Rwanda Environmental Management Authority (REMA) / United Nations Development Programme (UNDP) Rwanda
Subsidies and incentives, while well-intended, can often have harmful or negative impacts on biodiversity which in turn impact societies and economies at a local and national scale. Repurposing, or greening, these subsidies would contribute towards achieving national targets for biodiversity conservation and could afford significant fiscal savings by aligning fiscal frameworks. UNDP Rwanda, under the Biodiversity Finance Initiative (BIOFIN) and in accordance with biodiversity targets set out by the Government of Rwanda, has commissioned this study to assess subsidies and propose redesign options. The project will support a much-needed transformation towards a more resilient and sustainable economy in Rwanda.
OneWorld has been commissioned to support REMA in undertaking the required assessment of Rwandan subsidies with potentially harmful impacts on biodiversity in Rwanda and propose redesign options for a prioritised selection of these. Specifically, OneWorld is undertaking a rapid and in-depth, comprehensive screening exercise to identify and prioritise subsidies harmful to biodiversity using a Multi Criteria Decision Analysis (MCDA). We will also undertake a political economy analysis and a cost-benefit analysis in Rwanda to determine the potential of various redesign options for the prioritised subsidies.
These analyses will inform the development of subsidy redesign scenarios which, in turn, will guide the development of a plausible and implementable redesign action plan for each subsidy. This assignment will be underpinned by in-depth desktop review and ongoing stakeholder engagements with all major Rwandan stakeholder groups to inform and validate the assessment and action plans. Finally, OneWorld will develop three Policy Briefs to present the redesign action plan for three existing subsidies to policy and decision-makers.
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