Adaptation Fund Board accredits National Implementing Entity in Chile and approves USD 12.3 million in funding for two climate change adaptation projects
(Bonn, Germany, 14 December, 2012) At its 19th meeting, which concluded on Friday in Bonn, Germany, the Adaptation Fund Board signaled the continuing success of its direct access modality with the accreditation of the International Cooperation Agency of Chile (AGCI) as the 15th National Implementing Entity (NIE) of the Fund. The Fund continues to be an innovative leader in the field of climate finance by providing developing countries with direct access to the resources that are critical to helping vulnerable communities adapt to the adverse effects of climate change.
During its meeting, the Adaptation Fund Board approved USD 12.3 million in grant funding for adaptation projects in Argentina and Sri Lanka, bringing the total funding approved for projects and programmes to more than USD 178 million since the Fund began operating in 2009. The project in Argentina, to be implemented by the World Bank, aims to reduce the climate vulnerability of agro-ecosystems in the southwestern part of Buenos Aires Province. The Sri Lanka project, to be implemented by the World Food Programme, seeks to reduce the climate vulnerability of rural communities and ecosystems in the Mahaweli River basin.
For the first time since operationalization of the Fund, the funding demands for recommended projects and programmes by Multilateral Implementing Entities outstripped the resources available for implementation. The Board had anticipated such a circumstance arising in light of the sharp fall in its main source of funding from Certified Emission Reductions (CERs) and took the decision of establishing a “pipeline,” or waiting list, of projects and programmes which it hopes can be funded when new resources become available. The Board noted that four projects and programmes could not be approved during the current meeting due to the limited funding available, and placed these in the pipeline. These projects and programmes, to be implemented by the United Nations Development Programme (UNDP), are designed to address urgent adaptation needs in Guatemala, Cuba, Seychelles and Myanmar.
The Board also discussed a strategy for building up the level of funding available to meet its stated goal of raising USD 100 million for the Fund by the close of 2013. As part of this effort, a new partnership has been formed with the United Nations Foundation to allow the Fund to collect private donations online.
“The collapse in carbon price marks a critical juncture for the Adaptation Fund, and there is concern over the Fund’s ability to continue providing sustainable and predictable funding for adaptation projects. The Board is exploring fundraising options and doing everything possible to ensure that it can fund the projects in the pipeline and continue to meet the urgent adaptation needs of developing countries”, commented Luis Santos, outgoing Chair of the Adaptation Fund.
The Board decided to appoint Mr. Hans Olav Ibrekk (Norway, Western Europe & Others Group) as its new Chair and Mr. Mamadou Honadia (Burkina Faso, Africa) as its new Vice-Chair. The Board made the following appointments to its two committees and the Accreditation Panel:
Ethics and Finance Committee
Chair: Ms. Medea Inashvili (Georgia, Eastern Europe)
Vice-Chair: Ms. Su-Lin Garbett-Shiels (United Kingdom, Annex I Parties)
Project and Programme Review Committee
Chair: Ms. Laura Dzelzyte (Lithuania, Eastern Europe)
Vice-Chair: Mr. Jeffery Spooner (Jamaica, Latin America and Caribbean)
Accreditation Panel
Chair: Mr. Philip Weech (Bahamas, Latin America and Caribbean)
Vice-Chair: Ms. Angela Churi-Kallhauge (Sweden, Western Europe & Others Group)