17 March 2017, Bonn (Germany)

Daily Briefing from the 29th Adaptation Fund Board Meeting

Daily Briefing 29th Adaptation Fund Board Meeting, 17-3-2017

This is the Climate Finance Advisory Service (CFAS) Daily Briefing. Produced at key meetings and negotiations by the CFAS expert team, the Daily Briefings try to provide a concise, informative update on key discussions that have taken place at each day of the meeting and give an overview of substantive points of action or progress. Please note that this is an independent summary by CFAS and not officially mandated by the AFB or its Secretariat.

During the meetings, CFAS experts are available to provide advise to and answer specific questions for Board Members, Alternates and their advisers from developing countries. The CFAS team can be reached via cfas@germanwatch.org.

Previous daily briefings and other CFAS analyses are available on the new CFAS website www.cfas.info.

The CFAS Team

Summary from 17 March 2017

On Friday, 17 March 2017, the Board of the Adaptation Fund (AF) resumed its 29th meeting, addressing the remaining items on its agenda, of which several were discussed in a closed session.


After reopening the 29th Board meeting, the AF Secretariat updated members on the communication efforts since the last Board meeting, including on events scheduled during the upcoming UNFCCC Subsidiary Bodies meetings in May and the Conference of the Parties (COP) in November 2017.

The Secretariat informed the Board that it had employed a three-tiered communication strategy, covering website content, social media and outreach activities. The AF website was used to convey information about the AF's work, featuring a steady stream of fresh, relevant and engaging content to appeal to a wide audience, for instance through stories from project beneficiaries. On social media, the Fund has been employing a more aggressive and targeted strategy since August 2015, including more frequent posts highlighting AF projects and activities and emphasizing the demand and urgency to address climate change. At COP 22, the AF showcased a multimedia exhibit and produced a steady stream of news releases.

Since 2017 marks the 10th anniversary of the AF, the Fund plans different activities to inform AF stakeholders and the mass audience of this important milestone and highlight key pioneering achievements over the AF's 10 years and to point out its continuing valuable contributions. In concrete, a dedicated publication is envisaged, as well as a special anniversary side event in Bonn during COP 23.

Report of the Project and Programme Review Committee

As usual, the Project and Programme Review Committee (PPRC) delivered its report to the Board. For the 29th AF Board meeting, 10 single-country fully-developed project proposals, 6 single-country project concepts, and 7 regional project proposals (incl. concepts and fully-developed proposals) were submitted to the Board, amounting to USD 162.65 million. Out of the 10 submitted single-country projects, 7 were approved - in Antigua and Barbuda, Ethiopia, Panama, Micronesia, Peru, Honduras and Paraguay. In addition, 4 out of the 6 single-country concept notes were endorsed by the Board, including one small-size concept proposals for Micronesia and three regular concepts for the Dominican Republic, Ecuador and Suriname.

Regarding regional projects and programmes, it was announced that the "Pilot Programme for Regional Projects and Programmes" will no longer be a pilot, but rahter continue as an ongoing programme with funding allocated to it on a regular basis. One of the 4 fully-developed regional project proposals was approved by the Board. The project seeking to increase the adaptive capacity and resilience to current climate variability and change of farmers in Ethiopia, Kenya and Uganda marks the first regional adaptation project the AF will be funding. From the three submitted regional concepts, one from UN-Habitat for Madagascar, Malawi, Mozambique and the Comoros was endorsed.

With funding decisions totalling USD 60.3 million, AFB 29 marks the AF meeting with the highest amount approved in the history of the Fund.

Implementation of the Readiness Programme

Before moving into a closed session, the Secretariat presented a paper outlining a proposal for a framework for the implementation of the readiness programme. The proposed framework contains the four key components of the programme, namely (i) support to accredited implementing entities; (ii) cooperation/partnership with climate finance readiness providers; (iii) support to countries seeking accreditation; and (iv) knowledge management, as well as further steps to integrate the readiness programme into the Adaptation Fund operations, policies and guidelines, strategies, work plan and budget.

Following the presentation, the floor was opened for comments from the Board. Members stressed to build on synergies, especially regarding the support for organizations seeking accreditation. Concerning the update of the results framework of the readiness programme, one member raised concerns about introducing additional reporting requirements, which (in light of the small grant amounts) could create unnecessary burden for national implementing entities (NIEs). Instead, it was suggested that other ways of capturing the success of the readiness programme could be used. As a reaction, the Secretariat stated that only the most basic information would be requested by the NIEs. Furthermore, Board members questioned if the guidance and templates of the Secretariat were sufficiently understood by applicants.

Ultimately, the Board approved the proposed framework, requesting the Secretariat to update several operations and guidelines. The results framework for the readiness programme will be updated to align with the Fund's mid-term strategy when completed. In addition, the standard legal agreement for readiness grants will be updated for consideration by the AF Board at its next meeting.

Issues arising from COP22, CMP12 and CMA1

After lunch break, the Secretariat presented an overview of decisions adopted last November at COP 22 in Marrakesh that are relevant for the AFB to consider. This includes decisions 1/CP.22, 1/CMA.1, 1/CMP.12, as well as decision 2/CMP.12. Board members were asked to consider potential information to be included in the Board's inext report to CMP 13 that may be relevant for the implementation of the above mentioned decisions. The Chair informed that the report for CMP 13 will be prepared intersessionally and will amongst other things contain information on discussions held regarding the resource mobilization strategy and the potential linkages between the AF and the GCF. One Board member suggested that for the third review of the Fund, the Board should also draw upon information provided by the Adaptation Committee (AC) and closely cooperate with the AC regarding the review. Moreover, there was some need for clarification among Board members regarding the content and mandate of the technical paper on the third review of the AF that the UNFCCC Secretariat is requested to prepare in collaboration with the AF Secretariat.

Other matters

Closed sessions

The Board held three closed sessions in order to discuss the Report of the Accreditation Panel, the Resource Mobilization Strategy, as well as to continue deliberations on the Fund's Mid-Term Strategy.
The consultations on the Report of the Accreditation Panel resulted in no new accreditation of implementing entities. The intersessional period between the 28th and 29th AF Board meeting featured the accreditation of the Environmental Project Implementing Unit (EPIU) of Armenia, serving as an NIE. On the Resource Mobilization Strategy, the Board decided to approve the resource mobilization action plan for 2017-2018, as well as requesting the Secretariat to edit the Resource Mobilization Strategy for public disclosure and intersessional publication. The action plan will be implemented under the supervision and guidance of the Resource Mobilization Task Force. Last but not least, it was announced that a consultation draft for the Fund's Mid-Term Strategy will be published shortly and opened for comments from stakeholders.

Dates of next Board Meetings

Before closing the meeting, the dates for the next AF Board meetings were agreed. Accordingly, AFB 30 will be held from 10–13 October 2017, while AFB 31 and AFB 32 will be held from 20–23 March 2018 and 9-12 October 2018 respectively.

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*The Climate and Development Knowledge Network (“CDKN”) is led and administered by PricewaterhouseCoopers LLP. Management of the delivery of CDKN is undertaken by PricewaterhouseCoopers LLP, and an alliance of organisations including Fundación Futuro Latinoamericano, INTRAC, LEAD Pakistan, the Overseas Development Institute, and SouthSouthNorth”.

David Eckstein
Policy Advisor for Climate Finance and Investments at Germanwatch
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