Annex 1 1. IDENTIFICATION 2. RATIONALE

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1 Annex 1 1. IDENTIFICATION Title ENRTP Priority Target Country GCCA - Technical support to the Papua New Guinea Forest Authority to implement a continuous and multi-purpose National Forest Inventory 1.1. Climate Change Adaptation (including the Global Climate Change Alliance) Papua New Guinea Total cost EUR Aid method / Method of implementation EU Contribution: EUR UN-REDD Contribution : EUR Project approach - Joint management with an International Organization: Food and Agriculture Organisation of the United Nations DAC-code Sector Forestry education/training 2. RATIONALE 2.1. Sector context Papua New Guinea (PNG) has one of the most significant areas of largely-intact tropical forest in the world. Approximately 60% 1 of the total area of the country is covered by natural forests (25 million hectares) but according to latest estimates, the combined annual rate of deforestation and forest degradation was 1.41% 2 in Consequently, over 95% 3 of Papua New Guinea's Green House Gas (GHG) emissions derive from land use, land use change and forestry (LULUCF). Climate change issues are crucial for PNG due to its high vulnerability. Over 80% 4 of the population is still directly dependent on the local environment for their livelihoods and particularly subsistence agriculture. While the forestry sector contributes to more than 3% to official gross domestic product (GDP) 5, provides several thousand people with employment opportunities and generates royalties for landowners at the same time, as noted earlier, the forestry sector is the primary national source of GHG emissions. The Government of Papua New Guinea has therefore an ambivalent position on climate change: on the one hand it has a high profile in international climate change discussions but on the other hand there is large scale logging of its rainforest resources. In 2009, the National Executive Council 6 endorsed the National Forestry Development Guidelines where two of its pillars are mitigation and sustainable forest management. The Forestry and Climate Change Framework for Action published by the PNG Forest Authority defined the principles and strategy adopted. In 2011 the Office for Climate Change FAO, Forest Resource Assessment Shearman P. and al., Office of the Climate Change & Development, Papua New Guinea European Community, Country Strategic Paper and National Indicative Programme for the period Department of Treasury of Papua New Guinea, Equivalent of a Council of Ministers, top decision making body for the Government 1

2 and Development (OCCD) drafted the Climate Compatible Development Strategy outlining the mitigation policy. According to the Forestry Act (1991), the PNG Forest Authority is in charge of the implementation of forest policies and is therefore responsible for sustainable forest management and mitigation issues related to forestry. However, with fewer than 400 staff, including the research teams of the Forestry Research Institute (public body part of the PNG Forest Authority), and an annual budget of EUR , the implementation of the mitigation policy, in addition to sustainable forest management, is a challenge for the PNG Forest Authority. Nevertheless, PNG Forest Authority has launched five REDD+ (Reducing Emissions from Deforestation and Forest Degradation plus) pilot activities in different provinces based on a "learning by doing" approach. The PNG Forest Authority and the Office for Climate Change and Development are now developing the National Forest Monitoring System and the National GHG Inventory to meet all the requirements for REDD+. The PNG Forest Authority is the main national institution concerned with the implementation of Papua New Guinea's climate change mitigation and adaptation policies in the forestry sector. A REDD & climate change branch has been created in the Forest Policy & Planning Directorate. National and international expectations are evolving from sustainable forest harvesting towards multi-functional sustainable management (climate change, biodiversity, non timber forest products etc.). This new paradigm needs be integrated from the field level to the management staff. This is of particular importance as the PNG Forest Authority is committed to implement a continuous and multi-purpose National Forest Inventory as part of the National Forest Monitoring System for GHG emissions from LULUCF. The implementation of a continuous and multi-purpose National Forest Inventory will be challenging in terms of capacities, field costs and relations with landowners. Additional capacities will thus be required from the only forestry school of the country (University of Technology Department of Forestry in Lae, which is a public body, governed by the Office of Higher Education). In addition it is worth mentioning that the rapid economic growth of the oil and gas sector in Papua New Guinea is exerting a high pressure and competition on the labour market, adding up to the need for strengthening opportunities and capacities within this sector. Moreover the implementation of the mitigation policy is hampered by the limited scientific data available about Papua New Guinea's forest and tree characteristics. Assessment of carbon stocks and carbon stock changes in compliance with United Nations Framework Convention on Climate Change (UNFCCC) requirements will need additional specific data. The continuous and multi-purpose National Forest Inventory will be an opportunity to contribute to producing such data which will in turn allow improved fact based strategic decision making in the forestry sector Lessons learnt The final evaluation of the Eco-Forestry Program (EUR under the 8th EDF) highlighted the importance of embedding the project within Government institutions and to avoid a separate management unit. This is now considered as one of the main principle for aid effectiveness. The evaluation also insisted on the need to focus on capacity development and sustainability of government institutions and Non Governmental Organisations (NGO) support services. 7 FAO, Forest Resource Assessment

3 Delays of implementation faced by the UN-REDD Programme have highlighted the institutional fragility related to climate change issues in Papua New Guinea. Hence the importance of channelling the support through knowledgeable and strong institutions as well as targeting solid autonomous beneficiaries. The on-going mid-term evaluation of the ACP-EU FORENET (African-Caribbean-Pacific Forest Research Network) project is highlighting the importance of having an in-country presence from the implementing partner to support day to day implementation. The present project will therefore mainly focus on technical issues related to mitigation with an important component on capacity building (including NGO). The implementing partner will be the Food and Agriculture Organisation of the United Nations (FAO) who will deploy a technical team in country and work in close cooperation with the PNG Forest Authority Complementary actions The European Commission funded in (under Stabex) a project implemented by the University of Papua New Guinea Remote Sensing Centre aimed at upgrading the Forest Inventory Mapping System of the PNG Forest Authority. The overall objective of the project was to improve the assessment of commercial timber volume and therefore to contribute to achieving long term sustainable management of Papua New Guinea's forest resources. Under Phase 1 of the Rural Economic Development Programme (10 th EDF) a follow up project worth EUR 1 million aimed at achieving a national remote sensing biomass assessment is currently under preparation. A National Joint Programme on REDD+, launched in 2011, is being implemented by the UN- REDD Programme (FAO-UNDP-UNEP) and worth USD The project is focussed on the development of a Measurement, Reporting and Verification system (MRV) for GHG emissions and removals from LULUCF. The PNG Forest Authority is a partner of the FAO for outcomes related to satellite forest land monitoring systems, multipurpose national carbon forest inventory and assessment of drivers of deforestation. The FAO is also implementing with the PNG Forest Authority a project on Promoting sustainable forest management by developing effective systems of forest planning, monitoring and control in Papua New Guinea that will provide particular support for the activities related to Enhancement of policy dialogue on forestry. The Government of Japan and the Japan International Cooperation Agency (JICA) are currently funding a USD 12 million project to develop capacity on forest resource monitoring for addressing climate change in Papua New Guinea. The PNG Forest Authority is the main partner and beneficiary of the project which is mainly focussed on GIS and remote sensing. The expected output of the project includes National Forest Resource and Carbon Database. In 2008 the Government of Australia (AusAID) signed with Papua New Guinea a Forest Carbon Partnership committing AUD 3 million to support a) Policy dialogue on climate change, b) Forest carbon monitoring and measurement and c) Participation in global carbon markets. Since most ongoing projects in the forestry sector tend to focus either on carbon assessment or remote sensing matters, these two components will thus not be included in the proposed project. 3

4 2.4. Donor coordination Annex 1 The project will comply with the international requirements on aid effectiveness. Indeed the programme is conceived as a multi-donor action. The contribution and coordination with the UN-REDD programme (EUR ) will thus greatly contribute to the aid effectiveness. JICA has been largely involved during the phases of identification and formulation due to their current involvement with the PNG Forest Authority. JICA's will for coordination with the proposed project has been confirmed during the stakeholders meeting at the end of the formulation phase. EU Members States present in PNG (France and The United Kingdom) have very limited cooperation budget in the country. They have been fully debriefed on the outcomes of the identification and formulation phases. 3. DESCRIPTION 3.1. Objectives The overall objective of the project is to contribute to the implementation of Papua New Guinea's climate change policies and measures on mitigation. The purpose of the project is to support the Papua New Guinea Forest Authority to implement a continuous and multi-purpose National Forest Inventory (NFI) as part of the National Forest Monitoring System that PNG will have to establish to fulfil the UNFCCC Cancun agreement requests Expected results and main activities The expected results of the project are: 1. To improve the capacity of the PNG Forest Authority and the University of Technology-Department of Forestry on continuous and multi-purpose forest inventory. The aim of this component is to provide both current and future staff of PNG Forest Authority with technical autonomy to carry out multi-purpose forest inventory on a regular basis. NGOs involved in sustainable forest management and forest industry staff will also be involved in trainings in order to extend knowledge at a local level and enhance dialogue between stakeholders. The activities will include: identifying field trainings topics necessary to implement the multi-purpose National Forest Inventory and relevant for the different targeted groups elaborating field procedures to implement the multi-purpose National Forest Inventory for the different topics selected for trainings designing of the field trainings reviewing the curriculum of the University of Technology-Department of Forestry implementing the field trainings implementing modules for students at the University of Technology-Department of Forestry publishing books and technical manuals providing internships and scholarships for students at the University of Technology- Department of Forestry to support the field implementation of the multi-purpose National Forest Inventory or the specific studies on forest and tree characterisation 4

5 formulating recommendations to the stakeholders based on the lessons learnt from the implementation of the component monitoring, evaluation and auditing of activities Targeted public: technical staff of the PNG Forest Authority (from the field to the management levels, including the Forest Research Institute staff). Particular attention will be paid to "training of trainers" lecturers and students of the University of Technology-Department of Forestry forest industry staff NGOs involved in sustainable forest management Interested land and forest resource owners Gender will be particularly considered for trainings, internships and scholarships. Selection of NGOs will be made amongst the organisations involved in the sector and participating to sector coordination meetings organised by PNG Forest Authority. The Timber and Forestry Training College (TFTC, part of the University of Technology) will not be concerned by this component due to its focussing on timber processing and logging which are out of the scope of the project. 2. To realise, through support to its implementation, the first multi-purpose National Forest Inventory of PNG. This forest inventory will be a basis for any planning activities in the forestry sector and in particular for those related to sustainable forest management. The NFI will also be a key element of the National Forest Monitoring System that PNG has to establish to participate at the expected UNFCCC mechanism on Reduction of Emissions from Deforestation and forest Degradation, conservation of forest carbon stocks, sustainable management of forests and enhancement of forest carbon stocks (REDD+) (Decision 1/CP.16). The NFI should be developed through a step-wise approach that could meet the reporting requirement of the REDD+ phased approach (par. 73 Dec. 1/CP.16). The NFI will be one of the main data sources for the PNG national GHG inventory that the country will use for Measuring, Reporting and Verification for the REDD+ mechanism. Data collection will involve several institutions. For the management and the analysis of the data of the NFI, the PNG Forest Authority will largely rely on its Forest Research Institute that is based in Lae.. The NFI will have some test/priority areas and the forests that will be inventoried initially will be the five (5) pilot areas currently being considered under the REDD+ program implemented in PNG. The land registry Department will also be consulted to implement the NFI. The activities will include: developing the multi-purpose NFI methodology (measurement protocols, sampling and plot design) based on the revision of all the existing field data setting up of the Satellite Land Monitoring System developed by FAO that will support field activities with RS-GIS data support collecting field data and implementing the multi-purpose National Forest Inventory implementing the quality assessment and quality control (QA/QC) of the collected field data analysing field data and assessing all forestry parameters and variables realising and disseminating NFI final report 5

6 realising an online NFI database8 managed by PNGFA with a data policy in compliance with the reporting requirements under UNFCCC and approved by government agencies such as the PNGFA, the PNG Central Statistical Agency and the government agency in charge for National Communication under UNFCCC providing internships for students at the University of Technology-Department of Forestry to support the field implementation of the multi-purpose National Forest Inventory formulating recommendations to the stakeholders based on the lessons learnt from the implementation of the component monitoring, evaluation and auditing of activities The ITTO (International Tropical Timber Organization) concept-note on multipurpose forest inventory developed a few years ago in PNG will be taken into account. Other activities such as the designing of the NFI data base and its linkage to an envisaged National Forest Resource and Carbon Database could be defined at a later stage in close consultations with the PNG Forest Authority, the FAO and relevant stakeholders. Analysed data from the NFI will be freely and transparently available on the web. However PNG Forest Authority may decide not to publish publicly raw and sensitive data. Targeted public: PNG Forest Authority and Forest Research Institute students of the University of Technology-Department of Forestry Association of Foresters of PNG and landowners Particular attention will be given to gender balance in the implementation of the multipurpose NFI and internships. 3. To carry out specific studies on forest and tree characterisation. Specific studies will be necessary to implement the multi-purpose National Forest Inventory. They will include for instance studies on allometric equations, wood density, biodiversity, indigenous knowledge and use of forest land, soils as source and sink for GHG etc. Although biodiversity in Papua New Guinea is invaluable, scientific data is still limited. For instance, the wood density is known only for about 50 tree species whereas hundreds of tree species grow in the forest of Papua New Guinea. New botanical and faunal species are discovered almost every year. Specific allometric equations to assess the total volume of biomass are to be further developed. The assessment of the forest resources in Papua New Guinea needs to be carried out together with an assessment of the indigenous knowledge and use of the forest land as these two elements will be crucial to define policies for sustainable forest management. The activities will include: Settling a panel of experts with relevant experience and qualification. identifying specific studies related to the multi-purpose National Forest Inventory (e.g.: allometric equations, soil, wood density, biodiversity, indigenous knowledge, etc.) implementing these studies on forest and tree characterisation publishing study reports and scientific papers providing internships for students at the University of Technology-Department of Forestry to support the specific studies on forest and tree characterisation 8 This will support the transparency of PNG s REDD+ National Forest Monitoring System, as specified by the UNFCCC s Cancun Decision 1/CP.16. 6

7 organising technical and scientific workshops/seminars in Papua New Guinea involving PNG researchers and students of University of Technology-Department of Forestry formulating recommendations to the stakeholders based on the lessons learnt from the implementation of the component monitoring, evaluation and auditing of activities Calls for tender will be launched and managed by the FAO. The panel of experts will be set up to assess the quality of the reports and scientific papers and help in the identification of the specific studies to be carried out. Targeted public: Forest Research Institute University of Technology-Department of Forestry University of Papua New Guinea etc. Particular attention will be given to gender balance in the specific studies and internships. 4. To enhance policy dialogue on forestry. A policy dialogue on forestry matters will be established. Such dialogue will focus on (but not be limited to) climate change, capacity building, forest inventory, forest governance, etc. and will be aiming at improving forest policies and legislation through stakeholders consultations and consultancy services. The recommendations to the stakeholders based on the lessons learnt from the implementation of the three first components will feed this policy dialogue on forestry. There will be close alignment in this component with activities being implemented through the JICA/PNGFA Capacity Building Program and the UN-REDD Programme, ensuing complementarities and synergies are built to maximise effectiveness of the two lines of funding. The specific UN- REDD Programme outcome relevant to this component is: Outcome 5: Stakeholders engaged in PNG s REDD+ readiness process; though this component goes further with its aim of enhancing policy dialogue on wider forestry issues. Outcomes from the projects Promoting sustainable forest management by developing effective systems of forest planning, monitoring and control in Papua New Guinea and Enhancing forest law enforcement in Papua New Guinea implemented by the PNG Forest Authority will be taken into account. The activities will include: organising stakeholders consultations on forestry policies setting up a high level platform on forest governance and climate change between the Government of PNG, the EU Delegation and the FAO that will meet twice a year undertaking consultancies on forestry policies and legislation Targeted public: Ministry of Forest PNG Forest Authority European Union Delegation FAO Office of Climate Change and Development (OCCD) 7

8 Civil society Forest industry Calls for tender will be launched and managed by the FAO for consultancies Risks and assumptions Risks Coordination challenges with other projects (JICA, UN-REDD etc.) Logistical issues hinder the implementation of the project. Local landowners delay the implementation of the National Forest Inventory Mitigation measures All existing projects were widely involved in consultations during the identification phase. Embedding the project within PNG Forest Authority will ease coordination with the JICA funded project. Implementing the project through the FAO will ensure very good coordination with the UN-REDD Programme (largely implemented by the FAO). Sufficient means are allocated for logistics so that all necessary field travels are carried out. Good communication and information exchange is undertaken and maintained between PNG Forest Authority provincial officers and local land and forest owners. Assumptions: The new Government team to be formed following the General Elections to be held in 2012 retains the policy stance on the importance of climate change mitigation issues; The PNG Forest Authority remains in charge of the implementation of forestry related activities in the field of climate change; The PNG Forest Authority and the University of Technology confirm their mutual willingness to work in partnership for the training components of the project; Political and security conditions in Papua New Guinea do not further deteriorate Cross-cutting Issues Environmental sustainability Environmental sustainability is a key cross-cutting issue that has been integrated in the project design and implementation. Indeed, the project itself aims at contributing to the implementation of Papua New Guinea's mitigation policy for climate change, and with the objective of sustainable forest management. Gender equality The project will aim at promoting gender equity with the access to knowledge and increased opportunities in this sector. Preference will be given to women for internships and scholarships. Women staff of the PNG Forest Authority will be trained as trainers in order to mainstream gender issues in the forestry sector. Good governance PNG still has substantial primary rain forest resources, but areas are shrinking rapidly due to several factors including what is assessed by many as lack of compliance. Approximately 8

9 60% 9 of the total area of the country is covered by natural forests (25 million hectares) but according to latest estimates, the combined annual rate of deforestation and forest degradation was 1.41% 10 in Consequently, significant proportion of national GHG emissions derive from LULUCF. In addition, over 80% 11 of the population is still directly dependent on the local environment for their livelihoods and particularly subsistence agriculture. Moreover the forestry sector contributes to more than 3% in the GDP 12, provides several thousands employment and generates royalties for landowners but at the same time is the first driver of GHG emissions. PNG has therefore an unusual position on climate change with on the one hand a high profile in international climate change discussions and on the other hand the large scale logging of its rainforest resources. PNG could contribute to global climate change mitigation by moving towards sustainable forest management through improved forest governance and land-use legislation. Apart from the proposed project, two initiatives are worth mentioning: the monitoring operated by Société Générale de Surveillance (SGS) on logging and exports; and the ITTO-FLEG (International Tropical Timber Organization-Forest Law Enforcement and Governance) project Enhancing forest law enforcement in Papua New Guinea. Human Rights The consequences of climate change, whether initiated by inadequately-adapted agricultural and forestry practices or in a wider context, are primarily felt by the most vulnerable fringes of the PNG population. Implementing Papua New Guinea's mitigation policy for climate change will indirectly contribute to enhance human rights Stakeholders The Office of Climate Change and Development (OCCD) is the focal point at a national level for coordinating Papua New Guinea's climate change strategy and policy. The implementation of the Climate Compatible Development Strategy with the prospect of future REDD+ incentives is one of their main priorities. However to be successful such a mechanism will require a solid MRV System based on land use monitoring, with both National Forest and national GHG inventories. The PNG Forest Authority is directly involved in the implementation of the mitigation policy on climate change as it is in charge of carrying out the continuous and multi-purpose National Forest Inventory. In preparing to implement this inventory, the PNG Forest Authority has highlighted several challenges such as: a) the need for capacity building especially to reflect the current move from mainly timber approaches towards a multi-purpose forest inventory; b) the importance of including training of trainers at the PNG Forest Authority but also through forestry education at the University of Technology in Lae, Bulolo University College and NGOs; c) the incremental cost of broadening the scope of the National Forest Inventory and finally d) the lack of scientific data related to Papua New Guinea's forests and tree species. The logging industry currently has a limited involvement in the mitigation policy and has expressed doubts about the economic sustainability of a REDD+ scheme at global level FAO, Forest Resource Assessment Shearman P. and al., Papua New Guinea European Community, Country Strategic Paper and National Indicative Programme for the period Department of Treasury of Papua New Guinea,

10 However the industry is interested in potential afforestation and reforestation initiatives under the mitigation policy as long as land tenure is secured. The industry representatives have also highlighted limited local skills as one of the weaknesses of the forestry sector, resulting in an overwhelming presence of foreign skilled labour in logging operations. This aspect is further exacerbated by competition in the labour market from the oil and gas sector. Civil society is reasonably well organised in this sector and defends the principles of sustainable development and the rights of indigenous people. The umbrella organisation Eco- Forestry Forum seats at the National Forest Board along with the PNG Forest Authority the Government and the industry. Some NGOs are involved in implementing pilot REDD+ activities. Civil society shows particular interest on climate change issues and also in benefit sharing of expected incentives from REDD+. The latter is of particular importance as about 97% of the land in Papua New Guinea is customarily owned and landowners receive timber royalties from logging companies on a cubic-meter basis. Land and forest resource owners are an important part of this stakeholder group. 4. IMPLEMENTATION ISSUES 4.1. Method of implementation The project will be implemented via joint management through the signature of an agreement with an international organisation, namely the United Nations Food and Agriculture Organization (FAO), in accordance with Article 53d of the Financial Regulation. The FAO has a long and extensive record within the region of the technical competence and long standing experience in national forest inventory, capacity building and institutional development. Indeed, sustainable management of forests is an operational goal of the FAO. The FAO s multi-disciplinary expertise and the wide network of partner organizations are particularly valuable for ensuring sustainability of the project impacts. The FAO is already involved in the implementation of the UN-REDD project in PNG and particularly in charge of the multipurpose national carbon inventory. In PNG in collaboration with the PNG Forest Authority, the FAO is also implementing a project on Promoting sustainable forest management by developing effective systems of forest planning, monitoring and control in Papua New Guinea that will provide particular support for the activity related to Enhancement of policy dialogue on forestry. The FAO complies with the criteria provided for in the applicable Financial Regulation. The FAO is covered by the Financial and Administrative Framework Agreement (FAFA). The contractual model that will be used is a Standard Contribution Agreement. The FAO will sign Letters of Agreement with the PNG Forest Authority, the University of Technology-Forestry Department for the implementation of activities under their responsibility. The PNG Forest Authority has been selected as it is the government mandated authority in charge of the implementation of forest policies and is therefore responsible for sustainable forest management and mitigation issues related to forestry. The PNG Forest Authority shall be responsible for activities linked to its area of expertise and mandate, i.e. technical implementation of the forest inventory, specific studies and policy dialogue. The University of Technology-Forestry Department has been selected as it is a public body and the only forestry school of Papua New Guinea. The University of Technology-Forestry Department shall be responsible for activities linked to its area of expertise and mandate, i.e. academic tuition and training in the forestry sector. The FAO will launch and manage, with input from the PNG Forest Authority, calls for tender for the specific studies on forest and tree characterisation and consultancies on forestry policies and legislation. The FAO shall be responsible for the overall technical and financial coordination of the project. 10

11 FAO shall ensure that procedures applied by these entities in implementing the relevant activities will be in accordance with FAO rules and procedures and with the FAFA. As signee of the Contribution Agreement the FAO shall bear the legal and financial responsibility of the project in front of the European Union. The change of management mode constitutes a substantial change except where the Commission "re-centralises" or reduces the level of tasks previously delegated to the beneficiary country, international organisation or delegatee body under, respectively, decentralised, joint or indirect centralised management. The evaluation and verification components will be implemented under direct centralised management Procurement and grant award procedures 1) For contracts to be implemented under direct centralised management: All contracts implementing the action must be awarded and implemented in accordance with the procedures and standard documents laid down and published by the Commission for the implementation of external operations, in force at the time of the launch of the procedure in question. Participation in the award of contracts for the present action shall be open to all natural and legal persons covered by the DCI regulation. Further extensions of this participation to other natural or legal persons by the concerned authorising officer shall be subject to the conditions provided for in articles 31(7) and (8) DCI. 2) For contract to be implemented under joint management: All contracts implementing the action are awarded and implemented in accordance with the procedures and standard documents laid down and published by the relevant International Organisation Budget and calendar The total project cost is estimated at EUR , of which the maximum EU contribution to the project is EUR that will be financed from the general budget of the European Union and EUR by the project s own resources through the UN-REDD programme (referred to the forest-related activities of the programme). Indicative Budget: Categories EU contribution UN-REDD programme Total EUR EUR EUR 1. Contribution Agreement Component 1 Capacity Building Component 2 NFI implementation Component 3 Specific studies Component 4 Policy dialogue Services : Mid-term evaluation, final evaluation and provision for verification TOTAL

12 The Government will provide an in kind contribution by providing office space for the teams. Amounts under sub-headings related to the Contribution Agreement Components are purely indicative and internal re-allocation among components will be allowed without requiring a modification neither to the Commission Decision nor to the Financing Agreement. A Contribution Agreement worth EUR will be signed between the European Commission and the FAO. An effective presence of the FAO technical staff in the country is a pre-condition to the signature of the Contribution Agreement with the FAO. The Contribution Agreement will be governed by the FAFA between the Commission and UN. The indicative duration of the operational implementation of the project is estimated 48 months as from the last signature of the Financing Agreement. The duration of the closure phase is estimated at 24 months. On 16 th of May 2012 the PNG Forest Authority, upon consultation of the National Forest Board has formally informed the Delegation of its approval of the draft Financing Agreement. The FAO-EU Contribution Agreement will be fully reviewed and agreed upon by the PNG Forest Authority prior to its signing. These provisions will allow for full and broad consultation and inclusion of further details if deemed necessary and as long as these modifications do not change the objectives of the project Performance monitoring The Commission may carry out Results Oriented Monitoring (ROM) via independent consultants, starting from the sixth month of project activities, which will be finalised at the latest 6 months before the end of the operational implementation phase. Objectively Verifiable Indicators defined in the provisional logframe will be used for the monitoring. The FAO will monitor the impact of the project by reviewing and assessing the project outputs. Lessons learned will be drawn during the implementation of the project, particularly through workshops aimed disseminating information Evaluation and verification a) The Commission will carry out external evaluations via independent consultants, as follows: a mid-term evaluation mission; a final evaluation, at the beginning of the closing phase; possibly, an ex-post evaluation. b) The Beneficiary and the Commission shall analyse the conclusions and recommendations of the mid-term evaluation and jointly decide on the follow-up action to be taken and any adjustments necessary, including, if indicated, the reorientation of the project. The reports of the other evaluation and monitoring missions will be given to the Beneficiary, in order to take into account any recommendations that may result from such missions. c) The Commission shall inform the Beneficiary at least one month in advance of the dates foreseen for the external missions. The Beneficiary shall collaborate efficiently and effectively with the monitoring and/or evaluation experts, and inter alia provide them with 12

13 13 Annex 1 all necessary information and documentation, as well as access to the project premises and activities. The FAO internal evaluations will also take place according to Field Programme Circular (FPC) 2011/01 entitled "Evaluation Provisions in Technical Cooperation for Development projects funded by Voluntary Contributions." Verification may be carried out accordingly with the EU-UN agreement and the common terms of reference for verification mission Communication and visibility Joint visibility European Commission-UN guidelines on visibility will be followed. Communication and visibility of the project will take place through various mechanisms. Within PNG, visibility will be provided thanks to: - launching of training sessions - books and manuals related to field trainings for the PNG Forest Authority staff and the forest industry - technical manuals for students of the University of Technology-Forestry Department - technical manuals and brochures for the NGOs involved in sustainable forest management, Association of Foresters of PNG and forest resource owners - study reports - international research workshops/seminar and their reports - national workshops and their reports Therefore all information given by the FAO, the PNG Forest Authority and the University of Technology-Forestry Department to the press, the beneficiaries of funds, and all related publicity material, official notices, reports and publications, shall acknowledge the European Union and display in an appropriate way the European logo. For that purpose, the EU visibility guidelines as set in the Communication and Visibility Manual for EU External Actions, will be followed. The FAO will support PNG Forest Authority in setting up a specific newsletter for the NFI that on regular basis will synthesize recent NFI developments. Project partners and stakeholders will further be encouraged to share lessons learned on a national and regional level. Specific project outputs will be distributed through the FAO and partners mailing lists, newsletter and websites in order to be presented to the wider public. Beyond the project, the FAO is well-placed to communicate and raise the visibility of the project through the FAO Forestry Department website, mailing lists, newsletters and publications. These include FAO s Unasylva, a widely read forestry periodicals, and reporting through FAO Regional Office for Asia and the Pacific (FAO RAPO) via its quarterly Tigerpaper and Forest News periodicals. Moreover, integration of project lessons into future FAO activities will take place. Information given to the press, to the beneficiaries of the Programme, all related publicity material, official notices, reports and publications, shall acknowledge the role of the EU as donors. In addition, a country profile will be published on the Global Climate Change Alliance (GCCA) website.

14 All information distributed to the press, official reports and publication shall be shared with the GCCA network and the EU Delegation. Provision of funds will be made under the project budget for participation of stakeholders to annual GCCA events aiming to increase knowledge building and lessons learning across GCCA interventions. 14