DESIGN & MANAGEMENT OF NATIONAL CLIMATE FUNDS (NCFS) : PAPUA NEW GUINEA

1. DESIGN & MANAGEMENT OF NATIONAL CLIMATE FUNDS (NCFS) : PAPUA NEW GUINEA Leo BualiaPresentation to a Regional Clinic on Design and Deputy Executive DirectorManagement of National Climate Funds (NCFs) PNG Mama Graun Conservation Trust Fund Bangkok, Thailand, 6-8 September 2012

2. PNG MAMA GRAUN CONSERVATION TRUST FUND : AT A GLANCE

3. MGCTF: AT A GLANCE …….cont OBJECTIVES: (1) To integrate conservation of biodiversity into sustainable development programs and activities (2) To conserve – and where necessary – restore conservation areas, particularly those that are national priorities and of global significance in terms of biodiversity value (3) To strengthen the capability of resource owners to conserve their own natural resources through education, training and other capacity building activities built into projects (4) To enhance the knowledge and information base needed to monitor and achieve sustainable resource management and biodiversity conservation

4. MGCTF AT A GLANCE….cont.. STRATEGIES. • Support the network of conservation areas as define by the PNG NBSAP. • Establish innovative partnership between people using the natural resources in targeted eco-systems • Empower people and CBOs to assume responsibility and maintain long-term eco-system services • Create one or more permanent internal sources of financing for conservation

5. MGCTF: AT A GLANCE…….cont • Governing body: PNG Mama Graun Conservation Trust Fund Limited operates under its own constitution, trust deed and operational policies and procedures. It is governed by a eight (8) member Board made up of reputable people (2 external and 6 regional) from a cross section of society, and chosen on merit rather than representing organization. The secretariat is headed by an Executive Director who reports to the Board. • Legal status: Established under PNG Companies Act (1997) as a Charitable, Not For Profit Trust corporation. • Capital : Not fully capitalized. MGTF relies on Advised Sinking Funds for its grant program. • Beneficiaries: Twelve (12) Protected Areas in Papua New Guinea, with further planned support to 5, govt agencies and other important players in the community.

6. Board of Directors Grant Technical Committee Nominating Committee Fundraising Committee Finance/investment Committee Scientific Advisory Committee Executive Director Grant Services Financial Services Support Services Advised Funds MGCTF Organisational Structure

7. MGCTF’S HISTORY • 1996 - Concept started with The Nature Conservancy (TNC) and UNDP • 1998 - Created unofficially • Received a pledge Grant by GEF / WB of 15 million US dollars for Forestry related project ( FCP project) • 1999 - First board meeting in August • 2000 - Registered as Charitable Trust Corporation on 10 May • 2005 - 30 June Closing of FCP/WB project

8. MGCTF’S HISTORY….cont. Closure of FCP allow for: Real fundraising to start with private donors • 2006- May received it first MATCHING GRANT of $150,000 to start up a 2 years program • 2006 - December Anonymous donor pledge the matching grant of $150,000 • Recruitment of Deputy ED and FO on board Feb 2007 • 2007 - Fundraising and Implementation of the first round of grant for selected Protected Areas being awarded in the first 6 months

9. MAMA GRAUN PROGRAMS • Due to limited Resources MGCTF focus is mainly on providing funding support to Protect Areas (PAs). • Protected Areas are valued by many landowners • Some Protected Area communities still actively manage their protected areas despite limited or no support from PNG government • There are a range of motivations for maintaining protected areas - delineating clan lands, improving community prestige, drawing tourists, sustainably harvesting resources, protecting spiritual sites, water catchment areas. • Regular visitation often strengthens interest in conservation (Mt Wilhelm, Pokili , Garu, Madang Lagoon)

10. Grants to Protected Areas (PAs)

11. FUNDING MECHANISMS – ADVISED FUND • ADVISED FUND • Donor funding for specific purpose managed through Mama Graun, which guarantees outcomes based on identified purpose. Specified Advisory Board/technical committee; Managed as a Sinking fund or Endowment, or Revolved Fund • Used exclusively for the purposes and location specified by the donor as stated in the Advised Fund Agreement between Mama Graun and the Donor.

12. How Advised Fund Works • An individual, a group, organization or bilateral/multilateral agency donates an amount of funding to MGCTF for a specific biodiversity or environment purpose. • An Advised Fund Agreement is drawn up and sign by both parties, which stipulates e.g. type of project, level of funding, geographic location, criteria to be used for project selection. • Donation deposited by donor into MGCTF Bank Account, to service exclusively the AF purpose. • Mama Graun manages the AF, disbursing the funding through a disbursement process specified by an agreement between the donor and MG. • Mama Graun endeavors to raise a 1:2 match (e.g. MGCTF will fundraise $1,000 for every $2,000 a donor provides) to fund other programs (unless restricted by the donor).

13. CURRENT PROGRAMS • Protected Area Support • fund to 12 protected areas • Partnerships • Community commitment • Sustainability • Expansion – 5 new areas • Climate Change Adaptation • Vulnerability Assessment & Costing Adaptation. • Capacity Building • Targeted • Compliance • Community development focus • Organizational capacity – MG and CBOs • Internship program • Infrastructure development • Solar electrification • Water and sewerage • Health • Expansion to other Melanesian Countries • Solomon Islands, Vanuatu, Timor Leste

14. Grant Cycle

15. LESSONS LEARNED : SUCCESS FACTORS Community Level • Re-instill community commitment to conservation due to MGCTF’s ongoing support and presence. • Management Plans guide communities to fundraise independently of MGCTF National Level • MGCTF Grants funds much needed biological research to document biodiversity in PA . • Grant program provides a systematic support to rejuvenate protected areas to a functional national PA network • Developed a systematic process to integrate Climate Change Adaptation to Protected areas (Collingwood Bay project). • The grant program has spawned a strong collaborative network of communities, NGOs and research organizations. Organizational Level • MGCTF has developed trust with PA communities which is fundamental to working with PAs in Melanesia • MGCTF commitment to transparency, good governance and integrity is widely accepted by our partners

16. LESSONS LEARNED : CHALLENGES Community Level • Work in rural community can be challenging because of differences in priorities, timeframes and expectations. • Need to provide continuous assistance to community members with e.g. report writing and financial reporting to ensure compliance. • Some communities are used to free cash handouts and therefore less receptive to programs that require community commitment and support. • Cultural diversity often presents communication challenges • Protected areas are located in remote areas , thus presenting logistical challenges. National Level • Poor integration with national conservation priorities because of Ineffective national governments • Lack of government support at the provincial and local levels. • Lack of recognition of NGO conservation effort by National government Organizational Level • Because we do not have startup capital fundraising remains the biggest challenge • Governments see independent trust funds as competitors rather than partners – prevents us from accessing multilateral funds • When we work in corrupt environment we have to be vigilant at all times.

17. THANK YOU – QUESTIONS ??