UNDP support to energy access and transition

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Evaluation Plan:
2022-2025, Independent Evaluation Office
Evaluation Type:
Thematic
Planned End Date:
01/2022
Completion Date:
12/2022
Status:
Completed
Management Response:
Yes
Evaluation Budget(US $):
85,000

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Title UNDP support to energy access and transition
Atlas Project Number:
Evaluation Plan: 2022-2025, Independent Evaluation Office
Evaluation Type: Thematic
Status: Completed
Completion Date: 12/2022
Planned End Date: 01/2022
Management Response: Yes
Focus Area:
  • 1. Others
Corporate Outcome and Output (UNDP Strategic Plan 2018-2021)
  • 1. Output 1.4.1 Solutions scaled up for sustainable management of natural resources, including sustainable commodities and green and inclusive value chains
  • 2. Output 1.5.1 Solutions adopted to achieve universal access to clean, affordable and sustainable energy
  • 3. Output 2.5.1 Solutions developed, financed and applied at scale for energy efficiency and transformation to clean energy and zero-carbon development, for poverty eradication and structural transformation
  • 4. Output 3.5.1 Energy access re-established for crisis-affected populations, with a focus on gender-sensitive, risk-informed and sustainable recovery
  • 5. Output 3.6.1 Energy access re-established for crisis-affected populations, with a focus on gender-sensitive, risk-informed and sustainable recovery
Evaluation Budget(US $): 85,000
Source of Funding:
Evaluation Expenditure(US $): 85,000
Joint Programme: No
Joint Evaluation: No
Evaluation Team members:
Name Title Nationality
Smail Khennas
Gil Yaron
Christine Wörlen
Jens Altevogt
GEF Evaluation: No
Key Stakeholders:
Countries: GLOBAL
Lessons
Findings
Recommendations
1

Recommendation 1. UNDP should detail its strategic and programmatic approach to energy in an action plan that clearly articulates how it will support national Governments to achieve their Sustainable Development Goal 7 targets.

1. The plan should focus on ensuring that energy initiatives launched over the next eight years lead to sustainable results, through national ownership, better connection between upstream advice and downstream opportunities, and new models of consistent engagement with public and private entities. UNDP should retain its focus on context specificity but with greater guidance and instruments that allow country offices to: (a) design initiatives that systematically address the enablers and barriers to scaling up energy initiatives; and (b) build project pipelines that sequence these activities over the time frames in which energy sectors and markets typically reach readiness for the wider adoption of policies and technologies.

2. Areas that merit greater attention include: (a) the promotion of uptake models of energy technology and systems in geographic areas where the energy grid is unlikely to reach in the next three to five years; (b) the potential to leverage UNDP energy procurement; (c) mitigating the impact of climate change on renewable production and infrastructure; and (d) the UNDP position on, and engagement with, the digitalization of energy services. The action plan should clearly distinguish UNDP from other players, detailing its updated value proposition and subsequent partnership strategy. Additional staff with deep energy sector expertise and skills will be needed at regional and country levels.

2

Recommendation 2. UNDP should update its value proposition on access to energy and transition to low-carbon technologies, expanding its role as a convenor and delivery agent for complex energy project initiatives that incubate innovations and put in place sustainable pro-poor energy policies.

UNDP should systematically identify underdeveloped contexts and countries that would benefit from its capacity as a facilitator, working across government, donor partners, the private sector and subnational entities. In framing this facilitator role, UNDP should support Governments to create plans for long-term barrier removal, investment and capacity development, aiming for far-reaching energy sector transformations. It should encourage “leap frogging” to more advanced access and efficiency measures, improvement to and delivery of the nationally determined contributions, and helping Governments to access and translate appropriate sources of funding into downstream projects.

UNDP should focus greater attention on its work of advising on policy development, especially the economic policies that affect the cost and marketability of renewables and the assessment and regulations which ensure that the farthest-behind groups benefit from increased energy investments. To do so, the organization should consider developing the post-analysis de-risking tools itself or form closer partnerships with organizations that offer these mechanisms (See also recommendation 7).

3

Recommendation 3. UNDP energy access initiatives should contain formal design components that respond to the user and local experience of energy initiatives, and it should monitor how its energy services lead to sustainable and pro-poor benefits.

The UNDP commitment to increase access to clean and affordable energy for 500 million people is bold and provocative. Its attainment will require practical steps, focused on technology preference, cost and payment models, local value chains, productive usage and ownership and maintenance models. In developing this design component, UNDP should incorporate the perspectives of households, local businesses, facilities and subnational entities, which are key to the success and sustainability of energy initiatives. The assessment should lead to improved energy delivery, which should be monitored over the course of the project and beyond with a tool to capture the user experience and key indication of service quality. Improving the energy service and development benefits should build on impact assessments where UNDP projects have provided a more comprehensive energy service

4

Recommendation 4. UNDP should establish itself as a global thought leader in sustainable pro-poor energy and transition approaches, adopting a step change in ambition and targeting support to the least developed and middle-income economies that are highly exposed to a global transition to low-carbon energy.

1. UNDP should strengthen its advisory role to Governments with guidance to encourage faster uptake of clean energy and abandonment of unclean sources, based on a national vulnerability rationale as much as a climate change or energy capacity contribution. For that, UNDP energy strategy support to countries will need a broad lens that considers the wider economy, including energy switches within key sectors, job creation/replacement needs, the potential effects on particularly vulnerable groups and the risk to and from vested interests. This role should draw on UNDP strengths in governance and poverty reduction in combination with its energy expertise. 

2. Given the top-down nature of global energy policy and investment decisions, the UNDP on-the-ground experience should have an important role to play in driving appropriate responses to the complex energy transitions now at hand. UNDP should build on its in-country knowledge to ensure the perspectives of the poorest and farthest-behind groups are factored into global and national transition agendas. This requires investment in bottom-up knowledge generation.

5

Recommendation 5. UNDP should review its approaches to supporting energy access in crisis and fragile settings and develop formal principles and guidelines for addressing immediate energy needs within a more comprehensive plan for recovery and green transition.

1. UNDP should design a specific action plan on how it supports energy interventions before, during and after any crisis response, and wherever possible aim to ensure that interventions expand local capacities for adopting and governing cleaner sources of energy. It should build on the experience of countries and bureaux that operate in these contexts and incorporate wider research and deep case studies of national/transnational energy contexts. The objective should be to increase the application of more advanced intervention approaches at the country level while retaining flexibility to respond to contextual differences.

2. In developing this action plan, UNDP should consider: (a) supporting governance models for energy initiatives and natural resource management; (b) the potential for supporting local supply chains through energy procurement and capacity-building; and (c) models for expanding the focus on renewables and efficiency measures during power plant rehabilitations.

6

Recommendation 6. UNDP should promote a greater integration of gender considerations and more targeted gender guidance for its energy programming, and move away from the assumption that women will automatically benefit if they are simply included in energy initiatives.

1. Attention is needed to move beyond the pursuit of gender parity and greater participation, to a next echelon of programming that also addresses the social norms preventing women from fully and equally benefiting from improved energy outcomes. UNDP should work towards converting energy access into real changes to women’s economic status, by adequately considering, and to the extent possible addressing, the associated social norms and impediments that limit female livelihoods and financial control and prevent women from taking full advantage of the opportunities offered by improved access to safe and clean energy.

2. Although very different intervention strategies are required to support men and women of different ages and abilities, living in different settings, UNDP should increase the level of consultation with users and ensure they are conducted by specialists with an understanding of gender aspects. This will require guidance on the minimum steps needed in each project formulation and implementation, to recognize the perspectives of men and women, and provide prompts to overcome resistance and counter false assumptions that people automatically benefit from their involvement in an energy project or within a facility that has improved electrical supply

7

Recommendation 7. UNDP should map where energy investments are needed, by region, to develop a holistic strategy of support to match the most appropriate funding model and resource mobilization strategy for the context.

UNDP should identify opportunities where Governments are open to new financing modalities for energy access and transformation, and seek to expand engagement with international, regional and national financial institutions to help these countries achieve their aims. UNDP, together with the international financial institutions, should classify contexts on a scale of readiness for investment and set out where and how it can help lay the governance foundations for greater investment. In this role, UNDP should emphasize poverty, productive use and equal access to energy to ensure that successful investments do not deepen inequality. Where investment finance is not feasible, UNDP should work to expand funding options through other channels such as the vertical funds, other donors and its Sustainable Development Goal bonds.

Management Response Documents
1. Recommendation:

Recommendation 1. UNDP should detail its strategic and programmatic approach to energy in an action plan that clearly articulates how it will support national Governments to achieve their Sustainable Development Goal 7 targets.

1. The plan should focus on ensuring that energy initiatives launched over the next eight years lead to sustainable results, through national ownership, better connection between upstream advice and downstream opportunities, and new models of consistent engagement with public and private entities. UNDP should retain its focus on context specificity but with greater guidance and instruments that allow country offices to: (a) design initiatives that systematically address the enablers and barriers to scaling up energy initiatives; and (b) build project pipelines that sequence these activities over the time frames in which energy sectors and markets typically reach readiness for the wider adoption of policies and technologies.

2. Areas that merit greater attention include: (a) the promotion of uptake models of energy technology and systems in geographic areas where the energy grid is unlikely to reach in the next three to five years; (b) the potential to leverage UNDP energy procurement; (c) mitigating the impact of climate change on renewable production and infrastructure; and (d) the UNDP position on, and engagement with, the digitalization of energy services. The action plan should clearly distinguish UNDP from other players, detailing its updated value proposition and subsequent partnership strategy. Additional staff with deep energy sector expertise and skills will be needed at regional and country levels.

Management Response: [Added: 2022/03/31]

UNDP fully accepts recommendation 1. The recently formed Sustainable Energy Hub (referred to as the “Energy Hub” in this management response) represents the systematic and programmatic approach of UNDP to respond to the energy and climate change agenda in programme countries. The Energy Hub is designed to harness networks, experience and innovation to help 500 million additional people gain access and transition to clean, reliable and affordable energy by 2030, and will prioritize actions in countries and regions with the highest levels of energy poverty. The Energy Hub will work with Governments in programme countries as they build forward better from COVID-19 and with investors, to unlock and harness public and private finance to power progress towards the Sustainable Development Goals. Specifically, it will help UNDP partners to do three things:

1. Close the gap on energy access so that marginalized people and communities gain access to sustainable, clean energy and the dignity and opportunities it brings;

2. Drive innovation in energy value chains to speed up investments in energy access in off-grid and fragile contexts. This includes the development and deployment of alternative business models to support off-grid solutions;

3. Accelerate an energy transition from fossil fuels through system changes that support a green recovery and bring together the best ideas from the worlds of government, business and finance.

With energy being one of the six signature solutions of the Strategic Plan, the Energy Hub will leverage the organization’s diverse portfolio of clean, affordable energy initiatives in over 100 countries to scale up support to programme countries on Sustainable Development Goal 7 – affordable and clean energy – in this decade of action. UNDP will work in partnership including within UN-Energy, to deploy its own operational capacity including on energy procurement as well as strengthened fiduciary oversight systems. A clear link will be made to help advance green procurement, to ensure that projects are implemented with the lowest environmental impact and support significant socioeconomic gains in countries.

Key Actions:

Key Action Responsible DueDate Status Comments Documents
1.1. Develop global strategy and action plan for the UNDP Sustainable Energy Hub
[Added: 2022/03/31] [Last Updated: 2022/07/13]
Bureau for Policy and Programme Support Regional bureaux 2022/12 Initiated The Sustainable Energy Hub has convened an energy task force across the GPN to support the formulation of a strategy and action plan that support a truly integrated approach across several development challenges. Outcome of this task force is to provide guidance and advice on SEHs strategy and action plan. History
1.2. Develop partnership and engagement strategy for the Sustainable Energy Hub
[Added: 2022/03/31] [Last Updated: 2022/07/12]
Bureau for Policy and Programme Support Regional bureaux 2022/12 Initiated Development of the Sustainable Energy Hub partnership strategy is current underway. The strategy will outline partnerships that are currently being explored and strengthened across the UN system, as well as new partnerships with NGOs, MDBs and the private sector. Areas of focus and collaboration will encompass both energy access and transition, as well as integrated approaches that advance broader SDGs. History
1.3. Design and deploy new business models and partnerships in the deployment of clean energy in off-grid contexts
[Added: 2022/03/31]
Country offices with support from the Bureau for Policy and Programme Support 2025/12 Not Initiated
1.4. Integrate sustainable procurement practices during project design and implementation by: (a) promoting the uptake models of energy technology and systems in geographic areas where the energy grid is unlikely to reach in the next three to five years; (b) leveraging of UNDP energy procurement; and (c) expanding and clarifying with guidance the approaches to mitigate the impact of climate change on renewable production.
[Added: 2022/03/31]
Bureau for Policy and Programme Support Bureau for Management Services 2025/12 Not Initiated
2. Recommendation:

Recommendation 2. UNDP should update its value proposition on access to energy and transition to low-carbon technologies, expanding its role as a convenor and delivery agent for complex energy project initiatives that incubate innovations and put in place sustainable pro-poor energy policies.

UNDP should systematically identify underdeveloped contexts and countries that would benefit from its capacity as a facilitator, working across government, donor partners, the private sector and subnational entities. In framing this facilitator role, UNDP should support Governments to create plans for long-term barrier removal, investment and capacity development, aiming for far-reaching energy sector transformations. It should encourage “leap frogging” to more advanced access and efficiency measures, improvement to and delivery of the nationally determined contributions, and helping Governments to access and translate appropriate sources of funding into downstream projects.

UNDP should focus greater attention on its work of advising on policy development, especially the economic policies that affect the cost and marketability of renewables and the assessment and regulations which ensure that the farthest-behind groups benefit from increased energy investments. To do so, the organization should consider developing the post-analysis de-risking tools itself or form closer partnerships with organizations that offer these mechanisms (See also recommendation 7).

Management Response: [Added: 2022/03/31]

UNDP fully accepts recommendation 2. UNDP support to countries via the Sustainable Energy Hub will focus on all countries but especially those that are furthest behind on energy access. UNDP will be working with key partners in UN-Energy as well as new partnerships with multilateral development banks, international financial institutions (African Development Bank, World Bank), global funds (GCF, GEF), the private sector, foundations (Rockefeller Foundation) and others to strengthen local capacities to respond to urgent energy access needs.

Key Actions:

Key Action Responsible DueDate Status Comments Documents
2.1 Map energy access gaps at local/community level through the collection of geospatial and ground-level data in partnership with leading technology providers and other stakeholders (e.g.,international agencies, utility companies, financial institutions, philanthropy, et. al)
[Added: 2022/03/31]
Bureau for Policy and Programme Support, in coordination with regional bureaux and country offices 2022/12 Not Initiated
2.2 Build government capacities to collect and analyse data to expand provision of access and reach the last mile in at least 30 least developed countries, small island developing States and other developing countries
[Added: 2022/03/31]
Country offices with support from the Bureau for Policy and Programme Support 2025/12 Not Initiated
2.3 De-risk use of smaller-scale, off-grid energy solutions to scale up access to more remote/rural communities e.g., through the provision of quality standards for sustainable off-grid solutions (Distributed Renewable Energy Certificate, first loss capital investments, insurance and other policy de-risking tools and mechanisms) in at least 30 least developed countries, small island developing States and other programme countries
[Added: 2022/03/31]
Bureau for Policy and Programme Support, in coordination with country offices 2025/12 Not Initiated
2.4 Work with key partners in UN-Energy and with multilateral development banks, international financial institutions (African Development Bank, World Bank), global funds (GCF, GEF), the private sector, foundations (Rockefeller Foundation) and others to strengthen local capacities to respond to urgent energy access needs
[Added: 2022/03/31]
Bureau for Policy and Programme Support 2025/12 Not Initiated
3. Recommendation:

Recommendation 3. UNDP energy access initiatives should contain formal design components that respond to the user and local experience of energy initiatives, and it should monitor how its energy services lead to sustainable and pro-poor benefits.

The UNDP commitment to increase access to clean and affordable energy for 500 million people is bold and provocative. Its attainment will require practical steps, focused on technology preference, cost and payment models, local value chains, productive usage and ownership and maintenance models. In developing this design component, UNDP should incorporate the perspectives of households, local businesses, facilities and subnational entities, which are key to the success and sustainability of energy initiatives. The assessment should lead to improved energy delivery, which should be monitored over the course of the project and beyond with a tool to capture the user experience and key indication of service quality. Improving the energy service and development benefits should build on impact assessments where UNDP projects have provided a more comprehensive energy service

Management Response: [Added: 2022/03/31]

UNDP fully accepts recommendation 3. The UNDP commitment to increase access to clean and affordable energy for 500 million people will rely on strengthened and expanded partnerships across public and private sectors, including international development organizations and financial institutions, philanthropy and other key stakeholders. Support to countries via the Sustainable Energy Hub will include a digital platform that will enable near real-time monitoring of energy delivery and track the quality of service, as well as broader linked sustainable development impacts on areas such as access to health and education.

Key Actions:

Key Action Responsible DueDate Status Comments Documents
3.1 Deploy data and digital planning tools to identify productive use opportunities at the subnational and local levels (including village scale)
[Added: 2022/03/31]
Bureau for Policy and Programme Support in coordination with country offices 2023/12 Not Initiated
3.2 Identify and deploy mechanisms for stimulating micro, small and medium-sized enterprises in the distributed/off-grid renewable energy space and across the energy value-chain (e.g., to support cold storage or the agriculture, food and water sectors)
[Added: 2022/03/31]
Bureau for Policy and Programme Support in coordination with country offices 2023/12 Not Initiated
3.3 Deploy digital platform to capture provision of energy delivery and impacts
[Added: 2022/03/31]
Bureau for Policy and Programme Support in coordination with country offices 2025/12 Not Initiated
4. Recommendation:

Recommendation 4. UNDP should establish itself as a global thought leader in sustainable pro-poor energy and transition approaches, adopting a step change in ambition and targeting support to the least developed and middle-income economies that are highly exposed to a global transition to low-carbon energy.

1. UNDP should strengthen its advisory role to Governments with guidance to encourage faster uptake of clean energy and abandonment of unclean sources, based on a national vulnerability rationale as much as a climate change or energy capacity contribution. For that, UNDP energy strategy support to countries will need a broad lens that considers the wider economy, including energy switches within key sectors, job creation/replacement needs, the potential effects on particularly vulnerable groups and the risk to and from vested interests. This role should draw on UNDP strengths in governance and poverty reduction in combination with its energy expertise. 

2. Given the top-down nature of global energy policy and investment decisions, the UNDP on-the-ground experience should have an important role to play in driving appropriate responses to the complex energy transitions now at hand. UNDP should build on its in-country knowledge to ensure the perspectives of the poorest and farthest-behind groups are factored into global and national transition agendas. This requires investment in bottom-up knowledge generation.

Management Response: [Added: 2022/03/31]

UNDP fully accepts recommendation 4. UNDP will leverage its expertise and on-the-ground knowledge to support Governments with a holistic view of policy options and frameworks to help guide a clean, inclusive energy transition and quantify the benefits and impacts. This includes understanding the distributional impacts of policy reforms, including those related to fossil fuel subsidies and carbon pricing; options to limit adverse impacts on vulnerable groups; and support to develop a wellcommunicated and coordinated policy implementation with evidenced-based advocacy and outreach.

Key Actions:

Key Action Responsible DueDate Status Comments Documents
4.1 Roll-out of guide on fossil fuel reform and carbon pricing
[Added: 2022/03/31] [Last Updated: 2022/07/13]
Bureau for Policy and Programme Support 2022/12 Initiated In October 2021 SEH launched reports on FFSR and carbon pricing as a part of the Don’t Choose Extinction campaign in the the run-up to COP26. SEH will build on this work and are currently exploring concrete partnerships that can support development of tools and mechanisms to implement FFSR and carbon pricing measures. Provided here are links to reports on FFSR: https://www.undp.org/publications/fossil-fuel-subsidy-reform-lessons-and-opportunities and Carbon Pricing. https://www.undp.org/publications/guide-carbon-pricing-and-fossil-fuel-subsidy-reform History
4.2 Conduct ongoing trainings and advocacy to build government capacities to implement reforms and overcome public/political barriers
[Added: 2022/03/31]
Bureau for Policy and Programme Support Country offices 2025/12 Not Initiated
4.3 Support development of country-level communications and outreach initiatives and platforms
[Added: 2022/03/31]
Bureau for Policy and Programme Support Bureau for External Relations and Advocacy 2025/12 Not Initiated
5. Recommendation:

Recommendation 5. UNDP should review its approaches to supporting energy access in crisis and fragile settings and develop formal principles and guidelines for addressing immediate energy needs within a more comprehensive plan for recovery and green transition.

1. UNDP should design a specific action plan on how it supports energy interventions before, during and after any crisis response, and wherever possible aim to ensure that interventions expand local capacities for adopting and governing cleaner sources of energy. It should build on the experience of countries and bureaux that operate in these contexts and incorporate wider research and deep case studies of national/transnational energy contexts. The objective should be to increase the application of more advanced intervention approaches at the country level while retaining flexibility to respond to contextual differences.

2. In developing this action plan, UNDP should consider: (a) supporting governance models for energy initiatives and natural resource management; (b) the potential for supporting local supply chains through energy procurement and capacity-building; and (c) models for expanding the focus on renewables and efficiency measures during power plant rehabilitations.

Management Response: [Added: 2022/03/31]

UNDP fully accepts recommendation 5. UNDP will leverage its expertise and experience in conflict and fragile settings to ensure that its support through the Sustainable Energy Hub is context-specific and interventions are adequately and appropriately sequenced and layered with wider development and humanitarian response efforts.

Key Actions:

Key Action Responsible DueDate Status Comments Documents
5.1 Develop an action plan to close the energy access gap in fragile and crisis contexts
[Added: 2022/03/31]
Bureau for Policy and Programme Support and Crisis Bureau, in coordination with regional bureaux and country offices 2022/12 Not Initiated
5.2 Support Governments with developing national road maps for energy access and transition aligned to recovery efforts, including embedding energy access and transition into post-disaster needs assessments
[Added: 2022/03/31]
Country Offices with support from Bureau for Policy and Programme Support 2025/12 Not Initiated
5.3 Identify and publish examples/case studies of best practice and lessons learned in poor and crisis affected communities (e.g., decentralized solar solutions in Yemen and Sudan; energy for crisis recovery in Lebanon; energy transition in major oil exporting and fragile States)
[Added: 2022/03/31]
Country offices Regional bureaux Bureau for Policy and Programme Support 2025/12 Not Initiated
5.4 Develop/update operational guidelines and lessons learned for managing energy challenges in conflict or fragile settings
[Added: 2022/03/31]
Bureau for Policy and Programme Support Crisis Bureau 2025/12 Not Initiated
6. Recommendation:

Recommendation 6. UNDP should promote a greater integration of gender considerations and more targeted gender guidance for its energy programming, and move away from the assumption that women will automatically benefit if they are simply included in energy initiatives.

1. Attention is needed to move beyond the pursuit of gender parity and greater participation, to a next echelon of programming that also addresses the social norms preventing women from fully and equally benefiting from improved energy outcomes. UNDP should work towards converting energy access into real changes to women’s economic status, by adequately considering, and to the extent possible addressing, the associated social norms and impediments that limit female livelihoods and financial control and prevent women from taking full advantage of the opportunities offered by improved access to safe and clean energy.

2. Although very different intervention strategies are required to support men and women of different ages and abilities, living in different settings, UNDP should increase the level of consultation with users and ensure they are conducted by specialists with an understanding of gender aspects. This will require guidance on the minimum steps needed in each project formulation and implementation, to recognize the perspectives of men and women, and provide prompts to overcome resistance and counter false assumptions that people automatically benefit from their involvement in an energy project or within a facility that has improved electrical supply

Management Response: [Added: 2022/03/31]

UNDP fully accepts recommendation 6. UNDP has incorporated gender as a KPI for the Sustainable Energy Hub, both in terms of its own capacities, but also support to women–headed households and micro-, small and medium-sized enterprises; the access women and girls have to education, skills development and jobs in the clean energy sector; and the wider development impacts that come with the provision of clean energy, most notably in the provision of clean cooking solutions.

Key Actions:

Key Action Responsible DueDate Status Comments Documents
6.1 Develop guidance to support integration of gender-specific considerations and targets in energy project formulation and national energy plans/strategies
[Added: 2022/03/31] [Last Updated: 2022/07/13]
Bureau for Policy and Programme Support, with inputs from country offices 2023/12 Initiated SEH is finalizing recruitment of an energy and gender specialist that will spearhead gender mainstreaming across the energy portfolio. History
6.2 Conduct in partnership with internal and external gender experts, country-level consultations and capacity-building exercises to ensure greater understanding of gender aspects in energy programming
[Added: 2022/03/31]
Bureau for Policy and Programme Support, in coordination with regional bureaux and country offices 2025/12 Not Initiated
6.3 Include gender-specific data points in the UNDP Data Futures platform to track links between energy access and improved safety and economic opportunities
[Added: 2022/03/31]
Bureau for Policy and Programme Support, in coordination with regional bureaux and country offices 2025/12 Not Initiated
6.4 Ensure that gender is considered in integrated way on gender across all projects deployed and supported under the Sustainable Energy Hub
[Added: 2022/03/31]
Bureau for Policy and Programme Support 2025/12 Not Initiated
7. Recommendation:

Recommendation 7. UNDP should map where energy investments are needed, by region, to develop a holistic strategy of support to match the most appropriate funding model and resource mobilization strategy for the context.

UNDP should identify opportunities where Governments are open to new financing modalities for energy access and transformation, and seek to expand engagement with international, regional and national financial institutions to help these countries achieve their aims. UNDP, together with the international financial institutions, should classify contexts on a scale of readiness for investment and set out where and how it can help lay the governance foundations for greater investment. In this role, UNDP should emphasize poverty, productive use and equal access to energy to ensure that successful investments do not deepen inequality. Where investment finance is not feasible, UNDP should work to expand funding options through other channels such as the vertical funds, other donors and its Sustainable Development Goal bonds.

Management Response: [Added: 2022/03/31]

UNDP fully accepts recommendation 7. The strategy under the Sustainable Energy Hub will be to work with countries’ integrated national financing frameworks and nationally determined contributions as part of a “holistic strategy of support”. The solution put forward by UNDP is to promote investment in clean energy by supporting countries to access abundant, low-cost commercial capital through policy de-risking. Financial resources for clean energy are limited, while the investment needs are enormous. These public resources need to catalyse far larger private financial flows if there is to be a widespread adoption of clean energy. Recognizing that transparent, clear and long-term targets, policies and regulations are key for private sector investment, and building on its expertise, partnerships and on-the-ground network, UNDP focuses on policy de-risking to support Governments to design, implement and enforce policies and regulations. UNDP also works with financial and national partners on complementary financial de-risking and financial incentives to achieve the most cost-efficient overall approach to attracting investment.

Key Actions:

Key Action Responsible DueDate Status Comments Documents
7.3 Launch an “Energy Access Innovation Challenge” to contribute to the roll-out of new business models for distributed renewable energy solutions
[Added: 2022/03/31] [Last Updated: 2022/07/13]
Bureau for Policy and Programme Support Regional bureaux 2022/12 Initiated All the documentation for the innovation challenge has been prepared and a first edition is planned to be launched in July 2022. In addition a publication on Linking Global Finance to Small-Scale Clean Energy has recently been published: https://www.undp.org/publications/linking-global-finance-small-scale-clean-energy History
7.1 Develop, package and upgrade a series of standardized instruments for post-analysis derisking work
[Added: 2022/03/31]
Bureau for Policy and Programme Support 2025/12 Not Initiated
7.2 Build a pipeline of investment-ready projects in collaboration with key financial institutional partners
[Added: 2022/03/31]
Country offices with support from Bureau for Policy and Programme Support 2025/12 Not Initiated

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