Memo for Principles for Dialogue on Climate Action

    The Working Draft of the “Principles for Dialogue on Climate Action” document is a result of collaboration between colleagues from both the Climate CCSA and T&C. Please note that the document will be refined further with collaboration from additional partners and may end up looking substantially different at the end of the consultation phase. The final set of principles will be launched at the May event in Vienna and will be one of the key highlights of Day 1.


    Why are we developing principles?

    The Paris Agreement set out an ambitious plan to turn the principles of climate change mitigation and adaptation into action. The Agreement encompasses both significant financial commitments and the establishment of structures and mechanisms whereby countries can design and implement viable actions to meet agreed-upon goals. These actions will require inclusive dialogue.


    The Principles for Dialogue on Climate Action will serve as the beginning of a concerted effort to foster the dialogue among public and private sectors to push climate change agenda. However, if not designed well such dialogues can fall prey to vested interests or become simply “talk shop”. The principles are based on lessons learned and good practices to help create a common standard and a framework to serve as a solid foundation on which to establish climate dialogues. Such dialogues will improve the ability of companies (and other equally relevant stakeholders) to play an active role in the design of policies and initiatives that tackle climate change. These principles have benefited from T&C’s vast experience in PPDs in other sectors and its increasing work on climate change.


    Who is the target audience?

    The primary target audience will include all donors, client governments and multilateral institutions. Specifically, it will provide our clients with a clearer picture on how to engage with the private sector on policies that relate to climate change.


    What other principles already exist?

    IFC/WBG have recently signed on to the Principles for Mainstreaming Climate in Financial Institutions that were launched at Paris (see jointly with 23 other partners; managing between them roughly US $11 trillion. These principles are focused on the financial sector and propose 5 voluntary principles. Our proposed principles are broader in their application but compliment the 5 principles on mainstreaming climate into financial institutions. The World Bank Group along with the OECD also published “The FASTER principles for Successful Carbon Pricing” that is based on evolving initial good practices and seeks to inform governments on the fair principles to price carbon. The Principles for Dialogue on Climate Action are complimentary to these and offers governments dialogues as a tool to engage with private sector on successful carbon pricing.  UN Habitat has also recently launched “Guiding Principles for City Climate Action Planning”. 


    Process and immediate next steps

    This week we will launch our collaboration platform and invite our partners to work with us virtually over a period of 4 weeks, culminating hopefully with a final approved version of the principles by April 15. The principles will then be shared with all speakers/moderators so that the principles are weaved into the various discussions and presentations at the event. The principles themselves will be officially launched at the end of the day on May 24th as part of the day’s closing. Over the course of the 2 day event, we expect to learn more about the application of these principles to specific topics such as Standards & Labeling, Cities, and Global Supply Chains. We will then issue guidance notes for the principles on how they will be applied in practice and try to link them to one of the coming COPs.


    Who are the partners collaborating with us on the principle and what is our “ask” of them?

    We have a broad and diverse set of partners who have agreed to come together and form a “committee” to refine and finalize these principles. So far our partners include: SE4ALL, Danish Industry (DI), ISO, WWF, Dalberg, SITRA, CLASP, and Carbon Trust. We expect these principles to be endorsed by the respective partners in that they will advocate these principles, commit to use them in their work, and support the implementing partners to integrate these in the work they do at the country level.


    Going forward, what do we hope to achieve?

    Post-event we intend to pilot and implement these principles into our operational work and publish detailed guidance notes along with topic specific notes. We expect these principles will be endorsed by all the partners.


    Other opportunities we are exploring include: ( i ) building an external community of practice with these partners leveraging the virtual platform to share ideas and knowledge (ii) engage with these partners annually to revisit and revise principles based on experience (iii) potential collaboration and support to development partners and donors in helping them with implementation.