Proceedings of the First Assembly of the Global Environment Facility New Delhi

Public Disclosure Authorized 1–3 April 1998 Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized AFGHANISTAN ■ ALBANIA ■ ALGERIA ■ ANTIGUA & BARBUDA ■ ARGENTINA ■ ARMENIA ■ AUSTRALIA ■ AUS- TRIA ■ AZERBAIJAN ■ BAHAMAS ■ BANGLADESH ■ BARBADOS ■ BELARUS ■ BELGIUM ■ BELIZE ■ BENIN ■ BHUTAN ■ BOLIVIA ■ BOTSWANA ■ BRAZIL ■ BULGARIA ■ BURKINA FASO ■ BURUNDI ■ CAMBODIA ■ CAMEROON ■ CANADA ■ CAPE VERDE ■ CENTRAL AFRICAN REPUBLIC ■ CHAD ■ CHILE ■ CHINA ■ COLOMBIA ■ COMOROS ■ CONGO, DEM. REPUBLIC OF ■ CONGO, REPUBLIC OF ■ COOK ISLANDS ■ COSTA RICA ■ COTE D’IVOIRE ■ CUBA ■ CROATIA ■ CZECH REPUBLIC ■ DENMARK ■ DJIBOUTI ■ DOMINICA ■ DOMINICAN REPUBLIC ■ ECUADOR ■ EGYPT ■ EL SALVADOR ■ ERITREA ■ ESTONIA ■ ETHIOPIA ■ FIJI ■ FINLAND ■ FRANCE ■ GABON ■ GAMBIA ■ GEORGIA ■ GERMANY ■ GHANA ■ GREECE ■ GRENADA ■ GUATEMALA ■ GUINEA ■ GUYANA ■ HAITI ■ HONDURAS ■ HUNGARY ■ INDIA ■ INDONESIA ■ IRAN (I.R.) ■ IRELAND ■ ISRAEL ■ ITALY ■ JAMAICA ■ JAPAN ■ JORDAN ■ KAZAKHSTAN ■ KENYA ■ KIRIBATI ■ KOREA (D.P.R.) ■ KOREA (REP.) ■ KYRGYZ ■ LAO (P.D.R.) ■ LATVIA ■ LEBANON ■ LESOTHO ■ LIBYA ■ LITHUANIA ■ LUXEMBOURG ■ MADAGASCAR ■ MALAWI ■ MALAYSIA ■ MAL- DIVES ■ MALI ■ MALTA ■ MARSHALL ISLANDS ■ MAURITANIA ■ MAURITIUS ■ MEXICO ■ MICRONESIA (F.S.) ■ MOLDOVA ■ MONGOLIA ■ MOROCCO ■ MOZAMBIQUE ■ MYANMAR ■ NAURU ■ NEPAL ■ NETHERLANDS ■ NEW ZEALAND ■ NICARAGUA ■ NIGER ■ NIGERIA ■ NIUE ■ NORWAY ■ PAKISTAN ■ PANAMA ■ PAPUA NEW GUINEA ■ PARAGUAY ■ PERU ■ PHILIPPINES ■ POLAND ■ PORTUGAL ■ ROMANIA ■ RUSSIAN FEDERATION ■ SAINT LUCIA ■ SAINT VINCENT & GRENADINES ■ SAMOA ■ SENEGAL ■ SIERRA LEONE ■ SLOVAK REPUBLIC ■ SLOVENIA ■ SOLOMON ISLANDS ■ SOUTH AFRICA ■ SPAIN ■ SRI LANKA ■ ST. KITTS AND NEVIS ■ SUDAN ■ SURINAME ■ SWAZILAND ■ SWEDEN ■ SWITZERLAND ■ SYRIA ■ TANZANIA ■ THAILAND ■ THE F.Y.R. OF MACEDONIA ■ TOGO ■ TONGA ■ TRINIDAD AND TOBAGO ■ TUNISIA ■ TURKEY ■ TURKMENISTAN ■ TUVALU ■ UGANDA ■ UKRAINE ■ UNITED KINGDOM ■ UNITED STATES ■ URUGUAY ■ UZBEKISTAN ■ VANUATU ■ VENEZUELA ■ VIET- NAM ■ YEMEN ■ ZAMBIA ■ ZIMBABWE ■ AFGHANISTAN ■ ALBANIA ■ ALGERIA ■ ANTIGUA & BARBUDA ■ ARGENTINA ■ ARMENIA ■ AUSTRALIA ■ AUSTRIA ■ AZERBAIJAN ■ BAHAMAS ■ BANGLADESH ■ BARBADOS ■ BELARUS ■ BELGIUM ■ BELIZE ■ BENIN ■ BHUTAN ■ BOLIVIA ■ BOTSWANA ■ BRAZIL ■ BULGARIA ■ BURKINA FASO ■ BURUNDI ■ CAMBODIA ■ CAMEROON ■ CANADA ■ CAPE VERDE ■ CENTRAL AFRICAN REPUBLIC ■ CHAD ■ CHILE ■ CHINA ■ COLOMBIA ■ COMOROS ■ CONGO, DEM. REPUBLIC OF ■ CONGO, REPUBLIC OF ■ COOK ISLANDS ■ COSTA RICA ■ COTE D’IVOIRE ■ CUBA ■ CROATIA ■ CZECH REPUBLIC ■ DENMARK ■ DJIBOUTI ■ DOMINICA ■ DOMINICAN REPUBLIC ■ ECUADOR ■ EGYPT ■ EL SALVADOR ■ ERITREA ■ ESTONIA ■ ETHIOPIA ■ FIJI ■ FINLAND ■ FRANCE ■ GABON ■ GAMBIA ■ GEORGIA ■ GERMANY ■ GHANA ■ GREECE ■ GRENADA ■ GUATEMALA ■ GUINEA ■ GUYANA ■ HAITI ■ HONDURAS ■ HUNGARY ■ INDIA ■ INDONESIA ■ IRAN (I.R.) ■ IRE- LAND ■ ISRAEL ■ ITALY ■ JAMAICA ■ JAPAN ■ JORDAN ■ KAZAKHSTAN ■ KENYA ■ KIRIBATI ■ KOREA (D.P.R.) ■ KOREA (REP.) ■ KYRGYZ ■ LAO (P.D.R.) ■ LATVIA ■ LEBANON ■ LESOTHO ■ LIBYA ■ LITHUANIA ■ LUXEMBOURG ■ MADAGASCAR ■ MALAWI ■ MALAYSIA ■ MALDIVES ■ MALI ■ MALTA ■ MARSHALL ISLANDS ■ MAURITANIA ■ MAURITIUS ■ MEXICO ■ MICRONESIA (F.S.) ■ MOLDOVA ■ MONGOLIA ■ MOROCCO ■ MOZAMBIQUE ■ MYANMAR ■ NAURU ■ NEPAL ■ NETHERLANDS ■ NEW ZEALAND ■ NICARAGUA ■ NIGER ■ NIGERIA ■ NIUE ■ NORWAY ■ PAK- ISTAN ■ PANAMA ■ PAPUA NEW GUINEA ■ PARAGUAY ■ PERU ■ PHILIPPINES ■ POLAND ■ PORTUGAL ■ ROMA- NIA ■ RUSSIAN FEDERATION ■ SAINT LUCIA ■ SAINT VINCENT & GRENADINES ■ SAMOA ■ SENEGAL ■ SIERRA LEONE ■ SLOVAK REPUBLIC ■ SLOVENIA ■ SOLOMON ISLANDS ■ SOUTH AFRICA ■ SPAIN ■ SRI LANKA ■ ST. KITTS AND NEVIS ■ SUDAN ■ SURINAME ■ SWAZILAND ■ SWEDEN ■ SWITZERLAND ■ SYRIA ■ TANZANIA ■ THAILAND ■ THE F.Y.R. OF MACEDONIA ■ TOGO ■ TONGA ■ TRINIDAD AND TOBAGO ■ TUNISIA ■ TURKEY ■ TURKMENISTAN ■ TUVALU ■ UGANDA ■ UKRAINE ■ UNITED KINGDOM ■ UNITED STATES ■ URUGUAY ■ UZBEK- ISTAN ■ VANUATU ■ VENEZUELA ■ VIETNAM ■ YEMEN ■ ZAMBIA ■ ZIMBABWE ■ AFGHANISTAN ■ ALBANIA ■ ALGERIA ■ ANTIGUA & BARBUDA ■ ARGENTINA ■ ARMENIA ■ AUSTRALIA ■ AUSTRIA ■ AZERBAIJAN ■ BAHAMAS ■ BANGLADESH ■ BARBADOS ■ BELARUS ■ BELGIUM ■ BELIZE ■ BENIN ■ BHUTAN ■ BOLIVIA ■ BOTSWANA ■ BRAZIL ■ BULGARIA ■ BURKINA FASO ■ BURUNDI ■ CAMBODIA ■ CAMEROON ■ CANADA ■ CAPE VERDE ■ CEN- Proceedings of the First Assembly of the Global Environment Facility New Delhi 1-3 April 1998

Introduction

reated in 1991, the Global Environment Facility forges international cooper- ation and finances actions to address biodiversity loss, climate change, C degradation of international waters, and ozone depletion within the context of sustainable development. Related activities addressing land degradation are also eligible for GEF funding. By mid-1998, GEF had allocated $2 billion to more than 500 projects in 119 countries and generated $5 billion in cofinance. GEF’s system of governance, a Council representing 32 constituency groups and an Assembly of all 164 member states, balances the interests of participants, empha- sizes transparency, and promotes participation by non-governmental groups and the private sector. In April 1998, 119 governments, 16 international organizations, and 185 non- governmental organizations met in New Delhi for the first GEF Assembly. The spirit of this gathering of GEF “shareholders” was extremely positive. In plenary sessions and panels, constituency meetings and press conferences, participants agreed that GEF has come a long way in a short time. They also agreed that it has far to go to apply the many lessons it has learned. This consensus is reflected in the New Delhi Statement with which we begin this report, issued by the Assembly at the conclusion of its three-day meeting. Finally, in the words of one country representative… “….however efficient the GEF may be, however fit the organization, it will not succeed except as part of the widest global effort.” These proceedings of the first GEF Assembly are dedicated to that proposition.

Mohamed T. El-Ashry Chief Executive Officer & Chairman

For more information, please contact the GEF Secretariat. Write to: Global Environment Facility 1818 H St. NW Washington, DC 20433 USA Call: 1.202.473.0508 Fax: 1.202.522.3240 On the World Wide Web: www.gefweb.org

Contents

Introduction ...... 3

The New Delhi Statement ...... 7

Inaugural & Opening Session ...... 25

Plenary Reports...... 55

Statements by Representatives...... 67

Panel Highlights ...... 169

Note to readers: Opening session statements are presented in chronological order. Statements by country representatives are in alphabetical order and appear as provided to the GEF in the lan- guage in which they were presented. Panel highlights are based on transcript excerpts and notes from rapporteurs.

New Delhi Statement Divider page photo: Endangered biodiversity, South Africa by Anders Ekbom (World Bank) The New Delhi Statement of the First GEF Assembly

The Assembly of the Global Environment Facility, Acknowledging further the excellent work of the Scien- tific and Technical Advisory Panel (STAP) in provid- Having met for the first time in New Delhi from April ing strategic advice and in reviewing projects; 1-3, 1998, Welcoming the Second Replenishment of the GEF Expressing its utmost appreciation to the Government Trust Fund of US$2.75 billion which will enable the and people of India for hosting the Assembly and for GEF to continue its successful efforts to promote global their generosity, hospitality and the excellent arrange- environmental goals and sustainable development; ments made available to all participants; Taking note of Council’s decisions and drawing, as Taking note of the views expressed by Representatives appropriate, upon analyses and recommendations of GEF participant states at this Assembly; from the Study of GEF’s Overall Performance, the Study Recognizing that the GEF is the multilateral funding of GEF Project Lessons, the GEF Project Implementation mechanism dedicated to promoting global environ- Review, and the CEO’s Report on the Policies, Operations mental protection within a framework of sustainable and Future Development of the GEF; development by providing new and additional grant Agrees that for the GEF to meet its deepening poten- and concessional funding; tial and fulfill its multiple missions: Recognizing also that its beneficiaries are all people of the 1. GEF should remain a facility at the cutting edge, globe, and that the need for the GEF is even greater innovative, flexible and responsive to the needs of as we enter the new millennium given the state of its recipient countries, as well as a catalyst for other the global environment and of underdevelopment; institutions and efforts. Stressing that the GEF is a unique and successful 2. GEF activities should be country-driven and efforts example of international cooperation that offers should be strengthened to achieve country owner- lessons for other endeavors; ship of GEF projects. To achieve this, Affirming the significant role of the GEF in supporting a. GEF activities should be based on national prior- the objectives of agreed global environmental con- ities designed to support sustainable develop- ventions and protocols, such as the Convention on ment and the global environment; Biological Diversity, the UN Framework Convention on Climate Change and the Kyoto Protocol, the b. GEF should develop and implement a strategy Vienna Convention and the Montreal Protocol on for greater outreach and communication which Substances that Deplete the Ozone Layer, and the UN targets GEF’s multiple constituencies, with a view Convention to Combat Desertification; to enhancing global awareness of the global envi- ronment and the GEF, and should increase con- Acknowledging the significant progress that has been sultations with non-governmental organizations made by the GEF, its implementing agencies (UNDP, (NGOs) and local communities concerning GEF UNEP and the World Bank), and the Secretariat, in the activities four years since the restructuring in its organization and management, in establishing its institutional and c. GEF should develop and implement an action operational framework, and in supporting developing plan to strengthen country-level coordination countries and countries with economies in transition and to promote genuine country ownership of in their efforts for global environmental improve- GEF-financed activities, including the active ments and in implementing the Rio conventions; involvement of local and regional experts and community groups in project design and imple- seek to better define the linkages between land mentation. degradation, particularly desertification and defor- estation, and its focal areas and to increase GEF 3. GEF should increase efforts towards ensuring the support for land degradation activities as they sustainability of the global environment benefits relate to the GEF focal areas. generated by GEF financing and should act as a catalyst to bring about longer-term coordinated 9. GEF implementing agencies should promote mea- efforts with other funders for capacity building sures to achieve global environmental benefits and training. within the context of their regular programs and consistent with the global environmental conven- 4. GEF should streamline its project cycle with a view tions while respecting the authority of the govern- to making project preparation simpler, transparent ing bodies of the implementing agencies. and more nationally-driven. 10.GEF should build strong relationships and net- 5. GEF should undertake longer-term planning and works with the global scientific community, espe- multi-year support programs with a view to maxi- cially with national scientists and scientific institu- mizing global environmental benefits. tions in recipient countries. 6. While recognizing the importance of the principle of 11. GEF should promote greater coordination and co- incremental costs for the GEF, its definition should financing of its activities from other sources, be made more understandable. GEF should make including bilateral funding organizations, and the process of determining incremental costs more should expand opportunities for execution of transparent and its application more pragmatic. activities by those entities referred to in paragraph 7. GEF should be a learning entity and should 28 of the Instrument, in particular the Regional strengthen its monitoring and evaluation functions Development Banks and non-governmental orga- and increase efforts to disseminate lessons learned nizations. from its experience in implementing its portfolio of 12. GEF should strive to mobilize additional resources projects and to stimulate the transfer and adoption from both public and private sources. The GEF, as of new technologies by recipient countries. a platform for technological change, should also 8. In consultation with the Secretariat of the UN Con- explore new opportunities for private sector part- vention to Combat Desertification, GEF should nerships as well as private-public joint ventures. Declaración de Nueva Delhi formulada en la Primera Asamblea del FMAM

La Asamblea del Fondo para el Medio Ambiente organización y administración en el establecimiento de Mundial, su estructura institucional y operacional y en su labor de respaldo a los países en desarrollo y con economías Habiéndose reunido por primera vez en Nueva Delhi en transición en sus esfuerzos por lograr mejoras en el del 1 al 3 de abril de 1998, medio ambiente mundial y en la aplicación del conve- Expresando su más profundo agradecimiento al Gob- nio y las convenciones de Rio de Janeiro; ierno y al pueblo de la India, anfitriones de la Asam- Reconociendo, además, la excelente labor desempeñada blea, por su generosidad y hospitalidad y por los exce- por el Grupo Asesor Científico y Tecnológico (STAP) lentes preparativos y servicios puestos a disposición como fuente de asesoramiento estratégico y en el exa- de los participantes; men de los proyectos; Tomando nota de las opiniones expresadas por los rep- resentantes de los Estados participantes en el FMAM Acogiendo con beneplácito la segunda reposición de los presentes en esta Asamblea; recursos del Fondo Fiduciario del FMAM, por valor de US$2.750 millones, que permitirá al FMAM continuar Reconociendo que el FMAM es el mecanismo de finan- sus exitosos esfuerzos para promover las metas relativas ciamiento multilateral dedicado a promover la protec- al medio ambiente mundial y el desarrollo sostenible; ción del medio ambiente mundial en el marco de un desarrollo sostenible otorgando recursos financieros Tomando nota de las decisiones del Consejo y recur- nuevos y adicionales en forma de donación y fondos riendo, en caso necesario, a los análisis y recomenda- concesionarios; ciones del Estudio sobre los resultados globales del FMAM, el Estudio sobre las enseñanzas aprendidas de los Reconociendo también que sus beneficiarios son todos proyectos del FMAM, el Examen de la ejecución de los los habitantes del planeta y que el FMAM es todavía proyectos del Fondo para el Medio Ambiente Mundial y el más necesario al acercarse el nuevo milenio, en vista Informe del Funcionario Ejecutivo Principal sobre las de los actuales problemas del medio ambiente mundi- políticas y operaciones del FMAM y su evolución futura; al y del subdesarrollo; Conviene en que, para que el FMAM pueda hacer reali- Subrayando que el FMAM es un ejemplo singular y dad su creciente potencial y cumplir sus múltiples fecundo de cooperación internacional que permite misiones: extraer enseñanzas para otras iniciativas; 1. El FMAM debería seguir siendo una entidad de Afirmando la importante labor de respaldo realizada por avanzada, innovadora y flexible, que responda a el FMAM en pro de los objetivos formulados en las las necesidades de los países receptores, y un catal- convenciones, convenios y protocolos aprobados sobre izador de actividades y esfuerzos por parte de otras el medio ambiente mundial, tales como el Convenio instituciones. sobre la Biodiversidad Biológica, la Convención Marco de las Naciones Unidas sobre el Cambio Climático y el 2. Las actividades del FMAM deberían ser propuestas Protocolo de Kyoto, la Convención de Viena y el Pro- o ser emprendidas por iniciativa de los países, y tocolo de Montreal sobre las sustancias que agotan la deberían redoblarse los esfuerzos para que los capa de ozono y la Convención de las Naciones Unidas países se identifiquen con los proyectos del de lucha contra la desertificación; FMAM. Para ello,

Reconociendo el notable progreso que ha hecho el a. las actividades del FMAM deberían basarse en FMAM, sus organismos de ejecución (el PNUD, el PNU- prioridades nacionales que tengan por objeto MA y el Banco Mundial) y la Secretaría durante los cua- respaldar los programas en pro del desarrollo tro años transcurridos desde la reestructuración de su sostenible y el medio ambiente mundial; b. el FMAM debería formular y poner en práctica sus funciones de vigilancia y evaluación, así como una estrategia para ampliar los contactos y las sus esfuerzos por diseminar las enseñanzas recogi- comunicaciones con los diversos grupos de países das en la ejecución de los proyectos en cartera, y representados, con miras a lograr una mayor sen- fomentar la transferencia y adopción de nuevas tec- sibilización global con respecto al medio ambi- nologías en los países receptores. ente mundial y al FMAM; además, debería inten- sificar las consultas con las organizaciones no 8. En consulta con la Secretaría de la Convención de gubernamentales (ONG) y las comunidades las Naciones Unidas de lucha contra la desertifi- locales en lo que respecta a sus actividades; cación, el FMAM debería tratar de delimitar más claramente los vínculos existentes entre la c. el FMAM debería preparar y poner en práctica degradación de tierras, sobre todo la desertifi- un plan de acción para fortalecer la coordi- cación y la deforestación, y sus esferas de activi- nación a nivel de los países y para fomentar una dad, e incrementar su respaldo a las actividades auténtica identificación de éstos con los obje- para combatir la degradación de tierras en la tivos de las actividades financiadas por el FMAM, medida que guarden relación con dichas esferas que incluya la participación activa de expertos de actividad. nacionales y regionales, así como de las agrupa- ciones comunitarias en el diseño y la ejecución 9. Los organismos de ejecución del FMAM deberían de los proyectos. promover la adopción de medidas destinadas a lograr beneficios para el medio ambiente mundial 3. El FMAM debería intensificar sus esfuerzos tendi- en el contexto de sus programas de trabajo ordi- entes a asegurar la sostenibilidad de los beneficios narios y que sean compatibles con los convenios y para el medio ambiente mundial generados con convenciones sobre el medio ambiente mundial, sus actividades de financiamiento; asimismo, sin menoscabo de la autoridad de los órganos rec- debería actuar como catalizador para la realización tores de los organismos de ejecución. de esfuerzos coordinados a más largo plazo con otras entidades que aporten financiamiento para 10. El FMAM debería establecer relaciones y redes más fines de creación de capacidad y capacitación. sólidas con los círculos científicos internacionales, 4. El FMAM debería racionalizar el ciclo de los proyec- sobre todo con científicos e instituciones científi- tos con miras a simplificar la preparación de éstos, cas de los países receptores. aumentar su transparencia y tomar más en cuenta las iniciativas nacionales. 11. El FMAM debería promover una mayor coordi- nación y cofinanciamiento de sus actividades con 5. El FMAM debería emprender una planificación a otras fuentes, incluidas las organizaciones de más largo plazo y programas de apoyo de varios financiamiento bilaterales; además, debería ampli- años de duración con el objeto de multiplicar los ar las oportunidades para una mayor participación máximos beneficios para el medio ambiente en las actividades por parte de las entidades a las mundial. que se hace referencia en el párrafo 28 del Instru- 6. Si bien se reconoce la importancia que reviste para mento, sobre todo los bancos regionales de desar- el FMAM el principio de los costos incrementales, rollo y las ONG. su definición debería resultar más fácilmente com- 12. El FMAM debería redoblar sus esfuerzos para movi- prensible. El FMAM debería tomar medidas para lizar recursos adicionales de fuentes tanto públicas que el proceso de determinación de los costos como privadas. El Fondo, actuando como platafor- incrementales sea más flexible y su aplicación más ma para el cambio tecnológico, debería explorar pragmática. también nuevas oportunidades para establecer 7. El FMAM debería ser una entidad de adquisición y alianzas con el sector privado y para realizar opera- difusión de conocimientos, y debería intensificar ciones conjuntas con los sectores público y privado. Première Assemblée du FEM Déclaration de New Delhi

L’Assemblée du Fonds pour l’environnement mondial, tionnel et l’appui aux efforts déployés par les pays en développement et les économies en transition pour Réunie pour la première fois à New Delhi du 1er au 3 améliorer la protection de l’environnement mondial avril 1998, et appliquer les Conventions de Rio; Exprimant sa profonde gratitude au Gouvernement et Rendant hommage à l’excellence du travail réalisé par au peuple de l’Inde pour avoir accueilli l’Assemblée et le Groupe consultatif pour la science et la technologie les remerciant vivement de leur générosité et des dis- (STAP), qui fournit des conseils stratégiques et exam- positions remarquables prises à l’égard de tous les par- ine les projets; ticipants; Se félicitant de la Deuxième reconstitution des ressources Prenant note des points de vue exprimés à l’Assemblée de la Caisse du FEM à hauteur de 2,75 milliards de dol- par les représentants des États participant au FEM; lars, ce qui permettra au Fonds de continuer d’oeuvrer Reconnaissant que le FEM est le mécanisme de finance- efficacement à la réalisation des objectifs de protection ment multilatéral qui a pour mission de promouvoir de l’environnement mondial et de développement la protection de l’environnement mondial, dans le durable; cadre d’un développement durable en fournissant des Prenant note des décisions du Conseil et s’appuyant, ressources nouvelles et supplémentaires à titre gra- autant que de besoin, sur les analyses et les recom- cieux ou à des conditions libérales; mandations découlant du Bilan global du fonction- Reconnaissant également que l’action du FEM profite à nement du FEM, de l’Étude des enseignements des projets tous les habitants de la planète et qu’elle répond plus du FEM, de l’Examen de l’état d’avancement des projets que jamais à une nécessité, à l’aube du nouveau mil- du FEM et du Rapport du Directeur général sur les poli- lénaire, compte tenu de l’état de l’environnement tiques, les opérations et l’avenir du FE; mondial et de la situation de sousdéveloppement; Convient que pour donner toute la mesure de ses Soulignant que le FEM constitue un modèle éprouvé et moyens grandissants et accomplir ses multiples mis- unique en son genre de coopération internationale sions : qui pourrait servir d’exemple à d’autres actions; 1. Le FEM doit rester un organisme à la pointe du Soulignant aussi l’importance du rôle joué par le FEM progrès, novateur, souple et attentif aux besoins de dans l’aide qu’il apporte à la réalisation des objectifs ses pays bénéficiaires, tout en étant le catalyseur des conventions et protocoles sur l’environnement d’autres institutions et d’autres initiatives. mondial, tels que la Convention sur la diversité 2. Les projets du FEM doivent être entrepris à l’initia- biologique, la Conventioncadre des Nations Unies sur tive des pays et un plus grand effort doit être fait les changements climatiques et le Protocole de Kyoto, pour que les pays s’identifient pleinement à l’ac- la Convention de Vienne et le Protocole de Montréal tion menée. À cette fin, relatif à des substances qui appauvrissent la couche d’ozone, et la Convention des Nations Unies sur la a. Les activités du FEM doivent correspondre à des lutte contre la désertification; priorités nationales servant la cause du développe- ment durable et de la protection de l’environ- Reconnaissant les progrès considérables accomplis par nement mondial; le FEM, ses Agents d’exécution (PNUD, PNUE et Banque mondiale) et son Secrétariat au cours des qua- b. Le FEM doit mettre au point et exécuter une tre années écoulées depuis sa restructuration, en ce stratégie plus large d’information et de commu- qui concerne son mode d’organisation et de gestion, nication pour toucher ses multiples partenaires, la mise en place de son cadre institutionnel et opéra- afin de sensibiliser davantage le monde à la pro- tection de la planète et à l’action qu’il mène, et projets et d’encourager le transfert et l’adoption de doit davantage consulter les organisations non nouvelles technologies par les pays bénéficiaires. gouvernementales (ONG) et les populations 8. En consultation avec le Secrétariat de la Conven- locales sur ses activités; tion des Nations Unies sur la lutte contre la déserti- c. Le FEM doit élaborer et exécuter un plan d’action fication, le FEM doit s’efforcer de mieux définir les visant à renforcer la coordination au niveau liens existant entre le secteur de la dégradation des national et à encourager les pays à s’investir sols, en particulier la désertification et le déboise- réellement dans les activités qu’il finance, notam- ment, et ses domaines d’intervention, et d’ac- ment sous la forme d’une participation active croître son soutien aux activités menées dans ce d’experts locaux et régionaux et de groupes com- secteur, dans la mesure où de tels liens existent. munautaires à la conception et à l’exécution des 9. Les Agents d’exécution du FEM doivent encour- projets. ager l’adoption de mesures visant à une meilleure 3. Le FEM doit redoubler d’efforts pour assurer la protection de l’environnement mondial dans le pérennité des effets positifs sur l’environnement cadre de leurs programmes ordinaires et conformé- mondial obtenus grâce à ses financements et jouer ment aux conventions relatives à l’environnement un rôle moteur pour susciter des actions coordon- mondial sans porter atteinte aux pouvoirs de leurs nées, à plus long terme, avec d’autres bailleurs de organes de direction. fonds en vue de renforcer les capacités et de dis- 10. Le FEM doit établir des relations étroites et des penser la formation nécessaire. réseaux solides avec la communauté scientifique 4. Le FEM doit alléger le cycle de ses projets afin de mondiale, en particulier avec les chercheurs et les simplifier le travail de préparation, le rendre plus instituts de recherche des pays bénéficiaires. transparent et le faire davantage piloter par les 11. Le FEM doit promouvoir davantage la coordination pays bénéficiaires. et le cofinancement de ses activités par d’autres organismes, notamment dans le cadre bilatéral, et 5. Le FEM doit procéder à une planification à plus offrir davantage de possibilités d’exécution de ses long terme et entreprendre des programmes d’aide projets aux entités visées au paragraphe 28 de l’In- pluriannuels en vue d’obtenir le maximum d’effets strument, en particulier aux banques de développe- positifs sur l’environnement mondial. ment régionales et aux organisations non gou- 6. Tout en reconnaissant l’importance du principe du vernementales. surcoût pour le FEM, il faut en simplifier la défini- 12. Le FEM doit s’efforcer de mobiliser des finance- tion. Le FEM doit assouplir son mode de calcul du ments supplémentaires auprès de sources tant surcoût et l’appliquer de façon plus pragmatique. publiques que privées. En tant que vecteur du 7. Le FEM doit être une source de savoir, renforcer ses changement technologique, il doit également fonctions de suivi et d’évaluation, et s’efforcer plus rechercher de nouvelles possibilités de partenariats activement de diffuser les enseignements tirés de avec le secteur privé et d’associations entre les l’expérience qu’il acquiert en exécutant ses divers secteurs public et privé.

Inaugural and Opening Session Divider page photo: Icebergs, Chile by Curt Carnemark (World Bank) Statement By Yashwant Sinha Finance Minister of India

consider it a great honour and privilege to wel- It is only then that our coming generations would come you all to this august gathering, the first not blame us for having done precious little when ever meeting of the Global Environment Facility. the opportunity was available. In our country, our You have come from far and near, from all parts saints and sages, our forefathers and the generations Iof the globe, taking time off from your otherwise very preceding them have all been environmentally very busy schedules. This speaks volumes of your commit- conscious. We have a strong tradition of worshipping ment to the cause of preservation of environment. rivers, trees, mountains and other manifestations of Some of you have already been deliberating upon the mother nature. But somewhere on the way, we have subject for the last few days, and I am sure the next faltered and paid the price for this. three days are going to set the agenda and lay the road However, it is a matter of great satisfaction that our map on how this movement is going to move ahead Government, our judiciary, our NGOs, our students in the future. I do not wish to prejudge our delibera- and general populace have all started taking a very tions, except to state that we must all strive to make keen interest in this subject which is of profound GEF as responsive, as flexible and as efficient as possible. importance to all of us. With this commitment, the I don’t wish to preach to the priests. However, I future is definitely going to be promising, and, if I would like to take a couple of minutes to share with may say so, our tomorrows are going to be better you some thoughts which concern even an environ- than our yesterdays. We would like to work in tan- mentally lay person. Nature has given us an environ- dem with you all so that we can share our experi- ment which is pure and pristine. However, spiraling ences and learn from our mistakes. population growth, accelerated industrial activity, and On our part, I can unambiguously and unequivo- if I may say so, our greed and impatience have brought cally state that the Government of India is strongly us to a situation where the entire ecosystem and the life committed to improving the lives of the millions of support systems are severely damaged; some portions our citizens living below poverty levels. They have to of it irreversibly and irreparably. If appropriate and be an integral part of all our plans for economic urgent steps are not taken, then there is a distinct possi- advancement and environmental protection, or both bility of annihilation of life on earth, the only known the goals will be jeopardised. I am aware that if we planet supporting life on it. I do not want to raise a squander our natural patrimony—the huge moun- scare, but the fact remains that a really large number of tains, the great rivers, the vast plains, the deep plant and animal species are already extinct. It may forests, the soils, the cities and the villages of India— sound a cliché, but the truth is that we have not inher- we doom all of us to eternal misery and poverty. Our ited this earth from our forefathers but in fact borrowed Government is committed to striving for rapid eco- it from our children and coming generations. nomic development and environmental improve- What is required from all of us—rich or poor, ments in a mutually reinforcing framework. strong or weak, developed or developing—is a con- I do not want to take more time, as I am conscious certed effort at preservation of environment. If each that you must be anxiously waiting to know what one of us today takes a step in this direction, however the Honorable Prime Minister has to say on this occa- small, we would decidedly go a long way in not only sion. It is my privilege to invite the Honorable Prime preserving but also regenerating life support systems. Minister to share his thoughts with us this morning. Statement by Aral Bihari Vajpayee Prime Minister of India

am happy to address you on the occasion of the forms, between plants and animals and between inauguration of the first ever Assembly meeting nature and man. The balance of five basic elements, of the Global Environment Facility. It is indeed the panchtatva—air, water, fire, the earth and the fitting that the first Assembly meeting of this sky—has to be restored. internationalI cooperative venture should be held in Based on our experience and understanding of global the developing world and that too in India. environment, we realise today that sustainable develop- The twentieth century has witnessed major devel- ment at the national level cannot be pursued in isola- opments which have had momentous impact not tion. Quality of life of nations today, as also in the only on the lives of human beings but also on planet future, depends to a very large extent on the policies earth. These include an unprecedented growth in and actions that the fellow nations of the world pursue. population and in consumption, rapidly increasing Against this background, new partnerships have to be urbanization, dramatic changes in the global eco- established for conservation and sustainable develop- nomic system and the revolution in communication ment while ensuring equitable distribution of technolo- technology. As we are poised on the threshold of the gy and social advancement. Promoting these partner- third millennium, we have become increasingly ships requires making the most of the diverse repertoire aware that the process of development—including of knowledge, skills, perceptions and assets belonging industrialization and economic growth—have come to a wide cross-section of nations and societies. at a huge cost to society, to the environment and to When we analyse the nature of pollutants, we find our very future. that both affluence and poverty contribute to their In some ways, it is ironic that some of the achieve- high levels. The problems of the industrialized and ments of the twentieth century themselves pose the the developed world stem from their high levels of challenges for the twenty-first century. With almost six economic activity and consumption. The degenera- billion people inhabiting this earth, and the global tion of forests and natural resources in the develop- GDP approaching 30 trillion dollars, the pace of ing countries, on the other hand, can be attributed human and economic activity is putting pressure on largely to the lack of resources and alternative sources global life support systems. We witness the depletion of energy and income generation. The strategies to of non-renewable natural resources, the continued tackle these two distinct causes therefore need to be destruction of life-sustaining forests and illegal interna- significantly different. In the case of the rich and tional trade in protected species of flora and fauna. developed world, the issues can be best handled by There is an on-going depletion of our planet’s biologi- setting stringent emission norms and limits on pollu- cal treasures and the threat of an acceleration in global tants and by enforcing these stringent norms and warming and in the greenhouse effect. In short, there limitations. However, for the developing and under- is a rapid globalization of environmental destruction. developed world, the best approach would be to put The environmental impact of human activity is no in place an incentive structure that would encourage longer restricted to man-made national boundaries. conservation and discourage the scavenging of The problems of environmental degradation call nature, without compromising economic develop- for more than scientific and technological solutions. ment and rapid alleviation of poverty. For the devel- They require the re-establishment of environmental oping countries, we should make concerted efforts to ethics and values practiced in traditional societies, facilitate and promote adoption of environment- with economic development based on these issues. friendly techniques of production and also undertake India, as one of the traditional societies, believed in far greater measures to disseminate information the integrity and sacredness of nature, pervading about the ill effects of polluting forces. peace as the ultimate purpose of all existence and As part of international efforts to contain the ill activity. The age-old philosophy of co-existence is not effects of environmental degradation and to encour- one merely for co-existence of human beings, but it is age sustainable development, nations have put in in fact a basic premise of all living beings and of har- place several ecological treaties like the Montreal Proto- mony within the cosmos. The delicate balance of col, the Framework Convention on Climate Change, nature has to be restored, even as we have to ensure the Convention on Biodiversity, the Convention to complementarity and co-existence of different life Combat Desertification, etc. Although much atten- tion seems to be focused on climate change, global The Government of India is committed to rapid warming and the ozone layer, very little is being done and sustainable development, which we believe is the to address the environmental problems facing poor surest way of improving the living standards of our societies, whether it be paucity of clean drinking people and eradicating the curse of poverty from our water or poor sanitary conditions. nation. We see strong complementarity between the Let me reiterate that if we are committed to suc- goals of economic development and improvement in cessfully addressing the challenges of sustainable the environment. We must never forget that abject development, and hence of environmental conserva- poverty, and all that goes with it, is the worst blight tion, then it will require an international movement on our planet’s environment. the like of which has never been seen before. It will I would like to mention here that India has been require effective integration of the sporadic efforts in the forefront of voicing the developing nations’ being made by the different players whether they be concerns over environment protection and sustain- international organizations, national governments, able development on various international plat- or non-governmental organisations; whether busi- forms. For example, it was an Indian prime minister ness and the forces of development, or environmen- who put forward this new agenda in the first global talists and the forces of conservation. environmental summit in Stockholm in 1972. Since Most important, however, will be the need to make then, my country has been consistently champi- environment protection a people’s movement—with oning this cause. the close participative involvement of the local com- Naturally, the imperative of sustainable develop- munities, governmental bodies, NGOs, international ment has found a strong resonance within the coun- bodies like the GEF, industry and various economic ser- try, too. As we have indicated in our National Agenda vice providers. History has shown that all good ideas for Governance, we will continue with economic begin to make the desired impacts only when they reforms, strengthen macroeconomic stability, and become mass movements. It is high time environment devote special attention to the development of infra- protection be made a national and international peo- structure, agriculture and education. We firmly ple’s movement. It is in the self-interest of the nation believe that more and better education, especially at states, and in the larger interests of the world we live in, primary and secondary levels, is a crucial pre-requi- that we leave behind a better world for our children. site for both rapid economic development and a Since the 1992 Rio Earth Summit, many interna- more informed and effective social and legal frame- tional business leaders have taken the lead in urging work for preserving and improving our environment. the business community to be environmentally more We are convinced that in areas such as education, sensitive and responsive. rural infrastructure, water resources management and The presence of all of you ladies and gentlemen at land use, Government can and must articulate an this first-ever Assembly meeting of the Global Envi- effective combination of social expenditures, appro- ronment Facility is very heartening and speaks of priate incentives and realistic regulatory systems to your commitment to the cause that we address jointly serve the goals of rapid, broad-based develop- together. During the post-Rio phase, GEF is one of the ment and environmental improvements. We propose instruments that has emerged to give effect to various to establish effective legal frameworks for the protec- Rio agreements. The restructuring of the GEF in 1994 tion of the environment and to unveil a comprehen- has given confidence in the vitality and responsiveness sive National Environment Policy to harmonize the of this institution. As the GEF is a unique expression demands of development and environment and to of partnership forged at Rio between the North and the balance the needs of the present and the future. South, between the UN system and the Bretton The principle that poverty alleviation and economic Woods system, it would be our collective endeavour to development are the first priorities of developing sustain and strengthen it as an effective instrument countries must continue to be the guiding factor for of cooperation for promoting sustainable development. all international cooperation. The GEF has built on The imperative of sustainable development places this principle to begin implementation of sustainable a common responsibility on rich as well as developing development goals within its area of concern. It nations to concentrate their R&D efforts on three deserves our full and unanimous support through immediate projects: (1) an all-out effort to harness adequate and timely contribution from all those that renewable sources of energy on a large scale and at provide such contributions, and through efficient lower or comparable costs, (2) development and and meaningful use of GEF resources by those who commercialization of new materials, and (3) across- receive them. the-board introduction of energy-saving techniques We are proud to be partners in the establishment, and management practices. After all, energy saved is evolution and growth of GEF. Amongst the recipient energy produced. countries, India is one of the largest contributors to the GEF replenishment, and we have contributed er parts of India and see the richness of our culture more than any of the other recipient donors. and heritage. I welcome you to this Assembly meeting in New I declare the Assembly open and wish you success Delhi and hope that you have a very pleasant stay, in your deliberations towards refining GEF as an and you go back with fond memories of your visit. I effective collaborative instrument for achieving our also hope that some of you will find time to visit oth- mutually cherished goals.

Statement by Mohamed T. El-Ashry Chief Executive Officer and Chairman, Global Environment Facility

n behalf of the GEF, its member coun- awareness, a sense of urgency will develop to pursue a tries, its Council, and the heads of its sustainable development path for the benefit of cur- implementing agencies, I want to express rent and future generations. The GEF is on the cutting sincere thanks and appreciation to you edge of this global learning experience. We don’t Ofor honoring us with your presence this morning, have all the answers, but we are a catalyst for universal and to the Government and people of India for host- participation and innovative programs. We are help- ing the first GEF Assembly in such a magnificent, yet ing to show the way. So it is fitting that we hold our warm and friendly, manner. first Assembly in this place, on behalf of all people This is a special occasion, a milestone in our young and the fragile planet we call home. organization’s short history, and we are very happy that you and our distinguished guests from India Welcome to the first shareholders meeting—the could share it with us today. GEF Assembly. Yes, you are GEF’s shareholders, a total That the first GEF Assembly is in India is no coinci- of 164. It is your Facility and you should nurture it so dence. India has been a leader in the GEF, from its that it can continue to provide you with the services restructuring in 1994 to the successful replenishment you need to protect the global environment and pur- efforts just completed. And I was very pleased to sue sustainable development for a long time to come. note, Mr. Prime Minister, in a short summary of your There are many people who have dedicated them- policies, the inclusion of this priority: “encouraging selves to making the GEF what it is today. They work, people’s participation in the environment.” tirelessly, in our implementing agencies, the Secretariat, For that is why we are gathered here in this Assem- and the other GEF units. They serve with distinction bly, to highlight not just how far we have come, but on our Council and are our hard-working counter- also how far we have to go to educate, enable, and parts at the Conventions on Biodiversity, Climate engage people everywhere in protecting the global Change, Desertification, and Ozone Depletion. environment and promoting sustainable develop- To meet its potential and fulfill multiple missions, ment. This has been our common mission since the the GEF has had to evolve from its pilot form into a Earth Summit in 1992, whether we represent govern- more representative, participatory, transparent, effec- ments, business, the scientific community, people’s tive, and strategic organization. It now serves the two organizations, or the press. Rio Conventions, and it has gained sufficient confi- I am told that the Hindi name of this fine confer- dence from the international community to earn a ence center means “house of science.” No matter new replenishment of $2.75 billion. The new replen- where we live, scientific discovery and informed ishment will enable the GEF to continue its efforts to action are central to protecting the global environ- promote global environmental goals and sustainable ment and improving people’s livelihoods. During the development and to support the objectives of agreed last quarter century, we have reached a common global environmental conventions and protocols, global understanding of the fundamental threats to such as the Convention on Biological Diversity, the earth’s ecological balance. At the dawning of a new UN Framework Convention on Climate Change and century, we can only hope that out of an increasing the Kyoto Protocol, the Vienna Convention and the Montreal Protocol, and the UN Convention to Com- and close the hole in the ozone layer? It will take bat Desertification. people like you and millions of others—thinking and It is fashionable to speak of partnerships. But so acting differently, leading the way. And others, inter- often these are rhetorical exercises in the name of nalizing the lessons and replicating the success stories minor agendas. The GEF partnership is real. It is the many times over. While we build on the success of product of many communities—government and the past, let us rise above some early preoccupations. non-government, large and small—merging their Too often in the past, we have apportioned respon- efforts. sibilities. In the future, let us share the benefits of Many groups have made major contributions over new opportunities in environmentally friendly tech- and above the funds they supply, shaping the com- nologies and approaches. mon agenda and supporting its implementation. From formulas for new and additional resources, Even in financial terms alone, the partnership is sub- we can move beyond—to wider windows for invest- stantial: In the working relationships we have, in over ing in global environmental progress. 500 projects in 119 countries, and with $2 billion in Instead of bogging down on incremental costs of grants allocated by GEF, $5 billion more was commit- individual items, we can foster whole new markets. ted by our partners to integrate the global environ- Instead of just making the polluter pay, let us build ment into sustainable development. sustainable livelihoods and facilitate joint ventures. The Secretariat just completed a very telling analy- Instead of just learning lessons of the past through sis of who made that $5 billion commitment. I am monitoring and evaluation, let us shape the future very pleased to say that the top source was counter- with a learning culture. part funding from the recipient governments them- Our fates are all intertwined. Don’t we owe it to selves. I believe this demonstrates their very real each other, to our children and their children, to com- commitment to and ownership of the Global Envi- bine forces and ensure a sustainable future on earth? ronment Facility and its work. I would like to close with two headlines I saw In second place are the development assistance recently. The first reads: “The flames are huge like institutions, who, again, invest funds on behalf of sails—an ecosystem is being destroyed.” Never before governments. Together these two groups account for within memory has the Amazonian rainforest near roughly two-thirds of all GEF co-financing. the Yanomami Indian reservation been on fire. What In third place: businesses have also made substan- set it off ? Three months of no rain and a 20,000 square tial commitments. That contribution would rise if we mile savanna fire blazing nearby. were to harness fully the power of the private sector The second headline concerns people living on and support the widespread transfer of clean tech- England’s eastern coast. “Rising sea threat to homes. nologies at the necessary levels. Insurance premiums set to soar as research shows As important as these figures are, the success of the flood risk due to global warming.” GEF must be measured by its outcomes and not by No one, no matter how isolated or how industrial- the financial inputs. For we know that $2 billion or ized, is exempt from global environmental problems. even $20 billion would not be enough to fulfill our As we reach out to communities, to the media and mission. A project here, a project there, may help a other constituencies, let us give them the good news few people for awhile. But our business is global, and as well, and encourage them to spread it far and wide. its strategies must look to the long term. By taking up a common agenda, and working What will it take to truly protect our biological her- together, we can make this a more hopeful and a more itage, avoid the devastation climate change could secure world. Your GEF stands ready to assist each of bring, sustain the soils and waters that give us life, you and the entire global community in this endeavor. Statement by James Gustave Speth Administrator, United Nations Development Programme

s celebrations marking the Golden Jubilee resources decimating entire marine food chains and of Indian Independence unfold this year, spreading pollution into surrounding international we must pay tribute to the generous spirit waters. The inseparable link between the goals of the and environmental awareness of the Indi- GEF and UNDP’s mandate of poverty alleviation is Aan people. With India’s participation in the prepara- nowhere more apparent than here. tion and adoption of environmental conventions, in In the seven years of GEF operations at UNDP, one the founding of the GEF and in the ongoing dialogue central principle has become clear—protection of the on sustainable development, we are especially proud global environment must be integral to the develop- of being here today. ment of healthy local economies. We cannot separate It is a great privilege for me personally to join this environmental protection and sustainable development. distinguished group. I had a hand, while president of Growth and prosperity will only be possible when they the World Resources Institute, in launching the GEF are supported by all the interdependent elements of a as a strategic alliance of United Nations and Bretton sound and fully functioning global environment. And Wood institutions for a new governing structure the environment, in turn, will not survive unless we whose mission is nothing less than finding ways to hasten the end of mass poverty and better manage the secure the future. It does my heart good to see what growth process for sustainability. We must work togeth- has been accomplished under the leadership of the er to make these linkages clear— crystal clear—to all. GEF Council and participants through the commit- As the implementing agency dedicated to building ment, dedication and trust of a global network of the human and institutional capabilities required to governments, civil society stakeholders and staff of face this momentous challenge, UNDP stands com- all the GEF family. We are proud at UNDP of having mitted to the GEF tripartite partnership. Yet the com- been an active GEF partner since its creation. mitment to environmental sustainability begins at Representatives serving on the GEF Council, and home. We at UNDP are taking far-reaching steps to those participating in this first Assembly, are guiding incorporate global environmental concerns into all the GEF toward its full potential with an inclusive, bal- facets of UNDP operations. anced, yet rapid decision-making process. The many First, I am requesting an assessment of our Country successes to date in protecting ecosystems and interna- Cooperation Frameworks—the very foundation for tional waters, and in addressing climate change and UNDP assistance on a country basis—in order to ozone depletion, testify to these efforts. But the chal- identify global environmental impacts and opportu- lenge remains huge, with the future for all societies nities. This would thus integrate the global environ- very much in the balance. I pay tribute to the coun- ment throughout UNDP from the ground up. This is tries for successfully concluding the replenishment of one aspect of our commitment to mainstreaming. Yet the GEF to continue addressing this challenging task. I wish to highlight that while the Country Coopera- It is appropriate that this first GEF Assembly is tion Frameworks agreed on with the countries have being held in 1998—the International Year of the environment and sustainable development as a prior- Ocean. The challenge of protecting this great com- ity, they address first and foremost national priorities. mon heritage of humankind illustrates the interrelated Next, we are instituting a system that will track the nature of the four GEF focal areas, and it underscores biodiversity, climate change, and international waters GEF’s inseparable link with local sustainable liveli- components of all UNDP projects to ensure better hoods. Although the coastal zone is expected to bear coordination of our activities, to facilitate informa- the largest burden of future population growth, rising tion sharing, and to mobilize co-financing. sea levels and more frequent storms due to global A third major initiative is already ongoing: by the warming could have devastating effects on these pop- end of this year, nearly 100 country office operational ulations and on the biodiversity that supports them. staff will have received intensive, on-the-job GEF Warming of ocean water temperatures has also been training at UNDP headquarters. Improved capacity is associated with a general decrease in the productivity already evident in more than 130 country offices to of marine life. Diminished ozone protection is a factor assist not only with the GEF, but with all country-lev- in the catastrophic bleaching of coral reefs. We have el issues that impact the global environment. seen the haphazard development of coastal zone There is no doubt that we need to promote stronger linkages between national development priorities and ble of withstanding climatic extremes without irriga- global environmental goals. UNDP will be a strong tion and agro-chemical support. partner with you in this vital effort. The UNDP–GEF portfolio also includes over 100 There are some 250 full-size, GEF Council-approved enabling activities that are providing countries with projects currently in the UNDP portfolio. I’d like to the financial and technical assistance needed to fulfill review a few highlights. Right here in India, there are their obligations under the Convention on Biological 11 projects focusing on a wide array of sectors and Diversity and the United Nations Framework Conven- regions. Climate change projects are promoting small tion on Climate Change. In addition to fulfilling Con- hydroelectric systems, harnessing biomass and bio- vention obligations, enabling activity projects help methane, and assessing investment and policy countries to mainstream global environmental assess- options. Major biodiversity projects are being prepared ments into their national development strategies. for the coral reef ecosystems of the Andaman and UNDP is especially proud to be the implementor of Nicobar Islands, for strengthening of the Gulf of Man- the GEF Small Grants Programme, through which nar Biosphere Reserve, and for an ambitious effort to more than 1,000 community-based projects in 44 manage the buffer zones surrounding a large network countries have been funded to date. Here in India, for of protected areas. India is also receiving enabling example, 24 projects ranging from protecting the activity support for both the Convention on Biological Olive Ridley sea turtles to the promotion of agro- Diversity and the Convention on Climate Change. forestry among rural communities demonstrate that I am particularly pleased to report to you that UNDP, you can effectively address global environmental prob- as part of its ongoing efforts towards capacity build- lems by taking action at the community level. ing, will provide support from its core resources for Overall, our portfolio of initiatives cleared by the the establishment of a Global Environment cell in GEF Council as of the end of calendar year 1997 com- the Ministry of Environment and Forests. bines $570 million in GEF funding with $256 million In Eastern Europe, UNDP-GEF is the lead imple- in co-financing for a total value of $826 million. The menting agency in a major effort to protect and restore goal of all of these initiatives is to enhance the human the vast Black Sea Basin, which includes the ecologies capacity to utilize the information, knowledge and of the Danube and Dnieper Rivers. In the Arab world, technology necessary to halt global environmental an irreplaceable fresh water resource for a wide variety degradation while simultaneously generating income- of local and migratory species—the Azraq Oasis in Jor- producing options for the poor and marginalized. dan—has been brought back to life by a project execut- These same human and institutional capacities are ed through a national NGO. I am pleased to report also crucial to managing the rapidly increasing flow of that in at least 73% of UNDP–GEF projects, NGOs are private investment directed at developing countries— actively participating in their development and/or which has tripled since the beginning of GEF opera- implementation. This illustrates UNDP’s commitment tions and now amounts to $245 billion per year. If to mobilize a large number of stakeholders and execut- this private investment is to complement our efforts ing agencies to the UNDP–GEF portfolio. New proce- to protect the global environment and build sustain- dures for project execution by NGOs, along with the able livelihoods, we must ensure that trained human new medium-size projects initiative, will promote even resources, backed by well-equipped institutional sup- greater participation. port, are prepared to meet the challenge. Recent work programmes reflect an increasingly This first GEF Assembly provides an unprecedented synergetic relationship between UNDP, UNEP and the opportunity for a dialogue on the successes and short- World Bank. One good example involves all three comings of the GEF’s first six years. We are engaged in implementing agencies and all the countries of Cen- nothing less than an endeavour to ensure the sustain- tral America who will assemble a biological corridor of ability of life on earth, and the prosperity of its inhab- reserves and parks linking North and South America. itants, rich and poor. I look forward to participating in In Brazil, a partnership with the World Bank is build- this dialogue and contributing to a renewed collective ing the world’s first commercially viable energy plant commitment to strengthening the GEF and carrying powered by gasified biomass. In China and Asia, sev- forward its work into the 21st century. eral large projects are under preparation that could I promise you that GEF will remain a highest priori- allow those countries to leap directly to technologies ty for UNDP, and that we will continue to strengthen that do not emit greenhouse gases. Several initiatives our commitment to the original notion that led to the in the biodiversity focal areas are moving into the pro- innovative creation of this tripartite agreement. Build- ductive landscape with the goal of food security. One ing upon the respective strengths of the three partners, excellent example can be found in Africa, where grass- we will continue to serve, through GEF, the recipient roots farmers are receiving support for the conserva- countries in addressing global environmental issues tion of genetic resources vital to breeding crops capa- while advancing towards sustainable development. Statement by Klaus Toepfer Executive Director, United Nations Environment Programme

am deeply honored by this opportunity to stantly explore the frontiers of economic growth in address the first Assembly of the Global Envi- ways in which the natural base creates opportunities ronment Facility in this historic city of Delhi. for human activities. The growth that we look for This city is symbolic of a unique culture and must be economically, environmentally and socially ethos.I Not only is the Indian civilization ancient and sustainable. To achieve this, we need innovative and has shown impressive continuity. The Indian civiliza- unconventional technological solutions. We need to tion also has an especial characteristic, and that is learn from indigenous knowledge and take the best that it has thrived on diversity. This has given this of cutting-edge technology. We need to forge partner- country a world view which looks at all humanity as ships on environmentally sound technological devel- one family. It has given India the capacity to absorb, opments and their application, between regions of to assimilate, and to synthesize the best influences the world, between public and private and civil soci- from wherever they come without losing its identity. ety. This is real implementation of environmental The generous offer of the Government of India to objectives. host this event is a testimony of the leadership role played by India as a bridge between people, conti- GLOBAL ENVIRONMENT FACILITY nents, civilizations, cultures and religions of the world. The establishment of the Global Environment Facili- ty was a decisive step forward in mobilizing “new and INDIRA GANDHI’S REMARKS AT STOCKHOLM additional financial resources” to assist the transition More than 25 years ago, at the historical United to sustainable development in developing countries. Nations Conference on, Human Environment at Its governance structure was designed to be a bridge Stockholm, we heard Mrs. Indira Gandhi forcefully between the United Nations bodies involved with the state that “the environment cannot be improved in environment and development and the Bretton conditions of poverty.” She said that, “Unless we are Woods institutions. in a position to provide employment and purchasing So far, the GEF has been a success story. The donor power for the daily necessities of the tribal people community deserves our gratitude for its generous and those who live in or around our jungles, we can- contributions to the GEF. I hope that they will con- not prevent them from combing the forest for food tinue to give GEF the financial support it deserves to and livelihood; from poaching and from despoiling achieve its goals. I must also congratulate Mohamed the vegetation. How can we speak to those who live El-Ashry for his excellent stewardship of GEF during in villages and slums about keeping the oceans, the this period. rivers and the air clean when their own lives are cont- As a partner in this global endeavor, the United aminated at the source?” Nations Environment Programme has tried to prove that this machinery can be used to promote sustain- URGENT NEED FOR ECONOMIC GROWTH: ability and integrate the environmental dimension SUSTAINABLE DEVELOPMENT on a global level. We can prove that win-win strate- No one would hold that the less developed countries gies are viable and that they must be grasped. should remain condemned to perpetual underdevel- opment. The legitimate developmental needs of peo- ELEMENTS OF UNEP’S NEW PROFILE ple cannot be denied by using arguments for envi- I have been the Executive Director of UNEP for a little ronmental concern. The natural resources of Mother more than seven weeks now. But even as I stand Earth are limited. But at the same time, adverse envi- before you, I can tell you that the credibility of UNEP— ronmental impact, to a certain degree, is reversible by over the last 25 years—as the environmental voice of human effort. This, in fact, is what sustainable devel- the UN system has been built on the foundations laid opment is all about, and to make it clear, it is first of by my illustrious predecessors. I would like to take this all development. opportunity to salute them: Elizabeth Dowdeswell, Dr. All human beings have an equal right to use natural Mostafa Tolba and Maurice Strong. resources in a sustainable way to enable them to pur- But I am convinced that despite UNEP’s excellent sue economic development. We must not resign to achievements in the past—particularly in the area of perceived limits of growth. We must instead con- conventions, protocols and the regional seas—UNEP must increasingly strive to provide better means for particularly focusing on them as efficient and cost- bringing emerging environmental issues and prob- effective tools for the implementation of multilateral lems of international and regional significance to the environmental agreements. In this regard, UNEP is attention of the global community. In this way I also prepared to take a decisive follow-up to the Kyoto intend to profile UNEP in the GEF process. Protocol. The challenge before UNEP is to integrate short- There is also a great need to single out the interde- term and medium-term environmental concerns pendencies and synergetic effects of the Conventions with its long-term objectives of providing a sustain- and to better coordinate actions which are crucial keys able environment for all. for effective implementation of our multilateral agreements. This is an important obligation for UNEP IMMEDIATE ACTIONS as the implementing agency for several environment We must prove that we are capable of taking immedi- Conventions. UNEP will avoid duplications and incom- ate action in the GEF also. Recently, the Secretary patible regulations on issues addressed by more than General of the United Nations asked me to develop a one Convention. coordinated international response to the forest fires raging in South East Asia, and the agenda I have pro- LONG-TERM PRIORITIES posed was well received at the UN Administrative In the long term, UNEP will focus its work on envi- Coordination Committee. Tomorrow I will be meet- ronmental issues resulting from urban settlements, ing with President Suharto of Indonesia to discuss water issues, development of economic instruments this issue. These forest fires may turn out to be one of such as the clean development mechanism, and the the greatest ecological disasters of the last decade of chemicals agenda which includes negotiating and the millennium. I am pleased to state that the GEF implementing the prior informed consent procedure has proved to be flexible enough to provide funds for and further work on persistent organic pollutants. this project. In the area of the urban environment, Habitat and We also need to learn from lessons offered by the UNEP are already utilizing more and more the syner- El Niño phenomenon. If we can see these crises as a gies between the two organizations to address envi- challenge today, we may one day look at them as ronmental problems that result from urbanization: useful warnings for something we managed to avoid. water pollution, habitat loss, deforestation and car- Early warning systems, priority setting and the devel- bon-emitting energy use. opment of information concerning hot spots and However, we have yet to fully realize the tremen- environmental catastrophes to alert nations of dous potential for the ecological efficiency of cities, potential conflicts over common shared resources combined with economic and social efficiency, and are the areas which will be UNEP’s area of focus in we have to make use of this potential. the short term. Urban development provides important opportu- nities for sustainable development because cities and MEDIUM-TERM FOCUS major agglomerations have the ability to support In the medium term, UNEP is determined to further large numbers of people within a limited space with a develop and improve its leadership role in forging high degree of technical and economic efficiency. political consensus on emerging environmental prob- Therefore, we must overcome the diseconomies of lems and in the development of political instruments. scale. We must achieve sustainability in our mega-cities. This is an area in which UNEP has had its most out- Indeed, since cities are the loci of most consump- standing successes in the past. We must build on the tion and production, I believe that the GEF should foundations of the experience gained in the develop- play a pivotal role in helping to meet the challenges ment and implementation of the Montreal Protocol, of sustainable settlement structures. the Regional Seas Programmes, the Convention on We are giving prime importance to water issues Biological Diversity, the Basel Convention, CITES and not only as an essential component of peace policy the Lusaka Agreement—to name just a few. but also its conservation as a vital natural resource. UNEP will also develop innovative economic We are also building on the outcomes of important instruments and practice their use to foster more Conferences on Water held in Harare, the 1st Peters- uniform standards and practices among nations. In burg roundtable held in Bonn and the International this regard, we have proposed the establishment of a Conference on Water and Sustainable Development joint UNEP/UNCTAD Intergovernmental Panel on in Paris. These conferences recognized UNEP’s work Economic Instruments for Environment Policy. It in promoting the integrated management of fresh- will promote and address modalities for the use and water basins and requested UNEP to play a major application of economic instruments for environ- role with other organizations in water issues and mental management and sustainable development, provide an early warning system for input to envi- ronmental diplomacy. I believe that a new GEF strengthen these further. We will focus on promoting operational program on freshwater issues could be partnerships between governments and the represen- envisaged, and UNEP stands ready to assist in its tatives of civil society and the private sector. UNEP’s preparation. joint statements with the banking and insurance sec- In the implementation of the chemicals agenda, tor are only the first steps in the implementation of countries will sign the legally binding international this joint agenda. UNEP will further strengthen its convention on trade in dangerous chemicals and pes- forum for dialogue and partnership with business ticides later this year in Rotterdam. This legally bind- and industry. ing Instrument on Prior Informed Consent Procedure UNEP recognizes the important role of civil society on Certain Hazardous Chemicals in International organizations in achieving the objectives of the GEF. Trade has important synergies with biodiversity. The The pathway of medium-sized projects is an opportu- first meeting of the International Negotiating Com- nity for GEF to benefit from the wealth of the experi- mittee for the adoption of an International Conven- ence of the NGO community. tion on Persistent Organic Pollutants will be held in Montreal in July of this year. UNEP’S COOPERATION WITH GEF Sustainable development demands access to state- According to the Nairobi Declaration, UNEP has a of-the-art “clean” technologies, as these have a strate- mission to set the global environmental agenda, pro- gic role in increasing the capabilities of developing mote the coherent implementation of the environ- countries, both to protect the environment as well as mental dimension of sustainable development within to alleviate poverty. To develop technologies and the United Nations system and serve as an authorita- products that are resource and energy conserving, we tive advocate for the global environment. UNEP acts are focusing on the development of cleaner technolo- as the steward for the environment. UNEP uses GEF gies in partnership with industry and business. resources to support the global dialogue in the focal UNEP’s focus will also be on strengthening the link areas and to develop innovative mechanisms for the between science, management and policy. UNEP will international community. network with the scientific community and translate UNEP cannot measure its success in the field of the that knowledge into policy and make the results environment by its share of financial resources to available to all interested stakeholders. One example implement GEF projects, but rather by the imple- is the way STAP has played an important role in pro- mentation of its mandate assisted by the support it moting scientific and technical quality control in the receives from GEF. GEF, and I am pleased to announce that the Council The subject of ensuring global sustainable develop- has endorsed the reconstituted STAP for the second ment and environmental protection is a vast one. phase of the GEF. Instead of reciting a list of problems and prospects, I The challenge before us is to better mobilize the thought I would highlight some of the main points wider scientific and technical community. I believe of concern to UNEP. that one of the core missions of UNEP is in informa- Despite the difficulties of implementing the vision tion exchange on policies and technologies. This is of the Rio Summit, the last five years have vindicated sometimes referred to as playing a clearinghouse func- the basic validity of our larger vision. It calls for plac- tion, leading to knowledge building for investment ing the human being at the very heart of the develop- choices and to technology cooperation and transfer. ment process. It calls on us to alter our consumption and production patterns in our pursuit of sustainable PARTNERSHIPS development. It is a vision that calls for harnessing These elements of UNEP’s new profile will require the best of science and technology to the needs of building synergies and partnerships with govern- the people, particularly the poorest. ments, United Nations agencies, the private sector At this point, it might be appropriate to reflect on and the civil society as well as regional institutions the wisdom of Mahatma Gandhi: “The earth provides and secretariats. enough to satisfy every man’s needs, but not every We have, as an implementing agency of the GEF, man’s greed.” promoted partnerships between developing and Let the wisdom of Mahatma Gandhi guide us in developed countries through sharing of knowledge as our common road to sustainable development for the well as transfer of technology and skills. We will benefit of present and future generations. Statement by Caio K. Koch-Weser Managing Director, World Bank

welcome this opportunity to address such a dis- Here in India for example, a $26 million GEF grant tinguished audience at this first meeting ever of has helped to raise the country’s capacity to produce the GEF Assembly wind power from 30 to 700 MW over the last five On behalf of Jim Wolfensohn, President of the years. IWorld Bank Group, I offer the World Bank Group’s In Indonesia, $75 million of Bank and GEF funds appreciation to the Government of India for hosting are financing the largest single photovoltaic solar this important event. homes system project in the world, expected to reach I am delighted to see here not only an impressive 200,000 homes. number of delegations from governments participating Third, GEF grant resources are helping us strengthen in the GEF but also a large number of representatives partnerships that are important for global environmen- from NGOs, the science community and international tal management. institutions. In the Lake Victoria Basin, a GEF project has promoted We meet at a time when governments are renewing collaboration between three riparian governments, their commitments to preserving the global commons. enhanced the dialogue between government and non- I refer of course to the recent meeting in Kyoto and the government parties, and coordination between the completion of the second replenishment of the GEF. three GEF implementing agencies. I would like to use this opportunity today to tell The Conservation Trust Funds that GEF is supporting you that the World Bank Group remains fully com- in countries such as Brazil, Uganda, and Peru are mitted to playing its part in a strong GEF. In particu- empowering local communities to take actions that lar, I would like to make three points: serve their welfare interests and the global environment. ■ While partnering with the GEF, we have learned What are the main lessons that we have learned, important lessons. and how are we putting them to use? Perhaps the ■ Building on these lessons, our program to help most important lesson is that actions that help the countries address the global environment is expand- global environment often enhance national sustain- ing rapidly. This offers new opportunities for effective able development and reduce poverty. use of GEF funds. For example, the sustainable use of biodiversity in ■ Lastly, a strong GEF rests on strong partnerships. rural or marine landscapes supports the production We will work to strengthen them. of food. Projects designed to reduce greenhouse gas emis- THE BANK-GEF PARTNERSHIP sions help safeguard health by improving local air Let me start by reflecting briefly on what the World quality. Bank Group has accomplished. While our developing country partners have rati- First, we have made the GEF dollar go further by fied the global environment conventions, action pri- using our capacity to catalyze public and private funding. orities are, however, less clear cut. For every dollar of Bank-GEF assistance, there is an “Win-win” opportunities of the kind I just men- associated dollar of IBRD and IDA resources, and two tioned must be vetted against the many other com- additional dollars of co-funding from elsewhere. peting claims that developing countries face. Also, for every GEF dollar invested with the help of And where global gains incur local costs, it is diffi- the International Finance Corporation (IFC), the World cult to imagine strong action by developing countries Bank Group’s affiliate which invests in private sector without assistance. Hence, the rationale for GEF and projects, we expect to mobilize between 5 and 10 dol- other financing mechanisms. lars of private investment. Our challenge is to help assess global impacts from In all, World Bank Group management has local actions, evaluate options for reducing such approved 84 projects in 75 countries, involving over impacts, and include them in our dialogue with $800 million of GEF resources and another $800 mil- developing country partners on development pro- lion of IBRD and IDA funds. grams and projects that we support through conven- Second, using GEF resources we have accelerated the tional loans or credits, or GEF grants. transfer of new technologies to our developing country The developing portfolio of Bank-GEF projects partners, particularly in the area of renewable energy. clearly shows closer integration of GEF-funded activi- ties in sectoral development programs. However, in jointly and experience under GEF, is now exploring meeting the challenge of mainstreaming the global the establishment of a Prototype Carbon Fund (PCF— environment, we need to become more active and formally referred to as the Carbon Investment Fund). keep you informed of progress on a number of fronts. The PCF would provide a mechanism whereby Where significant global environmental issues buyers and sellers of carbon offsets can efficiently relate to development, they are to be addressed in our invest in a pool, or fund, of carbon offset projects country assistance strategies. which would stimulate the transfer of technologies Through dialogue with country partners, we are and sharing of cost savings with developing countries expanding our collaborative sector reviews to identify and economies in transition. options and costs for reducing global environmental Some have expressed concern that such a mecha- impacts. nism might jeopardize future GEF support for climate- We are committed to strengthening our research on friendly investments. the links between economic development and global First, let me assure you that the Bank intends to fully environmental issues, as well as the technical skills of honor its commitment to channel GEF resources for our staff and the knowledge base at their disposal. eligible investments. The GEF experience has also taught us that we Also, the GEF and the World Bank Group have need to develop operational flexibility to work with agreed on how to collaborate closely in moving for- new partners. ward on the establishment of the initial Carbon GEF has challenged us to develop more flexible Investment Fund. procedures to fast-track medium-sized projects and be We view GEF and PCF funding of climate-friendly responsive to the needs of the NGOs. We have investments to be complements rather than substitutes. responded to this challenge well, as we shall demon- Next, the World Bank Group and the GEF are col- strate in one of the Assembly workshops. laborating to expand our efforts in renewable energy. Finally, we have learned that GEF’s special role and The objective is to develop a large-scale program of governance structure inevitably result in additional renewable energy investments that will increase the transaction costs. Working with the GEF Secretariat, competitiveness of new and climate-friendly tech- we have acted to minimize them. nologies for solar, wind and biomass energy. By associating GEF operations with IDA or IBRD To this end, GEF is considering earmarking annual assistance, GEF projects require about half as much resources for eligible investments with the World staff time to prepare as Bank projects. Bank Group, ensuring a leveraging ratio of GEF to We have harmonized the review process and docu- non-GEF resources that increases over time. mentation for GEF projects with the new Bank stan- Turning to the area of biodiversity conservation, I dards, and mainstreamed GEF portfolio management would like to highlight two additional Bank initia- and business planning. tives which could generate important opportunities Since 1993, we have doubled the volume of trans- for GEF funding. actions without increasing our coordination costs. The first one concerns Market Transformation Initiatives for the forestry and marine industries. THE WORLD BANK’S GLOBAL These initiatives seek to inject environmental values ENVIRONMENT PROGRAM in the marketplace to drive ecologically sustainable Building on these lessons and the capacity created resource use. through our GEF involvement, Jim Wolfensohn, In both cases, the World Bank Group works with speaking at UNGASS in New York last June, outlined the private sector and NGOs to examine modalities a plan of action for the World Bank Group in five for accelerating investments in independently verifi- specific areas in support of the global environment. able sustainable industry practices in countries or This plan, which can only be implemented through regions where forest or species loss is a major concern. partnerships with many of you, addresses climate GEF resources will help to remove barriers to the change, biodiversity, ozone depletion, desertification, adoption of such practices. and the water crisis. The second initiative is the WWF-Bank Global This is not the time for a complete progress report. Alliance on Forestry, which Jim Wolfensohn But let me highlight some of our major initiatives in announced at UNGASS last year. the areas of climate change and biodiversity where To meet a set of conservation targets, the Bank and the relationship to GEF is most important. the WWF, joining with others, will work with The Kyoto Conference established the principle of governments, the private sector and civil society to market-based mechanisms to help cut greenhouse gas accelerate ongoing and initiate new programs in forest emissions. Following this, the World Bank Group, conservation and management. Priority will be given building on its program on activities implemented to areas that are most important for biodiversity. Exciting news of early results on the ground comes date as a GEF implementing agency. from Brazil, where the alliance is working to support Equally important is the cooperation between the Brazilian Government’s newly announced commit- GEF’s three implementing agencies. Together with ment to create up to 25 million hectares of protected UNDP and UNEP, we have taken important steps to areas in the Amazon region. Here, there is a real poten- secure closer collaboration and coordination in GEF tial for substantial GEF business linked to a Bank loan. pipeline development, country dialogue, as well as in project design and implementation. STRONG PARTNERSHIPS FOR THE GLOBAL Finally, as GEF matures, we intend to deepen our ENVIRONMENT partnerships with multilateral and regional develop- This quick review has illustrated the strategic impor- ment institutions as executing agencies. Indeed, our tance of partnerships for global environmental man- collaboration with the Asian Development Bank is agement. Indeed, our own capacity to support a already getting off the ground. strong GEF depends on the partnerships that we build and maintain. CONCLUSION Our most important partnerships involve our In closing, let me congratulate the Government of client governments. Increasingly, and by necessity, India and Mohamed El-Ashry and his team and other these partnerships embrace the private sector and civil partners for making this first Assembly of the GEF society, including NGOs. We accept the challenge to happen. work with all these partners to build global environ- The program they have prepared for us over the mental objectives into national development agendas. next three days is full and rich. I wish you all well in In this context, let me stress that an effective part- your endeavors to effectively consider the accom- nership between the private sector and GEF is plishments of the Global Environment Facility as you required, if we are to solve global environmental review its policies and operations. problems. We believe that IFC is well placed to help We cannot relent in our efforts to save the global forge such a partnership. We see IFC playing an commons. They will determine the future of the plan- increasingly important role as we execute our man- et and the quality of life it affords all of mankind.

Statement by Nitin Desai Undersecretary-General for Economic and Social Affairs, United Nations

t is a particular privilege for us to be here in this 1972, where she drew that link between poverty and country for this event. The philosophical tradi- pollution in words that are now a part of the envi- tions of this country involve a deep belief in ronmental canon. India’s development plans have the underlying unity not just of all forms of life spoken about resource conservation, pollution pre- butI also of all forms of matter; a belief that is reflect- vention, environmental impact and sustainable ed in the ethical principles that this tradition postu- development long before these matters received lates for the relationship of humans to nature. At a attention in the global development dialogue. India more immediate level, for many decades now, India has also been the home of mass movements for envi- has been at the forefront of the global environmen- ronmental protection; activist groups that have tal movement. The application of the principle of mobilized public opinion and raised awareness; vol- ahimsa, non-violence, to the relations of humans to untary associations that have promoted sustainable nature was a central element in the social and eco- land, water and forest management at the local level; nomic philosophy of Mahatma Gandhi. More than a and a vast network of scientific and professional quarter century ago, the then Prime Minister of capacities directly linked to sustainable develop- India, Mrs. Indira Gandhi, was among the very few ment. Looking closer at the purposes of this meet- world leaders who chose to attend the first world ing, let us also remember that India was amongst the conference on environment held at Stockholm in first of the developing countries to join the GEF in its early pilot phase. Hence, for all of these reasons, it tion. Each one of these elements is an important is truly appropriate that this historic first Assembly change in the standard framework of development of the GEF should be held here. cooperation. May I also take this opportunity to convey my sin- The GEF is a partnership between all the countries cere appreciation to the leaders of the three organiza- of the world to meet global ends. The activities that it tions responsible for establishing the GEF, namely, supports serve not just the interests of the recipient the World Bank, UNDP and UNEP. May I also recog- countries but global interests in which the contribut- nize at this, the first Assembly of the GEF, the pio- ing countries also have a stake. Hence the need for a neering role of their predecessors Mr. Conable, Mr. governance structure that seeks to reflect this mutuality Draper and Dr. Tolba. But the one person we have to of interest, a structure that must be made to work thank most particularly is Mohamed El-Ashry, who because we will have need for this sense of partner- with his team, has nurtured this institution from its ship in many other areas in future. Every member of infancy to what we could describe as its coming of GEF, regardless of whether it is a net contributor or a age ceremony. net recipient, must have a sense of ownership about Over the next few days, the GEF will be described the policies that govern its operation. in a variety of ways. From my perspective, as the There is yet another reason for ensuring this sense Undersecretary-General responsible for Economic of ownership. The support provided by the GEF and and Social Affairs, I would like to see the GEF as the the other international institutions is but a small part expression of a new form of development coopera- of what needs to be done to tackle the environmental tion. Let me explain this further. problems in the GEF mandate. The bulk of the effort For quite some time now, practically every institu- has to be supported by national resources, and these tion involved in the management of development will only be forthcoming if the government and peo- has been trying to identify the role of public policy ple concerned feel that the policies they are imple- and, within that, its own role in a world moving menting are theirs and not imposed through some rapidly towards a globalised and interdependent mar- form of aid conditionality. ket economy. As governments leave more and more This need for a sense of ownership within the GEF to the market for ideological or practical reasons, the structure is closely linked to the second innovative guiding principles for public policy have to be pro- element—the clearly defined role of the COPs of the vided by objectives that by common consent cannot Conventions in providing policy guidance to the GEF. be left to the market. The management of the envi- I spoke earlier about mutuality of interests as the ronment is one such concern because it involves basis of the GEF. But mutuality of interest has to be externalities that cannot be managed except through defined mutually and this can only be done through public interventions in the market. I put it to you a democratic political process involving all countries that the GEF is an expression of this compulsion at on an equal footing. This is what the UN does best the global level. The assistance that it seeks to mobi- and this is what is reflected in the COPs of the Con- lize and transfer is not in any sense charity or an ventions and other processes like the Commission on unrequited transfer, but a necessary form of support Sustainable Development and the UNEP Governing for actions that deliver not just national but global Council. The link that the GEF mechanism provides benefits. In this sense, GEF is a new form of develop- between these political processes and its operating ment cooperation based squarely on the notion of policies represents a form of democratic guidance for global externalities and ecological interdependence. development cooperation that also will be needed As the role of government changes, many spheres of more and more in future. development cooperation may shift from the public The third element of innovation that I draw your to the private sphere, but environmental manage- attention to was the close partnership of the World ment will remain a public responsibility and contin- Bank and the United Nations in this venture. The ue to require public resources at the national and three principal implementing agencies of the GEF international levels. bring together complementary competencies—the The GEF also points the way ahead in its modali- World Bank’s experience in the mobilization and dis- ties of implementation. What I am referring to here is bursement of development finance; the UNDP’s long the structure of the GEF Council which has been set experience in capacity building and its formidable to secure a balance of influence between the con- field machinery; and UNEP’s capacity to mobilise tributing countries and programme countries, the scientific and technical knowledge, support negotiat- role of the conference of parties of the Conventions ing processes and act as the environmental con- in providing guidance and partnership between the science of the UN. This too is the way of the future, World Bank and the United Nations, acting through as the UN and other parts of the international system UNDP and UNEP, in the processes of implementa- are called upon to tackle issues that will require effec- tive linkages between policy-making and operational cooperation based on a true partnership driven by a processes; between economic, social and environ- negotiated consensus. I would urge all countries, those mental concerns; between financial, technical and that are net contributors and those that are net recipi- logistical expertise. ents, to approach their work in this spirit. I have dealt with this vision of GEF as a new Let me, therefore, conclude by stressing that the approach to development cooperation because I importance of the GEF goes beyond the amounts believe that your deliberations on the next phase of that it disposes and the objects that it serves. It is also GEF should be guided by the fact that the success that an attempt to define a modality of development attends your effort will have a broader impact on the cooperation that is more suitable for an interdepen- future of North-South relations. Your work will deter- dent and democratic world. mine whether we can move from development cooper- I look forward to the continued success of this ini- ation driven by conditionalities based on the wisdom tiative and the replication of its underlying philoso- that is current amongst a few experts, to North-South phy in other areas of development cooperation.

Statement by Michael Zammit Cutajar Executive Secretary, United Nations Framework Convention on Climate Change

his first session of the GEF Assembly is a time the way for private investment in projects that will to take stock of the significant achievements contribute to national and global sustainable develop- of this institution and to put down markers ment. This role can be fulfilled not only by imple- for its further evolution. menting demonstration projects but also by enhanc- T ing the conditions for such investment. Improved THE ACHIEVEMENTS OF THE GEF access for host countries to technology information The achievements of the GEF have been impressive. and assessment would strengthen their capacity to ■ The GEF has been able, through successive replen- select the right investments for their development ishments, to mobilize significant financial resources needs. Investors, for their part, need better information for action to protect the global environment. The level of on the risks of climate change and the opportunities the second replenishment gives cause for satisfaction for profitable investment in its mitigation. These sub- and will ensure the continued vigour of the Facility, jects are under consideration in the UNFCCC process. provided that timely contributions are made in accor- ■ The GEF has understood the importance of support dance with convention commitments. The full extent for capacity building in developing countries and in of the potential for funding through the GEF has yet countries with economies in transition. This too is an to be learned. In the area of climate change, this will important foundation for private investment. A pro- become known as developing countries submit their ject of particular importance to the UNFCCC is that national communications indicating their plans, pro- which will provide technical support to developing grammes and preferred areas for projects. countries in preparing the national communications ■ The GEF has developed pragmatic operational required by the Convention. We note with satisfac- strategies, responsive to guidance from conventions. tion that the project has finally been included in the Particularly noteworthy in this connection has been GEF work programme at the recently concluded the development of a pragmatic approach to the issue Council. We also note the remarks in the evaluation of incremental costs, which is simple in theory but of the GEF’s overall performance concerning the complex in practice and could have become a bottle- enabling activity programme and are ready to work neck for the operation of the Facility. Guidance from with the GEF Secretariat and the implementing agen- the conventions is a continuing process; updating and cies to improve this aspect of GEF’s activities. fine tuning will be needed from time to time. ■ Finally, the GEF has proven responsive to the In the area of climate change, Convention guidance need to expedite the development, consideration and could aim to enhance the role of the GEF in opening approval of projects. The GEF mechanism is inher- ently complex and can be cumbersome. The smooth mechanisms for Annex I parties to achieve emission flow of the project cycle needs constant attention. reductions “offshore” at least cost; these mecha- nisms—defined by articles 6 (joint implementation— ACTION BY THE UNFCCC JI), 12 (the “clean development mechanism”—CDM) From the side of the UNFCCC, actions have been taken and 17 (emissions trading)—will create new markets recently or are under way that concern the relation- and new ways of doing business. ship between the Convention and the GEF. ■ Through its economic instruments, the Kyoto Protocol ■ COP 3 adopted the Annex to the Memorandum of should generate substantial new flows of private cap- Understanding on the determination of funding nec- ital. This is a key point for this Assembly. These new essary and available for the implementation of the mechanisms, especially those that are project-based (JI Convention. This is the final step in the process of orga- and CDM), will only make sense if they attract private nizing relations between the conference of the parties capital, with publicly-funded institutions playing at and the GEF with respect to funding. The annex pro- most a pump-priming role. Seen in this way, the vides a methodology for joint determination by the mechanisms are not competitors for the scarce devel- conference of the parties and the GEF Council of future opment cooperation funds on which the GEF and replenishment needs in the climate change area. other multilateral financial institutions rely. ■ The Convention bodies should conclude this year When the Protocol will enter into force is a matter their review of the status of the GEF as the operating for political guesswork. A good guess may be 2001. In entity of the financial mechanism of the Convention. the years before entry into force, work will go ahead Given the time frame established in article 11.4 of on the small print of the Protocol, including the the Convention, it is expected that COP 4, to be design of the new mechanisms, so that the Protocol held next November in Buenos Aires, will conclude may get off to a prompt start. the review of the GEF and make a determination of I shall be making a presentation on the Kyoto Pro- its definite status. I sincerely hope that consensus tocol tomorrow afternoon in a side event. For now, will be reached on this matter, if possible at the let me mention three points which may have an eighth session of the Subsidiary Body for Implemen- impact, sooner or later, on guidance from the Con- tation in June. vention to the GEF. ■ A decision should also be made this year on the ■ The GEF will perform the same functions under process for considering national communications by the Protocol as it does under the Convention. Article developing country parties. This may generate further 11 of the Protocol envisages that the entity or enti- guidance to the GEF from the Convention. ties entrusted with the operation of the financial mechanism of the Convention shall perform the THE IMPACT OF THE KYOTO PROTOCOL ON THE GEF same functions under the Protocol. The successful Of course, the main recent outcome of the work of conclusion of the review of the GEF by the the Convention bodies is the Kyoto Protocol, adopted Convention parties will therefore confirm the GEF in by consensus last December. The Protocol is a signifi- its Protocol functions. cant step towards the Convention’s objective of stabi- ■ The Protocol will give rise to fresh guidance to the lizing concentrations of greenhouse gases at safe levels. GEF from the Convention parties. Article 10 of the ■ The Kyoto Protocol will have a substantial environ- Protocol spells out some aspects of the commitments mental impact. This committed Annex I emission undertaken in the Convention by all parties, including reduction of 5.2% below 1990 levels by the period developing country parties. In due time, this elabora- 2008–2012 represents a cut of some 29% when com- tion will be reflected in guidance from the Convention pared with projections of emission trends from Annex I to the entity or entities operating the financial mech- parties in the absence of the binding commitments anism. Article 10 adds specificity to the content of that the Protocol contains. Further steps towards the national and regional climate change programmes, Convention’s goal will have to follow in due time, pro- including sectors to be covered, and to the content of gressively and equitably involving those non-Annex I national communications. It emphasizes adaptation parties (developing countries) with a capacity to con- (technologies, measures and methods), as well as steps tribute to achieving it. to encourage the transfer of or access to environmen- ■ The Protocol will also have an important economic tally sound technologies. Support for research and sys- impact. First, it is a building block of an emerging tematic observation and for education, training and international climate regime that, through its impact public awareness is also underlined. on technological innovation, efficiency standards and ■ The Protocol requires the establishment of national consumption patterns in energy and transport, will systems for estimating emissions, according to guide- influence the global markets of the 21st century. Second, lines set by the parties. This requirement for “emis- the Protocol enables the establishment of market-based sions accounting” applies to Annex I parties. It is stip- ulated as a precondition for acquiring credits through to be established in all countries. This underlines the joint implementation and may also be a factor in the importance already attached to capacity building and credibility of the other new mechanisms. Some Annex I indicates that it is likely to be an element of growing parties that are economies in transition will need help importance in the future GEF work programme. in building and maintaining these national systems; To conclude, the GEF is an essential member of the this could be a new task for the GEF. Looking ahead, family of institutions that make up the “climate this feature of the Protocol signals the likelihood that change partnership.” The UNFCCC Secretariat looks the emerging climate regime will require such systems forward to further constructive cooperation.

Statement by Calestous Juma Executive Secretary, Convention on Biological Diversity

t is a distinct honour for me to address the first in motion measures to implement the Convention at meeting of the Assembly of the restructured the national level. I am pleased to note that the GEF Global Environment Facility. I am very pleased has played a central role in the rapid transition of the to associate the Secretariat of the Convention Convention from the phase of agenda setting to Iwith this event and to congratulate you on the suc- national implementation. cessful completion of the replenishment negotia- The expanding cooperation between the Conven- tions. The success of these negotiations and the tion and the GEF is underscored by the effective execu- achievements so made by the GEF as the financial tion of the enabling activities by the GEF and its imple- mechanism for key international conventions reaf- menting agencies (the World Bank, the United Nations firms the commitment of governments to responding Development Programme and the United Nations to global environmental challenges through appro- Environment Programme). The Convention Secretariat priate institutional innovations. has received over 80 national reports from parties and This meeting comes at a critical moment in the governments, most of which have been prepared with partnership between the Convention on Biological GEF funding. This unprecedented level of compliance Diversity and the Global Environment Facility. This is with the reporting requirements of the Convention your first and last meeting this century. Your resolu- demonstrates the strong commitment of parties and tions will undoubtedly influence the future of biodi- governments to the Convention. A review of these versity financing in the next century, and we look reports shows that most parties have already intro- forward to strengthening our cooperation in meeting duced the necessary institutional arrangements for the objectives of the Convention. implementing the Convention at the national level. The Convention on Biological Diversity is the cen- Support from the financial mechanism has proved terpiece of the international community’s efforts to to be one of the most critical elements in the evolu- protect and sustainably use the earth’s greatest riches— tion of the Convention. The availability of financial the diversity of life. The Convention was opened for resources from the GEF has generated the momen- signature on 5 June 1992 during the United Nations tum needed to advance implementation of the Con- Conference on Environment and Development held vention. The GEF has allocated up to US$418 mil- in Rio de Janeiro, and entered into force on 29 Decem- lion to biodiversity activities in the last three years. ber 1993. Since then, 171 countries and one regional Over 100 parties to the Convention are receiving economic organization have become parties to the financial support from the GEF to prepare their Convention. national biodiversity strategies and action plans. The first meeting of the conference of the parties The relationship between the Convention and the set in place the institutional mechanisms provided GEF has evolved and matured in an effective manner, for in the Convention, which included the designa- as evidenced by the Memorandum of Understanding tion of the GEF as the institutional structure to imple- between the Council and the conference of the parties. ment the financial mechanism on an interim basis. The GEF has exhibited remarkable flexibility for a The second meeting adopted initiatives to opera- funding institution through restructuring itself to tionalise the Convention, and the third meeting put meet the increasing expectations of parties and by adapting its policy and operational practices to the From the perspective of the Convention Secretariat, challenges it has faced. it is clear that there is an urgent need to move beyond When the conference of the parties designated the the question of which institution should be designat- GEF as the interim financial mechanism of the Con- ed to implement the financial mechanism of the vention, only 95 parties had deposited their instru- Convention. The challenge that faces us today is ments of ratification to the Convention. That number how to improve the effective functioning of our has increased to 172; the number of eligible recipient respective institutions. parties has nearly doubled. In doing so, we will seek to work closely with the I would like to express my sincere appreciation to GEF and would like to welcome, for the consideration the Council, the GEF Secretariat and the three imple- of the conference of the parties to the Convention, menting agencies for their commendable efforts to specific proposals on how we can strengthen our promote the implementation of the Convention at cooperation and enhance our ability to meet the the national level. objectives of the Convention.

Statement by K. Madhava Sarma Executive Secretary, Secretariat for the Vienna Convention and the Montreal Protocol (Ozone Secretariat)

zone is a poisonous gas of 3 oxygen ACTION BY UNEP atoms. It is very rare in the atmosphere, UNEP took up the issue of ozone depletion in 1976, three molecules out of 10 million. Nine- and a meeting of experts on the ozone layer was con- ty percent of ozone is in the upper vened in 1977. A Coordinating Committee of the atmosphereO (stratosphere) between 10 and 50 km Ozone Layer, in cooperation with the World Meteoro- (6–30 miles) above the earth. logical Organization was set up to periodically assess The ozone layer absorbs most of the harmful ultravi- ozone layer depletion. In 1981, inter-governmental olet-B radiation from the sun and completely screens negotiations for an international agreement to phase out the lethal UV-C radiation. This shield of ozone layer out ozone-depleting substances (ODS) were initiated is one of the factors in protection of life on earth. and culminated in the conclusion of the Vienna Con- If the ozone layer is damaged, more UV-B will vention for the Protection of the Ozone Layer in reach the earth. More UV-B means more skin cancers, March 1985 and the Montreal Protocol on Substances more eye cataracts, less yield from plants, less produc- that Deplete the Ozone Layer in September 1987. tivity from the seas, damage to plastics, etc. The overall purpose of the Vienna Convention is In 1970, Professor Paul Crutzen pointed to the pos- to encourage research, monitoring of chemicals, sibility of nitrogen oxides from fertilizers and from including CFCs, and to promote cooperation and supersonic aircraft depleting the ozone layer. Then, in exchange of information. The Convention provides 1974, Professors F. Sherwood Rowland and Mario J. for parties to undertake measures to protect human Molina identified CFCs as ozone depleters. The three health and the environment against human activities scientists received the Nobel Prize for chemistry in that modify the ozone layer and to cooperate through 1995 for their pioneering work on ozone depletion. research and systematic observation of the ozone layer. The Montreal Protocol’s main thrust is to gradually THE OZONE-DEPLETING CHEMICALS reduce and finally phase out both production and CFCs (or more generally, halo-carbons) were discovered consumption of all ozone-depleting substances. The in 1928. They were considered “wonder gases,” having Protocol provided for revision on the basis of periodic a long life, being non-toxic, non-corrosive, nonflamma- scientific and technological assessments. On the basis ble and versatile. The use of these chemicals increased of such assessments by leading experts, the Protocol rapidly from the 1960s for many uses—aerosols, air has been adjusted four times—in London in 1990, conditioning, refrigeration, solvents, foams, fire fight- Copenhagen in 1992, Vienna in 1995 and Montreal ing, soil, storage and structural fumigation. in 1997—to bring forward the phase-out schedule of ODS. It has also been amended three times to add ODS where other, more environmentally suitable new controlled substances to the list and introduce alternatives are not available. HCFCs were critical in other control measures related to ODS. meeting the early CFC phase-out goals, but are gener- As of 20 February 1998, the ozone agreements had ally considered much less important for new equip- been ratified by countries as follows: Vienna Conven- ment available in the medium and long term. tion, 166 parties; Montreal Protocol, 165 parties; Lon- The phase out of methyl bromide is a more diffi- don Amendment, 120 parties; and Copenhagen cult issue. This is partly because it concerns agricul- Amendment, 77 parties. ture and also because alternatives are less easily avail- At present, there are 95 chemicals controlled by the able. The major use is in agriculture, mainly for Protocol grouped as: chlorofluorocarbons: CFCs; fumigation to control pests and weeds. Such treat- halons, hydrobromofluorocarbons—HBFCs; other ment is often required by importers of agricultural fully halogenated CFCs, carbon tetrachloride, 1,1,1 products. Some countries have already subjected the trichloroethane-methyl-chloroform, hydrochlorofluo- chemical to controls because of concerns about its rocarbons: HCFCs; hydrobromofluorocarbons: HBFCs toxicity, much before the concern about its ozone- and methyl bromide. depletion potential became an issue.

CONTROL MEASURES FOR THE CHEMICALS MULTILATERAL FUND FOR DEVELOPING COUNTRIES Developed countries: Phase out of halons by 1994. The parties to the Montreal Protocol established at Phase out of CFCs, carbon tetrachloride, methyl chlo- their second meeting (June 1990) a financial mecha- roform and HBFCs by 1996. Phase out of methyl bro- nism which included a Multilateral Fund. The pur- mide by 2005. Phase out of HCFCs by 2030. pose of the Multilateral Fund is to enable developing Developing countries: Phase out of HBFCs by 1996. countries to implement their commitments under Phase out of CFCs, halons and carbon tetrachloride the Montreal Protocol. The Fund pays the agreed by 2010; methyl chloroform and methyl bromide by incremental costs to be incurred by developing coun- 2015; HCFCs by 2040. tries for the phase out of their ODS consumption and production. It is administered by an Executive Com- TECHNOLOGIES mittee of 14 countries, chosen by the parties to the The success of international efforts to protect the Protocol every year, seven from developing countries ozone layer has been made possible because science and seven from developed countries. and industry have been able to develop and commer- The UNDP, UNEP, UNIDO and the World Bank are cialize alternatives to ozone-depleting chemicals. the implementing agencies of the Fund. UNEP main- Developed countries ended the use of CFCs much tains a clearinghouse of information and assists in easier and earlier than was originally anticipated. training, setting up national ozone units, preparation Not-in-kind substitutes have proved particularly of country programmes, networking and preparation important in the electronics sector. The foam-blow- of refrigerant management plans. It has assisted over ing sector has made use of water, carbon dioxide and 100 countries so far. The other implementing agen- hydrocarbons, as well as HCFCs. The refrigeration cies plan and implement investment projects to and air conditioning sector has largely used HCFCs phase out ozone-depleting substances. (which are low ozone depleters) as alternatives, but The main achievements of the Multilateral Fund are: new equipment is increasingly using non-ozone- ■ As of December 1997, nearly 89 percent of 1991– depleting hydrofluorocarbons (HFCs), ammonia and 1996 assessed contributions has been paid as well as hydrocarbons—as in, for example, the “greenfreeze” 67 percent of the 1997 contributions. A large portion domestic refrigerator. of outstanding contributions are from countries Consumers have used recycling of halons to pro- recently classified as economies in transition. vide extra time to develop substitutes for halons for ■ The Executive Committee has approved 86 country fire fighting. Other extinguishing agents such as car- programmes, covering the estimated production of bon dioxide, water, foam and dry powder are now 68,950 ODP tonnes and the consumption of 152,600 widely used. Alternative approaches, such as good fire ODP tonnes of controlled substances. prevention practices, use of fire-resistant materials ■ So far, the Executive Committee has approved more and appropriate designs for buildings have signifi- than 2,000 projects and activities with a planned cantly reduced the need for halon systems, and total phase out of 96,460 ODP tonnes of controlled sub- phase out was achieved smoothly by 1994. stances and 12,940 ODP tonnes in the production Phase out efforts in industrialized countries are now sector, and allocated US$729.82 million for their concentrating on HCFCs and methyl bromide. Parties implementation in 111 Article 5 countries. to the Montreal Protocol are mandated to ensure that ■ The Committee has allocated more than US$18 HCFCs are used only as direct replacements for other million for setting up ozone offices, US$68 million for technical assistance and training programmes, and depletion so far. In 1985, the British Antarctic team US$39 million for the preparation of country pro- discovered massive losses of ozone (“ozone hole”) grammes and project proposals. over the continent. The land area under the depleted areas increased steadily to more than 20 million square GLOBAL ENVIRONMENT FACILITY kilometres in the early 1990s and has been varying GEF had been established by the world community to between 20 and 25 million square kilometres since. assist the developing countries on four global environ- In the Antarctic spring of 1997—i.e., August–Novem- mental issues—ozone depletion, climate change, biodi- ber 1997—the area of the ozone hole exceeded 24 mil- versity and international waters. GEF assists in projects lion square kilometres (more than twice the area of and activities for phasing out ozone-depleting sub- Europe). It covered some populated areas of the South- stances in Eastern European countries with economies ern Hemisphere. Scientists hold the cold atmosphere in transition which are not eligible for assistance from over Antarctic and the polar stratospheric clouds the Multilateral Fund since they are not recognized as responsible for the ozone hole. The ozone layer over developing countries. These countries have experi- the Arctic has no “hole,” but depletion of up to 30 enced many problems in their transition to market percent over the last few years has been observed. economy and have found it difficult to implement the The depletion over Europe and other higher latitudes Protocol. US$111 million has been sanctioned by GEF varies between 5 percent and 30 percent. to assist the following countries—Belarus, Bulgaria, the The scientists also observe constantly the abun- Czech Republic, Hungary, Poland, the Russian Federa- dance of ozone-depleting substances in the atmos- tion, Slovakia, Slovenia and Ukraine—to implement phere. They have reported that, thanks to the Mon- the Protocol. The implementing agencies of GEF pro- treal Protocol, the growth rates of many CFCs are jects are UNDP, UNEP and the World Bank. going down, though the absolute quantities are increasing. The atmospheric abundance of some RESULTS OF THE PROTOCOL CFCs (CFC-11, CFC-113, carbon-tetrachloride and The results of the Protocol in the last ten years have methyl chloroform) is declining. The abundance of been startlingly good and have been hailed by many CFC substitutes is growing. The scientists have calcu- as a shining example for solving other global envi- lated that these observations are consistent with the ronmental problems. The total consumption of CFCs assumption that the Montreal Protocol is working. was about 1.1 million tonnes in 1986. By 1996, this Even though the Protocol is working well to reduce had come down to about 160,000 tonnes. The con- the consumption of ozone-depleting chemicals, the sumption of the industrialized countries which stood long life of chemicals released in the past will keep at about a million tonnes in 1986 has been completely the depletion going for a few more years. The scien- phased out but for a consumption of 11,000 tonnes tists predict that the ozone layer will begin healing for essential uses approved by the Parties. The devel- only by the year 2000, and we can expect the healing oping countries have increased their consumption by to continue if the Protocol is fully implemented. The about 30 percent in the last 10 years, as permitted by full recovery will be effected by the year 2050. the Protocol but, considering the high rates of eco- The growth rates of halons, used in fire fighting, nomic growth in many of the developing countries have not decreased, even though new production has recently, it should be admitted that the Multilateral been phased out in 1994, since the halons in existing Fund has succeeded in preventing undue rise in the fire-fighting equipment get emitted whenever there is consumption of CFCs. Developing countries will a fire. This is worrying, since bromine contained in begin the implementation of their control measures halons is fifty times more efficient than chlorine of in July 1999 and phase out thereafter. Of the 120 CFCs in depleting ozone. The parties to the Protocol developing countries, about 20 countries account for have requested the concerned expert panel of the more than 90 percent of the consumption of devel- Protocol to explore the implications of decommis- oping countries. Of these 20, key countries like sioning the existing halons systems and destruction Argentina, Chile, the Islamic Republic of Iran, Repub- of the halons therein. lic of Korea, Malaysia, the Philippines, the Syrian Arab Republic, Thailand and Venezuela have already FUTURE CHALLENGES started their reduction of consumption in 1996. While the Protocol has been hailed as an extraordi- nary success so far, there is no room for complacency. STATUS OF THE OZONE LAYER There are still some challenges to be faced. Atmospheric scientists in USA, Europe, Japan and many other countries have been observing the ozone layer NON-PARTIES for many years now. The ozone layer over the Antarc- There are still 23 countries which have not ratified tic, measured since the early 1980s, showed steady the ozone treaties. It is true that these are very small countries whose consumption of ODS is negligible, be estimated accurately but is perhaps in the region but it is in the interest of these countries to ratify the of about 30,000 tonnes. agreements. The seriousness of this problem has been realized by the parties. Countries such as the United States are COUNTRIES WITH ECONOMIES IN TRANSITION taking stringent action against these smugglers by The implementation of the Protocol from 1989 has imprisoning them and fining them heavily. The Euro- unfortunately coincided with massive changes in the pean Union recently introduced tough controls. The political and economic systems of the former Soviet parties have also mandated that each party should Union and Eastern European countries. The instability have a licensing system to import or export CFCs. in these countries until recently made implementa- This makes it easy for the Secretariat to compare the tion very difficult. As a result, the Russian Federation figures and inform governments regarding the source and a few other countries admitted in 1996 that they of illegal CFCs. The World Bank is also raising $25 will be unable to follow the phase-out time-table. million from donors to buy off the production facili- They have, however, promised to complete the phase ties in the Russian Federation and to close them down out by the year 2000, if sufficient assistance is forth- by the year 2000. This problem is one which will be coming. The parties to the Protocol considered non- cured by the closure of the factories throughout the compliance by these countries and recommended world, but, meanwhile, the parties and the Secretariat assistance by the Global Environment Facility, which will take all possible steps to minimize illegal trade. has given the assistance and has so far disbursed $111 million to 11 countries in this region. These countries METHYL BROMIDE accounted for a consumption of about 150,000 Methyl bromide is an insecticide used for fumigation tonnes in 1986. It has fallen significantly to about of soils structures and storage. Most of the use is in 20,000 tonnes in 1996. It is hoped that these coun- soil fumigation for high-value crops. This chemical, tries will complete their phase out by the year 2000. apart from being an ozone depleter, has many other toxic properties. Some countries like the Netherlands ILLEGAL TRADE IN CFCS have banned its use because of these other toxic The major problem which arose in the last few years properties. The parties to the Montreal Protocol is the problem of illegal trade. There are many factors understood its significance as an ozone depleter only which contribute to this problem. All new CFCs are in 1992, and the developing countries have accepted now banned in all the industrialized countries. How- a phase-out schedule only in 1997. The total world ever, there are millions of pieces of equipment which annual consumption of methyl bromide is about use CFCs still in service. Alternatives to CFCs have 70,000 tonnes, most of it in the industrialized coun- been developed to service this equipment (car air tries. At present, it is used only in a small number of conditioners, etc.) whenever the CFCs leak out. How- countries and only in high-value crops. However, ever, some consumers consider the alternatives cost- only 77 countries have ratified the Copenhagen lier. Also, the parties to the Protocol have permitted Amendment of 1992 which introduced controls of the use and trade of recycled CFCs to maintain the methyl bromide. The other countries of the world existing equipment, and it is difficult to distinguish have not accepted controls on methyl bromide. between new and recycled CFCs. The production of There is considerable danger, therefore, that the con- CFCs is continuing in many countries. In industrial- sumption of methyl bromide could spread to more ized countries, the production is continuing to meet countries and to more uses than at present. The chal- their essential uses and to supply developing coun- lenge before the parties is to stop this in time. Many tries as permitted by the Protocol. The developing alternatives are emerging for methyl bromide in vari- countries are allowed to produce subject to controls ous uses, and the Multilateral Fund has taken up a only from 1st July 1999. Hence, they have increased $30 million programme to demonstrate these alterna- their production. Countries such as the Russian Fed- tives in developing countries. eration are continuing production in non-compli- ance with the Protocol but have promised to phase WHAT WOULD HAVE HAPPENED IF THERE WERE out by the year 2000. Also, in the United States, the NO MONTREAL PROTOCOL? market price of CFCs is very high due to a high tax. The ozone-depleting chemicals had reached a level of All these factors contributed to some traders illegally consumption of 1.1 million tonnes in 1986—about 1 exporting new CFCs to the industrialized countries million tonnes in the developed countries and the either in the guise of recycled substances or in the rest in the developing countries. Quicker growth in guise of export to developing countries. The profits the consumption of these chemicals was due to their are said to be higher than those obtained by export- many desirable characteristics, including a long life. ing cocaine. Obviously, the total illegal trade cannot These chemicals are used in goods such as air condi- tioners and refrigerators, and the demand for these In 1987, there was considerable uncertainty about goods galloped in developing countries from the the extent of the ozone depletion, its adverse effects 1980s in step with their rapid economic growth. It has and availability of alternative technologies. The been calculated that the global consumption would ozone-depleting chemicals were used in many indus- have reached about 3 million tonnes in the year 2010 tries and were considered irreplaceable. In order to and about 8 million tonnes in the year 2060. deal with this uncertainty, governments took a small The depletion of the ozone layer from 1980 is about step first of a partial phase out and involved the sci- 5 percent per decade. The increased consumption entific community to advise them periodically on the would have resulted in a 50 percent depletion of the further steps needed to protect the ozone layer and ozone layer by the year 2035. on the availability of alternate technologies. Four times The implications of this increased ozone depletion so far in the last 10 years, the governments changed would have been horrendous. There would have the Protocol in accordance with such scientific been nearly 19 million cases more of nonmelanoma advice. For the first time, the scientific community skin cancer up to the year 2060 and 3 million more has a front seat in environmental negotiations. cases up to 2030. There would have been nearly 1.5 One more lesson of the Protocol is in promoting uni- million more cases of melanoma skin cancer by the versal participation, including of the developing coun- year 2060. The number of eye cataracts would have tries in the Protocol, by recognizing “common and dif- increased by about 130 million cases by the year ferentiated responsibility.” It was realized early that it 2060—about 50 percent of this in developing coun- requires global participation to protect the ozone layer. tries. There are many other unquantifiable effects While the developing countries had a small share of such as loss of immunity, adverse impact on animals, the consumption in 1986 (and hence little responsibili- lower productivity of crops and damage to aquatic ty for ozone layer depletion), their increasing consump- ecosystems including fishing and degradation of plas- tion would have nullified the efforts of the industrial- tics. There has been a study by the Government of ized countries to phase out these chemicals. The Canada which calculated that, while the world would adverse impacts would have been felt by all. It was also ultimately spend many billions of dollars in changing realized that the developing countries may not have to ozone-safe technologies, the benefits would exceed the skills, technologies or resources to implement the these costs many times. Protocol in time. Hence provision was made for a grace period, technology transfer and the Multilateral Fund. LESSONS OF THE MONTREAL PROTOCOL The developed countries alone contribute to the Fund, There are many lessons of the Montreal Protocol while the Fund—administered by a committee of 14 which can be applied to solving other global environ- members—is equally divided between developing and mental issues. developed countries. These steps resulted in almost all The first lesson is the application of the “precau- the countries committing themselves to the protection tionary principle.” When governments acted in 1985 of the ozone layer. and 1987, there had been no actual damage to human Another lesson is the integration of science, eco- health proved to be caused by ozone depletion. How- nomics and technology both in devising the control ever, governments heeded the advice of the scientists measures and in implementing them. The assessment that if they waited longer for a 100 percent proof, the panels of the Protocol, with experts from all areas ozone layer would have been destroyed to such an including industry, have provided expertise to the extent as to cause serious adverse consequences, and parties to take informed decisions. The involvement these consequences would have continued for many of industry ensured development of cheap and effec- decades. The lesson, therefore, is to take action in tive alternatives. time to prevent damage rather than wait until the The evolution of the Protocol has proved the use- damage has been proved by which time the damage fulness and indispensability of UNEP. UNEP provided would have been great and irreversible. the platform for countries with differing points of The Protocol mandated specific time tables for view to come together. It organised the scientific every country to phase out their profitable “wonder” assessments which not only identified the problem chemicals. This signaled to the industry that these but also provided options to solve the problem. In chemicals have no future and led to development of the early 1980s, even when governments lost inter- alternatives quickly. This “technology forcing” accel- est, UNEP persisted until consensus was achieved. It erated the phase out. The Protocol created markets is continuing to work on the issue both as a Secretariat for the alternatives. and as a clearinghouse for information. Its activities Another important lesson of the Protocol is how to help more than a hundred governments to imple- act on an issue when there is no scientific certainty. ment the Protocol. Statement by Hama Arba Diallo Executive Secretary, Secretariat of the Convention to Combat Desertification

t is my great honor and pleasure to be invited to that the GEF shall operate in four focal areas—namely address this landmark gathering. I would like to climate change, biological diversity, international thank His Excellency, Mr. Atal Bihari Vajpayee, waters and ozone layer depletion. Under this princi- Prime Minister of India, and his Government for ple, the GEF can finance projects aimed at combating Ihosting this meeting so graciously. I would also like land degradation, desertification or drought as far as to congratulate the GEF Secretariat upon its strenuous they relate to the four focal areas. The instrument for efforts to make this meeting a success. In this respect, the restructured GEF, which provides for four focal I would like to acknowledge the able leadership areas, was agreed upon prior to the adoption of the demonstrated by Mr. Mohamed El-Ashry, Chief Exec- CCD in June 1994. It has therefore played a role in utive Officer and Chairman of the GEF, and I would differentiating the CCD from other conventions in like to join others in paying a tribute to him. the GEF framework. Such a structural principle has The GEF has served over the past seven years as an served to maintain a discipline in the operation of innovative multilateral financing mechanism. It is the GEF. On the other hand, it cannot be denied that aimed at providing new and additional concessional such a principle has also imposed a certain degree of financial resources for meeting the incremental cost to constraint in mobilizing or channeling financial achieve global environmental benefits. The collabora- resources for activities aimed at combating land tion among three implementing agencies—namely, degradation and promoting sustainable use of land the World Bank, the UNDP (United Nations Develop- based resources. In the GEF operational programs ment Programme) and the UNEP (United Nations published in June 1996, the component of addressing Environment Programme)—also exemplifies its inno- issues related to land degradation and arid and semi- vative character. Its membership has increased now arid land management are stated as a part of the key up to 162 countries. I would also like to congratulate GEF operational programs. While a considerable countries contributing to the GEF upon the conclu- number of GEF projects include a certain degree of sion of the negotiation on the second replenishment components to address land degradation issues, con- which amounts to 2.75 billion dollars. This will cerns have been occasionally expressed over the lim- indeed help maintain and enhance the momentum ited portfolio of the GEF for projects which address for taking greater care of our planet and assist devel- land degradation issues, and calls for increasing its oping countries and countries with economies in portfolio of land degradation are becoming vocal. I transition in implementing required policy measures am grateful to note that a first GEF project which at the local and national levels and mobilizing addi- squarely addresses land degradation issues in Senegal tional financial resources. and Mauritania entitled Biological Diversity Conser- It is worth noting that the prototype of the restruc- vation through Participatory Rehabilitation of Degraded tured GEF actually stems from the agreement in Lands was approved by the GEF Council yesterday Chapter 33 of Agenda 21 adopted at the 1992 Rio and will now be in the process of implementation. I Earth Summit or the UNCED (United Nations Con- sincerely hope that this will trigger an increase in the ference on Environment and Development). In this GEF portfolio for projects that address land degrada- respect, I would like to stress that the same interna- tion issues. In this respect, I call for a close coopera- tional instrument, Agenda 21, in calling for the estab- tion between the CCD, the CBD, and the UNFCCC lishment of the Intergovernmental Negotiating Com- Secretariats in identifying activities which would mittee in its Chapter 12, paragraph 40, gave birth to meet the requirements and objectives of the three the Convention to Combat Desertification (CCD). Conventions and can be supported by the GEF. The restructured GEF and the CCD trace their origins Land degradation is caused or accelerated by cli- to Agenda 21. However, the GEF has not been desig- matic irregularities or natural disaster as well as nated as a full-fledged financing mechanism for the human-induced activities. Land degradation occa- CCD unlike for the United Nations Framework Con- sionally leads to desertification which would have vention on Climate Change (UNFCCC) or for the multiple impacts on the global environment such as Convention on Biological Diversity (CBD). Article 2 climate change, the loss of biodiversity and the avail- of the instrument for the restructured GEF stipulates ability of water. Let me now elaborate a little more on multiple impacts of land degradation and desertifica- world is susceptible to desertification. On the other tion on the global environment. hand, these drylands hold crop species which are At the Third Session of the Conference of the Par- resistant to drought and disease. Such species are, ties to the UN Framework Convention on Climate however, also faced with the danger of extinction due Change held in Kyoto last year, the Kyoto Protocol to poor land use practices which lead to vegetation was adopted to set forth, in its Article 3, epoch-mak- destruction and soil loss. Here again, appropriate land ing commitments for industrial countries as well as use practices are quite essential for preserving biologi- countries with economies in transition to reduce cal diversity, maintaining sustainable food produc- greenhouse gas (GHG) emissions from 1990 levels by tion and alleviating poverty. 5.2% on average between 2008 and 2012. This com- Fresh water is a critical component of the global mitment remains one of the critical challenges which environment of our planet. Fresh water, which is the international community needs to overcome at the already unevenly distributed around the world, has turn of the next millennium. Further technological been running short due to the increasing demands advancement as well as policy reforms are required to for water. Water shortage has been becoming more achieve substantial reductions of GHG emissions. serious. The high cost of introducing technologies to Related to the commitments for reducing GHG emis- convert sea water to fresh water still prevents their sions, it is also important to note that pursuant to wider application. The rapid growth in water demand paragraph 3 of Article 3 of the Kyoto Protocol, enhance- stems from the increasing reliance on irrigation to ment of sinks of GHGs such as afforestation and achieve food security. It should be noted, however, reforestation can be considered as an offset for GHG that most of the water drawn for irrigation just drains emission reduction commitments and subtracted away in most developing countries due to inappro- from the committed amount of emission reductions. priate water management policies and practices. Dis- Furthermore, paragraph 4 of Article 3 states that addi- torted water supply at the country and sub-regional tional human-induced activities related to changes in levels further accelerates land degradation and pro- GHG emissions and removals—for instance, through gresses desertification. Appropriate water supply poli- carbon sequestration in agricultural soils, land use cies and water management practices, particularly changes and forestry categories—may be subtracted those aimed at increasing efficiency of water use, need from the committed amount of emission reductions, to be implemented. Such policies are inextricably although it is still subject to future negotiations. interwoven with our efforts to combat desertification. Growing carbon sinks is a critical part of policy mea- The El Niño phenomenon also remains a serious sures to meet the commitments for reducing GHG concern. It has been causing floods in several arid emissions. African and Latin American countries, at the same time Drylands are vast carbon reserves, and their poten- causing drought in countries with a tropical climate. It tial to be carbon sinks is significant. Such carbon has been negatively affecting agricultural production reserves do not normally participate in the carbon in Latin American countries. All these events signifi- flux in natural ecosystems. However, they will be cantly deteriorate land conditions and encourage soil released into the atmosphere in a large quantity erosion and land degradation. Appropriate land man- when dryland conditions are disturbed through fire, agement policies are also important in mitigating the pest outbreaks, storm and floods. The fluxes of car- El Niño phenomenon. bon into the atmosphere are even greater in the case The United Nations Convention to Combat Deser- of grasslands and cropped drylands, which contain a tification in Those Countries Experiencing Serious large quantity of carbon, are disturbed by aforemen- Drought and/or Desertification, particularly in Africa, tioned external eventualities and shocks. This interre- was adopted in June 1994 and came into force in lation between carbon reserves of drylands and the December 1996. Forty-seven percent of the land fluxes of carbon into the atmosphere indicates the space on this planet is arid land, 90% is susceptible to importance of appropriate dryland management or desertification and 20% has already been experienc- even the potential of utilizing drylands. ing land degradation. Land area equivalent to Ireland Due attention has not yet been paid to the fact turns into arid land every year, and 1.2 billion people that appropriate dryland management does not only are drawn into a vicious circle of environmental help us in tackling climate change or global warming, degradation, deepening poverty and deteriorating but also in forging our efforts to preserve biological health. And many developing countries, particularly diversity. The preservation of biological diversity is least developed countries, significantly lack the essential not only because its loss is not recoverable, capacity to tackle these issues. The CCD has been but also because it enables us to keep our agricultural considered as an innovative international framework sector adaptable to changing climatic conditions and for activities to combat desertification and drought, eventualities. About 90% of drylands around the and strengthen international cooperation for these purposes. It advocates the promotion of a bottom-up change, biodiversity and water management. We approach involving local people and community- have been making a great deal of progress in imple- based organizations. It has now 124 parties as of menting our work programmes for facilitating activi- today, and about 150 parties are expected to attend ties at the local, national, sub-regional and regional the Second Session of the Conference of the Parties levels. I really hope that at the upcoming COP2, (COP2) to be held in Dakar, Senegal from 30 Novem- many countries will assemble as parties to the CCD, ber to 11 December this year. The CCD Secretariat witness our progress and give us support and guid- has been acting as a catalyst for mobilizing public ance for making further progress. In this respect, I and international support for achieving these objec- would like to seek your leadership to those who have tives in collaboration with the International Fund for come from the countries which have not ratified or Agricultural Development, UNDP, UNEP, FAO, WMO acceded to the CCD, for enabling us to receive you and other partners. The GEF is also one of our impor- and your country representatives as members to the tant partners. Our COP adopted a decision last year CCD at the upcoming COP2. It will be the largest calling for closer cooperation between the GEF and international conference ever to be held in a sub- the CCD, and I hope to further strengthen our part- Saharan African country to discuss the issues of the nership with the GEF in coming years. Our Secretari- global environment and sustainable development. I at will move from Geneva to Bonn, Germany, next hope all of you can join us in ensuring the success of year and be collocated with the Secretariat of the our meeting. UNFCCC. It will help us enhance our partnership Finally, I would like to stress once again the critical with the UNFCCC. We will also continue to enhance and multi-disciplinary nature of combating desertifi- our partnership with the CBD and other Conven- cation in our effort to protect the global environ- tions to help one another achieve common objec- ment. The CCD has organized a workshop from 3 to tives. Through collaboration with our partners, the 5 tomorrow afternoon, Thursday, April 2, entitled CCD will become a facilitator for combating desertifi- Land Degradation and Its Multiple Implications for cation and drought, and promoting sustainable use the Global Environment, to discuss further these of land based resources through its multi-disciplinary issues. I hope you can attend our workshop and nature and linkages, particularly with climate share your experiences and wisdom with us.

Statement by Pier Villenga Chair, Scientific and Technical Advisory Panel, Global Environment Facility

n this hall of science, it’s really an honor to have In practice, our panel acts as the interface between the opportunity to address you and to talk the global scientific and technical community and the about the findings of our 11-member scientific GEF and the countries GEF works with. We work close- committee. ly with the scientific bodies of the Conventions and IThe mission of our committee is to ensure that the research bodies such as IPCC and also with internation- GEF, the Council, the implementing agencies, and the al organizations like ICSU, the Third World Academy, countries get the best science and technology can pro- and groups and bodies such as IUCN and Diversitas. vide. Our position in here as a scientific committee is Our work is described in the paper that is in your unique in the world of multilateral and bilateral agen- Assembly documents called “Highlights of STAP.” To cies, and there is a reason. Many of the actions to safe- illustrate our work, I will mention a few examples. guard the global environment are based on only a par- One of the issues we addressed at the request of the tial understanding of the underlying natural and GEF Council is renewable energies. What are the most social processes. And it was decided from the outset appropriate technologies, and under which condi- that GEF should have a scientific committee to sup- tions will they work? We identified the most promis- port the overall strategy, to underpin the operational ing ones, and we also calculated what it would need programs, and to review the GEF projects. to introduce them in the market. And we have found that the best way to give renewables a chance is to global benefits and opportunities to generate GEF proj- remove the barriers, including subsidies for fossil fuels; ects in this field, and we helped the GEF to develop a and, second, to engage the private sector and develop number of projects in Africa. an industry in renewables; and, finally, to introduce a Let me finish by addressing one of the most chal- financial facility to kick start the market—like the lenging issues for the GEF. Many of the early environ- GEF, but beyond that—at the national level. mental problems, like water pollution, air pollution, We concluded, indeed, that this will require some and toxic waste, can be addressed by process technol- money, some subsidies, but it will be much less than ogy and biotechnology, and therefore, economic ever invested in research and development on development and the environment can go hand in nuclear energy. hand. But for global environmental problems, this is Renewable energy is relatively straightforward, but not as easy, as these environmental problems are what about coal, especially in this country, India? At caused by a major human interference in the primary the request of the Council, the STAP, together with a global bio-geochemical cycles, like the carbon cycle, broad range of experts, has tried to clarify the coal the nitrogen cycle, the water cycle, and the biodiver- issue. Our first conclusion is that coal is so important sity heritage and its dynamics. And we will really that it should remain on the GEF agenda. There are, require coherent transformation of the way we meet indeed, excellent technological opportunities to our needs in the field for water, food, energy, and make coal cleaner. We uncovered a range of technical land use, because the actions of all the global conven- options to make the use of coal much cleaner and tions, when it comes to programs and activities, it all outlined a three-step strategy, and it starts with the boils down to these cycles, and it boils down to introduction of techniques that increase efficiency by water, food, energy, and land use. a factor of two and, meanwhile, reduce local air pol- That’s why there is a continuous position for STAP lution. And we further illustrated that, over time, to ensure that the GEF activities in this field can be decarbonated coal can provide the basis for a long- coherent and can mutually support each other. In the term and completely clean hydrogen economy. same way as GEF tries to find synergies in projects Then on biodiversity, we mobilized the scientific that address local and global concerns, the scientific community to help GEF to develop a strategy on sus- community should bring together the knowledge tainable use of biological resources, and our advice about the natural system and the social system and was put together with the scientists’ including the bring together this knowledge to the benefit of better Chair of the Scientific Bodies on Biodiversity Con- practices in the way we meet our needs. vention. We identified that there are, indeed, many The final topic, and dearest to my heart, is learning opportunities and examples of sustainable use prac- through cooperation. For GEF as a whole and for tices, like shell fisheries in Chile, wildlife manage- STAP in particular, mobilizing the wider scientific and ment in Africa and Asia, and mangrove management technical community is one of the most powerful systems in Malaysia. Beautiful examples. tools to guide our development in a sustainable direc- But one message is clear, and it’s not an easy one. tion. And the CEO has encouraged STAP to mobilize To enable sustainable use of biodiversity, a new this community from the very start. STAP is doing its approach is needed. While biodiversity protection task, but we cannot do everything. We need the help can be organized with just capital and management, of the GEF focal points in all the countries to bring sustainable use does require stakeholder involvement, together the natural/social scientists and the technol- and it requires skills, new incentives, and new institu- ogy experts around the themes GEF is addressing. tions to safeguard the biodiversity while using it. I would like to say in parallel to this a very realistic On international waters, the STAP has developed slogan on biodiversity which says, “Use it or lose it.” the scientific and technical basis for a global interna- It’s a popular but very true slogan for biodiversity. But tional waters assessment. However, we concluded it the same holds for the scientific community and the should be done differently for waters than for cli- technological community worldwide, and in particu- mate, and we strongly advise that a global interna- lar in developing countries. We talk a lot about capac- tional waters assessment would start by regions and ity building, but I have found there is a tremendous would be developed bottom-up from the regions, capacity out there. We just have to utilize it. including the watersheds and the coastal seas. And I So, as for biodiversity, it holds for scientific and am happy that UNEP has picked up this idea and that technical human capital. Use it or lose it. And I hope the GEF has now approved this global international that you will return from this Assembly to your coun- waters assessment and will cofinance it. tries and call on your national scientific and techni- On land degradation, the STAP has helped the cal community to assist you in identifying and pro- implementing agencies and the scientists from this moting projects and practices that help the goals of convention to combat desertification to clarify the the GEF. Statement by Anil Agarwal Director, Centre for Science and Environment

consider it an honor to deliver this statement on cultural issues. Therefore, GEF must be an institution behalf of the nongovernmental organizations. I with a genuine learning culture. In order to do this, also feel privileged in doing so in my own home we strongly believe that the monitoring and evalua- town, a city which has had a long history, one tion program of GEF should be strengthened, its Ifull of beauty, art, and architecture, but one which institutional independence maintained, and civil also faces major environmental challenges today. society groups involved in its work in a more effec- The Global Environment Facility is one of the con- tive and systematic manner. crete results of the UN Conference on Environment Our second point is that the GEF must do more to and Development held in Rio in 1992. It still remains ensure that global environmental concerns are inte- the only multilateral mechanism which provides grated into the non-GEF operations of its three imple- financial support for projects that aim to deal with menting agencies. By themselves, the resources of GEF some of the most urgent global environmental prob- are far too small to affect the current development tra- lems facing humankind today. jectory of the planet. We believe that there should be There can, however, be no doubt that the 21st cen- periodic detailed reporting on concrete steps under- tury will have to see such a Facility built on the new taken by the implementing agencies to mainstream and more dynamic principles of global environmen- the global environmental objectives of the GEF. tal cooperation that the new century and the new On our own part, we’re exploring the idea of estab- millennium will demand. Instead of aid being the lishing a new mechanism for dialogue on a regular only principle underpinning this cooperation at a basis with the implementing agencies to address global scale, we may have to move toward sharing of these mainstreaming issues related to the global the benefits of global common properties, resources environment. like the atmosphere and the oceans, internalization Our third concern is that the number of implement- of environmental costs in the pricing of internation- ing agencies needs to be expanded beyond the existing ally traded commodities, and national liability for three. We believe that the number of implementing international ecological damage built on the “pol- agencies should be expanded to increase the involve- luter pays” principle. ment of NGOs and community-based organizations. It was in 1972 that Barbara Ward had told the We believe the GEF should be a place where the best Stockholm conference that there is only one Earth. project ideas and most promising implementers with The need to share that Earth equitably, peacefully, and genuine comparative advantage can compete. sustainably has never been greater. Sooner or later, Our fourth point is that the GEF should become a multilateral financing mechanisms will have to be mechanism to catalyze and support better funding built on new and emerging principles of global inter- cooperation and coordination among multilateral national cooperation. and bilateral funding agencies, supporting activities However, we do see the GEF in its current shape with global environmental objectives. We argue that and form as an important step forward. Recognizing a funding coordination dialogue process for the glob- the importance of GEF in nudging the world towards al environment should be established. In addition, a sustainable world, nongovernmental organizations we believe that there is a need to evaluate in depth from various countries who make up the GEF–NGO which of the various funding modalities used until network have presented this Assembly with a state- now have been most effective in order to understand ment entitled “The GEF in the 21st Century: A Vision which of these modalities should be given higher pri- for Strengthening the Global Environment Facility.” ority for GEF programming, with the aim of improv- The statement draws on the experience of NGOs in ing overall GEF effectiveness in the future. interacting with GEF at many levels and makes sever- Among the modalities that need to be considered al key recommendations for strengthening and in greater detail are national environmental funds, improving the performance of GEF. endowments and trusts, enterprise programs, expan- Our first point is that the resolution of the issues sion of small and medium grants, concessional or we’re dealing with is going to be a very challenging contingent loans to help start projects with negative task. Resolution of environmental problems must incremental costs, debt conversion options, micro take into account the related social, economic, and credit programs, etc. A key message of the Rio Conference was the impor- the programs of different environmental conventions. tance of the civil society in sustainable development. I It is impossible, I submit, to de-link local environ- can’t think of any other UN conference which empha- mental problems from global environmental issues. sized this more. Building partnerships was a key to the When does biodiversity conservation stop being a sustainable development process: that is, partnerships local environmental issue, deeply connected with between the government agencies, research institu- the livelihoods and knowledge of innumerable poor tions, the private sector, NGOs, and communities. GEF rural communities of the world, and when does it is focusing mainly on government institutions and start becoming a global issue is very difficult to say underemphasizing the role of small local NGOs and or define. community groups, and the role of small and medium Carbon sequestration activities, so important for grants needed to support their activities. controlling climate change, are deeply related to land The role of NGOs as a watchdog on GEF projects, use systems, environmental regeneration, and local especially where there are negative social impacts, livelihoods built around agriculture, forestry, and pas- also needs to be appreciated, supported, and formal- tureland management. It is, therefore, critical that GEF ized to the extent possible and necessary. play a key role in integrating the local with the global. But apart from the strengthening of the GEF, there Unfortunately, the concept of incremental cost, is a need to look beyond the current narrow mandate which has not yet been defined satisfactorily, has cre- of the GEF. It is a sad fact that the post-Rio period has ated both conceptual and practical problems in seen a fragmentation of the global environmental bringing about this integration. It is now necessary— agenda rather than the development of a strong, well- and I would submit this to the distinguished dele- coordinated global program. The GEF as an institution gates—to re-evaluate the value of this concept and should play a greater role in developing an integrated discard it, if necessary. global environmental agenda in the years to come. We see the GEF as an important outcome of the The key message of the Rio Conference was not Rio Conference, but we also want to see it grow and environmental conservation, but sustainable develop- evolve into a truly 21st century institution which is ment. Therefore, GEF has to be an agency that partici- built on the strength of the civil society, democracy, pates in and promotes the development of a global and transparency; an institution that is financed on sustainable development program. For the South, too, the basis of the use and misuse we make of the envi- the challenge of the environment is essentially the ronment as global consumers; also an institution that challenge of sustainable development. can see sustainability as much from the eyes of the The world is today struggling to implement two poor and the marginalized as from the eyes of those equally critical global action programs, namely, the who have it all. Rio Agenda and the Copenhagen Agenda. But each Learning to live with nature is not possible without program is following a separate track. The GEF can- learning to live with each other as human beings. not allow the global environment to become an iso- The 21st century poses a very challenging task, but lated issue. On the contrary, it should play a key role let me say that NGOs across the world sincerely join in the integration of the Rio and Copenhagen Agen- me in the hope that the GEF will become even das, with a focus on world poverty, including its deep stronger to meet this challenge. relationship with the ongoing processes of environ- We urge the participating governments in this mental change. Assembly to give GEF the visionary mandate it truly In fact, many global environmental issues, like cli- needs to meet the challenge. We also sincerely hope mate change, biodiversity, and desertification, are that the recommendations of the NGO Panel will be deeply connected with the problem of global poverty. included in the final report of this august Assembly In addition, there is a need for greater synergy between and our views will be seriously considered. Plenary Reports Divider page photo: Fishermen, Indonesia by Carl Gustav Lundin (World Bank) Statement by Jarle Harstad Senior Monitoring and Evaluation Coordinator, Global Environment Facility

t’s a privilege and a great pleasure to me to pre- was the first overriding and overall study of the sent to you the monitoring and evaluation restructured GEF. An independent evaluation of GEF’s function of the GEF, and particularly the main pilot phase was completed in 1993. The main audi- product of this year. That’s the study of GEF’s ence for the study, in addition to the GEF Council, is Ioverall performance. the participants at this Assembly. I’ll say a few words about the monitoring and eval- The terms of reference were made after a long uation function of the GEF first before I come to the process of consultation between the implementing study. agencies and the Convention Secretariats, the NGOs, Monitoring and evaluation was based on the the countries, and also Council members. It was implementing agencies’ existing systems up to 1996 early realized that since the majority of GEF projects when a position was created in the Secretariat; moni- were relatively new, with an average time under toring and evaluation is a shared responsibility with- implementation of about three years, that it would in the implementing agencies and the GEF Secretariat be difficult to analyze and get good data on the at the moment. impact on the global environment of our efforts. We have designed a framework for the monitoring Instead, we chose to focus on how well GEF has been and evaluation work which comprises the develop- structured, institutionalized, and was poised for an ment of M&E policies, various systems, and method- effective performance as a financial mechanism for ologies. We are performing monitoring. That’s an the Conventions. annual review of the total active portfolio. We are The issues—for evaluation were, firstly, the provi- doing project reviews, implementation completion sion of resources—GEF’s role in catalyzing the provi- reviews, project evaluations, program and cross-cutting sion and leveraging of resources for global environ- evaluations, and also overall performance studies—the mental efforts. one which will be presented in today’s session. A second set of issues was at the country level. GEF It’s important in the GEF to have a vigorous and had been assigned the role of assisting developing comprehensive monitoring and evaluation program countries’ efforts to fulfill responsibilities under the for several reasons. Particularly, we are working here two Rio Conventions, and it was important to us to in new areas where there is not a lot of experience, see how well GEF was structured at the country level and we need to ascertain and find out better ways of and to get more information on the sustainability of achieving global environmental objectives. We need efforts, contribution by stakeholder groups, and other also to be innovative and to reap experience as we try ways of assisting the countries. out new modalities and new ways of planning and A third set of issues was the extent to which effec- implementing projects. tive cooperation mechanisms and procedures had We also need to share experience across a large been established among the GEF Secretariat, the number of organizations and with a large number of implementing agencies, the Scientific and Technical actors, whether in the implementing agencies, the Advisory Panel, the Convention Secretariat, and other Secretariat, in the countries, among NGOs, or other cooperating partners. actors. And the main purpose of our work is, first and The fourth set of issues was programming issues. foremost, accountability to the countries and to the To what extent had GEF been able to operationalize shareholders and to all interested parties; to let moni- Convention guidance and Council decisions? We toring and evaluation be part of decisionmaking; and had a primary focus on the operational strategy and also, lastly, but not least, to share lessons and the operational programs and examined to what improve our work as we get experience. extent these documents and these guidelines were The overall performance study was started in the effective in addressing the criteria and the priorities beginning of 1997 at the request of the Council; this for the GEF. The fifth set of issues was product cycle issues: to pleted in the beginning of February this year. what extent were systems in place for product prepa- Before we started the study, the Council encour- ration and development for project implementation, aged me to appoint a Senior Advisory Panel to ensure monitoring, and evaluation, including assessment of that the study was done as a completely independent the implementing cost. exercise and also to guide the study team. The eight The last issue was to what extent had GEF followed members of the Senior Advisory Panel had varied up the recommendations of the independent evalua- backgrounds; Mr. Swaminathan is the Chairman of tion that was done on the pilot phase. the Panel, and he will address this later today. All this will be addressed by the two speakers who The follow-up of the evaluation was discussed by will follow my introduction. We selected a study team the Council yesterday, and it has been agreed that with a team leader, Gareth Porter, and altogether, about the GEF Secretariat, after discussions with imple- 25 national and international consultants from all menting agencies and in consultation with the Secre- over—from Africa, Asia, Latin America, and also East- tariats of the Conventions in Rio and other actors, ern Europe. It was important to us that these people will present a paper with recommendations for fol- were deemed to be fully independent and could exer- low-up of the evaluation at the October meeting of cise a sound judgment without fear of favor and that the Council. they had sufficient and good insights into the various We have asked more countries that were visited focal areas and had different scientific backgrounds. during the study to provide comments. We have The team used all available information, written received about 25 comments up to now, but we are material, interviews with all the key players, and, above still eager to have more comments from those coun- all, visits to ten countries (Brazil, China, Egypt, India, tries, and also from other countries. And these can be Indonesia, Kenya, Mexico, Poland, Russian Federation, sent to us at the address which you’ll find on several and Zimbabwe). In addition, local consultants had publications or also can be sent to us on the Internet. interviews with officials and stakeholders in Argentina, We have a newsletter at the entrance where the Inter- Costa Rica, Côte d’Ivoire, Jordan, Philippines, and Viet- net address is given, and we are very keen to receive nam. And this created a vast amount of data which comments and viewpoints from the audience here were analyzed during the autumn; the report was com- and, indeed, from every concerned party.

Statement by Gareth Porter Team Leader, Study of GEF Overall Performance

t’s a great honor to be invited as team leader did not cover which would have been of greater inter- and, on behalf of the study team, to address est to you. So I apologize in advance for the necessity the first Assembly of the Global Environment of having to select from approximately 30 issues those Facility. that would be of greatest interest. IIn the very brief time that I have, it’s not going to be First, to the overview. Our overall conclusion at the possible to give you any sense of the full range of end of the report is an attempt to bring together the issues that we studied, the findings that we made, and various strands of the report and to come up with a the recommendations that we provided in the study. final summing up that would give a sense of how we So what I will do is to give you a very brief overview of viewed the performance of the GEF since its incep- the conclusions of the study, sort of our summing up, tion, particularly, of course, during the GEF-1 period. if you will, of a great mass of detail about a very large In as many cases as possible, we tried to base our number of issues. And then I will provide a sort of brief judgment of GEF performance by performance dur- overview of the team’s findings and recommendations ing GEF-1 and the pilot phase. on a selected few issues which it seemed to me might Now, obviously, it’s only in certain instances that be of greatest interest to this Assembly. Of course, my we could make that kind of comparison. But in our judgment on that is certainly subject to your approval overall conclusion, the team highlighted those areas or disapproval. If you have had a chance to look at the where it felt there had been the most significant study, you may find that there are other issues that I achievements of the GEF. Those included, first of all, rapidly creating new institutional arrangements, of the project cycle is the stage of project preparation developing the operational strategy and operational by the implementing agencies and the recipient programs, and approaches to programming in the country working together. And, of course, it’s also four focal areas which we felt were adequate. With, I clear that the recipient countries are the primary think, one exception, we did not make specific rec- force in project preparation in that they have primary ommendations regarding programming. And, finally, responsibility for project preparation. the advancement of stakeholder participation in GEF So we didn’t specifically come forward with a rec- projects, which we also felt was a significant accom- ommendation for how the longest part of the project plishment of the GEF. cycle could be shortened. We felt that that was a larger The team also found that the GEF had been rela- issue which we were not able to provide any specific tively successful in leveraging cofinancing for GEF recommendation on. projects. That was an area which we judged a success The second issue which I think might be of partic- and that it had some positive impacts on policies and ular interest to the Assembly is that of incremental programs in the recipient countries through its pro- cost calculations. The team looked at this issue from jects, although we found that it was impossible to two distinct angles: first, whether the process of cal- provide any kind of quantitative measure of this suc- culating incremental costs has been sufficiently cess—to say that a particular percentage of GEF proj- understood, whether the concept is understood, ects, in fact, have a positive impact on policies and whether the methodologies have been understood programs in the recipient countries. So this was one sufficiently by recipient countries to permit them to of those areas where it had to be a very impressionis- participate actively in the process; and, secondly, how tic and qualitative judgment of success. effective the calculation of incremental costs has On the other hand, in its summing up, the team been as a programming tool for the GEF. found that one of the areas in which the GEF had not With regard to the first of these two aspects of the been as successful and where we felt that much more problem, the study team found that although some needed to be done was in the area of mainstreaming agencies of some recipient countries have participated the global environment and the implementing agen- actively in the process of incremental cost calculation, cies. There were several other areas which we found for most of the relevant agencies in most countries, also needed more work, including the strengthening incremental costs are assumed to be calculated by the of the focal point system in recipient countries, implementing agency exclusively. In other words, the specifically the operational focal points; improving recipient countries have not been actively involved at the process of calculating incremental costs; better all in that process. planning for the financial sustainability of GEF proj- The team recommended, therefore, that a working ects; shortening the length of the project cycles; and group representing the GEF Secretariat and the imple- raising awareness of the GEF and of global environ- menting agencies should, in consultation with Con- mental issues in the recipient countries. vention Secretariats, develop simpler, more straightfor- Now, again, time does not permit a complete ward guidance and communication for recipient review of all the issues that we analyzed, and so I will country officials, and also a strategy for increasing their go briefly one by one through seven of the issues that involvement in the process of estimating those costs— we made findings about and provided recommenda- a strategy which would presumably involve training of tions for. some sort for recipient countries in being able to partic- The first is the issue of the project cycle. The team ipate in the process of calculation of incremental costs. found that there have been some improvements in With regard to the second issue—that is, whether the project cycle by implementing agencies. Specifi- the incremental cost calculations have been an effec- cally, the World Bank and UNDP have taken steps to tive means of programming for the GEF—the team shorten their project cycles—by combining the found that there had been a noticeable improvement preparation of the project brief and the final project in the incremental cost sections of project briefs sub- document in the case of the UNDP, and by moving mitted to the GEF between 1995–96 on the one hand the submission of project briefs to the GEF upstream and 1997 on the other. And this judgment was based at an earlier stage of development of the project pro- on an examination of the project documents which posal in the case of the World Bank. were submitted to the GEF during those two time Although the team recommended that the GEF periods; the criterion that we used specifically to Secretariat accept a range of cost estimates in project examine that question was the degree of transparency briefs rather than only a single cost estimate at that and detail in the discussion of incremental costs in stage of development of the project in order to the project briefs. encourage the World Bank to maintain a shorter pro- So the team did find that there had been significant ject cycle, the team also found that the longest stage improvement, although, of course, that did not mean that there were not still a number of cases, a number team, the team found that serious financial planning of instances, in which project briefs do not deal ade- for post-GEF sustainability, financial sustainability, quately with incremental costs in the sense that there appears in less than half the proposals. We found are flaws, or may be flaws in the methodology. that there was a serious problem here, that project The team also looked at another aspect of this proposals still do not, for the most part, deal accu- question, which was whether there had been any pat- rately with the problem of financial sustainability tern, any general pattern, of inflation of incremental beyond GEF funding. costs in the process of the calculation by the imple- We found that biodiversity projects are much more menting agencies and, to the extent that it did occur, likely to encounter serious problems of financial sus- by the recipient countries. tainability than climate projects, for the primary rea- The team failed to find any evidence that there was son that the climate projects are more often able to a systematic inflation of incremental costs in which drawn on private sector financing and that that implementing agencies and recipient countries coop- becomes then part of the planning for financial sus- erated to get more out of the GEF than was objectively tainability. warranted for the project. We had encountered some The team recommended that the GEF Secretariat suspicion that this might be the case, and we certainly and implementing agencies should require that proj- did not find evidence to that effect. ect proposals contain a more thorough assessment of With regard to the focal point system, the study options for achieving financial sustainability than team examined the degree to which the GEF has been has been required thus far. able to establish a focal point system in recipient With regard to the issue of new and additional countries that coordinates the activities of govern- resources, the team was asked to look into the ques- ment agencies in regard to GEF projects and also dis- tion of whether or not the GEF’s resources are truly seminates information sufficiently to relevant stake- new and additional. The team found, however, that holders. And here the team found that although most the concept of new and additional resources has not operational focal points have been able to do some been defined by the international bodies that have coordination among the relevant agencies of their agreed on the concept in a way that allowed the government, in some cases they have not been able to team to make such a judgment—that is, a judgment carry out the coordination function adequately, either about whether the GEF’s funding is, in fact, new and because mechanisms for coordination are not yet additional to existing funding for development in firmly and permanently established or because, in any fashion. some instances, of institutional weaknesses of the The team recommended that the GEF Council focal point. address the need for a clearer definition of the con- Particularly, we found that this was a problem cept of new and additional resources, a definition where the focal point was an environmental ministry that would include the indicators that should be used or agency which may be weaker politically than other to measure additionality—for example, what specific agencies that it is asked to coordinate with. We found kinds of spending should be included in the concept that to be a systematic problem. of new and additional. It was not clear to us what we The team also found that information on the should consider to be included within the scope of GEF is often not getting out to all relevant stake- that concept; and, also, what should be the baseline holders. This was a particular problem that needs to for comparing the current spending with a base year, be addressed. if that is, in fact, part of the basis for the definition. The team recommended, therefore, that the GEF The team also recommended as a way of advanc- Secretariat and implementing agencies should broaden ing new and additional spending for the GEF and for the existing project development workshops by the global environment that donor countries should involving the focal points as much as possible in plan- seriously consider separating budget lines for the GEF ning and executing those workshops and by focusing from budget lines for development cooperation in more specifically on coordination and information dis- their national budgets. semination functions of the operational focal points. Another issue that the team examined was the The next issue that I want to briefly address is the question of leveraging of additional financing for financial sustainability of the projects. The issue here GEF projects from non-GEF sources. The team looked was whether the project documents—the plans, and into the degree of leveraging of resources that has proposals for projects—adequately dealt with the sus- taken place in conjunction with GEF projects, recog- tainability of those projects after the funding from nizing that the GEF represents a relatively small fund the GEF was completed. and that, in order to realize its effectiveness to the Based on its examinations of project documents maximum, it must leverage funds from other institu- for 17 projects in the 10 countries visited by the tions for the same and similar objectives. The team found that a significant additional the same criteria to all three implementing agencies amount of money has been leveraged, and as I said because they were so different in the resources they earlier, this was regarded as one of the significant had available and in other organizational attributes, achievements of the GEF. We found that this leverag- institutional attributes, which bore on what criteria ing had taken place particularly through World Bank- were relevant in judging their success in mainstream- associated projects. These have been an effective ing the global environment in their work. The team mechanism for leveraging additional financing. selected the following criteria for each of the three The team, however, could not provide a quantita- implementing agencies: tive estimate of the precise amount of leveraging that For the World Bank, cofinancing of GEF projects, had been achieved by the GEF. The team found that lending for global environmental projects in their one problem in conjunction with this issue of lever- regular portfolio, staff incentives for working on the aging is that the GEF has not produced an opera- GEF, the integration of global environment into sec- tional definition of financial leveraging that allows it toral lending strategies, and, finally, programming on to distinguish financing that is genuinely leveraged the basis of the global environment. Some of these from financing that is not. criteria lent themselves to a quantitative analysis, and The team itself put together a definition—a more we tried to provide that to the extent that we could; strict definition, more rigorous definition—of finan- others, of course, required a more qualitative assess- cial leveraging, which defined that term as financing ment of the progress made or the success achieved in for activities that benefit the global environment and mainstreaming according to the particular criteria. which would not have been spent for such purposes With regard to the UNDP, the team selected the in the absence of the GEF project. And with this following four criteria: first, cofinancing of associated more rigorous definition, the team found that actual projects; second, funding for non-GEF projects that financial leveraging was significantly less than what provide global environmental benefits; third, integra- has been claimed—that is, what has been claimed in tion of GEF and global environment into country specific project documents and in overall totals that cooperation frameworks; and, fourth, staff incentives have been provided about GEF cofinancing with the for working on GEF. implicit or explicit claim that this represented finan- Finally, with regard to UNEP, we found that most of cial leverage. the criteria that we had applied to the other two imple- This finding was based on an analysis of a sample menting agencies were not really appropriate because of 18 GEF projects approved by the GEF during calen- of resource constraints and because UNEP is already dar year 1997 on which project documents were devoted in its central mandate to global environment available. It was based on that sample that we judged exclusively. The team, therefore, decided to focus on that there has been significantly less financial lever- two criteria for mainstreaming: first, staff incentives for aging than was claimed in documents. work on GEF projects; and, second, adherence to the The team recommended, therefore, that the GEF principle that GEF projects should be in addition to adopt a more rigorous definition for leveraging and regular implementing agency programming. that it apply that more rigorous definition in its own Now, I do not have time, unfortunately, to go into publications and that it require that implementing our findings under each of these criteria for each of agencies also apply that definition in their docu- the implementing agencies. I invite you to come to ments about cofinancing for the GEF. the workshop tomorrow when we’ll have more time The final issue that I want to discuss is mainstream- to go into depth on this subject. But let me sum up ing the global environment by the implementing our findings by saying that we found that in none of agencies in their work. the three implementing agencies was the main- The team was confronted here with a very compli- streaming of the global environment adequate, cated problem of methodology. The first issue was according to the criteria that we had used and the whether it would merely look at cofinancing as the findings that we made looking at all of those criteria. measure of mainstreaming by the implementing Now, that did not mean that there were not some agencies or whether it would define mainstreaming areas where one or the other of the implementing in a much more detailed, multifaceted way. The team agencies had not made progress, which we recog- felt that it would not really be doing a thorough job nized, but that the overall pattern we found was that of analyzing this problem if it did not attempt to they had not made adequate progress in mainstream- construct a more detailed, multifaceted definition of ing the global environment. mainstreaming. This should give you a very broad overview and The team decided that it would select a set of crite- selected look at some of the issues we analyzed and ria that were appropriate for each of the three imple- made judgments on with regard to the success of menting agencies. We found that we could not apply the GEF. Statement by M.S. Swaminathan Chair, Senior Advisory Panel, Study of GEF Overall Performance

n behalf of the Senior Advisory Panel, I In fact, as Mr. Porter rightly mentioned, in the case wish to make first two general comments. of many biodiversity projects, many of them had First, we want to pay tribute to Mr. been approved on the basis that they are hot-spot Gareth Porter and his team for the great locations, they are endangered habitats, they are Odedication and attention to detail with which they mega-biodiversity areas. Then you find after a few made this study. One of the terms of reference to our years after GEF that the money dries up. group was whether the study is sufficiently indepen- This is why we would like to endorse the point dent. We came without reservation to conclude, yes, made by the study team that every country should it was completely independent. develop a strategy for sustainability. That means we That leads me to make a second tribute to Mr. Jarle suggested some kind of an environmental consulta- Harstad and his group in GEF. They are the ones who tive group within the country, an environmental commissioned the study, and I must pay tribute to consultative group consisting of multilateral, bilateral them, that they were totally open, transparent. In donors, philanthropic organizations within the coun- fact, large numbers of nongovernmental organiza- try and globally. There may be business houses which tions were consulted. It was on the Web. Comments are interested in supporting environmental causes. So were received at every stage from the time the terms that there is a coordinated strategy within the coun- of reference were developed to the time the first try putting money for priorities. report was presented last October at the workshop on I think one point, again, made by Dr. Mohamed the occasion of the GEF Council meeting. El-Ashry and every speaker this morning is that The second comment I wish to make on behalf of national priorities and global priorities must overlap the members of the Senior Advisory Panel is—to reiter- in many respects; and, therefore, we would like you ate a point made this morning—that the world needs to give your consideration to the question of every GEF, the world needs a multilateral funding mecha- country developing a methodology by which there nism for global ecological security. I myself in the com- could be an environmental consultative group, a mittee meeting compared it to the world food program large broad-based headquarter group, which could for food security, both cash and in-kind. Similarly, we ensure sustainability of projects, sustainable fund- do need a multilateral funding mechanism for global ing, and financial leveraging of our additional funds ecological security, and we feel GEF is fulfilling that and so on. purpose, and we hope with this Assembly this role will In other words, then, the project posted for GEF get further strengthened. With the comments which should have a withdrawal strategy in terms of Global were made this morning, we’re very encouraged. Environment Facility funding, so that the project I would now like to make four specific comments itself does not collapse. in relation to the report. You will find also our brief The second point I want to draw attention to is report in the printed pages 102 to 105 of this report, streamlining of procedures. Already mention has so I am not going to go into them. been made of streamlining procedures. When you go But the first point which troubled us was also through the report, you will find there are a number where the report drew attention, namely, the long- of recommendations. For example, how do we mini- term sustainability of GEF-supported projects. The mize transaction costs? We are putting money in the very concept of incremental cost implies that the name of the environment. How much of it really will projects which are being found fit for GEF support go to the environmental protection? How much real- have not only local or national significance, but a lit- ly goes for servicing and various other activities? How tle larger than that, global, regional significance. to minimize transaction cost? If we accept the fact that incremental cost is Because of the growing disparity between national because of the need to identify components of the salaries and international salaries, we have recom- project which are of global significance, then it is mended that, by and large, wherever this is possible, obvious that there has to be a long-term funding national consultants, national experts must be uti- mechanism for them. Is there life beyond GEF for lized, so that one can optimize the benefits from the these projects? available funds. The other is the question of an incremental cost ple’s participation are essential. Regulation alone calculation. We endorse the recommendation that will not help because now we know purely regulat- there should be a working group set up by GEF to go ed mechanisms are important, but on the other into this question more carefully and to develop a hand, they alone are not adequate. This is why larg- mechanism which is transparent, which is under- er participation of the people is needed—and the standable, and which also, in my view, tries to high- best way today is modern information technology light the issue to the global community. The global and the mass media, electronic media and the print- significance of this project is very great. The incre- ed media. mental cost is really a warning bell. This money is In order to provide credible information to the needed in the larger interest of humankind. media, we have recommended that media resource The third point we have made in our report is to centers be set up, maybe in some different languages, raise the ceiling of small and medium-sized grants. so that credible information—the lessons to be Mention was made this morning that over 1,000 pro- learned from different projects—be made available. jects have done very well. Most of them have done That brings me to a conclusion. I chair the govern- very well under the small grant projects. They are fairly ing board of a very large forestry project in a very easy to operate and involve a broad spectrum of stake- small country, Guyana, the old British Guyana. That holders. Many of them are members of the civil society government had the wisdom, 6 years ago, to provide or local bodies and so on; therefore, you have a much to the commonwealth nearly a million acres or broader participation in the whole GEF exercise. 400,000 hectares of prime rainforest. We have recommended that the GEF Council The question asked was: everyone comes to our might examine the question on the basis of the expe- country. We have got the largest per capita debt. rience gained, without losing the rigor of examina- Eighty percent of our income goes to debt servicing. tion of the projects, of raising the ceiling to the medi- People say you don’t sell the trees, you don’t cut the um-sized and small-sized projects. This might take trees, manage the sustainability. What is meant by care of a very large number of urgent requirements. sustainable development? It is easy to put the prefix I talked about sustainability. I talked about stream- “sustainable,” but what do you do in practice? lining. The third question is strengthening partner- Therefore, the conversion of the know-how and “to ships and strategy. This is going to be very important. do how” at the field level—this particular project Mention has been made by almost every speaker this was started with GEF support. The project is so morning of the need for enlarged partnership, partner- interesting. ship with Convention Secretariats, partnership with We were exceedingly worried about sustainability. I the academic and scientific community, the major sci- am happy to say at the meeting held in Brussels earlier ence academies of the world, because many projects this year, thanks also to the large support from the we are considering in this area require a lot of scientific Government of the United Kingdom, over $8.5 mil- underpinning; therefore, the relationship with science lion was pledged. It started with $3.5 million of GEF and technological institutions is important. money. This is the kind of leveraging which can be We require large participation of members of the done, but it required a lot of understanding, education, civil society of nongovernmental organizations. We awareness generation: that this is a project not just require alliances with the media and with the busi- important for Guyana, but important for the global ness community. community in terms of understanding how do you In the case of business and industry, this is an area manage the transition from conservation purely by where, as you know only too well, there are divergent regulation to sustainable management, which implies viewpoints: whether business helps the environment, conservation plus sustainable and equitable use. or, in many cases, creates problems. Therefore, we This transition is what we want to bring about in suggested that private sector involvement in the biodiversity, the transition from purely regulatory whole Global Environment Facility might be dis- conservation to sustainable management. That means cussed very critically at a workshop. conservation plus sustainable and equitable use. We had proposed that the Business Council for Sus- It has been a privilege to be associated with this tainable Development—and this morning, IFC was exercise. I hope at this general Assembly, tomorrow’s also mentioned. There could be a workshop in which workshops, some of the points contained in this some ground rules and guidelines could be developed. report will be discussed a bit more because I think Lastly, we call it the information age, the role of these provide some guidelines for the GEF, at least for the media. Education, social mobilization, and peo- the first decade of the new millennium. Statement by Mohamed T. El-Ashry Chief Executive Officer and Chairman, Global Environment Facility

t is my privilege to report to the Assembly this ness. And like any new enterprise a few years down afternoon on the subject of the policies, opera- the road, we are now learning from experience, improv- tions, and future development of the Global ing our performance, expanding our services, and Environment Facility. My remarks draw upon building new partnerships designed to accelerate the theI evaluation reports which are in your hands as transition to sustainable development. well as my own experience over these past few years. Our collective strategy builds on the positive ties You already have my written report and, over the between development and the environment, while next few minutes, I will only highlight key accom- doing all we can to break the negative bonds between plishments, challenges, and opportunities. economic growth and environmental degradation. Thomas Jefferson, in 1816, said that “laws and insti- Instead of “business as usual,” we pursue alternative tutions must go hand in hand with the progress of the scenarios with positive outcomes for all by incorpo- human mind. As [the human mind] becomes more rating environmental values into all our priorities developed, more enlightened, as new discoveries are and actions. made, new truths discovered and manners and opin- The Instrument for the Establishment of the ions change, with the change of circumstances, institu- Restructured GEF calls on us to be cost-effective as we tions must advance also to keep pace with the times.” tackle global environmental issues, to fund country- These words refer, in the first instance, to the new driven projects and programs based on national pri- democratic society he helped to create. But they are orities, and to maintain sufficient flexibility to equally true for our new entity, with a global environ- respond to changing circumstances in order to mental mission never before attempted. achieve its purposes. That we have done, as you heard Over the past seven years, the need for the GEF has this morning from the Convention Secretariats. become increasingly clear. The urgency for action to The GEF has evolved to become a more broadly rep- address the issues of biodiversity loss, climate change, resentative, transparent, participatory, effective, and international waters, and ozone depletion within the strategic organization. All we need is to look around framework of sustainable development is greater now the room and consider the membership of 164 coun- than ever before. At the same time, and despite growing tries today as compared to 29 during the pilot phase. affluence for many, there are enormous human prob- Let me now give some examples of how we opera- lems of widespread poverty and suffering, and a pattern tionalized what some of you helped negotiate in 1994: of economic growth that is worsening the disparity. The GEF has developed an operational strategy and The good news is that our understanding of the ten, soon to be twelve, operational programs to focus solutions to these problems has advanced. How do GEF activities and guide project design and imple- we then put this wisdom to work for people and the mentation in our four focal areas. The strategy and environment? programs respond to the guidance of the COPs of the The GEF was piloted in 1991 to earmark multilater- two Conventions we serve—the Biodiversity and Cli- al funds for global environmental benefits in the con- mate Change Conventions. text of sustainable development projects in develop- We’ve strengthened GEF’s cross-cutting initiatives ing countries and economies in transition. We help combating land degradation, specifically deforesta- to make that critical link between local and global tion and desertification. environmental challenges and between national and We’ve invested $2 billion in 119 countries to support international resources. That is because we recognize over 500 enabling activities and full-scale projects that that local, national, and global environmental prob- are providing the scaffolding for sustainable develop- lems have the same root causes. So, while our man- ment now and in the future. Over the coming date and objectives are global, our actions are local months, with the GEF’s help, many more developing and national. countries will complete national plans and communi- When the GEF was restructured in 1994, we lost cations called for in the Convention on Biological no time laying the foundation for operations. Within Diversity and the UN Framework Convention on Cli- 18 months, the GEF Council ensured that the walls mate Change. You have already heard the Executive were up, the roof was on, and we were open for busi- Secretaries of the two Conventions report on that topic this morning. These are important tools for integrating mounting integrated ecological development pro- climate and biodiversity concerns into country think- grams across national boundaries in a way that brings ing and planning and for identifying priorities which public and private, national and local, forces together can form the basis for our future funding and for for- to pursue sustainable development. mulating country assistance or cooperation strategies, These are promising developments of which we as well as longer term GEF support. can all be proud. However, the threats to and from We’ve developed principles for financing targeted biodiversity loss, climate change, degradation of research to serve as a basis for considering GEF fund- international waters, ozone depletion, and land ing of goal-oriented research that supports the GEF degradation continue to grow. The GEF new replen- operational strategy. To be even more cost-effective in ishment is a major accomplishment, and we are its own planning and assistance, the GEF has improved extremely grateful for your support. However, we budgeting and business planning procedures, particu- must also recognize that our financial resources are larly with regard to the out-years. We’ve established a modest when compared with the challenges. Co- high-quality monitoring and evaluation program financing in amounts far beyond the current $5 bil- with a number of important outputs already to its lion total will be required in the new century ahead. credit. We’ve pioneered trust funds to provide long- So will a quantum leap in communication and an term support to GEF objectives. ever-widening circle of participation. And non-governmental organizations (NGOs) While celebrating the achievements of the GEF, play a key role in the design and implementation of we have a responsibility to recognize and respond to projects and in the development of policy frame- the challenges ahead if the GEF is to continue to be works at the local, national, and international levels. in the forefront of addressing global environmental The GEF is the one and only multilateral financial issues. The evolutionary process the GEF took on entity which not only permits NGO representatives board in the early l990s must, in the new century, in Council meetings but actively seeks their input in encompass all governments, development institu- advance. Why? NGOs put the global environment tions, NGOs, and business, too. By strengthening the on the map, and they continue to fuel international linkages between and among all these partners, we and community-based efforts toward sustainable can ensure that the global environment will remain development. About one-third of project ideas sub- a top priority long after discrete projects end. mitted by governments originate with non-govern- Generating interest in and demand for participa- mental groups, and a significant number of projects tion in our work is absolutely necessary. But the involve NGOs in design, planning, and/or imple- promise will be false unless we speed up the process mentation. by which good ideas get translated into results for Equally important to our success are those who people on the ground. And so the GEF must continue work in business, science, and technology. Energy to streamline its project cycle with a view to making policy and investment in global environment-friend- project preparation simpler and more nationally dri- ly technologies are key pillars for any climate change ven, without abandoning high-quality standards. strategy, and it is the private sector that is the key Our first priority in this respect are the recipient player in the technology transfer arena. In the GEF, countries. The core notion of country-drivenness we are keen on entering into bilateral and even trilat- depends upon a dynamic system of focal points and eral partnerships where our funds augment, not dis- other key contacts, communicating information place, private capital and where our interventions about the GEF, channeling assistance, picking up facilitate and catalyze demonstration projects with feedback, and maintaining the dialogue we need if significant replication potential. In more than 150 we are to truly be a learning as well as doing organi- catalytic projects, the GEF is promoting state-of-the- zation. In order to strengthen country ownership, art technology: photovoltaics, biomass gasifiers, wind country-level coordination, information dissemina- power, geothermal energy, efficient industrial boilers, tion, and public awareness-raising activities, the GEF and improved lighting systems. must review and better define the intended results This technology benefits people in poor rural areas and impacts of country-level involvement, including as well as better off urban populations, giving them a capacity building, training, outreach, and informa- stake in development. And at the GEF, technology is tion sharing. more than hardware. It is also taking the right Businesses, in particular, must be shown that we approach for the right results. In the case of biodiver- bring something unique to the table and that, together, sity conservation, we have supported two comple- we can produce progress for the economy as well as mentary approaches, both of which focus on engag- for the global environment. To do this, the GEF must ing rural people as efficient resource managers. explore new opportunities for private sector as well as More recently, the GEF has learned the necessity of private-public partnerships and for examining the obstacles that might exist to increasing support from for sustainable development and for the effective the private sector. implementation of Agenda 21 and the global envi- Much of our work has depended on good science ronmental Conventions are to be realized. and outstanding scientists to date, but the GEF has a The GEF has a story to tell. We’ve put the GEF on long way to go to fully tap the potential of this part- the map in terms of operational strategies, programs, nership. In the future, the GEF must build strong and projects. Now it’s time we made an impression in relationships and networks with the global scientific terms of the public’s understanding of our role and community, and especially involve national scientists mission. For it must be their mission, too. in GEF work. Earlier, you heard reports on the independent We have made a good start at monitoring and evalu- evaluations of the GEF and their findings and recom- ation. This system is key, not just to measuring progress mendations. In its meeting here yesterday, the GEF and results, but also to achieving greater project quality Council requested that the Secretariat, in coopera- and effectiveness. To make it even more robust, the tion with the implementing agencies, draw up an GEF must build upon lessons drawn from both suc- agenda and action plan responding to the findings cess and failure. This will help our efforts to be a part and recommendations of the evaluation studies. of an expanding culture learning and teaching and Over the next seven months, we will be bringing practicing sustainable development. GEF operations up to speed, so to speak, with lessons The concept of incremental costs, while of key sig- learned in the past and with opportunities waiting nificance for the GEF and the Conventions, contin- just ahead. ues to be difficult to apply in practice, and we must Let me close by saying that, as we approach and take a fresh look at its definition and pragmatic enter the new millennium, the GEF stands ready to applications. work with all of you, our 164 shareholders, as we take As you heard this morning from the heads of the our collective enterprise to a new plateau on behalf of implementing agencies, they have begun efforts to global environmental sustainability. I, and the imple- integrate global environmental objectives into their menting agencies of the GEF, look forward to hearing own work. But a lot more is needed if the aspirations your feedback and ideas over the next two days. Statements by Representatives

F.P.O. Right-hand page. Front of Divider Page (Statements by Representatives) (Country Statements) Divider page photo: Earth and sun (U.S. National Aeronautics and Space Administration) Statement of Albania Tatiana Kotobelli Director, Committee of Environmental Protection, Ministry of Health and Environment

he political, economic and social changes During recent years, new steps forward were taken in in Albania during the last years, the orienta- this field, and, at the same time, the benefits of this tion toward market economy, the extension cooperation were felt. of private activities, and the increase of for- Also, Albania is a contracting party in several eignT investments put forward the necessity that envi- important global, regional, and international conven- ronmental protection be treated as one of the top tions and protocols and their amendments, such as priority issues and their solution be reviewed consis- the United Nations Framework Convention on Climate tent with the experience of developed countries and Change, the Convention on Biological Diversity, the international standards by applying the important Barcelona Convention on Protection of the Mediter- principle of sustainable development. ranean Sea and its five Protocols, the Convention on The Committee of Environmental Protection, Environmental Impact Assessment in Transboundary within the structure of the Ministry of Health and Context, and the Convention on Industrial Accidents Environment, which also is the central body respon- in Transboundary Context. sible for environmental issues in the Republic of Also we are making all the necessary arrangements Albania, is showing a serious commitment in its for ratification of the Vienna Convention and Mon- efforts for solving old and present environmental treal Protocol for the Protection of Ozone Layer, the problems, and has succeeded in identifying environ- Convention on Desertification, and the Convention mental priorities and building the necessary institu- on Air Pollution in Transboundary Context. tional framework and a completed legal framework. At present, we are working in order to implement Although Albania is a small country, the variety of all the commitments that result from being a party to environmental problems is as diverse as that of other, such Conventions. larger countries. That is why the mitigation or elimi- Thus, Albania has been a member of GEF since nation of the consequences of damages and pollution 1994 and of many environmental international orga- of the environment by the previous regime and nizations as well. As a financial mechanism providing adverse impacts of economic and social activities grants and concessional funds to developing coun- require a concrete and continuous commitment. tries for projects and activities to protect the world’s These commitments are addressed in the National environment, GEF has been a great and important Environmental Action Plan prepared on the basis of help for Albania. In this context, the Government of the National Environmental Strategy, which aims at Albania very much appreciates GEF assistance in the integration of environmental protection in the providing financial support for implementation of development programs of economic and social sec- different projects. tors. This action plan constitutes a detailed analysis of The GEF/World Bank (WB) regional project on Lake this strategy and has defined tasks for ministries and Ohrid Conservation (US$4 million) since this year has institutions whose activity has an impact on the envi- been coordinated by the Environmental Protection ronment and foresees organizational, administrative, Committee of Albania. The objective is to develop a legal and technical measures such as establishment of sound and legal basis for joint management of Lake the legal framework, institutional strengthening, pre- Ohrid and protection by governments and peoples of vention of erosion and rehabilitation of soil, reforesta- neighboring countries such as Albania and the Feder- tion, avoidance of industrial and urban pollution, ated Republic of Macedonia; and also to promote cost- good management of natural resources, investment effective solutions to transboundary natural resources for environment, information and public awareness. management and pollution problems. The policy of isolation followed by the ex-Commu- The GEF/WB project: Strategy and Action Plan for nist regime deprived Albania of the international Protection of Biodiversity in Albania (US$96,000) is cooperation necessary for environmental protection. in the first steps of implementation. The project will consist of field work and research by the Albanian Government; and approved for for better assessment of biodiversity values of the site, funding by GEF, which has allocated a budget of preparing the management plan for the whole area, US$278,000. We very much appreciate the GEF and and training staff from local and central levels in UNDP assistance in this process. coastal management, etc. Finalization of this study will provide a clear view Albania, as a developing country and a non-Annex I of the general situation in Albania, serve as a guide party to the United Nations Framework Convention for future actions in the field of climate protection, on Climate Change since 1992, has shown great and fulfill one of the commitments of Albania to the interest in these treaty commitments. Convention. We appreciate the Kyoto agreement; however, it is Regarding the Agenda to the first GEF Assembly, I not designed to introduce any new commitment for find the issues proposed very helpful and important. developing country parties after the year 2000, taking 1. I especially find the Report on Policies, Actions and into account the principle of common but differenti- Perspectives of GEF Development very oriented ated responsibilities between developed and develop- and important. I very much appreciate the excel- ing country parties. lent work done in its preparation. In order to fulfill the commitments under this 2. I really support the idea of improving the commu- Convention, despite the fact that we do not have nication strategy of GEF in order to know better potential sources of greenhouse gases, a project on the GEF and its mission and criteria, and how to Enabling Albania for Preparing the First National access GEF resources. This strategy must be better Communication in Response to Its Commitments to targeted. the United Nations Framework Convention on Cli- 3. In addition, I support the proposal of making the mate Changes has already been proposed by the GEF basic documentation available in national lan- Committee of Environmental Protection; endorsed guages.

Statement of Algeria Djamel Echrik Inspector General for the Environment, Interior Ministry

a délégation algérienne saisit cette heureuse problèmes socio-économique et politique majeur à opportunité pour remercier le Gouverne- l’echelle mondiale, conditionne le développement ment et le peuple amis de l’lnde pour son global, solidaire et durable de l’ensemble de nos pays hospitalité; elle saisit également cette oppor- respectifs et l’avenir à terme de plusieurs centaines de tunitéL pour adresser à Mr le Directeur Général et millions de personnes. Président du Fonds pour l’Environnement Mondial et A ce titre et alors que les pays en développement tous les organisateurs pour les efforts consentis pour s’appliquent à préparer leur stratégie et plans assurer le succès des travaux de la première Assemblée nationaux de mise en oeuvre des’ différentes conven- Générale du FEM qui se tient dans cette magnifique tions et engagements internationaux y afférents, les capitale qu’est New Delhi. pays les plus nantis et industrialisés sont interpellés Cette Assemblée constitue un test révélateur de la quant au respect de leurs engagements relatifs aux détermination de toutes les parties à concrétiser les renouvellement des ressources du Fonds ainsi qu’au engagements et déclarations officielles en relation transfert effectif des technologies écologiquement avec les principes de la responsabilité collective mais rationelles et adaptées. différenciée des Etats, quant aux atteintes à l’environ- Aussi, toute action internationale et/ou régionale nement. doit intégrer les responsabilités communes et dif- En effet, la protection de l’environnement recon- férenciées des Etats, leur capacités respectives et leurs nue aujourd’hui, et à juste titre, comme étant l’un des specificités économiques et sociales. Toute démarche doit être empreinte d’une placée en ce mécanisme novateur, et de se rap- approche rigoureuse et s’appuyer sur une contribu- procher mieux et davantage de ceux qu’il est censé tion plus significative des pays les plus développés et aider et assister. les plus riches, en adéquation avec le droit légétime Par ailleurs, L’Algérie en tant que pays bénéficiaire au développement et les besoins prioritaire en matiére du FEM et ayant ratifié la convention sur la lutte con- de croissance économique durables des pays moins tre la désertification, réitère sa position vis-à-vis de développés et/ou pauvres. cette question essentielle qui touche notamment des L’Algérie a, depuis toujours, honoré ses engage- pays démunis et en difficultés du continent africain, ments, notamment, par la ratification des conven- pour sa reconnaissance en tent qu’activité spécifique tions internationales, particulièrement celles liées au au sein du FEM. FEM et par la mise en oeuvre des instruments Désireuse de participer utilement à l’enrichisse- juridiques, institutionnels et économiques. ment du document principal soumis à la premiére Aussi, elle insiste pour exprimer sa préoccupation assemblée, à savoir le projet de reglement interieur et devant la tournure que prennent les délibérations consciente de l’importance de ce cadre juridique durant certaines rencontres internationales tendant à quant au bon fonctionnement de l’organe souverain diluer les responsabilités historiques et transférer le du FEM, en l’occurence l’Assemblée Générale, L’Al- fardeaux vers les maillons les plus faibles de la châine gérie, après examen dudit projet formule en annexe des Nations confrontées à des contraintes et aspira- quelques observations et propositions à cet effet. tions fondamentales liées à leur développement La délégation algérienne souhaite que les résultats socioéconomique. de cette premiére assemblée générale soient en En raison des espoirs suscités depuis sa création, le adéquation avec notre communauté de destin et à la FEM et particuliérement à travers ses trots agences hauteur des enjeux et défis planétaires que posent les d’execution se doit de repondre à l’attente légitime problémes relatifs à la protection de l’environnement.

Statement of Argentina Gerardo Biritos Ambassador to India

n primer termino, deseo expresar el formación del Fondo para el Medio Ambiente Mundi- reconocimiento de mi gobierno por la al y su posterior reestructuración en 1994. En la pre- amable hospitalidad extendida por el gobier- sente ocasión, deseo renovar el compromiso de mi no y pueblo de la India a mi delegación y al gobierno tendiente a un fortalecimiento de todas las Eresto de los participantes en esta asamblea. actividades del fondo, en el convencimiento de su rol Confiamos que la invitación cursada por la secre- fundamental para que los países en desarrollo esten taria del Fondo para el Medio Ambiente Mundial per- mejor capacitados a hacer frente a ese desafio. mitira arribar a conclusiónes de importancia para el Las evaluaciónes efectuadas tanto a nivel interna- tratamiento de las principales cuestiones ambientales cional como en nuestro propio ambito nacional, per- que afectan a nuestro planeta. miten tener una clara idea respecto de lo que el fondo La humanidad se enfrenta a un importante desafio, ha sido hasta el presente y lo que debe ser su futuro que se traduce en el esfuerzo de los países por armo- funcionamiento. nizar políticas orientadas a promover el desarrollo En esta materia, créemos que la estrategia opera- económico y social, con aquellas que apuntan a la cional en las distintas áreas focales del fondo, basada conservación de los recursos naturales y a la solución en las políticas y los criterios de prioridad y elegibilidad de los problemas ambientales. En otras palabras, este adoptados, debera orientarse hacia el fiel cumplimien- desafio tiene como objetivo alcanzar el desarrollo sus- to de los objetivos propuestos para este mecanismo tentable a nivel nacional. financiero de cooperación internacional. El Gobierno Argentino ha participado activamente La Argentina, no obstante ser un país recipiente, en los procesos de negociación que condujeron a la integra ademas el grupo de países donantes del fon- do. Dicha participación es una pauta de la importan- Las actividades que ha desarrollado el fondo hasta cia que le asigna mi país a la labor de esta institución. el presente en materia de diversidad biologica, estan En funcion de ello, quisiera destacar brevemente principalmente orientadas a la conservación de las actividades que se han realizado en mi país, vincu- dichos recursos. Créemos que en esta nueva etapa es ladas a las cuatro áreas focales del fondo: menester modificar la definición y práctica en torno a ■ Se encuentran en ejecución diversos proyectos de dicha conservación, a fin de incluir el componente diferentes alcances. del uso sustentable. ■ Participamos en proyectos tanto regionales como Los proyectos referidos al uso sustentable atender- globales. an a un componente de significativa importancia en ■ En la preparación y ejecución de dichos proyectos esta materia, considerando que la conservación de la intervienen las tres agencias de implementación del biodiversidad sólo es factible en entornos diversifica- fondo. dos y administrados de manera sustentable. ■ Se han realizado dos seminarios de difusión de las Al respecto, queremos subrayar la importancia de actividades del fondo en 1995 y 1998, habiendose las recomendaciónes presentadas por el panel de eval- publicado sus conclusiones. uación cientifica y técnica, en particular aquella que ■ Los proyectos aprobados cuentan como contra- alude a una necesaria y estrecha vinculación entre las partes a organismos del estado, organizaciónes no labores del propio panel, con las de los demás organos gubernamentales y del sector privado. cientificos subsidiarios de los convenios interna- La ejecución de proyectos del fondo ha permitido la cionales en materia ambiental. preparación de la primera “comunicacion nacional” De esta manera, el panel podra desempeñar una para la Convención Sobre Cambio Climatico y la funcion más efectiva en torno a la identificación de Estrategia Nacional Sobre Biodiversidad. las necesidades de investigación focalizada, lo cual se En el area de cambio climático, la Argentina consid- traduciria en una mayor eficacia de los proyectos y era que el fondo deberia intensificar sus actividades, programas del fondo. dando prioridad a aquellos proyectos derivados de las Mi país considera que corresponde a cada uno de estrategias nacionales para la reducción de emisiónes los gobiernos definir las prioridades en todo lo ati- de gases de efecto invernadero, energia, transporte, etc. nente a la preparación, aprobación y ejecución de los Sin embargo, para conocer mejor las particularidades proyectos, como asi también en materia de selección de este fenomeno global, sus consecuencias y los proce- de las respectivas contrapartes. De ello dependera una sos de adaptación ante el cambio climático, el fondo adecuada relación entre el fondo y los gobiernos, también deberia atender las necesidades de finan- como asimismo entre estos ultimos y las agencias de ciamiento de las actividades de investigación cientifica. ejecución. Mi gobierno comparte la misma preocupación en A este respecto, créemos en la necesidad de fort- cuanto a la investigación cientifica vinculada al fenó- alecer el sistema de puntos focales nacionales y meno del agotamiento de la capa de ozono. La operacionales, lo cual permitira asegurar una ade- Argentina, junto con Chile, se encuentra directa- cuada difusión de los lineamientos, metodologias y mente afectada por el agujero de ozono Antartico y, alcances de las actividades del fondo, como asi por otra parte, este fenómeno esta estrechamente vin- también agilizar la tramitación de los diversos culado con el del cambio climático. proyectos. Statement of Australia Margaret McDonald Ambassador for the Environment, Department of Foreign Affairs and Trade

t gives me great pleasure to address this first better fulfill its objectives. The GEF is such an organi- Assembly of the Global Environment Facility zation. The recent finalization of the overall study of on behalf of the Australian Government. the GEF’s performance highlights the GEF’s ability to I would like to thank you for successfully guid- learn from past experiences and search for ways to do Iing us through our deliberations at the Assembly. It is things better. highly appropriate and symbolic that this Assembly Looking to the future, Australia considers that the take place in India. The Australian Government GEF must emphasize dynamism, inclusiveness and would wish to extend its sincere thanks to the Gov- coherence in its policy development and operational ernment of India for its generosity as host. programming. It must be a seamless conduit for Australia considers that the 1994 restructuring and mainstreaming global environment concerns into its replenishment of the GEF improved the capacity of own implementing agencies. The GEF must increase the Facility to deliver tangible benefits in the Facility’s and enhance its engagement with the private sector four focal areas. They also made the GEF more to effectively leverage existing sources of funding. accountable to its participating countries, as well as Innovative market-based mechanisms and partner- to the Convention on Biological Diversity and the ships, such as are in prospect under the clean devel- Framework Convention on Climate Change. opment mechanism of the Kyoto Protocol, can offer I am pleased to inform this Assembly that Australia some important future opportunities. has developed a good working relationship with the Throughout all its activities, the GEF must continue GEF. For example, in the South Pacific, we are provid- to respond to the expressed needs of developing ing approximately $5.1 million as cofinancing for the countries and the economies in transition through GEF South Pacific Biodiversity Conservation pro- country-driven and country-owned programs. gram. Together with the GEF, we are assisting Pacific In pursuing this work, Australia considers that the Island countries, both financially and through the GEF should remain open and accountable. Strength- expertise of Australia’s Great Barrier Reef Marine Park ening the Facility’s monitoring and evaluation sys- Authority, to prepare a strategic action program for tem, particularly through the development of perfor- their international waters. mance indicators, will be an important vehicle for This year represents another milestone in the GEF’s demonstrating its responsiveness, openness. and history. Just last week, donors concluded negotiations accountability to participants, the CBD and the for the second replenishment of the Facility. The FCCC. replenishment reflects a sound result for the global Much still needs to be done by the global commu- environment and for the GEF. nity to ensure the security of future generations Despite the successful replenishment, we must be through sustainable development. Needs are pressing, mindful that the GEF is not the only source of fund- but the opportunities are many and Australia looks to ing for the environment. It complements and works play its part. In our immediate region, Australia will in partnership with other important sources. For work with Pacific Island countries and the GEF to example, countries’ own efforts in the realm of ensure that the small island states continue to have domestic public and private investment, as well as access to appropriate assistance. those of civil society, are pivotal. In this respect, gov- In conclusion, Australia believes that the Facility is ernments have an important role to play in facilitat- well placed to contribute to achieving global environ- ing an attractive business environment to encourage mental security. Accordingly, we consider that the GEF private investment. should work for the CBD and the FCCC, including in An organization that successfully thrives and grows respect of the recently negotiated Kyoto Protocol, on is one that learns, adapts and constantly strives to a continuing basis. Statement of Austria Harald Sitta Director, Federal Ministry of Finance

t is a great honor to take part in this first Assem- phase and contributed to the Global Environment bly of the Global Environment Facility, the GEF. Trust Fund on the basis of a fair burden sharing at the In beginning, please allow me to pay special first and second replenishments. And we will certainly tribute to India and New Delhi for hosting this contribute financially and through active participa- meetingI in such a generous manner. I would also like tion to further strengthen the Facility as a very to commend the CEO of the GEF and the GEF Secre- important instrument to help protect the national, tariat for the careful preparation of our meetings here regional and global environment. in New Delhi. Austria welcomes the fact that the link between The 1992 Earth Summit in Rio called on all of us to the Climate Change Convention and the GEF is now promote sustainable development and protect our based on a Memorandum of Understanding clarifying environment through concerted global, regional and most of the relevant issues. However, Austria would national actions. I have the impression that the spirit favor that the GEF becomes, as soon as possible, the of Rio remains strong and that we are in general on permanent financial mechanism of the Convention. the right track. In Kyoto, there was agreement on a new mecha- At this first Assembly of the GEF we have the nism, the so-called clean development mechanism, opportunity, or should I say the responsibility, not just which is enshrined in the Kyoto Protocol. In our view, to take stock and assess lessons, but also to address this new mechanism may give further incentives to with renewed urgency the actions required to put our mitigate climate change in developing countries. We life styles, our consumption patterns, our population believe, nevertheless, that this new mechanism growth and our human settlement on a sustainable should be closely linked to the GEF. In this context, path. The tasks ahead of us are still enormous. Pro- we would like to reiterate the European Community’s tecting the global environment, reducing poverty view that the role and experience of the GEF could and promoting sustainable development is a very and should be used in developing the modalities of complex undertaking that requires global and national this new mechanism. responses on the basis of international cooperation. With regard to GEF policies and programmes up to The now well-established and functioning GEF is today, Austria welcomes the share that biodiversity- helping developing countries and economies in tran- related projects have achieved in the overall GEF sition by taking the first steps toward addressing this activities. Austria also highly appreciates the good problem. The Global Environment Facility is: working correlation between the GEF Secretariat and ■ Genuinely helping countries meet their obligations the Secretariat of the Convention on Biological Diver- under the Climate Change and Biodiversity Conven- sity. We acknowledge the guidance by the conference tions. of the parties to the GEF as a valuable tool to assist ■ Providing economies in transition with resources to the Council with regard to the priorities within the complete the phasing out of the ozone-depleting sub- Convention process and its national implementation. stances (ODS) and meet their obligations to the Mon- This, in our view, helps to approve projects in accor- treal Protocol. dance with the Convention, and should assist in ■ Underwriting durable partnerships between countries reducing administrative costs. who share large waters to manage them sustainably. In this regard, I would like to point out that Austria ■ Building capacity to identify and address global would very much appreciate an early decision by the environment problems. conference of the parties to the Convention on Bio- ■ Promoting cooperation between the implementing logical Diversity to establish the GEF as the perma- agencies (UNEP, UNDP and the World Bank). nent financial mechanism of the Convention. The Austria associated herself with the idea and the evaluation of the GEF was an important step and design of the Global Environment Facility from the should help in the respective discussion which we are outset and participated actively in the relevant dis- looking forward to holding during the fourth confer- cussions and negotiations to establish, and later on, ence of the parties in May in Bratislava. to restructure the GEF. Austria supported the GEF with Austria would also like to see a commitment that generous financial contributions during the pilot the GEF will offer to act as the financial mechanism for the upcoming Protocol on Biosafety under the national assistance for the ODS phase-out in coun- Convention on Biological Diversity when the Proto- tries of transition should be warranted to facilitate col enters into force. We could also foresee enabling Montreal Protocol compliance in the region. activities for the implementation of the Protocol dur- With regard to the future of the GEF, I would like ing the period from its signature up to the entry into to associate myself with and reiterate the recommen- force to be funded by the GEF. dations of the study of GEF’s overall performance and With regard to the depletion of the ozone layer, I state Austria’s position as follows: want to draw your attention to some concerns we ■ We fully agree that country drivenness and country have. The recent developments in ODS consumption ownership is needed in GEF activities. and production in Central European economies in ■ Concerning implementing and executing agencies, transition and the successor states of the Soviet Austria believes that three implementing agencies are Union show that ODS phase-out is occurring. While sufficient; however, it seems important to continue to the phase-out of ODS in this region initially resulted provide other international institutions, particularly mainly due to reductions in capacity utilization, the regional development banks, with access to GEF reductions are now increasingly market-driven. resources. Although the current level of ODS consumption is ■ Since the available resources are by far not enough relatively small in comparison with ODS consump- for global environment protection, GEF resources tion in developing countries, the delayed compliance should accordingly be strategically allocated and nevertheless presents the international community should leverage other resources (at present US$1.00 with a number of problems. One problem arising of GEF grant generates US$2.50). from delayed compliance of countries in transition ■ The involvement of the private sector should be are short- to medium-term concerns about the possi- increased, especially in terms of mobilization of bilities of illegal ODS trading. Another serious prob- resources and for technology transfer. lem is the risk that outdated ODS-using technology ■ Great importance should be attached to further and equipment might be exported to countries in simplifying the estimation of incremental costs for all transition. Furthermore, the legitimacy of interna- GEF programme areas. tional environmental agreements in general, and the ■ Considerable thought and discussion are needed to Montreal Protocol in particular, may be eroded as a elaborate the clean development mechanism of the result from sustained noncompliance among a num- Kyoto Protocol. ber of parties. These problem areas should be addressed ■ The GEF should work closely together with the by the parties of the Montreal Protocol and the GEF Conventions to analyze issues related to guidance in to ensure consistent phase-out. order to ensure their successful implementation. Many of these countries have no financial and ■ Monitoring and evaluation seem to us of utmost technical resources for implementing the phase-out importance in order to extract and disseminate the in a planned and controlled manner. Therefore, inter- lessons learned and improve future performance.

Statement of Bangladesh Sayeda Sajeda Chowdhury Minister of Environment and Forests

t the outset, I would like to extend my sin- have a far-reaching positive impact on the global cere thanks and appreciation to the Gov- environment. ernment of India for hosting the first I would also like to express our deep gratitude to Assembly of the GEF and for the warm the GEF for their efforts in the preparation and orga- hospitality.A I am particularly happy that the first nization of this meeting. Assembly of the GEF is being held in this beautiful On behalf of Bangladesh, I wish to express my and historic city of New Delhi, capital of India. I am heartiest congratulations on your election as Chair- confident that the deliberations in this meeting will man of this important Assembly. I assure you of our fullest cooperation. Permit me Mr. Chairman, to con- signed between India and Bangladesh in December vey our felicitations to His Excellency Mr. Atal Behari 1996 has opened up vast opportunities for interna- Vajpayee, Prime Minister of India, for his inspiring tional investment and cooperation for sustaining inaugural address, which I am confident will set the environment. tone of our deliberations for the next three days. Bangladesh was nationally allocated a fund of As we stand on the threshold of a new millennium, US$3–5 million by the GEF for various projects. Out we probably need to reflect on the achievements of that, only a fund of US$235,000 has actually been made on global environmental security more seriously. placed by the GEF to conduct a PRIF study on Coastal The purpose of establishing the Global Environment and Wetland Biodiversity Management. The GEF proj- Facility in 1991 was something new—to make avail- ect cycle and funding mechanism which now appear able funds for environment-friendly projects in devel- somewhat time-consuming need to be revised. We oping countries. Actual progress, however, remains emphasize that attention needs to be given to swift less than substantive. evaluation of projects and quick placement and dis- We in Bangladesh are deeply concerned at the bursement of funds. The funding mechanism also gradual deterioration of the global environment. The needs to be simplified and made responsive to project depletion of the ozone layer is gradually increasing demands. Bangladesh being disaster-prone deserves world temperature. This in turn has contributed to high priority for GEF-funded projects. melting of snow in the polar regions and a rise in the We also feel that the criteria for allocation of sea levels, which is a matter of serious concern for funds for countries which face problems of depletion Bangladesh. Being a low-lying deltaic country, of biodiversity for various reasons need to be re-eval- Bangladesh is under the threat of inundation by sea uated. In allocating funds, due consideration should water. According to the IPCC (International Panel on be paid to the magnitude of the problems faced by a Climate Change) report, 17.5% of the total land mass country. of Bangladesh will be inundated if the sea level rises A major objective in setting up the GEF in 1991 by one meter. More than 50 million people will be was to evolve a global funding mechanism for envi- rendered homeless, with disastrous effects on the ronment-friendly projects. That purpose will be country’s economy. defeated if developing countries cannot have access Bangladesh is deeply committed to the concept of to concessional funds to conserve biodiversity. I, global environment security. Extensive efforts are therefore, propose some points for the consideration being made by our Government to integrate environ- of this assembly: ment and development concerns into decision-mak- ■ Restructuring of the GEF with a view to formulating ing and formulate new laws, policies and strategies a more simplified project cycle, and allocation and dis- for sustainable development. In line with global bursement of funds. efforts, Bangladesh has enacted laws for protection of ■ Concessional funding to environment-friendly projects the environment; formulated strategies, policies and in developing countries. action plans, including a 20-year Forestry Master ■ Prioritize the magnitude of problems in the funding, Plan; ratified all the major international conventions; rather than considering the size of the country. Alloca- and established the national coordination mecha- tion should be made on the basis of priority of an issue. nism for sustainable development through formation ■ Provide training to concerned personnel of recipient of a National Environment Committee headed by the countries. Prime Minister. ■ Project identification missions by GEF to develop- The Environment Policy of 1992, Bangladesh Envi- ing countries be made more frequent. ronment Protection Act of 1995 and the Environment I would conclude by congratulating you once Protection Rules of 1997 will go a long way in the sub- again on your assumption of the chairmanship of stantive reduction of pollution in the country and this Assembly. I should also like to put on record the streamlining the responsibilities of different ministries excellent manner in which you have conducted the of the Government engaged in economic develop- business of this august assembly. ment. These steps, I am convinced, will improve the I would also like to thank the Government of India situation in Bangladesh. and GEF officials who have worked tirelessly to make We also recognize the importance of bilateral and this conference a success. regional cooperation in sustaining the global envi- The earth is the only planet we have. Let us ensure ronment. The historic Ganges Water Sharing Treaty a safe global environment for our posterity. Statement of Belgium Marc Gedopt Ambassador for the Environment and Sustainable Development

y delegation would like to congratulate But we are convinced that these objectives can be you on your election to the chair of met by activities that are not detrimental to the this Assembly, and we would also like global environment. This leveraging will be rein- to thank the Government and the peo- forced by a greater emphasis on the replicability of Mple of India for their hospitality. projects, and will also strengthen the catalytic role of This first Assembly of the Global Environment the GEF. Facility heralds the coming of age of the GEF. The A third challenge will be to maintain the flexibility pilot phase and the restructuring were difficult times, of the GEF. The conventions that we serve are no sta- but growing up is sometimes painful. tic instruments themselves, they evolve and change. The successful second replenishment of the Global The mechanisms foreseen in the Protocol of Kyoto Environment Facility has shown us the growing confi- have still to be developed, but they have the poten- dence of the international community in the capacity tial to evolve into new challenges and opportunities of the GEF to carry out its task: to serve as the finan- for our work. cial mechanism of the global environmental conven- Now that the GEF has become well established, we tions. The tireless work of Mr. El-Ashry and his team have to face the fact that our work will become the has greatly contributed to this magnificent result. object of critical scrutiny. But great challenges are still before us. We must In the last two years, we have seen a steady increase now build on the lessons of the past for our work of in the disbursement rate. This is a success in itself, tomorrow. but it also creates a new challenge of monitoring and The first of these challenges is the long-term viabil- evaluation of our projects. This system of evaluation ity of our projects and programmes. Our efforts will has to be carried out, not only during the lifetime not contribute to sustainable development in the and at the end of a project cycle, but also years later. longer term without the assurance of the sustainability Our objective is sustainable benefit for the global of our projects. One of the basic conditions to reach environment. This must include the evaluation of a this goal is to make sure that projects are really coun- sustainable continuation of our finished projects. The try-owned and country-driven. This will require con- streamlining of our project cycle has to go beyond the tinuing attention to awareness and capacity building. end of the project as such. The participation of the local population in our pro- My country is proud to be part of this common jects must therefore also be high on our agenda. effort by the international community to safeguard A second challenge lies in the leveraging of other our global environment. We have the honor to rep- financial resources. One of the mechanisms to pro- resent at the Council a constituency of recipient and mote this aim is the mainstreaming of the concern for non-recipient countries. I would like to thank all the global environment in the general programmes of these countries for the confidence they have given multilateral and bilateral development agencies. to us. Our aim can certainly not be to limit their activi- My country sees this Assembly as the start of our ties to global environmental concerns. work in the 21st century. The challenges we face are We fully recognize the importance of other objec- great and numerous, but we do not have another tives of development and of the local environment. option than to succeed in our task. Statement of Belize Mohinder Singh Sahni Consul General to India

he Government and people of Belize, along graphical location demands that we support and with the political and operational focal encourage policies and programs geared toward the points, join me in expressing our sincere protection and maintenance of our environment in thanks to you, Mr. Chairman, the Secretariat, the context of the global initiatives that have emerged theT Council, and the implementing agencies for the to preserve and protect the global environment. hard work, dedication, and diligence that have made We welcome the second replenishment of the GEF the Global Environment Facility the success story Trust Fund and are confident that it will enable us to that it has become. better implement the global environmental conven- We concur with the agenda for the meeting, and tions that we have subscribed to. express our support for the CEO’s draft report on the At the national level, we strive for better coordina- policies, operations, and future development of the tion between political and operational focal points GEF, reconfirming our commitment to do our part to and with relevant national and international agencies ensure that Belize continues to subscribe to the objec- for the successful preparation and execution of the tives established by the Council. projects we have identified as essential for the protec- As a small developing country, we know that it is tion of Belize’s environment. imperative that we adhere to our national priorities It is left only for me to congratulate you on your and goals, keeping in mind our obligations to the excellent stewardship of the affairs of the Global Convention on Biological Diversity and to the UN Environment Facility and to assure you of our contin- Framework Convention on Climate Change. Our geo- ued support of your efforts on our behalf.

Statement of Bhutan Paljor J. Dorji Deputy Minister, National Environment Commission

t gives me great pleasure to be here with you at tance of our natural surroundings to the socio-eco- this GEF Assembly meeting. I have no doubt that nomic development of the Bhutanese people and the this meeting will be an enriching experience for me. global environment. Today, as many countries grap- At the outset, let me mention that the GEF, in ple with the problems associated with degradation of Imy view, has grown from strength to strength under the natural environment, we in Bhutan are blessed its present leadership. Therefore, it is my privilege to with an almost intact natural environment. congratulate Mr. Mohamed T. El-Ashry on this This was not an accident, but an outcome of a con- accomplishment as well as on the successful estab- scious development pursuit. We in Bhutan always lishment of the first environmental trust fund for felt, in our best ethics, not to over-borrow from our Bhutan with great assistance from the GEF. I am con- future generations, but to endow them with their fident that under his leadership, in times to come, natural heritage. It is only for this reason that the the GEF will break much more new ground and add Royal Government received the advent of modern more mileage to its mission. economic development with a conservation-based It is general knowledge that Bhutan emerged out of development policy. As a result, even after thirty a self-imposed isolation in the early sixties. Neverthe- years of economic development, natural forest cover less, Bhutanese leadership fully realized the impor- spreads to over 72% of the country’s total area while the national system of protected areas occupies over Change. In this regard, while many of the parties are 26% of the total area of the country. faced with difficulties in translating the ideals of the By policy, commercial harvesting of timber and conventions and Agenda 21 into actions, Bhutan has other forest resources without a scientific manage- started to implement the activities of the Conven- ment plan and environmental impact assessment is tions. For instance, in keeping with the Convention forbidden. The policy of maintaining a 60% forest on Biological Diversity, the Royal Government has cover, first suggested by National Forest Policy in prepared and adopted a biodiversity action plan. Fur- 1974, was formally mandated by the 73rd Session of thermore, in addition to its usual conservation pro- the National Assembly of Bhutan in 1995. The con- grams, the Royal Government, with support from servation goals of the 1969 Bhutan Forest Act have donors, is implementing a Capacity 21 project, a been strengthened and expanded in the Forest and Greenhouse Gases project and a project on Integrated Nature Conservation Act of 1995. To provide a com- Management of Jigme Dorji National Park. prehensive framework of guidance for the develop- In conclusion, environmental conservation is a ment programs in the country, the Royal Govern- long-term activity, the impact of which cannot be ment has prepared a national environment strategy. assessed over a time-frame of five to twenty years, but And as I mentioned earlier, a trust fund for environ- takes centuries or perhaps the rest of time and the rest mental conservation has been established to provide of history. Therefore, one of the most important fac- sustained funding for environmental programs. These tors to be considered vis-à-vis environmental conser- initiatives stand to tell that we in Bhutan are commit- vation programs is sustainability. Finally, I would like ted to preserving nature and giving back to the earth to state that with regard to access to funds and coop- what one has taken. eration with donors, the secret formula, in my view In terms of global initiatives, along with many and which the Royal Government of Bhutan follows, nations, Bhutan firmly upholds the importance of is good governance, transparency of activity, account- development paradigms enshrined in Agenda 21 and ability, and actual implementation of activities which several other UN conventions on environment and lead to a multiple win situation—a win for Bhutan, a sustainable development. Bhutan is a party to the win for the environment, a win for donors, and a win Conventions on Biological Diversity and Climate for the global community.

Statement of Brazil Paulo Cesar Lage Barbosa General Coordinator of Bilateral Finance, Ministry of Planning and Budget

n behalf of the Brazilian Government, I Government of India for its hospitality and the orga- would like to congratulate you on your nization of the first GEF Assembly, a remarkable election to preside over this meeting, event that will be written in the history of the main and to state my confidence that under actions aiming to achieve the common goal of sus- Oyour sure guidance we will reach the objectives that tainable development and protection of the global we have set forth to achieve. environment. Furthermore, I would like to take this opportunity As we all know, the Global Environment Facility was to publicly acknowledge the remarkable work being established in 1992 at the Earth Summit, as the interim done by the Secretariat during Mr. El-Ashry’s tenure mechanism for the implementation of the Conven- as GEF CEO, as well as to express our gratitude for the tions. Since then, the GEF has increased its role in work of the three implementing agencies which have addressing some key environmental problems such as dedicated their time and best efforts to the success of climate change, biodiversity loss, international waters this truly global endeavour. protection and ozone layer depletion. Many lessons Last but not least, I would also like to thank the were learned through the operation of the GEF and the projects implemented under its purview. There- The controversial concept of incremental cost con- fore, the participating countries decided to endorse tinues to be difficult to apply in practice, requiring the second replenishment of the Facility, recognising additional actions to make the process more flexible the GEF as one of the most important financial and easier for recipient countries and the implement- mechanisms for global environmental protection. ing agencies. At the verge of the 21st century, we are constantly The GEF member countries should avoid trans- reminded of the challenges to be faced by the interna- forming the Facility into an instrument that makes tional community. Many efforts are being made to fos- “business as usual.” We have to pursue positive ties ter a vision for the future based upon the main princi- between development and the environment through ples of the sustainable development paradigm laid out grants to projects and programmes. in Agenda 21. Very recently, the President of Brazil had At this point in time, Brazil regards as unnecessary the honour of prefacing the book Valuing the Global the addition of new implementing agencies to the Environment: Actions and Investment for the 21st Century, three current ones, which we believe have demon- which was put together by the GEF. We believe that strated a high level of competence and knowledge of this publication is a most valuable contribution to the national internal procedures. It is our understanding debate on global problems into the next century. To be that it is not appropriate to transform GEF into a able to tackle these huge tasks before them, the coun- forum of discussions for the implementing agencies’ tries will have to work together, bearing in mind their financing policies. common, but differentiated, responsibilities. To have a As mentioned in the opening session, Brazil and its strengthened and efficient GEF is of utmost impor- northern neighbours are facing a huge fire in impor- tance for the accomplishment of these goals. tant ecosystems. Notwithstanding the work already carried out In Brazil, the fire is in the savannahs of the State of under the aegis of the GEF and acknowledging its Rondonia, a region next to the rain forest. We take important contribution to the mainstreaming of sus- this opportunity to thank all countries and entities tainable development concerns into international that are giving financial and technical support to the cooperation operations, some issues should receive Brazilian Government in its fight against this serious special attention if we are to move ahead in a fruitful environmental threat. I am pleased to say that, accord- way. Many of them were mentioned in the study on ing to the last news I had, the fire in Brazil is now GEF’s overall performance that we have before us. I under control, as a result of the appropriate actions would like to highlight the need for further stream- that have been taken, and also because, thank God, it lining in the project cycle and the need for more is raining in Rondonia, although it is not yet the rain- transparency during the process of identification, ing season. design and approval of projects. Brazil has actively participated in the GEF since its It has been agreed that GEF’s projects must have establishment and has every intention to continue to global impact but should be country-driven and do so and lend its full-fledged support to the effort of based on national priorities. From Brazil’s point of making sustainable development a reality. view, this is an issue that needs more emphasising at Finally, I would like to congratulate my partners the moment of defining policies, operations and the for their significant contribution to the success of this future development of the GEF. Assembly. Please accept my sincere thanks. Statement of Burkina Faso Jean-Baptiste Kambou Technical Councillor, Ministry of Environment and Water

’est pour moi un grand honneur de pren- Au delà de ces actions à caractère national, notre dre la parole devant cette Assemblée, pour pays a activement pris part à la préparation et à la traduire au nom du Gouvernement du tenue de la Conférence des Nations Unies sur l’envi- Burkina Faso et en celui de Monsieur Salif ronnement et le développement à Rio de Janeiro en Diallo,C Ministre d’Etat, Ministre de l‘Environnement 1992, et a fait sienne les principales conclusions que et de l’Eau, l’espoir que suscite pour nous la tenue de sont: cette première assemblée du Fonds pour l’Environ- ■ La Convention cadre sur les changements climatiques. nement Mondial et vous adresser, Monsieur le Prési- ■ La Convention sur la diversité biologique. dent, toutes nos félicitations pour votre élection à la ■ La Convention des Nations Unies sur la lutte contre tête de cette Assemblée. la désertification. Qu’il me soit permis d’adresser mes sincères remer- Vous conviendrez avec moi de l’intérêt que revêt ciements aux Autorités Indiennes pour l’hospitalité cette Assemblée pour mon pays, eu égard aux thèmes pleine de chaleur et d’amitié qui nous a été reservée importants qu’elle aura à entériner, notamment les depuis notre arrivée à New Delhi. relations avec les conventions, l’évaluation des per- Je voudrais, Monsieur le President, avant de pour- formances du FEM, les politiques et perspectives de suivre mon propos, porter à votre connaissance et à développement du FEM. celle de l’Assemblée, que mon pays le Burkina Faso est La création du FEM répond au souci de la commu- effectivement solidaire de l’idée—projet brillament nauté internationale d’oeuvrer à travers un partenariat présentée lors de la plénière d’hier par votre Excel- entre les Etats pour la sauvegarde de notre planete. lence, en votre qualité de Répresentant du Gouverne- Malheureusement, ce fonds, de par sa complexité, ment malien, et relative à la nécessité du financement les difficultés d’accès et la limitation un peu arbitraire d’un plan d’urgence de sauvetage du fleuve Niger et à notre sens de ses domaines d’intervention, ne de ses affluents. prend en compte que de manière très conditionnelle Il n’est point utile pour moi de vous rappeler la sit- et indirecte une des principales préoccupations envi- uation environnementale au Burkina Faso et les ronnementales de notre pays et des pays africains en efforts entrepris par notre gouvernement pour général, à savoir la lutte contre la désertification. améliorer les conditions de vie de nos populations, S’il est vrai que dans certains pays comme le nôtre, quotidiennement confrontées aux effete néfastes des le FEM a octroyé des financements pour l’exécution multiples facteurs de dégradation de l’environnement de quelques activités, il reste que des projets d’in- Depuis les années 1970, le Burkina Faso, pays vestissement de réduction des gazs polluants, d’appli- sahélien, n’a cessé de vivre les activités persistantes cation de stratégies et programmes d’action néces- du climat, aggravées par les actions anthropiques, siteront des soutiens additionnels. destructrices d’un environnement déjà fragilisé. En effet, avec l’appui du FEM, le Burkina Faso met Face à ce déséquilibre écologique qui menace notre en oeuvre actuellement deux projets majeurs de ges- sécuruté alimentaire, et met en péril le processus de tion des ressources naturelles et de la faune, et d’opti- développement durable, des orientations stratégiques misation de la biodiversité. et des actions concrètes ont été initiées sur le terrain. Par ailleurs, des actions habilitantes telles que Sans être exhaustif, nous pouvons retenir: l’élaboration de la monographie nationale sur la ■ Le Plan d’Action National pour l’Environnement diversité biologique, la préparation de la communica- ou Agenda 21 National. tion initiale sur les changements climatiques et l’élab- ■ La stratégie nationale d’assainissement. oration de plan et stratégie sur la diversité biologique ■ Le processus de décentralisation engagé depuis un sont en cours. certain temps. Le Burkina espére, avec la restructuration du Fonds ■ L’adoption des lois relatives à la réorganisation pour l’Environnement Mondial et les récentes con- Agraire et foncière, au code de l’environnement et au clusions de la Conférence des Parties à la Convention code forestier. sur la lutte contre la désertification, que des disposi- tions concrètes et pratiques seront prises pour assou- communautés sahéliennes vivant quotidiennement plir les procédures d’accès au fonds en vue de favoris- le spectre de la désertification et de la sécheresse, er la mise en oeuvre de cette convention, espoir des aggravée par la pauvreté.

Statement of Burundi Samuel Bigawa Minister of Territorial Development and Environment

’est pour moi un grand plaisir et un de l’environnement mondial. agréable honneur de m’adresser à cette Les structures organisationnelles mises en place auguste assemblée au nom du Gouverne- pour le fonctionnement du FEM restructuré ont per- ment du Burundi, à l’occasion de cette pre- mis d’oeuvrer dans le cadre d’un consensus général Cmière réunion de l’Assemblée générale du Fonds pour pour l’orientation de tous les efforts tant au niveau l’environnement mondial. national qu’international vers le développement Mais avant d’aller plus loin, permettez-moi d’em- durable. C’est pourquoi la délégation burundaise boîter le pas de ceux qui m’ont précédé, en remer- saisit cette occasion pour remercier les agences d’exé- ciant du fond du coeur le Gouvernement indien et cution du FEM représentées dans mon pays pour leur son valeureux et talentueux peuple, pour la collaboration fort appréciée. chaleureuse ambiance d’accueil qui nous a été Au niveau international, il est heureux de constater réservée depuis notre arrivée. que les différentes négociations qui ont abouti à la Il me plaît aussi de féliciter sincèrement Monsieur ratification des conventions en rapport avec l’envi- Mohamed T. El-Ashry, directeur général du Fonds ronnement ont largement contribué à accroître la pour l’environnement mondial ainsi que l’équipe prise de conscience de la corrélation entre le qu’il dirige, pour les efforts fournis dans la prépara- développement durable et l’environnement chez tous tion et l’organisation des travaux des différents ate- les acteurs sociaux qui sont les dirigeants politiques, liers, qui, j’en suis persuadé, permettront à l’Assem- les représentants de mouvements des citoyens, de la blée générale d’aboutir à des résultats importants. communauté scientifique et des médias. À l’heure Lorsque nous avons conclu à Rio, l’Agenda 21, actuelle, il est indéniable que l’articulation environ- nous savions que nous fondions un cadre pour des nement-développement est devenue un véritable rapports nouveaux entre l’homme et la nature. Sa enjeu dont la réussite conditionne la préservation de mise en oeuvre oblige les différents pays à assumer l’environnement mondial. leurs responsabilités devant l’histoire de l’humanité, Au niveau national, avec l’assistance du Pro- et les contraint à des choix d’autant plus complexes gramme des Nations Unies pour l’environnement qu’ils doivent concilier la science, l’éthique et l’é- (PNUE) et des autres organismes internationaux, le conomie, facteurs indispensables pour le développe- Burundi a accompli certains progrès dans la mise en ment durable. oeuvre de l’Agenda 21 : la ratification de conventions Il est encourageant de constater que, juste après le en rapport avec l’environnement, l’élaboration de la sommet de Rio de Janeiro sur l’environnement et le stratégie nationale pour l’environnement et son plan développement, l’Assemblée générale des Nations d’action, l’élaboration de législations en matière d’en- Unies, dans sa 47e session, a décidé de permettre la vironnement et la gestion des déchets solides et des participation au FEM des pays en voie de développe- eaux usées. ment. C’est une preuve assez éloquente qui montre La préservation de la diversité biologique s’est con- que les pays industrialisés reconnaissent, à juste titre, crétisée à travers la conservation et la gestion des aires l’obligation morale de soutenir dans un cadre de con- protégées dont la superficie couvre 4 % du territoire certation les efforts des pays en développement en national. Des efforts pour la lutte contre le déboise- vue de sauvegarder l’environnement mondial. Le ment ont aussi été menés. Mais le volume de con- Gouvernement du Burundi s’engage à soutenir toutes sommation du bois étant toujours élevé compte tenu les actions du FEM afin de contribuer à la protection de la forte demande en énergie (à peu près 4,5 mil- lions de tonnes de bois sont consommés chaque gratitude envers les autorités du FEM qui continuent année), le Burundi doit fournir encore de gros efforts de nous soutenir en nous accordant des financements dans sa politique de reforestation : d’où une politique pour protéger la diversité biologique du lac Tanganyi- d’alternatives au bois-énergie s’avère nécessaire et ka dans le cadre d’un projet régional exécuté conjoin- urgente. En effet, malgré sa bonne volonté d’honorer tement par les pays limitrophes de ce lac, à savoir : la les engagements conclus à Rio, le Burundi est resté en Tanzanie, la Zambie, la République démocratique du deçà du programme tracé par l’Agenda 21, suite aux Congo et le Burundi. contraintes de plusieurs ordres et plus particulière- Dans le plan à court et moyen termes prévu par le ment la crise socio-politique de 1993 et l’afflux massif Gouvernement, la réhabilitation des ressources de réfugiés venant des pays limitrophes du Burundi naturelles occupe une place de choix et nécessite qui a fortement engendré la dégradation de l’environ- beaucoup de moyens matériels et humains. C’est nement par le déboisement pour des besoins énergé- pourquoi, Monsieur le Président, j’aimerais vous tiques essentiellement. demander d’accepter de devenir notre fidèle ambas- Le Gouvernement du Burundi enregistre de plus en sadeur pour plaider en faveur d’un financement d’ur- plus une nette amélioration de la situation sécuritaire gence pour la restauration de l’équilibre écologique dans le pays. Des activités de reconstruction intéres- gravement fragilisé par la guerre dans la sous-région sant tous les domaines de la vie nationale ont repris. des grands lacs et plus particulièrement dans mon L’assistance reçue des pays amis et des organisations pays, le Burundi. non gouvernementales ne cesse d’augmenter, surtout Je m’en voudrais de clore mon intervention sans en ce qui concerne l’aide humanitaire. Et je voudrais, évoquer le problème de concertation entre les pays au Monsieur le Président, profiter de cette occasion pour sein d’une même circonscription. Il est vrai que les dire encore une fois merci à tous ceux qui, de près ou représentants des circonscriptions se réunissent de loin, contribuent à cette assistance qui a permis au régulièrement au Conseil du FEM pour discuter et Gouvernement de sauver des vies humaines. décider des politiques qui doivent guider les activités Concernant l’assistance pour la protection et la ges- du FEM et pour approuver les propositions de projets. tion de l’environnement, nous déplorons le fait que Cependant, nous sommes convaincus que cette con- beaucoup de bailleurs de fonds ont ralenti leur aide certation pourrait être améliorée par la tenue depuis que la crise socio-politique de 1993 secoue régulière de réunions préparatoires regroupant les notre pays. Nous tenons à exprimer notre profonde représentants des pays d’une même circonscription.

Statement of Canada Jim Carruthers Director-General, Canadian International Development Agency

welcome this opportunity to add Canada’s voice Facility—an example of global cooperation blending to those who have already spoken on the elements of the UN system and the IFI systems. GEF important issues before this Assembly. is not just another mechanism for ODA; it is nothing In recent years, we have all come to appreciate less than a new experiment in global governance. Ithe seriousness and the complexity of the threats As the Chief Executive Officer notes in his report to posed by climate change, the irreplaceable loss of this Assembly, the GEF has had to evolve and mature species, the transport of toxins through international into a more representative, participatory, transparent, waters, and depletion of our atmosphere’s ozone lay- effective, and strategic organization. This has been er. Never before has the planet’s entire population quite an accomplishment in the space of a few years. faced such common universal threats. The imperative And yet it is just the start. The GEF must continue to of preserving the heritage of our planet has become evolve and enhance its effectiveness if it is to reach its the truly unique challenge of our age. goals. Canada has strongly supported the GEF to date Our collective will to take action has been demon- through our financial contributions and our work as strated in the formation of the Global Environment a member of the GEF Council. We intend to continue this strong support to the GEF, its implementing Fourth, a strong monitoring and evaluation func- agencies, and recipients to finish the work we have tion is necessary to measure progress and results, as started. Canada is committed to a full funding of the well as for achieving greater project quality and effec- second GEF replenishment, and we encourage all tiveness. Clear performance indicators are needed for donors to do likewise. GEF programs as well as projects. We have been very fortunate in the case of the GEF Fifth, the GEF should promote participation of a to have a highly professional and dedicated Secretari- wider range of executing agencies to increase respon- at and CEO to manage its operations. But a successful siveness, efficiency, and diversity in projects and GEF is predicated not just on the hard work of one approaches. organization, but the cooperation of many—the coun- Sixth, the GEF should reaffirm the principle of try focal points, the implementing agencies, civil incremental costs while seeking to clarify how it society, and the private sector. In addition, the GEF should be applied. Canada fully supports all these has two very important relationships with the main measures and will work with the GEF Council for Conventions it serves. In this regard, it is crucial that their implementation. the GEF be confirmed as the permanent financial The future success of the GEF will not just be mea- mechanism for these two Conventions. sured in dollars spent. Rather it will be measured by The GEF is an exercise in participatory action. mere concrete results—yardsticks such as tons of car- From project beneficiaries to the governing Council, bon reductions, preservation of species and habitats, GEF’s links with other stakeholders are the key to its the improvement in quality of international water. success. Canada firmly believes that civil society’s and reductions of ozone-depleting substances. These awareness and participation are crucial for the success are the results we all expect the GEF to deliver in the of any government-led initiative, especially one deal- coming years, results which will build support for the ing with the global commons. GEF in Canada and in all the countries present here. In this regard, the involvement of civil society in This Assembly has the potential to build the consen- the GEF is unique among international financial sus necessary to bring global environmental concerns mechanisms and is one of the ways in which the GEF into the mainstream of development—a consensus has demonstrated leadership through innovation. which will be essential if the GEF is to succeed in The GEF involves civil society through NGO partici- reaching its goals. We are therefore delighted to see pation at meetings of the GEF Council as well as dur- that such a wide range of participants have taken up ing the full project cycle where awareness of local the invitation to join this meeting. Each of you has a conditions and building local participation are essen- role to play in forging a renewed global solidarity on tial ingredients for project success. global environmental stewardship, to collaborate in The GEF is now poised to move into a new phase. restoring a healthy global ecosystem rather than sim- Earlier this week, the Council endorsed the second ply consuming the planet’s resources. Let us all work replenishment of the GEF including a policy state- at this Assembly at demonstrating our collective com- ment with six key components. First, GEF activities mitment to these goals. must be more country-driven and based on national I cannot conclude my remarks about this Assembly priorities designed to support sustainable develop- without noting the significance of holding this meet- ment and the global environment. ing in New Delhi. India has been a strong supporter Second, there must be greater mainstreaming of of the GEF in a number of ways—as a home to GEF objectives in the policies and program activities of important GEF projects, as an active member of GEF’s the implementing agencies, and all governments have governing Council, and also as a donor to the GEF a responsibility to promote this objective through Trust Fund. It is therefore highly appropriate that the their directors in these institutions. first Assembly is taking place here. I would like to Third, the GEF should seek new opportunities and extend our sincere thanks to the Government of modalities for working with the private sector which India for inviting the GEF participants from around is instrumental in diffusing technology and knowl- the world to New Delhi, and for so graciously hosting edge for a better global environment. this event. Statement of Central African Republic Joseph Gnomba Minister of the Environment, Water, Forest, Hunting and Fisheries

’est un honneur pour moi, de prendre la biologique de la forêt de Bangassou par une approche parole devant cette auguste Assemblée. hautement decentralisée. Mais avant de poursuivre mon propos, je ■ Développement des capacités de la RCA pour sa voudrais tout d’abord m’acquitter d’un préparation de sa Communication initiale, en réponse devoir.C Je voudrais, au nom du Gouvernement de la à ses engagements à la Convention sur les Change- République Centrafricaine, transmettre à la grande ments climatiques. famille du Fonds pour l’Environnement Mondial Tous les projets susmentionnés vent déjà fonctionnels. (FEM), ainsi qu’au vaillant peuple Indien tout entier, Sur le plan sous-régional, l’intervention du FEM en les fraternelles salutations du peuple Centrafricain. faveur de la protection des bassins du Congo d’une La République Centrafricaine est située au coeur de part, et celui du Tchad d’autre part, permet à la RCA l’Afrique et plus particulièrement en zone tropicale. de bénéficier d’appuis complémentaires pour la con- Sa population est de 3 millions d’habitants pour une servation de ces écosystèmes. superficie de 623,000 Km2. Cette position privilégiée, Ces interventions concernent: à cheval sur la forêt dense humide au sud et la steppe ■ Le Projet Régional de Gestion de l’Information au Nord, lui confère une grande diversité biologique. Environnementale (PRGIE). Malgré ces atouts, sa grande faune jadis prospère ■ L’appui a l’identification des acteurs de la partie est fortement menacée par le braconnage national et Centrafricaine du bassin du Lac Tchad et le bilan-per- international depuis plus de deux décennies. La flore, spective de la dimension participative dans le devel- quant à elle subit des pressions et agressions de toutes oppement du bassin versant. sortes liées au recul de l’habitat dont l’impact sur la ■ La Conférence sur les écosystèmes des forêts denses faune est très important. Les feux de brousse et l’oc- humides d’Afrique centrale (CEFDHAC). cupation anarchique des établissements humains, Toutes ces initiatives démontrent l’intérêt croissant sont autant de maux dont souffre l’environnement que le FEM ne cessent de manifester pour l’environ- Centrafricain. Bref, sa situation inquiéte déjà, oblig- nement en RCA et dans la sous-region. Je voudrais eant ainsi, le Gouvernement Centrafricain à prendre saisir cette occasion pour remercier sincèrement, le de sérieuses mesures pour sa conservation, car si rien Secrétariat du FEM pour le soutien constant qu’il ne n’est fait maintenant, il risque d’être trop tard dans cesse d’apporter au peuple Centrafricain, afin de quelques années. l’aider à réaliser son développement durable. C’est pour parer à cette éventualité non souhaitée, Bien que des progrès aient été réalisés, il con- que la RCA, à l’instar des autres pays d’Afrique et du viendrait de faire remarquer que, les mécanismes de Monde, a intégré le FEM le 23 Mars 1995, en vue de financement du FEM n’ont pas tonjours paru faciles participer à 1’effort global de sauvegarde de l’Environ- pour la plupart des bénéficiaires qui jugent les nement, pour un développement durable. modalités de mobilisation effective des ressources A l’heure actuelle, le FEM intervient en RCA à tra- délicates et complexes. Nous espérons que des efforts vers des projets nationaux et sous régionaux. seront faits pour améliorer cette situation qui est par- Sur le plan national, le FEM a alloué des fonds à la fois pénalisantes pour les pays en développement. RCA dans le cas des projets suivants: Pour terminer, je souhaite que cette Assemblée ■ Appui à la formulation de la stratégie rationale de la puisse déboucher sur des recommandations concrètes conservation de la biodiversité, au Plan d’Action et au et pratiques, en vue de permettre une gestion durable Rapport de pays à la Conférence des Parties. de l’environnement qui est source de bien-être pour ■ Protection et utilisation durable de la diversité l’humanité toute entière. Statement of Chad Mariam Mahamat Nour Minister of the Environment and Water

n behalf of President Idriss Deby, the en main énergique de la protection de l’environ- Government and the people of Tchad, I nement s’impose. C’est pourquoi le Gouvernement would like to thank the Government Tchadien vient d’adopter en son Conseil des Ministres and the people of India for hosting the du 19 février 1998, la “La Loi Cadre sur l’Environ- firstO GEF Assembly so graciously and for the warm nement.” Cette loi sera débattue pendant la session en and brotherly care offered to us since our arrival. cours de l’Assemblée Nationale. Le Gouvernement a I would like, also, to congratulate you, Mr. Chair- mis aussi en place un comité national de suivi et de man, and members of your Bureau on your election contrôle de l’environnement du projet pétrolier qui to conduct this historic Assembly to its conclusion. est déjà à pied d’oeuvre depuis plusieurs mois. Now, Mr. Chairman, Ladies and Gentlemen, allow Afin de suivre les opérations menées par le FEM au me to continue my speech in French which is our Tchad, le Ministére de l’Environnement et de l’Eau official language in Chad. vient de mettre en place le “Point Focal” de cette Le Tchad notre pays est très honoré de prendre part institution, point focal rattaché auparavant au Centre à 1a première Assemblée du FEM. La présente assem- National d’Appui à la Recherche (CNAR). blée nous offre l’occasion de porter à votre connais- La Protection de l’environnement, comme vous le sance les opérations menées par cette institution dans savez ci bien, est aussi inséparable de la lutte contre la notre pays et la politique poursuivie par le Gouverne- pauvreté. Avec un revenu par habitant estimé à US ment du Tchad dans le domains de l’environnement. $160 en 1997, le Tchad fait partie des pays les plus Le FEM intervient au Tchad par le financement pauvres du monde. Le Gouvernement de mon pays d’un certain nombre de projets dont je ne citerais ici est convaincu que la pauvreté est un facteur causal et que quelques uns. Il s’agit entre autres: aggravant de la dégradation de l’environnement. Les ■ De la “Stratégies Rationale et Plan d’action en dégradations majeures sont liées, le plus souvent, aux matiére de Diversité Biologique (SNPA-DB) et rapport activités des couches les plus défavorisées de la popu- de pays à la Conférence des Parties (CP).” lation n’ayant pour seul recours que le prélèvement ■ Du “projet régional pour l’élaboration d’un plan incontrôlé de leurs ressources naturelles pour survivre. d’action stratégique pour le Bassin du Lac Tchad (PDF, Trois exemples illustrent parfaitement mon propos; Bloc B).” il s’agit des problèmes de braconnage, de déforesta- ■ Du “projet de la conservation’’ de Biodiversité et tion et de disparition des ressources halieutiques. En Lutte Contre la Désertification dans la région du effet, les forêts et la faune disparaissent et les ressources Moyen chari.” halieutiques s’amenuisent, prise d’assaut par une popu- Plus de la moitié de territoire Tchadien est déser- lation croissante à la recherche des nouvelles terres tique. Quand on y ajoute la zone sahélienne, ce sont agricoles, de paturage et de protéines animales. les trois-quarts de la superficie: du pays qui en font Face à cette situation périlleuse, le Gouvernement partie. Conscient de la vulnérabilité que représentent du Tchad s’est engagé à utiliser les ressources qui ces écosystèmes (désertique et sahélien) le Gouverne- proviendront de l’exploitation pétrolière pour la lutte ment du Tchad, malgré ses limitations en ressources contre la pauvreté, en les orientant principalement à financières, s’efforce à asseoir une politique efficace l’éducation, à la santé, au développement rural, à la de protection de l’environnement. protection de l’environnement et aux infrastructures. Au cours de ces trois derniéres années, mon pays a Maigre la volonté affichée par le gouvernement de franchi une étape cruciale avec la mise en place d’un mon pays à conduire ses actions vers un développe- cadre institutionnel propre à favoriser la protection de ment durable, la persistance de la pauvreté aggravée l’environnement et le développement durable. Ainsi, par une campagne agricole peu safisfaisante risque en 1995, le Tchad s’est doté d’un Haut Comité Nation- une fois de plus de détourner nos laborieuses popula- al Pour l’Environnement (HCNE), placé sous 1a prési- tions de l’intérêt premier qu’il y a de préserver leur dence du Premier Ministro et composé d’une dizaine environnement. de ministres. En 1997, il a mis en place le Point Focal Aussi, tout en fondant l’espoir que la mobilisation de la Lutte contre la Désertification (PCLCD). en cours au plan international par le Canal du FEM A l’aire de la gestion pétrolière au Tchad, une prise nous offre de lendemain meilleur, je lance ici un appel solennel pour qu’une attention particulière soit Général et Président du FEM, pour la parfaite organisa- accordé au Tchad. tion de cette Assemblée et la grande qualité de la doc- Avant de terminer mon propos, je voudrais adresser umentation mise à notre dispositions. Nous sommes mes vifs remerciements mes chaleureuses félicitations convaincus que notre importante organisation qu’est à son Excellence Mohamed El-Ashry, Directeur le FEM est en des mains sures.

Statement of Chile Benjamin Concha Ambassador to India

n primer luger, señor Presidente, deseo felici- con la preservación del medio ambiente, a fin de tarlo por su elección. Esta constituye una mejorar las condiciones y la calidad de vida de todos garantia para la orientación y conducción de los chilenos. las deliberaciones de esta conferencia y ase- Desde la Cumbre de Rio, Chile se ha dotado de una guraE que sus trabajos producirán resultados útiles y legislación ambiental moderna y una nueva institu- provechosos. Al mismo tiempo, quisiera expresar cionalidad para la protección del medio ambiente, pare nuestro reconocimiento a las autoridades del Gobier- así hacer frente a la gran tarea nacional de recuperar la no de India por la muy amable y bien organizada calidad ambiental, afectada por la acumulación de acogida que nos ha brindado. problemas ambientales durante decadas de abandono. En Gobierno de Chile reafirma ante esta importante En este contexto, el país está poniendo en práctica Asamblea su compromiso con los principios y obje- su política ambiental para el desarrollo sustentable, tivos acordados en Rio de Janeiro en 1992. Nuestro con una invitación amplia a todos los sectores de la Gobierno entiende que el cumplimiento de la Agenda sociedad a unirse al desafio deconstruir un país ambi- 21, y de los demás compromisos de la Cumbre de la entalmente sustentable. Tierra, requieren de la voluntad política de internalizar En este corto período, pare citar sólo algunas de las el concepto de sustentabilidad en todos los ámbitos de 34 líneas de acción de la política del Gobierno, la actividad humana y las políticas públicas; de la hemos avanzado en la recuperación del deterioro creación de vinculos efectivos de cooperación técnica ambiental con planes de descontaminación del aire y y financiera entre las naciones, y del compromiso de del agua en zones urbanas e industriales; en la pre- todos los países de adoptar medidas para revertir el vención, mediante la dictación de un catastro básico deterioro del medio ambiente global, en forma pro- de normas de calidad ambiental y de emisión; en la porcional a su contribución a ese deterioro, respetan- evaluación de los impactos ambientales de los do así los principios de equidad y responsabilidad que proyectos de inversión; en la educación ambiental; y deben guiarnos como ciudadanos de este planeta que en la conservación y uso sustentable de los recursos compartimos todos. naturales a través de la regulación de la pesca y el for- La sensibilidad de nuestro país a los fenómenos talecimiento de la institucionalidad forestal. ambientales globales es creciente. Siendo respons- No obstante estos logros, el camino por recorrer es ables sólo marginalmente de ellos, sufrimos sus efec- complejo y requiere de la creatividad y el compro- tos de manera directa. El caso más evidente es el adel- miso de todos los actores: el sector público, los gazamiento de la Capa de Ozono y el consecuente académicos, los empresarios, los trabajadores, las aumento de la radiación ultravioleta sobre el Cono organizaciones no gubernamentales, organismos de Sur de America, siendo la ciudad de Punta Arenas, bases, y la ciudadanía en general, además de la colab- ubicada en el Estrecho de Magallanes, la mayor oración de países más avanzados, que el nuestro, en población humana expuesta a este riesgo. la gestión ambiental. Desde que recuperamos la democracia, hace tan Chile también ha sido activo en el cumplimiento sólo ocho anos, Chile ha adoptado una estrategia de de nuestros compromisos internacionales asociados a desarrollo sustentable que busea combinar crecimien- las convenciones de Diversidad Biológica, de Cambio to económico, con equidad social y justicia social, y Climático, el Protocolo de Montreal y la Convención de Lucha contra la Desertificación. El año pasado fue tecnológica y financiera, deben ser respetados y pro- aprobado nuestro Plan Nacional para combatir esta fundizados. Apoyamos la continuidad y consoli- degradación. En diversidad biológica, estamos dación del Fondo para el Medio Ambiente Mundial y definiendo las prioridades para la Estrategia Nacional valoramos profundamente la oferta de algunos países y su correspondiente plan de acción. Adicionalmente, desarrollados y otros con economías en transición de hemos desarrollado un sistema de información para renovar sus contribuciones. la gestión en la materia. En los últimos tres años… Sin embargo, es para nosotros evidente que la mag- han creade diez nuevas áreas protegidas, con lo [con- nitud de los problemas ambientales globales supera firm] que alcanzamos un 18% de la superficie del ter- con mucho las capacidades financieras del FMAM/GEF. ritorio nacional sujeto a régimen de protección. Esta- Es necesario, por lo tanto, que los países, como ya mos poniendo en marcha proyectos demostrativos e algunos lo han hecho, entreguen aportes suplementar- innovativos en cumplimiento del Protocolo de Mon- ios y adicionales para la presente etapa del fondo. Pero treal y de la Convención de Cambio Climatico. más significativamente, el futuro del FMAM/GEF Nuestros bosques están también en el centro de depende de la capacidad de integrar los objetivos y las nuestras preocupaciones. Participamos activamente estrategias ambientales globales en las políticas de los en el Panel Intergubernamental de Bosques. Estamos países, de las instituciones donantes y financieras, y del revisande nuestra legislación y hemos finalizado el sector privado. primer catastro nacional de los recursos vegeta- En este contexto, favorecemos la adopción de cionales nativos. medidas que implican mayor eficiencia y agilidad Reconocemos en estas acciones nuestro deber con administrativa en la tramitación de los proyectos y la el medio ambiente mundial y entendemos que la práctica de evaluaciones periódicas y rigurosas. preservación de la salud del planeta es un desafío para Desde nuestra perspectiva, la creciente partici- la totalidad de la humanidad, cuyo éxito estrechamente pación del sector privado en la cartera de proyectos es ligado a la cooperación e integración de los esfuerzos esencial para aumentar su eficacia y sobre todo la sus- de los diferentes Estados, de los organismos interna- tentabilidad de los beneficios obtenidos. Con este fin cionales, del sector privado y de la ciudadanía. La apoyamos el empleo de mecanismos realistas y per- emergencia de la problemática ambiental interna- manentes de financiamiento, incluyendo incentivos, cional ha traído consigo un interés global por dar mecanismos de mercado y subsidios para lograr el solución, más allá del estricto marco nacional, a los involucramiento del sector privado en las tareas de impactos sobre el medio ambiente. conservación y administración requeridas para la Para muchos países en desarrollo, en particular los consecución de los objetivos globales. más pobres, la conciliación entre crecimiento Chile, como país de desarrollo intermedio, está dis- económico y la lucha contra la pobreza, por una puesto a sumarse a los esfuerzos de la comunidad parte, y la conservación del medio ambiente a nivel internacional en la magna tarea de mejorar nuestro nacional y mundial, por otra, supone esfuerzos que medio ambiente mundial, poniendo a disposición la van más allá de sus posibilidades materiales. La experiencia que, al respecto, hemos acumulado en los creación del Fondo para el Medio Ambiente Mundial, últimos años y aprendiendo de los éxitos de los con una modalidad de administración novedosa, fue demás países. Estamos confiados que, con la partici- un hito en la cooperación internacional ambiental, pación de la ciudadanía y sus organizaciones, seremos generando un mecanismo de financiamiento con capaces de acelerar y profundizar la implementación beneficios ambientales globales asociados a proyectos a nivel nacional y global de los compromisos a favor de desarrollo sustentable en los países en desarrollo. del planeta y el medio ambiente global, para el bien Chile considera que los compromisos asumidos de nuestros países y de las generaciones futures de por los países desarrollados, en cuanto a asistencia esta tierra. Statement of China Jin Liqun Assistant Minister of Finance

irst of all, please allow me, on behalf of the ■ Since the beginning of this decade, China’s GNP Chinese delegation, to express our sincere has been growing at an average annual rate of 10%, appreciation to the Government and people and the poverty-stricken population has declined of India for the warm hospitality extended to from 80 million in the early l990s to about 50 million Fall the delegates. I also want to congratulate you on at present. While registering rapid economic growth, your election as the Chairman of the first Assembly China has basically been able to avoid drastic envi- of the Global Environment Facility. I believe that, ronmental degradation, and even improve the envi- under the able guidance of your Excellency and ronment in certain areas. through the concerted efforts of all the delegations, ■ The family planning program has been implement- this Assembly will certainly be crowned with success. ed effectively, and the nation’s natural population As mankind approaches the threshold of the 21st growth rate has dropped steadily. century, to bring what kind of a world into the new ■ The economic growth pattern has begun to trans- millennium has become an issue of universal con- form, and the efficiency in utilizing resources—partic- cern. Six years ago in Rio de Janeiro, the United ularly energy—has increased by a notable margin Nations Conference on Environment and Develop- thanks to scientific and technological advances. ment adopted Agenda 21. For the first time in human Enormous efforts have been made to promote clean history, it set forth, in a comprehensive and systematic production processes. The emission and discharging manner, the program of sustainable development standards are being enforced nationwide, and about and the guiding principles for international environ- 65,000 seriously polluting enterprises have been ment and development cooperation toward the 21st closed down. At the same time, we are implementing century. This historical event marked a new stage in a program of aggregate pollutants control aimed at an the human cognition of environment and develop- effective curb of the increase of the aggregate dis- ment. Since the Rio Conference, “sustainable devel- charge of pollutants during a time of rapid economic opment” has been not only accepted as a concept, growth. In addition, we are focusing on treating the but also put into real practice by governments and seriously polluted areas through the Cross-Century people all over the world. The restructuring and Green Project, and initial success has been achieved. replenishment of the GEF itself is a concrete result in ■ Proactive measures have also been taken to preserve the international environment cooperation after Rio. biodiversity, particularly endangered species. A net- Today, we, the representatives from 161 countries, work of nature reserves has taken shape, covering meet here in New Delhi to demonstrate once again 7.6% of the nation’s territory. In addition, China has our commitment to protecting the earth planet, the strengthened forest protection and cultivation, and a common homeland of mankind. nationwide voluntary afforestation program has been The Chinese Government attaches great impor- under active implementation. As a result, the forest tance to environment protection, and made it one of coverage has risen from less than 13% in 1992 to the basic state policies in the early 1980s. Highly about 14% at present. responsible to the future generations and the interna- As a developing country with 1.2 billion people, tional community, China formulated her own “Agenda China, by doing her own job well, is contributing sig- 21” soon after the Rio Summit, which lays out the nificantly to global environment protection and eco- guiding principles for the holistic planning for and nomic development. While mainly relying on her the coordinated development of the nation’s econo- own efforts to make the headway in promoting sus- my, society, resources and environment. The strategy tainable development, China has also benefited from of sustainable development has been incorporated the support of the international community, includ- into our National Economic and Social Development ing the GEF, in the course of participating in interna- Program. Moreover, it is being implemented forceful- tional environmental cooperation on the basis of ly through a series of effective domestic measures. As equity and mutual benefit. a result, China has made notable progress in environ- In accordance with the GEF instrument, the main ment protection as well as economic and social devel- responsibility of the Assembly is to review the general opment. policies and to evaluate the operation of the Facility. I would like to share with you my observations on the medium-sized projects. But much more needs to be main items of our agenda. done. The procedures for approving the regular invest- The GEF has made certain important progress since ment projects should also be streamlined. Taking this its inception, especially since its restructuring in opportunity, we request the Council to take prompt 1994. As a fund, GEF has provided urgently needed actions to address this issue. We also urge that the assistance to developing countries, enabling them to Secretariat and the implementing agencies continue participate better in the cause of global environment their efforts toward that end, and bring into full play protection. The concessional financing from the GEF, the synergy among them with a view to serving the albeit quite moderate in quantity, is supporting pro- recipient countries better and in a more timely man- jects in developing countries with important demon- ner. We strongly hold that in applying the concept of stration effects. As a mechanism for international the “incremental cost,” transparency should be fur- cooperation in the environment arena, the GEF has ther enhanced and flexibility increased. Particularly, helped enhance the awareness of the international we are of the view that recipient countries that will community about some of the major global environ- actually implement all the GEF projects should be mental issues. It has cemented the concerted efforts given a bigger say in determining incremental cost. of developed and developing countries and some Like other developing countries, we think that the international institutions to address climate change pace of the GEF activities should be accelerated. Up to and to protect biodiversity, international waters and now, the policy framework for the GEF operations has the ozone layer. On this occasion, I want to commend been basically put in place thanks to the efforts of the the Secretariat and the three implementing agencies Council. The capacity of recipient countries to absorb for all the contributions they have made during this and the capacity of the implementing agencies to process. In particular, I want to express my apprecia- deliver have been strengthened over time. And the tion to Mr. Mohamed El-Ashry, CEO and Chairman conferences of the parties of the Conventions have of the Facility, for the constructive role he has played provided more specific policy guidance. All these over the years. developments have created a better environment for There is, however, no room for complacency. the GEF to accelerate its operations. It is our hope that Much more remains to be done for global sustainable the GEF-2 will do a better job in this respect. development. Further efforts by all the parties con- We fully support the “country-driven” principle in cerned are needed if the GEF is to fully live up to its the GEF’s operations. The GEF projects should be in mission. This, we understand, is why we are meeting full conformity with the policies and priorities of sus- here in New Delhi. tainable development of the recipient countries. This The negotiations for the GEF’s second replenish- is an indispensable condition for the success of the ment have concluded, and the donors have reached GEF projects. Therefore, in formulating operation agreement on the size of the replenishment. We policies and designing specific projects, the GEF appreciate the efforts made by the parties concerned. should take into full consideration country-specific But it should be pointed out that there is in fact no situations and listen to the governments and other real increase of funding in this replenishment. The parties concerned in the recipient countries where resources available to the GEF are still far from ade- the GEF projects are located. quate to meet the increasing financial demands for We have noted that in recent years, the GEF, partic- addressing the austere global environmental reality. ularly some of its developed participants, has been In recent years, developed countries, with only a few pushing the implementing agencies to integrate global exceptions, have been reducing their ODA. They environmental concerns into their mainstream pro- have failed to honor their commitment made in Rio. grams and policies. We think that the GEF should act This cannot but be regrettable. We strongly call upon with great caution in this respect. Any effort toward developed countries to take steps as soon as possible “mainstreaming” should be strictly guided by the rel- to change this worrisome situation. At the same time, evant international conventions with full respect for we hope that those donors that still have arrears to the mandates of the implementing agencies. We the GEF-1 will fulfill their obligations sooner rather strongly oppose any attempts to impose conditionali- than later. ties on the financing activities of the multilateral Compared with the pilot phase, the GEF-1 has institutions under the guise of “mainstreaming.” As is improved its performance notably. But there is still known to all, the most pressing task faced by devel- great potential for further improvement. We believe oping countries is to alleviate poverty, develop their that the GEF project cycle and approval procedures economy and raise the living standards of their peo- need simplification. In this connection, we are ple. The international cooperation in the environ- pleased to see that the GEF Council has adopted ment arena must be guided by the fundamental prin- streamlined procedures for enabling activities and ciple of “common but differentiated responsibilities.” Statement of Colombia Jairo Montoya Director General of Multilateral Organizations, Ministry of Foreign Affairs

n behalf of my delegation and in my own Such credibility will be more sound if it is proved name, allow me to express our gratitude that GEF funds are a result of mobilization of new and to the Government and the people of additional financial resources and not just a realloca- India for their kind hospitality. There tion or deviation of resources that the international Ocould be no better scenario than this country, with its community was already directing towards interna- abundant history and values, to hold this important tional cooperation for development. An evaluation in Assembly. India means independence, respect for cul- this regard is a matter of priority. ture, diversity, tolerance and struggle for development. In order that the GEF be consolidated as a basic It is the same struggle of numerous people in the mechanism of global sustainable development, the world in search of progress, solidarity and cooperation. challenges it would face in the 21st century are multi- Our main priority continues to be economic growth, ple. As a matter of priority, my delegation would like resource generation and satisfaction of basic social to formulate some proposals to be incorporated in needs as indispensable requisites to advancement in the declaration of this Assembly: the path of sustainable development. Only under 1. Shareholders’ participation, in particular through these premises will the preservation of environment local communities, in project development and have a sustainable basis, a social foundation and implementation, should be promoted and durable political legitimacy. The deliberations on the strengthened as a main basis to achieve greater achievement and future of the GEF cannot be alien to commitment, public awareness and a greater pro- these imperatives. ject sustainability. Almost seven years after launching the initiative to 2. There is a need to reinforce the focal point activities create a global environment fund and four years after so as to facilitate coordination with implementing its institutionalization, the conclusion is clear. The and executing agencies as well as with those respon- GEF is not an alternative anymore but has become a sible for project implementation at the local level. necessity. It is already an experimental attempt and an 3. The GEF project cycle should be subject to adjust- indispensable tool for international cooperation and ments, with a view to facilitating procedures, thereby development of partnerships. Moreover, it has consti- reducing time and speeding access to resources. tuted itself as a model for institutional reform by 4. Implementation of the incremental cost concept establishing a permanent coordination between insti- should be made flexible, so that the Secretariat, in tutions of the United Nations and Bretton Woods consultation with implementing agencies and the with specific objectives for developing countries. Secretariats of the Conventions, expedites the The first stage of the restructured GEF has proved required work in order to facilitate the submission the potentiality of this mechanism. The number of of recommendations to the GEF Council. projects has increased considerably. In a relatively 5. As mentioned earlier, while welcoming the results short time, programming funds have supplied the of the GEF second replenishment, the need for available resources. For this reason, while welcoming new and additional resources should be emphasized the results of negotiations on the second replenish- to meet the increasing problems of and threats to ment of GEF resources, we should underline the the global environment. importance of their expansion in future as a neces- Four years ago, during the negotiations of the con- sary measure to meet the increasing demand in the stituents of the GEF, the necessity of creating this recipient countries. Assembly was acknowledged on the basis of having a In this context, in order to complete the first phase supreme, representative, participating, transparent of GEF, it is of particular relevance to clear arrears, and democratic organization. This is the first time thus facilitating pending reimbursements and full such an experiment for making decisions has been implementation of projects. A high degree of political carried out. Let us not lose this opportunity, and will and commitment is required for the financial make this Assembly a success. Let us propitiate a basis of the Fund and its credibility to be consolidated. result by which the interests of all participants are integrated in a final consensus. This will be the only the 21st century. It will also be the best homage to option left for the GEF and its institutions to come New Delhi and its people, to their generosity and out politically strengthened, with a clear vision into efforts in making this event a magnificent one.

Statement of Côte d’Ivoire Dieudonné Essienne Ambassador to India

a tenue de la présente Assemblée du Fonds concurrence de 4.000.000 de DTS, soit environ 3,2 Mil- pour l’Environnement Mondial, m’offre l’a- liards de F/CFA pour le Fonds pour l’Environnement gréable occasion de remercier au nom du Mondial-1. Gouvernement ivoirien, le peuple et le Gou- Il convient également de souligner, qu’en con- vernementL de l’Inde, pour toutes les marques d’atten- trepartie, la Côte d’Ivoire a tiré des avantages certains. tion dont ma délégation et moi même sommes l’ob- Il s’agit notamment: jet depuis notre arrivée dans ce grand et beau pays. 1. Du financement effectif de cinq projets par le FEM, Permettez-moi, Monsieur le Président, de vous dont deux nationaux à savoir: le Contrôle et la adresser mes sincères félicitations pour votre brillante réduction de la pollution des fleuves et de la lagune élection à la tête de cette Assemblée. par les végétaux flottants; la conservation et la ges- Je tiens également, à manifester ma profonde recon- tion des Aires protégées (coût: 29 millions de dol- naissance aux membres du Secrétariat du FEM, pour lars américains) et trois régionaux concernant: la les efforts déployés en vue de faire de la rencontre de Vulgarisation de l’élevage de ranch ou de gestion New Delhi, un cadre propice de discussions et participative des ressources naturelles et de la faune d’échanges francs. (Côte d’Ivoire et Burkina Faso), la Réduction des Le Fonds pour l’Environnement Mondial, est en émissions de gaz à effet de serre grâce à l’am Côte effet, un mécanisme financier dont nous avons pour lioration de l’efficacité énergétique des bâtiments la plupart, souhaitée la création dans la mouvance (Côte d’Ivoire et Sénégal); le Contrôle de la pollu- des négociations de la Conférence des Nations Unies tion des eaux et la conservation de la biodiversité sur l’Environnement et le Développement tenue en de l’écosystème marin du Golfe de Guinée (Côte juin 1992 à Rio de Janeiro. d’Ivoire, Bénin, Cameroun, Ghana, Nigéria et L’avènement de cet Instrument financier dont l’ob- Togo) (coût: 16,5 millions de dollars américains), jectif fondamental est le financement des projets envi- soit au total 45,5 millions de dollars. ronnementaux pour la protection et la sauvegarde de 2. Du financement des projets des Organisations Non l’environnement dans le monde, est intervenu en 1990. Gouvernementales (ONG) de Côte d’Ivoire pour la Depuis cette date, les structures chargées d’animer phase pilote et la phase opérationnelle pour lesquelles le mécanisme du Fonds de l’Environnement Mondial, un montant total de 800.000 USD a été mobilisé. ont engagé différentes démarches pour favoriser l’ac- Le constat qui précède et l’exemple de mon pays, cès des pays éligibles, aux ressources de ce Fonds. montrent combien la volonté commune de coopéra- Je voudrais à cet effet, signaler que mon pays a par- tion et la collaboration agissante qui ont jusqu’a ticipé régulièrement aux réunions du Fonds pour présent animé l’ensemble des pays participants au l’Environnement Mondial depuis sa création en tant Fonds pour l’Environnement Mondial, peuvent aider que pays donateur et bénéficiaire, pour marquer sa à résoudre aux niveaux national et régional, les prob- détermination à oeuvrer aux côtés des autres nations lèmes liés a la conservation de l’environnement au du monde. niveau mondia1. C’est pourquoi, le Gouvernement ivoirien, a apporté Je voudrais donc, au nom du Gouvernement au Fonds une contribution financière qui s’élève à ce ivoirien, remercier les pays donateurs, qui ont pour- jour à 1.750.000 de DTS (Droit de Tirage Spéciaux), soit suivi leurs efforts, même au plus fort de la crise environ 1,4 Milliard de F/CFA, pour la phase pilote du économique qu’ils ont traversé, afin de permettre au Fonds pour l’Environnement Mondial et s’est engagé à Fonds pour l’Environnement Mondial, de disposer de moyens conséquents pour répondre à l’attente par le Secrétariat, à l’issue de la onzième session du légitime des pays bénéficiaires. Conseil d’Administration du Fonds. Il importe toutefois, de veiller au maintien de la Je voudrais enfin, souligner ici, que le Secrétariat rigueur et de la transparence qui ont prévalu dans du Fonds pour l’Environnement Mondial, a réalisé un l’affectation des ressources mobilisées auprès des travail immense qu’il convient d’encourager, tout en donateurs. En effet, au moment où le Fonds pour l’exhortant à se concentrer sur les défis nouveaux qui l’Environnement Mondial aborde un tournant décisif émergent. En effet, l’harmonisation des actions con- dans sa croissance, il est indispensable que ses struc- duites par les trois Agents d’exécution, ainsi que la tures s’adaptent aux nouvelles exigences de la recherche de synergies opérationnelles, à travers coopération internationale guidée par la mondialisa- notamment, la promotion de cofinancements impli- tion et la globalisation du village planétaire auquel quant de façon idoine le secteur privé, s’avèrent pri- nous appartenons tous. mordiales à realiser. C’est à ce prix que le Fonds pour C’est pourquoi, je me réjouis de savoir, que tous les l’Environnement Mondial, s’affirmera comme le pays participants au Fonds pour l’Environnement mécanisme financier le mieux approprié pour Mondial ici présents, soutiendront les conclusions et soutenir l’humanité dans sa quête d’un développe- les résolutions pertinentes qui nous ont été transmises ment économique et social durable.

Statement of Cuba Humberto Arango Sales Director, Ministry of Science, Technology & Environment

t is an honor for me to address this assembly as on a concessionary basis. This will require states to show a representative of the Republic of Cuba, in the necessary political will, solidarity, and fairness, in whose name I thank the Government and the line with the principle of common but differentiated people of India for their excellent organization responsibility adopted under the Rio declaration. Iand for the hospitality that they have shown us. The GEF must set an example for the application We are present at what is unquestionably a remark- of these principles, and must distinguish itself by the able occasion, which brings together more than 100 transparency, universality, and flexibility of its opera- countries united in an effort to determine—jointly tions. It must grant unconditional access, for all of its and sovereignly, and on the basis of mutual respect— participants, to new and additional resources that are the destiny of resources (still, sadly, insufficient) to be contributed to the Facility according to the quality used for the financing of programs and projects that and relevance of the programs and projects approved, are country driven, based on national priorities, and and with due attention given to national priorities undertaken in support of sustainable development. and environmental benefits. As was recognized last June at the special session of The relationship between the GEF and the Conven- the United Nations, the picture that we are presented tions must be improved. The Facility has not, however, with today, 5 years on from the Rio Summit, is not at been endowed with the status of a permanent financ- all encouraging. And yet the challenge facing humanity ing mechanism, a status that is necessary if it is to be is even more hazardous and complex. able to respond to the priorities of the Conventions in The differences between developed and developing an increasingly coherent manner and within shorter countries are increasingly significant. Poverty and the time periods. The role assigned to the GEF as a financial deterioration in the quality of life have become more mechanism must be better understood, and more visi- intolerable. How can we ensure, then, that human ble, in order that the mandate given by the conferences beings genuinely become the central focus of sustain- of the parties to the Conventions may be fulfilled. able development? We must make urgent changes in With a view to supporting the attainment of global patterns of production and consumption; we must benefits for the environment, we believe the number promote equitable distribution; and we must promote of regional or sub-regional projects associated with the transfer of environmentally sound technologies, the focal areas of the Facility should be increased. The presentation and approval of projects must be We wish to support the decision to draw up a plan carried out in as simple a manner as possible, and the of action that will allow us to respond to the recom- incremental costs must be evaluated with the flexibility mendations of the study on the overall performance needed to ensure that procedures used in calculating of the GEF, and to convey the opinion of our delega- them do not become barriers to recipient countries tion that the concept of ecological or environmental seeking access to the Facility, nor limit the support security must be precisely defined and adopted for providing resources for the environment within according to political realities, not in terms of finan- developing countries. cial mechanisms.

Statement of Denmark Poul Nielson Minister for Development Cooperation

he Global Environment Facility is a child of GEF is confronted with the same challenge. The the Rio Conference. The GEF is still young, difficulties which we face at the national level, stem- but it has already lived up to many of our ming from conflicting concerns, interests and priori- expectations. ties are, of course, reflected at the international level. TWhat then were our ambitions and expectations? We In GEF and the implementing agencies, we use the wanted to establish an innovative financial mecha- catchword “mainstreaming.” Of course, it is difficult nism that would create global benefits by combining to secure the integration of environmental concerns environment and economic development. Recognizing in all parts of the World Bank, UNDP and their world- the inextricable interdependence, we put equal empha- wide programs. I know from my own experience with sis on the two to promote a truly sustainable develop- the Social Summit that the same goes for the integra- ment. GEF should also be innovative in combining tion of social concerns. International organizations the expertise and the capacities of major existing insti- and their governing bodies must all concentrate more tutions and in making global interests meet with the on mainstreaming and thus on securing consistency needs of local communities and national priorities. in their different policies. But that obligation lies GEF has done just that. It is worth recognizing the even more squarely on member governments. We success. Even more so since the international eco- have a particular responsibility to ensure coherence nomic context and the downward trend in ODA has of our policies and actions in different international not been the most conducive. In my own country, organizations with their different agendas. Denmark, we see this success in the actual perfor- The challenge facing GEF, including the imple- mance of the GEF as the main reason why the replen- menting agencies, is therefore basically a challenge ishment discussions could be finalised with a result facing us, the governments. We must recognize that gives hope for a strengthened GEF. this, and we must do what governments must do. The basic challenge is to integrate environmental That would not only secure the success of GEF, concerns into all policies, economic and sectoral. which in itself is imperative, but it would have a This is a challenge for all of us, developed and devel- much wider positive effect benefiting our societies oping countries alike. Not an easy task: It is an ongo- and the world at large. Coming out of years of dis- ing, never-ending process. But we do see some real cussion, we now have a chance of doing the right progress in Denmark, and we see the same in some of things. That is the real win-win situation of this the developing countries with whom we have close first meeting of the Assembly of the Global Envi- bilateral cooperation. ronment Facility. Statement of Egypt Ibrahim Abdelgelil Head, Egyptian Environmental Authority

t is my great pleasure and privilege to address fully developed an excellent partnership with the this important first GEF Assembly. Please allow GEF implementing agencies and Secretariat. To fur- me to pay tribute to the Government of India ther maximize the benefits of this partnership, we and the organizers of this meeting for the warm would like to emphasize the need for wider dissemi- Iwelcome they have accorded us, ensuring that we nation of information on GEF project procedures and work under the best conditions to bring this impor- operational guidelines, which are still little known to tant meeting to function. a large segment of the stakeholders. We would also This meeting comes at a critical juncture of the GEF like to emphasize the need for increasing the number life span. Economic growth is at the center of any of focal areas and operational programs to cover areas nation’s development. Yet, emphasizing economic of particular importance to developing countries such development irrespective of safeguarding the natural as land degradation and desertification. GEF has to resource base and human development capacity of the play a more active role in claiming the linkages country will be stripping the next generation’s right to between, for instance, climate change, forest clearing, a clean and healthy environment. Environment, greenhouse gas sinks, and land degradation. These indeed, should be regarded as a basic human need issues need to be better defined, as they represent real equal in importance to food, shelter, and security. A and serious problems in many parts of the world, successful development strategy is therefore one that especially the dryland in Africa. minimizes the negative impacts of economic growth Given the pressing local needs of developing coun- on natural resources and ensures that the well being of tries, capacity building is urgently needed to help the people is both a means and end to development. include global environmental issues into national Environmental problems, such as air, water and planning for development. This is not a one-shot soil pollution, respect no divisions of borders, class, process, but it should be looked at as a learning color, gender, or religion. This multi-faceted nature of curve—one that needs patience, determination, and environmental issues has called for involvement of resources. GEF is well placed to play an instrumental several partners, both nationally and internationally, role in this regard, and to devise innovative ways and in order to protect the global environment. The newly means to ensure free flow of information between developed Egyptian environmental policy guidelines different parts of the world. In this context, it is worth emphasize the importance of forging partnership at mentioning that South-South cooperation should be the national, regional and international levels. Thus, encouraged. In our view, GEF-supported projects Egypt is fully committed to play an active role to pro- should utilize to the maximum extent possible avail- tect the global environment, and to ensure a sustain- able local as well as regional expertise. Regional infor- able path for development to the Egyptian people as mation networks and capacity-building programmes well as to mankind. are still rare or missing. These would enhance nation- Egypt is a signatory to the Convention on Biologi- al capacity building and ensure that projects will cal Diversity, the United Nations Framework Conven- meet national as well as regional priorities. tion on Climate Change, and the Montreal Protocol Finally, recognizing the great efforts the GEF has for Ozone-Depleting Substances. Currently, great contributed to its members, and the important role efforts are underway to build national capacity, we envisage for it in the future, Egypt has and will improve institutional arrangements and develop continue to support the GEF in an effort to maintain national action plans to deal with those global envi- a milestone initiative on the path for sustainable ronmental challenges. In doing so, we have success- development. Statement of El Salvador Maria Luisa Rayna de Aquilar Coordinator, Ministry of Environment and Natural Resources

eciban un cordial saludo de El Salvador, el cias financieras que El Salvador ha logrado, han sido más pequeño país de Centroamérica y el de extremadamente discretas e insuficientes para mitigar mayor densidad de población, con cerca de la degración ambiental salvadoreña. 300 habitantes por kilómetro cuadrado, La situación geográfica de El Salvador en en centro Rcondiciones que aunadas a una tradicional cultura de de la zona subtropical de América, favorece al paìs desarrollo de consumo, han contribuido a que este con una elevada diversidad biológica. Un inventario país, poseedor de gran riqueza natural, sufra una preliminar de recursos florísticos indica que este país intensa explotación de sus recursos naturales y man- posee especies endémicas de interés mundial. tenga cifras de una degradacion ambiental que se ha En nuestra reciente Ley del Medio Ambiente se crea calificado como grave en la última decada del pre- el Sistema Salvadoreno de Areas Protegidas. El Sal- sente siglo. vador considera indispensable la consolidación de las Consciente de esa situación, el Gobierno de El Sal- áreas naturales de dicho sistema, ya que forman la vador creó en 1991 su Secretaria Ejecutiva del Medio base para una integración real dentro del Corredor Ambiente y trabajó en la conformación de un mecan- Biológico Mesoamericano y para operativizar progra- ismo financiero local a través del canje de deuda por mas con criterios de sostenibilidad. La mayoria de esas naturaleza, mediante convenios con los gobiernos de áreas naturales están siendo sometidas a presiones Canadá y los Estados Unidos de Norteamérica. para ser convertidas en zones agrícolas y algunas han El año pasado (mayo/97), el gobierno creó el Min- sufrido incendios forestales de manera intencional. isterio de Medio Ambiente y Recursos Naturales, en Las políticas que se formulan en este momento, un momento en que el país trabajaba en una reduc- involucran la participación de las ONG en la adminis- ción de las estructuras del Estado para buscar mayor tración directa de las áreas protegidas e incluyen la eficiencia a través de los procesos de modernización y participación de las comunidades rurales en la gestión privatación. Al mismo tiempo, se conformó el Conse- del desarrollo sostenible. Para la consolidación del Sis- jo Nacional para el Desarrollo Sostenible, presidido tema Salvadoreño de Areas Protegidas, nuestro país por el Vicepresidente de la República e integrado con necesita el urgente apoyo del FMAM. la representatión y participación directa de diferentes El Salvador es signatario de los convenios interna- sectores de la sociedad civil. cionales en materia ambiental y forma parte del Un proceso de consultas nacionales dirigido por FMAM desde 1994. Las iniciativas de nuestro país para nuestra Asamblea Legislativa concluyó, después de el logro de una asistencia financiera ágil y oportuna, cuatro años, con el Decreto de la Ley del Medio Ambi- estarían mejor favorecidas a través de un mecánica ente (mar/98), que contiene el mandato de Formular que nos permita mayor participación dentro de la las Políticas Nacionales en materia ambiental y delega circunscripción a la que pertenece nuestro país. en el Ministerio del Medio Ambiente la inmediata Aprovechamos esta Primera Asamblea General del elaboración de por lo menos cinco Reglamentos que FMAM, para demandar una representación rotativa de daran operatividad a dicha Ley. los países miembros de nuestra circunscripción, ya Por iniciativa directa del PNUD se ejecuta el Proyecto que los mecanismos de comunicación, información y Capacidad 21 para conocimiento, divulgación e inser- parucipación han estado cerrados hasta la fecha. ción de los convenios y acuerdos derivados de la Cum- En razón que los procesos de aprobación de fondos bre de la Tierra; asímimo, con la asistencia financiera de son considerados por los países como muy complicados esa agencia del FMAM, actualmente el país trabaja en la y demasiado burocráticos, abogamos por una mayor formulación de sus Estrategias Nacionales de Cambio asistencia del FMAM en la preparación de solicitudes y Climático y Diversidad Biológica. gestiones de financiamiento, en la que se tomen en A nivel regional, por gestión de la Comisión Cen- cuenta criterios de equidad y cuyo enfoque esté dirigido troamericana de Ambiente y Desarrollo, El Salvador prioritariamente hacia los países que han recibido participó en la Formulación del Proyecto de Corredor menos asistencia y recursos financieros del Fondo. Biológico Mesoamericano, que ha sido base para El Salvador agradece la hospitalidad de la India y lograr apoyo directo en la aprobación y future ejecu- las finas atenciones recibidas de todas las personas ción local de un proyecto sobre la biodiversidad pre- encargadas de organizar esta Primera Asamblea Gen- sente en nuestros cafetales. Sin embargo, las asisten- eral del FMAM. Statement of Finland David Johansson Ambassador, Ministry of Foreign Affairs

r. President, my delegation wishes to and unsustainable demand. In other areas, watersheds congratulate you upon your election are being degraded by deforestation and other unsus- to preside over this Assembly. My dele- tainable land use practices, which are causing severe gation also wishes to join all other del- water shortages. Urgent actions are required to assess Megations in expressing our appreciation to the Gov- status and present trends so as to provide guidance for ernment of India for hosting this Assembly as well as strategic actions on all levels—local, national, river for all hospitality and warmth accorded to us during basin-wide and global. Land degradation is another our stay in your great country. major issue of global significance. The issues to be addressed by this Assembly are All these issues and present trends are threats to serious and are at the top of the global agenda. At worldwide security. In certain cases, they are at the stake is nothing less than the survival of our planet. core of current violent conflicts within countries and One major issue is worldwide poverty. Poverty in between countries. combination with an increasing competition for The GEF has been constituted to address these meagre natural resources brings about a vicious circle issues and to catalyse action, to bring about global of overexploitation and further environmental degra- benefits—in addition to national and local—and to dation and deeper human misery. Our aim is to break leverage increased finance—international and national, this circle by enabling poor communities to partici- public and private. Finland would like to see more pate and to be engaged in productive activities, based development and adoption of environmentally on a sustainable use of local resources, for their own appropriate and clean technologies in developing benefit, providing gradually improving livelihoods, countries and countries in transition. The prime driving employment, income and economic growth. In an force behind transfer of technology and know-how is increasingly interdependent world, poverty is a global the business enterprise sector. Finland therefore wel- issue. Combating poverty brings global benefits. Here comes the recommendations that GEF should do also GEF has a role to play. more to catalyse action in this sector. Involvement of Another overarching issue affecting the security of the business sector is also a precondition for achiev- our common future is the unsustainable consump- ing the objectives set in the Climate Convention for tion and production patterns prevailing in industrial- joint implementation, the establishment of a clean ized countries and other societies experiencing fast development mechanism, as well as for emission economic growth and rapid urbanization. To a large trading between countries in the future. extent, they are also characterized by overexploitation The evaluations and reviews which have been car- of available land, water, energy and industrial raw ried out to enable this Assembly to assess GEF’s per- materials and by unsafe disposal of waste. Present formance point towards satisfactory progress so far in trends point to an increasing pollution of groundwater, setting up the Facility and in the adoption of rules for lakes, rivers and coastal waters, causing serious health governance and strategic direction of its operations. hazards in densely populated areas and irreparable However, this is only the beginning. The needs are by damage to affected ecosystems. far in excess of the means so far. The threats of climate change and disruptions of Finland is pleased to note the successful conclusion weather patterns caused by unsustainable energy con- of the second replenishment of GEF resources and sumption and greenhouse gas emissions have been on the policy recommendations agreed upon. With our agenda for some time. So have the threats to our increased resources, GEF can do more. Another essen- biosphere and life on earth caused by biodiversity loss tial precondition to sustain the gains so far is to make and unsustainable exploitation of sensitive ecosys- GEF a permanent financial mechanism for the two tems. For the same reasons also, protection of the vital major Conventions which it now serves on a tempo- ozone layer remains on our agenda. A major new rary basis. Such a decision by the two COPs, respec- emerging issue is the precarious state of the world’s tively, would further strengthen the confidence freshwater resources. In certain countries, groundwater gained by GEF so far and the ultimate benefit from its aquifers are gradually being depleted due to excessive operations. Statement of France Philippe de Fontaine Vive Director, Ministry of Economy and Finance

ermettez-moi tout d’abord de remercier le l’ouverture aux besoins de l’environnement mondial. Gouvernement Indien pour son accueil. La confiance des pays membres est essentielle au Le fait de tenir notre assemblée dans un fonctionnement de tout mécanisme financier. Le grand pays, engagé depuis longtemps dans FEM a su acquérir et mériter celle de ses membres en laP lutte pour la protection de l’environnement mon- construisant ses compétences, en élaborant dans des dial et confronté aux mutations économiques et tech- domaines très innovants, à partir de données limitées, nologiques de son développement est à la fois un un ensemble de projets, de politiques de financement, privilége et un atout pour nos travaux. Je remercie les d’analyses scientifiques et techniques qui sont sans autorités indiennes, le Secrétariat du FEM et les équivalent au monde. Ce résultat est l’oeuvre com- agences d’exécution pour l’organisation de cette mune des travaux menés avec opiniâtreté, constance assemblée, des réunions associées et particulièrement et professionnalisme par le Secrétariat, les agences pour les visites de projets prévues après nos réunions. d’exécution, le Conseil Scientifique et Technique, C’est en effet en approchant ainsi la réalité de l’action sous l’autorité d’un Conseil équilibré entre bénéfici- du FEM que nous pourrons orienter efficacement ses aires et donateurs. politiques, tout en vérifiant la justesse de son principe La reconstitution des ressources du Fonds est aussi fondateur: le lien étroit qui doit être fait entre le le témoin de la confiance des pays donateurs. Dans développement économique et la protection de l’en- un contexte général de difficultés budgétaires, la vironnement mondial. reconstitution du FEM est la première reconstitution Je suis particulièrement heureux de m’exprimer au de Fonds multilatéraux depuis plusieurs années à nom de la France à l’occasion de la première assem- connaître un accroissement substantiel des ressources blée du Fonds pour l’environnement mondial, dont mobilisées. Ce résultat très satisfaisant manifeste la la création fut proposée il y a déjà neuf ans par mon priorité donnée aux financements du FEM. pays avec l’Allemagne. Je souhaite que cette confiance et cette consolida- Le Fonds réunit aujourd’hui plus de 160 membres, tion soient portées par l’ensemble des membres dans dont 108 sont ici représentés. Cette mobilisation est à les différentes enceintes internationales concernant la hauteur des enjeux de l’environnement mondial. l’environnement mondial. Elle atteste de la volonté de tous nos pays de mettre L’ exigence d’une amélioration constante de l’effi- en oeuvre les engagements politiques pris à Rio puis cacité du FEM est ma seconde préoccupation. L’évalu- dans le cadre des Conventions. Elle témoigne de la ation générale a fait apparaître quelques points faibles place centrale qu’occupe le Fonds dans la réalisation qu’il nous faut améliorer. Je souhaite donc insister sur concrète de ces engagements, dans l’expression de les quelques objectifs qui me paraissent les plus la solidarité entre pays industrialisés et pays en importants: développement pour protéger ensemble l’environ- ■ Une plus grande appropriation du FEM par les pays nement mondial, et dans l’intégration indispensable bénéficiaires du Fonds paraît être la première priorité. de ces préoccupations dans le financement du L’accès aux financements du FEM, la communication développement. de ses préoccupations, les échanges au sein des cir- Cette assemblée est un moment essentiel pour conscriptions de pays bénéficiaires doivent être facil- notre mécanisme, car elle permet pour la première ités pour permettre à ces pays d’être plus directement fois à chacun de ses membres d’adresser directement impliqués dans l’activité du FEM. ses recommandations à l’ensemble de la “famille” du ■ La volonté d’un instrument léger, intégré dans le FEM ici réunie. En tant que pays membre du Conseil, financement du développement, demeure essentielle. la France sera donc particulièrement attentive aux L’intégration des préoccupations et des financements messages de cette assemblée et s’efforcera de les met- du FEM dans les programmes de développement des tre en application au sein du Conseil. agences doit être notre but, en conservant à la struc- Je voudrais pour ma part souligner trots idées essen- ture même du mécanisme son caractère modeste et tielles, qui reflètent les liens étroits qui ont toujours économe et en renforçant la rapidité de ses procédures. existé entre la France et le FEM. Ces trois idées sont la ■ La spécificité de la protection de l’environnement confiance, l’exigence d’une constante amélioration, mondial doit se traduire dans les critères et les modal- ités d’intervention du Fonds. Ce dernier, pour chacun vailler avec rigueur et professionnalisme et pour, de ses domaines d’intervention, doit en effet chercher d’autre part, s’adapter à des défis nouveaux et faire à bien faire ressortir le caractère additionnel des coûts preuve d’ouverture et d’ initiative. Je ne mentionne et des financements; que pour mémoire son rôle unique et précieux d’in- ■ Enfin, le FEM est confronté à un véritable défi pour stance de dialogue et de coopération équilibrée entre développer et diversifier son portefeuille de projets. les pays du nord et du sud. C’est notamment le cas pour les eaux internationales Ces premières années ont naturellement été celles et la lutte contre la désertification (à travers les de la plus forte croissance et de l’éducation de base. fenêtres actuelles du FEM). Je souhaite en particulier Aujourd’hui, nous sommes réunis ensemble pour que le FEM puisse bénéficier de l’impulsion et des passer aux études supérieures. Notre prochaine réu- résultats de la Conférence Ministérielle de Paris, qui nion se tiendra durant le prochain millénaire, c’est sous la Présidence de M. Jacques Chirac, Président de dire l’ampleur des mutations que le Fonds doit la République française, a réuni plus de 80 pays il y a faciliter pour notre bien commun. deux semaines sur le thème de l’eau et du développe- La France apportera encore et toujours tout son ment durable. soutien au FEM pour relever ces nouveaux défis. Elle Ma troisième préoccupation, et c’est très volon- est pleinement engagée en faveur de la protection de tairement que je termine par celle-ci, concerne la l’environnement mondial ici et au sein des conven- place du FEM dans l’organisation générale des ques- tions. Continuons à associer dans nos actions envi- tions d’environnement mondial. ronnement et développement. La France le fait au J’ai eu le plaisir de connaître le FEM à ses débuts, plan multilatéral avec le FEM, elle le fait aussi au plan de participer à sa restructuration et je suis en mesure bilatéral avec le Fonds français pour l’environnement de voir le chemin parcouru, les progrès considérables mondial. Je souhaite que ces fonds se complétent au qui ont été accomplis et la richesse et la qualité de mieux pour l’efficacité collective. l’expérience acquise. Le FEM a selon moi fait la Je vous renouvelle tous mes voeux de succès pour démonstration de ses capacités pour d’une part tra- ces années de reconnaissance du FEM.

Statement of Germany Wolf Preuss Director General, Ministry for Economic Cooperation and Development

n behalf of the German Government, I tion of globally important ecosystems with new wish to thank the Indian Government approaches for economic, social and ecologically sus- sincerely for being the host country for tainable development. India leads developing coun- the first GEF Assembly. It is a great hon- tries in the elaboration of concepts to solve global orO for me to be here and to be one of the representa- problems. India is not only host to the first GEF tives of the—currently—more than 160 GEF member Assembly, but also host country to numerous GEF states. We can be proud to recognize that the first model projects in the four focal areas. It is, by the GEF Assembly here in New Delhi has attracted repre- way, also a partner in the first comprehensive cofi- sentatives from the main international institutions, nancing exercise between Germany and the GEF in a from many nongovernmental organizations, as well solar-thermal power plant in Rajastan. as from other major groups and scientific institutions But I also want to express my appreciation to all from all over the world. who worked together in founding this innovative It is undoubtedly of great symbolic significance institution. In particular, I would like to thank those that this first Assembly of the GEF takes place in developing countries that strongly supported the GEF India. From the very beginning, India has been a key mandate during the first years and which actively country in international efforts to link the preserva- participated in the restructuring of the GEF. This is a very good example of how developing countries have and transforming countries in Central and Eastern taken their share in implementing the “common but Europe towards sustainable development. differentiated responsibilities” agreed upon in Rio. Germany also pursues these objectives by influenc- Last but not least, I would also like to thank Mr. El- ing the policies of the various multilateral organiza- Ashry for his outstanding leadership and dedication tions in which it participates. We take the call for in guiding the GEF. mainstreaming the global environment into the regu- From a global point of view, “environment and lar procedures and programmes of the World Bank development are two sides of the same coin,” as we and UNDP very seriously and will continue to raise say in Germany. In other words, environment and our voice in favour of the global environment in the development are closely linked together and cannot respective governing bodies. be separated. In Rio, an agreement was reached to As the financial mechanism for the Conventions translate the guiding principle of “sustainable devel- of Climate Change and Biodiversity, the Global Envi- opment” into practical work. In order to ensure life ronment Facility is enhancing international coopera- on our planet for future generations, we agreed in tion. It is noteworthy that all parties to the Conven- Rio that the very limited resources should be man- tions agree jointly on the policies, program priorities aged in such a way that the needs of a growing and eligibility criteria for GEF’s activities. Recipient world population can be safeguarded and satisfied and donor countries have equal stakes in the GEF today and tomorrow. Council. This fact is a visible expression of our com- Last year in New York, the United Nations Special mon will to cooperate internationally in the protec- General Assembly took a look at what had been tion of the global environment and work towards achieved in the past five years since Rio. Did we—in sustainable development. developing and developed countries—initiate steps The concept of partnership is also reflected in the which are required to achieve sustainable growth? cooperation of the three implementing agencies, Did we translate our responsibility for future genera- which should continue to be the operational pillars tions into concrete action? of the GEF. The following is quite clear: Increasingly, environ- The independent evaluation of GEF’s work shows mental problems are reaching global dimensions. They that the efforts have been worthwhile: what has been will worsen considerably over the coming decades if achieved is tremendous. The basic principle of “incre- no decisive measures are taken. Humankind has mental cost financing” has passed the test. The well- reached a point where we risk destroying our natural targeted allocations of GEF funds are able to mobilise basis for life. We have to realise that a sustainable substantial funds from other multi- and bi-lateral improvement of living conditions is only possible if it agencies, as well as channelling substantial private fully encompasses the preservation of the very basis investments into sectors of global relevance. The of life on earth. increasing involvement of NGOs and the participation I believe that during the last years many govern- of all stakeholders in the projects and programmes ments in developing and industrial countries have show good results and should be appreciated. Fur- taken first steps to respond to this situation: thermore, I would like to share with you that the ■ Global Conventions on Climate Change, Biodiver- impact of GEF-cofinanced activities on national poli- sity and Desertification have been concluded and cies is also considerable. since ratified by most countries. I am therefore very glad that the second replenish- ■ The guiding principle of sustainability has been incor- ment of the GEF has brought satisfactory results. The porated in many action plans as well as in the develop- volume of US$2.75 billion available under GEF-2 is ment of national policies and their implementation. markedly above that of GEF-1, a rather pleasing fact ■ Many countries established framework conventions in view of the difficult budget situation in many for the implementation of sustainable policies for donor countries. I am also very glad that Germany energy and water. Subsidies were cut and prices applied remains the third largest donor. which more fully reflect the value of these scarce The successful replenishment enables the GEF to resources. continue to operate on a stable financial foundation. ■ Progress was achieved in fighting poverty as a In light of the challenges ahead, this amount seems to major cause of resource depletion and increased pol- be rather small. But it will remind the GEF manage- lution in developing countries. ment to use the funds most effectively and to search Germany is actively involved in these endeavours for financing arrangements with utmost leverage. The and thus contributing to safeguard our future. We policy statement of the donors endorsed by the GEF make great efforts to create a positive link between Council should be considered as a message regarding economic, social and ecological interests. At the same the political will to further improve GEF’s efficiency. time, we strongly support efforts of the developing Although the evaluation concluded “that the GEF has generally performed effectively,” there is still room for ly hinges on political support in donor and recipient improvement. Many of the proposals have been taken countries for mainstreaming global environmental up by Mohamed El-Ashry in his report to the Assem- concerns into development.” bly, which I fully support. The evaluation clearly sets Having said this, I wish the Assembly fruitful delib- the direction which has to be taken. The evaluation erations and the GEF continued success. Although it’s pointed out that the success of the GEF—and I would a small step, it is a step in the right direction for a say of any development financing agency—“ultimate- better future for all of us.

Statement of Ghana Lee Tandoh Ocran Deputy Minister of Environment, Science, and Technology

n behalf of the Ghana delegation, I wish Ramsar sites are not yet ready, the boundary descrip- to join my colleagues who spoke before tions have been done for all five sites (Keta, Songor, me to congratulate you on your election Sakumono, and Muni-Pomadze lagoons and the Den- as the Chairman for the first general su delta); (3) Steady progress has been made in the OAssembly of the Global Environment Facility. Our establishment of school wildlife clubs and the hold- sincere thanks go to the Government of India for gra- ing of environmental awareness campaigns for the ciously hosting this inaugural Assembly and the communities within the various project sites. warm hospitality accorded to my delegation since our Under the GEF Small Grants Programme, twenty- arrival in this beautiful city. two projects have been funded. The projects have Ghana actively participated in the preparatory been mainly in the GEF thematic areas of biodiversity talks and the landmark United Nations Conference and climate change. These include community on Environment and Development (UNCED) held in afforestation, soil conservation, agroforestry, bushfire Rio in 1992. Since 1993, Ghana has been implement- prevention and control, and ex-situ biodiversity pro- ing her National Environmental Action Plan (NEAP). tection demonstration schemes. Many communities This includes three components, namely: have benefited from the GEF Small Grants Pro- 1. Environmental resource management development. gramme, and, since most of the programmes are on- 2. Land and water management. going, we urge GEF to favourably consider the exten- 3. Coastal wetlands management. sion of the programme in Ghana. The implementation of Ghana’s National Environ- The Government of Ghana remains committed to mental Action Plan has generally been successful and the extension of electricity services to every commu- will end this year, 1998. On behalf of the Government nity of five hundred people or more by the year 2020 of Ghana, I would like to thank GEF for assisting our under the National Electrification Scheme (NES). country in the implementation of the following: However, when the NES is completed, many remote 1. Coastal wetlands management aspect of NEAP. communities will still lack electricity. The use of free- 2. Global Environment Facility Small Grants Pro- standing photovoltaic systems and photovoltaic/ gramme. hybrid AC microgrid systems can provide valuable 3. Mamprusi East District Solar Project. electricity services to these communities. The Mam- The Coastal Wetlands Management Project is being prusi East District Solar Project being funded by GEF funded by GEF (US$7.2 million) and the Government and the Ghana Government will provide a new model of Ghana (providing US$1.1 million counterpart to address the electricity-based needs of off-grid com- funding). In spite of some unforeseen problems, munities in Ghana using environmentally friendly some major achievements have been made. These technologies. include the following: (1) Reconnaissance and base- The current drought facing our country has led to line field studies envisaged under the project have an unprecedented energy crisis in Ghana, Togo and largely been completed; (2) Even though formal Benin, since these three countries depend extensively demarcation and gazettement of the five proposed on the Volta River hydroelectric dams located at Ako- sombo and Kpong in Ghana. The Volta River and its four thematic areas of land degradation, international tributaries traverse Burkina Faso, Côte d’Ivoire, Togo waters, biodiversity and climate/energy. and Benin, which are interconnected on the main While we congratulate the GEF on its success and electricity grid in that subregion. The current low level technical competence, Ghana’s delegation wishes to of the Volta Lake has reduced the hydropower gener- draw the following issues to GEF’s attention: ated by about 70 percent. Inevitably, the countries 1. There is an urgent need for further clarification on affected have to turn to less environmentally benign the incremental cost concept and capacity building alternative technologies. The consequential biodiver- in project preparation report drafting consistent sity loss is incalculable. Mr. Chairman, through you with GEF’s requirements. and the Chief Executive Officer of the GEF, I urge the 2. The GEF project cycle needs further improvements. GEF to seriously consider helping the affected coun- 3. In order to promote ownership, GEF should facili- tries jointly develop a Volta River Sustainable Plan tate the participation of local scientific and techni- and comprehensive Volta Lake Management Plan. cal communities as appropriate. Ghana ratified and is implementing many envi- 4. Land degradation in Ghana is serious and perva- ronmental conventions, notably the Rio Conven- sive. This subject requires serious consideration. tions, the Biodiversity Convention, the Convention Furthermore, clarifying the linkages between land to Combat Drought and Desertification, and the degradation and other GEF focal areas is urgently United Nations Framework Convention on Climate required. Change. Ghana unequivocally supports the Global In conclusion, Ghana wishes to reiterate that its Environment Facility as a funding mechanism for the support is unequivocal.

Statement of Guatemala Julio Martini Ambassador to the United Nations

ermitame en primer lugar unirme a las mul- ierno ha puesto en practica medidas concretas: la tiples manifestaciónes de felicitación por su creación del Gabinete Ambiental, el Fondo elección. Estamos seguros que bajo su acerta- Guatemalteco de Medio Ambiente, el Comite de da dirección lograremos los resultados esper- Dirección de Políticas Ambientales y la Comisión adosP de esta primera asamblea general del fondo para Nacional de Implementación Conjunta. Tenemos la el medio ambiente mundial. Mi delegación hace convicción que esta legislación ambiental y las extensiva su felicitación a los dos co-presidentes. nuevas instituciónes creadas incidiran apreciable- También quiero expresarle nuestra felicitación al mente en detener el deterioro ambiental: la defor- noble pueblo de india y su gobierno, por la merecida estación, la erosión de suelos, la perdida de diversi- satisfacción de albergar esta historica reunion; asi dad biológica y la contaminación. como hacer especial reconocimiento al Señor La estrategia colectiva del FMAM y sus resultados, Mohamed El-Ashry, funcionario ejecutivo principal son una prueba más de que es necesario y posible del FMAM, por la organización de esta reunión, fiel abordar las problematicas nacionales desde la visión reflejo de la impecable forma en que ha conducido multilateral. En mi país, son ejemplos claros tres nuestra joven y exitosa institución. proyectos actualmente en ejecución, los cuales ade- El FMAM ha sido muy instrumental en la defini- mas responden al modelo de cofinanciamiento: ción que el Gobierno de Guatemala busca de las prior- ■ La estrategia y plan de accion nacional de biodiver- idades en el sector medio ambiente. Su trabajo ha sido sidad, que definira las acciones prioritarias y mecanis- relevante tambien a nivel del área centroamericana. mos de implementación para conservar y usar la bio- Sus diferentes proyectos e iniciativas han sido determi- diversidad de manera sostenible en el contexto de nantes en los procesos de analisis y foros de discusión. desarrollo económico y los acuerdos de paz. Este Guatemala es uno de los países que necesita proyecto permitira dar cumplimiento a la convención enfrentar grandes desequilibrios ecologicos. El Gob- de la diversidad biológica. ■ Preparación de la primera comunicación nacional y ■ Asegurarse que los países se identifiquen con los plan de acción sobre cambio climatico, para la confer- objetivos de los proyectos. encia de las partes de la convención de naciones ■ Mejorar las actividades que sensibilizan al público unidas sobre el tema. mediante la diseminación de información producto ■ El proyecto de conservación para el desarrollo de las lecciónes recogidas. sostenible Sarstun-Motagua, que comprende nueve ■ Investigar la forma de hacer más flexible y facil para areas protegidas y seis corredores ecológicos con la los países receptores el proceso de determinación de participación de las comunidades en actividades pro- los costos incrementales. ductivas que generen ingresos y que a la vez conser- En general, la confianza que el FMAM ha conquis- ven los ecosistemas naturales, en un area de 12,000 tado de los 163 países miembros, merece el apoyo kilometros cuadrados, en los cuales se encuentran irrestricto de esta asamblea a las recomendaciones varios ecosistemas naturales. formuladas por el por funcionario ejecutivo principal En el plano centroamericano, baste recordar la en su documento GEF/A. 1/8 de fecha 31 de Marzo mención que el Señor Gustave Speth, administrador pasado. del PNUD, en su discurso del dia de ayer, hizo del Es también muy importante que el FMAM fort- Corredor Biológico Mesoamericano de Reservas y Par- alezca los contactos y las comunicaciónes con los ques, calificandolo de un buen ejemplo de la coordi- grupos de representados. En este sentido, seria bien- nación entre las tres agencias implementadoras, venida su acción para estimular el mejor fun- PNUD, PNUMA y el Banco Mundial, agencias a las cionamiento de la representatividad en las circun- que aprovecho para dejar constancia de nuestro scripciónes. La trasparencia y participación son reconocimiento. fuente de una mayor confianza; ya que organos El analisis de los estudios que nos han sido presen- como el consejo del FMAM fueron creados para el tados, nos permite destacar como muy procedente equilibrio en la toma de decisiónes y en la repre- manifestar nuestro apoyo, especialmente a los esfuer- sentación de los miembros. zos del FMAM en: Guatemala, al igual que los países de centroameri- ■ Asegurarse que los proyectos a ejecutar respondan a ca, desean que la organización les permita participar las prioridades nacionales de los países más intensamente en la ardua labor del FMAM en ■ La exitosa realización de la segunda reposición de apoyo de los esfuerzos de hacer del desarrollo recursos del fondo fiduciario. sostenible una realidad.

Statement of Guinée Elhadj Ciradiou Balde Counselor, National Council for the Environment

a Guinée est située a l’Ouest de l’Afrique Occi- La Guinée est divisée en quatre régions naturelles dentale; elle couvre une superficie de 245.857 au relief, au climat et à la végétation bien distincts: km2. Bordée à l’Ouest par l’Océan Atlantique, ■ La Basse Guinée. elle compte plus de 300 km de côte. Elle ■ La Moyenne Guinée. partageL des frontières communes avec 6 pays: la Guinèe ■ La Haute Guinée. Bissau au Nord-Ouest, le Senegal et le Mali au Nord, la ■ La Guinée Forestière. Côte d’Ivoire a l’Est, la Sierra-Leone et le Libéria au Sud. La dégradation de l’environnement se ressent en La Guinée compte 7,2 Millions d’habitants selon Guinée sous toutes les formes: la déforestation, la pol- les résultats de recensement général de la population lution de l’eau, la pollution atmosphérique, etc. Mais et de l’habitation realisée en décembre 1996, contre l’Etat guinéen fournit des efforts pour remédier à cet 4,7 Millions d’habitants en 1983, le taux moyen d’ac- état de choses. croissement annuel de la population est de 2,8%. A titre d’exemple, la Guinée est dotée d’un impor- Si cette tendance se maintient, la population attein- tant cadre juridique en matière de protection de l’en- dra en l’an 2010 un chiffre de 9,6 Millions d’habitants. vironnement qui comprend entre autres: le code de l’environnement, le code domanial, le code de l’eau, effet de serre en Guinée et à ce pays de s’adapter le code forestier, le code maritime, le Plan National aux changements climatiques. d’Action pour l’Environnement (qui est actuellement 4. Préparation d’un plan national pour remédier aux le cadre de référence pour la protection de l’environ- changements climatiques et à leurs incidences nement en Guinée). défavorables. Mais les moyens financiers sont insuffisants pour 5. Préparation d’une première communication mettre en oeuvre cet arsenal juridique, d’où la nécessité nationale de la Guinée à la Conférence des parties. pour la Guinée de renforcer la coopération avec le FEM. En dehors de la préparation de la communication de la Guinée à la conférence, le projet devrait susciter ETAT DE COOPÉRATION DE LA RÉPUBLIQUE DE une prise de conscience et une meilleure connais- GUINÉE AVEC LE FONDS POUR L’ENVIRONNEMENT sance des questions liées aux changements clima- MONDIAL-FEM tiques en Guinée et devrait améliorer la concertation, Le FEM créé en 1991 et restructuré en 1994, a com- l’échange d’informations et la coopération entre tous mencé à impliquer la Guinée dans son processus de les acteurs, notamment les administrations, les organ- mise en oeuvre depuis son premier Atelier sous isations non gouvernementales, les milieux universi- régional de Bangui (République Centrafricaine) en taires et le secteur privé. 1991 par la participation du Point Focal National de En outre, la Guinée est impliquée dans la mise en la Guinée audit Atelier. ceuvre d’un projet sous régional dans le cadre du pro- Dès lors la Guinée avait soumis certains projets au gramme d’activité mondiale pour la protection du FEM pour financement, parmi ces projets, celui de la milieu marin. Ce projet doit être financé par le FEM. monographie de la diversité biologique dont sa pre- II consistera en l’inventaire des sources et activités de mière phase a été financée en 1995 par le FEM, en pollution marine d’origine terrestre en vue d’amener les collaboration avec le PNUE (Programme des Nations gouvernements concernés à adopter des stratégies, des Unies pour l’Environnement). mesures efficaces et réelles de protection dans le respect La première phase de ce projet a produit un docu- des traités internationaux de développement durable de ment reflétant l’état de la connaissance documentaire l’environnement marin et de ses ressources biologiques. de la diversité biologique du pays et les préoccupa- La Guinée a été informée par le PNUE de l’idée de tions des gestionnaires et acteurs des processus de projet du centre d’information sur les projets FEM conservation et de mise en valeur des ressources intégré au système d’information infoterra sous l’au- naturelles grâce à une revue la plus exhaustive possi- torité du Point Focal National du FEM dans le cadre ble de la documentation disponible par la collabora- de la création d’un réseau pilote d’information du tion étroite avec tous les détenteurs de l’information. FEM, et la Guinée avait exprimé son souhait d’ap- Par ailleurs, deux projets ont été adoptés pour la partenir aux pays pilotes, car elle fait partie des pre- Guinée en 1997, ce sont: miers pays qui participent à la mise en oeuvre du 1. La deuxieme phase du projet sur la diversité FEM. biologique pour une durée de 1 an. Ce projet Trois autres projets ont été soumis au FEM pour procédera à l’évaluation des informations réunies financement et qui n’ont pas eu de suite, ce sont: par la première phase et l’élaboration des strategies 1. Le projet sur la participation populaire à la lutte et plans d’action de conservation et l’utilisation contre la désertification au Nord-Est de la Guinée durable de la diversité biologique. en 1996. 2. Aide à la Guinée pour la préparation de sa première 2. Le projet sur 1’expérimentation des Unités de fabri- communication nationale au titre de ses engage- cation de la glace par énergie solaire pour les zones ments en vertu de la Convention Cadre des rurales en Guinée en 1997, dans le cadre de tech- Nations Unies sur les Changements Climatiques nique ISSAC (un nouveau système frigorifique pour une durée de 2 ans. solaire) favorable à la protection de l’environ- Ce projet permettra à la Guinée de préparer sa pre- nement mondial. mière communication nationale à la Conférence des 3. L’idée de projet sur la conservation de la biodiver- parties à la Convention Cadre des Nations Unies sur sité des Monts Nimba classés site du Patrimoine les Changements Climatiques (CCNUCC). Le projet Mondial en 1997. comprendra les elements suivants: La Guinée a notifié son engagement au FEM en 1994. 1. Un inventaire des gaz à effet de serre, mener selon La Guinée accorde une grande importance au les directives adoptées par la Conférence des parties. Fonds pour l’Environnement Mondial, c’est à ce titre 2. Une évaluation des incidences potentielles des qu’elle a mis la structure du FEM au niveau de son changements climatiques en Guinée. Conseil National de l’Environnement en 1997 et 3. Une analyse des mesures qui permettraient de nommé un Coordonnateur qui est en même temps le réduire l’augmentation des émissions des gaz à Point Focal National du FEM. Le Point Focal National du FEM continue à informer davantage sur l’existence du FEM, ses procédures et et à sensibiliser les différents Ministères, le secteur modalités d’intervention. privé, les ONG, etc. sur l’élaboration des projets à ■ La Guinée souhaite participer régulièrement aux soumettre au FEM pour financement. rencontres sur le FEM. ■ La Guinée souhaite que le FEM accorde une forma- LES DIFFICULTÉS RENCONTRÉES PAR LE POINT tion de courte durée par exemple trois mois en anglais FOCAL NATIONAL ET POLITIQUE DU FEM POUR aux points focaux nationaux connaissant bien le LA MISE EN OEUVRE DU FEM mécanisme du FEM mais qui sont limités en anglais, ■ La Guinée participe peu aux différentes rencontres car la plupart des documents du FEM sont rédigés du FEM. intégralement en anglais. ■ La plus grande partie des documents de travail ■ La Guinée souhaite que les documents du FEM volu- parviennent en anglais, or la langue officielle de tra- mineux rédigés en anglais soient résumés en français, vail en Guinée est le francais, donc le probleme se cette proposition a été déjà exprimée par la Guinée pose pour l’accés rapide à l’information. lors de l’Atelier sur le FEM de mai 1997 à Bamako. ■ Le Point Focal National n’a pas les moyens propres ■ La Guinée sollicite auprès du FEM une assistance d’équipement et d’information, à savoir: ordinateurs, financière pour l’équipement de son Point Focal fax, internet, etc. National. ■ Le micro financement du FEM, n’est pas encore ■ La Guinée souhaite que le programme micro opérationnel en Guinée. financement du FEM soit opérationnel en Guinée. ■ Les lettres dtinvitation aux réunions du FEM, LES PROPOSITIONS ET SUGGESTIONS AU FEM doivent indiquer explicitement les points focaux ■ La Guinée sollicite auprès du secrétariat du FEM la nationaux qui maîtrisent le mécanisme du Fonds tenue en Guinée d’une rencontre sur le FEM, afin que dans les pays bénéficiaires au lieu de dire “Représen- tous les acteurs concernés par la protection de l’envi- tants ministériels ou de haut niveau connaissant bien ronnement mondial soient informés, sensibilisés le FEM.”

Statement of India Suresh P. Prabhu Minister of Environment and Forests

n behalf of the Indian people, I extend a place a great financial burden on developing coun- very warm welcome to all of you. I hope tries, for which they would need considerable tech- that your stay in the historic city of Delhi nological and financial assistance. GEF has emerged will be a memorable one. I am happy as one of the most important funding mechanisms to Othat this Assembly meeting provides us a forum deal with environmental problems. where we can have a meaningful dialogue on the Independent India has traveled a long way on the operations and expectations from GEF, particularly path of modernization and industrialisation. From from the developing country perspective. Mr. Chair- the very beginning, we are committed to the goal of man, on behalf of the Indian delegation, allow me to providing a better quality of life to our citizens with congratulate you on your election as Chairman of the better health care, widespread education, clean drink- Assembly. All of us are confident that under your able ing water, housing, etc. Despite our many and varied guidance, this meeting will be a great success. problems, we have still been able to take very impres- The Rio Summit of 1992 brought into focus the sive strides in the improvement of the socioeconomic relationship between environment and development. conditions of our people, even though much still It acknowledged that sustained economic growth and remains to be done. The economic development that eradication of poverty constituted overriding priori- has been achieved has brought in its wake many ties for developing countries. It also recognized that unwanted consequences with effects on our natural meeting the environmental objectives of Rio would resources. The forest cover has diminished, even though marginally. Our rivers are affected by pollu- to the entire country, in a programme known as the tion. Mining and other industrial activities have led National River Action Programme. The programme to the degradation of land, and air pollution is a mat- has the objective of improving the water quality of ter of major concern in the urban areas. Our success rivers by treating the domestic sewage and industrial would be determined in our ability to meet these and effluents before their discharge in the river. other challenges. On the issue of air pollution caused by vehicles, Despite a planned approach and commitment of government has initiated various programmes such substantial resources for meeting civic needs of our as tightening emission norms for new vehicles and urban areas, the increase in urban population has put introduction of cleaner fuels and catalytic converters tremendous pressure on civic amenities. Manage- for vehicles. The programme for the introduction of ment of municipal and industrial waste water as well unleaded petrol and catalytic converters which as solid waste is a matter of urgent concern. presently covers only a few cities would be extended Another area of priority is the energy requirement to all the cities. for the large population of our country. On the one India is also party to various environment–related hand, we are making our best attempts to supplement conventions such as the Montreal Protocol on Ozone– the heavy dependence on biomass resources for rural Depleting Substances, the Framework Convention on energy and emphasising the importance of a shift Climate Change, the Convention on Biodiversity, from the biomass resources for energy to commercial Basal Convention on Transboundary Movement of energy whether from hydel or thermal sources. At the Hazardous Wastes and the Convention to Combat same time keeping in view the major environmental Desertification, among others. India has been pursu- consequences of energy from these sources, we have ing its commitments under the various Conventions also taken bold steps to limit emissions by appropri- vigorously by initiating various measures nationally ate environmental impact assessments of projects and by taking several important initiatives in the and the application of environmentally sound tech- region. To name a few, we hosted the First Asian nologies. India greatly appreciates the funding avail- Regional Conference on Desertification in India and able from GEF in this focal area, and I am happy to the SAARC Environment Ministers Conference. The say that we have been able to pose several appropriate overall objective of GEF of addressing the important projects to GEF in the area of energy. global issues under the various Conventions through In spite of the pressure of a growing population, its mechanisms is being carried out by India by the India has committed extensive resources towards successful implementation of GEF projects. conserving its extensive forests and wildlife. While India has initiated various projects with GEF assis- nearly one-fifth of the total land area is covered by tance in the areas of energy efficiency, renewable forests, we have before us the objective of achieving a energy and biodiversity. The GEF portfolio in India further 13 percent forest cover. Through our wide- is diverse and varied. As of January 1998, a total of spread network of national parks and sanctuaries, we US$142.38 million under GEF has been programmed have been successful in the preservation of key for India. India is the second highest recipient of GEF species, such as the tiger and the elephant, in the face funding. Under the Small Grants Programme, 24 pro- of many difficulties. jects have been funded to the tune of US$300,000. All these objectives are well supported by legisla- Encouraged by the success and response to the pro- tive and regulatory measures which are aimed at the gramme, the second phase has commenced. India is preservation and protection of environment. Some of in a unique position in that it is a donor as well as a them are the Air (Prevention and Control of Pollu- recipient country. In 1994, India contributed around tion) Act of 1981, the Water (Prevention and Control US$9 million and has again pledged the same amount of Pollution) Act of 1974, the Environment (Protec- during the February 1998 replenishment consultation. tion) Act of 1986 and the Forest (Conservation) Act We are gathered here to review the GEF operations of 1980. Besides the legislative measures, a National and to discuss ways of bringing about the required Conservation Strategy and Policy Statement of Envi- changes. With this objective in mind, I would like to ronment and Development, a National Forest Policy make a few observations. I think we are all in agree- and a Policy Statement of Abatement of Pollution ment that the operational programmes under the have evolved. We are also in the process of formulating GEF refer to dynamic sectors and activities. I would a National Action Plan on Conservation of Biodiversity. like to suggest that in the context of this dynamism, Many important policies and programmes are in there is a need for looking upon the sub-programmes force which are geared to the task of protection of the within the sectors with the required flexibility, while environment. One of the biggest river cleaning pro- also keeping in mind emerging needs. We understand grammes in the world has been taken up in our coun- that GEF is working on programmes for new and try starting with the Ganga basin, and now extended emerging technologies which would get opera- tionalised soon. The GEF mechanism has to be flexi- many others, a single pilot or demonstration project ble enough to fund projects in areas of such emerging in one area is hardly able to make an adequate technologies. impact within a short or medium timeframe. Here Many of the developing countries are faced with the solution does not lie only in replication, unless the complex and difficult situation of dealing with the adequate resources are available. GEF should, there- criteria of agreed full incremental costs calculated in fore, consider adopting a suitable approach on a terms of global benefits, which has remained elusive. case-by-case basis. I would like to invite discussions India’s general response has been that the concept on all these important aspects, which are viewed should be made as flexible and pragmatic as possible. with great concern by the developing countries. Especially when seen in the context of biodiversity I have been informed that a large amount of invest- applications, the nature of biodiversity valuation ment has been generated through co-financing of GEF makes this task very difficult. There are further com- projects and that, on an average, GEF funding repre- plicating factors, such as establishing a discount rate sents less than 20% of total project costs. While this is for biodiversity loss, valuing the benefits of biodiver- a laudable achievement on the face of it, it should be sity conservation and sustainable use, and lack of a viewed against the background of decreasing interna- complete understanding of the ecosystem structures tional ODA assistance to developing countries. We and functioning. Another primary problem is the strongly urge the developed countries to take account determination of a representative baseline cost. A sim- of this situation and to see whether in fact there is a pler cost calculation method needs to be developed. possible diversion of ODA funds to GEF which would I would like to seek your indulgence for sharing take away from any claim towards the avowed objec- our concerns on the lengthy procedures for project tive of providing new and additional funds. approvals. Normally, any project would have to be An issue of great concern for the developing coun- placed for the Council’s approval at least three times, tries is the lack of fulfillment by the developed coun- and the disbursement of funds sometimes takes as tries of their commitments at the Rio Summit regard- many as 2–3 years. There is a need for greater simpli- ing new and additional financial resources and the fication and delegation of authority based on a prag- transfer of environmentally sound technologies. matic approach. These commitments are also the underlying basis of I would also like to point out that there is a need all the important environmental Conventions also. for greater flexibility in the GEF operational strategy. Six years after Rio, we are today faced with the crucial Strategies on important issues like vehicular pollu- realisation that we must readily and whole-heartedly tion, ecosystem conservation, management of lakes, face the global environmental challenges and accept wetlands and mangroves, and integrated coastal the paramount need for concerted activities in order management need to be fully operationalised early. to address these challenges. Let us review the GEF There is a need for easier access to GEF funds. There work, keeping the spirit of international cooperation is also considerable need for priority being given to as our guiding principle for fostering action to protect national objectives. In vast countries like India and the global environment.

Statement of Indonesia Makarim Wibisono Ambassador to the United Nations

et me begin by extending my delegation’s delegation’s profound gratitude to the people and sincere gratitude on your assumption of the the Government of India for hosting this important Chairmanship of this meeting devoted to meeting and for the excellent facilities they have the first Assembly of the Global Environ- provided. Lment Facility. I would like to congratulate your dis- I hope that this Assembly will prove to be a very tinguished colleagues in the Bureau on their respec- great success, and in this regard I sincerely thank Dr. tive elections. I would also like to convey my Mohamed T. El-Ashry, the Chief Executive Officer and the Chairman of the GEF, including his staffs for the support by the GEF will tremendously improve their kind efforts in making this Assembly possible. conservation awareness, while at the same time pro- Indonesia attaches great importance to the Global vide training and extension services to the villagers, Environment Facility as a unique financial mecha- and ultimately would help in monitoring and evaluat- nism. After its inception in 1994 through the estab- ing biological diversity conservation and development lishment of its instrument, the Global Environment projects in the regions. Facility has made a great contribution to the develop- Let me now turn briefly to our activities in meeting ing countries in protecting the global environment the climate change problem. Indonesia ratified the UN with respect to global warming, pollution of interna- Framework for Climate Change Convention (FCCC) tional waters, destruction of biodiversity, and the on August 23, 1994. In order to help fulfill its FCCC depletion of the ozone layer. We have fully taken into national commitments, Indonesia initiated two green- account the success achieved by the implementing house gas (GHG) mitigation strategy studies. The Asia agencies, UNDP, UNEP and the World Bank, in Least-Cost Greenhouse Abatement Strategy project, responding to the needs of the beneficiaries. financed by UNDP/GEF, has examined Indonesia’s Being critically affected by the unfortunate episode GHG emission-reduction option in an Asia regional of El Niño Southern Oscillation, as a result of which context. The relevance of photovoltaics as a green- Indonesia has received a much lower level of rainfall house emissions abatement option for Indonesia is this year than the normal, we are in the danger of clear. In Indonesia, $75 million of World Bank and facing a drought-like situation in the recent months. GEF funds are financing the largest single photovoltaic We believe that the assistance and support provided solar home system project in the world, expected to by the international community, including the GEF, reach 200,000 homes. This, I believe, not only reflects will help us in overcoming this problem. We also what the World Bank Group’s mission has accom- express our deep appreciation to the international plished, but also accelerates technology transfer to a community, especially the World Bank, UNDP and developing country, particularly in the area of renew- UNEP, for their kind assistance in combating the forest able sources of energy. As a zero greenhouse gas-emit- fire disaster in our country. ting technology, the solar home system has several The United Nations deserves our special gratitude options for meeting energy demands. for its quick response to the recent forest fire raging My delegation sees a great merit in promoting part- in Indonesia. The UN Secretary-General’s initiative to nership as an important objective of the GEF. I develop a coordinated international response to forest believe that the real test of partnership depends on fire management in Southeast Asia had been well mobilization of sufficient financial resources, the pro- received at the UN Administration Coordination vision of new and additional funding, and the trans- Committee. This is a good reflection of their under- fer of environmentally sound technologies. We also standing of our problems. consider that GEF projects and its policies should be It is encouraging to note that the World Bank in line with national needs and priorities. I believe through the GEF has fully dedicated its efforts to assist this is a more effective way of bringing the environ- Indonesia in safeguarding its future environment. Suf- mental patterns of recipient countries closer to the fice it to say that, on biological diversity, the GEF has GEF-implemented projects. already initiated and supported the Kerinci Seblat In conclusion, we earnestly hope that this Assem- Integrated Conservation and Development Project. bly will give a renewed and decisive momentum to This project is integrating park management and con- the implementation of GEF programs. Only then can servation besides taking local and regional develop- we jointly combat environmental problems through ment initiatives. Since this effort will stabilize land use global partnership and mitigate the possible disasters outside the park by promoting local community and in a more assured and confident manner for the alternative livelihood activities, I sincerely believe that mutual benefit and common future of mankind. Statement of the Islamic Republic of Iran Mohammad Javad Zarif Deputy Foreign Minister for International and Legal Affairs

he emergence of a more propitious interna- The new GEF has been able to provide funding for tional environment following the collapse projects in a large number of developing countries. of the bi-polar world has provided the possi- The magnitude of the problem, however, calls for a bility for joint quest, on a global scale, for more vigorous effort on a much larger scale. This first solutionsT to common problems facing humanity. GEF Assembly provides us with a unique opportu- Efforts towards setting standards of behavior in the nity to discuss the policies and operations of GEF; its post Cold-War era—based on the rule of law and com- strengths and weaknesses; as well as possible ways mon, but differentiated, responsibility of global and means to increase the effectiveness, quality, and actors—have gained momentum and aroused unprece- efficiency of its activities. In this respect, I would like dented enthusiasm over the past several years. As the to bring the following points to the attention of this first in a series of high-level world conferences held august gathering. In our view, their serious considera- since 1990 to address a wide range of pressing issues, tion by the Assembly is imperative for a stronger and the United Nations Conference on Environment and more effective GEF. Development was indeed a timely response to the for- Solid and timely replenishment of GEF, commen- midable challenges involved in this field. surate with global environmental goals and based on The Rio Summit and its outcomes, in particular national priorities, must be ensured. Replenishment Agenda 21, raised great hopes at all levels and created a should not be linked to any other issue which may great momentum towards the realization of sustain- act, even inadvertently, as conditional in one form or able development. As clearly underlined by the inter- another. In this respect, the major contributors must national community in the course of the UNGASS last be urged to pay their arrears. year, the state of the world environment continues to A more focused policy and program, together with an deteriorate. In the words of President Khatami, institutionalized scrutiny of the scope of the activities of addressing the recent ministerial meeting of the the GEF-wide system, would render the Facility more Regional Organization for the Protection of Marine practical and manageable. The thrust of the system Environment in the Persian Gulf area, “Today, the must be to meet the requirements of operational activi- threats posed to the human life by the polluted envi- ties of GEF—as mandated by the GEF instrument— ronment are greater than those of destructive wars.” rather than building a new “Center of Excellence.” And yet, the global response seems to fall far short of In addition to the four focal areas assigned to the the mark. While elaboration of international legal Facility, there are other areas which enjoy internation- instruments and agreements has been pursued with al dimension, and hence, fall within the purview of its unparalleled vigor, fulfillment of commitments under- activities. Therefore, consistent with its mandate, GEF taken in Rio and within the framework of Agenda 21— could and should examine the need to increase the including in the field of environment protection—are number of focal areas and operational programs to yet to be realized and translated into practical action. include, inter alia, desertification and afforestation. Effective and meaningful protection of the global envi- Incremental cost is a key concept in GEF financing. ronment does indeed require provision of adequate Despite lengthy discussions on this subject in the past financial resources and transfer of environmentally and the approval of a decision by the GEF Council, it sound technologies and corresponding know-how, still continues to be a complex and controversial issue. information and data to the developing countries. In our view, supporting projects with both domestic Within this general framework, the establishment and global environmental benefits would make the and restructuring of the Global Environment Facility Facility more responsive to its mandate as well as to can certainly be considered among the significant the real needs in the field. Our collective efforts achievements of the international community in the towards harmonizing GEF projects with national sus- field of joint efforts geared to the protection of envi- tainable development needs and priorities would accel- ronment. Although only 4 years old, it has a positive erate the integration of environmental concerns into performance to its credit; a record to be cherished the national development policies and programs. This and preserved and, most certainly, to be further would further contribute to the post-project sustain- entrenched and strengthened. ability of GEF-supported projects. Against this back- drop, a flexible approach to incremental costs that To sum up, let me just catalogue the issues which we allows a balance between GEF objectives and national believe require our collective focused attention and priorities is recommended. In other words, without concerted efforts of the Facility. Though not compre- prioritizing the concerns of one or the other, a bal- hensive, the list of issues includes: new and additional anced approach must constitute the frontispiece of financial resources; transfer of environmentally sound GEF policies and operations. technologies; expansion of the areas of GEF support; The lengthy and complicated process of project balance between local and global benefits of GEF-sup- cycle and approval continues to impede the access ported projects; mobilization of private funds as sup- of recipient countries to GEF funding. Facilitated plementary to GEF resources; ensuring financial sus- and simplified procedures are necessary to expedite tainability of GEF projects; separation of GEF resources this process. In this connection, any condition from allocations to development cooperation; which further complicates this process should be strengthening of the role of UNEP; simplifying and avoided. shortening the procedures for the GEF project cycle; The transfer of environmentally sound technolo- adoption of a more flexible approach to the concept of gies should constitute one of the main areas of focus incremental costs; effective participation of recipient and attention of the Facility. However, a number of countries in various stages of the project development concerns have to be borne in mind. While sustain- process as well as in the calculation of incremental ability of innovative or risky projects involving high- costs; increased transparency in all GEF activities; a tech or state-of-the-art technologies needs to be care- higher degree of consistency with the guidance of the fully examined, it seems advisable for the Facility not COPs of Conventions; and extension of support to the to recommend or encourage the use of untried tech- improvement of existing technologies, such as fossil nologies or those which might have adverse social fuel technologies, as well as to the promotion of the and economic impacts on the recipient countries. use of cleaner sources of energy, such as natural gas. Technological approaches should, in any eventuality, In conclusion, let me express our most sincere grat- be consistent with country-driven priorities. More- itude and appreciation to the people and Govern- over, recipient countries should be assisted, including ment of India for their warm hospitality and excel- through expansion of national capacity, in develop- lent arrangements for this gathering and wish every ing, manufacturing and maintaining technologies success for this Assembly in the pursuit of its noble which would certainly help ensure long-term success objectives. I cannot close this statement without a of the efforts undertaken. Put in a nutshell, limited word of our appreciation for the devotion, persever- GEF resources should be provided to cost-effective ance and valuable contribution of Dr. Mohamed El- programs and proved technologies with ensured Ashry, the distinguished Chief Executive Officer and effectiveness and efficiency. Chairman of the Global Environment Facility.

Statement of Ireland Damien Boyle First Secretary, Department of Foreign Affairs

nternational cooperation to protect the environ- sity loss, ozone layer depletion, deforestation and ment and deal with global environment prob- many others—cannot be resolved by isolated action lems has intensified substantially in recent by individual countries or even groups of countries. years. This reflects the reality that environmen- Sustained and broad-based cooperative action within Ital problems do not respect national boundaries and and between all countries is needed. Globalisation, that cooperation at the regional and broader interna- and particularly the increasing global interdepen- tional level is essential if the world community is to dence of economic activities, increases further the adequately and effectively deal with threats to our need for a coordinated international response to common global environment. Many of the main environmental problems and particularly those with environmental problems—climate change, biodiver- a global dimension. Agenda 21 and the growing number of interna- focus more on implementation. The GEF is a crucial tional conventions in the environment area which element of the Rio process—one which serves to provide the framework for environmental coopera- translate principle and commmitment into practical tion have also endorsed the principle of a common cooperation for environmental protection and sus- but differentiated responsibility for the global envi- tainable development. It also epitomises the Rio com- ronment and for dealing with the environmental mitment to the provision of new and additional problems which threaten the ecological balance of resources. The agreement on the second replenish- our planet. This principle recognises: ment of the GEF is both a reflection of that and a ■ That the overriding goal of developing countries strong vote of confidence by the international com- and indeed of Agenda 21 is to break the vicious circle munity in the GEF and its achievements to date. of poverty, population growth and environmental Ireland has cooperated substantially in international degradation. action to take forward the Rio process and has actively ■ That developed countries have to take the lead in implemented Rio conclusions at the national level. dealing with environmental threats. We have also integrated environmental considera- In recognising the legitimate needs of developing tions into our development cooperation programme countries for increased economic and social develop- and have adopted measures to honour the Rio com- ment, we should not, however, give support to the mitment on finance. Our aid expenditure has more mistaken view that protecting the environment limits than trebled in size since 1992. New and additional economic development opportunities or that envi- resources have been provided for expenditure on key ronmental protection can await the availability of conservation and development sectors identified in resources generated by economic development. The Agenda 21. As part of that process, Ireland is pleased reality is that a high-quality environment is funda- to participate in this Facility and to have increased its mental to a healthy economy and a high quality of contribution well beyond its basic share under the life. The economic and environmental dimensions of second GEF replenishment. sustainable development are mutually supportive. It Much has already been achieved within the rela- makes both economic and environmental sense to tively short period of the GEF’s existence. We must maintain a high-quality environment and to limit now build on the firm foundations which are already environmental impacts. in place. The reports and reviews now before this The GEF is playing a crucial role in a very practical Assembly point to where improvements can be made way in promoting international cooperation on envi- and provide us with an excellent basis on which to ronmental matters and in assisting developing countries proceed. We need to draw on the lessons learned to pursue a sustainable development path. As the CEO’s from project implementation in order to achieve report on policies, operations and the future develop- greater efficiency and effectiveness in the use of GEF ment of the GEF indicates, the Facility is more than a resources. We must seek to enhance the growing level channel for project financing. It provides a network to of cooperation and coordination between the imple- disseminate and share environmental science, knowl- menting agencies. We must give greater considera- edge and experience. It also supports capacity building, tion to such crucial issues as long-term project sus- facilitates the transfer of technology and leverages tainability. We must seek to promote greater investments that might not otherwise be made. involvement by the private sector and still greater The international community renewed its political levels of stakeholder participation. By such means, we commitment to the Rio process at last year’s UNGASS. can give greater impetus to the Rio process and carry It recognised that the legal framework of the Rio forward the international partnership for sustainable process is largely in place and that we now need to development and environmental security. Statement by Italy Giovanni Sacco Senior Director, Ministry of the Treasury

would like to thank the Government and the preserved at all times, and the concept of “casting the people of India for the generous hospitality, and net widely” applied in its broadest sense. to commend the city of Delhi and the GEF Sec- The GEF is to be seen as a catalyst, a facilitator, and retariat for the excellent organization of this a mechanism for integrating global environmental Assembly.I concerns into the development process. The GEF’s Our main task here is to take objective and candid goal is to make the connection between local devel- stock of what has been done and what has not—or opment demands and global environmental challenges not yet. The CEO report provides us with the wide and between national and international resources to picture of the achievements of the GEF so far and help developing countries implement policies that looks at the future. The recommendations formulated can simultaneously increase economic efficiency and are appropriate, and Italy endorses the substance of advance environmental protection. the points made. It is essential for the GEF, for its very nature, to When the GEF was launched back in 1991, we seek co-financing opportunities with other bilateral were confronted with the challenge of making devel- and multilateral institutions. I already mentioned opment compatible with the environment and to regional development banks and funds: the potential ensure a more balanced and long-lasting develop- benefits for the GEF of a partnership with those insti- ment. The GEF represents the first and most signifi- tutions should be fully exploited. cant financial achievement of the Rio Summit. At the same time, international institutions must The recently concluded replenishment of the GEF mainstream the environment, and the global envi- is a success. The amount of resources committed may ronment, in their own actions and thinking. appear to be small—if you compare it to the magni- And the GEF should be a financing instrument to tude of the problems we are facing, or to all the ener- leverage and mobilize private sector resources. Given gy investments. It is in fact a very significant amount the predominance of private financing for develop- of money. Not only if you consider what was avail- ment purposes, it is important that the GEF exercises able for the environment only a few years ago, but its role as a broker, to facilitate and catalyze demon- because a relatively modest amount of money can stration projects with significant replication potential. have a tremendous impact, and high-value grant I think, for example, of the Kyoto follow-up, where resources can be multiplied many times over, if sever- the GEF has a very important role to play. Energy pol- al conditions are met. icy and investment in global environment-friendly Concentrating on incremental costs, making each technologies are essential in any climate change strat- investment cost-effective, focusing the programs, egy, both in developed and developing countries. The streamlining operations, building new investment private sector—not governments—is the key player in partnerships with bilateral and multilateral institu- the development, refinement and transfer of technology. tions, in particular regional development banks and There can be a commercial future for a wide range funds, leveraging private sector resources. These, in of environmentally beneficial activities. And there is a nutshell, are the things that can make the GEF a potential for private financing. succeed. Let me take my own country as an example. There The GEF has been given a clear mission that relates is a very large number of Italian companies, small to the concepts of “incremental costs” and “global and medium enterprises, highly specialised and able benefits.” Without such specificity, other ways and to offer industrial production systems at low environ- means of financing environmental activities would mental impact and high efficiency—as the success have been more direct and less expensive. already achieved in the field, for example, of clean We must also be sure to hit the mark, making the refrigeration shows. Also, big companies have a lot to best possible use of the resources available. Inade- give in the field of energy efficiency. Italy is the coun- quate results in terms of efficiency of administrative try with probably the highest energy efficiency in the action would be signals of weakness in the technical industrial sector of all developed countries. We do and operational sides. not use nuclear power; however, the level of carbon The multilateral character of the Facility must be dioxide emission is very low. This technological pri- macy should indeed become replicable at the interna- tion has been identified as one of the principal emer- tional level. gencies that the earth will have to face while it enters I will end my reflections on the GEF and its future the third millennium. Land degradation can also by briefly touching upon its role with regard to the affect problems of global concern. It can contribute Conventions. to climate change, damage biodiversity, and damage Italy thinks that the time has come for the GEF to international waters. As the World Bank analysis on become the permanent mechanism of the Climate this subject shows, there is room for measures to Change and Biodiversity Conventions. address land degradation and problems of global con- As to the Convention to Combat Desertification, cern to be mutually supportive. The tackling of cli- the first conference of the parties held in Rome has mate change, the conservation of biodiversity, the shown the willingness of the international communi- defense of forests, are essential components of the ty to promote and sustain a strong and effective fight against desertification. cooperation, including through global policies that The GEF offers important facilities to combat the will bring about the sustainable use of natural global dimension of desertification, and we believe resources for the benefit of all mankind. Desertifica- that this potential should be fully exploited.

Statement of Japan Takatoshi Kato Special Advisor to Minister of Finance

t is a great pleasure for me to address the first the action program under the Initiatives covers five Assembly of the Global Environment Facility. I areas: first, air and water pollution and waste disposal; would first like to express our gratitude to the second, global warming; third, fresh water problems; Government of India for the enormous efforts it fourth, the preservation of the natural environment Ihas made to host this inaugural Assembly. and afforestation; and lastly, the promotion of public awareness and strategy building. GLOBAL ENVIRONMENTAL ISSUES AND JAPAN With regard to global warming, the Third Confer- Preserving the environment of our planet is our ence of the Parties to the United Nations Framework responsibility to future generations. It is also essential Convention on Climate Change was held in Kyoto to global human security. With this in mind, Japan is last December. There, despite their differing posi- actively promoting international cooperation to tions, delegates from over 160 countries around the address global environmental issues. world converged to reinforce a global initiative to In providing official development assistance (ODA) fight against the threat of climate change, while the to developing countries, Japan also adheres to the prin- developed country parties reached an agreement on ciple that development should be pursued in tandem legally binding targets for reductions in greenhouse with environmental conservation, thus contributing to gas emissions. This must be praised as a step in the sustainable development on a global scale. right direction towards addressing an issue that will With regard to these goals, our Prime Minister Ryu- require our continued efforts well into the next cen- taro Hashimoto announced a program called the Ini- tury and beyond. I hope that the Kyoto Protocol tiatives for Sustainable Development toward the agreed upon at this conference will be ratified by as Twenty-First Century (ISD) at the United Nations’ many countries as possible, thus allowing the Proto- Special Session of the General Assembly for the Over- col to take effect at the earliest possible time. all Review and Appraisal of the Implementation of Furthermore, at the meeting in Kyoto, Japan Agenda 21 held last June. announced that it would further strengthen its assis- This is a plan which Japan has put forward as the tance to developing countries’ efforts to combat global basis of a comprehensive policy on environmental warming in a number of ways: assistance in training cooperation. Based on the principles of global human 3,000 environment experts over the five-year period; security, ownership, and sustainable development, the provision of ODA loans at the concessional con- ditions equivalent to those of the International views regarding some of the key points covered in Development Association; the transfer of our envi- these reports. ronmental know-how and technologies; and greater First, the mainstreaming of the global environment. environment-related financial contribution to multi- Notwithstanding the significance of the GEF’s role, lateral development banks such as the World Bank given the size and operating mechanisms of the GEF, and the Asian Development Bank. it is essential that the three implementing agencies— namely the World Bank, UNDP, and UNEP—main- BASIC RECOGNITION OF GEF AND ITS SECOND stream the global environment within their regular REPLENISHMENT operations. This would allow us to put the GEF to The Kyoto Protocol reaffirmed that the Global Envi- better use. In this respect, I support the priority rec- ronment Facility would continue to be the funding ommendation that each institution should formulate mechanism for programs aimed at reducing green- its own mainstreaming strategy. house gas emissions in developing countries. Second, individual country ownership. For suc- In the way it functions, and in the way it’s man- cessful operations of the GEF, it is indispensable that aged, the Global Environment Facility is a ground- each developing country takes the initiative in breaking venture. Little wonder then that since developing projects according to its own policy pri- 1991 when the Facility was launched, the journey orities in the area of environmental protection. To to date has not always been smooth. It is all the help promote such a sense of ownership or spirit of more commendable, therefore, that the manage- self-help, it is also essential that the GEF promote ment of the Facility has steadily been improved greater awareness of itself among recipient coun- through the 1994 restructuring and the first replen- tries, further strengthen the mechanisms for the ishment. coordination of project development, and promote I also join you in welcoming the latest agreement project development-related capacity building in on the second replenishment to cover the Facility’s recipient countries. Phase 2 activities, scheduled to start in July this year. Third, the incremental cost requirement and the Together with the Kyoto Protocol, this signals a strong project cycle. To make the GEF more accessible to commitment by donor countries toward addressing recipient countries, the whole concept of incremental global environmental issues. cost, which is so central to the GEF, must be further For its part, Japan has supported the Facility ever clarified in operational terms. Also, the project cycle since its pilot phase as a funding mechanism for pro- must be constantly reviewed to further facilitate the grams in developing countries aimed at protecting process. the global environment. We believe the Facility Finally, I also support the recommendation that should continue to play a leading role as a focus for co-financing be put to better use to enhance the cat- multilateral support in global environmental issues. alytic function of the GEF. Japan is also prepared to consider this recommendation. FUTURE REFORMS OF GEF The latest agreement on replenishment does not CONCLUSION mean, however, that we can rest on our laurels. On A threat to the global environment is a threat to all the contrary, the Facility must remain subject to humankind. It is a common agenda that must be review in order to achieve even further operational addressed by all countries—whether developed or improvement. In this regard, I welcome a number of developing. evaluation programs, in particular the study of GEF’s I would like to conclude by hoping that the GEF overall performance submitted to this Assembly, and will continue to play a pivotal role, through its effec- the policy recommendations prepared at the conclu- tive and efficient operations, in furthering such multi- sion of the replenishment. Allow me to express my lateral efforts.

Statement of Kenya Francis Nyenze Minister of Environmental Conservation

n behalf of the President, the Govern- a concluded GEF instrument which restructured the ment and the people of Kenya, the Kenya GEF on March 17th, 1994, in Geneva. Kenya has also delegation thanks the Government and closely followed the performance of the restructured the people of India, for hosting this his- GEF for the last four years. Hence we are here to join Otoric GEF first participants’ Assembly here in India, other nations, to review—in a global sense—the GEF and for the brotherly care afforded to us since our general policies, evaluate its operations and make rec- arrival. We again thank the Government of India, ommendations we consider appropriate for the GEF and the GEF Council and Secretariat, and many other Council’s action. institutions and individuals, for the excellent We have received the GEF activities report, and arrangements made for this conference. Kenya loudly commends and appreciates the efforts My delegation congratulates you, Mr. Chairman and accomplishments of the GEF in the short history and members of your Bureau, on your election to the of its existence. We openly acknowledge and appreci- unenviable task of guiding this historic Assembly to ate the efforts of the GEF Council, the GEF Secretariat, its conclusion. We wish you success and assure you of the implementing agencies—i.e., the World Bank, Kenya’s support in this respect. UNDP and UNEP as well as STAP—in the achieve- As we assemble here, the Rio Earth Summit Agenda ments thus far recorded. We also recognise the watch- 21 remains largely unfulfilled. Kenya has ratified and ful eye and input of the NGO community to the GEF actively participated in all the environmental conven- successes. We indeed thank the Governments that tions, including the Montreal Protocol, the Climate have contributed to the GEF funds and welcome the Change and Biological Diversity Conventions, and successfully concluded second replenishment of the the GEF. Kenya has followed closely the GEF history GEF on 24th March 1998. from inception, through its restructuring meetings At this juncture, Kenya acknowledges and appreci- from 1991 in the cities of Geneva, Abidjan, Rome, ates the financial support from GEF through the Washington, Paris, Beijing, and Cartagena, leading to World Bank, UNDP and UNEP for our environmental and capacity-building projects, some combining the The total GEF funds committed to protect the East African region. Notable among these are the Bio- environment for the period July 1994 through diversity Data Management System and the Institu- March 1998 is US$1.2 billion. This amount, while tional Support for the Protection of East African Bio- commendable, is nevertheless low vis-à-vis the rate diversity. Currently, Kenya is in the process of of environmental degradation that needs urgent preparing the National Biodiversity Strategy and attention. There is a need for GEF to enhance the Action Plan with GEF funding through the World capacities of the GEF Secretariat, the implementing Bank. On-going is the Lake Victoria Environmental agencies and other relevant stakeholders in order Management Project, involving Kenya, Uganda and to accelerate the pace of environmental protection Tanzania, aimed at rehabilitating the Lake Victoria through more projects and larger funding commit- ecosystem. Kenya is also a beneficiary of the UNDP/ ments. GEF Small Grants Programme. 4. Focal points. These are an important cog in the GEF Kenya enjoys a good relationship with GEF. Never- wheel. These cogs in the developing countries need theless, our efforts to pursue and fulfill our commit- to be financially facilitated to enable them to func- ments to Agenda 21 through the GEF are at times tion effectively. Therefore, a modest sum in the frustrated. Kenya strongly recommends that the fol- GEF Secretariat budget should be provided for this lowing aspects of the GEF mechanism be reviewed purpose. and improved upon. 5. Constituencies. Most of the developing country con- 1. The instrument. The four focal areas are restrictive. stituencies are large and currently not functioning The fifth area of land degradation, desertification effectively for lack of budgetary support. We recom- and deforestation needs to be added so that related mend that Council members in these countries be issues can be fully funded in the GEF budget. Kenya financially facilitated by GEF to have one meeting strongly feels that these issues have not been given of the constituency members in between Council adequate consideration in the GEF process as con- meetings in addition to the workshops. tained in paragraph 3 of the GEF instrument. 6. Capacity to access GEF funds. Many recipient coun- 2. Governance. Kenya is satisfied with the governance tries currently lack adequate capacity to access GEF structure of the GEF. However, three years is too funds. The countries’ capacities should be strength- long between meetings of the Assembly. The ened, more local NGOs and local communities Kenyan Government recommends that the partici- should be out-reached, and the Small Grants Pro- pants’ Assembly meet once every two years. Fur- grammes should be enhanced and extended to thermore, consideration should be given to incorpo- more countries. rating the multilateral regional development banks, With regard to the recommendations on Monitor- such as the African Development Bank, as imple- ing and Evaluation, Kenya supports the idea that the menting agencies, rather than executing agencies. monitoring and evaluation process be a continuous 3. Operations. The project approval process is too long feature of the GEF activities. We urge that the recom- in the GEF project cycle. Efforts must therefore be mendations, as deemed applicable, resulting from such made by GEF to accelerate expeditious processing exercises be effectively processed by the GEF Council. of country applications without compromising In conclusion, Kenya endorses the report of the quality. For example, Kenya submitted an applica- GEF Chief Executive Officer and the recommenda- tion in July 1997 to GEF through UNEP for fund- tions therein and requests that our serious concerns ing the preparation of the First National Commu- above be addressed by the GEF Council. nication towards fulfilling our commitment to the Kenya thanks GEF for the efforts and achievements Climate Change Convention. To date, we have not thus far recorded. However, if global environmental received any response from the GEF. degradation is a real threat to countries’ national Kenya welcomes the introduction of medium- security, then GEF must walk faster in the next phase size grants which will help NGOs implement envi- of its operations, if not run, so as to more effectively ronmental conservation activities in support of perform its responsibilities as the leading global Government programmes. financial mechanism to protect the environment. Statement of the Republic of Korea Choi Dae-Hwa Ambassador to India

would like to begin by congratulating you on cance of global environmental preservation is con- your election as the Chairman of the first ever cerned, however, we seem to be divided on the issue GEF Assembly. I would also like to take this of implementation of global activities which entail opportunity to extend my deep appreciation to financial commitments that need to be borne by theI Government of India for its valuable support and each shareholder country. This attitude needs to be contribution in hosting this gathering. addressed immediately for the GEF to continue work- As we all know, the Global Environment Facility ing towards its goal. was restructured in 1994; in the short interim period, Facing the commencement of a new period, the GEF it has taken major strides towards development. Its itself needs to be restructured and improved to meet its functions are as many as they are varied. It serves as a diverse and multiple missions. The CEO’s report has financial mechanism of the Biodiversity and Climate pointed out that the GEF has to further evolve and Change Convention. Simultaneously, it fulfills its mature into a more broadly representative, participato- mission as a global watchdog by acting as the chief ry, transparent, effective and strategic organization. financial body for the implementation of Agenda 21. 1. Among the challenges facing the GEF, mainstream- The GEF has now established itself, and its activities ing global environment issues into the regular pro- have firmly taken root. It has successfully set up its own gramme of activities of implementing agencies fundamental system of institutional and administrative draws special concerns. The GEF should prioritize procedures. Through the pilot phase and the GEF I peri- establishing a strategy distinct from that of other od, it has accumulated a great deal of experience in the international financial institutions. The World management of global environmental development. Bank, UNDP and UNEP have to tackle global envi- The GEF has demonstrated its function not only as ronmental issues as a matter of primary concern. a channel for project financing but, more importantly, 2. The GEF project cycle is widely perceived as need- as a vehicle for mainstreaming the global environ- ing further improvement. For recipient countries, ment issue into the agendas of regional, national and their main concern is how well and effectively local bodies. An increase in number of member coun- their environmental demands are met by the GEF. tries from 73 to 161 in a short span bears testimony If project cycles are unnecessarily long and com- to the significance of the GEF, which has been cor- plex, they need to be altered, as a matter of urgency, rectly recognised by the international community. to ensure cost-effectiveness. In this regard, we wel- We are gathered here today at the start of the sec- come the report on reforms carried out by the ond GEF period, namely GEF II. Ahead of us is a long World Bank and the UNDP to streamline the pro- and winding road towards the ultimate goal of ject cycles. achieving sustainable development. The CEO’s report 3. Non-governmental sector involvement is another has correctly pointed out the urgency for action to essential factor for the furtherance and expansion address global environmental issues. Degradation of of GEF activities. The private sector serves as a soil, scarcity of water resources, global warming, dis- mainstream of international capital flow, and most ruption of weather patterns, diminution of species advanced technologies are developed and owned and genetic resources are the threats that loom on by the private sector. The GEF’s progressive stance our horizons. towards NGOs and private participants is com- As a vanguard for global environment protection mendable, and it should be further encouraged. and preservation, the GEF should be at the centre of 4. Lastly, the GEF has to develop a strong monitoring world environmental efforts to discharge its ultimate and evaluation system that will continuously eval- duty of sustaining global environment. In this con- uate ongoing projects and identify problematic text, the GEF’s second phase is more important than matters, providing feedback for future projects. ever before, and it calls for a wholehearted response These systems are required to measure the progress from the international community. of projects and to achieve greater project quality No country should hesitate to provide necessary and effectiveness. support for the fulfillment of GEF’s mission. While With the streamlining of the GEF mechanism, my we are all of the same opinion as far as the signifi- delegation is confident that the second GEF will bring us closer to the realization of sustainable develop- It is our duty to leave our children a planet that is ment in the face of the new millennium. free from environmental pollution, where they can In recent years, industrialization in Korea and its live and prosper. This involves global thinking and effects on the environment have been a matter of global action which the GEF is spearheading. Now grave concern to the Government. The Korean Gov- that the GEF has laid its foundation and we head ernment will closely cooperate with the GEF to tackle towards the next millennium, it is not “what we can environmental problems in and around the Korean get from the environment”, but rather, “what we can peninsula. do for the environment.”

Statement of Lao People’s Democratic Republic Souli Nanthavong Minister, Prime Minister’s Office; President of Science Technology and Environment Organization

am very pleased by the invitation to join you and financed by the World Bank, FINNIDA and the GEF to speak about our involvement in the operation is operating. of GEF-funded activities in the Lao PDR. Kindly Regarding the third area, international waters, a permit me to take this occasion to express my proposed water utilization project is consistent with Icongratulations to all of you for the fruitful efforts tak- the objectives of GEF Operational Program No. 8 en in order to improve the operation of the GEF. It is (“Water-Body-Based”) under the long-term window. visible to us that, indeed, operations have improved Within the framework of the Mekong River Commis- gradually over the past years, although the funding lev- sion, comprising Cambodia, Lao PDR, Thailand and el generally fell short of the expectations we had after Vietnam, through a grant under the GEF’s Project the Earth Summit. This shows that the GEF as a new Development and Preparation Facility (PDF Block B model for channeling funds into the environment sec- grant), the proposed GEF water utilization project has tor needs to make itself better known. For this, success been prepared in collaboration with the World Bank stories are necessary, and we hope that the projects in as the GEF implementing agency. Phase 1 was imple- our country can serve this purpose, once finished. mented and completed in 1997. The project has Out of the four major program areas of GEF, our developed a framework concept paper for the water country has projects in two: utilization project, which will be reviewed for con- l. Climate Change Convention—a National Green- sensus by the riparian countries for further considera- house Gases inventory project is under way, aim- tion and action in Phase 2. ing to complete its first national communications This is in keeping with an agreement between the to the conference of parties and to improve capacity Bank and UNDP that the latter would focus on wet- in-country to comply with UNFCCC. lands in the lower Mekong basin, while the Bank I should also mention that, on a national scale, would mobilize assistance for the water utilization forestry and related upland farming and agro- program. forestry systems have been a major focus of donor Concerning the fourth area, ozone layer depletion, assistance and are likely to contribute to the coun- the Lao Government is preparing to become a party try’s minimizing of greenhouse gas emissions in to the Vienna Convention for the Protection of the the long term. Ozone Layer and the Montreal Protocol on Sub- 2. Biological Diversity Convention—a project proposal stances that Deplete the Ozone Layer as well as the on the National Biodiversity Strategy and Action Montreal amendments. Plan as well as a project on the set-up of a Biodiver- Institutions operating GEF programs in our coun- sity Conservation Trust Fund are being formulated. try so far are receiving various forms of support In this biodiversity focal area, the Forest Man- aimed at strengthening our capabilities such as (1) agement and Conservation Project, which is co- training courses to strengthen analytical and field skills as well as operational and policy skills; (2) nec- ■ Organize a national workshop on the GEF financial essary equipment (like computers, field vehicles, etc.); mechanism operation. and (3) on a very limited scale, receive advice on ■ Provide adequate services for the private sector in institutional matters. dealing with GEF programs, be it on the financing or The above–mentioned projects have given our implementation level, and facilitate their operation. Government the opportunity to study the practical ■ Capacity building should not concentrate on for- applicability of GEF in the field and to draw conclu- mal institutions only, such as national focal points, sions. We would like to propose the following points but should involve the end users of natural resources, for further strengthening the GEF and for better be they the urban poor, industries, public groups, catering to the needs of the developing countries of etc., in the planning and execution of GEF projects the South: and programs. ■ Given linkages between the on-going GEF Secre- ■ Conduct regional workshops on a regular basis for tariat programs, the World Bank, UNDP, UNEP, oth- the GEF national focal points to ensure timely shar- er implementing agencies and programs of the GEF, ing of information and lessons learned. national focal points should improve cooperation I am sure that this Assembly is of special interest to and coordination of their respective assistance us because it not only gives us the opportunity to par- programs. ticipate but also to introduce us to the policy of the ■ Assist the countries, in particular the least devel- GEF. We are really interested in joining and learning oped countries, in formulating project proposals to from this Assembly the experiences of other countries, be consistent with GEF programs. how they see GEF, how we can join forces to make this ■ GEF should attach greater priority to proposed pro- special Fund work and how the special interests of least jects from least developed countries. developed countries can be considered in a better way.

Statement of Latvia Indulis Emsis State Minister for the Environment

t is a great honor to address the first Global mechanism for integrating global environmental Environment Facility Assembly on behalf of the concerns. Although direct foreign investment in Government of the Republic of Latvia. Let me developing countries has more than tripled since congratulate you, Mr. President and Vice Presi- UNCED in Rio, the GEF is an essential link between Idents, on the occasion of being elected to these hon- local and global environmental challenges and orable posts for this historic event. national and international resources in the areas of I would like to express my delegation’s gratitude to climate change, biodiversity, ozone depletion, inter- the Government of India for its hospitality and for national waters and land degradation. the excellent organization of this Assembly. I extend Latvia shares the deep concern for the preserva- my gratitude also to the Secretariat of the Assembly tion of biological diversity as well as safeguarding for the immense task of preparation. the earth from negative human impacts. Latvia is Latvia became a member of the GEF on the 27th of deeply involved in the process of change from a June 1994 and since then has carefully followed the planned to a market economy and its integration development of this financial institution which is into the European Union obviously sets specific crucial for future generations, joining the family of tasks and objectives. 161 countries with good will and full understand- The first strategic environmental protection docu- ing of the important role of implementation of those ment, called the National Environmental Policy Plan, international conventions concerning the GEF after in Latvia is formulated in line with the principles of its reorganization in 1994. the United Nations Environment and Development The GEF Trust Fund under the wise supervision of Conference in Rio de Janeiro, under the requirements the World Bank has successfully served as a funding of Agenda 21 and European Union environmental policy; it sets as a final goal sustainable and balanced increase the forested areas to approximately 50% dur- development in the country. ing the next twenty years. Biological diversity, climate change, ozone layer pro- One can compare the more than $US3.5 billion tection and quality of transboundary water resources invested by GEF into FCCC-related projects and are the most important and simultaneously political- $US826 million cofinanced by UNDP/GEF with ly and socially very sensitive issues. Therefore, since future investment necessary in the near future and see 1992, Latvia has combined forces in the international that achievement of global scale projects is tremen- processes for environment protection, thus imple- dously expensive. menting the commitments of the Convention on A small share of the figures mentioned above is the Biological Diversity, the Framework Convention on first cooperation between Latvia and GEF. Latvia’s Climate Change and the Montreal Protocol. We rati- cooperation with the GEF extends in the fields of bio- fied the Framework Convention on Climate Change logical diversity, solid waste management and climate and the Convention on Biological Diversity in 1995, preservation projects. soon after joining the Vienna Convention for the Latvia has fulfilled the commitments of the above– Protection of the Ozone Layer and the Montreal Pro- mentioned Conventions and pledges the implemen- tocol on Substances that Deplete the Ozone Layer, tation of the international treaties thoroughly and adopted National Environmental Policy Plan and completely. Our sincere interest and readiness to pre- submitted the first National Communication of the pare and lead more projects in the field, which are Republic of Latvia under the Framework Convention mutually crucial for both regional and global rehabil- on Climate Change and the Country Program called itation of the environment such as reduction of “Phasing Out the Ozone Depleting Substances.” anthropogenic gas emissions, protection of interna- Elaboration of the National Strategy on Biodiversity, tional water resources or protection of endangered the Action Plan and National Report on Biological species, will be possible with the direct participation Diversity to the Conference of the Parties of the Con- and support of GEF and its implementing agencies. vention on Biodiversity, the first Climate Protection However, the instability caused by economic restruc- Policy Plan and the second National Communication turing, the development of democratic changes and on Climate Change are in their concluding stages the high uncertainty of reaching political and eco- and are supposed to be finished during 1998. nomic goals preclude Latvia from succeeding alone. Modernization of Latvia’s industry and restructur- Regional cooperation has fruitfully begun between ing of the economy, replacing obsolete production neighboring Baltic States—Estonia, Latvia, and with up-to-date environmentally sound technology Lithuania—at such important international fora as especially in the field of special industries and energy, the Baltic Assembly, the Council of Ministers of the has been applied to achieve promotion of non-CFC Baltic States and Nordic States and Baltic Sea coun- materials, renewable energy sources and energy con- tries. Very fruitful multilateral cooperation in the servation measures. framework of the Baltic Sea region promises to pre- All problems related to the conversion of former vent further degradation of the quality of water in military technologies to peaceful purposes and to the Baltic Sea. It is necessary to start the bilateral and economic transition in general gives us assurance multilateral cooperation to implement the Montreal that the processes of development in our region— and Kyoto Protocols. We would be very grateful if and in Latvia in particular—have short-term invest- this Assembly would be able to come closer to the ment needs and are therefore highly cost effective solution of three key issues that are at the center of and with extremely high outcome. Countries with negotiations: i.e., allocations of responsibility, costs of economies in transition are soon to be potential emission reduction, and financial mechanisms. The donors themselves, and their goal is to join the Euro- creation of a new partnership between North and pean Union not only by political criteria but also by South would guarantee success in the future and let setting strict environmental standards for their eco- us act effectively over the years. nomic and household activities. I would like to assure The delegation of Latvia is in a position to support donor countries that assistance to our region’s coun- ideas to work out biodiversity and climate change tries is a short-term measure with high potential and strategy in the region. With respect to future policies efficiency and very necessary right now, during the and strategies for effective environmental protection, transition processes. Latvia intends to develop new, efficient measures to A large percentage of Latvia is covered by forests implement a harmonized international approach resulting in stable carbon dioxide sequestration rates towards elaboration of the Global Forest Convention exceeding the level of emission of CO2. Efficient and as a follow-up to the Convention of Biological Diversity, reasonable forestry policy accomplished by the Lat- joint implementation actions under the Kyoto Proto- vian Government envisages rational activities to col, emission trading and global tax on aviation fuel. Let us join forces to start an effective process for glob- of the last three years has proved that GEF is smart assis- al environmental protection. We would like to ensure tance. Approaching the 21st century, the environmental that Latvia will undertake serious efforts to support, problems that impact our very survival require urgent cooperate and comply with the declared objectives lead- action—no matter that they are both complex and long ing to the rapid reduction of anthropogenic gas emis- term. And let GEF be that smart tool to achieve global sions and to sustainable development. The experience improvement without global changes of our planet.

Statement of Lesotho Bore Motsamai Secretary General, National Environment Secretariat

would like to express my sincere gratitude to the governments might not wish to change their devel- Government and the people of India for their opmental and environmental policies. generosity and hospitality in hosting this august ■ Such reviews could entail further delays in the proj- Assembly. The reception from the people and ect cycle and implementation process. Iofficials has made us feel welcome and special. On mainstreaming of the global environment by The Global Environment Facility has grown into a the implementing agencies, it should be borne in visionary organization which has grasped the world’s mind that making linkages between potential GEF potential for a healthy environment, and mobilises projects and potential UNDP core budget projects the innovation and change to achieve its potential. We should not lead to diluting UNDP’s financing of have to live according to its tenets and fully appreci- development assistance. ate it to ensure its sustainability. A visionary organiza- We support the team’s recommendation that a tion is vibrant, seizes opportunities as they come, and study be undertaken on the pros and cons of increas- always looks for ways to improve its future self-efficacy. ing the number of implementing agencies. This may The reports we have in front of us now bear this benefit recipient countries in capacity building. out. The Chief Executive Officer’s report is an impor- The proposal to allow implementing agencies to sub- tant landmark for the next millennium, and we sup- mit a range of estimates of incremental costs on the port its broad vision. project’s first submission is a sound one. This will intro- The study team considered several issues, and I want duce some time savings into the project cycle. The sec- to comment on some of them. We support the recom- ond review of the project proposals by the Council mendation that the GEF Council should address the should also be eliminated to avoid any further delays. need for a clear definition of the concept of “new and The implementing agencies at both the GEF and additional resources.” Success in this regard could the country level, as well as the focal points, should make a contribution to facilitating the international be strengthened. community’s successful negotiations in other fora. The Finally, I take this opportunity to express my Gov- team further recommends that developed countries ernment’s appreciation for the GEF support in suc- consider separating budget lines for global environ- cessfully carrying out the enabling activities of the mental measures in developing countries and for con- Conventions on Biological Diversity and Climate tributions to GEF from budget lines for development Change. A project on conserving mountain biodi- cooperation. We believe that this is in line with the versity was approved last year, but is yet to be imple- principle of equal but differentiated responsibilities. mented. It can hopefully be done within the short- On seeking formal commitments from recipient est space of time. This is only the beginning; more countries to review policies and sectoral activities in projects are in the pipeline. They will cover order to avoid “increasing the risk of project failure,” Lesotho’s top priority environmental problem, this should be carefully considered, taking into account namely, land degradation. I believe the GEF should the following, among others: give strong support to such programmes, if a holistic ■ National policies and sectoral activities are based on approach to the global rejuvenation of the environ- national needs and priorities, and recipient country ment is to be achieved. Statement of Madagascar Oilivier Rija H. Rajohnson Minister of Water and Forests

adagascar se félicite d’être convié à ■ Le plan national et la stratégie de la valorisation de cette première assemblée générale du la biodiversité, outils d’ orientation des actions à Fonds mondial pour l’environnement venir. (FEM) et adresse ses vifs remerciements ■ L’inventaire national des ressources halieutiques et Mau secrétariat, aux agences d’éxecution, aux organisa- marines ainsi que l’élaboration d’une politique de teurs, d’avoir pu faciliter notre venue à cette assise. gestion intégrée des zones côtières, en étroite collabo- Au nom du gouvernement malgache, je souhaite ration avec la région de l’océan indien. un vif succès à cette rencontre. La délégation de ■ Le procéssus de régionnalisation et de programma- Madagascar ne saurait également de souligner la tion des stratégies et actions concertées de développe- chaleureuse hospitalité du gouvernement Indien et ment adressées principalement à des problèmatiques lui adresse sa vive gratitude. environnementales liés à la gestion des ressources Je saisis cette occasion qui m’est offerte pour vous naturelles. faire part des projets qui ont bénéficié de l’appui, du Ce procéssus mondial de concrétisation des engage- FEM dans le cadre de la politique environnementale ments stipulés dans la convention sur la diversité malgache. biologique enmène des échanges d’expériences au Dans le cadre de la mise en oeuvre des résolution de niveau régionnal et intérnational, puisque les pays la conférence de Rio, Madagascar bénéficié de l’appui du engagés ses rencontrent periodiquement pour faire la FEM, notamment pour le développement des activités situation dans leurs pays respectifs, ce qui permet inhérentes à la convention sur la diversité biologique. d’enrichir les réfléxions et d’appréhender l’évolution Le pays est signataire de la convention en 1995, du programme. qui coincide d’ailleurs à nos préoccupations majeures Par ailleurs, Madagascar s’implique également à la depuis les années 1980, avec la réalisation de la con- procédure d’adhésion à la convention cadre sur les férence nationale sur la consérvation de la nature, changements climatiques conscients des problèmes constituant les premiers jalons de la charte de l’envi- de la pollution de l’air liée à la deforestation et à la ronnement malgache et de son plan d’action. dégradation de l’environnement d’une manière Cette adhésion permet de renforcer les actions déjà générale. entreprises et de les orienter vers le souci de développe- Dans la mise en oeuvre de ces composantes qui s’in- ment durable. scrivent dans le plan d’action environnementale Mal- Ainsi, en 1995, les travaux d’investigations du gache, l’approche programme et la recherhe de la procéssus participatif pour la définition des options et synérgie, en vue d’une meilleure efficacité recquiert une des priorités pour la consérvation des ressources de la complémentarité et une vision commune entre toutes biodiversité, ont abouti à la tenue d’un atelier scien- les composantes que ce soit au niveau nationa1 qu’au tifique qui devrait être la base des actions liées à la niveau régional. La cohérence entre les différentes com- gestion des ressources de la biodiversité dans le pays. posantes est une priorité de l’ensemble du PEII. Cette rencontre dont la realisation fut appuyée par le La stratégie du PEII repose sur les points suivants: FEM, a permis d’une part, de constituer des données ■ L’approche programme qui correspond le mieux au sur les ressources naturelles dans des régions souci de cohérence et à une vision commune sur les écologiques bien délimitées, d’autre part, de lancer les choix et les moyens utilisés. activités liées directement aux engagements stipulés ■ L’approche spatiale de la réduction des pressions sur dans la convention. les ressources naturelles et sur les ressources humaines. En effet, la monographie nationale et le rapport ■ La prise en considération des facteurs socio- national de la diversité biologique, deux premières économique et culturels pour la gestion durable des étapes de la dite convention appuyées par le FEM/ ressources. PNUE, ont été publiés. Ils constituent les bases de toutes ■ La responsabilisation des décideurs locaux par leur les étapes futures de gestion des ressources naturelles. intégration dans le procéssus de conception, de pro- C’est pour cette raison que Madagascar, a l’instar grammation et de la réalisation des actions. Ils con- de nombreux pays africains et asiatiques engagés tribuent à la définition de leurs besoins et de leurs dans le même procéssus aborde actuellement: priorités. ■ La dynamisation des structures de base en vue de l’im- durable entre les apports des projets et les effets posi- plication des populations locales, du secteur privé et tifs sur l’environnement mondial. associatif dans la concéption, dans la programmation et ■ Association des secteurs privés à toutes les étapes de dans la gestion de projets. Ainsi, les ressources naturelles la concéption et de l’éxécution du projet. seront cogérées par les opérateurs et les communautés. ■ Large participation du public pour une appropriation. ■ La déconcentration de moyens des agences d’éxecu- ■ Prise en compte des critères socio-économique et tion par la mise en place d’antennes plus proches des culturels. bénéficiaires. ■ Prise en compte de l’avis des communautés, de Cette nouvelle orientation de la politique environ- leurs besoins et de leurs aspirations. nementale malgache que nous avons adoptée, va Le Gouvernement malgache souhaiterait done dans le droit fil des recommandations et des principes bénéficier, comme auparavant, de l’appui du FEM, du FEM à savoir: pour la recherche d’alternatives viables et durables ■ Concordance des activités financées par le FEM permettant de préserver la nature malgache qui est avec les priorités rationales permettant un lien reconnue comme un patrimoine mondial.

Statement of Malawi Mayinga Mkanda Wire Minister of Forestry, Fisheries and Environmental Affairs

alawi has made great strides in the organisations, private sector and the donor com- implementation of sound environ- munity. mental management and sustainable To create awareness to different stakeholders on development since the United Nations the procedures of accessing grant funding from GEF, MConference on Environment and Development a national workshop was organised. This workshop (UNCED) in Rio, Brazil, in 1992. The first step was to resulted in awareness of the type of projects that develop an institutional structure for environmental could be funded through GEF. Several project propos- and natural resource sectors. This included projects als were submitted thereafter to the GEF operational on the review and development of policies, acts and focal point. environmental impact assessment guidelines. It also benefited some programmes on environment. This PROJECTS IMPLEMENTED UNDER GEF process utilised financial resources from different Even before the establishment of the operational donor organizations. However, there are some areas focal point, Malawi had already started accessing requiring small funding which may not have been funding from the GEF. The projects which are receiv- adequately addressed. It is pleasing to note that the ing resources under GEF are: establishment of the Global Environmental Facility is ■ SADC/GEF Biodiversity Project. This project is address- addressing some of these areas. ing the biological conservation of Lake Malawi in col- Malawi has already started benefiting from the laboration with Tanzania and Mozambique which GEF. This brief statement gives an outline of the share the lake. implementation of the GEF programmes in Malawi. ■ Mulanje Mountain Conservation Trust. This is responsi- ble for the conservation of biological resources PROGRAMMES around the Mulanje Mountain Massif with full partic- To start the implementation of the programmes in ipation of the Government, nongovernmental organ- GEF, a national operational focal point was estab- isations and local communities surrounding the lished in the Environmental Affairs Department mountain areas. under the Ministry of Forestry, Fisheries and Envi- ■ National Biodiversity Strategy Action Plan. This project ronmental Affairs. This was followed by the estab- carries out biological diversity inventory in the lishment of a national steering committee com- country, identifies gaps, and develops strategies and prised of the Government, nongovernmental action plans which will form a basis for project ideas for the conservation and sustainable use of Climate change/ozone layer depletion biological resources. ■ Alternative energy sources such as solar, biogas ■ Climate Change Programme. This project helped and wind Malawi take an inventory of greenhouse gas (GHG) ■ Reduction of GHGs emissions, vulnerability and mitigation measures. ■ Phasing out of ozone-depleting substances This will give an indication of Malawi’s contribution International and inland waters to GHGs. This is important because strategies can be ■ Catchment protection of lakes and rivers developed to reduce the levels. ■ Flood control ■ Renewable Energy for Malawi. This project aims at the ■ Pollution control of lakes and rivers establishment of a renewable energy training centre. Land degradation The purpose is to develop capacity in renewable ener- ■ Catchment management gy technologies in the country. ■ Reforestation ■ Southern Africa Botanical Network (SABONET). This ■ Prioritization on land degradation financing is very project aims at building capacity of plant scien- important tists and support staff in Southern Africa’s botani- cal gardens. It provides an opportunity for scien- PROBLEMS EXPERIENCED tists to exchange information and experiences ■ Projects take a long time to be approved. on botany. ■ Interpretation of incremental costs is not well understood and there is need for a clearer definition. OTHER POTENTIAL AREAS ■ There is low (lack of) constituency or regional col- Malawi appreciates the support received from GEF so laboration. far. It is felt that there are several other potential areas which the GEF could support. These include: CONCLUSION Biological diversity Malawi appreciates the financial support from GEF ■ Reforestation projects by communities on the different projects being undertaken. Howev- ■ Ex-situ conservation of flora and fauna to prevent er, it is felt that there is a potential for more assis- habitat loss tance from GEF based on the areas highlighted. ■ Medicinal plant conservation and propagation This will easily be facilitated by the institutional ■ Game farming in areas around national parks and arrangement set up to coordinate and implement wildlife reserves GEF projects.

Statement of Malaysia Islahudin Baba Deputy Secretary-General, Ministry of Science, Technology & Environment

n behalf of the Malaysian delegation, I would enhance sustainable economic and social wish to join the others in congratulating development by protecting the environment on you upon your appointment as Chair- which such development depends. It was within man of this very important Assembly. In the context of this evolving joint commitment Othe same light, I would also like to commend our gra- that the GEF was conceived in 1991. Its creation cious hosts, the Government and people of India, thus stemmed from worldwide momentum gath- whose kindness and hospitality have made our stay ering in the years prior to Rio for enhanced inter- in this country a truly memorable experience. national action and funding to address shared The adoption of Agenda 21 was a unique environment problems. expression of universal commitment to the forma- Sadly, six years after Rio, many of the promises tion of a new global partnership—one which made at the Earth Summit remain unfulfilled. The commitments made by developed countries at the hence are unable to obtain funding from the GEF. Summit to provide “new and additional resources” Other projects are hindered by the increasingly strin- have largely failed to materialize. The transfer, on gent requirement to obtain substantial “co-financ- concessional terms, of environmentally sound tech- ing” in order to cover the sustainable development nology necessary for sustainable development in components of the project. developing countries has been further delayed. The above concern, I believe, has some relevance The GEF, which was replenished in 1994 to a level to the issue of “incremental costs,” a concept which of US$2 billion, remains the dominant source of is still causing much difficulty and misunderstanding funding for projects and activities aimed at address- in the field, particularly relating to the calculation of ing global environmental concerns. Although the such costs. We would therefore like to propose that GEF is again being replenished, my delegation is of the recipient countries be brought into the consulta- the view that the amount remains insufficient to sup- tion process in determining and ascertaining such port adequately the needs of developing countries in costs, so that a mutually agreeable methodology may meeting their commitments under the respective be found for estimating incremental costs. Conventions. In this connection, Malaysia would like Finally, my delegation would like to emphasise to see that the monitoring, evaluation and review of that the implementation of Agenda 21 is a global the GEF be conducted in an open and fair manner so commitment. However, this commitment can only as to provide a proper assessment of the ability of be achieved if sufficient financial resources are made GEF to assist developing countries in complying with available for financing projects—not only for global the provisions of the respective Conventions. It environmental benefits, but also local sustainable would also be useful for the GEF to seek greater guid- development and poverty reduction programmes. In ance from the conferences of the parties of the relevant GEF terms, if sufficient “baseline” funding is not Conventions as to the allocation and disbursement of available to meet sustainable development objectives, the funds. then GEF projects cannot take place. Potential national My delegation would also like to call for a review and global environment benefits will in this case be of the GEF mandate and for efforts to streamline its forgone. The goals and funding of Agenda 21 and decision-making process to make it less cumbersome, GEF are thus inextricably intertwined, and should be less bureaucratic and more transparent, in line with considered as such. current thinking. Although we acknowledge that the In conclusion, Malaysia hopes that this first Assem- GEF has, to a certain degree, improved its transparency, bly of the GEF will provide the needed political push there is still room for improvement. Many project to make the GEF the most significant financial proposals submitted by the developing countries do accomplishment of the Rio Summit, and to move the not even get through the “processing” stage and sustainable development agenda forward.

Statement of Maldives Abdul Rasheed Hussein Minister of Planning, Human Resources, and Environment

t is indeed a great pleasure for me to be here on your election to lead this important assembly. in New Delhi today, to participate in this first The Global Environment Facility has a very impor- Assembly of the Global Environment Facility. tant role to play in the road towards sustainable This Assembly provides us a valuable oppor- development. At the Earth Summit, six years ago, tunityI to exchange our views on the current poli- governments recognized that very large investments cies and operations of the GEF and to suggest are needed to implement Agenda 21, to which the strategies and options for the future. In this con- nations of the world committed themselves at Rio de text, I would like to thank the Government of Janeiro. At the Earth Summit, it was also agreed that India for hosting this important meeting. It is also the United Nations’ Global Environment Facility my pleasure to congratulate you, Mr. Chairman, should have sufficient flexibility to help developing nations meet the additional expenses needed to carry ronment Facility has an important part to play in the out Agenda 21 projects. We appreciate the efforts sustainable development of small island states, and I undertaken by the Global Environment Facility since would like to stress here the importance of the ade- the historic Earth Summit, and hope that it will con- quate representation of small island developing states tinue to play the very important role defined for it, in the GEF structure. We believe it is appropriate and guided by the nations of the world. it is time to have a constituency of small island devel- I would also like to recognize here that at present oping states in the structure of GEF. we are implementing two projects in Maldives with The second aspect is the issue of adaptation to cli- the assistance of the Global Environment Facility. mate change and capacity building. Countries like The first project is the Climate Change Enabling Maldives are among the most vulnerable to the pre- Activity. Under this four-year climate change project, dicted impacts of climate change. With over 80% of the National Greenhouse Gas Inventory, Vulnerability our land area just one meter above sea level, a rise in Assessment, Mitigation Plan and Adaptation Strategy sea level of one meter could entirely submerge our of Maldives will be prepared and the first national country. We do not want that to happen. We want to communication to the Climate Convention will be take action. In this context, I would like the Global developed. The second project is for biodiversity con- Environment Facility to seriously consider the provi- servation. Under this project, the National Biodiversity sion of assistance to the most vulnerable developing Strategy and Action Plan will be developed. I would countries towards adaptation to the predicted climate like to thank the UNDP for the crucial role they played change and in capacity building. Coastal defense in securing financial assistance for these two projects. structures and integrated coastal zone management I want to mention here three important aspects programmes have now become a priority in our which I believe this Assembly should pay special development agenda. attention to. The third element is making GEF more user friendly. First is on the structuring of GEF. The small island In the little experience we have had with the GEF, we developing states (SIDS) have very unique characteris- have noticed that the process could be made more tics, and as a result face development problems that user friendly so that delays and misunderstandings are equally unique and very difficult to overcome. could be overcome. We do appreciate the work The small island developing states are also the most presently being undertaken in this regard and hope vulnerable nations to the predicted climate change that good suggestions would come from this Assem- and associated sea level rise, and their very survival is bly towards this. threatened in some scenarios. The United Nations We in Maldives are committed to sustainable has recognized the special development needs and development, and we will play our part in the global vulnerability of the SIDS, and the Global Conference partnership. To facilitate the achievement of our on the Sustainable Development of Small Island aim—survival and sustainable development—the Developing States was held in Barbados to address Global Environment Facility has a very important this issue. The Conference adopted a programme of part to play. It is my sincere hope that in the dialogue action, and we need to implement this action pro- and exchanges we have the distinguished delegates gramme urgently. We believe that the Global Envi- would pay attention to these issues. Statement of Mali Soumaila Cisse Minister of Finance

’est un insigne honneur et une grande Comme il n’est plus possible de garantir que cette fierté pour moi de prendre la parole devant rupture du régime des pluies est réversible, il est essen- cette auguste assemblée. tiel de considérer la juste mesure de la situation et de Soyez en remercié au nom de mon Gou- se préparer aux conséquences potentielles d’une pour- Cvernement et de mon pays, le Mali. suite ou d’une aggravation de la sécheresse actuelle. Permettez-moi de vous féliciter pour la qualité et la De part sa position géographique, sa superficie, et profondeur de votre exposé, d’appuyer vos recom- son rôle écologique au plan régional et mondial le mandations et de reconnaître avec vous que les delta intérieur du fleuve Niger est considéré sur le moyens mis à la disposition du fonds pour l’Environ- plan international comme l’une des zones inondées nement Mondial sont insuffisants eu égard aux nom- les plus importantes de la planète et un biotope breux défis à relever. exceptionnel en zone sahélienne. Il est en effet à J’ai choisi de vous parler d’un seul sujet, non pas parce l’origine d’une diversité de ressources végétales et qu’il est le plus difficile ou le plus important mais simple- animales naturelles unique et d’une importance ment parce qu’il s’agit de l’avenir de millions d’hommes, fondamentale. de femmes et d’enfants, de la survie de nombreux ani- L’importance écologique internationale du fleuve maux et de la sauvegarde de la faune et de la flore. et son delta intérieur se caractérise par: Le fleuve Niger, Monsieur le Président mérite à mon ■ La migration des oiseaux, car sur 350 espèces 108 sens toute l’attention de votre aimable auditoire. sont des migratrices paléartiques (provenant des Le fleuve Niger, “Djoliba” comme on dit chez moi régions froides de l’hémisphère Nord pendant l’hiver). est le témoin sinon un des acteurs de l’histoire millé- ■ Sa biomasse importante, piège aux oxydes de carbone. naire de l’Afrique de l’Ouest. C’est autour de lui que ■ Son rôle de barrière naturelle contre la désertification se sont battis ces empires glorieux de Ghana-Mali et et fixation des populations pour empêcher leur exode Songhoï. Ce sont ses rives qui abritent les patri- massif vers les capitales et éviter d’ajouter des désastres moines culturels reconnus par l’UNESCO que sont: sociaux et environnementaux dans la périphérie des Djenné, centres urbains déjà saturés. Tombouctou, C’est pour toutes ces raisons que j’en appelle à Le Plateau Dogon, cette assemblée et à travers elle au monde entier, au 3ème fleuve d’Afrique avec 4130 km et 9ème du monde nom de la Guinée, du Mali, du Niger, du Nigeria, de avec son bassin géographique (2 millions de km2). la Côte d’Ivoire, du Bénin, du Burkina Faso, du Il est aujourd’hui menacé par une dégradation Cameroun pour une stratégie de sauvegarde et de ges- qualitative et surtout quantitative des eaux, et par tion durable du fleuve Niger. une dégradation de l’habitat sous le double effet de la Les populations riveraines du fleuve Niger et de ses sécheresse et de la pression anthropique. rivières vivent dans une zone aride menacée dans ses Depuis près de 25 ans, le Sahel connaît une sécher- équilibres fondamentaux, elle est l’une des plus pau- esse pluviométrique persistent qui a conduit: vres du monde. ■ A une réduction considérable des apports naturels Ces populations dépendent souvent entièrement moyens du fleuve d’environ 40% par rapport aux des activités liées aux eaux: eau de boisson, pêche, débits moyens mesurés entre 1907 et 1973. élevage, petite et moyenne irrigation, énergie, naviga- ■ A une baisse de la recharge des aquifères alluviaux tion, tourisme, etc. se traduisant par un effondrement des étiages du Aujourd’hui ces populations luttent contre la fleuve. pauvreté: Etancher la soif. Manger à sa faim. Eduquer ■ A l’ensablement continu des affluents et du lit ses enfants. Soigner la maladie. Se loger. principal. Demain, sans une action de sauvegarde du fleuve, Le fleuve Niger et ses écosystèmes associés sont la lutte sera celle de la vie tout simplement: Vie donc fragilisés dangereusement sous les effets con- humaine. Vie animale. Vie vegetale. jugués et qui sans doute se renforcent d’une rupture Il est urgent d’agir, il est urgent de se souvenir persistante du régime des pluies et des pressions exer- de ce qu’était le Sahara, il est urgent de sauver le cées par des populations pauvres sans alternatives. fleuve Niger. Statement of Mexico Mario Garcia Barajas Deputy Director, Ministry of Finance (Intervencion del Embajador de Mexico en la India)

s un honor y un gusto poderme dirigir a Ust- una de las mayores ciudades de nuestro paìs, en el edes en esta fecha memorable. Memorable marco de los objetivos de la Convención de Cambio para nuestro paìs anfitrión que en ocasión de Climático; y un fondo patrimonial para el finan- la celebración del cincuenta aniversario de su ciamiento a perpetuidad del gasto recurrente para la Eindependencia muestra una vez más su hospitalidad, conservación de 10 áreas naturales protegidas califi- desplegando el enorme esfuerzo que representa la cadas como reservas de la biosfera. organización de este evento, al servicio como siempre Dos historias de éxito que tuvieron en común el de las mejores causas que unen a todos los paìses aquí esfuerzo desplegado por el Banco Mundial y el propio reunidos. Secretariado del GEF y la utilización pionera de los A nombre de mi país, quiero expresar nuestro más mecanismos financieros descritos. sincero reconocimiento y agradecer las atenciones En la preparación de la Estrategia de Biodiversidad que nos han brindado en todo momento. y con apoyos para estudios sobre el cambio climático, En 1991, México ratificó su participación en la fase contamos en México con una gestión ejemplar coor- piloto del Fondo. Tras haber participado activamente dinada entre el Programa de Naciones Unidas para el en la Cumbre de la Tierra y comprometiendo su Medio Ambiente y el Programa de Naciones Unidas respaldo a la convenciones allí adoptadas, formalizó para el Desarrollo. en 1994 su participación en el GEF reestructurado. Recientemente, iniciamos la preparación de varios Hoy, celebramos con esta Asamblea la culminación proyectos en las cuatro áreas focales del GEF, ponien- exitosa del proceso para la reposición del Fondo. do en práctica la convicción de trabajar coordinada- Siete años han servido para consolidar no sólo la mente con las tres agencias y desarrollando un administración del Fondo sino destacadamente para enfoque de sinergia entre los objetivos de las conven- consolidar su posición como el instrumento inno- ciones con el objeto de lograr la mejor aplicación de vador por excelencia, para el financiamiento multilat- los recursos combinados del país y del GEF en eral al medio ambiente global. búsqueda de los objetivos ambientales compartidos. La cartera de proyectos, que no se habrían podido En la delegación mexicana están representadas realizar sin el apoyo del Fondo, atestigua la importante junto con la Secretaría de Relaciones Exteriores, la función que cumple y habrá de seguir cumpliendo en de Hacienda y Crédito Público, y la de Medio su carácter de catalizador del cambio. Ambiente, Recursos Naturales y Pesca; y destaco Innovar no es fácil, requiere de un instrumento ágil, esto no sólo porque es una muestra de la importan- inteligente y audaz para explorar nuevas opciones, pero cia que el Gobierno de México confiere a la cele- sobre todo para transformar las actitudes y las estruc- bración de esta Asamblea, sino porque es una con- turas de los gobiernos, los organismos internacionales, vicción que en la construcción de un desarrollo los sectores productivos y la sociedad de consumidores. sustentable, es necesario convocar los estuerzos de México se ha trazado como meta la promoción de todos los sectores. un desarrollo sustentable entendido como el balance El GEF, las convenciónes y la Comisión de Desarrol- de las variables económica, ambiental y social. El GEF lo Sustentable han compartido esta convicción de con- ha contribuido en el avance de los objetivos nacionales, vocar a los principales actores económicos y a la sumando de una manera creativa, sus recursos a los sociedad civil en la cruzada por el medio ambiente recursos del sector privado, del gobierno y de las agen- mundial. Especialmente, el GEF ha contribuido, a cies de cooperación. través de la viabilidad de proyectos ambientales, a unir Destacan por su magnitud, dos operaciones de la en la práctica a los sectores y grupos interesados, desar- fase piloto que permitieron constituir en México un rollando y desarrollándose en este terreno novedoso. fideicomiso de administración, ILUMEX, que com- Como un instrumento del cambio, como un binó recursos crediticios del Banco Mundial, recursos instrumento innovador, el GEF es un proceso de con- de la cooperación Noruega y una donación del GEF, strucción de consensos, de conocimientos y de medios para el ahorro de energía en el alumbrado público de para apoyar este cambio. Por ello, entendemos que el Instrumento que le da origen, ha determinado con ación permanente es indispensable en un proceso precisión el papel relevante del Consejo cuya función innovador como el que nos ocupa. de acompañamiento y orientación de las acciones del El seguimiento y eyaluación continuos contribuirán Secretariado es tanto más necesario en cuanto que se también a avanzar en los grandes temas que se perfi- trata de un proceso de aprendizaje e innovación. A lan para el próximo Consejo, entre los que destacan differencia de otras instancias donde las tareas y los la creación de Fondos para la Conservación, la posibil- métodos están predefinidos al momento de su idad de definir un costo incremental atribuible a riesgo creación, en el caso del GEF su consolidación es méri- para fomentar la inversión privada, analizar mecanis- to por igual del empeño del Secretariado como de la mos ágiles para incorporar acciones de Respuesta a orientación de su Consejo. Emergencias, y aún para incorporar a título experi- Esta Asamblea ha conocido de los logros del GEF. mental, nuevas agencias implementadoras para el Ello nos permite revisar como indica el Instrumento manejo inicial de pequeñas o medianas donaciones. en la definición de las funciones de la Asamblea, los Reitero a Ustedes nuestro reconocimiento al esfuer- grandes lineamientos de política que le rigen y formu- zo desplegado por el gobierno anfitrión y el Secretari- lar lineamientos de gran visión que habremos de eval- ado del GEF para la realización de esta primera Asam- uar al cabo de 3 años. Estos deberán apoyar la gestión blea del Fondo para el Medio Ambiente Mundial, a la continuada del Consejo, a través de sus reuniones familia GEF por la construcción de una venturosa semestrales y de los procesos intersesionales. alternativa para apoyar el tránsito hacia el desarrollo Coincidimos con las conclusiones del Estudio de sustentable en beneficio de las futuras generaciones; y Desempeño, del Informe del Secretariado y de el pro- en este reconocimiento reitero el compromiso de pio Consejo, relativas a la necesidad de reforzar los México de seguir compartiendo el reto de construir el mecanismos de evaluación y seguimiento. Una evalu- GEF del próximo milenio.

Statement of Myanmar U Ye Myint Minister Counselor, Embassy in New Delhi

would like to thank the Chairman for giving me representative of FAO who conveyed to me the good the opportunity to address this august Assembly news that the GEF Block B Proposal, “Environmental and to congratulate him and other members on Management of the Bay of Bengal Large Marine their election to the Bureau. Also, I would like to Ecosystem,” was approved by the GEF Secretariat. In Iexpress our sincere gratitude to the Government and this regard, I would like to convey our deep apprecia- people of India for their generosity and efficiency in tion to the GEF Secretariat. hosting this first Assembly of GEF. We hope that more funds and technical support Yesterday, I had the opportunity of meeting with a will be forthcoming to our region in the future. Statement of Nauru Kinza Clodumar President (on behalf of Pacific Island Country Participants)

n behalf of Pacific island country partici- We are pleased that responsible steps have been tak- pants in the GEF Assembly—namely, the en to start to address these issues. The recommenda- Federated States of Micronesia, my own tions proposed in the CEO’s report continue this work. country Nauru, Samoa, the Solomon While we are generally supportive of the range of rec- OIslands, and Vanuatu—may I congratulate you on ommendations proposed, there are specific issues that your election and on the guidance you have provided require elaboration. We will address six of these. throughout the deliberations of the Assembly. The first is a favourable enabling environment. The CEO in his report to the Council clearly high- The CEO’s report recommends increasing the lighted the interdependence of our countries and the awareness and understanding of the GEF’s role. It impact global environmental issues have on long- highlights the importance of the wide range of stake- term economic prosperity for us all in saying “Never holders that must be included in GEF activities and has the time for international cooperation to every understand environmental issues and the role of the nation’s own benefit been more ripe.” GEF at a national level. In our region, the roles of We must pick this ripe fruit now before it is no local communities and NGOs are critical to sustain- longer worth eating. able development. In this regard, the specific priority We are, along with our brothers and sisters of the recommendation contained in the study of the GEF’s Caribbean and Indian Oceans, referred to as Small overall performance for the translation of important Island Developing States, or SIDS. But we also think of information into local languages must be acted upon. ourselves as Big Ocean Developing States—BODS— To further create a favourable enabling environment, and, as such, we are custodians of vast reserves of bio- stakeholders must not only be aware but also be logical resources, both on the limited land and the active partners. There is nothing like “learning by expansive oceans we are responsible for. We therefore doing,” and in this regard the use of smaller scale have a special role and responsibility in international funding modalities—in particular, the GEF Small environmental affairs. Grants Scheme—would be especially valuable in We are trying to do our share in the international Pacific Island countries. The regional approach to arena. For example, we led the successful effort to delivery of the Small Grants Scheme proposed by ban radioactive waste dumping at sea. We have Pacific Governments in 1995 and now in place in the played an active role in climate change negotiations, Caribbean may be a good starting point. although we contribute negligibly to the problem. The second issue we wish to address relates to Regionally, we have prepared a Strategic Action Pro- country-driven activities and sustainability. gram for International Waters in the Pacific adopted Ensuring ownership and the sustainability of by heads of government in September last year; and impacts beyond the life of the GEF investment are since 1993, we have commenced 17 community- essential. In our region, communal ownership and based conservation areas throughout the region. traditional systems of management account for 80% Our experience has shown that, in the relatively of the land (often including the adjacent marine brief period since its inception, the GEF has played a area). The time taken to consult effectively with significant role in addressing global environmental resource managers is often lengthy but has proven to issues. The GEF has also played a significant role in be critical to the success of environment and sustain- these initiatives in our region, from its pilot phase able development initiatives in Pacific Island coun- and in its first replenishment since the instrument tries, and I am sure this is true elsewhere in the came into force. Like any new organization, there world. The time required can be significant, often have been growing pains. These have been related, for more than five years, and is often not taken into example, to the need to streamline delivery mecha- account in the project design and rules governing the nisms, to raise awareness of its role and procedures, delivery of funds. This issue must be addressed in and to harmonise approaches and mainstream the GEF projects and programmes if we are to act locally environment within its implementing agencies. and benefit globally. The third issue concerns the coordination of focal Closer working relationships between the GEF Sec- points and activities. retariat and the Convention Secretariats are actively Coordination is essential, but it is important to encouraged, as they have been in the past. In relation build on existing coordination mechanisms. The to the Kyoto Protocol, which we hope will come point is especially pertinent for us in the Pacific rapidly into force, it will be important to define the because the regional approach is a proven and effec- relationship between the GEF and the Protocol’s tive delivery and implementation mechanism. Pacific clean development mechanism. Island states, because of the very integrated nature of The sixth issue we wish to address concerns development, have grappled with the issue of coordi- enabling activities and capacity building. nation for many years. At a regional level, we have We are actively engaged in enabling activities, but established the South Pacific Organisations Coordi- further extensive capacity building is required for nating Committee that has been used very effectively— lasting impacts. In this regard, it is essential that any for example, in coordinating the development of the review of enabling activities look specifically at the Strategic Action Program for International Waters in capacity building required for effective implementa- the Pacific Region and its implementation proposal tion of GEF activities. The application and implemen- to be presented to the GEF. tation of GEF programmes to many different coun- The fourth issue is sector-based development and tries in a vast region also underlines the need for the costs of integrating the environment. continued information and dissemination and aware- Development is still largely focused by sector in ness raising of the GEF’s role and procedures and the our region. Yet we know that the interactions between streamlining of the project cycle. sectors, particularly in small islands, and the integra- As we move closer to harvesting this ripe fruit of tion and mainstreaming of environment is critical to international cooperation, may I reiterate our support sustainable development. It will be important for the for, and recognition of, the very positive approach GEF and its implementing agencies to demonstrate taken by the GEF. The issues are complex, but this through their projects and policies how to integrate meeting clearly demonstrates there is the commit- and mainstream the environment. ment necessary to invest wisely, to eat well. This The fifth issue concerns specifically the relationship group of shareholders looks forward to being actively between the GEF and the Climate Change Convention. engaged in the GEF as it develops further.

Statement of the Netherlands K.A. Koekkoek Director, Ministry of Foreign Affairs

t is with great pleasure that we have come to And the framework is there—the policies, the priori- New Delhi to take part in the first ever Assembly ties, the programmes. of the Global Environment Facility. The Nether- To put matters in perspective, however, even a per- lands would like to thank the Indian Govern- fectly functioning GEF will not be up to taking on all Iment for showing its hospitality in hosting this global environmental problems on its own—far from event. that. They are simply too large-scale. The proper role As this is both a serious and a festive occasion, I of the GEF is that of the pilot, or better even the tug- should like to make a few points that reflect both boat, guiding the relevant actors globally and locally elements. to a more sustainable course of development. In other The GEF has come a long way as has been made words, the ultimate goal is to mainstream global clear in the performance report. Not that all global environmental concerns into daily activities—the problems have been solved, or even sufficiently daily activities of multilateral organisations, national addressed. But the various actors—the conventions, authorities and development cooperation agencies. It the implementing agencies, the Secretariat—have is that role that the Netherlands is particularly keen managed to get their act together for the most part. to see fulfilled. We know it will be no easy task. For the GEF to play this role properly, many condi- For the GEF to play this role properly, it must tions must be fulfilled. As I said before, the policies, have credibility and clout. Credibility and clout priorities and programmes are there. But these must have been fostered by a successful replenishment. be allowed to evolve over time, to reflect changing Credibility and clout can be continually enhanced if perceptions and preferences. The GEF must be flexi- the actors within and around the GEF send out the ble and dynamic in addressing old and new concerns, same messages. where they are related to the four focal areas of the The Netherlands is convinced, judging by its past GEF, and always within its mandate of global benefits performance, that in the coming years the GEF will and incremental costs. Think of persistent organic be able to live up to our expectations. We think the pollutants, think of desertification to name just two. global commons deserve as much.

Statement of New Zealand Darryl John Dunn Director, Ministry of Foreign Affairs and Trade

e are a small contributor to the GEF, ways of engaging the small island states for whom and this year we are also representing problems like climate change are of vital importance. our constituency of New Zealand, the More and more in the future, however, the GEF will Republic of Korea, and Australia on need to focus on its own specialised role within a Wthe Council. wider global effort. The mainstreaming of GEF’s This first Assembly is an historic opportunity to objectives across development agencies and at the look at where the GEF has gone and where the future national level is the key to gaining maximum impact lies. from GEF’s limited resources. The GEF has only been in operation for a short For the GEF cannot do it all. Whether the prob- time, but it has made impressive progress in defining lems are local, regional or global, action on the envi- its role, its operational procedures, and its “family”— ronment begins at home. The response to problems the system of the Convention Secretariats, the imple- like climate change or the global loss of biodiversity menting agencies, the national focal points and the will not be effective if it is confined to action at the Facility itself—that determine what the GEF does and margins, or by simply penalising environmentally how it does it. unsustainable economic activity. The need is much Under the able leadership of its CEO, and with the more radical: economic development must be rein- guidance of its Council and participating states, the vented so that the private sector is motivated to pro- GEF has shown a constant determination to improve duce environmentally sound growth. This of course the focus, efficiency and effectiveness of its opera- goes for all countries, developed and developing. tions. The papers before this Assembly identify areas No amount of aid overlay will fix the fundamental where there is a need for more improvement. I will problem. Nothing the GEF or the implementing highlight three of them: the mainstreaming of GEF agencies can do will succeed in the long term unless objectives in the policies and programmes of the the productive sectors in the countries in which they implementing agencies, national governments and are operating have incentives for good environmen- other development agencies; the partnership with the tal performance within a responsible and coherent private sector; and a strong monitoring and evalua- regulatory framework. The role of governments in tion system. this is crucial, for they set the frameworks and need We are in early days for the GEF, which has still to the capacity to implement and monitor them. The make its mark in many countries. In order to mobilise GEF and other development agencies can assist in as many countries as possible, flexibility and respon- partnership with committed governments. But we siveness to local conditions remain important. I must also look at innovative, commercially sustain- would like to make special mention of our own South able ways, such as the Kyoto Protocol’s clean devel- Pacific region: the GEF needs to find cost-effective opment mechanism, to promote the transfers of investment and technology needed by developing monitoring and evaluation programme is essential countries. for informed judgments of GEF performance whether We are concentrating now on making the GEF a at the project or the global level. We will be seeking more efficient operation, more effective in its out- an assessment of GEF’s global impacts, at least by puts, and more widely involved in developing coun- commencement of the third replenishment. tries. We must, in the future, look to the outcomes we However efficient the GEF may be, however “fit” expect in terms of the four focal areas and what differ- the organization, it will not succeed except as part of ence the GEF has made to achieving them. A sound the widest global effort.

Statement of Niger Kimba Hassane Councillor, Executive Secretariat, National Council of the Environment for Sustainable Development

otre brillante election à la Presidence de présentes, les considérations suivantes auxquelles cette Première Session de l’Assemblée du mon pays attache une importance particulière: Fonds pour l’Environnement Mondial ■ Faire du FEM un mécanisme souple et permanent nous offre l’agréable occasion de vous de financement des plans, programmes et projets Vprésenter nos vives félicitations ainsi que nos voeux pour la préservation de l’environnement globale. de succès dans l’accomplissement de votre noble et ■ Développer une stratégie d’information et de sensi- exaltante mission. bilisation à travers les groupes cibles (partenaires au Au Président, Directeur Général du FEM, Son Excel- développement, société civile, structures étatiques). lence, Monsieur Mohamed T. El-Ashry, et à toute son ■ Elaborer un plan d’actions afin d’assurer une équipe, je voudrais au nom de la délégation nigéri- meilleure coordination et suivi des activités du FEM. enne exprimer notre total soutien, et nos vifs encour- La priorité pour le Niger, comme l’a dit à plusieurs agements pour la poursuite du remarquable travail reprises le President de la République, Son Excellence accompli ainsi que toute notre appréciation pour la Monsieur Ibrahim Maînassara Bare, reste et demeure constante disponibilité dont ils ont fait preuve. la lutte contre la pauvreté pour un développement Point n’est besoin de rappeler que mon pays, le humain durable. Niger, pays sahélien souffre déjà des conséquences con- C’est l’objectif qui a présidé à la création en 1996 au traignantes de la dégradation de l’environnement qui Niger, d’une structure nationale de coordination en assaillent le monde, j’ai nommé ici: changements et matière de politique environnementale: le Conseil variabilité climatiques caractérisés par une persistence National de l’Environnement pour un Développement de la sécheresse depuis le début des années 70; le Durable, cadre permanent de consultation, d’orienta- phénomène el Niño et la Désertification avec ses con- tion, d’harmonisation et d’intégration des aspects envi- séquences sur la conservation de la diversité ronnementaux des politiques sectorielles de développe- biologique. Aussi, avec ces problèmes environnemen- ment économique et social. Cette institution nationale taux il faut s’attendre à des effets négatifs qui vont per- comportant des structures décentralisées et des com- turber nos économies, à rendre nos récoltes aléatoires, missions techniques parmi lesquelles la commission à rendre difficiles les remboursements de nos dettes; à technique nationale sur le financement du Plan compromettre nos équilibres sociaux pour tout dire. National de l’Environnement pour un Développement Pour nous, l’Assemblée de New Delhi représente le Durable, la commission technique nationale sur les Forum où nous devons examiner les politiques, les changements et variabilité climatiques, la commission opérations et les perspectives de développement du technique nationale sur la Diversité Biologique et la Fonds pour l’Environnement Mondial. commission technique rationale sur la Lutte contre la Aussi, je ne manquerai pas de porter à la bienveil- Désertification. Toutes ces structures vent chargées de lante attention des éminentes délégations ici coordonner et de superviser la mise en oeuvre des dif- férents programmes et projets relevant du domaine de souples de mise en oeuvre des micro-financements et l’environnement qui seront financés par le FEM. déterminer des indicateurs de performances en vue Je voudrais à ce niveau préciser que mon pays, le Niger, d’évaluer les impacts des projets sur l’environnement. grâce au soutien du Programme des Nations Unies pour Il nous faudra enfin aussi élaborer un mécanisme de le Développement et du Fonds pour l’Environnement suivi des recommandations issues de cette Assemblée. Mondial prépare actuellement sa première Communi- C’est pourquoi, Monsieur Le Président, nous prions cation Nationale sur les Changements Climatiques, sa à travers vous le President Directeur Général de bien Stratégie et son plan d’ action en matière de diversité vouloir, en collaboration avec les institutions spécial- biologique. C’est aussi, l’occasion de remercier ces deux isées des Nations Unies, d’examiner la possibilité de institutions pour ce precieux concours. financer la mise en oeuvre du Plan National de l’Envi- Pour faire face aux conséquences des problèmes ronnement pour un Développement Durable dont environnementaux dans un pays comme le Niger, il notre pays sera doté au cours de cette année. faudra nous le savons tous, aussi bien des ressources Je ne saurai terminer mon allocution sans financières qu’un transfert de technologies, transfert remercier vivement le Gouvernement de l’Inde et la au sens global de renforcement des capacités population de cette magnifique cité de New Delhi nationales à travers les structures étatiques et la société pour l’accueil combien chaleureux dont nous avons civile. Il nous faudra aussi déterminer des modalités été l’objet.

Statement of Nigeria Ralph O. Adewoye Director-General, Federal Environmental Protection Agency

would like to congratulate the Chairperson on date. My delegation especially welcomes the GEF over- his election to steer the affairs of this august all performance in the areas of biological diversity Assembly and wish him and other members of and climate change, particularly in its ability to lever- the pioneering Bureau of the GEF Assembly a age additional funding for global environmental ben- Ivery successful tenure. I would also like to thank the efits from both implementing agencies and other Government and people of India for the kind gesture funding sources. We therefore commend the new drive to host this very first meeting of the GEF Assembly. towards private sector participation in GEF activities My delegation also wishes to commend the GEF Sec- and would urge that further encouragement of private retariat under the able leadership of Mr. Mohamed El- investors through innovative risk-sharing instru- Ashry, as well as the GEF Council for taking this spe- ments such as loan guarantees be favourably considered. cial initiative to organise the Assembly and associated I am delighted to inform this Assembly that in meetings outside Washington which has been the addition to our past contributions and commitments, traditional venue for most GEF events. Nigeria has further pledged the sum of SDR 4 million I recall with delight Nigeria’s active participation in towards the second GEF replenishment and is poised the work of the preparatory committees of the United to play a more active and collaborative role with the Nations Conference on Environment and Develop- entire governing structure of GEF and indeed other ment as well as the country’s role in the adoption of participating governments. Agenda 21 at the Rio Conference, which gave recogni- My delegation wishes to observe that there is a low tion to GEF as a major financial mechanism for achiev- level of GEF funding for environmental activities in ing sustainable development. the countries of the West African Sub-region. I also From the GEF pilot phase, through its restructuring wish to draw the attention of this Assembly to the in March 1994 shortly after which Nigeria deposited suspension of the US$25 million Escravos Flared Gas its notification of participation and up till this very Reduction Project due to what was termed the macro- moment, Nigeria has watched with keen interest the economic policy framework of the country. The proj- tremendous progress the GEF Governing Structure ect was negotiated during the GEF pilot phase. has made towards the fulfillment of its onerous man- In view of our experience, it is pertinent that this Assembly discusses the rationale behind the making projects. In performing these roles, consideration of GEF grants or concessional financing contingent should be given to the involvement of regional to extraneous issues such as economic adjustments, experts in order to ensure the regional ownership of trade liberalization, and institutional reforms in GEF projects, among other reasons. developing countries. The question is “will such link- With the second GEF replenishment almost com- ages not frustrate our collective resolve to implement pleted, Nigeria hopes to cover the backlog of potential Agenda 21 and the environment conventions, there- projects through the submission of viable proposals by slowing down the global march towards sustain- in the areas of biological diversity and climate change able development?” Permit me to state that environ- for possible funding by GEF. Towards this end, the mental problems of global importance cannot wait country has established an inter-ministerial committee for fundamental reforms to take place at the national to scrutinize project ideas for subsequent review by level before action could be taken to address them. the GEF Secretariat and the implementing Agencies. In considering the policies, operations and future Finally, the issue of the composition of the two development of the GEF, Nigeria would like to support constituency groupings for West Africa on the GEF the International Finance Corporation’s search for Council is yet to be resolved. My colleagues from the potential projects under its small and medium enter- Sub-region would ask that this Assembly resolve this prise activities which are of benefit to the global envi- issue once and for all. This would be in accordance ronment. Emphasis on the development of a viable with the decision of the 18th Summit of Heads of GEF outreach and communication strategy, enhancing States and Governments of the Economic Communi- the capacity of operational focal points, and involve- ty of West African States (ECOWAS), held in Accra, ment of stakeholders—particularly NGOs—at the differ- Ghana, in July 1995, as elaborated by both the 38th ent stages of the GEF project cycle should be continued. and 39th Sessions of the ECOWAS Council of Minis- Of particular importance to my delegation are the ters. It is my hope that the consent of all concerned crucial roles of STAP in providing strategic advice on parties shall be communicated to the GEF Secretariat global environmental issues and selective review of before the end of this Assembly.

Statement of Norway Leiv Lunde State Secretary, Ministry of Foreign Affairs

t is a great honour and pleasure for me to address ronmental objectives under the conventions that the first Assembly of the Global Environment GEF is constructed to serve. The Kyoto Conference Facility on behalf of the Government of Norway. was the latest, and hitherto strongest, confirmation May I at the outset express our gratitude to the of this point. Does this, however, imply that GEF IGovernment of India and the authorities and popula- alone should take on its shoulders the responsibility tion of New Delhi for hosting this important event. for achieving global environmental benefits? The Firstly, allow me to express our satisfaction that the answer is quite clearly NO. The risk may be there, second replenishment of GEF was agreed shortly God forbid, that we now, post-Kyoto, enter into before the Assembly. It has been a particularly impor- unproductive institutional rivalries over who should tant point for my country—which contributes to GEF implement the flexibility mechanisms decided in nearly three times our relative share in the UN bud- Kyoto. Within the family of global environmental get—that all donor nations respond fully and equi- institutions, there must and will be plenty of room– tably to the collective challenge of global environ- tasks and challenges for all in a, hopefully, rapidly ment objectives. We have nearly achieved this expanding market for greenhouse gas mitigation. The objective and, on balance, an even stronger working Kyoto Protocol holds promise for this. capital basis than for GEF I. The challenge at present for member states of both Importantly, the GEF replenishment comes at a GEF and of the global conventions is to think in time when increasing priority is put on global envi- terms of policy consistency. A cautious and rational approach is called for. We must attempt to define the objectives set forth by the Conventions and their complementary and mutually supportive tasks and respective COPs. It all boils down to exploiting the roles of GEF and of the market-based instruments catalytic role of GEF in pioneering and mainstream- under the Kyoto Protocol in such a way that the over- ing global environment objectives. The tasks of all objective of greenhouse gas reductions is achieved implementation should gradually be picked up and in the most cost-efficient way. The same accounts for further realized by other agents than the GEF, includ- the institutional challenges which the new Executive ing the market itself. Director of UNEP, Mr. Klaus Toepfer, and the mem- Two final observations. GEF’s tools to monitor, ana- bers of his task force are mandated to handle within a lyze and evaluate its own activities on the basis of short time span. I wish them every success in their agreed indicators must be further sharpened. Our efforts to reinvigorate and strengthen the work of the improved ability today to discuss meaningfully the UN system within the field of the environment. Their successes and failures of GEF relies primarily on a job work should be tightly linked with the overall UN well done of monitoring and evaluation. reform efforts spearheaded by the Secretary General And finally, the urgency of GEF being country-dri- himself. Norway and the other Nordic countries are ven and anchored in a strong sense of country own- following this process closely, as overdue reforms are ership cannot be stressed enough. I fully support the moving from the world of UN resolutions to often proposed guidelines for follow-up action by the painful implementation in the field. Council as spelled out in the policy recommenda- Moreover, in our view, the evaluation studies—not tions agreed in connection with the second replen- least the independent study of GEF’s overall perfor- ishment. I look very much forward to specific propos- mance—clearly indicate the need for GEF to continue als for action to be prepared in this respect on ways to concentrate on its main task: to gain gradual sup- and means to strengthen country-level ownership port, acceptance and active cooperation in realizing and coordination.

Statement of Pakistan Ashraf Jehangir Kazi High Commissioner for Pakistan in India

hen in 1992 more than 100 leaders The response to this message was the establish- met in Rio de Janeiro at the First ment of the Global Environment Facility as a finan- Earth Summit—United Nations cial mechanism; a three-year pilot phase started in Conference on Environment and 1991 and the restructured phase in 1994 (1994–97). DevelopmentW (UNCED)—the promotion of interna- The first GEF Assembly here in New Delhi is, there- tional cooperation for the protection of the global fore, a timely opportunity to evaluate the working of environment was in its infancy. The UNCED at the the Global Environment Facility: to take stock of the time, however, was clear. The rich and the poor challenges it confronts and to provide new funds for shared a common if differentiated responsibility for the second replenishment 1998–2002 period. protection of the future of the planet. The rich Pakistan, as one of the founding members of GEF, industrialized countries were overwhelmingly pledged a contribution of 4 million SDR. Since then, responsible for the state of pollution and environ- it has regularly contributed its share to the GEF Trust mental degradation of the planet, and they Fund. Pakistan also shares the responsibility of repre- remained the chief polluters of the earth and its senting the constituency it belongs to on the GEF biosphere. It was also acknowledged that protection Council. We are accordingly gratified by the confi- of the global environment in its initial phases dence reposed in Pakistan. could never be a function of market operations, The existing GEF projects portfolio in Pakistan is and that it needed to be supported by extra market small. However, we are working closely with the mechanisms which provided feasible access to implementation agencies of GEF to expand it. There finance, technology and other resources. are, nevertheless, genuine difficulties, such as fully understanding the concept of “agreed incremental rate than resources are becoming available. This has costs,” amongst the prospective project proponents. serious implications both for the local as well as the There is also lack of progress in mainstreaming global global environment. The active and effective GEF will environment concerns in the ever-expanding agenda enable these countries to develop practical ideas for of national and local environmental issues. There is the implementation of the Conventions on Climate inadequate operational capacity of GEF focal points. Change and Biological Diversity. Accordingly, we The financial sustainability of projects needs to be request that countries that are in a position to do so strengthened, and the GEF implementing agencies’ should pledge adequate resources for the GEF replen- project approval cycles need to be shortened. There is ishment so that the global environmental protection also a lack of awareness of the GEF and of global programme agreed to at the Earth Summit in Rio is environmental issues. realized. On our part, we shall continue to ensure full partic- In sum, I would like to reiterate the tasks that con- ipation of the stockholders in project preparation and front this programme, namely: implementation. In this connection, I would like to ■ How to ensure GEF reaches and benefits the com- particularly mention the GEF-funded project, Main- mon man. The Facility is at present only known to a taining Biodiversity with Rural Community Develop- few institutions and concerned individuals. ment in Pakistan, which has led to the preparation of ■ How to ensure that GEF becomes a reliable and (a) village management plans, (b) village resource con- dependable source of funding, particularly for relat- servation plans and (c) village conservation funds. ed development sectors, like health, education and The lessons learned from this pilot study will be part water. of the Pakistan Mountain Areas Conservancy Project ■ How to increase the size and number of effective for the conservation of the biological diversity of these GEF projects, in the absence of which environmental areas. We appreciate the GEF’s support. The results of issues will remain a secondary priority for the com- these efforts are available to other countries for simi- mon man in developing countries. lar community-based projects for biodiversity and ■ How GEF funds can leverage additional resources wildlife conservation. from the private sector, especially the multinationals The world is changing very fast. The dynamics of and other donors, for global environment and influ- global economy have changed some of the premises on ence state policies in favour of environment. which UNCED agreements (Agenda 21, etc.) were based ■ How GEF can be made an instrument for the uplift and programmed interventions, such as GEF, were insti- of people, rather than subjecting them to the rigor- tuted. The concept of sustainable development is being ous calculations of incremental costs. greatly influenced by accelerated economic develop- I hope the GEF General Assembly will deliberate ment, trade, investments, technology and environment on all these issues and recommend concrete actions and the need for their integrated treatment. in order to make GEF a reliable source of financing The environmental conditions in the developing global environmental activities in concert with local countries are, however, deteriorating at a much faster and national initiatives. Statement of Panama Dimas Arcia Subdirector General, National Institute of Renewable Energy Resources

a delegación de Panamá le expresa su saludo dulce para el paso de cada barco. Por tanto, el Canal fraternal con los cálidos votos que hacemos necesita una cuenca hidrográfica sana y preservada. por el éxito de su dirección de esta Primera Panamá es un país pequeño que debe su nombre a Asamblea del Fondo para el Medio Ambiente la abundancia de vida vegetal y animal. A pesar de la LMundial (FMAM). depredación histórica y de los accidentes naturales, el En nombre del Gobierno y del Pueblo de Panamá territorio panameño sigue teniendo una gran diversi- agradecemos al Gobierno y al Pueblo de la India, por dad biológica. la acogida a nuestra Asamblea. En esta acogida La aprobación por el FMAM del Proyecto Corredor espléndida, se refleja la tradición de generosidad de la Biológico Atlántico es el más reciente fruto de nuestra India. búsqueda de financiamiento para hacer frente a las La delegación de Panamá ha venido a esta lera. amenazas naturales y a las amenazas antropogénicas, Asamblea del Fondo para el Medio Ambiente Mundi- propiciadas por la pobreza rural. al confiada en que este encuentro confirmará y adi- Este Proyecto tiene además el prestigio de confor- cionará voluntades al compromiso de seguir recor- mar el gran Proyecto Corredor Biológico Mesoameri- riendo amplias avenidas de cooperación financiera y cano, cuya ambición más alta es la de contribuir, en técnica con vistas a la superación de los grandes prob- el plano ambiental, al desarrollo sostenible de toda la lemas que confronta el medio ambiente mundial. región mesoamericana. Han transcurrido 4 años desde que el FMAM fue Con la cooperación y financiamiento internacional reestructurado bajo el impulso de la Agenda 21 y se empezará a ejecutar próximamente un Proyecto como instrumento o mecanismo financiero de la para el Desarrollo Sostenible de Darién. Se trata de un Convención sobre Diversidad Biológica y de la Con- Proyecto localizado en la región fronteriza con vención Marco Sobre Cambio Climático. Colombia, que es un territorio particularmente rico En este mismo periodo, Panamá ha dado pasos en recursos forestales y en general en diversidad vege- hacia adelante, ha cumplido etapas importantes en tal y animal. El éxito de ese proyecto significará, entre relación con sus compromisos internacionales. Para otros logros, aliviar la pobreza y por esa vía asegurar mi delegación es muy grato venir a esta Asamblea del el medio ambiente de una región llena de promesas. FMAM y afar cuenta de que la Asamblea Nacional de En Panamá esta ocurriendo, Señor Presidente, una Panamá ha dado tratamiento en primer debate de la adecuación legislativa e institucional que se lleva a Ley marco del Medio Ambiente, fruto de un proceso cabo gradualmente pero que en definitiva es un salto de consultas y concertación entre todos los actores de cualitativo de nuestra preparación para el siglo XXI. la vida nacional. Esta ley articula y armoniza el papel En los últimos 4 años se ha creado la Autoridad de del Estado panameño en materia de medio ambiente. la Región Interoceánica, la Autoridad Marítima Próximamente, el 31 de diciembre de 1999, Nacional y, luego de aprobada la Ley General de Panamá será responsable de la operación, adminis- Medio Ambiente que he mencionado anteriormente, tración y protección del Canal de Panamá. Este es un quedará creada la Autoridad Nacional del Ambiente y tema que tiene una comprensible carga emocional de los Recursos Naturales. para los panameños, pero en el plano de los asuntos El Gobierno y el Pueblo panameño animan estos que razonablemente interesan a la comunidad inter- actos con dosis saludables de fe en el futuro. No nacional, lo importante es la continuidad de los servi- estimulamos pesimismos estériles y somos con- cios del canal como puente de intercambios benéficos scientes de que tenemos problemas ambientales para todo el mundo. nacionales que debemos resolver con una visión Panamá tiene asegurada la capacidad de operar el global. canal, el cual necesita de mano de obra calificada y de En diciembre de 1997, acudimos a la cita de Kyoto altas competencias gerenciales. para hacer progresar las negociaciones entre las Partes En el mismo orden de cosas, el Canal necesita para de la Convención de Cambio Climático. su funcionamiento de 50 millones de galones de agua Panamá esta dispuesta a capacitarse mejor para contribuir a la reducción de emisiones de gases con Sostenible de las Naciones Unidas y Miembro Alterno efecto de invernadero con vistas a que toda la del Consejo Ejecutivo del Fondo para el Medio Ambi- humanidad pueda beneficiarse de una atmósfera ente Mundial. En ambos mandatos hemos actuado limpia. con afirmada voluntad de servir a las causas que son Hemos ratificado la Convención sobre Desertifi- comunes a todos los aquí reunidos en esta primera cación y en el plano regional participamos de todos Asamblea General del FMAM. los foros, esfuerzos y mecanismos que deberían con- Con la misma inspiración y convicciones, expre- ducir al cumplimiento de una agenda para el medio samos nuestra coincidencia con las reflexiones que ambiente que sea una contribución regional a la están delineadas en el documento GEF/A/1/8 titulado problemática global. Informe del Funcionario Ejecutivo Principal sobre Esta primera Asamblea del Fondo para el Medio Políticas, Operaciones y Futuro Desarrollo del GEF. No Ambiente Mundial es una ocasión privilegiada para debemos tener miedo a las innovaciones ni al cambio. expresar nuestro reconocimiento a la labor pionera y El GEF está destinado a ser un mecanismo que debe hasta ahora única del FMAM como fuente eficiente, sustentarse en la asociación (su “partnership”) con multilateral de financiamiento. En la Secretaría del todos los actores posibles de la acción global, en una FMAM apreciamos la excelencia de su personal y el congregación de recursos, de esfuerzos y de logros. liderazgo y competencia de su principal responsable Panamá diré siempre “presente” en la serie apasio- Mohamed El-Ashry. Exaltamos la presencia inde- nante de convocatorias globales en favor de la sal- fectible del Programa de Naciones Unidas para el vación del planeta y de todos sus habitantes. Desarrollo PNUD en los países a través de su sistema La Delegación de Panamá coincide con otras dele- de representantes residentes y de la eficiencia en gaciones que han puesto énfasis en la necesidad de estimular el uso de las capacidades nacionales para los no desestimar la urgencia de recursos nuevos y adi- proyectos relativos al ambiente. cionales. Hay que tener siempre presente la diferen- Celebramos la solvencia financiera del Banco ciación de las responsabilidades compartidas. La ayu- Mundial y la calidad profesional de sus agentes. En el da oficial para el desarrollo no debe confundirse con Programa de las Naciones Unidas para el Medio Ambi- los recursos puestos a disposición del GEF. Recipientes ente (PNUMA) reconocemos su papel de gestor princi- y donantes debemos mantener una misma valoración pal para lograr un cambio positivo en la conciencia de que el esfuerzo recientemente terminado para la ambiental dentro del sistema de las Naciones Unidas y segunda reposición de fondos (replenishment) del lo alentamos en el reforzamiento de su misión de GEF es un logro que merece un común sentimiento establecer una agenda global para el Medio Ambiente. de satisfacción. Nada fundamenta decir que otros Panamá es miembro de la Comisión de Desarrollo caminos serían mejores sin la existencia del GEF.

Statement of Peru S.E. Carlos Higueras-Ramos Ambassador to India

s para mí un honor dirigirme a esta asamblea que nos permitan encontrar las soluciones más ade- en representación del Perú, para compartir cuadas para los mismos. Los efectos que el fenomeno con ustedes algunas reflexiones en torno al el Niño esta causando actualmente son una tema ambiental y al papel que cumple el fon- demostración de la necesidad de enfrentar estos doE para el medio ambente mundial en el logro de un desafios de manera conjunta, tanto en el área cientifi- desarrollo social y económico sostenido, acorde con ca como en el área económica. el reto del nuevo siglo. No cabe duda que la conciencia ambiental es hoy El tema ambiental es una materia compleja, tran- más sólida en todo el mundo, de lo que era hace ape- sectorial y global que demanda la ampliación de nue- nas una década. El acceso a la información sobre los stro conocimiento cientifico y el desarrollo de nuestra problemas ambientales que hoy afectan a la capacidad nacional para identificar nuestros proble- humanidad y la urgente necesidad que existe de mas ambientales y de proveernos de las herramientas enfrentarlos para mitigar sus efectos, han generado una serie de legítimas demandas y expectativas de En los diferentes foros en los que se hace el nuestros pueblos y que los Estados se ven en la seguimiento de los compromisos de Rio y en las necesidad de atender. reuniones de las partes de los convenios acordados La Conferencia de las Naciones Unidas sobre el entonces, constituye una constante preocupación el Medio Ambiente y Desarrollo de 1992, que está tema del financiamiento. Asi lo fue manifestad por muy cerca aún, se propuso enfrentar el reto de ejemplo, en la ultima reunión preparatoria para la alcanzar una era de alerta ambiental sin prece- Cuarta Conferencia de las Partes Del Convenio sobre dentes, con el propósito de dar inicio a un nuevo Diversidad Biologica o en el XI Foro de Ministros de modelo de civilización en la que se abra campo a Medio Ambiente de America Latina y el Caribe, real- una relación más integrada y armónica entre el izadas en lima, en marzo ultimo. Ambiente y el Desarrollo. Es por ello que el reciente acuerdo logrado sobre la Cada vez resulta más claro que el deterioro ambi- reposición del Fondo para el Medio Ambiente Mundi- ental se debe, en gran medida, a la puesta en práctica al es una decisión que satisface al Perú, pues consti- de diversos modelos de desarrollo que hasta hace tuye una clara señal de la voluntad que existe de poco eran considerados como la única forma viable reforzar este importante mecanismo financiero y nos de alcanzar el crecimiento económico al que aspira- da la esperanza de que los próximos años serán testi- ban todos los países, para poder satisfacer las necesi- gos de la puesta en marcha de nuevos proyectos asi dades básicas de sus pueblos. como de la canalización hacia estos propositos de Esto ha hecho que muchas naciones de menor recursos nuevos y adicionales. desarrollo, luego de haber experimentado esos mode- Agradecemos al Señor El-Ashry por su activa y los de desarrollo y agobiadas por la responsabilidad dinámica dirección d el Fondo, por la eficiencia con de tener que solucionar los graves problemas de ali- la que ha cumplido los encargos del consejo y que mentación, salud y educación de sus poblaciones, queda demostrada con los excelentes estudios que ha sientan hoy que se les está imponiendo la obligación sometido a considéracion de los gobiernos. adicional de tener que buscar y poner en práctica Sirva esta oportunidad para reafirmar el compromiso modelos de desarrollo alternativos, para los cuales no asumido por el Peru en lo que respecta a la protección existen antecedentes ni ejemplos pràcticos que per- del ambiente mundial, que se refleja en su activa partic- mitan garantizar su buen resultado. ipación en los diversos foros internacionales en los que Progresivamente, la comunidad internacional va se discuten los temas identificados como prioritarios en tomando conciencia de que la manera de enfrentar la Cumbre de la Tierra y que hoy constituyen las áreas los desafios ambientales que enfrenta el mundo actu- focales en las que se concentran las actividades del Fon- al—y es para ese objetivo que estamos hoy reunidos do para el Medio Ambiente Mundial. Este reto para en la India, en esta asamblea—es apoyando a los país- nuestro país es una obligación ineludible, si se tiene en es en desarrollo en la búsqueda de soluciones a los cuenta los ingentes recursos ecologicos y vastos bosques problemas económicos que los afectan. La creación tropicales con los que cuenta. Esto nos permite contar del fondo del medio ambiente mundial fue una el dia de hoy con una diversidad biológica que parece primera respuesta imaginativa ante este imperativo. ser una de las más variadas y ricas del planeta, lo que se La asamblea que hoy nos congrega debe evaluarlo y debe en gran medida al valioso trabajo desarrollado por orientar su perfeccionamiento. las poblaciones nativas de nuestro país a lo largo de El Funcionario Ejecutivo Principal del Fondo, miles de años de su historia. Señor Mohamed El Ashry, nos ha presentado una Permítame expresarle, en nombre de nuestra dele- reseña sobre las politicas y operaciones del fondo y gación, mi felicitación por su elección para presidir nos ofrece lineamientos para su evolución futura. Este esta Primera Asamblea del Fondo para el Medio documento nos permite apreciar los logros alcanza- Ambiente Mundial, que estamos seguros concluirá dos, los desafios que debera enfrentar, pero sobre con importantes acuerdos destinados a asegurar un todo sus posibilidades en el futuro. mejor futuro ambiental para toda la humanidad. Statement of the Philippines Delfin J. Ganapin, Jr. Undersecretary for Environment, Department of Environment and Natural Resources

he Philippines, in this our centennial year— enabling workshops on this. The message is clear—the in our celebration of 100 years as a free best argument for the GEF are the on-the-ground and nation—wishes to greet all our partners in highly relevant and participatory projects that are this Assembly in the traditional way we innovative enough and designed flexibly enough to greetT good friends, and that is by saying “Mabuhay.” bring local needs and GEF’s global focal areas together. To say “Mabuhay” means to wish a “long and good The GEF at this point is not that much of a hard life” to those we give the greeting to—exactly what sell anymore. While the study of GEF’s overall perfor- we wish to achieve for our planet Earth and its people mance did not emphasize this as an accomplishment, through the Global Environment Facility. by all of us in general, and by the CEO, the GEF Sec- The Philippines also directs this special greeting of retariat and the Council in particular, the increased “Mabuhay” to the Government of India for their institutional acceptability of the GEF is indeed an excellent preparation and hospitality as host to this accomplishment. first Assembly of the GEF, thus allowing all of us to The increased acceptability of the GEF was the rea- further strengthen our alliance and joint efforts son for the Philippines’s attempt to also be a donor under GEF. country during the GEF’s replenishment process. The Mr. Chairman, allow us to be frank in saying that economic and financial crisis, however, that hit our at the beginning, the Philippines, together with region also affected the Philippines and forced us to many other developing countries, was wary of the postpone such a financial commitment. Neverthe- concept and agenda of a Global Environmental less, we commit to provide counterpart resources, as Facility. Many of us here can still remember the much as we can generate ourselves or leverage, to long contentious debates and negotiations we have support existing and future GEF projects in the had in the preparatory meetings leading to Rio, in Philippines or within our region. We commit to sus- Rio itself, and in the succeeding Conference of the tain on our own those which have already been started. Parties to the Conventions. Extreme efforts have We shall not rest till we can with pride truly say that had to be exerted, even some measure of diplomatic the Philippines is indeed a key “shareholder” of the arm twisting, for GEF to be accepted as the financ- Global Environmental Facility. ing mechanism. There is, however, still a lot to be done. GEF’s true Over time, however, the implementation of GEF- potential has not yet been fully utilized. With greater supported projects and the initial benefits derived experience from many ongoing projects, there is no from such projects created more convincing argu- reason why the project cycle cannot be shortened. ments in favor of the GEF. In the Philippines, great The GEF can also be more proactive in project or pro- flexibility was exercised by the GEF, the World Bank gram development especially on concerns that go and the Philippine Government in giving the imple- beyond national boundaries as long as country par- mentation of a $20 million macro-GEF biodiversity ticipants fully agree. One example of this is the project, in a desire to be closer to grassroots stake- recently approved global or international waters holders, to a consortium of Filipino NGOs, some of assessment to be implemented on regional levels. whom were even then recent antigovernment and From our region, other examples of such a proactive anti-GEF activists. Filipino environmentalists in the approach include regional programs that would deal civil society and their grassroots partners were also with the seriously growing pollution of the East Asian benefited through the Small Grants Program which is Seas or a program that would manage sustainably now, in the Philippines, on its way to being locally large marine eco-regions such as the Sulu-Celebes Sea. institutionalized as an independent and sustainable These types of projects and programs that bring small grants mechanism. together several countries are undeniably more com- The Philippines will soon add the Mid-Size Grants plex and difficult but they bring us closer to the Program of the GEF in its overall portfolio as the GEF, meaning of “global effort,” especially in the focal area World Bank and UNDP have already supported the of international waters. We do agree that we need to bring the private busi- Let me end by noting the similarity of our situa- ness sector into our fold. But we must make sure that tion to that faced by the heroes of the Philippine they would indeed bring in new and additional Revolution for independence 100 years ago. They resources and that our joint projects with them do only had bamboo spears against guns and cannons. not decrease the importance we give to meeting the We have several billion dollars against the trillions needs of local people at the grassroots. needed for the shift to sustainable development. Lastly, the new innovations coming in, such as the Our heroes then in their revolutionary initiation participation of the private business sector, the use of committed to the belief that “we will be free, if we economic instruments, the joint implementation and have courage, if we persist, and if we are united.” clean development implementation arising out of the The Philippines now is celebrating our 100th year of Kyoto Protocol, will require first a common under- freedom. standing of what these measures or innovative mech- We in the Philippines are thus confident that the anisms are as well as intensive capacity building and GEF will also meet its goals “if we have courage, if we information campaigns at the local levels. persist, and if we are united.”

Statement of Poland Jan Krzystof Mroziewicz Ambassador to India

hose who were involved in the negotiations not. The answer to that question seems obvious. of the GEF instrument in 1993 had a sense They are not. However, we have to realize that the of participating in the establishment of a era of the so-called easy money is over. Governments new structure based on different institu- face ever-increasing difficulties in generating Ttional cultures of the business-oriented World Bank resources for public funding, and that seems to be a and political consensus-seeking United Nations. Fol- worldwide phenomenon. This is why Poland lowing the dramatic developments in Cartagena de wishes to extend its gratitude to donors for provid- los Indios in December 1993, few imagined that the ing funds for GEF and to express its hope that the system could work in a manner which is efficient and consecutive replenishments will prove the growing satisfactory to all participants. Rich in the experience commitment to GEF goals translated into the of the last four years, we know that being creative increase of resources available for the Fund. It is and innovative in our approaches brings long-term indeed an encouraging sign to see so many develop- positive results. I wish to take this opportunity to pay ing countries contributing to the Facility. tribute to all those who have worked in the GEF, both Taking into account the limited scope of resources, as Council members as well as in the Secretariat, and GEF has to play a catalytic role in leveraging other developed working standards which allow efficient funds, especially from the private sector. We have to and smooth implementation of projects while taking encourage the private sector to fulfill its role in sus- into consideration often extremely difficult political tainable development. GEF could serve as an instru- sensitivities. It is only by understanding the main ment of turning businesses’ attention to the new objective the Facility is serving, which is the preserva- market opportunities. In Kyoto, for example, we tion of the global environment for future genera- heard voices coming from a number of industrial tions, that allows such prevailing consensus. branches which perceive the Kyoto Protocol as a The basic question remains (as many of my pre- great opportunity for energy-efficiency investments. decessors already observed) as to whether the funds This spirit seemed to prevail over the heavily publi- available for funding the Rio Conventions on Cli- cised lobbying against the Kyoto Protocol which mate Change and Biological Diversity as well as accompanied us during the entire negotiation additional funds for projects in the area of interna- process. tional waters and protection of the ozone layer and As an example of GEF’s involvement in the private those related to land degradation are sufficient or sector, let me mention a GEF project in Poland on efficient lighting which helped to develop a whole discussing the Small Grants Programme and Medium- new market for component fluorescent lamps (CFLs). Sized Projects window is their potential in developing Many companies enthusiastically grabbed this newly into full-scale projects that meet all GEF regular criteria. opened market niche, while GEF projects helped also We also see a growing role for GEF to become a in building awareness and market confidence in vehicle for strengthening regional cooperation through these products. GEF has to further develop this kind its regionally based projects. The implementing agen- of activity, engaging in its efforts small and medium- cies should be requested to pay more attention to size private enterprises. seeking investment opportunities for regional pro- Building wide support for GEF-funded projects and jects, thus enhancing the understanding of a truly engaging not only central administration partners in transboundary and global nature of the environment their implementation is essential for their success. It and the need for countries to face environmental often requires an important amount of effort on the challenges together. part of all stakeholders, but in most cases this approach GEF’s efficient functioning can only be guaranteed brings much better long-term effects. Obviously, as it by the close cooperation of the implementing agen- is rightly stated in the “Study of GEF Project Lessons,” cies. Their role is specified in Annex D of the instru- those projects have to be built into national environ- ment. We are pleased to note agencies’ involvement mental strategies and conceived according to the gen- in GEF activities, and in particular the progress which eral policy context. has been only recently achieved in that respect in Similarly, GEF involvement in funding projects UNEP. GEF projects encounter many problems. There implemented by the NGO community deserves our are still many problems in understanding the incre- support. In Poland, we are particularly pleased with mental costs and global benefits concepts. The proce- the so-called Small Grants Programme run by UNDP, dures for project approval are often too long and frus- which, apart from bringing global environmental trating for the local partners who are not used to the benefits, helps build civil society and encourages local bureaucratic proceedings of the international bodies. initiatives aimed at preserving the environment for There are many new challenges; in particular, those the generations to come. Sometimes even minimal linked to the commitments under the Kyoto Protocol grants provided by an international body such as GEF will have to receive GEF’s special attention. We are assist in creating confidence in the project and subse- convinced, however, that GEF has developed a sound quently in mobilising additional funds from other basis for facing those challenges and will continue to sources—often much higher than the initial GEF strive for achieving best results with the determina- grant. An element which should not be forgotten in tion and commitment it has demonstrated until now.

Statement of Portugal Adriano Telles de Menezes Deputy Director-General, Ministry of Finance

n behalf of the Portuguese delegation and Therefore, Portugal assumes the importance of personally, I would like to thank the Gov- cooperation towards a better global environment ernment of India for hosting this first through deeper commitments, either on multilateral Assembly and the people of New Delhi or bilateral terms. forO the warm hospitality in this beautiful city, a perfect Referring in particular to the GEF’s policy on inter- introduction to a cultural heritage of an ancient land. national waters and coastal protection, Portugal wel- Portugal, either on its own or as a member of the comes you to the EXP098, whose key theme is European Union, has become very much involved— “Oceans–Heritage for the Future Generations,” which in particular during the last years—in an environ- will open in Lisbon next May and is also going to mental policy which is concerned with the protec- host the first ministerial meeting of the OSPAR Con- tion of natural resources in the framework of vention on Maritime Pollution and the 3rd ministerial sustainable development. Pan-European Conference on Forest Protection. The Global Environment Facility has served since tion between environment NGOs and government/ the Rio Earth Summit in 1992 as a new multilateral institutional departments. financing mechanism that promotes international We welcome the 2nd replenishment of the GEF Trust cooperation to protect the global environment. Fund as a clear message to respond to the challenges We recognize that GEF has been playing a unique ahead. As said by the CEO, even 20 billion would not catalytic role as a flexible and innovative mecha- have been sufficient to finance activities to protect the nism responsible for developing, adopting and eval- environment and defend the global common assets. uating operational policies and programs. The We strongly support the efforts for new opportuni- urgency for actions to address global environment ties for private sector partnerships. The performance challenges within the framework of sustainable indicators for monitoring and evaluation become a development is required both at bilateral and multi- vital achievement for all the GEF’s sponsors and lateral levels. members. As the 21st century approaches, we recognize that GEF-funded projects must be consistent with the institutional roles and responsibilities of the GEF national/regional policies and priorities and be are better defined. Its strategy is pointing out new assumed as the national interest of participating guidance, namely in the areas of capacity building, countries. Portugal, as a non-recipient country, will environmentally friendly technologies, environmen- support a close technical work in order to promote tal security, and enhancing NGO and civil society the environmental projects as an integrated way for participation. the country’s development. At the international level, we urge better coordina- Finally, Portugal will try, within its limitations, to tion among national environment agencies and inter- cooperate actively in strengthening the GEF and imple- national environment institutions and, in particular, menting agencies in the context of its environment the GEF. policy and also to promote an environmental perspec- At the national level, we propose close coordina- tive in its capacity as one state member of the GEF.

Statement of the Russian Federation Amirkhan Amirkhanov Deputy Chairman, State Committee for Environmental Protection

he Government of the Russian Federation sustainable development and protect the environ- considers the GEF the leading mechanism ment in a global context. We expect that decisions of of international cooperation to ensure a the Assembly will set the condition on the GEF pro- financial base for the effective resolution of jects implementation only by organizations of partic- Tglobal environmental problems and, above all, fulfill- ipating country or group of countries. The fulfillment ment of the Convention on Biological Diversity, the of this condition is a major factor in maintaining United Nations Framework Convention on Climate long-term sustainability of global effects achieved Change and the Montreal Protocol to the Vienna Con- during implementation of GEF projects, and also for vention on Substances that Deplete the Ozone Layer. strengthening the organizational and technical poten- Russia praises the results of the Phase I activities tial of recipient countries by resolving global environ- (1994–1997) of the restructured GEF and, demon- mental problems. strating continued adherence to the ideas of the Rio Russian governmental and non-governmental orga- Declaration, is ready to participate in the second GEF nizations, private companies, as well as many experts replenishment for 1998–2001. participated actively in the preparation and imple- Our country supported and will continue to sup- mentation of projects during the first phase of the port a basic principle of GEF activity: conformity to GEF. Two large projects are of special importance for national priorities in actions implemented to support our country: biodiversity conservation and phase-out of ozone-depleting substance consumption. In the tory, political and program GEF documents and Con- framework of the first project, additional support was ventions in all official languages of the UN among provided for strengthening and developing a network participating countries; this will attract a wide range of national parks and reserves in Northern Eurasia in of national organizations and experts from many the interest of environmental protection. This net- countries to participate in addressing global environ- work has no precedents in the world and is a skeleton mental problems. of conservation of the natural heritage and biodiversi- The Russian delegation welcomes the steps under- ty on the territory, which occupies about 15% of the taken to study and disseminate experience in GEF- Earth’s land. In the second project, the conversion of financed project implementation. However, the key the OJSC “Arnest” (main Russian consumer of ozone- theme of the report presented is the organization of depleting substance in the aerosols production sector) project preparation and project implementation will be completed in the current year. This sub-project management. In fact, there is no assessment of the is the largest one in connection with the reduction of efficiency of the new economic tools and mecha- ozone-depleting substances consumption and one of nisms applied in various projects to ensure integra- most effective among all projects implemented with tion of global challenges into national programs of funds from the GEF and the Multilateral Fund of the social and economic development. The almost Montreal Protocol. unachievable GEF ideal is to ensure participation of The Russian Government, based on the experience each recipient country in at least one project under gained through cooperation with the GEF, is going to each of the adopted working programs. We can try to continue work in preparing and implementing new ensure a step-by-step approach to this ideal—prepara- projects. A priority area for our country is the preven- tion and implementation of pilot projects in specific tion of climate change through increased efficiency countries or groups of countries, generalization of the of energy use in production and sustainable manage- results and development of recommendations, and ment of Russian forests, which comprise about 20% distribution of the results and recommendations of all forests of the Earth. through projects of a global scope with the participa- One of the most important objectives of the GEF tion of a majority of the interested countries. Phase II is helping to fulfill the provisions of the The report on the study of GEF’s overall perfor- Kyoto Protocol which will provide opportunities of mance shows that one of the most critical and debat- joint implementation of mutually beneficial under- able issues is identifying and using incremental costs takings to reduce greenhouse emissions by several as an instrument for determining distribution of GEF countries. We consider that these opportunities will resources. Attempts to resolve this problem have not be especially beneficial for Russia and other transition been successful. Apparently, the difficulties are con- economy countries which have the greatest potential nected not with methods of calculation but with a for implementing low-cost measures to reduce green- general inability to develop a uniform approach that house gas emissions. The complexity and importance will compare national and global costs and profits, as of the problem necessitate a special focus on the well as an approach to fairly take into account the region of Central and Eastern Europe by the GEF in existing world economic order. helping develop innovative mechanisms for joint In this connection, more pragmatic approaches to project implementation. GEF funding decisions should be considered, based At present, work on the preparation of new for example, on the principle of sharing of financial amendments aimed at accelerating the phase-out of responsibilities. Under such an approach, a country production and consumption of so-called transferable applying for a GEF grant to implement a project of substances is being conducted in the framework of global significance shall assume and fulfill obligations the Montreal Protocol, since countries with transition to cover a certain part of the project costs from inter- economy have new problems, successful solution of nal sources (state or private). The proportions of shar- which will depend on the timeliness with which ing can be differentiated for various areas of activity international assistance is rendered. In this connec- and even for various GEF working programs. tion, it is expedient to begin preparation of the corre- In summary, on behalf of the Russian delegation, I sponding GEF program in coordination with the Secre- would like to thank the Government of India for tariat of the Montreal Protocol. organizing this forum and to express our assurance The urgent issue is development of a GEF informa- that the first GEF Assembly will be successful and will tional strategy that can be expanded to a number of become a significant event in determination of meth- participating countries, many of which have not yet ods for sustainable development and in answering had a serious experience in cooperating with the GEF. the questions facing the world community on the It is important to ensure wide distribution of regula- threshold of the 21st century. Statement of Slovenia Emil Ferjancic Head of Department, Ministry for Environment and Physical Planning

uring the first replenishment period of the As it is very difficult to limit certain programs to GEF, Slovenia has received a GEF grant in only one country, cooperation between different the amount of US$6.2 million for phasing countries was encouraged with the Fund’s assistance. out the ozone depleting substances. The Here, we can name at least two projects in interna- financialD aspect of the grant was extremely impor- tional waters where a regional approach was, in our tant; what was even more valuable was the catalytic opinion, very positive—the Danubian Basin and the effect of the GEF grant that contributed to a greater Mediterranean projects. Therefore, we would like to commitment of the national stakeholders to the suggest that more such projects be encouraged as obligations set in the Montreal Protocol. they not only benefit the environment but also coop- Although the GEF grant consequently contributed eration between different states. to improved competitiveness of some recipient com- None of the GEF implementing agencies has its panies from Slovenia in the world market, GEF funds office in Slovenia; despite that, the procurement were not withdrawn and that was also a proof of a procedures in the projects we had so far were rela- great concern of the international community for the tively quick. That obviously required more effort global environment. and flexibility on the agencies’ staff side and our Some further projects in the field of climate change side as well. are currently under implementation in Slovenia, Exchange of information among countries within namely the National Communication Project accord- our constituency contributed to mutual understand- ing to the UN Framework Convention on Climate ing of environmental problems, but we are aware Change and the pilot project Removing Barriers to that on that basis our cooperation could improve Biomass District Heating. What we particularly appre- further. ciate with these two projects is not just the financial From our initial projects, the present organizational support, but also the technical assistance of the UNDP structure of the GEF proved to be efficient enough for that is lacking in Slovenia. successful implementation of the projects and suffi- There were different concerns raised regarding the ciently served the purpose for which it was estab- effectiveness of the GEF Trust Fund. From our involve- lished. Therefore, we do not see any specific need for ment, we are pleased to comment that so far we can major changes as far as reorganization of the institu- only voice our praise for the GEF projects in Slovenia. tional framework is concerned. Statement of South Africa Dan Pillay Acting High Commissioner to India

n behalf of the Government of South the quality of life for all on this earth, several issues Africa, I wish to express our deep appre- deserve focused attention. ciation to the Government and people South Africa welcomes the recently concluded of India for so graciously hosting the replenishment of the GEF’s financial resources. Nev- firstO Assembly of the Global Environment Facility ertheless, the crucial funding of projects to assist (GEF). To you, Mr. Chairman, I offer congratulations developing countries in meeting their obligations on your election to chair this historic meeting. under international environmental agreements will The creation of the Global Environment Facility require that new and additional financial resources be was a remarkable achievement which represents the made available from all sources. The GEF replenish- way forward for partnership and cooperation for the ment process can only be considered successful once mutual benefit of humanity and the environment. every pledge has been received. We have witnessed the GEF’s evolution into a dynamic My delegation shares the views of others that the body which has established itself as one of the most issue of land degradation constitutes an area which important financial mechanisms for redressing global the GEF should reprioritise and place higher on its environmental problems. The GEF has further con- agenda. Land degradation represents a serious threat tributed towards defining the relationship between to the livelihoods of the population of the entire environment and development and translating this Southern African region and requires the astute into practical, country-driven actions at the national development and management of the available nat- and regional levels. ural resources of the region, in particular water and South Africa has undertaken important steps land resources. As fresh water shortages become more towards putting in place national strategies for secur- serious, water management and supply needs require ing environmental protection and at the same time the highest levels of attention. promoting development. South Africa’s first GEF In the context of the GEF, recipient constituencies country project for the conservation of the Table often experience extreme difficulties in the coordina- Mountain World Heritage Site was approved by the tion of their activities. Distances between countries GEF in 1997. and the size of recipient constituencies suggest that South Africa supports the call for stronger stakehold- the GEF should consider mechanisms for improving er involvement in the development and implementa- intra-constituency consultation in the intercessional tion of GEF projects. Through consultation at all levels period between GEF Council meetings. The contribu- of the process, communities will experience enhanced tions of recipient constituencies to the work of the participation and ownership of GEF projects. This GEF, and in particular to the development, discussion approach ultimately leads to improved outcomes and approval of projects by the Council, would be which benefit all stakeholders. Civil society in South enhanced by such consultation. Africa is a strong and vibrant partner in our develop- We are all increasingly aware of the urgency of ment of GEF projects, and several project proposals in addressing the global environmental challenges of each of the GEF focal areas are in preparation. We the next century. The immediacy of these concerns believe that this partnership approach will contribute constitutes a call to action to the international com- towards community-driven development in our coun- munity and a demand for increased international try, and contribute to the goal of poverty eradication. cooperation. This can only serve to accentuate the In the context of a rapidly globalising world, the pivotal role of instruments such as the GEF and its problems of environmental degradation will require implementing agencies. In this context, I wish to reit- even greater efforts on all our parts, including the erate my Government’s continued commitment to GEF. We believe that for the GEF to enhance its effec- the Global Environment Facility and the important tiveness and expand its contribution to improving work which it is undertaking. Statement of Spain Jaime Lorenzo Ormechia Deputy Director, Ministry of Economy and Finance

nte todo, desearía expresar, en nombre del mente y posteriormente como fondo reestructurado, el gobierno español, nuestro agradecimiento FMAM ha conseguido crear la estructura organizativa y al Gobierno de la India por su hospitalidad desarrollar las políticas operativas necesarias para iniciar al acoger esta Primera Asamblea del Fondo su labor y enfrentar la complicada ecuación que permi- paraA el Medio Ambiente Mundial (FMAM), así como ta compatibilizar desarrollo económico con la necesaria la excelente organización de la misma. conservación de los recursos naturales. Hasta hace relativamente poco tiesipo, el hombre ha El importante aumento del número de países utilizado los recursos naturales como si fueran bienes socios del FMAM desde su reestructuración en 1994 libres, sin ningún coste económico implícito. Ello ha hasta la actualidad, es un signo inequívoco del cre- motivado, en los dos últimos siglos y como consecuen- ciente apoyo de la comunidad internacional al Fondo cia de la revolución industrial y tecnológica, y de la como instrumento multilateral de primer orden en la explosión demográfica subsiguiente, un progresivo ago- política medioambiental global. tamiento de estos recursos, hasta el extremo de plantear La satisfactoria conclusión de las recientes negocia- una seria amenaza a la sostenibilidad futura de muchas ciones para la segunda reposición de recursos, demues- de las actividades que actualmente realizamos. tra asimismo el compromiso de los países donantes, La explotación sin limites de los recursos naturales al asegurar los medios económicos necesarios para al servicio del crecimiento económico se ha vuelto en financiar su actividad en los proximos años. Dicha contra del hombre, desatando procesos de cambio en financiación permitirá asimismo poder planificar la el medio ambiente mundial que amenazan con con- asignación de los recursos de forma equilibrada entre vertirse en irreversibles. Por ello, se hace necesario, las cuatro áreas de actividad del FMAM. tomar las medidas precisas que permitan la inversión En este contexto, cabe destacar el importante urgente de estos procesos. esfuerzo económico realizado por España para man- La cumbre de la tierra, celebrada en Río de Janeiro, tener su apoyo financiero al fondo, aumentando en 1992 fue el primer paso dado por los gobiernos y nuestra participación en moneda nacional un 13% las organizaciones civiles para concienciar al mundo respecto a nuestra primera aportación, demostrando de los peligros a los que nos enfrentamos, y para con ello nuestro compromiso con los problemas de desarrollar los planes nacionales, y las instituciones medio ambiente, y de desarrollo, a nivel global. internacionales, para luchar contra la degradación Somos conscientes de la necesidad de que cada medio ambiental y la explotación indiscriminada de país, en su esfera de actuación, analice la sostenibili- los recursos naturales. dad de sus políticas, y las consecuencias de las mis- La dimensión del problema medio ambiental exige mas para el medio ambiente global, contribuyendo a un compromiso especial por parte de todos los gob- soportar su cuota de responsabilidad. iernos e instituciones responsables, que ayude a suplir Reconocemos los progresos realizados por el FMAM la falta de experiencia existente en el ámbito de la en estos primeros años de vida, y celebramos la flexi- lucha contra la degradación del medio ambiente a bilidad y el caracter innovador que ha presidido su nivel global. actuación, que ha quedado reflejado, entre otros Hasta el momento, y desde la conferencia de Río aspectos: de Janeiro, no hemos hecho más que tomar concien- ■ En su labor como impulsor de nuevas tecnologías y cia de las dificultades que plantea la puesta en mar- su transferencia a los países en desarrollo. cha de mecanismos eficaces de actuación para lograr ■ En su función de catalizador de fondos bilaterales y un desarrollo económico sostenible a largo plazo des- multilaterales para la consecución de objetivos medio de un punto de vista medioambiental. ambientales globales. El Fondo para el Medio Ambiente Mundial como ■ En su función de promotor de una más activa instrumento financiero, es precisamente uno de los implicación del sector privado en estos proyectos. más importantes medios con los que actualmente Adicionalmente a estos aspectos, el FMAM ha contamos para hacer frente a estos problemas. destacado también por sus esfuerzos en potenciar la En su relativamente corto periodo de vida, desde su participación activa de los países receptores en los creación en 1991, como programa experimental inicial- proyectos, prestando especial atención a la impli- cación de la sociedad civil como medio imprescindible Por otra parte, sería aconsejable que el FMAM para reforzar su sostenibilidad en el largo plazo. impulsara una mayor participación del sector privado Estos logros, sin embargo, no deben hacernos olvidar en sus actividades al ser éste un importante instru- los problemas enfrentados en el pasado, muchos de los mento de difusión de las nuevas tecnologías medioam- cuales están, desgraciadamente, todavía por resolver. bientales y, en el área del cambio climático, una pieza Es importante reforzar en los próximos años el com- clave para asegurar la viabilidad futura de los proyec- promiso de los países receptores, con los proyectos del tos. Para ello, es fundamental detectar los principales FMAM. Para ello es necesario que sean estos países los obstáculos a una mayor participación del sector principales impulsores de estos proyectos, y que éstos empresarial en estos proyectos, y, consecuentemente, respondan a sus necesidades nacionales, ya que para diseñar las políticas necesarias para impulsar esta lograr beneficios medioambientales de carácter global participación. es fundamental que los mismos se deriven de la estrate- El análisis de la sostenibilidad financiera de los gia de desarrollo nacional de los países beneficiarios. proyectos nos parece de gran importancia para que En este sentido, el hecho que los países receptores sus efectos sobre el medio ambiente global sean sean responsables de los proyectos y obtengan sus duraderos. Por ello consideramos necesario que se beneficios directos, permite mejorar las garantías de conceda una mayor atención en las fases de sostenibilidad futura de los mismos y los beneficios preparación de los proyectos a este análisis, y que de ellos derivados. seprofundice en el estudio de posibles vías para La incorporación de los objetivos del FMAM a las garantizar dicha sostenibilidad. actividades de los organismos de ejecución, es otro de De otra parte, la simplificación y racionalización los asuntos que deberá centrar la atención del Fondo, del ciclo de los proyectos debera ser asimismo un con vistas a mejorar la calidad y cantidad de sus objetivo a tener en cuenta, objetivo que deberá com- proyectos. patibilizarse con las debidas garantías de calidad de A la vez que reconocemos los logros de las agencias los mismos. ejecutoras en términos de captación de recursos en En este sentido apoyamos el refuerzo del actual sis- proyectos beneficiosos para el medio ambiente global, tema de vigilancia y evaluación como instrumento y la progresiva mejora de la colaboración y coop- eficaz para cuantificar los resultados obtenidos y eración entre las distintas agencias, y entre éstas y el detectar posibles errores, instrumento que nos ayu- FMAM, creemos necesario que, por parte de las mis- dará a mejorar continuamente la eficacia del FMAM y mas, se elabore una estrategia que contemple la inte- la calidad de sus proyectos. gración de las actividades medio ambientales globales Como conclusión, España considera positivos los dentro de sus propias politicas y programas. pasos dados hasta ahora, y reconoce el progreso real- Por nuestra parte y con el fin de asegurar la consis- izado, a pesar de la magnitud de los problemas exis- tencia de nuestras propias políticas, daremos las opor- tentes y la falta de experiencia en su gestión. tunas indicaciones para que dicha incorporación se Afortunadamente, hoy, y gracias en parte al Fondo haga efectiva. para el Medio Ambiente Mundial, poseemos un Asimismo consideramos conveniente que se analicen mejor conocimiento de nuestras posibilidades y de debidamente los posibles costes y beneficios de una nuestras limitaciones para lograr un desarrollo eco- futura apertura del FMAM a otras agencias, con especial logicamente sostenible. atención a los bancos regionales de desarrollo, dado Confiamos que dicho conocimiento nos permita que ello nos permitirá explorar la viabilidad de nuevas mejorar los resultados en el futuro, y con ello el bien- formas de trabajo que permitan mejorar su eficacia. estar de futuras generaciones. Statement of Sweden Mats Karlsson State Secretary for International Development Cooperation

llow me first to thank the Government of tenure system, they have no incentive to sustain the India for hosting this first Assembly of the forests. Likewise, timber concessions of extremely Global Environment Facility. Indeed, it short-term duration provide no incentives to manage seems very natural and appropriate that forests in a sustainable way. IndiaA is the first host, as it has produced such The situation is very similar when looking at the advanced thinking in the area of development, envi- climate change convention and its linkages with ronment and international cooperation. energy demand. The provision of energy is crucial for The global agenda for the next millennium is a for- development. More than two billion people lack midable one. A deep new understanding of the chal- access to modern energy services. We all know what lenges of development and environment were arrived this means for hard-toiling women collecting fuel- at in the years leading up to Rio, e.g., in the Brundt- wood from far away. As long as this situation prevails, land Commission. Policies were agreed for a way for- there will be no breakthrough out of poverty. However, ward. Agenda 21 urged us to merge solutions to conventional solutions for energy supply are causing poverty and challenges to the environment in order serious problems in terms of pollution, both for people to come to grips with the fundamental and overall and for their environment. Yearly, millions of people problems of the 21st century. The need to find con- in developing countries die prematurely because of crete solutions that go beyond the traditional sector polluted air, water and land. and institutional framework was shared. Global, A fundamental reorientation is required that gives national and local governance issues will come greater emphasis to efficiency improvements, increased together as never before and require us constantly to use of renewable energy and the cleanest possible break new ground. The Commission on Global Gov- technologies for fossil fuel generation. Recent tech- ernance a few years ago showed directions in which nology developments, notably within solar technology, to go in an increasingly globalised world. augur well for such a policy shift. The GEF was a major step forward. It is an innova- Who are those that can bring about change? All tive mechanism for dealing with new challenges with- partners have an important role to play, be they gov- out fragmenting our institutional and operational ernments, local communities and women’s groups, capacities. It builds upon the complementary scientists, the private sector, NGOs or representatives strengths of the UN and Bretton Woods systems. We of the international community. National govern- have seen that this new concept of cooperation and ments, however, have a special responsibility to partnership has produced a number of important rethink institutional, legal as well as fiscal frame- achievements. Strategies and policies for activities at works. Democratic governance will support the the local level for the global benefit are now in place. empowerment of local people and enable them to I wish to point out some elements of particular rele- secure the rights of the poor, social justice and end vance for a successful continuation. corruption, which is one of sustainable develop- Firstly, country ownership, leadership and sector- ment’s worst enemies. These are the make-it or break- wide commitment by governments, democracy and it issues of the next century. non-corrupt governance are key to the success of Secondly, the GEF should not be alone in addressing dealing with the global environment agenda. Global global concerns. Strong support by the implementing environment problems will not be central to a poor agencies to mainstream global environmental objec- country if they do not relate to the most pressing needs tives into their regular policies and programs is needed. of the people in that country. Research in relation to Likewise, other multilateral, as well as bilateral, aid biodiversity loss and climate change has convincingly agencies should make sure that in partnership with shown us that these problems are local in origin. national governments the global environmental Let me give you an example: hundreds of millions objectives are part and parcel of their development of poor people around the world depend entirely on cooperation strategies. forests for their survival. For want of other options, The catalytic role of the GEF is an essential feature marginalised groups are often forced to encroach on for achieving success. Let me emphasize the absolutely forest lands to survive. With no ownership or secure essential role that governments have as representa- tives in the GEF and in the implementing agencies. It Water Assessment Project. The ongoing work of a is their responsibility to ensure consistency in their regional Agenda 21 of the Baltic Region (the Baltic policies in all fora. 21) we hope will serve as a good example for regional Thirdly, a strong monitoring and evaluation sys- waters projects. tem within the whole GEF family is an indispensable Finally, I am greatly satisfied with the successful instrument for securing quality and effectiveness. outcome of the negotiations on the second replenish- High priority should be assigned by the GEF to the ment of the GEF in time for this Assembly. The urgent development of performance indicators. I am replenishment will give the GEF the necessary and pleased to see that a number of interesting reports renewed flexibility and strength to tackle the tasks have been produced recently, demonstrating both ahead. The conclusion of the replenishment is also a failures and successes. The results of such critical token of the confidence by the donors. It should con- reflections have to be fed back into the learning sequently be matched by a corresponding token of process in order to make progress in the complex confidence by the conferences of parties, in that the mandate of producing global environmental benefits. GEF should be the permanent financial mechanism Instruments for measuring the state of the art in for the Conventions on Biological Diversity and Cli- various fields are an important vehicle for decision- mate Change. making. The GEF Council has decided that an Let me end by expressing my full confidence in assessment for international waters is needed. In this this maturing mechanism of global hope and innova- connection, I am pleased to inform you that Sweden tion. We must all take on our responsibilities in guid- will host the secretariat of the Global International ing it forward. We must not let it down.

Statement of Switzerland Philippe Roch State Secretary, Swiss Agency for the Environment, Forest and Landscape

witzerland would like to thank the Govern- first GEF Assembly is essentially that: ment of India for its generous offer to host ■ The GEF should remain the designated financial the first GEF Assembly here in New Delhi. mechanism for the Rio Conventions on Climate We hope that participants will honor the hos- Change and Biodiversity, as well as for the associated Spitality of our hosts by agreeing to strengthen the GEF Kyoto Protocol and other outcomes that may materi- as the financial mechanism for the Rio Conventions alize from the conferences of the parties to these and by reaffirming the existing consensus about its Conventions. The status of the GEF should be offi- operational policies. The GEF has proven to be an effi- cially upgraded from “interim” to “permanent” finan- cient mechanism for the implementation of the Rio cial mechanism for these Conventions. This could Conventions. Long before the adoption of operational greatly contribute to the mobilization of additional protocols to the Conventions, it has facilitated the elab- financial resources for the global environment. oration of national reports and strategies in recipient ■ The GEF principle of financing incremental costs countries, as well as the spread of cutting-edge environ- may be further adapted methodologically, but should mental technologies. In recognition of these achieve- be maintained to ensure consistency with Agenda 21 ments and of the GEF’s role as catalyst and innovator in and the Rio Conventions. global environmental matters, Switzerland wishes to ■ The continuing commitment by the GEF imple- express her continuing strong support for this impor- menting agencies to integrate global environmental tant financial mechanism which we believe has the concerns into their regular operations needs to be potential to address global environmental problems strengthened by setting specific targets and time even more effectively in the future. With the intention frames. to further strengthen the GEF, the Swiss message to the ■ GEF stakeholders should exercise caution with the formulation of new tasks and responsibilities for the the GEF as their permanent financial mechanism, and GEF that might result in losses in efficiency, effective- we believe that there is increasing urgency to do so. ness and flexibility. The number of international conventions and agree- ■ By more systematic promotion of country-level ments aimed at environmental protection is growing ownership of GEF programs and projects, the GEF while the debate about ways to finance their opera- could greatly increase prospects for sustainability and tionalization continues along the lines of a classic assist in the process of improving environmental problem of organization: integration or differentia- policies. tion. The position of Switzerland is to support inte- gration at the level of operations, especially in the CONTEXT case of the Rio Conventions. The GEF is designed to At the 1992 Earth Summit in Rio, there was broad serve the Conventions by translating their input—as agreement among participants that the most vexing it relates to the four focal areas of the GEF—into environmental problems are of a transboundary nature financed work programs and by employing the desig- and that collective action is needed to slow and even- nated implementing agencies for delivery. This and tually reverse existing trends of environmental the mobilization of financial resources are the com- degradation through human activity. On the basis of parative advantages of the GEF. Agenda 21, the community of nations has been look- The increasing number of international conven- ing for ways to resolve growing conflicts between the tions and agreements in the realm of the environ- development aspirations of humankind and the need ment is creating growing coordination problems at to preserve the earth’s finite resources. The activities the operational level for which the proliferation of of all states can affect or be affected by threats to national focal points is just one indicator. If each con- these resources. It is therefore necessary to cooperate vention and agreement wants to create its own finan- at the global level to develop strategic responses based cial mechanism, we will be faced with problems of on the exchange of information, common goals and unnecessarily high transaction costs and operational shared burdens. The goal is to work towards an over- inefficiencies. Even more fundamentally, there would all harmonization of economic development, social be growing problems with the mobilization of finan- progress and environmental protection. cial resources in a climate of decreasing public interest The GEF began as a pilot financial mechanism. It and donor fatigue, due to what some are already call- was to resolve potential disagreements and conflicts ing “trust fund congestion.” over its design in a gradual manner to avoid collec- While the primacy of the Conventions in setting tive action problems and inertia. Funding was made the GEF’s policies and strategic priorities is unques- available before its exact purpose was determined, tioned, there is much room for improvement in the and operations began before clear funding criteria process through which this occurs. For example, the were agreed on. Essential components of the system guidance provided by the Conventions needs to be of governance were deliberately left to be resolved better focused, clarified, prioritized and sensitized in while the GEF was already operational. A restructur- order for the GEF to improve its ability to respond ing of the GEF into its present form was completed in adequately. 1994. However, the collective effort to continuously improve the GEF, to adapt to changing circum- NEW FINANCIAL INSTRUMENTS WITHIN THE GEF stances, to become more cost-effective, transparent A model in which the Conventions have primacy in and accountable, has not ceased nor should it ever. providing guidance to the GEF to shape its opera- The continuation of this process of institution build- tional work programs includes the possibility for the ing and institutional learning is the very reason why creation of innovative financial arrangements designed GEF participants and stakeholders have assembled to reduce the funding shortfall for the implementa- here in New Delhi to review the general policies, to tion of Agenda 21. The GEF has already made progress reconfirm the validity and quality of the “instru- in this area through its IFC-administered funds and ment,” and to discuss how to best equip the GEF for through the creation of several funds at the regional the 21st century. and national levels, among them those designed to boost prospects for the long-term sustainability of THE GEF AS FINANCIAL MECHANISM FOR project interventions. Much work remains to be THE RIO CONVENTIONS done, however, to strengthen this model, to increase For Switzerland, the GEF is the main financial mecha- its effectiveness and to ensure that efforts to develop nism to fund programs and projects addressing global national markets for cleaner technologies do not environmental problems. We continue to advocate result in domestic market distortions that diminish that the conferences of the parties for the Conven- prospects for sustainability. tions on Climate Change and Biodiversity designate Regarding GEF financing, Switzerland has consis- tently advocated that donors provide higher levels of would be to maximize the use of national consultants funding than those ultimately agreed to. This includes and expertise in the context of GEF project design the most recent negotiations in which Switzerland and implementation. The STAP and the GEF focal has unconditionally offered its share for a fully funded points could be very helpful in achieving this by second replenishment, along with just two other focusing on building relationships with national sci- countries. Now we find it important that efforts to entists and scientific institutions in recipient coun- raise additional funds for the GEF be intensified. tries. This would help invigorate the national level Existing experiences with existing special funds and dialogue on environmental matters and also facilitate other financial instruments—be they associated with the low-cost production and dissemination of GEF the GEF or not—should be thoroughly evaluated and information in local languages to promote participa- the lessons carefully derived. The result should be a tion and ownership by national stakeholders in all new and practically oriented GEF strategy for special stages of the project cycle. The ultimate goal of these fund design and management and for engaging the efforts would be to increase recipient countries’ inter- private sector through novel financial arrangements. est in or capacity to manage global environmental Loan guarantees to reduce risks for private investors problems. deserve special attention but should be just one of In addition, there should be a regular review of the the instruments under consideration. Clearly elabo- GEF project pipeline with information on the status rated options should be presented to the GEF Council of individual projects in the approval process. The at its next meeting. GEF project pipeline should be regularly compared If the GEF is serious about creating new opportuni- with that of other relevant institutions to promote ties for private sector participation, the Council synergies and to improve cooperation and funding should be prepared to delegate some of its decision- coordination for the global environment. The pay- making authority at the project level to the managers ment of existing arrears from GEF-1, which hinder of financial instruments designed for this purpose. pipeline development, must be made an urgent prior- This would certainly not constitute a “sellout” of any ity and the affected countries should be required to kind, since the Council would take pains to ensure a submit regular status reports to the Council. coherent and consistent framework of environmental The goal of integrating global environmental con- and operational criteria for each instrument before cerns into the regular operations of the GEF imple- allowing it to become operational. menting agencies continues to be important. There is much evidence that projects in the regular portfolios OPERATIONAL POLICY ISSUES of the implementing agencies continue to include The GEF should continue to streamline the project environmentally detrimental externalities that are cycle—without sacrificing quality—and introduce often ignored, even in projects labeled as “environmen- new measures aimed at strengthening the prospects tal” projects. There have been cases where GEF fund- for project sustainability. To aid this process, the GEF ing has been used to try and mitigate environmentally should monitor and evaluate its programs and projects negative outcomes of regular portfolio projects of the more systematically and disseminate and apply the same implementing agency. This undermines ongo- lessons learned. ing efforts to ensure that development projects inter- Ownership of GEF project interventions at the nalize their social and environmental costs, which is national level could be further promoted through an an essential condition for long-term sustainability. improved GEF outreach and communication strategy The role of the GEF Secretariat as coordinator and that focuses on recipient countries and directly catalyst should not only be maintained but strength- involves the focal point system. Part of this strategy ened. A strong Secretariat will be crucial to ensure should be to take into account established national coherence in GEF operations and to implement agreed priorities while building the capacity of the media, changes and innovations. civil society organizations, national academic institu- We are confident that the first GEF Assembly will tions and government agencies to propose improved serve to strengthen the resolve of the international policies and projects. community to increase collaborative efforts to effec- Further measures to promote country ownership tively address global environmental problems. Statement of Thailand Asda Jayanama Ambassador to the United Nations

et me, first of all, join with the previous greater participation in GEF activities by the Regional speakers in congratulating you, Mr. Chair- Development Banks. man, for your election to this important We do agree that responsibility for implementation position. I am very confident that with your be with the country and that the commitment to a guidanceL and leadership our deliberations will be project and its ownership be such that they guarantee concluded with fruitful results. My congratulations a reliable sustainability following the completion of also go to the Bureau. the GEF project. The Rio Summit some 5 years ago gave impetus to As the knowledge of GEF in recipient countries is the restructuring and modernization of the present- still relatively limited, we would like to support the day GEF. The United Nations General Assembly Spe- CEO’s report as stated in para 54 b(ii), which pro- cial Session on Environment and Development last posed that the Secretariat should intensify its efforts year reviewed and followed up our efforts in environ- to familiarize the relevant government officials and mental protection since Rio. And now today we are stakeholders with GEF’s objectives and procedures by holding this first Assembly meeting of the GEF in this developing and implementing a suitable outreach historic city of New Delhi. program. This strategy will also give us the opportu- This is a natural chain of events in our effort to nity to reach different groups in society, thereby cre- build appropriate institutions dealing with environ- ating new GEF advocates. In this connection, we mental protection. We thank the Government of strongly support the Secretariat’s recommendation India for hosting this timely event. that STAP be called upon to assign high priority to My delegation wishes to thank the Secretariat for assisting the GEF in building strong relationships and initiating the study and evaluation of GEF’s overall networks with the global scientific community. performance which made a number of convincing We strongly believe that mainstreaming as stated conclusions and pertinent recommendations on in para 54c of the CEO’s report of GEF activities in GEF’s work. Many of these were incorporated into the the three main implementing agencies is essential for CEO’s report to the Assembly. building a much stronger GEF in the future. In this Regarding incremental cost requirements, we do connection, we agree with the conclusion of the understand the reasoning that has made this issue study team regarding the three agencies and endorse prominent in GEF’s operations. However, it has the recommendations pertaining thereto. In this been a contentious issue regarding the proper calcu- regard, we would also like to stress that competitive lation of the incremental costs base on the cost efforts should be avoided and clear division of labour sharing principle. Therefore, we are in total agree- should be strived for. ment with the CEO’s support for the Council’s Before I conclude, let me share with you the achieve- request that further work on the concept of incre- ments of Thailand’s demand side management, or mental costs be undertaken by the Secretariat in DSM, strategies. Over the last two decades, Thailand consultation with the agencies involved and wel- has witnessed an important increase in energy con- come efforts to explore ways to make the process of sumption. This factor has prompted the Royal Thai determining incremental costs more flexible and Government to cooperate with the World Bank and easier for recipient countries. GEF in implementing the DSM programme since Another important issue recognized in the CEO’s 1991 in order to maintain an environment-friendly report is private sector involvement in GEF’s work. development. To obtain cost-effective energy services There is now a very clear realization that to achieve and develop energy-sufficient services, the Electricity the utmost objectives of GEF, mobilization of funds Generating Authority of Thailand, known as EGAT, from all sources is needed. Co-financing of GEF pro- has been implementing the following strategies: jects by the private sector and other donors to cover ■ A market transformation through a voluntary engage- part of the costs of a GEF project should be encour- ment from all levels of society. aged as much as possible and the modalities for their ■ An energy-efficiency labeling. involvement should be seriously explored. In this ■ The creation of a customer-oriented programme connection, we strongly encourage GEF to promote a such as the “green buildings approach” that enables each consumer to save on energy cost in his respec- the sensitive issues of the first cost barrier, the rebate- tive businesses. based incentive schemes and the countries’ basic ■ Encouraging private companies to save on energy infrastructures for energy efficiency should be proper- costs through incentives. ly taken into consideration. These strategies have led to significant energy sav- In conclusion, we thank the Government of India ing of 1.799 gigawatt hours, and 1.34 million tons of and GEF for the opportunity given to all of us to CO2 emissions reduction (as of February 1998). exchange our views on the roles, present and future, Although these figures reflect an achievement in the of this important institution, which has the difficult field of environmental management, some strategies task of making our environment a better place to live have had to be adapted to suit the socio-economic in. Even though there will always be obstacles, we do situation in Thailand. believe that many ideas for improvements in the One must not forget that a strategy that fits one work of GEF will be proposed during this meeting, country is not always suitable for another. Therefore, thanks to all participants’ wisdom and experiences.

Statement of Togo S.E.M. Koffi Santy Sany Adade Minister of Environment and Forest Production

e voudrais tout d’abord au nom du Chef de l’É- Les objectifs que nous nous étions fixés à Rio tat et du Gouvernement togolais saisir cette étaient fort louables. occasion pour remercier le Gouvernement indi- Malgré cela, aujourd’hui, la pauvreté qui est recon- Jen et le Secrétariat du Fonds pour l’environ- nue comme une des principales causes de la dégrada- nement mondial de l’invitation qu’ils ont bien voulu tion de notre environnement continue de sévir à nos faire à notre pays afin de prendre part aux travaux de portes et sous nos yeux. cette première assemblée. Des millions d’hommes, de femmes et d’enfants Je voudrais également adresser ma reconnaissance dans un élan désespéré, pour mieux survivre, sont au directeur général et président du Fonds pour l’en- obligés de puiser dans les dernières réserves abusive- vironnement mondial, Monsieur Mohamed T. El- ment exploitées rendant aussi la nature écologique- Ashry, et son équipe pour tous leurs efforts en vue de ment austère. permettre au Fonds de remplir sa mission à laquelle Néanmoins, le nouveau type de partenariat com- le Togo reste attaché. portant à la fois des responsabilités communes et dif- Monsieur le Président de l’Assemblée, veuillez férenciées et permettant de promouvoir une coopéra- accepter les vives félicitations de ma délégation pour tion à l’échelle nationale, régionale et mondiale pour votre élection. un développement que nous voulons durable, fait Il y a six ans à Rio, nous reconnaissions que la son chemin. résolution des problèmes de l’environnement devrait Pour sa part, le Togo a entrepris des actions con- contribuer à promouvoir la paix et le développement crètes pour contribuer à la réalisation de l’objectif sur les plans national et international. commun. Dans cette perspective, les pays en développement Le processus du Plan national d’action pour l’envi- se sont engagés à tout mettre en oeuvre en vue de la ronnement (PNAE) a été relancé en octobre 1995 gestion rationnelle de l’environnement. avec une vision plus large qui l’inscrit dans un con- Les pays développés devraient dans le cadre de l’as- texte sous-régional et international renforcé par les sistance aux pays en développement, outre leurs conclusions de Rio et les diverses conventions aux- obligations de caractère écologique, fournir des quelles le Togo est Partie. ressources financières nouvelles et additionnelles en Ce processus est axé sur une gestion intégrée et vue de créer un environnement économique interna- globale de l’environnement. Il sera désormais con- tional favorable, et contribuer à l’élimination de la tinu et permettra à court terme de renforcer les pauvreté. capacités nationales de gestion de l’environnement et de promouvoir une éthique écologique dans tous Aussi, un programme national de gestion de l’envi- les secteurs du développement en vue de consolider ronnement intégrant les principales dimensions envi- le cadre des mesures de redressement économique du ronnementales et prenant en compte les préoccupa- pays afin d’asseoir le développement sur des bases tions des différents acteurs du développement est en écologiques viables. cours d’élaboration pour être mis en oeuvre en 1999. Depuis qu’il est devenu un des mécanismes Notre planète ne connaîtra un réel développement financiers permanents, résultat véritablement positif durable que par la promotion de telles initiatives par- du sommet de Rio, le Fonds pour l’environnement ticipatives. mondial restaure l’espoir de milliers d’âmes que la Le FEM à travers ses agences d’exécution, notam- pauvreté continue de pousser à dégrader l’environ- ment la Banque mondiale, le PNUD et le PNUE, a nement. Les réformes récemment intervenues dans commencé à imprimer cette nouvelle vision de par- son fonctionnement pour le rendre plus souple ont ticipation des populations à la gestion de l’environ- permis à notre pays d’attendre aujourd’hui des nement, de capitalisation des connaissances financements. Le Togo, par ma voix, présente ses disponibles avec l’appui d’organisations avérées, de sincères remerciements au FEM et voudrait toujours recherche de la continuité et de la cohérence dans compter sur ce mécanisme pour le financement des l’action, et ceci est encourageant. Le Togo souhaite programmes en préparation. que cette dimension du développement soit de La solidarité, la coopération et le partenariat que mieux en mieux intégrée dans les orientations nous appelons de tous nos vœux doivent s’affermir stratégiques du FEM. au fil du temps. C’est pourquoi ces réformes doivent Notre présence ici justifie tout l’intérêt que le Gou- être soutenues par souci d’efficacité car bon nombre vernement togolais attache à ce fonds pour réaliser son de pays en développement, confrontés aux Programme de gestion durable de l’environnement. phénomènes d’environnement mondiaux graves, ont C’est pourquoi nous avons la conviction que les con- d’énormes difficultés à accéder à ce Fonds. clusions des travaux de cette auguste Assemblée iront Afin d’assurer la viabilité de sa politique de gestion dans le sens de la continuité et du renforcement de de l’environnement, le Togo a adopté une approche l’appui du FEM à la cause des moins nantis. C’est sur participative et décentralisée et cherche à promouvoir cette note d’espoir, Monsieur le Président, que la délé- un cadre de partenariat devant reconnaître les droits gation qui m’accompagne et moi-même souhaitons et devoirs de tous les acteurs du développement. plein succès aux travaux de cette Assemblée.

Statement of Tunisia Mohamed Mehdi Mlika Minister of Environment and Land Use

e voudrais tout d’abord remercier le gouverne- Je citerais en l’occurrenee le projet de gestion de la ment de l’Inde pour l’organisation de cette pollution pétrolière dans la région Sud-Ouest de la importante réunion et pour l’accueil Méditerranée qui prévoyait de rendre opérationnelle Jchaleureux. Nos remerciements sont également la lutte contre la pollution par les hydrocarbures dans au Secrétariat du GEF comme le temps qui nous est les eaux internationales. Le projet s’est réduit à équiper imparti est bien coût, je vais essayer de parler de cer- légèrement un port par pays. L’objectif du projet ini- taines de nos préoccupations. tial, qui était d’équiper cinq ports, n’a pas été atteint. La première de nos préoccupations est que les Une deuxième phase de ce projet, associant la côte apports financiers pour le GEF n’ont pas été à la hau- Sud-Est de la Méditerranée, est en cours de prépara- teur des engagements des pays donateurs ce qui a tion. Notre souhait est que cette deuxième phase rat- entraîné la réduction non seulement des actions trape ce qui n’a pas été fait au cours de la première jugées prioritaires mais également l’amputation de phase et que l’objectif, qui est la protection de la projets déjà approuvé par le GEF, ce qui n’a pas facil- Mediterranée soit atteint. ité le travail du Secrétariat. La Tunisie a signé et ratifié les Conventions interna- tionales de protection de l’environnement issues de la tion de lutte contre la désertification qui n’a pas encore CNUED ainsi que le protocole de Montréal. eu tout l’intérêt qui lui revient en dépit de l’impor- Pour honorer sa signature, la Tunisie a totalement tance et de la menace que représente ce fléau sur l’en- arrêté l’utilisation des substances qui appauvrissent la vironnement et les populations les plus démunies. couche d’ozone dans la réfrigération, les mousses et Je rappelle que la désertification est indissociable les aérosols avec l’aide du GEF. de la biodiversité et des changements climatiques et Pour les changements climatiques, nous sommes en la lutte contre la désertification doit bénéficier de train de finaliser l’étude sur l’inventaire des gaz à effet financements appropriés. de serre, d’élaborer notre stratégie qui devrait fixer les En tant que Président du Bureau du Plan d’Action grandes orientations du pays surtout dans le secteur pour la Méditerranée, et en raison de l’importance de énergétique responsable de la majorité de ces gaz. cette région dans le trafic maritime international, en Concernant la biodiversité, nous avons élaboré un tant que première région touristique du monde et en plan d’action et la stratégie rationale, nous comptons tant que berceau de plusieurs grandes civilisations, je sur le GEF pour nous aider à les mettre en oeuvre. lance un appel au GEF pour appuyer nos projets par Je ne voudrais pas oublier de mentionner la conven- des financements conséquents.

Statement of Turkey Firuz Demir Yasamis Undersecretary for Environment

n behalf of the Turkish Government, I ment of environmental risks that pose danger to all would like to extend my sincere appreci- humankind as well as to the whole global ecosystem. ation to the GEF and to the implement- In this regard, Turkey, so far, has considerably con- ing agencies of the World Bank, the tributed to the implementation of the Montreal Pro- OUNDP and the UNEP for their diligent and exhaus- tocol on Ozone Layer Depletion, and these efforts tive work to initiate and develop a new but very sig- have been recognised and appreciated with a prize for nificant international finance institution for the alle- being a successful national focal point by the Ozone viation of the environmental pains of this globe. I Secretariat. The Turkish Government is pleased by also would like to extend my congratulations to the this cordial appreciation of the organization and will CEO, Mr. El-Ashry, for his success in finalizing the keep on contributing to the solution and mitigation second replenishment of the GEF. of other global concerns. The Global Environmental Facility has emerged as Environmental problems of the world, as it would a new hope, especially for those countries that are in be accepted and agreed, are far beyond the limits and need of extra and additional financial possibilities to potentialities of the GEF. Therefore, prioritisation of deal with the environmental problems that they have the topics to be dealt with should somehow be inherited from the past generations of the whole world. realised. However, I do believe that the present scope GEF, although still in its infancy, has so far success- of the work is too narrow to fulfill the expectations of fully demonstrated that it is capable of helping those the receiving countries. I must say that the global who are in need of financial and technical assistance. objectives cannot be realized unless grass-root prob- The member countries should also be appreciated lems of the nations in need are adequately addressed. and congratulated for the sincere approaches they In this regard, GEF should not be seen as the fund have so far demonstrated for the fulfillment of the for environmental problems of a global nature—such GEF’s overall objectives. as acid rains, global warming, greenhouse gases, I am very much pleased to indicate that my coun- ozone layer depletion, desertification and interna- try, Turkey, is also committed to the enhancement of tional waters—but also should be seen as the sole global environmental quality, improvement of the environmental fund for the countries of this globe. carrying capacity of the world’s ecosystems, upgrad- This may mean a shift in the already agreed priority ing the global quality of life and effective manage- policies of the Facility, but I am quite certain that national and local environmental problems that are solidated in the Council, as they so rightfully deserve. not comprehensively global in nature should also be I would like to conclude my remarks by again dealt with effectively under the umbrella of GEF. And thanking those who have contributed to the estab- I should also indicate that the role and power to lishment of the GEF and by repeating my country’s decide of recipient countries vis-à-vis non-recipient sincere commitments to the objectives and the ideals countries should also be further strengthened and con- of this long-awaited organisation.

Statement of Uganda S. Sendaula Gerald Minister of Natural Resources

n behalf of the Government of Uganda implementation. My delegation strongly believes and of my delegation, allow me to con- that GEF operations could be further improved by vey to you warm and fraternal greetings. strengthening the capacities of national coordination It is indeed an honour and privilege to of programmes and projects and also through a clear Obe invited to address this first GEF Assembly. elaboration of information, biodiversity data manage- May I take this opportunity to commend the Gov- ment, public awareness and outreach. ernment and people of India for the warm hospitality My delegation notes that although agro-biodiversi- and the GEF Secretariat for organising this meeting. ty has increasingly become an area of concern to Uganda’s commitment to the aims and objectives many countries, particularly developing ones like of GEF is unequivocal. The continued presence of Uganda, it has not yet been given the necessary GEF as a strategic framework for responding to global attention it deserves by the GEF. Agro-biodiversity initiative on the environment is of utmost importance. cannot be tackled just through forest or arid or semi- I therefore take this opportunity to reaffirm once arid ecosystem approaches and needs to be specifically again the Government of Uganda’s commitment to targeted where none of the ecosystems is relevant. the GEF programme and to thank GEF for its support. My delegation reaffirms its support to the UN Food My delegation shares the concern that has been and Agriculture Organisation and other agencies in raised of the need to step away from focusing on reaf- their efforts to streamline agro-biodiversity activities firmation of commitments and take concrete steps to and urges the GEF to make agro-biodiversity an implement them. It is in this spirit that my delega- important thematic area for funding. tion now proceeds, with your permission, to raise the This Assembly decided that GEF will finance only following areas of particular concern to our country. interventions where there is evidence of global signif- While my delegation notes with appreciation that icance. However, because this is not set in quantita- GEF now has in place relatively clear guidelines on tive parameters, member countries have sometimes project preparation, the GEF project cycle and the been told by implementing agencies that some of whole project formulation is long, cumbersome and their proposed interventions are not globally signifi- difficult. The lengthy preparation period often leads cant. My delegation wishes to recommend that to cost overruns. We therefore recommend that imple- guidelines should be set for determining the levels of menting agencies should be encouraged to assist in significance. speeding up the process. On the question of funding, my delegation notes My delegation is also concerned that inadequate with concern that contributions to the GEF Trust attention has been paid to capacity building, whether Fund are inadequate compared to the demands. We in regard to capacity for backstopping GEF operations would like to urge the developed countries to meet in general terms or for sustaining real interventions. their financial obligations to the Fund. We strongly contend that capacity building in envi- With regard to the structure and membership of ronmental management is essential and that specific the GEF, my delegation notes that the constituency interventions should be identified in order to realise to which a member country belongs is determined by sustainable global benefits at the end of project the GEF Secretariat. However, we also note that con- stituency member countries are not facilitated in net- ment and environmental management. working. Consequently, Council members never get We also believe that some constituencies have views from the capitals of their constituent members. become too large and recommend that this Assembly My delegation contends that in order for Council revisit the size of various constituencies in order to members to effectively represent their constituencies, ensure effective representation. this Assembly needs to work out modalities for revi- In conclusion, I wish to thank the GEF Secretariat talizing and operationalising the various GEF net- for the able and competent manner in which they works as avenues for information exchange against have facilitated the implementation of GEF decisions the emerging challenges in socio-economic develop- and for facilitating this Assembly.

Statement of the United Kingdom David Turner Head, Department for International Development

n behalf of the United Kingdom, I wish at its role in the challenges ahead and to reflect to thank the Government and people of on how the GEF will help to improve the quality India for inviting us to New Delhi and of life for future generations. The GEF has been hosting the first Global Environment described as: OFacility Assembly. We were honoured to be addressed ■ A model of collaboration among countries. by the Prime Minister, Finance Minister and Environ- ■ A necessity for international collaboration. ment Minister. We congratulate the President of Cos- ■ A vehicle that helps link national and global priorities. ta Rica on receiving the first annual GEF Global Envi- ■ A family that the world needs. ronment Leadership Award. And we are indebted to We have also heard that the GEF should have Mohamed El-Ashry, Chairman and CEO of the GEF, more resources, tackle more issues and solve the and all his colleagues, and the heads of the imple- planet’s environmental problems. It will make a pos- menting agencies and their colleagues, for all the itive contribution to these issues, but as a catalyst preparations and contributions to this Assembly. The rather than the panacea. Now that the GEF has been excellent publication, Valuing the Global Environment, successfully replenished, it is even better placed to with the thought-provoking foreword by President play its role—a role that encourages genuine partner- Cardoso, will continue to remind us of why we gath- ships; helps integrate global environment issues with ered here in New Delhi. national priorities at the national level; and encour- The Prime Minister of India told us yesterday that ages the international community and its bilateral sustainable development could not be pursued by a and multilateral institutions, whether Bretton nation in isolation—the endeavour had to be a col- Woods or the UN, to do likewise. lective one. He told us that national environment We fully endorse the GEF 2 replenishment policy policy would harmonise the demands of develop- recommendations, based on the overall performance ment and environment. We share what many speak- study, because they will improve the quality of GEF ers said yesterday about the link between poverty and activities. They will do so in six ways: environment. My Government recently published a 1. Improved country ownership and capacity, inte- policy on international development that has at its grating global environmental issues into national heart the elimination of poverty and working in part- sustainable development policies. nership to help create sustainable livelihoods for poor 2. Better mainstreaming of global environmental people, promote human development, and conserve objectives into the regular policies and pro- the environment. grammes of the implementing agencies. This Assembly marks a watershed for the GEF. 3. Better involvement of the private sector, and part- It has come of age, ready for the new millennium. nerships with them. We are meeting to review, discuss and celebrate 4. Enhanced monitoring and evaluation and the urgent the achievements of the GEF family so far, to look development of performance indicators. 5. Greater participation of other international and ■ The GEF has a positive role to play in emerging regional organizations. environmental challenges such as chemicals, includ- 6. Further clarification of the application of incre- ing persistent organic pollutants, which ought to be mental costs. defined in advance of negotiations. What is clear is that: For the GEF to advance this agenda, the GEF Council ■ The GEF is sufficiently mature to allow the Conven- will need to reflect on the outcome of this Assembly tions it serves to focus on implementing their agendas. and to be realistic where others are best placed to ■ The GEF has a positive role to play in the post- play the decisive role or contribution. Kyoto agenda, including the clean development Finally, let me confirm that the UK has been and mechanism. will remain a staunch supporter of the GEF—GEF ■ The GEF has, within its mandate and operational that plays its part in helping to integrate global envi- programmes, further action to be taken on land ronmental issues at the national level in a way that degradation. meets national priorities and aspirations.

Statement of the United States William Schuerch Deputy Assistant Secretary of the Treasury

want to express the deep appreciation of the of many types of projects, and it has established United States to the Government of India for medium and small grants programs to efficiently hosting the first Global Environment Facility deliver resources to the local level through NGOs and Assembly. In particular, we are grateful to the other organizations. IPrime Minister, to our Chairman, Mr. Sinha, and to The GEF has pioneered unprecedented and the head of the Indian delegation, Mr. Prabhu. We urgently needed levels of public participation—cru- also want to acknowledge the very substantial and cial, because this democratic, ground-up approach is significant efforts of the GEF’s CEO and Chairman, an imperative for truly sustainable development. Mohamed El-Ashry, the GEF Secretariat, the Vice- And GEF is moving to establish the strongest possi- Chairmen, and the implementing agencies in arrang- ble monitoring and evaluation, to transform experi- ing this important event. mental methods into practical new ways to achieve The U.S. strongly supports the Global Environ- the dual priorities of economic growth and environ- ment Facility and its goals, and we value highly the mental protection. We believe that the rapid devel- cooperation this organization facilitates among opment of GEF and its unique contributions and almost every country of the world in addressing the achievements, coupled with the successful replenish- pressing global environmental threats that face us all. ment agreement which we should all be proud was This Administration is firmly committed to fulfilling accomplished earlier this week, assures the GEF a sta- all the past and current U.S. pledges of financial sup- ble and secure future among our most important port to the GEF. international organizations. The Facility’s history is one of rapid development, Looking forward, a top priority for increased effec- from its pilot phase, to its restructuring, and through tiveness is to “mainstream” global environmental its first operational period. It has faced considerable issues more completely into the development process. challenges, and it has emerged as a unique and vital Foremost, this means “mainstreaming” environmental actor on the world stage—one which we believe protection into the regular projects and sector work of should be designated as the permanent financial the implementing agencies and into other international mechanism for the Conventions on Biological Diver- organizations. A critical complement to institutional sity and Climate Change. GEF also has strengthened “mainstreaming” is country “mainstreaming.” This its project development capacity and has quickly means thoroughly integrating global environmental established a solid portfolio of projects in all of its protection into all countries’ economies, development focal areas. It has streamlined preparation and approval plans, and programs. Successfully achieving this objec- tive will require the dedication and involvement of all ■ That the GEF should explore options for expanding sectors of society, from each community to the top lev- the number of agencies through which it operates in els of national government. order to promote competition and to ensure the Integral to country “mainstreaming” is bringing to improved implementation—including direct project bear the domestic resources of each country on eco- implementation through NGOs, PVOs, and regional nomic development options that protect environ- development banks. ment even as they support growth and development. ■ That the GEF aggressively should seek ways to further These domestic resources will have a much greater facilitate private sector investment in environmental- impact on environmentally sustainable development ly sustainable development, not only to leverage GEF than foreign investment and overseas development resources, but also to enhance their effectiveness. assistance. Reorienting domestic resources need not ■ That, consistent with the need for global coopera- entail sacrificing economic development. Indeed, we tion, stronger financial support should come from firmly believe all countries have innumerable oppor- developing countries and countries with economies in tunities to protect the environment while at the same transition, especially from the newly industrialized time protecting human health, improving welfare, countries, countries that do not yet contribute, and and providing long-run economic security. We countries with large populations and large economies. believe that economic growth and environmentally And finally, we suggest that to achieve the maxi- sensitive actions are not separate alternatives but are mum impact from GEF resources, together we should of necessity long-term complements. set clear and publicly measurable goals for GEF opera- The United States’ own experience illustrates that tional and administrative performance, that we this is the case. We have reaped both public and pri- should devise focused strategies including perfor- vate rewards through investment in environmental mance indicators for reaching those goals, and that protection. One clear example is that establishing we should consistently and carefully measure GEF more effective codes and standards for buildings and and implementing agency performance. Learning equipment has led to dramatically increased invest- from the results of the first GEF independent evalua- ment in energy conservation, thus increasing our tion, we also should ensure full follow-through on economic efficiency while also reducing harmful air the overall performance study and set advance plans pollution. Working as a partner with developing for further independent evaluation prior to the next countries, the GEF should play an increasingly impor- replenishment. This results-oriented approach is cru- tant role in demonstrating and facilitating the flow of cial for improving all large organizations, particularly private and domestic public resources to these types those as rapidly evolving as the GEF. In fact, the United of win-win approaches. It is our hope that this first States Government and each of its agencies also is participants’ Assembly of the GEF will serve to invig- currently working through just such a process. This orate our mutual commitment to this crucial task, type of adjustment is not easy, but the potential while we also pursue the macroeconomic policy rewards are great. reforms—emphasized by Prime Minister Vajpayee In closing, let me say that not only does the Admin- this morning—on which sustainable development istration commit to fulfilling its past pledges and its also depends. near contribution to the second replenishment of the While celebrating GEF’s very significant accom- GEF, not only does the United States strongly support plishments and past improvements, we must also the GEF, its activities, and its continuing improve- note that the recent study of GEF’s overall perfor- ment, but even more importantly, we are committed mance shows a need for continuing reforms in order to the sustainable development principles on which for the GEF to reach its full potential. We want to the GEF was founded and to their application not highlight a few priorities for the GEF’s further devel- only in the U.S. and in all countries, but also in the opment. We suggest: implementing agencies and across all international ■ That the GEF and its implementing agencies should financial and development institutions. We look for- coordinate with bilateral agencies in country assis- ward to the day when the voices of all other GEF sup- tance planning and should more deeply involve porters consistently join us in speaking out in sup- these agencies in project development and imple- port of fully applying sustainable development mentation. principles within these other institutions. That would ■ That the GEF should move to a more strategic allo- mean that the GEF members themselves had “main- cation of resources, to take advantage of the best streamed” the values we all seek to foster in our soci- opportunities for achieving positive global environ- eties, to leave a better world for our children and our mental impacts. grandchildren. Statement of Uruguay Luis Almagro Lemes Secretary, Ministry of Foreign Relations

n primer lugar queremos agradecer la coop- adquirir elementos que las hagan más flexibles y que eración que surge del FMAM y a través del el apoyo y asesoramiento técnico que se dé a las cual hemos podido instrumentar y ejecutar el partes contribuya a hacer este procedimiento menos Plan de Acción Nacional, hemos efectuado la engorroso. A lo expresado hay que agregar que sería correspondienteE Comunicación Nacional a la Secre- posible un sistema más ágil con la solución de los taría de la Convención de las Partes de la Conferencia muchos problemas de orden práctico que se plantean de Cambio Climático, el inventario nacional de gases en relación a los costos incrementales. de efecto invernadero y trabajamos en proyectos de El sistema debe ser más efectivo, entendiendo en Biodiversidad en la zona de los banados del este. este sentido que los resultados que de los proyectos Por supuesto que también reconocemos que los debemos obtener dependen los cambios reales que mecanismos de financiación son perfectibles y deben necesitamos para los problemas ambientales. Para ser adaptables. De hecho, estamos frente a metas e conseguirlo se debe disponer de más fondos, lo que instrumentos que se deben ir renovando de acuerdo a dependerá de la optimización del relacionamiento los nuevos requerimientos que plantean los proble- con el sector privado, de la consideración de proble- mas ambientales y las necesidades de los países. La mas ambientales en los planes de inversión industri- Biodiversidad, la protección de la capa de ozono, pro- ales, del mayor aporte de los países más comprometi- tección de las aguas internacionales y el cambio dos con los procesos de reversión. No puede dejar de climático exigen de nosotros superar metas y entenderse que combatir la pobreza, constituye un plantearnos nuevas. El Mecanismo de Desarrollo objetivo en sí mismo, además de una fundamental limpio que recoge el protocolo de Kioto, las metas de acción para la solución de graves problemas de reducción fijadas para los países del anexo 1, el fenó- medio ambiente y que, por lo tanto, las pautas de meno de “El Niño”, los problemas de pesca y de cont- desarrollo no deben condicionarse. aminación en las aguas internacionales, el aumento También implica una mayor efectividad un mejor de la productividad y el desarrollo, exponen a nue- manejo de los recursos, para lo cual hay que asegurar stros países a definiciones políticas urgentes y a un la atención sobre las prioridades específicas de nue- trabajo que no puede interrumpirse. stros países y que se realice el control administrativo Por ello la importancia de velar por los esfuerzos de cumplimiento de los objetivos de la gestión. financieros que se realicen y hacer que los mismos Bregamos en el sistema actual por una flexibi- sean efectivos y alcancen la dinámica que las propias lización de las estructuras, mayor transparencia para condiciones de los problemas imponen. el fortalecimiento de las sociedades, una mayor La Alianza del Banco Mundial, el PNUMA y el descentralización y estrategias que incluyan priori- PNUD es por si un loable esfuerzo al que damos la dades nacionales dentro de un contexto más amplio bienvenida, pues es un instrumento que da nuevo que permita más flexibilidad operacional. impulso a los esquemas de cooperación. Asimismo, Quiero terminar diciendo que creemos que, en el comprendemos que existen posibilidades para hacer- camino de la descentralización, es importante la tarea lo más dinámico y efectivo. que son capaces de desempeñar los Bancos Más dinámico, pues la tramitación de las solici- Regionales; compartir esta experiencia de cooperación tudes debe ser más rápida, enmarañarse menos en con ellos, daría a nuestros países formas más enrique- esquemas de la burocracia, las revisiones deben cedoras de diálogo y mayor capacidad en la gestión Statement of Uzbekistan Taudat Nurbaev First Deputy Minister, Main Committee on Meterology

have the honour of expressing my gratitude for and climate change are resolving technical, social the excellent organization of the meeting. I and political questions simultaneously; these would like also to thank the Government of require from their executors constant information India for the given opportunity to take part in exchange and ongoing consideration of new ideas Ithis forum in the capital of India, New Delhi. and decisions. The Government of the Republic of Uzbekistan has With the help of the Global Environment Facility in defined sustainable development as a priority task. Its our country, capacity building of both institutional and realisation is impossible without the solution of prob- human potential is ongoing. The implementation of lems of desertification and drought, climate change, the projects financed by GEF improves our knowledge biodiversity, protection of international water and and strengthens the visibility of environmental pollu- depletion of the ozone layer. tion in the framework of broader political priorities. For Uzbekistan, as well as for other states of the Aral In Uzbekistan, articles on the environment are Sea Basin, the problem of combatting desertification being published in the mass media as a result of the and drought is one of the most important in achiev- action plan on problems of climate change, and bio- ing sustainable development. The crisis of the Aral logical diversity; this strengthens the knowledge of Sea—caused by unreasoned policies of use of water the population about GEF policy. and soil resources in the region—are known to all of The success of GEF in recipient countries also you. With gratitude we are aware of the concern of depends on the use of focal points. We welcome the the world community in this connection, which is recommendations of GEF about the strengthening of expressed—and, I hope will be expressed—in support their functions. of efforts carried out by Uzbekistan, in liquidation of Uzbekistan welcomes the work of the group moni- this crisis. toring and assessing GEF activity and approves the With the support of the Global Environment results of GEF work. Facility in the Republic of Uzbekistan the mecha- In conclusion, I would like to assure you, Mr. nism of facilitating implementation of the ecological Chairman and GEF Council, that Uzbekistan will conventions adopted for realisation of Agenda 21 is dedicate its efforts to effective cooperation and worked out. improvement of GEF activity, directed at the global The carried out projects on biological diversity environment.

Statement of Vietnam Pham Sy Tam Ambassador to India

he Vietnamese Delegation has the honour Under the able leadership of the GEF Chief Execu- of expressing its profound gratitude to the tive Officer and with the guidance of the GEF Coun- Government of India, to the Chief Execu- cil and participant states, the GEF has shown a con- tive Officer/Chairman of the GEF and the stant determination to improve the focus, efficiency GEFT Secretariat for their excellent organization of this and effectiveness of its operations. Vietnam hopes very important first Assembly of the Global Environ- that participants will honour the hospitality of our ment Facility. hosts by agreeing to strengthen the GEF as the finan- cial mechanism for the Rio Conventions and by reaf- has established the National Council of GEF Vietnam. firming the existing consensus about the GEF operat- GEF Vietnam consists of various important min- ing policies. istries—such as the Ministry of Science, Technology Vietnam’s message to the first Assembly of the GEF and Environment; of Foreign Affairs; of Finance; of is essentially in three points: Planning and Investment—and the Prime Minister’s 1. The GEF should remain the designated financial Office (the Government Office). The Vietnam GEF mechanism for the Rio Conventions on Climate council is headed by His Excellency Mr. Pham Khoi Change and Biodiversity. The GEF principle of Nguyen, Deputy Minister of Science, Technology and financing incremental costs may be adapted Environment as its chairman. methodologically, but should be maintained to GEF Vietnam has a permanent body with its office ensure consistency with Agenda 21 and the Rio in the Ministry of Science, Technology and Environ- Conventions. ment in Hanoi. That is called the National Environ- 2. Vietnam’s delegation especially welcomes the GEF ment Department Agency. overall performance in the areas of biodiversity The process that culminates in the submission of and climate change, particularly in its ability to projects to the Council of the Global Environment leverage additional funding for global environ- Facility in Washington is done very carefully and mental benefits from both implementing agencies slowly to identify basic priorities. and other funding sources. The Vietnamese delega- The chosen projects go to the Vietnam GEF chair- tion also wishes to draw the attention of this man and its members for careful consideration. Assembly to the suspension of the projects that Those projects that succeed in passing the filter and were negotiated and submitted to the GEF. are adopted by the Vietnam GEF Council through a 3. Vietnam is a developing and transition country, strict regime are submitted to the Government to be and the present trend of development of industry discussed and analysed further. Based on the urgent and economy points to an increase in pollution, situation and necessities of the global environment, a degradation; Vietnam therefore welcomes the rec- very small number of projects can be approved and ommendations that the GEF should do more to submitted to the international GEF in Washington provide guidance for strategic action for environ- according to their priority. mental protection. The protection of the global environment is now We in Vietnam consider the environment in and more necessary than ever before. So we, the Viet- around our country to be an important part of the namese delegation, once again wish the Council, the global environment because, among other reasons, it Chairman, the Secretariat, the agencies of GEF and is situated between two big oceans, and the country the GEF as the whole many new successes and is very rich in biological and natural diversity. It also achievements in the noble cause of facilitating the has two big rivers—that is, Mekong and Red River. protection of the global environment, which has With the aim of supporting the ideas of the GEF, attracted the hearty cooperation and coordination of the Government of the Socialist Republic of Vietnam the Government and people of Vietnam.

Statement of Zimbabwe Charles Chipato Permanent Secretary for Mines, Environment and Tourism

llow me first to congratulate you and your extended to us by the Government of India. I thank entire team for your appointment to the and congratulate the Government of India for suc- Chair. I wish you well and success in the cessfully hosting this Assembly. execution of your duties. Whilst we are gathered to review general policies ALet me also at the outset extend my delegation’s and operations of the Global Environment Facility, appreciation for the warm welcome and hospitality we must not lose sight of our main goal of protecting the global environment and promotion of environ- ject for Household Use and enabling activities for cli- mentally sound and sustainable economic develop- mate change and biodiversity. The project resulted in ment. At the same time, we should continue to strive the installation of over 7,000 solar units in houses, for good governance that is transparent, participatory schools and clinics, and community halls. This has and democratic in nature. In addition to fulfilling its uplifted the social standards of many rural communi- global commitments, the need for the Facility to ties, apart from the global environmental benefits. remain responsive to the needs of its stakeholders The project has also had some policy impact as Zim- cannot be overemphasized. babwe is fast adopting renewable energy technology Stakeholder involvement and participation during into the national education curriculum. This trend the entire project cycle increases and ensures greater might have some regional replication in some neigh- ownership and sustainability of programmes and bouring countries. projects. The GEF Small Grant Programme has also been My delegation welcomes the second replenish- operating in Zimbabwe for the last 5 years. To date, ment of the GEF Trust Fund and, indeed, the need for about 29 community projects have benefited. The GEF to develop and implement a strategy for greater participatory approach applied in the planning and outreach and communication. In order to improve implementation of these projects has contributed information dissemination and public awareness, to their success. The integration of livelihood GEF councillors should be availed the financial improvement and environmental conservation has resources to undertake outreach activities within their made these projects more sustainable. The pro- constituencies. Implementing agencies should gramme has had a marked impact on local commu- enhance the work of councillors. My constituency nities and NGOs have participated effectively in the would welcome such assistance, especially after this programme. historic Assembly. It is against this background that my delegation Zimbabwe is grateful for the assistance received requests an urgent renewal for this programme in from GEF so far, especially for the Photovoltaic Pro- Zimbabwe and other countries in my constituency. Panel Highlights Divider page photo: Land degradation, Mali by Curt Carnemark (World Bank) Panel of Eminent Persons

Chair: it is possible and necessary to bridge—and later do Birgitta Dahl, Member, Swedish Parliament away with—the gap between the idea of incremental costs and normal investment activities. She acknowl- Panelists: edged that it will take time for sustainable develop- M. S. Swaminathan, Director, M.S. Swaminathan Research ment to become a reality, observing that bringing Foundation, Madras about change often calls for “both passion and Crispin Tickell, Convenor, British Intergovernmental Panel on patience.” Sustainable Development Dr. Swaminathan saw sustainability in terms of Mostafa Tolba, President, International Centre for Environ- social and gender equity (including the important ment and Development, Cairo element of employment). He predicted that the new millennium would be the millennium of knowledge. Those who are undernourished will learn less, a fact his panel explored the mutuality of inter- that will lead to further gross inequity. He further ests of all countries in protecting the global pointed to the link between biodiversity and food environment in the context of the pursuit security. of sustainable development. Food security, he suggested, involves the availabili- TIn her opening remarks, Mrs. Dahl called on partic- ty of food (agricultural production and biodiversity), ipants to consider the prospects of “social, economic, the access to food (ability to purchase food/the mar- and environmental development of a benign charac- ket) and the absorption of food (food safety, includ- ter, linked together” and the role to be played by GEF ing drinking water). Biodiversity is essential in as and all other potential contributors to sustainable much as agriculture depends on land and water. A development. In her view, the “art” lies in choosing serious problem today is the loss of diversity in agri- the right methods and practical actions for linking cultural production, which currently depends on four local and global environmental challenges and or five crops. The genetic base of agriculture has also national and international resources in addressing narrowed. Parks and other protected areas receive problems of the global environment. large amounts of public funding but in situ conserva- Mrs. Dahl recalled that the High-Level Advisory tion of biodiversity depends on private resources of Board on Sustainable Development appointed by the families and communities. Indigenous knowledge is U.N. Secretary General after the Rio Conference had being taken from communities without adequate identified three areas of strategic importance to meet compensation, Dr. Swaminathan observed. In the people’s needs, promote economic progress, and secure interest of equity, benefits should be shared with the sustainable development: energy, transportation, and poor who conserve indigenous knowledge. (“The water. It agreed that in these sectors, production tech- poverty of the guardians of variety is not matched by nologies, consumption patterns, and lifestyles must be the richness of the consumers.”) changed. Targets and programmes were identified for Dr. Tolba observed that 30 or 40 current problems achieving social and economic progress without disas- will carry over into the next century, including the trous effects on either the environment or long-term problem of water supply. After energy, water may be economies of the countries involved. the next largest cause of international disputes. His Mrs. Dahl emphasized the importance of identifying country, Egypt, is a low-income country with high initiatives that will make it clear to governments, citi- water stress. If the global poverty line for water is an zens, and the GEF that it is possible and necessary to annual per capita consumption of 1,000 cubic integrate the fight against poverty with economic meters, Egypt, at 900 cubic meters today, is already progress and environmental concerns. Programs below the poverty line. With population growth it should be elaborated that would make it obvious that will be at 700 cubic meters by the year 2010. How should Egypt address this problem? In Dr. Tolba’s warming of some areas of the world but changing view, GEF is giving greater emphasis to marine parameters are also a factor: pollution in industrial- resources than fresh water. Financing is needed to ized countries could shield inhabitants from global address the problems of water supply. warming whereas melting ice water could make some Today 250 rivers are shared by more than one oceans and neighboring areas colder and warm cur- country. Inter-country “ownership” of fresh water rents, on which e.g. Western Europe is dependent supplies is a major potential source of international could change their routes. The issue is complex, and conflict. Dr. Tolba also observed that more than 80 the global community is just beginning to address it. percent of Egypt’s water is being used for agriculture. Emissions of carbon dioxide must be reduced, but It is essential to change the antiquated system of irri- this will require changes in energy, transport, and gation, but this will cost large sums. The cost of mod- other policies and will be hard to achieve. It was clear ifying water use practices must be balanced against at Kyoto that the United States and other industrial- the costs of needed services in other areas, including ized countries are not interested in doing very much education and health. The question is what should very soon. The largest emitters of carbon dioxide be GEF’s role and responsibilities vis-a-vis the conser- must make the biggest reductions. They must see that vation of fresh water. it is in their interest to do so. To reduce carbon emis- Sir Crispin Tickell noted that human population sions, governments must also tax fuel use, withdraw increase, land degradation, water supply, and threats subsidies, and encourage the production of alterna- to biodiversity—the four Horsemen of the Apoca- tive energy. Some major oil companies foresee the lypse—are driven by climate change. It has been need for change. Changes must be effected soon, or determined that human activities contribute to the future generations will suffer.

Panel on Sustainable Development

Chair: income. Disposable incomes are on the rise. Our Vishwanath Anand, Secretary, Ministry of Environment and farmers are producing more than ever before…How- Forests, India ever, these developments have increased the pressure Panelists: on our forests and rivers and on our select bodies T. N. Khoshoo , former Secretary, Government of India which have to keep up with the rapid pace of urban- ization. Similarly, the demands on our planners to R. K. Pachauri, Director, Tata Energy Research Institute; Vice provide adequate energy and material goods for our Chairman, Intergovernmental Panel on Climate Change people have increased. Shrimati Kiran Agarwal, Secretary, Ministry of Urban Affairs Balancing these development pressures and the and Employment health of our natural resources is not an easy task. S. S. Boparai, Secretary for Foreign Affairs, Ministry of Non- This has necessitated many initiatives both within Conventional/Conventional Sources of Energy, Government and outside the government. Our multimedia pre- of India sentation represents only a fraction of the numerous Nay Htun, Assistant Secretary General, United Nations initiatives that have been taken so far and may not really do justice to their vast scope and accomplish- C. P. Oberoi, Inspector General of Forests, Government of ments. You’ve seen the numerous strides we’ve taken, India but there are critical challenges that still remain. In Kenneth King, Assistant Chief Executive Officer, Global Envi- spite of these quantum strides towards the path of ronment Facility sustainable development to improve the living stan- dards of our citizens, we have to do very much more. (The discussion was preceded by a multimedia presenta- I would like to commend the good work that has tion on India’s efforts toward sustainable development.) been done by GEF so far. We’ve always had a positive ANAND: India’s direct dependence on natural resources response from GEF. It is in this spirit that we would has decreased over the years. Now the manufacturing like to offer a few suggestions. The first issue I would and service sectors form the bulk of our national like to touch upon is that of incremental costs. GEF supports incremental costs only in terms of global integral component of global priorities, I don’t think benefits. Investments for baseline activities, to the we will be able to move towards a win-win situation, extent that these accrue to the host country, are to be and a win-win situation can only be won where you funded by the latter’s own resources. Therefore, on have both high national and global priorities. average, GEF funding accounts for between 20 to 50 PACHAURI: GEF should concentrate on developing percent of a total project cost. This leaves a large linkages and partnerships with a number of organiza- financial gap which host countries, being developing tions, because it’s from a free flow of intellectual countries, find very difficult to make provision for. inputs that one might be able to arrive at priorities This really, therefore, does not adequately reduce our and projects that would really help not only the financial burden. cause of global environment protection but also sus- Secondly, we find that incremental costs do not tainable development at the local level. always reflect ground truths. Here we feel there is I see great benefits in pursuing the PRINCE (Pro- need for greater participation by local consultants. gram for Measuring Incremental Costs for the Envi- India and several developing countries have a wealth ronment) initiative with some vigor because not only of eminent scientists and environmentalists who have would it help clarify what constitutes incremental the advantage of being familiar with local strengths costs, but this would also help groups outside the and weaknesses…The costs of capacity building in a government and governments themselves in under- host country are not being treated as part of incre- standing what should go into the assessment of mental costs. We strongly feel this approach needs to incremental costs. I submit that this kind of intellec- be changed. Capacity building should be a concurrent tual partnership which helps not only to throw light activity and built into projects. on some of the elements of a good GEF project but We compliment the GEF’s initiative in introducing also helps to create understanding among those who the medium-size window. This has really helped the are project proposers will certainly accelerate the approval procedure, which has now been compressed process. to six months. However, the remaining project cycle BOPARAI: Our attitude toward the GEF and its role continues to be lengthy, and after a close scrutiny or utility is that it is very positive, very supportive, and a review of at least three times, the process takes and it has helped us to reach a status which would be years… the envy of any country, not just a developing coun- GEF’s operational programs cover a wide range of try. The World Water Institute has declared India to sectors. There is ample scope for expansion, particular- be a new superpower in wind energy, and I think ly in the areas of transportation, forestry, and water that’s where the GEF has given us very able support. cleaning. For example, forestation, which is presently We not only have now over 1,000 megawatts covered under short-term measures, could also be installed, but we also manufacture wind turbines, and linked to climate change-related perspectives. There it’s a matter of pride that the first wind turbine man- needs to be more flexibility on issues where opera- ufactured in India has been exported to a developed tional strategies by GEF have yet to be finalized… country like Australia. India has taken several steps for greater involve- KHOSHOO: I would urge, request, cajole, and advise ment of local stakeholders. Starting from 1994, we you to put your multimedia presentation on the have conducted several workshops to encourage Internet. Let the people know what is happening. greater participation from NGOs, industry associa- India is 576,000 villages. That is the weakest link, and tions, and other premier institutions. We are drawing the weakest link determines the entirety. Please do up a plan for increasing the extent of this participa- not think that they know nothing. There’s enough tion in tandem with GEF. knowledge. You and I can learn a lot from them…We GEF has great promise as an effective vehicle for have never paid any attention to their success stories, technology transfer, but successful transfers will how they have managed over the generations, what need to be accompanied by adequate fund flows. It they have done, how efficiently, how useful their is important that, in addition to mitigation tech- technologies are. These may be small technologies, nologies, there is equal emphasis on adaptation but they are very relevant. technologies. I would urge you, Mr. Secretary, to apportion some GEF funding is for projects which have global ben- of these funds to cull out these local technologies and efits. But global benefits cannot accrue unless there to put them to wider use. We think that we are are equal national benefits. Our commitment to pro- paragons of everything. We think we know every- vide a basic standard of living for our people cannot thing. We don’t…There are enough local technolo- be overstated. Therefore, global environment priori- gies which satisfy four or five criteria, leading to envi- ties will have to be seen as an extension of the ronmental harmony, economic efficiency, resource national endeavor. Unless national priorities are the conservation, local self-reliance, and equity and social justice. They have cultural elements, and they have would like to work with you very closely to make even gender equality. sure that this is also a feature of GEF projects. I note, AGARWAL: There has been very little direct inter- for example, the solar thermal electric project in vention by GEF in the construction or transport sec- Rajasthan, where we have partners from our bilateral tors in urban India, yet these are the areas that are agencies, from KFW, and independent power produc- contributing heavily to carbon dioxide emissions, ers. The wind farms project and solar photovoltaics and I feel something drastic needs to be done to project, which we are doing with the Indian Renew- reduce the pollution from these sectors. able Energy Development Agency, also involves We definitely need to move away from owner-dri- investors and private sector local manufacturers. ven vehicles to a mass rapid transport system. We The small hydro projects involve the Tata Energy have made a beginning, but I think we need a lot Research Institute, a university here, and the Alter- more support to introduce this in all our mega-cities. nate Hydroenergy Center. And in the energy efficien- I think GEF needs to look at some of our projects, cy project, also with IREDA, we have…six times and we will be working with the Ministry of Environ- more money coming in from other sources, so that ment to ensure that some of these areas get a little shows a real partnership and commitment which we more attention. feel demonstrates that we will have some sustainable OBEROI: We seek the cooperation of villagers and impact. And, of course, the coal bed methane cap- tribals to protect the forest, and in view of that, fuel- ture project involves co-funding from other wood, firewood, bamboo, fodder, grasses, are sup- sources… plied to them by the forest… We don’t believe that there’s a dichotomy between Our linkages with the forest and nature are very, global and local. Clearly, if there’s a linkage between very long. We have examples of people going to the the two, we have the basis for sustainable action… forests in order to save them. In Rajasthan, we have a Since we’ve just recently concluded an agreement to community which protects forests and wildlife also. provide project development for India on fuel cell A worship of nature and trees has been going on for a buses and in other transport areas, we can, in fact, very long time, and trees and nature have been a address both the greenhouse gas emissions problem symbol of mutual cooperation between various com- as well as local air pollution problems… By uniting munities…As our forests are being maintained with these local and global interests we can make sure that the proper cooperation of the villages and the local GEF-supported actions will have the commitment of communities, we do hope that they will be in a con- the population and of the country and will be sus- dition to provide them the basic requirements of tainable. their livelihood. HTUN: During the last couple of months there has KING: India has been with the GEF from the begin- been tremendous progress in working out guidelines ning on the restructuring, through the replenishment for national execution, and we have been discussing as well, and also hosting this Assembly…About 9 per- these with the Ministry of Finance…We hope the cent of all of our project allocations are in India. We new procedures here would allow projects to be have about 17 projects at the moment, plus all the implemented much quicker… small grants… I’d like to draw your attention to the effectiveness Getting projects which are country driven is very of local participation and particularly NGO participa- important because, apart from anything else, it sig- tion, and the document which has been distributed nals a commitment and a condition under which the about how NGOs have been participating in UNDP- things that we do are genuinely going to be sustain- GEF projects. able…We hope that, as a result of GEF assistance for They are also very cost-effective in the first phase. India’s biodiversity strategy and action plan, national For about $300,000, 24 projects were implemented… priorities in the biodiversity area will become further And it is because it is so cost-effective that out of the developed and further articulated. On that basis, we UNDP country office’s resources we ourselves will be will have scope for further partnership in the result- putting more money into the small grants program… ing projects. There is also GEF support for India to A global problem, a global solution, is nothing develop its own institutional capacity and to develop more than a sum total of national activities… So options and alternatives which will form part of there’s no question that there must be national bene- reporting commitments to the climate change con- fits, and the results of the national benefits add on, vention. accrue, to a better understanding of what the global I was very impressed by India’s commitment to problems are, and hopefully a better solution to glob- partnership… For us, too, commitment, collabora- al problems… tion, partnership, co-funding, public involvement are Many countries, India particularly, have tremen- also signals of sustainability of GEF actions. We dous water resources. We know the consequences of large dams, but very small, micro, mini, hydropower because of the burning of coal…there should be no projects can bring benefits directly, more effectively, question whatsoever why countries like India and to the local level without long transmission lines, China, which have an abundance of coal resources, losses in energy, et cetera. It also brings benefits to should not be able to use it. However, there is also a the people… Again, the coal bed mitigation project recognition that while these are the sovereign brings immediate local benefits, but by capturing the resources of a country, countries like India are methane, it helps reduce greenhouse gases. extremely responsible countries which know their As countries in Europe and North America, since basic global responsibility. So I think there should be the dawn of the Industrial Revolution 200 years ago, more international effort to see how there can be have created what was known as the black country cleaner coal combustion and cleaner uses of coal.

Panel on Science and the Environment

Chair: growth is indeed the best way to reduce environmen- Jody Parikh, Acting Director, Indira Gandhi Institute for Devel- tal degradation. And this view is supported by many opment Research publications of the United Nations agencies stressing and illustrating that poverty and environmental Panelists (all members of GEF’s Scientific & Technical Advisory Panel): degradation are directly linked. These messages imply Pier Vellinga, Vrije University, Amsterdam and STAP Chairman that we can best address our environmental prob- Jorge Soberon, National University of Mexico lems by encouraging economic growth… Robert Williams, Princeton University In fact, what’s happening is that eco-efficiency increases do not really keep up with economic John Woods, University of London growth, at least not with the present policies. And Istvan Lang, Academy of Sciences, Budapest this is particularly so for those problems that are related to these major bio-geochemical cycles…If we PARIKH: The GEF Council desired an independent indeed look at land use, it is relevant for all the GEF panel of experts…a Scientific and Technical Advisory focal areas, not just for the protection of and sustain- Panel—in short, STAP—to be associated with GEF able use of biodiversity but equally for watershed activities. Although it is independent, we work close- management and the quality of international waters. ly with the GEF Secretariat and the implementing Moreover, land use does offer opportunities in the agencies: World Bank, UNEP, and UNDP. field of biomass energy production and carbon Even though most of us represent two or three sequestration. kinds of expertise, we still need to have large scientif- Still, in practice, some of these land-use objectives ic bodies behind us, and that is why we have done are in competition with one another, while in other extensive scientific networking. First of all, we have ways there may be opportunities for synergies. For an produced a STAP roster in which we have enlisted organization like the GEF, it’s crucial to identify the many other experts which are then called for review- various conflicts and opportunities. Science can make ing GEF projects when necessary… an important contribution… the minimum science STAP’s contributions lie in the area of GEF opera- can do is (ensure) that solving one problem does not tional program development and strategic advice for create equally another one… In all these fields, the various GEF projects and also the project portfolio. scientific community, through the STAP, can assist We also have selected reviews for that purpose, and GEF in identifying the risks and the opportunities we have written a document on targeted research. that arise when all these interlinkages are clarified You might want to look at STAP workshops on trans- and used as a basis for multi-benefit solutions… portation, coal, renewable energy technology, land SOBERON: One of the main issues that STAP has degradation, international waters assessment, and addressed is the concept of sustainable use. Biodiver- technology transfer. sity is a word that covers…the manifestations of life VELLINGA: It’s only a few years ago that the World on Earth. Starting from single individuals and genes, Bank issued a report illustrating that economic moving upwards to the assemblage of those individu- als and their behavior in forests or other ecosystems, nologies, which I define as energy technologies that in landscapes in which different ecosystems interact, have a high degree of inherent cleanliness and safety all the way up to our entire planet. and, thus, are able to meet environmental and safety But it is sometimes forgotten that human stake- goals without the need for complicated and costly holders are also assembled on larger and larger scales, end-of-pipe control technologies. again, starting from the individual providing food for The other trend is the restructuring of the energy his family to the local markets in which those prod- sectors of most countries in the world that are partici- ucts are sold and traded, to markets from different pating in the ongoing globalization of the economy, cultures, all the way up to the globalized markets in with growing roles for private sector, for market pric- which our world is entering every day and more and ing of energy, and increased competition. more so in the future. The momentum toward commercialization of This call for what is called the ecosystem approach environmental energy technologies can be illustrated to the conservation and sustainable use of biodiversi- by the rapid advances relating to several of these ty, recognizes the levels of biological organization technologies—wind, photovoltaic power, and bio- and also recognizes that humans are an integral part mass power generation technologies—and also the of ecosystems… use of fuel cells in transportation… I’d like to give you an example of these kind of The important point is that these technologies, ideas in the…Campeche and Quintana Roo states of which are just illustrative of a larger set of technolo- Mexico. These people have been rubber tappers for gies of this type, could all be playing significant roles chewing gum for decades, and they are also interest- in the global energy economy by 2005, which is not ed in timber extraction. These communities have very far from now, if there were efficient market-pull organized themselves, have empowered themselves. policies put into place in various countries around They now control their resources. They own the land, the world… and they own the trees…and they directly access Are the trends toward commercializing environ- international markets for their timber and their prod- mental energy technologies and restructuring of the ucts…the quality of life of the people is increasing. energy industry, are these antithetical trends? Will They have now their own clinics. They pay for their energy industry restructuring reduce the momentum own medics. They pay for their own teachers. The toward commercialization of these environmental structure of the populations of the butterflies and energy technologies? Or can the industrial dynamism birds is not changing. It is maintained within the of a restructured energy industry be harnessed to exploited forest. However, the composition of species accelerate the commercialization of these technolo- of the forest, of the trees itself, is changing because gies… the people are planting actively certain species rather In (industrialized) countries, measures that protect than all of them. So this is becoming an important longer-term societal interests have been given close issue to monitor… scrutiny as key elements of policies to regulate the This integrated perspective I am trying to give you transition to a more competitive electricity market. comes from the work of many people… Perhaps what Examples of such regulatory measures aimed at is new is the idea that agencies like the GEF should launching renewable energy technologies in electrici- take this integrated view in which conservation and ty markets while making maximal use of market sustainable use and sharing of benefits are developed, forces and finding the most economically efficient according to the ecosystem approach…in which we ways to do so are…options and so-called set-asides. A acknowledge that…there are stakeholders at all levels concrete illustration of the option is the renewables of conservation of biodiversity; community empow- non-fossil fuel obligation in the United Kingdom. An erment, the sharing of values, and the creation of illustrative set-aside instrument that is under active trust are very important factors; market tools have a consideration is the renewable portfolio standard in place to play; property rights must be clearly estab- the United States. lished in order to allow these things to proceed, safe Under the renewables non-fossil fuel obligation minimum standards are also required…and finally, established in conjunction with the United King- targeted research is required because of the complexi- dom’s power sector privatization initiative, some ty of the whole system and indicators will have to be 1,500 megawatts of renewable electric supplies will also developed, tested, researched, and then main- have been purchased by electric utilities by the year tained for long periods of time. 2000 as a result of a series of options that are being WILLIAMS: Two ongoing trends have profound held to spur competition and encourage cost conver- implications for the global energy industries. One of gence between renewable and conventional energy these is the rapid rate of progress toward commercial- supplies. And, indeed, the experience to date has ization of a wide range of environmental energy tech- been very promising in this regard as there has been a decline by a factor of two in the average bid price The dilemma concerning the active participation of between the second and the fourth options that have developing countries in the commercialization of taken place to date. environmental energy technologies could be resolved A renewable portfolio standard is one important if ways could be found to help pay for the incremen- element of a bill to promote competition in the elec- tal cost of buying down to market clearing levels the tric industry submitted recently to the United States prices of these new technologies. A grand bargain for Congress by the Clinton administration. The renew- doing this is what I’m going to propose at this point… able portfolio standard requires each electricity sup- Countries of the North and the South would work plier to provide a specified percentage of total sales as cooperatively to catalyze the technology revolution non-hydroelectric renewable electricity, a percentage that could make many of these environmental energy that rises to 5.5 percent by the year 2010, and each technologies widely available and competitive in 5 to supplier must either generate the renewable electrici- 15 years’ time…developing country partners intent on ty in this minimum amount or purchase tradable getting involved in the innovation process for envi- renewable electricity credits from others who produce ronmental energy technologies would agree: first, to more than the required minimum amount. adopt local and regional environmental policy There are very good prospects that such programs reforms and accelerate the introduction of energy will be effective in establishing a range of renewable market reforms that would make their countries favor- and other environmental energy technologies in the able theaters for innovation for environmental energy markets of the now industrialized countries. An technologies (reforms that would include both market important question that arises is: Should developing pricing of energy and the establishment of well- countries wait until such technologies are fully estab- defined and transparent rules relating to the participa- lished in the markets of the industrialized countries tion in these markets by foreign companies); and sec- before pursuing them for their own markets? Or ond, they would agree to introduce minimum should developing countries instead play active roles quantities of targeted environmental energy technolo- in helping bring these technologies to the market? gies under competitive conditions aimed at bringing A major drawback of playing an active role in about cost convergence with conventional energy bringing these technologies to market is that initially technologies in the form of options or set-asides… they will be more costly than conventional energy To help accelerate the rate of introducing these technologies. And many would agree that buying new technologies, the international community down the prices of new technologies through large- under this grand bargain, through instruments such scale deployment would be an inefficient allocation as the Global Environment Facility or the clean of scarce resources for developing countries which development mechanism, would agree to the follow- have so many pressing problems to attend to. ing: first, to help support the capacity building in On the other hand, developing countries willing to developing countries that is needed to facilitate the play active roles in bringing these technologies to technology transfer and technological innovation market could potentially evolve into market leaders processes; second, to encourage international collabo- for many of these technologies, both because their rative energy research and development aimed at rapidly growing internal markets would enable them shaping environmental energy technologies to best to progress rapidly along learning curves and thus conform to local needs in developing countries; and, accelerate the pace of technological price reduction, third, and perhaps most important, to help buy and because once the technologies are established in down the prices of these technologies to market the market, production costs could well be lower clearing levels by paying for the incremental cost… than in the already industrialized countries, owing to Both private companies in and governments of the the lower wage rates at all levels of skills in develop- industrialized countries could also gain from the ing countries compared to industrialized countries. grand bargain. Many energy companies in the indus- Renewable and other environmental energy tech- trialized world have strong commercial interest in nologies are strategically important for developing participating in developing country energy markets countries, first because environmental problems are which account for most global energy demand already severe, with a huge toll in human health growth. Such companies could bring both new envi- costs arising from air pollution, for example; because ronmental energy technologies and wide experience without stringent controls these problems are going with the process of innovation to developing coun- to get worse with rising incomes and energy use lev- tries in partnership with local entities for manufac- els; and because it will be difficult to meet environ- ture, marketing, and product development in devel- mental goals simply by mandating end-of-pipe con- oping countries. trols on energy technologies that were designed Moreover, because most environmental energy originally without environmental concerns in mind… technologies such as energy-efficient end-use tech- nologies, fuel cells, and renewable energy technolo- One has to diagnose what the problems are, how gies, provide not only local and regional environ- they vary from place to place, how one might begin mental benefits, but reduce greenhouse gas emissions to develop a prioritization, because we know that the as well, industrialized country governments would be international waters focal area is unique in the GEF powerfully motivated to support such a grand bar- in that there are more demands for projects than gain as a strategy for encouraging the pursuit of there are funds available. That’s not true in the other greenhouse gas emissions reduction opportunities on areas. So prioritization is an important part of the the part of developing countries… work of the Secretariat and the Council. WOODS: The GEF is concerned with global prob- We need to have a sound scientific basis for that lems, and some of the water problems can be prioritization, and so the assessment which will be described as truly global. There are pollutants that are carried out over the next five years or so will look at carried by ocean currents all around the world. But I these problems. But diagnosis is only part of the must say that very few of the GEF projects are con- problem. cerned with these global problems. They’re mainly If you look at the IPCC, much of their work has concerned with regional problems, which involve been concerned with prognosis, with asking how far trans-boundary transport, whether it’s through rivers, have we got in our scientific understanding of the in lakes, or in the coastal seas. So that’s really been environment in order to say what will happen. What the main focus. will happen if we do nothing about the climate? The different focal areas are not totally indepen- What will happen if we carry out certain remedial dent, and when you look at waters, there is a strong actions of the kind that Bob Williams was talking linkage with each of the other focal areas… if you dis- about, changing the pattern of energy usage in order cuss the progress made by the IPCC in looking for to reduce the predicted changes in climate in the scenarios for climate change in the next century, it’s next century? very clear in their report that their ability to forecast So the question we have is: Do we have enough how climate will change, both globally and regional- knowledge about the water systems in our planet to ly, depends critically on the ability to describe the predict what will happen if we do nothing, what will way the oceans interact with the atmosphere. happen if particular courses of actions are proposed? In biodiversity, we’ve already heard from Jorge …the second part of the global international waters Soberon that marine biodiversity is an important ele- assessment will be concerned with this question of ment of that focal area. Even the ozone depletion laying bare absolutely clearly what can and can’t be problem comes in because there’s growing evidence done in the way of scientific statements of predicting that there’s genetic damage to plankton in regions the consequences of action. We don’t want to invest where there is stratospheric ozone depletion where a large amount of GEF money in projects not know- the ultraviolet radiation is higher, and, of course, ing what the consequences of those projects will be. these are high fisheries areas. And this needs further The second focus that I want to discuss is the intro- study. duction of new methods of information technology Finally, of course, the changes of land use have an into international waters projects. The international enormous impact on waters, whether it’s lakes, rivers, waters projects lend themselves very much to intro- or in the coastal seas. ducing knowledge-based systems, and in the OECD In STAP, we’ve focused on two particular countries in the last decade or so, there have been themes…firstly, the need for a global assessment radical developments in the way in which we moni- which can be comparable with the work that is being tor the system and interpret the measurements. I done for climate by the IPCC, in biodiversity by the would like to just give a few examples. global biodiversity assessment, and, of course, in Shore-based radars can monitor the flow through stratospheric ozone, by that assessment… straits and monitor the waves and the currents very There has been no global assessment of the prob- economically. The cost is just a few antennae left lems of waters, in particular in the coastal seas. Now, unattended on the coast. One just needs a fence this is a projection that shows the whole world, and, around them to stop the sheep from knocking the of course, fresh water is the white region and the antennae over. And this will give a day-in, day-out problems that we’re mainly concerned with in the monitoring of the flow. This is not being used in any sea are the red regions, the coastal zones. And it’s GEF project at the moment, and STAP has drawn been possible to divide these coastal zones into a attention to the effectiveness of this technique, and number of local regions, large marine ecosystems, particularly the cost-effectiveness of it. and the assessment will look at each of these in turn We all know, of course, the impact of satellite and study the particular problems that each has. observations of the ocean. There are now four ocean- We call that the diagnostic part of the assessment. observing satellites circling the globe…it’s taken real- ly the last ten years to work out how to make use of The Hungarian Government invited the World Sci- this information. But the information now is flowing, ence Conference to be held in Hungary, in Budapest, and we’ve worked out how to exploit it, and we need and the dates are already fixed, from June 26 to July 1 to bring that into GEF projects. next year. We have robots in space. We call them satellites. In What is it, the World Science Conference? Accord- the future, we’ll be making most of our observations ing to the ideas of the main organizers, it will be a in the ocean by robotic systems…a prototype is now forum of high-ranking policymakers, science policy- undergoing trials off Bermuda. makers especially, high-level scientists, and represen- This is costing about a tenth of the cost for a given tatives of the young generation of scientists. collection of data compared with using the tradition- UNESCO and ICSU will organize this conference al methods, taking ships to sea and lowering instru- together with many partners—UN agencies, the ments into the water. We envisage that the great World Bank, OECD, the Third World Academy, Euro- experiment just finished, the world ocean circulation pean Union, and many others. All together around experiment, which had ships moving along each of 30 partners have expressed their interest. these lines and took ten years to map the ocean cur- There will be three major fora on this World Sci- rents globally, will be done routinely by these robotic ence Conference. Forum 1 will deal with the internal systems in the future and provide for the first time a problems of science, achievements, shortcomings, truly global context within which the regional pro- and challenges…such as how can science help close jects looking at coastal seas will be set. Other meth- the gap between developed and developing countries, ods which are very cost-effective are free drifting science teaching and training of scientists. Another floats…which rise up and down through the water, will deal with science for economically viable, social- making measurements and sending their data back ly equitable, and environmentally sound develop- centrally. ment and, last but not least, science and the chal- The other half (of the equation) is new methods lenge of global environmental change… for making use of those observations, and mathemat- Forum 3 look will look ahead to the 21st century ical models now reach the stage where the ocean can towards a new commitment to science by non-gov- be described in the equivalent detail to that of weath- ernmental scientific organizations, intergovernmen- er forecasting in the atmosphere. So we see the tal scientific organizations, civil society, governments storms off South Africa and South America and Aus- and parliaments, industrial institutions and the pri- tralia and New Zealand. These are storms inside the vate sector… ocean and controlling the dispersion of pollution, the The main output of the conference is planned to control of fisheries, and so on. Knowledge and the be a declaration on science and a strategy for action. I ability to forecast these storms is crucial to the next recommend that GEF as a whole consider becoming generation of projects. one of the partners of UNESCO and ICSU in organiz- LANG: I will give you information on a very impor- ing the World Science Conference, assist in the prepa- tant event which will happen next year, the so-called ration of the presentation of links between science World Science Conference, which is organized jointly and the global environment, and work to include by UNESCO and ICSU, the International Conference into the final documents the commitment for science of Scientific Unions. toward solving global environmental problems. Panel on GEF in the 21st Century

Chair: such a “non-constructive approach” did help lead to Liliana Hisas, Fundacion Ecological Universal, Argentina the establishment of the GEF. Ms. Lovera said that the recently-signed Treaty of Panelists: Amsterdam required the EU to mainstream sustain- Thomas Odhiambo, RANDForum, Kenya able development through its many policies, pro- Simone Lovera, IUCN-Netherlands grams, and funds. This would be a major undertak- Taghi Farvar, CENESTA, Iran ing, given Europe’s huge agriculture, trade, transport, and investment sectors. She added that at present cer- Juanita Castaño, UICN-SUR, Ecuador tain policies do not appear to have much impact on Ashok Khosla, Development Alternatives, India European ecology per se, but greatly affect the sus- tainable development of developing countries, which clear-cut (perhaps with development assistance) and s. Hisas introduced the panel, explain- import hazardous agro-chemicals, for example, in ing that the participants would not order to bolster production of cash crops for export to only explain how they as non-govern- Europe. This creates a cycle of ecologically destructive mental organizations had worked practices in the South and wasteful use of resources in withM the GEF, but how the GEF-NGO relationship the North. Ms. Lovera referred to a recent meeting of could be strengthened. She noted, for example, the Intergovernmental Panel on Forests to address the input NGOs had provided to the Overall the underlying causes of forest degradation, includ- Performance Study, following discussions in the ing examining case studies developed in close cooper- NGO Consultations. Ms. Hisas said that in some ation with local communities and indigenous people countries governments engage NGOs in designing affected by forest loss. project proposals, but do not include them in Ms. Lovera said NGOs could play a very important project execution. Another barrier is lack of informa- role in mainstreaming, through intergovernmental tion about government activities in the area of the and interagency forums, and can draw attention to global environment. potentially hazardous outcomes of such negotiations Ms. Hisas said the NGOs had prepared a paper for as the Multilateral Agreement on Investment. She the Assembly, highlighting the need for : (a) infusing complimented the United Nations for its efforts to the GEF with a genuine learning culture; (b) main- mainstream sustainable development throughout its streaming; (c) expanding the number of GEF Imple- various programs. She encouraged NGOs to continue menting Agencies (IAs); (d) enhancing the leveraging to “keep up the pressure,” saying “no” to: opening up and catalytic role of the GEF; (e) incorporating specif- primary forests to logging companies, to fossil fuel, to ic concerns of developing country NGOs; and (f) Big Dams, to quick fixes for climate change, such as strengthening the role of NGOs in the GEF. environmentally and socially destructive carbon Mr. Odhiambo focused on community participa- sequestration, and structural adjustment programs tion in conserving and protecting environmental which force developing countries to sell out their nat- resources, using an ancient, sacred forest in Kenya as ural resources. In short, keep on nagging. an example. He said that community use of resources Mr. Farvar observed that each IA seemed to have its were more likely to promote sustainability and equity own style of undertaking environmental activities; than private ownership and highlighted Kenya’s the GEF is one the sidelines. Similarly, governments experiment to develop model legislation for commu- seems to do their own thing; civil society is on the nity ownership of forests, riparian rights, watershed sidelines. Mr. Farvar said NGOs know more about sus- zones, and wildlife areas. tainable development; many have been in situ for Ms. Lovera asserted that NGOs are “born naggers,” millennia. He said it is important to “go back to the a characteristic resulting from being both idealistic wisdom of our forefathers,” a point made strongly to and critical. Being critical is an essential part of mak- him following his recent trip to Yemen, where a ing the GEF and other environmental institutions UNDP-financed project is being implemented in con- more participatory and effective. She noted that cert with traditional community groups. He won- while NGOs would continue to nag about such dered if the GEF could help “harvest” such rich tradi- “astonishing little details” as the fact that the World tional knowledge through its projects. He concluded Bank spends some $9.4 billion on fossil fuel projects, by complaining that the Small Grants Programme, which is of greatest interest to the grass roots groups the GEF was misnamed (“It should be the Global Sus- he works with, is “too exclusive” and too narrowly tainable Development Facility”) and asymmetric, confined to a small group of countries; it should be because it “throws a little money to the South” with- expanded as much as possible. out dealing with the major source of global environ- Ms. Castaño reminded the audience that it was the mental problems: Northern industrialized economies. developing countries who had insisted that environ- He asserted the need for more funding and noted mental protection should be inserted into develop- that the GEF could not really address systemic issues ment activities, and not the other way around. Her (for example, it could fund equipment for tiger war- concerns related to the inconsistent approach of the dens, but could not supply such incentives as life international community in addressing sustainable insurance or scholarships for their children). There is development. For example, in Latin America, the a need to provide local incentives to solve global international community was helping to support a problems. biodiversity project in Bolivia; meanwhile, the gov- Mr. Khosla asked if the funds committed for pro- ernment was planning to build a major highway, tection of the global environment were truly “addi- which would damage the area which so many were tional” —had a report of any kind been prepared? He collaborating to protect. She was pleased to see sever- lamented declining ODA, noting that the so-called al senior finance ministry representatives at the increased foreign direct investment was only going to Assembly and hoped this would bode well for major a handful of developing countries. He said NGOs government commitments to protecting the global should continue to get to the basis of systems so that environment. they could address the “real” challenges of the GEF. Ms. Castaño noted that “participation takes time,” Several NGOs commented from the floor, express- adding that societies should resist pressure to do ing some frustration with bureaucracies and “sectoral something quickly unless major actors are involved. thinking.” Some said that political decision-makers She added that the GEF could help promote partici- need think with longer timelines than the next elec- pation by creating awareness in the public and pri- tion. One NGO suggested that NGO networking vate sectors of the global environment and the Facili- would be greatly enhanced by setting up national ty’s efforts to address problems. Ms. Castaño also councils in support of the GEF and working more called for the use of local knowledge in GEF projects actively with the media. Another NGO called for a and emphasized the importance of linking local and “partnership initiative” to introduce environmental global environmental priorities. She called on coun- technologies in developing countries and address tries to develop biodiversity strategies (many have gaps in sectoral development; he also agreed it was not done so to date) and reminded them that the important to work not only through traditional envi- GEF enabling activities fund could help pay for the ronmental forums, but other important and relevant design of such strategies. However, she added that economic negotiations, such as GATT and ISO 14000. though a country may get funding for its biodiversity One NGO said the GEF needs to establish certain enabling activities, its economic activities may con- standards for project participation which must be tradict Convention objectives or it may lack resources adhered to in order for a project to be approved; she to implement its strategy. She called on the interna- also emphasized the importance of addressing such tional community to commit more resources for pro- negative economic instruments as “unsustainable tecting the global environment, recalling that the subsidies” in the agriculture and energy sectors. Final- GEF was supposed to get “new and additional ly, there were a couple of complaints about the poor resources to fund global increments.” quality of some national operational focal points and Mr. Khosla agreed with several of the previous a plea for efforts to improve the links between gov- speakers that “environmental issues can only be ernment and civil society representatives actively addressed by sustainable development.” He thought involved in GEF activities in-country. Panel on Media & the Environment

Chair: successful programs and not simply criticize. Report- Ron Sanders, High Commissioner to the UK for Antigua and ing good news has three pluses: it provides a refresh- Barbuda ing change for viewers; it acts as a spur, encouraging those pursuing the work and inspiring others; and it Panelists: informs the world about programs worthy of replica- Adrian van Klaveren, News Editor, BBC tion which is a great service. Anita Pratap, Asia Correspondent, CNN Ms. Scharf spoke in favor of the media as “active Regina Scharf, Gazeta Mercantil, Brazil partners” in spreading ideas about sustainable devel- oping. Journalists often travel and have the privilege Diego Perez Andrade, Diario La Nacion, Argentina to see ideas born and develop. She added that jour- nalists will never do a good job until they systemati- r. Sanders introduced the panel with cally study the many sides of the stories - including the comment that building awareness the scientific and economic sides. rests first with governments and inter- Ms. Scharf noted that too often the environment national agencies such as the GEF. The is portrayed as something beautiful with “fluffy ani- Mmedia are not monolithic with a single decision mak- mals” or it is presented as accidents, pollution, but ing body… The media are influenced by nationalism, it is frequently covered—a la ligere—very lightly, advertising revenues, and the attitudes and knowl- without looking in depth at what happened or fol- edge base of individual journalists. Their role is to lowing up. report events, examine, look at the different sides, Ms. Scharf highlighted the lack of environmental not take an activist position. journalists. At her own newspaper, there were 5 jour- Mr. Sanders called for three things. GEF, UNDP, nalists covering the environment in the years just and UNEP should: initiate a campaign with local before the Rio summit; now there is only one. She popular media, including filmmakers to be partners ended by calling for journalists to use their critical in responsibility; educate producers of programs faculties when presented with environmental stories, including drama producers together with UNESCO; citing the example of a business in Brazil which was and assist disadvantaged nations by providing assis- publicizing the substitution of HFCs for CFCs in their tance to media houses to train journalists. refrigerators. This development was hailed by the Media houses in industrialized and industrializing company and by journalists as an environmental suc- nations are only as good as the info they receive and cess story, despite the fact that HFCs are very harmful the attitudes they report. to the ozone layer. Ms. Pratap noted that, now that we have moved Adrian van Klaveren began by noting that certain from the industrial age to the information age, there things have stood in the way of environmental report- is less of a focus on mass production and more on ing. It used to be seen as an optional extra. The green customized products. She stressed the importance of movement was perceived as wacky, out of the main- humanizing environmental issues because personal stream, and it was difficult to incorporate environ- tragedies and achievements are universal in their mental issues into the rest of reporting. But the utopi- appeal. The media, she said, should be a catalyst of an strain of environmentalism has fallen away and change and not an agent of it.-That must be left to progress has been made in presenting environment as governments, non-governmental organizations, and part of the overall organization of production and community leaders. consumption. This more holistic approach has gotten Ms. Pratap said that too much is expected of the environment onto the mainstream agenda. media in the way of enforcing change. There are two What is news? van Klaveren asked. It used to be schools of thought: activism versus professional defined as something that has just happened, that’s reporting. When journalists become activists they new or surprising. Those aspects are rarely present in become participants in the story and this undermines environmental stories. For example, the destruction their credibility. The media must be a forum for of the world’s forests is underlying, steady, incremen- debate of all points of view. tal but it is happening just the same. The media must also be a watchdog, locate envi- Another inhibiting factor to good reporting is the ronmental problems, report on solutions, and check all encompassing nature of the environment. It is their progress. It is also the media’s role to publicize local, global, and crosses sectors from transport to energy, agriculture, development policy and social how it is paid for. It was not done as a campaign but policy…TV and radio especially need stories to be simply to draw attention and let people judge for rooted somewhere. themselves. The best environmental stories are win-win, good Van Klaveren made a distinction between the envi- for the environment, good for the economy, good for ronment stories that permeate daily coverage such as developed countries as well as developing. But this Amazon forest fires and smog in Indonesia and the goes against preconceptions that conflict is the need to get beyond the headlines…a thorough bal- essence of good reporting. anced approach is rightly what should be demanded Van Klaveren reported that the BBC a decade ago of the media. had 1 reporter dedicated to the environment. Now it Mr. Andrade noted that in Argentina there are has 4 and they are being consolidated with reporters practically no specialized journalists who deal exclu- working on transport and sustainability into one spe- sively with environmental issues. Most of the infor- cialist section, sharing common goals to overcome mation they get comes from private enterprise which narrow specialist thinking. are precisely those who cause the pollution. To make In an attempt to raise the profile of environmental them less dependent, Mr. Andrade favored using the stories with high impact programming, the BBC resources of international agencies to train journal- experimented with “water week”, presenting docu- ists. Not to make them all uniform and all write mentaries, news reports, and phone-in shows all about the same thing but to give them a means to focusing on ways people use water, supply it, and improving their ability to carry out their tasks.

Developing Country Private Sector Responses to the Kyoto Protocol

Chair: Research in Argentina showed that there has been Barber Conable, past president, World Bank improvement in the situation of GHG emissions in recent years through greater reliance on hydro power Panelists: and methane. Overall, though, the private sector in Joaquin Ledesma, Ledesma Associates, Argentina Argentina does not consider climate change to be a B.S.K. Naidu, renewable energy expert, India priority. Medium and small size companies in particu- Dana Younger, International Finance Corporation lar have little awareness of climate change and how it could affect them. Furthermore, they are hesitant to provide information on their outputs and emissions, he panel discussed the need to bring inter- for fear that they will face additional taxes as a result. national and national priories into a coop- Two results of recent studies are that it is not advis- erative framework with the private sector; able to promote sectoral policies without taking into the extent to which the private sector in account environmental concerns (i.e. “mainstream- Tvarious countries are addressing (or are unaware of) ing”) and that there is a tremendous need for greater the concerns of climate change, and the role of insti- information dissemination—it needs to be dissemi- tutions like the IFC and GEF in facilitating measures nated in the same way as GHG emissions. Entrepre- to address climate change. neurs must be made aware that it is rational for them CONABLE: The private sector has a growing role in to include climate change considerations into their GEF and World Bank. It must be enlisted in cause of a decision making…this is essential for success. In addi- better (i.e. more environmentally sound) world. How tion, the government often does not have an ade- do we do this? quate understanding of the concerns and realities of LEDESMA: The private sector and governments the private sector; there are some some poorly under- often look at climate change with an eye towards stood aspects of the private sector by government transferring the costs onto someone else. There is a officials. shared recognition that Kyoto will lead to economic To adequately deal with climate change, there must changes in all countries. be convergence in policies and priorities at three lev- els: the international level (World Trade Organization, arrangements in other countries, but we still have a World Bank, IMF); the national (macro) level, where long ways to go. We need a full fledged regulatory there is complementarity with the third level, the pri- framework that still provides a profitable environ- vate (micro) sector. ment for the private sector in order for this to pro- YOUNGER: IFC recognizes the importance of clean ceed. AIJ/CDM could provide an important frame- energy technologies and is trying to integrate invest- work for technology transfer. ment in these areas into normal activities. The eco- NAIDU: In India, the private sector has been nomic viability of these technologies is not fully engaged to improve energy efficiency and to shift competitive with conventional sources in many cas- more towards renewable energy sources. India is 4th es; or there may be barriers to effective implementa- in the world in wind power capacity; has second tion. largest pv industry; tenth in world in hydro capacity; GEF is a tool for the IFC to stimulate new activities and the largest sugar producing country, meaning for bringing frontier technologies more fully into the that it has a high potential for biomass energy. marketplace. IFC has a $100 million GEF portfolio. It We have faced a number of constraints along the is also engaged in exploring new financing modalities way: The storage of water is essential in India and beyond GEF in Archives Implemented Jointly under helps foster hydro power. But there is a problem of sil- the U.N. Framework Convention on Climate Change. tation, which negatively affects hydro installations. We are seeking to demonstrate the principle of incre- Indian winds are peculiar, mostly coastal and tied to mental finance in exchange for carbon credits. the monsoons. Congeneration has been on-going in Some examples: in Argentina, with GEF support, the sugar industry for decades, but very inefficiently… we are administering a grant to an oil company to In general, India’s goal is to do selective interven- explore the feasibility of reinjecting CO2 for increas- tions to create replicable models with multiplier ing productivity of existing oil wells; working with effects. In wind energy, we are trying to improve the commercial banks in developing countries to encour- performance of windmills. At almost no cost, perfor- age them to enter into financing arrangements for mance is improving…there had been poor mainte- energy efficiency projects; making concessional loan nance and establishment of windmills. Solar energy is funds to local funders like Grameen Bank to develop now recognized as an obvious financial option at a solar photovoltaic business activity through their small scale, rural, level. This is largely because there is well-established network of rural branches and micro- a corresponding increase in rural income from con- credit customers. As far an non-GEF activities: we nection to solar power…the increase in income justi- have invested in a number of Central European coun- fies the initial and monthly costs of installing and tries to extend the use of liquid petroleum gas, which maintaining pvs. substitutes for coal. Exploring the possibility of financ- LEDESMA: We have to be sure that greater invest- ing AIJ pilot activities in Central American countries ments in developing countries are relevant for deal- (biomass, wind, biomass cogen in sugar industry). ing with issues like climate change. If 99% of new IFC has seen some evidence of growth in market investment is concentrated on using conventional for carbon transactions since Kyoto…there are reports technology, then we are not achieving much. This is of a transaction involving a Japanese trading compa- why I stress that there must be a convergence of poli- ny and a Russian energy company to upgrade 70+ cies and priorities at the international national, and Russian power plants with the resulting carbon cred- micro level, or it will be very difficult to achieve posi- its going to the Japanese company. There are similar tive results. Panel on Global Parliamentarians and the Global Environment

Chair: ing foster greater understanding among nations. Doeke Eisma, Netherlands Global Legislators for a Balanced Environment and GEF can work together to establish an information Panelists: center for the international community on things Akiko Yamanaka, Japan like El Niño, deforestation, lessons learned on envi- Mathias Benedict-Kean, Kenya ronmental projects, etc: practical ideas, successes, and Barber Conable, USA failures. Finally, Japanese politics is not focused enough on the long term, and this may be a problem Mrs. Najima Heptulla, India in other countries as well. HEPTULLA: There are two dominant trends in th he panel discussed a number of topics, world today: rapid economic growth and increasing focusing particularly on the differences awareness of environmental concerns. They are run- between parliamentary and federal govern- ning parallel, but not together. As of yet, there is no ments, and the responsibilities and oppor- eco-friendly framework of industrial economics. tunitiesT for the GEF and parliamentarians to promote However, parliaments can help by fulfilling their role greater environmental awareness. as facilitator between the people and the executive. CONABLE: There is a clear difference between the Parliamentarians can help foster environmental parliamentary and congressional systems of govern- awareness by engaging the public, at the community ment in general: a failure or inability to address level, and the executive branch to ensure that devel- important issues can bring a government down in a opment and environmental protection are not work- parliamentary system; in contrast, such a failure leads ing at cross-purposes. It is the responsibility of parlia- to impasse in the U.S. system, with the result being mentarians to make sure this distinction is made. that legislators will tend to focus on domestic policy India’s traditions are closely linked to the environ- concerns largely to the exclusion of foreign interests ment and we recognize that environmental problems or obligations. This is the current case in the U.S. can not be dealt with in isolation. Poverty is the Congress. greatest source of pollution in developing countries. In addition, there are different incentives for BENEDICT-KEAN: Parliaments have to ratify environ- addressing truly global environmental issues between mental agreements, conventions, and laws and sup- developed and developing countries. For developing port them throughout the legislative process (i.e. countries, there is a strong incentive to participate “mainstreaming). For instance, adding taxes to things fully in the GEF because it means additional financ- such as solar panels may negatively affect the envi- ing, whereas for developed nations the benefits often ronment and parliamentarians need to consider this. appear to be rather indirect, particularly to legislators Mainstreaming is so important to ensure successful who have to vote on spending bills. environmental protection, but very difficult to imple- YAMANAKA: Japan and the world have drastically ment. This difficulty is particularly severe with changed since the end of the Cold War. Preventative regards to trans-boundary issues, like regulation of diplomacy is crucial to the new world view. Foreign the Nile. policy’s objective should be three-fold. First, promot- In terms of priorities, we need to balance poverty ing greater understanding and cooperation through alleviation and sustainable development against envi- the establishment and support of peace studies. Sec- ronmental protection. There is a great need to edu- ond, protecting the environment: the quality of life of cate parliamentarians and local communities about everyone depends on a balance between the natural environmental protection. In Kenya we have a large and human environment. In this regard, Japan should number of environmental laws, but the budget is contribute more ODA and improve its technology spread so thinly among ministries that the impact at transfer efforts to improve the global environment. the end of the day is insignificant. This is a problem Third element is promotion of human rights, with throughout the developing world. due respect to each country’s culture and traditions. EISMA: A major problem in Europe is institutional: GEF can support these efforts by introducing envi- resolving conflicting institutional mandates in a way ronmental education/studies to every country, help- that will best support effective environmental protec- tion. As it develops, the European Union may be able developing world on environmental issues over the to provide a number of lessons to parliamentarians in past few years since UNCED and the GEF has been an other regions of the world in how to most effectively important part of this. resolve transboundary concerns in a region with HEPTULLA: India has proposed a Fund to promote diverse interests. The challenge is to define the power technology transfer, but developing countries can not of the nation-state viz-a-vis the power of the Union? do this alone. The UNCED promises have not been Finally, environmental efforts in Europe have been kept by anyone. More money has been spent on talk- hampered by an over-reliance on high-paid, short- ing about environmental protection than actually term consultants. This is probably an area where the put into doing it. GEF could learn some lessons as well. Efforts really EISMA: The GEF Council looks very closely at must go into concrete actions on the ground, not administrative cost and has kept them down relative expensive consultants. to funding for actual projects. Unfortunately, consul- CONABLE: There has been considerable improve- tants are often necessary if there is a lack of basic ment in the dialogue between the developed and capacity in a particular region.

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