1. Forest Carbon Partnership Facility Evolution of FCPF Readiness Plan Concept: Early Lessons and a Path Forward Participants Committee Meeting (FCPF PC3) Montreux, Switzerland June 16-18, 2009

2. Outline and Rationale • Outline of presentation: • Issues and lessons from “R-Plan” process • Proposal for a path forward. • Learning from 3 early-actor R-Plans: • FCPF R-Plan template invented to identify information needed. • Holistic concept of R-Plan is challenging: • Countries newly encouraged to look across sectors, ministries, issues. • 3 R-Plan submissions  insights about what countries can provide, and what FCPF needs. • FCPF is a Partnership: We are all learning together.

3. Early Lessons on R-Plan Template • Countries desire simpler template. • Harmonize with UN-REDD. • Title “R-Plan” raises expectations that a full plan is ready, when countries really presenting a proposal • Shift to planning document that identifies funding priorities and timing –- to enable funding decisions. • 18 review criteria difficult to operationalize. Are these the right criteria? • Terms of Reference not always actionable. • Role of the PC, the Bank, and the TAP still evolving.

4. Early Lessons on R-Plan Content • Assessment of deforestation drivers not yet adequate to inform REDD strategy choices. • Additional studies needed in Readiness phase. • Reference scenario, monitoring, REDD Implementation Framework, etc. proposed activities and ToRs still need further elaboration. • Countries need funding for studies to advance thinking. • Substantial consultations needed with representative stakeholders during writing of the R-Plan. • Overly high expectations, given that country’s REDD strategy still needs to be decided. • Thus, consultation needs to be phased in, and continuous. • Timing and application of World Bank Safeguards not yet clearly understood (discussed later in presentation).

5. FCPF Partnership of 37 Countries with Varying Forest & Development Contexts How to define what R-Plan should contain for each?

6. Implications for Assessment of Early R-Plans • Thus, assessing first R-Plans is challenging: • Each domestic & international stakeholder group seeks to meet its global expectations for REDD via first country R-Plan. • What does an R-Plan need to accomplish ? • Key issue: How much information, consultations, etc. necessary for early preparation for REDD Readiness ?? R-PIN Current “R-Plan” Achieving Readiness How Much Consultation? How Specific REDD Strategy?? WHERE TO BE ?? Not Enough Info.? Perfect Information?

7. Role of PC in Reviewing R-PP • Provision under the Charter: “REDD Country Participant shall, on the basis of the Readiness Plan Idea Note, develop a Readiness Plan and submit it to the FMT for review and approval by the PC.” • Implication of the word “approval”: - Giving formal sanction or confirming authoritatively • But, the action of “approval” does not accurately reflect experiences of Readiness preparation process.

8. A Proposal for Moving Ahead: R-Preparation Proposal onto R-Package • “Readiness Preparation Proposal” focuses on 4 key building blocks + what is knowable now. • Includes request for funding of activities. • Full “Readiness Package” details come later, when known. • Allows time & funding for consultations & progress on most topics. • Harmonizes with UN-REDD as feasible. Readiness Package: Full description of Readiness R- Preparation Proposal

9. ToR & R-PP WORK Proposed: R-Preparation Proposal Leads to Readiness Package R- PP R – Package; Achieving Readiness R-PIN Framework consultations > ORGANIZE & CONSULT > Broad General REDD STRATEGY Specific REFERENCE SCENARIO NATIONAL MONITORING SYSTEM

10. Advantages of Proposed R-PP • Acknowledges countries not ready to fully describe REDD activities • Strives to start funding REDD analytic work to inform country’s REDD strategy development, reference scenario, etc. • Readiness Package remains the major product of Readiness process • Establishes need for consultations up front: • Starts with framework consultations with representative groups of stakeholders, and stakeholder analysis … • Then broadens and deepens over time.

11. Progress on Harmonization with UN-REDD • FCPF & UN-REDD actively working to harmonize, per PC request • Goal is to simplify what a country needs to produce • Propose 4 key common components: • Organize and Consult • • REDD Strategy • Reference Scenario • National Monitoring System • • + Budget & Schedule; Program Monitoring & Evaluation • Propose common budget sheets • Drafting common Consultation Guidance

12. Proposing Harmonization with UN-REDD FCPF –PP for National REDD Activities Organize and Consult UN-REDD NJPD (for Funding and Administration) FCPF Grant Agreement (for Funding and Administration) REDD Strategy/ Priority Setting Reference Scenario National Monitoring System Review by Expert Panel drawn from Common Roster of Experts

13. Working to Clarify How and When World Bank Safeguards Apply • PC discussion in Panama asked: • When do WB Safeguards apply, at what stage? • How will they be applied, e.g., for consultation? • Bank internal discussions suggest: • Build on international good practices for consultations, environmental and social safeguards • Reviewing how WB Safeguards apply to FCPF stages, suggesting: • Development of overarching frameworks first, then • More specific Safeguards applied once the REDD strategy and activities become known.

14. Potential Next Steps: 1 • Discussion by PC • If R-PP approach accepted, FMT revises R – PP template for new submissions • 3 submitted R-Plans are grandfathered in ? • Training and tech assistance

15. Potential Steps 2: Role of PC in Reviewing R-PP Recommendations, in light of this R-PP proposal: 1) Review and assess the 3 existing R-Plans on the basis of the criteria proposed in Program Note (FMT2009-1 Rev.4 on “Review and Assessment of Readiness Preparation Proposals”; Make recommendations for areas for improvement; Determine whether an R-PP provides a sufficient basis to proceed with a Readiness Preparation Grant (up to US$3.6 million) 2) Consider the applicability of the existing Program Note criteria for any new R-PP proposals.

16. Potential Steps 3: Training and Tech Assistance • Propose: R – PP training event: • Tentatively July • Via Skype and Video Conference from World Bank offices • Ask 3 countries with submitted R-Plans to share their experience & process with others • FMT and TAP experts walk through major components • Record event for later use by FCPF countries? • Propose: Regional Workshops? • AFRICA, SE ASIA, LATIN AMERICA? • August to December, as feasible?

17. Potential Steps 4: Training and Tech Assistance? (2) • Coordinate or provide technical assistance, as feasible. • Potential examples: • REDD strategy development • Deforestation and opportunity cost analysis • Reference scenario development • National Monitoring System design • Distributive aspects of REDD • National REDD registry • Cooperate with international organizations (FAO, UNDP, UNFCCC, CfRN, etc.) • Regional collaboration, sharing of experiences in R-Plan formulation

18. Thank you!