OVERVIEW OF UNDP s BIOFIN METHODOLOGY

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1 OVERVIEW OF UNDP s BIOFIN METHODOLOGY

2 We know that implementing NBSAPs will require funding

3 But how much will it cost, and who will pay for which activities?

4 Source: Prip et al., 2010 Fatal Flaw in the last round of NBSAPs: Strategies and actions did not assign realistic costs or identify feasible sources of revenue

5 UNDP s BIOFIN methodology is an approach that helps planners systematically assess finance needs and mobilize financial resources

6 UNDP-supported countries for NBSAPS and for BIOFIN Kazakhstan India Chile Colombia Peru Ecuador Costa Rica Guatemala Mexico Botswana Uganda Seychelles South Africa Zambia Indonesia Malaysia Philippines Fiji Thailand

7 BIOFIN IS BASED ON 4 CONCEPTUAL FRAMEWORKS 1. Public expenditure review framework 2. Pressure-state-response 3. Scenario development and comparison 4. Root causes analysis

8 PUBLIC EXPENDITURE REVIEWS POLICY REVIEW Key biodiversity finance policies INSTITUTIONAL REVIEW Key biodiversity finance actors and institutions, roles and capacities EXPENDITURE REVIEW Who spends? How much? On what? How well? COSTS OF NBSAPS FINANCIAL GAPS RESOURCE MOBILIZATION PLAN

9 PRESSURE-STATE-RESPONSE FRAMEWORK PRESSURE Drivers of biodiversity loss Mining Manufacturing Agriculture Forestry Fisheries Grazing STATUS Biodiversity status and trends Species populations Ecosystem health Ecosystem services Nature-based jobs Human wellbeing Protected areas RESPONSE NBSAP strategies Mainstreaming Sustainable use Protection Restoration ABS Implementation

10 PRESSURE-STATE-RESPONSE WITH SCENARIO COMPARISON PRESSURE STATUS RESPONSE NEW STATE Drivers of biodiversity loss Mining Manufacturing Biodiversity status and trends Species populations Ecosystem health NBSAP strategies Mainstreaming Sustainable use Based on implementation of strategies Agriculture Ecosystem services Protection Forestry Nature-based jobs Restoration Fisheries Grazing Human wellbeing Protected areas ABS Implementation NO RESPONSE Continue with business as usual BAU NEW STATE Based on business as usual scenario

11 PRESSURE AND STATE WITH ROOT CAUSES ANALYSIS PRESSURE STATUS Drivers of biodiversity loss Mining Biodiversity status and trends Species populations Manufacturing Ecosystem health Agriculture Ecosystem services BROADER POLICY ENVIRONMENT POLICY FACTORS SOCIO ECONOMIC FACTORS POLICIES AND PRACTICES SOCIAL AND ECONOMIC FACTORS Forestry Fisheries Grazing DIRECT PRESSURES DIRECT PRESSURES Nature-based jobs Human wellbeing Protected areas Degraded freshwater ecosystem

12 PRESSURE AND STATE WITH ROOT CAUSES ANALYSIS PRESSURE STATUS Drivers of biodiversity loss Mining Biodiversity status and trends Species populations Manufacturing Ecosystem health Agriculture Ecosystem services Government policies favor urban development Limited capacity for urban planning Rapid urbanization Inadequate zoning regulations Need for urban electricity Forestry Fisheries Grazing Pollution from urban sewage Dam construction Nature-based jobs Human wellbeing Protected areas Degraded freshwater ecosystem

13 BIOFIN CONCEPTUAL MODEL POLICY ENVIRONMENT POLICY REVIEW INSTITUTIONAL REVIEW EXPENDITURE REVIEW POLICY DRIVERS PRACTICES DRIVERS CONTRIBUTING FACTORS PRESSURE Drivers of biodiversity loss Mining Manufacturing Agriculture Forestry Fisheries Grazing STATUS Biodiversity status and trends Species populations Ecosystem health Ecosystem services Nature-based jobs Human wellbeing Protected areas RESPONSE NBSAP strategies Mainstreaming Sustainable use Protection Restoration ABS Implementation COSTS OF NBSAPS FINANCIAL GAPS RESOURCE MOBILIZATION PLAN NEW STATE Based on implementation of strategies NO RESPONSE BAU STATE Continue with business as usual Based on business as usual scenario

14 BIOFIN MODEL SHOWING RELATIONSHIP TO VALUATION Make the economic arguments for investment by comparing new state with BAU state POLICY ENVIRONMENT POLICY REVIEW INSTITUTIONAL REVIEW EXPENDITURE REVIEW POLICY DRIVERS PRACTICES DRIVERS PRESSURE Drivers of biodiversity loss STATUS Biodiversity status and trends RESPONSE NBSAP strategies COSTS OF NBSAPS FINANCIAL GAPS NEW STATE Based on implementation of strategies NO RESPONSE BAU STATE CONTRIBUTING FACTORS Continue with business as usual RESOURCE MOBILIZATION PLAN Based on business as usual scenario VALUATION METHODOLOGIES Quantify economic changes from trends in biodiversity status

15 The BIOFIN Methodology also clearly links the NBSAP revision process with the resource mobilization process

16 Steps in developing NBSAPs GET STARTED ENGAGE STAKEHOLDERS GATHER INFORMATION DEVELOP STRATEGIES DEVELOP IMPLEMENTATION PLANS IMPLEMENT THE NBSAP MONITORING, ADAPTING

17 Steps in mobilizing resources REVIEW BROADER CONTEXT Identify sectoral drivers of loss Assess sectoral institutions and actors Review biodiversity expenditures ASSESS COSTS AND GAP Assess costs of strategies and actions Calculate the financial gap MOBILIZE FINANCIAL RESOURCES Identify finance actors and mechanisms Develop resource mobilization plan

18 Steps in developing NBSAPs GET STARTED ENGAGE STAKEHOLDERS Steps in mobilizing resources REVIEW BROADER CONTEXT Identify sectoral drivers of loss Assess sectoral institutions and actors Review biodiversity expenditures GATHER INFORMATION DEVELOP STRATEGIES DEVELOP IMPLEMENTATION PLANS ASSESS COSTS AND GAP Assess costs of strategies and actions Calculate the financial gap IMPLEMENT THE NBSAP MONITORING, ADAPTING MOBILIZE FINANCIAL RESOURCES Identify finance actors and mechanisms Develop resource mobilization plan

19 BIOFIN WORKBOOK REVIEW BROADER CONTEXT Section 1a Section 1b Section 1c Steps in mobilizing resources REVIEW BROADER CONTEXT Identify drivers of biodiversity loss Assess institutions and actors Review biodiversity expenditures ASSESS COSTS AND GAP Section 2a Section 2b ASSESS COSTS AND GAP Assess costs of strategies and actions Calculate the financial gap MOBILIZE FINANCIAL RESOURCES Section 3a Section 3b MOBILIZE FINANCIAL RESOURCES Identify finance actors and mechanisms Develop resource mobilization plan

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