Terms of Reference
Expert Consultant: Climate Finance Mapping in Indonesia: Mobilising finance for local climate change solutions
Introduction
"Climate action is needed at the international, regional and national level, but how can the delivery of international climate finance be improved so that it is more effective in reaching the local level" (Soanes et al., 2017). Local communities are expected to be most affected by the impacts of climate change owing to a lack of adaptive capacity (IPCC, 2014).
There is also likely to be a disproportionate effect mostly on women within these local communities. The role of women as change agents and protectors of natural environments and resources is often ignored (Price, 2021). Despite the impacts of climate change being felt more acutely at the local level, climate finance decision-making continues to be made at a high level with local actors playing a minor role in defining the interventions and the subsequent management of funds (Coger et al., 2021).
At present, most local financing is reliant on public climate finance delivered in a top-down manner. The true quantum of climate and development funding that reach the local level is not known but is estimated to be less than 10% or US$1.5 bn of international, regional, and national funds between 2003 and 2016, which indicates a major imbalance in the flow of these funds between national and local levels (Soanes et al., 2017). This is also demonstrated by current Green Climate Fund (GCF) access. By the end of 2020, of the 103 Accredited Entities (AE), only six are Civil Society Organisations (CSOs) accounting for only 4% of approved projects (Hirsch, 2021).
About Yayasan Humanis dan Inovasi Sosial
Yayasan Humanis dan Inovasi Sosial/ Humanist and Social Innovation Foundation (hereinafter: Yayasan Hivos) has been officially established in Indonesia on March 2021 prior to its decade-long presence through Dutch-based Hivos. For its decentralization and locally-shaped progress, Yayasan Hivos is in the phase of developing its strategy along with relevant guidelines and policies that align with its core principle as a humanist organization.
Aim and Objectives
To provide a comprehensive overview of promising climate finance instruments that have or can be used for increasing local climate finance at scale in Indonesia.
The objectives of this consultancy are to:
1. Map out existing climate finance and channels available in Indonesia (public/government budget (national, regional) and international funds) with its sector priorities and mechanisms.
2. Reviewing selected climate finance mechanisms used in a local financing context.
3. Map out key relevant stakeholders involved include development programs/players who are providing technical assistance in this area.
4. Illustrate the current flow/mechanism for these climate funding can be accessed by relevant stakeholders.
5. Evaluating any promising blended finance solutions where public climate finance has been used to stimulate private sector flows.
6. Discussing the success and barriers inhibiting the financial flows reaching the local level as well as possible measure to reduce these barriers.
7. Outlining recommendations that could stimulate greater local climate finance for communities and how to link global funds to local instruments and needs.
Deliverables
Climate Finance Landscape Report in Indonesia.
Duration:
The consultancy will take place between January-March 2021 with maximum 30 working days and will sit/coordinate closely with Yayasan Hivos staff.
Reporting
The consultant will report directly to Arti Tjakranegara, CEM Voices for Climate Action program
Expression of interest
Letter or expression of interest along with CVs and portfolio delivering similar work to be sent to hr@hsi.foundation on Sunday, 5th of December 2021 at the latest.
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