1 November, 2013

Options for resource allocation in the Green Climate Fund: possible allocation principles and criteria – mitigation


Marion Vieweg

The allocation framework described in this paper is based on the assumption that the allocation decisions with regard to concrete proposals are taken by the GCF Board based on agreed principles, priorities and criteria.

Four key criteria need to be assessed within an allocation framework aimed at supporting transformational change:

  1. Contribution to paradigm shift: how does the activity proposed contribute to the required transformation in the context of the national circumstances?
  2. Effectiveness: how does the activity contribute to mitigate climate change in the short, medium and long term, taking into consideration potential replication?
  3. Efficiency: how much impact is achieved with the funds spent?
  4. Sustainable co-benefits: how does the activity contribute to the sustainable development of the country and generate other potential co-benefits?

These investment criteria need to be translated to more concrete indicators. We discuss country related and proposal related indicators in more detail in the paper. While the competitive allocation will mainly focus on the individual proposal, characteristics of a country will provide valuable insights for the evaluation.