Daily report for 28 November 2002

The high-level segment began with an opening ceremony. Delegates then heard presentations from the Assessment Panels, the Multilateral Fund Executive Committee and implementing agencies before considering outstanding agenda items from the preparatory segment and country statements.

HIGH-LEVEL SEGMENT

OPENING CEREMONY: Enrico Gasbarra, Deputy Mayor of Rome, welcomed delegates and underscored Romes contribution to the environment in the international arena.

Fabio Fajardo-Moros (Cuba), President of the 5th Conference of the Parties (COP-5), noted that the success of the ozone protection regime shows the effectiveness of political will and underscored the importance of seeking synergies with the United Nations Framework Convention on Climate Change (UNFCCC).

Rukman Senanayake (Sri Lanka), Vice-President of the 13th Meeting of the Parties (MOP-13), lauded the success of the Montreal Protocol but drew attention to challenges for the next decade.

Shafqat Kakakhel, United Nations Environment Programme (UNEP) Deputy Executive Director, stressed that ozone protection is far from accomplished and that failure to comply with the Montreal Protocol could jeopardize the ozone layers recovery. He called on developed countries to provide support to help developing countries fulfill their commitments.

Altero Matteoli, Italian Minister of the Environment and Territory, welcomed participants and said that the Montreal Protocol and its Multilateral Fund are models of cooperation and partnership. He noted Italys significant role in introducing sound technology in refrigeration and plastics. Stephen Andersen (Technology and Economic Assessment Panel (TEAP) Co-Chair) and K. Madhava Sarma (former Executive Secretary of the Ozone Secretariat) presented Matteoli with the book "Protection of the Ozone Layer: The United Nations History".

ORGANIZATIONAL MATTERS: Concerning the COP-5 Bureau, delegates elected: Paul Horwitz (US) as COP-6 President; Victor Yameogo (Burkina Faso), Shajahan Siraj (Bangladesh) and Jiri Hlavacek (Czech Republic) as Vice-Presidents; and Javier Camargo (Colombia) as Rapporteur. Concerning the MOP-14 Bureau, delegates elected Rukman Senanayake (Sri Lanka) as MOP-14 President; Mikheil Tushishivili (Georgia), Jorge Salazar Cardenal (Nicaragua) and Giuliana Gasparrini (Italy) as Vice-Presidents; and Maragaret Sangarwe (Zimbabwe) as Rapporteur.

ASSESSMENT PANEL PRESENTATIONS: Dan Albritton, Scientific Assessment Panel Co-Chair, presented highlights of the 2002 scientific assessment of ozone depletion. He explained that, inter alia, total chlorine abundance in the stratosphere is at or near a peak, and the assessment outlines a scientific approach for estimating the impacts of very short-lived ozone-depleting substances (ODS).

Jan van der Leun, Environmental Effects Assessment Panel Co-Chair, introduced the 2002 assessment on the environmental effects of ozone depletion and interactions with climate change. He explained that ozone depletion and climate change influence each other and may have synergistic impacts on health, terrestrial and aquatic ecosystems, biogeochemical cycles and air quality.

Jos Pons Pons, TEAP Co-Chair, presented the 2002 TEAP progress report. He said small quantities of ODS may be necessary to maintain air quality in emergency vehicles in contaminated areas and sufficient ODS stockpiles exist for such specialized uses.

Lambert Kuijpers, TEAP Co-Chair, discussed the collection, recovery and storage of ODS. He explained, inter alia, that: aerosol products, metered-dose inhalers (MDIs) and solvents are nearly completely emissive applications with negligible amounts of recoverable ODS; methyl bromide applications are mainly emissive but some can be recovered from closed systems; and foams, refrigeration and fire protection are delayed emission applications with large recoverable ODS inventories.

Jonathan Banks, TEAP, outlined the work of the TEAP task force on ODS destruction technology, foam and methyl bromide. He noted that: the task force evaluated 45, and recommended 12, destruction technologies; the technical acceptability of hydrocarbons in foams has increased with new technologies and safety practices; the availability of low-priced chlorofluorocarbon-11 (CFC-11) hinders phase out in Article 5 Parties; and substantial progress has been made in the development and trial of methyl bromide alternatives.

Radhey Agrawal, TEAP, said R-210A is the dominant replacement for hydrochlorofluorocarbon-22 (HCFC-22) in air conditioning units, and noted that, for mobile air conditioners, hydrofluorocarbon-134A (HFC-134A) systems are becoming less emissive.

IMPLEMENTING AGENCY PRESENTATIONS: The United Nations Development Programme (UNDP) highlighted that its Montreal Protocol Unit is working in collaboration with Article 5 Parties on the implementation of 16 total phase-out programmes, covering all sectors.

UNEP highlighted its role in assisting Article 5 Parties, including through capacity building, training, and policy design. He remarked that UNEP has developed partnerships with the public and private sectors, other UN bodies and the secretariats of related conventions to tackle ozone depletion.

The United Nations Industrial Development Organization (UNIDO) underscored that it has assisted ODS phase out through projects in several Article 5 countries. He remarked that the Multilateral Funds replenishment would ensure implementing agencies can assist countries to comply with the Montreal Protocol.

The World Bank highlighted its role in implementing ODS phase-out projects. Noting the World Summit on Sustainable Development (WSSD) outcomes, he underscored that the success of the Montreal Protocol depends largely on the Multilateral Fund.

MULTILATERAL FUND EXECUTIVE COMMITTEE PRESENTATION: Oladapo Afolabi (Nigeria), Multilateral Fund Chair, presented the Executive Committees report (UNEP/ OzL.Pro.14/6). Highlighting the Committees achievements, he emphasized the need to continue monitoring Article 5 Parties compliance and provide assistance when needed.

DELEGATION STATEMENTS: BANGLADESH stressed the need to pay due attention to global warming and noted projects undertaken with assistance from the Multilateral Fund on aerosol sector phase out and service technician training. ARMENIA announced that it would soon ratify the Montreal Protocol amendments, and drew attention to its request to be reclassified as an Article 5 Party. VENEZUELA, with CHINA, stressed the need for international technical and financial cooperation with respect to combating illegal trade and, also with EGYPT, KOREA and NIGERIA, emphasized the importance of the Multilateral Fund replenishment. CHINA reported that it has initiated ratification of the Copenhagen Amendment.

THAILAND declared that it has fulfilled all its obligations under the Vienna Convention and the Montreal Protocol. With KOREA, he called for enhancing cooperation between the Montreal Protocol and the UNFCCC and, also with JAPAN, underscored outcomes of the WSSD relative to the Montreal Protocol. JAPAN stressed the growing need to build cooperation among Parties and stakeholders, and called on the international community to provide financial and technical assistance.

SLOVAKIA noted its contribution to the Multilateral Fund and said that its replenishment should take into account the capability of donors. Supporting the high end of the TEAPs funding estimate, the US stated that Parties must come to an agreement on replenishment of the Multilateral Fund. UGANDA advocated increasing funding for technology transfer and stressed the importance of non-investment ODS projects. Noting its vulnerability to ozone depletion, URUGUAY urged Parties to find an appropriate level for the funding requirement. ESTONIA underscored the importance of enhancing compliance, the licensing system for ODS import/ export and data reporting. EGYPT described its achievements in reducing ODS use in industry and agriculture.

PREPARATORY SEGMENT RESUMED

IMPLEMENTATION COMMITTEE REPORT: Implementation Committee President Mahfuzul Haque (Bangladesh) introduced a corrigendum to the Implementation Committees draft decision considered the previous day (Ozl.Pro.14/L.1/Add.1/ Corr.1) and apologized to Ukraine for the error of including the countrys name in the list of non-compliant Parties.

Co-Chair Catelin noted a reservation by MALDIVES regarding its compliance status and the countrys request to amend the report adding that Maldives had submitted a plan of action, including a licensing system, an ODS import quota system and controls on existing stocks of CFCs.

FIXED-EXCHANGE-RATE MECHANISM: Noting that the issue of the fixed-exchange-rate mechanism is as crucial for donor countries as the replenishment issue, the EU, supported by CANADA, requested more time to carry out consultations.

ILLEGAL TRADE: POLAND noted agreement on amendments to this draft decision (UNEP/OzL.Pro.14/CRP.12/Rev.1) which, inter alia: invites Parties to report to the Ozone Secretariat fully-proven cases of illegal trade in ODS and provides for illegally-traded quantities not to be counted against the Parties consumption provided the Party does not place these on its own market.

COLOMBIA, the EC, JAPAN and the US expressed support for the amended draft decision. An additional proposal by the EC to specify that seized illegal imports should not be counted in a Partys consumption provided they are also not exported for commercial purposes, was not accepted. COLOMBIA proposed, and Parties agreed, to clarify that the encouragement to Parties to introduce "economic incentives" to promote ODS substitutes should "not impair international trade." The draft decision was forwarded to the high-level segment.

METERED-DOSE INHALERS: The EC reported that, following informal consultations, Chinas concerns had been assuaged and there was agreement on the draft decision (UNEP/ OzL.Pro.14/CRP.5/Rev.1) on MDIs. It was forwarded to the high-level segment.

REFRIGERATION SERVICING AND CHILLERS: CUBA presented a revised draft decision on this issue (UNEP/ OzL.Pro14/CRP.7/Rev.1) and proposed that the TEAP submit its report on the refrigeration service sector made up by chillers to the 23rd Open-Ended Working Group (OEWG-23) rather than the Executive Committee. The amended draft decision was forwarded to the high-level segment with minor modifications.

INTERACTION WITH THE WORLD TRADE ORGANIZATION: COLOMBIA introduced a draft decision on interaction with the World Trade Organization (WTO) (UNEP/OzL.Pro.14/ CRP.10/Rev.1), noting that it requests the Ozone Secretariat, in coordination with the Multilateral Fund Secretariat, to consult with the Montreal Protocol Parties and Executive Committee members before responding to any WTO requests to provide expert advice on the Montreal Protocols trade provisions.

Several Parties expressed support for the draft decision. The EU stated that requesting the Ozone Secretariat to coordinate with the Multilateral Fund Secretariat is unnecessary. SWITZERLAND opposed requesting the Ozone Secretariat to consult with Executive Committee members. The US said allowing the Ozone Secretariat to consult with Executive Committee members between MOP sessions would expedite responding to requests for advice. ARGENTINA argued that the MOP should be consulted, despite the delay involved. LIBYA proposed that the Ozone Secretariat consult with Parties by requesting submissions. The US suggested mandating the Ozone Secretariat to provide general advice, but defer to the MOP for deeper interpretations of the Protocols trade-related provisions. SWITZERLAND accepted the amendment, but noted for the record its wish to be systematically consulted. The amended draft decision was forwarded to the high-level segment.

TRUST FUNDS: On the Vienna Convention Trust Fund, the CZECH REPUBLIC introduced a draft decision (UNEP/ OzL.Conv.6/CRP.2), which approves the 2004 and 2005 budgets and takes note of the 2006 proposed budget. On the Montreal Protocol Trust Fund, he presented a draft decision (UNEP/ OzL.Pro.14/CRP.16) approving the 2003 budget and taking note of the 2004 proposed budget. Noting savings in both Trust Funds, he highlighted that the draft decisions establish two new Ozone Secretariat posts and reduce Parties contributions by drawing down from reserves.

He also presented a document on the terms of reference for the administration of the Trust Funds (UNEP/OzL.Conv.6/6 and UNEP/OzL.Pro.14/7), which, inter alia, notes changes introduced by the UN General Assembly to the UN scale of contributions and invites Parties to consider their impacts on the two Trust Funds. BRAZIL, with CHINA, expressed reservations, and CHINA noted that the changes should not automatically apply to special UN agencies and other international organizations.

IN THE CORRIDORS

Participants in the Multilateral Fund replenishment contact group reported that discussions had continued to focus on the composition of the TEAP and G-77/China proposals, as if unable to gather the Herculean strength needed to broach real negotiations on specific numbers. Some delegates, in a playful mood, were overheard placing bets on what figure would emerge, ranging across a very broad spectrum. As the corridors of the conference center emptied following the departure of delegates for a dinner offered by the Italian Government, some observers were surprised that hard bargaining would apparently not go on into the night.

THINGS TO LOOK FOR TODAY

PLENARY: Plenary will reconvene at 10:00 am where 55 countries are expected to make statements. The high-level segment is then expected to consider and adopt the draft decisions submitted by the preparatory segment. The replenishment group will meet at 10:30 am in the Lebanon Room.