Distr.

GENERAL

FCCC/AGBM/1997/5

29 August 1997

Original: ENGLISH

AD HOC GROUP ON THE BERLIN MANDATE

Seventh session

Bonn, 31 July - 7 August 1997

Paragraphs Page

I. OPENING OF THE SESSION

(Agenda item 1) 1 - 7 3

II. ORGANIZATIONAL MATTERS

(Agenda item 2) 8 - 16 4

A. Adoption of the agenda 8 4

B. Organization of the work of the session 9 - 12 5

C. Organization of the work of the eighth session 13 - 14 5

D. Attendance 15 6

E. Documentation 16 6

GE.97-

Paragraphs Page

III. NEGOTIATION OF A PROTOCOL OR ANOTHER LEGAL

INSTRUMENT

(Agenda item 3) 17 - 24 6

IV. REPORT ON THE SESSION

(Agenda item 4) 25 - 28 7

Documents before the Ad Hoc Group on the Berlin Mandate

at its seventh session 9

1. The seventh session of the Ad Hoc Group on the Berlin Mandate (hereinafter referred to as "the AGBM") was held at the Hotel Maritim, Bonn, from 31 July to 7 August 1997.

2. The Chairman of the AGBM, Ambassador Raúl Estrada-Oyuela, opened the session on 31 July 1997. He began by expressing optimism that results would be achieved at the session, and he invited all Parties to participate to that end. He observed that concern about climate change was increasing. He further observed that the recent meeting of the

Group of Seven and the Russian Federation in Denver (United States of America), as well as the special session of the United Nations General Assembly in June 1997, had demonstrated

high-level interest in climate change that had not always been evident at earlier meetings. The Chairman emphasized that the task of the AGBM was restricted to fulfilling the Berlin Mandate. He noted that only when Annex I Parties had demonstrated leadership, including through the financial mechanism under the Convention, could non-Annex I Parties be expected to assume a more active role. He welcomed the revised proposal from the European Community and its member States, which offered specific commitments, but noted that the Group awaited similar details from other governments. He observed that, meanwhile, the world was continuing to experience meteorological phenomena similar to those which would result from climate change. In closing, the Chairman noted that world economic statistics had shown that the economies of Annex I Parties as a whole had continued to grow over the past few years. This growth had been accompanied by increases in greenhouse gas emissions, despite the commitment of these Parties to reduce them. The Chairman expressed the view that measures which Annex I Parties should take to mitigate climate change would not prevent sustainable economic growth.

3. The Executive Secretary welcomed all participants to the session. He noted that he had been increasingly asked two questions, namely, what outcome did he hope for from the third session of the Conference of the Parties, and how optimistic was he that this hope would be realized? The Executive Secretary noted that he looked forward to a clear agreement, which could be readily understood by politicians and the public alike. He observed that, in contrast, Articles 4.2(a) and (b) of the Convention were not crystal clear and could be interpreted in different ways. The Executive Secretary suggested that an agreement should have "punch", indicating that business as usual would not continue. He further remarked that an agreement should provide a clear signal to key economic actors that times have changed, and that all should help these changes to take effect.

4. The Chairman of the Intergovernmental Panel on Climate Change (IPCC),

Professor Bert Bolin, recalled the conclusions of the Second Assessment Report (SAR) and the three technical papers already completed by the IPCC. He noted that a 0.3-0.6 degrees Celsius rise in temperature in this century has been observed and that "assuming the 'best estimate' value of climate sensitivity and including the effects of future increases of aerosols, models project an increase in global mean surface air temperature relative to 1990 of about

2 degrees Celsius by 2100". Professor Bolin further noted that that value may be understated. He observed that Annex I Parties had contributed 75 per cent of global emissions in 1985 and would continue to produce the majority of global emissions for the next 15 to 20 years. In conclusion, Professor Bolin noted that there were a large number of policies and measures to mitigate climate change which could be achieved at limited or no cost.

5. Statements were made by representatives of nine Parties, including one speaking on behalf of the Group of 77 and China, one speaking on behalf of the European Community and its member States, and one speaking on behalf of the African Group.

6. At the 2nd meeting of the AGBM, on 4 August, statements were made on behalf of environmental and business/industry non-governmental organizations and by an organization representing local governments.

7. Also at the 2nd meeting, Mr. Ian Pickard (United Kingdom of Great Britain and Northern Ireland), Chairman of the Annex I Expert Group to the United Nations Framework Convention on Climate Change, made a statement with regard to the work of that group.

8. The AGBM, at its 1st meeting, on 31 July, adopted the following agenda:

1. Opening of the session.

2. Organizational matters:

(a) Adoption of the agenda;

(b) Organization of the work of the session;

(c) Organization of the work of the eighth session.

3. Negotiation of a protocol or another legal instrument.

4. Report on the session.

9. At the 1st meeting of the AGBM, on 31 July, the Chairman recalled that there would be services available for 18 meetings, with interpretation from 10 a.m. to 1 p.m. and from

3 p.m. to 6 p.m. He also noted that services would be available for two parallel meetings.

10. The Chairman emphasized that the aim of the session was to launch negotiations, based on the negotiating text (FCCC/AGBM/1997/3/Add.1), in order to prepare a streamlined revised negotiating text where the alternatives open to Parties would be more clearly defined. He also urged Parties to work towards reconciling their many divergent positions.

11. To this end, the AGBM agreed to the Chairman's proposal to convene informal consultations under agenda item 3, as follows:

(a) Quantified emission limitation and reduction objectives (QELROs), chaired by Mr. Luiz Gylvan Meira Filho (Brazil);

(b) Policies and measures, chaired by Mr. Mohamed Ould El Ghaouth (Mauritania);

(c) Continuing to advance the implementation of existing commitments in

Article 4.1, chaired by Mr. Evans King (Trinidad and Tobago) until his departure on

2 August, and thereafter by Ambassador John Ashe (Antigua and Barbuda); and

(d) Elements related to institutions and mechanisms, chaired by Mr. Takao Shibata (Japan).

12. Statements were made by representatives of four Parties, including one speaking on behalf of the Alliance of Small Island States (AOSIS).

13. The AGBM considered this sub-item at its final meeting, on 7 August. It requested the Chairman, with the assistance of the secretariat, to prepare a Chairman's text to be the focus of work at the next session, drawing on the outcome of the work of the AGBM at its seventh session.

14. The Chairman emphasized that he would continue to consult with Parties. In the interests of advancing the process, he also encouraged Parties to consult amongst themselves, especially those required by the Convention to take the lead in combating climate change. The Chairman noted that the eighth session of the AGBM would be its final one and he stressed that delegates should come with mandates to negotiate in earnest.

15. The lists of attendance at the seventh session of the AGBM are given in document FCCC/1997/INF.3.

16. The documents prepared for the AGBM at its seventh session are listed in the annex to this document.

17. As agreed under agenda item 2 (b), this matter was considered in informal consultations conducted under the chairmanship of Mr. Luiz Gylvan Meira Filho.

18. At the 3rd meeting of the AGBM, on 7 August, the Chairman of the informal consultations on QELROs presented his report to the AGBM on the outcome of the informal consultations. This report can be found in document FCCC/AGBM/1997/INF.1.

19. As agreed under agenda item 2 (b), this matter was considered in informal consultations conducted under the chairmanship of Mr. Mohamed Ould El Ghaouth.

20. At the 3rd meeting of the AGBM, on 7 August, the Chairman of the informal consultations on policies and measures presented his report to the AGBM on the outcome of the informal consultations. This report can be found in document FCCC/AGBM/1997/INF.1.

21. As agreed under agenda item 2 (b), this matter was considered in informal consultations conducted under the chairmanship of Mr. Evans King and later, in his absence, under the chairmanship of Ambassador John Ashe.

22. At the 3rd meeting of the AGBM, on 7 August, Ambassador John Ashe presented his report to the AGBM on the outcome of the informal consultations. This report can be found in document FCCC/AGBM/1997/INF.1.

D. Informal consultations on elements related to institutions and mechanisms

23. As agreed under agenda item 2 (b), this matter was considered in informal consultations conducted under the chairmanship of Mr. Takao Shibata.

24. At the 3rd meeting of the AGBM, on 7 August, the Chairman of the informal consultations on elements related to institutions and mechanisms presented his report to the AGBM on the outcome of the informal consultations. This report can be found in document FCCC/AGBM/1997/INF.1.

25. At the 3rd meeting of the AGBM, on 7 August, the Chairman recalled that, as noted in the Provisional Agenda and Annotations (FCCC/AGBM/1997/4), a draft report on the session had not been prepared. The Group accepted a proposal from the Chairman and requested the Rapporteur, under the guidance of the Chairman and with the assistance of the secretariat, to produce the report after the session. The Chairman noted that the reports by the Chairmen of the informal consultations to the AGBM would be issued as a separate document.

26. Statements were made by representatives of nine Parties, including one speaking on behalf of the Group of 77 and China, one speaking on behalf of the European Community and its members States and one speaking on behalf of the African Group.

27. The Chairman requested those Parties in a position to provide information on the possible effects of proposed policies and measures, including effects on non-Annex I Parties, to do so.

28. In conclusion, the Chairman thanked the Chairmen of the informal consultations for their assistance and thanked all delegates for their constructive participation. The Chairman noted that Parties' positions had become clearer, and that considerable streamlining and some negotiation had taken place. The negotiating text and the relevant proposals remain before the Group, and the reports to the AGBM by the Chairmen of the informal consultations are reproduced as document FCCC/AGBM/1997/INF.1. The Chairman emphasized that while the high expectations held for the work of the session might not have been realized, reasonable progress had been achieved. He expressed the hope that the Chairman's text to be produced for the next session would enable negotiations to continue in preparation for a successful outcome at the Conference of the Parties at its third session.

FCCC/AGBM/1997/4 Provisional agenda and annotations

FCCC/AGBM/1997/3/Add.1 Negotiating text by the Chairman

and Corr.1

FCCC/AGBM/1997/MISC.1/Add.2-5 Implementation of the Berlin Mandate:

Additional proposals from Parties

FCCC/AGBM/1997/3 Report of the Ad Hoc Group on the Berlin Mandate on the work of its sixth session,

Bonn, 3-7 March 1997

FCCC/AGBM/1996/MISC.2 Implementation of the Berlin Mandate: Proposals

and Add.1-4 from Parties

FCCC/CP/1996/15 Report of the Conference of the Parties on its

and Add.1 second session, held at Geneva from

8 to 19 July 1996

FCCC/AGBM/1997/MISC.1 Implementation of the Berlin Mandate: Proposals

and Add.1 from Parties

FCCC/AGBM/1997/MISC.2 Implementation of the Berlin Mandate: Comments from Parties