Climate and Water

Climate change is a top priority in the agenda of governments, donors, and IFIs. A number of multi-lateral funds have been established to finance projects aiming at climate change mitigation and adaptation. United Nations Framework Convention on Climate Change (UNFCCC) latest summit set out the pathway for the Green Climate Fund for which approximately 10 billion dollars are allocated by various contributing countries. Recent literature and our own meetings with stakeholders showed that there are sufficient funds available, but often the capacity to generate implementable and financeable projects are key issues.

Combining water with other functions
Often Master Plans or individual projects are developed such as traditional dykes or other water safety infrastructure  which need large amounts of public funding. In our experience often smaller scale or different scope solutions are possible,  which offers more possibilities for viable business case including possibilities  to attract private finance. Examples are water safety infrastructure,  in combination with land development or tourism,  and recreation facilities or small scale tailored solutions,  combined with urban functions. Especially cities in developing countries often offer have potential to combine climate resiliency with profitable developments.

Our approach
Our recent experience in developing climate adaptation strategies for cities and regions, selecting promising projects, and developing these projects into bankable projects, showed that this is possible. We have been working on climate change projects in Bangladesh, Indonesia, Vietnam, Turkey, Romania and the Netherlands. Our clients were KfW, EBRD, Partners for Water (Dutch Ministries), EKN (Dutch Embassies), European Commission, EIB, etc. In many of these projects we have used an integrated holistic approach consisting of:

• Developing a climate adaptation strategy. We undertake a vulnerability analysis for climate events of the geographical areas. This approach includes a scenario and risk modelling methodology in a participatory approach with the relevant stakeholders;
• Part of the strategy formulation is the creation of policy packages by selection of the most promising potential climate adaptation measures. We do this by 1) assessing all relevant costs and impacts (in an innovative cost-benefit analysis framework,  based upon spatial vulnerability analysis), 2) exploring a potential business case by tweaking the measures in a different way and 3) undertaking institutional feasibility analysis & fund or donor potential analysis in close dialogue with the relevant stakeholders;
• Developing the most promising packages of measures into feasible and bankable projects by optimization of projects, conducting the feasibility study and developing the business case.  

Ecorys team
Our team consists of a combination of international and local experts with expertise in climate change, water, regional & urban development and project finance. Many of us have worked in various climate adaptation and water related assignments in climate event prone countries. Apart from the international and local expertise,  our team has a wide range of skills such as scenario and risk modelling, vulnerability analysis, cost-benefit analysis, and financial modelling &  project finance. The water and regional economics sector combines the expertise in climate change with knowledge of region and city development. 

Our services
We offer the following services in the field of climate adaptation:
• Developing client resilience strategies for cities and regions in Deltas;
• Scenario analysis and climate risk analysis for cities and regions;
• Vulnerability analysis of cities and regions for climate events;
• Measure selection and optimization with tools such as Cost-Benefit Analysis, Multi-Criteria Analysis or cost-effectiveness analysis and stakeholder participation;
• Institutional readiness assessment for climate measure implementation;
• Funding options assessment;
• Business case development and financing of adaptation measures;

Our experience
We have been applying our services in a range of projects in various countries, some of them are listed below:
• Delta Plan 2100 Bangladesh, a flood safety strategy for Bangladesh, funded by the Dutch Embassy (EKN);
• Master Plan Coastal development Jakarta, a Cost Benefit Analysis and subsequently the business case and PPP & financing options for flood safety for Jakarta Indonesia, funded by Partners for Water (Dutch Government);
• Vulnerability analysis Barisal Bangladesh, a vulnerability analysis, climate adaptation resilient city strategy and feasibility study towards financeable projects, with Swiss Re on behalf of Kredietanstalt fur
Wiederaufbau (KfW);
• Moving towards the Sea with Climate Change Adaptation, a climate adaptation strategy for Ho Chi Minh City in Vietnam; funded by the Dutch Government