Neha Rai 01122013 Political economy of climate resilient development CRD planning Content Why do we need a political economy assessment PEA Conceptual approach and Methodology Key steps and findings ID: 496516
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Slide1
The case of the Pilot Programme for Climate Resilience (PPCR) in BangladeshNeha Rai, 01.12.2013
Political economy of climate resilient development (CRD) planningSlide2
ContentWhy do we need a political economy assessment (PEA)?Conceptual approach and Methodology
Key steps and findings
Emerging lessonsSlide3
Political Economy Assessment- What and Why Why do we need to understand the political economy
Climate resilient planning is not an apolitical process (Tanner). Different actors at different scales bring their own ideology to the table.
A growing trend in climate finance initiatives has led to changes in incentives
& governance structures.
Different actors coalitions encourage or hinder CRD planning processes.
Governments need better understanding of political economy to resolve conflicts or harness coalitions to steer processes. It is an evolving discourse due to the complexity associated with climate change. Policy makers understanding is also constantly evolving. PEA is a suited to support a learning by doing approach. What is political economy?A PEA therefore establishes that policy decisions are “not just a rational choice, but shaped by new ideas, incentives, power plays and actors”Slide4
Purpose- Internal PEA to assess the political economy dynamics that shape decisions regarding the use of international climate finance at the national level. Scope:
analysis of interactions between
Actors
– their role, interests,
their
ideologies and knowledgeand the underlying incentives.
Decision outcomes/
Responses to climate change
Conceptual approach and Scope Slide5
Methodology/ StepsSlide6
Climate investment funds and PPCR
Climate Investment Funds
CTF
SCF
PPCR
FIPSREP
PPCR aims
t
o help countries
transform
onto a climate resilient development path,
consistent with national poverty reduction and sustainable development goals.Slide7
Step 1: Identify key decision points Slide8
Key decision points in different stages of PPCR Planning/ Conceptualisation
Participation issue
:
Who to involve in decision making?
Financing issue
: Loan Vs. GrantPrioritisation/ Selection outcome InstitutionalisationRole issue: Where should PPCR be hosted? Who should execute it?
MoE, MoEF? MDBs?
Which line ministries?
Role of
private sector
vs. state ?
Response priorities:
What investments to
prioritise?
Why
prioritise
coastal infrastructure? Slide9
Step 2: Stakeholder analysis
Map
key actors
by actor categories
Map their
roles in different stages of PPCR stages.Map their interests in different PPCR stages. Map their influence. Slide10
Key actors and their roles ?
Directly involved in PPCR
No direct involvement
Policy leaders
Tech Dept.'s
MDBs
Dev. partner
Other Multilaterals
CSOs
Other Govt
Stage
MDBs
Technical
(LGED, BWDB)
Policy leaders
MoF,
MoE
Donors
Other multilaterals
Other
depts.
DM, MoA
CSOs
Planning
Role
XXX
X
XXX
X
X
XX
Influence
XXX
X
XXX
XX
Interest
XXX
X
XXX
X
XXX
Priority setting
Role
XXX
XXX
XXX
X
X
X
Influence
XXX
XXX
XXX
X
X
X
Interest
XXX
XXX
XXX
XX
XXX
XXX
Implementation
Role
XXX
XXX
XXX
Influence
XXX
XXX
XXX
Interest
XXX
XXX
XXXSlide11
Step 3: Identify Ideologies/core beliefs of actors.
Discourse analysis using Hajerian Discourse Analysis approach
.
Identify dominant discourses
: Semi structured interviews to understand key narratives or worldviews around PPCR objectives/ design principles.
Observe coalitions around discourses. Slide12
Dominant Actor Coalition
MDB
Policy leaders
DPs
Transformational change-
Infrastructure narrative
Developmental Benefits-
Economic growth narrative
Loans in Adaptation-
Pro loan narrative
Pvt sector in adaptation-
Market liberalist
Tech Dept.'s
Technical View or Infrastructure development view
There is an actor coalition around
infrastructure investments
and
economic growth pathway
to transformational change and development
benefits.
Loans
and
private sector
is perceived to have
a key role in delivering these investments and
pathways. Slide13
Alternative but dispersed views
Social development view
Actor
coalition around
social development
and community based response pathway towards transformational change and development effectiveness. Loans are perceived as unjust financing modalities and private sector is considered less mature in a dominant ‘development state’. Transformational change- Social welfare narrative
Developmental Benefits-
Social welfare
Loans in Adaptation-
Neutral or Against loans
Pvt
sector in adaptation-
Developmental state or sceptics.
Unengaged Gov. dept.
Civil society
Other Multi lateralsSlide14
Step 4: Map underlying incentivesKnowledge
based
Resource
based Slide15
What incentivises actors to prioritise infrastructure pathways
Knowledge
Shared
knowledge or evidence
of
vulnerability and needs based on scientific studies. Shared evidence of urgency- Rising sea level, loss and damage. Based on climate modelling information, L&D assessments. Shared expertise of actors: Engineering, technical M&E.Comparative advantage of the institutions working in coastal infrastructure. Need to show results.
Resource interdependencies
Opportunity to top up existing pipeline projects of MDBs.
Resource interdependencies and alliances.
History of existing
partnerships
between MDBs and Tech departments.
Resource
needs.
Enormous need for finance
to investments
in coastal areas. Slide16
Step 5: Analyse interactions b/w actors, ideologies & incentives that shape decision Slide17
Dominant coalitions with shared ideologies and incentives shape decisions
Decisions
Institutional traditions/expertise, resource interdependencies and shared ideas and knowledge base of actors
has shaped the prioritisation of
business as usual
infrastructure
development.
Resource needs and evidence of urgency
drive financing modalities that emphasise use of loans in adaptation
.
Institutional traditions and international drivers
drive
a strong
vision to engage private sector in
adaptation-(often by delineating some government actors-
e.g.
MoA). Slide18
Ideological coalitions with dispersed resources knowledge and incentives are less able to influence decisions. …….However, actors that oppose dominant actions
are in a position to deter ongoing actions or complement actions depending on their buy in and available incentives. Slide19
Step 6: Use PEA to inform policy making Slide20
Policy suggestions Learn to use the political economy in different contexts:
Each CRD planning decision will have proponents and dissenters depending on ideologies, incentives and resources. In order to achieve timely outcomes, governments and development partners will need to be bold and find context specific pathways towards climate resilience development that work around the political economy at hand, often by reshaping incentives.
Be
purposeful in policy and process:
More attention is needed to the sequencing of decisions and representation of actors in the policy process. Ensuring that line ministries, such as the Ministry of Agriculture, are engaged in CRD decisions that directly effect them will increase the likelihood of ownerships and alignment during implementation
Tie incentives to context by acknowledging diverse actors/incentives: Consensus often masks the difference that will shape policy implementation. Bangladesh’s experience highlights that a large diversity of viewpoints and incentives shape CRD decisions. Governments and development partners can improve the effectiveness of policies by acknowledging the political economy for CRD and planning to work with diverse actor coalitions to achieve desired policy outcomes that are transformational.Slide21
Broad lessons from PEA- Ladder of consensus
Harness dominant coalitions
(Actors with shared ideas, resources, knowledge)
PEA allows decision makers to understand what resources and incentives are needed to strengthen coalitions promoting CRD
.
Use
an extended participation approach.
Create avenues to
develop knowledge and bridge science
with indigenous knowledge.
Identifying roles and tying incentives
Integrate alternative coalitions
shared ideas, influence
but dispersed resources or knowledge
PEA can be used to generate a process to
negotiate
between competing discourses.
Understand
actor influence in diff stages
to steer involvement.
Arrive at a holistic discourse.
Grievance management
Address
contested
relations
Diverging views
Resourceful, influential.Slide22
Thank YouNeha Rai International institute of environment and development (IIED), UKneha.rai@iied.org