1.1 The Global Green Growth Institute

The Global Green Growth Institute (GGGI) was established as an international intergovernmental organization in 2012 at the Rio+20 United Nations Conference on Sustainable Development to help its member countries and partners transition to low-carbon, climate resilient, inclusive, and green growth economic models. GGGI is dedicated to supporting the creation and diffusion of the model of economic growth known as “green growth”. The green growth model integrates economic growth, environmental sustainability, poverty reduction and social inclusion.

The engagement of the GGGI in Ethiopia started in 2010 by supporting the Government of Ethiopia in developing its CRGE Strategy and advising on the implementation and integration of its concepts and objectives into the Country’s Development Plans. GGGI has supported the implementation of the CRGE Strategy through deployment of Senior Advisors funded by GGGI at key CRGE sector ministries (MoF, MoP, MoA, EDRI, MoWE). GGGI has significantly contributed to the establishment and operationalization of the CRGE Facility and the successful mobilization of climate finance from GCF and AF. GGGI closely works with Ethiopian Institutions in the development of the Updated NDC, LT-LEDS, National Adaptation Program (NAP), National MRV Framework, and development of sector specific Climate Resilient Strategy documentaries. Furthermore, it has led the technical team, which oversaw the CRGE Implementation progress review work for the period 2011-2019[1].

The ongoing GGGI Ethiopia Country Planning Framework (2023-2027) is well aligned to the GoE climate change strategies and has strong relevance to the FCDO’s priorities. Some of the key targets of the Government of Ethiopia (GoE’s) planning framework include:

• Assist the government to mobilize USD >150 million for climate change actions.
• Assist MOF’s accreditation upgrading to GCF from 50 to 250 million category.
• Create over 7,000 green jobs, benefit 80,000 people from improved climate adaptation.
• Restore and sustainably manage 20,000 ha of agricultural and 30,000 ha of forest landscapes.
• Mainstreaming gender equality and equity actions plans.
• Create modalities for Public-Private Partnerships (PPPs) awareness for green finance access.

1.2 Introduction

The government of Ethiopia has identified climate change as one of the main threats to the socio-economic development, peace, and security of the country. Since 2011, the government has committed itself to building a climate resilient and carbon neutral economy driven by poverty alleviation and sustainability principles. The high level launching of the Ethiopian Climate Resilient Green Economy (CRGE) Strategy on the side of COP17 in Durban has inspired many of its peers and other developing countries in Africa and beyond to pursue a similar development trajectory. The CRGE Strategy has served as a bedrock for the submission of Ethiopia’s ambitious Nationally Determined Contribution (NDC) in June 2015 prior the adoption of the historical Paris Agreement on December 12, 2015.

The realization of the NDC targets and building a climate resilient and carbon neutral economy requires a tremendous amount of finance to be mobilized both from domestic and international climate finance sources. According to Ethiopia’s NDC, the country requires over USD 310 billion (20% unconditional and 80% conditional) between 2021 and 2030 to realize a 68.8% GHG emission reduction from the 2010 level, and to build economy wide climate change resilience. Following the update of the NDC, Ethiopia also launched its Long-Term Low-Emission Development Strategy (LT-LEDS) in 2023, which commits to reducing carbon emissions to net zero by 2050.

To support the implementation of priorities set out in the CRGE Strategy, National Adaptation Plan (NAP) and the NDC, the Ministry of Finance (MoF) has set up the CRGE Facility as a national financial mechanism. Since its operationalization in 2013, the CRGE Facility has spearheaded the direct accreditation process of the MoF to the Green Climate Fund (GCF) and the Adaptation Fund (AF) and mobilization of climate finance from these institutions as well as bilateral development partners. GGGI through an initiative of the FCDO is supporting the accreditation upgrading endeavor of MOF to the GCF as well as preparation of medium sized GCF funding proposal, which focuses on integrating energy and agriculture in selected regions of Ethiopia. The FCDO initiative also supports preparation of a GCF SAP funding proposal^[2] as well as finalization of a draft funding proposal prepared under the additional funding proposal as part of the Building Resilience in Ethiopia-Technical Assistance (BRE-TA) support to the CRGE Facility through the Oxford Policy Management.

1.3 Objective of the Consultancy

The primary objective is to prepare compelling Green Climate Fund (GCF) and Adaptation Fund (AF) project proposals that comply with the criteria and requirements of these funds. The consultant will work closely with a team of consultants and stakeholders to develop and finalize these proposals.

Scope of Work

1. GCF Medium Size Project

• Concept Note Development: Prepare a draft concept note in collaboration with the CRGE Facility experts and ensure its submission to the GCF.
• Proposal Drafting: Develop a detailed project proposal using the GCF funding proposal template, including estimation of project costs and preparation of budget sheets.
• Alignment with GCF Criteria: Ensure the proposal meets GCF funding requirements, including sustainability, impact potential, country ownership, and gender policy.
• Gender-Sensitive Indicators: Develop indicators to measure the project’s impact on gender equality.
• Revision and Finalization: Engage with GCF proposal reviewers to address feedback and ensure the proposal is ready for submission.

2. GCF Simplified Approval Process (SAP) Project

• Proposal Drafting: Develop a detailed project proposal using the GCF SAP template.
• Gender-Sensitive Indicators: Develop indicators for gender equality impacts.
• Revision and Finalization: Engage with GCF proposal reviewers and assist in the submission process.

3. Adaptation Fund

• M&E Plan Development: Design a Monitoring & Evaluation plan aligned with the Adaptation Fund’s objectives.
• Gender-Sensitive Indicators: Develop indicators for gender equality impacts.
• Revision and Finalization: Engage with AF proposal reviewers and assist in the submission process.

Deliverables

GCF Medium Size Project

• Concept note endorsed by the GCF (35 days)
• Fully developed and final draft GCF funding proposal (70 days)

GCF SAP

• Fully developed and final funding proposal (40 days)
• Adaptation Fund
• Final draft AF funding proposal (30 days)