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#GreeningGovernance - Making it Count: Accountability in Climate Finance

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Civil society actors from Uganda and the Philippines to learn how they are advancing effective, equitable adaptation finance systems to build resilience in a changing climate.

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#GreeningGovernance - Making it Count: Accountability in Climate Finance

  1. 1. GREENING GOVERNANCE SEMINAR MAKING IT COUNT: ACCOUNTABILITY IN CLIMATE FINANCE Photo Source: Takver/Flickr
  2. 2. IOM 2015 SPEAKER BIOS Nisha Krishnan Climate Finance Associate, Climate Resilience Practice, World Resources Institute Nisha is a Climate Finance Associate within the Climate Resilience Practice. She is helping develop national climate finance budget tracking methodologies and helping local governments and civil society organizations conduct adaptation finance accountability assessments at the local level. She also contributes to the Climate Resilience Practice’s other work on resilience and governance. Her work generally focuses on ensuring that climate adaptation finance reaches the most vulnerable. Delaine McCullough Climate Finance Accountability, International Budget Partnership Delaine McCullough became Head of Climate Finance Accountability at the International Budget Partnership (IBP) in May 2018, leading a new area of work that aims to help strengthen the capacity of civil society organizations and other accountability actors in countries around the world to ensure their governments manage public funds intended to address the causes and impacts of global climate change with full transparency and accountability in order to create equitable, sustainable, and resilient societies. Delaine first joined IBP in June 2008 as Communications Manager, overseeing all aspects of the organization’s communications. Her previous experience includes analyzing public finance issues as a senior policy analyst at the California Budget Project, directing marketing and communications for various international and domestic U.S. organizations, and managing programs for several environmental and economic justice organizations. She holds a MA of Public Affairs from Indiana University’s School of Public and Environmental Affairs.
  3. 3. IOM 2015 SPEAKER BIOS Kairos Dela Cruz Associate, Climate Policy, Institute for Climate and Sustainable Cities, Philippines As head of the climate policy team, Kairos works on ICSC’s policy initiatives by innovating strategies that transform policy discussions to positive actions. He led the campaign for the passage of the People’s Survival Fund, and now leads initiatives to help local governments and communities access the Fund. He also leads the organization’s convenorship of GCFWatch, a Southern CSO-led initiative established to help promote and accelerate civil society readiness to engage the Green Climate Fund. He led the implementation of AFAI in the Philippines and is responsible in ensuring that the gains from AFAI are sustained and institutionalized both in the Philippines and the region. Siragi Magara Luyama Civil Society Budget Advocacy Group, Uganda Magara Siragi Luyima is a natural resource and environmental economist holding a Master’s degree in Economic Policy Management among other qualifications with great experience in programme management, revenue tracking, natural resource and environmental management and climate change intervention advocacy in Uganda. Siragi currently works as a Budget Policy Specialist at Civil Society Budget Advocacy Group (CSBAG) with over 13 years’ experience in revenue tracking, budget analysis and policy development. He has implemented a climate finance project by World Resources Institute (WRI) has been at the forefront of climate finance budget advocacy in Uganda at national and sub-national levels. He has developed several research papers and policy briefs in economic policy and other financing fields and participated in the development of green growth strategy for Uganda. Siragi also has a teaching experience as a lecturer of Economic Policy, Research, and environmental economics at several institutions of higher learning including; Islamic University in Uganda and Kampala International University.
  4. 4. Climate Change Finance Accountability Delaine McCullough Head of Climate Finance Accountability
  5. 5. The Open Budget Index (OBI) 2017 www.InternationalBudget.org 5
  6. 6. The “Accountability Ecosystem” www.InternationalBudget.org 6
  7. 7. Three Pillars of Budget Accountability Pillar 1: Transparency Public access to comprehensive, timely, and useful information on all climate-related revenues and expenditures is essential www.InternationalBudget.org 7
  8. 8. Three Pillars of Budget Accountability Pillar 2: Participation Governments need to provide formal and informal spaces for the public to influence and monitor budget processes www.InternationalBudget.org 8
  9. 9. Three Pillars of Budget Accountability Pillar 3: Strong formal oversight Legislatures and supreme audit institutions must have the authority, independence, and capacity to fulfill their formal mandates to ensure that public funds are collected and spent as intended www.InternationalBudget.org 9
  10. 10. Budget Accountability Entry Points FORMULATION • CSOs and citizens participate in strategy preparation around the degree to which climate considerations are included in strategies (this participation can include being on planning commission boards or project approval forums) • Media & CSOs review and raise awareness of climate strategies and their inclusion in pre-budget documents • CSOs support line ministries in integrating climate into program design and budget submissions www.InternationalBudget.org 10
  11. 11. ENACTMENT • CSOs testify on climate action priorities, proposed climate-related expenditures and weights www.InternationalBudget.org 11 Budget Accountability Entry Points
  12. 12. EXECUTION • CSOs use public budgets and publicly available information on budget execution at the subnational level to monitor spending and service delivery on mitigation and adaptation projects and programs • CSOs engage local officials, legislators, and government officials on issues related to execution and performance of climate-related funds www.InternationalBudget.org 12 Budget Accountability Entry Points
  13. 13. AUDIT & OTHER FORMAL OVERSIGHT • CSOs undertake social audits of climate-related expenditure • SAIs engage civil society as part of risk assessment of public expenditure and public institutions for auditing • CSOs involved in evaluations, including by providing technical expertise, evidence, and viewpoints and/or acting as evaluators • CSOs provide independent assessment of evaluations www.InternationalBudget.org 13 Budget Accountability Entry Points
  14. 14. www.InternationalBudget.org 14 Contact Information 750 First Street, NE Suite 700 Washington, DC 20002 Email: info@internationalbudget.org
  15. 15. Accountability in Climate Finance: Uganda’s perspective Greening Governance Seminar June 12, 2019 | 9:00 – 10:30 a.m. | James A. Harmon Conference Center, WRI, Washington D.C. By Magara Siragi Luyima Budget Policy Specialist, Civil Society Budget Advocacy Group Email: smagara@csbag.org
  16. 16. Presentation Outline  About CSBAG  Climate finance landscape in Uganda  Climate change budget tagging  CSO challenges of climate finance advocacy  Recommendations
  17. 17. About CSBAG  Civil Society Budget Advocacy Group (CSBAG) is a coalition formed in 2004 to bring together CSOs at national and district levels to influence government decisions on resource mobilization and utilization for equitable and sustainable development in Uganda and the East African region.  As of 2018, the CSBAG coalition had over 100 members in all the regions of Uganda and also chairing East Africa Budget Network (EABN).  Vision: A Uganda with a people-centered budget that dignifies humanity.  Mission: Working towards ensuring that budgets at local and national levels are financed, designed, implemented and monitored to promote participatory and transparent allocation of national resources for the benefit of marginalized groups, especially the poor and voiceless women and men in Uganda.
  18. 18. CSBAG Collaboration Efforts  CSBAG signed an MoU and partnered with the Ministry of Finance Planning and Economic Development (MoFPED) and the Uganda Revenue Authority (URA), and was given the opportunity to conduct oversight and intensify citizen participation in Uganda’s budget processes.  As a result, CSBAG sits on key decision-making organs of the government, including: i. Public Expenditure Management Committee (PEMCOM): This is the highest decision- making organ of the government on public expenditure ii. Extractives Industry Transparency Initiative (EITI): A multi-stakeholder group (MSG) iii. CSBAG sits on the Sectoral Review Committees of all 19 sectors of Uganda’s Economy (all ministries) iv. CSBAG works with the Auditor General’s office to amplify audit queries voice and follow up v. CSBAG works with the National Planning Authority (NPA) to contribute citizens’ perspectives to the national priorities at national and local government vi. CSBAG works with parliament by presenting position papers about budget for all sectors
  19. 19. Key Routine Deliverables  CSBAG organises citizens across the country and East African region to participate in the planning and budgeting process (Using Participatory Budget Clubs-PBCs), citizens are in charge  CSBAG conducts budget analysis periodically, documents key budget concerns, engages with parliament/MDAs and gives alternative/citizens voice about the budget for consideration  CSBAG monitors government fund releases and follows up to check whether different agencies are putting it to the right use  CSBAG conducts quarterly service delivery monitoring and provides feedback to duty bearers (citizens participate)  CSBAG leads in economic policy debate and gives alternative views to government, etc.
  20. 20. Climate Change Finance Landscape  Uganda’s climate change finance landscape is dominated by finance inflows from external sources  Uganda has received over $100m in multilateral climate finance since 2002  The funds to date have largely been disbursed from the GEF, Adaptation Fund and the Green Climate Fund to agencies operating in Uganda, such as the UNDP, UN Environment, AfD and Acumen Inc.
  21. 21. Challenges of Climate Financing and Tracking in Uganda  The main challenge the sectoral level faces in accessing climate funds is inadequate technical capacity to prepare bankable project proposals that meet the eligibility requirements of the various climate change funding windows  The absence of appropriate data and information on climate finance in some government departments and private sector of priority still poses a challenge and hinders the country’s capacity to accurately report on the level of funds received off and on budget
  22. 22. Limited Tracking and Follow-Up of Climate Finance  Many of the climate finance projects are not easy to trace and monitor, information about them is scanty  There is no streamlined mechanism of accounting for climate finance and as such even auditor general’s reports do not have adequate information since climate finance is not coded yet  Some of the projects are implemented by NGOs and the private sector, this is not easy to follow up  It has not been easy as CSBAG to follow up on climate finance resources, since climate budget tagging has not been finalized
  23. 23. Challenges of Climate Financing in Uganda  Climate finance is appropriated under Vote 19 under the Programme of Weather, Climate and Climate Change  Climate finance funding trends are undesirable and untraceable  Very limited domestic financing. There is consistently lack of adequate budget allocation to programme interventions specifically on climate change resilience/adaptation  In the 2019/2020 approved budget estimates for the programme, only UGX 660 million (approx. USD 178,000) has been allocated to the climate change department. This shows lack of commitment for public financing of climate change interventions, despite the impacts caused
  24. 24. Climate Change Budgeting and Tagging  Climate change budgeting and tagging for enhancement of allocations to the climate priorities through mainstreamed approaches  Climate budgeting enables governments to identify, classify and track climate change and/or green growth- related public expenditures. This work has just started; slow pace though
  25. 25. CSOs’ Role in Climate Finance Advocacy  CSOs occupy the spaces between national government, specialised institutions, private actors and the public, which means they can play effective roles in preparing and helping communities undertake adaptive actions and ensuring proper accountability of climate finances spent by governments and NGOs  Being close to the people and their constituent stakeholders, CSOs can help determine the extent of the impacts of climate change on local communities, as well as their response, and raise their voice for government to act (public spending on climate change interventions)  There is need to support CSOs’ ability to effectively get involved in climate budget tagging processes so that key concerns are not left out  CSOs in Uganda can also be supported to create strong coordination networks that will conduct climate financing advocacy to enable substantial amounts of resources to be channelled to climate change interventions  CSOs can thus help government in building clear transparency and accountability mechanisms through which respective MDAs may have to account for climate finance. This requires “eye on the ball” by CSOs through regular tracking of climate finance and reporting
  26. 26. CSO Challenges in Uganda  Limited coordination and synergy among CSOs  Limited capacity of CSOs to take climate change issues forward  Limited funding for CSOs to undertake climate finance work  Limited research and climate finance tracking expertise among CSOs in Uganda
  27. 27. Recommendations to CSOs/Development Partners  CSOs should develop the ability/strategy to influence state decisions, enhance budget transparency and accountability, and effectively amplify citizens’ voices on climate change matters  There is a strong need to build the capacity of CSOs and interest them in climate change work: i.e. strengthen knowledge and capacities for climate change adaptation in Uganda through trainings and production of IEC materials  CSOs should be enabled to advocate for mainstreaming climate change within development policies and strategies of different ministries and departments  CSOs should be enabled to conduct regular climate finance tracking, trace value for money and disseminate reports to eliminate information gap and corruption  CSO should intensify research data to help decision-makers and inform development partners on what works and what does not work
  28. 28. END FOR MORE INFORMATION CONTACT: MAGARA SIRAGI LUYIMA BUDGET POLICY SPECIALIST CIVIL SOCIETY BUDGET ADVOCACY GROUP (CSBAG) P.O BOX 660, NTINDA, PLOT 11 VUBYA CLOSE NTINDA NAKAWA STRETCHER ROAD EMAIL: CSBAG@CSBAG.ORG, smagara@csbag.org WEB: WWW.CSBAG.ORG
  29. 29. Building a Community of Practice: Lessons from the Philippines on Implementing AFAI and Starting AFAI+ Angelo Kairos T. Dela Cruz Associate for Climate Policy Institute for Climate and Sustainable Cities (ICSC) www.icsc.ngo June-12-2019
  30. 30. ICSC is an international climate and energy policy group based in the Philippines advancing climate- resilient and low-carbon development.
  31. 31. • TOTAL: USD 5,226,448,843 • Adaptation: USD 1,973,269,728 • Mitigation: USD 3,253,179,115 Adaptation Mitigation
  32. 32. When International Climate Finance Enters the Country • Where does the money go? • How are funds utilized? • Are funds directly allocated for local initiatives? • Are projects responsive to the needs of vulnerable communities? • Who is accountable? • Who will track and how?
  33. 33. Adaptation Finance Accountability Initiative (AFAI)
  34. 34. • Accountability does not end, it requires continuity • New tracking now includes mitigation and gender • Both increasing • Critical to climate action, such as NDC formulation and development planning • Build a Community of Practice • With government, executive (policy direction) and legislative (oversight and power of the purse) • With other civil society organizations in the region, particularly Vietnam, Indonesia, Bangladesh, Nepal, … Adaptation Finance Accountability Initiative (AFAI+): Why the “+”?
  35. 35. Donors, Contributors, Development Partners National Budget Recipients ? ? Climate Finance is a “Plumbing Job”
  36. 36. The Game Plan
  37. 37. • Donor code and name • Recipient country • Recipient agency or organization • Disbursement and commitment in USD • Sector
  38. 38. NON-BILATERAL International Fund for Agricultural Development 65,316,000 Global Green Growth Institute 3,070,669 Global Environment Facility 901,000 Top Adaptation Commitment (in USD) BILATERAL Japan 1,562,505,069 France 169,290,195 Korea 157,763,789 Source: 2010-2017 OECD-DAC-PH data mining
  39. 39. Top Mitigation Commitment (in USD) BILATERAL Japan 2,763,109,297 EU Institutions 87,319,380 United States 58,625,106 NON-BILATERAL Climate Investment Funds 205,749,696 Global Environment Facility 26,575,241 Global Green Growth Institute 1,161,697 Source: 2010-2017 OECD-DAC-PH data mining
  40. 40. Interesting Responses from Donors We are only engaging on a government-to- government basis This project is not an adaptation initiative, please make sure that it is reclassified We cannot share the actual project documents, but here is the project’s overview report
  41. 41. Interesting Stories from Implementing Agencies • Not aware that projects are tagged as climate adaptation • Need to justify that projects are adaptation • Some have complete documentation of feasibility studies, environment and social preparedness and protection reports • One single project divided into different sub-projects of the same purpose
  42. 42. Accountability is Not an Imposition But a Shared Responsibility • Fill in information gaps through local tracking: AFAI+ data shows the bulk of climate finance, however information on program implementation are not explicitly stated unless tracked down to the national and subnational level • Engage donors: Improving climate finance reporting system makes the partnership between contributors and recipient countries more robust. The climate crisis demands shared leadership on a global scale • Strengthen country ownership: Recipient countries should work more closely with contributors to ensure committed funds are in line with the country’s development strategies and climate action priorities

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