As part of its National Adaptation Programme of Action, Nepal has established a Climate Change Knowledge Management Centre and a Multi-Stakeholder Climate Change Initiative Coordination Committee. Nepal has also initiated local adaptation plans of action, appointing district and village development committees to act on climate change adaptation. This last has provided an important entry point for LoCAL to support local governments and communities in climate change adaptation.


Despite its relatively small size, Nepal has very diverse climatic conditions. Over 80% of the country’s population depend on agriculture and forest resources for their livelihoods, which makes the Nepali people highly vulnerable to climate change. Climate change impacts projected for Nepal include significant warming, particularly in the middle hills and at higher elevations, leading to reductions in snow and ice coverage; increases in climatic variability and the frequency and intensity of extreme weather events, including floods and droughts, and in areas with no past history of such events; and changing precipitation patterns (increase in regional precipitation during the wet season, decrease in precipitation in the middle hills, shortened monsoon, longer dry spells). Like other Himalayan populations, the Nepalese thus live in areas with a high risk of floods, soil erosion and landslides; increased snow melting rates will further exacerbate the risk of glacial lake outbursts and their related flash floods.

Objectives, results and activities

The aim of LoCAL-Nepal is to demonstrate the role and ability of local bodies in promoting climate change resilience through mainstreaming climate finance into the inter-governmental fiscal transfer system and the local planning and budgeting process. The expected results are as follows:

  • Increased awareness of climate change and potential adaptation/resilience-building responses amongst local bodies and communities
  • Modalities for mainstreaming climate resilience in local public expenditure management systems tested and available for scale-up
  • Strengthened local body capacity for climate change resilience/adaptation planning, financing and implementation, gender equity and social inclusion
  • Arrangements for tracking and reporting on climate change adaptation expenditures at the local level designed and tested


  • LoCAL-Nepal is integrated in the Local Government and Community Development Project (LGCDP), Phase II, together with the UNDP-UNEP Poverty and Environment Initiative (PEI).
  • The performance-based climate resilience grant (PBCRG) system was successfully designed and tested in pilot districts. The LoCAL grants are aligned with the existing District Development Fund flow of funds and reporting modalities and are thus strengthening the existing fiscal transfer system in Nepal. The menu of eligible resilience investments comprises two categories: at the district level, the menu has a strategic and cross-sectoral focus; at the village level, the menu focuses on improving the climate resilience of community livelihoods and existing small infrastructure.
  • Through consultation workshops, two districts — Dhading and Rupandhahi, which already benefitted from support from the PEI — were selected as implementation sites, along with five villages.
  • LoCAL stakeholder mapping, implementation guidelines and capacity development plans were prepared through district- and village-level stakeholder consultation; these were then disseminated, with a total of 71 participants trained.
  • Project funding matrixes for implementation in the selected villages of Dhading and Rupandehi for Nepalese fiscal year 2071/72 were prepared, and possible activities under LoCAL support for fiscal year 2072/73 were enlisted.

Adaptation measures and investments

The first adaptation measures and investments are expected in 2015, following the first cycle of planning and budgeting for the LoCAL PBCRGs

Lessons learned

  • To undertake climate change adaptation activities effectively and efficiently, an incentive-based performance system should be applied beyond the local bodies even for the service delivery institutions .
  • Meaningful participation of vulnerable and marginalized communities through bottom-up planning needs to be ensured. Such participation helps integrate climate change risk management activities into community development and planning processes.
  • At programme outset, a number of stakeholders at the village level were not fully aware of their role and responsibilities. Awareness raising and capacity enhancement are very important at programme start.
  • The District Development Fund would benefit from establishing a dedicated window or fund for addressing environment and climate change issues.

Way forward

The recent earthquakes in Nepal and the resulting devastation in the LoCAL programme districts underscore the need to upgrade existing infrastructure standards and ensure construction quality and maintenance. LoCAL will support rehabilitation and reconstruction efforts through provision of more resilient infrastructure and strengthening of community institutions.


Government of Nepal

  • Ek Raj Sigdel
    Local Environment Specialist
    Local Governance and Community Development Programme
    Ministry of Federal Affairs and Local Development
  • Pushpa Koirala
    LoCALProgramme Officer
    Ministry of Federal Affairs and Local Development


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Phase I budget (2013-2016)


Phase II budget (2016-onwards)

Stories from the Field

Our Team

Kathmandu, Nepal

Ms. Pragyan Joshi
Programme Analyst

Ms. Kamlesh Lama
Programme Associate

Mr. Fakri Karim
LoCAL Programme Manager