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undp presentation revised 17 may

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Published on April 7, 2008

Author: Hillary

Source: authorstream.com

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Management of the Adaptation Fund Institutional Issues: A UNDP Presentation to the UNFCCC Workshop on the Adaptation Fund:  Management of the Adaptation Fund Institutional Issues: A UNDP Presentation to the UNFCCC Workshop on the Adaptation Fund May 2006, New York Olav Kjorven, Director UNDP EEG Outline :  UNDP’s Position UNDP Mandate, Structure, and Decision-Making Process UNDP Programme Management Capacity UNDP’s Programme on Climate Change, with focus on Adaptation UNDP Fund Management Cost structure Outline I. Management of Adaptation Fund: UNDP’s Position:  I. Management of Adaptation Fund: UNDP’s Position UNDP is “committed to support the institutional arrangements of the Adaptation Fund, as decided by Parties in their deliberation. With our partners, our role is to support and operationalize the Fund in a cost-effective manner” UNDP believes that helping developing countries to adapt to climate change impacts is central to our core mandate for promoting development and poverty reduction across the globe. GEFSEC: “It is about doing development differently.” We agree with that! II. UNDP’s Mandate :  UNDP is the UN’s global development network On the ground in 166 countries, UNDP is organized in five Practices, which are: (1) Crisis prevention and recovery; (2) Democratic governance; (3) Energy and environment; (4) HIV/AIDS; (5) Poverty reduction UNDP's integrated menu of services spans project operations and finance, service delivery, policy advice and knowledge. UNDP’s environment vision: at the interface of the MEAs and MDGs, environment FOR the MDGs II. UNDP’s Mandate II. UNDP’s Structure :  II. UNDP’s Structure UNDP is highly decentralized Structure Most of non-annex I countries have UNDP Country Office or a country program. Backstopped by Regional Centers - 166 Country Offices - 6 Regional Centers - Headquarters UN Resident Coordinator System Coordinates activities of all UN organizations in countries Ensures the most effective use of the resources, expertise, and impact of the UN system on the ground Decision Making Body UNDP Executive Board (36 members) - Africa 8 - Asia & Pacific 7 - Eastern Europe 4 - Latin America & Caribbean 5 - Western Europe & Others 12 Project approvals decentralized III. UNDP Programme Management Capacity:  III. UNDP Programme Management Capacity UNDP draws on a network of close to 5,000 staff and a wide range of knowledge networks with a membership of approximately 14,000 UNDP provides an integrated package of services: - Integrated policy planning and implementation - Human resources development - Institutional strengthening - Non-governmental and community participation Owning to its presence on the ground, UNDP’ strength is its capacity to mainstream issues into broader development context III. UNDP Programme Management Capacity:  III. UNDP Programme Management Capacity UK’s DFID assessed the organizational effectiveness of 23 multilateral institutions, and ranked UNDP highest IV. UNDP’s Climate Change Programmes:  IV. UNDP’s Climate Change Programmes UNDP is the largest UN source for technical assistance for global environment management - $ 6 billion (including $2.5 billion from GEF & MLF/ $3.5 billion co-financing) With the launch of MDG Carbon Facility, UNDP is able to manage under the same roof ODA, GEF and Carbon resources to address the existing policy, capacity and financing gaps to implement the UNFCCC and the broader sustainable development agenda, including the MDG agenda UNDP supported over 400 large and 1000 small-scale projects for climate change, with $638 million from the GEF Given its development mandate, global network of country offices and expertise in integrated policy design and implementation, UNDP is well placed to support adaptation within a broad vision of national sustainable development. IV. UNDP’s Climate Change Programmes: Experience in Adaptation:  IV. UNDP’s Climate Change Programmes: Experience in Adaptation UNDP adaptation projects, include: Enabling activities Second National Communications to the UNFCCC (100) NAPA (29), with 18 in Africa Demonstration and pilot adaptation projects Full and medium size GEF projects (16) Resources included 50% SPA ($15M); 80% SCCF ($26M) 43 countries, including 15 in Africa Knowledge Management Adaptation Policy Framework Adaptation Learning Mechanism Adaptation Programming Site, etc. Partnership with other UNDP Departments and several UN agencies WHO and Health Impacts of Climate Change BCPR and Natural Disaster Management WFP and Adaptation to CC in Dryland/Arid Area UNESCO, JICA, IUCN and Coastal Zone Management IV. UNDP and Adaptation: Areas of Convergence:  IV. UNDP and Adaptation: Areas of Convergence Integration into broader national policy frameworks Capacity development Disaster risk management Energy and environment: Comprehensive portfolio Global knowledge management and learning IV. Our Climate Change Programmes/Pipeline: Strategic Priorities for Adaptation:  IV. Our Climate Change Programmes/Pipeline: Strategic Priorities for Adaptation Slide12:  UNDP manages a large number of global programmes and trust funds: - Thematic trust funds (energy and environment, democratic governance, gender) - Country trust funds (Reconstruction Fund Facility for Iraq, etc.) UNDP acts as an Implementing Agency of a number of global Trust Funds (GEF, MLF, Global Fund to fight Aids, Malaria and Tuberculosis (GFATM), etc.) In 2005, UNDP delivered over $4.2 billion in core and trust funds resources: - Democratic governance - $1.4 billion - Poverty reduction - $700 million - Crisis prevention and recovery - $360 million - Energy and environment - $320 million - HIV/AIDs - $220 million V. UNDP Fund Management V. UNDP’s New Initiatives to Improve Fund Management:  V. UNDP’s New Initiatives to Improve Fund Management Robust and state of the art fund management system: i) fully integrated system based on Peoplesoft/Oracle; ii) real time access to information; versatile reporting (snapshot, donor, etc; external access available shortly (Desk officers in-country, etc) State of the art monitoring and independent evaluation system (PRINCE 2 certification as results based project management methodology) that can meet range of requirements: project level, programmatic, country-wide, thematic Efficient operational control mechanisms in place (CAP, ACP, OLPS, OAPR) Minimal set-up costs at the country level required V. UNDP Fund Management:  V. UNDP Fund Management UNDP can provide a range of trust fund services Options include: - Sole manager, UNDP rules and regulations (e.g., UNDP Thematic Trust Funds) - Joint or Pass-Through trust funds that operate in accordance with respective rules and procedures of donors (e.g., International Reconstruction Fund Facility for Iraq) UNDP respond quickly to changing needs: - the administration of a Fund is fully delegated to its designated Manager. - UNDP processes can be customized to meet the unique requirements of each fund: ex: UNDP adapted its financial systems and created specific accountability procedures to respond to the unique performance-based reporting requirements of the GFATM funding mechanism. V. UNDP as a Sole Fund Manager: the Energy/Environment Thematic Trust Fund :  V. UNDP as a Sole Fund Manager: the Energy/Environment Thematic Trust Fund 6 service lines: (1) frameworks and strategies for sustainable development; (2) effective water governance; (3) access to sustainable energy services; (4) sustainable land management; (5) conservation and sustainable use of biodiversity; (6) national/sectoral policy and planning to control emissions of Ozone Depleting Substances and Persistent Organic Pollutants Donors are: Austria; Denmark; France; Germany; Monaco; Netherlands; Norway; USA; World Bank Management of TTF: UNDP’s Bureau of Development Policy (BDP) is responsible for fund management, oversight and policy design, reporting and substantive backstopping Cost recovery = 5% General Management Services (GMS), plus Implementation Support Services (ISS) V. Energy/Environment TTF - Structure:  V. Energy/Environment TTF - Structure V. UNDP as Administrative Manager of a Joint Trust Fund: The International Reconstruction Fund Facility for Iraq (IRFFI) :  V. UNDP as Administrative Manager of a Joint Trust Fund: The International Reconstruction Fund Facility for Iraq (IRFFI) Launched in 04. 26 donors have pledged over $1.4 bn 11 service lines: (1) education/culture; (2) health; (3) water/sanitation; (4) infrastructure; (5) agriculture, water resources/environment; (6) food security; (7) mine action; (8) refugees; (9) governance/civil society; (10) poverty reduction/human development; (11) support to electoral process IRFFI has two trust funds: (1) UNDG TF = $600 million; (2) WB TF = $400 million For UNDG TF, UNDP acts as Administrative Agency (fund manager) as one of 19 UN Implementing Agency Decision making body of UNDG TF = Trust Fund Steering Committee - Comprises representatives of 19 UN implementing agencies - Supported by the Cluster Group for technical inputs Fee as the Administrative Agent = 1% of donor contribution. If a contribution is less than $2 million, the fee is $20,000. If a contribution is over $10 million, the fee is $100,000 V. IRFFI - Structure:  V. IRFFI - Structure V. UNDP as an Implementing Agency of a Global Trust Fund: The Global Fund to fight Aids, Malaria and Tuberculosis (GFATM):  V. UNDP as an Implementing Agency of a Global Trust Fund: The Global Fund to fight Aids, Malaria and Tuberculosis (GFATM) Global Fund A Public-private partnership and the largest global fund of its kind, with over US$ 4.9 billion approved by the Board World Bank as Trustee A mechanism created to give communities and Civil Society Organizations (CSOs) a substantive role in national responses and to ensure their access to funds Role of UNDP: Implementing agency Principal Recipient in weak & fragile states Provision of technical & management assistance Active support in Country Coordinating Mechanisms (CCMs) Support through UN country group Support in Regional Meetings All other grant recipients ($3.07 billion) 386 grants signed in 127 countries UNDP grants ($517 million) in 24 countries Slide20:  V. GFTAM-specific services provided by UNDP Quality Control: Project and Financial Management oversight for all country offices Operational Manual and Guidelines produced for Country Offices Legal agreements Global Long-term Agreements for procurement Global, regional and in-country training Knowledge Management and Networking: Portal Workspace, Knowledge Network, Quarterly Bulletin and distribution of resource materials for Country Offices Disbursement Ratio: UNDP’s disbursement average 85% of grant funds - significantly higher than other Principal Recipient types. Disbursements are made quarterly based on performance and results achieved. Cost structure: All grants incorporate 5% for General Management Services (GMS) and variable support costs based on country specific needs (ISS). UNDP PR countries include: Angola, Argentina (exited Sept. 2005), Belarus, Benin, Burkina Faso, Central African Republic, Cote D’Ivoire, Cuba, Democratic Republic of Congo, El Salvador, Equatorial Guinea, Gabon, Guinea-Bissau, Haiti (exited July 2005), Honduras, Iran, Liberia, Mauritania, Myanmar, Niger, Panama, Sao Tome and Principe, Sudan, Tajikistan, Togo and Zimbabwe. VI. Cost Structure:  VI. Cost Structure UNDP’ cost-recovery consist of 2 elements: 1. General Management Support (GMS): general oversight and management functions of HQ and CO units: - Project identification, formulation and appraisal - Determination of execution modality and local capacity assessment - Briefing and de-briefing of project staff and consultants - General oversight and monitoring - Receipt, allocation and reporting to the donor of financial resources - Thematic and technical backstopping through Bureaus - Systems, IT infrastructure, branding, knowledge transfer 2. Implementation Support Services (ISS): mostly provided by Country Offices to deliver programmes: - Payments, disbursements and other financial transactions - Recruitment of staff, project personnel, and consultants - Procurement of services and equipment - Organization of training activities, conferences, and workshops - Travel authorization, visa requests, ticketing, and travel arrangements - Shipment, custom clearance, vehicle registration, and accreditation ISS are direct costs of the project, therefore should not be considered as UNDP cost. Needs to be agreed between the parties based on the scope of support expected from UNDP Slide22:  Thank You!

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