Climate Finance Governance Enhancement for Philippine Budgeting Systems

Reference: UNDP-PHL-00868 Country: Philippines Description of the Assignment: The Climate Finance Network (CFN), under the UK-FCDO’s Climate Action for Resilient Asia (CARA) and SIDA-funded Governance of Climate Change Finance (GCCF) programs, aims to strengthen climate finance governance in Asia and the Pacific.

In the Philippines, the CFN works with key government institutions to integrate climate change into planning and budgeting systems, specifically focusing on Results-Based Budgeting (RBB) for climate and resilience outcomes.

The Department of Environment and Natural Resources (DENR), as Chair of the Inter-Agency Steering Committee on Climate Change (the former Cabinet Cluster on Climate Change Adaptation, Mitigation and Disaster Risk Reduction), oversees the implementation of Program Convergence Budgeting (PCB) for this specific Cabinet Cluster.

With the current PCB implementation, the DENR seeks to harmonize PCB with the Climate Change Expenditure Tagging (CCET) system, and to align both with the National Adaptation Plan (NAP) and NDC Implementation Plan (NDC IP). UNDP recently carried out a study to assess the effectiveness of climate PFM in four focal countries in the Asia Pacific region, including in the Philippines.

On outcome-based budgeting, the study found that there was a total of 143 direct and indirect climate-relevant outcome indicators. The vast majority (82 percent) relate to climate change adaptation, 10 percent to mitigation and 8 percent to both adaptation and mitigation. The study pointed out that in the Philippines there is limited use of mitigation indicators (i.e. GHG emissions) in budget performance indicators.

For adaptation, there are many development indicators that are also relevant for adaptation, and climate change strategies could refer to these indicators to show how they can be used to assess progress in reducing the impact of climate change. Performance indicators should be aligned with the climate change priorities identified in the NDC, National Adaptation Plan and other relevant policies.

Please see attached terms of reference for the full details of the engagement. Period of assignment/services (if applicable): 30 days spread over 4 months Proposal should be submitted directly in the portal no later than indicated deadline. Any request for clarification must be sent in writing via messaging functionality in the portal.

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