Presentation on managing climate risk through ecosystem-based adaptation – linking urban and rural development planning by Tomonori Sudo (Japan International Cooperation Agency)

1. Strengthening risk management,
transfer and sharing at the national level
- Role of Development Cooperation -
Tomonori SUDO, Ph.D
Advisor, Office for Global Issues and Development Partnership,
and
Senior Research Fellow, JICA Research Institute
Japan International Cooperation Agency (JICA)

2. Questions
• What are the key entry points for selecting
and implementing risk-transfer and risk-
sharing tools at the national and sub-national
level?
• How can risk transfer and sharing tools be
incorporated into the NAP process?
• How can development co-operation providers
support climate risk financing strategies at the
national level in developing countries?

3. Selection and implementation of risk-transfer and risk-
sharing tools at the national and sub-national level
• Risk-transfer and Risk Sharing tools can complement
to physical risk mitigation measure
– Risk-transfer and Risk Sharing tools cannot mitigate
physical risks
– Risk Transfer and Risk Sharing tools may reduce economic
losses.
• Some key elements to be considered…
– Vulnerability Assessment – Risk identification
– Expected economic damage/losses – Risk exposure
– Readiness to disaster/change of climate

4. Incorporate Risk transfer and sharing tools into
the NAP process
• Government (or public agency) as a provider of Risk transfer
and sharing tools
– Particularly for the poor who cannot access to tools provided private
sector
• Government as a promoter / regulator of the Risk transfer and
sharing tools
– Creation of market /enabling environment
– Regulate market and players to keep their financial strength
Note that Risk transfer and sharing tools are not the perfect
tools!
– There are gaps (timing, amount of payment etc)
– Government could play a role to fill the gaps

5. Role of development co-operation
• Development cooperation providers can
support developing country’s government to
create risk transfer and sharing tools through
– T/C for creating and/or designing market and
enabling environment, capacity development and
knowledge / information sharing
– Concessional finance
• For seed money
• bridging gaps

6. Japan’s Actions
• New Development Cooperation Charter (Feb
2015)
– “Japan will address challenges such as: actions
against climate change including the creation of a
low carbon society and adaptation to adverse
effect of climate change; …”
(II. Priority Policies, C. Building a sustainable and resilient international
community through efforts to address global challenges”

8. Sendai Cooperation Initiative for
Disaster Risk Reduction (March 2015)
• Japan will provide cooperation through
effectively combining
– Non-material assistance
– Material assistance
– Global and region-wide cooperation
4 billion USD in total and training for 40,000
government officials and local leaders

9. Disburse-
ment
Stand-by Emergency Credit for Urgent Recovery (SECURE)
9
Objective:
•To promote the policy actions required to improve disaster risk management
capabilities in Peru,
•To provide the funds urgently needed in the event of a disaster.
 The project is designed to support quick disaster recovery in Peru and to contribute to
sustained socioeconomic development for the country.
Loan Amount: 10 billion yen (L/A Singed: March 2014)
Scheme
GoP
JICA
Disaster
Policy actions
T/C
State of
Emergency
Emergency
relief
Recovery
/Reconstruction
L/A Policy
Dialogues
T/C &
F/A

10. Stand-by Emergency Credit for Urgent Recovery (SECURE)
10
Targeted area Policy actions achieved (2014) Policy actions to be achieved in the future (by
2017)
• Improvement of
earthquake and
tsunami damage
mitigation Technologies
• Analysis of the underground soil
structure of survey areas and
disclosure of earthquake data
• Tsunami wave propagation
simulation testing and compilation
of tsunami hazard maps
• Activities for raising awareness, etc
(1) Achievement of project goals (preparation
of scenarios, prediction of damage, etc.)
(2) Integration of project proposals reflected in
national disaster prevention plans
(3) Enhancement of technical collaboration
and personnel training
Improvement of
earthquake and tsunami
emergency information
transmission systems
Agreement on the basic design of the
grant-aid cooperation program and
preparation of an INDECI action
plan
(1) Enhancement of earthquake and tsunami
risk management
(2) Implementation of a more advanced
earthquake and tsunami information
transmission system
• Mainstreaming of
disaster prevention and
risk management in
public investment plans
Incorporation of disaster risk
assessment into the national public
investment system
(1) Simplification of the review procedures for
disaster rehabilitation and recovery projects
(2) Preparation of lifeline system disaster risk
assessment
(3) Preparation of land utilization plan
guidelines for disaster risk mitigation
Policy Matrix

11. Conclusions
• Risk Transfer and sharing tools are not the single
solution
– Balance of combination of physical risk mitigation
measures and risk transfer and sharing tools are needed.
• Risk transfer and sharing tools may be able to
incorporate into NAP process
– Need to clarify the role of government
• Development cooperation providers can support
developing countries
– to fill the gap throough providing TC and concessional
finance