The KEPSA Environment Water and Natural Resources Sector Board held a sector board workshop on Green Business Environment Reforms to Accelerate Business Climate Actions for Resilience and Building back better on 22^nd – 24^th June 2022 at Semara Hotel in Machakos Count. The event was organized through the support of the NAP Readiness Support GCF Project through the National Designated Authority (NDA) – National Treasury and Planning in collaboration with the Food and Agriculture Organization of the United Nations (FAO).  The workshop aimed at strategically reviewing the emerging environmental and sustainability issues such as climate change, race towards net zero, green and circular economy, and ecosystems adaptation among others towards the realization of a conducive policy environment for private sector climate actions. It also aimed at forging a close working relationship between the private sector and the climate change regulatory entities.

The National Treasury and Planning, Green Finance and Climate Change, Unit, Mr Hillary Korir, lauded the partnership between government and private sector and FAO in taking an active role in strengthening the private sector role in climate change in Kenya.   As the National Designated Authority of the Green Climate Fund, the National Treasury and Planning provides strategic guidance for the Green Climate Fund in the country. It also issues a letter of no objection and issue nomination letter of an accredited entity among others. Currently, the country is developing the fourth medium-term plan IV and will seek to focus on Green Financing as one of the flagship programs to support mainstreaming climate change in all sectors.

In her opening remarks, KEPSA Head of PPD – Ms. Agatha Juma expounded on the role of KEPSA with a focus on the Public-Private Policy Dialogue Department (PPD). The PPD department coordinates KEPSA’s institutionalized policy dialogue engagement with the government and other stakeholders. Sector Boards thus play a critical role in influencing policy and regulatory environment for business and investment. Through the Environment Water and Natural Resources Sector Board, KEPSA has been at the forefront of shaping national strategic plans, policy and regulatory environment to address climate change and green reforms in Kenya. Toward this end, KEPSA has participated in the development of Kenya’s national response climate change strategy, Kenya’s First and Second National Climate Change Action Plan, Climate Change Act 2016, and Study on Landscape of Financial flows on Climate Change in Kenya, development of the Sustainable Waste Management Policy and Bill, Extended Producer Responsibility Regulations among others.  KEPSA has also contributed to the accelerated achievement of national tree cover support to NETFUND and KFS, a contribution valued at over 6.4 billion Kenya Shillings. There nonetheless exists gaps that the private sector needs for impact and environmental sustainability.

The Environment Water and Natural Resources Sector Board Chair, Ms. Emily Waita, expounded on the role of the environment sector board and some of the achievements realized out of the policy dialogue.  The sector board drives the environmental dimension of sustainable development realization in particular SDG6, SDG12, SDG13, SDG14 and SDG15. the need for a transformational shift of economies has resulted in a paradigm shift for embracing the balance of economic, social and environmental dimensions.  Towards this end, the sector board has led transformative changes in the policy space including integrating the private sector role in the country’s second national climate change action plan, sustainable waste management policy and bill, extended producer responsibility regulations and private sector strategy on climate change among others.  The sector board engages on both national and regional and international platforms.

The workshop will equip members with knowledge on Kenya’s environmental outlook, ecosystems and natural resources protection measures, climate change financing landscape and green fiscal incentives framework among others aimed at realizing a cohesive focused strategy for the sector board and the Climate Business Information Network-Kenya going forward.

Climate change finance policy and landscape and private sector strategy on climate change

On Day 2 and 3 of the KEPSA Environment, Water and Natural Resources Sector Board workshop, Dr. Walter Muturi – Representative, National Treasury and Planning – which is also the National Designated Authority (NDA) for Green Climate Fund, shared with members the climate finance policy, financing landscape and the GCF support.  He defined climate finance as funds from local (sub-national), national or transnational financing – drawn from public, private and alternative sources – to be applied toward activities that reduce greenhouse gas emissions or build climate resilience.

The urgent need for enhanced resilience as reflected in the United Nations Call for Action on Adaptation and Resilience.  From the recent climate finance landscape, the study indicated that the local private sector contribution to climate funds was still very low. A lot of climate financing contributions are by the private sector operating outside the country. He challenged the private sector to emphasise the great need for a change in this culture and took the delegates through the process of acquiring the GCF funds and the role of the National Treasury and Planning in facilitating the process.  

Kenya is also developing the Green Fiscal Incentives Policy Framework aimed at identifying and prioritizing the implementation of a coherent suit of green fiscal actions that will allow Kenya to exploit the opportunities of enhancing climate resilience and ensuring environmental sustainability accelerating the transition to a low-emissions development pathway while enhancing climate resilience and ensuring environmental sustainability.

Ms. Rose Rakwach from Japmore Enterprises in her presentation highlighted the water situation both globally and in the country. She then emphasized the great impacts of climate change on the availability of clean and safe water and noted that these impacts can be neutralized by ensuring sustainable water access. She also called out for all the sector players to track the water sources, take care of the natural ecosystem and invest in sustainable ways of water management.

Dr. Njoroge – Lead Consultant in his presentation on Private Sector Strategy on Climate Change (2018-2022), highlighted that climate change presents both risks and opportunities that the private sector should take advantage and act proactively in designing both adaptation and mitigation solutions for addressing climate change in Kenya.  The private sector actions involve integrating climate actions in business strategies, products and services and proactively seeking innovations and technologies that will help reduce the negative impact on the environment.

The co-presenter Ms Faith Ngige advanced presented on the institutional framework that will coordinate the implementation of the strategy through the Climate Business Information Network Kenya (CBIN-K).

Mr. Kennedy Ouma of the Kenya Climate Innovation Center shared with participants the private sector road map to CoP 27.  The road map includes publicizing business climate actions, the impact of CoP resolutions to business and the contribution or role of the private sector in addressing climate change both regionally and nationally.

Ms. Georgina Wachuka from Kenya Association of Manufacturers (KAM) Regulatory representative shared with members presented on Business Sustainability Framework for Manufacturing Sector. This includes plastic pollution management through plastic advocacy on the waste regulatory environment; capacity building of the plastics value chain actors – waste recyclers, collectors and Partnerships with Government and KEPSA – FOC MoEF, Plastic pact, and Partnering for Green Growth and Global Goals (P4G). On water and wastewater management, KAM conducts Water audits, Energy Audits to enhance material resource use efficiency. KAM is proactively leading in the implementation of EPR Regulations by supporting the formation of Producer Responsibility organizations (PRO’s).

The workshop has been hailed as very informative and empowered members with the current view of the triple crisis of climate change, pollution and biodiversity loss for proper alignment of strategies plans and advocacy agenda for the sector.