DOF ready to support LGUs’ climate finance mobilization

The Department of Finance (DOF) is prepared to provide local government units (LGUs) with quicker access to climate financing through proper resource mobilization and private sector participation.

“The DOF stands ready to assist LGUs in the realization of their climate projects, thus advancing the Philippines’ climate agenda as envisioned in the President’s 8-Point Socioeconomic Agenda of establishing livable and sustainable communities,” Finance Secretary Benjamin E. Diokno commented.

With the theme “Bayanihan Para sa Klima: Bagong Bansang Matatag,” the Climate Change Commission (CCC) is hosting the 16th Global Warming and Climate Change Consciousness Week (CCC Week) from November 19 to 25, 2023.

As part of the CCC Week, Finance Undersecretary Maria Luwalhati C. Dorotan Tiuseco attended the Stakeholders Forum for Accelerated Climate Action and Transformation for Local Communities (ACT LOCAL) on behalf of Secretary Diokno on November 21, 2023 at the Crown Plaza Hotel.

During the panel discussion on Unlocking Climate Funds to LGUs, Undersecretary Tiuseco underscored that the protection and resiliency of individuals and communities lie at the core of the government’s development agenda.

In fulfillment of its mandate, the DOF has been directing more strategic resources for better adaptive capacity at the local level, investing in resilient communities and local governments, and mobilizing resources for social protection.

For instance, as Chair of the People’s Survival Fund (PSF) Board, the DOF has made history by swiftly approving 11 climate adaptation projects and 6 projects for Project Development Grant (PDG) with a combined amount of PHP 889.6 million. This increased the PSF’s utilization rate to 89 percent, leaving only 11 percent of the initial allocation of PHP 1 billion.

The PSF was established under Republic Act No. 10174 in 2012 to finance adaptation programs and projects of LGUs and accredited local and community organizations.

In the past, two primary issues hindered the swift processing of project approval by the PSF Board: the lack of capacity to prepare bankable projects and the tedious procedures.

Upon taking up the role of PSF Secretariat in 2017, the DOF