Webinar: From climate talks to climate action – Financing NDCs
Date: Wednesday 22nd June
Time: 2-3pm UK time
The Paris Agreement reached at COP21 in December 2015 set ambitious targets for climate action based on plans – Intended Nationally Determined Contributions (INDCs) – submitted by nearly every nation. These INDCs provide blueprints for low carbon economic growth, mitigation of emissions and measures to adapt to the impacts of climate change at a national level. Implementing them will require major shifts in legal, policy, and financial frameworks to attract the billions of dollars of investment needed to fulfil the stated ambitions.
In this webinar hosted by the Low Emission Development Strategies Global Partnership (LEDS GP), Climate Policy Initiative’s (CPI) James Falzon and Angela Falconer offered insights based on our experience of supporting decision makers through in-depth analysis on what works and what does not by providing some answers to the following questions: What are the sources for financing NDCs? What are the most effective policies and instruments to spur investments? How can practitioners get things moving on the ground?
Watch the webinar and find publications resources referred to during the webinar below.
Global Innovation Lab for Climate Finance: The Lab is a global initiative that supports the identification and piloting of cutting edge climate finance instruments. It aims to drive billions of dollars of private investment into climate change mitigation and adaptation in developing countries. Since launching in 2014, The Lab and its initiatives have been endorsed by the G7 and collectively attracted over USD 500 million in funding commitments for pilots. CPI acts as secretariat for this initiative. We welcome ideas and partners from developing countries.
Global Landscape of Climate Finance 2015: The Global Landscape of Climate Finance 2015 presents the most comprehensive information available about which sources and financial instruments are driving investments, and how much climate finance is flowing globally. It aims to provide an updated picture on how, where, and from whom finance is flowing toward low-carbon and climate-resilient actions globally, and to improve understanding of how public and private sources of finance interact.
Landscape of Public Climate Finance in Indonesia: This study provides the most comprehensive overview of public climate finance in Indonesia yet compiled. CPI worked together in partnership with the Ministry of Finance which then used the report to implement a budget tagging system to better track its domestic climate finance. It has informed climate-relevant investment decisions by the Indonesian government and its international partners.
Taking Stock of International Contributions to Low Carbon, Climate Resilient Land Use in Indonesia: This study examines the role of international development partners in financing mitigation and adaptation actions in land use sectors and highlights opportunities to more effectively support Indonesia.
The Role of Technical Assistance in Mobilizing Climate Finance – Insights from GIZ Programs: This study looks at GIZ funding for technical assistance across four programs to better understand the impact of technical assistance agencies’ financing on: 1) attracting direct co-financing from donors, developing country governments or the private sector and; 2) indirectly mobilizing finance, by supporting the creation of policy environments and markets that are conducive to climate-resilient and low-carbon investment through policy advice, support for project development and funding applications, provision of data, program coordination, institutional capacity-building and proving there is money to be made in new markets by demonstrating alternative approaches. The study also identifies several additional activities that technical assistance providers could target the mobilization of private finance more directly.
Improving Land Productivity through Fiscal Policy: Two studies look at land use revenues in Indonesia in order to: 1) highlight promising opportunities to address inefficiencies and better meet climate and growth goals and; 2) how to use taxation to incentivize higher productivity models in the palm oil sector.
Emerging solutions to drive private investment in climate resilience: This study finds that a combination of policies, regulations, and longer-term debt from DFIs can trigger private investments in climate resilience. In more than half of the projects in middle-income and developing countries we studied, technical assistance measures that addressed knowledge gaps were the first step to designing suitable financing and climate resilience strategies and stimulating private appetite for investment. This is particularly true for small and medium-sized enterprises (SMEs). In Turkey, a market study helped to engage local commercial banks in providing finance for businesses to take up water-efficient technologies. In developing countries some multilateral development banks are building alliances with members of agricultural value chains, or engaging local financial institutions in on-lending to micro-, small-, and medium-sized enterprises.
Three tools to unlock finance for land-use mitigation and adaptation: Limited understanding of investments in land use mitigation and adaptation inhibits the design of efficient and effective public interventions. In many cases, we do not know how much finance is being channeled to the land-use sector, how it is being delivered, what is being paid for and by whom. Nor do we fully understand the proportion of finance going towards low-carbon, climate.-resilient activities versus high-carbon ones or the opportunities that may exist to address barriers, or create incentives to shift land use activities towards greener outcomes. In this joint study supported by the EU REDD Facility of the European Forest Institute, Climate Focus and Climate Policy Initiative have developed three tools that governments and their national and international partners can use to: inform the design of land use mitigation and adaptation strategies supported by multilateral and bilateral programs; identify domestic and international financial instruments to redirect public and private finance towards greener land-use practices; and encourage coordination between public instruments across land-use sectors.
What Counts: Tools to Help Define and Understand Progress Towards the $100 Billion Climate Finance Commitment: This study unpacks the key areas often emphasized in debates between Parties to the UNFCCC’s climate talks on “what counts” towards the $100 billion climate finance commitment and then proposes an approach to classifying different potential sources of climate finance in politically relevant ways that Parties could use to help facilitate clearer understanding and convergence. It takes no position on what should count towards the $100 billion: instead it organizes different aspects of climate finance to provide Parties with a starting point for their analyses and interpretations.
What Is Climate Finance? Definitions to Improve Tracking and Scale Up: This brief explains CPI’s understanding and definition of key climate finance terms and the reasons for these definitions to inform debate and build a common understanding among stakeholders. Definitions do not relate to the $100 billion climate finance commitment but rather to all climate-relevant investment.
Interactives and infographics
Global Landscape of Climate Finance Interactive: Explore key findings and data from the most comprehensive overview of global climate finance flows available.
What is the role of public finance in deploying geothermal energy in developing countries?: Our case studies show that the increase in tariffs needed to provide sufficient returns to incentivize private investment can be entirely offset by public measures addressing specific risks. This graphic illustrates how these public risk mitigation measures combine to make it cheaper for governments to support development of a privately developed project than to develop it themselves.
If you have any questions, contact the Finance Working Group at the LEDS Global Partnership at email@example.com.
Or contact the presenters JamesFalzon@cpiclimatefinance.org or Angela.Falconer@cpiclimatefinance.org.