Background

LoCAL is a mechanism for channelling global climate finance directly to local areas in Least Developed Countries for measurable, effective investments in adaptation to climate change that build resilient local communities and economies.

The problem LoCAL is seeking to address.

Climate change is a live issue and one that the Secretary General has made a priority. The scientific case for global warming is effectively proven and it is unlikely that mitigation and carbon controls will be sufficient to prevent higher temperatures overall and more extreme weather conditions.

These changes will have differentiated impacts. Some latitudes may even see some positive benefits, however it is also clear that the tropics and high mountain areas will face the greatest challenges with major changes to ecosystems and food production patterns. These parts of the world tend to contain the poorest and least resilient economies and societies. Climate change is a major development issue for Least Developed Countries and threatens to slow down their development efforts.

Adaptation to climate change is therefore essential to build resilience and even enable opportunities to be seized that can improve livelihoods and economies. There are many large-scale investments required and national governments are implementing plans of action for adaptation.

Yet it is at the local level where most adaptation is planned and executed. This is where responsibility for the many crucially important small to medium sized adaptation investments lies. This includes, but is not limited to, responsibilities for water management (irrigation, drainage, river and sea defences, storage and harvesting); land use and construction regulation (zoning, planning, building standards enforcement); and support to the local economy (agricultural extension, changing cropping patterns, storage and distribution).

There is a further advantage in local adaptation: Climate change itself is highly location specific. Its effects differ from one river valley to the next, and from one elevation to another. Effective adaptation can only be local.

However there is a systemic problem that is holding back local adaptation: The main sources of climate finance are often only accessed through application to national programmes that have specific, earmarked, arrangements and which fall outside of established local decision making processes and public expenditure management cycle. Local governments do not have easy access to these resources and therefore continue to experience unfunded mandates. This leads to the diversion of development funds away from issues like education and economic development in order to finance the incremental costs of climate change adaptation. Big cities like New York have dealt with this challenge by exploring innovative financing mechanisms, something not easily available to smaller urban and rural local governments in Least Developed Countries.

LoCAL responds to this challenge by providing a mechanism with three features: It enables the mainstreaming of Climate Change Adaptation (CCA) into local government’s planning and budgeting systems; it increases awareness and response to climate change at the local level, and; it increases the amount of finance available to local governments for CCA. LoCAL does this by piloting an instrument for programming and verification of climate change expenditure at the local level and using the demonstration of its effect to trigger further flows for local adaptation, including national fiscal transfers and access to global climate finance for local governments (through their national governments) and for private sector and public / private adaptation initiatives. LoCAL will largely work with rural local governments of the lowest or second lowest tier and small towns of under six hundred thousand people.

LoCAL will enable member states to provide effective public and private finance for resilient communities and economies at the local level, thus diversifying their economic base and broadening their national resilience to climate change. It will provide LDCs with a mechanism to attract further climate finance for the local level.

Partnerships

United Nations partnership with UNDP, UNEP and UN Habitat: LoCAL is implemented together with the UNDP and UNEP Poverty and Environment Initiative. For urban areas there is a partnership with UN Habitat. In these partnerships UNCDF brings its flexible operational investment mandate and the other agencies contribute their respective technical expertise. UNDP contributes institutional capacity building, environmental planning and other areas of expertise. LoCAL also leverages UNDP’s country presence, adding a new dimension to country level programmes on climate and environment.

Global partnership with World Resources Institute (WRI) and the Korea Adaptation Centre for Climate Change (KACCC): LoCAL is based on a system of measurable, proven, cost effective local investments in the public and private sectors. This requires global best practice of WRI and KACCC in defining the baseline for adaptation to local climate change and then calibrating the degree to which resilience has been built. UNCDF then has the skills to design the local investment mechanism and the appropriate value of resources given local absorption capacity. UNDP / UNEP / UN Habitat provide the broader capacity support.

Regional partnership with Commonwealth Local Government Forum, ICLEI, Cities Alliance,  and other local government bodies: LoCAL is a system designed for local government direct access to global climate finance. Whilst these resources are channelled through national treasuries they are earmarked specifically for local investments using local platforms. UNCDF leverages its relationships with international local government associations to build the networks required for effective roll-out of LoCAL in both urban and rural areas.

Governance and Ownership

LoCAL is governed by the LDC member states that join the facility. Once a country joins the LoCAL facility it gets a seat on the board. This provides a peer pressure mechanism that encourages countries to ensure that the LoCAL protocols and methodologies are observed.


Strategy for the UN Climate Conference and beyond

It will be important to ensure that the UN Climate Conference can agree on some concrete and specific measures to scale up global action in a measurable and cost effective way. These measures could include UN led mechanisms for the Green Climate Fund to provide quick wins and demonstrate its relevance and responsiveness to the global climate challenge.

One of the issues currently faced by the Green Climate Fund is how to channel its resources. There is a wish to move beyond the GEF model (funds channelled through accredited agencies like UNDP, UNEP and the World Bank). This means looking at forms of direct access for developing countries. However in the light of the mixed experience with budget support there is a reluctance to provide unmediated forms of access.

LoCAL solves this problem by providing a form of mediated direct access to the Green Climate Fund for Least Developed Countries. Funds will be channelled directly to local governments (via central government treasuries) using the existing intergovernmental fiscal transfer system (which in 50% of LDCs was designed with UNCDF technical support). LoCAL works with local governments to ensure that these funds are effectively applied. The system uses Performance Based Climate Resilient Grants, which means that local governments do not need to apply for funds but receive predictable, annual fungible resources that can be used in a variety of ways. An annual performance audit, using national authorities, verifies whether the funds have been correctly used and therefore whether the local government can remain in the system. This is through a standard monitoring and reporting system that pools reports from different countries. This enables tracking of resilience built against desertification, or against glacial melting.

UNCDF has been working with the LDC grouping at the UN to propose LoCAL as a mechanism for mediated direct access to the GCF. This would involve funds flowing directly to those member states that sign the LoCAL MoU. The governments of some member states have already agreed to propose this. LoCAL is currently working with Benin, Bhutan, Tuvalu, Cambodia, Lao PDR, Ghana, Mozambique, Bangladesh, Nepal and Mali.

This would operate in a phased way but would provide an immediate quick win for the GCF and demonstrate a willingness to address the issue of direct access. At the UN conference UNDP and UNCDF can work with these member states to support this proposal. There are a number of development partners that have expressed support for LoCAL to perform this role – some of which have governments represented on the GCF board.

An initial proposal would involve $100m to be channelled through LoCAL for those countries that have already demonstrated an ability to absorb these resources in an effective way. The three-phase process of engagement with LoCAL means that GCF resources would only be required in the third phase.

Summary

LoCAL is a concrete and practical UN designed mechanism for climate adaptation. Engaging Green Climate Fund board members and member states around LoCAL at the UN Summit provides UNDP, UNCDF and other UN agencies with practical solution that will contribute in meaningful ways to building resilience to climate change.

Duties and Responsibilities

The consultant will work as a facilitator to achieve the goal of direct access for LDC local governments from the Green Climate Fund through the LoCAL mechanism. This will require 70 consulting days over 12 months from 20 September 2014. Currently 8 LDCs have signed the Memorandum of Understanding and are implementing the LoCAL framework. The work will include:

  • Support LoCAL at high level meetings, as well as financing and strategic partnership between LDCs, local governments, and UN entities, and for maintaining regular and close contacts through active outreach at all levels to provide effective public and private finance for resilient communities and economies at the local level;
  • Maintain strategic contacts, dialogue and thematic exchanges, including regular MS engagements and inputs to Principals as needed on LoCAL and mechanisms to attract further climate finance at the local level;
  • Promote regional and country-specific UN-to-Government collaboration and financing engagement at strategic and operational levels for climate change resilience;
  • Raise awareness on climate change at the global level, in collaboration with national governments, and other UN entities and relevant partners;
  • Any Other related duties as may be required.

Deliverables:

Working under the guidance of the Director for the Local Development Practice at the UNCDF in Headquarters, New York, the consultant will undertake the following:

Ensure effective support/negotiations for the implementation of the LoCAL programme framework by securing access to GCF for CCA in LDCs, thereby ensuring the further development and strengthening of the response to climate change and its effective financing at the local level - in close collaboration with UNCDF, national and local governments and other UN entities - with the ultimate objective to make the response to climate change at the local level more effective, sustainable and transparent.

Competencies

Corporrate competencies:

  • Demonstrates integrity by modelling the UN's values and ethical standards;
  • Promotes the vision, mission, and strategic goals of UN;
  • Displays cultural, gender religion, race, nationality and age sensitivity and adaptability;
  • Treats all people fairly without favouritism.

Functional competencies:

  • Speaks confidently and exercises diplomacy in dealing with all partners, demonstrating tact, determination and sensitivity;
  • Builds strong relationships, focuses on impact and result and responds positively to feedback;
  • Consistently approaches work with energy and a positive, constructive attitude;
  • Demonstrates openness to change and ability to manage complexities;
  • Ability to lead effectively, facilitation as well as conflict resolution skills;
  • Remains calm, in control and good humoured even under pressure;

Professionalism

  • Expert knowledge of or field experience with political and development strategies for building sustainable green economies; understanding of and respect for the interests and perspectives of different stakeholders in at the local and national level; proven ability to uphold, implement, and evaluate programmes.

Planning and organizing

  • Demonstrated ability to undertake a diversity of tasks within a demanding, multi-stakeholder environment, to prioritize among these tasks, and to work toward short deadlines.

Communication

  • Excellent drafting ability and communication skills, both oral and written, including a proven ability to communicate complex processes or technical information orally and to prepare documents that are clear, concise and meaningful;
  • Proven ability to represent the UN effectively to external stakeholders, such as governments of host countries, donors, and international financial institutions.

Teamwork

  • Superior client orientation and inter-personal skills with a proven ability to work cooperatively with multi-disciplinary teams and staff and managers at all levels.

Required Skills and Experience

Education:

  • Advanced university degree (Master’s degree or equivalent) in international relations, political or social sciences, law, economics, public policy, business administration, or related fields.

Experience:

  • A minimum of 12 years of progressively responsible experience in international relations, development, or environmental issues at the national and international levels;
  • Excellent knowledge of sustainable development, green economy, climate change, ecosystem services
  • Experience working with the UN and Governments at a high level is a requirement;
  • In-depth understanding of issues of green economy, climate change, ecosystems and the role of national and international institutions in these settings;
  • Proven cooperative and senior-level support skills;
  • Significant experience in policy and inter-agency coordination work as well as a strong record leading organisational change and reform processes are requirements;
  • Strong understanding of UN policies, programmes and procedures is highly desirable;
  • Experience in developing and guiding programmes in a multilateral or bilateral context is highly desirable.
  • Proven record of leading high level climate negotiations at the international level.
  • Proven record representing governments at high levels.
  • Experience in leading international development related agencies or networks.

Language: 

  • Proficiency in English language.

Institutional Arrangement

  • Direct supervisor: Director of the Local Development Practice, New York, Headquarters
  • Under the guidance of the Director, the Contractor is expected to liaise/interact/collaborate/meet with in the course of performing the work with UNCDF, government officials, member states, UN entities, Academia, NGOs and other organizations.

Evaluation Scoring:

  • Technical evaluation based on competencies, experience and education (70%)
  • Financial evaluation based on daily fee quoted by applicant (30%);

Total score: 100%.

Application Requirements:

Please upload all documents as one file under "CV".

Annex 1: Board members of the Green Climate Fund

Annex 2: www.uncdf.org/local.