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Adaptation Finance. PIETER TERPSTRA AND LOUISE BROWN, WRI. - A local governance perspective. What is Adaptation to Climate Change?. Confronting climate changes. Addressing drivers of vulnerability. Building response capacity. Managing climate risk. Impacts focus. Vulnerability focus.
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Adaptation Finance PIETER TERPSTRA AND LOUISE BROWN, WRI - A local governance perspective
What is Adaptation to Climate Change? Confronting climate changes Addressing drivers of vulnerability Building response capacity Managing climate risk Impacts focus Vulnerability focus
What is Adaptation Finance? How do we identify and track adaptation finance? OECD / Rio Marker Adaptation The activity intends to reduce the vulnerability of human or natural systems to the impacts of climate change and climate-related risks. Multilateral Development Banks
Why should we track adaptation finance? Local communities in vulnerable countries will feel the biggest impact Reaching local communities with support is notoriously difficult How much adaptation funding is reaching vulnerable communities?
Adaptation Finance Accountability Initiative Objective: Empower coalitions of local civil society organizations to monitor and influence adaptation finance Partners: Oxfam, ODI, WRI and NGO networks in Nepal, Philippines, Uganda and Zambia
Adaptation Finance Accountability Initiative How much adaptation finance is available within countries? How is it being directed and used and by whom? Is it reaching the local level?
Adaptation Finance Accountability Initiative Phase 1 Mapping of adaptation finance flows from international to national Institutional analysis Phase 2 Deep dive research into selected flows (national to local) National and international level advocacy
Five Principles for Good Delivery of Adaptation Finance at the Local Level Transparency Ownership Responsiveness Participation Equity
This is how it works in theory – but does it correspond to reality?
Methodology: phase 1 Gather data on providers of finance Assess adaptation relevance Compile data into one database Analysis of data
Where is donor money going? Total combined commitment for 2010 and 2011: USD 125 million Source: AFAI data
Where is donor money going? Source: AFAI data
Where is the Government Spending its Adaptation money? An Example from Zambia Source: PELUM
National level Office of the President Do we Know Where the funding is going? International Donors National Assembly Ministry of Finance Ministry of Local Governance and Housing Other line Ministries Ministry of Agriculture and Cooperatives Constituency Development Fund Grants* District level (Provincial level not shown) Local Government Service Commission Formula based block grant District Commissioner District Council District Development Committee Up to National level Ministry of Agriculture and Cooperatives District Department Local taxes (main component of local budget) District Development Plan Distr. Disaster Management Committee Village level Water Management Group Agriculture Extension Cooperatives Village / Community Women’s Groups Non-governmental organizations Satellite Disaster Management Committee Area Development Plan Area Development Committee * Grants to District Councils are for the following services: Water and Sanitation; Health; Fire Services; Road Services; Police; Primary Education; Agricultural Services; Other Village Area Groups = financial flow = decision / information flow
Where is donor money going? Total combined commitment for 2010 and 2011: USD 122 million Source: AFAI data
Where is donor money going? Source: AFAI data
What have we learned? Both donors and governments invest in adaptation Many layers, little money trickling down to local level especially from the public sector Direct (NGO, outside) interventions seem to have large impact but how sustainable is this, what about scaling? Weak local institutions increases local communities’ vulnerability to climate change
Preliminary Recommendations Recipient Governments in all countries highly interested in this work and supportive of AFAI NGOs can play a role in monitoring adaptation finance flows and foster a national discussion on adaptation Donors should provide more information on why projects and programs are labelled as adaptation relevant Governments need support to track adaptation finance and to integrate adaptation into their national development planning
Future Activities Expanding in country research in Nepal, Philippines, Zambia and Uganda Development of tracking guidelines National reports for Zambia and Uganda on adaptation finance flows Final report with lessons learned
Thank you! Thank you!
Uganda – some findings Communities very effective in using available resources and they were a strong instrument for faster delivery of adaptation projects Community / beneficiary contribution or cost-sharing was critical in ensuring ownership and sustainability Accounting mechanisms appeared stronger in projects that were managed by the local government, than those implemented by NGOs For sustainability and scale up of adaptation projects involvement of district authorities is vital