Reducing Cambodia’s Emissions Through Decentralized Forest Management (the ‘Project’) | Cambodia Conservation International (CI) 9 November 2018 Reducing Cambodia’s Emissions Through Decentralized Forest Project/Programme Title: Management (the ‘Project’) Country(ies): Cambodia National Designated H.E. Say Samal, Ministry of Environment Authority(ies) (NDA): Accredited Entity(ies) (AE): Conservation International (CI) Date of first submission/ [2018-11-9] [V.1] version number: Date of current submission/ [2018-11-9] [V.1] version number PROJECT / PROGRAMME CONCEPT NOTE Template V.2.0 GREEN CLIMATE FUND | PAGE 0 OF 12 Notes • The maximum number of pages should not exceed 12 pages, excluding annexes. Proposals exceeding the prescribed length will not be assessed within the indicative service standard time of 30 days. • As per the Information Disclosure Policy, the concept note, and additional documents provided to the Secretariat can be disclosed unless marked by the Accredited Entity(ies) (or NDAs) as confidential. • The relevant National Designated Authority(ies) will be informed by the Secretariat of the concept note upon receipt. • NDA can also submit the concept note directly with or without an identified accredited entity at this stage. In this case, they can leave blank the section related to the accredited entity. The Secretariat will inform the accredited entity(ies) nominated by the NDA, if any. • Accredited Entities and/or NDAs are encouraged to submit a Concept Note before making a request for project preparation support from the Project Preparation Facility (PPF). • Further information on GCF concept note preparation can be found on GCF website Funding Projects Fine Print. PROJECT / PROGRAMME CONCEPT NOTE Template V.2.0 GREEN CLIMATE FUND | PAGE 1 OF 12 A. Project / Programme Information (max. 1 page) ☒ Project A.2. Public or ☒ Public sector A.1. Project or programme ☐ Programme private sector ☐ Private sector Yes ☐ No ☒ A.3. Is the CN submitted in ☐ Confidential If yes, specify the RFP: A.4. Confidentiality1 response to an RFP? ☒ Not confidential Mitigation: Reduced emissions from: ☐ Energy access and power generation ☐ Low emission transport ☐ Buildings, cities and industries and appliances A.5. Indicate the result ☒ Forestry and land use areas for the Adaptation: Increased resilience of: project/programme ☐ Most vulnerable people and communities ☐ Health and well-being, and food and water security ☐ Infrastructure and built environment ☐ Ecosystem and ecosystem services A.7. Estimated A.6. Estimated mitigation adaptation impact 27MtCO2e impact (tCO2eq over (number of direct lifespan) beneficiaries and % of population) A.8. Indicative total project A.9. Indicative GCF Amount: USD 30 million Amount: USD 25 million cost (GCF + co-finance) funding requested A.10. Mark the type of financial instrument ☒ Grant ☐ Reimbursable grant ☐ Guarantees ☐ Equity requested for the GCF ☐ Subordinated loan ☐ Senior Loan ☐ Other: specify___________________ funding A.12. Estimated A.11. Estimated duration a) disbursement period: 6 years project/ Programme 6 years of project/ programme: b) repayment: not applicable lifespan A.13. Is funding from the Yes☒ No ☐ ☐ A or I-1 Project Preparation Other support received ☐ If so, by A.14. ESS category3 ☒ B or I-2 Facility requested?2 who: ☐ C or I-3 A.15. Is the CN aligned A.16. Has the CN been with your accreditation Yes ☒ No ☐ Yes ☒ No ☐ shared with the NDA? standard? A.18. Is the CN A.17. AMA signed (if Yes ☒ No ☐ included in the Entity Yes ☒ No ☐ submitted by AE) Work Programme? Cambodia is a least developed country with high deforestation working towards implementing forest management activities. GCF funds are being sought to build A.19. Project/Programme capacity at the provincial level to address the drivers of deforestation in areas not rationale, objectives and already included in REDD+ projects, by implementing proven decentralization models approach of within 3 target provinces. The Project expects to reduce GHG emissions by 27MtCO2e programme/project (max over 5 years by reducing deforestation within 2.37M hectares of forest land and will 100 words) provide an adaptation co-benefit of improved ecosystem services to 700,000 people. Conservation International leads as the AE, partnering with the Cambodian Ministry of Environment, World Wildlife Fund, and the Wildlife Conservation Society. 1 Concept notes (or sections of) not marked as confidential may be published in accordance with the Information Disclosure Policy (Decision B.12/35) and the Review of the Initial Proposal Approval Process (Decision B.17/18). 2 See here for access to project preparation support request template and guidelines 3 Refer to the Fund’s environmental and social safeguards (Decision B.07/02) PROJECT / PROGRAMME CONCEPT NOTE Template V.2.0 GREEN CLIMATE FUND | PAGE 2 OF 12 B. Project / Programme details (max. 8 pages) B.1. Context and Baseline (max. 2 pages) Describe the climate vulnerabilities and impacts, GHG emissions profile, and mitigation and adaptation needs that the prospective intervention is envisaged to address. Cambodia is a rapidly developing LDC with its forest cover plummeting from 70% in 1970 to 57% in 2010 and down to 49% in 20144, representing a steep acceleration in the rate of forest loss and increase of GHG emissions. It has recently been implementing multiple forest conservation activities including REDD+ projects and is pursuing Results Based Payments to reverse these trends. The pattern of deforestation in Cambodia is due to a variety of drivers according to the National Forest Program (2010- 2029). Over 1.78 million hectares of Economic Land Concessions (ELCs), or long-term leases, have been granted for agribusiness development (mainly rubber, palm oil, cashew nuts, sugar cane and cassava), raising animals and building factories to process agricultural products. Additional drivers come from the demand for fuelwood5 as an energy source (e.g. agriculture, manufacturing), and also there is high demand for timber for domestic, regional and global markets. Weather-related changes in temperature and rainfall have also been linked to forest desiccation, droughts and forest fires6 and further exacerbate impacts on ecosystem services, with impacts affecting some provinces like Preah Vihear and Mondulkiri, more than others7. As part of the pledge made in its NDC to achieve 60% forest cover under the UNFCCC Paris Agreement, Cambodia added new protected areas and Biodiversity Conservation Corridors (BCC) to its already extensive network of protected areas, resulting in 39% of its land surface (7.4 million ha) under some form of legal protection. The government is also undergoing decentralization, and as part of this has prioritized improved governance and forest management at the provincial level, which will help tackle deforestation at a more appropriate scale. Should forest management capacity be built and take place within key provinces as a model, replication across Cambodia’s entire protected area and biodiversity corridor network would result in around 330,000 ha of avoided deforestation and contribute to some 85 million metric tons of avoided GHG emissions The Project will empower provincial level authorities and improve forest management within three provinces rich in ecosystem services where recent deforestation is among the highest in the country-- Mondulkiri, Preah Vihear and Pursat provinces (see maps in Annex 1). The project seeks to reduce deforestation across an area of 2.37Mha in these three provinces. The target for avoided deforestation through project activities is 128,342 ha. With an average of 212tCO2e of above ground biomass per hectare, this will yield total emission reductions of 27MtCO2e. Though the primary focus of this proposal is climate change mitigation, the forests in each of the Project’s target landscapes also support the resilience of local populations to climate change through hydrological regulation services in the headwaters of important watersheds for agriculture, fisheries and power generation8. Cambodia’s rural poor in these provinces are also reliant on ecosystem services for crop production, fisheries and forest resources, which can provide 85-90% of the primary income of rural households9. Temperature increases and shifts in the timing of rainfall are having an impact on crop production and non-timber forest products in Cambodia in these areas, which is resulting in decreased livelihood opportunities for people living there10. The proposed project will include activities to improve the management of ecosystems and ecosystem services, including monitoring that is implemented with provincial participation. Please indicate how the project fits in with the country’s national priorities and its full ownership of the concept. Is the project/programme directly contributing to the country’s INDC/NDC or national climate strategies or other plans such as 4 Cambodia Cover Report 2014. Cambodian Ministry of Environment. 5 The term fuelwood in this Concept Note is used to refer to both firewood and charcoal. 6 Cambodia Climate Change Strategic Plan (2014-2023), the National REDD Strategy () and the National Protected Area Management Plan (2017-2023). 7 USAID Mekong ARCC Climate Change Impact and Adaptation Study for the Lower Mekong Basin (2013-2014) | U.S. Agency for International Development. 2016. 8 WWF 2013. The economic value of ecosystem services in the Mekong Basin; L. Sáenz et al.(2016) Global Ecology and Conservation, 7: 107–121; GMS EOC ADB (2015)