Liane Schalatek_Climate Financing in the MENA Region - How Gender-Responsive Is It?

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Liane Schalatek's presentation at the Second Regional Summer School in Amman, October 2012.

Liane Schalatek's presentation at the Second Regional Summer School in Amman, October 2012.

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  • 1. Climate Financing in the MENA Region – How Gender-Responsive is It? Second Regional Summer School , Heinrich Böll Foundation “Climate Change Challenges in the Arab Middle East and North Africa” Amman, Jordan, October 1, 2012 Liane Schalatek, Heinrich Böll Foundation North America liane.schalatek@us.boell.org www.boell.org www.climatefundsupdate.orgHeinrich Böll Foundation North America1638 R Street, NW, Suite 120 Washington, DC 20009, USA www.hbfus.org
  • 2. Introduction -- What is Climate Finance?Global Climate Finance:• Carbon Markets – Clean Development Mechanism, voluntary market, EU Emission Trading System  dependent on carbon price, mitigation focused – Amount ????• Private Sector Investments, primarily in cleaner/low-carbon technologies -- Amount????• Public Climate Change Finance Definition: funds deriving from governments or agencies and institutions acting on their behalf, including national budgetary contributions and innovative financing sources (for example such as auctioning of emission permits, taxes, levies) – Bilateral and Multilateral Dedicated Climate Financing Instruments (Volume of some 22 main funds and initiatives = $ 30 billion pledged) – Climate-Relevant Bilateral and Multilateral ODA (measured roughly through OECD “Rio Marker” Classification)  2010: 22.9 billion for mitigation ( 2/3 for mitigation, roughly 1/3 for adaptation) PROBLEM: no Common Reporting Format, no reliable Measuring, Reporting, Verification (MRV)The Green Political Foundation
  • 3. Current Funding Globally: Pledged vs. Deposited vs. Approved vs. Disbursed 29,873.06 Total of 22 dedicated climate funds, in US$ millions 30,000.00 21,961.03 25,000.00 20,000.00 15,000.00 7,985.49 10,000.00 1,912.74 5,000.00 0.00 Pledged Deposited Approved Disbursed Source: www.climatefundsupdate.org; September 29, 2012The Green Political Foundation 3
  • 4. Adaptation, Vulnerability and Adaptation Financing NeedsAdaptation = Response measures to the adverse affects of climate changeVulnerability = Degree to which a system or individual is susceptible to, or unable to cope with, adverse effects of climate changeUNFCCC = articulates in Article 4 (Commitments) the responsibilities of developed country Parties to assist developing country Parties “in meeting costs of adaptation” (Art.4.4 and 4.8), taking into full account “the specific needs and special situations of the least developed countries […] with regard to funding and transfer of technology” (Art. 4.9).Adaptation Funding Needs -- Global Estimates: $20-100 billion per year in 2030 (World Bank WDR 2010) >$67 billion per year by 2020 (African Group, 2009) $28-59 billion per year by 2030 (UNFCCC, 2008)  Agriculture: $2.5 billion per year between 2010 -2050 (WB)The Green Political Foundation
  • 5. Dedicated Adaptation Finance Instruments: OverviewMain instruments are structurally underfunded and stuck on “project-by-project”, not programmatic approach.Some actual numbers (as of end of September 2012) of deposited funds: – Least Developed Country Fund, LDCF (at GEF): US$382.16 Mio – Special Climate Change Fund, SCCF (at GEF): $196.4 Mio – Pilot Program on Climate Resilience, PPCR (World Bank): $273.8 Mio – Kyoto Protocol Adaptation Fund, AF: $103.53 – Strategic Priority on Adaptation (at GEF, concluded): $ 47.95 Mio disbursed • GEF Trust Fund – CC Focal Area (GEF 4 & 5): mostly for mitigation, but includes some funding support for vulnerability and adaptation assessments as part of national communicationsWith the exception of the Adaptation Fund (funded by a 2 % levy on CDM projects), they depend on unpredictable, inadequate voluntary contribution of donor countries (and PPCR even has some loan financing in its portfolio) Heinrich Böll Foundation North America 1638 R Street, NW, Suite 120 Washington, DC 20009, USA www.hbfus.org
  • 6. Source: CFUThe Green Political Foundation
  • 7. Climate change and finance are not gender-neutral• Women are the majority of the more than one billion poorest worldwide (“feminization of poverty”)• Women often disproportionally affected by climate change due to persisting gender norms and gender-based discriminations• Men and women contribute to climate change responses in different ways and have different capabilities to mitigate and adapt – woman as key actors and “agents of change”, not just victims• Recent UNFCCC decisions acknowledge gender equality and effective participation of women as relevant for all climate actions• Gender-responsive climate financing instruments are needed urgently• REASON 1: using scarce public resources in an equitable, efficient and effective way  relevant experience of development finance• REASON 2: climate finance decision are not made within normative vacuum  acknowledge and honor women’s rights as basic human rightsThe Green Political Foundation
  • 8. Climate Finance Reality  So far, dedicated climate finance mechanisms with limited benefit for LDCs and poorest and most disadvantaged within countries;  Women as a group generally least considered by climate financing mechanisms  SINCE 2008: proliferation of several dozen new bilateral and multilateral instruments and funds  no systematic consideration of gender, only as an “afterthought” unevenly in bits and pieces  CHALLENGE: to ensure that gender is an important consideration in ongoing climate finance negotiations and in fund operationalization and disbursement  NEEDED: Double Mainstreaming of sustainable development = mainstreaming of climate and gender equality considerations into sustainable development policyHeinrich Böll Foundation North America1638 R Street, NW, Suite 120 Washington, DC 20009, USA www.hbfus.org
  • 9. Gender as “afterthought” in existing funds• Dedicated funds rely mostly on voluntary payments, not budget assessments = unpredictability of funding; pledges lag behind (see graph)• Many have only started recently (2-3 years) to implement programs• Gender equality was NOT a consideration in the set-up of these funds• Retroactive, but not systematic integration of some gender aspects. • WB Clean Technology Fund (CTF) has no gender-integration • WB Pilot Program on Climate Resilience (PPCR) does not include gender in operational principles, but has some gender dimensions in project proposals • WB SCREP requests the inclusion of “social and gender co-benefits” • REDD programs (WB FIP and UN-REDD) have guidelines targeting women in consultations • Adaptation Fund – revised operational guidelines in July 2011, making inclusion of gender consideration an important review criterion for application • GEF (LDCF and SCCF) – only 1/3 of NAPAs with gender integration; but GEF with new gender mainstreaming policy and improved gender expertise since 2011The Green Political Foundation
  • 10. The Green Climate Fund (GCF) and Gender Equality • Potentially largest multilateral fund with tens of billions; “significant portion” of global public adaptation funding to be channeled thru GCF • GCF governing instrument approved at COP17 in Durban , contains five key references to gender -- first climate fund to integrate gender from the outset • “gender-sensitive approach” in section on objectives and guiding principles (Art.3)  anchoring gender-responsiveness as cross-cutting issue • gender-balance as goal for Board and Secretariat staff (Arts. 11 and 21) • gender aspects of stakeholder involvement to develop fund priorities (Art.31) • women as crucial group for input and participation of strategies and activities of the Fund (Art. 71) • “bare-bone” structure to be fleshed out during operationalization until COP19  priorities: safeguards development; stakeholder participation mechanism; direct access modalities • KEY CHALLENGE: political and funding support for GCF – gender-responsive, fully funded GCF as important hold for equity in climate processThe Green Political Foundation
  • 11. Climate-relevant ODA and gender equality • Despite dedicated climate funds, including GCF, climate-relevant ODA (bilateral and multilateral delivery) important  significant share of total • OECD-DAC: bilateral climate-aid was US$22.9 billion in 2010 (15% of total ODA) with 2/3 for mitigation, 1/3 for adaptation • Opportunity and challenge for gender-responsive climate aid (example of IDA 16 – focal areas climate change AND gender equality); many development agencies (bilateral & multilateral) have gender (mainstreaming) policies and mandates • BUT: more and better efforts needed (staff training; change in incentive and promotion structures; overcoming isolation of too few gender experts; focus of gender mainstreaming efforts insufficiently in sectors and policies of climate relevance such as energy, transportation infrastructure, agriculture, macroeconomics)The Green Political Foundation
  • 12. Climate Change in MENA Region – Economic & Human Development Impacts• Region’s contribution to climate change still small (5% GHG emissions, but large variations)• Climate change exacerbates existing vulnerabilities – – already MENA most water-scarce region in the world  CC will reduce water run-off by 30% by 2050 (lower precipitation) – increase water stress for more than 100 million – Already MENA most food import dependent region in the world (more than 50% of food stuff)  CC will reduce agricultural yields by 20 % by 2080 as population is expected grow to over 650 Mio  threat to regional, national and local food security• Rising sea levels threaten coastal cities, coast lines; salinization of groundwater aquifers, loss of wetlands, impacts on tourism (beach facilities, coral bleaching, Dead Sea levels)• Human security challenges – large-scale migration of environmental refugees – increase threat of resource/water conflicts• Human health impacts – increased heat stress with reduced nutritional availability and worsening hygiene & living conditions; increase in vector- or waterborne diseases The Green Political Foundation
  • 13. Climate Change in MENA Region – Key Gender Impacts• Climate change exacerbates existing gender inequalities due to socio-economic , and cultural norms and constraints  broad regional pattern of social & political exclusion• In MENA, rural women with primary responsibility for household-based animal husbandry  tending herds, providing water and feed will get harder• Women in charge of family food & water provision (in rural areas often via subsistence/household farming)• Climate migration in MENA leaves women to shoulder management of household with dwindling resources• In extreme weather events, more women among fatalities due to cultural norms that restrict mobility and ability to survive• In refugee, resettlement or rebuilding settings, women impacted by gender-based violence and exploitation; restricted from credit lines, compensation because of culturally restricted legal rights BUT: Not just victims; MENA women already have experience in coping; vast knowledge of local people and ecosystems to mitigate impacts of CCThe Green Political Foundation
  • 14. Disbursed Climate Financing in the MENA Region in US$ Mio, 2003 - 2012 1000 920.88 900 800 Amount Approved 700 (USD Mio) 600 500 Amount Disbursed (USD Mio) 400 300 No of Projects Approved 200 56.2 46.86 100 21.42 16 33 27.04 0.31 0 1 4 2 0 Adaptation Mitigation REDD Multiple fociThe Green Political Foundation Source: www.climatefundsupdate, 9/29/2012
  • 15. Distribution of Dedicate Climate Financing in the MENA Region from 22 dedicated funds, as of end of September 2012 (Source: www.climatefundsupdate.org) Jordan 25.4 Mio Morocco Lebanon 9.3 Mio 359.8 Mio Palestinian Territory 23.04 Mio Algeria 18.7 Mio Egypt Iraq 0.06 Mio 523.15 Mio Iran 9.8 Mio Syria 8.3 Mio Yemen 11.8 Mio Djibouti 11.11 Mio Regional Programs 5.8 MioThe Green Political Foundation
  • 16. Dedicated Climate Finance Flows to MENA, Disbursed Funding in US$ Mio 27.04 56.2 3% 5% 0.31 0% Adaptation Mitigation - REDD Mitigation - General Multiple Foci 922.74 92%The Green Political Foundation
  • 17. Overview Dedicated Adaptation Finance in MENA MENA receives ca. 6- 7% of adaptation finance globally approved through dedicated CF instruments (total globally only $439 Mio) UPDATE Active in region: GEF4-SPA, LDCF, SCCF, MDG Achievement Fund, PPCR Between 2003 – 2012, $56.2 Mio approved for 16 projects; so far $21.4 Mio disbursed; volume of financing directed at each project/program remains relatively small (project focus rather than programmatic/sectoral focus) Focus on adaptation projects: water management & agriculture/food security (12 of 16) Most funding for Djibouti, Egypt, Yemen (about US$11 Mio each) Recipient Countries and projects: Yemen (4), Djibouti (4), Egypt (2), Jordan (2), Morocco (2), Lebanon (1), Iraq (1) Largest project so far : US$ 7.9 Mio Lebanon Adaptation Fund Project “Climate-Smart Agriculture”; largest overall project (in developing stage): up to US$50 Mio from Pilot Program on Climate Resilience for Yemen Japan as bilateral climate funder with 3 projects (worth US$ 9.4 Mio) in the regionThe Green Political Foundation
  • 18. Least Developed Country Fund (LDCF)  Grant-based adaptation funding provided through the financial mechanism of the UNFCCC, operated by the Global Environment Facility (GEF)  Funded by voluntary pledges of developed countries (ongoing)  PURPOSE: help 48 LDCs with preparation and implementation of “National Adaptation Plans of Action” (NAPAs) which list urgent adaptation priorities, developed in a country-driven participatory process  LDCs funded so far preparation of 44 NAPAs (at cost of US$ 200,000 each)  UNFCCC estimates the cost of identified urgent adaptation under existing NAPAs to be US$ 800 million to US$1.5 billion  LDCF funding reality (as of end of September 2012): Pledged Deposited Approved Disbursed LDCF $470.54 Mio $382.16 Mio $200.21 Mio $113.59 Mio  Currently: of 44 NAPAs registered with UNFCCC, less than a third “mention” gender- equality as important underlying principle  Funding in MENA for Djibouti (US$2.2 Mio) and Yemen (US$4.7 Mio)The Green Political Foundation
  • 19. Special Climate Change Fund (SCCF)  Grant-based adaptation funding provided through the financial mechanism of the UNFCCC, operated by the Global Environment Facility (GEF)  Funded by voluntary pledges of developed countries (ongoing)  Countries access funding through 10 implementing entities (same as LDCF)  PURPOSE: funding adaptation projects of all developing countries, irrespective of special vulnerability (such as LDCs or SIDS)  SCCF Funding Reality (as of end of September 2012): Pledged Deposited Approved Disbursed SCCF $241.61 Mio $196.4 Mio $143.1 Mio $ 100.23 Mio  Total SCCF Funding approved for MENA (as of 9/2012): US$ 10.35 Million  MENA recipient countries of SCCF funding: Jordan, Egypt, Morocco  Biggest MENA grant to date: Morocco’s “Integrating Climate Change in Development Planning and Disaster Prevention to increase Resilience of Agriculture and Water” (approved 2009)The Green Political Foundation
  • 20. Kyoto Protocol Adaptation Fund (AF)  Grant-based adaptation funding provided through the financial mechanism of the UNFCCC, operated by the Adaptation Fund Board (AFB)  Only fully operational since 2008; first project funding started 2010  Innovative funding mechanism: 2 % levy on CDM projects (automatic, predictable) in addition to voluntary pledges of developed countries (ongoing)  CER proceeds: US$ 154 Mio (= 64% of total)  Developed country contributions: US$ 86 Mio (= 35.7 %)  Innovative direct access mechanism: Countries access funding directly through nationally designated, AFB accredited National Implementing Entities (NIEs); alternatively, countries can access funding thru Multilateral Implementing Entities (MIE) such as World Bank, UNDP, UNEP etc.; AFB is also looking into Regional Implementing Entities (RIEs)  PROBLEM: currently only few accredited NIEs, majority of project applications via MIEs REASON: missing national institutional capacityThe Green Political Foundation
  • 21. Adaptation Fund – Part II  PURPOSE: funding full cost of adaptation projects of all developing countries  BUT: vulnerability is special funding criteria  AND NOVEL GOVERNANCE STRUCTURE: LDCs and SIDS with a designated seat on AF Board (where developing countries hold the majority of seats – equitable, not equal representation)  Adaptation Fund funding reality (as of September 2012): Pledged Deposited Approved Disbursed Adaptation Fund $ 241 Mio $ 224.49 $166.36 $29.14 Inc. CERs Inc. CERs  Total approved AF funding for MENA (as of Sept 2012): US$19.42 Mio  Current MENA recipient countries of AF funding: Djibouti, Egypt, Lebanon  Largest AF Project in Region: Lebanon with US$7.86 Mio grant for “Climate-Smart Agriculture: Enhancing Adaptive Capacity of the Rural Communities in Lebanon”The Green Political Foundation
  • 22. Pilot Program on Climate Resilience (PPCR)  Adaptation funding (as grants, but also loans) provided through a pilot program under the Special Climate Fund (SCF), one of two main funds of the World Bank’s Climate Investment Funds (CIFs)  Funded by voluntary pledges of developed countries (ongoing)  PPCR is supposed to “sun-set” (end funding) end of 2012  Countries access funding through regional development banks as implementing agency – AfDB for MENA pilot countries  PURPOSE: funding country-wide strategic adaptation programs of 10 selected developing countries &regions; in MENA: Yemen Pledged Deposited Approved Disbursed PPCR $986 Mio 646.7 Mio 358.41 Mio 28.72 Mio  Approved funding for MENA: US$1.5 Mio for Yemen for project preparation; possible full funding US$50 Mio (Yemen suggested also US$ 60 Mio loan)The Green Political Foundation
  • 23. Gender Analysis of Adaptation-relevant multilateral investments in the MENA Region – METHODOLOGY • Includes dedicated climate funds and adaptation-relevant development finance • Overview over more than 140 active climate change related multilaterally funded projects found 32 projects qualified as “adaptation relevant” (Rio Marker criteria) • Of 32 projects, 18 are community initiatives, 11 policy level interventions, 3 regional • Checklist used to measure systematically if and how gender was integrated – Gender issues approached from a human rights perspective – Acknowledges and seeks to redress gender inequalities – Provides and analyzes gender data (project design – baseline and M &E – Analyzes gender relations in social, legal, historical and economic context – Looks at equitable gender access to project participation – possible/impossible? – Promotes equal opportunities for men and women to provide input and participate thru project cycle – Plans project outcomes and outputs that respond to differential gender needs – Considers longer-term gender impacts of projectsThe Green Political Foundation
  • 24. Gender Analysis of Adaptation-relevant multilateral investments in the MENA Region – FINDING • Regionally focused projects are more gender insensitive than country projects • 44% percent of community level projects are; but only 9% of policy level projects  NEED to include gender considerations in macro-level and policy development context (particularly macroeconomic policies as they influence climate policies) • In-depth gender analysis is key; 38 % of projects recognize gendered impact, but only in 9 percent is this translated in budget allocation (f.ex. for gender expert)  NEED gender-budget to devote sufficient resources within adaptation projects • Projects see MENA women too often only as victims, fail to recognize their capabilities and existing coping strategies; only 1/3 promote women’s active participation; 3/4 of projects fail to incorporate sex-disaggregated data in project monitoring and evaluation • “Traffic Light Categorization”: Red light = gender insensitive for 17 out of 32 projects; 6 are moderately gender sensitive (yellow light); only 9 projects (28 percent) get green light as adequate gender-sensitive MENA adaptation projectsThe Green Political Foundation
  • 25. Best and Worst Case Examples of Gender-Sensitivity of MENA Adaptation Projects from Desk Study BEST CASE EXAMPLES: • Yemen, Pilot Program for Climate Resilience (CIFs) • Iran, Integrated Land and Water Management Project, The World Bank • Lebanon, Climate Smart Agriculture, Adaptation Fund • Egypt, Building Resilient Food Security Systems, Adaptation Fund WORST CASE EXAMPLES: • MENARID Nature Resources Management Regional Program – GEF • Lebanon, Greater Beirut Water Supply, The World Bank • Tunisia, Second Water Sector Investment Project, The World Bank • Egypt, Regional Coordination for Improved Water – GEF  gender-sensitivity is neither recipient country, nor funder specific  NEED to look at each project individually and context-specificThe Green Political Foundation
  • 26. Legend: Gender Gender A=Achieved; and Gender Gender Gender Gender Gender Gender in Score P= Particially Achieved; Human Equality Data Access Inputs Outputs Impacts Context N= Not Achieved Rights P N N N N N P N NGreater Beirut Water Supply (WB - Beirut)Regional Coordination for Improved Water N N N N N N N N N(GEF - Egypt)Building Resilient Food Security Systems to A P P A P A P P ABenefit the Southern Egypt Region (AF -Egypt)Alborz Integrated Land and Water A A P A P A A A AManagement Project (WB - Iran)Climate Smart Agriculture: Enhancing A P A A A P A A AAdaptive Capacity of the RuralCommunities in Lebanon (AgriCAL) (AF -Lebanon)MENARID Integrated Nature Resources N N N N N N N N NManagement in the Middle East andNorth Africa Region (PROGRAM) (GEF –Regional)Second Water Sector Investment Project N N N A N P N N N(WB - Tunisia)Yemen’s PPCR Strategic Program (WB - A A P A A A P A AYemen) The Green Political Foundation
  • 27. Key principles for gender-responsive climate financingat Fund Level -- Part IExperience of existing global funds such as GAVI or Global Fund is instructive:• Gender equality as a guiding principle and a cross-cutting issue• Gender-responsive funding guidelines and criteria for each thematic funding window or sub-fund.• Explicit gender criteria in performance objectives and evaluation of funding options need to include mandatory gender analysis of the proposed project or program, a gender budget, some clear gender indicators measuring how projects and programs contribute to gender equality objectives, as well as the systematic collection of sex-disaggregated data.• Gender-balance and gender-expertise in all Fund decision-making bodies as well as in a fund’s Secretariat to ensure that gender equality principles are considered in program and project review and approval and the monitoring, reporting, verification and evaluation of the GCF’s funding portfolio.The Green Political Foundation
  • 28. Key principles for gender-responsive climate financingPart II • Special efforts to seek and financially support the input and participation of women as stakeholders and beneficiaries in the planning and preparation, implementation, monitoring and evaluation of a program or project. • A regular audit of the gender impacts of funding allocations in their overview and reporting in order to ensure balance between mitigation and adaptation activities and a gender-responsive delivery. • A “best practise” set of social, gender and environmental safeguards and guidelines that guarantee gender equality, women’s rights and women’s full participation  need to comply with existing international obligations, including on human and women’s rights, labor standards, environmental law • An independent evaluation and recourse mechanism and regular reporting requirements  allow negatively impacted women to seek redressThe Green Political Foundation
  • 29. Role of MENA National Government Involvement• Key role for national governments in the MENA region to achieve full, consistent and meaningful gender integration in multilateral adaptation investments• NEED to foster an environment that encourages implementation of gender-sensitive policies and guidelines at the project level including by: • Institutional arrangements and national and local policies that promote women’s rights (equal rights to land ownership, access to agricultural and technical support services, capacity-building • National local development agendas and adaptation plans which explicitly integrate gender perspectives and concerns (“country-driven process”)  need for demand-driven projects, not conditionality • Institutional arrangements that require and provide funding for CSOs, women’s groups and local populations to engage in adaptation project planning, implementation, monitoring and evaluation • Measures to prevent regressive norms and cultural practices from obstructing women’s capacity to participate throughout project cycles (no “one-off” activity)The Green Political Foundation
  • 30. Further Information: • Heinrich Böll Stiftung North America: www.boell.org • Climate Funds Update: www.climatefundsupdate.org • Information on Climate Finance and the Green Climate Fund http://www.boell.org/web/140.html • Information on Gender and Climate Change/Financing http://www.boell.org/web/141.html THANK YOU !The Green Political Foundation