Standard Format for Additional Biodiversity EA Funding Request

Proposal for Additional Funding of a Biodiversity Enabling Activity1

Country name: Peru

Project Title: Assessment of Capacity Building Needs for Implementation of the Convention on Biological Diversity

Country Eligibility: Peru ratified the UN CBD in 1993

GEF Financing: $222,850

Government Contribution: In kind

Estimated Total Budget: $222,850

GEF Implementing Agency2: UNDP

National Executing Agency: CONAM

GEF Operational Focal Point: CONAM – CARLOS SOLDI

CBD Operational Focal Point: CONAM – LUIS CAMPOS BACA

CHM Focal Point: CONAM – MARIA LUISA DEL RIO

Estimated Starting Date: December 2000

Duration: 12 months

Enabling Activities Status

Peru commenced its Enabling Activities in 1997 and developed a National Strategy for Biodiversity. The overall budget for the EA was $227,150, of which $9,250 was designated for the CHM activities. This has now been spent and the results are detailed below.

A policy framework for biodiversity (with priorities on the use and conservation of biodiversity) was published in September 1999. However, the National Strategy is still in draft form and is awaiting approval by the National Technical Committee.

The National Biodiversity Strategy has identified priority actions required for conservation of biodiversity. The document needs to gain the commitment of the relevant sectors to be involved in its implementation. This is planned through a consultation phase, already designed in an Operational Plan. Finally, the Strategy will need the approval of the National Technical Committee before becoming public.

1 this format can only be used by countries which have already received GEF support for Enabling Activities under the expedited procedures 2 if different from that of the earlier EA the proposal will justify why a change in the IA is required

D:\Docs\2018-04-22\057ec2c0e0177910dcecfa17557a9439.doc 1 In addition, Regional Environmental Action Plans are being developed in nine departments in Peru in order to build capacity in the provinces. They are being developed by government, NGO and academic institutions. However, in order to be completed they need further consultation. Both IUCN and a Finnish funded project, BIODAMAZ, are providing supplementary assistance to the EA process. IUCN will carry out certain of the remaining sectoral and thematic consultations. The Finnish will assist in the implementation of the National Biodiversity Strategy in the Amazon.

Nevertheless, there are still some gaps in the process that will need further funding. This includes:

- the regional environmental action plans on biodiversity in seven departments – Amazonas, Huancavelica, Apurímac, Ayacucho, Ica, Huánuco and Pasco; - a monitoring program; and - an analysis of the relationship between the underlying causes of biodiversity loss and existing national economic policies and incentives.

The National Council for the Environment (CONAM) considers these gaps important and estimates that it needs an additional $60,000 to develop them.

The Clearing House Mechanism (CHM) to develop internet biodiversity information dissemination and exchange in Peru was started in October 1998. It was made public in 1999 and is now an important source of information. The website receives approximately 60 visitors a day, indicating the significant demand for information concerning biodiversity in Peru and also the effectiveness of the service. However, the system is now beginning to suffer as it receives no technical maintenance and the information is not being updated.

Peru has also submitted its first National Report for Biodiversity to the CDB Secretariat.

The Implementing Agency and the GEF focal point of Peru have satisfied themselves that the proposal for additional funding complies with the Operational Criteria for the expedited financing of biodiversity enabling activities.

Project Objectives

The project objective is to carry out a needs assessment of the priority capacity building measures for areas identified as priorities for the implementation of the National Biodiversity Strategy and for further CHM related activities.

The priorities identified by CONAM for the implementation of the National Biodiversity Strategy are the following:

1) Capacity needs assessment for designing and implementing economic incentive measures for biodiversity protection. 2) Capacity needs assessment for developing and implementing a national program for the conservation and sustainable use of biodiversity important to agriculture. 3) Capacity needs assessment for developing and operating national monitoring programs including taxonomy.

It is proposed that the majority of assistance within these areas will focus on the regional departments of: Huanuco, Apurimac, Ica, Cerro de Pasco and Amazonas.

D:\Docs\2018-04-22\057ec2c0e0177910dcecfa17557a9439.doc 2 The proposed objective for the CHM is to access information to assist in drafting a sustainable strategy for CHM in Peru.

In addition, the project will enable the preparation of the Second National Report to be presented to the Convention on Biological Diversity.

Priorities for Assessing Capacity Building Needs

The three selected priorities are in accordance with COP priorities. CONAM, the national authority responsible for environment and the Enabling Activities, selected the priorities, based on three criteria: most underdeveloped areas within the National Biodiversity Strategy, relevance to national policy and feasibility of implementation. The priorities thus have come from the Strategies financed under the initial EA. The consultation phase in identifying these priorities within both the National Report for Biodiversity and the National Biodiversity Strategy (including the Regional strategies) have been extensive. The National Biodiversity Strategy (including the Regional strategies) has been developed with the participation of almost 3,000 stakeholders.

The result of the evaluation and selection process carried out by CONAM is the following:

1) Development of Economic Incentive Measures: this priority was identified in both the National Report on Biodiversity and the National Biodiversity Strategy. The latter also proposed the need to strengthen the capacity for incentive measures in the different sectors that influence biodiversity

2) Conservation and Sustainable use of Biodiversity Important to Agriculture: Peru contains a high variety of genetic resources for agriculture and domestic animals. However, current agricultural policy does not promote sustainable agricultural practices or the in-situ or ex-situ conservation of agricultural genetic resources. Thus the existing genetic resources are currently at risk. Therefore the draft of the National Strategy for Biodiversity prioritized the ‘development of agricultural diversity for ecological reasons and genetic resources.’ Specifically the Strategy called for the selection of species for commercialization and export. Regional development plans also include provisions for Agrobiodiversity. Finally, the COP 4 – approved an agricultural biodiversity programme. However, there is little national capacity to implement such a programme.

3) Monitoring: The CBD requires a monitoring programme to be produced. This has not yet been done yet as there have been few activities in Peru to set up a national monitoring program. The National Biodiversity Strategy has identified this as a major weakness. Furthermore, the regional Departments, through consultation, expressed a priority need to improve their scientific knowledge from monitoring programmes.

Proposed Needs Assessment Activities and Products

In this section the proposed activities, for each priority areas, to be funded by the GEF for additional biodiversity Enabling Activity are described.

1) Develop and implement economic incentive measures for biodiversity protection

D:\Docs\2018-04-22\057ec2c0e0177910dcecfa17557a9439.doc 3 Activities: An ad-hoc team compiled by CONAM and composed of economists, policy makers and private sector representatives will: a) Review existing economic policies and instruments for biodiversity protection such as user fees, penalties, subsidies and taxation, which create either positive or negative incentives for environmental degradation. b) Identify additional economic incentive measures which will be most appropriate and identify barriers to designing and implementing them in different sectors – mining, oil, industry (trade), fishing, agriculture, forestry. This is essential in order to identify precisely the capacity building needs in the field of environmental economics so that effective policies can be developed for the different sectors. c) Consultations with the key organizations within the country will be undertaken to discuss capacity needs for the specific economic instruments identified in task B.

Individual and focus group consultations with national and departmental government level (in six Regional Environment Commissions – Cucso, Arequipa, Madre de Dios, Piura, Trujillo, Ica), NGOs, consultancies and academic institutions, will identify their capacity building needs so that they can design and implement economic instruments and the necessary infrastructure (eg information systems) for their implementation can be developed.

The private sectors to be affected by economic instruments - mining, oil, industry (trade), fishing, agriculture, forestry – will also be consulted so that they do not act as obstacles to future government endeavors in this field. A workshop will be held to identify their capacity needs so that they will be able to adapt behavior in a cost-effective manner to the new incentives (eg provision of technology) with them.

Product: An assessment of the current economic incentives for biodiversity protection and a strategy for building capacity to design and implement within national government, six Regional Environmental Commissions, NGOs, consultancies, academic institutions and six economic sectors - mining, oil, industry (trade), fishing, agriculture, forestry. This will include identifying training programs the need to hire additional staff (environmental economist), the suitability of designing environmental economics courses in the national university and the need for further awareness raising in, and coordination with, the private sector.

2) Conservation and Sustainable Use of Biodiversity Important for Agriculture

Activities: The Coordination group will start this component by organizing a roundtable workshop. The participants of the workshop will be national Agrobiodiversity experts, entrepreneurs, local authorities and associations (such as the National Agrarian Federation and Maca Valley agricultural producers). The workshop will:

- review current weaknesses in national capacity for the conservation and sustainable use of biodiversity important for agriculture; - analyze the implementation of international Agrobiodiversity projects in Peru, to identify problems; - identify priority areas for improvement in legislation, regulation and institutional arrangements to ensure optimal development of an Agrobiodiversity program; and

D:\Docs\2018-04-22\057ec2c0e0177910dcecfa17557a9439.doc 4 - identify obstacles for developing and achieving the priority improvements e.g. lack of legal know-how.

Specialized sessions during the workshop will be used to prepare an action plan for building capacity in order to design and implement a national program for the conservation and sustainable use of biodiversity important for agriculture.

Additionally 12 Departmental workshops will be organized to identify and assess capacity needs at a regional. Government departments, NGOs, farmer based community groups and large-scale private sector agro-businesses will attend these. The project team will also liaise with FAO, CDS and OMC.

The action plan for building capacity formulated in the national workshop will then be integrated with the results of the Departmental workshops and consultation with donor agencies in order to develop a comprehensive and integrated capacity building strategy.

The high level of participation in the proposed process will ensure that this strategy will be accepted by all government authorities and economic sector involved in promoting Agrobiodiversity in Peru.

Product: A consultant along with the selected coordination group will produce a status report on the progress to-date, the weaknesses and bottlenecks in Peru to developing and implementing a strategy for Agrobiodiversity. This will be produced as a discussion document based on the outputs from the national workshop.

The main output will be the development of a national program for capacity building, agreed by national and local stakeholders, to overcome the identified barriers. The strategy will include priorities for Agrobiodiversity, human resource development needs, institutional and responsibility sharing arrangements, possible financial mechanisms for conservation and sustainable use of agro-biodiversity and the activities needed to establish and operate them.

3) Monitoring

Activities: The needs assessment will be carried out by the already established team responsible for developing a national information system.

The team will review the status of the current monitoring systems; identify the current problems preventing effective monitoring and subsequent use of data. The team will particularly look at the capacity needed to standardize GIS systems in the different projects and institutions carrying out monitoring in Peru. This will require assessing both technical capacity and institutional capacity to centrally manage the information systems and feed it to decision-makers. The team will consult with those institutions who currently run the monitoring systems: INRENA, the Ministry of the Presidency, CONIDA, the Ministry of Energy and Mines, the National Geographic Institute, Regional governments, Universities and NGOs. The team will also consult with the government departments who will be responsible for developing the national monitoring system. All these organizations will be invited to a national workshop.

Based on the findings the team will propose what capacity (in terms of human resources, equipment and strategy) is needed in Peru to develop and operate an effective integrated

D:\Docs\2018-04-22\057ec2c0e0177910dcecfa17557a9439.doc 5 monitoring program. This will be done in liaison with the National Institute for Information and Statistics (INEI).

Additionally, the team will assess the capacity needs of the Ministries and their mechanisms for utilizing the data so that the monitoring system can have a beneficial impact on policy making.

Product: a strategy for developing national, regional and local capacity to effectively develop and operate a national integrated monitoring program

4) Proposed CHM Activities

The proposed activities will focus on strengthening the internal capacity of government to take forward the CHM strategy in Peru. This will include:

- drafting a proposal for a National Biodiversity Information System. This will facilitate the sustainable expansion of the CHM and its dissemination activities in Peru;

- purchasing equipment to service the current service requirements and to facilitate additional applications for increasing volumes of information. Additionally, a CD recorder is needed in order to share software and documents at regional workshops;

- setting up two low cost regional information nodes to provide technical advice and software. This will include conducting two local staff training workshops;

- organizing workshops with the managers of the internet information system in order to expand information on biodiversity, assist the national and regional CHM services to reach a wider audience and develop a coordinated strategy for the information dissemination;

- organizing a workshop for managers of private internet service providers to promote biodiversity information dissemination in the private sector; and

- carrying out of informal workshops and responding to queries related to the information system.

5) Second National Report Preparation

This project will enable the preparation of the Second National Report to the CBD through a consultative process. This will include a national workshop with relevant stakeholders and publication of final document.

Project Implementation/ Institutional Framework

The GEF implementing agency is UNDP. The national executing agency is the CONAM. Each component will have additional support, as follow:

Activities for incentive measures will be supported by an Ad-hoc working group composed of technical experts, representatives from the private sector and representatives from the Ministries of Economy and Finance, Mining and Energy, Agriculture, Fishing and the office of the President and the Prime Ministers’ Council. CONAM and CONADIB will be in charge of supervising the work of the team.

D:\Docs\2018-04-22\057ec2c0e0177910dcecfa17557a9439.doc 6 Activities for the conservation and sustainable use of biological diversity important to agriculture will be supported by a coordination group composed by the General Secretary of the Ministry of Agriculture (MINAG), representatives of the National Institution for Agrarian Research (INIA); National Service of Agrarian Health –SENASA, the National Programme for the Management of Hydrographic Basins and Soil PRONAMACHS and the Project “Sierra Verde”. All of these Institutions along with CONAM will supervise the process and will take part with the experts, entrepreneurs and delegates in the round tables and regional assessments.

The Environmental Regional Comission (CARs) of Cusco, Madre de Dios, Arequipa, Moquegua, Piura, La Libertad, Cerro de Pasco, Ica, Puno and Iquitos, with the collaboration of Regional Governments and the Regional Headquarters of the line Ministries will be regularly called upon to participate in order to ensure that the process is participatory and duly coordinated with the involved stakeholders nationwide.

Activities for monitoring will be supported by a group set up by CONAM and the the National Council of Science and Technology-CONCYTEC, the National Institute of Statistic and Informatics–INEI, the National Institute of Natural Resources–INRENA, the Institute of Peruvian Amazon Research-IIAP as well as the public universities, Universidad Nacional Mayor de San Marcos (UNMSM) and Universidad Nacional Agraria La Molina (UNALM).

CONAM has specifically set up a technical group to implement the proposed CHM activities. The team is composed of institutions that manage complementary information systems and that are parties of the National Commission on Biological Diversity (CONADIB). The activities will be carried out in close collaboratio with the National System of Environmental Information. The regional activities will be coordinated with the Regional Executive Secretariats in the respective regions.

Timetable

This monthly work plan presents the sequencing of the various activities to be undertaken within the additional EA.

1. Design and approaches relevant to the implementation of incentive measures

ACTIVITIES MONTHS 1 2 3 4 5 6 7 8 9 10 11 12 1.1 The establishment of an Ad Hoc Group 1.2 The identification of additional economic incentives measures 1.3 The consultative process: working groups and workshop 1.4 Consolidation

2. Conservation and sustainable use of biological diversity important to agriculture

MONTHS

D:\Docs\2018-04-22\057ec2c0e0177910dcecfa17557a9439.doc 7 ACTIVITIES 1 2 3 4 5 6 7 8 9 10 11 12 2. 1 Analysis of priorities by ad hoc group 2.2 The identification of priorities and needs 2.3 Implementation of departmental workshops 2.4 Proposal and sectoral negotiations for agreement

3. Initial assessment and monitoring programs including taxonomy

MONTHS ACTIVITIES 1 2 3 4 5 6 7 8 9 10 11 12 3.1 Task organization 3.2 Formulation of a Proposal 3.3 Assessment 3.4 Negotiation for agreement

4. Clearing House Mechanism

MONTHS ACTIVITIES 1 2 3 4 5 6 7 8 9 10 11 12 4.1 Reinforcement of CHM national equipment infrastructure 4.2 Expansion of the CHM system throughout Peru 4.3 Fit in the awareness of national media communicators, the CHM as biodiversity information provider 4.4 Proposal for the National Biodiversity Information System.

5. Second National Report

MONTHS ACTIVITIES 1 2 3 4 5 6 7 8 9 10 11 12 5.1 Workshop 5.2 Publication

D:\Docs\2018-04-22\057ec2c0e0177910dcecfa17557a9439.doc 8 Table of cost estimates for additional enabling activities (biodiversity) (US $ 000)

ACTIVITY PRODUCT PROCESS TOTAL APPROVED PREVIOUSLY  Original EA, less costs of CHM activities (No entry 217,900  CHM support (provided through add-on module or Required) 9,250 project itself) Total approved support 227,150 ADDITIONAL REQUEST Assessment of Capacity-building needs for

 Design and approaches relevant to the 30,000 9,880 39,880 implementation of incentive measures

 Conservation and sustainable use of biological 19,285 57,391 76,676 diversity important to agriculture

 Initial assessment and monitoring programs, 4,000 39,094 43,094 including taxonomy

Sub total 1 53,285 106,365 159,650

 Country-driven project for participation in the 37,800 17,400 55,200 clearing house mechanism-CHM

 Second National Report 8,000 8,000

Sub total 2 45,800 17,400 63,200

Total new request 99,085 123,765 222,850

GRAND-TOTAL 450,000

D:\Docs\2018-04-22\057ec2c0e0177910dcecfa17557a9439.doc 9 ITEMIZED BUDGET

PRIORITIES ACTIVITES PRODUCT PROCESS US $ US $ I. 1.1 Establishment of an Ad hoc Group 300 Design and 1.1.1 Working group 300 approaches 1.2 Identification of aditional economic incentives 20,000 relevant to the 1.2.1 Sectors: mining - petroleum, fisheries, trade and 20,000 implementation industry, agriculture and livestock, forestry of incentive 1.3 Consulting process: working groups and 10,000 measures workshop 1.3.1 Public working groups 5,000 1.3.2 Private working groups 5,000 1.4 Consolidation 9,580 1.4.1 Action Plan 5,000 1.4.2 Measures, instruments, normative or legal aspects., 4,580 Sub total 30,000 9,880 2.1 Analysis of priorities by ad hoc team 300 2.1.1 Material and meetings of the working group 2.2 The identification of priorities and needs 9,000 2.2.1 Expert Seminar (includes 10 experts from inside 5,200 the country) 2.2.2 Specialized consulting 4,000 II. 2.3 Departamental worshop 7,360 Conservation 2.3.1 Proposals for Needs and capacities 6,000 and sustainable 2.3.2 Technical committee and experts Working 2,160 use of biological meetings diversity 2.4 Proposol and sectorial negotiations making 57,091 important to 2.4.1 National Workshop 5,000 agriculture 2.4.2 Regional workshops (12 departments) 36,000 2.4.3 Process assessment and monitoring (Technical 16,091 Assistance) 2.4.4 Working meetings 2,925 Sub total 19,285 57,391 3.1 Task organization 294 3.1.1 Material and working group meetings 294 III. 3.2 Formulation of Proposals 4,000 Initial 3.2.1 Diagnostic 3,000 assessment and 3.2.2 Census 1,000 monitoring 3.3 Assessement 28,00 Programs 0 including 3.3.1 Regional workshops (12 departments) 24,000 taxonomy 3.3.2 National Workshops 4,000 3.4 Negotiation for aplication 10,800 3.4.1 Process assessment and monitoring 10,800 Sub Total 4,000 39,094 4.1. Reinforce the national CHM equipment 22,000 infrastructure

D:\Docs\2018-04-22\057ec2c0e0177910dcecfa17557a9439.doc 10 4.1.1 Operative systems 10,000 4.1.2 Technical Personal (Administrator) 12,000 IV. 4.2. Expand the CHM system throughout Peru 4,800 4,500 Clearing House 4.2.1 DiffuYeson 3,500 Mechanism 4.2.2 Partners and stakeholders 4,500 4.3.1 Node Creation 1,300 4.3. Fit in the awareness of national media 6,000 500 communicators, the CHM as biodiversity information provider 4.3.1 Integration with others initiatives 500 4.3.2 Sostenibility Analysis 6,000 4.4. Proposal for the National Information System 5,000 12,400 4.4.1 Conceptual Design 2,500 4.4.2 Consulting process 12,400 4.4.3 Proposal 2,500 Sub total 37,800 17,400 V. 5.1. Second National Report Preparation 8,000 Second National 5.5.1 Workshop 6,000 Report 5.5.2 Publication 2,000 Sub total 8,000 TOTAL 99,085 123,765

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