In response to decision B.14/2, this document presents: (1) key lessons to guide the support of the GCF on collaborative research and development (R&D); (2) a set of non-mutually exclusive options and modalities for supporting collaborative research, development and demonstration (RD&D) within the GCF business model, which are to be employed by national designated authorities and accredited entities when accessing GCF resources; and (3) elements that may serve as bases for concrete steps for the Fund to further support the matter. The draft decision contained in annex I encourages stakeholders to employ the options identified informed by key lessons and proposes the launch of a Request for Proposals (RFP) targeting strategic actors to foster innovation in support of collaborative R&D. For the purpose of this paper, the concept used is collaborative RD&D, consistent with its application by the relevant UNFCCC thematic body.

This paper is complemented by an addendum (GCF/B.18/12/Add.01) which provides additional information on the link between collaborative RD&D and climate technology and transfer. It also identifies trends in collaborative RD&D of climate technologies, financing instruments, and an analysis of the GCF investment criteria and its relationship with collaborative RD&D. Case studies are provided to help illustrate the options for support.