Practical Problem of Lack in Working Definition of Climate Finance

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?The efforts to build resilience and mitigate greenhouse gases emissions are at a critical stage. Despite many responsive climate actions have been made at different scales, the climate change effects continue to threaten humanity and environment. The global community has adopted the Paris Agreement that included some legally binding provisions. The Paris Agreement sets out a global long-term goal to avoid dangerous climate change impacts by limiting global warming to well below 2°C and enhancing adaptive capacities humans and environment against climate change shocks. Achieving the climate goal may not realize without mobilizing adequate climate finance from domestic and international sources. Under existing climate change legal regime, mobilizing financial supports to developing country parties efforts to climate change action are well-featured. The Paris Agreement obligates developed countries to mobilize ‘climate finance’ to parties of developing country while they should give priority to least developed and more vulnerable nations. ?The agreement also demands balanced finance mobilization for mitigation and adaptation efforts. The agreement brings at the center, the idea of adequacy, consistency and sustainability of climate finance flows.?However, available knowledge on climate finance shows that the notion of climate finance does not have the same understanding and meaning. There is no yet well-developed working definition for the concept and on the question of, how to implement the notion consistently. Moreover, the financial support to the loss and damage issue does not obtain needed recognition as climate finance. The review shows that there is growing trends of attempts to create consistency in the use of climate finance. However, absence of working definition to climate finance opened a widened door – developed countries to claim all Official Development Assistance (ODA) as climate finance to the extent diluting obligation to provide financial supports.

1.Introduction

1.1 The Aim of the Study

Climate change is considered by many as among the greatest risks for peace and security in the 21st century. As the planet’s temperature rises, extended?droughts, rising sea levels, and more frequent and intense storms are affecting the lives and livelihoods of people in all corners of the globe. Particularly, in conflict affected settings, these impacts can compound economic, social, or political drivers of insecurity, leaving already vulnerable populations on the frontlines of multiple, intersecting crises.?

There are some well-established evidences that are showing that climate change is already becoming existential threat to human and natural environment. Unless business unusual actions are taken as swiftly as possible it is widely believed that the effects would be potentially irreversible. Thus, there is a pressing need for a major developmental activities and projects to shift toward more low-carbon, climate-resilient and adaptive investments while loss and damage issues are well-addressed.

Reducing greenhouse emissions and enhance adaptive capacity to climate change including loss and damage action require to climate change require an extraordinary climate finance. The shift in financial supports and investments will assist developing countries to meet their commitments to reduce emissions and build their adaptive in line with the internationally agreed climate goal. Mobilizing consistent, adequate and sustainable climate finance supports developing countries to take climate change actions.

1.2. Backgrounds

Climate change risks are already leading to unprecedented risks to humans and environment.[1] The Johannesburg Declaration, issued on the 10th anniversary of the?1992 Rio Earth Summit, declared that ''the adverse effects of climate change are already evident,?natural disasters?are more frequent and more devastating and developing countries more vulnerable.''[2] The earth’s climate is alarmingly changing, and failure to limit warming to well below 2°C is assumed would make the changes in the climate system irreversible. At present, the rise in temperature is highly likely, but also an increase in precipitation is expected in different parts of the globe. Now Climate change is considered the single principal threat to development, and its impacts are prevalent and unprecedented, disproportionately burdening the poorest and most vulnerable societies and nations.[3] Particularly climate change and its erratic variability have enormous impacts on developing nations. As a result, the adverse impacts of climate change continue to overly burden the poorest and the most vulnerable countries and communities.

Under the Paris Agreement, 196 countries have agreed to hold the increase in the global average temperature to well below 2°C and have established a stretch target of 1.5°C above pre-industrial levels.[4] Similarly, the agreement aims to enhance adaptive capacity and resilience building against shocks of climate change with a view to contributing to sustainable development.[5] The response measure against climate change is both enhancing the adaptive capacity of countries and mitigating greenhouse gas emissions at different scales.

Enhanced implementation of these actions require a significant amount of financial resources as one of the means of ??implementation. Climate finance helps countries to meet their sustainable development goals (SDGs) while it can support to respond climate change action of a just and sustainable transition.[6] Climate finance could also support gender equality and empowerment actions.[7] ?

The?UNFCC Convention most fundamental provision is that the parties must take climate action “the basis of equity and in accordance with?their common but differentiated responsibilities and?respective capabilities”[8] The convention further calls” adequacy and predictability in the flow of funds and the importance of appropriate burden sharing among the developed country Parties”[9] are both pertinent to the mobilization of funding for combating climate change. Also, according to the Bali Action Plan 2008, funding must be adequate, predictable, sustainable, as well as new and additional.[10]

Likewise, the 2010 Cancun Agreements, paragraphs 95 and 97 of the outcome document of the Ad-Hoc Working Group on long-term cooperative action (AWG-LCA), paragraph 97 on long-term finance states that “scaled-up, new and additional, predictable and adequate funding shall be provided to developing country Parties. Through crunchy negotiation processes, developed countries committed to a goal of mobilizing jointly USD 100 billion dollars a year by 2020 to address the needs of developing countries. This funding will come from a wide variety of sources, public and private, bilateral and multilateral, including alternative sources of finance.[11] This climate finance commitment was part of the Copenhagen Accord, produced in 2009 at the 15th Conference of the Parties (COP15) to the UNFCCC.

At subsequent COPs, in Paris in 2015 and Katowice in 2018, Parties agreed to maintain the $100 billion a year target until 2025, when they would adopt a new collective quantified climate finance goal – with a floor of $100 billion a year. Under the Paris Agreement, all contracting parties are expected to exert their efforts to implement the agreement while considering their respective capacities and capabilities through following common but differentiated responsibility principle that was embedded under the agreement. As the principle, the developed country parties, while implementing their own national climate action obligations, they are additionally obligated to mobilize support needed – as means implementations in the areas of climate technology development and transfer, finance, and capacity building.

In the COP27, there were a lot of expectations that developed country parties would deliver on the $100 billion annual contributions committed at the?COP15 summit, in Copenhagen,?in 2009. This financial support was intended to support developing country parties’ endeavors in addressing climate change mitigation and adaptation. In the COP27 decision, the parties expressed ‘‘serious concern that the goal of developed country Parties to mobilize jointly USD 100 billion per year by 2020 in the context of meaningful mitigation action and transparency on implementation has not yet been met and urges developed country Parties to meet the goal.’’ The decision made also clear that?talks on a new collective climate finance goal for 2025 got off to a slow start. The decision highlights that the decision is not due until 2024.?The?agreed text in Sharm further states the new goal will “take into account the needs and priorities of developing countries”.

In the past COP sessions, the loss and damage issue were undermined and left neglected.?In COP27 landmark decisions have been adopted to provide financial?support for climate risks victims through establishing and operationalizing a loss and damage fund. Accordingly, the parties to the Paris Agreement??agreed?“to establish a fund for responding to loss and damage”.?As climate disaster and risks affect developing countries disproportionately, the decision was highly appreciated by the countries and groups. However, the challenges that remain unsolved are defining the modality of how the fund will be mobilized, the burden of paying and distribution to the beneficiaries. Next COP28 negotiation will be expected to come with modalities who pays and who benefits from the fund. The fund establishment would help the private sector and developing countries to access funds from specialized funding source to the loss and damage caused by climate change impacts.

Article 4.4 of the UFCCC imposes an obligation on the developed countries to ''assist the developing country and Parties that are particularly vulnerable to the adverse effects of climate change in meeting costs of adaptation to those adverse effects.'' The Paris Agreement includes a provision that developed country Parties would continue their existing obligations under the UNFCCC to provide financial resources to assist developing country Parties, and it further states that developed country Parties should continue to take the lead in mobilizing climate finance in a progression beyond previous efforts.[12] The Agreement makes clear that developed countries should lead a larger global effort to mobilize climate finance and reaffirms the current target of USD 100 billion per year by 2020, with a new collective climate finance target to be selected by 2025.[13]

Climate finance support is driven by the fundamental variances in vulnerability and adaptive capacity of societies in different parts of the globe. Moreover, developing country parties would not be able to take mitigation actions with their own resources due to their special circumstances.?In accordance with the principle of “common but differentiated responsibility and respective capabilities” set out in the Convention, developed country Parties are expected to mobilize financial resources to support developing country Parties’ efforts in implementing the objectives of the UNFCCC. The Paris Agreement reaffirms the obligations of developed countries, while it also encourages voluntary contributions by other Parties. Such public climate finance supports shall be reported biennially.[14]

?During and after the Paris agreement adoption, the concept climate finance is one point of diversion among parties. Developing countries are concerned “double counting” financial assistance coming from developed country parties. The fear emanates from absence agreed working definition to climate finance. ?

2. Climate Finance

The term ‘finance’ has been given two meaning under the 1992 United Nations Framework Convention on Climate Change. The first meaning is limited to cover ‘the operational costs of the UNFCCC. The second meaning refers to the financial support mobilized for developing countries to prepare their national communications to the UNFCCC and implement measures to combat climate change. [15] Climate finance has played an important role in the UN climate negotiations and evolved into Art. 9 of the Agreement.

UNFCCC definition provides for climate finance as ‘to local, national or transnational financing—drawn from public, private and alternative sources of financing—that seeks to support mitigation and adaptation actions that will address climate change.’[16] ?This definition assumes any finance that supports climate change as climate finance without considering where it does come from, nature and amount finance that make a finance as climate finance. Some people see climate finance from a very narrow perspective. Any finance directly or indirectly contributed towards climate action initiatives. ?

The Convention, the Kyoto Protocol, and the Paris Agreement require financial support to come from developed country parties. Climate finance is needed for building adaptive capacity and reducing greenhouse emissions. There are three types of climate finance. First, it is mitigation finance that is directed to the activities contributing to reducing or avoiding GHG emissions or maintaining or enhancing GHG sinks and reservoirs.[17] Second, it would be destined for climate change Adaptation action, the finance which is directed to activities that are reducing the vulnerability of human or environment?systems to the impacts of climate change by maintaining or increasing adaptive capacity and resilience.[18] The activities include, but not limited to; waste and waste water management, agricultural, forestry and land use, infrastructure, energy and other built environment, disaster risk management, coastal protection and others.[19] The provision of potable water and the treatment of wastewater contribute to greenhouse gas emissions. It was well known that water and wastewater systems are energy intensive – and when energy comes from burning fossil fuels, it would highly contribute towards GHG emissions. Water misuse and mismanagement lead to even higher energy consumption, and untreated or poorly treated wastewater emits methane and nitrous oxide that would cause global warming potential. Third, the finance that are directed for dual benefits; the activities contributing to both “climate change mitigation” and “climate change adaptation” at the same time as co-benefits.[19] ?vague conceptual challenge yet unsolved is official developmental assistance that might contribute towards climate action. The boundaries between different financial supports remain unclear to measure impacts. ??

At present, climate finance?does not have one accepted or workable definition. Sometimes it is called ‘green finance’ or ‘low-carbon finance’. In its broadest form, the concept extended to cover the flow of funds to all climate-related action in any part of the world, communities, and countries. It does include; the types of finance provided (development aid, private equity, loans, or concessional finance); the source of the finance coming from?public or private sources; where the finance flows from whether it be from developed countries to developing countries, within developed or developing nations, developing to developed nations or from other sources such as multilateral development banks); it is existing, new and additional” and direct or indirect climate change-related actions, or compensation for damages.[20] ?“Climate finance” might be defined as the financial resources dedicated to adapting to and mitigating climate change at different scales.[21] Climate finance is critical to addressing climate change challenges. Climate change mitigation contributes to reducing greenhouse gas emissions while climate change adaptation supports efforts leading to resilience building against climate change. Financial resources are needed to address activities that reduce emissions, enhance adaptive capacity to the effects of climate change that are already happening, and to build resilience. It is a finance that mobilized for both climate change mitigation and adaptation related activities. However, the definition does not provide how one can make difference between official development assistance and climate change actions finance. Even the conceptualization does not seem to consider finance devoted to climate related loss and damage finance as climate finance.

The Paris Agreement recognized the need for specific climate financing and calls for “making finance flows consistent with a pathway towards low greenhouse gas emissions and climate-resilient development.”[22] Upon climate finance, the Agreements underpin by the “equity and the principle of common but differentiated responsibilities and respective capabilities, in the light of different national circumstances.”[23] Article 4 of the?Paris Agreement?makes it clear that developed countries are expected to take the lead in both climate action and means of implementations supports. The provision’s paragraph states that?“Developed country Parties should continue taking the lead by undertaking economy-wide absolute emission reduction targets…”.[24] Article 2 of the Paris Agreement also states: “This Agreement will be implemented to reflect equity and the principle of common but differentiated responsibilities and respective capabilities, in the light of different national circumstances”.

In practice, the total climate finance flow?has steadily increased over the last decade, reaching USD 632 billion in 2019/2020.[25] However, the flows have slowed in the last few years due to COVID-19 impact.[26] ?It was noticed that the increase in annual climate finance flows between 2017/2018 and 2019/2020 was only 10% which was much less than previous periods growth which was more than 24%.[27] ?When we review climate finance recipient sectors, there are variations on the amount of mobilized resources among the sectors. Among the sectors, Solar PV and onshore wind continued to attract over 91% of all mitigation climate finance.[28] Low-carbon such as battery electric vehicles and chargers transport is seen as the fastest-growing sector, with an average increase of 23% compared to 2017/2018.[29] The sector accounted for 48% of low-carbon transport finance.[30] Climate finance mobilized?in the buildings and infrastructure sector and the industry sector totaled USD 27.7 billion and USD 6.7 billion on average in 2019/2020, respectively.[31] The largest share of adaptation climate finance went to other and cross-sectoral’ activities, followed by water and wastewater projects.[32]

In the COP26, there were a lot of expectations that developed country parties to deliver on the $100 billion annual contributions committed at the?COP15 summit, in Copenhagen,?in 2009.[33] ?This financial support was intended to support developing country parties’ endeavors in addressing climate change mitigation, adaptation and loss, and damages. At the end of the conference, the developed nations admitted their failure to meet the $100 billion goal and promised to enhance ambitions for a just and equitable climate transition. Based on long-term goals, under the agreement, the developed country parties are expected to take measures that align their development support with the Paris Agreement.??Under the Paris Agreement, developed country parties are obliged to provide the support needed – as a means implementation in the areas of climate technology, finance, and capacity building.

3. Ethiopian Climate Change policy

The Paris agreement promotes bottom-up and country-driven climate actions. Ethiopia is well known as one of the most vulnerable countries to climate change impacts.[34] ?Ethiopia suffered erratic drought while it also experiences flood risks.?In 2011, the Federal Democratic Republic of Ethiopia formulated a Climate‐Resilient Green Economy Strategy which aims for the country to become a middle‐income nation by 2025. The strategy demonstrates the commitment of the nation to follow a business unusual approach to economic development and create a climate-resilient and green economy development. The strategy identifies the following four pillars of development in the green economic action plan.

These include; improving crop and livestock production practices for higher food security and farmer income while reducing emissions; protecting and re‐establish forests for their economic and ecosystem services, including carbon stocks; expanding electricity generation from renewable sources of energy for domestic and regional markets; and leapfrog to modern and energy‐efficient technologies in transport, industrial sectors, and buildings.[35] ?The Climate-Resilient Green Economy (CRGE) accommodates three complementary objectives: Fostering economic development and growth, ensuring abatement and avoidance of future emissions, i.e., transition to a green economy, and improving resilience to climate change.[36]

An overarching ambition for Ethiopia is to achieve lower-middle-income status by 2025, and the government has introduced several economy-wide sustainable development developments, green, and climate-resilient strategies policies to guide this goal.?Ethiopia’s first nationally determined contribution is intended to undertake adaptation and building resilience-building initiatives to reduce the climate vulnerability of its environment, population, and economy.[37] ?It’s Its mitigation component aimed to reduce greenhouse gas emissions (GHG).?

Ethiopia submitted its first nationally determined contributions in 2015. The NDC committed the country to reduce emissions by 255 MtCO2e by 2030 which would amount to emissions of only 145 MtCO2e by 2030 which is less than the 2010 baseline year amount. Through these ambitious efforts- Ethiopia committed to translating into a 64% net reduction from the 2030 BAU projections.?Upon ratifying the Paris Agreement (PA) in March 2016, turning its INDC into its NDC, which intended to reduce emissions from all sectors by 64% by 2030 from the BAU scenario. For mitigation, the country identified seven sectors including industries. When compared to agriculture and land uses industrial GHG contributions are too low. The industrial sector accounts for emissions totaling 4 Mt CO2e, i.e., 3% of economic-wide greenhouse gas emissions.

In addition to mitigation, the industrial sector also plays a key role in building adaptation and resilience. As Ethiopia is the least developed nation, its NDCs are mostly conditional which depend on level means implementations (finance, technology, and capacity building assistance, and support from developed country parties.) In 2021, Ethiopia submitted its updated NDC to the UNFCCC. This NDC committed the country to adopt a more ambitious climate than previous communications. The mitigation target was raised to a 68.8% GHG emission reduction by 2030 from 64% in the first NDC communication scenario. This pathway sets 80% of climate actions as conditional targets that need financial support from developed countries and other partners. The remaining 20 % come from domestic public finance. However, At present Ethiopia does not develop criteria that help to know climate and non-climate finance.

The NDC has raised ambitions about GHG emission while setting conditional and unconditional targets.?In adaptation action, updated NDC has brought the inclusion of a detailed adaptation baseline and 2030 targets. Under the updated Ethiopian NDC, the industrial sector highlighted reducing GHG through adopting measures that reduce waste generations, enhancing energy efficiency, reducing emissions from wastewater, and other related anthropogenic effects. On the other hand, an adaptation from climate change would seek measures that enhance the adaptive capacity of industries from the adverse effects of climate change. The interventions that enhanced water and energy security would contribute to the industries coping with the shocks.

The sectoral targets, policy interventions in seven categories and 40 priority adaptation actions. The NDC considers having highest emission reductions in land use and forestry (LUCF). Major adaptation commitments in agriculture, land use and forestry sectors.?As climate change affects water availability, adaptation action requires interventions that improve industrial and potable water. Policy interventions to improve circularity in the waste and measures that bring resources efficiency would contribute towards both adaptation and mitigation efforts. (Updated NDC, 2021). Actions that decrease water and energy wastage contribute to enhancing adaptive capacities. (See updated NDC Annexes) Climate change would equally affect all societal groups. Amongst others, women are more vulnerable to climate change. Interventions that empower women would enhance their adaptive capacity building.

Currently Climate-Resilient Green Economy Strategy (CRGE) is the main policy guide to implement climate actions. Under the Strategy four areas identified as pillars for green economic development. Four pillars identified in the CRGE include agriculture and land use efficiency, GHG sequestration in forestry, renewable and clean power generation and appropriate technologies in industry, transport, and buildings.??Now the NDC key tool is used to translate CRGE in the sectors.

4. Industrial Parks contributions?

With last ten years, Ethiopia has given much attention for the development of industrial parks.[38] ?Since the commencement of this new industrial model, the country has managed the construction of 22 government and private-led industrial parks.[39] ?Nine industrial parks are now in operation, two have been inaugurated, and eleven are under construction.[40] ?In addition to the Climate Resilient Green Economy strategy, Ethiopia has adopted Green Manufacturing Strategy.[41] ?The strategy aims to combat climate change impacts of GHG emissions, pollution and resources inefficient utilizations.[42]

?Industrial parks are the antithesis of fragmented industrial development practices that proper planning of industrial development to address economic development, environmental protection, and social security.[43] Industries in the parks can foster innovation, technological learning, and company growth. They would contribute to sustainable development. Industrial parks would play in generating substantial decent jobs creation, particularly improving income opportunities for women and youth. The parks also contribute to the national economic development through rising hard currency earnings. However, unsustainable industrial parks might cause negative environmental and social consequences. These impacts might include climate change, pollution, resource depletion, labor issues, and other related risks.[44] The social and environmental safeguards in the industrial parks introduce measures that would enhance the positive impacts of industries while minimizing potential risks. A reliable supply of water is key to enhancing industrial sector resilience and adaptive capacity building. At present, most of the parks do not have a secure supply of water. In climate mitigation, the industrial sector is expected to contribute 3% and support climate resilience building and enhancing the adaptive capacity of the nation. (CRGE,2011)

Climate change also poses risks to energy security as it impacts sustainable water and other resource availability. Uncertainty in secure energy supply hampers further hampered sustainable industrial production systems, with increasing potential long-term detrimental effects of climate change, industrial parks need to develop adaptive capacity and minimize carbon footprints. Supporting innovative technologies to enhance the efficient use of energy would be seen as one major area to address both mitigation and adaptation challenges.

?Installing clean optional energy sources for the industrial parks also helps to build resilience in the industrial parks. Such measures would contribute toward both mitigation and adaptation commitments under national NDCs. Increased energy, water, and other resources efficiency enhance carbon footprints and the long-term resilience of enterprises. While the enterprises in the parks take responsive measures to the reduction of greenhouse gases through adopting innovative measures to increase energy and resource efficiency, building adaptive capacity and resilience building is of utmost required to cope with the risks caused by the changing climate. Accordingly, the parks and individual enterprises are required to develop strategies to mitigate greenhouse gas emissions.?To this end, they are expected to take responsive measures that enhance carbon footprint in energy provision, waste management, and resource utilization.

5. Industrial Parks Contributions towards Ethiopia’s National Determined Contributions

?Industrial development has been assumed to be a key sector for the economic growth and poverty reduction in developing countries. The sector boosts job creation and economic development. However, for a sustainable economic development, both environmental and social sustainability the industries are equally important for any nation.

The official development assistance of the countries does have positive contributions to the country’s nationally determined contributions in the areas of both mitigation and adaptations. As a means of implementation, climate finance support has helped the country to fill existing gaps to implement conditional targets of NDCs in the industrial sector. Some supports coming to the sector The are highly linked with the official development assistance (ODA) while they promote implementation of the Paris Agreement’s long-term goals. The assistance supported the development of innovative policy – in the areas of sludge standard and management tools development that would enhance circularity in waste management. National sludge standards and management tools formulated by the ODA significantly would contribute to minimizing methane emissions and halting the disastrous effects of environmental pollution. As a means of implementation for the climate change action, technology support would have its positive contributions.

The diverse actors ?have also managed to mobilize needed technical support for diverse environmental pollution compliance actions. Such support could have positive benefits to regulate greenhouse emissions.?Continuous capacity building for relevant regulatory and developmental actors is way underway by the ODA support. The provision of such support would help Ethiopia to enhance compliance and enforcement of climate policy and legal regime.

In the area of water, the ODA is contributing towards enhancing industry parks adaptations for the shocks of drought and other climate change events. The ODA is supporting water?utility development that enhances access to safe drinking water in the industrial parks.?Support obtained in the Sustainable sludge waste management initiative also contributes to protecting water quality failures that enhance potable water availability and building adaptive capacity and resilience in industrial parks.

Conclusion

At present, existing international and domestic climate policy and legal instruments do not provide working definition for the concept climate finance. An introduction of a working definition will help in the usage climate finance in commonly usable features. Lack of workable definition hinders how to gauge the parties to the climate change agreements' upon their actions or inactions in allocating or mobilizing climate finance. Such lacuna might lead for double counting finance. As a result of gaps in the concept usage, the developed countries might use ODA as climate finance to discharge their respective climate finance obligation. Similarly, some climate change action might not be properly measured and reported. Moreover, diverse actors may convert none-climate finance into climate finance upon implementing their NDCs. To avoid such misuse, misunderstanding and miscommunication, it should be important to develop a functional definition for the notion climate finance at different scales.

?References

[1] UNFCCC, 1992, ?Art. 2

[2] Ibid Article 4.3

[3] Bali Action Plan,2008, ?Art. 1(e)(i)).

[4] UNFCCC,2009

[5] Barbara Adams and Gretchen Luchsinger, (2009). Climate Justice for a Changing Planet: A Primer for Policy Makers and NGOs, UN-New York and Geneva.

[6] Ibid

[7] SDGs 2030, Goal 16.

[8] Paris Agreement, Article 2.1(b).

[9] Paris Agreement Article 7

[10] Barbara Buchner, Baysa Naran, Pedro Fernandes, Rajashree Padmanabhi, Paul Rosane, Matthew Solomon, Sean Stout, Costanza Strinati, Rowena Tolentino, Githungo Wakaba, Yaxin Zhu, Chavi Meattle, Sandra Guzmán, Climate Policy Initiative, Global Landscape of Climate Finance 2021, P.32

[11] Ibid, p.32

[12] UNFCCC 2015, the Paris Agreement Articles 9.1 and 9.3

[13] UNFCCC Decision 1/CP.21, para. 115. Noting that the target for USD 100 billion by 2020 was an idea which was born out of COP15 and COP16 in Copenhagen and Cancun respectively, UNFCCC Decision 1/CP.21, para. 54.

[14] Paris Agreement, Articles 9.1 and 9.5.

[15] UNFCCC, Art. 4.3.

[16] UNFCCC, Introduction to Climate Finance | UNFCCC

[17] Global Landscape of Climate Finance 2021 Methodology, P.4

[18] Ibid

[19] John Ward and Elizabeth Caldwell, Private Sector Investment in Climate Adaptation in Developing Countries: Landscape, Lessons Learned and Future Opportunities, 2016, P.20

[20] Global Landscape of Climate Finance 2021 Methodology, P.4

[21] What is climate finance? - Grantham Research Institute on climate change and the environment (lse.ac.uk)

[22] UNFCCC Standing Committee on Finance 2018 Biennial Assessment and Overview of Climate Finance Flows Technical Report, p.21

[23] ?The Paris Agreement Article 2.1(c)

[24] Common But Differentiated Responsibilities (CBDR) is a principle that was formalized in the United Nations Framework Convention on Climate Change (UNFCCC) of Earth Summit in Rio de Janeiro, 1992. The CBDR principle is mentioned in UNFCCC article 3 paragraph 1.., and article 4 paragraph 1.

[25] UNFCCC, Paris Agreement, 2015, URL:??https://unfccc.int/files/meetings/paris_nov_2015/application/pdf/paris_agreement_english_.pdf?[last accessed 18/06/21]?

[26] Barbara Buchner, Baysa Naran, Pedro Fernandes, Rajashree Padmanabhi, Paul Rosane, Matthew Solomon, Sean Stout, Costanza Strinati, Rowena Tolentino, Githungo Wakaba, Yaxin Zhu, Chavi Meattle, Sandra Guzmán, Climate Policy Initiative, Global Landscape of Climate Finance 2021, P.2

[27] Barbara Buchner, Baysa Naran, Pedro Fernandes, Rajashree Padmanabhi, Paul Rosane, Matthew Solomon, Sean Stout, Costanza Strinati, Rowena Tolentino, Githungo Wakaba, Yaxin Zhu, Chavi Meattle, Sandra Guzmán, Climate Policy Initiative, Global Landscape of Climate Finance 2021, P.2

[28] Ibid

[29] Ibid, p.3-4

[30] Ibid

[31] Ibid

[32] Ibid

[33] Ibid

[34] Organization for Economic Cooperation and Development. "Statement by the OECD Secretary-General on Future Levels of Climate Finance

[35] Temesgen Gashaw , Climate Change Adaptation and Mitigation Measures in Ethiopia, 2014, Geography

Journal of Biology, Agriculture and Healthcare, p.1

[36] CRGE, 2011?

[37] CRGE, 2011, p.19

[38] National Planning Commission, Growth and Transformation Plan II, 2016 [GTP II], pg. 80

[39] IPDC, IPDC Brochure, 2015

[40] Cepheus: Ethiopia’s Industrial Parks – A data pack on recent performance, 2019

[41] MoTI, IPDC, Green Manufacturing Strategy, 2019

[42] MoTI, IPDC, Green Manufacturing Strategy, 2019

[43] Ibid

[44] UNIDO, Industrial Park Development in Ethiopia Case Study Report, 2018, P. 8

[45] William Avis, Environmental safeguards for industrial parks, Helpdesk Report, 2018, p.1