GEF Climate Change and Chemicals TeamNovember 1, 2013

Financing Climate Change and Chemicals Projects

GEF Climate Change Mitigation Finance• Performed catalytic, innovative, and cost-effective role

Led in financing new, emerging low-carbon technologies Pioneered market-based approaches, innovative instruments

• Invested over $4 billion in more than 600 climate change projects and programs in 157 countries since 1991 Leveraged more than $27 billion co-financing Avoided 2.6 billion tonnes of CO2 directly Catalyzed reduction of 6.8 billion tonnes through market

transformation Provide up to $1.26 billion grant during GEF-5 (2010-2014)

GEF is an operating entity of the Financial Mechanism of United Nations Framework Convention on Climate Change (UNFCCC)

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GEF Climate Change Mitigation Program

GEF-5 Objective: Support developing countries and economies in transition towards a low-carbon development pathway

CO2 emission reduction target: 500 million tonnes

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Climate Change Mitigation Strategic Objectives for GEF-5

SO1: Demonstration, deployment, and transfer of innovative low-carbon technologies

SO2: Market transformation for energy efficiency in industry and the building sector

SO3: Investment in renewable energy technologies

SO4: Energy efficient, low-carbon transport and urban systems

SO5: Conservation and enhancement of carbon stocks through sustainable management of land use and forestry

SO6: Enabling activities and capacity building

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GEF-5 CCM Programming by Agency as of March 2013

ADB AfDB EBRD FAO IADB UNDP UNEP UNIDO World Bank

CCM 30.699999

37.374 26.449 0 37.012922

82.573963

9.199329 38.758191

161.127454

MFA 0.0 22.1 0.0 16.3 81.4 265.0 31.8 3.9 124.0

program 31.6 43.7 11.3 0 16.2 0 0 0 102.5

25.0

75.0

125.0

175.0

225.0

275.0

325.0

375.0

425.0

62.3103.2

37.716.3

134.6

347.6

41.0 42.6

387.6

US$

Mill

ion

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Proposed GEF-6 CCM Strategy

• Program 1: Promote timely development, demonstration & financing of low carbon technologies & policies

• Program 2: Develop & demonstrate innovative policy packages & market initiatives

1. Promote innovation & technology transfer

• Program 1: Promote integrated low-carbon systems

• Program 2: Promote conservation and enhancement of carbon stocks in forest & other land use, & support climate smart agriculture

2. Demonstrate systemic impacts of mitigation options

• Program 1: Integrate findings of Convention obligations & enabling activities into national planning processes & mitigation targets

3. Foster enabling conditions to mainstream

mitigation concerns

Goal: To support developing

countries and economies in

transition in

achieving transformational

change towards

development with low carbon

emissions

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Compare GEF-5 and GEF-6 CC Strategies

GEF-5

SO 1: Technology transfer

SO 2: Energy efficiency

SO 3: Renewables energy

SO 4: Transport and urban

SO 5: LULUCF

SO 6: Enabling activities

Proposed GEF-6

Objective 1, Program 1: Promote timely development, demonstration, & financing of low carbon technologies and policies 

Objective 1, Program 2: Develop & demonstrate innovative policy packages and market initiatives to foster a new range of mitigation actions

Objective 2, Program 1: Promote integrated low-carbon urban systems

Objective 2, Program 2: Promote conservation & enhancement of carbon stocks in forest, & other land-use, & support climate smart agriculture

Objective 3, Program 1: Integrate findings of Convention obligations enabling activities into national planning processes & mitigation targets

Difference

Early stage innovation, tech transfer and risk taking, compliment other climate funds

Support voluntary innovative measures, such as performance-based incentives, etc.

Links to the special initiative for cities, urban management focus on systematic impacts

Inclusion of agriculture, N2O and methane, link to signature initiative on food security

Connecting Convention obligations, enabling activities with national planning & articulating ways to achieve mitigation targets

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GEF Climate Change Adaptation Program The GEF’s approach to adaptation is based

on the fundamental recognition that climate change affects all aspects of human including social and economic development.

Through the LDCF and SCCF, the Adaptation Program funds the full cost of adaptation, which translates to the term “additional cost”

Our value proposition is to: Assist the most vulnerable

developing countries to address their adaptation priorities;

Assist transition to long-term adaptation

Scale-up multi-focal area projects and programs

Strengthening adaptation capacities in the Agricultural Sector – Burkina Faso (LDCF)

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Innovative Features of LDCF/SCCF

GEF Trust Fund LDCF/SCCF

“Incremental”

Cost

Global benefits

STAR

Co-financing

“Additional” Cost

Principle

Adaptation benefits

No STAR

Existing BAU

Financing

Rolling basis approval

for LDCFCoping with Drought and Climate Change – Mozambique (SCCF)

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LDCF and SCCF at a Glance The most comprehensive and advanced portfolio of adaptation

projects and programs More than 170 projects and programs in more than 110 countries Countries are rapidly accessing LDCF/SCCF resources

• $1.1 billionCumulative Pledges

• $939.2 millionPaid Contributions

• $890.3 millionGrants Approved

• $4.4 billionCo-Financing

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GEF-6 CCA Draft Programming Strategy:Goal and Objectives

GOAL To increase resilience to the adverse impacts of climate change in vulnerable developing countries, through both near- and long-term adaptation measures.

This goal is supported through three strategic objectives.

1) Reduce Vulnerability

2) Increase Adaptive Capacity

3) Enhance Long-term Adaptation

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GEF-6 Adaptation Programming Priorities

Each priority in line with country demand and COP guidance

Agriculture and Food Security

Water Resources Management

Coastal zone management

Infrastructure (cities, transport, energy)

Disaster Risk Management

Natural Resources management

Health

Climate Information Services

Climate-Resilient Urban Systems

Small Island Developing States Increasing Resilience to Climate Variability and Hazards (Kiribati) (LDCF)

Cross- Cutting

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GEF Chemicals Cluster –Areas of Work

The GEF Chemicals Focal Area includes POPs, ODS, Mercury and Sound Chemicals Management for increased coherence.

Phase out of Persistent Organic Pollutants – Stockholm Convention Phase out of Ozone Depleting Substance, specifically to Countries with

Economies in Transition – Montreal Protocol Piloted activities on mercury – to support and inform ongoing

negotiations of an agreement on Mercury Pilot activities on chemicals of Global Concern – Related to the

Objectives of the Strategic Approach to International Chemicals Management (SAICM), including E-waste, chemicals in products and lead in paint.

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Overview of GEF Investment on POPs• Since 2001, GEF has provided US$ 695

million POPs projects– Leveraged over US$ 1.7 billion in co-financing from

partners;– Bringing the total GEF POPs portfolio to over

US$2.4 billion.

• To date, GEF has financed National Implementation Plans (NIPs) projects for all developing country Parties requiring support.– 108 Parties submitted their NIPs to the Secretariat

of the Stockholm Convention. – 109 GEF post-NIP projects are under

implementation.

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GEF Funding of Post-NIP Activities (109 projects) to Address POPs

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GEF-6 Planning:Chemicals and Waste Strategy

• An integrated Chemicals and Waste Focal Area is planned for GEF-6

• Including Stockholm Convention, Montreal Protocol, Minamata Convention on Mercury and SAICM issues

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GEF 6 Chemical and Waste FrameworkGoal: A significant reduction in the exposure of humans and the

environment to hazardous chemicals and waste of global importance

Objectives Programs

CW 1: Develop the enabling conditions, tools and environment to manage harmful chemicals and wastes

Program 1: : Develop and demonstrate new tools and economic approaches for eliminating harmful chemicals and waste

Program 2: Support enabling activities and promote their integration into national planning processes, national and sector policies and actions and global monitoring

CW 2: Reduce the prevalence of harmful chemicals and waste

Program 3: Reduction and elimination of POPs

Program 4: : Reduction and elimination of Mercury

Program 5: Complete the phase out of ODS in CEITs and assist Article 5 countries under the Montreal Protocol to achieve climate mitigation benefits

Program 6: Support regional approaches to eliminate and reduce harmful chemicals and waste in LDCs and SIDS

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Thank you for your attention

Questions?

Ming Yang (Ph.D.)Global Environment Facility

1818 H Street, NW, Mail Stop P4-400 - Washington, DC 20433 USATel: (202) 473-0508 Fax: (202) 522-3240/3245www.thegef.org / secretariat@thegef.org

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