Download Thailand - Green Climate Fund

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16 December 2014
Green Climate Fund Readiness and Preparatory Support
Proposal
Country (or region)
Thailand
Submission date
09/06/2015
NDA or Focal Point
Focal point- Office of Natural Resources and Environmental Policy and
Planning (ONEP)
(19/08/2014) – Nomination of Focal Point
Date of NDA/FP
designation
Contact point
(the person who will be
responsible and
accountable for this
request)
Full office address
Readiness area/s
Name: Prasert Sirinapaporn Position: Director of Climate Change
Management and Coordination Division
Email:[email protected]
Tel:+662-265-6650
60/1, Soi Pibunwattana 7, Rama VI Road, Bangkok 10400, Thailand
1. Establishing and strengthening National Designated Authorities
(NDAs) or Focal Points
2. Strategic frameworks for engagement with the Fund, including
the preparation of country programmes
3. Selection of implementing entities or intermediaries, and
support for accreditation
4. Initial pipelines of programme and project proposals
5. Information Sharing, experience exchange and learning
Request summary
(In 200 words or less
please summarise your
request for readiness
support)
1 Supporting the focal point, and NDA when established, to fulfil its roles and
responsibilities following the standardised work package for NDA or focal
point strengthening;
1.1 One of the roles and responsibilities of the focal point/NDA is the
implementation of the no‐objection procedure. This activity will provide
support for the establishment of the no-objection procedure for Thailand as
per the Fund’s Initial no‐objection
Procedure. This activity will also develop ongoing engagement with
stakeholders, especially the coordination mechanism between various
ministries consistent with the Fund’s Initial best practice options for country
coordination and multi‐stakeholder engagement.
1.2 Supporting the focal point/NDA in analysing and understanding the roles
of existing institutions and identifying potential IEs and intermediaries to be
targeted. Objective of this activity is to identify high potential entities and
intermediaries that could be provided targeted orientation on the Fund’s
accreditation requirements. The activity will involve contacting and meeting a
long list of prospective entities/intermediaries and assessing their interest
and capability against accreditation norms for an eventual accreditation
by the Fund. Some potential IEs/intermediaries that have been identified
include the National Environment Fund, SME Bank, Government Savings Bank
and Kasikorn Bank. The expected outcome is to select group of high potential
IEs.
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1.3. Engaging and holding dialogue with prospective implementing entities/
intermediaries. Raising awareness about the Fund’s accreditation process,
fiduciary standards, ESS and gender policy and action plan through a
workshop with selected IEs and intermediaries. This activity will build on the
work done under the previous activity 1.2 and will familiarise the potential
intermediaries with the accreditation requirements of the Fund’s basic &
specialised fiduciary standards, environmental and social safeguards and
gender policy and action plan. It is expected that a combined outcome of
activities 1.2 and 1.3 would be the identification and application for
accreditation from at least one of the targeted entities;
Start and end dates
Duration of support
(in months)
Estimated total cost
(in US$)
2. Supporting the development of a country programme using the
standardised work package for country strategic frameworks that identifies
strategic priorities for engagement with the Fund. A priority shall be set on
identification of investment priorities that advance national priorities
articulated in the Climate Change Master Plan (2014-2050) and
11thNational Economic and Social Development Plan (2012-2016) and aligned
with the results management framework of the Fund. This activity will identify
project and programme possibilities that are transformational and aligned
with priorities of the Government of Thailand and the Fund. The activity will
also consider if projects and programmes involving the private sector in water
resource management and ecosystem adaptation projects1 that are aligned
with Thailand and the Funds priorities hold potential for development and
financing by the Fund. The outcome is expected to be a list with prioritised
project/programme ideas included in the country programme.
01/08/2015 – 31/1/2016
Six Months
101,410
SECTION A: CONTEXT
A.1
Status of GCF readiness in the country (include information on previous engagement
with the Fund and related readiness initiatives and activities)
While general institutional capacity on climate finance is high as evidenced with relatively bigger
national climate finance portfolios with GEF and the CIFs, awareness on as well as readiness for
engagement with GCF is low. Since Thailand is a regional hub for the UN and bi-laterals like
USAID, a significant number of climate finance events and initiatives have been held in the
country from which Thailand has also benefited in terms of general awareness creation. None of
the eight readiness support efforts covering Thailand that were analysed have activities that are
directly relevant to the 4 activity areas of GCF readiness programme. But some of the efforts by
GIZ, USAID, UNEP and UNDP have disseminated information on the Fund and it’s activities.
Therefore an outcome focussed, readiness support effort in Thailand could piggyback on the
generally high awareness levels and institutional capacity to make contributions to the Fund’s
operations.
Through possible follow-up from the GCCA support to Mekong River Commission’s regional project on
ecosystem challenges which also cover Thailand.
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The fund has had two engagements with Thailand, initial meeting in August 2014, which
resulted in designation of a FP and the readiness request. A subsequent meeting was held with
the FP in November 2014, to agree on the foci of the readiness support.
A.2
Description of planned project / programmes (applicable for project / programme
preparation request only)
Not Applicable at this stage of readiness support. Project/Programme preparation is not
envisaged and only identification and alignment of priority project/programme envisaged at this
stage.
SECTION B: DESCRIPTION OF ACTIVITIES
B.1
Logical framework
See Annex I which uses the standardised log frame for activity areas 1 and 2
B.2
Rationale for the request
Thailand is highly vulnerable to climate change impacts such as reduction in agriculture and food
production and reduced fresh water availability. It is also at risk from climate change hazards such
as droughts, floods, sea level rise and vector-borne diseases. Maplecroft Climate Change
Vulnerability Index (CCVI) places Thailand in the ‘Extreme Risk’ category - the highest risk class
and ranks it at 14th in the list of countries that are at highest risk to economic impacts from
climate change by 2025. Thailand is also a relatively large emitter of absolute GHG emissions at
352.86 MtCO2e. The major share of Thailand’s GHG emissions are from energy, followed by
manufacturing, agriculture and transportation.
While Thailand offers opportunities to contribute to the adaptation and mitigation portfolio of
the Fund, the readiness levels in Thailand and pipeline identification and development are at an
early stage. While the Climate Change Master Plan provides a strategic framework, more work is
needed to overlay the CCMP with the Fund’s strategic priorities to identify priority projects and
programmes.
Institutions in Thailand including private sector have considerable strengths and Thailand was
ranked at 26 out of 189 in the World Bank’s ease of doing business index. The domestic credit
provided to private sector as a share of GDP in 2013 was 154.4% and investment in
infrastructure with private sector participation has traditionally been high in Thailand in sectors
such as energy, transportation, ports and water supply. The financial system in Thailand is
dominated by the commercial banks and financial institutions which have 51.3% of asset share
and the total domestic credit provided by the financial sector as a share of GDP is 173.3%.
Despite having strong government, financial and private sector institutions playing a role in the
infrastructure sectors such as energy, transportation, ports and water supply, not many
organisations have been active in implementation or intermediation of international climate
finance. No institutions from Thailand have applied for accreditation by the GEF or the
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Adaptation Fund or have signed up to Equator principles or UNEP-Financial Initiative principles.
Some of this can be explained by the general limited engagement the Thai financial sector has
had with global finance ecosystem since the Asian financial crisis. Therefore while institutional
capabilities exist, there has been limited international climate finance engagement. IFC of the
World Bank group have supported private sector led Solar energy and mass rapid transportation
denoting that activity levels are increasing. So the re-engagement of the Thailand’s financial
institutions with the global financial system and the public and private sector activity levels in
infrastructure finance provides an opportunity for the Fund and its readiness programme to
engage Thailand making tangible contributions its portfolio and accredited entity pool.
SECTION C: BUDGET (include total cost and share of GCF funding)
Projected expenditures (US$)
1. Consultant fees: 40,600
2. Travel & per diem of consultants: 12,200
3. Workshops (venue, catering, travel, per diem, materials, etc): 30,400
4. Other costs (including audit costs): 5,100
5. Contingency: 5,100
6. Project management costs (GIZ): 8,100
Total: 101,500
SECTION D: IMPLEMENTATION PLAN
D.1
Implementation and disbursement schedule
The proposed activities will be implemented in a 6 month period by GIZ, a delivery partner selected by
the focal point/NDA. A detailed implementation will be provided in an inception report.
Disbursement will be made directly to the GIZ, the delivery partner in two equal tranches:
 The first disbursement, which amounts US$ 50,750 will be transferred upon the submission of an
inception report, in form and substance acceptable to the Fund, which includes detailed
implementation plan, procurement plan and budget;
 The final disbursement of US$50,750 will be made upon submission of a completion report and
financial report, including an audited expenditure statement.
The reports, including outputs submitted with the reports, will be reviewed by the Secretariat
before disbursement.
D.2
Implementation arrangements(include delivery partners, opportunity for South-South
knowledge sharing and transfer where applicable)
Delivery is suggested to be through GIZ, the German Technical Cooperation Agency which is already
active in climate change and climate finance readiness support in Thailand. This is indicated in the letter
from Thailand dated 19th February 2015. The Fund will have a role in the decisions on acceptance of
deliverables.
D.3
Procurement plan
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Thailand focal point has recommended to use GIZ as the delivery partner due to their active presence
and engagement in Thailand. A procurement plan that follows the standardised template is under
development and will be submitted alongwith the inception report.
SECTION E: COUNTRY OWNERSHIP & STAKEHOLDER ENGAGEMENT
E.1
Alignment with national plans and strategies
Climate Change considerations have already been integrated into the planning framework and processes
in Thailand. The readiness support will be aimed at aligning Funds operations in Thailand with Thailand’s
Climate Change Master Plan (2014-2050). The current 11thNational Economic and Social Development
Plan (2012-2016) also lays emphasis on climate change and targets mitigation activities. Alignment will
be established with the national plan and the identified projects and programmes.
E.2
Stakeholder engagement (e.g. civil society, sub-national and national government,
private sector, intended beneficiaries)
Stakeholder consultations are planned for both sets of activities - identification of projects/programmes
and selection and support to IEs/Intermediaries. ONEP will ensure that civil society, sub-national and
national governments, private sector and financial institutions will be involved in the consultations.
SECTION F: MONITORING & REPORTING PLAN
The implementation of activities by GIZ will be under the supervision of the focal point/NDA and the
project outputs will be reviewed and commented at the draft stage by the Fund. Since the duration of
the assistance is envisaged to be only six months an interim progress report will be made on completion
of 3 months and a final project report will be developed after 6 months and not later than 8 months by
the focal point/NDA.
The monitoring of the project activities and outputs will primarily be based on the project reports and
the impacts at the project/country level and the fund level will be monitored using information available
from decision making processes at the Fund viz. Board decisions, Board submissions, On-line
Accreditation System etc. supplemented by inputs from the relevant divisions of the fund. The project
activities and outputs will primarily be monitored by the focal point/NDA whereas the outcomes at the
project and fund level will be monitored by the Fund.
SECTION G: RISK & MITIGATION MEASURES
There are two primary risks:
1) There will be limited interest and engagement of national institutions in Thailand as prospective IEs
and intermediaries.
2) The identified projects/programmes may not be developed into proposals to the Fund by accredited
IEs and intermediaries.
These risks will be addressed through a strategy to target a much larger number of national agencies and
programme areas to ensure the intended results are achieved.
Secondly national consultants and agencies that will support the readiness programme will have active
engagement with agencies – possible IEs, intermediaries and other stakeholders to improve the
ownership and buy-in;
The mid-project review will also re-assess the risk situation and if the probability has increased or risk has
precipitated, mitigation measures will be developed and implemented.
SECTION H: KNOWLEDGE MANAGEMENT AND COMMUNICATION PLAN
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Efforts will be made by the focal point/NDA and the Fund to promote key achievements of the readiness
support to Thailand through mainstream and electronic media. Any significant electronic media coverage
will also be promoted through the Fund’s Twitter Account.
A brief report about the workshops will also be included in the readiness newsletter and disseminated to
the Fund’s stakeholders. The final project report will be shared internally within the Country support
team to share the learning.
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Annex I. Logical Framework
Description
Indicators
Outcomes
1
Focal point/NDA capacity strengthened to undertake Fundrelated responsibilities
2
Strategic framework for engagement with the Fund
developed
1.1 Knowledge acquired on the country’s climate- and development-related needs,
priorities, strategies, plans, relevant institutions and stakeholders
1.2 Capacity developed to facilitate and coordinate a country coordination
mechanism and multi-stakeholder engagement that results in identification of
priorities and recommendations of (or no-objections on) funding proposals
1.3 Capacity and systems developed to monitor, evaluate and maintain an overview
of activities of the Fund and other relevant funding mechanisms and institutions
working in the country
1.4 Capacity to disseminate information, including in local languages, on the
operational procedures of the Fund to country stakeholders
2.1 Country programme developed and endorsed by country coordination
mechanism
2.2 Focal point/NDA-led stakeholder engagement process undertaken
Outputs
1.1
1.2
2.1
2.2
Presentations or other climate and development-related
information materials
Summaries of meetings of country coordination mechanism
and multi-stakeholder engagement, including list of
participants
Country programme, including elements provided in the
Fund’s Initial Guidelines for Country Programme
Summaries of meetings of multi-stakeholder engagement,
including list of participants
1.1.1 High levels if awareness and recognition of the Fund with stakeholders in
Thailand;
1.2.1 Country coordination mechanism established and regular coordination
meetings being held;.
1.2.2 At least one national entity nominated for accreditation to the Fund
2.1.1 Thailand country programme provides strategic guidance to Fund’s activities
in Thailand ;
2.2.2 All relevant stakeholders engaged in the development of country
programme
Activities
1.1Establish a no-objection procedure for Thailand and a country coordination mechanism, especially between various government ministries and other
stakeholders;
1.2Identification and facilitating application and nomination for accreditation of competent national entities;
2.1Supporting the development of a Thailand country programme;
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