FAQ for IKI Thematic Call 2023

Project outlines can be submitted until 4:00 pm (CET) on 27 February 2024 exclusively via the IKI online platform and in English. Outlines that are not submitted within the deadline and in the designated way, but e.g. in paper form or as an attachment by e-mail, cannot be considered in the selection procedure.

The submission of the project outline to the IKI Office of ZUG, will be confirmed by email.

All project outlines submitted in due time via the on-line platform will be reviewed.

The International Climate Initiative (IKI) is open to various actors from Germany and abroad. The following types of organisations are eligible to apply: non-governmental organisations, universities and research institutions, implementing organisations of the Federal Republic of Germany as well as international intergovernmental organisations and institutions such as development banks, organisations and programmes of the United Nations, and commercial enterprises.

Individuals are excluded from IKI funding.

Private sector companies are also welcome to participate in the IKI Thematic Call. The German government strives to use public funds to improve the mobilisation of private investment for mitigation, conservation, and adaptation measures in emerging and developing countries.

However, the project must not be aimed at profit maximisation. Please also note the specific requirements for implementing organisations defined in the funding announcement.

On 19 November and 20 November 2023 the IKI held online seminars in order to give interested organisations an idea of what makes a good outline. A recoding of the seminar can be found here.

All partner countries must be ODA-eligible by the submission deadline (List of ODA-eligible countries). The number of partner countries is to be limited to five provided that the respective thematic priority is not aimed at fewer partner countries. Project outlines that include more than five partner countries will not be considered in the selection process.

Regarding the selection of partner countries and the geographical approach (country setting), there may be specifications in the respective thematic priority descriptions. These must be observed. Deviations from the specified geographical approach of the respective thematic priority will lead to the exclusion of the project outline.

If the geographical approach is not further specified in the thematic priority, the following principles apply: regional projects are preferred, bilateral projects are possible but should have a regional outreach, and global projects that cover more than one continent are eligible only in exceptional cases and with justification of the added value.

Bilateral means that a project is implemented in only one (ODA-eligible) country. Bilateral projects should have a regional impact.

For regional projects, up to five countries in the same geographical region can be selected for project implementation. The countries in the respective geographical region do not necessarily have to be neighbouring countries.

Global projects can also include up to five countries but cover more than one continent. Global projects are eligible only in exceptional cases and in the case of a particular added value or if the respective thematic priority explicitly requires a global approach.

In any case, the geographical approach of the project outline (regional/bilateral/global) must meet the requirements defined in the respective thematic priority and be adequately and clearly documented. The desired country setting must be defined in the project outline.

Thematic priority 7 requires a global approach for the country selection. That means: in total three to five countries located in at least three different regions which are on at least two different continents must be selected. For the classification of geographical regions, the IKI follows the definition of world regions of the United Nations. Furthermore, when choosing the country setting, please consider that project outlines responding to this priority should aim at reaching as many countries in different regions as possible. Thus, the institutions and countries involved in the project should act as multipliers in their regions. 

The stated regions Central Asia and Central America shall be seen as indicative examples. It is possible to include other regions.

A project outline must focus on one thematic priority. Each thematic priority addresses a complex challenge. In order to meet this challenge, the project must be tailored to the desired goals of a particular thematic priority. Co-benefits that result from the project and can be assigned to another thematic priority are certainly welcome. However, this does not lead to any advantage or higher ranking in the assessment. In the assessment, emphasis is placed on a project being clearly tailored to one selected thematic priority.

A preparation phase is not obligatory. However, it is recommended if, among other things:

• the lead organisation has no direct experience in implementing IKI projects;
• project regions for local measures must be defined together with the partner countries;
• the proposed consortium with the selected local partners has not yet co-operated in a long term project
• the success of the project is particularly dependent on a cross-sectoral connection in the partner countries and the participation of local actors

In the project outline, applicants must explain whether and why (or why not) a preparation phase is necessary for the preparation of the project proposal or project offer. The expenses involved in the preparation phase are eligible for funding/financing as part of the overall IKI Project budget  and reduce the IKI budget of the implementation phase accordingly. However, the duration of the preparation phase does not reduce the maximum term of the actual project. This means that the duration of the preparation phase is estimated in addition to the maximum project duration of eight years. The period and activities of the preparation phase must be clearly distinguished from the period and activities of the actual project (implementation phase). During the preparation phase, only measures of a preparatory nature are funded (e.g. baseline studies, assessment of the feasibility of work packages, safeguards and gender analyses, country visits, and stakeholder dialogues – also to strengthen cooperation with local governments and civil society). Measures to implement the project objectives of the implementation phase are not yet financed during this period.

For bilateral project outlines (project outlines with only one partner country), a letter of endorsement from the respective partner government must be submitted during the outline phase. At best, this should be available when the project outline is submitted. Otherwise, these letters of endorsement should be submitted upon request by the IKI Office.

A letter of endorsement can also be submitted for regional or global project outlines (project outlines with more than one partner country) during the outline phase; however, this is not absolutely required at this stage.

Further information on the requirements for the letters of endorsement as well as a template for the letters of endorsement can be found in the funding announcement under section 9.2 “Technical requirements for project outlines” and in annex 4.

Projects must be carried out in a consortium with at least two applicants; however, a German applicant does not necessarily have to be represented.

Successful project implementation depends on relationships built on trust and fair treatment of all consortium partners involved. The consortium partners stipulate the conditions underlying the cooperation (i.e. rights and obligations) in an internal agreement (cooperation agreement). As far as possible, the main features of the cooperation agreement should be agreed between the consortium partners when the project outline is prepared. (See information sheet of the funding announcement Appendix II).

Regional administrative authorities and subordinate authorities are not generally excluded from funding/financing by the IKI, but may be permitted after a case-by-case assessment. However, governments are not funded via the IKI. This includes the highest national public administration bodies in a country (i.e. national ministries and/or the presidential office of a country).

There is no limit to the number of outlines a single organisation can be involved in or the number of outlines an organisation can submit as consortium lead.

The following applies to national and regional offices of international organisations:

(1) Offices must be registered and pay applicable taxes in a partner country of the respective IKI project.

(2) The national or regional office can make independent decisions and is largely independent of instructions from the “umbrella organisation” in the operational design and implementation of project funds.

International organisations that do not meet these criteria cannot count their project budget share as local content – even if national personnel are employed in the project. National offices of international multilateral organisations (e.g. UN agencies, the GIZ, or the KfW), embassies of other countries, or the national offices of other bilateral donor countries therefore do not count as local content.

For more information please visit the IKI Website on the IKI local content regulation.

The respective minimum or maximum IKI funding volume differs according to the individual thematic priorities and is shown in the information on the individual thematic priorities. Exceeding or falling short of the IKI funding volume will lead to the exclusion of the outline. The budget planning should be realistic and comprehensible.

Furthermore, the amount of the planned average annual IKI funding volume should not exceed the average annual turnover of the lead organisation of the last three financial years. The total grant is decisive because the lead organisation receives it as the initial recipient. The average annual funding volume results from the planned total IKI financing volume and the planned project duration.

∅ annual funding volume: IKI total funding volume/years (project duration) ≥ ∅ applicant’s annual turnover 

Own funds usually refer to uncommitted financial resources that the lead organisation makes available from its own assets in order to finance the total eligible expenses of the project. Financial resources of the consortium partners are not classified as own funds but rather as external funds. In the case of grants, an appropriate contribution in the form of own funds as well as the mobilisation of additional financial resources is generally a prerequisite for IKI financing. The amount of own funds that is appropriate can be decided only on a case-by-case basis. The appropriate amount depends, in particular, on the financial strength of the lead organisation. There is no fixed minimum amount for the own contribution. Financing the purpose of the grant is primarily the responsibility of the applicants, which must therefore do everything they can reasonably be expected to do in order to raise the necessary funds themselves. The complete financing of measures from federal funds is possible only in exceptional cases.

In addition to own funds, external funds or third-party grants can be contributed. External funds are funds of the consortium partners or from private donors (e.g. companies, associations) who have an interest in the implementation of the project and make the funds available to finance the total eligible expenses. Confirmation of the donor regarding the provision of external funds must be provided in the second phase of the selection procedure (project proposal phase).

Third-party grants are exclusively funds provided by other public bodies. Other public bodies include federal and state institutions organised under public law, federal corporations, institutions, foundations under public law and their associations (regardless of their legal form), and all EU institutions.

Only uncommitted funds for which verifiable cash flows arise during the project duration can be counted as own funds in the budget.

Other participation by the lead organisation and the consortium partners as well as the political partners or third parties in the form of non-cash contributions (e.g. existing personnel, in-kind contributions, infrastructure) are principally welcome.

In principle, all expenses (personnel, material, and investment expenses) that are absolutely necessary and economically appropriate to achieve the purpose of the grant within the grant period are eligible for funding. These expenses must be presented in the budget plan.

The following expenses are not eligible:

• In the case of an input tax deduction entitlement according to Section 15 of the Value Added Tax Act, the (possibly pro rata), value added tax is not eligible for funding
• Expenses that cannot be substantiated with original receipts
• Expenses without proof of payment
• Unused discounts and rebates
• Expenses incurred outside the grant period
• Non-statutory insurance policies
• Expenses that cannot be clearly allocated to the project
• Expenses that result in later reimbursements (e.g. pledge, rent deposit)
• Expenses for first-class flights
• Miscellaneous and contingencies

In addition and without exception, the IKI exclusion criteria rule out certain activities which are considered too risky (for the environment and people) from IKI financing (see exclusion criteria).

A fixed limit or percentage is not defined. However, if the estimated administrative or indirect expenses appear to be too high in relation to the direct expenditure, the lead organisation is regularly asked to provide evidence for further assessment.

The IKI supports projects with at least gender-responsive project planning and implementation (see also information on carrying out a gender analysis). The IKI also particularly supports projects with a gender-transformative approach and/or projects with the promotion of gender justice as a main objective.

Gender-responsive projects take into account existing gender norms, roles, and relationships in their planning as well as inequalities that arise from them. They plan their activities in such a way that they do not promote these inequalities in the project context and ensure that all people – regardless of their gender – can effectively participate in and benefit from the respective measures. Potentials are actively promoted.

Projects with gender-transformative approaches aim to address the causes of unequal treatment (e.g. social norms and unequal gender roles) as well as unequal power structures. Their activities thus go beyond gender-responsive approaches, because they do more than “just” ensure that people can effectively participate in and benefit from the measures of the project regardless of their gender.

For more information and examples of gender-responsive and gender-transformative approaches in the context of the IKI funding areas, see Annex 1 of the IKI gender guideline.