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Enhancing the implementation of the findings of Technology Needs Assessments Bert van der Plas UNFCCC Training of trainers workshop on preparing technology transfer projects for financing Vienna, 29 September – 1 October 2008 1 Overview • Technology transfer under the UNFCCC • Technology transfer framework • Technology needs assessments • Innovative options for financing the development and transfer of technologies • Implementing TNAs • UNFCCC guidebook on preparing technology transfer projects for financing • Training programme on preparing projects for financing 2 Technology Transfer under the UNFCCC • Technology transfer guided by Article 4.5 of the Convention “The developed country Parties … shall take all practicable steps to promote, facilitate and finance, as appropriate, the transfer of, or access to, environmentally sound technologies and know-how to other Parties, particularly developing country Parties, to enable them to implement the provisions of the Convention…” • At COP 7 Parties reached a consensus – Adopt a framework for meaningful and effective actions to enhance the implementation of Art. 4.5 of the Convention (“Technology transfer framework”) – Establish an Expert Group on Technology Transfer (EGTT) – Provide financial support to technology transfer activities through GEF (climate change focal area and special climate change fund) 3 Technology Transfer framework • Five key themes and areas of work – Technology needs and needs assessments – Technology Information – Enabling environments – Capacity building – Mechanisms • New areas of work – Innovative options for financing the development and transfer of technology – Technologies for adaptation to climate change 4 Technology needs assessments (TNAs) • Synthesis of technology needs assessments identified by non-Annex I Parties – Highlights priority technology needs to reduce GHG emissions and facilitate adaptation to the adverse impacts of climate change based on information contained in 23 TNAs and 25 national communications submitted by NAI-Parties – Draws attention to specific barriers to technology transfer and suggests measures to address them, including through capacity-building – Highlights ways used to involve stakeholders in a consultative process to conduct TNAs, including the methodologies and criteria used to prioritize technology needs 5 0 10 Other - 4.2% 20 Miscellaneous 30 Waste management - 29.2% 40 Miscellaneous Other Transport - 50% Agriculture & forestry - 33.3% 100 Crop management Forestry Freight Unspecified public transport Facilities Management & policy improvements Industry - 79.2% Vehicles Aluminium industry Fuel switching Mining Others Bread making industry Furnaces Steel industry High efficiency motors Transmission - 25% Energy - 91.7% of Parties Cement Production Miscellaneous industries Boilers Industrial energy efficiency Miscellaneous District heating 50 Buildings & residential - 87.5% 60 Other Green buildings materials & design Energy efficient appliances Other Advanced fossil fuel Legacy improvements 70 Coal 80 Generation - 91.7% 90 CT Unspecified power generation GTCC DSM CHP (cogeneration) RET Per cent of Parties TNAs | What are commonly identified mitigation technologies in TNAs? 6 TNAs | What are main barriers to technology transfer identified by country? 7 Innovative options for financing the development and transfer of technology • Purpose: Improve access to financing for technology transfer projects and programmes both from public and private sources • Activities: – Workshops on innovative financing – A ‘disconnect’ exists among development professionals, entrepreneurs who identify projects and those who provide resources (services and funding) – Many ‘fit for purpose’ tools and many general ‘how-to’ instructions but there exists a need for a more complete, accessible, balanced, process oriented and modular guide to preparing and presenting proposals – UNFCCC Guidebook on preparing technology transfer projects for financing (“Practitioners’ guide”) – Hands-on training on preparing project proposals for financing – Private Financing Advisory Network (PFAN) 8 Implementing TNAs TNA’s Project ideas ENABLING ENVIRONMENT Technical assistance: TT:CLEAR • Practitioners guide • Training and coaching Project financing proposals Matchmaking • Helpdesk Financial assistance: • Public (multilateral, bilateral) • Private Financial closing • Project finance platform 9 Implementing TNAs | What are main opportunities for financing the implementation of TNA findings? •Trust Fund •SCCF •LDCF Adaptation Fund FINANCIAL MECHANISM (GEF) CDM/JI BILATERAL • ODA (OECD/DAC) • Seed financing • Green Financing Convention and KP MULTILATERAL • UNEP, UNDP, UNCTAD • World Bank Carbon Finance, CEFV, CESF • IFC, EBRD • EU COMMISSION (FP) PPPs Export Credit Agencies PRIVATE SECTOR • Commercial banks • Micro financing • Insurances 10 UNFCCC guidebook on preparing technology transfer projects for financing • Challenges for project developers – How to improve access to financing for project ideas identified from TNAs? – How to convert project ideas to project proposals for financing? – How to present project proposals for financing to finance providers? • Objectives – Improve access to financing for technology transfer projects and programmes – Assist project developers in DC in preparing project proposals for financing – “Better projects, increased funding and shorter funding cycles enabled through enhanced toolkits” • Target groups Project developers (“Champions”) Proposal Finance providers (“Enablers”) 11 Training programme on preparing projects for financing • Objectives – Improve access to financing for projects related to environmentally sound technologies to mitigate and/or adapt to climate change – Strengthen the capacity of local project developers in developing countries in preparing proposals for financing – Improve the quality of project proposals • Approach – Build on existing training material (UNFCCC guidebook, etc.) – Collaborate with international organizations (UNIDO, UNITAR, CTI) – Staged approach initiated by a Training of Trainers (ToT) workshop followed by regional training workshops – Feed real-world project proposals into the workshops – Coach participants in project preparation before/during/after workshops 12 THANK YOU! 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