Foreign Affairs, Trade and Development Canada

Transcription

1 Canada

2 1+1 Affaires etrangeres, Commerce et Oeveloppement Canada Foreign Affairs, Trade and Development Canada I I December 2015 Ms. Hela Cheikhrouhou Exccuti ve Director ecretariat of the Green Climate Fund Songdo International Business District fncheon, REPUBLIC OF KOREA Dear Ms. Cheikh.rouhou, Re: Canada's contribution to the Green Climate Fund, IRM period I am writing in reference to the Contribution and Loan Arrangements recently signed between Canada (acting through OF A TO, soon to be re-named Global Affairs Canada), the Green Climate Fund ('"GCF") and the International Bank for Reconstruction and Development, serving as the interim trustee of the Green Climate Fund trust fund, relating to Canada s $300 million contribution ('"Canada's contribution") to the GCF's Initial Resource ll.obilization (IRM) period ( ). In approving Canada s contribution to the GCF, the Canadian Government indicated that the: Green Climate Fund's strong focus on helping the poorest countries with adaptation and promoting private sector investment will play a key role in addressing climate change globally... This letter confirms our understanding that the Canadian contribution. together with all contributions to the IRM, wi ll be used to support a balance of adaptation and mitigation. with the former focused on the poorest and most vulnerable. as \ Ve il as a significant Pri vate Sector Facil ity. We take note that the OECD-DAC has confirmed that contributions to the GCF are I 00% ODA-eligible. rcoecting the GCF's mandate to support sustainable development. I am attaching herein an annex that outlines Canada s standards and expectations or the GCF as a recipient of Canada's development assistance. We expect that these will be addressed by the GCF. and reflected in GCF policies and procedures, during the lrm period. '-J.ie look forward to continued progress of the GCF in developing robust policies and procedures. consistent with international standards, in support of developing countries mitigation and adaptation ettorts. Sincerely. Caroline Leclerc Director General. Food Security and Environment Bureau Global Affairs Canada Canada

3 Annex: Canada's Standards and Expectations of the GCF as a Recipient of Canada's Development Assistance Countering the Financing of Terrorism & Sanctions Canada and the GCF are committed to the international fight against terrorism, and in particular. against the financing ofterrorism 1.The United Nations and Canada 2 also have sanctions regimes in place against a number of indi viduals. entities and states. In these regards, Canada expects that the GCF will implement appropriate measures 3 to ensure that GCF fund ing will not be used, either directly or indirectly, in a manner that would be inco nsistent with United Nations or Canada's anti -terrorism and sanctions regimes and laws, as amended from time to time. Canada expects that the GCF will infonn Canada immediately if the GCF suspects or determines that any fu nds have been provided or used in contravention of the above. In such an event, Canada expects that the GCF will act in accordance with paragraph 6 of the GCF' s Standard Provisions and Canada may exercise any of its entitlements set out in paragraph 8 of the GCF s Standard Provisions. Global Affairs Canada expects the GCF will develop a proposed policy that will include, among other things. the measures di scussed above for Board consideration and approval in early Canada expects that the proposed policy will include recommendations on how the policy should be incorporated into accreditation requirements for current and prospective Accredited Entities. other recipients of GCF funding and in sub-agreements, sub-contracts and other such funding mechanisms. as we ll as appropri ate measures and remed ies (as set out in paragraph 8 of the GcF s Standard Provisions). E nvironmental and Social Safeguards Consistent with GCF Board decision (B.07/02) and requirements under Canada's development assistance. the GCF will develop its own environmental and social safeguards during the IRM period, whi ch will include multi-stakeholder participation. Global Affairs Canada expects the environmental and social safeguards policy to reflect international standards and best practices. In the interim, Canada supports the continued use of the TFC's Performance Standards unti I the GCF has establ ished its own policies. Fin ancial Model Consistent with the GCF Policies for Contribution and to ensure effective use of contributions. the GCF will develop and regularly update a robust financial model of its forecasted activi ties. sample portfolio. cash tlows and financial results. This financial model will be submitted fo r 1 Consis1ent with numerous United Nations Security Council (UNSC) resolutions, including, but not limited to S/RES/ 1269 ( 1999), S/RES/ 1368 (200 I), and SIRES/ The United Nations has a ConsolidnJed United Nations Securi1y Counc il Sanct ions List. The Canadian government list oftcrrorist entities can be found at the following web addresses: ( f.!!.c.ca!eng/fi-i f/amlc-c lrpc/at f-fat/pages/de fault.aspx and /www. pub I icsa fe1 v. gc.calcntlntnl-scrtlcntr-trrrsm/lstd-nns/crrnt -I std-ntts-eng..aspx ). 2 Canada's autonomous sanctions regimes are implemented under Jhe Special Economic Measures Act and United Nations Security Council-imposed sanctions are implement under Jhe United Nations Act. A list of and deja ils relating to Canadian sanclions can be found at: 3 Including screening against United Nations and Canada's relevant lists and inser1ing a corresponding provision renectivc of this section in any sub-contract. sub-agreement or other funding mechanism that it enters into.

4 approval by the appropri ate governing committee of the GCF. This financial model should include: forecasting of the timing and amounts of cash inflows from grant capital and loan contributions; inflows from interest earned and from project financing extended; cash outflows (expenses. including operating and capital expenses. and financing amounts by type (e.g.. grant. loan. equity); allowances for losses; and, loan repayments. This model will be shared with Global Affairs Canada in advance of the disbursement of Canada's Loan contribution, and updates will be provided on a semi-annual basis thereafter. Visibility and Recognition Canada's linancial support to the GCF will receive appropriate recognition from the GCF in accordance with the guidelines provided by Global Affairs Canada and the GCF's its O\Yn governance and policy framework. Where appropriate, the GFC acknowledgement of Global Affairs Canada funds could include publications. use of the Canada watermark. media. websites. social media. speeches and other announcements. Upon Global Affairs Canada's request. the GCF will supply Global Affairs Ca nada with a copy of any written or electroni c material ackno\vledging Canada's support. Global Affairs Canada may provide content and input into any supporting communication material. Where practicable, the GCF will consult with Global Affairs Canada prior to the publication or release of information relati ng to visibi li ty and recognition. Any communication material issued jointly by Global Affairs Canada and the GCF will be in both ofcanada s official languages. Jn tcllcctual Property and Copyright Global Affairs Canada will request copyright permission from the GCF relating to all material produced by the GCF. Global Affairs Canada expects that such request wi ll be granted.

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