Climate Financing in Uganda is predominantly from international sources in the form of Multilateral and Bilateral Funds. Uganda is making effort towards having local/regional financing directed towards climate action. Uganda Development Bank Limited a key local financier is in the process of greening its funding instruments.
Green Climate Fund (GCF)
The GCF is the world’s largest climate dedicated fund set up by the United Nations Framework Convention on Climate Change (UNFCCC) in 2010 aimed at helping developing countries reduce their greenhouse gas emissions and enhance their ability to respond to climate change.
The GCF has gathered pledges worth USD 10.3 billion since it launched its resource mobilization in 2014 and the fund pays particular attention to the needs of societies that are highly vulnerable to the effects of climate change, in particular Least Developed Countries (LDCs), Small Island Developing States (SIDS), and African States.
GCF funding can be accessed through the GCF’s Accredited Entities developing funding proposals, in close consultation with NDAs or focal points, based on the country’s climate finance needs.
Funding proposals can be submitted in the different funding windows namely; 1. Requests for Proposals (RfP), 2. Simplified Approval Process (SAP) and 3. Project Preparation Facility (PPF). All interested parties can only access funding through the accredited entities.
For more information on access to the Fund click here
Global Environmental Facility (GEF)
The Global Environment Facility (GEF) was established on the eve of the 1992 Rio Earth Summit to help tackle our planet’s most pressing environmental problems. Since then, the GEF has provided close to $20.5 billion in grants and mobilized an additional $112 billion in co-financing in 170 countries. GEF funds are available to developing countries and countries with economies in transition to meet the objectives of the international environmental conventions and agreements. In Uganda, the Fund has availed over 117 million dollars towards climate change project interventions.
All projects and programmes seeking GEF funding must meet a set Eligibility Criteria and can be accessed through four modalities: 1. Full-sized projects, 2. Medium-sized projects, 3. Enabling activities and 4. Programmatic approaches.
More information on how to access to GEF fund can be found here.
Climate Investment Fund (CIF)
The CIFs was established in 2008 are administered by the World Bank, but operate in partnership with regional development banks including the African Development Bank (AfDB), the Asian Development Bank (ADB), the European Bank for Reconstruction and Development (EBRD) and the Inter-American Development Bank (IDB).
The CIFs finance programmatic interventions in selected developing countries, with the objective of improving understanding of how public finance is best deployed at scale to assist transformation of development trajectories. The CIFs have a total pledge of USD 8.24 billion. They include a Clean Technology Fund with USD 5.48 billion in contributions and USD 2.75 billion in cash transfers to projects to-date, and a Strategic Climate Fund (SCF), with USD 2.76 billion in contributions and USD 856 million in cash transfers to projects as of October 2017
Adaptation Fund (AF)
The Adaptation Fund was established under the Kyoto Protocol of the United Nations Framework Convention on Climate Change, and since 2010 has committed US$ 720 million to climate adaptation and resilience activities. The Fund is financed in part by government and private donors, and also from a two percent share of proceeds of Certified Emission Reductions (CERs) issued under the Protocol’s Clean Development Mechanism projects. The Fund is supporting five adaptation projects in Uganda to the tune of USD 32 million.
To apply for project and programme funding, countries must submit proposals through an Accredited Institution. There are 3 categories of Accredited Institutions namely; 1. National Implementing Entities (NIEs), 2. Regional Implementing Entities (RIEs) and 3. Multilateral Implementing Entities (MIEs). Proposals that meet the funds set Eligibility criteria are accepted three times a year: twice before the biannual Adaptation Fund Board meetings and once during an intersessional review cycle.
More information on how to access the Adaptation fund can be found here.