80686 CF-Assist Annual Report 2013 Capacity Building for Low Emissions Development Capacity Building Institutional Development Project Methodologies Climate Change Carbon Market Development Knowledge Sharing Technical Assistance A Climate Finance Contents Foreword. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2012-13 At-a-Glance. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 1. Carbon Finance-Assist: Evolving Work Program. . . . . . . . . . . . . . . . . . . . . . . . 5 1.1. Climate Finance Readiness 1.2. LED Policy Instruments and Carbon Pricing 1.3. Cities and Climate Change 2. Work Program Activities 2012-13 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 2.1. Overview of Work Program Activities 2012-13 2.2. Climate Finance Readiness 2.3. LED Policy Instruments and Carbon Pricing 2.4. Cities and Climate Change 3. Future Outlook. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20 Annex 1: List of CF-A Events for 2012–13 Annex 2: Distribution of Events and Event Participation Annex 3: List of Acronyms 1 Foreword Neeraj Prasad Manager, Climate Change Practice World Bank Institute Turn Down the Heat, a report prepared Scaling up action to enable poverty resources are being mobilized, is equally with initiatives such as the Partnership in the fall of 2012 for the World Bank alleviation and economic growth important. for Market Readiness (PMR), the Energy by the Potsdam Institute in Germany, while reducing human dependence on Sector Management Assistance Program reminds us of the urgency with which fossil fuels and enhancing resilience of The Carbon Finance-Assist (CF-Assist) (ESMAP) and the Climate Investment the world needs to address the climate communities, is a challenge that requires program, hosted in the World Bank Funds (CIF). change challenge: unless we can achieve finding innovative solutions, fostering Institute Climate Change Practice or come very close to global peaking of access to knowledge and learning, and (WBICC), is focused on these outcomes. CF-Assist’s work is also leveraged by GHGs by 2020, there will be very little engaging a range of stakeholders. Initially designed to help countries various external partner institutions, hope of limiting average temperature engage in carbon markets CF-Assist and fully aligned with the needs of our increases above pre-industrial levels to Besides the continuous efforts in the has grown in scope and now provides clients and priorities of our donors. Let two degrees Celsius by 2100. In fact, we international arena for a strong global a range of complementary capacity me take this opportunity and thank our are currently on a path to a four degrees deal, a growing number of countries are building services crucial to address the clients and partners for their continuous warmer world by the end of this century. also taking voluntary action, and efforts evolving climate change action agenda. trust in our work, and our donors across sectors and stakeholder groups to Working in the priority areas of Climate Switzerland and Spain for their continu- The global community is moving, formulate Low Emissions Development Finance Readiness, Low Emissions ing support to CF-Assist, which allows albeit in small steps: COP-18 in Doha Strategies (LEDS) and design the first Development Policy Instruments and us to address the ever-growing demand may not have provided the world Nationally Appropriate Mitigation Carbon Pricing, as well as Cities and for knowledge and skills through a mix with breakthrough results in terms of Actions (NAMAs) are already underway. Climate Change, CF-Assist supports of comprehensive capacity building ambition levels, but the Doha Gateway To leverage these strategies and plans, stakeholders to identify, learn, assess and services. We also thank previous demonstrates that the world’s govern- there are three key requirements: capac- take the climate change actions most contributors to CF-Assist who helped set ments are still committed to addressing ity, innovative solutions and financing. appropriate in their specific contexts. up the early interventions. the daunting tasks ahead and to finding While the provision of long-term finance solutions to the challenges of integrat- is essential, identifying and fostering The program is a key provider of knowl- ing climate change mitigation and innovative solutions and building edge products and capacity building adaptation in development actions. capacity in countries to be climate- work, complementing the efforts of the finance-ready once adequate monetary Bank’s regional units, and in alignment 2 2012-13 At-a-Glance Carbon Expo 2012 World’s largest annual climate finance and carbon market platform—2,600 participants from 95 countries Regional Carbon Fora Held in South Asia, and East Asia and Pacific—total 400 participants Regional LEDS Practitioner Networks Launched in Asia, Latin America, and Middle East and North Africa—more than 250 members from 33 countries e-Learning Deliveries and development of e-learning courses on: Low Emissions Development; Carbon Finance; Cities and Climate Change; City Energy Technical Assistance / Project Support • Rio Low Carbon City Development Program • Colombo, Sri Lanka, Green Growth Program • Leadership for Climate Change Program in Malawi 3 4 1. Carbon Finance-Assist: Evolving Work Program T he Carbon Finance-Assist (CF-Assist) Since 2009, CF-Assist has expanded this Responding to the political, economic program—comprising the CF-Assist original scope and set strategic priorities and technological opportunities and multi-donor Trust Fund1 supported that are influenced by various develop- challenges, CF-Assist’s strategic work by Switzerland, Spain, Denmark, ments, such as the ongoing negotiations program has further evolved over Australia and France, and the Prototype for a new international climate change the last year and now focuses on the Carbon Fund (PCF) plus program—was regime, the World Bank’s Strategic following three priority areas: launched in mid-2005. Framework on Development and Climate • Climate Finance Readiness Change, poverty eradication and green Initially, CF-Assist focused on helping growth agendas. • Low Emissions Development (LED) developing countries and economies Policy Instruments and Carbon Pricing in transition to effectively participate • Cities and Climate Change in carbon markets and benefit from the flexible mechanisms under the Timeline of Carbon Finance-Assist, 2005-15 Kyoto Protocol, specifically the Clean Development Mechanism (CDM) and Strategic work program (2013-15) Joint Implementation (JI). • Climate Finance Readiness • Policy Instruments & Carbon Pricing Donor Contribution (in USD $) • Cities & Climate Change Switzerland $7,020,599 39% Australia $1,314,864 Scaling up carbon finance (2010-12): 7% • Low Emissions Development (LED) Denmark • Cities & Climate Change $425,000 • Carbon Market Instruments 3% • Structured Learning France-MEDD Current portfolio of 8 e-courses; $178,560 Additional 4 courses in pipeline 1% CDM capacity building (2006–2009): Spain France-AFD • Institutional development • Knowledge Exchange $8,269,210 $752,220 • Project Portfolio e.g. Global Carbon Expo/Regional 46% 4% • Fora & Workshops Fora on NMM, NAMAs, LEDS Funds received as of April 30, 2013: $17,960,453 • Collaborative Leadership (Source: Donor Center) e.g. Regional LEDS Practitioner F2F training; Networks; Rio LCCDP Carbon Expo / Fora; TA 1 As of March 2013, only Switzerland and Spain are CF-Assist donors. 2005 2009 2013 2013–15 5 1. Carbon Finance-Assist: Evolving Work Program 1.1. Climate Finance Readiness instruments will be essential to advance of learning products and knowledge a country’s climate finance readiness exchanges on Climate Finance, LEDS and It has become evident that carbon process, and when combined with NAMAs. finance alone, particularly under the available technology and financing, it current carbon prices, will not deliver could potentially bring the world back Thus, our objective is to strengthen the emission reductions at the scale needed, to a more climate-friendly development capacity of stakeholders to identify and so governments under the United path. prioritize LED opportunities, enable them Nations Framework Convention on to use climate finance in a transforma- Climate Change (UNFCCC) have encour- With this as a priority area, we are sup- tive way, and enhance climate mitiga- aged each other to develop instruments porting countries in their climate finance tion actions through carbon pricing of the future: LEDS and NAMAs. These readiness process through a provision mechanisms. Drawing on this overall development objective, we aim to: • Enhance clients’ capacities to access international climate finance Concepts and mainstream into national development investments. Low Emissions Development Strategies (LEDS)… … describe broader, forward-looking national economic development plans or strate- • Improve knowledge of concepts, gies in support of low emission economic growth. They are the sum of actions that opportunities and challenges related aim to help bend the curve toward a low emissions pathway vis-à-vis a business as to NAMAs. usual approach and intend to help advance national climate change action policies in • Facilitate the understanding of carbon a strategic manner, in alignment with development and poverty alleviation priorities. pricing mechanisms and how they can contribute to achieving countries’ low Nationally Appropriate Mitigation Actions (NAMAs)… emissions development goals. policies. Many of these policies do not … are emerging voluntary action programs by countries that align with their core only provide Greenhouse Gases (GHG) development goals and that provide greenhouse gas mitigation co-benefits—they were 1.2. LED Policy Instruments and reduction benefits, but can lead to a introduced in the context of the UN climate negotiations, and encompass sectoral Carbon Pricing range of co-benefits such as reduced mitigation programs and policies. air pollution, increased efficiency and Countries are exploring innovative productivity, reduced energy costs, and Climate Finance… and cost-effective ways to scale-up green jobs. … entails public and private, domestic and international capital flows in support of emission reductions and foster private low-emission, climate-resilient development pathways. In order for countries to be sector investment through a range of In this preeminent area, we are aiming able to utilize climate finance as and when it becomes available, adequate structures, policy instruments, such as voluntary to strengthen the capacity of stakehold- strategies and plans need to be in place—in other words, they need to be prepared for approaches, regulatory approaches, ers (policymakers, energy planners and climate finance, i.e. be climate-finance-ready. market-based instruments, and research climate change development practi- and development (R&D) support tioners) to identify, assess and utilize 6 diverse types of policy and market-based emissions. Each planning, policy and instruments in support of low emission infrastructure decision of a city is likely development goals, and specifically aim to influence the long term trends of to: GHG emissions—this, together with their ability to act at times faster and • Raise awareness among policy makers more efficiently over national entities on the rationale for supporting LEDS as they can be governed by local, rather through voluntary, regulatory and than national or international, policies, market-based instruments; make cities major players in the climate • Enable open access to knowledge and change action arena. experience through a combination of state-of the-art e-courses, Therefore, we are supporting the knowledge products, tools, webinars preparation of low carbon development and face-to-face exchanges that will strategies for cities and helping them facilitate the identification, evaluation establish institutional frameworks for and implementation of LED policy implementation, as well as fostering Business Lines instruments suitable to country- development of programmatic carbon To support our clients in these priority areas, a capacity building package comprised specific contexts; finance programs where appropriate. of learning products and services, South-South knowledge exchanges, practitioner • Identify innovations and promote networks and support of actions on the ground, is vital. This can be implemented lessons learnt and good practice with Our capacity building objective is to through interdependent business lines—Structured Learning (i.e. e-learning and regard to policy instruments for LED; support the development of sustainable, face-to-face training); Knowledge Exhange (i.e. global, regional and local fora; and • Foster knowledge exchange among climate friendly cities. We aim to virtual practitioner dialogues such as webinars); and, Collaborative Leadership (i.e. clients, drawing from the experience achieve this by providing knowledge comprehensive capacity building support for LED in priority areas). of World Bank Operations (including services, technical capacity support the PMR and other teams), partners and practical insights to urban sector Partnerships and client countries. professionals (including city government In implementing its work program, besides aligning activities closely with ongoing officials, NGOs, technical institutions World Bank programs, CF-Assist has formed strategic partnerships and is collabora- 1.3. Cities and Climate Change and consultants) on how to develop and tively working with various external partners—e.g. the UNFCCC, United Nations Devel- finance multi-sector, city-wide climate opment Programme (UNDP), United Nations Environment Programme (UNEP), UNEP Almost half of the world’s population change programs. City-wide programs Risoe, United Nations Institute on Training and Research (UNITAR), Inter-American currently lives in urban areas and are being designed to support cities that Development Bank (IADB), Kreditanstalt fuer Wiederaufbau (KfW), and Tec de Monter- consumes 60 to 80% of the energy are undertaking strategic, cross-sectoral rey. CF-Assist is also engaged in multilateral partnerships such as the LEDS Global produced worldwide. Concentration approach to planning, administration Partnership (LEDS GP) and the Nairobi Framework, and developing local partnerships of economic activities and resultant and financing of low carbon, climate to customize and sustain the program. higher standards of living make cities change mitigation and adaptation major sources of anthropogenic GHG projects and policies. 7 8 2. Work Program Activities 2012-13 2.1. Overview of Work Program which contains topics relevant to and 2.2. Climate Finance Readiness autumn 2012 delivery, during which 19 Activities 2012-13 across all our work program priorities. LCD plans were drafted by participants. Structured Learning: CF-Assist is The spring 2013 delivery saw an increase The following table offers an illustrative, The table below only provides an developing a curriculum of e-courses in participation (31 participants), with select overview of our initiatives and illustrative overview of selected program in support of climate finance readiness development of 17 draft LCD plans. activities, organized by work program activities over the last twelve months. In processes. Besides the already existing areas and business lines. the annex section of this Annual Report, e-course on Low Carbon Development This course included participation of we offer a comprehensive list of deliver- (LCD), courses on Low Carbon and stakeholders from Uganda who took the Following the rationale of our interde- ables, including information on delivery Climate Resilient Development e-course as part of our collaboration pendent business lines, programs and date and number of participants. This list Investment Planning and Climate with UNITAR to support the UN CC:Learn activities listed under “Collaborative is also illustrated in a world map towards Finance are in the production pipeline, “Pilot Projects to Strengthen Human Leadership� also interweave with the the end of this section, which highlights and we are aiming to develop an Resources and Skills to Address Climate structured learning and knowledge all countries where CF-Assist program e-course on Monitoring and Evaluation Change� (other pilot countries are Benin, exchange levels (e.g. members of activities/deliverables were held in the (M&E)/Monitoring, Reporting and Dominican Republic, Indonesia and regional LEDS practitioner networks may past twelve months. Verification (MRV) systems in the next Malawi). have taken the “Energy Sector Strategies year. to Support Green Growth� e-course In the following sub-sections we will The e-course on “Economics of Climate and participated in the Carbon Expo). discuss program activities in more detail. e-Course deliveries: Our e-course on Resilient Development�, which provides Furthermore, several of our initiatives “Low Carbon Development: Planning and policymakers the basics for developing are cross-cutting in terms of focus areas: Modelling� was successfully delivered economically viable climate-resilient e.g. the Latin America Carbon Forum with 25 stakeholders participating in the plans, was launched in February and well received with 50 participants. The next delivery is scheduled for autumn 2013. LED Policy Instruments and Climate Finance Readiness Carbon Pricing Cities and Climate Change Besides hosting facilitated deliver- Structured Learning • Low Carbon Development • Policies for LED: From Strategy • Cities and Climate Change ies twice a year through the WBI Planning and Modelling Design to Implementation Leadership e-Institute, all e-courses developed or • Low Carbon Development • Emissions Trading Schemes: • TRACE: Tool for Rapid supported by CF-Assist are also available Investment Planning Using Markets to Support LED Assessment of City Energy in ‘self-paced’ format which can be Knowledge Exchange • Webinar Series “vShare: Climate • Global Carbon Expo • Global Energy Basel readily accessed from any part of the Change Talks� • Regional Carbon Fora in SAR world by stakeholders who are eager to and EAP learn more about a certain topic. Collaborative Leadership • 360 Capacity Support (360CS) • Regional LEDS Practitioner • Scaling up Climate Action in e-Courses in development: The course on LEDS and Climate Finance Networks Cities Program on “Low Carbon and Climate Resilient Program in Malawi Development Investment Planning�, 9 2. Work Program Activities 2012-13 Voices from Participants: Low Carbon Development CF-Assist/vShare Webinars 2012-13, at-a-glance e-Course Facilitated Delivery, Autumn 2012 June 2012: “Achieving Low Deliberated renewable energy and energy efficiency Carbon Growth: From Innovation technologies as important elements in low carbon to Market Expansion� development strategies “The learning experience has been great. (The) course content September 2012: “Innovation Elaborated on the importance of innovation in is indepth and method of delivery wonderful.� Policies to Support Low the energy sector and how innovation policies can Emission Development� support a transition towards a low carbon economy R.F. January 2013: “Post-COP Discussed the key outcomes of COP-18 in Doha, Doha: Reflection on the Doha in particular addressing the question on how the “This was a very informative course that really opens your Gateway and the Way Forward� developments from Doha are relevant to Low Emissions Development and Climate Finance mind to the whole view of low carbon development, the practitioners process, steps, institutions and resources. The forum to also March 2013: “Financing Reviewed the international experience with meet others in the field is also of great value. Great!� Energy Efficiency: Lessons from financing mechanisms such as Energy Efficiency International Experience� (EE) funds, utility Demand Side Management (DSM) D.R. and consumer financing, dedicated credit lines, risk sharing programs, performance contracting and Energy Service Companies (ESCOs), and equity funds which is being developed in col- provide users a bird’s-eye view of the laboration with the Climate Investment climate finance landscape as well as a Funds (CIF), is in an advanced stage of basic introduction to the essentials of and planning communities to discuss menu. Invitations are sent to a variety production and is expected to be piloted accessing, sequencing, and deploying country experiences and innovations of stakeholders—in particular to alumni before the end of 2013. It will compile climate finance funds. on how to make climate finance more of e-courses; participants of global, knowledge and lessons learnt in the first effective, and how to mutually learn, regional and local knowledge exchange phase of the CIF investment plans, and Knowledge Exchange: In May 2012, both within government departments fora; and members of CF-Assist sup- educate stakeholders on how to design in partnership with IADB, UNEP, and across countries. ported collaborative leadership initia- and finance strategic programs that go Organization for Economic Development tives, such as regional LED practitioner beyond a project-by-project approach. (OECD) and the Government of Webinars: This year witnessed a networks. Honduras, we contributed to a “Regional succession of webinars, hosted by In parallel, we have started a collabora- Dialogue on Effective Climate Finance� the WBI e-Institute under the series Collaborative Leadership: In collabora- tion with UNDP and Climate Finance in Tela, Honduras. The event brought “vShare: Climate Change Talks�. This has tion with the WBI Leadership team and Options (CFO) to work on an e-course together representatives from the become an established complementary the World Bank Africa region, and as an on Climate Finance—this course will climate change, development finance instrument of our capacity building example of full national engagement, 10 CF-Assist is supporting the Government Growth�. The e-courses on “Policies of Malawi in its Climate Finance for Low Emissions Development: From Readiness process. Based on consulta- Strategy Design to Implementation� tions as part of a face-to-face training and “Emissions Trading Schemes (ETS): on “Carbon Market Capacity Building: Using Markets to Promote Low Emission Knowledge Sharing, Capacity Diagnosis, Development�, respectively, are currently and Roadmap� in August 2012 and in advanced stages of production and following a request by Malawi’s will be launched soon. Also, additional Department of Environment, the team e-courses and knowledge products are has operationalized a 360 Capacity to be developed during the 2013–14 Support (360CS) approach for Climate reporting year. Finance Low Emissions Development to support the government team working e-Course deliveries: Despite the current on the country’s National Climate slow-down in the carbon market, Change Investment Plan (NCCIP). our e-courses on CDM and CDM PoA 360 Capacity Support (360CS) Approach have been in reasonable demand. 13 • designed to provide comprehensive capacity development assistance to The approach has been piloted in Malawi participants joined the November developing countries in April 2013—using a rapid results delivery of the PoA e-course, and a • collaboration with government counterparts, including three distinct approach to gain momentum, inter- total of 35 joined our October 2012 and components: mediate results will be available after April 2013 deliveries of the CDM course. i. Capacity diagnostic: applying different consultative methods, this approach 100 days. Thereafter, the program will During these deliveries CDM projects/ helps clients define and capture their goals, and identify potential barriers in carry on with an emphasis on country programmes in more than 20 countries achieving the stated goals; ownership, and, when successful, it can have been identified by course partici- be replicated in other countries and pants, and two PoA as well as four CDM ii. Action learning: based on the findings from the diagnosis, problem solving regions. projects already in development have oriented face-to-face—and additional e-learning training courses are to be been refined. The Spring 2013 delivery delivered to meet clients’ specific needs. Face-to-face learning is designed as 2.3. LED Policy Instruments and of our PoA e-course is set to commence a continuation of the consultative process started during diagnosis to identify Carbon Pricing as this Annual Report goes into produc- both short-term and long-term capacity. The results of the diagnosis and action tion, as of now, 25 participants have learning will contribute to the development of an action and result oriented Structured Learning: In addition registered. roadmap that identifies potential opportunities and concrete next steps to to continuing delivery of our Carbon achieving the stated goals; Finance (CDM/JI and CDM Programme In June 2012, we started an e-course iii. Facilitation for results: Based on the roadmap, 360CS aims to assist clients to of Activities (PoA)) e-courses, CF-Assist on “Energy Sector Strategies to Support connect their priorities to global knowledge, good practices, tested solutions launched its first course on policy Green Growth� which covers essential and financing opportunities and to build long term local capacity to achieve instruments in June 2012, on “Energy aspects of renewable energy and energy their stated goals as defined in the roadmap. Sector Strategies to Support Green efficiency policies and discusses their 11 2. Work Program Activities 2012-13 I think it is a very good avenue for people to learn, share knowledge, meet people and network. Habiba Ahmed Ali, Managing Director, SOSAI Renewable Energies Co., Nigeria These lessons can also be shared with Global Carbon Expo: The ninth edition non-PMR countries. of the Carbon Expo took place in Cologne, Germany, from May 30 until Face-to-Face training: In October, we June 1, 2012. Despite the current delivered a “Regional Francophone depressed carbon market conditions, the Capacity Building Workshop on CDM three-day-event was attended by 2,600 Reform and Carbon Finance� in Dakar, participants from 95 countries (with Senegal. The event brought together over 200 exhibitors from more than stakeholders from Francophone Africa 60 countries). and provided them with a comprehen- sive overview on latest developments Prior to the Carbon Expo 2012, we contribution to green growth strategies. Development: From Strategy Design to in CDM (including standardization of hosted a consultation workshop called Both the pilot delivery and first core Implementation� which will assist par- baselines), new approaches for financing the World Bank Carbon Market Expert delivery of this course were well received ticipants to plan, design and implement mitigation activities, as well as the Group. This workshop spanned over by more than 75 participants in total. climate-friendly policy instruments to emerging structures of new market two days before the commencement The next delivery of this course is help foster low emissions development mechanisms. of the main event and discussed a underway as this Annual Report goes pathways (to be piloted in June 2013), variety of topics on CDM reform issues, into printing. More than 30 participants and “ETS: Using Markets to Promote Knowledge Exchange: Since its incep- new market mechanisms, Reducing have registered for this delivery; among Low Emission Development� which tion, CF-Assist has, in collaboration with Emissions from Deforestation and forest them are 20 members of the LEDS will inform policy planners and climate various partners, supported knowledge Degradation (REDD), etc., to name a few. Global Partnership which we support change action practitioners on the exchange fora at global, regional and The team also organized a Carbon and as a broader capacity building initiative rationale behind emissions trading and local level on emerging topics. These fora Climate Finance Knowledge Corner—in (more information on our work support- how ETS can be implemented in practice. provide an ideal learning and meeting partnership with the IADB, Fundación ing regional LEDS practitioner networks This course is expected to be piloted by place for our stakeholders, and the agen- Torcuato Di Tella, Greenhouse Gas is provided later). December 2013. For development of the das of these events are being adjusted Management Institute (GHGMI), CFO, ETS e-course, in order to identify lessons each year to cover new developments in UNDP and UNITAR. e-Course development: We are currently learnt, we are collaborating with the the international climate change action finalizing production of two additional Partnership for Market Readiness (PMR). arena. As this Annual Report is being finalized, e-courses—“Policies for Low Emissions preparations are afoot for the Carbon 12 Expo 2013, which celebrates its tenth Environment, Nature Conservation and anniversary this year. In the words Nuclear Safety (GIZ). This year’s agenda of one of its earliest proponents, Ken was modified to ensure a continued Newcombe, CEO of C-Quest Capital relevance for the Conclave, and given LLC, and former Manager of the World a much wider focus beyond carbon Bank Carbon Finance Business unit, markets. The panelists deliberated over “Our vision for Carbon Expo was a topics such as the National Action plan forum where the developing countries for Climate Change, options for develop- and developers could meet carbon ing NAMAs, new market mechanisms buyers, become well informed on costs and the future of the CDM, and, the role and prices, and do business quickly of state governments and urban local and efficiently, face to face. There is bodies in climate change. no doubt this vision has been met. The World Bank originated the Forum As this Annual Report goes into and handsomely funded host country production, preparation for the fifth representation in the early years. Before Africa Carbon Forum is in progress long, the developing countries, private under the theme, ‘Promoting Access sector, and governments supported to Low-Carbon Development in Africa’. much larger participation as the experi- themes around climate change action, showcase the advancements in their LED The event is scheduled for July 2013, ence was rewarding; every major buyer the plenary and conference sessions work and promote their climate finance in Abidjan, Cote d’Ivoire, and will be and service provider felt they had to be will be distributed in three thematic products to potential investors while co-organized by the Nairobi Framework there, too. As a private sector market streams—LED Policies & Measures, learning more details about scaled-up partners. Besides an update on the state participant after the first two Expos, I Climate Finance and Clean Technologies. project types and business approaches�, and trends of the carbon market, with experienced firsthand the convenience “The World Bank Group has been says Neeraj Prasad, Manager of the WBI particular regard to CDM Programme of of doing business there. Even three days co-organizing the Carbon Expo since Climate Change Practice. Activities and related opportunities in was not enough to touch base with 2004. Now more than ever we need Africa, participants will learn about the everyone I needed to, but without Expo to signal to the world that the Carbon CF-Assist is also supporting several latest policy developments at national some deals would simply never have got Expo is an event in which we reaffirm regional fora. The India Carbon Conclave and international level, such as prospects done. Long live the carbon market and our confidence, and it is still able to was hosted in September 2012 in New for new market-based mechanisms long live Carbon Expo.� attract market participants in sizeable Delhi. The event was attended by over to enhance the cost-effectiveness of numbers. The conference program and 200 participants, and co-organized with climate mitigation actions. A variety This year’s Expo will again be hosted exhibition space of the Carbon Expo the Indian Ministry of Environment of mitigation instruments will be in Barcelona, Spain—co-organized by 2013 are being tailored to the evolving and Forests, the Federation of Indian discussed, including LEDS and NAMAs, the International Emissions Trading knowledge needs on climate finance. Chambers of Commerce and Industry as well as market-based policy measures Association (IETA), Fira Barcelona, and The event will provide a platform for (FICCI), as well as with a new partner— such as carbon taxes, and domestic CF-Assist. Reflecting the evolving climate change action stakeholders to the German Federal Ministry for the cap-and-trade. 13 2. Work Program Activities 2012-13 Also underway are the arrangements Since March 2012, CF-Assist has joined Costa Rica, from November 12 to 14, modalities and tools for knowledge for the next Latin America Carbon a consortium of government agencies, 2012. More than 110 LEDS practitioners sharing activities. Forum, to be held in August 2013, in regional research organizations and and champions from 22 countries in the Rio de Janeiro, Brazil, and organized international development agencies region attended the event. Key outcomes Moving forward, the team will col- by the UNFCCC, UNEP Risoe, the in the LEDS Global Partnership (LEDS of this regional dialogue among LEDS laborate with regional partners to Latin American Energy Organization GP). This intends to enhance coordina- leaders, practitioners and experts support the capacity development and (OLADE), IADB, IETA and CF-Assist. This tion, South-South-North knowledge included (i) identification & ranking of knowledge exchange program of this Regional Forum will attract developers exchange, and collaborative action key issue areas for the regional network; regional LEDS Practitioner Network, inter of low carbon projects, financiers, the among countries working to advance (ii) establishment of work streams alia, in the delivery of webinar series on private sector, forestry specialists and low emissions development. In Asia & working groups for peer-to-peer LEDS for the Spanish-speaking commu- government agencies, and will also and Latin America, CF-Assist has been collaboration (related to policy planning, nity, and the facilitation of a web-based provide a platform for the host city to instrumental in establishing regional analytical tools, financing, and select open community of practice to promote showcase its work on the Rio de Janeiro platforms under the LEDS GP. sectors (energy, agriculture, transport)); information sharing, networking and Low Carbon City Development Program (iii) collaboration/coordination online collaboration among Latin (LCCDP). The Latin America platform of the LEDS mechanisms among LEDS programs American LEDS practitioners and GP was launched at an event in Alajuela, and initiatives, as well as prioritized policymakers. Also, network members Collaborative Leadership: In support from all regions are being invited to join of the global effort to develop LEDS at facilitated deliveries of our e-courses— the national level, the CF-Assist program such as the upcoming delivery of the is fostering the development of regional course on “Energy Sector Strategies to LEDS practitioner networks in Asia, Latin Support Green Growth�. America, and Middle East and North Africa. In collaboration with other international organizations, led by United States These networks are policymaker and Agency for International Development practitioner platforms, bringing together (USAID), the CF-Assist team represent- representatives across countries, ing the World Bank met at the first ministries and other key stakeholder Asia LEDS Forum in September 2012 groups. Their overall objective is to in Bangkok, Thailand to establish a catalyze mitigation action by harboring new Asia LEDS Platform to promote knowledge and experience sharing low-emissions, climate-resilient develop- and supporting national expert teams ment across the region. The East Asia in mastering and applying concepts, mitigation network focuses its work in challenges and opportunities related to six countries (China, Indonesia, Malaysia, LEDS planning and financing. Philippines, Thailand and Vietnam). The CF-Assist team is working with country 14 teams to develop tools for LEDS and Energy Savings Performance Contracts’; NAMAs in a learning-by-doing approach, and, (iii) ‘TRACE—How to Use the Tool with the first step being to identify for Rapid Assessment of City Energy’. projects of interest. Members of the Two additional courses—on ‘Energy network were also participants in the Efficiency in Public Buildings’ and ‘How Carbon Forum Asia, hosted in Bangkok, to Develop an Energy Services Business’, in October 2012, where the team respectively—are currently in production. presented a side event on the “Links between Carbon and Climate Finance�, e-Course deliveries: Our ‘Cities and discussing how Asian economies can Climate Change Leadership’ e-course, benefit from these instruments. which discusses how urban areas can lead climate actions and mainstream In the Middle East and North Africa mitigation and adaptation measures into (MNA), the ‘MNA Network on Low their development plans, was delivered Carbon Development for Inclusive in November/December 2012. 15 Growth’ was launched in September participants—city councilors, committee 2012, in collaboration with UNEP members, planners and development and UNEP Risoe. The network brings officers, advisors—took part in this together government officials, expert delivery. A second delivery is set to com- practitioners, advocates of low carbon mence as this report is being finalized; development from five MNA countries Sector Management Assistance the team hosted a video conference currently, more than 75 participants (Egypt, Jordan, Lebanon, Morocco and Program (ESMAP) and the Regional featuring expert presentations on NAMA have registered. Tunisia). This initiative will combine Center for Renewable Energy and concepts and practical guides. The several regional workshops, video Energy Efficiency (RCREEE), hosted a five network countries from the MNA In October 2012, we delivered the conferences and webinars, in addition webinar on “Introduction to Low Carbon region were connected, as well as sites autumn segment of the e-course to providing technical support to Development Planning Tools�. This in Copenhagen and Bonn—in the latter, ‘Saving Energy through Energy Savings practitioners in designing potential webinar provided an introduction to low UNFCCC shared the new NAMA registry Performance Contracts’ (the spring 2013 NAMA proposals. Through the inclusion carbon development and, in particular, template. delivery is ongoing as this report is being of government, industry, academia, and focused on the use of analytical tools finalized), and in December the e-course civil society representatives working in developed by the World Bank, i.e. Energy 2.4. Cities and Climate Change on ‘How to Use the Tool for Rapid low carbon development, the network Forecasting Framework and Emissions Assessment of City Energy (TRACE)’. intends to contribute to inclusive and Consensus Tool (EFFECT), and Marginal Structured Learning: In the priority TRACE, which was developed jointly sustainable growth. Abatement Cost (MAC) Tool, and area of Cities and Climate Change, we with ESMAP, was successfully launched introduced the e-course on ‘Low Carbon currently run a curriculum of three in May 2012, reaching more than 90 In December 2012, the MNA team, Development: Planning and Modeling’ e-courses—(i) ‘Cities and Climate Change participants. The course is primarily in collaboration with the Energy to the participants. In early March 2013, Leadership’; (ii) ‘Saving Energy through being offered in self-paced format. 15 2. Work Program Activities 2012-13 Also in production is an e-course on three-year-initiative were presented Knowledge Exchange: In June 2012, ‘How to Develop an Energy Services as: (i) enhanced understanding and CF-Assist contributed to an international Business’ (working title). This course will skills relevant to energy efficiency; seminar in Tianjin, China, on ‘Low cover a range of topics, i.e. an overview (ii) raised awareness of good practices; Carbon Cities Development in China’, by of energy services business opportunities (iii) informed governments of the supporting the design of the event’s pro- and related models, economics and technical potential and investment gram and agenda, and the presentation financing aspects, marketing strategies, needs of energy efficiency, as well as of ‘A Climate Finance Primer: Supporting as well as risk management and MRV possible financing options for implemen- Green Growth’. issues. The course production is expected tation. Country-specific studies provided to be finalized in calendar year 2013. technical inputs to help governments Also as part of our engagement with finalize some of their regulations/legisla- the East Asia and Pacific (EAP) region, Alike the ‘Saving Energy Through Energy tions and build consensus nationally CF-Assist has financed the final concept Savings Performance Contracts’ and around the financing issues of EE; and, and outline business plan report for the ‘How to Use the TRACE’ courses, the ‘EE (iv) identified country-specific financing ‘East Asia and Pacific Regional Center in Public Buildings’ and ‘How to Develop opportunities for energy efficiency of Excellence for Waste Management’. an Energy Services Business’ courses programs relevant to climate change. Once operational, the regional Center are being co-funded by CF-Assist, in of Excellence is expected to fill the gap support of the Scaling up Climate In addition to these outcomes, and in access to knowledge, advisory and Friendly Energy Efficiency Policies across in order to ensure the sustainability advocacy services that countries find as South East Europe program which has of efforts and achievements beyond they look for solutions to overcome the been funded chiefly under a Trust Fund the program, the team also worked overwhelming challenges to effective from the Austrian Government with to develop a regional partnership and sustainable waste management an objective to help develop and scale with the Network of Associations practices that some of them face, up climate-friendly energy efficiency of Local Authorities of South-East as their population, economies and policies in the Western Balkan countries Europe (NALAS) as a knowledge hub cities, and the income of their citizens by means of comprehensive learning and for the region. This capacity building continue to grow. One of the main e-Course development: The production capacity building activities. support included helping NALAS to consultations in preparation of the of the course ‘Energy Efficiency in Public institutionalize and operationalize its report took place during Carbon Expo Buildings’, which will equip stakeholders CF-Assist supported the program on e-learning platform, develop capability 2012 in Cologne, where CF-Assist with technical and program manage- Scaling up Climate Friendly EE Policies to independently deliver e-courses in the brought the stakeholders together. “This ment skills, tools and knowledge on the across South East Europe, which focused future, and to provide support for energy was a wonderful example of bringing “how� of identifying, developing and on Kosovo, Macedonia and Serbia, and efficiency programs. WBI’s e-Institute the CF-Assist program directly into implementing Energy Efficiency (EE) ended in April 2013 with a “Regional has also initiated a wider WBI-NALAS the Bank’s work to convene our client programs in public buildings, is ongoing. Workshop on Climate Change Mitigation collaboration to wholesale e-learning. countries in the EAP region, to create The course is expected to be launched in and Energy Efficiency across South the space for them to work together on September 2013. East Europe�. The achievements of this the critical development issue of waste 16 We have a great calendar throughout the next years with The LCCDP is being supported by the Olymipcs and the World Cup, and a lot of investments CF-Assist in collaboration with the will be done in the city. So, it’s a time to re-invent the city World Bank’s regional team. In 2012, the program was certified using a combina- (…) and bringing a low carbon view of the future. tion of ISO (International Organization for Standardization) environmental and Rodrigo Rosa, GHG standards by an environmental Special Advisor to the Mayor; City of Rio de Janeiro, Brazil auditor, DNV (Det Norske Veritas). In its initial assessment, DNV concluded that management that they face, that also in the City of Amman, on-going support when implemented as designed, the has significant climate impacts. By to the Rio de Janeiro LCCDP, and the Program is likely to contribute to the bringing the countries together in this Colombo Green Growth Program (CGGP), achievement of Rio de Janeiro’s climate way, they realized that sharing their col- this initiative aims to support the change mitigation goals. The LCCDP and lective knowledge through this platform development of sustainable, climate- the certification framework are pioneer- and when added to their own financial friendly cities through knowledge ing efforts to enable cities around the resources could be a game changer in services and technical capacity support world to access climate and carbon terms of sustainably managing their to urban practitioners on how to develop finance resources to invest in low carbon waste sector,� said James Orehmie and finance multi-sector, city-wide development. Monday, Senior Environmental Engineer climate change action programs. in the Bangkok World Bank Country Through the Colombo Green Growth Office. Innovation for Cities: On the occasion Program, the team seeks to integrate low of Rio+20, at the margins of the UN carbon development with adaptation In January 2013, the CF-Assist team Conference on Sustainable Development and resilience aspects of the climate once again participated in the Global held in June 2012, the City of Rio de challenge. The Colombo program, which Energy Basel and on that occasion Janeiro, Brazil, launched the Rio Low is still in early stages of development, presented the Rio de Janeiro Low Carbon Carbon City Development Program aims to assess and quantify the City Development Program (LCCDP) dur- (LCCDP). This is a comprehensive, sustainability benefits from each project change programs’, which is expected ing a session on ‘Best Delivery Structures cross-sectoral climate change mitigation and policy proposal in the urban area, to be launched by January 2014. In for Financing Public Goods’. program at the sub-national level that allowing investments to be channeled to addition, the program is actively building integrates low carbon concerns into the the most sustainable option possible. a network of institutions and partners to Collaborative leadership: Our team process of identification, assessment and scale-up activities in Cities. has initiated a comprehensive capacity approval of projects and policies within The experiences from these pilots and building program on ‘Scaling up Climate a developing country city. The program relevant global knowledge products Action in Cities’. Drawing on previous is expected to enable all future decisions will also be shared virtually through an experience of the Carbon Finance in the city to be reviewed through a online platform, i.e. a web-based guide Capacity Building (CFCB) program, work climate lens. on ‘How to develop city-wide climate 17 2. Work Program Activities 2012-13 Distribution of CF-Assist Activities, 2012-13 IBRD 40056 MAY 2013 Cologne, Germany Vienna, Austria Basel, Switzerland Marseilles, France Tianjin, China New Delhi, India Washington, DC Tela, Honduras Dakar, Senegal Bangkok, Thailand Alajuela, Costa Rica Lilongwe, Malawi This map was produced by the Map Design Unit of The World Bank. The boundaries, colors, denominations and any other information shown on this map do not imply, on the part of The World Bank GSDPM Map Design Unit Group, any judgment on the legal status of any territory, or any endorsement or acceptance of such boundaries. 18 19 3. Future Outlook T he 2012–13 reporting year has been Policy Instruments and Cities portfolios; a crucial one for the international additional scaling up of the reach of our climate change action commu- knowledge products and capacity build- nity—with the Doha Gateway, the Kyoto ing services through global and regional Protocol was extended for a Second implementation partners; and, online Commitment Period until 2020. At the practitioner portals and collaborative same time, it has become ever more platforms on LED and city-wide climate evident that Carbon Finance—while still change programs. relevant, particularly in Africa and in support of poverty eradication efforts— alone will not suffice to address the daunting task ahead to keep our planet on target for a maximum temperature raise of two degrees Celsius by 2100. Scaled up climate change action through a comprehensive, complementary set of instruments will be needed to achieve the emission reduction targets The demand for knowledge and capacity of comprehensive capacity building at both national and global levels—the building services is, hence, as high as initiatives. international framework architecture, ever, in particular as stakeholders are and mechanisms for implementation at increasingly aware that “early movers� For the year ahead, CF-Assist will the local level are being established. in terms of climate action have a higher continue to deliver and further develop chance of being rewarded. its curriculum of learning products, LEDS, NAMAs and policy instruments global and regional knowledge exchange such as ETS and carbon taxes are Through its evolving work program events, and collaborative leadership emerging and fine-tuned to support (in priorities—focusing on Climate Finance initiatives, together with further combination with scaling up of available Readiness; LED Policy Instruments and strengthening its strategic partnerships technologies and financing e.g. through Carbon Pricing; and, Cities and Climate and collaborations with external and the Green Climate Fund (GCF)) climate Change—and interlinked business lines, internal partners. action. CF-Assist has a robust conceptual and operational framework in place which Some of the exciting new products With the variety and complexity of also allows sufficient flexibility to adjust and services that will be developed and current and potential instruments to new developments evolving from launched over the next year include increasing, the requirements, in terms the climate change negotiations, hence new e-courses and learning material of actors’ skill sets, are also increasing. in-time preparation and implementation in support of our Climate Finance, LED 20 21 Annex 1: List of CF-A Events for 2012–13 Month Event Location Participants # of days Region 2012 May Regional Dialogue on Effective Climate Finance Tela, Honduras 90 3 LAC May World Bank Carbon Market Expert Group (Dialogue on Carbon Finance Cologne, Germany 60 2 Global Post-2012) May / June Carbon Expo 2012 Cologne, Germany 2,600 3 Global May / June TRACE e-Course, pilot delivery Online 90 46 Global June Energy Sector Strategies to Support Green Growth e-Course, Pilot Delivery Online 50 12 Global June vShare Climate Change Talks Webinar Series: Achieving Low Carbon Growth— Virtual 60 1 Global From Innovation to Market Expansion June Seminar on Low Carbon Cities Development in China Tianjin, China 120 2 EAP August Carbon Market Capacity Building: Knowledge Sharing, Capacity Diagnosis, and Lilongwe, Malawi 42 3 AFR Roadmap September Regional MNA Workshop on Low Carbon Development for Inclusive Growth Marseilles, France 54 3 MNA September Carbon Conclave India New Delhi, India 200 2 SAR September vShare Climate Change Talks Webinar Series: Innovation Policies to Support Low Virtual 95 1 Global Emissions Development September Asia Low Emission Development Strategies Forum Bangkok, Thailand 150 4 EAP September/October Low Carbon Development e-Course, Autumn 2012 Online 25 28 Global October Carbon Forum Asia Bangkok, Thailand 200 2 EAP October Regional Francophone Capacity Building Workshop on CDM Reform and Carbon Senegal, Dakar 22 2 AFR Finance October CDM/JI e-Course, Autumn 2012 Online 18 29 Global October Saving Energy through Energy Savings Performance Contracts e-Course, Autumn Online 8 23 Global 2012 October / November Energy Sector Strategies to Support Green Growth e-Course, Autumn 2012 Online 28 23 Global November Latin America and Caribbean LEDS Practitioner Network Launch Event “Regional Alajuela, Costa Rica 110 2 LAC South-South Knowledge Exchange on Policy Instruments to Support LED� November CDM PoA e-Course, Autumn 2012 Online 13 14 Global November Regional Conference for Policy Makers: Review of National Plans on Financing Vienna, Austria 24 2 ECA and Implementation Options for EE Programs in Building Sector 22 Month Event Location Participants # of days Region November / December Cities and Climate Change Leadership e-Course, Autumn 2012 Online 15 9 Global December TRACE: How to Use the Tool for Rapid Assessment of City Energy e-Course Online 6 30 ECA December Webinar on “Introduction to Low Carbon Development Planning Tools� Virtual 30 1 MNA 2013 January vShare Climate Change Talks Webinar Series: Post-COP Doha—Reflection on the Virtual 67 1 Global Doha Gateway and the Way Forward January Global Energy Basel Basel, Switzerland 150 2 Global February / March Economics of Climate Resilient Development e-course, pilot delivery online 50 30 Global March vShare Climate Change Talks Webinar Series: Financing Energy Efficiency - Virtual 105 1 Global Lessons from International Experience March Videoconference “How to Develop a NAMA� Virtual 16 1 MNA March / April Low Carbon Development e-Course, Spring 2013 Online 31 28 Global April CDM/JI e-Course, Spring 2013 Online 17 29 Global April Regional Conference on Energy Efficiency and Climate Finance in South East Vienna, Austria 24 2 ECA Europe May CDM PoA e-Course, Spring 2013 Online 25 12 Global May Energy Sector Strategies to Support Green Growth e-Course, Spring 2013 Online 33 31 Global May Saving Energy through Energy Savings Performance Contracts e-Course, Spring Online 14 19 Global 2013 May Cities and Climate Change Leadership e-Course, Spring 2013 Online 38 19 Global TOTAL 4680 23 Annex 2: Distribution of Events and Event Participation Regional Events and Carbon Fora 2012–2013 Global Events / Carbon Expo 2012–13 Region Number of Participants Event Number of Participants AFR* 64 World Bank Carbon Market Expert Group 60 EAP 470 Carbon Expo 2600 ECA 54 Global Energy Basel 150 LAC* 200 Global Webinars: vShare Climate Change Talks 327 MNA 100 Facilitated e-Learning Courses (aggregate) 455 SAR 200 TOTAL 3,592 TOTAL 1,088 AFR*and LAC*: No regional carbon fora took place during the reporting period in these two regions (they will take in July and August 2013, respectively), hence overall number of participants has been effected accordingly. Participants in facilitated e-learning courses 2012–13 Event Participation 2005–2013 (number of participants per year, and aggregate) e-Course Number of Participants 2005–2006 4106 CDM/JI Autumn 2012 18 2006–2007 5295 CDM/JI Spring 2013 17 2007–2008 5005 PoA Autumn 2012 13 2008–2009 5848 PoA Spring 2013 25 2009–2010 5822 LCD Autumn 2012 25 2010–2011 4989 LCD Spring 2013 31 2011–2012 6451 Cities & CC Autumn 2012 15 2012–2013 4680 Cities & CC Spring 2013 38 TOTAL 42196 TRACE (pilot) Summer 2012 90 Energy Sector Strategies (pilot) Summer 2012 50 Energy Sector Strategies Autumn 2012 28 Energy Sector Strategies Spring 2013 33 Energy Savings Performance Contracts Autumn 2012 8 Energy Savings Performance Contracts Spring 2013 14 Economics for Climate Resilient Development (pilot) Spring 2013 50 TOTAL 455 24 Annex 3: List of Acronyms 360CS 360 Capacity Support LCCDP Low Carbon City Development Program AFR Sub-Saharan Africa LEDS Low Emissions Development Strategies CDM and JI Clean Development Mechanism and Joint Implementation LEDS GP Low Emissions Development Strategies Global Partnership CDM PoA Clean Development Mechanism Programme of Activities M & E Monitoring & Evaluation CEO Chief Executive Officer MAC Marginal Abatement Cost Tool CF-Assist Carbon Finance-Assist MNA Middle East and North Africa CFCB Carbon Finance Capacity Building MRV Monitoring, Reporting and Verification CFOs Climate Finance Options NALAS Network of Associations of Local Authorities of South-East Europe CGGP Colombo Green Growth Program NAMAs Nationally Appropriate Mitigation Actions CIFs Climate Investment Funds NCCIP National Climate Change Investment Plan COP Conference of the Parties NGO Non Governmental Organisation DNV Det Norske Veritas NMM New Market Mechanism DSM Demand Side Management OECD Organization for Economic Development EAP East Asia Pacific OLADE Latin American Energy Organization EE Energy Efficiency PCF Prototype Carbon Fund EFFECT Energy Forecasting Framework and Emissions Consensus Tool PMR Partnership for Market Readiness ESCOs Energy Service Companies POA Programme of Activities ESMAP Energy Sector Management Assistance Program R & D Research and Development ETS Emissions Trading Schemes RCREEE Regional Center for Renewable Energy and Energy Efficiency FICCI Federation of Indian Chambers of Commerce and Industry REDD Reducing Emissions from Deforestation and forest Degradation GCF Green Climate Fund SAR South Asia Region GHGMI Greenhouse Gas Management Institute SSKE South South Knowledge Exchange GHG Greenhouse Gas TRACE Tool for Rapid Assessment of City Energy GIZ German Federal Ministry for the Environment, Nature Conservation UNDP United Nations Development Programme and Nuclear Safety UNEP United Nations Environment Programme IADB Inter-American Development Bank UNFCCC United Nations Framework Convention on Climate Change IETA International Emissions Trading Association UNITAR United Nations Institute on Training and Research ISO International Organization for Standardization USAID United States Agency for International Development KfW Kreditanstalt für Wiederaufbau (German) WBI World Bank Institute LAC Latin America and Carribean WBICC World Bank Institute Climate Change Practice LCD Low Carbon Development 25 The Carbon Finance-Assist Program is currently supported by the Governments of Spain and Switzerland Carbon Finance-Assist The World Bank 1818 H Street, NW Washington, DC 204333, USA Phone: +1-202-473-9625 Email: wbicc@worldbank.org http://wbi.worldbank.org/wbi/topic/ carbon-finance-assist/ 1316683