Papua New Guinea’s Strategic Program For Climate Resilience
1Papua New Guinea’s Strategic Program for Climate Resilience1 June 2012
2ContentsSummary of PNG s Strategic Program for Climate ResilienceIntroduction1. Background and Rationale1.1 Country Context1.2 Overview of Existing Development Plans and Programs1.3 Participatory Process and Ownership in Developing the SPCR1.4 Rationale for PPCR Support2. Proposed SPCR Investment Program and Summary of Components2.1 Overview of Proposed SPCR2.2 Component 1: Building Climate Resilient Communities2.3 Component 2: Addressing Climate Change Risks to Food Security2.4 Component 3: Climate Resilient Infrastructure2.5 Budget2.6 Implementation Arrangements, Coordination, and Results Management3. Project Preparation GrantAnnexes1.2.3.4.5.6.7.8.9.10.11.12.13.Key Priorities of the National Interim Action Plan for Climate Compatible Development (20112015)Institutional Framework for Mainstreaming Climate Change AdaptationOverview of the main Development Partner Initiatives on Climate Change AdaptationParticipatory Processes and Consultation with StakeholdersSPCR Climate Change Risk AssessmentsAssessment of Capacity for Adaptation (Sectoral, Community, Gender, Civil Society,Household)Component 1 - Building Climate resilient CommunitiesComponent 2 - Addressing Risks to Food SecurityComponent 3 - Climate resilient InfrastructureResults FrameworkProject Preparation Grant RequestRequest for Payment of Preparation and Supervision Costs of ADBReviewer's Comments and Response
Asian Development Bankclimate change adaptationClimate Compatible Development Strategy (also known as CCDP)Climate Change Implementation Plan (ADB document)Climate Investment FundsCoordinating Regional Organisations of the PacificCommonwealth Scientific and Industrial Research Organisationcivil society organizationDepartment of Community DevelopmentDepartment of Environment and ConservationDistrict Support Implementation ProgramDepartment of Mineral Policy and Geohazards ManagementDepartment of National Planning and MonitoringDepartment of TransportDepartment of WorksDevelopment Partners Climate Change Taskforcedisaster risk reductionDevelopment Strategy Planexecuting agencygross domestic productGlobal Environment FacilityGlobal Facility for Disaster Reduction and RecoveryHuman Development Indeximplementing agencyInternational Climate Change Adaptation Initiative (of the Australian Government)Institute of Engineers PNGmultilateral development bankMedium Term Development PlanNational Airports CorporationNational Climate Change CommitteeNational Climate Change Coordinating CommitteeNational Executive Councilnongovernment organizationNational Interim Action Plan for Climate Compatible DevelopmentNational Maritime Safety AuthorityNational Planning CommitteeNational Program Manager (for PPR Phase I)National Roads AuthorityNational Strategic Planning Framework(National) Office of Climate Change and Developmentpublic investment planproject management unitPapua New GuineaPNG Chamber of Commerce and IndustryPNG National Weather ServicePilot Program on Climate ResiliencePacific Regional Infrastructure ProgramReducing Emissions from Deforestation and Forest Degradationregional technical support mechanismSpecial Agricultural Business LeaseStrategic Climate FundSustainable Land ManagementSecond National Communication (to the UNFCCC)Pacific Islands Applied Geoscience Commission (Division of SPC)Secretariat of the Pacific CommunityStrategic Program for Climate ResilienceSecretariat of the Pacific Regional Environment ProgrammeTransport Sector Monitoring and Implementation CommitteeTransport Sector Support Program (of AusAID)technical working groupUnited Nations Development ProgrammeUnited Nations Framework Convention on Climate ChangeWorld Bank Group
4Summary of PNG s Strategic Program for Climate Resilience1. Country/Region:Papua New Guinea2. PPCR Funding Request (in million)::3. National PPCR Focal Point:Grant: 25 million4. National ImplementingAgency (Coordination ofStrategic Program):Office of Climate Change and DevelopmentDepartment of National Planning and MonitoringMinistry of Finance and Treasury5. Involved MDBAsian Development Bank6. MDB PPCR Focal Point andProject/Program Task TeamLeader (TTL):PPCR – Focal Point :Daniele Ponzi (ADB)Loan:-Varigini Badira, Director AdaptationOffice of Climate Change and Development (OCCD)Ministry of EnvironmentTTL:Anne Witheford (ADB)
5Description of SPCRThe Papua New Guinea (PNG) Strategic Program for Climate Resilience (SPCR) will achieve―transformational‖ change by supporting implementation of PNG‘s national strategies, outlined inits Vision 2050, Development Strategy Plan (DSP), Medium Term Development Plan (MTDP),Public Investment Plan (PIP) and Climate Compatible Development Strategy (CCDS), to makePNG‘s development investments climate resilient, or to facilitate ―climate compatibledevelopment‖ in PNG‘s own terms. The overall outcome of the SPCR will be the enhancement ofPNG‘s resilience to climate change through improved access to resources, knowledge, and toolsand climate resilient infrastructure at the national, sectoral, district, and community levels. Theseare prerequisites for effective social development, food security, and overall poverty reduction.PNG‘s SPCR will support achievement of these key pillars for climate resilient development.In seeking this transformation, the SPCR will address key impediments facing PNG‘s currentefforts to implement Vision 2050, DSP, MTDP, PIP, and CCDS. These include (i) inadequateresources (human, technical, financial) at national, provincial, district, community, and sectorallevels to mainstream climate change risk management; (ii) inadequate knowledge and tools formainstreaming climate change risk management in key sectors (food security, health, criticalinfrastructure); and (iii) poorly designed infrastructure that is susceptible to climate changeimpacts.The SPCR will complement (not duplicate) major climate change adaptation (CCA) initiativesongoing and planned in PNG. It is based on a clear analysis of the value that can be added toCCA work in the country. The SPCR will also, through linkages with the Pacific Regional SPCR(approved by Pilot Program on Climate Resilience (PPCR) Subcommittee 30 April 2012)promote collaboration between PNG stakeholders and other Pacific countries and regionalorganizations.(a) Key Challenges Related to Vulnerability to Climate Change/VariabilityPNG is sensitive to such natural hazards as coastal flooding, inland flooding, landslides, anddrought. Significant risks are posed by climate change to the PNG environment, economy, andpopulation, including from natural disasters worsened by climate change and gradual shifts inclimatic conditions. Climate change will disrupt daily life, cause damage to assets andinfrastructure, destroy livelihoods, endanger cultural and ecological treasures, and kill or injurepeople. Analysis suggests that the average cost of coastal flooding could increase from 20million per year to 90– 100 million by 2030 and the economic loss due to malaria from 130million to 210– 250 million per year, due to the interaction of climate change with the increasedvalue of assets at risk as a result of economic growth. It has been calculated that cost-effectiveadaptation measures could avert 65%–85% of these losses.1In March 2010, in order to implement key goals outlined in the country national developmentstrategy (Vision 2050), PNG‘s Office of Climate Change and Development (OCCD) led thedevelopment, through a broad-based consultative process, of Climate Compatible DevelopmentStrategy for Papua New Guinea (CCDS) that outlines key measures that will ―shapedevelopment to be more climate resilient‖. With the preparation of the CCDS and relatedstrategies and the establishment of the OCCD, substantial progress has been made at the policyand strategy level, and a commitment has been given to fast-track pilot programs in the future.Nonetheless, the real task of implementing climate change adaptation at the operational level isyet to begin. Climate risk management is still to be integrated into policy, planning, andbudgetary processes. There is limited understanding of climate risks and a lack of technicalcapacity to integrate climate risk management into planning processes. Further, there is noevidence of significant training at national, sectoral, or provincial/local levels to provide thiscapacity, although the consultations revealed a strong desire for the PPCR to support suchefforts. Legislation (Climate Change Authority Act 2012) is currently being finalized to provideOCCD with legal powers to undertake its role and also to set up a sustainable climate change1Climate CompatibleDevelopmentStrategyfor VisionPapua 2050.New erHowever,considerable capacity buildingwill be needed in OCCD if the new legislation is to be implemented in a timely and effectivemanner. It is by addressing these priority areas that SPCR can best support the mainstreamingof climate change adaptation into PNG‘s national climate resilient development program as
6(b)Areas of Intervention—Sectors and ThemesThis SPCR proposes provision of support through three components. The components will bemutually reinforcing and will together achieve the purpose of the SPCR. First, through supportprovided under component 1 (build climate resilient communities by strengthening their capacityto address priority climate change risks), PNG will develop capacity for climate changevulnerability mapping and develop early warning systems and community emergencypreparedness training. Component 1 will also establish a climate change financing frameworkwhich will support priority CCA interventions in vulnerable communities. Second, through supportprovided under component 2 (address threats to food security from climate change impacts bypiloting adaptation measures in vulnerable communities), PNG will pilot food processing,preserving, and storage systems and ecosystem-based, climate resilient fisheries management.Third, through support provided under component 3 (strengthen approaches to design,construct, operate, and maintain selected ports/wharves/jetties and associated infrastructure toimprove the resilience of vulnerable social and economic support systems to climate changeimpacts), PNG will pilot an enabling framework for climate proofing of criticalports/wharves/jetties and develop a pool of trained, qualified personnel who are capable ofmainstreaming CCA in infrastructure development planning and implementation.(c) Expected Outcomes from Implementation of the SPCRKey outcomes are:1. Establishment of a pool of trained and qualified specialists to support climate change riskmanagement mainstreaming activities at national and sectoral levels and within vulnerablecommunities.2. Legal establishment and effective operation of PNG s Climate Change Trust Fund, and theestablishment of a small grants program to support priority adaptation projects for farmers,fisherfolk, and vulnerable communities, in particular women.3. Coastal fisheries that are more resilient to impacts of climate change.4. Critical infrastructure less vulnerable to impacts of climate change and disasters.5. Vulnerable communities in remote islands and atolls made more resilient to climate changerisks.
7Expected Key Results from theImplementation of the InvestmentStrategy (consistent with PPCRResults Framework and CoreIndicators)Component 1 – Building Climate resilientCommunitiesComponent 2 – Addressing ClimateChange Risks to Food SecurityComponent 3 – Climate resilientInfrastructureSuccess Indicator(s)Community climate change vulnerability maps,adaptation plans, and risk managementstrategies developed in vulnerable IslandsCommunity-based early warning systemsestablished in 20 vulnerable communities andislandsPNG s Climate Change Trust Fund legallyestablished and operationalSmall grants program under a Climate ChangeTrust Fund, providing 5 million to prioritycommunity adaptation projects and early warningsystemsCommunity adaptation plans implemented in 20vulnerable communitiesCommunity-based measures implemented toreduce health risks associated with climatechangeFood processing and storage facilities built in 7vulnerable districts and replicated in 10 othervulnerable communities with financing from smallgrants of the Climate Change Trust FundCommunity climate resilient fisheries ve Ministry of Finance staff trained in climatechange risk management and climate changeconsiderations integrated into national budgetsFive persons obtain university-level degree inclimate change risks management―Enabling framework‖ for climate proofing criticalcoastal and island infrastructure established inPNG Ports CorporationCritical ports, roads, and other infrastructureclimate proofed
87. Project and Program Concepts under the SPCR:Project/ProgramMDBRequested PPCR2Concept TitleAmount ( million)TOTALComponent 1 –Building ClimateresilientCommunitiesComponent 2 –Addressing ClimateChange Risks toFood SecurityComponent 3 –Climate resilientInfrastructureProject ManagementGrantExpectedcofinancing( )Preparationgrant request( )Total PPCRrequest( 2525TOTAL 25750,0009.758. Timeframe (tentative) – Approval MilestonesComponents 1 – 3: Project Preparation Grant Agreement signed between Government of PNG and ADBby August 2012; Detailed project preparation August 2012–January 2013; ADB Board approval February2013; Grant Agreement signed between Government of PNG and ADB March 2013.39. Key National Stakeholder Groups involved in SPCR designMinistry of Finance, national climate change focal points, national sector agencies, vulnerablecommunities (Rigo Island, Gabagaba Ornamental Fish Project), civil society (OXFAM, CARE, University ofPNG, Salvation Army, Women in Agriculture Development Foundation, National Agricultural ResearchInstitute (NARI), PNG Chamber of Commerce and Industry, PNG Business Council, World Vision, Instituteof Engineers PNG (IEPNG), PNG Ports Corporation, Water PNG, Mama Graun, Bootless LavadaeReforesting Ass Inc. Aqua Marine Committee, Centre for Environmental Law and Community Rights(Papua New Guinea), Wildlife Conservation Society, United Church, GEF Small Grants Program.10. Other Partners involved in Developing PNG s SPCRPacific Islands Forum Secretariat (PIFS), Secretariat of the Pacific Regional Environment Programme(SPREP), Secretariat of the Pacific Community (SPC), Forum Fisheries Agency (FFA), Australia(Australian Agency for International Development [AusAID] and Department of Climate Change andEnergy Efficiency), United Nations Development Programme (UNDP), Pacific Regional InfrastructureFacility (PRIF).2Includes preparation grant and project/program amount.3Other local, national, and international partners expected to be involved in design and implementation of the strategy.
9INTRODUCTIONBased on recommendations of an Independent Expert Group, Papua New Guinea (PNG)has been selected as one of the countries to participate in the Pilot Program for ClimateResilience (PPCR), which is part of the Strategic Climate Fund (SCF), a multidonor trust fundwithin the Climate Investment Funds (CIF). The Pacific PPCR has four components: countryactivities in three countries (PNG, Samoa, and Tonga) and a regionwide component. ThePPCR will provide financing through the multilateral development banks (MDBs) to supportprograms in the selected pilot countries. Proposals for PPCR funding will be prepared jointlyby the recipient country and the relevant MDBs.The goal of the PPCR is to help countries transform to a climate resilient development path,consistent with national poverty reduction and sustainable development goals. In its natureas a pilot program and supporting learning-by-doing, PPCR implementation ultimately aimsto result in an increased application of knowledge on the integration of climate resilience intodevelopment. The PPCR will complement, and go beyond, currently available adaptationfinancing to provide finance for programmatic approaches to mainstream climate resilience indevelopment planning, core development policies, and strategies.PNG has been provided a technical assistance grant in the sum of 500,000 under Phase 1to undertake the design and development of this Strategic Program for Climate Resilience(SPCR), which builds upon the comprehensive, inclusive and country-driven process used todevelop PNG‘s Climate Compatible Development Strategy (CCDS) (March 2010). TheCCDS summarizes current and future threats from climate change and related hazards, andoutlines measures and specific actions to address such threats. The proposed investments inthe SPCR build on and help implement selected priorities identified in the CCDS through anational consultative planning process.1.BACKGROUND AND RATIONALE1.1Country ContextGeography and Socioeconomic SituationPNG occupies the eastern half of the rugged tropical island of New Guinea, sharing a borderwith the Indonesian province of West Papua to the west. Australia sits to the south of PNG,the Solomon Islands to the east, and the Federated States of Micronesia (FSM) to the north.PNG is located in the so-called ―Pacific Ring of Fire‖ and has active volcanoes and significantearthquakes and mudslides, and its coastal areas are prone to tsunamis and floods. Apartfrom the island of New Guinea, the country has four large islands (Manus, New Ireland, NewBritain, and Bougainville) and some 600 small islands lying between the Coral Sea and theSouth Pacific Ocean. The total land area is 465,000 square kilometers (km2). It has anexclusive economic zone of 2.4 million km2, which encompasses 17,000 kilometers ofcoastline and almost 2,000 coastal villages, with a rural population of nearly 500,000 people.Communities in PNG have developed more than 800 languages as well as unique customsand traditions, in part due to the isolation that results from the country‘s rugged terrain.44Papua New Guinea‘s Initial National Communication to the UNFCCC (2000)
10Figure 1: Papua New GuineaPNG‘s mainland has one of the most rugged terrains in the world, possessing a centralmountain range which is highly dissected, with the highest peak rising to 4,350 meters (Mt.Wilhelm), while the smaller islands include high volcanic mountains and low lying coral atolls.Ecosystems range from mountain glaciers to humid tropical rainforests, swampy wetlands,and pristine coral reefs. Much of the terrain is characterized by steep gradients, fast flowingrivers, and swamps, with some parts of the country subject to active volcanic activities,landslides, and tidal waves. The rugged terrain, unique and rich biodiversity, and range ofenvironments, cultures, languages, and the legacies of former colonial powers have heavilyinfluenced the development of the country. PNG is a country of considerable biodiversity,estimated to contribute 5%–7% of global biodiversity.5 However, although biodiversity isoutstanding with many species endemic, much of the land and habitats has been modified byerosion and land clearing, mainly from traditional agricultural systems and timber harvesting.PNG is rich in natural resources, including gold, copper, timber, agricultural products, and—most recently—oil and natural gas. About one fifth of the land is subject to inundation. Of thecountry‘s total land area, about 58% is subject to strong or severe erosion, with a further 18%permanently inundated or regularly flooded. Up to 200,000 hectares are cleared annually fortraditional agriculture.65Papua New Guinea‘s Initial National Communication to the UNFCCC (200
Nonetheless, the real task of implementing climate change adaptation at the operational level is yet to begin. Climate risk management is still to be integrated into policy, planning, and budgetary processes. There is limited understanding of climate risks and a lack of technical capacity to integrate climate risk management into planning .
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