The project cycle describes the various phases - and their sequencing - that a project must go through from beginning to end in order to realize its objectives. The precise formulation of the cycle varies from one agency to another, but the basic components are shown in Figure 1.

It enables an agency to track a sequence of actions to develop, implement and evaluate projects that leads in turn into new projects. The aim is to improve the management of projects by ensuring that all relevant issues and conditions are taken into account during design and implementation.

   (Figure 1)

What is the GEF Project Cycle?

The GEF project approval cycle defines the stages that a project must go through in order to be approved by the GEF and to receive allocation and/ or commitment of funding (Figure 2). There are 4 points in the project cycle where the GEF Secretariat and/or GEF Council play a role in reviewing and making decisions on providing funding for projects (referred to as Step 1, Step 2, Step 3 and Step 4 in the GEF Project Cycle Paper).

The current policies and procedures governing the GEF project cycle and programmatic approaches are listed in the information document “GEF Project and Programmatic Approach Cycles” presented to the GEF Council in November 2010. The revised project cycle aims to further streamle the approval process. Major features of the revised project cycle included the following:

• Final project documents will be posted on the GEF website upon CEO endorsement of an FSP or approval of an MSP.
• MSP approval can take one of the two paths:
  • single-step approval: Agencies submit a final MSP project document for CEO approval, afterwhich Agencies follow their own internal approval procedure and start implementation;
  • two-step approval: if a PPG is required for the preparation of an MSP, a PIF should be submitted together with the PPG request and seek CEO approval of PIF and PPG; when the project is finally well prepared, Agencies submit the final MSP project document for CEO approval, afterwhich Agencies follow their own internal approval procedure and start implementation.
• Target Elapsed time for FSP project preparation is 18 months, counting from the date the Council approves the work program to the date CEO endorses the final project documents for FSPs.
• Elapsed time for MSPs requiring a PPG continues to be 12 months from the date CEO approves the PIF with PPG to the date CEO approves the final project document for the MSP.
• Elapsed time for MSPs without a PIF will no longer be applicable since final MSP project document can be submitted for CEO approval on a rolling basis.
• To provide further transparency, all project review sheets for the PIFs in the work program are posted on the web alongside the PIF documents and the STAP screening reports.
• The approval of Program Framework Document for programmatic approaches (PAs) would follow different procedures depending on the type of GEF Agencies submitting the PAs. Two types of programmatic approaches are:
  • Programs Accessible to all GEF Agencies, and
  • Programs Accessible to a GEF Agency with a Board that approves projects.

   

How does the GEF project approval cycle relate to the project cycle of the GEF Agencies?
The GEF Agency that has been selected by the country as a partner for the project may have additional requirements for programming, appraisal, and implementation. OFPs should consult with the appropriate GEF Agency on these requirements. The Programming stage is particularly important for ensuring the integration of global environmental issues with national sustainable development priorities. The Project Implementation stage is carried out according to the rules and regulations of the GEF Agency, while respecting GEF requirements for monitoring and evaluation.

Who are the main actors in the project cycle? The GEF Secretariat, the CEO, the GEF Council, the GEF Agencies, the GEF Focal Points, and project proponents; STAP and the Convention Secretariats provide comments on project concepts when PIFs are submitted to the GEF.

How long does the project approval cycle take? From the time a PIF is approved by the GEF Council as part of a Work Programme up to the point when the final project document is endorsed by the CEO, the project approval cycle should take no more than 22 months.

Why has the project cycle been changed? A 2006 evaluation of the GEF project cycle noted that the cycle was ineffective and inefficient. Therefore, the GEF Council requested that a new cycle be put in place that takes no more that 22 months to go from identification to start of implementation, without compromising project quality or undermining financial accountability.

What are the key differences with the old project cycle? Besides reducing the number of steps in the project cycle, the revised cycle aims to reduce documentation requirements by focusing GEF Secretariat reviews of the PIF and the project document on those criteria that are critical to achieving the objectives for which a GEF grant is provided.

What are the main steps in the GEF Project Cycle?

The GEF has several different project types depending on the scale of GEF resources the project needs (see Box 2 for an explanation of the different project types). While most project types need to go through all 4 steps of the project cycle (FSPs, umbrella programs, EAs requiring more than US$ 0.5 million in GEF resources), for some projects the cycle is expedited (MSPs, EAs requiring less than US$ 0.5 million in GEF resources).

The GEF Project Cycle is described in detail in a paper prepared for the GEF Council Meeting held in June 2007, and is outlined on the GEF website. For a summary of what happens in each step of the cycle, the purpose and the expected outcomes, distinguished by project type, click on the appropriate link below.

Regular Cycle

• Full Size Projects
• Enabling Activities requesting more than US$ 0.5 million in GEF funding

Expedited Cycle

• Medium Size Projects
• Enabling Activities requesting less than US$ 0.5 million in GEF funding

Is the project cycle the same whether one is applying for funding from the GEF Trust Fund, the Special Climate Change Fund, or the Least Developed Countries Fund?

The project cycle is essentially the same whether a proponent is requesting funding from the GEF Trust Fund, the Special Climate Change Fund (SCCF) or the Least Developed Countries Fund (LDCF). However, for SCCF and LDCF projects there are some differences:

• PIF and PPG templates are different and these are distinguished as a separate category on the GEF web site (click here).
• PIFs are submitted for CEO clearance on a rolling basis (i.e., there is no specific time frame within which these can be submitted) and are also circulated to Council on a rolling basis.
• For LDCF projects, the distinction between medium-size and full-size is different - an MSP is a project receiving funding up to US$ 2 million; an FSP is a project receiving funding above US$ 2 million.