From NDCs to National Climate Investment Plans: domestic investment and climate finance tracking
Transforming the NDCs into financeable investment plans requires an understanding of existing domestic and international flows – private or public – in all countries. Practitioners and country representatives discussed how this data and cross-country comparison can help reorient and scale up financial flows.
Program
Moderator: Ian Cochran, I4CE
Speakers:
- Jane Wilkinson, Climate Policy Initiative
- Lauren McNicoll, OECD Research Collaborative
- Sandra Guzman, GFLAC
- Marek Soanes, International Institute for Environment and Development
Country Reps for Discussion:
- David Kaluba, Zambian Climate Change Secretariat
- Representative from the Indonesian government
Key takeaways :
Tracking domestic climate finance is a key exercise to support NDCs as it allows:
- Report – internally (government, parliament, general public) or externally (EU, UNEP)
- Diagnose – effectiveness (climate, GHG), efficiency (leverage, money), gaps (vs. estimates)
- Compare – with other countries, sectors, etc.
- Recommend – propose how to close the gap
- Coordinate & Plan – a helicopter view, basis for strategies for financing investment, connect capital and pipeline of projects
- Modeling – represent financial channels and their impact the economy
All presenters stressed the importance of moving from NDCs to climate finance plans looking at both the investment costs, but also the methods and means of financing the needed investments. The following statements were made :
- Volume should not be the key focus or indicator: it is essential to look at the efficiency of actions and their impact. This is required both in terms of mitigation and adaptation outcomes, as well as mobilizing additional public and private finance.
- It is key to look at investments and flows going to national and subnational actors as both are in important positions to implement actions and establish key policies.
- Engaging the private sector is necessary as it will play a significant role in scaling up from the billions to the trillions to achieve climate objectives and, as called for by Article 2.1c, align all financial flows.
- Capacity building is needed – both in terms of accessing finance, as well as designing and developing national domestic climate finance plans.