Key GEF Policies Seminar for GEF Project Agencies (Introduction to the GEF) Washington, DC November 1, 2013 Presentation by Andrew Velthaus

Presentation Overview 1.Explain key GEF Governance Documents 2.Overview of GEF Policy Framework Reform 3. Detailed discussion of Key Policies NOT covered by in other presentations 4.List of other GEF Policy Documents

Foundational & Governance Documents GEF Instrument – GEF’s “Charter” Not a legal institution; an agreement between 3 “Implementing Agencies” (IAs) (UNDP, UNEP, WB) Establishes Purpose, Participation & Eligibility, Governance & Structure, etc. Amendment requires agreement of Assembly & 3 Implementing Agencies MOUs with Conventions Govern the relationship between the GEF and 4 (soon to be 5) Conventions for which GEF serves as a/the financial mechanism. Council & Assembly Rules of Procedure

Governance Documents (cont’d) Scientific and Technical Advisory Panel Established by GEF by Instrument; Governed by Council-approved Terms of Reference (amended 2012) GEF Evaluation Office Established through Council Decision; Governed by Terms of Reference & GEF Monitoring and Evaluation Policy Agency MOUs and Financial Procedures Agreements LDCF & SCCF Trust Funds Established through UNFCCC COP & GEF Council Decisions. Governance - GEF Council agreed to meets as LDCF/SCCF Council. Nagoya Protocol Implementation Fund (NPIF) Established by GEF Council; governed by GEF Council.

GEF Policies & Policy Documents Until now GEF Policy (or “Operational Policy”) = (a) Council Decision (in the Summary of the Chairs) + (b) relevant Council Documents. “Guidelines” and “procedures” sometimes been approved by Council or simply posted as Council “Information Documents.” System not user friendly as definitions not clear (are Council documents the same as “Policies?”), not clear what policies are parts thereof are still in force. Need to clarify types of documents & definitions, approval authority, and document management system (cataloguing, updating, etc.) Dissemination, education, and enforcement has also been lacking. Starting process to significantly clarify definition, storing, dissemination, and education on GEF Policies and Policy Documents

Proposed GEF Policy Framework Types and Hierarchy of Policy and Procedure Documents Policy: A statement of principles or values approved by the GEF Council that mandates or constrains activities undertaken to achieve the institutional goals of the GEF Secretariat. A Policy’s legal power is higher than that of procedures and guidelines. Procedures: A set of instructions or process that must be followed to adhere to a particular Policy or to accomplish an operational function or a specific task. Procedures are approved by the GEF CEO with the responsibility for the relevant Policy or relevant operational area or subject matter. Guideline: Additional information to help explain or implement a particular policy. Guidelines are approved by the CEO or by Team Leaders with responsibility of the relevant Policy or relevant operational area or subject matter. Guidelines have the lowest power in the strata of Policies, Procedures and Guidelines.

Policies on GEF Project Agencies Accreditation Policy & Procedure Policy: See Broadening the GEF Partnership under Paragraph 28 of the GEF Instrument, Council Document GEF/C.40/ Procedure: Accreditation of GEF Project Agencies (GEF/PR/IN/04) Defines “GEF Project Agencies;” notes same policies as 10 GEF Agencies for projects, but not for “corporate activities”. Fee Policy For GEF Partner Agencies (GEF/PL/FI/04) Sets fees for GEF Partner Agencies (GPAs) at 9% (excludes compensation for GEF “corporate activities.” Notes GPAs “will not participate in GEF corporate activities.” “Corporate activities” includes “policy support” (“development and revision of GEF policies, strategies, business plans, and guidelines”) and “support to evaluation office.”

Incremental/Additional Costs GEF funds the “agreed incremental" costs of agreed global environmental benefits (GEBs). For LDCF/SCCF, it is the “additional adaptation costs”. Costs in reference to an agreed baseline or “business as usual” scenario or project w/o GEBs or adaptation measures. Previously relied on complex calculation of incremental costs. Since 2007, approach based on five- step incremental reasoning approach. Determine environmental/adaptation problem, threat, or barrier, & the “business-as-usual” scenario Identify the global environmental benefits (GEBs)/adaptation benefits and fit with GEF priorities within GEF focal area strategies and priorities; Develop the results framework of the intervention; Provide the incremental/additional reasoning and GEF’s role; and Negotiate the role of Co-financing.Co-financing Operational Guidelines for the Application of the Incremental Cost Principle (

Co-financing Co-financing Policy: Approved by Council in May 2003, through Council Document GEF/C.20/6/Rev.1, Co-financing. Comprises the total of cash and in-kind resources committed by governments, other multilateral or bilateral sources, the private sector, NGOs, the project beneficiaries and the concerned GEF agency. May be funding necessary for achieving the agreed global environmental benefit or adaptation benefit. May include baseline-financing if essential to meet relevant GEF objective. No formal policy on minimum co-financing ratios, but GEF-4 average ratio of 1:5.5 (e.g. GEF: co-financing). For GEF-5, it is thus far 1:7. Variance between focal areas: CC-M 1:10; BD and POPs of 1:4. Aiming to revise Policy in 2014.

Public Involvement Policy Policy: Public Involvement in GEF Projects, GEF/PL/SD/01 Approved by GEF Council in April 1996, based on paragraph 5 of the GEF Instrument. Effective public involvement is critical to the success of GEF-financed projects, with emphasis on local participation. Includes five principles and related requirements that all GEF Partner Agencies are required to follow to ensure public involvement in the design, implementation, and evaluation of GEF-financed projects. GEF Partner Agencies must describe (in PIF and CEO endorsement) how they have ensured public involvement in project design and will continue during implementation.

Information Disclosure GEF Instrument, Para. 5: “GEF-financed projects shall provide for full disclosure of all non-confidential information. GEF practices are summarized in GEF Practices on Disclosure of Information, Council Document GEF/C.41/Inf All documents for Council disclosed - unless contain confidential information, such as CEO performance review, etc. Includes all project documents - PIFs, CEO endorsement request & full project proposal - and GEFSEC review sheet & STAP Screen. GEF also relies on Agency information disclosure/ access to information policies (including those required under GEF Safeguards Policy.

GEF Communication and Visibility Policy Policy: Proposal for Enhancing Visibility of the GEF, Council Document GEF/C.40/08. To Ensure that GEF and its funding is visible & recognized. Includes GEF Communication and Visibility Guidelines, which all GEF Partner Agencies must follow. (Included in GEFSEC-Agency MOUs). Requires that contractual agreements between Agencies and executing entities to reflect the role of GEF funding and mandate adherence to GEF Communication and Visibility Guidelines Guidelines include basic rules and specific requirements on: GEF logo and ensuring GEF visibility in press releases, conferences; site visits; publications; electronic communications; display panels & commemorative plaques; banners; vehicles, supplies, equipment, promotional materials, hand photographs and audiovisual productions.

GEF Policy & Procedures Website For form information, please consult: For GEF Policies and Strategies For key GEF Policy and Procedure Documents:

Additional Policies and Procedures Project Cycle Policies and Procedures: M&E Policy & Evaluation Guidelines: STAR Policy: for_Transparent_Allocation_of_Resources pdf for_Transparent_Allocation_of_Resources pdf Operational Procedures for the STAR : Environmental Safeguards – Policies and Procedures: Gender Mainstreaming:

Additional Policies and Procedures Roles & Responsibilities of GEF Entities: Comparative Advantage of GEF Agencies (GEF/C.31/5/Corr.1) pdf pdf Operational Policies and Guidelines for the Use of Non-Grant Instruments (GEF/C.33/12) rants%20paper.pdf

Thank you for your attention. Andrew Velthaus Senior Policy Officer Operations and Business Strategy GEF Secretariat