GCF aims to catalyze a flow of climate finance to invest in low-emission and climate-resilient development, driving a paradigm shift in the global response to climate change.
The GCF finances low-emissions and climate-resilient projects and programmes under eight strategic impact areas:
There are three main actors with key roles in interacting with the GCF, namely:
1. National Designated Authority (NDA)
NDA berfungsi sebagai penghubung utama antara negara bersangkutan dengan Green Climate Fund (GCF). Badan Kebijakan Fiskal merupakan NDA GCF di Indonesia. Lebih lanjut About NDA.
2. Accredited Entities (AEs)
AEs, or Accredited Entities, are institutions or organizations accredited by the Green Climate Fund (GCF) to carry out a range of activities, including developing and submitting funding proposal, as well as overseeing the management and implementations of projects and programs. AEs can be private or public and can be either international entities or domestic entities.
3. Executing Entities (EEs)
A project proponent that is not an AE can act as an Executing Entity (EE). While an AE acts as a fund program manager, an EE oversees the execution of eligible activities supported by GCF under the oversight of the AE. An AE can also act as an EE.
GCF memobilisasi pendanaan iklim dengan bekerja melalui berbagai organisasi. Organisasi yang memiliki kapasitas khusus dalam mendorong aksi iklim dapat menjadi Entitas Terakreditasi (AE) GCF. Organisasi ini dapat berupa badan-badan swasta, publik, non-pemerintah, subnasional, nasional, regional atau internasional. Pelajari lebih lanjut tentang daftar AE yang disetujui saat ini dari GCF di sini.
AEs should have clear, detailed, and actionable climate change projects or programs to show GCF’s developing mitigation and adaptation programs. They must also meet GCF’s standards based on financial standards, environmental and social safeguards, and gender.
AEs convert concepts into actions. AEs develop funding proposals to be considered by the GCF and oversee, supervise, manage and monitor their respective GCF-approved projects and programs. Guided by the GCF’s investment framework and the priorities of Indonesian government, they work alongside the government to come up with project ideas, and submit funding proposals to the GCF Board for their approval.
AEs are categorized by potential risk category level and project size (in USD).
There are two types of GCF AEs, based on access modalities: International Access Entities and Direct Access Entities.
1. International Access Entities (IAEs)
AEs can include bilateral development agencies (e.g. Deutsche Gesellschaft für Internationale Zusammenarbeit, GIZ), multilateral development banks (e.g. the World Bank), United Nations agencies (e.g. United Nations Development Programme), regional development banks (e.g. the Asian Development Bank), intergovernmental organizations, or private sector financial institutions.
2. Direct Access Entities (DAEs)
DAEs are subnational, national, or regional accredited entities that are required to provide evidence of a nomination from an NDA with their accreditation application documents. They may include national ministries or government agencies, national development banks, national climate funds, commercial banks, other financial institutions, etc.
Organizations nominated to become DAEs may be eligible to receive GCF readiness support. This funding is designed to help organizations prepare to become AEs, as well as helping those which have already been accredited to strengthen their organizational capacities. Below is the list of accredited DAE and nominated DAEs:
For organizations that are not AEs, there are also other ways to engage with GCF. These may include, but are not limited to:
GCF offers diversified financial instruments, including soft loans for seniors and subordinated loans, equity, guarantees, and grants. These financial instruments allow GCF to tailor its financial support to the needs for public, private, and non-governmental projects. GCF has seven funding windows available as per October 2023.
| PROGRAMS | DESCRIPTION/ OBJECTIVE | BENEFICIARIES | AMOUNT |
| Readiness and Preparatory Support | To strengthen institutional capacities of the NDA and national entities | NDA
The NDA can select a Delivery Partner to implement activities approved under the Readiness and Preparatory Support Programme. |
Grant up to USD 1 million per year per country.
"Grant up to USD 1 million per year per country. Grant up to USD 3 million for the formulation of adaptation plans or multi-year readiness programs." |
| Project Preparation Facilities (PPF) | To support project and program preparations, from the initial stages, consisting of project identification, conceptualization and development, and establishment of the enabling environment, to mid- and late-stages, including project due diligence and project structuring. | Accredited Entities
The funding window is open to request from all Accredited Entities. However, it is especially targeted at supporting DAEs and micro- to small-sized category projects. |
Up to USD 1.5 million is available from each request in the form of grants and repayable for private sector projects. |
| Program atau Project Funding | To support climate change mitigation and adaptation projects. | Accredited Entities | In accordance with the AE’s project size category. |
| Simplified Approval Process | Small-scale and low-risk projects or programs. They should be ready to scale-up and have the potentials to transform, adapt, and/or mitigate the impacts of climate change. | National Designated Agency and Accredited Entities
DAEs and NDAs are especially encouraged to submit Concept Notes. |
Up to USD 1 million (fund requested to the GCF) |
| Private Sector Facility
|
To unlock private sector investment in climate finance. | Private sector actors and intermediaries
Entities should have accreditation or should work with Accredited Entities. |
Entities should have accreditation or should work with Accredited Entities. |
| REDD+ Result-Based Payments Pilot Program
|
Countries that have completed the first two phases of REDD+ for results generated from the end of 2013 to the end of 2018 are eligible to apply for phase 3 funding through this pilot facility. | Accredited Entities in close consultation with NDA and REDD+ entity/focal point. | Entities should have accreditation or should work with Accredited Entities. |
| Enhancing Direct Access
|
Country driven programmatic approach. There will be no submission of individual projects/programs to GCF because decision making will be devolved to the country level. | Entitas Akses Langsung (DAE) atau calon DAE nominated by the NDA to implement the program.
DAEs or prospective DAEs nominated by the NDA to implement the program. Entities are requested to first submit a Concept Note to get feedback and further guidance before working on a full proposal. In addition, applicants will need to be accredited before being able to access the fund. |
Entities should have accreditation or should work with Accredited Entities.
Allocation of USD 200 million. |
The Green Climate Fund strives to ensure that the climate finance it provided to developing countries does not bring negative effects to local communities and the environment.
You can find out more about the methods GCF uses to prevent the negative effects through its Environmental and Social Policy and Indigenous People Policy in this factsheet.
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