Rockefeller convening presentation by PWC's Simon Mutinda

1. CLIMATE CHANGE ADAPTATION AND
AFRICAN AGRICULTURE GRANTEE CONVENING
24-25 February 2011
Project Name: Carbon for Poverty Reduction Initiative -
Low carbon agriculture in Africa
Grantee : PwC
Presenter : Simon Mutinda
Time allocated – 10 minutes
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2. Brief Background of the Institution
• PwC is one of the world’s largest providers of assurance, tax, and
business consulting services. We believe that the best outcomes are
achieved through close collaboration with our clients and the many
stakeholder communities we serve. 161,000 PwC people in 154
countries work hard to build strong relationships with others and
understand the issues and aspirations that drive them.
• The PwC network in Africa has presence in 31 countries with over 6,500
professional staff. We have the largest footprint of all the professional
services firms on the African continent. We are proud that all our African
firms are locally-owned and that we are committed to the development
and prosperity of the African people and economies.
• PwC Kenya has a long established practice serving government, donor
and other international financing communities, as well as the private
sector through its offices in Nairobi. Our local capability comprises over
350 professionals who are able to combine their in-depth understanding
of local business, social, cultural and economic issues with their deep
functional and industry knowledge.
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3. Your other projects/programs on climate change
adaptation
• The Climate Change Development Knowledge Network - a
programme funded by DfID and the Dutch government that supports
decision-makers in developing countries in designing and delivering
climate compatible development;
• The Global Fund to fight AIDS, TB and malaria where we act as
Local Fund Agents to the fund;
• The design and implementation of transfer payment systems in
Africa
• The development of various carbon and non-carbon monitoring,
reporting and verification methodologies for a range of organisations.
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4. Objectives of the Rockefeller Foundation Grant
• The Foundation is focussed on making a real difference in this area
through two key initiatives; the Climate Change Resilience Initiative
(CRI) and the Carbon for Poverty Reduction (CPR) initiative. The
CPR initiative seeks to help develop a low carbon and climate
change resilient agricultural sector in Africa with the ultimate
objective of reducing poverty for the rural poor. In order to realise this
objective it will be necessary to build capacity within the agricultural
sector and to facilitate access to appropriate technologies and
financial mechanisms.
• The objective of the grant is the development of an appropriate
monitoring, reporting and verification solution (MRV) and a
payment system that can be applied to the agriculture sector and
smallholder farmers specifically
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5. Key Activities Related to the Grant
• In Phase 1 an expert Advisory Panel will be set up and an assessment
undertaken of low carbon and climate resilient agricultural practices,
carbon methodologies and standards, carbon and non-carbon revenue
potential and the policy framework. These assessments will be included
in the „Carbon Markets, Regulations and Standards Review‟ report.
• Phase 2 is the design phase. Needs and options will be assessed for
MRV, fund disbursal mechanisms and carbon methodologies. Two
regional workshops will be held in Africa to generate buy-in to the new
method, MRV solutions and FDM. The outputs and lessons from Phases
2 will be set out in a Phase 2 Synthesis report.
• In Phase 3 we will provide recommendations for scaling up investment in
low carbon agriculture and produce a Project Compendium as a „one
stop shop‟ of all project outputs.
• We will also invest time to identify opportunities and funding options for
testing the new method, MRV solutions and FDM with existing
agriculture projects in Africa.
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6. Key Challenges
• Policy barriers exist in accepting agriculture-related offsets in global
and regional carbon markets and „performance-related‟ climate
finance donor channels.
• To date the agricultural sector has been unable to maximise the
investment from carbon markets, although limited opportunities do
exist in voluntary markets and donors are beginning to open up
funds.
• Despite increased focus on the subject of low carbon agriculture
there remains a lack of coherent cost effective and robust carbon
methodologies and associated monitoring, reporting and verification
(MRV) solutions capable of measuring land-use based carbon
sequestered in rural areas. Nor is there a credible and cost effective
mechanism capable of delivering payments (financial or in kind) to
farmers for carbon sequestration activities.
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7. Next steps
• Signing the grant and beginning the work
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