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Download English | Meeting of the Board GCF/B.19/22/Add.02 27 February - 1 March 2018 2018 Songdo, Incheon, Republic of Korea Provisional agenda item 15 6 February Consideration of funding proposals – Addendum II Funding proposal package for FP060 Summary This addendum contains the following three parts: a) A funding proposal summary titled “Water Sector Resilience Nexus for Sustainability in Barbados (WSRN S-Barbados)”; b) No-objection letters issued by the national designated authority(ies) or focal point(s); and c) Environmental and social report(s) disclosure; Water Sector Resilience Nexus for Sustainability in Barbados Project/Programme Title: (WSRN S-Barbados) Country/Region: Barbados/Caribbean Accredited Entity: Caribbean Community Climate Change Centre Date of Submission: _____________________________ Contents Section A PROJECT / PROGRAMME SUMMARY Section B FINANCING / COST INFORMATION Section C DETAILED PROJECT / PROGRAMME DESCRIPTION Section D RATIONALE FOR GCF INVOLVEMENT Section E EXPECTED PERFORMANCE AGAINST INVESTMENT CRITERIA Section F APPRAISAL SUMMARY Section G RISK ASSESSMENT AND MANAGEMENT Section H RESULTS MONITORING AND REPORTING Section I ANNEXES Note to accredited entities on the use of the funding proposal template • Sections A, B, D, E and H of the funding proposal require detailed inputs from the accredited entity. For all other sections, including the Appraisal Summary in section F, accredited entities have discretion in how they wish to present the information. Accredited entities can either directly incorporate information into this proposal, or provide summary information in the proposal with cross-reference to other project documents such as project appraisal document. • The total number of pages for the funding proposal (excluding annexes) is expected not to exceed 50. Please submit the completed form to: [email protected] Please use the following name convention for the file name: “[FP]-[Agency Short Name]-[Date]-[Serial Number]” PROJECT / PROGRAMME SUMMARY GREEN CLIMATE FUND FUNDING PROPOSAL | PAGE 1 OF 90 A A.1. Brief Project / Programme Information Water Sector Resilience Nexus for Sustainability in Barbados A.1.1. Project / programme title (WSRN S-Barbados) A.1.2. Project or programme Project A.1.3. Country (ies) / region Barbados/Caribbean A.1.4. National designated authority (ies) Ministry of Finance and Economic Affairs A.1.5. Accredited entity Caribbean Community Climate Change Centre A.1.5.a. Access modality X Direct ☐ International Executing Entities: Caribbean Community Climate Change Centre and The Barbados Water Authority (BWA) A.1.6. Executing entity / beneficiary Beneficiary: The Population of Barbados and The Barbados Water Authority (BWA) A.1.7. Project size category (Total investment, million ☐ Micro (≤10) X Small (10<x≤50) USD) ☐ Medium (50<x≤250) ☐ Large (>250) A.1.8. Mitigation / adaptation focus ☐ Mitigation ☐ Adaptation X Cross-cutting A.1.9. Date of submission September 1, 2017 Contact person, position Dr. Kenrick Leslie A.1.10. Organization Caribbean Community Climate Change Centre Project Email address [email protected] contact details Telephone number (501)-822-1094 / (501)-822-1104 2nd Floor, Lawrence Nicholas Building, Ring Road, P.O. Box Mailing address 563, Belmopan, Belize, Central America. A.1.11. Results areas (mark all that apply) Reduced emissions from: X Energy access and power generation (E.g. on-grid, micro-grid or off-grid solar, wind, geothermal, etc.) Low emission transport (E.g. high-speed rail, rapid bus system, etc.) Buildings, cities and industries and appliances (E.g. new and retrofitted energy-efficient buildings, energy-efficient equipment for companies and supply chain management, etc.) Forestry and land use (E.g. forest conservation and management, agroforestry, agricultural irrigation, water treatment and management, etc.) Increased resilience of: Most vulnerable people and communities(E.g. mitigation of operational risk associated with Climate Change – diversification X of supply sources and supply chain management, relocation of manufacturing facilities and warehouses, etc.) X Health and well-being, and food and water security (E.g. climate-resilient crops, efficient irrigation systems, etc.) Infrastructure and built environment (E.g. sea walls, resilient road networks, etc.) Ecosystem and ecosystem services (E.g. ecosystem conservation and management, ecotourism, etc.) PROJECT / PROGRAMME SUMMARY GREEN CLIMATE FUND FUNDING PROPOSAL | PAGE 2 OF 90 A A.2. Project / Programme Executive Summary (max 300 words) Please provide a brief description of the proposed project/programme, including the objectives and primary measurable benefits (see investment criteria in section E). The detailed description can be elaborated in section C. The “Water Sector Resilience Nexus for Sustainability in Barbados (WSRN S-Barbados)” project will result in a paradigm shift that makes the Barbados society aware of the water cycle and climate change impacts threatening the island’s drinking water supply, create resilience to severe weather impacts, reduce greenhouse gas emission, reduce consumption, promote appropriate uses of diverse water sources and legislations to support climate smart development and water sector resilience. This will be achieved by employing renewable energy technology, creating a Revolving Adaptation Funding Facility (RAFF), decentralising water storage, increasing rainwater harvesting, building technical capacity, helping to shape policies and legislations related to climate change, raising greater awareness about climate variability and change and providing a platform of knowledge and resources to support further climate change adaptation in the Caribbean. The main objectives of the projects are to: 1. build greater resilience to extreme storm events and drought conditions by utilizing cleaner energy sources, decentralising water storage, promote rainwater harvesting at the household and community level, and improve the efficiency with which rainwater runoff replenish aquifers in Barbados. 2. further advance adaptation and mitigation initiatives in the water sector of Barbados by redirecting and mobilising local funds through a revolving adaptation fund. 3. reduce the greenhouse gas emissions intensity of water provision by integrating renewable energy with back-up natural gas turbines and sustainable Water Loss Reduction (WLR) initiatives. 4. contribute to capacity building via knowledge sharing and lessons learnt platforms within communities, educational organizations, private sector, civil society, BWA and the Government of Barbados to manage and monitor water resources. 5. support the review and development of a legislative framework to supports climate smart development and water sector resilience. 6. collate and disseminate lessons learnt for use in developing further adaptation and mitigation initiatives and raising public awareness about climate change, water conservation, recycle and reuse, the revolving adaptation fund, Green Climate Fund and in general this project. The project will produce four main outcomes: (1) improved/increased resilience to storm events and BWA’s carbon footprint reduced; (2) adaptation and mitigation initiatives expanded through a revolving fund; (3) improved resilience to climate change and disruptions in water supply; and, (4) increased capacity building, public-private-partnerships (PPP) and innovation for climate resilience in the water sector of Barbados. The resulting impacts of this project are: 1. reduced greenhouse gas emissions and the intensity of greenhouse gas emissions in the provision of water. 2. increased adaptation and mitigation actions by households and communities. 3. swift and immediate adaptation and mitigation actions by mobilising localised funds for climate action. 4. more reliable availability of potable water to the public (improved water and food security). 5. increased use of lessons learnt and climate information by communities, educational organizations, private sector, civil society, BWA and the Government of Barbados for sustainable solutions to climate change. 6. improved legislative environment that supports climate smart development and water sector resilience. 7. greater awareness about the effects of climate variability and change by the population of Barbados and the wider Caribbean. 8. scalable and replicable in other Caribbean Countries. The major beneficiaries are the population of Barbados, which in 2016 was estimated by World bank at 284,215. A.3. Project/Programme Milestone Expected approval from accredited entity’s Board (if applicable) 31/01/2018 Expected financial close (if applicable) dd/mm/yyyy Estimated implementation start and end date Start: 01/09/2018 End: 31/12/2023 Project/programme lifespan 5 years 3 months. FINANCING / COST INFORMATION GREEN CLIMATE FUND FUNDING PROPOSAL | PAGE 3 OF 90 B B.1. Description of Financial Elements of the Project / Programme Please provide: • an integrated financial model in Section I (Annexes) that includes a projection covering the period from financial closing through final maturity of the proposed GCF financing with detailed assumptions and rationale; and a sensitivity analysis of critical elements of the project/programme The financial model will be represented in Section 1(Annex) in excel. The financial analysis uses BWA current financial position, operating revenue and cost, as the baseline. Several parameters are considered including: population growth in Barbados, discount rate, inflation rate, water tariff,
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