CLIMATE CHANGE: CAPACITY BUILDING AND FINANCING

Transcription

1 CLIMATE CHANGE: CAPACITY BUILDING AND FINANCING Endah Murniningtyas Deputy Minister for Natural Resources and Environment Presented at the INTERNATIONAL WORKSHOP ON FOREST CARBON EMISSIONS JAKARTA 3-5 MARCH 2015

2 CLIMATE CHANGE ACTIONS NATIONAL ACTIONS NATIONAL MITIGATION ACTIONS NATIONAL ADAPTATION ACTIONS LOCAL MITIGATION ACTIONS LOCAL MITIGATION ACTIONS 15 STRATEGIC ACTION AT THE LOCAL LEVEL

3 CAPACITY BUILDING AWARENESS What is GHG Why need to be taking care of KNOWLEDGE Sources, why/in what way What to do Who/what institutions, partners KNOWHOW Plan the activities to be funded and support mainstream into the development plan Estimated emission reductions format Monitor the activities results report format Bimonthly-quarterly workshop Secretariat RAN/AD GRK for support at anyti

4 COLLABORATIONS National Coordinating team for CC SUPPORT FROM PARTNERS: JICA, GIZ, CDKN, ETC RAN/RAD GRK SECRETARIATE M-A action implementations Experts: national and local GOVERNMENT BUDGET

5 CC FUNDING

6 Planning and Funding Mechanism for Climate Change Program Climate Change Program RPJMN RKP RKP RKP RKP 2010 RPJMN RKP RKP RKP RKP 2014 RPJMN s ICCTF FUNDING Comm./ Gov Funding Loan Grant private/ NGO/CSR CDM Debt Swap Presented at the Kick-off Meeting of Asia Pacific Gateway to Climate Change and Development, Bangkok, Thailand, 23 April

7 Climate Change Funding in State Budget Indicative budget for climate change in National Medium Term Development Plan (RPJMN) is USD BILLIONS before issuance of Perpres No. 61/2011 on RAN-GRK, distributed in 16 line ministries/agencies No. Activity RPJMN (USD BILL) 1 Adaptation Activities Mitigation Activities Supporting Activities 0.40 No. Activity RKP 2011 (USD BILL.) TOTAL Total budget allocation for climate change in Annual Development Plan (RKP) is USD BILLIONS, exceeding USD BILLIONS budget allocated in RPJMN after issuance of Perpres No. 61/2011 on RAN-GRK, distributed in 16 line ministries/ agencies RKP 2012 (USD BILL.) RKP 2013 (USD BILL.) RKP 2014 (USD BILL.) Total (USD BILL) 1 Adaptation Activities Mitigation Activities Supporting Activities TOTAL

8 Indonesia Climate Change Trust Fund (ICCTF) Establishment : 3 September 2009 Funding: Blend the state budget and international contribution Goal: To support the GoI efforts to reduce GHG emissions, move the country towards a low carbon economy, and adapt to the negative impacts of climate change. Purpose: Mainstreaming CC issues into national, provincial & local development planning Implementing GHG emissions mitigation and adaptation initiatives Land Based Mitigation Investment Windows Energy What makes ICCTF Unique Resilience and Adaptation 1. Strategic Role Implementation of RAN & RAD-GRK Support to implementation of RAN-API NAMAs support facility 2. Triggering Initiatives Alternative funding mechanism to blend international and domestic funds Strategic and innovative pilot projects funding for further replication 3. Direct Access Endorsement to be National Implementing Entity for enhance direct access (eq. AF, GCF)

9 Establishment of The LWA ICCTF Ministerial Regulation (Permen) No. 3/2013 on the establishment of Indonesia Climate Change Trust Fund/Lembaga Wali Amanat Dana Perubahan Iklim; Ministerial Decree (Kepmen) No.33/M.PPN/HK/03/2014 on ICCTF Board of Trustee; The board includes representatives of government, private sector, universities, NGO and contributing donors; Bank Mandiri is the National Fund Manager.

10 FLOW OF FUNDING *) APBN: GOI s Contribution *) UK, AusAid, SIDA, Denmark, UNDP, USAID, Germany, CDKN

11 Achievements and Results 1. ICCTF Funded Project Between , ICCTF has funded 6 (six) pilot projects, with each project representing ICCTF s priority windows: Land-based Mitigation, Energy and Adaptation. Phase I Projects ( ) 1. Research and Technology Development of Sustainable Peat Management to Enhance Carbon Sequestration and Mitigation of Greenhouse Gas Emissions - (Ministry of Agriculture) 2. Energy Conservation and CO2 Emission Reduction in Industrial Sector - (Ministry of Industry) 3. Public Awareness, Training and Education Program on Climate Change Issue for All Level of Societies in Mitigation and Adaptation (BMKG) Phase II Projects ( ) 1. Sustainable Management of Degraded Peatland to Mitigate Greenhouse Gas Emission and Optimize Crop Productivity (Ministry of Agriculture) 2. Health Vulnerability: Assessment, Mapping and Community-Based Adaptation on Dengue Haemorragic Fever and Malaria Diseases (Ministry of Health) 3. Enhancing Sustainable Management of Community-Based Wood Pellets Production as Biomass Energy to Support Low Carbon Economy and Climate Change Mitigation in Bangkalan, Madura, East Java (Ministry of Forestry)

12 2. Small Grant Programs 2014 In May 2014, ICCTF s Steering Committee agreed to fund six projects under Small Grant Program (SGP) scheme. With the SGP scheme, ICCTF channels around Rp 500 million per project to NGOs and research institutions working on climate change mitigation and adaptation projects 6 (six) NGOs : Yayasan Arupa, IPB, Politeknik ATMI, Yayasan Humaniora, Yayasan Pikul, and Bingkai Indonesia. The SGP marks a milestone in ICCTF s portfolio as it is the first time the trust fund channels funds to NGOs and research institutions

13 3. Other Activities 1.Initiate and engage policy dialogues to develop national and local policies on GHG emission reduction among stakeholders. 2.Extensive public relation activities, including active participation at COP, other international events, journalist & media award, the website ( etc.

14 Best Practice and Lessons Learned The establishment of ICCTF is strategic and in-line with the international trend of establishing national funding entities to manage and coordinate international sources of climate change financing; Indonesia was amongst the first countries to set up a dedicated nationally administered institution to direct finance to it s climate change response strategies; ICCTF model has attracted international attention and countries who want to learn to set up trust fund (eg. Columbia, Philippines, Vietnam, Spain and others; The collaboration with the media to disseminate information and communication the message on climate change, so that can attract a positive response from the private sector and local government.

15 Milestones of the ICCTF ( ) Innovation Phase : institutional development: - PREP-ICCTF Co-financing with private sectors, channels funds with others Transformation Phase: - Developing as national trust fund - Pioneering and up-scaling to private sector - Executing pilot projects Fund channeling for international climate funds (as NIE) -Access to other international climate funds

16 The Way Forward Implementation of Business Plan for ; The GOI contribution: approx. USD1.5 million; Fundraising activities to secure new financial commitment continue, targeting at international funds, development partners, and other climate change funding mechanisms e.g.: Adaptation Fund Green Climate Fund, NAMAs Facility, EU Global Efficiency Renewable Energy Fund, etc

17 TERIMA KASIH