Climate Finance of Thailand Accessing Finance for Green Growth and Low Emission Development Strategies (LEDS)

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1 Climate Finance of Thailand Accessing Finance for Green Growth and Low Emission Development Strategies (LEDS) Sheraton Hanoi Hotel in Vietnam, March 12-14, 2014.

2 DRAFT Climate Change Master Plan ( ) Vision: Thailand has achieved climate resilience and low carbon growth in accordance with sustainable development agenda Mission: Build climate resilience for Thailand s development by mainstreaming climate change adaptation into development planning of all sectors and levels Reduce GHG emission and establish policy instruments to encourage sustainable and lowcarbon development Develop appropriate knowledge base, databases and technologies to support climate change adaptation and low-carbon development Enhance capacity and awareness of development partners at all levels to enable effective engagement in executing climate change policy and plan Strategy: ADAPTATION MITIGATION CROSS-CUTTING ISSUES 1. Water Resource Management 2. Agriculture and Food Security 3. Tourism 4. Public Health 5. Natural Resource Management 6. Settlements and Human Security 1. Power Generation 2. Transport 3. Buildings 4. Industry 5. Waste Management 6. Agriculture 7. Forestry 8. Urban Management 1. Database, R&D and Technological Development 2. Policy Instrument Development 3. Awareness and Capacity Building 4. Enhancement of International Cooperation

3 Strategies Priorities: ADAPTATION CROSS CUTTING MITIGATION Policy Instruments Agriculture Power Generation WRM Public Health Trans-port Buildings Nat Res Mgmt Settlements & Human Security Tourism Awareness, Capacity Building Intl Cooperati on Urban Mgmt Data, R&D, Technology Agriculture Waste Mgmt Industry Forestry

4 DRAFT CC Master Plan Short-term (2016) vulnerability mapping 19% biodiversity protected area and 5,000 rai (about 800 hectares) additional mangroves annually 50% of coastal cities with coastal restoration plan establishment of NAMAs and MRV development of policy instruments to encourage lowcarbon growth Medium-term (2020) forecasting and early-warning climate insurance systems national adaptation fund 40% growth in forest cover maximum conservation area for biodiversity protection all coastal cities with coastal restoration plan Long-term (2050) & continuous more farm land and farmers with irrigation system more farm land outside irrigation area with water resource development more farmers in hot spots with training on natural disaster management and vocational training more farmers with climate insurance less climate-related agricultural loss per agricultural GDP more land in natural disaster hot spots with soil and water conservation and restoration more managed surface water more population with access to clean water more natural disaster hot spots with surveillance systems

5 DRAFT CC Master Plan Short-term (2016) center or platform for climate change R&D network databases including GHG emission database, GHG mitigation registry, database to support climate change negotiations development of relevant action and/or strategic plans in line ministries Medium-term (2020) 20% reduction of GHG emission from energy and transport sectors, relative to BAU 25% share of renewable energy in final energy consumption more municipalities with over 10 m 2 per capita of urban green space development of local-level action plans on climate change adaptation smart grid technology deployed Long-term (2050) & continuous fewer endangered species more eco-tourism 20% reduction of final energy consumption relative to BAU 25% reduction in energy intensity relative to BAU more public transport travel less GHG emission from land transport sector more low-carbon and environmentalfriendly investments in industry less open dumping area more farm land with GAP or organic standards less agricultural burning less GHG emission per GDP

6 1. International Financial Resources Green Climate Fund Adaptation Fund Clean T Fund Forest C Partnership Facility Road Map for C-Finance Mechanism CF Institution? CF Planning Delivering Tracking M & E Mitigation (Low C Society) Institution Climate Finance Adaptation (C Resilient Society) Climate Finance & Ins2tu2on Public Finance Private Finance 2. Domestic Climate Finance Mechanism DRAFT CC Master Plan Government Budget Fund Energy Fund Environmental Fund C-Market CDM T-VER Tax Excise C-Tax 6 Mobilizing Resources Maximizing Benefit Subsidy : FIT, Forest Bank

7 Ins2tu2on of Public Finance Policy and Planning Agency NESDB: Na*onal Economic and Social Development Board ONEP: Office of Natural Resources and Environmental Policy and Planning Fiscal Policy Office Implementing Agency Ministry of Energy Ministry of Transport Ministry of Industry Ministry of Agricultural and Coopera*ve Ministry of Natural Resources and Environment Ministry of Science and Technology TGO Green Growth

8 Sources: 1. Domes2c Annual Budgetary (for government agencies) Energy Conserva*on Promo*on (ENCON) Fund (For public & private sectors) Environmental Fund Private Banks (For public & private sectors) 2. Interna2onal Coopera2on Financial Support GIZ, UNDP, UNEP, USIAD, JICA/JABIC, GEF, etc. According to the preliminary classifica*on, climate budget represents around 0.5% of GDP and 2.7% of the government total budget (of ) 8

9 Environmental Fund Climate Change and Disaster 1. Building Capacity for Climate Change Adaptation 2. Greenhouse Gas Mitigation and Increasing GHG Absorption Sources 3. Awareness Rising and Public Participation on Climate Change 4. Building Institutional Capacities and Coordination 5. Encouraging and Development of Community to be Low Carbon Society

10 Fund Alloca2on from Environmental Fund In 2014 Fund Alloca*on is Bath 1,100 million or US$ 36 million US$ 5 million for GHG Mitigation 11 US$ (Million) Soft Loan (70%) 25 Grant for Natural Resources and Environment Project (30%)

11 Mitigation International Cooperation on Climate Change Capacity Building JICA - Climate Change International Technical and Training Center (CITC) UNDP, UNEP, UNIDO - capacity of National Climate Change Committee Secretariat and Climate Change Coordinators (CCCs) UNDP, UNIDO - EE and RE systems through pilot project. GIZ - Climate Protection in Tourism Project UNDP - Low Emission Capacity Building (LECB) Program USAID - Low Emissions Asian Development (LEAD) program Adaptation Capacity Building JICA - Project for Bangkok Master Plan on Climate Change UNDP - Capacity of local/sub national level stakeholders enhanced to translate the implementation of National Strategy on Climate Change Adaptation World Bank - Organize National and Regional Trainings on Cross Sectoral Adaptation and Mainstreaming Adaptation into Development Planning involving experts from different fields EU - Low Carbon Municipality Research NEDO - The Model Project for Reducing Energy Consumption in a Commercial Building in Thailand MOE&IGES - Low Carbon Asia Research Network (LowCAR-Net) GIZ - Climate Protection in Tourism Project GEF5 - Achieving Low Carbon Cities through Local Sustainable Urban Systems Management in Thailand (in collaboration with UNDP) UK Gov t (Properity Fund) - Low Carbon Policy in Agriculture Sector Using Co-benefit Model WRI - Measurement and Performance Tracking in Developing Countries (MAPT) Financing World Bank - TH-CF-Livestock Waste Management Project World Bank - Thailand Small Scale Livestock Waste Management Program World Bank - Clean Fuels and Environmental Improvement Project World Bank - Thailand: Partnership for Market Readiness (PMR) Research UNDP - Climate change adaptation and disaster risk reduction. Financing EU MRC Program on Climate Change and Adaptation Initiative

12 Thank You! For further information: Office of Natural resources and Environmental Policy and Planning (ONEP) Tel: Ext or 6597 Fax: