Civil Society and Private Sector Management

The component supports community-based environment and natural resource management initiatives as well as private sector participation in providing investment services in, especially, arid and semi-arid lands related to renewable energy, water and natural resource management and market chain development. The support is implemented through the Community Development Trust Fund (CDTF) and the Agriculture Business Development (ABD) via the Micro-Enterprises Support Programme Trust (MESPT).

The component has a total budget of DKK 120.3 Million (approximately KSH 1,718 Million) and is a continuation of activities under the former Danida supported Environment Programme Support (2006-2010) and the Agricultural Sector Programme Support (2005-2010).

Community Based Environment and Natural Resource Management

The objective of the Civil Society Sub-Component is to capacitate civil society organisations and local communities to support and influence natural resource management, as a contribution towards poverty alleviation.

The sub-component is implemented in collaboration with the European Union through support to the Community Development Trust Fund (CDTF) for the further development and expansion of the Community Environmental Facility (CEF). The second phase of CEF aims at:

• Empowering civil society and communities to become involved in, and benefit from, environmental management and sustainable natural resource use through direct project implementation addressing local environmental problems;

 

• Encouraging partnerships between communities, the public sector and private stakeholders;

 

• Documenting and replicating best practices;

 

• Ensuring efficient delivery of capacity and funds to communities, using demand-driven approaches and existing delivery mechanisms; and

 

• Adapting an ecosystem approach to project design to ensure that environmental problems and solutions are seen in a broader perspective and that the suggested activities address all segments of the community.

Through calls for proposals, CDTF identifies community projects that qualify for support. An estimated 100 community development projects are likely to receive support through CDTF during the implementation of NRMP. The sub-component has a total budget of DKK 85 Million (approximately KSH 1,214 Million). An additional grant of DKK 15 Million is provided to CDTF through the Danida supported Fast Start Climate Change Programme in Kenya (2011).

Private Sector Participation in Natural Resource Management

The sub-component aims at supporting the private sector to provide pro-poor oriented services for investments in small-scale management of water resources, renewable energy and the NRM-related market chain. Furthermore, the sub-component harnesses the potential for involving local business opportunities in rural areas for natural resource management and climate change adaptation. Specifically, the sub-component aims at:

• Development of NRM and renewable energy packages and value chains for business and lending for MSEs (value chain analysis are available for download on the left);

 

• Market/value for NRM, including certification and innovative finance, climate finance and ecosystem services;

 

• Contracting MSEs for natural resource management and renewable energy service provisions;
• Support packages to MSEs with natural resource management services and renewable energy focus;

 

• Advocate for improved business opportunities addressing NRM and rural energy;

 

• Design of incentive schemes, e.g. climate finance.

The support is implemented by the Agricultural Business Development (ABD) who provides funding for lending to farmers and small businesses in seven districts in the arid and semi-arid lands in Kenya. Funding is provided via the Microfinance Enterprise Support Programme Trust (MESPT) for micro-finance institutions and farmers’ associations. MESPT is an autonomous Kenyan organisation, founded by the Government of Kenya and the European Union, and it is the institutional host for the ABD component.

The total budget for the sub-component is DKK 35.3 million (approximately KSH 504.3 Million). ABD-MESPT is also supported through second phase of the Business Sector Programme Support (BSPS II).