CPI is supporting the UK government to assess the climate and development impacts of its pioneering £130 million equity investment in the Climate Public Private Partnership (CP3) program. This investment is one of the first times any government has deployed overseas development aid in a private equity fund to drive private investment in climate change mitigation and adaptation in developing countries and so is attracting a lot of interest from the international aid community. Over a three year period, CPI will carry out monitoring and evaluation of the program, developing new methodologies and indicators to accurately monitor the effectiveness of CP3 as a delivery mechanism. We will also undertake case studies that look in depth at the impacts of individual CP3 investments.
CPI’s assessment of the impacts of £130 million of UK aid is informing the Department for International Development’s (DFID) design of key performance indicators against which to measure and report the results of its investments, in particular to measure whether CP3 has mobilized private finance that would not otherwise have been invested. These indicators are used internally to assess ongoing performance and ensure that taxpayers’ money is used effectively to deliver on goals for poverty reduction and low-carbon, climate-resilient development. Assessments based on the indicators are also published externally to promote learning among the international aid community.