No Objection Procedure

Purpose and Background of the No-Objection Procedure

Formally adopted by the GCF in its Eighth Board Meeting in October 2014, the no-objection procedure is a core element of the funding proposal and approval process. The procedure has two key purposes:

• To ensure that projects and programmes put forward for the Board’s approval are consistent with national climate strategies and plans and country-driven approaches; and
• To provide effective direct and indirect public and private sector financing by the Fund.

A Letter of No-Objection by the NDA - the result of a successful no-objection procedure - is a mandatory condition for the approval of all funding proposals submitted to the Fund.

There are three occasions in which a No-Objection from the NDA may be requested:

1. The No-Objection Letter is required for the approval of all funding proposals submitted to the Board.
   
   In cases where funding proposals are not accompanied by a No-Objection Letter, the funding proposal will not be processed for the Board’s consideration until the NDA provides a Letter of No-Objection.  This must be done within 30 days of the GCF Secretariat notifying the NDA of the missing letter, otherwise the proposal will be suspended, and the Secretariat will notify the Accredited Entity (AE)or intermediary of the suspension. This will be based on the assumption that the proposal does not meet the national requirements and therefore does not have the support of the NDA.
    
2. No-Objection is also required for Concept Notes when an application to the Project Preparation Facility (PPF) is submitted. The GCF guidance specifies that the Accredited Entity should make PPF applications after consultation with the relevant NDA. A Letter of No-Objection for the PPF request should be included in the PPF application.
    
3. A Letter of No-Objection is optional for Concept Notes of full funding proposals that are submitted to the GCF Secretariat for feedback, but the AE must inform the NDA about its submission of a concept note to the GCF. Further to this, it is recommended that, in consultation between the AE and NDA on the concept note, the requirements of the no-objection procedure should be taken into consideration at this stage.
    

(D-2) No Objection Procedure SVG Final