Background
Since the development of the MFF, the Government of Indonesia (GoI) has been striving to achieve a transition from the current brown economy to green economy development pathways. To realise this, it is crucial to integrate the principles of green economy into the processes of policy decision making, namely planning, budgeting, monitoring and evaluation, and audit. As a next step from the MFF, The Green Finance for Development (GFD) project has been requested by the Ministry of Finance to focus on the greening of the budgeting process. The project targets three thematic areas: climate change mitigation, adaptation/disaster risk reduction and biodiversity.
Duties and Responsibilities
- The formulation and coherence of the climate change strategies and policies and whether they address the gender and poverty dimensions of climate change;
- The roles and mandates of the institutions involved in climate actions, poverty reduction and gender mainstreaming;
- The processes of resource allocation and effectiveness monitoring for climate, poverty reduction and gender equality, related activities;
- The interface between NTT local government and various national and international funding sources;
- The identification of climate, poverty reduction and gender equality actions, their allocations, actual expenditures and the sources of these funds;
- The identification of climate actions/expenditures co-benefits in terms of gender equality and poverty reduction;
- The progression of finance through treasury mechanisms to the delivery of services and actions;
- The processes of scrutinizing, monitoring and evaluating the effectiveness of all climate expenditures and their co-benefits regardless of their sources;
- The ongoing process on how to roll out the RAN API in an efficient and effective manner for NTT.
- To conduct CPEIR at the provincial level and in 2 selected districts (Sabu Raijua, Manggarai or East Sumba) as pilot for analyzing the public financing framework for adaptation actions, poverty reduction and gender equality at the community level;
- To provide baseline information and analyses at sub-national level on key climate financing issues with regard to existing policies, institutional arrangement, the planning and budgeting cycle, and non-public sector involvement;
- To provide recommendations to ongoing process on how to finance, implement and monitor RAN API in an efficient and effective manner for NTT;
- Develop recommendations for a climate financing plan to address gender responsive and poverty sensitive climate change adaptation priority issues at subnational level. This could be in the form of a climate fiscal framework (required investments, potential sources of finance, fiscal instruments, delivery mechanisms, and accountability framework).
The CPEIR takes forward several of the issues identified in national climate change strategies and plans and analyses the climate relevant policies, institutions and budgets. The analysis should also adopt a “co-benefits” approach and analyze how the policies, institutions and budgets are impacting poverty reduction and gender equality. Care should be taken by the CPEIR team in this case to reflect national perspectives in the gap analyses to properly contextualize the sub-national issues. For example, the CPEIR should provide recommendations to the ongoing process on how to finance, implement and monitor RAN API in an efficient and effective manner for NTT;
This will include reviewing some of the provincial policies that directly or indirectly relate to Climate Change, particularly in relation to the RAN GRK, RAD GRK and RAN API. As the CPEIR’s focus is one on Adaptation, it should develop recommendations for a climate financing plan to address gender responsive and poverty sensitive climate change adaptation priority issues at subnational level. This could be in the form of a climate fiscal framework (required investments, potential sources of finance, fiscal instruments, delivery mechanisms, and accountability framework). It will also include examining the impact of other legislation that have a direct impact on the delivery of climate change related activities, such as legislation relating to key sectors and policy documents addressing poverty reduction and gender equality such as “the National Strategy to Accelerate Gender Mainstreaming through Gender Responsive Planning and Budgeting”. While there has been significant progress in establishing the necessary institutional arrangements to deal with climate change, limited coordination has constrained strategic resource allocation and efficient climate finance management. The CPEIR will examine the current institutional arrangements to identify where improvements could be made to ensure the setup of institutional mechanisms that will allow the efficient delivery of gender responsive, poverty sensitive climate adaptation public goods and services. In reviewing the institutional arrangements, the team will also explore underlying political economy issues that impact the status quo as well future scenarios that may emerge post CPEIR. The CPEIR should identify institutional opportunities and bottlenecks at the sub national level: The assessment will then analyze the various institutional and organizational opportunities and bottlenecks that are currently in place that either facilitate the effective delivery of climate change related activities and finance. As part of this, there will be an analysis undertaken to unravel the complex relationship between the central government, sector ministries and the provincial/local government for the delivery of gender responsive, poverty sensitive climate finance. This comparison is necessary to highlight any overlaps in roles and responsibilities, gaps in capacity and responsiveness to community needs;
The gender responsive, poverty sensitive CPEIR will review the public financial management systems for planning, allocating, procuring, spending tracking, gender responsive, poverty sensitive climate related expenditures. It will also review any existing monitoring and evaluating system to measure the effectiveness of climate related expenditures and their co-benefits in terms of poverty reduction and gender equality in NTT. This will involve reviewing the integration of climate change, poverty and gender objectives within the resource allocation process including as part of budget planning and implementation. The gender responsive, poverty sensitive CPEIR team will attempt to undertake trend and composition analysis on both budgeted and actual expenditures.
- Identifying the sources of funds and treasury / transfer mechanisms from central government to provincial and district level: There is a need to have a clear understanding about the sources of funds, allocation mechanisms and funds transfer mechanisms from the national to the sub national level. The gender responsive, poverty sensitive CPEIR will identify all current modalities such as the general grant via Government Treasury, donor funding to NGOs, and existing national funds available to provincial government (if any). This should consider both allocation mechanisms and transfer of funds. In doing this, the analysis will look at all institutions at the provincial level who are involved in the delivery of climate, poverty and gender related activities, including: line departments, local governments, CSOs, both national and international;
- Conducting District level case studies: To complement the financial analysis, a case study may be undertaken to provide illustrations of how climate finance is being delivered. The case studies should take into account the poverty and gender dimensions of climate finance. The intention with the case study is to capture the diverse nature of the district levels within the province and the varying levels of capacities of key stakeholders.
The absence of a national definition and a consensus internationally, on what constitutes a body of climate, or climate change, expenditure constrains stakeholders in tracking resources allocated for financing climate actions. The gender responsive, poverty sensitive CPEIR will propose an inclusive methodology to define climate change expenditure that is appropriate in the NTT context, reflecting both adaptation and mitigation related expenditures. The classification methodology should also allow for the identification of poverty reduction and gender equality co-benefits resulting from these climate expenditures. At the same time, there should also be a space for local institutions and practitioners to influence how central government classifies ‘gender responsive and poverty sensitive climate change’ and ‘gender responsive and poverty sensitive climate expenditure’, based on local experiences as well as international practices. Such a classification may be used to inform future national climate policy and plans’, ensuring it is aligned with local planning and budgeting processes. The assignment requires a careful review of planning, budgeting expenditure records and accounts that relate to climate change, poverty reduction and gender equality at local levels and also an assessment of the governance and capacity of institutions in managing gender responsive, poverty sensitive climate finance. The methodological approach requires that the gender responsive, poverty sensitive CPEIR team works inter-actively with the government agencies and other stakeholders to identify the scope of the exercise, priority sectors for in-depth analysis, how to address cross cutting issues such as the poverty reduction and gender equality dimensions of climate finance and a detailed work plan at the inception of the exercise. Given the newness of methodologies in the area of gender responsive, poverty sensitive CPEIRs and the importance of building national capacities, international experience shows that a combination of international and national expertise is important. An initial inception mission will be used for international expertise to train the national technical assistance team and to facilitate consultations over priority focus sectors for the duration of the exercise, as well as well as to ensure an appropriate launch of the gender responsive, poverty sensitive CPEIR through the Fiscal Policy Agency, Ministry of Finance in cooperation with the Ministry of Planning (Bappenas). The consultant will also support regional meetings sharing Indonesia’s experiences.
Gender Responsive, Poverty Sensitive CPEIR Report
- A review of existing policies and regulatory frameworks on climate change at national and provincial levels.
- A review of key sectoral plans and linkages to the climate change as stated in the RAN-API;
- A review of how climate change and sectoral plans through a poverty reduction and gender equality lens.
- A review of any other issue relevant to climate change in the NTT context;
- An identification of gaps in the 4 steps above and recommendations to address them.
- A review of existing institutional arrangements to address climate change at national and provincial levels and between them;
- A review of the allocation of climate change business between public institutions at national and provincial levels and between them;
- A review of the capacities of institutions and institutional arrangements to address climate change at national and provincial levels and between them;
- A review of the existing coordination mechanisms at national and provincial levels and between them;
- A review of all the institutions and mechanisms reviewed above through a poverty reduction and gender lens.
- An identification of gaps in the 4 steps above and recommendations to address them;
- An analysis illustrating how gender responsive, poverty sensitive climate finance is mainstreamed into the annual budget cycle and medium term fiscal framework. This includes reviewing the annual and medium term planning, budget formulation, budget execution, tracking, monitoring and evaluation phases of the cycle and their responsiveness to gender responsive, poverty sensitive climate finance. Reforms necessary to strengthen the country systems and their ability to attract additional domestic and foreign funding should be highlighted.
- A review of on and off-budget domestic inter-governmental transfer mechanisms and how they could be strengthened;
- A methodology to define gender responsive, poverty sensitive climate finance;
- A classification and measurement of domestic expenditures according to their climate, gender and poverty relevance based on the definitions developed in the previous step;
- A review of foreign financed funding mechanisms (on and off budget) to provincial government and NGOs and classification and measurement according to the methodology developed above if possible;
- District level case studies will enhance the analysis and should be included as annexes to the full report. The case studies address, but not limited to: 1) The review of financing structure for implementation of climate adaptation activities. 2) The review of existing fiscal measures, incentives and Public Private Partnerships. 3) A financing Plan for expenditures to meet the sub-national climate adaptation targets. 4) Recommendations for next steps.
- Lesson learning document and dissemination strategies for other Indonesian provinces;
- Lesson learning document and dissemination strategies for regional south-south exchanges.
Provision of monitoring and control
- Proposal: Brief motivation letter (not more than one page) indicating why the applicant thinks is an outstanding candidate for the job including a methodology on how applicant will approach and complete the assignment;
- Financial proposal: The financial proposal must indicate lump sum professional fee in USD;
- Personal CV and/or P.11 including past experience in similar projects and the name and contact details of 3 references.
The contract will be based on lump sum amount
The contractor is expected to travel to Indonesia. In the case of unforeseeable travel, payment of travel costs including tickets, lodging and terminal expenses should be agreed upon, between the respective business unit and Individual Consultant, prior to travel and will be reimbursed.
Contract Duration
- 9 months (May 2014 - January 2015).
Duty Station
The assignment will be undertaken in Indonesia. The consultant will be working in part-time and home-based basis with travel to various districts in Indonesia.
Competencies
- Demonstrated strategic technical and intellectual skills in the substantive area;
- Demonstrated leadership, facilitaiton and coordination skills, ability to manage technical team and long-term strategic partnership;
- Demonstrated entrepreneurial abilities and ability to work in an independent manner;
- Demonstrated ability to work in team with strong communicaiton skills
- Demonstrated ability to work under pressure and time constraint; and
- Excellent written and oral communication skills.
Required Skills and Experience
Education:
- Master’s Degree in Economics, Finance, Environment, Social Science or other related field
Experience:
- Minimum 5 years of experience in economics of adaptation, climate change policy, institutional arrangements, accountability and coordination mechanisms for climate change adaptation and Public financial management ;
- Familiarity with government planning systems and institutional roles;
- Ability to interact with senior government officials;
Language requirement:
- Fluency in both English and Bahasa is desirable
Evaluation:
The award of contract will be made to the individual consultant whose offer has been evaluated and determined as:
- Responsive/compliant/acceptable; and
- Having received the highest score out of pre-determined set of weighted technical and financial criteria specific to the socilitation.
Technical Creteria weight: 70%
- Experience related to services: 30 points
- Written test/proosal and interview result: 30 points
- Expertise and availability: 40 points
Financial Proposal weight: 30%
Only candidates obtaining a minimum of 350 technical points would be considered for the Financial Evaluaiton.