COLOMBIA: ARTICLE 6 LOGISTIC SECTOR SCOPING STUDY
INTRODUCTION TO GGGI
The Global Green Growth Institute (GGGI) is a treaty-based international, inter-governmental organization dedicated to supporting and promoting strong, inclusive and sustainable economic growth in developing countries and emerging economies. To learn more please visit about GGGI web page.
GENERAL INFORMATION
- Project: Supporting Preparedness for Article 6 Cooperation (SPAR6C)
- Duty Station: Bogotá, Colombia or Remote (within Colombia)
- Contract Duration: 01 December 2024 – 15 April 2025
- Consultant Level: Level 4
- Total Fees: 19,920 USD
PROJECT BACKGROUND
The Carbon Pricing Unit (CPU) of GGGI is implementing several programs related to scaling up international carbon trading, now covered by Article 6 of the Paris Agreement. By opening these markets and the resultant flow of transactions it is envisaged a robust and reliable global price for carbon can be established, something many governments and private sector actors have long called for as a way to motivate the transformational change needed to achieve the ambitious goals of Paris. GGGI’s Article 6 programs provide technical assistance and capacity building to government counterparts to improve their readiness for Article 6 engagement. These programs support the design of projects and policies for pilot transactions and strengthening of institutional frameworks required for their implementation.
The Supporting Preparedness for Article 6 Cooperation (SPAR6C) Program, funded by the International Climate Initiative (IKI) of the German government, is a five year, 20M EUR program from 2022 to 2027. Its objective is to use Article 6 (A6) cooperative approaches to engage the private sector in NDC implementation and to raise ambition. This will enable cost-efficient, flexible, high integrity carbon markets with positive sustainability impacts. Transformative design of A6 pilots for real transactions of internationally transferred mitigation outcomes (ITMOs) will be enabled by research-based capacity building in four partner countries: Colombia, Pakistan, Thailand and Zambia. The program consists of six work packages, of which two are centrally managed and four are country driven. In the first two, best practice tools and approaches to implement cooperative mechanisms will be developed, underpinned by an international forum – a community of practice of Article 6 implementing countries - that brings together countries and practitioners, who share the common objective of raising ambition through markets. In-country implementation will focus on three areas of work in each of the four countries: 1) Long-term planning, 2) institutional readiness to transact and 3) pilot design and transactions. More than eight A6 pilot programs will be implemented in Colombia, Pakistan, Thailand and Zambia based on a toolbox of innovative guidance and approaches for transformative A6 design.
The program is implemented through a consortium led by GGGI and consisting of UNEP Copenhagen Climate Centre, Carbon Limits AS, GFA Consulting Group GmbH, and Kommunalkredit Public Consulting GmbH. SPAR6C is supporting Colombia in developing its institutional, regulatory, and technical framework and capacities to embark on Article 6 transactions of ITMOs during the NDC implementation period 2020-2030 of Paris Agreement.
Implementation of Article 6 in Colombia requires to analyze what subsectors could have better possibilities and the degree of readiness to access carbon markets, for which different conditions must be evaluated to determine viability for projects under Article 6.
Evaluation of projects by subsector in the readiness and needs assessment of Colombia indicated that the energy sector has better conditions to develop projects under article 6 considering the mitigation measures identified and quantified by the NDC update and their degree of implementation or progress, the capacities of the sector in institutional terms or experiences in the voluntary carbon market, additionality for Article 6 of the Paris Agreement, the instruments or information systems, among others; followed by the housing and agriculture sector. However, this assessment was carried out at a sector-wide level and not to a degree of a mitigation measure/activity/subsector.
To conduct the sub-sector analysis, SPAR6C constructed a project database related to Article 6, designed a method to evaluate projects in the framework of Article 6, with the criteria defined by the UNFCCC for now, and evaluated the potential to transition some projects from CDM to Article 6.4. This exercise is still under development and is helping the Ministry to identify the potential emissions that will be sold or can be traded in the carbon market if accomplishing all the requirements from the UNFCCC and the national government.
Moreover, this analysis can be completed using Guide 2 “Developing an A6 Host Party Strategy” and Guide 5 on “Screening Article 6 Activities” of the SPAR6C global A6 Toolbox , as an instrument to identify the potential of the subsectors, measures, or activities to participate in the A6 carbon market. These guides will inform the national analysis for three subsectors in which we will include other criteria as government frameworks, the options for the sustainable development of the activity beyond the potential benefit of the carbon market, sensitivity analysis for different parameters, and other parameters proposed by the experts.
All these inputs will be used to develop a sector analysis methodology, which will be applied for three (3) subsectors or activity: hydrogen, forest restoration, and one industrial subsector.
The third subsector or activity was expected to be part of the industrial sector to evaluate what could be impacts or the articulations between different carbon instruments such as the carbon tax, the ETS Program and the carbon market. After some technical discussions, the logistic operations measure of the NDC was chosen for its reduction potential and the level of implementation. The logistics sector in Colombia has developed significantly in recent years. However, the country has huge challenges to maintaining its growth and competitiveness in the future under the implementation of supply chains and vehicles that comply with global environmental sustainability schemes and emissions reductions.
The main objective of this workstream is to begin the process of Article 6 mitigation activity development in Colombia. By assessing Article 6's potential in various sectors, SPAR6C aims to identify mitigation actions with high GHG reduction potential and promote a transformational change in the sectors.
OBJECTIVES OF THE ASSIGNMENT
GGGI is seeking a qualified logistics sector ( transport logistics area) expert with extensive experience in project evaluation, structuring, low-carbon transition strategies, climate change, and public policy analysis.
The selected professional will conduct a comprehensive scoping analysis of Colombia’s logistics and transport sectors within the framework of Article 6 of the Paris Agreement, to identify the opportunities, challenges and potential of this activity as indicated in the NDC to become one of the eligible sectors for Article 6.2 or 6.4 transactions in Colombia.
SCOPE OF WORK
Activities
Under supervision of the GGGI Colombia Senior Mitigation Associate, with additional orientation provide by the Senior Officer – Policy Coordinator & SPAR6C Colombia Project Manager, the consultant will support the following activities:
1. Preparation of work plan of activities coordinated with GGGI.
2. For the activities for logistic and transport logistics area in Colombia, develop a general analysis report of the context in the country in the implementation of the mitigation measure included in the NDC portfolio, including the constrains, enabling conditions, opportunities, and other relevant information that give an integral view of the measure.
3. Plan and develop surveys, round tables, workshops/focus groups and any strategic meetings to collect the information required and discuss the initial results to receive feedback.
4. Participate in relevant meetings, events and visits where stakeholders related to logistic industry are present to gather information related to the study. Also, in industry events and congresses as needed to research information and current issues in the sector. This activity will be coordinated with the SPAR6C team.
5. Identify the progress in the Monitoring, Reporting and Verification of the mitigation measure and the requirements and steps must be taken to ensure monitoring of the results, link them with emissions in the National GHG Inventory and be available to assess the potential corresponding adjustments.
6. Identify and evaluate potential benefits and risks of the Article 6 international market mechanisms for the implementation of projects in this subsector from the private and national perspective in terms of mitigation outcomes, compliance with the NDC, cost effectiveness, sustainable development benefits, financial returns, multiplier effect and transformational change, international demand, among others.
7. Construct a gap analysis with the requirements that must be accomplished or changed at national and/or sectoral level to ensure the implementation of projects in this subsector for Article 6.
8. Analyze the various cost and finance implications of the mitigation measures and their implication for Article 6 viability.
9. Compile a list of potential logistics operations projects, along with key stakeholders and their contact information, in the industrial and transport sectors. These projects could be candidates for further examination in a pre-feasibility analysis under Article 6.2 or 6.4 of the Paris Agreement
10. Identify and analyze the regulation pertaining the mitigation actions included in the logistics NDC measure, with a focus on their alignment with the objectives and requirements of Article 6.2 and 6.4 of the Paris Agreement. The analysis should assess how regulation may impact the feasibility and implementation of projects aimed at achieving emissions reductions and participating in carbon market mechanisms.
11. Develop a technical report scoping the viability of Article 6 for the logistics NDC mitigation measure in Colombia directed to GGGI and the Colombian government (Ministry of Environment and Ministry of Trade, Industry and Tourism) with the main results, the findings, and potential recommendations to be considered, including conclusions about the potential role of A6 role to implement mitigation actions in the subsector. This report should incorporate but not be restricted to the use of SPAR6C Guidebooks 2 and 5 available at www.spar6c.org.
12. Generate content suitable for concept notes, reports, presentations, and other support materials required by GGGI related to SPAR6C and this mitigation measure.
13. Present the results to the Ministry of Trade, Industry and Commerce, and Ministry of Environment and Sustainable Development in coordination with the SPAR6C Team.
14. Work in tandem with the GGGI team and other SPAR6C Consultants to support preparedness for Article 6 in Colombia and attend periodic team meetings.
15. Carry out monthly reports of activities held through the consultancy.
Main Deliverables
(1) Work plan
One (1) detailed work plan (in English and Spanish) that includes at least the following aspects: management approach, activities, deliverables, potential workshops and strategic meetings, development times, delivery times, and responsibilities. The document should include the proposed preliminary structure for the final document of the analysis to be submitted.
(2) Report with the analysis of the context in the country in the implementation of the measure according with the NDC portfolio.
One (1) document presenting an analysis of the context in the country in the implementation of the measure, including the constrains, enabling conditions, opportunities, and other relevant information that give an integral view of the measure. This document must include the following items:
- Identification of the relevant actors for the implementation and participation of the measure in the article 6 carbon market.
- Concept note of the proposed approach and information to be collected through the development of surveys, round tables, workshops or focus groups.
(3) Draft report with Article 6 Logistic sector Scoping
One (1) document presenting a draft report of logistic sector scoping for Article 6 viability with the progress in the following activities:
- Identification and analysis of potential benefits and risks of the Article 6 international market mechanisms for the implementation of projects in the subsector from the private and national perspective.
- Findings from interviews, events, workshops and/or focus groups.
- A gap analysis with the requirements that must be accomplished, changed or updated at national, local and/or sectoral level to ensure the implementation of projects in this subsector for Article 6.
- List of potential logistics operations projects, along with key stakeholders and their contact information, in the industrial and transport sectors.
- Scoring against SPAR6C Guidebooks 2 and 5 as modified methodologically by SPAR6C Colombia team.
- Technical report for GGGI and the government with the main results.
(4) Article 6 Logistic sector Scoping Report and presentation
One (1) final document presenting the logistic sector scoping for Article 6 with as a minimum the following items:
- Country context
- Scoring against SPAR6C Guidebooks 2 and 5 as modified methodologically by SPAR6C Colombia team, with documentation and rationale.
- Identification and analysis of potential benefits and risks of the Article 6 international market mechanisms for the implementation of projects in the subsector from the private and national perspective.
- A gap analysis with the requirements that must be accomplished or changed at national and/or sectoral level to ensure the implementation of projects in this subsector for Article 6.
- List of potential in logistics operations projects in the industrial sector that could be later examined for a pre-feasibility analysis for Article 6.2 or 6.4. Including a general information of each one.
One (1) Power Point Presentation presenting the methodological approach, findings of the study.
(5) Summary Report
One (1) word document no longer than 10 pages (in English and Spanish) and a PowerPoint Slide deck no longer than 10 slides (in English and Spanish) summarizing the main outcomes of this consultancy will be developed by the consultant, and with the most important milestones, achievements and corresponding recommendations. All the database developed for the analysis and other relevant information.
Deliverables, timing and payments
The consultant will support the activities developed by the SPAR6C team and the activities mentioned before, the payments carried out the following outputs and times:
| PAYMENTS | DELIVERABLES | DELIVERY TIME | DELIVERY TIME FOR PAY |
QUANTITY |
| 1 | Delivery 1. Work plan | 1 week after signing the contract | 3 weeks after signing the contract. | 15% |
| 2 | Delivery 2. Report with the analysis of the context in the country in the implementation of the measure | 5 weeks after signing the contract | 6 weeks after signing the contract | 20% |
| 3 | Delivery 3. Draft report with Article 6 Logistic sector Scoping | 9 weeks after signing the contract | 10 weeks after signing the contract | 20% |
| 4 | Delivery 4. Article 6 Logistic sector Scoping report | 14 weeks after signing the contract | 16 weeks after signing the contract | 30% |
| 5 | Delivery 5. Summary Report | 18 weeks after signing the contract | 19 weeks after signing the contract | 15% |
Reporting Arrangements
The consultancy will be supervised by the Sectoral Mitigation Senior Associate of SPAR6C Colombia, to ensure the timely and quality delivery of the products described in the contractual objectives. Follow up of activities will be done taking as reference the agreed working plan and further amendments as agreed.
• The consultant's work progress will be monitored primarily through periodic review meetings for planning, and biweekly meetings for prioritizing activities, changing in priorities and scope of deliverables. These review meetings will tackle subjects such as overview of contractual objectives, development of activities, detailed information milestones, actual achievements made against the timeline initially settled, and any other relevant progress details. The assessments will be carried out under the guidance of GGGI staff.
• The consultant will carry out the foreseen activities virtually, and in person as agreed in the workplan and during its progress.
• All products (documents with their annexes and infographics, diagrams, tables, and any graphic developed to facilitate understanding of technical contents) will be delivered in digital media, in open files that allow their edition.
• In terms of language, all reports and deliverables will be delivered in Spanish. The first deliverable (work plan) and an executive summary (2-3 pages a word document and 5-slides PowerPoint document) at the end of the consultancy must be presented in both languages Spanish and English.
• The consultant must submit monthly progress reports in GGGI's standard template.
• All relevant technical documents, reports and other documents prepared from the beginning to the end of the consultancy will be attached to the Final Report.
Suggested methodology
The consultant is expected to have biweekly interactions with the Sectoral Mitigation Senior Associate of SPAR6C Colombia as well as the Article 6 SPAR6C sectoral consultant, and periodically with the SPAR6C Colombia Project Manager. The consultant will be asked to report progress in relation to contractual objectives, activities, and milestones during the meeting. The consultant shall support the GGGI team in internal and donor reports with respect to the topics of the consultancy. The consultant shall communicate any proposed deviation from the Workplan to the GGGI supervisor.
Before submitting each deliverable, the consultant will be expected to share and circulate a draft version of the document with the GGGI Project Manager, allowing at least two weeks to receive comments and feedback. Submission of final deliverables must include a clean version as well as a tracked changes version (for MS Word documents) which includes responses to comments received.
Travel costs are included in the total amount of this contract for a maximum amount of USD $1800, to participate in industry events or related if necessary. In addition, GGGI will cover the costs of at least two focus group workshops.
EXPERTISE REQUIRED
The description of the required expert is as follows:
The candidate must demonstrate expertise in Colombia’s logistics sector, sustainable supply chains, transport technologies and infrastructure, and carbon accounting. The integration of international emissions reduction standards in Colombia’s markets is desirable.
• (REQUIRED) Must be a Colombian citizen, or a foreigner holding a valid Work Visa.
• (REQUIRED) At least 5 years of experience (preferably 8) in the industrial sector and logistic operations.
• (REQUIRED) Advance (Masters or PhD) degree in Industrial engineering, environmental engineering, production engineering, environmental management, sustainable development, sustainable supply chain and logistics, or other related fields.
• (DESIRABLE) previous experience with climate change international institutions.
• (DESIRABLE) Experience in climate change policy, carbon markets, greenhouse gas accounting methodologies and Greenhouse Gas inventories in the private and/or public sector.
• Proficiency in Microsoft Office applications (Word, Excel, PowerPoint, etc.)
• Exceptional analytical and quantitative skills; capacity for synthesis, presentation, and communication; and strategic thinking skills.
• Organized with excellent time management and attention to detail.
• Strong interpersonal skills and proven ability to work with teams.
• Strong command of spoken and written English and Spanish.
• Permission to work legally in Colombia is required.
ADMINISTRATIVE INFORMATION
• Selection method / process: Competitive Selection
• Required documentation: Application form, CV, and cover letter. Cover Letter, and CV must be sent in English.
• Timeline of the selection: 10 days.
• Date to close is Korean Standard Time (KST). Applications submitted after the deadline will not be considered Application.
Child protection – GGGI is committed to child protection, irrespective of whether any specific area of work involves direct contact with children. GGGI’s Child Protection Policy is written in accordance with the Convention on the Rights of the Child.