Background

The technology framework under the Paris Agreement highlights national systems of innovation (NSI) as a key topic under its innovation theme. The IPCC in its sixth assessment report emphasizes the transformative potential focusing on national and sectoral systems of innovation in developing countries for enhanced technology development and transfer. 

NSI is a network of actors, institutional contexts and interlinkages between them that underlie national technological change for example by initiating, modifying, importing and diffusing innovations and new technologies. The effectiveness of NSI in performing these functions depends on the development and performance of a country’s technology infrastructure, which is related to the presence, capabilities, and quality of NSI components. Technology centres, research, development and demonstration (RD&D) organizations, incubators and accelerators, educational and skills development institutions, and financiers are part of NSI.

The TEC has explored the role of and support for NSI in its previous policy work, including related to strengthening national systems of innovation to enhance action on climate change (2015), enhancing financing for the RD&D of climate technologies (2017), catalysing finance for incubators and accelerators (2018), innovative approaches to accelerating and scaling up climate technology implementation (2020), good practices and lessons learned from international collaborative RD&D (2021) and setting up and strengthening NSI (2023). 

CTCN supports climate technology development and transfer and strengthens NSI by connecting policymakers, RD&D institutions, and industry leaders. Through knowledge exchange and targeted support, it aids national decision-making with sectoral roadmaps, market assessments, and feasibility studies. Over the years, it has carried out numerous Technical Assistance (TA) projects across multiple countries. About two-thirds of its TA projects have incorporated elements related to NSI, one of the two enablers in the CTCN’s Third Programme of Work (2023-2027).

Guided by the technology framework, and informed by the latest available science, the joint work programme of the Technology Mechanism (2023-2027), which guides the work of the TEC and the CTCN, includes NSI as a common area of work. This thematic dialogue on NSI financing is jointly organized by the TEC and the CTCN.  

Objectives
Building on the previous work of the TEC and the CTCN on NSI, this dialogue aims to:

- Foster a common understanding of NSI and raise awareness of approaches & opportunities for financing actors, institutions and processes of NSI;
- Identify barriers in accessing NSI financing & explore ways to overcome the barriers;
- Discuss possible roles of various actors in enhancing financing of NSI;
- Inform future work of the TEC & the CTCN on NSI.

Moderator: Pemy Gasela, TEC

13:25-13:35 | Opening & scene-setting presentation
•    Thibyan Ibrahim, TEC Vice-Chair

13:35-13:45 | Testimonials: Success stories from NSI financing

•    Omar Saleh, Project Manager, CTCN technical assistance as part of the Adaptation Fund Climate Innovation Accelerator (AFCIA) programme - Improving adaptive capacities of the water sector in Pakistan
•    Severin Peters, Global Coordinator of the CATAL1.5°T Initiative, funded by the Green Climate Fund (GCF) and the Government of Germany - Boosting investments in promising early-stage climate ventures in Latin America and West Africa

•    Wafa Rhallam, CEO of VISIOPROCESS, Global Cleantech Innovation Programm (GCIP), supported by the United Nations Industrial Development Organization (UNIDO) in partnership with the Global Environment Facility (GEF) - Advancing energy efficiency solutions for buildings in Morocco
•    Enohi Ukpebor, CEO of E-Sam Energy, Global Cleantech Innovation Programm (GCIP), supported by UNIDO in partnership with the GEF - Providing customized renewable energy solutions in Nigeria


13:45-14:35 | Panel discussion: Financing NSI for increasing innovation and transformational impact of climate technologies

•    Marcus Johannesson, Senior Climate Change Specialist, Adaptation Fund
•    Patricia Marcos Huidobro, Senior Climate Change Specialist, GEF Secretariat
•    Federica Irene Falomi, Head of Programme, United Nations Technology Bank for Least Developed Countries
•    Julien Taris, Senior Financial Structuring Specialist, GCF Secretariat

14:35-14:50 | Open discussions

14:50-14:55 | Key takeaways and closing
•    Fred Machulu Onduri, CTCN Advisory Board Chair