Deadline: 20-Dec-21
The Private Enterprise Development in Low-Income Countries (PEDL) is seeking applications for its 2nd Special Exploratory Research Grant (ERG) Call on Climate Change in coordination with Center for Economic Policy Research (CEPR) and in partnership with UK Aid.
These dual crises of climate change and environment will be solved with some combination of policy, behaviour and technology. The private sector is central to the solution to both the climate and environmental crises. PEDL invites proposals on projects related to climate and the environment. They particularly encourage proposals related to adaptation and resilience in the face of climate change, and projects on mitigating pollution and improving local environmental conditions. They also welcome proposals on climate change mitigation, particularly proposals that provide evidence on the costs and benefits of mitigation to firms in PEDL-focus countries.
Focus Areas
- Energy
- The private sector plays a role in developing a reliable electric grid necessary to meet growing demand of firms and households. There is an interaction between investment and regulatory policy, especially as the latter relates to long-term power purchase contracts.
- How can renewables and storage support the development of reliable electricity grids?
- What are the sources of regulatory and investment risk for private sector investment in renewables, and how can these be mitigated?
- The private sector plays a role in developing a reliable electric grid necessary to meet growing demand of firms and households. There is an interaction between investment and regulatory policy, especially as the latter relates to long-term power purchase contracts.
- Transport
- Adoption of electric vehicles is increasing in high-income countries, and investment in electric motorcycles and three-wheelers in increasing the Africa and South Asia. But electric mobility is only one aspect of transport. Mass transits systems and streamlining transport logistics are also very active areas in PEDL-focus countries.
- What are the challenges to and benefits from adoption of electric transport?
- What is the role of the private sector in mass transit?
- What are the constraints to increasing efficiency of transport of goods?
- Adoption of electric vehicles is increasing in high-income countries, and investment in electric motorcycles and three-wheelers in increasing the Africa and South Asia. But electric mobility is only one aspect of transport. Mass transits systems and streamlining transport logistics are also very active areas in PEDL-focus countries.
- Industrial Production
- Energy use in industrial processes contributes arounder one-quarter of CO2 emission globally. From a development perspective, the effect of industrial production on air quality is at least as important. Brick kilns alone are estimated to be responsible for as much as 58% of PM2.5 in Dkaka in the dry season.
- What is the role of the innovation and technology adoption is reducing emissions of both PM 2.5 and GHGs?
- How can policy interact with the private sector to achieve results?
- What determines the uptake of energy-saving innovations by private sector firms?
- Energy use in industrial processes contributes arounder one-quarter of CO2 emission globally. From a development perspective, the effect of industrial production on air quality is at least as important. Brick kilns alone are estimated to be responsible for as much as 58% of PM2.5 in Dkaka in the dry season.
- Trade
- GHG emissions of producers of exported goods may be thought of as induced by the final consumers of those goods. Tariffs in both producing and consuming markets may skew prices of carbon-intensive and non-intensive goods.
- How do import policies impact production decisions and technology adoption?
- How are climate mitigation demands of consumers in higher-income countries transmitted through buyers to producers in lower-income countries?
- GHG emissions of producers of exported goods may be thought of as induced by the final consumers of those goods. Tariffs in both producing and consuming markets may skew prices of carbon-intensive and non-intensive goods.
- Markets for risk
- Insurance is an important factor in resilience at the level of the farmer or firm. Insurance may also be necessary to encourage investment in capital-intensive sectors like grid-scale renewables.
- How are the effects of climate change distributed across firms of different sizes, sectros and locations?
- What innovations are required in local insurance markets to mitigate the increased risks arising from climate change?
- In the absence of full insurance markets, what are the adaption strategies of firms in PEDL-focus countries?
- Insurance is an important factor in resilience at the level of the farmer or firm. Insurance may also be necessary to encourage investment in capital-intensive sectors like grid-scale renewables.
- Innovation
- Innovation will play a major role in the resolution of either of these crises.
- What are the constraints to adoption of climate friendly technologies, be they internal (e.g., management) or external (e.g., finance, market prices) to the firm?
- Is green tech imported or produced domestically?
- Innovation will play a major role in the resolution of either of these crises.
Funding Information
- ERG projects typically run for 12 months.
- ERGs are grants of between £10,000 and £40,000. These grants will fund research assistance, data collection and new surveys in LICs, and (if necessary) teaching buyouts for the principal investigator. Please note that cost effectiveness and value for money are important evaluation criteria and costs considered to be unreasonable may result in a lower proposal rating.
Country Criteria
Please note that an important criterion for funding of proposals is the relevance to policy in LICs and other eligible countries as defined by the PEDL Programme. Proposals for projects outside the focus countries should make a clear case for the relevance of the research to policy in lower-income countries, and also justify why the research is feasible only in non-target countries. Note that they are currently unable to fund projects located in Myanmar and Palestine.
Eligibility Criteria
- PEDL’s focus is on all LICs and any Tier 1 LMICs (i.e. LMICs in which FCDO has a bilateral programme).
- PEDL will consider proposals for research in other LMICs but they should make a clear case for the relevance of the research to policy in LICs, and also justify why the research is only feasible in a non-focus country (e.g. because of exceptional data availability). Note that we are currently unable to fund projects located in Myanmar and Palestine.
For more information, visit https://pedl.cepr.org/content/2nd-special-erg-call-climate-change
