On September 25, 2018, the Ministry of Finance Planning and Economic Development (MoFPED) and the World Bank (WB) held a one-day workshop to mark the pilot implementation of the Climate Change Budget Tagging (CCBT) system. This workshop was part of the technical assistance program provided by CAPE in response to the MoFPED's request to the NDC Partnership, and funded via NDC Support Facility (WB).
The CCBT is a system to identify and track climate-relevant public expenditures. The system will enable expenditure analysis for the Government of Uganda’s climate actions, and allow for consistent reporting by spending ministries, and budget planning. This capability will reinforce efforts to strengthen public financial management and budget planning in general, and specifically enhances the ability of the MoFPED to allocate and manage resources towards the National Climate Change Policy and Nationally Determined Contributions (NDCs).
The workshop was also an opportunity to introduce climate and disaster risk screening approaches that could further support ongoing Government efforts to mainstream climate into national development planning processes. Climate and disaster risk screening represents a proactive, structured, and systematic process for considering short- and long-term climate and disaster risks in national and sector planning, programs and investments.
The workshop was co-chaired by Ag Director Maris Wanyera of Debt and Cash Management of the (MoFPED) and Dr. Patrick Birungi, Director of Development Planning from the National Planning Authority. Opening remarks were delivered by Ag Director Wanyera.
Uganda is among other climate-vulnerable countries in sub-saharan Africa that have suffered from climate change, as unseasonable weather brought about floods and drought and subsequent hardship to communities. The Government of Uganda is a member of the NDC Partnership and has assembled a plan of action for implementing its NDCs. Among them is the enhancement of budgeting practices to firmly support NDC implementation. The Climate Action Peer Exchange (CAPE) is a program hosted by the World Bank that responded to the request for support, and over the past months developed a CCBT package consisting of a reference manual and case studies designed to operationalize CCBT. CAPE is a program dedicated to finance and planning ministries for responding to challenges of climate change.
In her opening statement, Director Maris framed climate change budget tagging (CCBT) as a critical link that bridges the gap between Uganda’s climate ambitions and the necessary financing to achieve them, and a means for the Planning Department to internalize NDCs into its work. Climate Change Budget Tagging (CCBT) is being piloted in four ministries and four Districts for the 2019/20 Budget and will be fully rolled out in all Ministries, Departments and Agencies (MDAs), and District Local Governments for the 2020/21 Budget in the next fiscal year. The Director encouraged the MDAs and District Local Governments to utilize the Climate Change Mainstreaming Guidelines, the National Indicators for climate change and the Uganda Green Growth Development Strategy which support the implementation of Uganda’s Nationally Determined Contributions.
Wei-Jen Leow of the World Bank who led the work on CCBT says: “The workshop has boosted awareness of climate expenditures and the usefulness of being able to identify and track them over the budget cycle. What is really significant is that the Ministry of Finance is championing this work, and has convened this workshop. Finance is now taking leadership on climate action and NDC matters. This is an important step forward in overcoming implementation hurdles in national climate policy.”
The workshop was timely, as it comes a few days after the first budget call circular for the 2019/20 Budget, which includes instructions for MDAs and Districts to mainstream climate change activities into their budgets. Sector submissions for the Budget Framework Paper are due by the middle of November.
The workshop was well attended by the finance planners and technical staff of the Ministry of Energy and Mineral Development, Ministry of Water and Environment, the Ministry of Public Works and Transport, the Ministry of Agriculture. Also in attendance were the District Local Governments of Gulu, Mbale, Buikwe and Kasese, as well as NGOs.
The workshop featured a presentation by the National Planning Agency on integration of climate change in Uganda’s development planning. Initial preparations are underway for the Third National Development Plan. Also on the agenda of the workshop was the broader NDC Partnership Plan, where the World Bank is set to deliver additional support in climate risk screening, and identification of climate projects. The World Bank is an active member of the NDC Partnership and a member of its Steering Committee. CAPE is among the other contributions of the World Bank to the NDC Partnership.