About: The Green Climate Fund (GCF), established as an operating entity of the financial mechanism of the UNFCCC, came into fruition following the decision made at COP 16 in Cancun in December 2010. Its operationalization occurred during COP 17 in Durban in 2011, with its headquarters located in Songdo, Incheon City, Republic of Korea.
Objective of Green Climate Fund
In the realm of sustainable development, the GCF strives to usher in a paradigm shift towards low-emission and climate-resilient development pathways. Its primary objective is to provide support to developing countries, enabling them to curtail or diminish greenhouse gas emissions and adapt to the impacts of climate change. This is especially pertinent for developing nations that are particularly vulnerable to the adverse effects of climate change.
Role Played by Green Climate Fund
The GCF plays a pivotal role in mobilizing new, additional, adequate, and predictable financial resources on both international and national levels. It aims to catalyze climate finance from both public and private sources. The funds are anticipated to cover the agreed full and incremental costs for various activities, including enhanced action on adaptation, mitigation (including REDD-plus), technology development and transfer (including carbon capture and storage), capacity-building, and the preparation of national reports by developing countries.
NABARD’s Role
NABARD achieved accreditation as a Direct Access Entity (DAE) to GCF during the 10th Board meeting held on July 9, 2015. It was subsequently reaccredited during the GCF Board’s B.34 meeting from October 17 to 20, 2022. The ongoing engagement involves the signing of the Amended and Restated Accreditation Master Agreement (A&R AMA). Upon completion of this agreement, NABARD will be eligible to submit proposals for large-sized projects exceeding USD 250 million under the Standard Proposal Approval Process (PAP). Additionally, NABARD gains access to various other funding windows, including Simplified Approval Process (SAP), Private Sector Facility (PSF), and REDD+.
Projects Sanctioned under GCF:
- Groundwater Recharge and Solar Micro Irrigation in Vulnerable Tribal Areas of Odisha
- State: Odisha
- GCF Support: USD 34.357 million
- Line of Credit for Solar Rooftop Segment in Commercial, Industrial, and Residential Housing Sectors
- State: Pan India
- GCF Support: USD 100.00 million
For eligible project proponents, the submission of project concepts or proposals to NABARD can be initiate through its Regional Offices, following the authorize formats available on the Green Climate Fund’s official website.
The GCF, through its funding initiatives, stands as a key player in advancing sustainable development goals and addressing the challenges posed by climate change.
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