Cities Climate Finance Leadership Alliance (CCFLA)
|Name of initiative||Cities Climate Finance Leadership Alliance (CCFLA)|
|Secretariat|| Focal Point: Charlotte Boulanger (FMDV - Global Fund for Cities Development)
|Organisational structure|| UN-led initiative of 16 organisations. The secretariat consortium is made up of four organisations:
• Global Fund for Cities Development (FMDV) a non-governmental organisation, international alliance of local, metropolitan and regional governments (LMRGs) working on financial engineering and technical assistance for LMRGs empowerment and capacity-building on financing and local economic development; • R20-Regions of Climate Action (R20) a non-governmental organisation focused on supporting delivery and scaling-up of portfolios of bankable projects for local sustainable infrastructure; • United Nations Development Programme (UNDP) • United Nations Environment Programme (UNEP), especially through the coordination of the Cities and Lifestyles Unit
The CCFLA’s work is overseen by a Steering Committee and supported by a Secretariat – co-hosted by FMDV, R20, UNDP, and UNEP. The Secretariat will provide coordination for the Alliance’s activities including facilitation of meetings, management of day-to-day affairs of the Alliance (including commissioning of specific activities) and management of the website. Decision-making on routine matters of day-to-day coordination and the mechanics of coordinating periodic meetings convened by the Alliance will be handled by the Secretariat. The Secretariat will be responsible for organising an annual members meeting and for leading Alliance Fundraising efforts. The Steering Committee will take responsibility for choosing the activities, products or positions that are endorsed by the Alliance and for choosing the manner in which those decisions will be implemented collectively, drawing extensively on input from the full-membership of the Alliance The Steering Committee includes twelve seats, including two from each of the six stakeholder groups represented in the Alliance (National Government represented by France and the United States, NGOs/Foundations represented by WRI, City Networks represented by C40 and ICLEI , Public Finance institutions represented by Agence Française du Développement and World Bank, Private Finance institutions represented by Deutsch Bank, UN agencies represented by UN Habitat). The Working Groups will lead the substantive efforts of the Alliance. WGs will be convened, covering work areas and tasks that are agreed with the Steering Committee. Each Working Group will be managed by consensus, supported by the Secretariat, and led by one or two members drawn from the Alliance. Subject to funding, these working groups will have primary responsibility for delivery of the deliverables outlined in the Action Plan. Members commit to active involvement and to fostering the mission of the Alliance and must implement at least one new activity each year, contribute to CCFLA activities, promote the work and mission of the Alliance, among others.
|Name of lead organisation||Global Fund for Cities Development (FMDV)|
|Type of lead organisation||International organisation|
|Location/Nationality of lead organisation||France|
|Description||The members of this Alliance share a common goal of accelerating investment in low-carbon and climate-resilient urban infrastructure to address these dual challenges. Against this backdrop, the mission of the Cities Climate Finance Leadership Alliance is to catalyze and accelerate additional capital flows to cities, maximize investment in low-carbon and climate-resilient infrastructure, and close the investment gap in urban areas over the next fifteen years. No website presence available yet.|
|Objectives||The undersigned members of this Cities Climate Finance Leadership Alliance collectively commit to work together to remove obstacles and close the resource gap on investment into low-carbon and climate-resilient urban infrastructure. In particular, the Members of the Alliance commit to expand their efforts aimed at facilitating and leveraging similar investments through sharing of knowledge, lessons learned from past activities, and best practices. Because of the varied nature of the members of this Alliance, this commitment will – and must – take a variety of forms.|
|Activities|| Connect&Engage: Solicit participation in the Alliance; Facilitate exchanges of knowledge, experience, and best practices between members that would not otherwise happen;
Advocacy&Policy: Identify and advocate for innovative solutions that will dramatically transform the financing landscape for low-carbon and climate-resilient infrastructure in urban areas; Explore opportunities through policy and regulatory reform to incentivize efforts to plan, design, and invest in secure, cost-effective and profitable projects; Support increased investments in capacity building and in the strengthening of existing regional and national entities a.o.; Engage with leading actors in finance, including the private sector as well as national and international public financial institutions, with the intention of stimulating the scale-up of financial products. Research&Knowledge Management: Identify effective solutions and effective intermediary organizations to facilitate an improved alignment of efforts by different types of investors and third party institutions; Conduct research to assess the landscape, understand the challenges cities and financial institutions are facing in mobilizing investments in low carbon climate resilient infrastructure; Disseminate information widely by developing an Internet-based, multi-stakeholder knowledge-sharing platform.
|One or two success stories achieved|| 1. Acknowledging the common need to identify, articulate, strengthen and scale up CCFLA members’ initiatives related to subnational and local climate finance, the Secretariat and Climate KIC undertook a survey of Alliance member activities and initiatives to produce the 2016 CCFLA Scoping Report.
The mapping seeks to be representative, not exhaustive, of the variety of initiatives that have been recently developed by CCFLA members in line with the five recommendations of the CCFLA State of Cities Climate Finance 2015 report. In addition, it identifies opportunities for cooperation among members as well as « gaps » that need to be addressed to catalyze climate finance at local subnational and local levels. This publication serves as an invitation addressed to CCFLA members to get involved in further detailed analysis so as to enhance its value to Members. By way of example, data relating to financial innovations and financial engineering promoted within the Project Preparation Facility Working Group and the Innovation Lab Working Group will be further investigated. Members are also invited to provide more qualitative data that can help prepare the CCFLA flagship report on the State of Cities Climate Finance, to be published in 2017. Main results and final report will be launched at COP22. 2. In order to enable CCFLA working groups to showcase their achievements and progress, and to advocate for the acceleration of the implementation of the five recommendations that CCFLA had released during the Lima Paris Action Agenda at COP21, the Secretariat secured several High level political partnerships and opportunities for representations at key international events related to climate finance: Climate Chance Summit, IDFC Forum, Habitat III Special High Level Event on Urban Resilience and the COP22.
Monitoring and Impacts
|Function of initiative||Technical dialogue, Funding|
|Activity of initiative||Financing, Knowledge dissemination and exchange|
|Goals|| The Cities Climate Finance Leadership Alliance (CCFLA) was launched during the Secretary-General’s Climate Summit in September 2014 and has rapidly grown into a broad coalition of forty-seven organizations actively working to mobilize investment into low-carbon and climate-resilient infrastructure in cities and urban areas internationally.
Throughout 2015-2016, the Alliance has established itself as a leading global platform for catalysing and accelerating action to address the city climate finance gap. Its ambition is to be the international “action community” of choice for pioneers in mobilizing investment for low-carbon, climate resilient development at subnational and cities level. With the Secretariat now established, considerable political momentum generated during COP21, a fast growing membership actively engaging in a range of potentially high impact and value added work programmes (see work plan and working groups actions presented below). The Alliance will launched at COP 22 the mapping of CCFLA members’ initiatives related to climate finance at local and subnational level. The intended outcome of this work is to reinforce convergence of effort and cooperation between CCFLA members and other key climate finance stakeholders. It provides a qualitative overview of current activities, identifies opportunities for cooperation amongst members and « gaps » that need to be addressed in order to accelerate climate finance at subnational and local levels. By ensuring high level political representation at key international agenda event, by representing the finance coalition of the GCAA related to territories as well as co-leading the non-state actors’ finance coalition of Climate Chance Summit, the CCFLA has also set the objective to “advocate through actions” in order to bridge the investment gap at subnational level. Other qualitative objectives include increased cooperation, synergies and the identification of matchmaking opportunities for CCFLA members.
In 2016-2017 the Alliance has turned its attention to accelerating implementation through the following delivery orientated action plan, led by members and supported by the secretariat. In delivery of the will of its Members, and leveraging their collective strengths and networks that are the primary resource and competitive advantage of the Alliance, in 2016-2017, the Alliance will focus on the three following work streams: 1. Taking Stock of the state of subnational and city climate finance (identifying the gaps, defining needs and opportunities, helping to focus and to coordinate the efforts of stakeholders, driving cooperation and “convergence”); 2. Launching Solutions to mobilise subnational and city climate finance (supporting in developing and accelerating innovative finance tools, supporting project preparation and the strengthening of specific institutions). 3. Building markets (through initiatives to accelerate and encourage transactions, such as matching project demand and supply, and strengthening the understanding of investment environments to better channel funding, creating a common culture between stakeholders for impact delivery). Organised under these work streams, four Working Groups composed of Alliance members, with the support of the Secretariat, are undertaking the following activities. - The Project Preparation Facility Working Group focuses on enabling implementation, supporting local, metropolitan and regional governments (LMRGs) and their partners to build capacity and to scale up planning, project preparation and financing of their projects. The PPF Working Group identifies existing Project Preparation Facilities and raises awareness of the value of these Facilities. It works to accelerate replication and innovation and promotes greater cooperation between CCFLA members and beyond. Action Plan and Strategy will be finalised in November 2016. - The Innovation Labs Working Groups works on identifying catalytic financial strategies and instruments, and pilot new subnational and local climate funding models, instruments, mechanisms, approaches and processes. Delivery program include : the mapping of CCFLA members activities related to financial innovations in order to create a foundation from which to accelerate collaboration, replication and scaling-up of high impact initiatives ; the organisation of a COP 22 side-event – “Innovation labs for subnational climate finance” - to showcase its achievements and provide a global view of existing complementary initiatives that aim to unlock climate finance for local and regional governments, creating opportunities for collaboration, replication and scaling-up. - The Research and Knowledge Working Group aims to identify knowledge gaps around city climate finance to help CCFLA members redirect their operational activities towards the most effective actions. The group works on the production of the bi-annual flagship publication of the CCFLA, intended to be the vehicle for the voice of the collective intelligence of the CCFLA and its members on subnational and local climate finance. The 2017 edition of the « State of Cities Climate Finance » will provide a qualitative analysis of Climate Finance initiatives and flows and a deep-dive into the theme of integration via collaboration with national governments. - The Derisking Facility Working Group has yet to be launched, it will engage in developing solutions to obstacles and financial bottlenecks to improve conditions for local implementation of climate resilience programs. The Secretariat is partnering CCFLA members and partners to implement a Derisking Facility project submitted to The German Federal Ministry of Environment (IKI). The aim of the project is to engage with relevant stakeholders among local and national governments as well as financial institutions (FIs), including the Green Climate Fund (GCF) to develop a guarantee instrument to improve access to finance by cities for low carbon and climate resilient investments that support implementing NDCs.
|Comments on indicators and goals|
|How will goals be achieved|
|Have you changed or strenghtened your goals|
|Progress towards the goals|| 1. Alliance Work streams and Fundraising Strategy
In order to mobilize the funding that is needed for the delivery of activities and commitments, the Secretariat has produced a document which outlines the opportunities emerging in 2016-17, and the strategy and delivery plan the Alliance will pursue to build on its achievements and accelerate its impact in 2016-17.
The Alliance’s fundraising strategy is structured under three work streams : 1. Taking Stock of the state of subnational and city climate finance (identifying the gaps, defining needs and opportunities, helping to focus and to coordinate the efforts of stakeholders, driving cooperation and “convergence”); 2. Launching Solutions to mobilise subnational and city climate finance (supporting in developing and accelerating innovative finance tools, supporting project preparation and the strengthening of specific institutions). 3. Building markets (through initiatives to accelerate and encourage transactions, such as matching project demand and supply, and strengthening the understanding of investment environments to better channel funding, creating a common culture between stakeholders for impact delivery).
2. Members’ Activity Survey - Scoping report of CCFLA members Climate KIC, FMDV and R20 have undertaken a mapping of members’ activity. This was an important initiative for the CCFLA allowing members to gain an overview of each others’ activities, helping to identify opportunities for collaboration and coordination of efforts. The main findings of the Scoping report of CCFLA members’ initiatives will serve as a basis of discussion to create the foundation from which to accelerate collaboration, replication and scaling-up of high impact initiatives undertaken on climate finance. Main results and final report will be launched at COP22. 3. 2015 State of City Climate Finance Report The first biannual publication by the Cities Climate Finance Leadership Alliance which identifies the gap between the current levels of investment in low-emission, climate resilient urban infrastructure and the volumes required to ensure a the world is on track to keep global temperature rise below 2 degrees. The report was launched at Paris City Hall on 4th December 2015. The report also includes analysis of major barriers to investment and solutions to address these. Firstly report suggests that national governments adopt policies and incentives that encourage cities to invest in low-emission and climate-resilient infrastructure. Second, it urges cities to adopt frameworks that put a price on carbon, such as cap-and-trade mechanisms or traffic congestion charges. Third, it recommends strengthening banks and institutions that will support cities in developing investment-worthy climate-related projects. Fourth, it suggests that international development finance be directed through local financial institutions, which are well positioned to help cities finance climate-smart infrastructure solutions. And finally, the report calls for creating an innovation network of labs for new financial instruments and funding models. The 2017 report will probably focus on vertical integration.
4. Linking with UN Habitat III Conference on Urban development and COPs processes - Outcomes of Mexico City Conference on Urban Development (March 2016) The CCFLA, through FMDV, convened an event on 9 March 2016 at the Sidelines of the Habitat III thematic conference on Financing Urban Development entitled, “A Green Deal for Cities and Regions Climate Finance: Partnering for Change in View of Habitat III”, aimed at showcasing the achievements and highlights of the alliance and its members in terms of knowledge stocktaking on Subnational Climate Finance streams, innovative financial mechanisms, empowerment of local and regional governments and connections with supply/investors. The Habitat III Mexico City Declaration on Localizing Finance for Inclusive Change recognizes the CCFLA as a “major step forward in better connecting demand and supply in resilient and low-carbon local infrastructure financing”. 5. Climate Chance Summit The CCFLA was a co-leader of the coalition on finance set up in the framework of the 2016 Climate Chance Summit in Nantes, France on 26 to 28 September. By ensuring high level political representation at key international agenda event, by representing the finance coalition of the LPAA related to territories as well as co-leading the non-state actors’ finance coalition of Climate Chance Summit, the CCFLA has also set the objective to “advocate through actions” in order to bridge the investment gap at subnational level. CCFLA has co-organized a Finance Forum entitled “Commitment towards resilient and inclusive territories: Which strategies and mechanisms to promote?” aiming to mobilize existing alliances in favor of financing sustainable development, inclusive and resilient territories, but also to gather beyond, among the non-state actors, NGOs, civil society organizations, farmers' organizations, companies and unions, among others, to find synergies. It was an opportunity to take stock of the progress and difficulties in implementation of commitments made at the summit in Lyon and then at the COP21 in Paris, to work on the completion of the joint road map between the members of the coalition (that specifies the objectives, means of action of the coalition, as well as common issues and recommendations that it wishes to bring to the Habitat III and COP 22).
|How are you tracking progress of your initiative||Tracking progress will mainly be based on the level of commitment that the members put into the Alliance - manifested through the actions that they have implemented, and participation and contribution to the working groups and CCFLA’s action plan implementation. Tracking progress also include the follow up on expected outputs and outcomes presented in the workplan of the Alliance. The success of the Alliance will be measured by its ability to stimulate the flow of investment towards climate-related infrastructure projects in cities, pursued through its three main strategies: increasing capacity, visibility and supply.|
|Available reporting||Please go to http://www.citiesclimatefinance.org/|
|Research and educational organisations||0|
|Regional / state / county actors||0|
|City / municipal actors||0|
|Other members||47||1.African Development Bank (AfDB), 2.Agence Française de Développement (AFD), 3.Banco de desarrollo de América Latina (CAF), 4. Bank of America Merrill Lynch, 5.Bloomberg Philanthropies, 6.Carbon Disclosure Project (CDP), 7.Children’s Investment Fund Foundation, 8. Church Investment Group (CIG)(joined in 2016), 9.C40 - Cities for Climate Action, 10. Citi Group, 11. Cities Development Initiative for Asia (CDIA), 12.Climate and Clean Air Coalition (CCAC), 13.Climate Bonds Initiative (CBI), 14. Climate KIC, 15.Climate Policy Initiative (CPI), 16. Commonwealth Local Government Forum (CLGF), 17. Deutsche Bank, 18. European Investment Bank (EIB), 19.FMDV- Global Fund for Cities Development, 20.German Development Bank (KfW), 21.Global Environment Facility (GEF), 22. Global Infrastructure Basel (GIB), 23.Gold Standard Foundation, 24.Government of France, 25.Government of the United States of America, 26.ICLEI - Local Governments for Sustainability, 27. Inter-American Development Bank (IADB), 28.Japan Investment Cooperation Agency (JICA), 29.Johns Hopkins University School of Advanced International Studies (SAIS, 30.Le Fonds Français pour l'Environnement Mondial (FFEM, 31. Long-Term Infrastructure Investment Association (LTIIA)(joined in 2016), 32.Meridiam, 33.Rockefeller 100 Resilient Cities Programme (R100) (joined in 2016), 34.R20 – Regions of Climate Action, 35.Southpole Group (joined in 2016), 36.Standard & Poor’s Ratings Services, 37.Swiss Economic Development Cooperation, 38.United Cities and Local Government (UCLG), 39.United Nations Capital Development Fund (UNCDF), 40. United Nations Development Programme (UNDP), 41.United Nations Environment Programme (UNEP), 42. UN-Habitat, 43.UN Secretary General’s Climate Change Support Team (CCST), 44. West African Development Bank (BOAD), 45.World Bank Group, 46.World Resources Institute (WRI), 47.World Wildlife Fund (WWF).|
|Number of members in the years|| |
|Have only national states as participators||No|
|Transport||Agriculture||Forestry||Business||Financial institutions||Buildings||Industry||Waste||Cities and subnational governments||Short Term Pollutants||International maritime transport||Energy Supply||Fluorinated gases||Energy efficiency||Renewable energy||Supply chain emission reductions||Adaptation||Other||Resilience||Innovation||Energy Access and Efficiency||Private Finance|
Not only have national states as participators