EARTH NEGOTIATIONS BULLETIN PUBLISHED BY THE INTERNATIONAL INSTITUTE FOR SUSTAINABLE DEVELOPMENT (IISD) WRITTEN AND EDITED BY: Chad Carpenter, LL.M. Peter Doran Kira Schmidt Lynn Wagner Editor Pamela Chasek, Ph.D. Managing Editor Langston James Goree VI "Kimo" Vol. 5 No. 80 Thursday, 24 April 1997 CSD-5 HIGHLIGHTS WEDNESDAY, 23 APRIL 1997 CSD-5 delegates met in two Drafting Groups and held informal consultations on institutional arrangements, the CSD work programme and forests. DRAFTING GROUP I In 29(a) (integrated transport policies), the G-77/CHINA added references to international cooperation in transfer of ESTs and implementation of appropriate training programmes. In 29(c) (energy efficiency), delegates accepted G-77/CHINA text on adopting and promoting, as appropriate, measures to mitigate the negative environmental impacts of transportation, adding "including measures to improve efficiency in the transport sector." An EU proposal for an international tax on aviation fuel was bracketed following support from SWITZERLAND and NORWAY and opposition from the G-77/CHINA, the US, AUSTRALIA, CANADA, RUSSIA and JAPAN. The EU and the US supported text on phasing out leaded gasoline within ten years. The G-77/CHINA said this must be accompanied by technical and economic assistance to developing countries. AUSTRALIA preferred not specifying a time- frame. Delegates accepted the Chair’s compromise formulation, noting CSD-3’s decision on the issue and calling for accelerated phase-out of leaded gasoline as soon as possible, preferably within ten years, and exploration of ways to provide economic or technical assistance to developing countries. On 30 (atmosphere), the EU, supported by SWITZERLAND, said he would bracket his proposal, which includes specific emissions reduction targets, if challenged. The G-77/CHINA emphasized that the Berlin Mandate focuses on strengthening commitments of developed countries. SAMOA, for AOSIS, underscored the AOSIS protocol as consistent with the Berlin Mandate. The US proposed language noting that the CSD should recommend that the FCCC accelerate negotiations and recognize the global nature of the problem. The US, AUSTRALIA, JAPAN, CANADA, COLOMBIA, IRAN, RUSSIA, VENEZUELA, NIGERIA and SAUDI ARABIA objected to including specific negotiating positions in the text and cautioned against prejudging the COP-3 outcome. Delegates agreed to note the need for an international concerted effort and political will (AOSIS). The US noted that greenhouse gas emissions and concentrations continue to rise, even as scientific evidence confirms the severe risk of global climate change. IRAN proposed "suggests" rather than "confirms." Delegates agreed that scientific evidence continues to diminish uncertainties and "points evermore strongly" to the risk. The Chair proposed bracketing proposals for the COP-3 outcome from the US ("satisfactory result"), JAPAN (agreement on quantified objectives for emission reductions and on policies and measures), the EU (15% reduction below 1990 levels by 2010) and AOSIS (20% reduction below 1990 levels by 2005). This "menu" of proposals will be considered at UNGASS. New paragraphs were added on international cooperation and observational networks (AOSIS). On 31 (ozone), the EU proposed that the Montreal Protocol needs strengthening, especially as regards methyl bromide and earlier phase-out in developing countries. The G-77/CHINA said the CSD should not determine if a protocol needs to be strengthened, and prioritization of issues should be left to the COP. On 32 (toxic chemicals), delegates noted the Intergovernmental Forum on Chemical Safety, Inter-organizational Programme on the Sound Management of Chemicals, the "Responsible Care" initiative and the Code of Ethics on the International Trade in Chemicals. The EU, AUSTRALIA, ICELAND, CANADA and the US highlighted the recent UNEP Governing Council decision on chemicals and recommended using its exact language. CANADA suggested including the dates for negotiating PIC and POPs agreements. NORWAY noted the need to identify POPs beyond the twelve currently specified by UNEP. CANADA, supported by AUSTRALIA and the US, noted risk assessment and management regimes for inorganic chemicals. The G-77/CHINA called for international cooperation and support. Delegates requested the Chair to produce a consolidated text. On 32bis (hazardous wastes), delegates agreed that hazardous waste and radioactive waste will be addressed in separate paragraphs. They also asked the Chair to produce a consolidated text on hazardous waste that highlights: the Basel Convention’s technical working group; liability and compensation; the principle of "proximity;" and waste recycling and disposal. On radioactive wastes, the Chair will develop a consolidated text based on, inter alia: the Bamako Convention; the IAEA; treatment of improperly stored existing waste; prior notification; and irradiated nuclear fuel. On 33 (land and sustainable agriculture), delegates agreed to an integrated approach to "protecting and sustainably managing land and soil resources (EU), including identification of land degradation (AUSTRALIA) that involves all interested parties (G- 77/CHINA), in particular women (NORWAY)." The EU objected to the US suggestion to "promote" rather than "ensure" secure land tenure for farmers. The G-77/CHINA opposed NORWAY’s call for measures to improve food security for the urban poor. The EU, JAPAN and the REPUBLIC OF KOREA objected to an AUSTRALIAN proposal for continued WTO work to liberalize international trade and remove distortions to sustainable development in agriculture. The EU and the US opposed G-77/CHINA text on plans to provide complete access to basic requirements of agriculture for developing countries. In 34 (desertification and drought), the EU, US and JAPAN objected to the G-77/CHINA text on "new and additional financial resources" in reference to the global mechanism. G-77/CHINA and EU amendments regarding the global mechanism were bracketed as options. Delegates continued into the night. DRAFTING GROUP II Financial Resources and Mechanisms: Delegates agreed to the Co- Chairs’ text in 40, "Financial resources and mechanisms play a key role in the implementation of Agenda 21," to be followed by Paragraph 33.13 of Agenda 21. A G-77/CHINA amendment was bracketed: Hence all financial commitments of Agenda 21, particularly those contained in Chapter 33, and [especially] (G- 77/CHINA) [including] (CHAIR) those [objectives] (EU) related to the provision of new and additional resources that are both adequate and predictable, need to be urgently fulfilled. The US, supported by the EU, objected to the special reference to new and additional resource commitments. CANADA said his country was unlikely to fulfill the Agenda 21 ODA commitment of 0.7% GNP "urgently." The G-77/CHINA could not accept the EU’s reference to new and additional resources as "objectives" rather than commitments. Chair Amorim said he was "very disheartened" and that some delegations were not in a mood to negotiate. Delegates agreed: Renewed efforts are essential to ensure that all sources of funding (deleting international and domestic as well as private and public) contribute to "economic growth, social development and environmental protection" (CHAIR), in the context of sustainable development and "implementation of Agenda 21" (US). The US said that if delegations continued to treat the words "sustainable development" as a "pariah" there would be nothing to discuss. In 41 (ODA), the US and G-77/CHINA bracketed a revised G- 77/CHINA proposal noting that, for developing countries, ODA remains a main source of external funding and is "essential" (CHAIR) for implementation of Agenda 21. They also bracketed a sentence in which the EU proposed "now," the US "short and medium term" and the Chair "at this stage" for the G-77/CHINA’s text that "ODA cannot be replaced by private capital flows." An EU proposal calling for "recipient and donor countries to address the underlying factors" for the decrease in ODA was altered to state: "intensified efforts should be made to reverse this trend, taking into account the need for effective utilization of ODA" (G-77/CHINA) and "in the spirit of global partnership, underlying causes of the decrease should be addressed by all countries" (CHAIR). The US supported and the G- 77/CHINA altered text calling for strategies to increase support for aid programmes and for revitalizing the commitments donors made at UNCED. In 42 (role of ODA), delegations agreed that ODA plays a significant role, inter alia, in capacity-building, infrastructure, combating poverty, environmental protection and promoting institutional development in developing countries, and "has" (Chair) a crucial role in the least developed countries. AUSTRALIA highlighted ODA’s "catalytic role in encouraging, where appropriate, country-driven policy reform efforts." The G- 77/CHINA expressed concern about conditionalities and bracketed this text. On a G-77/CHINA-proposed paragraph 45, on multilateral financial institutions’ (MFI) concessional funding, the US objected to an implication that developing countries are totally dependent on external resources and agreed to replace "achieve" with "fully implement" sustainable development. Text on MFIs and stringent conditionalities was replaced with a call on such institutions to "continue" (US) to respond to the development needs and priorities of developing countries. A call on developed countries to urgently meet commitments under the 11th replenishment of the IDA was accepted. In text on the GEF, CANADA, the US and AUSTRALIA supported EU text calling for satisfactory GEF replenishment and flexibility in its mandate. The G-77/CHINA called for adequate, sustained and reliable funding, review of its decision-making process and expansion of its scope and coverage. Both texts were bracketed. G-77/CHINA- proposed text on UN funds and programmes was bracketed after alternative amendments were submitted by AUSTRALIA, the US and the EU. INFORMAL CONSULTATIONS INSTITUTIONAL ARRANGEMENTS: Delegates continued to debate references to: the UNEP Governing Council decision of 4 April 1997; UNEP’s role; UNCTAD’s role; IDA replenishment; GEF designation as a permanent funding mechanism; CSD’s role in regard to ECOSOC; reviews by and among countries within regions; arrangements for interaction with major groups; and integration of the committees on renewable energy sources and natural resources into the work of the CSD. Informal-informal consultations took place during the evening. PROGRAMME OF WORK: Sectoral themes discussed for CSD consideration were: freshwater; oceans and seas; land resources/management; and atmosphere/energy. Cross-sectoral themes considered were: poverty eradication and consumption and production patterns as overriding themes; transfer of technology/capacity-building/education/science/awareness- raising; trade and investment/globalization; finance/trade/economic growth; and information for decision- making. Economic sectors considered were: industry; tourism; fisheries; agriculture; forestry; and transport. Consultations are expected to conclude Thursday. FORESTS: In the introductory paragraph, delegates added references to forests as carbon sinks and reservoirs and a significant source of renewable energy, especially for LDCs. The group made limited progress on further clarification of issues arising from the IPF, agreeing to highlight "international cooperation in financial assistance and technology transfer and trade and environment relating to forest products" from the IPF report. Several developing countries preferred adding traditional forest-related knowledge but some developed countries objected to specifying issues other than those remaining unresolved from IPF. A footnote on terms of reference for an intergovernmental process and options for institutional follow-up remains pending. IN THE CORRIDORS Observers close to the preparation process for CSD-5 indicated that the complexity of financial issues was probably underestimated at the Intersessional stage. There is also concern that the difficulty of chairing the finance issue discussions at CSD-5 has been heightened by the Co-Chairs’ association with the Intersessional product, which inevitably failed to satisfy those who put forward proposals. THINGS TO LOOK FOR TODAY PLENARY: The Plenary is expected to convene in the morning. Drafting Groups may follow. INFORMAL CONSULTATIONS: Informal consultations are expected on streamlining national reporting and the programme of work, among others. This issue of the Earth Negotiations Bulletin is written and edited by Chad Carpenter, LL.M. , Peter Doran , Kira Schmidt and Lynn Wagner . The Editor is Pamela Chasek, Ph.D. and the Managing Editor is Langston James "Kimo" Goree VI . French translation by Mongi Gadhoum . The sustaining donors of the Bulletin are the International Institute for Sustainable Development and the Netherlands Ministry for Development Cooperation. General support for the Bulletin during 1997 is provided by the Overseas Development Administration (ODA) of the United Kingdom, the Ministry of Foreign Affairs of Denmark, the Ministry of Environment of Sweden and the Swiss Federal Office of the Environment. Specific funding for coverage of this meeting has been provided by the Ministry of Foreign Affairs of Norway. Funding for the French version has been provided by ACCT/IEPF with support from the French Ministry of Cooperation and the Department of Environment of Quebec. The ENB can be contacted at tel: +1-212-644-0204; fax: +1-212-644-0206. IISD can be contacted at 161 Portage Avenue East, 6th Floor, Winnipeg, Manitoba R3B 0Y4, Canada; tel: +1-204-958-7700; fax: +1-204-958-7710. The opinions expressed in Earth Negotiations Bulletin are those of the authors and do not necessarily reflect the views of IISD and other funders. Excerpts from the Earth Negotiations Bulletin may be used in other publications only with appropriate citation. Electronic versions of the Bulletin are sent to e-mail distribution lists (ASCII and PDF format) and can be found on the Linkages WWW- server at http://enb.iisd.org/. For further information on ways to access, support or contact the Earth Negotiations Bulletin send e-mail to . The Earth Negotiations Bulletin may not be reproduced, reprinted or posted to any system or service outside of the APC networks and the ENB listserver, without specific permission from the International Institute for Sustainable Development. This limitation includes distribution via Usenet News, bulletin board systems, mailing lists, print media and broadcast. For more information, send a message to .