1. SECRETARIAT UPDATE
Dr Simon Buckle
Head of Climate, Biodiversity and Water Division
Environment Directorate
CCXG Global Forum
2 October 2019
IEA, Paris

2. 1. Highlights from latest key OECD reports related to climate:
– Climate Finance Provided and Mobilised by Developed Countries
in 2013-17
– Taxing Energy Use 2019: Using Taxes for Climate Action
– Accelerating Climate Action: Refocusing Policies through a Well-
being Lens
2. Overview of relevant upcoming events
2
Outline

3. CLIMATE FINANCE PROVIDED
AND MOBILISED BY DEVELOPED
COUNTRIES IN 2013-17

4. • Climate finance provided and
mobilised reached USD 71.2
billion in 2017, up from USD
58.6 billion in 2016 (+21%).
• Public climate finance increased
44% between 2013 and 2017,
from USD 37.9 to USD 54.5
billion.
• Gap in time series in 2015 for
mobilised private finance due to
progressive implementation of
enhanced reporting
methodologies.
2013-17 estimates of aggregate climate finance
Source: OECD (2019), Climate Finance Provided and Mobilised by Developed Countries in 2013-17, OECD Publishing, Paris, https://doi.org/10.1787/39faf4a7-en

5. • In 2017, mitigation represents close to ¾ of USD 71.2 billion total; the share of
adaptation between 2013 and 2017 increased from 17% (USD 9.1 billion) to 19%
(USD 13.3 billion).
• Share of adaptation in public climate finance in 2016-17 significantly higher for
LDCs (45%) and SIDS (43%) than for all developing countries (22%).
• Over 90% of mobilised private finance and close to all export credits tracked
relate to mitigation activities.
Thematic split
Source: OECD (2019), Climate Finance Provided and Mobilised by Developed Countries in 2013-17, OECD Publishing, Paris, https://doi.org/10.1787/39faf4a7-en

6. What does this mean for 2020?
Source: OECD (2019), Climate Finance Provided and Mobilised by Developed Countries in 2013-17, OECD Publishing, Paris, https://doi.org/10.1787/39faf4a7-en
• Public finance consistent with a
linear pathway to 2020
projection of USD 66.8 billion.
• Estimated ratios of mobilised
private to public finance in 2016-
17 lower than those previously
estimated for 2013-14.
• Continued efforts to scale up
public finance and improve its
effectiveness in mobilising
private finance are required.
• This effectiveness depends on
characteristics of public finance,
e.g. destination, thematic split,
sector, instruments.

7. TAXING ENERGY USE 2019: USING
TAXES FOR CLIMATE ACTION

8. To be released on 15 October 2019
Taxing Energy Use 2019
8
The report presents new and original data on
energy taxes:
 in OECD and G20 countries as well as in
international aviation and maritime
transport.
 Tax rates and tax coverage are detailed by
country, sector, energy source and tax type.
Access the publication page
Summary of Key Findings

9. 9
Average fuel excise and explicit carbon taxes across 44 OECD countries and
Selected Partner Economies, including international aviation and maritime transport

10. 10
Taxes on polluting fuels are too low to encourage a
shift to low-carbon alternatives

11. ACCELERATING CLIMATE ACTION:
REFOCUSING POLICIES THROUGH
A WELL-BEING LENS

12. The well-being lens in context
2015 2017
2018 2019

13. 13
Well-being
lens
By systematically
capturing multiple
benefits and managing
trade-offs, a well-being
approach can increase
the case for low-
emissions solutions
that align multiple goals
and combine action
across different sectors
and scales of action

14. Change
perspective
Change the metrics
Change the policy
design

15. Without minimum
space standards
Without adequate
infrastructure
Synergies and trade offs – compact development

16. 16
Shift in measurement
Employment growth rate in automotive sector by county 1998 to 2016
http://www.clustermapping.us/

17. OVERVIEW OF RELEVANT
UPCOMING EVENTS

18. 18
Overview of relevant upcoming events 2019
29-30 Oct
OECD Forum on Green
Finance and Investment
OECD, Paris
2-13 Dec26-27 Nov
COP25
Santiago, Chile
10th High-Level Breakfast on
Institutional Investors and the
Low-carbon Transition
Santiago, Chile, dates still tbc
Joint OECD-ADB
Roundtable on
Accelerating low-carbon
investment in Asia
OECD, Paris
31 Oct
Pre-COP, Costa Rica
8-10 Oct
Roundtable on
Financing Water –
Regional meeting on
Asia, Manila
25-27 Nov
GGSD Forum
Greening heavy and extractive
industries: innovation and fiscal
sustainability
OECD, Paris

19. Creation of an OECD
Adaptation Task Force
A dedicated forum for national
adaption experts to:
- Provide a forum of exchange on
policies and practices in support of the
implementation process of adaptation
agendas
- Identify key issues for countries to
consider in moving the adaptation
agenda forward
- Identify and review good practices
that can inspire others
- Inform the program of work of the
OECD Secretariat, in line with the
OECD Environment Programme, to
effectively support countries’
adaptation priorities.
• A joint DCD and ENV project “Strengthen Climate Resilience: Guidance for
Governments and Development Co-operation“
• Aiming to launch the Guidance at the Adaptation Summit organised by the
Netherlands in October 2020
• A joint Adaptation Workshop to be held in Paris on 25 October 2019 by OECD
and the Global Centre on Adaptation
Strengthen Climate Resilience:
Guidance for Governments and Development Co-operation
Adaptation Forum planned for 12-13 February 2020 in Paris
Contact: Catherine.Gamper@oecd.org
Joint Adaptation Workshop on 25 October 2019 in Paris
Contact: Nicolina.Lamhauge@oecd.org

20. OVERVIEW OF OTHER RELEVANT
WORK

21. ….using the tools and processes of budgetary policy-making
- by evaluating and improving the environmental impact of
budgetary policies
- assessing their coherence with national and international
commitments
- contributing to informed, evidence-based debate
 help achieve environmental goals
21
“Green Budgeting” – a systematic and co-ordinated
approach
OECD Paris Collaborative on Green Budgeting
• Launched at the One Planet Summit, Dec 2017 in
Paris
• A co-ordinating platform for knowledge
development, peer learning, and country assistance

22. 22
Green Budgeting: A compass to achieve our
environmental goals

23. Putting green budgeting into practice

24. 24
Moving ahead towards green budgeting in OECD
countries
Norway
• Technical Committee to propose method for estimated effects:
 on emissions of changes in revenues and expenditure in the budget.
 mitigation effect and cost of policy instruments that are not included in the
national budget.
• Results expected in June 2020.
France
• “Jaune budgetaire” to provide an overview of relevant policies and highlights
their alignment with France’s climate objectives.
• Developed a methodology to classify expenditure in favourable and
unfavourable across 6 environmental objectives.
• A first "green budget" under the new methodology is expected for the PLF
2021.
Ireland
• Department of Public Expenditure and Reform has started to identify
Exchequer climate-related expenditure in 2019.
• Announcement ring-fence additional revenues raised from a new carbon tax to
fund climate action and a just transition.

25. 25
Emerging practices in the non-OECD countries
Indonesia:
• The Indonesian 2014 Green Planning and Budgeting Strategy (GPBS)
• implemented in line with the Medium Term Expenditure Framework and
performance-based budget system.
• Low Emission Budget Tagging and Scoring System (LESS) in key ministries to
track resources spent to achieve the national emission reduction target of 26% by
2020.
The Philippines
• Climate Change Budget Tagging in national budget submissions for all
government entities in the Fiscal Year 2015.
• Aligned with the National Climate Change Action Plan.
• Publication of results in the People Climate Budget.
Thailand
• Project to integrate a “Climate Change Benefit Analysis (CCBA) into their
budget proposals, and monitoring and evaluation mechanisms.
• Climate Change Benefit Analysis (CCBA) guidelines.
• The CCBA guidelines will provide assistance to Ministries and decision makers
in the budget and planning process.

26. • Publication: Towards Green Budgeting: a stock take of core
building blocks and country experiences.
• Co-Leadership for Principle 4 of the WB-based Coalition of
Finance Ministers for Climate Action
• Next Green Budgeting Expert Group Meeting in February
2020
26
Next steps

27. 27
Ongoing work on climate change and agriculture (1/2)
Recently published or declassified work:
Papers:
• “Evaluating the environmental impact of agricultural policies”:
https://doi.org/10.1787/e9a79226-en
• “Agri-environmental Indicators: Ammonia and Greenhouse Gas
Emissions”: [COM/TAD/CA/ENV/EPOC(2019)7/FINAL]
Forthcoming publication (16 October 2019):
“Enhancing climate change mitigation through agriculture”
 Evaluates the economic consequences and trade-offs associated with key
policy options to mitigate GHG emissions in the agriculture sector using
economy wide, sector specific, farm level models.
https://doi.org/10.1787/e9a79226-en

28. 28
Ongoing work on climate change and agriculture (2/2)
New work being developed
• Scoping papers for 2019-20 climate work:
• Policy strategies and challenges for climate change mitigation in agriculture
[COM/TAD/CA/ENV/EPOC(2019)10]
• The economic and environmental consequences of confronting climate
change in the agricultural sector through trade
[COM/TAD/ENV/EPOC(2019)11]
• Carbon leakage implications of climate policies in the agricultural sector
[COM/TAD/ENV/JWPTE(2019)2]
• A draft survey of international GHG mitigation policies in the AFOLU sector will
be discussed at the Joint Working Party on Agriculture and Environment,
October 22-23 [COM/TAD/CA/ENV/EPOC(2019)]

29. • In November the OECD will publish a new report
identifying the key challenges and priority
actions for development co-operation providers
and countries to align their strategies,
programmes and operations.
• Global leaders on climate and development
discussed the key messages at a high-level
roundtable last week, in the margins of the UN
Climate Action Summit.
Aligning development co-operation
with the objectives of the Paris Agreement

30. • A joint DCD and ENV project “Strengthen Climate Resilience: Guidance for
Governments and Development Co-operation“
• Aiming to launch the Guidance at the Adaptation Summit organised by the
Netherlands in October 2020
• A joint Adaptation Workshop to be held in Paris on 25 October 2019 by OECD
and the Global Centre on Adaptation
Strengthen Climate Resilience:
Guidance for Governments and Development Co-operation

31. Recent Environmental Performance Reviews
29 May 10 July
Thematic review

32. Upcoming Environmental Performance Reviews
November (tbc)
http://oe.cd/epr
Q2 2020 (tbc) Q2 2020 (tbc)

33. Selected updated datasets
Protected areas Land cover

34. “CLIMATE EMERGENCY, URBAN
OPPORTUNITY”

35. Climate Emergency, Urban Opportunity: How national governments can
secure economic prosperity and avert climate catastrophe by transforming
cities
– Coalition for Urban Transition’s report (sept 19) quantifies the economic,
environmental & social benefits available to national governments to empower &
invest in zero-carbon cities.
– Key message: National governments must be encouraged to place cities at the
heart of their economic development and climate strategies, requiring strong
leadership from Heads of State and Government as well as key ministries.
“Climate Emergency, Urban Opportunity”
OECD contributions
‒ OECD serves as a member of the Coalition’s steering group
‒ Co-author of chapter 4 “The unique and crucial roles of national government”
‒ Consultation with OECD member countries at WPURB in May 2019
‒ SG served as a Senior Ambassador of the report & contributed to foreword

36. “FINANCING CLIMATE OBJECTIVES IN
CITIES AND REGIONS TO DELIVER
SUSTAINABLE AND INCLUSIVE
GROWTH”

37. 37
OECD-CFE case study “Financing climate objectives in cities and regions to
deliver sustainable and inclusive growth” as part of the OECD Financing Climate
Futures Project
Released in September 2019 as an ENV Policy Paper
Cities and regions are critical actors in the global response to climate change
• Subnational governments (SNGs) are major spenders and investors
 SNG budgets account for an increasing share of public expenditures, carrying out 40% of
total public spending in the OECD and 57% of public investment in 2016
 In federal countries, the rates are higher at 50% and 62%, respectively (OECD, 2018a).
 Globally, subnational governments represent 24% of public spending and 39% of public
investment in 2013 (OECD/UCLG, 2016).
• Relative to central governments, subnational governments are responsible for the majority of
environmental and climate-related spending and investment.
• Cities are part of the climate change problem. Cities concentrate people, economic activities and
industries, and infrastructure, with 55% of the global population and over 80% of global GDP.

38. 38
• Data are very limited to track climate finance in general, and even more so at subnational (SNG) level. This
is a big problem, as it means there are no real data to track progress towards the Paris Agreement
commitments.
• Data on climate-related spending are limited in terms of how they are categorised into the COFOG
(classification of the Functions of Government).
 Climate-relevant spending is captured piecemeal across almost all categories, as all functional areas
may have a climate dimension.
• In addition, even when proxies can be created from existing subcategories, data at the subcategory level
may not exist.
• Most countries do not comprehensively track their subnational climate-related spending and infrastructure
investment.
• Some countries have developed approaches to tracking climate expenditures.
• Some countries’ tracking systems provide incomplete data models.
• The OECD has proposed a preliminary methodology to batter measure subnational climate finance, based
on Classification of Function of Government (COFOG) data from the National Accounts and focusing on
sectors that have a direct implication for climate change.
Key messages - case study “Financing climate objectives in cities and regions to
deliver sustainable and inclusive growth”

39. 39
• The majority of environmental and climate-related spending occurs at subnational level. In the 30
countries sampled, subnational governments were responsible for 55% such spending, on average
over 2000-2016.
• In relation to spending, an even larger share of environmental and climate-related investment occurs
at subnational government level. On average, subnational governments were responsible for 64% of
such investment over 2000-2016.
• However, subnational climate-related spending only represented 1.3% of GDP on average over 2000-
2016; subnational climate-related investment represented around 0.4% of GDP on average over 2000-
2016.
 Subnational spending and investment mainly occur in transport, waste management and waste
water management.
 Between 2000 and 2016, the share of climate-related investment in transport in total investment
significantly increased (from 34% to 44%), while those of waste management and wastewater
management decreased.
• And more worrying – overall, environmental and climate-related spending and investment saw
minimal change between 2000 and 2016 on average in the 30 country sample, both in real terms and
as a share of GDP.
Key messages - case study “Financing climate objectives in cities and regions to
deliver sustainable and inclusive growth”

40. 40
18%
29%
29%
31%
31%
34%
43%
48%
52%
60%
60%
64%
65%
66%
66%
66%
68%
70%
72%
74%
81%
82%
86%
87%
89%
90%
98%
98%
82%
71%
71%
69%
69%
66%
57%
52%
48%
40%
40%
36%
35%
34%
34%
34%
32%
30%
28%
26%
19%
18%
14%
13%
11%
10%
2%
2%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Iceland
Sweden
Greece
Denmark
Austria
United Kingdom
Finland
Slovak Republic
Luxembourg
Italy
Latvia
Average
Hungary
Portugal
Norway
Lithuania
Germany
Spain
Slovenia
Czech Republic
Poland
Netherlands
Ireland
Australia
Switzerland
France
Belgium
Japan
Subnational government
Central government
Environmental and climate-related investment by level of government,
2000-2016

41. CONTRIBUTION TO THE LUCI
INITIATIVE LAUNCHED IN THE UN
SUMMIT

42. Leadership for Urban Climate Investment (LUCI) Initiative
• Overarching Deliverable for the UNSG Climate Action Summit under the Cities,
Infrastructure and Local Action (ICLA) Track.
– Officially launched in September, 2019
– Objective: accelerate, scale-up and leverage urban climate finance and close gaps
in the subnational financial architecture.
– Structure: LUCI has several sub-initiatives to build a global environment, strengthen
subnational capacities and develop financing options.
• OECD (CFE) and Climate Policy Initiative (CPI) are in charge of the sub-initiative
“Measuring and tracking subnational climate-related finance for climate action”
– Objective: develop a standard methodology to measure subnational spending on
climate and track urban climate finance.
– Goal: better track progress towards the implementation of the Paris Agreement.

43. This year GGSD Forum will focus on greening heavy and extractive
industries
Contacts:
Kumi.kitamori@oecd.org & Enrico.botta@oecd.org
The sessions will focus on:
1. Fiscal implications of the low-carbon
transition
2. Driving innovation for greening heavy
industries
3. Greening extractive sectors: mission
possible?
4. International trade and the circular economy
5. Regions and extractive industries
6. Special High-Level Panel Discussion: The
new geopolitics of natural resources
26-27 November, 2019
OECD Headquarters, Paris

44. Simon.BUCKLE@oecd.org
Thank you