently possible through individual projects? What are the economies of scale? Partnerships: does the PFD identify relevant partners? How will they contribute to the objectives of the program? Knowledge management: how will best practices and lessons be shared among partners/countries/projects within the program and beyond?

43. Future Directions Mainstreaming adaptation across core development sectors Preparing the ground for long-term adaptation Expanding synergies with other GEF focal areas Enhanced private sector engagement Risk transfer and insurance Ecosystem-based adaptation 43

44. Further Resources LDCF: http://www.thegef.org/gef/sites/thegef.org/files/publication /23469_LDCF.pdf SCCF: http://www.thegef.org/gef/sites/thegef.org/files/publication /23470_SCCF.pdf These publications will be updated and reissued in 2013

45. Bangkok, June 2013