Request for Proposal – Development and Training of National Climate Performance Audit Guideline for Nepal

Terms of Reference

For Consultancy Service

1. Background

The Government of Nepal (GoN) is a party to the United Nations Framework on Convention of Climate Change (UNFCCC) and has ratified the Paris Agreement, adopted during the 21st session of the UNFCCC (COP21). In 2016, pursuant to Article 3 of the Paris Agreement, Nepal submitted Nationally Determined Contribution (NDC) as commitment towards global efforts in addressing climate change. Nepal’s NDC covers a wide range of mitigation and adaptation actions and initiatives that aligns with existing plans and policies of sectorial ministries.

Government of Nepal (GoN) has taken various initiatives in devising appropriate policies, acts, programmes, and institutional and financial arrangements to achieve solutions to address the climate risks, promote low carbon economic development and achieve SDGs. The National Planning Commission (NPC) introduced climate change budget code system in 2012 to mainstream climate change in the planning and budgeting by tagging climate related budget in the Line Ministries Budget Information System (LMBIS). This climate budget tagging system provided the line ministries and agencies an opportunity to prioritize and allocate climate budget as well as track climate budget and report on the climate budget expenditure. Furthermore, under the leadership of the Ministry of Finance (MoF), the GoN endorsed a national Climate Change Financing Framework (CCFF) in 2017. The CCFF helps align strategies and action plans for climate mitigation and adaptation with bottom-up planning and budgeting processes and will enable existing climate change budget coding and expenditure tracking systems to expand both horizontally across sectors as well as vertically to the provincial and local level.

To this end, the GoN has reformed Public Finance Management (PFM) System as per the need to promote whole of-government approach in addressing climate change. The budget call circulars and budget formulation guidelines have been improved to provide necessary guidance to the line ministries to incorporate climate consideration while formulating development programmes. The guidelines provide ways of defining climate programme and categorizing the level of relevance to climate change. Proposed climate change budget is published annually as the annex of the Budget Speech of the GoN. Moreover, the Medium-Term Expenditure Framework (MTEF) of Nepal has also been climate responsive which provides climate change budget projection for next three fiscal years according to their relevance to climate change contribution. Additional modifications have been done in the PFM system to enable tracking of climate specific finances including its reporting. The Budget Management Information System (BMIS) at the MoF has been linked with Financial Management Information System (FMIS) at the Financial Comptroller General Office (FCGO) to track climate change expenditure and annually reported in FGCO’s consolidated financial statement. The PFM system uses IT based BMIS and FMIS to manage national budget. The linking helps in improving transparency in the delivery of climate change-relevant budget and reporting in real time. Another key area that the MoF has addressed is the analysis of the climate change expenditure, which the planners can use as an input for planning the climate related programmes of the following year. The analysis provides consolidated information on the physical progress made against the climate change-relevant investment across all climate-relevant sectors.

Click on the link below for detailed TOR:

TOR for Training on Implementation of National Climate Performance Audit Guideline

Deadline: 20-Sep-24 @ 07:15 AM (New York time)

For additional information and documents and for further application procedures, click on the link below:

Procurement | United Nations Development Programme (undp.org)