Environmental Economics Specialist- Payment for Ecosystem Services – Ref No. IC/BIOFIN/2022/17 - For Sri Lankans only

Consultant

Contract

This is a National Consultant contract. More about National Consultant contracts.

Background

National governments have demonstrated clear commitment to fulfil their mandates for biodiversity conservation and sustainable use in ways compatible with national development goals and to identify a diverse range of financing solutions for biodiversity management. As a country with high biodiversity and high endemicity, the responsibilities entrusted with the country for managing the biodiversity in sustainable manner is enormous. But unfortunately, Sri Lanka has been identified as a biodiversity hotspot in the world and the track record of achieving the nationally owned biodiversity targets is also not satisfactory within last decade mainly due to lack of resources allocated for sustainable management of biodiversity.

Resources available for sustainable biodiversity management can be increased through four different strategies. Namely they are 1). generating resources for the biodiversity management 2). Realignment of investments for other sectors 3) Increase the efficiency of existing investments on the biodiversity sector 4). Avoid possible future expenditures for restoring the biodiversity. One key measure that could be taken to generate more resources for sustainable use of biodiversity is through Payments for Ecosystem Services (Biodiversity Finance Plan 2018).

In practice, PES often involves a series of payments to land or other natural resource managers in return for a guaranteed flow of ecosystem services (or, more commonly, for management actions likely to enhance their provision) over-and-above what would otherwise be provided in the absence of payment. Payments are made by the beneficiaries of the services in question, for example, individuals, communities, businesses, or government acting on behalf of various parties. The basic idea behind PES is that those who provide ecosystem services – like any service – should be paid for doing so. PES therefore provides an opportunity to put a price on previously un-priced ecosystem services like climate regulation, water quality regulation and the provision of habitat for wildlife and, in doing so, brings them into the wider economy. The novelty of PES arises from its focus on the ‘beneficiary pays principle’, as opposed to the ‘polluter pays principle’. PES provides one means to increase the supply of an ecosystem service, or services.

UNDP has been assisting the Government of Sri Lanka (GoSL) since 1967 to achieve sustainable human development in economic, social and environmental fronts. Working closely with the GoSL at national, regional and local levels, Climate and Environment Team (CET) of UNDP is building up institutional, legal and individual capacities to respond to the effects of climate change and natural and manmade disasters, by exploring the potential of renewable energy and resource efficiency in production and consumption, while supporting reform and modernization of the environmental management systems and protecting our biodiversity.

Interest in Payment for Ecosystem Services has been in Sri Lanka for a quite some time without any field level testing. To test out the viability of applying PES in the conservation landscape BIOFIN project invested in a pilot PES using a small or small hydropower plant and the communities in the corresponding catchment or watershed area was carried out.

PES Pilot Project in Sri Lanka was conceptualized with the objective of establishing a pilot PES mechanism for conserving watershed ecosystem services in a given small-hydro scheme operated by a private sector entity to test the feasibility of using PES as an innovative financing mechanism for biodiversity and ecosystem conservation. This process was planned out to be carried out in two Phases.

These phases were;

• Phase I – Implementation of the Pilot Payment for Ecosystem Services (PES) Project with a private sector organization and Advocating for a PES Policy.
• Phase II – Demonstrating the PES mechanism and help up-scale the findings and the model in other potential small hydropower projects in operation.

During 2019-2020 period, phase 1 was carried out partially with the involvement of IUCN and Vidul Lanka Plc.

Under the guidance of and in collaboration with the Government of Sri Lanka, UNDP BIOFIN project will assist the completion of the remaining part of the Phase I and the Phase II. UNDP seeks the services of an Environmental Economics Specialist who could advise on the financial aspects from an environmental economics perspective related to policies and strategies development related to promotion of PES and ‘PES-like’ innovative financial instruments in Sri Lanka. S/he should work closely with the Ministry of Environment, Ministry of Power, Private Sector organizations, industry regulators such as Central Environment Authority, Public Utilities Commission of Sri Lanka and Sustainable Energy Authority and relevant international and national civil society organizations. s/he should work as a team with the Policy Specialist-PES who will be hired by UNDP separately.

THE ASSIGNMENT

The Environmental Economics Specialist will support the Policy Specialist PES to provide technical inputs to the objectives 1 and 2 described below which will support the Government of Sri Lanka to successfully operationalize the mechanism and institutionalize the PES pilot described above (Phase 1) and provide environmental economics perspectives to the policies and practices related to PES and ‘PES like’ models in Sri Lanka.

The Consultant will be working in collaboration with the Policy Specialist-PES who would lead the efforts in developing policies and institutional frameworks that would be useful in promoting PES and ‘PES like’ instruments in Sri Lanka. The Consultant will report to National Project Coordinator-BIOFIN under the overall guidance of the Team Leader (CET) at UNDP Sri Lanka. Further S/he should work under the guidance of Regional Technical Advisor of BIOFIN.

SCOPE AND OBJECTIVES

The objectives of this assignment are;

1. Analyze the gaps and challenges in the current PES model in the hydro power sector and provide recommendations to institutionalize the PES mechanism for mini hydro power sector
2. Analyze the opportunities for PES and/or ‘PES like’ models to support watershed conservation and catchment forest conservation including viable policy and institutional frameworks required to facilitate their implementation in Sri Lanka.
3. Provide concrete recommendations/develop guidelines for the application of PES and/or ‘PES like’ models to increase sustainable financing flows for biodiversity and conservation in the country.

Duties and Responsibilities

Under the overall guidance of the Team Leader cum Policy Specialist of Climate and Environment Team, Regional Technical Advisor of BIOFIN and Project Coordinator-BIOFIN, the Environmental Economics Specialist-PES will be responsible for the following functions:

1) Assess economic viabilities of PES and/or ‘PES like’ instruments to be used in Sri Lankan hydro power generation sector.

1.1 Identify best data sources – specific to Sri Lanka or if such data unavailable use proxy data in line with the international best practices- that can be used to develop models to find out financially viable PES and/or ‘PES like’ instruments in Sri Lanka

1.2 Develop financially viable economic models for implementation of PES and/or ‘PES like’ instruments in Sri Lanka with clear assumptions

1.3 Identify possible stakeholders to engage with in implementing the PES and/or ‘PES like’ instruments in the country and support the Policy Specialist-PES to understand the willingness of the stakeholders to participate in models implementation.

1.4 Develop a viable economic model/s to institutionalize involuntary contributions promotion for PES and/or ‘PES like’ instruments

1.5 Analyze the current gaps and recommend an institutional mechanism including financial flows and intermediary support required for mini hydro PES models feasible. The recommendations should be made after stakeholder consultations and considering factors such as willingness to pay and valuation processes. Further it should elaborate payment modalities and procedures / conditions involved in payments.

1.6 Analyze the policies related to watershed management in Sri Lanka to promote PES and/or ‘PES like’ including the challenges for operationalizing such opportunities.

1.7 Identify suitable international best practices in collaboration with the BIOFIN team and explore opportunities to exchange experiences with them

1.8 Review existing information base for PES design in collaboration with the Policy Specialist-PES including but not limited to land use information, watershed mapping, valuation, and propose practical institutional frameworks and policy tools for the Types of Transfers ( Public-Public/ Public -Private / Private -Public and Private -Private); Types of Intermediaries (State / Semi- government /Non-government /Private Sector); Types of Payments (Voluntary /Involuntary); and Size of the transaction costs and who will bear the transaction costs

2) Develop guidelines for implementation of financially viable PES and/or ‘PES like’ instruments involving sustainable watershed management in Sri Lanka

2.1 Analyze national policies and regulations pertaining to forestry, watershed management, land use planning, plantation management, agricultural practice improvement, Climate Change, industrial usage of water and soil conservation/ land degradation in terms of the scope available for financial transaction between the buyers and sellers of ecosystem services

2.2 Identify possible modifications if necessary for the policy/regulatory landscape that could facilitate financial transactions between the potential buyers and sellers of ecosystem services in implementation of PES and/or ‘PES like’ instruments

2.3 Develop a roadmap in collaboration with the Policy Specialist-PES to implement one or two pilot level programmes with potential existing projects or programmes

2.4 Support Policy Specialist-PES for designing of a capacity building programme for implementation of PES and/or ‘PES like’ instruments in Sri Lanka focusing on design, implementation and monitoring for public, private sectors and non-governmental organizations.

Key Deliverables

1. Inception report covering the refined methodology, initial desk review of data sources that can be used for PES modelling and specific technical support required from the BIOFIN Regional Advisor and any other technical support required.
2. Progress Report 1: After completing 1.1, 1.2, 1.3, 1.4 and 1.5 activities listed under the expected outputs
3. Progress Report 2: After completing 1.1, 1.6, 2.1 and 2.2 activities listed under the expected outputs.
4. Final Progress report – After completion of 1.7, 1.8, 2.3 and 2.4 activities listed under the expected outputs.

EXPECTED DELIVERABLES & DUE DATES

No.

Tasks and Deliverables

Due date

Amount (LKR)

1.

Inception report covering the refined methodology, initial desk review of data sources that can be used for PES modelling and specific technical support required from the BIOFIN Regional Advisor and any

other technical support required.

15 May 2022

20% of the total amount

2.

Progress Report 1: After completing 1.1,

1.2, 1.3, 1.4 and 1.5 activities listed under the expected outputs

15 August 2022

30% of the total amount

3.

Progress Report 2: After completing 1.1,

1.6, 2.1 and 2.2 activities listed under the expected outputs

15 October 2022

20% of the total amount

4.

Final Progress report – After completion of 1.7, 1.8, 2.3 and 2.4 activities listed under

the expected outputs

20 December 2022

30% of the total amount

TIMEFRAME

The envisaged time frame of the consultancy is for a maximum of 40 working days spread over 8 months from the commencement of the contract. The payments will be based on the deliverables and number of days that may need to complete the work may vary depending on the practical issues.

Competencies

• Language – Excellent English language skills in addition to Sinhala/ Tamil.

Required Skills and Experience

• Master’s degree in Environmental Economics or related field;
• At least 10 years of experience in analyzing natural resources management policies in terms of economic impact and advocacy at national level;
• Excellent knowledge of the UN procedures;
• Familiarity with the PES concepts and Sri Lankan institutional structure for water management and power generation would be an added advantage;

PRICE PROPOSAL AND SCHEDULE OF PAYMENTS

Consultant must send a financial proposal based on Lump Sum Amount. The total amount quoted shall be all-inclusive and include all costs components required to perform the deliverables identified in the TOR, including professional fee, travel costs, living allowance (if any work is to be done outside the IC´s duty station) and any other applicable cost to be incurred by the IC in completing the assignment. The contract price will be fixed output-based price regardless of extension of the herein specified duration.

Payments will be done upon completion of the deliverables/outputs and as per below percentages:

• Deliverable 1: Inception report covering the refined methodology, initial desk review of data sources that can be used for PES modelling and specific technical support required from the BIOFIN Regional Advisor and any other technical support required: 20% of total contract amount
• Deliverable 2: Progress Report 1: After completing 1.1, 1.2, 1.3, 1.4 and 1.5 activities listed under the expected outputs: 30% of total contract amount
• Deliverable 3: Progress Report 2: After completing 1.1, 1.6, 2.1 and 2.2 activities listed under the expected outputs :20% of total contract amount
• Deliverable 4: Final Progress report – After completion of 1.7, 1.8, 2.3 and 2.4 activities listed under the expected outputs: 30% of total contract amount

In the event of unforeseeable travel not anticipated in this TOR, payment of travel costs including tickets, lodging and terminal expenses should be agreed upon, between the respective business unit and the Individual Consultant, prior to travel and will be reimbursed.

Evaluation Method and Criteria

Individual consultants will be evaluated based on the following methodology,

Cumulative analysis

The award of the contract shall be made to the individual consultant whose offer has been evaluated and determined as a) responsive/compliant/acceptable; and b) having received the highest score out of set of weighted technical criteria (70%). and financial criteria (30%). Financial score shall be computed as a ratio of the proposal being evaluated and the lowest priced proposal received by UNDP for the assignment.

Technical Criteria for Evaluation (Maximum 70 points)

• Criteria 1: Master’s degree in Environmental Economics or related field – Max 10 points

• Criteria 2: At least 10 years of experience in analyzing natural resources management policies in terms of economic impact and advocacy at national level - Max 20 Points

• Criteria 3: Experience related to biodiversity management and Payment for Ecosystem Services models development - Max 20 points
• Criteria 4: Experience related to develop projects involving public and private sector agencies – Max 20 points

Only candidates obtaining a minimum of 49 points (70% of the total technical points) would be considered for the Financial Evaluation.

HOW TO APPLY

By accessing UNDP Jobs site: http://jobs.undp.org

Documentation required

Interested individual consultants must submit the following documents/information to demonstrate their qualifications. Please group them into one (1) single PDF document as the application only allows to upload maximum one document:

• Personal CV, indicating all past experience from similar projects, as well as the contact details (email and telephone number) of the Candidate and at least three (3) professional references.
• Technical proposal, including a) a brief description of why the individual considers him/herself as the most suitable for the assignment; and b) a methodology, on how they will approach and complete the assignment.

Incomplete proposals may not be considered.

FINANCIAL PROPOSAL

All Inclusive cost: LKR ( )

Amount in words: Rs. )

Letter of Confirmation of Interest and Availability (Financial Proposal) using the template provided in Annex II to be e-mailed seperately. Note: National consultants must quote prices in Sri Lankan Rupees. Financial Proposal to be sent to consultants.lk@undp.org email address.

Annexes

• Annex I - Individual IC General Terms and Conditions
• Annex II – Offeror’s Letter to UNDP Confirming Interest and Availability for the Individual IC, including Financial Proposal Template

For any clarification regarding this assignment please write to ramitha.wijethunga@undp.org

Note: Payments will be based on invoices on achievement of agreed milestones i.e. upon delivery of the services specified in the TOR and certification of acceptance by the UNDP. The applicant must factor in all possible costs in his/her “All Inclusive Daily Fee” including his/her consultancy and professional fee, travel (local and international - economy class flights is required to and from the Duty Station) honorarium, board and lodging, and any other foreseeable costs in this exercise. No costs other than what has been indicated in the financial proposal will be paid or reimbursed to the consultant. UNDP will only pay for any unplanned travel outside of this TOR and Duty Station on actual basis and on submission of original bills/invoices and on prior agreement with UNDP officials. Daily per diem and costs for accommodation/meals/incidental expenses for such travel shall not exceed established local UNDP DSA rates.

UNDP shall be entitled to all intellectual and other proprietary rights associated with all products, documents, processes, inventions, ideas, know-hows, policy papers and other material which the consultant under this TOR has developed.

For an Individual Contractor who is 65 years of age or older, and on an assignment requiring travel, be it for the purpose of arriving at the duty station or as an integral duty required travel under the TOR, a full medical examination and statement of fitness to work must be provided. Such medical examination costs must be factored into the financial proposal above. Medical examination is not a requirement for individuals on RLA contracts.

Incomplete applications will not be considered. Please make sure you have provided all requested materials.

UNDP is committed to achieving diversity within its workplace, and encourages all qualified applicants, irrespective of gender, nationality, disabilities, sexual orientation, culture, religious and ethnic backgrounds to apply. All applications will be treated in the strictest confidence.

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Added 2 years ago - Updated 2 years ago - Source: jobs.undp.org