C40 Cities Finance Facility

The C40 CFF facilitates access to finance for climate change mitigation and resilience projects in urban areas by providing technical assistance to develop cities’ sustainability priorities into bankable investment proposals.

C40 Cities and GIZ (Deutsche Gesellschaft für Internationale Zusammenarbeit)
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Verified by C40
Oct 12th, 2021

About

The C40 Cities Finance Facility (CFF) supports C40 cities and selected non-C40 cities in developing and emerging countries in preparing climate action infrastructure projects for climate mitigation and adaptation. Together with their partner cities, the CFF ensures technical feasibility of project proposals and evaluates different capital providers and funding streams to identify the most suitable financing solution. CFF works to strengthen the capacity of partner cities along the project preparation process and enables cities to scale-up and replicate successfully prepared projects. Generated knowledge and lessons learned are shared with other interested cities through various formats with city networks, practitioners, and policy makers. The CFF is jointly implemented by GIZ and the C40 Climate Leadership Group.

The CFF is a BMZ commissioned project, co-financed by the Agence Française de Développement (AFD) and the UK Department for Business, Energy and Industrial Strategy (BEIS). To date, CFF has supported the preparation of 20 projects in 18 cities. Together, these projects are projected to reduce over 2.5 million tons of CO2 equivalent GHG emissions over 30 years and leverage an investment volume of USD 650 Million.

Assistance Criteria

Initial eligibility criteria include:

  • Project maturity – The project must have achieved a minimal level of maturity for CFF support.
  • Tangible infrastructure project – The project needs to be a concrete infrastructure project. Plans, policies or campaigns are not eligible.
  • Completeness of application – The application submitted to the CFF must be complete with all relevant information available to the city.
  • For C40 Cities that CFF already works with – Differentiation from previous CFF project. For cities that the CFF has already worked with, the new proposed project needs to be of a different type of support provided by the CFF before.

The city selection process is a competitive one. After the close of call for applications, the CFF evaluates the proposals to shortlist projects for advanced due-diligence. Advanced due-diligence includes city visits by the CFF team, intensive discussions with city officials, and a second stage application form for the CFF to get a better understanding of the proposed project. A technical gap analysis is also conducted at this stage.

Overall, the application process includes an assessment of a projects’ potential to contribute towards the city’s mitigation and adaptation goals and strategic priority to the city, as well as considering the impact of the project on the city’s wider social and economic development. This takes into consideration improvements to livelihoods and employment, opportunities for women and potential economic benefits, particularly for the poorest residents of the city.

Cities need to provide evidence that the projects submitted to the CFF for support are featured in the relevant city development plans and that these projects have the necessary political backing for bringing them to financing and realisation. To be eligible for support, city administrations need to have own resources allocated to the project preparation and a project management team assigned.

Support

Approximately USD 1 million in technical assistance. Support will vary considerably depending on project needs.

Application Process

The CFF will select projects from April 2021. The detailed timeline will be announced on the CFF website or newsletter. In a first moment, the application portal is open for C40 cities only. At a later stage, non C40 cities will be invited to apply.

The initial deadline for submitting applications is June 6, 2021. Applications will be reviewed as soon as they are received. Potential changes will be reported on the CFF website. Please see accompany our website for the most current information on the call for applications.

Overview of application process:

  • Applications will need to be made online on the CFF website.
  • The CFF team is available to support cities through this application process throughout the duration of the application window to answer queries and to ensure that cities have sufficient information about the CFF. Please contact the CFF team at contact@c40cff.org and the C40 Regional Directors to arrange a time should you wish to avail of this support.