Strengthening the Governance of Climate Change Finance to Enhance Gender Equality
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- Elfreda Carr
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1 Strengthening the Governance of Finance to Enhance Gender Equality Unlocking the sustainable development potential of climate finance in Asia Pacific International and domestic funding to address the impacts of climate change is increasing. To secure these resources and optimise their benefits in terms of gender equality, poverty reduction and respect for human rights, governments need well considered, transparent and effective budgets.
2 Unlocking the Sustainable Development Potential of Climate Finance Established: 2012 Participating Countries: Location: Staff: Website: Working closely with 7 pilot countries (Bangladesh, Cambodia, Indonesia, Nepal, Pakistan, China and Thailand) along with a number of Pacific Island Countries. The programme is also active globally. Bangkok, Thailand with country teams in all participating states. A team of highly qualified specialists in areas including local governance, climate change, gender, public financial management and development effectiveness. Who We Are A diverse team of development, governance and gender specia lists providing tools and services to support the management of climate budgeting and financing. The Governance of Finance (GCCF) team has developed climate financing and budgeting solutions for countries throughout Asia Pacific along with analytical work that shares knowledge and practices globally. With access to UNDP s country knowledge base and expertise, we speak your language and understand the big picture along with the practical issues countries face. Expanding Our Aims From late 2016 GCCF has been expanding its partnerships to include sector ministries, social ministries, and ministries leading on gender mainstreaming. While we continue to focus on climate change mainstreaming as the entry point forsustainable planning and budget reforms, GCCF also aims to support climate actions in terms of gender equality, poverty reduction and respect for human rights. Our Unique Position Our work presents a unique opportunity to address long-standing challenges of inequality related to climate change, gender and human rights. We have years of experience working with state and non-state partners to integrate climate change into the formulation of national budgets and public financial management systems. This experience working with government budgeting for cross-cutting policy issues (beyond traditional sector specific budgets) makes the team uniquely suited to deal with the intersection of climate change with gender, human rights and poverty. How We Can Help Our Services: Assist governments to make more informed and effective planning and budget decisions related to climate change. Provide budget tagging to more effectively track climate finance and identify resources. Our research and analysis provides clear budgets, data sets and evidence to make the case for additional financing. Attract international public and private investment through better budgeting and greater transparency. Increase the transparency of spending, providing greater accountability of line ministries and promotes international trust in a country s use of climate finance. Assist governments to adopt investment appraisal guidelines and budget circulars that require the integration of climate change, poverty and gender equality in their designs. Build the capacity of regional and national institutions to promote climate responsive budgets that are gender responsive, benefit the poor and enhance human rights. The Bangkok Call for Action: Making the most of climate change finance First Climate Public Expenditure and Institutional Review (CPEIR) MethodologicalNote Published Helen Clark discussion on climate finance at the Busan HLF$ Thailand establishes multi-ministerial committee on climate finance Nepal establishes climate budget code June Thailand completes CPEIR Strengthening Governance of Climate Change Finance programme officially starts Making Sense of Climate Finance report Published Nauru completes Finance Assessment Financing Local Responses to report Vanuatu completes CPEIR June Bangladesh completes Climate Fiscal Framework Marshall Islands completes Finance Assesment Pakistan CPEIR completed Fiji CPEIR completed China CPEIR completed Financing Vietnam s response to report Asia Pacific Regional Forum on Finance and Sustainable Development Budgeting for Climate Change A collaborative approach for effectiveness Workshop, Nepal Tonga completes CPEIR Budgeting Index piloted in Nepal UNDP and Sweden sign Phase II which expands focus on climate interventions that are responsive to gender, human rights and poverty July UNDP supports journalists and editors in Pakistan to improve climate finance related reporting through workshops and a guidebook With Freedom Forum, created a Citizen Climate Budget in Nepal clearly showing government climate allocations - a world first Nepal Completes CPEIR July Bangladesh establishes department order on a climate budget code Cambodia completes CPEIR Indonesia applies CPEIR in defining its first climate mitigation fiscal framework Government of Indonesia completes Mitigation Fiscal Framework Framework on Using Country systems to manage climate finance is introduced at the global climate finance forum in Incheon Incorporating Gender and Poverty analysis in CPEIR methodological note Asia-Pacific Regional Technical workshop on Climate Responsive Budgeting Revised CPEIR methodology Jakarta Communique on climate finance signed by 15 Asia Pacific countries Budgeting for climate change: Lessons Learned from over twenty CPEIRs February CPEIR Methodological Guidebook published Stock Take of Climate Change Financing Frameworks in Asia Pacific published Framework for an Integrated Climate Change Response at the Local Level published CPEIR report released for Hebei Province, China Pakistan launches national Financing Framework UNDP releases guidance note on developing or refining climate change financing frameworks
3 Our Process for Strengthening Climate Finance and Budgeting Step 1 Work with Government, NGOs and donors to agree on need and entry points for improving climate budgeting. Actions: Step 2 Actions: Develop budget proposals Budget tracking Expenditure reporting Step 3 Create an integrated Financing Framework Our Achievements The GCCF team has experienced considerable success and rapid expansion in its first years of operation. Since 2012 the programme has: Provided tools and specialists to assist governments collect comprehensive data on climate related spending and income. Established Climate Budget Tagging in Indonesia, Bangladesh, Philippines and Nepal This generated critical data on climate investments enabling public scrutiny and strengthening accountability. From the programme leveraged USD26.2 million in 3 countries alone (Bangladesh, Indonesia and Thailand). Developed Financial Frameworks in Bangladesh, Cambodia, Nepal and Pakistan. Produced over a dozen analytical papers relating to financing local responses to climate change, illustrating all methods to conduct the tools and reviews used by GCCF specialists and publication of the team s findings. Held over 15 national Climate Finance consultations involving over 500 technical experts. Held capacity development workshops with over 100 participants receiving best-practice training in climate change related financing and budgeting skills. Held 6 regional dialogues with 16 Asia Pacific countries and over 1,000 participants from governments, civil society organisations, parliamentarians and other international organisations. GCCF is consistently working to improve and expand its package of services. Our Solutions Continuous Awareness-raising and galvanizing support for budget reform through Policy Briefs Civil society engagement Parliamentary advocacy 1 Review climate change income and expenditure Related Benefits of GCCF s Work GCCF s efforts to create integrated climate budgets have a number of related benefits. Our work: Assists governments to make more informed and effective planning and budget decisions related to climate change Provides tagging methods to more effectively track climate finance and identify available resources Our research and analysis provides clear budgets, data sets and evidence to make the case for additional financing (if necessary) Attracts foreign investment through better budgeting and greater transparency Increases the transparency of spending, providing greater accountability of line ministries Promotes international trust in a country s use of climate finance Agree on required policy responses Build consensus on the need for budget reform Throughout this Process- GCCF provides knowledge products, South-South Exchanges, peer exchanges and methodological advice throughout the region through workshops, trainings, and a regional repository of information 6
4 Our Services Financing Frameworks (CCFFs): CCFF s are whole-of-government frameworks that broadly engage all stakeholders to better mobilise, manage and target domestic and international climate change finance. Through country leadership, CCFFs assist governments in designing and funding mitigation and adaptation actions. They can improve a government s ability to access international climate finances; increase accountability and transparency of spending; and promote international trust in a country s use of climate finance. CCFF s can include: A costing of planned climate change responses Measurement of available resources for climate responses Identification of ways to bring domestic and international sources of climate finance into national budgets Outlining methods to increase accountability over the use of climate finances (to guarantee they reach those who need them most) Where CCFF s Have Been Carried Out CCFF work has been completed, or is underway, in seven countries (Bangladesh, Cambodia, Indonesia, Nepal, Afghanistan, Pakistan and in several Indian States) by UNDP and Action on Climate Today (ACT). Other countries have also undertaken work on some of the elements of a CCFF (Bhutan, Philippines, Thailand, Vietnam and several Pacific Island States). CCFFs complete or underway 1. AFG Afghanistan CCFF, underway in BNG Bangladesh CCFF, published in CAM Cambodia CCFF published in 2014, plus related follow-up work with selected line ministries in 2015 and IND In India, during 2015 and 2016, work on: State Action Plan (SAP) Financing Frameworks (referred to as SAPFIN) in Assam, Bihar, Chhattisgarh and Kerala; and work on the effectiveness of SAP actions in Maharashtra 5. IDS In Indonesia, work on: budget coding, ongoing and starting in 2013; a Mitigation Fiscal Framework (MFF) published in 2014; a Green Planning and Budgeting (GPB) Strategy, published in 2015; and a Provincial CPEIR for Babel and NTT provinces done in PAK Pakistan CPEIR (2015), planned national and provincial CCFFs (2016 and 2017) 7. NEP Nepal CPEIR (2011); budget coding (2013 and ongoing); CCFF under review Related Work 8. BHU Bhutan Public Environment Expenditure Review (PEER) published in (2014) 9. PAC Pacific countries have undertaken Climate Change Finance Assessment Frameworks and CPEIRs in Samoa and Vanuatu with support from the PIFS 10. PHP Philippines CPEIR (2012) with support from the World Bank 11. VTN Vietnam CPEIR (2015) with support from the World Bank 12. CHN China national CPEIR (2015) and in 2016 in Hubei Province 13. THL Thailand work on CCBA in 2014/15, CPEIR in Public Expenditure and Institutional Reviews (CPEIR) A first step towards ensuring that a whole of government approach to climate change is integrated into national budgetary and planning processes. CPEIR s have been carried out in a number of countries. A guidebook has been developed outlining step-by-step processes, methodologies and tools to carry out a CPEIR. CPEIRs: Allow governments to make more informed planning and climate budgeting decisions Enable the prioritisation of key projects by government Improve the transparency of government spending Allow greater public scrutiny of donors and governments response to climate change issues Provide clear budget reviews and data sets for countries to argue for additional climate related funding Other Services Offered by GCCF Climate Budget Tagging Budget Integration Index Regional Peer Exchange Dialogues Collaborative Research Parliamentary handbooks on climate finance Media engagement to improve climate smart reporting Enabling Better Climate Budgeting through Knowledge Sharing UNDP s GCCF Team works with a number of national, regional and international institutions to: Develop climate change finance curricula, Create Electronic Learning Modules on Finance linking Climate Policies and Public Finance Conduct face-to-face training Lead a regional peer learning network How our services meet specific country needs 1. Enable governments to focus on planning and costing climate change actions that are gender responsive and human rights focused in the medium and longer term; 2. Assist in bringing public sources of climate finance (domestic and international) into the national planning and budgeting system, to be delivered through country systems, and aligning private sources of climate change finance with the overall fiscal policy framework; 4. Work with countries to improve accountability over the use of climate finance, both domestically vis-à-vis the national public and beneficiaries, as well as externally, to international donors and development partners. GCCF s Knowledge Sharing Results National training in climate budgeting with 80 participants Held regional dialogues dialogues with over 1,000 participants Over a dozen analytical papers on financing climate responses Promoted the exchange of climate - finance knowledge and resources 3. Help countries define what actually constitutes climate change allocations and expenditures in a manner that is consistent, commonly agreed, and nationally-determined; Held 6 south-south exchanges
5 Key Reports Hard Choices, Integrated Approaches: A Guidance Note on Financing Frameworks This Guidance Note serves as an introductory guide for stakeholders on how to create or refne a Financing Framework (CCFF) a strategic, whole-of-government plan to better manage, mobilize and target climate finance. By providing guidance on how the core elements, processes and outputs involved in a Financing Framework fit together, this Note assists countries to create more effective, practical, and integrated financing responses. Charting New Territory: A Stocktake of Financing Frameworks in Asia Pacific: This report provides a brief overview of CCFF work in the region and lists the main achievements, challenges and priorities of CCFFs by specific countries. This Stock Take is the first of four outputs from a wider CCFF Review, which will also include a Conceptual Model and a Guidance Note as well as an internal strategy document for UNDP. Budgeting for - How Governments have used National Budgets to Articulate a Response to This document shares UNDP s Governance of Climate Finance team s lessons learnt from over 20 Climate Public Expenditure and Institutional Reviews. It highlights the need to synthesize the growing body of knowledge gained from these reviews and refines the methodological approaches piloted by UNDP. We speak your language and understand the big picture along with the practical issues you face. To find out how GCCF can help your country or CSO make better informed climate planning and budgeting decisions, please contact us at:
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