2002 Meetings
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Montreal Protocol Working Group Meeting: Montreal July 23-25, 2002

        Parties to the Montreal Protocol met in Montreal, July 23-25 to conduct a meeting of the Open Ended Working Group. Proposals that were introduced will be considered at the 14th Meeting of the Parties in Rome, Italy November 25-29. In addition, the Technology and Economic Assessment Panel (TEAP) released four reports summarized below which can be found at http://www.teap.org.

        The meeting opened with the introduction of the new Executive Secretary, Marco Gonzalez, who replaced Madhava Sarma, who had served over a decade. He noted that his main challenges included compliance with the CFC phaseout schedule in developing countries and ratification of recent amendments by the Parties.

Compliance and Replenishment

        Items of main concern to the Parties included compliance with the Protocol and replenishment of the Multilateral Fund for the 2003-2005 timeframe. It is important to note that there were no discussions this year concerning the European Union's desire to accelerate the phaseout of HCFCs in developed or developing countries. This discussion has occurred for the last 3 years without adjustment or amendment to the Protocol.

        The United States remains very vocal and active in the international negotiations and discussions. Specifically the United States proposed several improvements to the non-compliance review procedure that will make the Implementation Committee operate more efficiently. They include speeding up the timelines for reporting and making information more available. Many developing countries noted that effort should be placed on helping countries that face compliance difficulties. These countries had to freeze their CFC production and consumption in 1999 at 1995-97 average levels, and phase out by 2010.

        TEAP presented its study regarding replenishment of the Multilateral Fund for Implementation of the Montreal Protocol for the 2003-2005 timeframe. It explained how its 150-page study assessed existing and expected agreements for phasing out CFCs and other ODS in developing countries. TEAP concluded that funding of $548-600 million was needed to replenish the Fund for 2003-2005.

        Many developing countries stated that numerous specific needs were not reflected in the study; and therefore greater allowance needs to be made. The group of developing countries as a whole noted that the funding proposal was not sufficient to meet the needs of all the developing countries. They pointed out specific needs that were not taken into account in the study such as public awareness projects, institutional strengthening, curbing illegal trade, training, and capacity building needs. The developed countries stated that they understood the issues raised and would engage in a fruitful discussion to ensure developing country compliance. The Ad Hoc Working Group on Replenishment will discuss the funding proposal in more depth and report to the Parties in November.

Relationship between Montreal and Kyoto Protocols

        In light of the activity at the June Meeting of the Subsidiary Bodies to the United Nations Framework Convention on Climate Change in Bonn, it appeared that there may be lengthy discussion about the Subsidiary Body request for TEAP, in consultation with other organizations, to consider whether it can further study HFCs. In a report to Alliance members in July, it was reported that the Subsidiary Body for Science and Technological Advice (SBSTA) invited TEAP to communicate its reply before its the October 2002 Climate Meeting in New Delhi so that SBSTA can consider the replies with a view to deciding whether to make a further request to TEAP to go ahead and conduct a study of the desired information on HFCs.

        The Parties to the Montreal Protocol did not take up this issue at length because in a decision three years ago, the Parties encouraged ongoing fruitful collaboration between TEAP and SBSTA, as well as the Intergovernmental Panel on Climate Change (IPCC). TEAP will most likely respond affirmatively to SBSTA without intervention by the Parties to the Montreal Protocol. The Alliance encourages TEAP involvement in the upcoming HFC studies under the Kyoto Protocol.

        [According to the SBSTA request in Bonn in June: The information TEAP should consider include a) a summary of up-to-date scientific information on the relation of ozone layer depletion and global warming, including concentrations of relevant ozone-depleting and greenhouse gases; (b) technical information on practices and technologies for phasing out ozone-depleting substances and at the same time contributing to the objectives of the Convention and the Montreal Protocol. It should cover the relevant sectors, include the technical options, inter alia, of improved containment, use of fluids, gases or aerosols with negligible or lower global warming potential, use of not-in-kind technology, process improvement and end-of-life-cycle recovery, recycling and disposal. It should present technical information relevant to evaluation, including cost, availability, health, medical, environmental and safety issues, technical performance, energy and resource efficiency and all associated greenhouse gas emissions using life cycle climate performance; and (c) the future demand and supply of HFCs and the implication for developing countries.]

        At the Rome Meeting in November, the Montreal Protocol Parties agreed to discuss the October result of the SBSTA request and TEAP response on studying HFCs. They specified that discussion would be limited to considering the request and cooperation between the TEAP and SBSTA --- not a discussion on the relationship between the ozone layer and climate.

Illegal Trade in CFCs

        For the 8th year in a row, the Parties addressed illegal trade in ozone-depleting compounds. They reviewed the Secretariat's comprehensive study prepared pursuant to 2001 and 2002 requests of the Parties. The 44-page study, entitled, "Study on Monitoring of International Trade and Prevention of Illegal Trade in Ozone-Depleting Substances, Mixtures, and Products containing Ozone-Depleting Substances" noted that while the Parties developed many steps to address illegal trade such as import and export licenses, the time was right to examine more ways to address the issue since illegal trade is emerging in all regions. The report can be obtained by the Alliance, or found at www.unep.ch/ozone/oewg/22oewg/22oewg-4.e.pdf.

        The Alliance assisted the authors in preparing the report. It summarized all action taken by the Parties, and proposed a wide range of ideas covering customs codes, labeling, licensing systems, national enforcement and international networks. It also proposed a new enforcement assistance function within the ozone regime, which the US opposed, with the aim of improving coordination, channeling expertise from the enforcement community and providing direct assistance to developing countries. The US stated that it was not the job of the Secretariat to enforce the Protocol, but would support regional enforcement officers.

        Decisions moved forward to November 2002 and to 2003 on many aspects of illegal trade. Poland was working with many Parties to refine a proposed decision to urge Parties to comply with previous decisions, clarify terms, introduce economic incentives to promote ODS substitutes, continue Secretariat liaison with various trade organizations, and strengthen collaboration between environmental and legal officials.

        The European Union proposed a decision entitled, "Consideration of the Use of the Globally Harmonized System for the Classification and labeling of Chemicals for Ozone Depleting Substances." It stated that a worldwide requirement to label ODS improves the awareness of downstream users of the environmental hazard of ODS as well as helping customs and other authorities identify ODS. Therefore it requested the Secretariat to contact those involved with the transport of dangerous goods to evaluate the possibilities for and feasibility of including ODS in the globally harmonized system work, and to report to the Parties in 2003.

Science and Environmental Effects

        The Third Science Assessment Report was summarized and will be released in early 2003. The United States urged its completion by February 2003 in order to allow proposals for amendments and adjustments to be made the Protocol within 6 months of the 2003 Meeting of the Parties. An Executive Summary will be released before the Rome Meeting in November.

        Among other things, the report will address the impact of ozone loss on climate change. The assessment also will describe the physical and chemical processes which affected the ozone layer and take into account the requirements by Parties to study the fate of very-short-lived ozone-depleting substances in the atmosphere. Information on ozone loss in the Arctic and mid-latitudes will be included.

        An Environmental Effects Assessment will be completed by the end of 2002. It will note the consequences of ozone depletion and climate change combined. It will include the effects of increasing ultra-violet (UV) radiation on human health, animals, plants, air quality and materials. It will also take into account how those effects might be influenced by increasing concentrations of carbon dioxide and increasing temperatures. For example, plants react negatively to increased UV, while increased carbon dioxide has a positive effect on them.

Technology and Economic Assessment Panel Reports --- http://www.teap.org

        The Technology and Economic Assessment Panel (TEAP) presented the findings of its four reports in three volumes totaling over 500 pages. The reports were released in July.

        "Volume 1: Progress Report" summarizes data on emissions, essential use requests, and lab uses. It also provides information on n-propyl bromide --- an ozone depleting compound. It contains the reports of the Technical Options Committees for every sector using ozone depleting compounds.

        "Volume 2: Assessment of the Funding Requirement for the Replenishment of the Multilateral Fund for 2003-1005" presents TEAP's analysis and conclusions as to funding needed for developing countries to comply with the Montreal Protocol for the next three years.

        "Volume 3: Report of the Task Force on Collection, Recovery, and Storage; and Report of the Task Force on Destruction Technologies" assessed use patterns, associated emissions and aspects of collection and storage of ozone-depleting compounds from all use sectors. It presents an overview of ODS inventories and their management in each sector. The report includes consideration of technical feasibility, economic implications, and barriers. In regard to destruction, the report provides a comprehensive assessment of technologies available for the destruction of the current and anticipated global stocks of surplus ODS. The Task Force developed updated screening criteria which were applied for 45 identified technologies. Sixteen technologies met the criteria. Three technologies are in commercial use.

        In 2003, TEAP will release a report analyzing whether HCFCs are available to developing countries in sufficient quantity and quality at affordable prices, taking into account the 15 percent allowance to meet basic domestic needs of these countries.

Ratifications

        So far, 184 Parties ratified the 1985 Vienna Convention; 183 have ratified the 1987 Montreal Protocol; 163 have ratified the 1990 London Amendment; 141 have ratified the 1992 Copenhagen Amendment; 79 have ratified the 1997 Montreal Amendment; and 30 have ratified the 1999 Beijing Amendment. The US Senate has not yet ratified the Montreal or Beijing Amendments, but they intend to do so in the near future.

Conclusion

        The Montreal Protocol is viewed as the model environmental treaty in which nations came together in agreement to address an international environmental problem. While the Kyoto Protocol has undergone considerable scrutiny because of scientific uncertainties, the Montreal Protocol has successfully used scientific certainty to advance environmental protection. The US government's leadership role in recognizing science, phasing out ozone depleting substances, and promoting alternatives has been instrumental in the Protocol's success.

        Nevertheless, much remains to be done in order to complete the process and return the stratospheric ozone layer to its pre-hole condition. The US needs to maintain its leadership role in Protocol negotiations and focus attention on its own compliance and the compliance of the developing countries. In order to fulfill its commitments, the Bush Administration and Congress need to fully fund the US commitment to the Multilateral Fund. The US contribution is $36.6 million per year and will rise for the next 3 years after replenishment. The US is $29 million in arrears; and the 2003 Bush Administration request is only $32 million, $4 million under the annual commitment.

        In addition, methyl bromide must be reduced 70% by 2003; and a phaseout is scheduled to occur in 2005 with exceptions and exempted critical uses agreed by Parties. The US expects to achieve only a 50% reduction. In January 2003, most countries will ask for 5% critical use exemption for 2005. The US may ask for a 35% exemption. Eventually the US could be out of compliance with the Montreal Protocol if it cannot comply with the methyl bromide phaseout schedule. The farm community has the support of many in Congress to continue methyl bromide use --- but noncompliance with the Protocol could have ramifications for the HCFC- and HFC-producing and using industries.

        Sanctions are high for noncompliance with the Protocol. Rights to export HCFCs and crops grown with methyl bromide are at risk. A US failure on the Montreal Protocol has many ramifications, both politically and environmentally. The US cannot afford to burn up the goodwill it has earned with the other Protocol Parties as it promotes HCFC and HFC alternative technologies in the Montreal and Kyoto Protocol processes. The Bush Administration and Congress will continue to hear from the Alliance as to the importance of maintaining compliance with the Montreal Protocol.

 
 
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