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Adaptation Financing post 2012 Some thoughts Saleemul Huq (Senior Fellow, Climate Change Group, International Institute for Environment and Development) european capacity building initiative ecbi european capacity building initiative initiative européenne de renforcement des capacités ecbi for sustained capacity building in support of international climate change negotiations pour un renforcement durable des capacités en appui aux négociations internationales sur les changements climatiques • • • • Nature of adaptation funding Existing funding under the UNFCCC Existing funding outside the UNFCCC Key issues for funding for COP15 – – – – Amounts needed Potential Sources Cannels of funding Who and what to fund european capacity building initiative ecbi Contents european capacity building initiative ecbi Nature of adaptation funding • Different from mitigation • Already has history in UNFCCC • Mainly public sector (very little role for private sector) • Focus on most vulnerable countries, ecosystems and communities european capacity building initiative ecbi Existing funding under UNFCCC • LDCF: For NAPAs in LDCs • SCCF: For all developing countries, adaptation projects only • AF: From adaptation levy on CDM • GEF/SPA: 50 Million pilot fund now ended • • • • World Bank : PPCR Bilaterals: DFID. DANIDA, SIDA, etc EC: GCCA Non-Govt: Foundations european capacity building initiative ecbi Existing funding outside UNFCCC • • • • Amounts needed Potential sources Channels of funding Who and what to fund european capacity building initiative ecbi Key issues for funding • Various estimates: – – – – World Bank: USD 10-40 B UNFCCC: USD 28-67B OXFAM: USD 80B Martin Parry et al: Much higher european capacity building initiative ecbi Amounts needed • Various proposals – – – – – Norway: Levy on AAUs G77:Assessed contributions from Annex 1 LDC: IAPAL Mexico: Contribution from all countries Switzerland: Carbon tax european capacity building initiative ecbi Potential sources • Various proposal/options – – – – Under UNFCCC with new body Using existing bodies under UNFCCC Using channels outside UNFCCC (e.g. WB) Mixture of channels european capacity building initiative ecbi Channels for funding • What? Various options/proposals: – Projects? – Programmes? – Countries? european capacity building initiative ecbi What to fund • Various option: – – – – – Priority to LDCs Priority to LDCS and SIDS Priority to LDC, SIDS and Africa Developing new list of vulnerable countries All developing countries european capacity building initiative ecbi Who to fund? • Various proposals: – Include Adaptation funding as part of ODA – Adaptation funding to be “new and additional” to ODA (above 0.7%) – Allow some (e.g. agreed percentage) of ODA to count towards adaptation funding obligations european capacity building initiative ecbi Relationship of Adaptation funding to ODA