Distr.
GENERAL
FCCC/SBSTA/1999/11
1 October 1999
Original: ENGLISH
SUBSIDIARY BODY FOR SCIENTIFIC AND TECHNOLOGICAL ADVICE
Eleventh session
Bonn, 25 October - 5 November 1999
Item 10 (a), (c) and (d) of the provisional agenda
Paragraphs Page
I. INTRODUCTION 1 - 5 3
A. Mandate 1 - 2 3
B. Scope of the note 3 - 4 3
C. Possible action by the SBSTA 5 4
II. CONSULTATIVE PROCESS REFERRED TO IN DECISION 4/CP.4 6 - 12 4
A. Specific mandate 6 - 7 4
B. Discussion 8 - 12 5
GE.99-
Paragraphs Page
III. ADAPTATION TECHNOLOGIES 13 - 15 6
A. Specific mandate 13 - 14 6
B. Discussion 15 6
IV. COOPERATION WITH OECD/DAC 16 - 19 6
A. Specific mandate 16 6
B. Discussion 17 - 19 6
I. African Regional Workshop on Transfer of Technology Consultative Process, Arusha, Tanzania 16-18 August 1999 8
II. CTI/ Industry Joint Seminar on Technology Diffusion in Eastern Europe, Bratislava, Slovakia, 14-17 July 1999 20
1. The Conference of the Parties (COP), at its first, second, third and fourth sessions requested the secretariat to undertake a number of tasks regarding the development and transfer of technology. These tasks are contained in decisions 13.CP.1,(1) 7/CP.2, 9/CP.3, and 4/CP.4 respectively.(2) The Subsidiary Body for Scientific and Technological Advice (SBSTA) has also requested the secretariat to undertake several tasks on the subject. The most recent conclusions may be found in the reports of the ninth and tenth sessions of the SBSTA (FCCC/SBSTA/1998/9 and FCCC/SBSTA/1999/6, respectively).
2. By its decision 4/CP.4, the COP requested the secretariat to continue its work on the synthesis and dissemination of information on environmentally-sound technologies and know-how conducive to mitigating, and adapting to, climate change. By the same decision, the COP also requested the Chairman of the SBSTA to establish a consultative process and to make recommendations on how to achieve agreement on a framework for meaningful and effective actions to enhance implementation of Article 4.5 of the Convention (decision 4/CP.4). Furthermore, the SBSTA, at its tenth session, requested the secretariat to complete its ongoing activities for 1999 as defined in the progress report prepared by the secretariat in document FCCC/SBSTA/1999/2 (FCCC/SBSTA/1999/6).
3. This note provides information on the ongoing activities of the secretariat in 1999 related to the technology and transfer of technology and particularly on the progress of the consultative process on the transfer of technology.
4. Additional information relevant to the issues discussed in this note can be found in a technical paper on coastal adaptation technologies (FCCC/TP/1999/1) and submissions from Parties on options to accelerate and sustain the development and transfer of coastal adaptation technologies (FCCC/SBSTA/1999/MISC.11). Parties may also wish to consider the previous progress reports on the development and transfer of technologies (FCCC/SBSTA/1999/2, FCCC/SBSTA/1998/5 and FCCC/CP/1998/6).
5. The SBSTA may wish to consider the information in this progress report, and where necessary:
(a) Provide further guidance to the Chairman of the SBSTA concerning the consultative process referred to in decision 4/CP.4, and as appropriate, recommend a decision, for adoption by the Conference of the Parties at its fifth session;
(b) Provide guidance to the secretariat with regard to its work on adaptation technologies, particularly coastal zone technologies (see FCCC/TP/1999/1 and the submissions from Parties contained in FCCC/SBSTA/1999/MISC.11); and
(c) Urge those Annex II Parties that have not provided support for the consultative process to do so if possible.
6. By its decision 4/CP.4, the
Conference of the Parties requested the Chairman of the SBSTA to
establish a consultative process to consider the list of issues and
questions contained in the annex to that decision, as well as any
additional issues and questions subsequently identified by Parties,
and to make recommendations on how they should be addressed in order
to achieve agreement on a framework for meaningful and effective
actions to enhance implementation of Article 4.5 of the Convention.
It also requested the Chairman of the SBSTA to report on the outcome
of the consultative process to the SBSTA at its eleventh session,
with a view to recommending a decision for adoption by the Conference
of the Parties at its fifth session.
7. At its tenth session, the
SBSTA noted the progress made by the Chairman, with the assistance of
the secretariat, in conducting the consultative process on the
transfer of technology. It endorsed the proposal by the Chairman that
the secretariat organize three regional workshops, one in Africa, one
in Asia and the Pacific Islands, and one in Latin America and the
Caribbean. It also recognized that, given the time and resources
available, it would not be possible to complete all regional
workshops before the fifth session of the COP. It invited the
Chairman, with the assistance of the secretariat, to complete the
regional workshops by early 2000, and to report to the SBSTA at its
twelfth session, with a view to taking a decision by COP 6
(FCCC/SBSTA/1999/6, para. 69 (c) and (d)).
8. The Chairman of the SBSTA held
initial consultations on issues relating to the transfer of
technology in the African context at a regional workshop on the
transfer of technology consultative process, held from 16 to18 August
1999 in Arusha, Tanzania. The workshop was organized by the
secretariat, with the assistance of the Government of Tanzania and
the Centre for Energy, Environment, Science and Technology.
9. The agenda of the workshop was
designed to address the issues and questions contained in the annex
to decision 4/CP.4. The workshop was attended by 74 participants, 44
from non-Annex I Parties, representing 20 African and 2 Asian
Parties. Representatives from 11 Annex I Parties also participated in
the workshop. Six inter-governmental organizations were represented
(United Nations Environment Programme, United Nations Development
Programme, United Nations Industrial Development Organization, Global
Environment Facility, Intergovernmental Panel on Climate Change, and
Climate Technology Initiative), and two non-governmental
organizations (International Chamber of Commerce and Climate Action
Network). The report of the workshop is included in annex I to this
document.
10. The workshop brought together a
group of representatives of African governments, as well as
recognized regional experts with a diverse range of experiences in
the design and implementation of technology-based projects and
programmes supported by bilateral and multilateral initiatives and
the private sector.
11. The workshop was made
possible through the receipt of financial assistance and/or in-kind
support from the Governments of the United States of America and
Germany. An additional financial contribution has been received from
the Government of Australia to partly facilitate the organization of
the workshop in Asia and the Pacific Islands. France and Austria have
pledged to provide in-kind support and a financial contribution,
respectively, to facilitate part of the organization of future
workshops. Several other countries are also considering official
offers of support for these two future workshops. Contributions
received from Parties thus far have allowed the secretariat to
organize one workshop in Africa and will partially fund the
organization of one additional workshop. Thus it is important that
other Annex II Parties, in a position to do so, provide further
financial and/or in-kind support to facilitate the organization of
the remaining two workshops.
12. The Climate Technology
Initiative, in cooperation with the secretariat, organized a
Regional Seminar on Technology Diffusion
in Eastern Europe, on 15-17 July 1999, in Bratislava, Slovakia. A
report by the secretariat on this seminar is contained in annex II to
this document.
13. At its second and third session, by
its decisions 7/CP.2 and 9/CP.3 respectively, the Conference of the
Parties requested the secretariat to prepare reports on adaptation
technologies and to continue its work on the synthesis and
dissemination of information on environmentally-sound technologies
and know-how conducive to mitigating, and adapting to, climate
change. The Subsidiary Body for Scientific and Technological Advice
(SBSTA), at its eighth session, encouraged the secretariat to
continue its work on adaptation technologies (FCCC/SBSTA/1998/6,
para. 58 (h)).
14. The secretariat prepared a technical
paper on coastal adaptation technologies for consideration by the
SBSTA at its tenth session (FCCC/TP/1999/1). At that session, the
SBSTA invited Parties to submit, by 16 August 1999, their views
regarding options to accelerate and sustain the development and
transfer of coastal adaptation technologies for compilation into a
miscellaneous document and agreed to consider this issue at its
eleventh session (FCCC/SBSTA/1999/6, para. 70 (a)).
15.Submissions from Parties regarding
their views on options to accelerate and sustain the development and
transfer of coastal adaptation technologies were received from three
Parties and are contained in document FCCC/SBSTA/1999/MISC.11. The
secretariat has not identified any additional information on this
subject, other than the information contained in document
FCCC/TP/1999/1.
16. The SBSTA, at its tenth session,
requested the secretariat to continue to cooperate with the
Development Assistance Committee (DAC) of the Organisation for
Economic Co-operation and Development (OECD), in order to improve the
availability of climate-relevant data from the reporting system of
that committee (FCCC/SBSTA/1999/6, para. 70 (b)).
17. As described in document
FCCC/SBSTA/1999/2, the Development Assistance Committee secretariat,
in cooperation with the secretariats of the Rio conventions, is
undertaking a pilot study for the year 1998, to determine the
feasibility of providing more comprehensive data on the financial
assistance provided by developed countries in support of the
objectives of the Rio conventions. Countries have been requested to
classify individual aid activities against three new markers
referring to the above conventions, in order to assess and single out
specific projects relevant to the objectives of the conventions which
otherwise would be reported under a general marker named "aid to the
environment".
18. The Development Assistance
Committee secretariat is in the process of receiving and analysing
preliminary data from a number of reporting Parties, and expects to
complete the collection of data and the report of the pilot study by
March 2000. The UNFCCC secretariat is planning to present the final
results of the pilot study to Parties at the twelfth session of the
SBSTA.
19. The secretariat conducted a
preliminary review of some of the data received by the Development
Assistance Committee secretariat. The review suggests that there is a
potential to obtain a wide range of information relevant to the
Convention process. If such a system were to be implemented, it may
be possible to have, for example, the total annual bilateral official
development assistance commitments for each OECD country broken down
and specific information on relevant sectors, i.e. energy, transport,
forestry and others. It may also be possible to determine whether the
principal objective of this aid is specifically related to climate
change, or more generally to other environmental goals.
TECHNOLOGY CONSULTATIVE PROCESS
16-18 August 1999
1. The objectives of the workshop,
held in Arusha, Tanzania, from 16 to 18 August 1999, were to advance
the understanding of special situations and needs of the African
countries, and to generate information and ideas on practical steps
to enhance the transfer of technology in Africa.
2. The workshop participants
recognized that Africa is an immense and diverse region comprising
countries and regions with very different sets of environmental,
geographic, economic and social characteristics. At the same time,
various combinations of African countries share many similar national
and regional circumstances, both in economic and social terms, but
also in terms of natural resources endowments and sensitivity to
climate extremes and climate change.
3. For many African countries,
the issue of climate change has tended to be separate from the
mainstream economic development agenda. Consequently, the synergy
that exists between development issues and addressing climate change
has not been fully exploited. For many African countries, priorities
such as food and water security, energy security, improving the
quality of life and habitat, and sustainable economic growth and
employment often take precedence over concerns about climate
change.
4. Participants recognized that
practical steps to address the concerns of climate change under the
Convention would also need to simultaneously address the priority
concerns noted above. Furthermore, actions to address concerns about
climate change would need to involve the cooperation and
participation of multiple stakeholders, including intergovernmental
and multilateral organizations, national and local governments as
well as the private sector and non-governmental organizations (NGOs).
Organization of the report
5. This report presents a summary of the
workshop presentations and discussions. Most of the issues and
questions contained in the annex to decision 4/CP.4 can be addressed
by considering six sets of key questions. This report is organized
according to the following six themes and related sets of
questions:
(a) Technology needs
What are the technology needs of African countries?(3)
(b) Barriers to the development
and transfer of technologies
How should Parties promote the removal of barriers to technology transfer?
Which barriers are a priority and what practical steps should be taken?
(c) Capacity-building for technology
transfer
What areas should be the focus of capacity-building, and how should it be undertaken, e.g. what kinds of activities, programmes and institutional arrangements?
(d) Technology information
What information on technologies is needed and how can this information best be identified, developed, stored, accessed, and provided to Parties?
(e) Transfer of technology
mechanisms
Are existing bilateral and multilateral mechanisms for technology transfer sufficient? Are new mechanisms needed? If so, what are appropriate mechanisms for the transfer of technologies among Parties, in pursuance of Article 4.5 of the Convention?
(f) The role of the private
sector
What role is the private sector playing in technology transfer? What additional role can the private sector play? What barriers prevent their greater participation?
6. Many African countries were unable to
report on specific technology needs due to a lack of the human and
organizational capacities needed to conduct adequate technology needs
assessments. However, some general themes emerged. Africa's
technology needs span the range of greenhouse gas limitation and
adaptation technologies. In the case of greenhouse gas limitation
technologies, rural electrification as well as technologies to
replace household consumption of biomass (wood fuel) are particular
priorities for a number of countries. Energy technologies used in the
industrial sector are also a priority. Key adaptation technologies
include technologies to improve, in a sustainable manner, water
supply, agriculture and food production. It was noted that adaptation
technologies are not generally emphasized as much as mitigation
technologies because of a lack of information on vulnerability and
adaptation and not because they are unimportant to African
countries.
7. In addition to "hard"
technologies such as infrastructure and equipment, participants
discussed the need for "soft" technologies such as know-how,
practices and related capacity-building. These needs are discussed in
the remainder of the report in the context of the various barriers to
technologies and practical steps to build capacity to address such
barriers.
8. Participants at the workshop
identified several important general barriers to the transfer of
environmentally-sound technologies to African countries. The
identified barriers, however, do not represent a comprehensive list
for African countries. The identification and elaboration of barriers
to the development and dissemination of environmentally-sound
technologies was recognized as an important step in conducting a
technology needs assessment and identifying appropriate actions to
enhance the dissemination of environmentally-sound technologies in
the Africa region.
9. The barriers described below
are organized into five categories: economic and financial,
organizational and institutional, human resource-related,
technological and technology information.
Economic and financial
10. Many African countries are among the
poorest in the world. Several participants noted that the overall
poor economic situation in many African countries prevents the
development and transfer of environmentally-sound technologies. The
poor economic base and low incomes lead to low levels of savings and
investment.
11. The structure of markets in
many African countries also inhibits the development and deployment
of environmentally-sound technologies. Market barriers relate to the
lack of incentives, and in some cases, the existence of
disincentives, to stimulate the development of markets for
environmentally-sound technologies.
12. The structure of markets in
African countries is often monopolistic or oligopolistic. Such market
structures often inhibit establishing a fair pricing system. In many
cases, the financial systems fail to give correct price signals and
therefore energy efficiency measures may not be introduced.
13. Several participants noted that the
size of the markets in African countries is relatively small.
Additional transaction and development costs are incurred by
attempting to stimulate the deployment of technologies in small
markets. Thus, small markets pose a problem to business as they
signify lower rates of return on investments.
14. The majority of energy
projects implemented in the region are supported by loans. Risk
averseness on the part of local loan providers was also identified as
a barrier.
Environmentally-sound technologies are frequently overlooked by loan
providers as they are often viewed as risky investments.
Organizational and institutional
15. The participants noted that the
business environment often discourages participation by the private
sector, investors and other non-government stakeholders in many
African countries. This business environment includes:
non-transparent legal systems; relatively weak enforcement mechanisms
for laws relating to investments and companies; long arbitration
processes, unclear property rights; high legal fees; institutional
inertia; the frequently monopolistic or oligopolistic structure of
markets; inadequate macro-economic policies, lack of adequate
communications capabilities; and a scarcity of suitable firms for
subcontracting.
16. The workshop participants
also discussed the wide-spread lack of explicit national policies in
African countries that support technology development, acquisition of
skills and knowledge from external sources, and upgrading of
indigenous skills. The absence of these important national policies
presents a barrier to acquisition and deployment of
environmentally-sound technologies in the region.
17. In the specific case of
biomass-based technologies, a lack of coordination among the many
different projects being implemented in the region was noted.
Insufficient coordination between the implementing institutions of
these projects at the local, national and regional levels is a
barrier to faster widespread market deployment of such
technologies.
18. The participants noted that
African countries possess inadequate institutional capacity to
properly assess technology needs under the Convention. The lack of
this capacity makes it difficult for countries to communicate these
needs to other Parties and participate in programmes for technology
transfer and development.
19. The participants also
discussed the general lack of institutional capacity in many African
countries to influence global thinking on local and foreign
technology development and dissemination initiatives. This barrier
also translates into a lack of local ability to participate in the
transfer of technology within the framework of development
programmes.
20. The meeting also identified a lack
of institutional capacity to conduct technology research and
development, bench-marking, piloting and commercial transfer of
appropriate environmentally-sound technologies. This contributes to
reliance upon foreign technology which may not be appropriate for the
specific needs of African countries.
21. The meeting also noted that
there is insufficient coordination on the part of donor countries
between their foreign aid programmes providing technical cooperation
and their research and development programmes for new and emerging
technologies.
22. Participants noted that
institutional inertia, or the resistance to change, is another
obstacle and is worse in a relatively uncompetitive environment, as
is the case in many African countries. This generates inefficiencies
and deters the introduction of new methods and techniques to improve
productivity.
Human resource related
23. Participants frequently noted a
general lack of appropriate training in the region. For example,
training in project development, management and operations related to
national utilities is often disjointed and mainly offered only by
international organizations.
24. The participants also noted a
general lack of understanding of imported proprietary technology. The
participants further noted that the relatively low level of
technological capability in African countries is a significant
barrier to technology transfer and development. This is principally
due to the lack of an appropriately-skilled technical workforce.
Technological
25. The workshop participants noted the
lack of institutional infrastructure to support the development and
implementation of appropriate technology standards and regulations
based on local conditions. This leads to degraded technology
performance and inappropriate technology sourcing. The lack of
institutional infrastructure is a significant barrier to appropriate
technology development and deployment in the region.
26. The participants also
discussed the general lack of technical ability in the region to use
and manage imported proprietary hardware. Further, this deficit of
technological know-how diminishes the capability to alter, improve or
retrofit foreign technologies for local conditions or to bypass a
problem without recourse to the supplier.
27. The participants also noted
that normal engineering procedures for testing, commissioning, and
supporting equipment purchases are often lacking. This is a common
problem, for example, with renewable energy technologies and
contributes to their poor performance in many applications. It also
contributes to poor maintenance programmes and poorly operating
equipment. As a result, many newly introduced technologies fail to
meet operational expectations.
Technology information
28. The participants also recognized
that there is a poor technical information base in many African
countries which seriously affects the capacity for effective
identification and selection of technologies. Access to information
is essential to the technology transfer process.
29. Many technically competent
personnel in African countries lack access to international
information, and this results in sub-optimal choices. Often there is
also a lack of local data required for the design of good investment
projects. These data, such as performance data and supporting banking
and insurance information, are critical in making good investment
decisions.
30. It was suggested that African
countries require extensive and open access to information on both
indigenous and emerging technologies. It was mentioned that most
relevant information is only available to and accessible by
government ministries, and in particular the national focal
points.
31. Some participants noted that
there is a lack of available information on publicly-owned
technologies. In many instances, and particularly in the case of
simple technologies such as those traditionally used for many
processes in African countries, there are possibly many
publicly-owned technologies which could improve or replace existing
technologies.
32. Throughout the workshop many suggestions on practical steps to
build capacity for technology transfer were presented or discussed.
The various ideas are summarized below under six categories:
Assisting in the identification of technology needs
33. Acquiring the necessary resources and skills to identify
technology needs is a priority for African countries. These
assessments can be conducted at the national or regional
level and must take into account the
current profile of existing technologies as well as those being
demonstrated and tested. An important component of any technology
needs assessment should be the identification of local capacities and
competencies to manufacture and maintain various technologies.
34. In the case of many African
countries, technology needs assessments will require the provision of
financial or in-kind assistance to develop and strengthen existing
institutions to enable them to undertake country-driven
approach.
Addressing economic and financial barriers
39. Several practical steps were
suggested which could help many African economies. A key theme was
the introduction of new and innovative financing mechanisms, as well
as appropriate training and technical support for local, small
and medium-sized enterprises and entrepreneurs to engage in the
production or distribution of environmentally-sound technologies,
know-how and practices.
40. African participants suggested that such financing and training
should target:
38. Specific awareness-raising and training for loan providers and
financiers could be introduced possibly with the development of
new international finance windows for assistance to enhance the
financial resource base explicitly for environmentally-sound
technologies.
Improving organizations and institutions
39. Several of the organizational and institutional barriers listed
above can begin to be addressed by identifying and implementing
processes to integrate the goals of technology transfer under the
Convention within the existing framework of development, energy,
environment and natural resource development policies. Such an
integrated approach may help to ensure that technologies wanted or
applied are consistent with national or regional sustainable
development goals. Another possible step which was suggested was the
establishment of national implementing frameworks for technology
transfer (e.g. by the creation of "technology transfer desks"). A
related practical step could be the identification of best practice
models for building capacity related to technology transfer.
40. The participants also suggested the enhancement of information
sharing and networking among African focal points and between the
focal points and key national institutions, as well as the
strengthening of the capacities of national focal points to develop
and implement national programmes to promote the diffusion of
environmentally-sound technologies and know-how.
41. Various practical steps were put forward which may address
barriers which relate to the lack of a conducive enabling environment
for the development and transfer of technologies, know-how and
practices. These include:
(a) The encouragement of greater private sector
participation through incentives such as tax reforms and economic
pricing;
(b) Better protection of intellectual property rights;
(c) Removal of regulatory barriers such as those limiting grid
access for renewable energy technologies;
(d) Support to facilitate non-governmental organizations to
mobilize actions at the societal level, help secure financing, assist
in the removal of certain barriers, help raise public and political
awareness to overcome barriers such as those which are sensitive
because of vested interests, and play a role in participatory
approaches to help the rural poor; and
(e) Support to assist the development of partnerships between
the private sector and non-governmental organizations, such as joint
ventures directly with owners and producers of technologies to
increase capacity-building and technology transfer.
Strengthening human resources
42. Training was mentioned many times. Enhancing and expanding the
pool of human resources and skills necessary to identify and
implement national and regional technology transfer goals involves
the provision of appropriate training at several levels, including
the centre of government; government departments and national
utilities; the private sector; the banking and finance sector;
non-governmental organizations; and the local community.
43. Given the limited resources available for training and the wide
range of training needs, several participants supported the idea of
focusing on training at national and regional centres rather than
more expensive training programmes which are available
internationally.
44. Greater utilization of African experts from the UNFCCC roster of
experts was suggested as a way of drawing upon and building human
resources at the national and regional levels in Africa.
45. One additional suggestion which could strengthen human resources
in the long term is the introduction and/or improvement of energy
studies in scientific and educational institutions.
Overcoming technological barriers
46. A key message from the workshop was that capacity-building in
this area should reinforce the existing technological capabilities of
African countries (for example, the development and enhancement of
programmes to coordinate biomass activities, networks and projects at
the regional level). This would help to ensure that technologies are
developed with an "eye for the African market". One particularly
effective way to build on existing strengths and capacities in
different mitigation and adaptation fields could be through the
strengthening of ties between different African regional groups to
promote regionally-driven research and development and market
stimulation of environmentally-sound technologies, know-how and
practices. Such cooperation could also help to simulate more
conducive enabling environments at the regional level for such
technologies.
47. A related practical step could be activities and networking to
improve coordination among the development assistance and technical
cooperation/research and development communities and between donor
countries.
48. The development and introduction of appropriate technology and
product standards based on local conditions was identified as a way
of overcoming several technological barriers. This could encourage
the selection and implementation of environmentally-sound
technologies such as off-grid renewable energy systems.
Strengthening access to appropriate technology information
49. Participants identified a number of priorities in relation to
improving access to and dissemination of appropriate information on
environmentally-sound technologies, know-how and practices in the
African region. These included:
(a) Improving access to information available at international centres;
(b) Expanding such access to cover various kinds of information
currently not available, for example, information on the design
requirements for good investment projects, performance data, banking
and insurance information, and information on emerging
technologies;
(c) Support to assist cooperation among African countries in
sharing information on research and development, and market
simulation, for environmentally-sound technologies and know-how;
(d) Greater networking among regional information centres to
assist the transfer of solutions and approaches which have been
developed within the African region; and
(e) The expansion or establishment of national and/or regional
cleaner production centres and centres for innovation and enterprise
development or their equivalents.
50. A specific suggestion was the establishment of a "rights bank" or
pooling system for the dissemination of information on publicly-owned
environmentally-sound technologies, know-how and practices.
51. A number of participants expressed their belief that Africa has
not benefited adequately from past efforts to improve access to the
mechanisms to transfer environmentally-sound technologies and
know-how under the Convention. Many African industries and services
are small and medium-sized enterprises which to date have found it
difficult, if not impossible, to be informed of and to engage in the
intergovernmental processes under the Convention.
52. A message brought forward at the workshop confirmed that
technology transfer represents an opportunity for international
cooperation under the Convention. It was recognized that the
principles of such cooperation were neither charity nor goodwill, but
could be based on the development of strategic partnerships among
governments, the private sector and other stakeholders among the full
range of developed and developing countries. Intra-continental or
so-called "South-South" partnerships among African countries were
identified as a particularly important and potentially effective
mechanism for technology transfer.
53. The Global Environment Facility (GEF) has been testing and
demonstrating a variety of financing and institutional models for
promoting technology diffusion. A number of climate-relevant projects
have been implemented in the African region in the GEF project
portfolio for the period 1991-1999. UNDP and UNEP also presented
their relevant experiences in implementing projects in Africa; and
UNIDO presented its activities related to the development of
technology information centres.
54. A number of possible actions for multilateral institutions and bilateral donors were suggested. These actions include:
55. The role of the private sector in the context of Africa was
discussed primarily within the framework of governments
responsibility to encourage the right enabling environment. Transfers
of public funding from developed countries to developing countries
are stagnating or declining, a trend that is not likely to be
reversed in the immediate future. It is therefore necessary to make
the best possible use of existing resources and at the same time
mobilize private sector investment. However, there was limited
participation from the private sector at the workshop. The private
sector from both developed and developing countries should be given
greater encouragement to participate in future workshops and
activities.
56. Over the course of the workshop and culminating with the
discussion in the final session, many participants clearly expressed
their view that further progress towards identifying meaningful and
effective actions with the framework of the consultative process
would best be achieved by conducting the following three necessary
and important steps:
(a) Implementation of national and/or regional assessments to
identify and prioritize African countries' needs for
environmentally-sound technologies, know-how and practices;
(b) Further identification and description of specific barriers
relating to priority technologies, know-how and practices identified
by technology needs assessments and practical steps to address those
barriers; and
(c) The identification and implementation of meaningful and
effective actions that could be undertaken by relevant stakeholders
to enhance the transfer of technology under the Convention.
57. Participants were cautious about determining and agreeing upon a
set of meaningful and effective actions for Africa in the context of
the consultative process at this
stage.
58. In view of this, African
participants agreed that there is a need to continue the dialogue on
the transfer of technology. African participants proposed the
establishment of an African expert group on the transfer of
technology to continue the dialogue initiated by this workshop and
which could help to synthesize and expand upon the ideas
presented at this workshop and develop proposals for further
activities and initiatives for Africa.
59. In his concluding remarks, the
Chairman of the SBSTA welcomed the workshop as a good start to the
consultative process and noted that the experience gained from this
first workshop would be very useful for the preparation of the two
future workshops in Asia and the Pacific and in Latin America and the
Caribbean.
IN EASTERN EUROPE
14-17 July 1999
1. Technology diffusion in Eastern Europe in the context of the
consultative process referred to in decision 4/CP.4 was the theme of
a seminar organized by the Climate Technology Initiative in
cooperation with the secretariat, held in Bratislava, Slovakia, 14-17
July 1999.(4)
2. The seminar was an opportunity for experts and government
representatives from Eastern European countries to present their
views on issues related to the development and transfer of
environmentally-sound technologies and know-how in the context of the
issues and questions listed in the annex to decision 4/CP.4.
3. A selection of key messages relevant to the consultative process
emerging from the seminar is provided and summarized by the
secretariat below.
Eastern Europe has significant and in many cases advanced capacities to assess climate technology needs, and to formulate and implement climate strategies
4. Eastern European countries have significant institutional
capacities to assess their technology needs and implement climate
technology strategies. The region has a highly educated population
with highly qualified engineers. Moreover, several advanced energy
technologies have been developed in Eastern European countries.
5. The technology needs of Eastern European countries in relation to
their energy efficiency and climate goals are relatively well
understood. Technology needs were identified in a number of areas,
including energy efficiency, combined heat and power or co-generation
technologies, and renewables, including biomass technologies.
District heating systems were a frequently cited example. District
heating infrastructure in Eastern Europe is vast: approximately 200
million customers are connected to district heating systems.
Significant investment for modernization is needed. Pipes need
re-insulating, and valves and controls replacing. Sufficient
monitoring equipment is also required.
Eastern European governments are already actively pursuing improvements in energy efficiency
6. In Eastern Europe, the issue of technology transfer must be seen
in the context of the need for finance and innovative financing
arrangements for investment in energy projects. Energy efficiency is
a well-internalized goal of government. Most, if not all, Eastern
European countries have a specific ministry responsible for
overseeing energy efficiency policies.
7. Eastern Europe has gained significant experience regarding
practical examples of cooperative energy efficiency projects and
programmes, from a large number of AIJ projects (for example, in the
Czech Republic, Latvia, Slovakia and the Russian Federation). In many
cases, project evaluations emphasized the need for cooperative
approaches resulting in the sustainable transfer of skills, and
knowledge and capacities to introduce and maintain advanced energy
technologies rather than the implementation of 'turn-key' projects.
Barriers to the transfer and deployment of climate technologies play a critical role, particularly those related to acceleration of innovations in financing and legal reform
8. While many of the general set of barriers (institutional,
political, technological, economic, information, financial and
cultural) normally encountered in relation to the development and
transfer of climate-related technologies are experienced in the
region, particular emphasis was given to barriers and opportunities
related to financing and legal/policy frameworks.
9. Financing energy efficiency projects was identified as a
particularly important element of the diffusion of climate relevant
technologies in Eastern Europe. "Soft" technologies such as
information and approaches concerning financing mechanisms (rather
than hard technologies per se) was identified as especially
critical to enable the transfer of technologies.
10. In addition to financing, the lack of adequate legal and policy
frameworks also emerged as critical barriers to the enhancement of
technical cooperation and investment. The enhancement of private
sector involvement is particularly sensitive to the nature and pace
of change in the legislative and policy environment. Many Eastern
European governments are already in the process of reforming energy
laws and taxes in order to achieve their policy goals.
11. The role of government procurement policies as a means of
creating market pull for energy efficient technologies was also
highlighted.
1. At its first session, by its decision 13/CP.1, the COP decided, inter alia, "to review, at the second session of the Conference of the Parties, and at each session of the Conference of the Parties thereafter, the implementation of Article 4.5 and 4.1(c) of the Convention as a separate agenda item" (FCCC/CP/1995/7/Add.1).
2. For the full texts of decisions adopted by the Conference of the Parties at its first, second, third and fourth sessions, see documents FCCC/CP/1995/7/Add.1, FCCC/CP/1996/15/Add.1, FCCC/CP/1997/7/Add.1 and FCCC/CP/1998/16/Add.1, respectively.
3. This question is not explicitly contained in the list of issues and questions in decision 4/CP.4. However, many of the presentations and much of the discussion at the workshop raised this question as a fundamental starting point for the consultative process.
4. Climate Technology Initiative/Industry Joint Seminar on Technology Diffusion in Eastern Europe, Bratislava, Slovakia, 14-17 July 1999, co-sponsored by the European Commission DG XVII, NEDO, Japan, the US Department of Energy and USAID, in cooperation with the UNFCCC secretariat.