1) Project funding

An organisation receives project funding to carry out a specific activity. It can either do the work itself (resulting in direct expenditure) or pass funding to other implementing partners.

Scenario 1 - Simple project funding

• Organisation 1 funds Organisation 2 to carry out Activity B.

• Organisation 2 carries out the activity itself, incurring direct expenditure.

• No funds are passed on to other implementing organisations.

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Scenario 2 - Project funding with multiple implementing organisations

• Organisation 1 funds Organisation 2 to carry out Activity B.

• Organisation 2 carries out part of Activity B itself, incurring direct expenditure.

• Organisation 2 also funds Organisation 3 to carry out Activity C as part of Activity B.

Example

Carbon Trust is a not-for-profit that receives UK government funding. It passes some of this funding to implementing partners — such as the University of Cape Town — and reports these disbursements in its activity data.

• Activity A: TEA - Research Programme Delivery Consortium (RPDC) via Carbon Trust (UK FCDO)

• Activity B: Transforming Energy Access (TEA) Platform (Carbon Trust)

• Activity C: Transforming Energy Access - Learning Partnership (University of Cape Town)