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GCF Pipeline Development – Part I

GCF Pipeline Development – Part I. Ghana Case Study. Outline. Project prioritization in what context? What processes were used? Prioritization matrix for Ghana What Challenges/ Lessons?. Prioritization Context.

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GCF Pipeline Development – Part I

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  1. GCF Pipeline Development – Part I Ghana Case Study

  2. Outline Project prioritization in what context? What processes were used? Prioritization matrix for Ghana What Challenges/ Lessons?

  3. Prioritization Context • Prioritization : A process resulting in arranging list of items (projects/ programmes) in order of importance • Key success story in readiness • Context: • Process List of priority projects/ programmes • Had to do this within the timelines of the Readiness Programme (2yrs) – factoring in time for concept notes and proposal development • Without a specific focus Country Programme for the GCF

  4. The Process of Prioritization • Process (Series of actions) • Adhoc Process (Initial Selection) • Sectoral/ Institutional level selection • Structured Prioritization by TAC • Using prioritization tools • Selection, recommendation and approval

  5. The Process of Prioritization • First Stage – Initial Screening • Consultation between NDA and MESTI • MESTI requests (via letter) proposals from priority sectors of GH NDC and CC Policy : • 7 priority sectors: Agriculture, Forestry, Land use, Energy, Waste, Transport & Social Development) • Private sector programmes/ projects • Initial screening by relevant sector institutions (inherent risk) • 19 projects were received for second phase of selection

  6. The Process of Prioritization • Second Stage – Use of Prioritization Tool • Why the need for a tool? • To provide a transparent, systematic basis to selecting that can be verified • Features • Separate criteria/ indicators for adaptation & mitigation • Reason: Projects aimed at emission reduction should not be assessed on the same basis as those with the objective of managing unavoidable climate change • Guidance for scoring on each indicator • Matrices for scoring and ranking

  7. The Process of Prioritization • Mitigation (Criteria Based Matrix) • Criteria • Impact potential • Paradigm shift • Sustainable development potential • Relevance to Ghana • Country Ownership • Gender issues • Efficiency & effectiveness • For each criterion a rating scale is established per project

  8. The Process of Prioritization Criteria rating scale

  9. The Process of Prioritization • Matrix • Scoring • Scoring by an odd number expert panel from TAC and/ or other technical experts • Project total score =

  10. The Process of Prioritization • Adaptation (Multi-criteria Assessment) • Basis • Capable of integrating a diversity of criteria • Integrates impacts on non-monetary values • Criteria (assigned weights out of 100) • Political • Institutional/ implementation barrier • Public financing needs • Economic • Environmental • Social • Climate-related

  11. The Process of Prioritization Scoring for projects Requires expert discussion prior to scoring Project total score =

  12. Selection and decision making • Decision making • TAC selected 2 projects • Mitigation: Accelerated Solar Action Programme • Adaptation: Resilient Landscapes for Sustainable Livelihoods • Recommendations made to FP/ NDA • FP decides with MoF management for final decision on projects • MoF Minister is a Cabinet Minister, good for political buy-in

  13. Challenges and lessons Consultations are key for stakeholder buy – in Sectoral screening runs the risk of not being transparent A lot depends on expert judgement The criteria in the tool could benefit from a broader stakeholder input It requires time to get it right

  14. THANK YOU!

  15. GCF Pipeline Development GCF Project Screening and Prioritization: Nepal’s Experience

  16. PresentationOutline Project Pipeline Development Application Process Proposal Evaluation Challenges & Lesson Learned

  17. Project Pipeline Development • Project Pipeline • Prepare 2 bankable projects for Nepal • Criteria • Project idea must be in-line with Nepal’s national climate change priorities including the National Climate Change Policy • Project idea must align with the GCF’s strategic impact areas and investment guidelines Project idea should identify possible implementing entity (national or international) for the project idea.

  18. Proposal* Pipeline Process Evaluation Processes

  19. Project Screening Minimum Requirement: • Project idea must be in-line with Nepal’s national climate change priorities including the National Climate Change Policy • Project idea must align with the GCF’s strategic impact areas and investment guidelines (provided in Annex 1) • The project idea should identify possible implementing entity (national or international)for the project idea. • Project Proposal should be minimum USD 10 Mil. Note: Project ideas that builds on existing initiatives and have robust background information available (proof of concept, pre-feasibility studies, feasibility studies, economic and financial models, market assessments, environment and social impact assessments, etc.)

  20. Proposal Review • Stage I: Review by Technical Committee • Evaluation Scoring: • Prepared by UN Environment • Training organized on Scoring methodology • Scoring on a consensus basis

  21. developing a project assessment and selection tool in form of a scoring matrix

  22. developing a project assessment and selection tool in form of a scoring matrix

  23. Technical Decision

  24. Issuance of ‘Expression of Interest’ for Concept Note Preparation* Full Proposal Prepared Concept Note Review Evaluation of Concept Note by Technical Committee Issuance of ‘No Objection Letter’ Stage 3 Stage 4 Stage 2 Submission of Full Proposal to GCF Full Funding Proposal Framework Proposal Shortlisting Completeness Check by CFU/NDA 6 months GCF Feedback to AE Stage 1 GCF Secretariat Review Completeness Check by GCF Secretariat National Call for Proposal / Project Ideas Stage 5 Proposal Review by ITAP Review of proposal based on 6 Investment Criteria Decision by the GCF Board Legal Arrangements 6- 12 months

  25. Challenges & Lesson Learned • Transparency of proposal pipeline development National call for proposals, Consultations with stakeholders • Efficiency in proposal review process Revision of standard review process • Proposal ownership Proposal prepared in coordination with government line ministries • Engaging Direct Access Entities Inclusion of DAE in proposal development • Comprehensive evaluation tool for proposal review Tool revised to assess both adaptation & mitigation

  26. Thank You!! Pragyajan Yalamber Rai Project Manager Green Climate Fund Readiness & Preparatory Support Programme United Nations Development Programme Phone. No: +977-9851157091 Email:Pragyajan.rai@undp.org

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