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Global Environment Facility (GEF) Operations Climate Smart Agriculture alternatives for upland production systems in Lao PDR Part I: Project Information GEF ID 10187 Project Type FSP Type of Trust Fund LDCF CBIT/NGI CBIT No NGI No Project Title Climate Smart Agriculture alternatives for upland production systems in Lao PDR Countries Lao PDR Agency(ies) FAO Other Executing Partner(s) Ministry of Agriculture and Forestry (MAF) Executing Partner Type Government GEF Focal Area Climate Change Taxonomy Climate Change Adaptation, Climate Change, Focal Areas, Climate information, Private sector, Community- based adaptation, Mainstreaming adaptation, Least Developed Countries, Livelihoods, Innovation, Climate resilience, Adaptation Tech Transfer, Ecosystem-based Adaptation, Influencing models, Stakeholders, Gender Equality, Capacity, Knowledge and Research Rio Markers Climate Change Mitigation Climate Change Mitigation 1 Climate Change Adaptation Climate Change Adaptation 2 Submission Date 4/5/2019 Expected Implementation Start 7/1/2021 Expected Completion Date 6/30/2026 Duration 60In Months Agency Fee($) 332,782.00 A. FOCAL/NON-FOCAL AREA ELEMENTS Objectives/Programs Focal Area Trust GEF Co-Fin Outcomes Fund Amount($) Amount($) CCA-1 Outcome 1.1: LDC 2,452,078.00 8,500,000.00 Technologies and F innovative solutions piloted or deployed to reduce climate-related risks and/ or enhance resilience Outcome 1.2: Innovative financial instruments and investment models enabled or introduced to enhance climate resilience CCA-2 Outcome 2.1: LDC 1,050,890.00 6,500,000.00 Strengthened cross- F sectoral mechanisms to mainstream climate adaptation and resilience Total Project Cost($) 3,502,968.00 15,000,000.00 B. Project description summary Project Objective To enhance resilience of vulnerable upland communities to climate change impacts through climate-smart agricultural practices in upland production systems. Project Financin Expected Expected Trus GEF Confirmed Component g Type Outcomes Outputs t Project Co- Fun Financing( Financing($ d $) ) Component 1: Technical 1.1. 1.1.1. LDC 226,495.00 2,250,000.00 Enabling Assistance Strengthened Strengthend F environment capacity to inter-sectoral to promote mainstream planning and and and access investment- incentivize climate prioritization resilient and finance for processes at sustainable resilient and national and rural sustainable sub-national landscapes in rural levels for Lao PDR landscapes in resilience and Lao PDR. sustainable rural landscapes. 1.1.2. Innovative financial instruments, investment models, and institutional arrangements developed and enabled to mobilize climate finance for resilient and sustainable rural landscapes. Project Financin Expected Expected Trus GEF Confirmed Component g Type Outcomes Outputs t Project Co- Fun Financing( Financing($ d $) ) Component 2: Investmen 2.1. 2.1.1. LDC 1,713,543.0 6,350,000.00 Resilient and t Integrated, Participatory F 0 sustainable landscape- climate risk land-use level planning and planning and strengthened vulnerability value-chain using climate- assessments networks in smart conducted for the northern practices for upland uplands resilient and livelihoods, sustainable incorporating landscapes in vulnerable the northern ecosystems uplands. and agro- ecological 2.2. suitability at Innovative landscape and resilient level. agricultural value-chain networks and financing 2.1.2. options Capacities of established to local adopt and institutions scale-up and climate-smart governmental practices. offices at district levels to identify, incentivize, promote, and disseminate climate-smart land-use approaches and practices and nature- based solutions for resilient and sustainable landscapes strengthened. 2.1.3. Participatory, resilient, and sustainable land-use and investment plans incorporating innovative, evidence- based, locally appropriate, gender- responsive, and climate- smart livelihood options and nature-based solutions developed and demonstrated. 2.2.1. Resilient and sustainable agricultural value-chain networks mapped and established in two provinces of northern upland areas of Lao PDR. 2.2.2. Inclusive climate- resilience and market- opportunity assessments for resilient and sustainable agricultural value chains, including options for improvement of periodic quantity- and price-planning activities through multi- sectoral collaboration. 2.2.3. Investment action plans for resilient and sustainable value chains incorporating periodic pricing guidance, financing options, incentives, models, and tools to encourage adoption and scale-up of climate-smart practices developed and piloted. Project Financin Expected Expected Trus GEF Confirmed Component g Type Outcomes Outputs t Project Co- Fun Financing( Financing($ d $) ) Component 3: Investmen 3.1. Climate- 3.1.1. LDC 968,624.00 3,250,000.00 Climate-smart t smart Climate-smart F technologies livelihood land-use and practices approaches innovations scaled-up at and practices deployed in landscape and nature- two provinces level to based of the support solutions for northern resilient and resilient and uplands sustainable sustainable rural landscapes landscapes deployed. that improve food security and nutrition. 3.1.2. Investments for resilient and sustainable value chains to encourage adoption and up-scaling of climate-smart practices deployed. Project Financin Expected Expected Trus GEF Confirmed Component g Type Outcomes Outputs t Project Co- Fun Financing( Financing($ d $) ) Component 4: Technical 4.1. Project 4.1.1. A LDC 428,098.00 2,400,000.00 Monitoring Assistance monitored and gender- F and evaluated, sensitive evaluation, information monitoring & project disseminated, evaluation communicatio and lessons system n, and lesson- from project developed, learning implementatio strengthening n, progress decision- monitoring, making for review, and CCA in the evaluations agricultural codified and and NRM shared. sectors. 4.1.2. Communicati on and knowledge- management strategy, including outreach programs and local knowledge- sharing and learning networks on climate adaptation and resilience, developed and implemented. Sub Total ($) 3,336,760.0 14,250,000.0 0 0 Project Management Cost (PMC) LDCF 166,208.00 750,000.00 Sub Total($) 166,208.00 750,000.00 Project Management Cost (PMC) Total Project Cost($) 3,502,968.00 15,000,000.00 C. Sources of Co-financing for the Project by name and by type Sources of Co- Name of Co- Type of Co- Investment Amount($) financing financier financing Mobilized Donor Agency IFAD In-kind Recurrent 1,000,000.00 expenditures Recipient Country Ministry of Public Investment 14,000,000.00 Government Agriculture and Investment mobilized Forestry Total Co-Financing($) 15,000,000.00 Describe how any "Investment Mobilized" was identified For descriptions of mobilized investments, please see descriptions in Section 1.a.4: Incremental/ Additional Cost Reasoning. D. Trust Fund Resources Requested by Agency(ies), Country(ies), Focal Area and the Programming of Funds Agenc Trust Country Focal Programmin Amount($) Fee($) y Fund Area g of Funds FAO LDC Lao PDR Climat NA 3,502,968 332,782 F e Change Total Grant Resources($) 3,502,968.00 332,782.00 E. Non Grant Instrument NON-GRANT INSTRUMENT at CEO Endorsement Includes Non grant instruments? No Includes reflow to GEF? No F. Project Preparation Grant (PPG) PPG Required false PPG Amount ($) 150,000 PPG Agency Fee ($) 14,250 Agenc Trust Country Focal Programmin Amount($) Fee($) y Fund Area g of Funds FAO LDC Lao PDR Climat NA 150,000 14,250 F e Change Total Project Costs($) 150,000.00 14,250.00 Core Indicators Provide additional explanation on targets, other methodologies used, and other focal area specifics (i.e., Aichi targets in BD) including justification where core indicator targets are not provided Please refer to the CCA indicator framework uploaded in the roadmap section Part II. Project Justification 1a. Project Description 1.a.1. Adaptation challenges, root problems, and barriers. Context Lao PDR is a land-locked, mostly mountainous country comprising three main geographic regions: (i) a northern upland area with an elevation >1,000 m above mean sea level (AMSL), a relatively dry temperate and sub-tropical climate, and annual rainfall typically between 1,500 and 2,000 mm; (ii) a central mountainous area that ranges in altitude from 500 to 1,000 m AMSL (though some mountain peaks reach >2,000 m) with a tropical monsoonal climate typically receiving 2,500 ? 3,500 mm precipitation per year; and (iii) the tropical lowlands and floodplains along the Mekong River and its main tributaries, including the plains of Vientiane, Borikhamxay, Khammouane, Savannakhet, Champasack, Saravane, and Attapeu Provinces. Box 1: Defining Investment This project document refers extensively to different forms of investments. For the purposes of this document, an investment is a net reduction in short-term value (e.g., oney, asset liquidity, capital productivity, opportunity costs) with the aim of obtaining future returns (not necessarily financial). In other words, it is a near-term cost or forbearance for the sake of future benefits.[1] These investments are made by many types of stakeholders, including the Government of Lao PDR, international organizations, civil society, businesses, and individual land users. The contexts and criteria of these investments differ significantly between some stakeholders?e.g., in terms of their types of risk tolerances, investable assets, discount rates, valuations of different outcomes, etc. Therefore, the project?s design emphasizes an inclusive, participatory
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