Bringing finance to the forefront of the NAMA framework discussion, the Center for Clean Air Policy (CCAP) and the Danish Ministry of Climate, Energy and Building hosted the Global NAMA Financing Summit this month in Copenhagen, Denmark. The Summit provided an opportunity to advance promising nationally appropriate mitigation action (NAMA) proposals toward implementation and to explore potential opportunities for contributing-country support of and private-sector investment in these NAMAs. The event was attended by high-level government officials – including Ministers and Vice Ministers – from a dozen Asian and Latin American countries (Argentina, Chile, Colombia, Costa Rica, Dominican Republic, Panama, Uruguay, Malaysia, Pakistan, Philippines, Thailand and Vietnam) and key contributing countries, as well as private-sector chief executives and other financial institution representatives.
NAMAs in the framework of the Summit
As developing-country climate policies, NAMAs leverage international support to attract private-sector investment and transform economic sectors to achieve both development and climate benefits. NAMAs will also play a critical role in reaching a global climate agreement that includes both developed and developing countries within the UNFCCC framework.
During the two-day Summit, developing-country officials presented 14 promising NAMAs, including an integrated solid waste management proposal from Colombia and a price stabilization fund in Chile that would spur renewable energy deployment. The Summit built on recent NAMA progress in several developing countries – in part, through on-the-ground CCAP assistance and countries’ leadership – and offered a first opportunity to present NAMA proposals to multiple potential contributors/investors.
Objectives and outcomes of the Summit
As a result of the summit, developing countries received invaluable feedback from potential contributors/investors on how to make their NAMA proposals attractive for support. Presentations of more advanced NAMAs raised the bar for countries in more initial stages of NAMA development and helped them better understand how to design effective NAMAs.
The event advanced a shared vision among participants on the potential of NAMAs to achieve long-term transformation of sectors and on the need for NAMAs to incorporate financial mechanisms that leverage international support to catalyze private investment.
Contributing countries came away with a better sense of the “pipeline” of NAMAs that will be ready for implementation and seeking support in the coming months. Several called for increased coordination with their peers to ensure financing is available for NAMA implementation. Finally, private-sector investors encouraged developing-country officials by giving clear signals that significant funds would be available for NAMA-related investments.
The international community has already pledged financial support to developing countries to initiate climate change mitigation and adaptation measures. In the lead-up to the 2015 climate negotiations, these financial pledges will have a profound effect on the level of achievable mitigation actions and overall reduction of global emissions. Although the NAMA framework is still evolving, the Global NAMA Financing Summit made important progress toward achieving these international climate goals.
For more information, please visit www.ccap.org. The event was part of CCAP’s Mitigation Action Implementation Network (MAIN) initiative, supported by the Danish Ministry of Climate, Energy and Building, Germany’s International Climate Initiative, and Environment Canada.