<http://www.iisd.ca/>   Earth Negotiations Bulletin

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 A Reporting Service for Environment and Development Negotiations

 

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Published by the International Institute for Sustainable Development (IISD) 
<http://iisd.ca> 

 

Vol. 5 No. 248
Friday, 4 May 2007

CSD-15 <http://www.iisd.ca/csd/csd15/>  HIGHLIGHTS: 

THURSDAY, 3 MAY 2007

On Thursday delegates met in parallel sessions of two working groups to engage 
in a first reading of the Chair's revised draft negotiating document, 
distributed on Wednesday afternoon. Working Group 1 considered energy for 
sustainable development, and Working Group 2 discussed climate change and 
industrial development. 

WORKING GROUP 1

ENERGY FOR SUSTAINABLE DEVELOPMENT: This session was facilitated by Vice-Chair 
Frances Lisson (Australia). After offering general comments on the Chair's 
text, countries proceeded to make specific textual suggestions.

Noting the diversity of views in the group, Egypt, for the G-77/CHINA, said 
that the Chair's text was not balanced as well as they would like. Germany, for 
the EU, expressed some concern but also hope that CSD-15 
<http://www.iisd.ca/csd/csd15/>  would deliver an important outcome. The US 
expressed disappointment, and with CANADA, NORWAY and SWITZERLAND noted that 
the document could be more concise. Grenada, for AOSIS, stressed the need to 
include financing mechanisms such as venture capital in the document. NORWAY 
suggested strengthening the role of women and energy efficiency. 

In the chapter on energy for sustainable development, the Chair's text contains 
four introductory paragraphs, including a list of actions to be taken. The 
chapter also contains two sections, each with subsections, on "regional, 
sub-regional and international cooperation" and "means of implementation." 

The EU, supported by the G-77/CHINA, proposed text emphasizing the importance 
of energy in achieving the MDGs. SAUDI ARABIA, with support from AZERBAIJAN and 
the RUSSIAN FEDERATION, suggested language strengthening the role of fossil 
fuels in the future; whereas, the EU, supported by GRENADA but opposed by 
KUWAIT, urged text that said fossil fuels "may" instead of "will" play an 
"important" instead of "dominant" role in the future. AZERBAIJAN, supported by 
SAUDI ARABIA, proposed text recommending the "increased development and use of 
advanced fossil fuel technologies." 

ARGENTINA, with support from AUSTRALIA, AZERBAIJAN, CANADA and the RUSSIAN 
FEDERATION, proposed replacing the term "advanced, cleaner fossil fuel 
technologies" with "advanced energy technologies" throughout the document, and 
SWITZERLAND, supported by the EU, suggested deleting "hydrogen" from a list of 
recommended renewable energy sources. 

On targets, the EU proposed replacing text that suggested increased use of 
policy tools to meet goals and targets, with language recommending time-bound 
targets on energy efficiency and renewable energy. JAPAN supported the original 
text. The G-77/CHINA preferred to defer discussion on specific language on 
targets.

On text relating to phasing out harmful subsidies, the G-77/CHINA sought 
greater clarification. 

Vice-Chair Lisson adjourned the session at 11:50am to enable G-77/China 
consultations, and at 3:00pm she announced that the session would resume on 
Friday morning.

WORKING GROUP 2

CLIMATE CHANGE: This session was facilitated by Vice-Chair Luiz Alberto 
Figueiredo Machado (Brazil). After offering general comments on the Chair's 
text, countries proceeded to make specific textual suggestions.

The US expressed disappointment with the length and tenor of the Chair's text, 
which he said should reflect the magnitude of the challenge and the progress 
made. Germany, for the EU, Kenya, for the G-77/CHINA, and Cape Verde, for 
AOSIS, expressed general satisfaction. CANADA said the text did not reflect the 
global nature of the problem and its solution. He added that the text should 
indicate the role and added value of the CSD 
<http://www.un.org/esa/sustdev/csd/policy.htm> , and the "commonality" of the 
climate challenge. 

In the chapter on climate change, the Chair's text contains two introductory 
paragraphs, including a list of actions to be taken. The chapter also contains 
two sections, each with subsections on "regional, sub-regional and 
international cooperation" and "means of implementation." In the introductory 
paragraphs, the G-77/CHINA suggested reframing the language to reflect the 
urgency, importance and reality of climate change and its impacts, special 
threats posed to developing countries, adaptation and mitigation, and historic 
responsibilities. He also said that the reference to post-2012 action should 
not overshadow the discussions. The EU suggested referring to the security 
implication of climate change and, supported by SWITZERLAND, to the reality and 
urgency of climate change and the latest findings of the Intergovernmental 
Panel on Climate Change (IPCC). The EU, opposed by the US, stressed the 
importance of sending a message to COP-13 and COP/MOP-3 on reaching a post-2012 
agreement. The EU introduced language reflecting its concerns, including on 
launching negotiations on a post-2012 agreement at COP-13 and COP/MOP-3, and 
completing them by 2009. SWITZERLAND added language noting that climate change 
is caused by human activities.

In the paragraph on actions to be taken, the G-77/CHINA noted the need to 
reflect countries' common but differentiated responsibilities and to mainstream 
gender. On reducing emissions in accordance with the UNFCCC, the US and the EU 
suggested language streamlining the text. On linking climate change policies 
with other policies and measures, the G-77/CHINA cautioned against singling out 
specific sectors, and suggested a reference to "sustainable development 
strategies." SWITZERLAND suggested linking climate change policies to 
"sustainable energy policies," and the US to "energy technologies." TANZANIA 
suggested a new paragraph on adaptation, and the EU on creating stable 
incentives to enhance the use of market-based mechanisms. On carbon capture and 
storage, JAPAN suggested text requiring consideration of environmental impacts. 
The EU sought a reference to environmental safety, as well as the development 
of such technology within the "necessary technical, economic and regulatory 
framework." On carbon sinks, MEXICO, opposed by BRAZIL, sought a reference to 
"forest conservation and sustainable management." The EU proposed a reference 
to "sustainable afforestation," NORWAY to "preserving biodiversity," and 
TANZANIA to "avoiding deforestation." On increasing community resilience to 
climate change-related disasters, the EU suggested actions to tackle "water 
scarcity and droughts," JAPAN to "integrated water resource management," and 
ZIMBABWE to "enhancing indigenous coping strategies." MEXICO suggested that 
ecosystems be managed so as to "maintain their environmental services." 

In the section on international cooperation, the G-77/CHINA suggested 
strengthening support for mitigation and adaptation. On participation in the 
Clean Development Mechanism (CDM), the US proposed language limiting the 
application of the paragraph to countries that are party to the Kyoto Protocol. 
On funding mechanisms for adaptation, the EU proposed strengthening "existing" 
funding mechanisms, TANZANIA added "for coping with the impacts of climate 
change," while AUSTRALIA, supported by CANADA and JAPAN, proposed deleting the 
paragraph as it refers to items included in UNFCCC negotiations. Calling for 
coordination between the Kyoto and Montreal protocols, the EU proposed new 
language on ozone depleting substances that are also greenhouse gases. She also 
suggested a new paragraph on promoting awareness among consumers and producers 
on their contributions to climate change. AOSIS proposed the establishment of a 
renewable energy fund. On the development of insurance schemes by 
industrialized countries to reduce the adverse impacts of climate change on 
developing countries, especially SIDS, LDCs and Landlocked Developing Countries 
(LLDCs), SWITZERLAND proposed, and AUSTRALIA, CANADA and the US opposed, text 
referring to climate change impacts caused by industrialized countries.

INDUSTRIAL DEVELOPMENT: This session was facilitated by Vice-Chair Jiří 
Hlaváček (Czech Republic).

In the chapter on industrial development, the Chair's text contains two 
introductory paragraphs, including a list of actions to be taken. The chapter 
also contains two sections, each with subsections on "regional, sub-regional 
and international cooperation" and "means of implementation."

In the introductory paragraphs SWITZERLAND proposed text on "sustainable" 
economic growth and industrial development "within the natural resource base." 
The G-77/CHINA noted the need to reflect the importance of industrial 
development to poverty alleviation, and suggested deleting the reference to the 
role of sustainable use of natural resources in reducing costs, increasing 
competitiveness and employment, and reducing environmental degradation. She 
suggested replacing this language with text indicating that "managing the 
natural resource base in a sustainable and integrated manner is essential for 
sustainable development." On the right to decide their own industrial 
development strategies, CANADA proposed that states should have "the 
responsibility to ensure that activities within their jurisdiction and control 
do not cause damage to the environment." 

In the paragraph on actions to be taken on national policy frameworks, the EU 
proposed adding the phrase "building on the principle of sustainability and 
good governance." The G-77/CHINA questioned the existence of such a principle. 
On education, SWITZERLAND, supported by CANADA and the EU, suggested a 
reference to promoting "education and awareness-raising to change consumer 
behavior toward more sustainable lifestyles." On innovative management 
instruments, CANADA introduced the phrase "voluntary agreements," and EU the 
term "green public procurement." On corporate environmental and social 
responsibility, ISRAEL suggested referring to "transparency," and NORWAY to the 
UN Principles for Responsible Investment and the UN Global Compact. Regarding 
patterns of production and consumption, the G-77/CHINA emphasized the special 
needs of developing countries. On marine resources, PALAU suggested adding a 
reference to "fisheries based on coral reefs." A number of delegates questioned 
the inclusion of a paragraph on agriculture in the industrial development 
section and resolved to review it later.

In the section on regional, subregional and international cooperation, some 
delegates noted the need for further consultation with capitals. On 
north-south, south-south and triangular technology cooperation, the EU and 
JAPAN suggested deleting a reference to "sharing of intellectual property and 
know how," while BOTSWANA called for "equitable sharing."

In the section on means of implementation, the EU proposed numerous 
modifications to the text, including: emphasizing education and skills 
development "on a non-discriminatory basis"; deleting a paragraph on innovation 
and entrepreneurship; adding paragraphs on resource efficiency and integrated 
product policies; and adding a paragraph on investment and trade policies from 
the "inter-linkages and cross-cutting issues, including means of 
implementation" section. MEXICO opposed the deletion of the innovation and 
entrepreneurship paragraph, and the G-77/CHINA asked the EU to clarify its 
additional paragraphs. 

IN THE CORRIDORS

The erratic start of negotiations on the energy section of the Chair's draft 
has led to some grumbling from delegates. For most of the day the G-77/China 
were engaged in continuous internal consultations, which led to canceling the 
afternoon session of Working Group 1. Detailed amendments are expected to be 
presented on Friday afternoon, aimed at "balancing out" the Chair's text. 

The controversy over the introductory language of the energy section, according 
to some participants, is a sign of the fissure between the EU and major oil and 
gas producers. A delegate was heard commenting on EU amendments, which 
"unrealistically downgraded the clear dominance of fossil fuels in the 
foreseeable future."

Meanwhile, the first reading of the climate section proceeded in a surprisingly 
speedy manner, leading some to speculate that a more robust negotiation is on 
the way. A second reading of the climate text planned for Thursday afternoon 
had to be moved to Friday as the G-77/China had yet to formulate its specific 
textual proposals. But as one delegate observed, climate change discussions, 
like the weather, are always tricky to predict: "most begin in the fog, get 
worse before they get better, and offer the possibility of a fine closing."
 

This issue of the Earth Negotiations Bulletin (c) <[EMAIL PROTECTED] 
<mailto:[EMAIL PROTECTED]> > is written and edited by Twig Johnson, Ph.D., 
Harry Jonas, Lavanya Rajamani, D.Phil., James Van Alstine and Andrey Vavilov, 
Ph.D. The Digital Editor is Ángeles Estrada. The Editor is Pamela S. Chasek, 
Ph.D. <[EMAIL PROTECTED] <mailto:[EMAIL PROTECTED]> > and the Director of IISD 
Reporting Services is Langston James "Kimo" Goree VI <[EMAIL PROTECTED] 
<mailto:[EMAIL PROTECTED]> >. The Sustaining Donors of the Bulletin are the 
United Kingdom (through the Department for International Development - DFID), 
the Government of the United States of America (through the Department of State 
Bureau of Oceans and International Environmental and Scientific Affairs), the 
Government of Canada (through CIDA), the Danish Ministry of Foreign Affairs, 
the Government of Germany (through the German Federal Ministry of Environment - 
BMU, and the German Federal Ministry of Development Cooperation - BMZ), the 
Netherlands Ministry of Foreign Affairs, the European Commission (DG-ENV) and 
the Italian Ministry for the Environment and Territory General Directorate for 
Nature Protection. General Support for the Bulletin during 2007 is provided by 
the Swiss Federal Office for the Environment (FOEN), the Norwegian Ministry of 
Foreign Affairs and the Ministry of Environment, the Government of Australia, 
the Austrian Federal Ministry for the Environment, the Ministry of Environment 
of Sweden, the New Zealand Ministry of Foreign Affairs and Trade, SWAN 
International, the Japanese Ministry of Environment (through the Institute for 
Global Environmental Strategies - IGES) and the Japanese Ministry of Economy, 
Trade and Industry (through the Global Industrial and Social Progress Research 
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into French has been provided by the International Organization of the 
Francophonie (IOF) and the French Ministry of Foreign Affairs. Funding for the 
translation of the Earth Negotiations Bulletin into Spanish has been provided 
by the Ministry of Environment of Spain. The opinions expressed in the Earth 
Negotiations Bulletin are those of the authors and do not necessarily reflect 
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