The GEF-7 System of Transparent Allocation of Resources (STAR) GEF Expanded Constituency Workshop Nadi, Fiji July 2019

Background The mechanism by which GEF resources are allocated to countries in three focal areas – Biodiversity, Climate Change, and Land Degradation STAR aims to allocate scarce GEF resources in order to: maximize impact on the global environment promote sound environmental policies and practices meet Convention requirements match country-driven priorities

Calculating STAR Allocations 1 Available Focal Area Funds 2 Calculate “Country Scores” 3 Calculate Preliminary Country Allocations 4 Adjust for Floors and Ceilings 5 Obtain Final Allocations 6 Determine post-allocation Flexibilities

Available Focal Area Funds Total Envelope Focal Areas STAR Focal Areas less Set Asides Country Allocations

Calculating STAR Allocations 1 Determine Available Focal Area Funds 2 Calculate “Country Scores” 3 Calculate Preliminary Country Allocations 4 Adjust for Floors and Ceilings 5 Obtain Final Allocations 6 Determine post-allocation Flexibilities

Country Performance Index Global Benefits Index Biodiversity Marine Terrestrial Climate Change Emissions Forestry Land Degradation Drylands Area Affected by Land Degradation Rural Population Country Performance Index GEF Portfolio Performance PIRs TERs Institutional Assessment Public Sector Management and Institutions Policy and Institutions for Environmental Sustainability GDP Index GDP per capita The STAR Indices Country Score = GBI 0.8 CPI 1.0 GDP -0.12

Calculating STAR Allocations 1 Determine Available Focal Area Funds 2 Calculate “Country Scores” 3 Calculate Preliminary Country Allocations 4 Adjust for Floors and Ceilings 5 Obtain Final Allocations 6 Determine post-allocation Flexibilities

Preliminary Country Allocations Country Share = Country Score / Sum of Country Scores for all eligible countries Preliminary Allocation = Country Share * Available Focal Area Funds Based on each country’s Country Score, a Country Share is calculated as follows To determine each country’s Preliminary STAR Country Allocation in each STAR Focal Area, the Country Share is multiplied by the amount of STAR Resources in each STAR Focal Area.

Calculating STAR Allocations 1 Determine Available Focal Area Funds 2 Calculate “Country Scores” 3 Calculate Preliminary Country Allocations 4 Adjust for Floors and Ceilings 5 Obtain Final Allocations 6 Determine post-allocation Flexibilities There are also series of ceilings and floors to ensure that no country gets either too many or too few resources in each focal area.

for non-LDCs (US$ million) Floors and Ceilings Focal Area Floor for LDCs (US$ million) for non-LDCs (US$ million) Ceiling % Ceilings (US$ million) Climate Change 1.5 1 10% 80.15 Biodiversity 3 2 129.20 Land Degradation 47.52 TOTAL 6 4

Calculating STAR Allocations 1 Determine Available Focal Area Funds 2 Calculate “Country Scores” 3 Calculate Preliminary Country Allocations 4 Adjust for Floors and Ceilings 5 Obtain Final Allocations 6 Determine post-allocation Flexibilities

Final Allocations Adjustments for floors and ceilings mean there is a surplus or deficit relative to the preliminary allocation This is then allocated among countries using the country scores Process iterates until the full amount has been allocated among countries

Calculating STAR Allocations 1 Determine Available Focal Area Funds 2 Calculate “Country Scores” 3 Calculate Preliminary Country Allocations 4 Adjust for Floors and Ceilings 5 Obtain Final Allocations 6 Determine post-allocation Flexibilities

Flexibilities and Marginal Adjustments Flexibilities relate to the utilization of GEF resources. If total STAR allocation is… Allowed Marginal Adjustment is: …less or equal to $7 million Unlimited (“fully flexible”) …larger than $7 million $2 million or up to 13% of their total STAR allocations.

Approximate Calculation: Trinidad and Tobago BIODIVERSITY CLIMATE CHANGE LAND DEGRADATION GBI 0.15 0.09 0.31 CPI 4.01 GDPI 17321.88 COUNTRY SCORE (GBI0.8 CPI 1.0 GDP-0.08) 0.27 0.19 0.48 SUM OF COUNTRY SCORES 125.22 98.44 136.95 COUNTRY SHARE 0.0022 0.0019 0.0035 FOCAL AREA ALLOCATION 1031.25 511.00 354.06 PRELIMINARY COUNTRY ALLOCATION 2.23 0.97 1.25 FINAL COUNTRY ALLOCATION 2.07 1.05 1.16 TOTAL ALLOCATION = 4.27 MILLION (FULLY FLEXIBLE COUNTRY)

  BD CC LD Total M/A Cook Islands 2.00 1.00 4.00 Fully flexible Fiji 6.13 8.13 Indonesia 64.59 12.04 2.25 78.88 Kiribati 3.14 1.50 6.14 Marshall Islands 3.31 5.31 Micronesia 4.46 6.46 Nauru Niue Palau 2.06 4.06 PNG 17.31 19.31 2.51 Philippines 32.86 4.28 1.11 38.25 4.97 Samoa Solomon Islands 7.31 10.31 Timor-Leste 3.00 6.00 Tonga 2.89 4.89 Tuvalu Vanuatu 3.91 6.91

Question 1 Country A has the following STAR allocations: Biodiversity = $4 million Climate Change = $4 million Land Degradation = $2 million Does this country have full flexibility in the use of its resources? Why, or why not? Is this country allowed any marginal adjustment across focal areas? If so, how much?

Question 2 Country B has the following STAR allocations: Biodiversity = $2 million Climate Change = $2 million Land Degradation = $1 million Does this country have full flexibility in the use of its resources? Why, or why not? Is this country allowed any marginal adjustment across focal areas? If so, how much?

GEF-7 Results Framework & Monitoring Policy

CONTINUOUS IMPROVEMENT OF THE RESULTS ARCHITECTURE (GEF- 4) Early steps towards a GEF-wide approach to results (GEF-5) Implementation of the GEF's approach: tracking tools for all focal areas, annual monitoring reviews (GEF-6) High-level, GEB indicators Replenishment-level targets First Corporate Scorecard Emerging lessons on tracking multiple benefits (GEF-7) New results framework 11 core indicators Ambitious targets Systematic capture of results data in GEF Portal (targets & actuals) New results reporting IATI compliance (Beyond GEF-7) Harnessing data and information on results for evidence-based decision-making and learning

GEF-7 11 Core Indicators & Target Terrestrial protected areas created or under improved management for conservation and sustainable use (million hectares) 200 Marine protected areas created or under improved management for conservation and sustainable use (million hectares)  8 Area of land restored (million hectares) 6 Area of landscapes under improved practices (million hectares; excluding protected areas)  320 Area of marine habitat under improved practices to benefit biodiversity (million hectares; excluding protected areas)     28 Greenhouse Gas Emissions Mitigated (million metric tons of CO2e)     1500 Number of shared water ecosystems (fresh or marine) under new or improved cooperative management 32 Globally over-exploited marine fisheries moved to more sustainable levels ( thousand metric tons) 3500 Reduction, disposal/destruction, phase out, elimination and avoidance of chemicals of global concern and their waste in the environment and in processes, materials and products (thousand metric tons of toxic chemicals reduced) 100 Reduction, avoidance of emissions of POPS to air from point and non-point sources (grams of toxic equivalent gTEQ) 1300 Number of direct beneficiaries disaggregated by gender as co-benefit of GEF investment   Monitored

Monitoring & Evaluation Plan Monitoring Policy (Council approved in June 2019) Concept Approval CEO Endorsement Implementation Reporting Monitoring & Evaluation Plan Project Results Framework, incl. indicators, baselines & targets Expected Results across applicable Core Indicators & Sub-Indicators Timeline of planned M&E activities Expected submission dates for Mid- Term Reviews, Terminal Evaluation, budget report Arrangements for Stakeholder Engagement & Information disclosure ANNUAL IMPLEMENTATION REPORT Project status GEF funding disbursement Implementation progress & risk rating MID-TERM EVALUATION (learning & adaptation) Achieved Results across applicable Core Indicators & Sub-Indicators TERMINAL EVALUATION Portfolio Monitoring & Reporting Indicative expected Results across applicable Core Indicators & Sub-Indicators

Full-Sized Project Cycle Step 2 Council Approval of Concept Trustee sets aside GEF financing; disburse 20% Agency fee STAP advisory Step 1 GEF SEC Clearance of Concept Agency project appraisal Agency project concept submission START OFP project concept consultation & development Agency fully developed project submission 12 mon from step 2 Step 3 GEF CEO Endorsement 18 mon from step 2 Step 5 Financial Closure 12 mon from step 4 Trustee disburse GEF financing Step 4 Terminal Evaluation Agency internal project approval & implementation begins Agency: 1st disbursement to country Trustee commits 50% Agency fee Agency Annual project implementation report Mid-term evaluation - Trustee disburse 30% Agency fee

GEF-7 CORE INDICATOR GUIDELINES Consistent application and reporting of results on GEF-7 indicators across all GEF projects and programs, and across the GEF Partnership. Clear technical definitions and methodological guidance for each core indicator and sub-indicator http://www.thegef.org/sites/default/files/documents/Results_Guidelines.pdf

GEF-7 SUB-INDICATOR TYPES COMPONENT: the data entries are made at sub-indicator level, and these mutually exclusive entries sum up to the core indicator value

GEF-7 SUB-INDICATOR TYPES CONTEXTUAL: the sub-indicators provide additional context for the core indicator, and the data entry is made at the core indicator level

NEXT STEPS Tracking/reporting of progress to targets through the GEF Portal is live and undergoing continuous improvements Revised reporting, monitoring and analyses The capture of disaggregated information on gender results and socio-economic co-benefits The IP rollout is underway Managing approvals for greater results

GEF Portal Measuring and reporting of results throughout the project life cycle Expected results at Council approval & CEO approval/endorsement stage Achieved results at Mid-term evaluation & Terminal evaluation stage Project documents & results data published on GEF website Real-time reporting Enhancing the capture of qualitative information