Transcript Financial Product Development

Sustainable Tourism
Financing workshop
GEF Presentation
Paris
December 10-13, 2007
Mission of the GEF
Provide Grants for the Incremental Costs of
achieving Global Environmental Benefits in
support of sustainable development in 6 focal
areas:
•
•
•
•
•
•
Biological Diversity
Climate Change
International Waters
Land Degradation
Ozone Layer Depletion
Persistent Organic Pollutants (POPs)
Operational Principles
1.
Convention Guidance
2.
Incremental Costs
3.
4.
5.
6.
7.
8.
9.
10.
Cost-Effectiveness
Country Ownership
Flexibility and Learning
Transparency
Public Involvement
Eligible Countries
Catalytic Role and Leverage
Monitoring and Evaluation
GEF Organizational Chart
CBD
UNFCC
UNDP
DONORS
STAP
POPS
ASSEMBLY
CCD
COUNCIL
Multilateral
Fund of
Montreal
Protocol
CEO / CHAIRMAN
International
Waters
IAs / EAs
EO
WB
NGOs
GEF
SECRETARIAT
UNEP
ADB
AfDB
Private
Sector
EBRD
FAO
IDB
IFAD
UNIDO
 Operational with pilot phase in 1991
 The Financial Mechanism for: UNFCCC;
UNCBD; Stockholm Convention
 A Financial Mechanism for: UNCCD
 Collaborates with other treaties and
agreements to reach common goals
(International Waters, Montreal Protocol)
GEF Funding
 39 Donor Countries: U.S. 22.43%, Japan
22.20%, Germany 16.66%, France 10.96%, UK
10.93%
 Up to 2007, GEF has disbursed about $7.4
Billion and leveraged over $28 Billion in cofinancing to over 160 developing countries
 GEF-4 Replenishment (4yr): $3.13 Billion
Cumulative Historical Allocation
through August 2006
Total Allocation $6784.9 Billion
Global
2500
Regional
Millions of $
2000
Country
1500
1000
500
0
Biodiversity
Climate
Change
Intl.
Waters
Multifocal
Ozone
PoPs
GEF3
Land
GEF3
-
Persistent
Organic
Pollutants
(POPs)
Ozone
Depletion
Multi-focal
Areas
Land
Degradation
International
Waters
Climate
Change
Biodiversity
Cumulative Historical Allocation
through December 2007
3,000.00
2,500.00
2,000.00
1,500.00
1,000.00
500.00
GEF Funding of Tourism Projects to
Countries through Agencies
1. Biodiversity FA through
•
BD Strategic Objective 1: Catalyze sustainability of protected
area systems – component
•
BD Strategic Objective 2: Mainstream Biodiversity in production
land/sea-scapes and sectors - project
2. International Waters FA through
•
Strategic Program 1: Restoring and sustaining coastal and
marine fish stocks and associated BD - component
3. Climate Change FA through
•
Strategic Objective 8: Support pilot and demonstration projects
for adaptation to climate change: SCCF – component small
project
4. Small Grants Program
5. GEF Public Private Partnership Initiative
GEF Tourism Projects Examples
Country
Project Name
Focal
Area
GEF
Agency
Project
Type
Approval /
Endorsement
Mozambique
Transfrontier Conservation Areas
and Sustainable Tourism
Development Project
BD
WB
FSP
2004
Indonesia
Komodo National Park
Collaborative Management Initiative
BD
WB/IFC
FSP
2001
Regional (Senegal,
Nigeria, Ghana, Kenya,
Mozambique, Seychelles,
Tanzania, Cameroon,
Gambia
Demonstrating and Capturing Best
Practices and Technologies for the
Reduction of Land-sourced Impacts
Resulting from Coastal Tourism
IW
UNEP
FSP
2006
Regional (Belize, Ecuador)
Mainstreaming Biodiversity
Conservation into Tourism through
the Development and Dissemination
of Best Practices
BD
UNEP
MSP
2005
Regional (Czech Republic,
Hungary, Poland)
Conservation and Sustainable Use
of Biodiversity through Sound
Tourism Development in Biosphere
Reserves in Central and Eastern
Europe
BD
UNEP
MSP
2005
Regional (Bolivia, Costa
Rica, Mexico, Peru, Belize,
Ecuador, El Salvador,
Panama, Paraguay)
EcoEnterprises Fund
BD
WB/IFC
MSP
2002
Tourism Proposals Submitted to GEF
Country
Project Title
Agency
Project
Type
Status
Date
Ecuador
Promoting Biodiversity Conservation through the
Implementation of the National Ecotourism
Strategy (NES)
UNDP
FSP
Pending
2006
Fiji
Adaptation to Climate Change in the Tourism
sector in Fiji Islands
UNEP
MSP
PDF A
2006
Global
Integrating Biodiversity Considerations into the
Tourism Sector: Creating an Enabling Environment
for Sustainable Tourism Policy Development
UNEP
MSP
PDF A
1999
Guatemala
Promoting Eco-Tourism in Guatemala to
Strengthen the National Protected Areas Network
UNDP
FSP
PDF A
2005
Maldives
Implementing Tourism Adaptation to Climate
Change
UNDP
MSP
PDF A
2006
Panama
Mainstreaming Biodiversity Conservation into the
Tourism and Fisheries Sectors Operating in the
Archipelagos of Panama
UNDP
FSP
PDF A
2005
Regional
(Namibia, South
Africa, Zambia)
Open Africa North South Tourism Corridor
(OANSTC)
WB
MSP
PDF A
2006
Montenegro
Montenegro Tourism Development - under
Investment Fund for the Mediterranean Sea LME
Partnership
WB
FSP
Pending
2005
Serbia
Protected Area Financing through Tourism
UNDP
MSP
Pending
2006
GEF Public Private Partnership (PPP)
Initiative
A strategic investment program with the
private sector in competitive environmental
technological and financial solutions and
scaling up the use of pilot instruments to
benefit developing countries and produce
global environmental benefits
PPP Key Elements
 Funds platforms to provide systemic approaches to
address specific environmental challenges
 Governance of the PPP parallels GEF structure and will
include a PPP Board and Platform Steering Committees
consisting of representatives from the private sector,
foundation NGO, GEFSEC and GEF Agencies
 The Trustee stands ready to establish a GEF PPP Trust
Fund to receive a GEF $50 million allocation as well as
funding from multilateral and bilateral aid, the private
sector, foundations, and NGOs
Organizational Structure of the PPP
Projects Platforms
PPP
Biofuels Platform
1. Prize for second
generation liquid
biofuels
2. Biofuels
demonstration
projects
Tools
3. Etc.
Coastal Water
Treatment
Platform
Clean Energy
Finance Platform
1. Membrane Bioreactors
Grants for product
development of:
Wastewater Treatment
Prize
1. Energy efficiency equity
funds
2. Wastewater Treatment
System Guarantees 2. Insurance for renewable
energy infrastructure
3. Coastal ecosystem PES
risks
with Tourism Industry
3. Etc.
Financial Product Development
Inducement Prizes
Two Initial Tools for Engagement
Developed in Partnership with Private Sector
Financial Product Development
Inducement Prizes
Financial Product Development
 High development costs are barrier for creation of new
financial products for developing countries
 Financial Institutions in North interested in developing
new products to investment in clean energy in the
South


Energy efficiency
Renewable Energy
 PPP will provide grants to share incremental costs of
financial product development in GEF priority areas


Financing vehicles to provide needed capital to
projects, e.g., private equity funds or consumer
lending products
Insurance vehicles to manage project risks e.g.,
specialized products to mitigate commercial
development risks of renewable energy infrastructure
in developing countries
Inducement Prizes
 Lack of capital and incentives for innovative
technological solutions for environmental challenges of
developing countries
 Develop strict peer-reviewed rules for a needed solution
 Offer public prizes and investment capital to attract
globally diverse competitors
 Prize media attracts capital and bring public awareness
to a global problem
 Competition can result in multiple viable competitors
and a new market
 Demonstration projects support feasibility and
dissemination of the new technology in developing
countries
Inducement Prize Examples
2004: The Ansari X PRIZE
revolutionized personal
space flight
• Inspired 26 teams from seven nations
• Generated public awareness through
over 5 Billion media impressions
• Stimulated regulatory reform
• Ignited the personal spaceflight
revolution
• Created a $1B industry in less than two
years
Criteria for Engagement & Financing
with the Private Sector
 Incremental & additional – beyond regular business and
current activities
 Catalytic and self-sustaining
 Driven and Substantially co-financed by the private
sector
 Supports GEF focal area strategies and meet all GEF
project criteria
 Open to all private sector actors
Thank you
www.thegef.org