Over the past half-century, the frequency and impact of natural disasters worldwide have increased fivefold due to climate change’s worsening effects. As communities worldwide grapple with escalating risks, the importance of effective early warning systems (EWS) has become more pronounced. 

Despite its proven benefits, one-third of the global population remains uncovered by effective EWS, which leaves billions of people vulnerable. In this context, India’s national disaster alert system, SACHET, offers a compelling case study on how a Common Alerting Protocol (CAP)-enabled EWS can be scaled and integrated across diverse communication channels and government levels. SACHET is recognized globally for its effectiveness.

MSC studied India’s integration of location-based short messaging service (LB-SMS) into its early warning system (EWS) to identify best practices to create tailored, locally relevant, and inclusive systems for disaster risk reduction. The objective was to identify best practices to help other countries develop and implement effective EWS, aligned with the UN’s Early Warning for All (EW4A) initiative.

MSC undertook the following exercises for our study:

• We highlighted SACHET as a blueprint of best practices that can be expanded in other countries; 
• We evaluated the role of mobile network operators (MNOs) in disaster communication to document best practices in the industry. We undertook this evaluation through secondary research, stakeholder interviews, and a validation workshop with key organizations.

We launched a report that documented best practices and lessons learned from India’s EWS approach. We also organized a roundtable discussion with government officials, civil society, and industry players to explore mobile technology’s role in the expansion of EWS via cell broadcasting and other digital solutions.

GSMA’s Mobile for Humanitarian Innovation team commissioned the project.

Globally, one-third of food produced for human consumption is lost before it reaches consumers. This affects smallholder farmers (SHFs) the most. These farmers experience significant post-harvest losses (PHL) due to inadequate storage, processing, and energy solutions, which results in lower incomes (15% reduction) and food insecurity. The lack of affordable and scalable renewable energy technologies for post-harvest processes worsens these issues, particularly in rural areas.

MSC researched post-harvest losses (PHL) among smallholder farmers (SHFs) in India, Kenya, and Nigeria. We studied key value chains that had the highest PHL and explored the underlying drivers and barriers to the adoption of existing solutions among SHFs. We partnered with ISF Advisors and Factor(e) Ventures and examined how inadequate storage, processing, and energy solutions contribute to these losses. We also identified affordable and scalable solutions that use renewable energy to mitigate PHL. 

The joint study team conducted the research in three phases:

• Phase I: Planning

We defined research objectives, key questions, and selection criteria to identify the high-PHL crop value chains.

• Phase II: Value chain analysis and solution scoping 

We mapped priority crop value chains that have the highest PHL. We conducted interviews and focus group discussions with SHFs, farmer organizations, and value chain actors to assess barriers and needs.

• Phase III: Solution identification

We supported an application process to identify affordable, practical, and scalable solutions that use renewable energy to reduce PHL. We used a techno-economic analysis (TEA) to identify these solutions based on affordability, scalability, performance, and gender impact.

Based on this research, we drafted a report on the analysis of PHL among key value chains and a landscape of emerging renewable energy technologies to manage PHL. The most promising solution received a USD 50,000 award, and the results of the analysis would inform investments to scale high-potential PHL solutions

The Shell Foundation commissioned this study. 

Local governments in Uganda face increasing risks from climate change, environmental degradation, economic disruptions, health pandemics, and natural disasters. However, many local government managers and leaders lack the knowledge and tools needed to integrate climate change adaptation, disaster risk management, and resilience-building strategies effectively into their development plans and budgets. This knowledge gap weakens local governments’ ability to protect vulnerable communities and mitigate risks.

MSC developed a climate risk management training course for local government officials in Uganda. We conducted a training needs assessment with local government officials to assess their capacity gaps. We designed a comprehensive climate risk management training based on our findings and secondary research. The training covered skills, such as governance, risk identification, planning, implementation, and monitoring and evaluation (M&E). The modules applied these skills to technical topics, such as natural resource management, urban planning, and disaster risk management. We tested the training with key stakeholders and incorporated their feedback to refine the final module.

The training and capacity building of government leaders helped raise awareness of climate risks and ways to mainstream locally-led adaptation approaches within local governance structures and processes. It also provided them with practical insights, tools, and checklists that focused on resilience-building measures tailored to the needs of Uganda’s vulnerable communities.

The UNDP commissioned the project on behalf of the Ministry of Local Government, Uganda.

 

Low-income households in Kenya and Mozambique are highly vulnerable to the impacts of climate change, which include increased droughts, floods, and storms. However, the financial systems in these regions are not fully equipped to enable these households to adapt to these climate risks.

MSC sought to understand how inclusive financial services and adaptation finance can enable climate adaptation and resilience for Kenya and Mozambique’s vulnerable populations. We conducted a study to analyze the needs and aspirations that drive livelihood transitions and identify the underlying financial needs. Based on this study, we identified barriers, opportunities, and strategies to strengthen climate finance systems, which can support climate adaptation for low-income households that face increased climate risks.

MSC conducted the project in three phases:

• Phase I: Preliminary research 

We analyzed existing literature on climate hazards, risks, and Kenya and Mozambique’s key development programs and policies. This helped us identify key household segments and livelihood pathways. 

• Phase II: Data collection and stakeholder engagement 

We conducted a demand-side analysis to understand the adaptation strategies, needs, and financial services that smallholder farmers, women, and other vulnerable groups use. Our supply-side analysis mapped the existing financial services ecosystem and assessed the role of formal and informal financial services in climate resilience.

• Phase III: Synthesis and reporting 

We developed practical insights and recommendations to inform future strategies to build an inclusive climate finance system.

MSC’s research uncovered financial barriers to climate adaptation and provided practical recommendations to enhance adaptation finance. The study identified policy and programmatic recommendations based on respective country priorities. We also designed a replicable research framework and taxonomy to enable other countries to analyze sustainable climate finance strategies. 

We conducted this project in partnership with ISF Advisors for FSD Kenya. 

The particularly vulnerable tribal groups (PVTGs) comprise 75 of India’s most marginalized communities among more than 700 scheduled tribes. These communities depend on forest-based livelihoods, rainfed agriculture, and manual labor to survive. They are highly susceptible to climate change’s effects, such as erratic rainfall, extended dry spells, and extreme weather events. 

MSC developed a locally-led adaptation (LLA) toolkit to enhance climate resilience and strengthen PVTGs’ community adaptation planning. The toolkit assessed the vulnerabilities of local communities to the impacts of climate hazards specific to their region. We implemented the toolkit through workshops with the PVTGs in Odisha, Jharkhand, and Rajasthan. 

MSC worked to integrate CAP insights into the gram panchayat development plans to ensure local planning processes embed climate adaptation measures. We also facilitated partnerships with civil society organizations in the gram panchayats to incorporate the community adaptation plans into existing programs and initiatives that seek to enhance climate resilience. We collaborated with financial service providers to help develop customized financial products for vulnerable communities. 

This led to a research report that we submitted to the IDH. It highlighted the communities’ climate vulnerabilities, resilience strategies, and adaptation options. 

India intends to achieve 30% electric vehicle (EV) penetration by 2030. However, as of 2022, EV sales accounted for only 4.98% of total vehicle registrations in the country. The growth of electric two- and three-wheelers, which made up more than 95% of total EV sales in 2022, is crucial to reach this target. Yet, the high upfront cost of these vehicles compared to their internal combustion engine (ICE) counterparts and the lack of affordable financing instruments pose significant challenges.

The World Bank and the NITI Aayog launched the EVOLVE Risk-Sharing Program (EVOLVE-RSP) to address this financial gap in climate finance. The program intends to scale up the adoption of electric two- and three-wheelers to mitigate up to 9.5 million tons of CO₂ emissions over the vehicles’ lifetime and contribute to India’s clean energy transition. The USD 250-million initiative provides low-cost loans and credit guarantees to financial institutions to stimulate private-sector financing for EV adoption.

MSC designed the facility’s structure and onboarded stakeholders. We undertook the following tasks:

• We validated the risks associated with financing electric two- and three-wheelers, assessed de-risking measures, computed expected credit losses, and finalized the terms of the low-cost loan and credit guarantee facility;
• We developed selection criteria, credit models, and due diligence checklists for various borrower segments, which included individual drivers, fleet operators, and leasing companies;
• We designed the criteria to identify and onboard financial institutions and EV manufacturers that participated in the program.

The EVOLVE-RSP is projected to unlock financing for 8 million electric two- and three-wheelers over the next eight to 10 years. The USD 250-million fund is expected to catalyze up to USD 1.83 billion in loans from banks and nonbanking financial institutions. 

As part of this engagement, MSC also published a blog on the design of innovative financial structures to finance energy transition in the e-mobility sector. In it, we emphasized the need for a viable blended finance facility (BFF) business model and stronger government-multilateral collaboration.

The Small Industries Development Bank of India (SIDBI) commissioned this project.