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PAs/Regions

• Region 4B/Tubbataha Reefs Natural Park (TRNP)

Region 4B/Apo Reef Natural Park (ARNP)

Region 5/Bongsanglay Natural Park (BNP)

Region 7/Balinsasayao Twin Lakes Natural Park (BTLNP)

Region 8/Samar Island Natural Park (SINP)

Region 4A/Mount Makiling Forest Reserve (MMFR)


Region 4B/Mounts Iglit-Baco Natural Park (MIBNP)

Region 10/Mount Kitanglad Range Natural Park (MKRNP)

Region 10/Mount Malindang Range Natural Park (MMRNP)

Region 10/Mount Timpoong and Hibok-hibok Natural

• Monument (MTHNM)

Region 11-12/Mount Apo Natural Park (MANP)

Region 11-12/Mount Hamiguitan Range Wildlife Sanctuary


(MHRWS)

Region 13/Agusan Marsh Wildlife Sanctuary (AMWS



























Senior EMS, PA Community Mgt & Sustainable Financing Section,
National Parks Division
Biodiversity Management Bureau
PA Management Plan
➢ shall serve as the basic long-term framework plan for the protected area and guide in the
preparation of its annual operations plan and budget

Section 9 of the NIPAS Act, as amended


Rule 9.1 (item 8), DAO 2019-05
a) Key features or values of the protected area shall be identified to serve as
primary basis for management interventions;

b) The management objectives shall be formulated based on the designated


category of the protected area;

c) Implementation of Initial PA Plan and/or the precursor management plan


shall be assessed;

d) Primary and secondary information for the last five to ten years shall be
collected and used in baselining and monitoring;
e) The management plan shall be integrated in the Comprehensive Land Use
Plan (CLUP) of LG Us and Ancestral Domain Sustainable Development and
Protection Plan of the concerned IP groups;

f) Stakeholders and their roles in the management of protected area shall be


identified and analysed; and

g) The Management Plan shall be flexible to cater to unforeseen events which


might arise within its duration.
Organizing the Identifying stakeholders Data inventory and Analysis of
Protected Area and designing information collection management
Management participation strategies situation
Planning team

Charting the Drafting the Finalization, Review and updating of


management Management Plan endorsement and the Management Plan
direction approval of the
Financial Plan
Management Plan
Implementation Plan

M & E Plan
Other plan components
Identifying stakeholders Data inventory and
Organizing and designing information collection
Analysis of
management
the Protected participation strategies situation
Area
Management
Planning team

Charting the Drafting the Finalization, Review and updating of


management Management Plan endorsement and the Management Plan
direction approval of the
Financial Plan
Management Plan
Implementation Plan

M & E Plan
Other plan components
Organizing the Identifying Data inventory and Analysis of
Protected Area stakeholders and information collection management
Management situation
designing
Planning team
participation
strategies

Charting the Drafting the Finalization, Review and updating of


management Management Plan endorsement and the Management Plan
direction approval of the
Financial Plan
Management Plan
Implementation Plan

M & E Plan
Other plan components
Organizing the Identifying stakeholders Data inventory Analysis of
Protected Area and designing management
Management participation strategies and information situation
Planning team collection

Charting the Drafting the Finalization, Review and updating of


management Management Plan endorsement and the Management Plan
direction approval of the
Financial Plan
Management Plan
Implementation Plan

M & E Plan
Other plan components
Organizing the Identifying stakeholders Data inventory and Analysis of
Protected Area and designing information collection
Management participation strategies management
Planning team situation

Charting the Drafting the Finalization, Review and updating of


management Management Plan endorsement and the Management Plan
direction approval of the
Financial Plan
Management Plan
Implementation Plan

M & E Plan
Other plan components
Organizing the Identifying stakeholders Data inventory and Analysis of
Protected Area and designing information collection management
Management participation strategies situation
Planning team

Drafting the Finalization, Review and updating of


Charting the Management Plan endorsement and the Management Plan
management Financial Plan
approval of the
direction Management Plan
Implementation Plan

M & E Plan
Other plan components
Organizing the Identifying stakeholders Data inventory and Analysis of
Protected Area and designing information collection management
Management participation strategies situation
Planning team

Charting the Drafting the Finalization, Review and updating of


management Management Plan endorsement and the Management Plan
approval of the
direction Financial Plan
Management Plan
Implementation Plan

M & E Plan
Other plan components
Organizing the Identifying stakeholders Data inventory and Analysis of
Protected Area and designing information collection management
Management participation strategies situation
Planning team

Charting the Drafting the Finalization, Review and


management Management Plan updating of the
endorsement and
direction Financial Plan Management Plan
approval of the
Implementation Plan Management Plan
M & E Plan
Other plan components
PAMB adopts and
endorse the PAMP
through a Resolution

Regional Office reviews


the PAMP and endorses
the same to the BMB

BMB reviews the PAMP


and endorses the Plan to
the DENR Secretary

DENR Secretary affirms


the PAMP
Management Zoning
Management zoning is the central strategy in PA management. It is Based on the
assessments of biophysical, socio-economic, cultural, and threats and values, among
others. PAs are divided into:
a) Strict Protection Zone
b) Multiple-Use Zones
Management Programs
The management programs, interventions, and activities in a
particularly area are based on management zone.
Management Programs
The management programs, interventions, projects, and activities
in a particularly area are dependent on its particular management
zone. It should address issues and concerns, threats and constraints.
- resource management
- law enforcement and protection
- Livelihood
- climate change mitigation and adaptation
- sustainable financing
- research and development, among others
Financial Plan
The management plan shall include the necessary investment requirements for its
implementation. It shall identify:
a) Financial needs (now and long-term)
b) “goods and services” produced by the PA
c) Economic value of these products
d) Potential “customers”
The total should be analyzed in relation to resource
allocation
BMB Technical Bulletin No. 2016-08: Clarifying the PA Management Planning
Process and Providing the Annotated Outline for PA Management Plans
Financial Plan
IDENTIFYING NEW SOURCES OF FORMULATION OF THE
REVENUE 1) PES, 2) Fines and FINANCIAL PLAN
Charges, 3) Enterprise dev., 4
User fees, 5) PPP

OUTREACH AND COMMUNICATION


IDENTIFICATION OF SPECIFIC - GAA
FINANCING NEEDS (thru 2 3 - Partnership
Activity-Based Cost - Investment forum
Accounting)
1 Financial 4
Plan
Logical Framework
is a conceptual and analytical tool for undertaking sector analysis, project planning,
and project management.
➢ it provides overview of the key components of a project
in a clear, concise, logical and systematic manner
➢ provides information on the objectives, activities,
and resources as well as external elements
(assumptions) that may influence the project provides
how the project will be monitored (indicators )
Goals
Main or overall objectives that the protected area are expected to achieve over a
period of time
➢ Long-term Goal – refers to the vision identified in
the PA management plan
➢ Short-term Goal – refers to the objectives: What is
expected to achieve within a timeframe
Activities
Actions performed that contribute to the achievement of the specific management
focus by mobilizing intervention’s inputs

Inputs
Resources (human, financial and material) used for
undertaking activities
Indicators
Performance standards to be reached in order to achieve targets at various levels
(management focus, short-term and long -term goals)

Means of Verification
Expected source(s) of information that can help
answer the indicators
External Assumptions
Events or conditions which are necessary for the PA success but
which is largely or completely beyond the control of PA management
Ecotourism Management Plan

Community Management/Resettlement Plan

Human Resource

Linkaging and institutional arrangements


Presentation Outline

➢ Background on Biodiversity Financing


➢ Integrated Protected Area Fund (IPAF)
• Legal Basis
• General Considerations
• Relevant Policy Issuances
➢ Wildlife Management Fund (WMF)
• Legal Basis
• General Considerations
• BMB Technical Bulletin No. 2017-16
PHILIPPINE BIODIVERSITY
STRATEGY AND ACTION PLAN
2015-2028
Country’s roadmap to conserve
its biodiversity

VISION
“By 2028, biodiversity is restored and
rehabilitated, valued, effectively managed
and secured, maintaining ecosystem
services to sustain healthy, resilient Filipino
communities and delivering benefits to all”
Financing Biodiversity Conservation
Programs in the Philippines

Main Sources

➢ Government ➢ Emerging/innovative financing


• National schemes
• Local
• Payment for Environmental Services
• Special Funds (PES)
• Corporate Social Responsibility (CSR)
➢ Official Development Assistance (ODA) • Volunteer resources
• Loans
• Grants
• Small grants
Financing Biodiversity Conservation
Programs in the Philippines
Financial Sustainability

Identified as one of the major barriers to effective Protected Area (PA)


management

These include:
➢ Inadequate systems for financial planning
➢ Budgetary management and;
➢ Revenue generation
WHAT IS IPAF?

Trust fund established for purposes of


financing projects and sustaining the
operation of the PAs and the System

Tubbataha Reefs NP
edgedavao.net
Legal Bases

SEC 16 of RA 7586 as amended by RA 11038

Expanded National Integrated Protected Areas System


(E-NIPAS) Act of 2018

DAO 2019-05

Implementing Rules and Regulation of E-NIPAS


Act of 2018
Legal Bases

Integrated Protected Area Fund (IPAF)

Created pursuant to Sec. 16 of the National Integrated


Protected Areas System (NIPAS) Act which serves as the
main funding vehicle for PA management

3 Main Problems of IPAF


➢the incentives for local PA managers
➢the source of funds for the IPAF and;
➢the use of funds from the IPAF
Legal Bases

Amendments in IPAF Management

➢ 1996-2013
100% of PA proceeds were required to be deposited with the National Treasury
➢ RA 10629 of 2013 remedied limitations on fund accessibility of Pas
(Management Boards)
General Considerations
RULE 16.1: Accrual and Allocation of Revenues of Protected Area

REVENUE SOURCES

Income Generated from the Operation and Management


of the PA Picnic Sheds

➢ Fees and charges from the use of resources and


facilities of PAs
➢ Contribution from industries and facilities directly
benefiting from the PA
➢ All other fees and income derived from operations of
the PA.
✓ Revenues generated from PA operation & management
shall accrue to the IPAF
General Considerations
RULE 16.1: Accrual and Allocation of Revenues of Protected Area

✓ Retention by the PAMB of 75% of PA income


➢ PA-Retained Income Account (RIA)
• account each PA shall establish and maintain with an AGDB for the
75% of income from operations
• (Rule 16.1.b). shall be used solely for the protection, maintenance,
administration, and management of the PA, and the
implementation of duly approved projects of the PAMB
• treated as Off-Budget

Rule 16.3 Voluntary or legislated payments for ecosystem goods and services including
fines, penalties, and compensation for damages from protected area offenses shall
accrue fully to the PA-RIA, and shall be managed by the PAMB.
General Considerations
RULE 16.1: Accrual and Allocation of Revenues of Protected Area
Rule 16.1.c. The remaining 25% of revenues shall be deposited as a Special Account in the
General Fund (SAGF) of the National Treasury for purposes of financing the projects of the
System.

➢ IPAF Special Account in the General Fund (IPAF-SAGF)


• existing account with the BTr consisting of the following:
a. 25% of the income of PAs deposited in the BTr
designated clearing account maintained with the AGDB
b. PA income remitted prior to effectivity of DBM-DENR JC
No. 2014-01 which is November 14, 2014
• treated as the earmarked revenue in the BESF
Rule 16.1.d. Funds directly coming from the LGUs shall be excluded from the SAGF.
General Considerations
RULE 16.2: Other Revenue Sources

❖ includes all grants, donations, and endowment, from various


sources received by the PA except for LGU contribution

❖ shall be deposited in full as Trust Receipt in a special account


in the National Treasury

❖ to be used for the purpose specified in the deeds and


instruments covering them
General Considerations
RULE 16.2: Other Revenue Sources

➢ PA-Trust Receipts
• account each PA shall maintain with BTr for all cash revenues
from other sources such as donations, grants and
endowments
• two types of donations, namely:
(a)with one-year term
(b)with term exceeding one-year
• treated as Trust Receipts and shall be deposited in full with
the BTr pursuant to the Annual GAA
General Considerations
RULE 16.5: Reportorial Requirements

The DENR shall submit to the DOF and DBM quarterly reports
on the financial and physical accomplishments on the
utilization of the IPAF and other documents as may be
required by the DBM, and shall furnish a copy of the same to
the House Committee on Appropriations and the Senate
Committee on Finance.

freepik.com/
Key Points

• The use of revenues shall be limited to income earned on accrual basis. Only earned or
realized income shall be made available for utilization. Advanced collections or
payments received shall be treated as deferred revenue or unearned income. This is to
provide for any contingent liability that may arise from such advanced collection.

• The IPAF shall be used to cover MOOE and CO requirement of the PA not funded under
GAA. The same cannot be used to cover Personnel Services.
Other Considerations

Penalty Clause

Failure to comply with any of the foregoing shall result in the


automatic suspension of the salaries of the responsible officials
and/or employees until they have complied with the above
requirements pursuant to Section 57, Book VI of EO No. 292
Other Considerations

Tax Exemption

All grants, bequests and endowments, donations and


contributions made to the protected area fund are
exempted from donor’s tax and considered as allowable
deduction from the gross income.

Rule 16-A. Donations shall not circumvent the payment of fees, fines, penalties,
damages, rehabilitation costs, and other legally imposed charges or be received in
lieu of bonds prescribed by the ENIPAS Act or the IRR.
Other Considerations

SEC. 26: LGUs

… LGUs may appropriate portions of their share from


the annual internal revenue allotment and other
income for use of the protected area.

Provided, that all funds directly coming from the LGUs shall be
exempted from the (25%) remittance requirement for the IPAF under
Section 16 hereof.
Other Considerations

SEC. 26: LGUs

➢ LGUs shall continue to impose and collect other fees not


enumerated under Section 16 hereof which they have traditionally
collected, such as business permits and rentals of LGU facilities.

➢ Provided, that the LGUs shall not impose property tax on


properties owned by the government nor issue any tax
declaration for areas covered by the PA.

➢ LGUs may charge add-ons to fees imposed by the PAMB: provided,


that such add-ons shall be based on the contribution of the LGUs freepik.com/

in the maintenance and protection of the PA.


Responsible and Accountable Offices

Protected Area Office (PAMO/PASu)


primary responsible office for IPAF revenue generation and utilization

Provincial Environment and Natural Resource Office (PENRO) –


overall responsibility on planning and financial management of the IPAF for
the PAs under their jurisdiction

Protected Area Management Board (PAMB)


responsible for developing and pursuing a long term PAMP and annual
implementation plan

DENR Regional Office (RO)


overall responsibility on fiscal management of the IPAF, to ensure that the
expenditures deliver the outcomes desired on a per PA as well as regional
perspective
Responsible and Accountable Offices

Biodiversity Management Bureau (BMB)


oversees the management and administration of the NIPAS; monitors the
management of the IPAF to sustain financing of programs and projects of the
protected areas; responsible for strengthening the NIPAS as a System by extending
the needed assistance, e.g. issuing guidelines, building capability and other support

DENR Central Office (CO)


➢ Financial and Management Service (FMS)
provide technical support related to financial management of the IPAF

➢ Policy and Planning Service


issue planning guidelines; review WFPs; submit physical report of operation
to DBM
Responsible and Accountable Offices
Bureau of Treasury (BTr)
receive through AGDBs the daily List of Deposited Collections; issue authority to open
bank accounts under IPAF; verify/validate deposited collections and issue certification of
deposits; maintain clearing accounts and Subsidiary Ledgers of accounts for each
PENRO or DENR-RO

Department of Budget and Management (DBM)


issue SARO/NCA of operational expenses of the PA; approve/recommend authority to
purchase motor vehicles; ensure inclusion in the GAA of special provision for the IPAF

Authorized Government Depository Bank (AGDB)


ensure compliance with BSP guidelines in the opening of accounts by government
agencies; open commercial current account for PA-RIA upon request of the concerned
RO/PENRO; credit to the account of the BTr quarterly interest earned in the PA-RIA;
submit daily List of Deposited Collections

Commission on Audit (COA)


conducts audit of collections, deposits, disbursements and financial reports
Relevant Policy Issuances

BMB Technical Bulletin No. 2019-02


Adopting the Manual on the Establishment and
Management of the Integrated Protected Area Fund
(IPAF)
➢ Guide for officers and personnel involved in managing PAs
under the supervision of the DENR and the PAMBs
➢ Provides the complete processes and procedures for
managing the IPAF from collection, deposit, recording,
utilization/disbursements and reporting of revenues for the
guidance of the concerned field offices
Relevant Policy Issuances

DENR ADMINISTRATIVE ORDER NO. 2016-24:


Revised Rates of Fees for Entrance and Use of Facilities and
Resources in Protected Areas, Amending DAO 1993-47

DENR ADMINISTRATIVE ORDER NO. 2000-51


Guidelines and Principle In Determining Fees for Access to and
Sustainable Use of Resources in Protected Areas
Relevant Policy Issuances
➢ Sec. 10.d of RA 7586 or the NIPAS Act, as amended
Determine a system-wide set of fees and charges to ensure
sustainable financing of protected areas and the System

➢ Sec. 11.a (g) of RA 7586, as amended


Set fees and charges in accordance with existing guidelines

➢ DAO 2000-51
Guidelines and Principles in Determining Fees for Access to
and Sustainable Use of Resources in Protected Areas
Relevant Policy Issuances

Types of Fees
Entrance Fees – fees to enter in a protected area for
purposes of:
• sight-seeing in designated visitor areas, Entrance Gate
• amateur videography and photography
• use of common facilities i.e. comfort room, visitor
center, view deck

Collected revenues shall cover, as much as possible, a


proportionate amount of all costs incurred in Comfort Room View Deck
protecting, maintaining and enhancing the natural
attractions of the protected area.
Relevant Policy Issuances

Types of Fees

Facilities User Fees – fees for the use of protected area man-made facilities in designated
visitor areas.

Collection of fees shall cover, as much as possible, a proportionate amount of all costs
incurred in building and maintaining the man-made facilities in the protected area

Training Center Cottage


Picnic Sheds
Relevant Policy Issuances

Types of Fees

Fees for Recreational Activities in Designated Visitor Areas - fees for


the conduct of certain recreational activities i.e. water-based activities
(swimming, snorkeling); hiking, and biking in designated areas
Relevant Policy Issuances

Types of Fees

Concession Fees - fees for the use of land or


other resources for the privilege of
undertaking micro and cottage-scale
development for a specified period of time
and for a specified nature of development.
Photo booth

Food kiosks
Garden shows/bazaars
Relevant Policy Issuances

Types of Fees

Development Fees- fees for the use of land


or other resources for the privilege of
undertaking small., medium and other
bigger scale development in protected
areas to the extent as may be allowed by
PAMB and in accordance with the
Management Plan for a specified period of
time and for a specific nature of
development
kidsdiscover.com

Unsplash.com
Relevant Policy Issuances

Types of Fees

Royalty Fees – fees paid based on the gross


output value or gross sales from products
out of resources derived from a protected
area
plantcelltechnology.com

exploreim.ucla.edu

pharmaceutical-journal.com
Relevant Policy Issuances
BMB TECHNICAL BULLETIN NO. 2017-12
Clarifying the Revenue-Sharing Scheme between PAMBs and LGUs
with Investments in Protected Areas

➢ The LGUs shall be considered as partner in the management of


protected areas
➢ Contributions may include construction/ installation of
facilities such as:
• Trails
• Pavilion
• Water System
• Multi-purpose hall
• Power System
• Picnic Sheds
• Others
• Cottages
Relevant Policy Issuances
➢ A mutually acceptable revenue sharing allocation between the PAMB
and LGU may be set out in a MOA.
➢ The allocation shall be fixed in the amount that may allow the LGU to
recover its investment, on terms agreed by both parties, and based on
the actual cost of the construction of the facility/ies.
➢ The allocation shall take into account the costs of management,
protection, and maintenance of the facilities, which, in the absence of
any agreement to the contrary, shall be for the account of the PAMB.
Relevant Policy Issuances
➢ A Special Collection Officer for the PA designated by the DENR
shall collect entrance fee and all other fees except for the use
of LGU installed facilities for the duration of the MOA.
➢ Upon the expiration of the term of the MOA, all revenues
shall accrue only to the IPAF for the exclusive use of the PA.

➢ Any LGU may voluntarily waive its right to recover its


investments and donate the facilities, without prejudice to
certain privileges that it may enjoy out of its investment.
Such waiver and/or donation shall be in writing.
Other Policy Issuances

REPUBLIC ACT NO. 10629


An Act Providing for the Retention by the PAMB of 75% of the Revenues Accruing
to the IPAF, amending for the Purpose Section 16 of RA 7586, otherwise known
as the NIPAS Act of 1992”

JOINT DBM-DENR CIRCULAR NO. 2014-01


Implementing Guidelines of RA 10629

BMB TECHNICAL BULLETIN NO. 2016-02


Allocation Criteria for the Disbursement of Funds from the Integrated Protected
Area Fund – Special Account in the General Fund (IPAF-SAGF)
freepik.com/
WILDLIFE
MANAGEMENT
FUND
(WMF)

Photos courtesy of freepik.com/


WHAT IS WMF?

Special account for the finance, rehabilitation


or restoration of habitats affected by acts
committed in violation of the Wildlife Act and
in support of scientific research, enforcement
and monitoring, and capability enhancement
activities of relevant agencies.
Legal Bases

SEC 29 of RA 9147

Wildlife Resources Conservation and Protection Act

Joint DENR-DA-PCSD AO No. 1, Series 2004

Implementing Rules and Regulations of the Wildlife Act

DENR AO No. 2004-55


DENR Streamlining/Procedural Guidelines pursuant to the Joint
DENR-DA-PCSD AO No. 1
General Considerations
Establishment and Administration of WMF

Rule 29.1 WMF shall each be established by DENR, DA and PCSD


pursuant to Sec. 29 of RA 9147

Rule 29.2 It hall be used to finance their respective activities provided


that funds generated from the use of wildlife resources within PAs
shall accrue to the IPAF

Rule 29.4 Contributions exempted from donor taxes, and all


other taxes, charges or fees
Relevant Policy Issuance

BMB TECHNICAL BULLETIN NO. 2017-16


Information on Wildlife Management Fund (FUND 151) and
Requirements for Special Budget Request for the Use of the Fund

➢ Seeks to ensure orderly and systematic submission of documentary


requirements to support Special Budget Requests for use of WMF
➢ Fund 151
• Special account in the General Fund (under GAA) established by the DBM
• Shall be used to record WMF remittances to the BTr through the AGDB
General Considerations

SOURCES OF THE FUND

➢ Fees collected from the processing and issuance of wildlife


permits/certifications and associated services as follows:
• Local Transport Permit
• Export/Re-export/Import Permit/Certifications
• Re-issuance fee for CITES/Non-CITES permit
• Zoological/botanical garden fee
• Wildlife Farm Permit
• Wildlife Collector’s Permit
• Gratuitous Permit
• Wildlife inspection and registration fees
General Considerations

SOURCES OF THE FUND

➢ Charges for the collection/use of wildlife under a valid Wildlife


Collector’s Permit and Wildlife Special Use Permit

➢ Other Sources
• Fines imposed and damages awarded
• Donations
• Endowments
• Grants in the form of contributions (tax-exempt)
General Considerations
Activities that can be Funded by the WMF

➢ Strengthening of wildlife enforcement and trade monitoring activities


➢ Monitoring of wildlife health in relation to public health
➢ Wildlife species conservation programs/projects (both in-situ and ex-situ)
➢ Conduct of or support of scientific studies on wildlife in aid of policy
development
➢ Enhancement of capabilities of relevant agencies
➢ CEPA in biodiversity conservation
➢ Investment activities for the conservation, protection, development and
management of wildlife and its habitats or to promote sustainable
resource use
➢ Other activities related to the foregoing
General Considerations
Special Budget Request

➢ Amount of annual budget request of the RO should be within the total amount
of WMF generated by the Region and deposited at Fund 151.

➢ BMB may assist the Region/s or no WMF based on the merits of their
proposals and available funds.

➢ Prioritize requirements that could not be funded through regular funds


Process for Availing WMF
BMB shall review,
RO shall submit proposed WFP consolidate and
BMB shall send copy of
(for next year) to DENR-CO integrate proposals in approved national WFP to ROs
through BMB by 15 Nov. the national WFP and by 15 Feb.
submit to DENR-CO
by 30 Nov.

Upon receipt of SARO & NCA, BMB to review ROs to submit to


BMB/RO (Finance Div.) to completeness of docs. and DENR-CO through
record these in their
endorse to DBM through BMB supporting
Registries and Book of
DENR-CO by 25 Mar. documents by 28 Feb.
Accounts

ROs shall submit


quarterly reports to
BMB by the end of
each quarter
Thank you Finance is not merely about making money.
It’s about achieving our deep goals and

for listening!
protecting the fruits of our labor. It’s about
stewardship and, therefore, about achieving
the good society.

Robert J. Shiller
Full Project Title Biodiversity Finance Initiative (BIOFIN)
Development Partner United Nations Development Programme
Project Cost USD 2.15 million
Project Sites LGUs of Mindoro Occidental, Negros Oriental, Negros Occidental,
Cebu; DENR Regions 3, 4A , 6, 7, 9 & 12
Duration June 2018 to December 2022
Time elapsed (as of November 2020): 30 months (55%)
Remaining months: 25 months (45%)
Implementing Agency Biodiversity Management Bureau, Department of Environment and
Natural Resources
Target Beneficiaries LGUs, DENR Regional Offices, Non-Government Organizations
(NGOs), and Peoples’ Organizations (POs)
WHAT IS BIOFIN?

BIODIVERSITY FINANCE INITIATIVE


Developed in response to the 10th Conference of the Parties (COP-10)
of the Convention on Biological Diversity (CBD) which identified the
need for better information on current expenditures and financing
needs, and for a comprehensive methodology to develop resource
mobilization strategies

Aichi Target 20
Resource mobilization for NBSAP
Kalibasib, the last surviving tamaraw at the Tamaraw Gene Pool implementation
Photo by: Gab Mejia, 2018 BioCamper
BIOFIN Countries

36

Bhutan
There is an 80% financing gap for
the Philippine Biodiversity
Strategy and Action Plan (PBSAP)
implementation.
Cost of implementing PBSAP
PHP 24 billion/yr

Estimated expenditures
PHP 5 billion/yr

1 2 3 4 5 6
Mobilize further Realigning existing Preventing future costs Improving delivery of
resources resources existing finance
Finance Solutions
-DENR bureaus
- Budgets for DENR - LGU budgets
-Other NGAs
Regional - Environmental
-Alignment of
biodiversity fee system
environmental
programs - Improving
trust funds with
access ER 1-94
the PBSAP Developing an
Mainstreaming Investment Support to Policy
Improved BD
BD in DENR Mainstreaming 1. Draft DAO integrating
Expenditure Program for PAs Studies
PUBLIC Regional BD in LGUs biodiversity conservation in
Reporting
Programs
1. BD as a criteria in the
SECTOR mining and
Increasing SGLG
2. Private sector engagement
investments in 2. Creation of a new
3. Mainstreaming BD in
PAs conservation trust fund
PRIVATE Public Infrastructure and
Involving the
3. Scoping study on impact Energy sectors
Involving the
SECTOR citizenry private sector Year of the investment 4. ASEAN Inter-Parliamentary
Protected Areas Alliance on Biodiversity
(YoPA) Campaign
- Crowdfunding
- Report in private
- Sales from gaming
sector investment
application &
(CSR)
peripherals
- Policy in PPP for
Protected Areas
Sec. 39 of 2020 General Appropriations
Act (Protection of Biodiversity)

All agencies of the government shall


ensure that protection of biological
diversity is integrated and mainstreamed
into their development programs and
projects.
Tagging biodiversity expenditures (2014-2018)
%
Total average biodiversity-
Total average appropriations​ biodiversity ap
relevant appropriations​
propriations​
DENR 5,294,034,214 1,297,072,591 24.50
DA 17,843,625,500 6,878,360,150 38.55
OTHER NGAs 1,250,339,228,296 1,965,807,090 0.16
TOTAL 1,273,476,888,010 10,141,239,831 0.80

• Opportunity to raise awareness on biodiversity conservation


• Opportunity to identify national government programs where biodiversity can be highlighted
• Other NGAs with significant biodiversity programs: DAR, DILG, DOT, DPWH, DSWD and PCARRD
Expenditure tagging among other national government agencies
and state colleges and universities
MAINSTREAMING
BIODIVERSITY IN THE
DENR REGIONAL
PROGRAMS
(Regions Calabarzon, 6, 7, 9, 12, Aurora
Province)
Mainstreaming biodiversity
in local government units
• Align LGU programs to PBSAP
targets
• Pilot provinces are Cebu, Negros
Oriental, Negros Occidental
• Pilot municipality is Sablayan,
Occidental Mindoro
• PhP63M allocated by Negros
provinces in 2019
Liquiddruid.wordpress.com www.whatsnewph.com

Mt. Iglit-Baco National Park, Mindoro Mt. Kitanglad, Bukidnon


• All protected areas to receive sufficient funding from government budget for
recurrent and capital expenses based on a long term management plan
• 2020 GAA allocation – PhP2B
• PhP3.4 B required to
implement ENIPAS in
2020
• PhP1.3B was included
in the NEP
• PhP1.9B proposed to
be sourced from 2018
government savings
through a manifesto
to the Speaker and
PRRD from Congress

Legislators’ Forum, September 10, 2019


Visit the Philippines

National Geographic
Mt. Apo National Park, Davao
Tubbataha Reef Marine Park, Palawan

Objectives: To raise awareness on the ecological and economic values of protected areas
To establish partnerships (i.e. private sector)
To increase visitor arrivals (local and foreign) in protected areas
To increase revenues of selected PAs
GAME
OVERVIEW

• Name: Animal Town


• Genre: Casual, Idle
• Monetization: F2P –
Ads – IAPs
• Platform: Mobile
(android and iOS)
Crowdfunding
Studies
Studies

• Proposed inclusion of biodiversity as a criterion in the Seal of Good Local


Governance
Support to Polices
• Draft DENR DAO on integrating biodiversity in
mining
• Private sector engagement
• Greening public infrastructure
• Support to ASEAN Inter-Parliamentary
Alliance (Committee on Biodiversity)











PROTECTED AREA FINANCE PLAN (PAFP)
PREPARATION

STAGE 1 STAGE 2 STAGE 3 STAGE 4 STAGE 5

Preparation Establishment of Specifying finance Investment Writing the PAFP


baseline and solutions programming and
planning context business case
planning
PROTECTED AREA FINANCE PLAN (PAFP)
PREPARATION

STAGE 1 STAGE 2 STAGE 3 STAGE 4 STAGE 5

Preparation Establishment of Specifying finance Investment Writing the PAFP


baseline and solutions programming and
planning context business case
planning
PROTECTED AREA FINANCE PLAN (PAFP) PROCESS

Obtain approval for PAFP Preparation


STAGE 1 -
PREPARATION

Organize PAFP Planning Structure

Conduct Kick-off Meeting of the Planning


Team

Conduct of Orientation of the TWG


STAGE 2 – Conduct Policy and Institutional Review
ESTABLISHMENT OF (PIR)

BASELINE AND Stakeholders Workshop 1


PLANNING CONTEXT
Conduct Biodiversity Conduct Financial Needs
Expenditure Review (BER) Assessment (FNA)

Stakeholders Workshop 2

Identify, review, and screen potential


STAGE 3 – finance solutions
SPECIFYING
FINANCE
SOLUTIONS Select preferred finance solutions

Develop financial projections for preferred


financial solutions
Stakeholders Workshop 3
STAGE 4 –
Prepare PA-Investment Program
INVESTMENT
PROGRAMMING
AND BUSINESS CASE
PLANNING Prepare Business Case Plan for selected
finance solutions

STAGE 5 – WRITING Write the draft PAFP


THE PA FINANCE
PLAN
Stakeholders Workshop 4

Prepare the Final PAFP






















































PROTECTED AREA FINANCE PLAN (PAFP)
PREPARATION

STAGE 1 STAGE 2 STAGE 3 STAGE 4 STAGE 5

Preparation Establishment of Specifying finance Investment Writing the PAFP


baseline and solutions programming and
planning context business case
planning
PROTECTED AREA FINANCE PLAN (PAFP)
PREPARATION

STAGE 1 STAGE 2 STAGE 3 STAGE 4 STAGE 5

Preparation Establishment of Specifying finance Investment Writing the PAFP


baseline and solutions programming and
planning context business case
planning
PROTECTED AREA FINANCE PLAN (PAFP) PROCESS

Obtain approval for PAFP Preparation


STAGE 1 -
PREPARATION

Organize PAFP Planning Structure

Conduct Kick-off Meeting of the Planning


Team

Conduct of Orientation of the TWG


STAGE 2 – Conduct Policy and Institutional Review
ESTABLISHMENT OF (PIR)

BASELINE AND Stakeholders Workshop 1


PLANNING CONTEXT
Conduct Biodiversity Conduct Financial Needs
Expenditure Review (BER) Assessment (FNA)

Stakeholders Workshop 2

Identify, review, and screen potential


STAGE 3 – finance solutions
SPECIFYING
FINANCE
SOLUTIONS Select preferred finance solutions

Develop financial projections for preferred


financial solutions
Stakeholders Workshop 3
STAGE 4 –
Prepare PA-Investment Program
INVESTMENT
PROGRAMMING
AND BUSINESS CASE
PLANNING Prepare Business Case Plan for selected
finance solutions

STAGE 5 – WRITING Write the draft PAFP


THE PA FINANCE
PLAN
Stakeholders Workshop 4

Prepare the Final PAFP











• • •

• •

• •

• • •

• •


PA PBSAP Outcomes/Results
Success
Outcome Outcome Outcome Outcome Outcome Outcome Outcome Outcome Outcome..
Indicators
1 2 3 4 5 6 7 8 n
(OVIs)

(S) when success indicator directly supports the particular PBSAP Outcome/Results
(X) when success indicators are in conflict or contradictory
(O) when no apparent connection exists between the success indicators and the PBSAPOutcome/Results
PA SDGs
Success
SDG 1 SDG 2 SDG 3 SDG 4 SDG 5 SDG 6 SDG 7 SDG 8 SDG9...17
Indicators
(OVIs)

(S) when success indicator directly supports the particular PBSAP Outcome/Results
(X) when success indicators are in conflict or contradictory
(O) when no apparent connection exists between the success indicators and the PBSAP Outcome/Results





❖Do the same analysis for the higher level plans (e.g, Phil. Devt. Plan,
RPFP, RDP, PDPFP)








• • • • •


Source: Mercado, D. 2016. Compilation and synthesis of valuation studies on Philippine Biodiversity. Report submitted to BIOFIN.























Heading Description
Organization/Agency Stakeholders as identified in the PIR
Solution Name Actual name of solution (e.g., SAPA)
Source of revenue E.g., private sector locator in the protected area
Description Brief description of the solution and how it functions
Use What are the current known uses of the revenues? Is the
use of the revenue earmarked for a specific purpose?













Criterion: Mobilizing Resources
Agencies/Institutions Level of Power/Influence* Level of Interest* Level of Engagement**

* Use scale of 1=very low, 2= low 3= high 4 =very high


*Level of engagement: power and interest very low/low = awareness raising; power very low/low and
interest high/very high = empowerment; interest very low/low and power high/very high=advocacy;
power high/very high and interest high/very high=close engagement
Criterion: Realigning Existing Resources
Agencies/Institutions Level of Power/Influence* Level of Interest* Level of Engagement**

* Use scale of 1=very low, 2= low 3= high 4 =very high


*Level of engagement: power and interest very low/low = awareness raising; power very low/low and
interest high/very high = empowerment; interest very low/low and power high/very high=advocacy;
power high/very high and interest high/very high=close engagement
Criterion: Improving Delivery of Existing Finance
Agencies/Institutions Level of Power/Influence* Level of Interest* Level of Engagement**

* Use scale of 1=very low, 2= low 3= high 4 =very high


*Level of engagement: power and interest very low/low = awareness raising; power very low/low and
interest high/very high = empowerment; interest very low/low and power high/very high=advocacy;
power high/very high and interest high/very high=close engagement



PROTECTED AREA FINANCE PLAN (PAFP)
PREPARATION

STAG E 1 STAG E 2 STAG E 3 STAG E 4 STAG E 5

Preparation Establishment of Specifying Investment Writing the PAFP


baseline and finance solutions programming
planning context and business
case planning
PROTECTED AREA FINANCE PLAN (PAFP)
PREPARATION

STAG E 1 STAG E 2 STAG E 3 STAG E 4 STAG E 5

Preparation Establishment of Specifying Investment Writing the PAFP


baseline and finance solutions programming
planning context and business
case planning
PROTECTED AREA FINANCE PLAN (PAFP) PROCESS

STAGE 1 - Obtain approval for PAFP Preparation

PREPARATION

Organize PAFP Planning Structure

Conduct Kick-off Meeting of the Planning


Team

Conduct of Orientation of the TWG


STAGE 2 – Conduct Policy and Institutional Review (PIR)
ESTABLISHMENT OF
BASELINE AND Stakeholders Workshop 1
PLANNING CONTEXT
Conduct Biodiversity Conduct Financial Needs
Expenditure Review (BER) Assessment (FNA)

Stakeholders Workshop 2

STAGE 3 – Identify, review, and screen potential finance


solutions
SPECIFYING FINANCE
SOLUTIONS
Select preferred finance solutions

Develop financial projections for preferred


financial solutions
Stakeholders Workshop 3
STAGE 4 –
Prepare PA-Investment Program
INVESTMENT
PROGRAMMING
AND BUSINESS CASE
PLANNING Prepare Business Case Plan for selected
finance solutions

STAGE 5 – WRITING Write the draft PAFP


THE PA FINANCE
PLAN
Stakeholders Workshop 4

Prepare the Final PAFP


Why BER?

The key intention of the BER is to obtain and


use detailed data on public, private, and civil
society budgets, allocations, and
expenditures to inform and promote
improved biodiversity policies, financing,
and outcomes.
BER

involves the inventory and


analysis of biodiversity
expenditures by the
government and other
stakeholder-institutions that
include the private sector,
donors, and civil society
organizations.
It is a retrospective
exercise, meaning it
examines data from the
past for the purpose of
informing the future.
BER
FACE B O O K
How much
is spent
Biofin Philippines

for
biodiversity? TW IT TE R
@biofin_ph

Protected Area
IN STAG R AM
@biofin_ph
BER
How much W h e re d o e s t h e m o ney
is spent co me fro m?
for
biodiversity? W h e re d o e s t h e m o ney go ?

W h at d o e s it b u y ?

How co u ld s p e nding b e
im p roved?
Spending Biodiversity Policy Delivery Financing Analysis and
Basics Categories Alignment Patterns Sources finance
solutions
Traces who spends money, on what types of actions, and how
much is spent or invested.
Spending
Basics
Specifies expenditure categories that sort biodiversity
expenditures and investments by key biodiversity targets, actors,
strategies, goals, and plans.
Biodiversity
Categories
PBSAP
TARGETS
Analyzes the degree to which spending aligns with stated
government priorities.
Policy
Alignment
All agencies of the government
shall ensure that protection of
biological diversity is integrated
and mainstreamed into their
development programs and
projects.
OTHER LOCAL AND NATIONAL
POLICIES/LEGAL FRAMEWORK:
ENIPAS -IPAF Wildlife Management Fund (WMF)

Local Government Code of 1991 Comprehensive Land Use and Zoning


Ordinance
Taxation laws

ODA Act of 1996, as amended by RA Local Investment and Incentives Code

8555 – Local government loans and Gender and Development Plan


loan-financed projects

Issuance of LGU Bonds

PPP Law

Internal Revenue Allotment


Considers whether the budget is allocated fully and to what
extent the allocation has been disbursed and spent
Delivery
Patterns
Addresses the main government revenues coming from nature-
based sources, how flows originate and are transmitted through
the system
Financing
Sources
PA INVESTMENTS BD INVESTMENTS
BEYOND DENR
ENIPAS Other NGAs

IPAF Private Sector

CSOs
Others
LGUs
Highlights which thematic areas are better financed and why. It
analyzes opportunities for improve delivery. It compares biodiversity
Analysis and
and sectoral expenditures to government budgets and explore
finance
opportunities for improved fiscal planning and finance solutions.
solutions
STE P - BY - STEP P RO CE D URE O F B E R
2.2.1 Preparation
- Scoping
- Stakeholder Consultation
2.2.2 Data Collection
2.2.3 Biodiversity Expenditure Tagging
- Defining BD activities
- Classifying BD activities
- Weighing BD relevance
- Conduct tagging procedure
2.2.4 Data Analysis
- Total Biodiversity Expenditures
- Project Future Expenditure
2.2.5 Prepare BER Report
- Finance Solutions Proposal
2.2.1 Preparation
- Scoping
- Stakeholder Consultation
2.2.2 Data Collection
2.2.3 Biodiversity Expenditure Tagging
- Defining BD activities
- Classifying BD activities
- Weighing BD relevance
- Conduct tagging procedure
2.2.4 Data Analysis
- Total Biodiversity Expenditures
- Project Future Expenditure
2.2.5 Prepare BER Report
- Finance Solutions Proposal
SCOPING STAKEHOLDER
PROCESS CONSULTATION
SCOPING STAKEHOLDER
PROCESS CONSULTATION

• Specification of the:
o dates to be covered by the review
o the organizations (both public, private, donors, and NGOs) to be included, and
o level of expenditure detail possible for classification and attribution
• It is recommended that the expenditure data to be analyzed should at least be for
the last five (5) years (but longer time sequence is preferable)
• The institutions identified in the PIR need to be revisited to specify the
o a) principal stakeholders and decision-makers that have the authorities to
decide on public and private biodiversity budget processes, allocations and
expenditures; and
o b) other organizations that can be sources of additional budget and
expenditure data.
SCOPING STAKEHOLDER
PROCESS CONSULTATION

• The results of the scoping process will be presented and discussed in a


consultative meeting/workshop to be participated in by:
• the PAFP-DENR Planning Team and PAFP Secretariat/PAMO
• the PAFP Technical Working Core Group
• the PAFP Technical Working Expanded Group
• the Stakeholders Consultative Group
• other principal stakeholders and other concerned organizations
specified during the scoping work.
2.2.1 Preparation
- Scoping
- Stakeholder Consultation
2.2.2 Data Collection
2.2.3 Biodiversity Expenditure Tagging
- Defining BD activities
- Classifying BD activities
- Weighing BD relevance
- Conduct tagging procedure
2.2.4 Data Analysis
- Total Biodiversity Expenditures
- Project Future Expenditure
2.2.5 Prepare BER Report
- Finance Solutions Proposal
DATA/DATA
• PA Management Plan (PAMP)
SOURCES
• National Expenditure Program (NEP)
FOR REVIEW • Annual Work and financial plans (past 5yrs)
• Integrated Protected Areas Fund (IPAF) Retention Income Account
(RIA), report on utilizations
• Wildlife Management Fund (WMF)
• Ecotourism management plans
• Business plans
• Grants/donations/CSR (NGOs, LGUs, private sector)
2.2.1 Preparation
- Scoping
- Stakeholder Consultation
2.2.2 Data Collection
2.2.3 Biodiversity Expenditure Tagging
- Defining BD activities
- Classifying BD activities
- Weighing BD relevance
- Conduct tagging procedure
2.2.4 Data Analysis
- Total Biodiversity Expenditures
- Project Future Expenditure
2.2.5 Prepare BER Report
- Finance Solutions Proposal
T h e ove ra l l to ta l ex p e n d i t u re , w h et h e r fo r b i o d i ve rs i t y o r

o t h e r c a t e g o r i e s , t h a t a f i n a n c e a c t o r s p e n d s i n a g i v e n y e a r.

A n y e x p e n d i t u r e , w h e t h e r b y a p u b l i c o r p r i v a t e f i n a n c e a c t o r,

th at supports th e con se r vati on, susta i n a ble use a n d /or

e q u i t a b l e b e n e f i t s s h a r i n g o f b i o d i v e r s i t y i n a g i v e n y e a r.

Direct and indirect expenditures that are in opposition to the

n at i o n al b i o d i ve rs i t y o b j e c t i ve s , a n d /o r to t h e co n s e r vat i o n ,

sustainable use and equitable sharing of the benefits of

b i o d i ve rs i t y
O ECD D ef inition:
An activity should be classified as biodiversity related

(score Principal or significant) if it promotes at least

one (1) of the three (3) objectives of the Convention:

1. The conservation and restoration of biodiversity


(ecosystems, species, genetic diversity) and
maintenance of related ecosystem services;

2. Sustainable use and management of biodiversity and


its ecosystems (including activities within agriculture,
forestry, fisheries and other sectors;)

3. Fair and equitable sharing of the benefits of the


utilization of genetic resources, with foreseen benefits
to the conservation, sustainable use
D i re c t ly r e l a t ed t o b i o d i v ers ity I n d irectly r e la ted t o b i o d iv ersity
Consist of actions which are, by design, intended to Consist of actions have a positive impact on biodiversity but for
protect biodiversity and to support biodiversity which biodiversity conservation and sustainable use is not the main
planning. focus and include initiatives across a range of sectors that benefit
biodiversity but which have other primary purposes
Activities such as:
• in situ/ex situ conservation, • ecosystem-based approaches
• protection of protected areas, • climate-change mitigation and adaptation
• maintaining genetic diversity, • measures which benefit biodiversity conservation and
sustainable use within productive sectors (agriculture, forestry,
• addressing threats from invasive alien species (in aquaculture, fisheries, etc.),
situations where the primary purpose is to protected
biodiversity), and addressing threats to specific • measures to conserve water and prevent pollution, managing
ecosystems and/or species. land use to mitigate climate change and increase resilience,
planning, fiscal and regularity measures to promote sustainable
• Policies related to the above consumption and production and broad scale public awareness
and education measures.
PBSAP
TARGETS
Are the programs/projects/activities
CLIMATE
CHANGE CLIMATE CHAN G E - R E LE VAN T?
EXPENDITURE
Are the biodiversity
GENDER programs/projects/activities

AND
WO ME N -FOCUS ED O R AB O UT
BIODIVERSITY G E N D E R EQUALITY ?
W e ig hi ng B D r e le v a nce

BIODIVERSITY RIO MARKER


RELEVANCE FACTOR 0/40/100
(BRF)
W e ig hi ng B D r e le v a nce

Application of BRF to STO & GASS BIODIVERSITY RELEVANCE


FACTOR (BRF)
• General Administration and Support Services
(GASS) - General Management and Supervision; Bureaus / Offices Standardized
Human Resource Development of the DENR BRF
• Support to Operations (STO) - Data Management;
Production & Dissemination of Technical and Popular BMB 79.0
Materials; Legal Services including Operations against
unlawful titling; Conduct of special studies, design,
and development; Formulation and Monitoring of ENR
ERDB 36.26
Policies, Plans, and Projects; Ecosystem Research
Development and Extension Program; Mineral EMB 7.13
Economics Information and Com Plan
FMB 33.89
LMB 5.15
MGB 5.17
W e ig hi ng B D r e le v a nce
Application of Rio Marker to MFOs, PPAs

Activities that have the conservation, restoration and sustainable


management of biodiversity (ecosystems, species, and genetic diversity)
and the maintenance of related ecosystem services as their primary

100 % objective and are expected to lead to direct effects / benefits with regard
to biodiversity.
marker The activity would not have been carried out in the absence of such
objectives / intended effects for the conservation and restoration of
biodiversity

Activities where the conservation, restoration and sustainable


management of biodiversity (ecosystems, species, and genetic diversity)

40 % and the maintenance of related ecosystem services are one of the


principal reasons for undertaking the activity; expected effects on /
marker benefits for conservation and restoration of biodiversity and related
ecosystem services are significant but not the primary intended effect;

Activities which neither directly nor indirectly seek to contribute

0% significantly to the conservation, restoration or sustainable management of


biodiversity (ecosystems, species, and genetic diversity) and the
marker maintenance of related ecosystem services.

Source: Institute for European Environmental Policy


Identify Analyze Tag

• Biodiversity • BD • Rio Marker


related • BD & CC- • BRF rating
PPAs relevant for STO &
• No GAAS
relevance
• Gender
2.2.1 Preparation
- Scoping
- Stakeholder Consultation
2.2.2 Data Collection
2.2.3 Biodiversity Expenditure Tagging
- Defining BD activities
- Classifying BD activities
- Weighing BD relevance
- Conduct tagging procedure
2.2.4 Data Analysis
- Total Biodiversity Expenditures
- Project Future Expenditure
2.2.5 Prepare BER Report
- Finance Solutions Proposal
Biodiversity-relevant expenditures

Biodiversity-relevant expenditures by PPAs

Total biodiversity expenditures for women-


focused or gender equality related activities or
projects, as compared to the overall
biodiversity expenditure

Biodiversity-relevant expenditures by PBSAP


Targets

*show sample worksheet


ANNUAL GROWTH RATE

LINEAR REGRESSION
ANALYSIS

*show sample worksheet


2.2.1 Preparation
- Scoping
- Stakeholder Consultation
2.2.2 Data Collection
2.2.3 Biodiversity Expenditure Tagging
- Defining BD activities
- Classifying BD activities
- Weighing BD relevance
- Conduct tagging procedure
2.2.4 Data Analysis
- Total Biodiversity Expenditures
- Project Future Expenditure
2.2.5 Prepare BER Report
- Finance Solutions Proposal
BER Results (excel worksheet)
EXPECTED
OUTPUT D e a dline: D e cember 1 1 , 2 02 0
BER
FACE B O O K
How much
is spent
Biofin Philippines

for
biodiversity? TW IT TE R
@biofin_ph

Protected Area
IN STAG R AM
@biofin_ph
There is an 80% financing gap for
the Philippine Biodiversity
Strategy and Action Plan (PBSAP)
implementation.
Cost of implementing PBSAP
PHP 24 billion/yr

Estimated expenditures
PHP 5 billion/yr

1 2 3 4 5 6
Mobilize further Realigning existing Preventing future costs Improving delivery of
resources resources existing finance
AD D R ES S P HO N E E MAIL

BIOFIN Philippines +63 2 82814353 denr.biofin.workshops@gmail.com


Ninoy Aquino Parks and biofin.ph@undp.org
Wildlife Center,
Biodiversity
Management Bureau
Quezon City, Philippines





Video: https://www.youtube.com/watch?v=4viXOGvvu0Y











AND JUSTICE


The COVID-19 pandemic will make 2.7 million more
Filipinos poor this year on top of a record slide in the
Philippines’ gross domestic product (GDP) or economic
output in what could be the worst outturn post-war, the
World Bank said Tuesday.,,, “The poverty rate is projected
to fall to its 2018 level in 2021 and keep falling
throughout 2022,”

https://business.inquirer.net/313528/world-bank-
pandemic-to-sink-2-7m-more-filipinos-in-
poverty#ixzz6g8qNZLUV
SDG Target 5.5 Ensure women’s full and effective participation and
equal opportunities for leadership at all levels of decisionmaking
in political, economic and public life.

5.5.1. Proportion of seats held by women in (a) national


parliaments and (b) local governments
5.5.1.1 Proportion of seats held by women in national
28.7 2019 COMELEC
parliaments (as of October 30, 2019)
5.5.1.2 Proportion of seats held by women in local governments
p1/ (as of October 30, 2019) 29.1 2019 COMELEC
SDG Target 5.5 Ensure women’s full and effective participation and equal opportunities
for leadership at all levels of decisionmaking in political, economic and public life.

5.5.1. Proportion of seats held by women in (a) national parliaments and (b) local
governments
5.5.1.1 Proportion of seats held by women in national parliaments (as of October
28.7 2019 COMELEC
30, 2019)
5.5.1.2 Proportion of seats held by women in local governments p1/ (as of October
29.1 2019 COMELEC
30, 2019)
Why Gender?
1.

C. Notable
Why Gender?
1.

C. Notable


Why Gender?
1.

C. Notable










DRIVERS PRESSURES STATE IMPACTS RESPONSE GAPS/OPPORTUNITIES
Generic With Gender Lens
Increasing Agricultural Loss of forest Reduced Designation of Weak enforcement of forest • Gender: Low level of awareness,
demand for expansion and cover watershed conservation land use regulations technical and leadership capacity
food products intensification in functions areas by female and male stakeholders
forest areas to engage as change agents.
Agricultural Loss of forest Reduced Designation of
expansion and cover watershed conservation • Gender: Lack of recorded data on
intensification in functions areas differentiated impacts of
forest areas biodiversity loss to women and
men to allow a comprehensive
Soil loss Soil degradation Reduced farm Soil conservation Absence of law stakeholder analysis.
productivity strategies mainstreaming biodiversity
conservation in the • Gender: Lack of understanding and
agricultural landscapes appreciation of indigenous
Water pollution Poor water High morbidity Water quality Lack of incentives for the knowledge and women-led natural
quality due to incidence management production and use of resource management.
of gastro chemical fertilizers and
intestinal and pesticides • Gender: High birth rates per
skin diseases woman in PAs not being addressed
through provision of on-site family
Inadequate resources to
planning support services
support BD-friendly
agricultural practices and



LORENZO V. CORDOVA, JR. EnP, Lead Consultant
KAMILLE T. ROSALES, Sr. Programme Assistant
PROTECTED AREA FINANCE PLAN (PAFP)
PREPARATION

STAGE 1 STAGE 2 STAGE 3 STAGE 4 STAGE 5

Preparation Establishment of Specifying finance Investment Writing the PAFP


baseline and solutions programming and
planning context business case
planning
STAGE 2 – Conduct Policy and Institutional Review
ESTABLISHMENT OF (PIR)

BASELINE AND Stakeholders Workshop 1


PLANNING CONTEXT
Conduct Biodiversity Conduct Financial Needs
Expenditure Review (BER) Assessment (FNA)

Stakeholders Workshop 2

Identify, review, and screen potential


STAGE 3 – finance solutions
SPECIFYING
FINANCE
SOLUTIONS Select preferred finance solutions

Develop financial projections for preferred


financial solutions
Administrative Financial Governance Management
• • •

• • •



• •

Source: DENR-BMB & BIOFIN. 2018. Results of 2018 survey with PA Managers.
Administrative Financial Governance
• • •

• •

• •



Source: DENR-BMB & BIOFIN. 2018. Results of 2018 survey with PA Managers.
Source: DENR-BMB & BIOFIN. 2018. Results of 2018 survey with PA Managers.
Trend of revenue of some PAs from 2015 to 2018

Source: DENR-BMB & BIOFIN. 2018. Results of 2018 survey with PA Managers.
Partnerships
Trend of revenue of some PAs from 2015 to 2018



Source: DENR-BMB & BIOFIN. 2018. Results of 2018 survey with PA Managers.

Partnerships
Trend of revenue of some PAs from 2015 to 2018

Source: DENR-BMB & BIOFIN. 2018. Results of 2018 survey with PA Managers.
Estimated expenditures
PHP 5 billion/yr

1 2 3 4 5 6
• See worksheet of PBSAP
• See worksheet of Negros Provinces
Cost of Local PBSAP Programs (Or. Mdo) Cumulative Financing Surplus (using budget from LGU+ PRIVATE+DENR only)
Cumulative Financing Surplus (using combined budget of agencies, LGU, Priv. Sector)
200,000

180,000

160,000

140,000

120,000
PHP '000

100,000

80,000

60,000

40,000

20,000

-
2017 2018 2019 2020 2021 2022
• See worksheets
• See template for FNA
We want to hear from
you.

biofin.ph@undp.org Follow BIOFIN Philippines on:


+63 2 82814353

1F Administrative Building Annex 2


Biodiversity Management Bureau
Ninoy Aquino Parks and Wildlife Center,
North Avenue, Diliman, Quezon City
1101
PROTECTED AREA FINANCE PLAN (PAFP)
PREPARATION

S TAG E 1 S TAG E 2 S TAG E 3 S TAG E 4 S TAG E 5

Preparation Establishment of Specifying Investment Writing the PAFP


baseline and finance solutions programming
planning context and business
case planning
PROTECTED AREA FINANCE PLAN (PAFP)
PREPARATION

S TAG E 1 S TAG E 2 S TAG E 3 S TAG E 4 S TAG E 5

Preparation Establishment of Specifying Investment Writing the PAFP


baseline and finance solutions programming
planning context and business
case planning
PROTECTED AREA FINANCE PLAN (PAFP) PROCESS

STAGE 1 - Obtain approval for PAFP Preparation

PREPARATION

Organize PAFP Planning Structure

Conduct Kick-off Meeting of the Planning


Team

Conduct of Orientation of the TWG


STAGE 2 – Conduct Policy and Institutional Review (PIR)
ESTABLISHMENT OF
BASELINE AND Stakeholders Workshop 1
PLANNING CONTEXT
Conduct Biodiversity Conduct Financial Needs
Expenditure Review (BER) Assessment (FNA)

Stakeholders Workshop 2

STAGE 3 – Identify, review, and screen potential finance


solutions
SPECIFYING FINANCE
SOLUTIONS
Select preferred finance solutions

Develop financial projections for preferred


financial solutions
Stakeholders Workshop 3
STAGE 4 –
Prepare PA-Investment Program
INVESTMENT
PROGRAMMING
AND BUSINESS CASE
PLANNING Prepare Business Case Plan for selected
finance solutions

STAGE 5 – WRITING Write the draft PAFP


THE PA FINANCE
PLAN
Stakeholders Workshop 4

Prepare the Final PAFP


A SUMMARY
OF CONTENTS

I What is a finance
instrument?
II What is a finance solution?
III Elements of finance
solutions
IV Strategies to transform
finance instruments into
finance solutions
What is a finance
instrument?
Instruments may be regulatory (fees, fines,
permits, license, royalty), market (treasury
bills), fiscal (government revenue like taxes),
grants, debt (loan)/equity (assets)

Listing of existing financial instruments &


other relevant tools and strategies from
PIR should be converted into a list of
potential finance solutions
What is a finance solution?

• Seeks to use one or more finance


instruments to achieve a specific
outcome or solve a specific problem

• Seeks to increase effectiveness, scale


or impact of a specific instrument to
achieve a clear biodiversity outcome
Example: revision of a PA entrance fee system by
increasing the fee rate and earmarking a percentage of
park entrance fees (the finance instrument is the
change in regulatory provisions for modifying park
entrance fees)
Can rely on public or private
revenues or contributions; be
built around voluntary or
compulsory schemes; guided by
markets or regulations; be
available on a short- or long-term
basis; be associated with
particular conditions set by the
finance providers; and be
available in different currencies
Private investment in biodiversity

• Can be mobilized via regulatory frameworks, smart


incentives and awareness of inclusive and sustainable
business models

• Who are private investors? Wealthy individuals, private


companies, other institutional investors and even
mainstream retail investors
1. Each solution must have a clear
objective through which it seeks to
change a situation from a present state
to a new desired state

2. Each solution must be described in


detail
Elements of finance
solutions
3. Each solution should lead to an estimate
of a financial impact along the four results:

G E N E R ATE R E ALIG N AV O ID D E LIV E R


REVENUES E X I S TIN G F UTUR E B E TTE R
EX PE N D ITU CO S TS
RES
How to describe a finance solution
Should be able to answer the following questions
Sources of finance the solution relies upon Park visitors (private)
Lead agent or intermediaries tasked to manage the PAMO (fee as approved by PAMB)
operationalization of the solution (a government entity
proposing a tax reform or the bank establishing the trust
fund or issuing a bond to deliver conservation finance)
Beneficiaries or principal stakeholders (receive the Park rangers’ patrol equipment
financing or targets of the instrument)
Instruments used to mobilize, collect, manage and Entrance fee
disburse the funding (fees, bonds, equities, fiscal and
regulatory reforms)
Desired finance result Generate revenues
• Determine fees & charges;
administrative fines and
penalties; contracts and/or
agreements with private entities
or public agencies; fund, gifts or
bequests or other property [Sec
10 ENIPAS IRR];
• Committees on Project
Development and Sustainable
Financing [Rule 11.12 ENIPAS
IRR];
• Collect and/or receive pertinent
fees, charges, donations, and
other income for the PA [Sec 11-B
ENIPAS IRR];
• Special uses within the protected
area [Sec 25 ENIPAS IRR]
• A c c e s s t o I PA F [ S e c 1 6
E N I PA S I R R ]
• Reducing, redirecting or
eliminating subsidies & other
spending that harms BD and
increasing or redirecting
financial flows towards BD;
• Lobbying for shifting budget
allocations towards BD – PAMB
membership which includes
governor, senator, district
representative, mayor, barangay
chair, RDs of selected NGAs,
NGO, academe, private sector
[Sec 11 ENIPAS IRR]
Avoid future costs
• PAMP that promotes adoption and implementation of innovative management
techniques [Sec 9 ENIPAS IRR]
Deliver better

• Harmonization of PAMP with ADSDPP, CLUP [Sec 9 of ENIPAS IRR];


• Integration of PAMPs, programs, projects and policies with relevant
national and LGUs’ plans and programs; request for and receive
any technical assistance, support or advice from any government
agency, academic institution, NGO and private sector [Sec 11-B
ENIPAS IRR];
• LGUs may appropriate portions of their share from annual IRA &
other income for use of the PA [Sec 26 ENIPAS IRR]);
• LGUs with territory inside PAs shall align their CLUPs, local
development plans, disaster risk reduction management plans and
other required plans [Sec 26 ENIPAS IRR]
Strategies to transform finance instruments into finance
solutions

1. Reform or combine existing finance instruments


• Is instrument functioning optimally? If not, why not?
• What would be most impactful change?
• Can instrument be scaled up or replicated to achieve greater impact?
• If instrument is well designed but not functioning, what supporting actions can be taken?
• Ex. User fee system
Strategies to transform finance instruments into finance
solutions

2. Refine policy and regulatory opportunities


• Are existing policies, regulations and laws effectively implemented?
• If not, how can small improvements create powerful economic or financial incentives?
• Ex. Transformation of National Greening Program to Enhanced NGP
Strategies to transform finance instruments into finance
solutions

3. Expand and/or earmark existing revenues


• Increase revenue
• Earmark revenues for conservation
• Measure the impact of change in behaviors by technical reforms (may include a new fee
design to better reduce consumption patterns e.g. addressing the illegal wildlife trade or
utilization of natural resources)
Strategies to transform finance instruments into finance
solutions

4. Exploit planning and budgeting opportunities


• Work with multiple agencies (agriculture, tourism, public works lobbying for greater budget
allocation), civil society organizations (environmental NGOs, religious and civic
organizations), academe, LGUs, private sector to mainstream biodiversity into their budgets
Strategies to transform finance instruments into finance
solutions

5. Achieve cost efficiency


• Identify organizational cost-efficiency gains to inform future spending practices (e.g.
reforestation projects could switch to plant only native trees; subsidies for fishing and
agriculture that can be used for sustainable products could be simplified)
Some examples of finance solutions

6. Introduce innovative strategies and approaches


Some examples of finance solutions
Some examples of finance solutions
Some examples of finance solutions
Some examples of finance solutions
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Biofin Philippines

TW ITTE R
@biofin_ph

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@biofin_ph
AD D R E S S P HO N E E M AIL

BIOFIN Philippines +63 2 82814353 denr.biofin.workshops@gmail.com


Ninoy Aquino Parks and biofin.ph@undp.org
Wildlife Center,
Biodiversity
Management Bureau
Quezon City, Philippines
PROTECTED AREA FINANCE PLAN (PAFP)
PREPARATION

S TAG E 1 S TAG E 2 S TAG E 3 S TAG E 4 S TAG E 5

Preparation Establishment of Specifying Investment Writing the PAFP


baseline and finance solutions programming
planning context and business
case planning
PROTECTED AREA FINANCE PLAN (PAFP)
PREPARATION

S TAG E 1 S TAG E 2 S TAG E 3 S TAG E 4 S TAG E 5

Preparation Establishment of Specifying Investment Writing the PAFP


baseline and finance solutions programming
planning context and business
case planning
PROTECTED AREA FINANCE PLAN (PAFP) PROCESS

STAGE 1 - Obtain approval for PAFP Preparation

PREPARATION

Organize PAFP Planning Structure

Conduct Kick-off Meeting of the Planning


Team

Conduct of Orientation of the TWG


STAGE 2 – Conduct Policy and Institutional Review (PIR)
ESTABLISHMENT OF
BASELINE AND Stakeholders Workshop 1
PLANNING CONTEXT
Conduct Biodiversity Conduct Financial Needs
Expenditure Review (BER) Assessment (FNA)

Stakeholders Workshop 2

STAGE 3 – Identify, review, and screen potential finance


solutions
SPECIFYING FINANCE
SOLUTIONS
Select preferred finance solutions

Develop financial projections for preferred


financial solutions
Stakeholders Workshop 3
STAGE 4 –
Prepare PA-Investment Program
INVESTMENT
PROGRAMMING
AND BUSINESS CASE
PLANNING Prepare Business Case Plan for selected
finance solutions

STAGE 5 – WRITING Write the draft PAFP


THE PA FINANCE
PLAN
Stakeholders Workshop 4

Prepare the Final PAFP


A SUMMARY
OF CONTENTS

I. Screening
recommendations
II. Screening criteria
III. Scoring guidance
IV. Reminders
Select resource Conduct one- Make available
persons/experts explanatory
on-one detailed information to
& participants to interviews with resource
scoring and persons/experts
resource when asked to rate
validation persons/experts & rank the finance
workshops (TWG solutions
core group
I M P ACT F I N AN CIAL LIKE LIHO O
ON I M P ACT D OF
B I O D I V E RS S UCCE S S
ITY
Significance & Potential General
scale of the scale & assessment of
impact can be sustainability technical,
judged by of the social and
different ways – resources that political
urgency, can be feasibility of
presence of leveraged – the proposed
KBAs or solution
How much?
endangered
How long?
species & value
of ecosystem
How stable?
services
Criteria Scoring Guidance
Impact on 4 Very high impact on threatened/endangered species
biodiversi and habitats (biodiversity) and critical ecosystem
ty services
3 High impact on biodiversity and ecosystem services
2 Moderate impact on biodiversity and ecosystem
services
1 Low impact or high uncertainty about the same
0 No or insignificant impact
Scoring guidance

Criteria Scoring Guidance


Financial 4 Potential to mobilize or save a very high amount of resources. A significant
impact impact on the biodiversity finance agenda.
3 Potential to mobilize or save a high amount of resources. Approximately about
5-15% of current expenditure or financing needs.
2 Potential to mobilize or save a moderate amount of resources. Approximately
about 1-5% of current expenditure or financing needs.
1 Potential to mobilize or save a low amount of resources. Approximately under
1% of current expenditure or financing needs.
0 Minimal scale of resources mobilized or saved compared to current
expenditures or needs.
Scoring guidance
Criteria Scoring Guidance
Likelihood of 4 Very high likelihood of success. Broad political and social support and sound
success commercial viability (if relevant). No operational challenges known. Strong record
or expectation of success, replicability or scalability in comparable contexts.
3 High likelihood of success. Sufficient political and social support. Commercially
viable (if relevant). Operational challenges are manageable. Relevant record of
success, replicability or scalability in comparable contexts.
2 Moderate likelihood of success due to limited political and social support or known
operational or technical barriers. Limited commercially viability (if relevant).
Limited record or expectation of success, replicability or scalability in comparable
contexts.
1 Low likelihood of success due to high political and social resistance or major
operational or technical barriers. Limited commercial viability (if relevant).
0 Virtually no chance of success under current conditions. Commercially unviable (if
relevant).
Reminders
• If there is uncertainty about whether a solution should be retained, then it is usually
better to retain it for further analysis
• A cut-off score can be set to produce a desired number of solutions for the next level
screening
Scoring guidance worksheet
Find us
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Biofin Philippines

TW ITTE R
@biofin_ph

IN S TAG R AM
@biofin_ph
AD D R E S S P HO N E E M AIL

BIOFIN Philippines +63 2 82814353 denr.biofin.workshops@gmail.com


Ninoy Aquino Parks and biofin.ph@undp.org
Wildlife Center,
Biodiversity
Management Bureau
Quezon City, Philippines
PROTECTED AREA FINANCE PLAN (PAFP)
PREPARATION

S TAG E 1 S TAG E 2 S TAG E 3 S TAG E 4 S TAG E 5

Preparation Establishment of Specifying Investment Writing the PAFP


baseline and finance solutions programming
planning context and business
case planning
PROTECTED AREA FINANCE PLAN (PAFP)
PREPARATION

S TAG E 1 S TAG E 2 S TAG E 3 S TAG E 4 S TAG E 5

Preparation Establishment of Specifying Investment Writing the PAFP


baseline and finance solutions programming
planning context and business
case planning
PROTECTED AREA FINANCE PLAN (PAFP) PROCESS

STAGE 1 - Obtain approval for PAFP Preparation

PREPARATION

Organize PAFP Planning Structure

Conduct Kick-off Meeting of the Planning


Team

Conduct of Orientation of the TWG


STAGE 2 – Conduct Policy and Institutional Review (PIR)
ESTABLISHMENT OF
BASELINE AND Stakeholders Workshop 1
PLANNING CONTEXT
Conduct Biodiversity Conduct Financial Needs
Expenditure Review (BER) Assessment (FNA)

Stakeholders Workshop 2

STAGE 3 – Identify, review, and screen potential finance


solutions
SPECIFYING FINANCE
SOLUTIONS
Select preferred finance solutions

Develop financial projections for preferred


financial solutions
Stakeholders Workshop 3
STAGE 4 –
Prepare PA-Investment Program
INVESTMENT
PROGRAMMING
AND BUSINESS CASE
PLANNING Prepare Business Case Plan for selected
finance solutions

STAGE 5 – WRITING Write the draft PAFP


THE PA FINANCE
PLAN
Stakeholders Workshop 4

Prepare the Final PAFP


A SUMMARY
OF CONTENTS

I. Screening
recommendations
II. Scoring guidance
Screening
recommendations
Should be
undertaken by Responses or
resource scoring can be
persons/experts compiled through Once solutions
with a reasonable
self-administered are scored, a
knowledge of
finance solutions. questionnaires, ranking should be
They should be face-to-face or produced.
given the zoom workshops
background
information to or google survey
perform scoring.
(TWG)
Find us
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Biofin Philippines

TW ITTE R
@biofin_ph

IN S TAG R AM
@biofin_ph
AD D R E S S P HO N E E M AIL

BIOFIN Philippines +63 2 82814353 denr.biofin.workshops@gmail.com


Ninoy Aquino Parks and biofin.ph@undp.org
Wildlife Center,
Biodiversity
Management Bureau
Quezon City, Philippines



• Regulatory measures

✓ Negative regulation – prohibit and penalize acts deemed inimical to public interest

✓ Positive regulation – giving encouragement and rewards for acts that are socially
desirable and the help promote public interest












Responses/Actions Programs/ Projects Services Legislations
Law Enforcement: Augmentation for PA Protection and patrolling X X
PAMB Operationalization X
Updating of PA Management Plan X
Plantation Establishment in the MUZ X
Cave Identification, inventory and mapping of caves X
BD-Friendly Agri Practices X X
Strengthening of enforcement/implementation X X
BD-Friendly Enterprise Development X
Ecotourism Development X
Program/Project Title DENR PLGU MLGU OTHER PRIVATE NGOs/ACADEME
NGAs SECTOR (Specify)
(Specify) (Specify)
Law Enforcement: Augmentation for PA Protection and X
patrolling
PAMB Operationalization X
Updating of PA Management Plan
Plantation Establishment X
Cave Identification, inventory and mapping of caves X
BD-Friendly Agri Practices X X (DA)
Strengthening of enforcement/implementation
BD-Friendly Enterprise Development X X (DTI)
Ecotourism Development X











STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program
STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program

Pre-Investment Programming Activities

(1) Structuring responses/actions


(2) Programs/projects prioritization
(3) Estimating the project costs
(4) Determining the investible funds
(5) Matching financial requirements with investible funds
STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program

LIST OF PROGRAMS/PROJECT PRIORITIES

Rank Project Title Total Cost (in million pesos)


1
2
3
4
5
6
7…n
Total 60
FNA
DENR BUDGET OUTLAY

PROJECTED TOTAL PROJECTED TOTAL


REQUIREMENTS REQUIREMENTS

PROJECTED PROJECTED BUDGET FOR PS,


REQUIREMENTS (PS, OFFICE MOE, OFFICE C.O.
OFFICE MOE, OFFICE
C.O)

PROJECTED NET AVAILABLE PROJECTED


REQUIREMENTS FOR BUDGET FOR
PROGRAMS/PROJECTS PROGRAMS/PROJECTS
STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program
STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program

Matching of Financial Requirements vs. Investible Funds

Item Amount (in million pesos)


Total Investible Funds 67
Less: Total Financial Requirements 60
Surplus (Deficit) 7
STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program

REVISED LIST OF PROGRAMS/PROJECT PRIORITIES


STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program

Matching of Financial Requirements vs. Investible Funds

Item Amount (in million pesos)


Total Investible Funds 67
Less: Total Financial Requirements 67
Surplus (Deficit) 0
STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program

Matching of Financial Requirements vs. Investible Funds

Item Amount (in million pesos)


Total Investible Funds 60
Less: Total Financial Requirements 67
Surplus (Deficit) (7)
STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program

FINANCING APPROACHES AVAILABLE TO PROTECTED AREAS


CONSERVATIVE APPROACH DEVELOPMENT APPROACH
1. Trims down proposed project list 1. DENR-PAMO conducts to identify
based on the annual DENR budget finance solutions.
allocation
2. DENR approves the project list 2. DENR-PAMO recommends preferred
priority finance solutions
3) Prepares 6-year Investment Program 3. PAMB-DENR approves the finance
solutions
4. DENR-PAMO prepares 6-year
Investment Program
STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program
STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program

Developmental Approach
STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program

Matching of Financial Requirements vs. Investible Funds

Item Amount (in million pesos)


Total Investible Funds 75
Less: Total Financial Requirements 67
Surplus (Deficit) 8
STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program
STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program


STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program

Investment in Government Finance



STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program

WHAT IS A PROTECTED AREA INVESTMENT PROGRAM (PAIP)?

A list of programs and projects that the PAMO-DENR wants to carry out. It
should also contain a program for planned financing or for using the
investible funds to finance the implementation of those programs and
projects.
STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program

WHAT IS THE PURPOSE OF THE PAIP?

❑ …. the principal
instrument for
implementing the PAMP

❑ …. serves as the link


between the plan and
the budget
STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program

BASIC CONCEPTS
• “INVESTMENT PROGRAM” is a program for utilizing the projected
investible funds. It is the 6-year chunk of the PAMP and PAFP.
• “INVESTIBLE FUND” consist of the following:
❑ PA-DENR budget outlay for the PA
✓ Non-office maintenance and other
operating expenses
✓ Non-office capital outlay

❑ Funds that can be mobilized from the finance solutions


STAGE 4 – INVESTMENT PROGRAMMING AND BUSINESS
CASE PLANNING
Task 4.1 – Prepare PA Investment Program
INVESTMENT PROGRAM
Total Estimated 1st 6 Years
List of Priority Projects for the Agencies/ Implementing Source of
No. Cost
First Three Years Organization Office/ Dept. Funds 2021 2022 2023

PRIVATE CORP NAME OF PVT.


1
SECTOR FOUNDATION BUSS.
2 LGU MENRO LGU
3 DENR PAMO DENR
4 DENR PAMO DENR

5 LGU MENRO LGU (20% DF)

6 LGU MAO LGU (20% DF)

7 DENR PAMO DENR

Total Cost 67
FINANCE SOLUTION PROPOSAL TEMPLATE
(DO NOT PRINT – Save the planet)

Name of PA: ………….………….…… Submission date: ………….……. …..

Contact person: ………………….……. Email Address: ……………...….……

This brief proposal template is for all BIOFIN Philippines partners to complete for each
finance solution that is being proposed as part of the Protected Area Finance Plan (PAFP).
It is not required for all of the finance solutions in the PAFP, it is however required for any
finance solutions the PA will implement. The goal of the proposal is 1) reach an optimal
design for the solution implementation, 2) provide PA with key information on all solutions
being piloted (proposed and ongoing), and 3) identify key success indicators. This format
will be used to evaluate if the finance solution can be implemented.

The PAs are recommended to use of the Screening Tool, particularly the screening
questions. The proposal will include all preparatory and full implementation activities. The
former include all the necessary preparatory activities such as feasibility studies and
stakeholder engagements. The finance solution is considered for full implementation if the
template shows enough detailed information and results from feasibility studies and
research made by BIOFIN or other partners and research institutions.

The review of this proposal will follow the system illustrated in the following figure for each
stage:

1
Step 2 Step 3 Step 5
Step 1 Step 4
Draft finance PA to incoporate Include details in
PA develop initial PA submits the
solution proposal comments in the workplan;
concept and final draft
and submit to revision of
disucss among Use for resource
BIOFIN PH/BMB finance solution
stakeholders mobilization
for review proposal

SECTION 1 – FOR PROPOSED FINANCE SOLUTIONS

PROPOSAL SUMMARY
Title of the Finance Solution Name of project/solution
Concise Description of the Description
Finance Solution (Approx 150 Please follow this structure:
words) - Context
- Opportunity
- Finance solution
- Objectives
- Steps to be taken
- Impacts and Results

Example:
The achievement of Protected Areas’ primary goal - biodiversity
conservation – is dependent on significant financial expenditures
and current financing for PA management is low. Protected
Areas’ (PAs) own revenues from sources such as entrance fees,
accommodation fees, concessions and tourist services charges
play an important role in supporting their financial
sustainability. The PAMO have increased their own revenues by
an average of 40% per year over the last 4 years primarily
through the introduction of entrance fees for access to tourist
caves and other built infrastructure around natural sites. The
aim of this solution is to increase the rate of own revenue
growth for protected areas – a particularly important imperative
given to government budget constraints – through increased
entrance fees and enhanced infrastructure and other tourism

2
services. The solution entails drawing up sustainable tourism
infrastructure development plans for key protected areas to be
financed by government, donors and, potentially, financial
institutions. New infrastructure will be developed to generate
financial returns by capturing entrance and user fees. Revenues
will support the entire protected areas system’s management
goals.

Contribution to SDGs Please list the main SDG/s to which the Solution will contribute
(e.g., SDG15, SDG5) and how it supports these SDGs.
Contribution to Aichi Targets /
National Targets / Biodiversity
Finance Plan
Implementing / Strategic partners
(if other than UNDP)
Start and End Date

FINANCE RESULTS

Solution Category/ies from the Check BIOFIN Catalogue through this link: __________
BIOFIN Catalogue
Relevant Finance Result(s) 1) Mobilizing Resources 2) Delivering Better 3) Re-aligning
existing resources 4) Preventing future costs
Estimated Finance Result The finance result can be estimated in 1) Mobilizing Resources 2)
Delivering Better 3) Re-aligning existing resources 4) Preventing
future costs
If the finance result cannot be estimated, please justify and
present related examples to demonstrate finance results in
similar situation.

Finance Source Choose whether: Public/Private national/international


Sector Refer to BIOFIN Catalogue
Instrument Type Refer to BIOFIN Catalogue

BUDGET (USD)

Total resources
required: PhP …

Total resources BIOFIN PhP …


allocated:
Donor (e.g., UNDP-GEF) 1: PhP …

3
Donor 2: PhP …

Government of … PhP …

In-Kind PhP …

Unfunded: PhP …

MAIN PROPOSAL AND APPROACH


1. Background information • Describe the general problem the solution is seeking to address,
(150 words approx.) opportunity and need for the solution.
• Why was this solution selected?
• What are the expected impacts on biodiversity, finance, socio-
economic and gender aspects? (and a completed Annex 1–
table 7.3 in workbook).
• Please note the consultation process - How was stakeholder
input gathered and incorporated into the project proposal?
• What is the Baseline situation (please indicate the references of
the information gathered).

2. Objective(s) and Results What are the specific objectives of this activity and what results are
expected (100 words expected. Please include a description of short term outputs and
approx.) longer-term outcomes.

3. Business case (Approx 150 The business case should demonstrate the necessity for the finance
words) solution, the feasibility and the possible impact.

4
Please use quantitative information when available. Numbers can
be used to demonstrate the problem to solve and to show feasibility
and impact.
Business case can contain the following information:
- economic contribution of sector;
- potential social and environmental impact;
- cite examples where a similar finance solution has been
successfully applied;
- implication to improvement in governance;

Example 1:
- Tourism contributed roughly 8.1% to the national GDP in
2016 and supported 122,000 direct jobs in the country.
- Strong interest in nature-based tourism is illustrated by the
rapid growth of PA visitors in the last few years.
- The Agency for Protected Areas manages about 8.6% of the
land area of the country and the PA estate could expand if
adequate financing was available (NBSAP target 12% by
2020).
- The experience of Agency for Protected Areas thus far
demonstrates the potential to grow its own revenues at
significant rates.
- High levels of own revenues greatly enhance the financial
sustainability of PA systems and allow adequate financing of
conservation, research, and management.

Example 2:
- The government is currently improving the EIA process and
the Ministry of Environment is seeking better integration of
biodiversity and ecosystem services into the EIA policy.
- The necessity to improve EIA is illustrated by the plan to
increase the total number of Hydro Power Plants (HPPs)
from existing 64 to 166 by 2022.
- Effective EIA systems ensure that applicants carry the costs of
avoidance and mitigation which would otherwise become
the burden of the state and wider society.
- The proposed government’s EIA reform and improvements
also meet EU harmonization requirements.

An improved EIA system will attract responsible investors (e.g. the


IFC, EBRD, ADB and private banks that are signatories to the
Equator Principles).

5
4. Structure of the Finance Describe how the finance solution is structured, detailing the
Solution (100 words different mechanisms utilized and how they function.
approx.)
Example:
The USD 50 million Trust Fund will be divided in a USD 35 million
Endowment Fund and a USD 15 million Sinking Fund. The
Endowment Fund will be financing projects in 10 years when the
interests will have grown sufficient and the Sinking Fund will start
financing conservation projects in 2020.
The funds will be received from ODA, government budget and
philanthropy

5. Description of Activities Provide a concise description of the specific activities to be


and Milestones to implemented, and specific milestones with deadlines. Bullet points
Implement the Finance are fine if detailed.
Solution (150 words
approx.)

6. Institutional What is the implementation arrangements for this project/ finance


Arrangements (100 words solution? Who will do what? Who will be responsible for the specific
approx.) results described above?

7. Main risks and Discuss the main risks and management response including where
management response for possible, Human Rights, Environmental, Social, Political, review
solution implementation UNDP Social and Environmental Standards for details.
(100 words approx..)

8. Sustainability and Explain how the work will be sustained or effectively


institutionalization (100 institutionalized.
words approx..)

9. M&E (100 words approx.) How will impact be monitored? List Key Performance Indicators
(KPI) and identify according baselines and targets to be achieved, all
of which helps answer the question: how will we know that the
finance solution has succeeded?
• An indicator is a variable that provides simple and reliable
means to measure achievement, to reflect the changes
connected to an intervention, or to help assess the performance
of an intervention or programme
• Baseline: The indicator value before BIOFIN started (most cases
can be zero - 0)
• Target is the value the indicators aims at after implementation

The LGU partner may select applicable indicators from the


following:

6
• Capacity development:
o Number of stakeholders with increased basic knowledge
on the specific finance solution by participating in
trainings, workshops, etc. (disaggregated by gender).
o Number of stakeholders with increased practitioner
knowledge on the specific finance solution through direct
participation to the implementation of the finance
solution (disaggregated by gender).
• Number of partnerships for this solution (i.e. signing an MOU,
being part of the implementing partners, being part of a work
plan for the implementation of a final solution) disaggregated
by:
o Public sector
o Private Sector
o NGOs
o Academics
• Total amount generated by the finance solution:
o Generated Finance from the start until the end of the
project:
▪ Increased generated revenues for biodiversity
conservation or sustainable use.
▪ Resources aligned to benefit biodiversity
conservation or sustainable use.
▪ Increased financial delivery of existing funds.
▪ Estimated avoided expenditures for biodiversity
conservation.

Development of additional specific indicators:


Examples of additional indicators that could be adapted to a finance
solution:

Finance results:
• Finance solution Return on Investment (ROI)
• Improved financial planning and delivery

Capacity building
• Number of benefiting organizations as a result of finance
solutions implementation
• Number of local communities benefited

Partnerships

7
• Number of formal partnerships with institutional key
stakeholders: number of key stakeholders involved in the FS/
number of key stakeholders

Biodiversity
• Number and total hectarage of protected areas or key
biodiversity areas receiving funding from

Indicator Baseline Target

Example1: FS ROI Zero (0) as the FS has no return 15%


yet in 2018
Example2: Total amount of Zero (0) as the FS has not USD 10´000.000 mobilized by
mobilized resources mobilized resources from the 2022
onset
Example 3: Number of formal Zero (0) as the FS has not Target=8
partnerships with institutional involved key stake holders before (The FS aims at engaging with 3
key stakeholders key Ministries, 2 government
agencies, 2 companies and 1
NGO)

8
SECTION 2 – ACTION PLAN AND BUDGET

Please provide the following information:

ACTION PLAN AND BUDGET


Timeframe Responsible Funding Costs1
Activities
… … … … actor/s source (PhP)
Preparatory activities (includes feasibility
studies, stakeholder engagement, etc.):
-
-
-
-
Implementation
-
-
-
Validation
-
-
-
TOTAL

1 Please add budget years if needed.

9
STAGE 5 – WRITING THE PROTECTED AREA FINANCE
PLAN
STAGE 5 – WRITING THE PROTECTED AREA FINANCE
PLAN




STAGE 5 – WRITING THE PROTECTED AREA FINANCE PLAN

Titles
1 National and Regional Planning Context
1.1. The Importance of the Protected Area in meeting SDGs and long-term national, regional,
development goals
1.2. Values of the Protected Area
2 DPSIR Analysis
3 Budget and Expenditure Analysis
4 Investment requirements for the Protected Area
5 Vision for Protected Area Finance
6 Summary description of the preferred finance solutions
7 Projected investments from the finance solutions
8 Protected Area Investment Program
Annexes Proposals for the finance solutions
Project briefs
STAGE 5 – WRITING THE PROTECTED AREA FINANCE
PLAN
STAGE 5 – WRITING THE PROTECTED AREA FINANCE
PLAN

RESPONSIBILITY CENTERS TIMEFRAME RESOURCE


FUNDING REQUIREMENTS
ACTIVITIES
SOURCE
Primary Secondary 2021 2022 2023 Costs Others
Preparatory activities DENR-PAMO LGU-MENRO X DENR-LGU 50k Consultants,
(FS/ business case 50k meetings
studies, etc.)
Approval and MoA DENR-LGU PAMO-MENRO X Meetings,
signing consultations
Implementation DENR-LGU PAMO-MENRO X X LGU 5M Staff support,
vehicles,
logistics
M&E DENR-LGU PAMO-MENRO X LGU 500k Staff support,
vehicles,
logistics
Total 5.6M
STAGE 5 – WRITING THE PROTECTED AREA FINANCE
PLAN

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