Partner Assessment of Profonanpe

This Partner Assessment was carried out as part of Norway’s due diligence process and will be an input to Norway’s decision to fund a National Financial Mechanism (NFM) to implement, manage and monitor REDD+ projects in Peru. The Fondo de Promoción de las Áreas Naturales del Perú (Profonanpe) is the non-profit organization selected by the Peruvian Government to host the REDD+ NFM and this partner assessment evaluates Profonanpe’s competence and capacity in financial management, cost efficiency, and results management and assesses if these are in line with Norway’s requirements. It provides guidance to Norway in its decision-making on whether or not to enter into an agreement with Profonanpe and recommendations to ensure better planning and follow-up by Norad (most likely the contracting party on behalf of the Norwegian Government) and Profonanpe.

Profonanpe was created in 1992 as a private, non-profit entity for the purpose of conserving, protecting and managing “Protected Natural Areas by the State” (ANP). Its mandate has recently been expanded to include climate change, biodiversity, natural resources and the strengthening of capacity in environmental management.
Profonanpe has gone through a restructuring process that started with the appointment of a new Executive Director (ED) in 2019. During this process Profonanpe has re-drafted and written new policies and manuals for almost all parts of Profonanpe’s operations. A large part of Profonanpe’s staff have been newly recruited and new departments have been created. An aim of the new ED was to document all processes and ensure that this documentation exists for all projects.

The recommendations report provides to Profonanpe relate to improving the governance functions, to ensuring the implementation of financial and internal controls and compliance functions and to build capacity of staff in key areas. Recommendations provided to Norway relate to ensuring proper oversight of the REDD+NFM.