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Country Environmental Analysis and Climate Change - April 22, 2009



There is a plethora of country-level analytical work at the Bank, and one of the emerging issues is the value added of the existing analytic tools in addressing climate change. This workshop focused on how climate change related issues are being addressed in Country Environmental Analysis (CEA), a key environmental diagnostic tool that is being used by all regions in the Bank to mainstream environmental issues in the context of country level policy processes.




The workshop aimed to: (i) introduce participants to the analytic building blocks of a CEA, such as priority setting and institutional analysis; (ii) illustrate through country case studies how climate change issues are being addressed as part of ongoing CEAs; and (iii) provide a forum for discussion of the value added of CEAs in addressing climate change issues.


Key points


Introduction to CEA. The workshop provided an overview of CEA, its key building blocks, and described quantitative approaches (in particular cost of degradation analysis, net savings approach) typically used in CEAs to help determine priorities.  It further presented results from the review of the Bank’s 5-year CEA experience and provided examples of how completed CEAs have addressed climate change.


Addressing Climate Change in Ongoing CEAs: Ecuador and Philippines CEAs. The workshop featured two case study examples of ongoing CEAs with a particular focus on climate change. In both the Ecuador and the Philippines CEAs, climate change issues were not the main focus of the reports, but part of a broader discussion of environment development priorities. However, addressing climate change as a part of this broader dialogue catalyzed a wider debate on the importance of climate change in both countries. In terms of the scope of climate change analysis, the Ecuador CEA assesses climate change risks and threats, conducts an institutional gap analysis, and provides recommendations for addressing climate change. The Philippines CEA focuses on climate variability and impacts on the country’s economy, possible adaptation and mitigation measures, existing policy and legislative initiatives, and the country’s organizational and implementation mechanisms for climate change. The two case studies helped distill the following three main messages on addressing climate change in CEAs:

  • CEA could be an entry point for climate change discussion within the broader  environment development framework
  • Climate change was initially a minor focus area of the CEA.  However, the CEA process eventually helped push the discussion on climate change and raise the profile of the issue in the country
  • There are variations, as illustrated by both case studies, in how climate change is addressed  within CEAs.

 Regional Perspectives and Panel Discussion. A panel discussion highlighted regional perspectives from Africa, Middle East and North Africa, and South Asia regions. There was general agreement that CEA is one of many existing tools that can be valuable in addressing climate change. While new tools are needed to address the  challenges posed by climate change, it is important to also use existing diagnostic tools, especially those, as experience shows, that have had tangible results in specific country contexts.  CEAs can be useful in several respects. They can help provide an entry point and/or raise the profile of climate change issues in the context of a broader policy discussion on environment and development.  Methodologies used within CEAs (such as institutional analysis) can be used to analyze climate change issues. CEAs can also have a climate focus and involve a detailed analysis of climate "smart" growth involving analysis of both mitigation and adaptation options in a country. Further, analysis carried out in a CEA can highlight the “double dividend” in improving environmental management and in enhancing resilience to climate change in specific sectors (e.g. forestry). However, in using the tool it is important to emphasize that climate change is not just an environmental but a broader development issue.

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Workshop Materials