In the 20 years since its inception, the SCCF has invested $393.8 million in 101 projects.
The Special Climate Change Fund, one of the world’s first multilateral climate adaptation finance instruments, was created at the 2001 Conference of the Parties (COP) to the United Nations Framework Convention on Climate Change (UNFCCC) to help vulnerable nations in addressing these negative impacts of climate change.
The SCCF is managed by the GEF and operates in parallel with the Least Developed Countries Fund (LDCF). Both funds have a mandate to serve the Paris Agreement.
The GEF’s climate change adaptation strategy for the 2022-2026 period focuses SCCF support in the following two priority areas:
Supporting the adaptation needs of Small Island Developing States (SIDS)
The Small Island Developing States of the Caribbean, African and Indian Ocean, and the Pacific, are among the world’s most vulnerable countries, due to a range of climatic and non-climatic factors. Salt water intrusion is severely impacting availability of drinking water as well as agricultural productivity on many islands. Sea level rise will worsen this situation, especially on low-lying islands, and, together with increased heavy rainfall, worsen damage from tropical storms to coastal infrastructure, settlements, and coastal ecosystems. Compounding these impacts, solutions are often difficult owing to SIDS’ geographic isolation and limited land area. The Intergovernmental Panel on Climate Change Sixth Assessment Report refers to a range of projected adverse climate change impacts for SIDS, which will translate into direct adverse impacts on human security, health, infrastructure, ecosystems, agriculture and food, and the economy and livelihoods.
Some areas where the SCCF could offer adaptation support to SIDS include: storm and flood early warning systems; improved regional forecasts; nature-based solutions such as mangroves and other protective measures; enhanced resilience of roads, public infrastructure, and freshwater sources; climate-resilient aquaculture, fisheries, and diversified incomes; systemic resilience interventions in the food, urban and tourism space; climate resilient health (vector- and water-borne disease); and measures to build resilience, reduce fragility, and diversify the local economy, reducing dependence on imports; as well as mainstream climate resilience in policies and development planning; and build domestic capacity for adaptation.
Strengthening technology transfer, innovation, and private sector engagement
The SCCF facilitates the creation of strong, climate-resilient economies and communities by helping countries address a range of barriers, including:
- Limited access to climate-resilient technologies and infrastructure
- Limited institutional capacity to foresee and manage climate risks
- Low engagement by the private sector, including small and medium-sized enterprises and entrepreneurs, for developing and providing adaptation solutions
- Lack of access to finance from public sources and to markets for adaptation solutions.
Recent initiatives backed by the SCCF show these obstacles are far from insurmountable. Small farmers provided with equitable and localized lending can afford to invest in climate adaptation technologies. Incubators and targeted funds can attract private sector involvement in climate adaptation innovation. And cutting-edge tools such as artificial intelligence and drones can improve climate risk data, which can enable adaptation and resilience in a range of areas, including disaster risk mitigation, municipal budget planning, and the design of commercial lending products.
During the course of the implementation, the Agency has the responsibility to submit Project Implementation Reports (PIRs) on an annual basis. For Full-sized Projects only, a mid-term review is required as well. This report is normally more detailed than a PIR. The Agency is also required to submit a Terminal Evaluation to the GEF Independent Evaluation Office (IEO) within 12 months following the operational completion of the project.
The GEF’s operational policies, procedures and governance structure are applied to the fund, unless COP guidance and the LDCF/SCCF Council decide otherwise. Its governing structure is composed of: the Assembly, the Council, the Secretariat, 18 Agencies, a Scientific and Technical Advisory Panel (STAP), and the Independent Evaluation Office (IEO).
The GEF Assembly is the governing body of the GEF in which representatives of all member countries participate. It meets every three to four years and is responsible for reviewing and evaluating general policies, the operation, and its membership; and for considering and approving proposed amendments to the GEF Instrument.
The LDCF/SCCF Council is the main governing body of the SCCF. It functions as decision-making organ with primary responsibility for developing, adopting, and evaluating SCCF policies and programs.
The GEF Secretariat coordinates the overall implementation of GEF activities, including day-to-day management of the SCCF. It services and reports to the Assembly and the Council.
The Scientific and Technical Advisory Panel (STAP) provides independent advice. Its members are appointed by the Executive Director of UNEP, in consultation with the GEF’s CEO, the Administrator of UNDP, and the President of the World Bank.
The Independent Evaluation Office (IEO) informs decision-making on amendments and improvements; and promotes accountability for the effective use of resources while supporting knowledge management and learning.
The Trustee is the World Bank.
Since the SCCF is administrated by the GEF, countries seeking SCCF funding work with a GEF Partner Agency to submit project proposals. GEF Partners Agencies (GEF Agencies) are the only institutions that access GEF funding directly on behalf of an eligible recipient (government) for the design and implementation of GEF-financed projects. There are currently 18 GEF Agencies including UN agencies, multilateral development banks, international financial institutions, and NGOs. Projects can be executed on the ground by any organization, including private sector, civil society, government and non-governmental organizations.
Projects must be driven by the country (rather than by an external partner) and be consistent with national priorities that support sustainable development. SCCF is mainly available to projects that are endorsed by governments in eligible countries.
Non-Annex I Parties to the UNFCCC. The Fund gives priority to the most vulnerable countries to climate change. A list of eligible countries can be found here.
Because the SCCF is managed by the GEF, funds are accessed under GEF processes. Entities seeking funding work with the GEF Partner Agency of its choice to submit project or program proposals. The selection of the GEF Partner Agency is formalized through a letter of endorsement issued by the country’s Operational Focal Point, which is the country entity coordinating GEF activities within the country and appraising project ideas against eligibility criteria.
The process to secure funding varies depending on whether the activities relate to Full-sized Projects (GEF Project Financing of more than USD 2 million), Medium-sized Projects (GEF Project Financing of less than or equivalent to USD 2 million), or Programs (consisting of various distinct projects that could be either full or medium-sized). You can find additional information on project access below.
Click here for a more detailed explanation of the rules governing the cycles for GEF-financed Projects and Programs. Relevant templates and forms can be found here.
Find additional information on how to access GEF funding here.
Relevant country institutions and partners must partner with a GEF Agency to prepare the basic project concept or program framework. The selection of the GEF Agency is formalized through a letter of endorsement issued by the country’s Operational Focal Point (See Decision-making Information).
Click here for the list of GEF Agencies.
The complete list of Operational Focal Points, including name, position, government agency, complete address, phone, fax and e-mail, can be accessed here.
The GEF Agency, along with the project proponents, should first have a Project Identification Form (PIF) for projects and/or a Project Framework Document (PFD) for Programs approved by both the GEF Secretariat and LDCF/SCCF Council.
Once approved, the GEF Agency and project proponents develop the project concept into a complete project proposal, which includes developing the technical, risk mitigation, and business details. The process to secure funding varies depending on whether the size of the activity and required funding.
All relevant templates and field by field explanations for different types of projects can be found here.