The current value is 0 as no village level implementa on has taken place yet.
2.4.3 Project/Programme-level Outcome & Output Indicators
Please provide ex-post 'Current Value' on a cumula ve basis. If you have mul ple outputs to be reported against one outcome, you need to write down the same outcome name for every output. Likewise, if you have mul ple indicators to be reported against one output, you need to write down the same output name and corresponding outcome name for every indicator.
Use 'Add row' bu on to add mul ple outcomes, outputs and/or indicators.
Results Area Type Please select
Outcome Name
As the type presenta on of the output indicators is very different from the Funding Proposal and the word template provided by the GCF for the prepara on of the APR (rather text then bare numbers), this sec on cannot be filled in within this mask at the moment. The Output indictors will be a ached as a pdf document to this report (A achment 1).
Output Name (under the afore-men oned outcome)
Please write 'Not Applicable' if the below-men oned indicator is to be reported directly at the outcome level.
Indicator Name
Unit
Baseline Current Value Mid-term Target Final Target
Remarks (including changes, if any)
2.5 Report on changes during implementa on (include actual and expected changes)
Regarding the Project 1 budget there are several needs for adjustment iden fied due to changes in the actual repor ng phase (the text is taken from the Incep on Report Sec on 4):
• The reduc on of co-financing by GoL and JICA. The reduc on has no implica on on projects objec ves or indicators, neither on the technical ac vi es planned.
• It is becoming obvious that the GoL contribu on has been monetarily overes mated during the project design phase. While the number of GoL staff and me allocated for Project 1 largely remains as expected, the monthly salaries are lower than the 330 EUR per month with which the contribu on amount was es mated.
JICA contribu ons foreseen for Ac vi es 1.5, 2.1 and 3.1 have been cancelled. However: 1) the provincial ac vi es (1.5, 2.1 and 3.1) planned for JICA will be taken over by GIZ and carried out as planned and 2) ac vi es at na onal level (Na onal Forestry Inventory, financed by JICA) will only be conducted in 2025 and are therefore beyond the project life me. As a result, JICA’s contribu on and co-financing through its F-REDD II project, is envisaged to decrease from EUR 1,600,000 to EUR 1,200,000. The commissioning of the JICA project F-REDD II has been postponed due to COVID related issues, however the ongoing JICA project F-REDD I has been extended without addi onal costs. Therefore, JICA fully complies with their coopera on commitment through its F-REDD II project.
• Realloca on of staff costs to interna onal and local consultants (as communicated in an Email to GCF Division of Mi ga on and Adapta on on July 9th 2020 and agreed on July 8th in a phone call. The change was already reported in the first semi-annual financial report handed in to GCF on September 11th 2020 it was already agreed with the GCF to handle the change as a change of contract modality).
• Reflec ng indirect costs in ac vi es 1.4 and 1.6. Please also see semi-annual financial report. In difference with the ini al planning, indirect costs also incur within this budget ac vity. During the planning phase of the project/budget it was not expected that direct costs which incur indirect costs will also come up in this ac vity. This is due to the fact of general direct costs that need to be distributed to all ac vi es based on the causa on principle.
• Realloca on of staff costs to travel costs for those na onal staff paid under GCF budget into the GCF budget. There is a lack of travel costs for na onal staff that can be compensated by staff costs.
• The Mid Term Review (MTR) is currently not budgeted in the project Master Budget.
• The GCF has already confirmed, that Project 1 can display all eligible expenditure since the beginning of the project within GIZ financial reports even though the costs incurred before effec veness of the FAA. As for the BMZ commissioning there had already been costs for Equipment (8 cars, 45 motorcycles, IT Equipment) and for professional/ contractual services (assessment of exis ng VDFs in all target villages; concept development to address the situa on iden fied in the assessment / sustainable channelling of climate finance to target villages) which incurred end of 2019. These costs were budgeted as BMZ co-financing (under Budget lines 1G, 1J, 3D, PM6).
In a first step, GIZ will adapt the internal project calcula on to reflect the above-men oned needs and will then consult with GCF, if the changes will be within the permi ed realloca on as governed by Clause 6.01 of the FAA. The budget adjustment is planned to be discussed with GCF in Q3 2021.
• The impacts of the COVID-19 pandemic mean that vulnerable communi es in the project’s target areas will be even more vulnerable than they were at the me of the project’s concep- on, as subsistence agriculture smallholders and small-scale foresters lose access to other op- ons for economic resilience.
As elaborated above, the key recommenda ons for the Project 1 project are:
• The concept and approach of Project 1 is proven methodologically sound and con-sistent.
• The combina on of GCF financial and BMZ technical coopera on is highly func- onal and a compara ve advantage as compared to sole financial or sole technical coopera on, as investment as well as advisory aspects are considered comple-mentary. The synchronized combina on of financial and technical co-opera on re-sults to be a win-win for final beneficiaries.
• The capacity of the FPF, selected as REDD+ Fund by the GoL, needs to be raised to enable its use as Funding Window for Project 2. As agreed very recently in the Emission Reduc ons Program Agreement (ER-PA) between GoL and the World Bank, GoL has now one year me to build the capacity of the FPF, in order to pass World Bank due diligence. This seems to be a very short period. Therefore, one aspect of Project 1 is on capacity building of the FPF. Lessons learned from the crea on and implementa on of the Climate Funding Window located at the EPF will be made fully available by Project 1 to support a seamless transi on of the REDD+ Funding Window from EPF to FPF.
• A comprehensive monitoring system is already in place, which is par cularly im-portant to derive lessons learned from Project 1 to be applied in Project 2.
• The concept of Project 1 is prepared with a high level of detail and strictly orga-nized according to budget lines. This is o en hard to opera onalize and to imple-ment. Re-alloca on may therefore be necessary.
• Therefore, mechanisms to ensure a level of flexibility and the possibility to adapt and change of the implementa on concept should be discussed with the GCF.
• An updated project proposal (budget), addressing all aspects men oned in Sec on 4, will be handed in Q3 of 2021.
• A no-cost extension of the implementa on period by 6 months should be discussed on and agreed with the GCF. Delays occurred due to the COVID-19 pandemic would be addressed by the extension.
To fully support the implementa on of the Lao Emission Reduc on Programme , GIZ will ini ate the development of Project 2 in a mely manner.
Describe changes to the project during the repor ng period. In par cular, the report should cover elements such as change of beneficial ownership structure, management changes of the Accredited En ty, policies and other elements relevant for the project, and any other material change that could influence the overall outcome of the project.
2.6 Implementa on challenges and lessons learned
Challenge encountered
Project 1 has selected the EPF (an ins tu- on under MoNRE) as REDD+ Funding Window and is channelling the grant funds through the EPF, as the EPF was able to fulfil interna onal fiduciary standards and was able to handle the Project 1 GCF grant as a centrepiece of the Funded ac vity. GoL has decided to use the FPF (an ins tu- on under MAF which is in charge of Forest-ry and REDD+) as REDD+ Fund instead. The FPF has to pass World Bank Due Dili-gence in the upcoming 12 months.
Describe the challenge faced during the last twelve (12) months of implementa on that may result in a change to the scope and/or ming of the project; please provide a descrip on and how they have impacted the implementa on period and final targets.
Challenge type Poli cal
Impact on the project implementa on Minor/Solved
Measures adopted
The project will support the FPF to become capacitated to channel REDD+ funds (results-based payments from the FCPF Carbon Fund) and pass World Bank Due Diligence.
For Project 1, the EPF remains the na onal execu ve en ty, however the FPF will be considered as na onal fund for project. Lessons learned from the establishment of the climate fund-ing window at the EPF will be made fully available to support the FPF in fulfilling its tasks to provide a REDD+
Funding Window.
Lesson learned and other remarks
Inter-sectoral collabo-ra on remains challenging.
Challenge encountered
The set-up of Project Management Units PMUs (NPMU, PPMUs and DPMUs) was ini ated in June 2020 but only concluded in December 2020.
Similarly, the opening of bank accounts by the project owners took 3 months. Also, other ini al processes have been rela vely slow.
Describe the challenge faced during the last twelve (12) months of implementa on that may result in a change to the scope and/or ming of the project; please provide a descrip on and how they have impacted the implementa on period and final targets.
Challenge type Opera onal
Impact on the project implementa on Minor/Solved
Measures adopted
Mi ga on measures could include a 6-month no cost extension of Project 1.
Lesson learned and other remarks
PMU set up should be ini -ated early to allow for any delays.
Challenge encountered
PRAP ac vity may not be fully integrated into the district and Provincial Annual Plans due to the SEDPs have been completed and with limited projects approved.
Describe the challenge faced during the last twelve (12) months of implementa on that may result in a change to the scope and/or ming of the project; please provide a descrip on and how they have impacted the implementa on period and final targets.
Challenge type Opera onal
Impact on the project implementa on Minor/Solved
Measures adopted
It is planned to implement PRAP Ac vity Integra on into District and Provincial Annual Plans from Feb to May 2021.
Lesson learned and other remarks
Allocate budget and meframe adequately in order to be ready to implement the ac vi es accordingly to the GoL Planning cycle.
Challenge encountered
While the new guideline on land use planning for the project with FLR mainstreamed has been developed, various approaches of land use planning have been meanwhile introduced and implemented in several target districts of the project with support from other development partners/projects.
These might create confusions during the adop on of the new approach on the ground especially for concerned district authori es.
Describe the challenge faced during the last twelve (12) months of implementa on that may result in a change to the scope and/or ming of the project; please provide a descrip on and how they have impacted the implementa on period and final targets.
Challenge type Opera onal
Impact on the project implementa on Moderate
Measures adopted
Capacity building for district LUP field crews and technical backstopping during field work at a regular basis will be provided.
Lesson learned and other remarks
Harmoniza on of approaches between different development partners is important.
Challenge encountered
The procurement and availability of technical equipment, necessary for the implementa on of several ac vi es, might be delayed. The main reason was the challenging and protracted recruitment process of an EPF procurement officer.
Describe the challenge faced during the last twelve (12) months of implementa on that may result in a change to the scope and/or ming of the project; please provide a descrip on and how they have impacted the implementa on period and final targets.
Challenge type Procurement
Impact on the project implementa on Moderate
Measures adopted
Project 1 staff supported the EPF, as the responsible body for procurement, to complete the procurement plan and specifica on of needed items as early as possible (Remark: All needed procurement processes are now ini ated and ongoing).
Lesson learned and other remarks
Procurement Officers and other support staff need to be hired at very early stages of the project.
Challenge encountered
The procurement Master List needs to be submi ed annually to Ministry of Finance in order to receive tax exemp on for imported good, which can be me consuming and lead to significant delays in procurement.
Describe the challenge faced during the last twelve (12) months of implementa on that may result in a change to the scope and/or ming of the project; please provide a descrip on and how they have impacted the implementa on period and final targets.
Challenge type Procurement
Impact on the project implementa on Minor/Solved
Measures adopted
Master List is to be compiled and submi ed as early as possible.
Lesson learned and other remarks
Such delays need to be considered adequality in the design of project incep on phases.
Challenge encountered
Regular communica on and coordina on with coopera on partners (KfW, JICA/F-REDD, ADB, IFAD) is complex.
Describe the challenge faced during the last twelve (12) months of implementa on that may result in a change to the scope and/or ming of the project; please provide a descrip on and how they have impacted the implementa on period and final targets.
Challenge type Opera onal
Impact on the project implementa on Minor/Solved
Measures adopted
Exchange modali es and regular coordina on mee ngs are agreed on and in place.
Lesson learned and other remarks
Mul -donor Funded Ac vi es increase the complexity during implementa on.
Challenge encountered
Projects by different coopera on partners within the Funded Ac vity (KfW, JICA/F-REDD, ADB, IFAD) have different implementa on schedules and procedures.
Describe the challenge faced during the last twelve (12) months of implementa on that may result in a change to the scope and/or ming of the project; please provide a descrip on and how they have impacted the implementa on period and final targets.
Challenge type Opera onal
Impact on the project implementa on Moderate
Measures adopted
Exchange modali es and regular coordina on mee ngs are agreed on and in place.
Lesson learned and other remarks
Mul -donor Funded Ac vi es increase the complexity during implementa on.
Challenge encountered
Challenges with the Na onal Execu ng En ty (EPF) encountered, such as the late recruitment of key staff, lack of administra ve budget, technical financial management problems, e.g. accoun ng so ware.
Describe the challenge faced during the last twelve (12) months of implementa on that may result in a change to the scope and/or ming of the project; please provide a descrip on and how they have impacted the implementa on period and final targets.
Challenge type Opera onal
Impact on the project implementa on Minor/Solved
Measures adopted
Intensive support by giz staff (interna onal finance manager) and consultants.
Lesson learned and other remarks
All components of a project need to be covered by experts in the Feasibility Study Team.
Challenge encountered
The EPF, which channels the funds is located under the MoNRE, however the main implementa on partners are ins tu ons under MAF. This leads to challenges in coordina on, finance flows, planning etc.
Describe the challenge faced during the last twelve (12) months of implementa on that may result in a change to the scope and/or ming of the project; please provide a descrip on and how they have impacted the implementa on period and final targets.
Challenge type Opera onal
Impact on the project implementa on Minor/Solved
Measures adopted
The Opera ons Manual gives a clear framework on the collabora on of all stakeholders.
Dialogues between stakeholders were established and con nuously upheld.
Lesson learned and other remarks
Coordina on between sectors of GoL needs to be improved.
Challenge encountered
The Feasibility study (and consequently the Funding Proposal) was not detailed enough for the agricultural component.
Describe the challenge faced during the last twelve (12) months of implementa on that may result in a change to the scope and/or ming of the project; please provide a descrip on and how they have impacted the implementa on period and final targets.
Challenge type Legal
Impact on the project implementa on Minor/Solved
Measures adopted
Concept in the Output “Agriculture” was fine-tuned recently. Intensive training for all stakeholders, including project staff
Lesson learned and other remarks
All components of a project need to be covered by experts in the Feasibility Study Team.
Confirma on and Acknowledgement of Informa on *
* This is a required ques on to submit sec on 2 of the Annual Performance Report (APR).
X The accredited en ty hereby confirms that the informa on provided in sec on 2 is complete and ready for submission.