Transcript PPCR Phase I – Private Sector Scoping Study

Preparation of a Strategic Pilot Program for Climate
Resilience (PPCR) Project - Phase I
(November 2010- January 2013)
Climate Investment Funds (CIF)
Grant No. TF097459
through ADB and World Bank
Preparation of a Strategic Pilot Program for
Climate Resilience (PPCR) Project - Phase I
Consultative Workshop on
PPCR Phase I Implementation
23-24 April 2012
Private Sector Scoping Study
Prepared by:
Mr. Keo Chamroeun, [email protected]
Mr. Michele Mottolese, [email protected]
www.CamMoE-CCD-PPCR.org.kh
www.pilot-program.blogspot.com
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TORs for a Scoping Study on PS Engagement in CCA
• Background: The private sector scoping study as one of the two
activities under Component 3, linked to SPCR implementation.
• Objective: To formulate specific private sector interventions for
inclusion in the detailed design of Cambodia’s SPCR and possibly
other climate change adaptation projects.
• Sectors: agriculture, rural infrastructure, water resources.
• Target: Organized farmers, MSMEs, Companies and Institutions,
NGOs, MDBs, Government agencies participating in the program
• Outputs: 1 Study report; 1 Mission report, 1 PowerPoint
• Timeframe: Mid Feb – Mid July 2012
• Human Resources: 2 Consultants and inputs from PPCR Team.
www.CamMoE-CCD-PPCR.org.kh
www.pilot-program.blogspot.com
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Methodology and Work Plan
Methodology
• Desk review; semi-structured interviews with Key Informants,
included data collection; Selected field visits; Technical Meetings
• Market Development Analysis approach
Work Plan
- Desk Review
- Key Informant
Interviews
- Milestone:
matrix with initial
options
Mid Feb - March
www.CamMoE-CCD-PPCR.org.kh
www.pilot-program.blogspot.com
- More KIIs
- Field visits
- Technical
meetings
- Milestone:
Report Outlines
April - May
- Follow-up KIs
- Draft report,
collection of
feedback
- Milestone: final
Report produced
June - Mid July
PPCR Phase I – Private Sector Scoping Study
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Report Structure
Sections
Executive Summary (in English and Khmer)
Introduction and Overview
Legal and Institutional Background
Objective of the Mission
Results and Financial and Economic Aspects
Findings and Analyses
Conclusions and Recommendations
www.CamMoE-CCD-PPCR.org.kh
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CCA and Private Sector Vulnerabilities
• Vulnerability: the degree to which a system is susceptible to, and
unable to cope with, adverse effects of climate change (IPCC 2007)
• Agriculture sector as most vulnerable due to its high dependence
on climate and because of low adaptive capacity (ADB, 2009, CHDR,
2011). Climate Change increases challenges for water management
and infrastructures (SPCR).
• Examples of vulnerabilities:
• General awareness of PS but lack of practical options.
• Changing of rice planting patterns and need for more farming
flexibility. A similar scenario applies to the fishery sector.
• Clients of MFIs affected by 2011 flooding have difficulties in repayment, which increase lending risk.
www.CamMoE-CCD-PPCR.org.kh
www.pilot-program.blogspot.com
PPCR Phase I – Private Sector Scoping Study
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www.CamMoE-CCD-PPCR.org.kh
www.pilot-program.blogspot.com
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CCA and Private Sector Opportunities
• Adaptive Capacity: the ability of a system to adjust to climate
change to moderate potential damages, take advantage of
opportunities, or cope with the consequences (IPCC 2007).
• Solid Policy Framework for both CC mainstreaming and PS
support.
• Examples of response to CC do exist and have three characters:
• Facilitated access to credit
• Deployment of ‘know-how’, appropriate technologies and
business services.
• Partnership among private sector, civil society, public sector.
• New international mechanisms for CC finance and technology
transfer can provide new opportunities for Cambodia, but crosssector coordination, and partnership with private sector is
necessary (CHDR, 2011).
www.CamMoE-CCD-PPCR.org.kh
www.pilot-program.blogspot.com
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Engaging Private Sector in CCA (1/2)
To engage PS in investing in CCA, we suggest to work
simultaneously in:
• Supporting Expansion of Financial Services, expanding MFIs and
other institutions credit via credit guarantees and other measures
such as TAs, allowing PS to reduce costs of investment
• Supporting Expansion of Non Financial Services: transfer of
know-how, business management, access to better inputs,
markets, infrastructures, to reduce risks for investments
• Who: Ministries and Sub-National level, Development Partners
and NGOs, Private Sector
• How: PPP; climate change development assistance can play a
triggering role with a multiplier effect
www.CamMoE-CCD-PPCR.org.kh
www.pilot-program.blogspot.com
PPCR Phase I – Private Sector Scoping Study
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Engaging Private Sector in CCA (2/2)
Sample Diagram of Market System
www.CamMoE-CCD-PPCR.org.kh
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PPCR Phase I – Private Sector Scoping Study
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Initial Findings for PS Engagement (1/3)
Agriculture
Develop framework for innovative micro-credit lines
Supporting the development of resilient rice seeds market
Support rice-millers in investing in gasifies; expanding biodigesters
programme
Enhancing rice-millers post-harvest facilities via innovative credit
line
Crop insurance and other micro-insurances
Support climate change adaptation in fishery sector
Enhancement of CC-related businesses among MSMEs via propoor VCM
www.CamMoE-CCD-PPCR.org.kh
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PPCR Phase I – Private Sector Scoping Study
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Initial Findings for PS Engagement (2/3)
Rural Infrastructures
Developing PPP framework for Climate proofing rural
infrastructures
Capacity building for national Consulting and Construction firms
Promotion of PS investments in provincial roads via BoT model
PS investments in provincial markets and other infrastructures
/services
Expanding hybrid rural electricity enterprises (mini-grids).
www.CamMoE-CCD-PPCR.org.kh
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Initial Findings for PS Engagement (3/3)
Water Resources
Options for Private Sector involvement in O&M in irrigation
schemes
Supporting expansion of small irrigation schemes via credit
provision
Options for enhancing drip-irrigation markets
Evaluating drinking water via PS concessions
Drinking water via solar panels
www.CamMoE-CCD-PPCR.org.kh
www.pilot-program.blogspot.com
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Inputs for Target Areas of Reference
• SPCR engagement:
• Agriculture & water supply: Koh Kong and Mondulkiri
• Agriculture & business adapt.: BTM, KCM, KTH, SRP
• Provincial roads: PRV, SVR, KCN, KSP
• South. Corridor towns: Poipet, BTB, Neak Leung, Bavet.
• Flood-resilient infrastr.: BTM, SRP, KTH, BTB, PST, KCM
• S-Medium scale irrigation: KTH, BMC, SRP
• Flood and drought management: PST, Kratie
• Commercial/Agricultural Activities: High in BTB, PRV, KCM.
• Environmental vulnerability: Very high in BTB, PRV; High in KCM,
KCN, KTH, SVR (Source: NAPA 2006).
www.CamMoE-CCD-PPCR.org.kh
www.pilot-program.blogspot.com
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Some Points for The Way Forward
• Boosting partnership among social investment funds, MFIs,
Ministries, Project developers.
• Governance and O&M of irrigation schemes.
• Agricultural seeds markets expansion and flexibility in farming.
• The continuum mitigation – adaptation
• Sector-specific Technical Meetings
Day 2: Multi-stakeholder Platform
• RGC/Donors/NGOs/PS partnership in supporting appropriate
technology development and reduction of business risk.
• Emergency, rehabilitation and DRR: PS/NGOs synergies
• A platform for awareness raising and information sharing.
www.CamMoE-CCD-PPCR.org.kh
www.pilot-program.blogspot.com
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Thanks
www.CamMoE-CCD-PPCR.org.kh
www.pilot-program.blogspot.com
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