Regional Clinic on the Design and Management of National Climate Funds

1. Regional Clinic on the Design and Management of National Climate Funds Cambodia Climate change alliance (CCCA)

2. Outline • Cambodia Climate Change Alliance and National Climate Change (CCCA) • CCCA at a Glance • The Process of CCCA Establishment • Governance Structures • Human and Institution Capacity to Establish and Manage a Fund • Lessons Learned

3. Cambodia Climate Change Alliance and National Climate Fund • CCCA Trust Fund is a transitional arrangement to channel external resources to support pilot projects focused on adaptation and mitigation • CCCA Trust Fund will also provide lessons learned to develop a National Climate Fund and CC financing mechanisms for the medium to long-term

4. CCCA at a Glance Objectives: • To strengthen the capacity of the National CC Committee (NCCC) to fulfill its mandate to address climate change and to enable line ministries and CSOs to implement priority climate change actions which focus on: • Capacity building and institutional strengthening in preparing for and mitigating climate change risks; • Directly helping vulnerable communities by enhancing their resilience to climate change and other natural hazards (support to local actions) UNDP Trust Fund : National implementation (MoE) but all grantees make agreement with UNDP

5. CCCA at a Glance cont….. • CCCA is a Pilot for • National Procedure to allocate fund in addressing climate change issues • Engagement of all stakeholders through NCCC and CC Technical Team (Inter-Ministerial) • Lessons learnt to design National Climate Fund • Policy recommendations on adaptation and mitigation approaches from pilot projects.

6. The Process of CCCA Establishment Origin of CCCA is Global Climate Change Alliance (GCCA), an EU initiative started in 2007 to support LDCs. Cambodia was one of 18 GCCA beneficiary countries; Funds became available after COP 15 in Copenhagen resulting in the formulation of CCCA; CCCA is a comprehensive programme launched in February 2010 to address climate change and disaster risks in Cambodia. MoE is the implementing agency. Multi-donor by EU, UNDP, Sida and Danida US$10.6 millions until mid 2014. National Climate Fund still in process (2012-2014) Cambodia Public Expenditure Review (CPEIR) Consultancy to prepare Cambodia Climate Financing framework Design National Climate Fund

7. 5 Key Components Result 1: Policy and Institutional Capacity Development Result 2: Knowledge and Learning Platform Result 3: Access to Financial resources (Trust Fund Mgmt) Result 4: Coastal Adaptation project Result 5: Grants to Govt and CSOs

8. Governance structures • The Royal Government of Cambodia established the National Climate Change Committee (NCCC) in 2006. Presided by the Prime Minister as the Honorary Chair, the NCCC is composed of 20 Government ministries and agencies and is chaired by the Senior Minister, Minister of Environment. • The Climate Change Department (CCD) in the MoE is mandated to serve as the NCCC Secretariat. • The inter-ministerial Climate Change Technical Team (CCTT) was established in May 2011 as a technical advisory body to the NCCC.

9. Cambodia Climate Change Institutional Framework 20 Govt. Institution’s Representatives National Climate Change Committee (NCCC) Cambodian DNA UNFCCC & KP Focal Point Climate Change Technical Team (CCTT) Ministry of Environment (MoE) IPCC Focal Point Climate Change Department (CCD) NCCC & CCTT Secretariat Admin. & Planning Office GHG Inventory & Mitigation Office Education & Awar. Raising Office Vulnerability & Adaptation Office Policy & Coordination Office

10. CCCA Structure NCCC PM Honorary Chair MoE Chair ClimateChange TechnicalTeam (CCTT)* Programme SupportBoard (PSB) MoE Chair CCCA Head of Trust Fund Secretariat (from MoE) Trust Fund Secretariat Trust Fund Administrator (UNDP) Climate Change Policy Development/Knowledge Management Project Coastal Adaptation and Resilience Planning Project Grant projects Grant projects *CCTT will be the key technical advisory body for CCCA. It is a national structure that will serve other CC initiatives such as PPCR.

11. Human and Institutional Capacity to Establish and Manage a Fund • Human resources capacity constraints in Cambodia. Twinning arrangements between national consultants and Government staff • CCCA initiative is to develop capacity, to develop procedures to manage grants, involve focal points in line ministries and build their capacity in preparation for NCF

12. Lessons Learned • CCCA has been able to deliver : • 8 grants plus 2 longer projects with DHI and CCD (MoE) • Expected to provide 12 more grants by the end of 2012 • Still have some capacity challenges but procedures have been developed • A lot of lesson learned from 1st CFP to improve procedures and build staff capacity • Some challenges to involve all concern ministries such as MAFF and MoWA which have established Climate Change Technical Working Group

13. Lessons Learned cont… • Another challenge: Global mechanisms for climate change financing are still a bit unclear, especially their implementation requirements and if they will be compatible with NCFs • National Climate Fund objectives will build on CCCA experience, but the objectives of the National Climate Fund will probably be wider than CCCA Trust Fund, including pilot projects but also some scaling-up of high-relevance projects. • NCF is only one part of a wider national CC finance framework, which needs to be put in place.

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