300R96008
   PROCEEDINGS
          VOLUME 1
           FOURTH
   INTERNATIONAL
  CONFERENCE ON
  ENVIRONMENTAL
 COMPLIANCE AND
    ENFORCEMENT
            April 22-26, 1996
          Chiang Mai, Thailand
o
V
        UNEP
          Ministry of Housing,
          Spatial Planning,
          and the Environment
          (VROM) The Netherlands
         l+l
      Environment Environnement
      Canada Canada
ENVIRONMENTAL
LAW-INSTITUTE
EUROPEAN
COMMISSION
              POLLUTION CONTROL DEPARTMENT

               THAILAND

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        FOURTH INTERNATIONAL CONFERENCE ON
             ENVIRONMENTAL COMPLIANCE  AND
                           ENFORCEMENT
                     CONFERENCE PROCEEDINGS
                                VOLUME 1
                             April 22-26,1996
                           Chiang Mai, Thailand
Editors:
Mr. Jo Gerardu, VROM, The Netherlands
Ms. Cheryl Wasserman, U.S. EPA

Executive Planning Committee:
Dr. Adegoke Adegoroye, FEPA, Nigeria
Ms. Jacqueline Alois! de Larderel, UNEP, IE
Mr. Antonio Azuela, Mexico
Ms. Susan Becker, UNDP
Ms. Vivianne Blanot, Chile
Mr. Christopher Currie, Environment Canada
Mr. William M. Eichbaum, World Wildlife Fund, U.S.
Dr. Ossama EI-Kholy, Egypt
Mr. Marius Enthoven, European Commission
Mr. J. William Futrell, Environmental Law Institute, US
Mr. Marco Antonio G6nzalez Salazar, Costa Rica
Dr. Francois Hanekom, South Africa
Mr. Steven A. Herman (Co-Chair), U.S. EPA
Mr. Jalaluddin Ismail, Malaysia
Mr. Zbigniew Kamiefiski, Poland
Dr. Pakit Kiravanich, Thailand
Mr. Sun Lin, UNEP, ELI
Mr. Robert Reiniger, Hungary
Dr. David Slater, United Kingdom
Ms. Rachel A. Vasquez, Philippines
Mr. Pieter J. Verkerk (Co-Chair), VROM,
   The Netherlands
Mr. Hongjun Zhang, People's Republic of China
Sponsors:
Environmental Protection Agency, United States
Ministry of Housing, Spatial Planning and the Environment, The Netherlands
United Nations Environment Program, IE
Environmental Law Institute, United States
Environment Canada
European Commission
Ministry of Science, Technology and Environment, Thailand

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        These Proceedings, Volumes 1 & 2,  include papers prepared by
speakers, conference participants, and other interested parties, remarks of
the opening speakers, summaries of workshop discussions, selected exhibit
materials, and the Conference evaluation  from the Fourth International
Conference on Environmental Compliance and Enforcement, April 22-26,1996,
in Chiang Mai, Thailand.
        Copyright © 1996 by the Conference sponsors:  United  States
Environmental Protection Agency; Ministry of Housing, Spatial Planning and
the Environment, The Netherlands; United Nations Environment Program, IE;
Environmental Law Institute, United States; Environment Canada; European
Commission; and Ministry of Science, Technology and Environment, Thailand.
No part of this book may be reproduced in any form or by any means without
the prior permission of the authors and attribution to the Fourth International
Conference on Environmental Compliance and Enforcement, April 22-26,1996,
held in Chiang Mai, Thailand. Use of these materials is strongly encouraged
for training and further dissemination.
        Opinions expressed are those of the authors, and do not necessarily
represent the views of their organizations.

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                 DEDICATION TO THE VICTIMS OF CHERNOBYL

        These Proceedings are dedicated to the Victims of the Chernobyl disaster, a global
environmental catastrophe. Participants were reminded of the 10th anniversary of the disaster
in the closing moments of the Fourth International Conference by Ms. Svitlana Kravchenco who
read a statement and requested a moment of silence in memory of the victims of Chernobyl who
are still bearing its consequences.

        Two million eight hundred thousand people, including more than half million children
under the age of 14, are now living in areas contaminated by the Chernobyl catastrophe despite
the fact that approximately 200,000 people and more than 2000 settlements were moved from
the contaminated zone.  150,000 people, including children, received radiation poisoning to the
thyroid, which exceeded permissible limits.  Today the Ukrainian list of Chernobyl's victims consists
of 405,576 persons,  in addition to 36,000 persons who are on the military-medical list of the
Ministry of Internal Affairs  and Security Service of Ukraine.  Diseases of the respiratory and
digestive systems, as well as the endocrine and blood circulation systems, account for a significant
percentage of the mortality rate of children living in contaminated zones. Experts now consider
that the Chernobyl disaster has created a  new epidemic called Chernobyl AICD. All children of
the Chernobyl zone have reduced immune systems.

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                                                 TABLE OF CONTENTS—VOLUME 1
                        Table of Contents—Volume 1


PREFACE	1
CONFERENCE PURPOSE AND GOALS	3
CONFERENCE PROGRAM	5
OPENING SPEECHES
 1.  Welcome and Introduction to the Conference.S. Herman	13
 2.  Evolution of Environmental Compliance and Enforcement Programs in Thailand
     and Current Challenges, H. Yingphan Manasikarn	19
 3.  Chiang Mai's Environmental Challenges, V. Naewboonnien, J. Wongburanawatt.	23
 4.  Reaching Out To Others For Effective Environmental Enforcement, M. de Boer	27


CONFERENCE PAPERS AND DISCUSSION SUMMARIES


Theme  #1:  Driving Forces Behind Environmental Compliance and Enforcement
            Programs	31

 1.  Summary of Panel Discussion of Theme  #1, Moderator: C. Wasserman, Rapporteurs:
     S. Oley,  K. Rubin	33
 2.  Driving Forces for Environmental Compliance and Enforcement: Sustainable
     Development, International Trade, Public  Pressure and  Involvement in Decision-Making
     and the Implications for Cleaner Production, Environmental Law, and Sustainable
     Development, R. Olembo	37
 7.  Implications of ISO 14001 for Regulatory Compliance, J. Casio	43
 8.  The Impact of Driving Forces on Environmental Compliance and Enforcement
     Programs—The Philippine Experience, R Vasquez	49
 9.  The Impact of Driving Forces on Environmental Compliance and Enforcement
     Programs—Example of Poland, S. Wajda	61
10.  Driving Forces for Sustainable Environmental Compliance and Enforcement
     Program in Africa with Particular Reference to Nigeria, A Adegoroye	73
11.  The Impact of Driving Forces on Environmental Compliance and Enforcement
     Programs in Mexico, A. Azuela	85

Theme # 2:  Principles of Environmental Compliance and Enforcement	95

1.    Building International Networks, Cooperation, and Capacity for Environmental
     Compliance and Enforcement: A Progress Report, C. Wasserman	97


Theme #3:  Establishing International Cooperation and Regional Networks:
            Status of Efforts Underway	133

1.    Summary Of Panel Discussion of Theme # 3, Moderator: M. Enthoven, Rapporteurs:
     S.Oley, K. Rubin	135
2.    Emerging Networks of Environmental Enforcement and Compliance Cooperation in
     NorthAmerica and the Western Hemisphere, S.A.Herman, L.I. Sperling	139
3.    Toward Establishing a Regional Network  in the West Asia/Middle East Region,
     O.A.EI-Kholy	 157

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 vi        FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

 4.   Establishing  International Cooperation and Regional Networks.D.H. Slater, A.W. James	161
 5.   Enforcement and compliance Programs in Central America, P. Madrigal Cordero	169
 6.   International Cooperation: INTERPOL, J. van Doom	 205
 7.   Transfrontier Shipments of Waste: Successes and Problems with the Enforcement
     of Supranational Legislation, R. de Krom	209
 8.   A European Enforcement Project on the Notification of New Substances (NONS);
     A Cooperative Project of 14 European Countries,/..C. van Gent	215

 Theme #4:  International Capacity Building	219
 1.   The Evolving Role of Citizens in Environmental Enforcement, S. Casey-Lefkowitz,
     W.J. Futrell, J.Austin, S. Bass	221
 2.   International Capacity Building for Industrial Compliance and Enforcement —
     The UNEP Experience, J. Alois! de Larderel, J.H. Skinner	237
 3.   UNEP's Role in Capacity Building in Environmental Law.D. Kaniaru, L  Kurukulasuriya	243
 4.   International Capacity Building for Environmental Compliance and Enforcement,
     S. Becker	255
 5.   World Bank Supported Environment Institution Building Investments,.;.  Aden	275

 Theme # 5: Institution Building: UNEP Workshops	281
 1.   Synopsis of UNEP Manual on Institution Building	283
 2.   Synopsis of Organizational Design Issues: A Comparison of International
     Compliance and Enforcement Programs	285
 3.   Synopsis of Financing Environmental Compliance and Enforcement Programs	286

 Theme # 6: Special Topic and Institution-Building Workshops	287
 Special Topic Workshop A: Automation and  Enforcement: Available  Support
     Systems	289
 1.   Information Systems to Support Compliance and Enforcement, C.R. Galloway	291
 Special Topic Workshop B: Strategic Targeting for Enforcement	317
 1.   Summary of Workshop: Strategic Targeting For Enforcement, Facilitators:  C. Currie,
     K. Prosser, rapporteur: C. Cocault	319
 2.   Strategic Targeting for Compliance and Enforcement, R. F. Duffy	285
 Special Topic Workshop C: Integrated Permitting and Inspection	333
 1.   Summary of Workshop: Integrated Permitting and Inspection Facilitators: J. Skinner, C.
     Wasserman,  Rapporteur: J. Mozingo	335
2.   Innovative Multi-media Compliance, Enforcement and Pollution Prevention
     Approaches to Environmental Compliance at Federal Facilities in the
     United States of America, R. B. Cheatham, J.R. Edward, W.H. Frank, R.J. Satterfield	341
Special Topic Workshop D: Compliance Monitoring	379
 1.   Summary of Workshop: Compliance Monitoring, Facilitators: J. Blenkers, H. Laing,
     J. Skinner, Rapporteur: J. Jeffery	381
2.   Institutional Strengthening and Capacity Building in the  Field of Environmental
     Inspection and Enforcement in Denmark, G. Nielsen	385
3.   Synopsis of International Comparison of Source Self-Monitoring,  Reporting,
     and Recordkeeping Requirements	393

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                                                  TABLE OF CONTENTS—VOLUME 1      vn
4.    Synopsis of Multi-media Inspection Protocols: International Examples	394
5.    Synopsis of Course: Conducting Multi-media Inspections	395
Special Topic Workshop E: Promoting Voluntary Compliance: Environmental
     Auditing, Outreach, and Incentive Programs	397
1.    Summary of Workshop: Promoting Voluntary Compliance: Environmental Auditing,
     Outreach, Incentive Programs, Facilitators: M. Olman, L Rimer, Rapporteur: D. Novak	399
2.    Legal Marketing of Environmental Law: The Philippines Experience^. Oposa	405
3.    The Mexican Environmental  Audit as a Voluntary Norm.J. Calderon	419
4.    Dutch Industrial Target Group Approach: An  Enforcement Study on the
     Voluntary  Environmental Agreement with Petrol Stations,H.R Staats	427
5.    Stimulating Voluntary Compliance:  New Policy Directions in the United States:
     The Minnesota  Experience,/!. Paddock	439
6.    Encouraging Voluntary Compliance without Compromising Enforcement:
     ERA'S 1995  Auditing Policy, E.S. Schaeffer	451
7.    Dutch Industrial Target Group Approach: A National Enforcement Study
     on the Voluntary Environmental Agreement for the Wood Preservation Industry,
     W. Huurdeman	461
Special Topic Workshop F: Measures of Success	479
1.    Summary of Workshop: Measures of Success, Facilitators: J. Peters, C. Wasserman,
     Rapporteur: J. Mozingo	481
2.    Measuring the Success of Compliance and Enforcement Programs,/1?. F, Duffy	489
Special Topic Workshop G: Communications and Enforcement	503
1.    Summary of Workshop: Communications and Enforcement, Facilitators: R. Glaser,
     J.C.M. Veenman, J. Wise, Rapporteur: J.J. van Klaveren	505
Special Topic Workshop H: Public Role in Enforcement: How to Go About Creating
     and Supporting Effective Citizen Enforcement	509
1.    Summary of Workshop: Public Involvement in Enforcement, Facilitators: M. Axline,
     J. van Dijk, Rapporteur: S. Casey-Lefkowitz	511
2.    Environmental Enforcement  and Public Advocacy in Ukraine.S. Kravchenko	515
3.    Intergenerational Responsibility in the Philippine context as a Judicial Argument for
     Public Action on Deforestation, A Oposa	521
4.    Role of Public Participation in Enforcement, G. Sarmiento	527
Special Topic Workshop I: Criminal Enforcement:  INTERPOL, Role of Criminal
     Enforcement in Environmental Enforcement	529
1.    Summary of Workshop: Criminal Enforcement Role in Environment, Facilitators:
     T. Bispham, J. van Doom, Rapporteurs:  J. Gras, L Sievers	531
2.    The Environmental Task of the Police: 1990-1994, L Sievers, M.J. Horstman	535
3.    The Environmental Task of the Police: 1995-1998, L Sievers, M.J. Horstman	 547
4.    Environmental Duties of the  Police in The Netherlands,/.. Sievers	559
5.    Oregon's  Experience in Developing and Implementing a State Environmental
     Crimes Program, T. Bispham, H. Duncan, L.  Carlough	565
6.    Targeting  and Criminal Enforcement, A de Lange	577
7.    The Environmental Criminal  Justice in China, S. Wang	583
8.    The Netherland's Manual: Investigations of  Complex Environmental Offenses,
     C. vanKooten	591

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VIM       FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


Special Topic Workshop J: Enforcement of Economic Instruments	595
1.   Summary of Workshop: Enforcement of Economic Instruments, Facilitators:
     J. van den Heuvel, J.Rothman, J. Wise, Rapporteur: D. Novak	597
2.   Enforcement of Pollutant Discharge Fee in China,/-/. Baolin	601


                         Table of Contents—Volume 2


Special Topic Workshop K: Take-Back Laws Enforcement	609

Special Topic Workshop L: Creating Enforceable Permit Programs and Requirements:
     Discussion Focus on Water Pollution and contamination of Drinking Water
     Supplies	611
1.   Summary of Workshop: Creating Enforceable Permit Programs and Requirements:
     Discussion Focus on Water Pollution and Contamination of Drinking Water Supplies,
     Facilitators and Rapporteurs: P. van Erkelens, L Crerar.	613
2.   The Pollution of Surface Waters Act in The Netherlands:  A Story of Successful
     Enforcement,  P. van Erkelens, M. Olman	617
3.   The Enforcement of Drinking Water Quality in The Netherlands, J. Lijmbach-Hendrikx	625
4.   Potassium and Nitrate Pollution of Surface Water in the Catchment Area of the "Blankaert"
     Water Production Centre in Flanders (Belgium),/?. Baert, R. Loontiens, M. Devos	635
5.   Protecting Drinking Water Quality Through the Clean Water Act and the Safe  Drinking
     Water Act, B. Devlin	643

Special Topic Workshop M:Transboundary Illegal Shipments of Hazardous Waste;
     Tricks of the Trade	655
1.   Summary of Workshop: Transboundary Illegal Shipments of Hazardous Waste;
     Tricks of the Trade, Facilitators: F. Kesselaar,  J. Rothman, Rapporteur: R. Sturges	659
2.   A United States Perspective on Transboundary Investigations: Recent Cases  and
     Essential Strategies for Interdiction of International Environmental Crime,£.£ Devaney,
     M. J. Fenders	663
3.   The International Control of Transboundary Illegal Shipment of Hazardous Wastes:
     A Survey on Recent Cases Happened in China.X. Wang	673
4.   Regional Action Program and Guidelines to Prevent Illegal Traffic in Hazardous Wastes
     in the Asia-Pacific Region, AS. Tolentino,  Jr.	685
5.   Illegal transports of Waste: Tricks of the Trade, L.C. Blanker	697
6.   Transboundary Illegal Shipments of Hazardous Waste, Toxic Chemicals (Pesticides)
     Contraband Chlorofluorohydrocarbons: The Nigerian Experience./W.IOdube/a,
     O. Soyombo, F.Adegbite, K. Ogunbuyi.	705
7.   Cradle-To-Grave Compliance Tracking of U.S./Mexico Transboundary Hazardous Waste:
     The Haztraks Tracking System, S. Coleman, J.V. Schultes	711
8.   Synopsis of Transboundary Trade in Potentially Hazardous Substances	733

Special Topic Workshop N: Montreal Protocol: Enforcement of Chlorofluorocarbons
     (CFC) and Related Requirements	735
1.   Summary of Workshop: Montreal Protocol: Enforcement  of Chlorofluorocarbons (CFC)
     and Related Requirements, Facilitators: H. Kesselaar, I. Moreno, Rapporteur:  R. Sturges.... 737
2.   Regulations to Implement Montreal Protocol: Guatemala Country Program,
     J.M. Del Valle,  H. Figuerora	741

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                                                  TABLE OF CONTENTS—VOLUME 2      ix
3.    Evaluation of Three Years enforcement of the Chlorofluorocarbons (CFC) Regulations
     in The Netherlands, G.A.H. Tijink, J.P. Comet	747

Special Topic Workshop O: Enforcing Domestic Programs Implementing International
     Agreements	753
1.    Environmental Compliance and Enforcement: A Case of Nepal.K.R OH	755

Special Topic Workshop P: Collaborative International Targeting of Enforcement	777

Special Topic Workshop Q: Organizing and Financing Programs	779
1.    Summary of Workshop: Organizing and Financing Programs.Fac/'Wator R. Glaser, L
     Paddock, Rapporteur: K. Rubin	781

Special Topic Workshop R: Enforcement Policy and Authorities	785
1.    Summary of Workshop: Enforcement Policy and Authorities, Facilitators and
     Rapporteurs: M. Gade, J. Peters	789
2.    Compliance Program Innovations in Polish Environmental Law.Z Kamienski	793
3.    Compliance Agreements for Environmental  Risk Management in the Czech Republic,
     H.Cizkova	809

Theme # 7:  Making Progress: Regional Examples,  Capacity-Building Agenda, International/
            Regional Networks	817

1.    Africa Regional Meeting Summary	821
2.    Americas Regional Meeting  Summary	827
     •  Oaxaca Declaration	840
     •  Proceedings from Managua Meeting: Creation of the Central American Enforcement
       Network	843
3.    Southeast Asia-Pacific Regional Meeting Summary	851
4.    South Asia Regional Meeting Summary	865
5.    Central and Eastern Europe Regional Meeting Summary	869
6.    West Asia/Middle  East Regional Meeting Summary	873
7.    Western Europe Regional Meeting  Summary	875
8.    Information Sharing as an Environmental Policy Tool: The Indonesian  Experience,
     N.Makarim, J.Butler	881
9.    The City of Kitakyushu's Experience Concerning the Implementation of
     Countermeasures for and Compliance  with Environmental Protection Legislation,
     R.Hitsumoto	893
10.  A Survey of Environmental Law and Enforcement Authorities in China, Y.Zhao	903
11.  Enforcement of Legislation on Genetically Modified Organisms in The  Netherlands,
     /. van der Leij, M.S. Thijssen	923
12.  Environmental Laws, Capacity Building and Compliance Monitoring --
     The Hong Kong Experience, J.E. Boxall, W.F.S. Ho, C.K. Lei, C.W. Tse	931
13.  Enforcement Problems with  Radioactive Material in the National and International
     Trade in Metal and Metal Scrap, G.M. Breas and P.I. van der Vaart	949
14.  Some Environmental and Enforcement Issues Relating to the Siting of a Medium Scale
     Steel Mill on the Shores of the Manukau Harbor, Auckland, New Zealand.C. Hatton	955
15.  Enforcement Strategies of the Israel Ministry of the Environment, R Rotenberg	963
16.  Development and Enforcement of New Armenian Environmental Protection Legislation:
     Problems and Solutions, V. Ter-Nikghosyan	971

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         FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
17.  Features of Licensing and Control of Environment in Romania,/.D. Vasilescu	983
18.  From Environmental Planning to Enforcement: A Case Study from Egypt,
     T.M. Genena	991
19.  El Salvador's Experience in the Design of Environmental Programs,
     G. Navarrete Lopez	997
20.  The Role of Goals, Steps and Content of Comprehensive Compliance Programs
     in Achieving Environmental Compliance and Enforcement in Romania.Q Popescu	1003
21.  Thailand's Environmental Enforcement Program, K. Homchean	 1013
22.  The Range of Legal Enforcement Tools in Lithuania and Problems.D. Lygis	1021
23.  Licensing and Enforcement at Municipal and Provincial Level in North Brabant:
     Developments in Recent Years, J. Blenkers,  N. Dols, P. vander Linden	1025
24.  An  Integrated Approach to Environmental Enforcement -- A Case Study.B.  Baron	1043
25.  Compliance and Enforcement Programs on  Residual Waters, Case Study:
     Costa Rica's Grande deTarcoles River, M.A. Gonzalez Salasar	1049
26.  Development and Implementation of Information  Exchange  by Enforcement
     of Environmental Legislation, J. van Dijk	1069
CLOSING REMARKS FOR THE FOURTH INTERNATIONAL CONFERENCE ON
     ENVIRONMENTAL COMPLIANCE AND  ENFORCEMENT, S.A. Herman, P.J. Verkerk	 1077
CONFERENCE EVALUATION	 1091
PARTICIPANT LIST	 1105
PARTICIPANT LIST BY COUNTRY	 1123
MEMBERS OF THE EXECUTIVE PLANNING  COMMITTEE	 1137
EXECUTIVE PLANNING COMMITTEE STAFF	 1142
ACKNOWLEDGMENTS	 1143

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FOURTH INTERNATIONAL CONFERENCE ON
   ENVIRONMENTAL COMPLIANCE AND
          ENFORCEMENT

            VOLUME 1

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                                                                        PREFACE    1
PREFACE

These Conference Proceedings contain papers solicited from the speakers, participants and other
interested parties for the Fourth International Conference on Environmental Compliance and
Enforcement held April 22-26,1996 in Chiang Mai, Thailand. Additional papers that were not available
at the conference are also included in Volume 1 or 2 of these Proceedings. The Proceedings will be
widely disseminated to all conference participants, other country environmental officials and NGOs
throughout the world, and also will be accessible through the internet's world wide web.

The Fourth International  Conference is part of an ongoing international collaboration to develop
domestic environmental enforcement programs in different settings that can effectively achieve
widespreadcompliancewith each nation'senvironmentalrequirements. The Conferencealso sought
to strengthen the ability of each  nation to carry out domestic programs related to international
environmental agreements.  The  Fourth Conference builds on the first International Enforcement
Workshop held in Utrecht, The Netherlands, in May 1990, the second International Conference on
Environmental Enforcement held in Budapest, Hungary, in September 1992 and, the Third International
Conference on Environmental Enforcement held in Oaxaca, Mexico, in April 1994.

The Fourth International  Conference sought to catalyze efforts to build institutional capacity for
environmentalcomplianceand enforcementto both enhance existing and develop new environmental
enforcement programs - a challenge for all nations. The Conference built on the frameworks and
resource materials developed at the previous conferences and continued to introduce new materials
that offer more hands-on information comparing and contrasting different approaches to important
compliance program  elements. The  Conference  program stressed the driving  forces behind
compliance and enforcement program development: sustainable development, international trade
and economics, and increasing public pressure and involvement in decision-making  concerning
activities with significant environmental impacts. It highlighted and offered stepped-up support for
capacity building by fostering regional and international networking, cooperation, and dialogue on
common problems. The  Conference  program continued  the  successful format of the Oaxaca
Conference, emphasizing hands-on workshops that offer practical applications in the fundamental
principles  of  environmental  compliance and enforcement and  in designing enforcement and
compliance programs. Fourteen new and ongoing special topic workshops were structured around
issues  addressed in papers solicited from experts in the field.  Results of the small workshop
discussions are summarized to capture current thinking and experience on the subject. Special
exhibits further promoted  the exchange on these topics.

The Executive Planning Committee for the Conference devoted much time and effort to design a
Conference to offerthe greatest opportunity for useful exchange and practical information for individuals
both within and outside government who can influence the successful design and implementation of
enforcement programs. Additional information about the Conference and resource materials can be
obtained by contacting the Staff or members of the Executive Planning Committee. On behalf of the
Executive Planning Committee, we look forward to your continued and productive use of these
Conference materials.

Editors:

Mr. Jo Gerardu                          Ms. Cheryl Wasserman
Deputy Director, Enforcement Division      Associate Director for Policy Analysis
Inspectorate for the Environment           Office of Environment and
VROM                                  Compliance Assurance
The Netherlands                         U.S. EPA

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FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                CONFERENCE PURPOSE AND GOALS
CONFERENCE PURPOSE AND GOALS

        The Fourth International Conference on Environmental Compliance and Enforcement was
held in Chiang Mai, Thailand, April 22-26,1996. The Conference built on the work of the first three
International Conferences. Each Conference has, in turn expanded its sponsorship, participation,
and scope to reach an ever-broadeningaudienceand to develop more extensiveand useful materials
and frameworks for exchange.

Promote the Importance of and Underscore the Driving Forces Behind Effective
Environmental Compliance and Enforcement

        These Conferences respond to the urgency of addressing environmental concerns both
domestically and on a global scale  and to the increasing recognition by government and
nongovernment officials of the critical role that environmental compliance and enforcement plays in
ensuring an effective response. Growing interest in environmental compliance and enforcement
stems from a desire to ensure that environmental requirements lead to real improvements in
environmental quality. Environmental enforcement - broadly defined as the range of actions
governments and others  may take to encourage and compel compliance with environmental
requirements - is critical to achieving environmental objectives.
        Effective domestic environmental compliance and enforcement programs are an important
factor in global efforts to reduce international trade barriers and enhance economic development in
a manner that does not create unfair competition or pressure to diminish environmental quality and
stewardship of valuable natural resources. Effective enforcement also can provide an element of
fairness to the regulatory process, instill credibility to government institutions, and  prevent short-
term economic competition among regions and between facilities that might undermine longer-term
economic and environmental goals for a sustainable future.

Foster Institutional Capacity to Enhance Existing and Develop New
Environmental Compliance and Enforcement Programs

        The Fourth International Conference on Environmental  Compliance and Enforcement
focused on building the institutional capacity for enhancing existing and developing new domestic
environmental  compliance  and enforcement programs.  The United Nations Conference on
Environment and Development (UNCED), held in  Rio de Janeiro in June 1992, produced an
international agenda, Agenda 21, which firmly states that effective environmental compliance and
enforcement programs are a  key element of environmental management and which recognizes the
need to build institutional capacity for effective enforcement in each nation's environmental program.
The Fourth International Conference on Environmental Compliance and Enforcement was designed
to help all nations achieve the objectives of this international agenda.
        The Conference program provided the potential and opportunity for nations to establish
consensus around priorities for capacity building within and across regions of the world and facilitate
access to international support. It also included topics and workshops to meet the needs of those
just beginning to develop programs and those with existing programs seeking to improve them.

Serve All Stakeholders Influencing the Design of Environmental Compliance and
Enforcement Programs

        The target audience for the Conferences is enforcement officials and policy-makers both
within and outside government who are in a position to influence the design or enhancement of
environmental compliance and enforcement programs. Within government the Conference sought
representation from national, regional, and local governmental units responsible for both the legal

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          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
and technical aspects of environmental compliance  and enforcement at the mid- to senior-
management levels. It also involved selected nongovernmental organizations (NGOs) and industry
representatives.

Encourage Ongoing International Exchange and Regional Networking

        The Conference program encourages follow-up beyond the Conference itself in several
ways. The program highlighted international as well as regional resources and networking designed
to help nations address common challenges and priorities and offer potential models for nations
within all regions to support each other in these efforts. The program sought to establish consensus
around an international agenda for capacity building that will help to guide limited resources to greatest
advantage. The program included opportunities for nations within different regions of the globe to
explore how they can build on existing collaborative internationalarrangementsto provide accelerated
progress  and cooperation in environmental compliance and enforcement. Conference participants
were drawn from all regions, with a special emphasis on Asia and the Pacific to take advantage of
the Conference'slocationand the opportunitiesit presents to promote greater internationalexchange
and regional  networking among countries in Asia and the Pacific.

Foster Exchange of Expertise and Learning Through Active Participation

        The Conferences are structured to provide ample opportunity for participants to form
professional networks and to learn through active participation. In addition to open discussion during
plenary sessions and workshops of fewer than 25 participants on the second, third, and fourth days,
there were regional meetings and informal opportunities for exchange around exhibits and related
Conference events.

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                                                         CONFERENCE PROGRAM
CONFERENCE PROGRAM

  APRIL 21,1996     Welcome Reception and Registration

      15:00-18:00     Registration
      17:00-18:00

       DAY ONE
  APRIL 22,1996

      08:00-08:30

      08:00-18:00
               Reception

               PLENARY SESSION


               Registration—Late Arrivals

               Exhibits (throughoutthe Conference)
                   Video Displayson Training, Compliance Promotion
               •    Inspection,InspectorTraining.ComplianceMonitoringEquipment
                   Exhibits
                   Computer Applicationsand Internet Displays
                   International Program/Regional/Countrylnformation

08:30-09:30     Welcome and Opening Remarks

               Day Chair: Mr. Steven Herman, Assistant Administrator, Office of
               Enforcement and Compliance Assurance, U.S. EPA

               Co-Chair: Mr. PieterVerkerk, Inspector General, VROM.The Netherlands

               Opening Speeches

               Mr. Steven Herman, Assistant Administrator, Office of Enforcement and
               Compliance Assurance, U.S. EPA
                   I mportance of I nternational Exchange

               Governor Virachai Naewboonien, Chiang Mai Province, Thailand with Mr.
               Jakapan Wongburanawatt, Dean of Social Science Faculty, Chiang Mai
               University
                   Chiang Mai's EnvironmentalChallenges

               MinisterYingpanManasikarn,Ministry of Science,Technologyand the
               Environment
               •    Evolution of Environmental Compliance and Enforcement Programs in
                   Thailand and Current Challenges

               MinisterMargarethade Boer, Ministry of Housing, Spatial Planning and the
               Environment (VROM),The Netherlands, delivered by Mr. PieterVerkerk,
               InspectorGeneral
                   Reaching Out to Others for Effective Environmental Enforcement

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    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Theme #1:     Driving Forces Behind Environmental Compliance and En-
               forcement Programs


 09:30-10:00     Key note Address

               Speaker#1: Mr. Reuben Olembo, Deputy Executive Director, United
               Nations Environment Program (UNEP)
                   Driving Forces for Environmental Compliance and Enforcement:
                   Sustainable Development, InternationalTrade, Public Pressureand
                   Involvementin Decision-Makingandthe Implicationsfor Cleaner
                   Production, Environmental Law, and Sustainable Development


 10:00-10:30     Break/Press Conference


Theme #2:     Principles of Environmental Compliance and Enforcement


 10:30-11:10     Speaker#2: Ms. Cheryl Wasserman, Associate Directorfor Policy
               Analysis, Office of Enforcement and Compliance Assurance, U.S. EPA
                   Defining Compliance and Enforcement
                   General Framework for Compliance and Enforcement

               The Impact of Driving Forces on Environmental Compliance and
               Enforcement Programs

 11:10-12:30     Moderator: Ms. Cheryl Wasserman

               Panel Discussion:
                   Industry Representative: Dr. Dorothy Bowers, U.S. Technical Advisory
                   Group to I S014000
                   Philippines: Ms. Rachel Vasquez, Assistant Director, Environmental
                   Management Bureau
                   Mexico: Mr. JavierCabrera Bravo, General Directorfor International
                   Affairs, PROFEPA
                   Poland: Mr. StanislawWajda, Legal Advisor, EC Phare Program,
                   Ministry of Environmental Protection
 12:30-14:00
Lunch

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                                                     CONFERENCE PROGRAM
Theme #3:      Establishing International Cooperation and Regional Net-
                works:  Status of Efforts Under Way


 14:00-15:30      Moderator: Mr. Marius Enthoven, Director General Environment, European
                Commission

                Panel Discussion:
                    INTERPOL:  Mr. Jan van Doom, Chief, Environmental Crime Unit,
                    INTERPOL
                    Americas: Mr. Steven Herman, Assistant Administrator, Office of
                    Enforcement and Compliance Assurance, U.S. EPA
                    European Union:  Mr. David Slater, Director, Pollution Prevention and
                    Control, Environment Agency, United Kingdom
                    Asia and Pacific: Mr. Virah Mavichak, Director of Industrial
                    Environment, Division of Industrial Works Department, Thailand
                    West Asia/Middle East: Dr. Ossama EI-Kholy, Senior Advisor,
                    Egyptian Environmental Affairs Agency, Egypt


 15:30-16:00      Break

Theme #4:      International Capacity Building


 16:00-17:00      Speaker#3: Mr. Lai Kurukulasuriya, Chief, Regional Environmental Law
                Program, UNEP
                •    Environmental Law

                Speaker#4: Mrs. Jacqueline Aloisi de Larderel, Director, UNEP, IE,
                delivered by Mr. John Skinner, Senior Advisor
                    UNEP Capacity-Building Workshops for Industrial Compliance

                Speaker#5: Mr. J. William Futrell, President, Environmental Law Institute
                    Public/Citizen Participation: NGO Efforts

                Speaker #6: Ms. Susan Becker, Environmental Management Advisor,
                Sustainable Energy and Environmental Division, UNDP
                    Regional and Country Action Plans; Capacity 21

                Speaker#7: Ms. Jean Aden, Institutional Specialist/ EA Coordinator,
                Environment and Natural Resources Division, Asia Technical Department,
                World Bank
                    World Bank Supported Environmental Institutional Building
                    Investments
 17:00-17:30      Instructions on Principles/Other Workshops, given by Cheryl Wasserman
                Instructions on the UNEP Workshops, given by Rob Glaser
      19:30      Dinner Hosted by Conference Sponsors

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         FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
     DAY TWO
APRIL 23,1996
     08:30-10:45




     10:45-11:15


     11:15-12:30


     12:30-14:00


     13:30-15:30


     15:30-16:00
WORKSHOPS ON PRINCIPLES OF ENVIRONMENTAL
COMPLIANCE AND ENFORCEMENT

Day Chair: Mr. PieterVerkerk.lnspectorGeneral.VROM, The Netherlands

In small groups, workshop participants used case studies to explore the
principles of environmental enforcement. Participants chose preferred
case study subject matter:

Coal Burning/Sulfur Dioxide Problems
Mining
Petrochemical/Refining
Deforestation
Residential and Industrial Waste
Tourism
Transboundary Illegal Shipments of Hazardous Waste, Toxic
    Chemicals (Pesticide), Contraband

Using facilitated discussion and exercises, each workshop covered:
designing a managementapproach; designing enforceable requirements;
setting priorities; balancing compliance promotion and enforcement
response; inspection strategies; defining enforcement response and
evaluating results and responding to change. Also, each workshop
included a role-playing exercise to demonstrate a process for resolving
alleged violations involving complex economic, social and technical issues
and uncertainties. Roles included enforcement officials, industry
representatives, community activists, employees and others. Case study
materials also provided information on environmental problems, pollution
control and prevention approaches and their cost-effectivenessand
sources of information

Concurrent Workshops: Designing Management Approaches,
Enforceable Requirements, and Effective Compliance and
Enforcement Strategy

Break

Concurrent Workshops (continued)

Lunch

Concurrent Workshops: Resolving a Complex Enforcement Problem

Break

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                                                         CONFERENCE PROGRAM
     16:00-18:30

          18:30
   DAYTHREE
APRIL 24,1996
     10:30-12:30
      Theme #5
Concurrent Workshops (continued)

Cultural Event: Traditional Khantoke Dinner and Show at the Old Chiang
Mai Cultural Center, hosted by the Thailand Pollution Control Department

REGIONAL MEETINGS/UNEP INSTITUTION-BUILDING
WORKSHOPS

Day Chair: Mr. Steven Herman, Assistant Administrator, Office of
Enforcement and Compliance Assurance, U.S. EPA
Participants met in regional groups to discuss country programs and
progress, shared problems and challenges, institution-buildingneeds,
opportunitiesfor institutional support and exchange, proposals for regional
networking,desired linkage to internationalcapacity-buildingeffortsand
targets of opportunity. They were also provided and overview of four United
Nations Environmental Program (UNEP) institution-buildingworkshopson
organizing compliance and enforcement programs, developing human and
financial resources, designing permitting processes, and compliance
monitoring and enforcement responses programs.

Regional Meetings and Institution Building: UNEP
Workshops

Africa
Americas
South Asia
Southeast Asia and Pacific
Central  and Eastern Europe
West Asia and the Middle East
Western Europe
      12:30-13:30     Lunch

      13:30-15:00     Concurrent Regional Workshops

      15:00-15:30     Break

      15:30-17:45     Concurrent Workshops (continued)

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10
FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
     DAYFOUR
APRIL 25,1996
     Theme #6


     09:00-12:00
     12:00-14:00


     14:00-17:00
           SPECIAL TOPIC WORKSHOPS
           Day Chair: Mr. Pieter Verkerk, InspectorGeneral, VROM, The Netherlands

           Participants had an opportunity to attend two of fourteen workshop
           offerings. Facilitatorsensured that workshops provided opportunitiesfor
           active discussions with contributions by all workshop participants and for
           exploration of a range of issues defined for the topic. Participants in each
           workshop discussed these issues and contributed to the development of a
           paper reflecting discussions and consensus. The Executive Planning
           Committee solicited papers from participants with experience on these
           subjects and these individuals provided background information when
           needed during the workshop sessions.

           Special Topic and Institution-Building Workshops
           ConcurrentSpecialTopicandlnstitution-BuildingWorkshops:
           Strategic Targeting

           Integrated Permitting and Inspection
           Promoting Voluntary Compliance: Environmental Auditing, Outreach,
              and Incentive Programs
           Public Role in Enforcement: How to Go About Creating and
              Supporting Effective Citizen Enforcement
           Criminal Enforcement: INTERPOL,  Role of Criminal Enforcement in
              Environmental Enforcement
           Enforcement of Economic Instruments
           Creating Enforceable Permit Programs and Requirements:
              Discussion Focus on Water Pollution and Contamination of
              Drinking Water Supplies
           Transboundary Illegal Shipments of Hazardous Waste: Tricks of the
              Trade
           Organizing and Financing Programs

           Lunch


           ConcurrentSpecialTopicandlnstitution-BuildingWorkshops:

           Strategic Targeting
           Compliance Monitoring
           Promoting Voluntary Compliance: Environmental Auditing, Outreach,
              and Incentive Programs
           Measures of Success
           Communicationsand Enforcement

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                                                      CONFERENCE PROGRAM   11
                   Public Role in Enforcement: How to Go About Creating and
                      Supporting Effective Citizen Enforcement
                   Criminal Enforcement: INTERPOL, Role of Criminal Enforcement in
                      Environmental Enforcement
                   Enforcement of Economic Instruments
                   Creating Enforceable Permit Programs and Requirements:
                      Discussion Focus on Water Pollution and Contamination of
                      Drinking Water Supplies
                   Montreal Protocol: Enforcement of CFC and Related Requirements
                   Enforcement Policy and Authorities
     DAY FIVE
APRIL 26,1996
     09:00-10:00
     10:00-10:30

     10:30-12:00

     12:00-13:30
REGIONAL MEETINGS/PLENARYSESSION

Day Chair: Mr. PieterVerkerk.lnspectorGeneral.VROM, The Netherlands

Concurrent Regional Meetings (continued from Day Three)
   Africa
•   Americas
   South Asia
   Southeast Asia and Pacific
   Central and Eastern Eu rope
   West Asia and the Middle East
   Western Europe

Break

Concurrent Regional Meetings (continued)

Lunch

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12
FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
     Theme #7:     Making Progress: Regional Examples, Capacity-Building
                    Agenda, International/Regional Networks
     13:30-15:30     Plenary session highlighting country examples of success and program
                    improvements since the last Conference based upon written reports for the
                    proceedings and discussions at the regional meetings, conclusions of
                    regional meetings on shared problems, future cooperation, and capacity
                    building.

                    Moderator: Mr. David Slater, Director, Chief Inspector, Her Majesty's
                    Inspectorateof Pollution, England and Wales.

                    Speakers selected by Day Three regional meeting participants.
                    •   Africa
                    •   Americas
                        South Asia
                    •   SoutheastAsia
                        Central and Eastern Europe
                        West Asia and Middle East
                    •   Western Europe

                    Discussion Session:
                        Whereto Next: International and Regional Networking for Successful
                        Environmental Compliance and Enforcement

     15:30-16:00     Closing Session:

                    Day Chair: Mr. PieterVerkerk.lnspectorGeneral.VROM,The Netherlands
                    Co-Chair: Mr. Steven Herman, Assistant Administrator, Office of
                    Enforcement and Compliance Assurance, U.S. EPA

     16:00-16:15     Press conference

     16:00-17:00     Closing Reception

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                                                          HERMAN, STEVEN A.    13
WELCOME AND INTRODUCTION TO THE CONFERENCE

HERMAN, STEVEN A.

Assistant Administrator, Office of Enforcement and Compliance Assurance,  U.S.
Environmental Protection Agency, 401 M Street SW, (MC-2211 A)  Washington, D.C.
20460, USA
        Ladies and gentlemen, Minister Yingpan Manasikarn, GovernorVirachai Naewboonien,
Honorable Reuben Olembo, honored speakers, and panelists, on behalf of my co-chair, Mr.
Pieter Verkerk and our Executive Planning Committee, it is my privilege to welcome you to the
Fourth International Conference on Environmental Compliance and Enforcement.
        Six years ago, the first international conference on environmental compliance and en-
forcement was held in Utrecht, The Netherlands, and was attended by approximately 20 coun-
tries. Since that auspicious beginning, conferences have been held in Budapest, Hungary, and
in Oaxaca, Mexico - with each conference growing in both size and stature.
        Here in Chiang Mai, Thailand, 100 countries and international organizations are repre-
sented, making this the largestinternationalenvironmentalenforcementand compliance confer-
ence ever.
        The tremendous growth we have seen in the participation at these conferences reflects
an increased awareness world-wide that environmental pollution affects us all. It affects our econo-
mies, our productivity, and our health and overall quality of life. And most of all, it affects these
things for generations to come.
        Each one of our countries, to varying degrees, has laws which govern sources of pollu-
tion. Through the enforcement of these laws, and through finding ways to ensure full compliance
with their mandates, we can curb environmental degradation.
        That is what brings us here to Thailand for this conference.
        Look around you. It is the caliber of the participants and the quality of the dialogue that
made the last Conference in  Oaxaca stand out in my experience as one of the most inspiring
moments in my service as head of environmental enforcement for the U.S. Environmental Pro-
tection Agency. This conference gives us all an opportunity to get to know and work with our
environmental enforcement colleagues from around the world on what is a great and complex
mission - to achieve environmental protection inside and outside of our countries' borders through
compliance with our environmental laws. Indeed, we must even look beyond compliance to pre-
vent pollution before it occurs.
        In orderto accomplish these objectives, we must rely upon many enforcementand  com-
pliance related tools. Strong and aggressive enforcement responses are often necessary to
punish polluters, prevent future violations, and provide the very means for cleaning up the  envi-
ronment and protecting the health of our people. Compliance also depends on our ability to
encourage change in the face of what, to some people, may seem to be competing economic
and social goals. It is our task to respond to the demands of the public for environmental protec-
tion, environmentaljustice, and environmentalquality, for these go hand in hand with sustainable
growth and responsible development. And we must do so with an economy of resources, as our
budgets are not limitless.
        In the United States, these past two years has been a time of change - within our envi-
ronmental programs overall, within our enforcementand compliance programs in particular, and
within the overall political landscape. And I can say without a doubt that my past 3 years at

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14      FOURTH INTERNATIONAL CONFERENCE ON  ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


Environmental Protection Agency have been the most tumultuous in my 19 years of Federal
service. Indeed, for the first time in more than twenty-five years, the previously unquestioned role
that the government must play to ensure environmental protection was challenged. Attempts
were made to undercut regulatory authority, and to slash Environmental Protection Agency's
budget.
        This debate continues in our government, even as I speak today. But throughout this
debate there has been one resounding constant, from which there cannot be a greater motiva-
tion for the work we do - the people of our nations want protection from pollution, and demand
enforcement of our environmental laws to ensure that they receive that protection. The American
public's expectation of protection from environmental hazards drives our enforcement and com-
pliance program. It gives clarity to our mission. I know that the people of your countries share
those views.
        And the overwhelming support of our respective populations is our ultimate strength.
        We know that environmental enforcement and compliance works. In the United States,
the enforcement and compliance program relies upon everything at its disposal to make it work
- strong criminal and civil cases, swift administrative actions, policies and programs which pro-
vide incentives for companies and government agencies to voluntarily step up to the mark to
confront their environmental problems, and assistance for businesses to help them understand
the laws and regulations with which they have to comply. These efforts are rooted in the simple
principle that polluters must be held accountable for their actions.

        And examples of our successes in these efforts abound:

        •  As a result of an enforcement action against General Motors, the automaker
          has agreed to recall nearly half a million cars which failed to control the
          pollution from their tailpipes as required by the law. This means the elimina-
          tion of over 100,000 tons of illegal excess carbon monoxide which would
          otherwise foul the air.
        •  Another case was brought against a lead  refinery which for over 100 years
          had dumped lead, arsenic, and other pollutants into the adjoining river, while
          illegally operating without a  permit. As a result of that enforcement action, it
          is now installing water treatment facilities it never had, acquiring wetlands
          or wildlife habitat, and doing sampling to ensure that it operates in full com-
          pliance with the law.
        •  Because of other recent actions, a mining company in the State of Michi-
          gan will no longer dump  high levels of mercury into the Great Lakes, or
          pollute the air with illegal  amounts of sulfur dioxide. Another mining com-
          pany will begin restoration efforts on fifteen miles of creeks and tributaries
          of the Ohio River, which had been decimated from the  effects of that
          company's illegal release of abandoned mine wastewater.
        •  A land developer who had flouted the advice of environmental consultants,
          and willfully and illegally filled in approximately 70 acres of wetlands for com-
          mercial development was convicted as a criminal by a jury  of his peers.
        •  The public's right to know about toxic chemicals  being released into its
          communities was enhanced by the U.S. Environmental Protection Agency's
          nation-wide Toxic Release Inventory enforcement initiative against 47 com-
          panies last June.

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                                                           HERMAN, STEVEN A.   15
        •  These, and other cases, large and small, led to the reduction of thousands
          of tons of pollutants being dumped into our rivers and streams, leaked into
          our soil, and spewed into our air by violators.

        •  These enforcement successes benefit us all. That is one of the overarching
          messages from each of our international conferences. Progress and envi-
          ronmental protection in one country benefits each of its neighbors - we are
          all affected.
        But our environmental enforcement and compliance program is not limited to filing suit
to compel companies to comply with the law. After all, violations of the law, and illegal pollution,
must be stopped immediately when they occur- not just when they are discovered by our Agency.
To accomplish this, we must enlist the private sector in the battle to ensure compliance. Incen-
tives to comply, and assistance to do so when needed, are also a part of our effective enforce-
ment and compliance program.
        Government cannot achieve these things on its own. Compliance with the laws is the
responsibility of all of our citizens and businesses. Both on their own, and in response to strong
enforcement actions, many companies are in fact making responsible efforts to comply with the
environmental laws. Our enforcement and compliance program seeks to encourage and foster
this behavior.
        One way we have been doing this is to encourage companies to perform environmental
audits of their operations, and to self-report, and self-correct any violations that they discover.
We are trying to show the benefits of having a comprehensive environmental management sys-
tem in place, one that on its own, seeks to detect and correct violations.
        Environmental audits, and good management systems, make those businesses part-
ners in protection with the Environmental Protection Agency - though the responsibility for dis-
covering, reporting, and correcting any violations remains squarely with them. In that regard, last
December, U.S.  Environmental Protection Agency issued a final policy  on incentives for
self-policing. The policy offers incentives to companies to self-monitor, self-report and self-cor-
rect, and to establish comprehensive management systems. Disclosure, correction, and pre-
vention - these are concepts which the policy takes to large and small companies in every state
in our country.
        We are also about to issue a final policy on compliance incentives for small businesses,
and one for small communities. These policies also create incentives for small businesses and
small communities to look for, report, and correct any environmental problems they may have.
They too must be partners  in protection if we are  to have an effective,  and comprehensive,
enforcement and compliance program. Our policy on small communities also encourages those
communities to begin to immediately address those environmental problems that pose the great-
est risk - to the health of their citizens, and to the environment.
        Together, these policies and others recognize that environmental results are best
achieved when a company monitors their own pollution practices; and they recognize that envi-
ronmental results are achieved when those who come forward to  correct their violations are
treated differently - better -than those who abuse the public trust.
        We have also created national compliance assistance centers, which provide compa-
nies with information about the applicable environmental laws and regulations. These centers
will also have the latest information on pollution prevention techniques, so that companies can
move themselves beyond compliance, and into cleaner and more efficient operations.
        These new compliance assistance programs, and compliance incentive policies - many
of which we have developed and implemented since our last international conference in Oaxaca
- do not replace our traditional enforcement program - they add to it.

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16      FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        In everything that we do - whether it is with strong criminal and civil - enforcement ac-
tions, or compliance incentives policies - there is another over-riding principle that we follow - we
know that the public must always be informed. We have continually stood for the public's right to
know about what is in the water that they drink, the food that they eat, and the air that they breathe.
We have rejected the concepts of secrecy and immunity. And we have insisted on corporate
accountability, and preserved a strong enforcement presence in the process.
        We can do all this because our enforcement and compliance program uses a mix of
tools to achieve environmental protection through compliance.
        Some people think that enforcement and compliance assistance are mutually exclu-
sive. This is not the case! It is not an "either" "or" proposition. It is not "compliance" or "enforce-
ment." We have many options at our disposal and we can, and must, use them all. The problem
of noncompliance has many faces, and there is no single solution, or approach, which can elimi-
nate this problem. Only a combination of approaches will be effective in the long run. We will
examine these tools and approaches at this conference.
        But we must be clear about it - there is no substitute for the ability of vigorous enforce-
ment to level the playing field for those who comply with the law. Polluters cannot be ceded an
advantage in the marketplace. Pollution havens cannot be tolerated either nationally or interna-
tionally. There is no substitute for the ability of vigorous enforcement to deter future violations,
sending a strong message that polluters will pay—both in cash and in public perception.
        The reality is that pollution does not recognize local, state, provincial, or international
boundaries, and companies are no longer regional, they are often national and multinational in
scope and operation.
        But we have limited resources and must find ways to work together, with a focus on risk,
and to move swiftly against violators whose behavior shows no regard for the safety of their
neighbors and the environment.
        We must work directly with other nations - with each other - and our own regional and
local governments, to make sure that our resources are directed to where they can be used most
effectively. And we must continue to solve problems that cut across boundaries - pollution affects
us all, regardless of where we live.
        As I  said earlier - we cannot do it alone. Environmental protections through enforce-
ment of our laws is the responsibility of us all - whether we are in government or private business
- in every one of our nations. The partnerships which must be established are essential to our
success. That is one of the prime benefits of this conference - and the opportunities to make
these partnerships,  and to make them work, must be seized by us all.
        The  next five days together will provide us with great opportunities to explore many
issues surrounding environmental enforcement and compliance.

        •  Fairness is one such issue - an appropriate enforcement response must
          achieve results that are fair, not only for the environment but also for those
          companies who have made the necessary investments to comply in the first
          place. No one should ever gain an economic advantage by violating the
          law. And no one should be put at a disadvantage because they have obeyed
          the law.
        •  We will also explore how to maximize our enforcement responses through
          communications and voluntary compliance initiatives, and how to use the
          various civil and criminal authorities we have to the greatest advantage.
        •  We will explore how best to monitor compliance and the mix of government
          inspections, self-monitoring requirements, citizen complaints, and the po-
          tential to leverage  third party audits.

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                                                           HERMAN, STEVEN A.   17
       •  We will explore the new economic challenges facing enforcement, and how
          to finance and organize programs which draw upon the many skills and
          professional demands of our complex programs.
       •  We will explore the essential role of the public in compliance and enforce-
          ment and new ways to employ communication strategies as an effective
          tool for enforcement.
       •  And we will explore how to design requirements that are more easily en-
          forceable.
       •  As a community of nations, we will explore how to ensure that success in
          one country does not result in the transport of waste, banned toxic and haz-
          ardous substances across our borders imposing new burdens on countries
          already struggling to secure a more promising economic future.
       •  And importantly, we will consider our capacity building needs -both for those
          developing and those seeking to enhance their programs. We will try to
          match the resources and support available internationally, bilaterally and
          regionally with the needs of our various countries. If we are successful in
          doing this, then we will have truly left a lasting legacy from these confer-
          ences.
       We have a rich base of information on which to draw for these discussions. I want to
take this opportunity to offer a note of appreciation to our colleagues who took the time out of
their busy schedules to put on paper their experiences and the lessons they have learned. We
will add to the substantial proceedings volume with additional papers and results from our dis-
cussions throughout the conference.
        I also want to recognize the support of the cosponsors of the Conference and Executive
Planning committee members who supported the development of new technical capacity build-
ing documents and those of you who contributed to these, requiring substantial commitments of
time and energy. We invite you to review and perhaps add your own experiences before these
documents are finalized.
        We will now reach  a far broader audience on a sustained basis  by creating a home
page on the internet. It will be keyed off of U.S. Environmental Protection Agency's Enviro$en$e
and Earth 1 Site, with cross links to information provided by all conference cosponsors. I invite
each of you to visit the exhibit area to view the videos, review the materials and try out these
sources of information on program capacity building.
        Over the past ten years, we have expanded collaboration among Conference spon-
sors, including colleagues from the United States, The Netherlands, United Nations Environ-
ment Program, Environment Canada, the European Union, the Environmental Law Institute, the
World Wildlife Fund, the Governments of Hungary, Mexico and Thailand, other members of the
Executive Planning Committee from Chile, Costa Rica, Nigeria, South Africa, the United King-
dom, Poland, Malaysia, Indonesia, China and the Philippines, and institutions such as the World
and Regional Banks.
        All of us have made a commitment to learn from each other. Environmental pollution is
both a national and an international problem. Through these conferences, and through continued
cooperation, we can ensure that environmental enforcement is both a national and an interna-
tional solution.
        And, in that light, I want to express appreciation on behalf of all of us to our host country
for their gracious hospitality, and for providing yet another inspiring location for this conference.

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18      FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                   MANASIKARN, H.E. YINGPHAN    19
EVOLUTION OF ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
PROGRAMS IN THAILAND AND CURRENT CHALLENGES

MANASIKARN, H.E. YINGPHAN

Minister, Ministry of Science, Technology and the Environment, Rama 6 Road,
Rajdhavee, Bangkok 10400 Thailand


        Mr. Chairman, Distinguished Delegates, Ladies and Gentlemen, first of all, let me con-
gratulate the Executive Planning Committee and the co-sponsoring agencies and all concerned
on the well organized Fourth International Conference on Environmental Compliance and En-
forcement. I would also like to express my thanks for giving an opportunity to Thailand to be the
host of this important event. It is my very great pleasure to welcome you on behalf of the Govern-
ment and the people  of Thailand to this international conference. I hope that all of you had a
pleasant journey and will enjoy your stay here in Chiang Mai.
        We are aware that environmental problems have become global issues and are viewed
within the larger context of sustainable development. Effective domestic environmental compli-
ance and enforcement programs are an important factor in global efforts to solve environmental
problems. The Royal Thai Government also considers environmental issues top priority by sub-
stantially increasing the annual budget to take both remedial and preventive measures. As a
basis for achieving effective environmental management, Thailand has enacted a new environ-
mental law, namely the Enhancement and Conservation of National Environmental Quality Act
1992 by amending the previous environmental legislation acts of 1975 and 1978.
        Key features and effects of the new legislation include enhancing the National Environ-
ment Board to become an active policy-making body; introducing the Polluter Pays Principle;
establishing the Environment Fund to assist polluters in controlling and eliminating their pollut-
ants; creating more stringent environmental standards and setting proper systems;  providing
promotional measures; and establishing civil liability and penal provisions as well.
        The new legislation empowers the National Environment Board which is chaired by the
Prime Minister. The Permanent Secretary of the Ministry of Science, Technology and Environ-
ment serves as secretary to the Board. This emphasizes the government's concern about the
environmental issues at the ministerial level. Regarding the Polluter Pay Principle, we incorpo-
rate the use of economic instruments, which provide economic incentives to polluters to change
their behavior. It seems to be more effective than the normal command and control measures.
The owner or possessor of the pollution source is held responsible for meeting the cost of con-
struction and operation of the treatment facilities or another option is to use the central treatment
or disposal plant belonging to the government by paying service fees.
        Regarding the Environment Fund, this fund was established to facilitate the Polluter
Pays Principle and is jointly managed by the National Environment Board and the Ministry of
Finance. It provides grants to governmental agencies and low-interest rate loans to the public
and private sectors for installation of pollution control equipment, treatment of pollutants and
disposal of hazardous wastes. The recipients of the funds have an obligation to use the money
"specially for the purpose of meeting the requirement with which the borrower has the legal duty
to comply under the environmental law or other related laws".
        From the point of view regarding environmental protection, the National Environmental
Board is responsible for the prescription of a national environmental quality standards program
for all water resources, atmospheric ambient air, noise and vibration and any other environmen-
tal concerns. In this connection, the Ministry of Science, Technology, and Environment has formu-

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20      FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND  ENFORCEMENT


lated an action plan called the Environmental Quality Management Plan. This plan provides the
work plans and guidance for action concerning the management of air, water, natural resources,
pollution control from the sources, estimate of funds to be allocated from the Fund, enactment of
laws and regulations for implementation of the Plan.
        To further promote environmental quality, important consideration is given to pollution
control, which is prescribed under the Environmental Quality Act of 1992.
        There is a Pollution Control Committee which is chaired by the Permanent Secretary of
the Ministry of Science, Technology and Environment. One of the primary duties is to give advice
on the setting of emission or effluent standards for the control of wastewater discharges, pol-
luted air emissions,  or discharges of other wastes or pollutants from various sources into the
environment.
        In the area deemed by the National Environment Board to have an aggravated pollution
problem which may cause health hazards to the public or adverse impact on the environmental
quality, it designates these areas as pollution control areas. In this event, each Provincial Gover-
nor in the area  is authorized to prescribe a more stringent set of emission or effluent standards
for the area, in order to control and reduce the pollution.
        So far, there are ten designated pollution control areas resulting from this legislation:
Pattaya, Phuket, Pee Pee Island (Krabi), Had Yai and  Muang District of Songkhla Province,
Samut Prakarn, Pathum Thani, Nonthaburi, Samut Sakorn and Nakorn Pathom.
        As I mentioned earlier, this new environmental legislation provides an enhanced scheme
of penalties. Those who opt to illegally dispose their waste products and waste water are liable
for a penalty four times the cost of the service fees, until full compliance with provisions of the
environmental  legislation is achieved. In addition, those who are required to have their own on-
site waste and waste water treatment facility but fail to do so, and illegally discharge their waste
waters or wastes into the central waste water treatment plant or the central waste disposal facil-
ity, are subject to daily fines of four times the daily costs of normal operation of such on-site
facilities, plus any damages to the central treatment plant or disposal facility resulting from their
illegal activities.
        Additionally, this new law also provides inducement measures. A party who owns or
possesses a point source of pollution and plans to install an on-site treatment facility, whether or
not he is required to do so by law, is entitled to request assistance from the government regard-
ing import duties of the necessary machinery, equipment and materials for the facilities which
are not available in Thailand. They are also allowed to bring in foreign experts and specialists
concerning the construction and operation of the facility  if such qualified persons are not locally
available.  The foreign specialists may also be exempt from taxation of their income earned in
Thailand for the purposes of construction and operation  of the facility.
        Currently, Ministry of Finance, Ministry of Industry and Ministry of Science, Technologies
and Environment have an initial agreement regarding tax measures for environment manage-
ment.
        Violators of the regulations are liable to pay compensation for all  damages resulting
from contamination including any expenses incurred for clean-up of pollution and the value of any
natural resources destroyed or damaged in the process. Furthermore, the criminal liabilities for
violation range from one month to five years imprisonment and/or fines of Baht 10,000 to 500,000
or US $400 to $20,000.
        This new government policy and legislation shows that Thailand is strongly determined
to solve environmental problems effectively. The Thai Government, through the Ministry of Sci-
ence, Technology and Environment has established policies to support environment oriented

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                                                     MANASIKARN, H.E. YINGPHAN   21
investment in order to manage environmental quality and build mechanisms for private sector
participation in waste management and to encourage people to recognize the value of natural
resources as a common property.
        As I have already mentioned, there is still much to be done in the area of environment.
Cooperation and collaboration at national, regional and global levels is essential to achieve
tangible results. I greatly appreciate the joint effort of international agencies to organize this
important international conference, which I am sure, will be a great benefit to us all. I hope that
with your participation and contribution, the Conference will be successful and wish you a safe
return to your country.

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22      FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                           NAEWBOONNIEN, VIRACHAI AND WONGBURANAWATT, JAKAFAN    23
CHIANG MAI'S ENVIRONMENTAL CHALLENGES

NAEWBOONNIEN, VIRACHAI1 and WONGBURANAWATT, JAKAPAN2

1 Governor, Chiang Mai, Provincial Hall, Chotana Road, Muang District, Chiang Mai,
Thailand
2Dean of Social Sciences Faculty, Chiang Mai University, Chiang Mai, Thailand
        Mr. Chairman, Ladies and Gentlemen, first of all let me thank the organizers and all the
rest of you present for having chosen Chiang Mai as a venue for this very important meeting.
Actually, as we all already know Chiang Mai depends on tourism so the more people we get to
come to Chiang Mai the better the economy will be. Therefore, before I forget let me just say now
that while you are here in Chiang Mai spend a lot of money, buy everything in sight, buy as much
as you can. If you have a problem at all with that let me know I  can help you. I am sure you have a
lot more money at home so whatever you have brought with you spend it all at Chiang Mai.
        A week ago Chiang Mai celebrated its 700th anniversary so this is a very old town, one
of the oldest cities in the world, I  do not know if you realize that. We have a lot of problems. My job
this morning is to welcome you and then present something under the heading of Chiang Mai's
Environmental Challenges. As a political administrator, I do not have much time to go into the
details of the various aspects of our environmental challenges. My immediate problem is to
raise the standard of living of the people within my country. Just yesterday the queen was up in
the palace over the hill visiting the very outlying village, a very far away distance from Chiang Mai
and about 1,000 hill tribes came and visited her and received her. Every time she goes out of the
empire a medical unit goes with her to look at the problems of the people. The majority of the
people are living below the accepted level. Only one district in all the 24 districts of Chiang Mai
has proper toilet facilities. We have 23 districts that do not have proper toilet facilities. This is
just one example of the need to bring  up the  level of living conditions. I personally think that is
more important than the environmental problem of the sector.  Not that we do not give attention to
environmental problems, we do. The provincial authority at Chiang Mai has asked the Faculty of
Social Science at Chiang Mai University to study the environmental problems of Chiang Mai and
come up with a plan as to how to go about solving these problems. We asked them to identify the
challenges we have so this morning I would like with your permission to introduce a colleague of
mine who has prepared this environmental plan. He is the Dean of the Social Science Faculty of
Chiang Mai University, Dr. Wongburanawatt.
        I have been given ten minutes to give this speech and I have spent about five minutes in
introduction. I think that's the limit of my ability to speak English at the moment. I would like Dr.
Wongburanawatt to come up here and in the ten minutes remaining give you a picture of the
challenges of Chiang Mai as concerns the environment.

                                          * * *
        Thank you very much Mr. Governor, Mr. Chairman, Ladies and Gentlemen. It is a great
honor for me to have a chance  to say a few  words right after the Governor of Chiang Mai this
morning at the Fourth Conference on Environmental Enforcement. As you know Chiang Mai just
celebrated our 700th anniversary. Chiang Mai is a very ancient city that is still alive in Thailand.
Even though we are a very old country the city has not died or passed away.

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24      FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        With time, particularly within the past five years, Thailand has put a great emphasis on
environmental issues. Especially three years ago, when the Thai Government asked each prov-
ince to come up with an environmental plan. As the Governor has just mentioned Chiang Mai
University was assigned to study and to recommend ways to solve environmental problems. As
the Director of Social Science we are honored to do so.
        In the next ten minutes I would like to give you some background information concerning
Chiang Mai. The population of Chiang Mai is approximately 1.5 million persons above the 2.4
million number of tourists each year. That means that though tourists bring a lot of money to
Chiang Mai they also contribute to environmental damage as well. In Chiang Mai the population
of 1.5 million consists of some tribal people and some island people. Right now we have about
seven tribes the Meo, Karen, Yao, Lisu, Lawa Lahu and Akha. Besides those tribes we also
have the Burmese minority and the Chinese minority right up to the second world war. For being
a major tourist city with also a very ancient history we have remained open. Chiang Mai also has
a future potential role in environmental issues. At present Chiang Mai is the principal city in the
upper north region and also has the role of bringing corporations to the nearby provinces as well
as form economic environmental policy which will try to promote corporate growth in Thailand,
China, and Laos. It is predicted in the next fifteen to twenty years that Chiang Mai will become
the center of progress in various areas such as the Center for Human Resources and Develop-
ment for the country and also for Indochina as well. Chiang Mai will be the center for our interna-
tional tourism, the center for international corporate banking and finance, as well as the center
for communications, transportation, and telecommunications. Chiang Mai also expects to be
the center of agroeconomy and industrial agriculture for local consumption and exports. Chiang
Mai will also be the center for education and cultural conservation as well as the center for high
technology industry.
        The mentioned potential of Chiang  Mai may also cause some environmental risk and
pollution. For the limited time I would like to mention key points of environmental problems of
Chiang Mai.  The first problem is water pollution especially in the municipal  community. As  I
indicated earlier Chiang Mai is host to 2.4 million visitors a year. Above this, the number of
people in the Municipal area is 250,000 and they produce a waste of approximately 50 cubic
meters a day. There is also water pollution from factories and from public housing sewage. In
Chiang Mai we now have nearly 2,000 factories, more than 50 % of which are located in the city
area nearby. These factories release both water and air pollution that can be harmful to health
even though they have installed some pollution prevention and a treatment systems. Besides
those factories there are about twenty public housing sewage systems in Chiang Mai. The amount
of waste water from this comes up to 450 cubic meters per hour and even though they have
some treatment some contamination was still detected in the water sources. The biological
oxygen demand (BOD) checks indicate there was still a high level of BOD in the water.
        The third problem is air and noise  pollution. The statistics of patients  suffering from
respiratory diseases show that in 1994 there were  as many as 500,000 patients in hospitals
suffering from respiratory problems. This shows that the future of Chiang Mai will face more
serious pollution of this type due to the present factories and also transportation that may cause
more air and noise pollution. Of both problems another significant one is the community solid
waste, solid waste has become a major political issue. When they were campaigning to run for
the Governor of Bangkok metropolitan area one of the key issues according to Yingpan's lecture
was to solve the solid waste problem in Bangkok. That is why in Chiang Mai we have the legend
of the bear, of the city municipality, and one of the key issues that  faces the republic is the
residential solid waste problem. In Chiang Mai right now within the municipality we have about

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                            NAEWBOONNIEN, VIRACHAI AND WONGBURANAWATT, JAKAPAN    25
250 tons of garbage and solid waste a day. We still have a serious problem and need to solve it..
Besides those problems Chiang Mai also has special problems like degraded forest, accord-
ing to statistics in 1976 90% of Thailand was in forest, in 1993 only 71% is forest.
       Chiang Mai University is developing three major plans to protect the environment. The
first concentrates on rehabilitation of present resources, water, land and air. Second concerns
prevention of future pollution. Thirdly, is the importance of promoting public awareness of envi-
ronmental issues and the importance of a healthy environment. We look forward to sharing our
plans as they are further developed and ask that you please enjoy your visit to Chiang Mai.

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26      FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                      DE BOER, MARGARETHA    27
REACHING OUT TO OTHERS FOR EFFECTIVE ENVIRONMENTAL
ENFORCEMENT

DE BOER, MARGARETHA1 (DELIVERED BY VERKERK,  PIETER J2.)

1Minister, Ministry of Housing, Spatial Planning and the Environment, IPC 100, P.O. Box
20951, 2500 BZ The Hague, The Netherlands

inspector General, Inspectorate for the Environment/I PC 680, Ministry of Housing,
Spatial Planning and the Environment, P.O. Box 30945,2500 GX The Hague, The
Netherlands
       Mr. Chairman, Honorable Colleague from Thailand, Esteemed Governor of the Prov-
ince of Chiang Mai, Ladies and Gentlemen, I would first of all like to express my appreciation to
the Royal Government of Thailand for being so willing to jointly organize this conference. The
pollution control department has also played a very important part in the preparation of the con-
ference. Thanks to their efforts we can now begin this Fourth Conference, a conference which I
am confident will be a success. The information I have seen about the number of participants,
the number of participating countries and the program itself, has convinced me that the organiz-
ers, assisted by the members of the Executive Planning Committee, have done a first-class job
with the preparations.
1       INTRODUCTION

        This is the fourth time, after Utrecht in 1990, Budapest in 1992, and Oaxaca in 1994,
that a minister of the environment of the Netherlands has made the opening speech to the con-
ference. These speeches reflect a very clear progression in enforcement matters. In the begin-
ning the emphasis was especially on the setting up of our own enforcement organization and
building up and propagating knowledge and skills. We have made a lot of progress  since the
earlier conferences. The initiatives started during these conferences are clearly showing results.
Enforcement of environmental legislation is a matter of importance, both at a national level in the
Netherlands, and at an international level. The importance of this enforcement is generally rec-
ognized, and is receiving a great deal of attention.
        But—as is so often the case when our knowledge of a subject is still in development—
we have seen that as our knowledge of the subject has increased, so too have our problems. We
are confronted with environmental crime, transfrontier waste shipments, definitions of reuse,
and general differences in definitions for waste substances in the various conventions.
2       DEVELOPMENTS IN THE NETHERLANDS

        The priority areas in environmental policy in the Netherlands are agriculture, industry,
waste (shipment), and pollution of the soil, air, and water. The National Environmental Policy
Plan was drawn up to organize and plan the approach to these problems. The plan also ensured
that the enforcement activities were synchronized to the other activities. All parties involved in

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28      FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


enforcement participate in the National Coordination Committee for Environmental Law En-
forcement. The parties involved are the Ministry of Housing, Spatial Planning and the Environ-
ment, the Ministry of Agriculture, Nature Management and Fisheries, the Ministry of Transport,
Public Works and Water Management, the Ministry of Economic Affairs, the Ministry of Home
Affairs, the Association of Provincial Authorities, the Association of Netherlands Municipalities,
the Association of Water Boards, the Board of Chief Commissioners of Police, and the Public
Prosecutions Department. The committee is responsible for synchronizing and stimulating the
broad outlines of the enforcement of environmental legislation.
        There are other new developments which also require attention, including the integra-
tion of the environment and spatial planning, and the environment and the economy. Another
important development is the emphatic placing of the responsibility of implementing (and en-
forcing) environmental legislation with the parties involved. Lower-tier authorities and compa-
nies, should bear the responsibility for their own environmental behavior. Companies with a
corporate environmental care system show that they have adopted a responsible attitude to-
wards the environment, and towards the relevant regulations. A company with a certified envi-
ronmental care system can demonstrate to the inspecting authority that it views the environment
as being of great importance. This can then also be reflected in the form and the content of the
licenses issued to the company. It also means that the authorities responsible for enforcement
duties should also make use of this specific information.
        The exact way in which this new approach will be implemented needs to be worked out
in more detail, especially with regard to enforcement. As part of this approach, agreements will
be made between government and branches of industry about the contributions each branch of
industry will make towards achieving the environmental objectives. These agreements will be
set down in writing for each branch of industry, and they will also be incorporated in the environ-
mental license issued to each individual company. Each complete branch of industry will be
answerable for compliance with these agreements. I have also recently submitted a proposal to
Parliament for the introduction of a compulsory environmental report by some 300 large compa-
nies in the Netherlands liable to such regulations.
        Progress has also been made in working relationships with lower-tier authorities in the
Netherlands. In accordance with the National Environmental Policy Plan they have received the
funds to enable them to take up their environmental duties. Within the National Coordination
Committee for Environmental Law Enforcement it has been agreed that continued efforts will be
made to increase both the quantity, in terms of the environmental licenses issued, and the qual-
ity, in terms of the enforcement of environmental legislation.
       A start will also be made with the monitoring of the performance of government in the
area of environmental policy and enforcement, in particular with regard to specific target groups
from the National Environmental Policy Plan.
       The National Coordination Committee for Environmental Law Enforcement is also re-
sponsible for a report to the lower House of Parliament on the results of the enforcement of the
environmental legislation as achieved by all members of the committee. This report is published
every two years.
3       INTERNATIONAL DEVELOPMENTS

        The Netherlands is not an isolated state. It is part of the European Union, which is one
reason why it is very interested in the involvement of other member countries in the enforcement
of environmental legislation. This is the reason why the Netherlands participates in the European

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                                                        DE BOER, MARGARETHA   29
Union Network for the Implementation and Enforcement of Environmental Law - the IMPEL net-
work.
        You will be offered more information about this in other contributions to the conference.
This initiative of the member countries was warmly welcomed by the European Commission.
The Netherlands is conducting a number of trial projects in the area of transfrontier shipments of
waste and the notification of new substances, which also constitute initiatives towards a joint
European approach to enforcement.
        The objective of this is to achieve a professional Pan-European approach to the en-
forcement of environmental legislation. The European Union is not the only region considered to
be of importance by the Netherlands. The Netherlands also make their knowledge and experi-
ence available to the United Nations Environmental Program. Special attention is also being
given to the developing East European countries, and again the Netherlands are making their
knowledge available to this region.
        This is why I place so much importance on this Fourth International Conference on En-
vironmental Compliance and Enforcement. By participating in this conference for the fourth time
in succession, the Netherlands once again offers its support to developments which we con-
sider to be of great significance.
4       FUTURE DEVELOPMENTS

        I mentioned earlier that we in the Netherlands have encountered the problem of environ-
mental crime. This is an international form of crime, and I am of the opinion that it is important
that, as far as is possible, we also fight this sort of crime internationally. This is why it is so
important that the participants of this conference come from so many countries, and from impor-
tant international organizations. We have extended our enforcement network in the Netherlands
to Include organizations such as the  police, customs, and the port authorities. Similar develop-
ments can be seen in other countries. International cooperation is the only way we will be able to
achieve results sufficient to be able to maintain the durable development of our world for our-
selves and forourchildren.
        An increasing amount of international environmental legislation is coming into effect,
for example, the Basel Convention, the Montreal Protocol, and the Convention on Biodiversity. If
we wish these treaties to be credible then we must bridge the gap between implementation and
enforcement. In relative terms, there are many international conferences about new regulations,
for example, the negotiations about the Prior Informed Consent (PIC) Convention, but few about
enforcement. International discussions about enforcement are complicated by factors such as
the sovereignty of Individual countries; nonetheless we cannot neglect the question of enforce-
ment if we wish to give credibility to all the international conferences about new environmental
regulations. Perhaps we should make a cautious start with conferences such as these, where
we give training, and help build capacity.
        Together with the United Nations Environmental Program we should give some thought
to an informal network such as the European Union Network for the Implementation and Enforce-
ment of Environmental Law. It would be of benefit if this conference stimulates such thoughts.

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30      FOURTH  INTERNATIONAL CONFERENCE ON  ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


5       CONCLUSION

        I would like to wish all participants a very successful conference. It will be a very busy
conference for you, and you will have much to do in the working sessions. When you participate
in these sessions it is very important that you relate the knowledge and experience you acquire
during the course of the conference to the conditions, culture and organization in your own coun-
try. The principles of the enforcement of environmental legislation are universal; it will be up to
you to apply them with the knowledge and experience that you acquire in the field.
        It is important that the regional enforcement networks which come into being as a result
of this conference will take root and grow further. I am very interested to see the results and I am
pleased to be able to inform you that the Netherlands is certainly willing to participate in the
organization of a Fifth International Conference on Environmental Compliance and Enforce-
ment.
        I wish you all a very successful conference.

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  THEME 1: DRIVING FORCES BEHIND ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT PROGRAMS    31
                               THEME #1:

        DRIVING  FORCES BEHIND  ENVIRONMENTAL
      COMPLIANCE AND ENFORCEMENT  PROGRAMS
Theme 1 papers address the following issues:

       • The driving forces that gave rise to a decision to create or enhance an
         environmental compliance and enforcement program or to respond to
         particular noncompliance problems.
       • Issues that arose in developing or enhancing a program, including options
         considered or selected.
       • Particular challenges facing rapidly industrializing, developing, developed,
         and  transitional economies trying to enhance or establish effective
         environmental compliance and enforcement programs, including issues
         such as economic and  political uncertainty,  level of support for
         environmental concerns, tradition of enforcement and compliance, and
         limitations  on availability of human resources with necessary skills and
         experience in the field.
       • Where appropriate, how these driving forces have affected actions taken,
         what resources would be brought to bear, how to establish priorities, how
         to effectively follow through on problems found, what human and financial
         resources were determined to be needed, and some of the considerations
         made in deciding how to develop or acquire those resources.
1.   Summary of Panel Discussion of Theme #1,  Moderator: C. Wasserman,
    Rapporteurs: S. Oley, K. Rubin	33

2.   Driving Forces for Environmental Compliance and Enforcement: Sustainable
    Development, International Trade, Public Pressure and Involvement in Decision-
    Making and the Implications for Cleaner Production, Environmental Law, and
    Sustainable Development, R. Olembo	37

3.   Implications Of ISO 14001 For Regulatory Compliance,   J. Cascio	43

4.   The Impact of Driving Forces on Environmental Compliance and Enforcement
    Programs - The Philippine Experience,  R. Vasquez	49

5.   The Impact of Driving Forces on Environmental Compliance and Enforcement
    Programs- Example of Poland, S. Wajda	61

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32           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
6.   Driving Forces for Sustainable Environmental Compliance and Enforcement
     Programs in Africa with Particular Reference on Nigeria,  A. Adegoroye	73
7.   The Impact of Driving Forces on Environmental Compliance and Enforcement
     Programs in Mexico, A. Azuela	85
See related papers from other International Workshop and Conference Proceedings:
1.   The Challenges of Environmental Enforcement in a Developing Country: The
    Nigerian Experience,  A. Adegoroye, Volume I, Oaxaca, Mexico
2.   Environmental Compliance Issues During the Privatization Process in Poland,
    P. Syryczynski, Volume I, Oaxaca, Mexico
3.   Summary of Theme Discussion: Environmental Enforcement Challenges,  Moderator
    A. Adegoroye, Rapporteur: A. DeLong, Volume II, Oaxaca, Mexico
4.   Membership of the EEC: What it Means for Environmental Requirements and
    Enforcement, R. Macrory, Volume I, Budapest, Hungary
5.   Upgrading of Environmental Laws in France as Part of the Requirements by the EEC,
    P. Kromarek, Volume II, Budapest, Hungary
6.   Some Factors Influencing Environmental Enforcement in the CSFR,  E. Kruzikova,
    Volume II, Budapest, Hungary
7.   Environmental Enforcement in Greece, M. Vassilopoulos, Volume II, Budapest,
    Hungary
8.   The Role of Industry: Empowerment and Environmental Protection, J. Plaut, Volume II,
    Budapest, Hungary
9.   Environmental Problems in the Hungarian Privatization, /. Mandoki, Volume II,
    Budapest, Hungary
10. Summary of Theme Discussion: Context for Enforcement, F. Uijting, Volume II,
    Budapest, Hungary

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                                    SUMMARY OF PANEL DISCUSSION OF THEME #1   33
SUMMARY OF PANEL DISCUSSION OF THEME #1: DRIVING FORCES
BEHIND ENVIRONMENTALCOMPLIANCEAND ENFORCEMENT

       Moderator: Cheryl Wasserman
       Rapporteurs: Shari Oley, Kenneth Rubin
       GOALS

       Presentation of driving forces that gave rise to a decision to create or enhance an
environmental compliance and enforcement program or respond to particular noncompliance
problems. Discussion of issues that arose in developing or enhancing the program. Address
issues of particular relevance to rapidly industrializing, developing, developed and transitional
economies, including economic and political uncertainty, level of support for environment,
tradition of enforcement and compliance, and limited human resources, along with ways to
overcome these obstacles.
1       PRESENTATIONS

        Mr. Reuben Olembo, Deputy Executive Director of the United Nations Environment
Program, delivered the keynote address on forces driving environmental compliance and
enforcement. Ultimately, there is only one driving force: the inescapable need for environmental
protection and sustainable development to go hand in hand. As discussed at length at the
1992 Earth Summit, there are six global environmental priorities that must be addressed to
make sure that development meets the needs of the present without compromising the ability
of future generationsto meet their own needs. These are: atmosphere and climate; deforestation
and desertification; fresh water and the oceans; toxic chemicals; biodiversity, and energy and
natural resource consumption. The hard realities behind these issues are driving the need to
build institutional capacity for environmental compliance and enforcement. Mr. Olembo pointed
out that there are also three broader driving forces. The first is public demand, one of the most
vocal of societal forces that has stimulated a great deal of positive change in many countries.
The second, more subtle than the first, is industry's drive to  compete globally because cleaner
production ultimately makes good economic sense. The third driving force is the emergence
of international standards of practice and trade, such as IS014000, that catalyzes a country's
government to bring their own industries up to speed on environmental management in order
to be internationally competitive.
        Dr. Dorothy Bowers, U.S. Technical Advisory Group to IS014000, discussedthe driving
force of voluntary programs. Industrial commitmentto good environmental managementsystems
should be based on a  plan-do-check-act model whose steps are: define policies and get top
management commitment; put in place the organization and system; set objectives and targets;
set in place findings programs; set in place audit programs; and retool the organization and
system if needed. Ms.  Bowers explained that ISO 14000 was developed with input from many
countries and is meant to be used in all countries. Industry  sees ISO 14000 as a way to make
more environmental progress at less cost. Ultimately, it is a  driving force because banks, other
lending institution, insurance  companies, suppliers, and customers will demand an ISO
certification. But for ISO  14000 to have the greatest impact, regulatory agencies will need to
review their approaches with an eye toward increased flexibility.  In particular, Ms. Bowers

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34            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


stressed that regulatory approaches should treat industries that want to comply — i.e. those
that certify under IS014000 — with more flexibility than those that do not, but that IS014000 is
not intended to replace regulation.
        Ms.  Rachel Vasquez, Assistant Director,  Environmental Management Bureau,
Philippines, focused on the concept of "social acceptability" as a drivingforce. In the Philippines,
environmental laws are sufficient, but there is no great political commitment to implement them
so compliance is low. In this situation, the use of public pressure from stakeholders and local
government units works well. Using the concept of social acceptability, proponents and
opponents alike are engaged in dialogues and public hearings before new regulatory efforts
are undertaken and as part of approval of environmental compliance certificates (approval of
ElAs) for major projects such as mines, forest harvesting, etc. A companion policy that works
well is the use of the public as informal monitors of industrial environmental performance. In the
Philippines, NGOs are critical in this regard.
        Stan Wajda, Legal Advisor, EC Phare Program, Ministry of Environmental Protection,
Poland, addressed privatization as a driving force. The classical notion  is that under state-
owned and operated industry, little environmental progress is likely, but that in market economies,
the private profit incentive can be harnessed to deliver environmental results. This has, indeed,
been the case in Poland. For example, Poland has had programs of economic instruments (air
emission fees, waste effluent fees, water use fees, waste disposal fees, forestry fees) in place
since the 1970s, but they have not been effective until the fall of communism several years ago.
Since that time, production subsidies have been eliminated and fees have increased to levels
that compel private expenditure on pollution control and minimization. Fines and penalties,
about $200 million per year, go into a national fund which lends up to 50% of project costs to
industry.
        Lie. Javier Cabrera Bravo, General Director for  International Affairs, PROFEPA,
Mexico, asserted that commerce is an important driving force in developing nations. A series
of political, economic and trade-oriented events have lead Mexico  to view the environment
and sustainable development as a necessary element of its modernization. Since 1971, when
the first Environmental Protection Act was decreed, Mexico has experienced continued
strengthening of the legal and institutional framework for environmental protection and  the
preservation  of natural resources. The State has transformed its institutional structures,
consolidated functions, strengthened enforcement of environmental laws and also expanded
its activities to include emphasis on defining environmental objectives as well punitive intent,
and sought to broaden social participation. A new law passing congress will increase access
to information, reduce discretionary power of agencies,  broaden the opportunities for social
input, involving the public in decisions, and decentralize functions from the Federal government
to state and local governing bodies. Mr. Bravo stated that the globalization of the world economy
and the international nature of trade and political relations forces  a developing nation  like
Mexico to pay much closer attention to the need to comply with global  environmental norms
and to participate  in international forums for exchange of information and agreement on  the
types of things that developing nations can do to protect the environment.
        Dr. Adegoke Adegoroye, Director of  Inspectorate and Compliance Monitoring, Federal
Environmental Protection Agency, Nigeria, stated that the primary forces driving his country's
environmental compliance  and enforcement programs are external. These are the catalytic
roles of various initiatives of the United Nations and its agencies over the last eight to ten years
and bilateral and multilateral aid from donor agencies. Internally the driving force has been the
need to attain public health standards but it is the provision of experts and financial resources
from external sources that has made the most headway in promoting  environmental programs.
There are many challenges that face Nigeria's enforcement and compliance programs among

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                                     SUMMARY OF PANEL DISCUSSION OF THEME #1    35
which are interagency conflicts and loss of trained staff to other sectors, inadequate legal
instruments, the need for public infrastructure and better agency-industry relations, useful
economic instruments, and the need for stable leadership.
2       DISCUSSION

        In regard to IS014000, Mr. Bravo pointed out that some countries with a long history
of auditing and self-certification programs, such as Mexico, may have to customize IS014000
to suit their specific framework. Ms. Vasquez explained that they encouraged industries to
certify underlS014000 and got commitmentsonlyafterthey went to voluntaryoptions. In Poland,
according to Mr. Wajda, the program is mostly unknown but there is much interest. Industry is
very anxious to get the certification because it enhances international competitiveness. Thomas
Bispham from the United States noted that IS014000 could take care of large sources, freeing
regulatory programs to target resources  on  smaller firms. A participant from Germany
commented that ISO 14000 certification simply means that an environmental management
system is in place,  but not that the company is in compliance with applicable environmental
standards.
        In responding to the issue of social  acceptability, Ms. Bowers pointed out the need to
get public involvement sooner to avoid having to close companies. Mr. Bravo pointed out the
potential for this strategy to fail where populations are largely illiterate, poverty is high, because
the public must be educated  on the need for environmental protection. In Poland public
involvement is limited now, But Mr. Wajda feels it will strengthen with the adoption of European
Union policies and  framework law that Poland is working on and which is expected to pass
within two years. An Argentine participant agreed that public participation is extremely important
but getting public participation into gear for a new law is sometimes a great problem.
        In a discussion of other driving forces, a participant from Brazil noted that democracy
as a force should not be taken for granted. It enables meaningful public participation and
unleashes market forces to compel action. A participant from Costa Rica has seen government
reform reduce resources for the environment and provide little content in government programs,
so clearly government commitment, as evidenced by adequate funding and strong political will
is a major driving force.  Mr. Bravo noted that  NGO's and industry are both  against
decentralization but for conflicting reasons. NGO's feel that state governments, as opposed to
federal governments, will be too soft while industry fears that the states will be too tough. He
warns not to decentralize without resources.
3       CONCLUSION

        Economics and the incentive to be competitive in international markets are a major
driving force behind environmental compliance and enforcement programs. The interest in
meeting standards, such as European Union policies, NAFTA, and IS014000, that can enhance
entry into other markets, drives both the regulated and regulating communities, in developed
and developing countries.
        Public pressure is a driving force which can be used to enhance government programs
or to strengthen environmental compliance and enforcement when the government efforts are
weak or ineffective, but it requires an educated populous.

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36            FOUFITH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                        OLEMBO, REUBEN:  KEYNOTE ADDRESS   37
DRIVING FORCES FOR ENVIRONMENTAL COMPLIANCE AND
ENFORCEMENT: SUSTAINABLE DEVELOPMENT, INTERNATIONAL
TRADE, PUBLIC PRESSURE AND INVOLVEMENT IN DECISION-MAKING
AND THE IMPLICATIONS FOR CLEANER PRODUCTION, ENVIRONMENTAL
LAW, AND SUSTAINABLE DEVELOPMENT

OLEMBO, REUBEN:  KEYNOTE ADDRESS

Deputy Executive Director, United Nations Environment Program, P.O. Box 30552,
Nairobi, Kenya
       INTRODUCTION

       It is a great pleasure to represent UNEP at this important international conference on
environmentalcomplianceand enforcement. ElizabethDowdeswell.UNEP's Executive Director,
sends you her greetings and best wishes fora successful conference. She personally wanted
to give  you UNEP's unwavering support in your efforts to develop and perfect the art of
environmental compliance and enforcement in your countries. This is often a very difficult task,
particularly during a period of intensive global competition, deregulation and government and
corporate cutbacks. But this task is also a critical one, and UNEP recognizes that it is you,
government policy makers and officials, who  are on the front line. You have the ultimate
responsibility of seeing that everybody meets at least minimum environmental standards. You
also have the very difficult task of finding ways  to encourage people to voluntarily go beyond
the requirements of environmental laws and regulations.
       Today I have the privilege of conveying UNEP's message of encouragement and
support, together with several of my colleagues from our regional offices and our Industry and
Environment office, who you will be meeting during the UNEP workshops.
1      SUSTAINABLE  DEVELOPMENT

       You are about to immerse yourself in the multifaceted aspects of the art of compliance
and enforcement, benefiting from an internationalcross-sectionof experiencesand perspectives
that is unique to this biannual forum. With such a full and diverse agenda, it may be hard to see
the forest for the trees, to have a clear vision of why we are here. So I want to review the driving
forces behind environmental compliance and enforcement programs. I say review because
these driving forces are not new to you of all people, but they are nonetheless important to
keep uppermost in our minds if we are to come out on Friday with a clear sense of vision not
only of why we are here, but of the way forward when we get back to our offices.
       These driving forces include the inescapable realities facing our planet today as well
as the broader influences and trends which affect them.
       Ultimately, there is only one driving force. It is of course the inescapable need for
environmental protection and  sustainable development. In its simplest terms, sustainable
development means making sure that development meets the needs of the present without
compromisingthe ability of future generationsto meettheirown needs. Environmental protection
and management are at the heart of sustainable development, along with economic growth

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38            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
and elimination of poverty. We need to focus on six global environmental priorities if we are to
make real progress in moving towards global environmentally sustainable development. These
are:

1.1     Atmosphere and climate

        The thin skin of air that surrounds the planet is being affected by human activities as
never before. Air pollution does not respect boundaries. It affects agriculture and ecosystems
far from its source. Many people living in urban areas (45 % of the global population and
growing) are exposed to unacceptable levels of air pollution. Forests are still being degraded
by acid precipitation caused by air pollutants. Depletion of the ozone layer, causing increasing
exposure to the sun's ultraviolet radiation, is an ongoing concern. The link between human
activities and global warming is increasingly undeniable, posing mounting threats of climate
change, floods and droughts.

1.2     Deforestation  and  desertification

        About 25 billion tons of topsoil are lost each year to erosion; about 15% of the earth's
land area has been degraded to some degree. Countries with the least amount of resources in
terms of the ability to act or to absorb the societal and economic costs, are often the most
affected.

1.3     Fresh water and oceans

        Freshwater for human use is a fragile, finite resource. Agricultural, industrial, domestic
and municipal needs are stretching hydrological systems to the limit. Overfishing and pollution
of oceans are posing severe threats to fish stocks and marine ecosystems, a vital part of the
global food supply.

1.4     Toxic chemicals

        Some of the more than 50,000 different chemicals produced annually can be toxic or
carcinogenic. When toxic substances accumulate in the environment and in food chains, they
can profoundly disrupt biological processes. Much more is still unknown than is known about
environmental toxification

1.5     Biodiversity

         We are experiencing the greatest extinction of species  since the dinosaurs
disappeared 65 million years ago. This is a result of the combined effects of rapid conversion
and degradation of habitat for human use, overharvesting of animals, fish and plants, pollution
(accidental and deliberate),  introduction of exotic species, global climate change,  industry,
agriculture, forestry and other activities that destroy or impair natural ecosystems.

1.6     Energy and natural resource consumption

        Current global consumption patterns are not only inequitable, but are environmentally
unsustainable. Industrialized countries are the largest consumer of energy and currently consume
about 3/4 of many of the globe's important resources (e.g. metals, energy, commodities). But
developing countries are set to become the largest users of energy in the next century and
many also have unsustainable  patterns of consumption today. The issues are controversial

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                                            OLEMBO, REUBEN:  KEYNOTE ADDRESS    39
and complex, and technology is not a panacea, even if it could, as some say it must, increase
resource productivity by a factor of ten over the next ten to thirty years. And market economics,
because they fail to internalize environmental costs, have their limits as well.
        This is the hard reality which  is the ultimate driving force behind the need to build
institutional capacity for environmental compliance and enforcement. These environmental
priorities were discussed at length at the 1992 Earth Summit, the largest international conference
ever held, drawing an unprecedented number of heads of state.  Chapter 8 of Agenda 21
specifically encapsulates  the need to build compliance and enforcement capacity  as an
essential element of environmental management. It calls on countries to "develop integrated
strategies to maximize compliance with its laws and regulations relating  to sustainable
development". It specifiesthe need to develop effective laws, regulations and standards, promote
and review compliance, and detect and establish violation priorities. It also calls on countries
to undertake effective enforcement, conduct periodic evaluations of the effectiveness of
compliance and enforcement programs, and establish mechanisms for appropriate involvement
of individuals and groups in the development and enforcement of laws and regulations.


2       OTHER DRIVING FORCES

        Then there are some  broader driving forces. There are three which I think are the most
useful to keep in mind: 1) public demand;  2) industry; and 3) international trade, standards and
law. They are all equally important. If they are not acutely felt in your country at the moment, they
probably will be in three to five years.

2.1     Public demand
        First, public demand,  one of the most vocal of societal driving forces. Public awareness
of environmental issues is growing. Concerned and motivated individuals, with the kind of
support and contacts made  so easy  by global networks today,  can  mount sophisticated
campaigns to shut down a polluting factory, boycott a company's products, influence financial
decisions, call  into question a  government's credibility or force it to take action. Public demand
has stimulated a great deal of positive change in many countries, legitimizing government's
authority to institute higher environmental standards, encouraging companies to go beyond
them, signaling the alarm in the case of misdemeanors, and providing new markets for those
who are first to catch on. As a  country's economy develops, so does its people, so does public
demand for  a  better  environmental quality of life. There is growing public recognition that
environmental  management and economic development are flip sides of the same coin.
        Public demand is not just a driving force, it is also a resource. The earlier it is used,
the less costly it becomes. Involving the public not only in reviewing permit applications and
monitoring compliance, but also early in key governmentdecision-makingprocesseswill prevent
many of the mistakes, misunderstandingsand false perceptions of the past or of other countries.
The process of public involvement in environmental decision-making and protection will vary
from country to country, and may require concerted effort in places not used to consulting or
involving the public. But in an increasingly complex world, government can no longer expect to
have all the scientific, technological, social and economic expertise required to make sound
decisions. The earlier it consults and involves those outside its offices, the better.

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40            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


2.2     Industry

        Another driving force for government compliance and enforcement programs is a little
more subtle, but one which will have an increasing influence, particularly where public demand
may be left wanting. This is none other than industry itself. It is an increasingly competitive and
global world for industry. The companies that are going to survive are the ones that understand
that cleaner production (that is, good housekeeping, raw material and energy conservation,
and substituting toxic chemicals) is not only good for the environment and public image, it
makes economic sense. They are the leaders with a good deal of influence in  industry
associations that represent and promote the industry's interests. A growing number of such
industry associations are using voluntary codes of conduct to promote best environmental
practice (the UNEP Industry and Environment office is currently producing guidelines on such
voluntary industry initiatives). Industry associations have a collective interest in protecting the
public image of the industry. One poor performer among them can spoil it for the rest. They rely
on effective government compliance and enforcement programs to provide a level playing
field  and to keep the lowest performers in the industry from undermining public goodwill and
using the environment to undercut their competitors. And in a  global economy,  industry
associations are having an increasingly global  reach.

2.3     International trade

        This brings us to our third broad driving force: international trade, standards and law.
As we all know, industry interest in a level playing field extends beyond national borders,  as
does environmental protection. Forgive me for bypassing the complex and sensitive subject of
international free trade agreements and the criticism that they settle for the lowest common
denominator in the effort to "harmonize" national standards. Too often this discussion devolves
into an inconclusive debate on which comes first - the chicken or the egg? I'd rather focus on a
more encouraging, emerging aspect of international trade which could bring about a small
revolution on how international business conducts its purchasing and supply decisions. This is
the setting of environmentalmanagementstandards by the International Standards Organization
which are to come into effect this year. Like all ISO standards, the ISO 14000 standards  on
environmental management systems, environmental auditing, environmental performance
evaluation and others, are voluntary. But a few years ago, the ISO set parameters for measuring
total  quality - ISO 9000 - and look what happened - you need it if you want to do business
outside national borders. Why is this a driving force for government complianceand enforcement
programs? Well, if you want your countries' industries to be internationally competitive, you'll
need them to be up to speed on environmental management.  Many companies are already
lining up for ISO 14000 certification.
        Voluntary ISO standards will not of course  solve many of the global environmental
issues  that face us today. There will still be a pressing need  for  legally-binding and global
environmental agreements such as the Convention on the Illegal Trade in Endangered Species
of Wild Fauna and Flora (CITES), the Montreal Protocol on Substances that Deplete the Ozone
Layer, and the Basel Convention on the Control of Transboundary Movements of Hazardous
Wastes and their Disposal, and the Convention on Biological  Diversity. UNEP provides the
secretariat and other support for each of these multilateral agreements but relies on  national
governments to ensure compliance and enforcement.

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                                           OLEMBO,  REUBEN:  KEYNOTE ADDRESS   41
3      CLEANER PRODUCTION  AND ENVIRONMENTAL LAW

       Environment protection  and sustainable development, public  demand, industry
expectations, and international trade standards and agreements are the key driving forces to
keep in mind throughout the week. If I could add just one other thing to keep in mind throughout
the exchange of your experiences it is the whole issue of how to use government compliance
and enforcement programs to promote a cleaner production approach among the regulated
community. In the past, too much effort has been directed at single media enforcement (e.g.
clean air, solid or hazardous waste, water treatment) which has too often led to an end-of-pipe
reaction by the regulated community, and merely transferred environmental pollutants from one
medium to another. Any initiatives that are on the way to promoting cleaner production need to
be highlighted in your exchange of ideas.
       Helping governments to strengthen their institutional capacity to implement Agenda
21 is a key priority for UNEP. UNEP's Environmental Law Unit provides support to governments
in developing the legislative framework needed for their country's environmental protection,
and you will be hearing more about the environmental law activities from Lai Kurulkulasuriya
from our Regional Office for Asia and the Pacific. UNEP's Industry and Environment office has
a twenty year history of working with governments, industry and NGOs in institutional capacity
building for industrial compliance, particularly  in the areas of cleaner production, accident
prevention and emergency preparedness, and environmental technology assessment. Later
today, John Skinner, Senior Advisor at UNEP Industry and Environment will be telling you about
these activities. And UNEP lE's training manual on "Industrial Environmental Compliance" will
be used during the UNEP workshops on Wednesday to set the context for regionally focused
discussions.


4     CONCLUSION

       To conclude my address, I want to really thank the organizers of this conference. I can
imagine the uphill battle it must have been to pull this together, particularly in today's climate of
government cutbacks. But the need for international exchanges on environmental compliance
and enforcement are essential if we are to move towards a cohesive global society meeting its
peoples needs without undermining its ecological  basis. UNEP is pleased to be associated
with such a commendable effort, and would like to give a warm thanks to our partners in this
conference the US EPA, the Dutch Ministry of Housing, Spatial Planning and the Environment,
Environmental Law Institute, Environment Canada, the European Commission and our hosts,
the Thailand Government.
       Thankyou.

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42            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                             CASCIO, JOSEPH    43
IMPLICATIONS OF IS014001 FOR REGULATORY COMPLIANCE

CASCIO, JOSEPH

Chairman, U.S. Technical Committee207 for International Standard Organization 14000,
IBM Corporation, P.O. Box 100, Somers, New York 10589, United States


1       INTRODUCTION

        The International Standard Organization (ISO)  14000 series  of environmental
management standards embodies a new approach to environmental protection. In contrast to
the prevailing command-and-control model, it challenges each organization to take stock of its
environmental aspects, establish its own objectives and targets, commit itself to effective and
reliable processes and continual improvement, and bring all employees and managers into a
system of shared and enlightened awareness and personal responsibility for the environmental
performance of the organization. This new paradigm  relies on positive motivation and the
desire to do the right thing, rather than on punishment of errors. Over the long term, it promises
to establish a solid base for reliable, consistent management of environmental obligations.
        Recent industrial accidents, some entailing significanthuman and environmental harm,
have proved that regulatory compliance is not enough to ensure against environmental
degradation. As it became clear that  compliance was not a complete prescription for
environmental protection, an awareness arose that a more proactive system was needed. ISO
140011, the foundation of the entire ISO 14000 series, is such a proactive environmental
protection strategy in which regulatory compliance is but one of the elements of a more inclusive
and all-encompassing approach.
        ISO 14001, the  environmental  management system (EMS)  standard,  provides a
framework to direct the use of organizational resources to the full breadth of actual and potential
environmental impacts through reliable management processes and a  base of educated and
committed  employees. Regulatory compliance is now a normal result of this management
strategy, along with awareness, sensitivity,and preparedness,greater reliabilityand consistency
in meeting  environmental objectives, and greater confidence in the organization's ability to
prevent accidents.
        After decades of focusing on compliance with  government regulations, however, the
regulated and regulating communities will need to engage in some rethinking to look beyond
compliance as the measure of an organization's environmental achievement. Compliance will,
of course,  lose  none of its importance  in an organization's operations. But it would be
shortsighted to view ISO 14001 as merely a tool to achieve compliance, and those who insist
on doing so will incur the  costs of implementing the EMS without reaping its full benefits. It is
imperative, therefore, that everyone involved with ISO 14001 understand its wider purpose
and avoid trivializing it by setting its value only with  reference to its impact on  regulatory
compliance. ISO 14001 is a significant and consequential development in our ability to protect
and preserve the environmental resources of our planet-transcendingthe regulatory compliance
approach—and  must be valued accordingly by both users and regulators.
        There should be no illusion that ISO  14001 will be easy to  implement. Even
organizations with sophisticated environmental programs will find ISO 14001 challenging. The
organization must inventory and then assess  all  environmental  aspects of its operations,
products, and services. Regulations may apply to many of these, but they are not likely to apply
to all. The standard calls for a system that produces reliable and effective management. While

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44            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


regulations call for compliance, they generally do not include requirements for management
systems. ISO  14001  expects all employees to be trained and competent in  handling the
environmental consequences  of their work. This  requires the infusion of environmental
awareness and attitudes in all workers. Broadly, the result overtime is a shift in culture to one
that is as sensitive to the environment as to production schedules and product design. Few
regulations require such far-reaching changes in the mental attitudes of all employees.
        It is also true, however, that the diffusion  of environmental  responsibility from the
environmental engineering function to all employees in the enterprise will  be the biggest
challenge and one that, in the short term, may carry some risk of administrative noncompliance,
as employees learn documentation and other record keeping tasks. But, since the goal is to
broaden the organizational base of environmental responsibility, we must be willing to accept
the possibility of these types of errors during the early phases of implementation. Thus, it needs
to be understood that conformance is IS014001 is not likely to result in an immediate change
in the organization's compliance posture.
2       AWARENESS OF APPLICABLE LAWS AND REGULATIONS

        ISO 14001 requires  an organization to be aware of all environmental laws and
regulations applicable to its environmental aspects. This requirement will compensate, to a
considerable extent, for the ignorance that prevails in places where such laws are not enforced.
Today, many organizations throughout the world have only a vague notion of the laws they are
subject to. ISO 14001 may also lead some countries to discover that they have many more
laws on their books than they can ever enforce, given their resources. Whereas in past years
developing countries were encouraged to adopt environmental laws from more-developed
countries, compliance and enforcement may have become challenges that strain both the
societal commitment and the institutional capacity for proper execution.
        In other instances, a country may have adequate regulatory mechanisms but not the
resource infrastructure for effective implementation. This is a structural problem that cannot be
addressed through a management standard alone. However, awareness of applicable laws is
the first step in the right direction,  and  it may,  through its own compelling dynamic,  spur
evolutionary changes in behavior, technological  investment, and institutional will to build the
necessary infrastructure.
3       PROMOTION OF PROCESS TO MAINTAIN REGULATORY COMPLIANCE

        ISO 14001 is expected to  promote the  development of processes to maintain
environmental compliance. While compliance with all applicable laws may be difficult or elusive
in many countries, ISO 14001 expects organizations to implement processes to maintain such
compliance. In countries where enforcement is strict, compliance processes are a part of doing
business and can simply be integrated into the overall management system. In countries where
enforcement is either lacking or ineffectual, ISO 14001 will provide the needed (and in some
cases the only) impetus to develop processes to reach and maintain compliance. In effect, the
standard encourages compliance processes, even in countries where compliance  and
enforcement have not traditionally been strong. Of course, knowledge of the applicable laws is
a prerequisite for establishing any compliance process.

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                                                               CASCIO,  JOSEPH   45
        In some developing countries, compliance options will be limited by deficiencies in
both organizational resources and available infrastructure. As noted above, infrastructure plays
a key role in compliance, since it is very difficult to be in regulatory compliance without the
necessary infrastructure. For instance, if there are no recycling facilities in an area, the law that
requires recycling is difficult, if not impossible, to comply with. In these cases, organizations
may be disadvantaged in meeting the requirements of ISO 14001, since their implementation
of credible compliance processes may require greater efforts to overcome structural national
deficiencies. If there are no reasonable ways to be in compliance with specific country laws, an
organization will not be able to implement a compliance process to meet those laws.
        Conceivably, this situation  may provide impetus for some countries to redraft their
environmental laws so that they match their existing resources and capabilities. Although
redrafting laws to match resources and capabilities may weaken the legal framework in the
short term, the overall effect is to increase the ability of organizations to comply with legal
requirements. As the infrastructure  of a country improves, laws can be made progressively
strict. The overall effect is to increase the credibility of all parties involved with environmental
progress, including legislators, organizations, and enforcement authorities.
        On the other hand, countries with an economy that is strong enough to provide an
environmental infrastructure should opt to build this infrastructure to match the requirements of
their existing laws. Such a step could improve environmental performance immediately, and is
obviously preferable to weakening existing laws.
        It must be remembered that under IS014001, no proof of actual compliance is actually
required for an organization to obtain registration. IS014001 requires only evidence of working
processes that are designed  to maintain compliance.  It is certainly a great desire and
expectation that, over time, efforts to implement such processes will lead to more consistent
compliance and more supportive infrastructures where they are needed.
4       REGULATORY AND LEGAL IMPLICATIONS INTHE UNITED STATES

        There is growing interest in the United States about using ISO 14001 for regulatory
complianceand enforcementprograms. Whilethe U.S. Environmental Protection Agency (EPA)
and the U.S. Department of Justice (DOJ) have not taken official positions on its use, there is
some interest from both government bodies, and agency representative have held preliminary
discussions with leaders of the U.S. Technical Advisory Group (TAG).
        Official positions from these authorities are not expected before the standards are
finalized and judged to be successful. To a significant extent, that success will depend on the
integrity and reliability of the third-party conformity assessment system. Government authorities
will want some evidence or justification for placing their reliance on ISO 14001 registration.
Such evidence must cover the accreditation and registration processes, including the rigor of
third-party assessment, the independence of auditors, and the use of appropriate professional
safeguards similar to those used in financial audits.
        Regulators in the United States will have to consider many factors as they decide how
to weave ISO 14001 into compliance programs. An organization that has been registered to
ISO 14001 will have demonstrated its good-faith,  voluntary efforts to  better  manage its
environmental responsibilities and maintain compliance with applicable laws and regulations.
In addition, a certified organization will have taken steps to inculcate a sense of responsibility
and an environmentally conscious culture in its employees. Presumably, such an organization
merits consideration from the regulators and deserves credit for its efforts. Credit could come

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46           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


in the form of expedited permitting,  less frequent agency audits, or other means.  These
incentives would motivate organizations to establish an effective EMS, with the goal of continual
improvement of the system, and then to become registered to ISO 14001.
        Regulators are also likely to consider registration in their exercise of prosecutorial
and sentencing discretion. Both the Environmental Protection Agency and the Department of
Justice use guidelines to weigh evidence of environmental management systems for these
purposes. It is reasonable to expect that ISO 14001 may become the model used, particularly
since it covers a wider number of management elements than the Department of Justice
guidelines and, most important, encourages third-party audits for certification. It is important,
however, that regulators not use the absence of IS014001 as a penalty against an organization.
Since ISO 14001 is a voluntary standard, the only appropriate approach is to  reward those
who use it, not to punish those who do not. Care must also be taken not to depreciate the
significance of ISO 14001 by giving it an insignificant role in voluntary or regulatory schemes.
IS014001 transcends the limited achievements of regulatory compliance and should be justly
valued and accorded the recognition it deserves.
        Further, it can be expected that some courts of law will use ISO 14001 as a measure
of standard commercial practice or reasonable care. Showing conformance to the elements of
ISO 14001 could be very advantageous in civil and criminal liability suits. Indeed, evidence of
registration to ISO 14001 is likely to have standing in a court of law, and could  be used as a
test to determine if an organization is practicing sound environmental management. Again, the
difficulty here is to avoid punishing those who have not implemented ISO 14001. Punishment
is certainly not the intent, and we should remain watchful to make sure the standard is not used
in that way.
5       EQUALIZING OF INTERNATIONAL REGULATIONS

        Over time, ISO 14001 will be a force of equalization of environmental regulations
between countries. Although this may take many years to accomplish, the author believes that
implementationof IS014001 will ultimately pressure countriesto harmonizetheirenvironmental
laws.
        As organizations around the world begin developing and implementing EMS programs
that conform to ISO 14001, their abilities to undertake more  sophisticated environmental
protection strategies will increase. Just as the implementation of individual elements of ISO
14001 increases an organization's overall environmental awareness and, consequently,  its
environmental care, so it follows that as an EMS continues to improve, the protection capacity
of the organization will be enhanced. As this happens with more and more organizations,
government  leaders may actually see less resistance  to  reasonable and cost-effective
environmental protection measures. Thus, as ISO 14001 helps organizations become more
sophisticated in environmental protection,  it lays the groundwork for governments to create
legislation that is more protective of the environment.
        In addition, once ISO 14001 is implemented, compliance to national laws will  be
improved, since it is a requirement in the EMS standard for an organization to have knowledge
of and to follow existing country laws. As regulators find that compliance is increasing, there
will be greater impetus to continue the evolutionandreformationoftheircountry'senvironmental
laws.

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                                                              CASCIO, JOSEPH   47
       An international accreditation and registration system will also serve to spotlight the
relative status of national capabilities, including legal frameworks and enforcement programs.
Over time, ISO 14001 registrars will increase their expertise in  comparing environmental
requirements around the world. As ISO 14001 proliferates, the strengths and weaknesses of
national regulatory schemes will become apparent. It is reasonable to assume that certain
countries will feel compelled to bring their regulations to a higher level. In particular, countries
that have the technical infrastructure for managing pollution and waste (e.g., hazardous waste
management units, recycling facilities, and abatement control systems) will come under subtle
pressure to upgrade their legal structures.
6       CONCLUSION

        Certainly, no one in the regulated community wants ISO 14001 to become an engine
for more regulation around the world. To the contrary, the desire is to promote voluntary
management systems which have benefits far in excess of those derived from mere compliance
with regulations and which, over time, can supplant the command-and-control model. This is
the ultimate aspiration. In the interim, however, the management standards will coexist with
country laws and regulations which, for now, are still the major incentive for many organizations.
        REFERENCE

1.    IS014000 is the International Standards Organization's final draft Voluntary Standard
     for Environmental Management Systems.

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48            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                          VASQUEZ, RACHEL   49
THE IMPACT OF DRIVING FORCES ON ENVIRONMENTAL COMPLIANCE
AND ENFORCEMENT PROGRAMS — THE PHILIPPINE EXPERIENCE

VASQUEZ, RACHEL

Assistant Director, Environmental Management Bureau, 99-101 Topaz Building, Kamias
Road, Quezon City, Philippines


1      INTRODUCTION

       The Philippines is known to have more than enough environmental regulations but
only lacks the resources and "political will" to implement them. These have been shown by the
data gathered on the number of Environmental Compliance Certificates issued and the number
of Cease and Desist Orders served and executed.
       There are about 11,000 manufacturingfirms in the country. About 50% of the industries
are located in Metro Manila. The main manufacturing industries are textiles, pulp and paper,
sugar, alcohol and distilleries, desiccated coconut, food manufacturing, plastics and consumer
goods, whose processing cause the most pressing pollution and solid waste problems. The
major urban centers,  other than the National Capital  Region,  are also beset with slum
proliferation with the accompanying pollution and solid waste problems arising from inadequate
infrastructure systems unable to cope with rapidly growing populations. In Metro Manila, for
example, a commissioned study showed that 38% of river pollution loads come from industrial
sources, 40% from domestic liquid wastes and 22% from uncollected solid waste and reaching
waterways during rain periods. Metro Manila also has set up a solid waste management system
to handle the domestic solid waste generated throughout the National Capital Region. Similarly
in other urban centers, such as Cebu, Davao, Baguio, Cagayan de Oro City, local governments
have provided some form of solid waste collection and disposal systems. But in rural areas,
there are hardly any systematic approaches to the solid waste management problem.
       Thus, the major environmental problems include treatment and disposal of wastewater
(both domestic and industrial), solid waste (domestic and industrial), and hazardous waste.
We have only two sanitary landfills, which accommodate both domestic and hazardous waste.
2       DRIVING FORCES

2.1     Environmental laws

        The concept of environmental protection is promised under one basic law which is
Presidential Decree No. 1151, known as the Philippine Environmental Policy, which declared
a continuing policy of the state (a) to create, develop, maintain and improve conditions under
which man and nature can thrive in productive and enjoyable harmony with each other; (b) to
fulfill the social, economical  and other requirements of present and future generations of
Filipinos; and (c) to ensure the attainment of an Environmental quality that is conducive to life
of dignity and well-being.
        A major piece of legislation concerning the environment is Presidential Decree 1586.
This law established the Environmental Impact Statement system which requires all agencies
and instrumentalities of the national government, including government-owned or controlled

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50            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


corporations, as well a private corporations, firms and entities to prepare, file and include in
every action, project or undertaking which significantly affects the quality of the environment
the following:

        •  The environmental impact of the proposed action, project or undertaking
          including any adverse environmentaleffect which cannot be avoided should
          the proposal be implemented.
        •  The mitigating measures to minimize adverse environmental effects.
        •  Alternatives to the proposed action.
        •  A determinationthatthe short-term uses of the resourcesof the government
          are consistent with the maintenance and enhancement of the long-term
          productivity of the same.
        •  Whenever a proposal  involves the use of depletable or nonrenewable
          resources, a study must be indicated that such use and  commitment are
          warranted.

        In short,  the proponent of any project which is a  potential  source of environmental
pollution/degradation is required to secure an Environmental Compliance Certificate from the
Department  of Environment and Natural Resources/Environmental Management Bureau by
submitting an Environmental Impact Statement. This law provides sanctions for noncompliance
with the Environmental Impact Assessment requirement.
        The enactment of another environmental law, Republic Act 6969 (Toxic substances,
Hazardous and Nuclear Waste Control Act of 1990) further mandated  the Department  of
Environment and  Natural Resources to regulate hazardous and nuclear wastes as well as toxic
substances in the Philippines.
        Republic Act 6969 declared it a policy of the state to regulate, restrict or prohibit the
importation,  manufacture, processing, sale, distribution,  use  and disposal of chemical
substances and mixtures that present unreasonable risk and/or injury to health orthe environment;
to prohibit the entry, even in transit, of hazardous and nuclear waste and their disposal into
Philippine territorial limits for whatever purpose;  and to provide advancement and facilities
research and studies on toxic chemicals and hazardous and nuclear wastes.
        The system's scope was also delimited to "environmentally critical projects or projects
to be located in environmentally critical areas" (identified in Presidential Proclamation No.
2146). Presidential  Decree 1586, however, become operational only in 1982.
        Prior to this,  the system underwent transition from a decentralized  process to a
centralized one, starting December 23,1979 by virtue of a National Environmental Protection
Council Special Memorandum. The National Environmental Protection Council was the agency
responsible for implementing Presidential  Decree 1586. From the lead agencies, processing
of Environmental  Impact Statement documents and issuance of Environmental Compliance
Certificates for projects which have satisfactorily complied with the Environmental Impact
Assessment requirement, was centralized  in the National Environmental Protection Council.
        For  the  past decade, government exerted efforts to implement provisions  of
Presidential  Decree No. 1152 orthe Philippine  Environment Code. Such  efforts were on
concerns like waste management, air and water quality management, environmental education,
environmental  research and tax incentives, among others. While these efforts were limited
they, nevertheless, laid down the groundwork for subsequent environmental  management
undertakings in the  nineties.

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                                                             VASQUEZ, RACHEL    51
        Republic Act 3931 was subsequently amended in 1976 by Presidential Decree 984
which abolished National Water and Air Pollution Control Commission and created, in its stead,
the National Pollution Control Commission. The National Pollution Control Commission was
vested with greater powers, among which are as follows:

        •  The power to impose an ex-parte Cease and Desist Order on two grounds:
          a) when there is immediate threat to life, public health, safety or welfare, or
          to animal or plant life;  or b) when the wastes or discharge exceeds the
          allowable standards set by the Commission.
        •  The expressed power to order closure of a firm for nonpayment of fines.
        •  The decision of the National Pollution Control Commission is considered
          final and may be appealed only to the Court of Appeals on questions both
          of facts and law, or to the Supreme Court on questions of law.

        At present, House Bill No. 4 which is "an Act to Revise the Philippine Environmental
Code, defining its scope and integrating all other laws relative thereto" is being deliberated in
both Senate and the House of Representatives of Congress. This act will be referred to as the
"Revised Philippine Environment Code of 1996" the salient features of which are the following:
        The major legislationgoverning pollution control is Republic Act No. 3931 which created
the National Pollution Control Commission. The law declared it a national agricultural, industrial,
etc., utilization. This mandate provided for the establishment of reasonable standards for air,
water and noise. Presidential Decree 984 was then amended  by Executive Order No. 192
merging the National Pollution Control Commission, National Environmental Protection Council
and Environmental Center of the Philippines into the Environmental Management Bureau and
placing this Bureau under the Department of Environmentand Natural Resources. The Pollution
Adjudication Board was likewise created under the Office of the Department of Environment
and Natural Resources Secretary.


2.2     Permits and licenses issued by Department of Natural Resources regional offices

2.2.1    Environmental compliance certificate
        Permitting is the most fundamental regulatory element within any command-and-control
system. It controls the discharges from pollution sources. As a matter of practice in the
Philippines,  it is routine to include the permitted discharge  limits in the Environmental
Compliance Certificate that is pursuant to the Environmental Impact Assessment process.
Thus instead of using the Environmental Impact Statement System as a planning tool, this has
become a regulatory tool. This practice may result from the permit language of Presidential
Decree 984 itself where emphasis is usually placed on the "permit to construct" or the "permit
to operate", as distinguished from the "discharges" from the facility. These practices encourage
enforcement of the permit through both the Environmental Compliance Certificate as well as
Presidential Decree 984. This is an inefficient process that tends to put the Environmental
Impact Assessment process at the center of all environmental management in the Philippines.
While this may be appropriate at the front end of the development process in the Philippines,
it will be wastefully duplicative of resources as the  national development program matures.
        Permit management functions ordinarily include the establishment of discharge limits
pursuantto a standard, and monitoringthe perm it holder's compliance therewith. These functions
are presently performed by the Department of Environment and Natural Resources regional

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52            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


offices for those industries that fall outside the Environmental Impact Statement prescriptive
list of ECPs and (theoretically) for those industries that pre-existed the Environmental Impact
Statement system (before 1982).

2.2.2   Permit to operate and authority to construct

        The regulatory  power exercised by the Department of Environment and Natural
Resources Regional Offices, particularly the Environmental Management and Protected Areas
Sector, consists of the power to issue permits as stated in 2nd paragraph, Sec. 8, Presidential
Decree 984, to wit:

        "A/o person shall perform any of the following activities without first securing a
        permit from the  Commission for the discharge of all industrial wastes and other
        wastes which could cause pollution: 1) the construction, installation, modification
        or operation of any sewerage works or any extension or addition thereto; 2)
        increase in  volume or strength of any wastes in excess of the permissive
        discharge specified under any existing permit; and, 3) the construction,
        installation or operation of any industrial or commercial establishment or any
        extension or modification thereof or addition thereto, the operation of which would
        cause an increase in  the discharge of wastes directly into the water, air and/or
        land resources of the Philippines or would otherwise alter their physical, chemical
        or biological properties in any manner not already lawfully authorized."

        In practice, the Regional Offices issue two kinds of permits. One is the Authority to
Construct, which is issued once before the construction of the antipollution device and after the
plans and specifications are approved. The other is  the Permit to Operate which is issued
yearly to authorizethe continued use of the air and water pollution control device and air pollution
source. Water pollution sources are not subject to annual re-issuance of the Permit to Operate.
The annual permit review and re-issuance of Permit to Operate is not mandated by Presidential
Decree 984, thus, permit life is a matter of internal guidance by the Department of Environment
and Natural Resources.
        There are 3 requirements for the issuance of the Permit to Operate:

        •   Prior issuance of the Authority to Construct.
        •   Inspection which shows that the conditions imposed in  the Authority to
           Construct are complied with  (i.e., the antipollution  device is properly
           maintained and still sufficient).
        •   The antipollution device passed the test for efficiency.

        Should any of the requirements be absent, a temporary permit, which is effective only
for six (6) months, may be issued. Usually, the failure to complete the requirement is caused by
the inability of the Regional Office to conduct the necessary inspection or test because of lack
of transportation, budget for travel, testing equipment, laboratory, and trained personnel.

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                                                            VASQUEZ,  RACHEL   53
2.3    Monitoring, compliance and enforcement

2.3.1   Environmental compliance certificate conditionalities

       For development projects, compliance to the conditionalities set forth in the
Environmental Compliance Certificates is being monitored by the Environmental Management
Bureau and the Department of Environment and Natural Resources Regional Offices.

2.3.2   Environmental quality standards

       Compliance to the standards on air and water quality set forth in the Implementing
Rules and Regulations of Presidential Decree 984 is being monitored by the Department of
Environment and Natural Resources Regional Offices. This is usually done once a year prior to
the issuance of the annual Permit to Operate.

2.3.3   Republic Act 6969

       Compliance to the requirements set forth in the guidelines of the Republic Act is being
monitored by the Environmental Management Bureau.
       Monitoring as to compliance to the conditionalities of the Environmental Compliance
Certificates and to the air and water quality standards is very ineffective.
3       IMPACTS OF DRIVING FORCES

3.1      Environmental laws

3.1.1    The Philippine environmental policy and the Philippine environment code

        Unfortunately these twin laws failed to truly integrate environmental quality protection
and natural resources management with the result that policy conflicts between these two fields
often arise. While comprehensive statutory policies were enunciated in Presidential Decree
1151 and 1152, specific legal rights, for which specific remedies in law can be invoked, were
not provided. Further legislation was necessary to translate these policies into substantive,
actionable rights and provide specific environment for governance. Nevertheless, these laws
provide an excellent frame of reference upon which subsequent environmental laws can be
analyzed. Presidential Decree 1152, in particular, is considered the touchstone to determine
the comprehensives of other enabling legislation and administrative promulgations.

3.1.2    Environmental impact statement

        The number of Environmental Impact Documents submitted and processed from June
1978 to December 1979, is quite difficult due to the decentralized nature of the Environmental
Impact Statement system then and  the erratic reporting procedure of the lead agencies.
December, 1979 to December 1980 was still a transition period during which some agencies
were still processing Environmental Impact Statement  documents although the authority to
process and review such was  already lodged with the National Environmental  Protection
Council.
        From January 1981 to December  1989, a total of 5,231  environmental impact
documents were submitted to the implementing agency. Of these, 4,366 or 83% constituted
sand and gravel projects, which were reviewed based on the cumulative impact and existing
guidelines on sand and gravel extraction drawn up  by the National Environmental Protection

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54           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Council and the Bureau of Mines and Geosciences (BMG). Table 4 provides the number of
environmental impact documents processed from 1981-1989,  excluding sand and gravel
projects. Of the 865 Environmental Impact Documents,  840 were issued Environmental
Compliance Certificates. A breakdown of Environmental Impact Documents submitted to the
Environmental Management Bureau by project type for the same period is given in Table 5.
Nonmetallicmining had the highest number of applications, followed by subdivision and metallic
mining.  From  1990 to 1995, there were 1349 Environmental Compliance Certificates issued
by the Environmental Management Bureau.

3.1.3   Presidential Decree No. 984

        Despite the creation of a powerful body, the National Pollution Control Commission
failed to make a dent on the pollution control efforts of the government. This is partly due to the
fact that it was not provided with the financial and personnel resources necessary to carry out
its mandate. Moreover, an interviewwith a former National Pollution Control Commission official
has revealed that the industries were then very supportive  of the Marcos government, and in
turn, whatever Cease and Desist Orders or closure orders the National  Pollution Control
Commission may have planned to issue had to be "cleared with "Malacafiang," which gives the
industries "very strong support". Evidently, the National Pollution Control Commission did not
have the political backing of the President, from whom all  powers of the government at that
time, including legislative and judicial, emanated.
        The Pollution  Adjudication Board assumed the  powers and  functions of the
Commissioners of the National Pollution Control Commission with respect to the adjudication
of pollution cases under Republic Act No. 3932 and Presidential Decree No. 984. As of 1989,
a total of the 160 cases were filed with the body. Of these, it had deliberated  on 57 cases.
Fourteen (14) respondents were fined while twenty-three (23) had their Cease and Desist
Orders temporarily lifted.
        This power to issue permits is generally perceived by the field officers to be a useful
regulatory tool. Some  of the observations/recommendations  on the existing permitting
requirements are:

        •  The requirement for annual renewal ensures that the Regional office staffs
          don't lose contact with the industrial establishment even when these lack
          in the necessary logistics to conduct regular inspections. Industries come
          to the Department of Environment and Natural Resources  with the
          information  required of them. This is especially useful in monitoring the
          activities of small and medium-scale industries which the Department of
          Environment and Natural Resources usually see only once a year during
          the period for renewals of the Permit to Operate. At present, the Department
          of Environment and Natural Resources has  issued more temporary
          permits, with six month effectivity, than regular  permits. The constraint is
          on the Department of Environment and Natural Resource's part, on  their
          inability to conduct timely inspection and testing.
        •  There is the need to study whetherthe Permit to Operate should be renewed
          on a yearly basis. This function makes the Department of Environment
          and Natural Resources mainly an industry-regulatingoffice when resources
          should be devoted rather to initiating, supporting,  and implementing
          environmental protection programs. It is also consuming too much of the
          industry's time and effort when the burden of monitoring should be on the

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                                                             VASQUEZ, RACHEL    55
          Department of Environment and Natural Resources. It is better to simply
          require the industry to install a self-monitoringdevice and to regularly submit
          reports together with the result of the indicators in their analyzer or
          monitoring equipment. The Regional Office can then just perform spot-
          checking instead of inspecting all the industrial plants in the region yearly.
       •  The Regional Office devotes most of its time conducting routine inspections
          related to  issuance of permits. Authority to Construct is a meaningful
          regulatory mechanism because the Department of Environmentand Natural
          Resources can already put in place, at the construction phase, the
          company's pollution control scheme. The Department of Environment and
          Natural Resources gets the chance to examine the plans and specifications
          for the antipollutiondeviceto determine its sufficiency and appropriateness.
       •  One weakness in the Department of Environment and  Natural Resources'
          permitting regulation is the lack of power of the Regional Office to stop the
          industry from constructing and operating  the antipollution  device or
          undertaking activities that cause pollution. The Department of Environment
          and Natural Resources should have this power. Right now, the Department
          of Environment and Natural Resources can only impose a "compromise
          penalty" of P1.000.00  (US $26,192) pursuant  to an  National Pollution
          Control Commission Memorandum, Series  of 1986 in case of failure to
          secure Authority to Construct.

       A perusal of Presidential Decree 984 will readily show that the present practice does
not satisfy the mandate of the law. The permitting regulation practice at present is confined to
the proper construction and  maintenance of the pollution control device. In contrast, the law
authorizes the licensing of increases in volume or strength of any wastes discharged and the
construction, installation or operation of any industrial or commercial establishments which
would cause an increase in the discharge of wastes. This means permitting regulations should
cover the volume and concentration of discharges (the implication being  some limitation on
cumulative effects), and the construction/installation  of all pollution sources, not just those
affecting air. Thus, in this instance, regulatory practice needs to catch up to the breadth of the
statutory mandate. In addition, further thought should be given to increasing permit life to, say,
five years and then concentrating on compliance monitoring with regular reports on emissions
sent to the Regions by industry.

3.1.4   Republic Act 6969

       Implementation of this law only involves the issuance of importation clearances for
importation  of toxic chemicals and recyclable  materials. Implementing guidelines have just
been drafted and we are starting the implementation now.
3.2     Social acceptability/public participation

        The continuing development and refinement of the Environmental Impact Assessment
process brought into focus public participation and social  acceptability concerns in
environmental assessment and monitoring. Several major projects were shelved due to non-
issuance of Environmental Compliance Certificates because of public opposition.

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56           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        The Department of Environment and Natural Resources Administrative Order No. 21,
Series of 1992 (DAO 21, s. 1992) reflects this  new perspective not only to provide the
mechanism for Environmental Impact Assessment monitoring but to recognize the importance
of public participation in development activities. Public participation should start right in the
scoping phase, in the conduct of the Environmental Impact Assessment and until the conduct
of the public hearing.


3.3     Philippine Council on Sustainable Development

        The Philippine Council on  Sustainable  Development is  a post-United Nations
Conference for Environment and Development national council established by President Fidel
V. Ramos through Executive Order No. 15 dated September 1,1992. The primary task of the
Philippine Council on Sustainable Development is embodied, in broad terms, from the following
words of President Ramos:

      "To ensure that the commitments made at  Rio de Janeiro,  and the implications of
      the Earth Summit to the Philippines are implemented, periodically monitored and
      coordinated at the global level..." (Speech delivered during the conference entitled:
      The Philippine Agenda 21:  Reaffirming our Commitments to the  Earth Summit,
      September 1992)

        The Philippine Council on Sustainable  Development  has the following
          mandates:

        •  Review and ensure the implementation of the Philippine commitments to
          sustainable development principles made at the United Nations
          Conference for Environment and Development.
        •  Establish guidelines and mechanisms to concretize and operationalize
          the sustainable development principles embodied in the Rio Declaration,
          United Nations Conference for Environment and Development, National
          Conservation  Strategy, and the Philippine Agenda 21, and incorporate
          them in the preparation of the Medium Term Philippine Development Plan
          at both the national and local levels.
        •  Provide directions  in the form of policy  reforms, program and new
          legislations to address continuing and emergent issues and to chart future
          actions related to environment and development.
        •  Act as a coordinating mechanism, in cooperation with the Department of
          Foreign Affairs — Office of the United Nations and other International
          Organizations, the United Nations Commission  on Sustainable
          Development  and other international organizations, on the provision of
          assistance and  cooperation  towards the fulfillment of Philippine
          commitments  to the United Nations Conference for Environment and
          Development.
        •  Formally adopt a Philippine Agenda 21 and develop national sustainability
          plans.

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                                                            VASQUEZ,  RACHEL   57
       The Council is reportedly the first body in Asia to be established in connection with the
creation of the United Nations Commission on Sustainable Development to monitor and report
onthelevelofcomplianceofcountriestocommitmentsmadeinRio. As the national mechanism
for monitoring implementation of Philippine commitments made in Rio, the Council will report
to the United Nations Commission on Sustainable Development in this regard.
       The Council  is expected to take an active  role in  advocating for the effective
implementation on new environmental policies adopted under the current administration.
       It is one of the few government bodies that has adopted the principles of counterparting
and consensus-building in its structure. This distinction is highlighted in the following words of
President Ramos:
      "The Council has also reminded us how fruitful it is for both government and the
      private sector to join hands. The Council has given new meaning to the concept of
      counterparting—the government secretariat works harmoniously with its counterpart
      Non-Government Organizations/Private Organizations  secretariat. This is a work
      technique worth emulating in the other endeavors of government."


3.4     Philippine strategy for sustainable development

        Government  took cognizance of the need for a National Conservation Strategy
specifically through Section 16 (h) of Executive Order No. 192. Pursuant to this mandate, the
Environmental Management Bureau initiated a series of consultations with the different sectors
of society. On May 23-24, 1988, the Environmental Management  Bureau convened a multi-
sectorial  national workshop, the participants of which issued a formal resolution  urging the
President and Congress of the Republic of the Philippines to adopt and implement a Philippine
Strategy  for Sustainable Development. The Workshop also  generated the first draft of a
conceptual framework for the Philippine Strategy For Sustainable Development. Subsequent
consultations, such as the Symposium held on June 6,1988, the Senior Officials' Consultative
Forum on February 17, 1989, and regional multi-sectorial consultations, served  to further
crystallize and refine the framework. In its Resolution No. 37, dated November 29,1989, the
Cabinet approved the Conceptual Framework  of the Philippine  Strategy  for Sustainable
Development.
        The Philippine Strategy  For Sustainable Development  is basically the  country's
response to the worldwide call for undertaking development without destruction and "meeting
the needs of the citizens of today without limiting the options of future generations to fulfill their
needs". Specifically, "it aims to achieve and maintain economic growth without depleting the
stock of natural resources and degrading environmental quality."
        At its core are ten major strategies aimed at resolving and reconciling the diverse and
sometimes conflicting environmental, demographic, economic and  natural resources  use
issues. These strategies are:

3.4.1   Integration of environmental consideration in decision-making

        This will involve a fundamental realignment of development planning  objectives to
enable the merger of environmental and  economic considerations in decision-making.
Analytical tools and methodologies such as natural resource accounting, environmental impact
assessment and land use planning will be  utilized.

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58           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


3.4.2   Proper pricing of natural resources

        A price reform strategy will be employed which will take into consideration pricing of
environmental resources which have heretofore been considered free (air and water); proper
pricing of grossly underpriced resources such as timberand minerals; and payment for damages
to the environment, among others.

3.4.3   Property rights reform

        At the heart of the strategy is security of tenure for small-holder farmers and forest
occupants over primary resources. This is envisioned to result in self-regulationby the concerned
community or individual in the exploitation of natural resources. The Strategy would involve
utilization  of such instruments  and schemes as stewardship contacts,  small holder timber
concessions, artificial reef licenses, community forests, community fishing grounds and mining
cooperatives.

3.4.4   Conservation of  biodiversity

        This is simply an explicit recognition of the importance of preserving the country's wild
species and genetic diversity through the establishment of protected areas. It is seen as a
means to increase  the country's capacity to deal  with future questions on survival and
development.

3.4.5   Rehabilitation of degraded ecosystems

        Deliberate  rehabilitation efforts are deemed necessary in view of the massive
destruction of the country's ecosystems. A concerted action is planned involving massive
reforestation of denuded watersheds, mangrove re-plantation, cleanup and control of pollution
and revival of biologically dead  rivers.

3.4.6   Strengthening of residuals management

        The Strategy, rather than merely concentrating on "end-of-pipe" control systems, will
be primarily concerned with the  introduction of recent innovations in industrial process design
aimed at reducing waste streams. It will also entail resource recovery through recycling and
utilization of economic incentives to encourage  installation of  pollution control  facilities  by
industry.

3.4.7   Control of population growth and human resources development

        The planned population control program will not only be limited to controlling numbers
but will include health, education and rural development projects which will be implemented at
the regional and community levels.

3.4.8   Inducing growth in the rural areas

        Premised on the notion that economic recovery and long-term  stability depend  on
increasing incomes  and employment in the rural areas where the majority of the country's
population reside, the seven-pronged strategy will basically involve: a) empowerment of the
rural poor through participation  in policy-making and project implementation; b) accelerated
implementation of land reform; c) grant of equitable access to the rural poor to natural resource
use and benefits; d) removal of economic and public investment biases against the rural sector;
e) provision of infrastructureand  support services; f) establishmentand reinforcementof "growth
centers"; and, g) strengthening of social services such as education, health and nutrition.

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                                                            VASQUEZ, RACHEL   59
3.4.9   Promotion of environmental education

        Environmentaleducation is envisioned to enable citizens to understand and appreciate
the complex nature of the environment and its role in economic development, as well as, to
develop social values which will create the commitment and political will to deal with difficult
environmental and social issues.

3.4.10  Strengthening of citizen participation

        Nongovernmental organizations will be employed to mobilize the citizenry and make
them active participants to environmental management. The specific strategy to be employed
is the formation of a network among nongovernment organizations and government
organizations, to organize communities, conduct public information  campaigns,  conduct
research/situationassessments, undertakeenvironmentalsurveillanceand monitoringand other
similar activities.

3.5     Waste minimization
        Instead of attacking pollution problems by  the traditional "end-of-pipe" approach,
pollution reduction or waste minimization have been the government's main thrust. One of the
government's programs, the Industrial Environmental Management Project conducted Pollution
Management  Appraisals for industries. This resulted in the production of success stories
showing company's savings in water power, raw materials, etc.

3.6     Monitoring and enforcement

        Routine  monitoring for Environmental Compliance  Certificate compliance  is a
mandated function of Environmental Management Bureau and Department of Environment
and Natural Resources Regional Offices. The same mandate allows these agencies to initiate
participatory monitoring, which will be determined by project type, scale and impact. The main
difference between these two forms of monitoring is that participatory monitoring involves in
the introduction of multidisciplinary and multisectorial  group representing various interests but
working toward a common objective.
        In participatory monitoring, stakeholders and interest groups collaborate in gathering,
processing and evaluation environmental information.
        Participatorymonitoring is primarily aimed at determiningwhetherthe project proponent
is complying with the terms and conditions of the Environmental Compliance Certificates. At
the same time, participatorymonitoring is directed towards establishingthe actual environmental
impacts of the project. And upon comparison with the predicted impacts reported, it provides
a quality measure indicating areas for improvement of the Environmental Impact Assessment
conducted for similar projects or areas.

3.7     Devolution of functions to local government units

        Several environmental functions have been devolved  to the local government units
including the  issuance of Environmental Compliance Certificates for Kalakalan 20 projects
and sand and gravel and the execution of Cease  and Desist Order.

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60            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
3.8     Incentives

        Considered by industry to be one of the more positive programs of government, the
Tax Incentives Program authorized under Section 56 of the Code, granted the exemptions,
credits or deductions for the procurement, installation, utilization and manufacture of pollution
control equipment, devices, spare parts and accessories. Incentives ranged from fifty percent
to tariff duties and compensating tax to fifty percent of expenses actually incurred of research
projects undertaken  to develop technologies for manufacture of pollution control equipment.
The Program was administered by the National Environmental Protection Council in 1980 but
was terminated in 1985 when the prescription period for the incentives lapsed. Efforts were
made to extend the effect of the incentives but the legislative branch of government has not
come up with the laws of this effect. Only a little more than twenty (20) industrial firms were able
to avail themselves  of tax incentives  under the  program. Among  these were  San Miguel
Corporation, Kimberly Clark Philippines, LaTondena, Inc., Franklin Baker Corporation, etc.


4      CONCLUSIONS

       Thus, the government has initiated the following programs to address these impacts:

       •  A study on the possibility of issuing Authority to Construct and Permit to
          Operate instead of an annual  basis to a duration of three or five years.
       •  Continuous monitoring devices are being required  to industries and
          submission of data/reports to the Department of Environment and Natural
          Resources on a regular (quarterly) basis.
       •  Work-out with the Department of Trade and Industry to provide incentives
          to industries setting up these pollution control devices and waste treatment
          facilities.
       •  A shift towards market-based instruments (pollution change) combining
          with the traditional command and control.
       •  Strict enforcement of all environmental laws.
       •  Cooperating with nongovernment organization and private sector in  the
          compliance monitoring program.

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                                                          WAJDA, STANISLAW   61
THE IMPACT OF DRIVING FORCES ON ENVIRONMENTAL COMPLIANCE
AND ENFORCEMENT PROGRAMS - EXAMPLE OF POLAND

WAJDA, STANISLAW

Legal Advisor, EC Phare Program, Ministry of Environmental Protection, ul. Waweleska
52-54, Warsaw 00-922, Poland


1       INTRODUCTION

        The political  changes which occurred in 1989 set Poland on its transition to
parliamentary democracy and a market-based  economy. Since that time Poland has
substantially transformed its economic system. Central planning has largely been replaced by
market-oriented system.  The private sector has expanded rapidly. In 1992 Poland returned to
economic growth and in 1995 its Gross Domestic Product has increased by nearly 7 percent.
Now, annual expenditures on environmental Protection in Poland amount to about 1.3 per cent
of Gross National  Product (or roughly 1 billion USD a year), which is  comparable to the
percentage spent in the  Organization for Economic Cooperation and Development (OECD)
countries. Some 95 percent of the expenditures originates from domestic sources.
2       NATIONAL ENVIRONMENTAL POLICY

        Protection of the environment was high on the agenda of the round-table negotiations
held in 1989 which preceded the political changes. The negotiations and the political changes
that followed shortly allowed the development in 1991 of the National Environmental Policy
(NEP) which until now is the basic document in the field of environmental policy of the country.
It is broadly based on the principle of sustainable development and  identifies the following
main priority tasks:
        •   Halt further degradation of the environment by the reduction of pollutant
           emissions.
        •   Increase public awareness and public participation in decision making
           processes.
        •   Introduction of cleaner technologies to all sectors.
        •   Protection and conservation of the nature and natural resources.

        Weak compliance and lax enforcement are too well known facts from the period before
1989. Therefore the Policy declares law-abideness as one of the basic principles of the new
environmental policy. This means the necessity of reconstruction of the legal system and the
system of enforcement in such a way that each regulation will be strictly abided to, and that no
opportunities  will  exist for circumvention of the law for reasons of "public interests" or
"impossibility."
        The other important principles contained in the Policy is the "Polluter Pays Principle."
In the word of the Policy's strict implementation of the above principle means "placing full
responsibility, including material  liability, for the effects of pollution and other damages to the
environment, upon the originator, i.e. subject utilizing the environmental resources."

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62           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        To streamline  implementation of the Policy and the Rio de Janeiro Agenda 21, the
National Committee for Sustainable Development was established in 1994. The Committee
consists of the representatives of the Central Government, Parliament and various NGOs. The
Committee has reviewed various national policies includingenergy.transportationand industrial
policies.
        The National  Environmental Policy formulates actions aimed at environmental
improvements for various time horizons. Many actions since 1991  have led to achievements
of short term goals (1991-1993). There are grounds to believe that environmental degradation
in Poland has been halted and that in some areas there are even improvements. For instance
the volume of untreated sewage decreased by 36 %. In 1980 Poland emitted 4.1 ml tones of
SO2 and now only 2.7 ml tones. These results were only partly due to economic recession at
the beginning of the 1990s. After reaching, in 1994, the short-term horizon, the Implementation
Program Through the  Year 2000 was designed which envisages further environmental
improvement.
3       INTERNATIONAL COMMITMENTS

        International obligations assumed by Poland in the field of environmental protection is
another strong driving force in compliance and enforcement. Since Poland is a party to some
40 international treaties, it has strengthened its environmental policies to enable it to fulfill its
obligations especially as far as transboundary pollution is concerned. It is worthy to mention
that Poland signed the Second Sulphur Protocol in 1994 and ratified the UN Framework
Convention on Climate Change. In 1993 Poland introduced a CO2 emission fee of 0.04 USD
which will be gradually increased in the future. A great deal of the agents whose activities
pollute air with a transboundary effect had to undertake abatement measures.
4       ACCESSION TO THE ORGANIZATION FOR ECONOMIC COOPERATION
        AND DEVELOPMENT (OECD)

        From the very beginning of the 1989 political changes, Poland has pursued political
and economic integration with western Europe and with other Organization for Economic
Cooperation and Development Member States. An agreement defining principles of mutual
cooperation was signed with this organization in 1991. One of the basic preconditions of
Poland's membership is elimination of some gaps in Polish legislation by implementing of
organizations Council Acts related to environmental health and safety. To change this situation,
intensive drafting work was carried out on a Statute on chemical substances. In 1995 at the
next Organization for Economic Cooperation and Development meeting Poland stated that it
will adopt the Statute by the end of 1996.
5      INTEGRATION WITH THE EUROPEAN UNION

       Poland's willingness and determination to accede to the European Union is probably
the strongest multi-aspect driving force behind compliance and enforcement programs in the
country. Therefore it seems justified to present this development in more detail.

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                                                            WAJDA, STANISLAW   63
        In 1991, "The European Agreement, establishing an association between the Republic
of Poland, on the one part, and the European Communities and their Member States, on the
other part" established a framework for the progressive development of free trade in goods,
services and capital. In 1994, after entry into force of the European Agreement, Poland applied
for membership in the European Union. It is expected that negotiation on Poland's accession
to the European Union will start in 1998. As the European Union attaches a great importance
to environmental  protection,  Poland has already undertaken a great number of steps to fulfill
requirements for the membership.
        The European Agreement confirmed the importance of the principle of sustainable
development. Article 71.2 which provides  that "Policies designed to bring about the economic
and social development of Poland, in particular policies relating to industry including the mining
sector, investment, agriculture, energy, transport, regional development and tourism should be
guided by the principle of sustainable development. This entails ensuring that environmental
considerations are fully incorporated into such policies  from the outset". The European
Agreement says also  that cooperation shall seek to promote Community participation  in
Poland's efforts in both public and private sectors to modernize and restructure its industry,
which will effect the transition from a centrally planned system to a market economy under
conditions which ensure that the environmentis protected (Article72.1). In addition, cooperation
in the field of energy includes the environmental impact of energy production and consumption
as well as the promotion of energy saving and energy efficiency (Article 78.2).

5.1     Approximation of laws

        The European Agreement provides that the major precondition for Poland's economic
integration into the European Community is the approximation of the country's existing and
future legislation  to that of the Community (Art. 68). The approximation of laws includes also
the environment  (Art. 69). Approximation of Polish legislation extends over a period of 10
years, once the European Agreement came into force. It seems worthy to mention that the
acquis communautoire in the field of environment counts some 200 legal acts.
        An important step towards European Community membership is approximation  of
some of Poland's  environmental  standards to levels presently existing in the European
Community. Poland, like other Central and Eastern European countries, however, has some
environmental standards which are similar or even more stringent than the European
Community's or  its member countries' comparable standards. The stringency of Poland's
standards often does not correspond with the country's economic capabilities and therefore
these standards are not always adequately complied with or enforced.
        The harmonization process might offer a good opportunity to adopt feasible, realistic
and  enforceable  environmental standards. As the realization of these standards cannot be
achieved overnight, this process may be  accomplished gradually with European Community
standards as the ultimate goal.
        Harmonization of environmental  standards has become one of the central tasks for
the Ministry of Environmental Protection. This task is aided by the EC PHARE Program, mainly
by its sector devoted to institutional strengthening of environmental management.

5.2     The approximation infrastructure

        To develop a strong basis for the approximation process, the following steps were
taken:

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64            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        a. A project on publicationin Polish of the 9-volumecollection of the European
          Union legislation on environmental protection has been launched. This
          work, to be completed in 1996, will reflect the state of European Union
          legislation up to the end of 1993. The four first volumes of this publication
          are already available on the market. Publication of the work, containing
          also "5th Environmental Action Program for 1993 - 2000", will eliminate
          one of the hindrances  hampering the integration  process, namely the
          language barrier. The removal of this barrier will ensure wide access to
          the European Union legislation for politicians, decision makers, scientific
          and research centers as well as business circles.
        b.  A  project on the development of methodology for the evaluation of
          environmental protection costs was undertaken. A part of the project
          addresses costs of harmonization and implementation of European Union
          legislation in Poland. Here, a general conclusion can be made: without a
          thorough knowledge of harmonization costs and funding sources, it is
          difficult to draft in a responsible manner, legal acts that are supposed to
          express time horizons for attainment of environmental quality defined in
          the European Union standards.
        c. Another important project, already completed and also funded by PHARE,
          dealt with examination of law and practice in the Union and a few member
          countries (Spain, Portugal, the Netherlands and Germany), in terms of
          creating the so called  adjustment programs for  the requirements of
          environmental protection for the environmentally-unfriendly sectors of the
          economy, and to transferthe functioning European Union solutions to Polish
          law and practice.
        d. Enhancement of environmental management in Poland is a project which
          is still being implemented. It should result in detailed critical analysis of the
          existing state of environmental  management  in Poland and propose
          amendments to the existing environmental management system, mainly a
          comprehensive set of goals, tasks, competencies, procedures  and
          economic instruments in the field of environmental protection leading to
          enhancement of environmental management in Poland.  The proposed
          amendments, influenced also by respective European Union legislation,
          should include the most  rational division  (allocation) of tasks  and
          competencies between various administrative authorities and their levels.


5.3     The organization of the approximation process

        The approximation process of Polish environmental legislation is regulated by two
Decisions of the Council of Ministers: Decision 16/1994 and the Decision 133/1995.
        The approximation  process, commenced  already in 1991, was dramatically
accelerated after the Council of Ministers adopted on March  29, 1994 Decision No 16, on
additional proceduresto bring draft govemmentlegal acts in line with European Union legislation.
Pursuant to the Decision 16/1994, the draft legal acts, prepared by the members of the Council
of Ministers, heads of central offices of government, central administration and voivodes [heads
of provinces] are subject to review in terms of their compliance with the European Union
legislation. The review procedure includes preliminary and final opinions. Both of them should
discuss the following issues:

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                                                            WAJDA, STANISLAW   65
        •  The scope of adjustment of a draft legal act to European Union legislation.
        •  Draft provisions that are not in line with European Union legislation.
        •  Envisaged procedures and dates of ultimate adjustment of provisions not
          in line with European Union legislation or discussion in favor of retaining
          temporarily discrepancies in this respect.

        The Council of Ministers  Decision No 133, adopted on 14 November 1995 aims at
implementationof the European Commission "White Paper on the preparation of the Associated
Countries of Central and Eastern Europe for integration into the Internal Market".  In fulfillment
of the Decision requirements,  the various legal instruments listed in the White  Paper have
been allocated for transposal and implementation amongst appropriate ministries and other
central authorities. It is interesting to note, that out of some 60  legal instruments contained in
chapter 8 "Environment", only  7 are allocated to the Ministry of the Environment as coming
withinthe sphere of its competence (lead ministry). In case of many otherinstrumentsmentioned
there, the Ministry has the status of a cooperating ministry.  Therefore,  cross-sectorial
cooperation  becomes indispensable.
        It  is clearly stated in  the White Paper that Environmental Policy  is an essential
component of the creation of the Internal Market. The White Paper stresses the importance of
product-related environmental  standards. Under this heading comes a substantive number of
community legal acts on chemicals (restrictions on marketing,  classification and labeling,
environmentalcontrol of existing and new substances, ozone-depletingsubstances), Genetically
Modified Organisms, product-related noise, transfer of waste  etc. Some of them have been
poorly regulated, if at all, as for instance chemicals or Genetically Modified Organisms. It is
only now that these areas are being covered by the  national legislation. However, as it is
emphasized in the White Paper, equally important for undistorted functioning of the Internal
Market is factual compliance and enforcement of the legislation. Any substantial failure to apply
the common rules in any part  of the internal market puts the  rest of the  system at risk and
undermines its integrity.
6       NEW LEGISLATION

        As described above, any new legal regulation has to take into account European
Union legislation. For example it was the case of the three regulations of the Minister of the
Environment issued in the 1995 in the area of environmental impact assessment: Regulation
on the impact of local land use plans on the environment (of 9 March,  1995); Regulation on
Investments harmful to the environment and human health and  on environmental impact
assessment (of 13 May, 1995); Regulation on environmental impact assessment of highways
on the environment, agricultural lands, forests and protected cultural heritage (of 5 June, 1995).
The above regulations, with the exception of public participation requirement, comply with the
Council Directive 85/337/EEC of 27 June 1985 on the assessment of the effects of certain
public and private projects on the environment.
        To speed up the approximation process, the Ministry launched in June 1995 a project,
sponsored by PHARE, on the preparation of a Draft Framework Act on the environment. Suctorial
approach to regulating environmental protection, that has recently occurred in Poland, makes
it difficult for effective transposal of certain European Union solutions of a more general nature,
such as participation of the public in decision making process, or introduction of integrated
pollution control (draft Directive on IPPC).

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66            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        According to the Terms of Reference, the Framework Act should adopt appropriate
principles, legal institutions, terminology and definitions of notions contained in the European
Union legislation such as the Maastricht Treaty, Europe Agreement and framework acts of the
secondary European legislation. Taking into account dynamic changes in the European Union
environmental law, draft European Union legal acts should also be considered, including draft
Directive on Integrated Pollution and Prevention Control (COM/93/423) and draft Directive on
Air Quality Assessment and Management (COM/94/109). It is required that the European Union
acts of "soft law" nature are taken into account as well. These include "5th Environmental Action
Program for 1993 - 2000" and "A Community Strategy for Waste Management". For the sake
of consistency of Polish environmental legal system, the Framework Act should also take into
account the Organization for Economic Development's legislation and all other international
treaties to which Poland is a party. It is planned that the drafting work will be completed in the
Ministry by the end of 1996.
7       PRIVATIZATION

        The 1990 Privatization Act of State-Owned Enterprises (hereinafter the "Privatization
Law") is void of any express environmentalconsiderationsor requirements. Because of pressure
from the Ministry of Environment and some investors' concern for potential environmental
compliance and cleanup obligations, the Ministry of Privatization  has  begun to execute
environmental audits of companies in the process of capital privatization. In 1993, to strengthen
their cooperation, the Ministries  of Privatization  and Environmental Protection  signed a
Memorandum of Understanding creating an Inter-ministerial Environmental Unit to address
environmental  issues arising in the process of capital privatization. The Memorandum was
renewed in 1995 and the Unit was empowered to extend its activities on other paths of
privatization. The Unit is under joint supervision of the Director of the Department  of Capital
Privatization in the Ministry of Privatization and the Director of the Enforcement Department of
the State Inspectorate for Environmental Protection.
        The main task of the Unit is to develop  practical solutions to environmental issues
emerging in privatization transactions, such as  the allocation environmental liabilities and
implementation of pollution control equipment. The Unit has improved communication between
the Ministry of Privatization and the Ministry  of the Environment and introduced standard
procedures for obtaining information on environmental compliance.  The Unit requires the
management of privatized companies through capital privatization to complete a detailed
environmentalsurvey and returned it to the Ministry of Privatization. In addition, the Unit consults
local environmental authorities and obtains their evaluations of the environmental problems of
individual companies. After evaluating the data collected, the Unit may conduct its own
evaluation of the company or commissionan environmentalaudit. The Unit analyzesall available
environmental  information, assists in the preparation of informal memoranda, compares the
impact on the environment of offers  received,  and negotiates environmental provisions and
related investment commitments in sale contracts. The activities of the Unit proved to be useful
for the privatization process, compliance  of the privatized companies and protection of the
environment.
        Lack of any cleanup standards for the polluted lands or water was considered as a
serious obstacle in the privatization process. To eliminate this deficiency and make the cost of
cleanup more transparent, the State Inspectorate for Environmental Protection issued in 1994
Methodological Guidelines for the Assessment  of the Level of Pollution of Lands and

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                                                            WAJDA, STANISLAW   67
Groundwater by Chemical Substances in the Process of Remediation. In addition, the EBRD
recently completed a Soil and GroundwaterContamination Standards Project, financed through
the PHARE program,  which developed strategies  for establishing soil  and groundwater
contamination standards, estimated the costs of these strategies, and made recommendations
as to how these standards could be implemented within the existing institutional framework.
        In 1994, the State Inspectorate for Environmental Protection assessed the level of
compliance with environmental requirements of 220 privatized  companies. The general
conclusion resulting from the assessment is that the  privatization has a positive effect on the
compliance of the assessed companies and the protection of the environment.
8       ECONOMIC INSTRUMENTS

        The fees for the use of the environment and fines for violation of environmental
requirements, mainly the terms of a permit, which are the most popular economic instruments
in Poland, have existed in Poland since the 1970's, but they were ineffective for more than a
decade. The main reasons for their ineffectiveness were a lack of free market stimuli,  lax
enforcement,  and lavish state subsidies  (the latter ones, in various forms, were virtually
discontinued in 1991).
        Between 1989 and 1992, the  Government's policy toward environmental fees and
fines policy was substantially reformed. The fees and fines were dramatically increased and
the rate of inflation has been included in the fee rate. Some of the fees, such as the fees for
SO2 emissions which amount to US $80 per ton of emission, have already provided strong
incentives for abatement although they are still much lowerthan the marginal cost of abatement.
Therefore the system serves mainly to raise revenue rather than to reduce pollution.
        Today, the fine which is paid from the profits of the enterprise, poses a heavy burden
for the polluter. The existing law, however, allows for some flexibility. If the polluter commits to
eliminate the source of the fined pollution, the fine can be calculated into the amount of money
spent by the polluter on the appropriate pollution control measures. According to the State
Inspectorate this policy has appeared as an extremely effective measure of enforcement.
        Stronger enforcement and market signals (as desire to increase competitiveness)
caused  that there is  a big demand of the polluters for financial resources. The resources
collectedfrom fees and fines, debt-forenvironmentswapsandinternationalassistance(PHARE,
World Bank, bilateral help) are managed by a unique "green" financial infrastructure whose
role in environmental  investment in Poland cannot be overstated. This financial infrastructure
consists of:

        •   National Fund for Environmental Protection and Water Management.
        •   Regional and Community Environmental Funds.
        •   Bank for Environmental Protection.
        •   ECOFUND.

        The main task of the environmental funds is to support implementation of the NEP
goals. After a period of implementing mainly "end of pipe" projects, The National and Regional
Funds are focusing on support of cleaner productiontechnologies.The main criterionfor projects
to be financed by environmental funds and the Bank for Environmental Protection is expected
environmental effect.

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68           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        Soft loans are a basic form of financing by the National and Regional Funds. The
National Fund is able to support up to 50%, or in a case of local administration projects - up to
70%. The ECOFUND provides financial support only in the form of non-repayable grants which
basically encompass  10-30% of a project cost. The main form in which the Bank for
Environmental Protection supports projects for environmental protection is preferential credit.
It is noteworthy that the demand for this sort of financing is much higher that available capital of
the funds and the Bank.
9      VOLUNTARY MEASURES

       In addition to command and control measures and economic instruments, there are
emerging now various types of voluntary measures mainly eco-audit, eco-label and
environmental agreements. The goal of these schemes is to promote and enhance compliance
with environmental requirements. By adhering to them, individual companies or industrial sectors
would be  able to improve their compliance record and therefore their brand image, credibility
and competitiveness.
       At the European Community level, the Council of Ministers has adopted Regulation
EEC/880/92 on a Community eco-label award scheme. The main idea of the Regulation is to
promote production, sale and use of products with the least harmful effects to the environment
throughout their life cycle. The regulation seeks to allow the consumers to be better informed
about the effects of products on the environment. Under specified conditions producers can
be awarded with a green label.
       The other voluntary measure adopted by the Community is Regulation 1836/93 on the
eco-management and audit scheme (EMAS). In distinction from the eco-label scheme, the
EMAS does not focus on product but rather on industrial production processes and activities.
Under specified conditions (as compliance with environmental requirements) companies
participating  in the scheme can be awarded a special logo of a company friendly to the
environment which can be utilized on brochures, reports, letterheads, information sheet, etc.
       Although neither eco-label nor EMAS legislation has been enacted  in Poland yet,
there is a surprisingly high interest on the side of the industry in  having them incorporated in
Polish legal system.  There is a growing  believe that products awarded in Poland with eco-
label and recognized on the European Union market could be much more competitive than
others. A great number of big  Polish companies would like to participate in EMAS because
they expect that their partners from European Union countries can sooner or later demand of
them "green image."
10      PUBLIC AWARENESS, ACCESS TO ENVIRONMENTAL INFORMATION
        AND PARTICIPATION IN DECISION MAKING

        According to various  public opinion  polls held by the Institute for Sustainable
Development (Warsaw) in 1993, environmental awareness in Poland is growing steadily. The
polls showed that, together with mounting crime and other social aberrations, environmental
pollution is regarded as the main threat to Poland and its citizens. The polls indicated that
provincial and local authorities are considered to be the organizations which most efficiently
protect the environment. Over the last year, provincial and local authorities gained the largest
share of positive scores in public opinion polls.

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                                                           WAJDA,  STANISLAW   69
        It is interesting to note that most of those interviewed had not heard about NGOs
operating in their local commune or province. Those who were aware of such activities
considered their efficiency negligible.
        The percentage  of individuals  who regard the protection of the environment as
worthwhile even at the cost of increased unemployment as a result of closure of factories which
cause a particular threat to the environment has declined. Thus, these opinion polls provide
information that the public in general is ready to support environmental protection but not at the
expense of severe economic hardship.
        There is an abundance of environmental information in the form of statistical data,
official reports, etc. However, access to information on planned or existing industrial activities
likely to harm  or harming the environment is still limited. This indicates that the present law
should be redesigned so as to ease access to and strengthen the  influence of NGOs in
administrative  and legal  actions. A mounting pressure from NGOs  and the necessity to
approximate Polish legislation  to European Union legislation will result in transposal of the
Council Directive 90/313/EEC on the freedom of access to information  on the environment
and other directives dealing with public participation  in  environmental decision making.
Appropriate provisions transposing the relevant European Union directives have already been
drafted within the work on the Framework Law on the Environment.
11      CLEANER  TECHNOLOGY

        The cleaner production movement is mushrooming now in Poland. It could not happen
without a genuine interest of the industry. The movement is based on the Cleaner Production
Declaration and on the letter of intent on cooperation in this field signed by the Minister of the
Environment and the Minister of Industry and Trade. The movement was strongly reinforced by
the fact that the III World Seminar on Cleaner Production was held in Poland in 1994. Within a
program sponsored by the Norwegian government, 800 individuals from 500 industrial plants
were trained in the field of cleaner production. Demonstration Cleaner  Production projects
were implemented in 200 of these plants. Recently, the World Environment Center established
three Pollution Prevention Centers in Poland which have undertaken vigorous activity in various
sectors of the economy.
        In the future Cleaner Production Centers and Pollution Prevention Centers could be of
some help for applicants asking environmental funds for financing of their projects. Mainly, they
could help evaluate alternative technologies. A similar help could be extended to  the funds
themselves.
12      ENHANCEMENT OFTHE ENFORCEMENT CAPACITY OFTHE STATE
        INSPECTORATE FOR ENVIRONMENTAL PROTECTION

        The most important development which has occurred since 1989 for the enhancement
of enforcement in Poland was the  enactment of the Law on the State Inspectorate for
Environmental  Protection in 1991. The fundamental change that the State Inspectorate Law
introduced was the separation of responsibility for enforcement from the regional authorities'
decision-making functions. Until 1991, the same regional authority was responsible for both
issuing permits and licenses and enforcing them. In addition, the same body was, and still is,
responsible for economic development of the region and  employment. Therefore, not

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70            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
surprisingly, the environmental requirements were not enforced strictly. Prior to 1991, the State
Inspectorate for Environmental Protection, as a "toothless" creature, was virtually ineffective.
Presently, being independent from regional and local state or municipal authorities, the State
Inspectorate carries out its tasks much better.
        The main tasks of the State Inspectorate include:
        •   Enforcing compliance with the laws and  regulations on protection of the
           environment and rational utilization of natural resources.
        •   Enforcing compliance with permits and licenses.
        •   Participating in sitting proceedings.
        •   Overseeing implementation of a new installations which are likely to have
           adverse impact on the environment.
        •   Controlling the proper functioning of the pollution control equipment.
        •   Halting activities which violate environmental requirements.
        •   Cooperating with other enforcement organs, self-governing authorities and
           NGOs.
        •   Establishing and running the state environmental monitoring system and
           assessing the state of the environment.
        •   Designing and implementing analytical and sampling methodologies.
        •   Establishing conditions necessary to prevent environmental emergencies
           and to restore the environment to its proper state.

        The inspectors of the State Inspectorate are empowered to:
        •   Enter at any time an area  of real estate,  installation or their parts where
           economic activity is carried out accompanied by experts  and with any
           necessary equipment.
        •   Inspect the state of the environment and assess it in the light of applicable
           environmental legislation  and compliance of the site with  the terms of
           permit.
        •   Evaluate use of technical equipment on the site.
        •   Assess the performance of pollution control equipment installed on the
           site.
        •   Request information necessary to assess the state of the site.
        •   Obtain access to documents and data related to the inspection.

        The management of the installation under inspection must allow the inspectorto perform
its duties. When the inspection is completed, the inspector writes  a protocol which is also
delivered to the management of the installation.
        On the basis of the inspection, the inspector has the power to:
        •   Issue a post-inspection order to the inspected installation.
        •   Issue an administrative order.

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                                                             WAJDA, STANISLAW   71
        •  Undertake enforcement action, if such obligation results from binding law
          or an applicable administrative order.

        Article 13 of the State Inspectorate Law enumerates the State Inspectorate's greatest
powers. It provides that the inspector may:

        •  Impose an obligation to remove the cause of environmentally harmful activity
          in prescribed time.
        •  Impose a fine.
        •  Halt activity which violates environmental protection requirements.


12.1    The special case of the "80" heaviest polluters

        In 1990 a list of the 80 heaviest polluters in Poland was prepared by the State
Inspectorate in close cooperation with regional environmental authorities. The following criteria
were applied: frequency and gravity of the violation of environmental requirements, level of
concentration of toxic pollutants, location of the polluterand territorial range of polluter's harmful
impact.
        The main goal of the  list was  to bring the "80" into compliance with applicable
environmental requirements. To achieve this goal, regional authorities issued administrative
orders by which they  bound each of the polluters to install or modernize pollution  control
equipment and to undertake the appropriate  changes of technology and other necessary
measures. The orders were preceded by environmental audits which provided necessary
information about the  environmental performance of the polluters. Financial and economic
viability were taken into account and the polluters themselves had to prepare and  submit
programs for achieving compliance.
        The State Inspectorate has been entrusted with the special responsibility for enforcing
this process by frequent, almost daily,  inspections and tough application of enforcement
instruments designed for each individual  case. The enterprises which were not able to present
feasible programs had to stop their operations partly or totally.
        The 1994 report on the implementation of the program by the "80," describes notable
progress in the abatement of pollution emitted or discharged by the "80," despite many economic
hardships resulting in delays. The most  important is a decrease of emissions of suspended
particulate by 67 percent, gases 44 and  wastes 42 percent. These results can only partly be
attributed to economic recession and closure of the worst of the "80." In the reporting year the
list of the "80" has been left by 14 companies which achieved compliance with the environmental
requirements and 5 other ones were added. It is expected that 16 other companies should be
in compliance by the end of 1996. It is worthy to note that similar programs have been adopted
towards 800 companies at the regional (voivodship) level.

12.2    Strengthen organizational authority and institutional capacity for the State
        Inspectorate

        There is a general consensus that an  autonomous status of the State Inspectorate
adopted in  1991 have substantially strengthened its the enforcement activities.  The State
Inspectorate, in its efforts to increase its  efficacy, is looking for experience sharing with other
enforcement authorities or their organizations. One of them is the European Union Network of
Environmental Enforcement Authorities.

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72            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        The organization and activities of the network was extensively presented by Mr. David
Slater of the HMIP at the 1994 Third International Conference on Environmental Enforcement.
Mr. Slater said that the network served as a very practical forum for informal exchange of ideas
and experience among those at the working face of environmental regulation. Since European
Union environmental legislation is steadily growing as a part of the Polish legal system, therefore
shortly after the Conference Poland showed an interest in having some links with the body as
an observer. Unfortunately, a reaction on the European Union side was not very encouraging at
that time. It is believed that two years later all obstacles which existed in 1994 have already
disappeared. We believe that what Mr. Slater stated in conclusion of his statement is also valid
for Poland: "One thing is very clear. The problems associated with protecting the environment
from industry activity are common to most if not all countries. Sharing experience through well
organized but largely informal network can help each of us do our job much better."
13      CONCLUSIONS

        Transition to parliamentary democracy and a market-based economy, sound economic
growth, privatization and many stimuli from the free market are very important driving forces
behind enhanced compliance and enforcement. Poland's international commitment, efforts to
join OECD and integrate with the European Union are the basic causes of the fundamental
reform of Polish legal system and new approach to enforcement. The harmonization process
might offer a good opportunity to adopt feasible, realistic and enforceable environmental
standards. To operate within the Internal Market, Polish companies will have to comply with the
same standards as the European Union companies. A consistent harmonization will result in
further democratization of the Polish legal system. This could broaden public participation in
environmental decision making and its larger involvement in the enforcement process. Close
relations of the State Inspectorate with the European Union Network of Enforcement Authorities
could contribute to the strengthening of its enforcement efficacy.

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                                                       ADEGOROYE, ADEGOKE    73
DRIVING FORCES FOR SUSTAINABLE ENVIRONMENTAL COMPLIANCE
AND ENFORCEMENT PROGRAM IN AFRICA WITH PARTICULAR
REFERENCE TO NIGERIA

ADEGOROYE, ADEGOKE

Director of Inspectorate & Compliance Monitoring, Federal Environmental Protection
Agency, P.M.B. 3150, Surulere, Lagos, Nigeria
       SUMMARY

       In Africa, establishing an environmental compliance and enforcement program a is
very recent undertaking and for many countries, it is just being initiated.  The previous
preoccupation of governments after independence has focused on attracting investments for
establishing  industries with concessions  that gave little  or no regard to environmental
considerations.
       The driving forces for the current response to establish compliance and enforcement
programs is externally driven and it is by virtue of the various initiatives of the United Nations
and its agencies over the last 8 years. The critical issues are funding, staffing, and technical
capacity as well as availability of enforceable legal instruments. The challenges are many and
diverse, depending on each nation  and often include, interagency  conflicts, weak legal
instruments, infrastructure, economic incentives, political instability and leadership crises but
are not beyond resolution.
       Sustaining and building capacity for compliance and  enforcement still appears to
depend largely on the United Nation's agencies and other international assistance. National
governments must begin to demonstrate greater commitment to environmental protection and
mobilize internal resources to sustain compliance and enforcement programs in the long run.
 1       HISTORICAL BACKGROUND

        The late 1950s and most of the 60s witnessed a rapid political change by way of
 independence across Africa. However, no sooner had the wave of political independence
 settled down than the challenges of nation building and governance began to manifest, first in
 the economies of the new and fledging nations and later in their environmental problems. While
 the economic challenges were traceable partly, to the management (or mismanagement) styles
 of the new African leaders, and largely to the international economic systems of protectionism,
 falling commodity prices, as well as the energy crisis of the 1970s, the environmental challenges
 resulted from a combination of the economic challenges and natural hazards such as drought
 and desertification.
        All over Africa, national governments' responses to these earlier challenges were the
 creation of Ministries of Natural Resources (and/or Environment). This approach was seen as
 a logical decision of government since environmental concerns were viewed from the angle of
 natural resources as a strong contributor to the economy in the same way as  mining and
 agriculture. Industrialization was perceived not only as the engine and indicator of development
 but as a symbol  of achievement and a measure of the  success of the new political overlords.

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74           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        Consequently, in the race to attract industrial investments large concessions were
made not only on tax but also in terms of environmental impact considerations and the use of
natural resources by the industries. Siting of industries was governed largely by political
consideration. There were no laws on hazardous waste management or industrial pollution
control except for their passing mention under worker safety regulations in the Mining Acts or
other Acts on natural resources. Throughout black Africa what existed were Public Health Acts
whose focus was the control of mosquitoes, general sanitation for the control of communicable
diseases and the provision of portable water. Therefore, the tradition of compliance monitoring
and enforcement that was prevalent in most African nations was the Public Health Inspectors
of the colonial era.
2       DRIVING FORCES

        The decision to create environmental compliance and enforcement programs in Africa
is a very recent and on-going initiative. It is an initiative resulting totally from external driving
forces. Although the initiative was kindled by the 1972 Stockholm Conference on Human
Environment, except for, and even with, Ghana which created an Environmental Protection
Council in 1974, the initiative remained dormant all over Africa until 1987. However, from 1987
to date, tremendous progress has been made  in the establishment and enhancement of
environmental compliance and enforcement programs in Africa due to the following  driving
forces:

        •  Initiatives  arising from the decisions of the United Nations  General
          Assembly to:
           -  Set up the World Commissionon Environmentand Development, 1987,
             which produced the Report, "Our Common Future".
           -  Convene the United Nations Conference on Environment and
             Development in Rio-de-Janeiro, 1992 (Resolution 44/228 of 22
             December, 1989) leading to the blue print: AGENDA 21.

        •  Efforts of the United Nations Environment Program , particularly:
           -  The catalytic efforts of the various Program Activity Centers of UNEP
             by way of information dissemination and training.
           -  The negotiations for the various  conventions on e.g. Ozone Layer
             Protection -1987, Transboundary Movement of Hazardous Wastes -
             1989, Climate Change - 1992, Biological Diversity  - 1992,  Drought
             and Desertification -1994.
        •  Initiatives of especially the World Bank and to a lesser extent the World
          Wildlife Fund (WWF) in supporting the development and implementation
          of  National  Environmental  Action Plans  (NEAPs) and National
          Conservation Strategy (NCS)
        •  Sad experience of certain nations who have become victims of the
          dumping of toxic wastes.

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                                                       ADEGOROYE, ADEGOKE   75
       •  Post-Rio initiatives of multilateral agencies particularly the United Nations
          Development Program (UNDP), the United Nations Industrial Development
          Organization (UNIDO), the World Bank and the requirements for funding
          assistance from the Global Environment Facility (GEF), the  financial
          mechanism entity for the implementationof some of the major conventions.
       •  General  global awareness on environmental issues and the increasing
          criticism of governments inaction  by the public, the press and the
          environmental nongovernmental organizations.
       •  Governments'  responsiveness through the  enactment of enabling
          legislations and the establishment of the appropriate institutional
          frameworks.
       Over the years, the catalytic role of the UN Agencies particularly the UNEP and the
Economic Commission for African (EGA) working in collaboration with the Organization  of
African Unity (OAU) have mobilized  concerted regional actions for sustainable development
as shown by:
       •  The Monrovian Declaration of 1979.
       •  The Lagos Plan of Action.
       •  1980 African Ministerial Conference on Environment.
       •  AMCEN Cairo 1985.
       •  Regional Conference on Environment and Sustainable Development in
          Africa, Kampala Uganda, 1989.
       •  The Bamako Conference, Mali 1991.
       The Lagos Plan of Action,  for example, has been described as one of the most
comprehensive, bold and forward-looking regional plans for economic recovery and sustainable
development anywhere in the world.  Unfortunately these regional initiatives, generally, did not
record measurable success in terms of establishing or enhancing environmental compliance
and enforcement. The current status of the establishment of institutional frameworks for
environmental protection in Africa is shown in table 1 on the following page.
3       CRITICAL ISSUES FOR BUILDING COMPLIANCE AND ENFORCEMENT
        PROGRAMS

        The main issues that often arise in developing or enhancing compliance and
enforcement programs in Africa are:

        •  Funding.
        •  Staffing and technical capacity.
        •  Availability of legal Instruments for enforcement.
        •  Delineation of roles among the tiers of government i.e. federal, state, and
          local government authority.
        •  Prioritization of environmental problems and polluting facilities.
        •  Inspection approach - "multi"-versus "single-media"

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FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Table 1.   Institutional  Framework Adopted in Selected African Countries
Country
Botswana
Ethiopia
The Gambia
Ghana
Guinea
Kenya
Mali
Nigeria
Senegal
Tanzania
Uganda
Zambia
Pre-Nation Environmental Action
Plans (NEAPs) and/or National
Conservation Strategy (NCS)
Ministry of Local Government and
Lands
Ministry of Natural Resources
Development and Environment
Protection Conservation Strategy
Secretariat (1990)
Environment Unit, Ministry of Natural
Resources
Environmental Protection Council
(1974)
Department of Natural Resources &
Environment (1986); National
Environmental Council (1987)
National Environmental Secretariat
Ministry of Rural Development and
the Environment -1994
Environmental Division in the
Ministry of Industry, 1978;
Environmental Protection & Planning
Division in Ministry of Works &
Housing (MW&H) 1979; Federal
Environmental Protection Agency
(MW&H 1988) Presidency 1992
Ministry de L'Environment et de la
Produit de la Nature
National Environmental Management
Council (1983) ; Ministry of Tourism,
Natural Resources and Environment
(1990), Department of the
Environment
Ministry of Natural Resources & the
Environment (1994; Environmental
Directorate/Department of
Environmental Protection (1994)
Ministry of Environmental and
Natural Resources (1991); National
Environmental Council (1990)
Recommended
Institutions by NEAP/NCS
NCS Advisory Board and
Coordination Agency
National Environmental
Protection Authority
National Environmental
Agency
Environmental Protection
Agency (1994) Ministry of
Environment, Science &
Technology (MEST-1993)

Kenya Environmental
Agency
Cellule de Suivi,
d'Evaluation/PNLCD

Conseil Superieur
Resources Naturalles et de
L'Environment (CONSERE)
1993

National Environmental
Management Authority

Remarks
Approved but in
progress for new
ministerial home for
coordinating agencies
Established in office
of Prime Minister
Established in office
of President
Recommended by
MEST and approved
Institutional
arrangements not yet
designed
Recommended by
NEAP launch
Responsible for
Desertification Control
Plan; likely to
coordinate NEAP

Inter-Ministry Council
for Environmental
Policy Coordination -
responsible for NEAP
No decision on
institutional
arrangement yet
Approved
No new institution
created
      "Source:  World Resources Institute 1995 with modification

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                                                          ADEGOROYE, ADEGOKE   77
        In the case of Nigeria, the establishment of the Federal Environmental Protection
Agency, being a swift response to the illegal dumping of Italian toxic wastes in the country, was
greeted by a general public euphoria with government promising an extra-budgetary take-off
grant of 500 million Naira (US $ 80 million) for each of the first two years. The inability of
government to release any part of the grant posed serious challenges to the agency. To overcome
the funding constraint, two other approaches were taken. One, the agency sought and secured
external assistance by way of World Bank grants (soft loans) to the tune of US $ 25 million for
setting up an environmental data bank, conducting studies and procuring monitoring equipment
and vehicles over a 3 year period.  The second was by amending the agency's act to reflect
allocation of one quarter of the 2% national revenue earmarked as an Ecological Fund by the
constitution as a statutory grant for the programs of the agency on a yearly basis. The difficulty
of securing this grant also, is now prompting the agency to begin to think of charging fees for
many of its activities (e.g. inspection, audit, etc.) and to seek to establish an ECOFUND along
the line of the SUPERFUND of the  United States.

3.1     Staffing and technical capacity

        For many African nations, the Universities provide the ready pool of manpower trained
in basic disciplines of environmental sciences. Nigeria's Federal Environmental Protection
Agency (FEPA) drew from  such a pool and to a lesser extent, industries and line ministries,
and trained them by sending them on sponsored short courses in the Netherlands, the US, UK,
Canada, Japan, Germany, Belgium and  Nairobi UNEP. In addition, short term resident
consultants from overseas and within the country also provided avenues for quick interaction
by the newly recruited staff to enable them to face the challenge of compliance monitoring and
enforcement  within the shortest possible time.  Materials from the biennial International
Conference on Enforcement remain the backbone of the agency's in-house training. Credible,
and  experienced  consultant analytical chemists, physicists and microbiologists were also
retained on contract to provide a ready back up for the inspection and monitoring activities of
the new agency until a well equipped laboratory was established.  The National Reference
Laboratory of the agency was, in  1990, initially set up with the equipment donated by the
Japanese International  Cooperation Agency (JICA) and upgraded later by the government's
internal efforts. The revised organizational setup of the agency is shown in Figure 1 on the
following page.

3.2     Role delineation among  tiers of  government.

        In many African countries, urban sanitation and municipal waste management are
clearlythestatutory(constitutional)responsibilityof local governmentauthorities.Similarly, ports
(sea and airport) issues are of federal concern under the commerce clause. On the other hand,
the issue of industry often appears to be concurrently listed for federal and state (or regional)
governments. For countries operating true federal systems of government, both the state and
federal environmental  protection agencies are legally  authorized to monitor and enforce
industrial compliance. But in unitary states or national governments with a strong center,
like military states, the entire authority for pollution control and industrial compliance monitoring

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78
     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Figure 1.  Federal Environmental Protection Agency Revised Organizational Chart 1994
                                       Preside™
                              Ministerial Governing Council
                                         1
                                   Director General
                                                                            1
                                                                         DET&R
 Departmentdescriptionsand their roles and responsibilitiesfor Figure 1:

        Department of Personnel Management (DPM)
        i.    General administration
        ii.    Recruitment promotion and discipline
        iii.   Staff welfare
        iv.   Staff training (coordination)

        Department of Finance and Supply (DFS)
        i.    Finance
        ii.    Store
        iii.   General procedure

        Department of Planning and Evaluation (DPE)
        i.    Planning
        ii.    Project monitoring and evaluation
        iii.   Information management and data bank
        iv.   Library services and publication
        v.    Environmental impact assessment
        vi.   Remote sensing and Geographic Information System (GIS)
        vii.   Technical assistance and studies
        viii.  Environmental education
        ix.   Budget, rolling and perspective plans.
        Department of Inspectorate and Compliance Monitoring (DICM)
             Industrial compliance and monitoring of standards
             Toxic waste dump watch
             Chemicals and pesticide registration
             Accreditation, licensing and permits
             Liaison with states environmental agencies on enforcement
             Enforcement and control of regional and international transboundary
                movement of hazardous/toxic waste
i.
ii.
iii.
iv.
v.
vii

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                                                         ADEGOROYE, ADEGOKE   79
         viii.   Municipal wastes compliance monitoring
         ix.    CITES compliance

         Department of Environmental Conservation (DEC)
         i.     Biodiversity conservation
         ii.    Wetlands and protected areas
         iii.    Wildlife conservation and management
         iv.    Soil and water conservation
         v.    Erosion and flood control
         vi.    Drought and desertification control
         vii.   Watershed management

         Department of environmental technology and research (DET&R)
         i.     Waste management technology
         ii.    Pollution abatement technology
         iii.    Regulation and setting of standards for pollution control.
         iv.    Instrumentation.
         v.    Laboratory services.
         vi.    Engineering services.
         vii.   Research and development.

is often vested in the federal agency. Therefore, to carry the state or regional governments
along, an arrangement must be worked out to devolve some of the federal powers to the
state environmental protection agencies.
       The Nigeria agency operates through ten zonal (regional offices) in Port-Harcourt,
Ibadan, Owerri, Kaduna, Kano, Maiduguri, Bauchi, Minna, Jos and Uyo. It has also ensured
that each of the 30 states of the federal system creates its own state environmental protection
agency by strictly following a generic guideline established by the federal agency for easy
harmonizationof functions. State environmentalprotectionagencies that are established enough
with qualified staff are encouraged  to carry out inspections focusing more on pollution of

Table 2.   Legal  Instruments for Pollution Control in  Nigeria
        1.    Federal Environmental Protection Agency Act, 1988.
        2.    Federal Environmental Protection Agency Act, 1988.
        3.    Hazardous Wastes (Criminal Provisions) Act, 1988.
        4.    Import Prohibitions (Contaminated Foods) Act, 1989.
        5.    National Policy on the Environment, 1989.
        6.    National Guidelines and Standards for Environmental.
        7.    Pollution Control in Nigeria, 1990.
        8.    National Effluent Limitation Regulation, 1991.
        9.    Pollution Abatement in Industries and Facilities.
        10.   Generating Wastes Regulation, 1991.
        11.   Solid and Hazardous Wastes Management Regulations, 1991.
        12.   Federal Environmental Protection Agency (Amendment) Act, 1992.
        13.   Environmental Impact Assessment Act, 1992.

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80            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
their water bodies, soil contamination and air pollution and terminating their investigation at
the outfall of the industrial facilities. Serious violations are communicated to the agency who
in turn initiates enforcement.

3.3     Legal instruments for enforcement.

        The basis for environmental compliance monitoring and enforcement is in the legal
instruments. These instruments spell out actions or non-actions that constitute offenses by
facilities and individuals, the responses expected of the regulating agencies, sanctions and
penalties to be meted out to the offending facilities and/or individuals. The provisions of legal
instruments must be clear, unambiguous and enforceable. The regulating Agency must be
empowered to make regulations. So far, ten legal instruments have been developed for pollution
control in  Nigeria (Table 2). In addition the  agency has established  seven types of permits
regulating pollution and management of solid and hazardous wastes.

3.4     Prioritization of environmental problems and polluting facilities.

        Funding limitations and a dearth of qualified staff at the inception of a compliance and
enforcement programs call for the need to prioritize the environmental problems which should
be tackled first. Is the priority municipal wastes, industrial pollution or water contamination?
        These depend on the pressing environmental problems facing each country, but it is
best to focus attention first on  pressing problems for which no other ministry or agency has
been previously responsible. Also among the polluting facilities the worst must be tackled first.

3.5     Inspection approach

        Funding and staffing limitationsmake the multimedia approach to inspection the logical
step for adoption.
4       CHALLENGES AND THEIR  RESOLUTION

        Centralizing environmental management and enforcement in a single agency or ministry
in Africa as in many developed nations  worldwide is a new development. Environmental
enforcement where it exist are fragmented in various Line Ministries especially Health, Works
and Housing, Agriculture, Petroleum Resources, Water Resources, Mineral Resources etc.
        The emergence of an environment agency or ministry with its perceived enormous
powers normally creates frictions with industries wanting business-as-usual and also with the
traditional ministries who are reluctant to relinquish the environmental enforcement part of their
functions which they used to perform. Most of such functions were not thrust upon them by law
but by administrative directive of government or sometimes simply as a unilateral initiative of
the ministry to fill an identified gap. Unfortunately matters are not helped by the ambiguities of
the laws of the competing ministries and the non-deletion of aspects of the old ministry's laws
now transferred to the new agency.
        From my experience in Nigeria over the last 5 years, the main challenges faced by our
enforcement and compliance programs are as follows:

        •  Interagency conflicts
        •  Inadequate legal instruments

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                                                         ADEGOROYE, ADEGOKE   81
        •  Infrastructure
        •  Agency-industry relations
        •  Economic incentives
        •  Leadership crises
        •  Loss of staff to other sectors
        •  Pressure groups and environment in politics


4.1      Interagency conflicts

        The most disturbing role-conflict of Federal Environment Protection Agency with any
other agency is with the National Agency for Food and Drug Administration and Control
(NAFDAC) established by Decree 15 of 1993 over the monitoring, regulation and control of
hazardous chemicals and pesticides. Indeed last year, NAFDAC went as far as formulating
regulations on pesticide use, importation and control without inviting comments from either
FEPAorthe Department of Pest Control Services of the Ministry of Agriculture whereas FEPA
is the Designated National Authority (DNA) for potentially toxic chemicals and pesticides under
the UNEP/FAO Prior Informed Consent (PIC) Procedure and the London Guidelines. With the
support of the Pharmaceutical Group of the Manufacturers Association of Nigeria (PG-MAN)
vitriolic attacks were unleashed on FEPA in the press and electronic media especially in the
last 12 months.
        Through consistent public enlightenment, diligent and credible enforcement strategies
exposing serious lapses in the procedure of the other agency and the confirmation by security
agencies of government, FEPA has been able to maintain its statutory functions.

4.2     Legal instruments

        In a situation where laws were enacted following a sad environmental pollution or
disaster experience some aspects of the laws may be borne out of passion leading to extremely
stiff penalties, or serious lacuna (loopholes) making enforcement difficult. For example, the
Harmful Wastes (Criminal Provisions) Act promulgated following the sad experience of toxic
waste dumping in Nigeria prescribes a sweeping ban on all wastes without regards to green
wastes such as recyclable  used plastics and fibers  both of which are in high demand in the
country's plastics and blanket industries. This has been redressed through administrative
procedures.
        Another challenge arising from weakness  of the enforcement agency's  law is the
attempt to avoid offending some powerful ministers  or ministries, who might block the entire
new Act if it attempts to erode some of its traditional powers. This often leads to unfortunate
trade-offs which later make enforcement difficult. One such example is the FEPA Enabling Act
which rather than clearly vesting the authority to control oil pollution in the agency merely says
that "The Agency shall cooperate with the Department of Petroleum Resources for the removal
of oil-related pollutant discharged into the Nigerian environment and play such supportive role
as the Ministry of Petroleum Resources may from time to time request from the Agency."

4.3     Infrastructure

        Effectiveenvironmentalcomplianceand enforcement programs in a developing country
while requiring office building, residential quarters for staff  and  laboratories also and more
importantly require central waste management infrastructures such as sanitary and hazardous

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82           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
landfills, treatment facilities, etc. Until enforcement has been firmly established it is difficult
to get business entrepreneurs who will  be willing to invest in such ventures. This has been
the case with Nigeria. The government would have to provide such infrastructure and charge
users as appropriate or go into partnership with businessmen to establish the infrastructure.
Nigeria's efforts to seek external investment from multilateral agencies has not been
successful. We have had to coerce individual facilities to build their own treatment plants or
go into cooperatives to do it since the agency's law clearly vests the responsibility to treat
waste on the industry generating the wastes. We have achieved a commendable level of
success in this regard.

4.4    Agency-industry relations

       Industriesare usually reluctantto commit extra investment on pollution abatement until
enforcement begins and offenders are being penalized. They might even put pressure on the
government and try to blackmail the enforcement agency. In Nigeria, we have had to give a 5
year moratorium since 1990 for industry  to comply. While this was on, massive enlightenment
was mounted for the public and the industries. By way of public complaints from individuals
and nongovernmental organizations as well as the press, industries realized that there was no
room to hide any longer.
       Our enforcement began by way of warnings. Then at the 1995 World Environment Day
Celebrations we instituted the Environment-Friendly Industry of the Year Awards. Ten industrial
facilities were so recognized last year and all of them made a big issue of it in their corporate
promotion. Having warmed our hearts to the  industries, we started this year by shutting down
two polluting facilities. The public was happy and the facilities quickly began to comply.

4.5    Economic instruments

       With the downturn in the economy and increasing external debt of African nations,
industries have been facing very hard times. The absence of economic incentives and access
to soft loans make it difficult for industries to invest in pollution abatement. Not only has this
slowed down the pace of compliance with environmental laws and regulations by industries, it
has made enforcementratherdifficult.FEPA is currently conductinga study of industrial pollution
and use of economic instruments in Nigeria under the World Bank assisted Environmental
Management Program. It is hoped that when this is completed it will be adopted by the Planning
and Finance Ministries.

4.6    Leadership crises

       Stable leadership of the environment agency is a sine qua non requirement of an
effectivecomplianceandenforcementprogram.Howeversuchleadershipmust be well informed
on environmental issues and have the capacity to learn fast on the job. He or she must also
have good management capability, an excellent vision for the Agency and be self confident
rather than feeling threatened by subordinates. The leadership crisis at FEPA in 1993 was a
severe setback for the Nigeria's environmental compliance and enforcement program.

4.7    Loss of staff to other sectors

       Quite a good number of the well trained staff of the agency have had to resign their
appointment in the last 12 months. The main reason is the general low level of remuneration in
the public sector and other  frustrations of a depressed economy. Unlike in the developed
countries such staff losses are not to the environment related private sector but are to unrelated
fields or even outright emigration out of the country. It takes a minimum of 2  years to train a
replacement to occupy their positions. The agency is now trying to convince government to
place enforcement staff on a special salary structure.

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                                                          ADEGOROYE, ADEGOKE   83
4.8     Pressure groups and environment in politics

        Increasing global awareness of environmental issues has both negative and positive
impacts especially in political volatile states. For example, while increasing awareness
engenders consciousness and promotes environmental protection ethics, an uneasy situation
arises when such consciousness becomes a tool of political struggles or aspirations. Nigeria
has its own share in the Ogoni oil pollution issues over the last 2 years. An environment agency
has the responsibility to respond quickly by establishing a legally-binding procedure to address
issues of compensation, remediation and liability for pollution in order to diffuse such tensions.
        One extreme side to the growing environmental consciousness was the case of a
nongovernmental agency trying to institute a court injunction against the agency for allowing an
abandoned ship to remain in the nation's wharf because, according to the group, "the ship
constitutes a pollution of the ocean waters"! This is in spite of their awareness of the functions
of the Nigerian Navy, the Nigerian Ports Authority, the Nigerian Maritime Authority and the
Ministry of Transport.
 5      CONCLUSION

        The driving forces for establishing and enhancing environmental compliance and
enforcement in Africa are externally driven and they reside in the initiatives of the United Nations
and it various agencies. The critical issues are funding, trained manpower and legal instruments.
The enforcement program faces challenges depending on the peculiar circumstances of each
nation. Therefore viable strategies must continue to be evolved to overcome the challenges.
This is the arrangement in the past two years in Nigeria, the World Bank and the UNDP assisted
projects have been the main factors sustaining environmental protection efforts in the areas of
capacity building, institutional strengthening, review of the legal framework and execution of
certain programs under the agency's Action Plan. There is the need to improve national
commitment to environmental protection by mobilizing internal resources if the compliance
and enforcement program is to be sustained.

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84            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                 AZUELA DE LA CUEVA, ANTONIO   85
THE IMPACT OF DRIVING FORCES ON ENVIRONMENTAL COMPLIANCE
AND ENFORCEMENT PROGRAMS IN MEXICO

AZUELA DE LA CUEVA, ANTONIO

Federal Attorney for Environmental Protection, Insurgentes Sur No. 1480 - 4o Piso, Col.
Barrio Actipan, Del. Benito Juarez, District Federal, C.P. 03230 Mexico City, Mexico


1       INTRODUCTION

        Mexico's concern for environmental protection and ecological equilibrium was not
borne out of the North American Free Trade Agreement, as many believe.  The system of
environmental treaties established in NAFTA undoubtedly constitutes an element to influence
our own environmental policies,  but it also shows the convergence  between our national
dynamics, characteristic of the development of Mexico, and global trends. At the end of this
millennium, new paradigms have arisen, which our country is approaching from its own historic
perspective.
        Mexico has arrived at this end of the century after a long period of political stability,
social peace and economic growth. Today, with a population of close to ninety million, mostly
urban (70%), we are facing a new social reality,  characterized by the presence of a more
informed and participatory society, whose presence is felt with great intensity in current national
debate on topics including political reform, economic programs, and the environmental problem.
        Like the rest of international society, we too have witnessed the decline of the political
and economic order established after World War II,  as well  as the breakdown of some
agreements under the terms of the 1919 Treaty of Versailles.
        The accelerated pace of technological innovation imposes new forms of competition
and efficiency on our production systems, compromised by growing competition from foreign
markets and products. As a consequence, our participation constantly increases in the intense
network of economic  and technological interrelations which gives rise to great flow of
merchandise, capital, technological products, services, and specialists of all types, interlacing
all the regions of the planet in a permanent flux.
        All of these changes, internal and international, are affecting the forms of organization
of our society, in the definition of its demands and priorities, as well as in its forms of political
participation. The line between international and national affairs is rapidly fading. Mexico, like
other countries, is faced with the necessity of redistributing the functions of the State and of the
government toward two apparently contrasting domains: the great forums of international
participation and the very heart of our national communities.
        At center stage, as a necessary and inseparable element of Mexico's modernization
project, is the subject of environment and sustainable development.

1.1     The environmental section

        In the last few years, Mexico has experienced important strengthening of the legal and
institutional framework for environmental protection and the preservation of natural resources.
In this process, not only has the conscientiousness of Mexican society played an important
part on the magnitude and impact of environmental  problems,  but so have the powerful
international tendencies that characterize this end of the century.

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86           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        In 1971, the first Environmental Protection Act was decreed, and the Subsecretariat
of Environmental improvement was created, as part of the Health  Sector; and since then,
society and government have tried to respond to the processes of  environmental damage.
In 1972 the Stockholm  Conference on the Human Environment was the catalyst for world
interest in ecological issues, and Mexico was no exception. Nevertheless, in the seventies,
environmental policy was circumscribed to the focus on public health and incipient efforts in
urban and forest planning carried out by the Secretariat of Human  Settlements and Public
Works and the Secretariat of Agriculture and Hydraulic Resources.
        It wasn't until 1982, with the creation of the Secretariat of Urban Development and
Ecology, and with a new Federal Act of Environmental Protection,  that the responsibilities
were consolidated and a more ambitious and more comprehensive policy focus was adopted.
In 1988, the General Act of Ecological Equilibrium and Environmental Protection systematized
discourse, explicitly linking environment to the issue of development, distributing competency
among the three levels of government and society, and setting down  important instruments of
ecological policy, including environmental impact assessments, ecological land use planning,
natural protected  areas, technical  norms, ecological  planning,  and ecological criteria in
development promotion.
        The promulgation of this Act was followed by state laws and regulations on evaluation
of environmental damage, prevention and control of air pollution  and industrial waste. This
normative body was considered in the Human Settlements Act, the Forest Act, and the Planning
Act, which include different sectorial environmental protection programs.
        The 1992 Federal Law of Metrology and Normalization perfected Mexico's normative
model. To date, 81 OMNs (Official Mexican Norms) have been issued, on discharge of residual
waters, management of hazardous and municipal wastes, automotive vehicles, industrial
sources, and natural resources. The Official  Mexican Norms have  proven to be a valuable
instrument for controlling productive processes, as well  as for introducing technological
innovation and promoting an important environmental market.
        The creation of the National Institute of Ecology in 1992 and the Office of the Federal
Attorney for Environmental Protection strengthened ecological normativity and the mechanisms
for strict application of the law. More recently, on December 29,1994, the Secretariat of the
Environment, Natural Resources and Fishing (SEMARNAP) was created which has permitted
the integration of strategic areas of the productive sector, including fishing, forests and water
to environmental conduct. The most important lines of actions of this Secretariat are:

        • Promoting the transition to  sustainable  development and curbing
          processes of environmental deterioration.
        • Planning the use  of resources,  production, infrastructure  and urban
          development.
        • Promoting patterns of consumption more favorable to sustainability.
        • Promoting social participation and timely and transparent information on
          environmental policy and natural resources.
        • Advancement in decentralization,  coordination and regional integration.
        • Strengthening legal framework and compliance with laws,  norms and
          programs.
        • StrengtheningMexico'sparticipationin internationalforumson environment
          and natural resources.

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                                                  AZUELA DE LA CUEVA, ANTONIO   87
2       THE REFORM OF THE MEXICAN STATE

        In recent years, Mexico has  begun an intense process of transformation of its
institutional structures. Special attention has been given, In this sense, to the transformation of
the political philosophy of the Mexican State. The first premise established the need to abandon
the idea of a patrimonalist State with practically absolute attributions. In its place, is a model of
the State that transfers increased facultiesandresponsibilitiesto society, that promotes growing
participation of the private sector in the economy, and that more closely observes the principles
of the federal government, transferring to states and municipalities increased faculties for the
administration of public affairs.
        In the economic aspect, the  reform of the State has meant the privatization of
non-strategic  state enterprises; the  opening of domestic markets, the establishment of new
relations of agricultural production and new rules for foreign investment.
        The political reform has contemplated perfectingthe electoral system through important
reforms designed to increase impartiality, transparencyand legality; the strengtheningof political
pluralism;  a new relationship between State  and  church, defense of Human Rights  and
modernization and democratization  of political parties.
        The administrative reform, in turn, contemplates adapting the bureaucratic apparatus
to the new political philosophy of the State,  by modifying the size of the administration  and
transferring greater resources to bureaucratic agencies that attend to social and environmental
demands.  This has implied the decentralization of functions, administrative deregulation and
simplification  and reform of the corresponding legal framework.
        In the area of social reforms, efforts to promote a new relation between the State and
society, particularly with new actors, is  outstanding. Other changes include modernization of
the educational system and teaching programs; promotion of measures of ecological protection
and environmental improvement; greater attention to the development of Public Health,  and
guidelines for actions to improve the judicial system.
        All of these transformations  are currently taking  place against a  backdrop of
unprecedented economic crisis, making stricter rationality of public spending an obligation. In
spite of this, federal authorities have not renounced the scrupulous application of the law.
3       LAW ENFORCEMENT AND VOLUNTARY COMPLIANCE

        One of the responsibilities in the area of environmental legislation especially important
to the Mexican Federal Government, is the strengthening and enforcement of environmental
law. Through laws, regulations and official Mexican norms, among other instruments, a normative
body has been configured to clarify environment-related goals, and which constitutes society's
main reference point of guidance for those activities which affect the environment and natural
resources.
        In this context, we propose to orient the activity of the application of the law in three
directions:

3.1      Broadening actions  covered by  inspection and enforcement

        Broadening actions covered by inspection and enforcement is especially urgent in
the area of natural resources. While the universe of industrial activities is reasonably well-covered
by the thousands of monthly visits carried out, in the case of enforcement in fishing and forest
activities, flora and fauna, serious limitations exist. It should be pointed out that from the beginning

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88            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
of President Zedillo's administration, these functions (which previously had been dispersed
among various federal agencies) have been concentrated in the Office of the Federal Attorney
for Environmental Protection (PROFEPA), a decentralized agency of the Secretariat of the
Environment, Natural Resources, and Fishing (SEMARNAP). Nevertheless, the natural and
financial resources available are exceedingly scarce, and it will be necessary to implement a
program of institutional development to provide an increase in the presence of public power, at
least in regions where the depredation or excessive use of natural resources is having the
most serious effects. One of the fundamental requirements to achieve this goal is the possibility
of dedicating an important  part of fines imposed  to support inspection and enforcement
programs.

3.2     Achieving defined  environmental objectives

        A quantitative increase in the actions of inspection and enforcement will not suffice
We must channel our efforts so that the coercive action of the State is not directed solely
toward punitive intent, but also toward the goal of achieving environmental objectives, as well
as the conservation of natural resources as stated in the normativity. This strategy takes on
different tones, depending on whether the subject in question is industry or natural resources.
        In the case of industry, over forty seven thousand inspection visits made by the Office
of the Federal Attorney for Environmental Protection (PROFEPA)  since  1992 provide an
important quantity of information on levels of compliance with environmental normativity and
most common violations.  For this reason a national system of indicators of compliance with
environmental legislation  has been set up, consisting of a data base with all the information
relative to detected irregularities. Not only will this provide the most precise diagnosis possible,
but will also orient programming  of inspection Visits according to clearly defined goals for
improvement in environmental acceptability.
        In the case of natural resources, the lack of systematized information on illicit activities
in fishing, logging and trafficking of species demonstrates the need to Increase our knowledge
of these problems. To that end, an agreement has been made with the National Council of
Science and Technology  (CONACYT) to begin a program of research on compliance with
environmental and natural resource legislation, with an annual budget of over $700,000 US, to
finance studies by specialized research centers. Our information on compliance with the law in
this country  is so poor that first it will be  necessary to motivate the formation of an academic
community dedicated to this subject.
        In addition control of natural resources should be modernized by new technologies
including systems of geographic information, Instruments of global positioning, satellite images,
and others to permit the identification of those illicit activities causing the most damage, which
must be ceased urgently.

3.3     Broadening social  participation

        It is clear that environmental legislation cannot be successful if it depends solely on
government action. In  any  successful institutional arrangement, coercive actions are the
exception, in the contextthat social actorscomply with the law voluntarily. Forthis, it is necessary
to broaden the forums for society's participation in diverse aspects of environmental legislation,
which constitutes the third important objective of the authority entrusted with the application of
the law. To achieve this, four courses of action come to mind;

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                                       AZUELA DE LA CUEVA, ANTONIO    89
Increase accountability of the public power in relation to society. The most
important step in this direction refers to the right of every person to have
access to environmental information in government hands. Current reforms
to environmental legislation represent unprecedented progress in this
aspect, since the right to information is broadened to every person (and
not only those  directly affected),  and precise legal mechanisms are
established to enforce this right.
Create forums where local authorities, citizens and  social organizations
can meet with federal authorities entrusted with protecting natural resources.
To this end, combination 12 of the inspection and enforcement committees
have been organized in 31 states of the Republic, where the most important
social actors on a local level meet to work with the Office of the Federal
Attorney for Environmental Protection (PROFEPA) on fishing, forest and
wild flora and fauna trafficking prevention. These committees mark the
beginning  of a new relationship between federal inspectors and the local
communities  in which they operate, for the purpose of articulating the
community's support for the application of the law.
Promote the development of forms of voluntary compliance with the law.
Among  these the most important is the environmental audit, originally
included in the parallel agreement to NAFTA on environment and which
will soon be incorporated into Mexican environmental legislation. To date,
over 400  audits have been  carried out,  in order to define, based on
exhaustive diagnostic tests, those actions which should be taken to comply
not only with current norms, but also with international norms and sound
engineering practices in those areas where official Mexican norms do not
yet exist. Also, the term for carrying out said actions will be defined, under
strict supervision by the Office of the Federal Attorney for Environmental
Protection (PROFEPA). Perhaps the most relevant case are the audits
carried out in all the refineries and petrochemical plants of state enterprise
Petroleos Mexicanos (PEMEX), which  call for an Investment  of
approximately 660 million dollars to improve environmental performance,
within a period of three years. In the future, the incorporation of small and
medium-scale industry will be promoted.
Encourage the  participation  of academic institutions and research on
attention to environmental problems and emergencies, such as attention
to wildlife,  to be coordinated with corresponding authorities. In this context,
the need to commit these institutions, not only to research, but also to the
development  of mechanisms for  immediate response to these
emergencies, becomes  apparent. One example of this potential  was
offered by the Scientific-Technical Committee established by the Office of
the Federal Attorney for Environmental Protection (PROFEPA) last year,
with more than 19 institutions, to study the cause of mortality of birds which
occurred in the Silva reservoir.

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90            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
4       THE REFORM OF ENVIRONMENTAL LEGISLATION

        Today, the General Act of Ecological Equilibrium and Environmental Protection is
undergoing a process of reform in order to introduce new norms and procedures.
        It should be pointed out that the reforms proposal has been presented and discussed
in multiple forums with social and academic organizations, groups  of specialized attorneys'
business organizations and different government agencies.
        The proposal calls for decentralization of functions which affect, in the first place, local
communities, and in which local authorities should have Increased participation. In Article 12,
the proposal establishes precise mechanisms with definite formalities for the transference of
functions from the federal government to state governments.
        The objective is to create a more precise definition of the  areas of competence of
each of the three levels of government, and to reduce to a minimum the discretionary power In
each area, thus offering increased legal security in favor of those governed. The decentralization
program included in the proposal will not go into effect immediately, but under a uniform policy
under which application will be gradual,  in keeping with state and  municipal diversity.  To this
end' the ideal instruments are the agreements provided for by Constitutional Article 116 for the
transfer of functions from the Federal government to the States.
        Another important characteristic of the proposal is the broadening of opportunities for
social input on environmental Issues.  It provides for increased participation in the process of
environmental impact assessment, granting the right to all citizens to formulate observations
and proposals regarding projects or activities subject to evaluation and establishes procedures
during which, at the request of any citizen, the Secretariat of the Environment, Natural Resources
and Fishing (SEMARNAP) will organize a public hearing for the sponsor of a project to provide
an explanation to the public. The authority shall provide reasons for its decision, in relation to
the proposals presented by citizens in reference to a given project.
        Also, for the first time, rules will be established for participation in ecological land-use
planning (or ordenamiento ecologico del territorio), which will give  communities over three
months to pronounce on projects.
        With respect to natural protected areas (NPAs), not only does the proposal maintain
the principle of social participation in their establishment and maintenance, set forth in Article
47 of the current Law, but also specifies that participation should include proprietors and owners
of same, as well as local governments, indigenous communities, social organizations and
groups, universities, academic institutions, and other organizations, and calls forthe constitution
of the National  Council of Natural Protected Areas,  for the purpose  of participating in  the
elaboration, supervision and follow-up of policies  for  the establishment, administration, and
supervision of natural protected areas. The new wording places special  emphasis  on  the
participation of indigenous communities
        The proposal incorporates, forthe first time in Mexico's environmental legislation,  the
right to information, which is established not only in  general terms, but it also specifies its
content and provides for legal procedures to insure its implementation. Along with a definition
of what should be considered environmental information, Articles 150-3 and 159-6 grant every
person the right to access to information from environmental authorities from the three levels of
government. Exceptions to this right protect  legitimate interests - private as well as public -
established by other legal regulations,  which would be affected by the release of certain
information. Evidently, discussion as to whether this is sufficient could be unending. Nowhere,
it should be noted that said exceptions correspond to those established by the most recent
legislation in the European  Union.

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                                                  AZUELA DE LA CUEVA, ANTONIO   91
        As far as ecological land use planning, the proposal calls for this to be legally binding,
unlike the current situation similar to land use plans for urban development established in the
legislation on human settlements.
        With respect to the Environmental Impact Assessment (EIA), the proposal's aim is to
set forth guidelines for a more specific definition of projects and activities which should be
subject to said procedure. Such is the case of polyducts, forest exploitation, forest plantations,
land use changes of forest areas, fishing, agriculture and livestock, industrial parks, real estate
developments that might affect coastal ecosystems, as well as projects in marshlands, lagoons,
rivers, lakes and estuaries leading to the sea, as well as littoral or federal zones.
        Instead of reducing levels of environmental protection, what is reduced by establishing
an exhaustive list of projects and activities subject to environmental impact assessments (EIA),
is the discretionary power of authorities to decide when the presentation of an assessment is
required. In order to draw the line between projects that do require an assessment and those
that do not, there are only two choices. The first is to establish in the environmental legislation
a generic formula, whose interpretation and application will rely on the judgment of authorities
as current law,  and the second is to establish this definition in  a secondary ordinance (a
reglamento) which describes in detail those projects which, because of their size, location or
characteristics, would or would not be subject to the procedure.  The proposal includes the
second alternative, in order to reduce discretionary power.
        The proposal does not aim to replace preventive actions with corrective ones. The
proposal incorporates the polluters-pay-principle, that should be observed in the formulation
and application of environmental policy. To include a new principle in no way means abandoning
norms that establish preventive policies. This could only be affirmed if the preventive provisions
were revoked. In fact, the proposal's emphasis on the latter can be observed in the inclusion
for self-regulation and environmental audits as instruments of environmental policy, as well as
new provisions to  protect the country's  genetic capital  and specifically, to  regulate
biotechnological activities, which are currently not subject to control.
        None of the provisions incorporated prevents compliance with the international treaties
and conventions of which our country forms part. On the contrary, international obligations will
be part of the amendmentsto the law, in accordance with Article 133 of the Mexican Constitution,
which states that all international treaties, once approved by the Senate, will become "supreme
law of the nation".
        Finally, it should be stressed that work is still being done on the proposal, which could
be subject to revision before going to Congress for discussion.
5       INTERNATIONAL PRESENCE IN THE APPLICATION  OF THE LAW

5.1.     The North American setting

        The intenseinternationalenvironmentalactivity in which Mexico has participated cannot
solely explain the indisputable impact of external factors in the application of the lawand voluntary
compliance in Mexico. We must also carefully consider our relationship with the United States,
the structural character being  acquired  by some  of its elements, and the influences and
distortions produced internally in our country due to our proximity, both in the application of the
law and in our agenda of environmental themes

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92           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        The broadening of economic ties between the countries and growing trade in the
region have generated increased interrelation of Mexico with foreign markets, and with all
types of conditions imposed. In this context, the environmental element presents itself with a
double dimension: as a conditioning actor in the productive processes and as a powerful
instrument of unilateral commercial competition.
        To the latter we would have to include the influence of U.S. environmental rights, which
in some cases has given rise to the adoption of mechanisms In Mexican law such as the
environmental impact assessment1, as well as a for comparing technical levels to determine
sources of air and  water  pollution,  including toxic  substances and hazardous waste
management; a process which may not yet have reached the level of homologationof standards,
but which has influenced national debate on environmental standards and legislation.
        On the other hand, the distortion effect this influence has with some frequency on
Mexico's environmental agenda should be mentioned. The fact that a differentiated perspective
exists between both  nations as far as Mexican environmental priorities is indisputable. The
result is the overestimation of some Mexican environmental problems by some U. S. sectors,
as well as the underestimation of social and economic priorities that have considerable weight
in the attention Mexico gives to  its environmental problems.

5.2     The North American  Free Trade Agreement (NAFTA)  environmental system

        The North American Free Trade Agreement contributed to the concrete conformation
of what could be called a system of regional environmental instances that greatly influences
national attention given to environmental problems in Mexico.
        When the Mexican Senate approved NAFTA on November 1 B, 1993, that Treaty and
the Parallel Agreements became supreme law in Mexico, as established by our constitution. In
this manner,  new environmental and ecological  commitments,  as well as commercial
commitments, were integrated into our legal structure.
        In this sense, both paragraphs of Art. 1114 of NAFTA deserve special attention. The
first establishes that the Parties will" be able to adopt measures to insure that investments in
their territory will  keep environmental disquietudes in mind; and the second recognizes the
inadequacy of promoting  investment through  relaxed internal measures  related to the
environment, and consultation is envisioned when one Party believes the other Party to have
promoted investment through the denouncement or reduction of application of environmental
measures. 2
        It is also worth mentioning that Art. 104, on the relation between NAFTA and  other
agreements on environmental  and conservation  issues, establishes that In the case of
incompatibility between NAFTA and specific commercial obligations contained in instruments
including CITES (Convention on International Trade of Endangered Species), the Montreal
Protocol on the ozone layer, or the Basilea Agreement on transborder movements, the latter
will prevail over NAFTA. 3
        Two pillars of the system of regional environmental instances are the North American
Commission for Environmental Cooperation (NACEC),  consisting of Mexico, United States
and  Canada, headquarters in Montreal; and the Border Environmental Cooperation
Commission (BECC), between  Mexico and the United  States, with headquarters In Ciudad
Juarez.
        The negotiations on the Environmental Cooperation  Agreement, together with its
parallel labor agreement, concluded on August 12,1993.  The introduction of these negotiations
when negotiations had already concluded on NAFTA represented an indisputable political

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                                                 AZUELA DE LA CUEVA, ANTONIO    93
element. Nevertheless, that is no reason for regional environmental cooperation to cease
being an expression of what Gabriel Quadri deems "the interests  of modern  societies in
environmental issues."
       The supreme organ of the Environmental Cooperation Commission is the Council,
formed by the three environmental ministers from member countries. The executive area is
headed by a Secretariat, chaired over by an Executive Director. The advising body is the Joint
Public Advisory Council (JPAC), composed of 15 members, five from each country.
       The fundamental  objectives of the NACEC are:  to encourage protection and
improvement of the environmental; promote sustainable development based on cooperation;
support environmental goals of NAFTA; improve environmental laws and practices; promote
society's input on environmental policies, and prevent pollution.
       Also, the Agreement that established the Border Ecological Cooperation Commission
(BECC) and the American  Development Bank (NADBANK) was signed on November 16,
1993. Their vinculum to the aforementioned instruments is shown in the points considered, the
last of which establishes the will to "promote the goals and objectives of the North American
Free Trade Agreement... and the North American  Agreement of Environmental
Cooperation..."
        The main objectives of the Commission are: to provide technical and financial planning
assistance  to ecological infrastructure projects presented  In the  border zone. Said projects
should comply with those technical, financial and environmental the  Commission decides to
apply, as well as with environmental legislation and other legal provisions of the area in which
they are located.
        The works of the Commission are closely related to those of the Development Bank of
North America, since one of the latter principal functions Is to finance environmental infrastructure
projects certified by the Commission. It can also promote and complement private investment
in said projects.
        The Border Ecological Cooperation Commission  is headed  by a Board of Directors
made up often directors (five from each country). In addition, it has an Advisory Council made
up of 18 members (nine from each country), who represent  the state and municipal authorities
from all the  border states, as well as community members from the region and nongovernment
organizations.
        The system formed by both commissions is becoming consolidated as a group of
regional environmental forums whose interrelation and influence is indisputable. In the case of
Mexico, there are two central aspects to this influence: first as  generators or sponsors of
environmental projects, and second as mechanisms to provide  follow-up to environmental
problems and techniques of application of the law in  Mexico.
        One of the most outstanding characteristics of the Commission is the process of
consultations for the certification of environmental projects. Participants in the forums include
representativesfrom communitiesin the region, state or municipal authorities, nongovernmental
organizations, and academic, scientific or intellectual  personalities. One of the main objectives
of public participation is to determine whether the projects proposed for certification comply
with selection criteria established by the Commission, which were also designed through public
participation.
        Seven public sessions of the Directive Council have been held, as well as more than
twenty informative sessions in different localities along the border of both countries.
        We must point out, in this context, the dynamic developing around environmental issues
in the border zone between  Mexico and the United States. In addition  to the Border Ecological
Cooperation Commission,  also active in the region  are work groups established by the La

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94           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


Paz Agreement of 1983 between the two neighboring countries and Border XXI currently in
development, and which will integrate the contributions of all  national  and international
organizations in charge of environmental actions.
        Although not directly linked, other forums in the region have been opened to the
North American Commission for Environmental Cooperation (NACEC), whose work programs
include some related to the protection of natural resources and attention to the trafficking of
hazardous waste along the borders of Canada-United States and United  States-Mexico.
        Undoubtedly, environmental actions in the border region  in the north of Mexico
must be followed very closely, since the area will undoubtedly provide very significant
experiences, not only for those nations directly affected, but also, in a broader scope,  for
environmental cooperation  between industrialized nations and developing countries.


        REFERENCES

1.   Branes, Raul: Manual  de Derecho Ambiental Mexicano Fondo  de Cultura
    Economica, Mexico, 1994.

2.   North American Free Trade Agreement, Official Text SECOFI 1993,  pg. 398
3.   Op. Cit pg. 8

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               THEME # 2: PRINCIPLES OF ENVIRONMENTAL.COMPLIANCE AND ENFORCEMENT  95
                              THEME #2:

               PRINCIPLES OF ENVIRONMENTAL
              COMPLIANCE AND ENFORCEMENT
Theme 2 papers cover:

       •  Defining Compliance and Enforcement

          - The need to consider compliance and enforcement at every stage in
            the development and implementation  of environmental  laws and
            programs.
          - The philosophy of compliance, enforcement theories, andwhetherand
            how culture makes a difference.

       •  General Framework for Compliance and Enforcement

          - designing enforceable requirements;
          - identifying the regulated universe and setting priorities;
          - promoting compliance through enforceable requirements, technical
            assistance, and outreach;
          - monitoring compliance;
          - establishing and using enforcement authorities.
          - defining intergovernmental roles; and
          - establishing accountability and measuring results.
1.   Building International Networks, Cooperation, and Capacity for Environmental
    Compliance and Enforcement: A Progress Report, C. Wasserman	97
See related papers from other International Workshop and Conference Proceedings:

1.   The Principles of Environmental Enforcement and Beyond: Building Institutional
    Capacity, C. Wasserman, Volume I, Oaxaca, Mexico

2.   Principles of Environmental Enforcement, C. Wasserman, Volume I, Budapest,
    Hungary

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96            FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


3.   Developed for Conference use in conjunction with alternative workshop topics for the
     Principles of Environmental Enforcement training courses are stand alone technical
     support documents which summarize the environmental problems, pollution prevention
     and control alternatives, selected institutional approaches and an annotated
     bibliography on the topics of:

        •  Mining (metallics and minerals)
        •  Petroleum refining and petrochemicals
        •  Residential and industrial waste (solid) disposal
        •  Tourism
        •  Deforestation
        •  Transboundary Illegal Shipments of Hazardous Waste, Toxic Chemicals
          (Pesticide), Contraband CFC

     These technical support documents are available on request from the editors.

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                                                    WASSERMAN, CHERYL E.    97
BUILDING INTERNATIONAL NETWORKS, COOPERATION, AND
CAPACITY FOR ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT:
A PROGRESS REPORT

WASSERMAN, CHERYL E.

Associate Director for Policy Analysis, Office of Federal Activities, Office of
Enforcement and Compliance Assurance, U.S. EPA, MC-2251-A, Washington D.C.
20460, USA
       SUMMARY

       An international collaboration to build effective environmental compliance and
enforcement programs is leaving a lasting legacy through a series of biennial international
conferences, development of international workshops, published proceedings and studies,
and support for ongoing networking and cooperation. The Fourth International Conference
on Environmental Compliance and Enforcement to be held  in Chiang  Mai, Thailand, April,
1996, is significant both as an event and as demarcation  of the progress that has been
made in a little over a decade, including: 1) an international mandate and consensus on the
importance of dedicated programs for environmental compliance and enforcement to the
achievement of domestic and international environmental goals, sustainable development
and free trade; 2) adoption of common definitions, principles and a framework for international
exchange; 3) development of 12 international workshops, 6 technical and 6 capacity building
support documents; 4) exchange of experiences of well over 65 country  programs and expert
views on over 25 special topics in widely disseminated conference proceedings; 5) exponential
growth in networking supported by an accessible databank and years of research reflected
in over 200 governmental and nongovernmental officials from 100 countries and international
organizations invited and confirmed to attend the Fourth International Conference;  and 6)
emergence of new institutional arrangements for ongoing regional and international networking
and cooperation.
       This paper provides a brief overview of the importance of building capacity for
environmental  compliance and enforcement program success; what this international
partnership has been able  to achieve and what might be needed to continue this progress
into the next century.
1      INTRODUCTION

       The series of four biennial international conferences on environmental compliance
and enforcement has given a voice to what has for too long been the silent and difficult task
of getting compliance with and enforcing environmental requirements.  Achieving real results
and changing behavior to meet environmental  requirements is a daunting task.  Serious
threats to public health and the environment (e.g. from unhealthy air, unsafe drinking water,
discharges of raw or partially treated sewage into our waterways, dumping of hazardous
and toxic chemicals onto our land and into our waters, flooding from unchecked deforestation
and unauthorized  land management practices, loss of habitat, ecosystems, and biodiversity,
and/or release of ozone depleting substances), continue unabated unless this job is done

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98           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
and done well, and yet how to achieve compliance with environmental requirements is often
ignored until well after problems are identified and laws or international agreements have
been put in place. Overcoming obvious challenges and barriers to compliance is not a job
for the faint hearted (See Figure A1-3).  Nor is this job for those who would go charging at
the problem without sound technical support or strategic sense, actions which have resulted
in opposite and equal reactions, creating political backlash rather than support. Effective
environmental compliance and enforcement requires the doggedness of a good journalist,
the finesse of a statesman,  and the understanding of a psychologist to meld together a
balanced program which addresses the range of motivations and obstacles to get people
and institutions to comply. While monitoring compliance and taking legal  enforcement
response to impose legal sanctions and consequences for violators is at the  heart of any
compliance and enforcement program, there is much more involved.
       Networking has  proved to  be a powerful force internationally to help design and
implement more effective compliance and enforcement programs.  Ironically, while laws and
cultures are so very different that many now seek harmonization and simplification, the
elements of environmental compliance and enforcement strategy have resonated to common
principles and frameworks which have human nature at their core. These common human
threads have transcended the potential barriers to networking among governmental and
nongovernmental officials from 117 countries and international organizations coming together
over the course of a decade and learning from each other.
       The multinational commitment to capacity building, networking, and cooperation
has few parallels. A bilateral exchange between the United States' Environmental Protection
Agency (U.S. EPA) and  the Netherlands' Ministry of Housing, Spatial Planning and the
Environment (VROM) in 1985 under a Memorandum of Understanding  led to the First
International Enforcement Workshop in Utrecht, the Netherlands  in 1990.  Since then, the
Netherlands' Inspector General for the Environment and U.S. EPA's Assistant Administrator
for Enforcement and Compliance Assurance continue to provide leadership, co-chairing
and staffing the Executive Planning Committees for the conferences. The Executive Planning
Committee and conference sponsors have  steadily expanded.  By the time of the second
International Conference on Environmental Enforcement held in  Budapest, Hungary,
September, 1992, sponsorship had already expanded to include the European Commission,
along  with the  gracious support from Hungary as host country.  The Executive Planning
Committee also included the United Nations Environment  Program's  Industry  and
Environment center (UNEP I/E), the  Regional Environmental  Center in Budapest, the
governments of Poland,  Hungary and what was then  the Czech and Slovak Federated
Republic (now two independent Republics) and the World Wildlife Fund, involving NGO's for
the first time. The Third  International Conference held in Oaxaca,  Mexico, in April 1994,
expanded  its sponsorship further to include  UNEP I/E as  a full sponsor, the World Wildlife
Fund (WWF) and Mexico's SEDESOL (now PROFEPA). The Executive Planning Committee
included the sponsors plus Canada, Costa  Rica, Chile, Venezuela, Jamaica,  Nigeria, and
Indonesia, The location of the Conference in Mexico highlighted the  importance of reaching
not only industrialized economies, and those in transition, but also those  with developing
economies.
       The Fourth International Conference sponsors include not only VROM,  U.S.  EPA,
and UNEP UNEPI/E serving as the three anchors, but also Thailand's Pollution  Control
Department, Environment Canada, the European Commission and the Environmental Law
Institute, U.S. The Executive Planning Committee includes  UNEP's  Environmental  Law
Center, the United  Nations Development Program (UNDP), the  WWF, Canada, Mexico,
Chile, Poland, Hungary, the United Kingdom, Nigeria, Egypt, South Africa, Thailand, Malaysia,

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                                                      WASSERMAN, CHERYL E.   99
the Philippines, and the People's Republic of China. The location of the Conference in Asia
adds new focus on countries with rapidly industrializing economies to those of industrialized,
transitional, and developing economies highlighted at prior conferences.
        In partnership, an international collaboration has been able to achieve what few if
any countries or international institutions could achieve alone. The  Executive Planning
Committees for the succession  of four international conferences have come to perform a
role analogous to that of an Executive Board of Directors, guiding and catalyzing international
capacity building efforts.  The exchanges, networks, and cooperation have strengthened
individual country programs, created the base of experience to support international and
country commitments to environmental compliance and enforcement programs, put  newly
developing programs on a fast learning curve, and accelerated evaluation and learning from
what works and does not for those wishing to enhance existing programs. Figure  1 is a
telling portrait of this progress.
        Since 1990, and every two years since, the number of countries and international
organizations participating in the international conferences has doubled from Utrecht to
Budapest, and from Oaxaca to Chiang Mai. We have shifted our locations to build a stronger
regional as well as international networking capacity from Western Europe, to Central and
Eastern Europe, to Latin America,  and now Asia. Another shift was  the presence,  at the
Budpest Conference and thereafter of nongovernmental organizations, both citizen groups
and  international industry organizations.  Exponential  growth in the numbers and
representation of governmental and nongovernmental officials participating in the Conferences
is directly related to the contacts and relationships established at previous conferences. All
participants are personally invited based upon their ability to influence the design or
enhancement of environmental compliance and enforcement programs.
        The development of improved environmental compliance and enforcement programs
can be traced like stepping stones from one exchange to the next, each country and international
organization benefitting from the experiences of the others, offering their own unique contribution
to successes around the world.
2       INTERNATIONAL CONSENSUS ONTHE IMPORTANCE OF ENVIRONMENTAL
        COMPLIANCE AND ENFORCEMENT PROGRAMS, NETWORKING AND
        COOPERATION

        Heightened global activity to advance environmental compliance and enforcement
programs derives from four basic concerns: 1) a concern for environmental quality and
protection of public health; 2) a concern for economic prosperity; 3) a concern about fairness;
and  4) a concern for the credibility of our laws and institutions. (See Annex 1,  figure 2).
Over the past ten years, it is clear that successful environmental compliance and enforcement
of environmental law are essential to achievement of domestic and international environmental
goals, cleaner production, sustainable development and international free trade.  Together
with public  demand for environmental accountability, these concerns are in turn driving
enhancement of environmental enforcement.  Concerns about pollution havens, economic
pressure to reduce  environmental protections,  potential erosion of environmental quality in
countries where institutions were not sufficiently developed to address environmental issues
have been central to the debates not only  on the North American Free Trade Agreement
(NAFTA) among Canada, the United States and Mexico, but also within the European

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100
FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
            Building I nternationa I ''(En vf witmf|§|pP
         .Compliance andjl^
                        International Conferences Leave
                              A Growing Legacy
   250
    2OO
    150
    1 OO
     5O
         Individuals Participating
         Countries and International
         Organizations Participating
          1985
         OECD
       Enforcement
         Project
      USEPA/VROM
      Memorandum of
      Understanding
            1990
            First
          UTRECHT,
            The
          Netherlands
   1992
  Second
BUDAPEST,
  Hungary
  1992
  Third
OAXACA,
 Mexico
   1996
   Fourth
CHIANG MAI,
  Thailand
    ....More countries
    and international
    organizations are
    sharing
    experiences
                         ....More
                         International
                         Workshops
                         and Technical
                         Support
                         Documents
                         are
                         available
  1985 1990 1992  1994 1996  Total
                            1991
                 1996
               Capacity Building and
               Support Documents

               UNEP Institution-
               Building Workshops
               New Principles
               Workshops and
               Technical Support
               Dcuments
               Principles of
               Environmental
               Enforcement Training

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                                                        WASSERMAN, CHERYL E.   101
Community and within the Asia-Pacific region as well.  Clear signals are being sent that
those countries wanting to engage in free trade, need to meet some  minimum level of
competency in establishing environmental standards and ensuring compliance with them.


3       ACCOMPLISHMENTS OF INTERNATIONAL CONFERENCES AND
        RELATED NETWORKING

3.1     International mandate for environmental compliance and enforcement programs

        One of the most important outcomes of the first International Enforcement Workshop
in 1990 was the participant recommendation that enforcement appear on the agenda at the
United Nations Conference on Environment and Development (UNCED), planned for Rio de
Janeiro, Brazil in 1992. Although enforcement was not specifically a topic at the UNCED, a
more significant result emerged in Agenda 21, Chapter 8, Section (e) 8.21. This established
an international  mandate to build  compliance,  compliance monitoring  and enforcement
capacity as an essential element of environmental management, starting with ensuring that
laws and regulations be enforceable. Language in Agenda 21 also empowered  UN
organizations to more actively support compliance and enforcement institution  building
activities. Public accountability provided by such governmental compliance and enforcement
programs was undergirded by support for a strong public role in decision making throughout
Agenda 21. (See Figure 2).
    Agenda 21, Chapters, Section (e) 8.21, establishes an international mandate
      to build compliance and enforcement capacity as an essential element of
                           environmental management:

    (e) Develop effective national programs for reviewing and enforcing compliance with national, state,
    provincialand local laws on environmentand development
    8.21. Each country should develop integrated strategies to maximize compliance with its laws and
    regulations relating to sustainable development. The strategies could include:
    (a) Enforceable, effective laws, regulations and standards that are based on sound economic, social
    and environmental principles and appropriate risk assessment, incorporating sanctions designed to
    punish violations, obtain redress, and deter future violations;
    (b) Mechanisms for promoting compliance;
    (c) Institutional capacity for collecting compliance data, regularly reviewing compliance, detecting
    violations, establishing enforcement priorities, undertaking effective enforcement, and conducting periodic
    evaluationsof the effectivenessofcomplianceandenforcementprograms;
    (d) Mechanisms for appropriate involvement of individuals and groups in the development and enforcement
    of laws and regulationson environmentand development.
Figure 2.  Agenda 21 Language on Environmental Compliance and Enforcement.
        Of perhaps equal significance are related  voluntary initiatives  by the  business
community to support compliance with environmental  requirements.  At the  UNCED,
organizations such as the International Chamber of Commerce and the Business Council for
Sustainable Development presented consensus statements on the need for more effective
environmental management. Indeed, the International Standards Organization's international

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102           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
standards  on environmental management systems,  ISO 14001,  are predicated on a
commitment from top management to both environmental compliance  and prevention of
pollution. (See Figure 3).
         Excerpts from Voluntary International Standards for Environmental
        Management Systems, which include a commitment to environmental
           compliance: the International Standards Organization ISO 14001

    Environmental Management System Requirements:
    4.1 Environmental Policy Top management shall define the organization's environmental policy and
    ensure that it:
    c) includes a commitment to comply with relevant environmental legislation and regulations, and with
    other requirements to which the organization subscribes;
    4.2.3 Objectivesand Targets The organizationshallestablish and maintain documented environmental
    objectives and targets, at each relevant function and level within the organization. When establishing
    and reviewing its objectives, an organization shall considerthe legal and other requirements
    The objectives and targets shall be consistent with the environmental policy
    4.4.1 Monitoring and Measurement The organization shall establish and maintain a documented
    procedurefor periodically evaluatingcompliancewithrelevantenvironmentallegislationand regulations.
Figure 3.  Excerpts From Voluntary International Standards for Environmental
          Management Systems
3.2     Principles and frameworks for international exchange

        A common international  framework, definitions and principles for international
exchange now provide a basis for international exchange after being introduced at the Second
International Conference in Budapest, Hungary in 1992  with this purpose in mind.  These
principles emerged from the first International Enforcement Workshop held in Utrecht, the
Netherlands, May  1990, based upon principles and frameworks used to describe the U.S.
program. Participants recognized  a common need to change human behavior to get results
intended by environmental requirements that transcended differences in laws, customs, and
legal systems. These frameworks were originally developed to better articulate a consistent
philosophy and approach to inspire improved enforcement among the 50 states and numerous
local government entities in the U.S. after a two-year decline in enforcement. At the beginning
of 1991, Poland's  Ministry of Environmental Protection,  Natural Resources, and Forestry,
represented at the first International Enforcement Workshop requested enforcement training
and provided a unique opportunity to take these principles and frameworks out of a U.S.
context, and to develop them for international use.  Drawing on international experiences
shared at the first international workshop, the text and course were developed to offer a rich
menu of options for ways to develop programs. The "Principles of Environmental Enforcement"
text and associated training exercises, role-playing and case-study materials were developed
by U.S.  EPA in cooperation with both Poland's Environment Ministry and the Netherlands's
environment inspectorate (VROM)  for  enforcement training with broad international
applicability. The Principles of Environmental Enforcement Training has now been offered in
over 13  countries and translated into 9 languages.3 The definitions, principles and framework
are summarized in Annex  1 to this paper and the course is described  more fully in Annex 2.

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                                                       WASSERMAN, CHERYL E.  103
       The framework covers seven elements:
       •  Creating requirements that are enforceable.
       •  Knowing who is subject to the requirements and setting program priorities.
       •  Promoting compliance in the regulated community.
       •  Monitoring compliance.
       •  Responding to violations.
       •  Clarifying roles and responsibilities.
       •  Evaluating the success  of the program and holding program personnel
          accountable for its success.
       The Executive Planning Committees for the Third and Fourth International Confer-
ences included a one-day version of the training at the Conferences to provide a common
basis for discussions. To ensure wider applicability,  new case study subject areas were
commissioned to augment the original case study concerned with air pollution from coal as
an energy source and use in the coking process for steel  fabrication. The new topics in-
cluded  mining, petroleum refining and petrochemicals, residential and industrial waste dis-
posal, tourism, deforestation and transboundary illegal shipments. The broader subject matter
of the new Principles of  Environmental Enforcement workshops did much to blur some of
the sharp lines dividing  green  and brown issues within the environmental community. It
demonstrated a common framework within which one could learn from each other, whether
the concern involves tourism and forest management or industrial and municipal pollution.
Six stand-alone technical support documents for each of these new subject areas provide
an overview of the kinds of environmental problems, pollution prevention and control op-
tions that are available to both address the public outreach  issue and to enable officials
throughout the world to begin tapping into the expertise available  to address these prob-
lems. (See Figure 4.)
        The problems portrayed in the fictitious case studies at the  Third International
Conference were echoed by real life examples described in the papers in the Fourth Conference
Proceedings.  These include papers from Barbados which mirror the tourism case study and
technical support document, the paper from Guyana on compliance and enforcement problems,
which mirrors the mining case study and support document, the experiences of Nigeria, China
and the Netherlands in transboundary illegal shipments of hazardous waste, and the Dominican
Republic in addressing deforestation.

3.3     Development of international workshops, technical and capacity building
        support documents

        The Principles of Environmental Enforcement International Training was followed
by a second and complementary set of training modules and workshop materials. In 1992,
UNEP  published "From Regulations to  Industry  Compliance: Building Institutional
Capabilities".  The report, two years in the making, was designed to provide government
officials and other concerned actors with guidance on building institutional capabilities to
implement their environmental laws with an integrated approach so that waste and pollutants
are not simply transferred between media, e.g. air to water or water to land, but are actually
reduced at the source. Ideas and concepts illustrate the importance of legally binding industrial
facilities to established environmental standards and to check that they are meeting them.
Examples of countries' experiences were selected to show the incremental steps that can
be taken with even minimal personnel and resources when there is sufficient political will.

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104           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        Requests of UNEP from officials in developing countries and transitional economies
of East and Central European to help them apply the concepts and integrated approaches
outlined in UNEP's publication resulted  in the development of UNEP's Institution Building
Workshops for Industrial Compliance. The workshops were developed with the Netherlands
in cooperation with U.S.  EPA with additional members  of an  Advisory Committee with
members from Mexico,  France, Egypt, and Poland to ensure the materials are helpful to
developing nations and transition  economies. A draft  Manual and four case studies with
facilitation materials were piloted at the Third International Conference on Environmental
Enforcement, picking up  where the Principles of Environmental  Enforcement  leave off,
exploring  in four different modules:

        •  Organization of permitting, compliance  monitoring  and enforcement
           programs.
        •  Human, financial and information resources for the above programs.
        •  Permitting processes for industrial facilities to enhance compliance.
        •  Compliance monitoring and enforcement  capability.
          International Workshops and Related Technical and Capacity Building
                                   Support Documents:
        Principles of Environmental Enforcement International Training Course
        •  Principles of Environmental Enforcement Text
        •  Technical Support Documents:
            -  Coal burning, iron and steel (first case/no support document);
            -  Petroleum refining and petrochemicals;
            -  Metallic ore and minerals mining;
            -  Residential and industrial (solid) waste disposal;
            -  Deforestation;
            -  Tourism; and
            -  Transboundary illegal shipments of hazardous waste, pesticides and contraband
              CFC.
        UNEP Institution Building Workshops on Industrial Compliance: comprised of 4 Modules
        •  1-Organizingpermitting,compliancemonitoringandenforcementprograrns, 2-Financing
           and budgeting resources for compliance and enforcement programs, 3-Enforceable
           Permitting Processes, 4-Compliance Monitoring and Enforcement
        Capacity Building Support documents
        •  Organizing permitting, compliance monitoring and enforcement programs
        •  Financing and budgeting resources for compliance and enforcement programs
        •  Comparative study of source compliance self-monitoring requirements
        •  Comparative study of multi-media inspection protocols

        Communications and Enforcement Workshop
        •  Communications Strategies for Enforcement

        Inspector Training and related technical materials with process and prevention information
        •  Student text: Conducting Multi-Media Inspections
        •  Technical Information on Selected Industry Processes
            -  Furniture finishing
            -  Electroplating
            -  Printed circuit boards
            -  Wood Preservation
            -  Rock Crushing and Cement Production
            -  Injection Molding
Figure 4.   International Workshops and Related Technical and Capacity Building Support
           Documents

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                                                       WASSERMAN, CHERYL E.  105
To reinforce the common basis for international capacity building, the overview to the manual
is a summary of the "Principles of Environmental Enforcement."
        The Executive  Planning Committee for the Fourth International Conference also
specifically commissioned several capacity building support documents to enrich the basis
for exchange (See Figure 4).  These build upon areas identified in the Principles of
Environmental Enforcement and UNEP training workshops and other topics of  interest at
the international conferences.  The capacity building support document on organizing
programs compares 10  country programs and how they address issues such as the degree
of centralization,  placement in the hierarchy, degree of consolidation of functions, single or
multimedia organization. The support document on financing and  budgeting provides
information on more than 60 country programs along with key concepts in budgeting and
financing. The comparison of source compliance self-monitoring, reporting and record keeping
requirements illustrates  how over ten different countries leverage scarce inspection resources
and ensure the regulated community has sufficient information to achieve compliance through
self-monitoring and reporting requirements. It explores how each country considers technical
feasibility, cost to medium and small business, and management of the information. The
international comparison of multimedia (integrated) inspection protocols should help countries
continue to explore the relative advantages and disadvantages of single and multimedia
approaches. Finally, a new workshop and capacity building support document are available
on communication strategies for enforcement. This is a particularly important topic given the
importance of spreading the word about enforcement and gaining the support of an educated
and supportive citizenry to make each enforcement action count.

3.4     Exchange of experiences of well over 65 country programs and expert views
        on over 25 special topics  in published and widely disseminated conference
        proceedings

3.4.1    Creating a practical literature on environmental compliance and enforcement

        Following each of the International Conferences,  Volumes of the Proceedings are
widely disseminated to enforcement  and environmental  officials in virtually every nation
around the globe. The  Proceedings contain papers by country and special topic experts,
opening speeches, results of workshop discussions, conference evaluations and additional
papers. These proceedings clearly reflect  a  realization  of several  goals of Conference
organizers in the increasing number of country experiences profiled, the increasing number
of topics around which experiences are summarized,  and the increasing sophistication of
the papers that are the subject of these communications. Papers are solicited to provide
information on the evolution of a program or activity, what works and does not work, factors
leading to success or failure, and clarity needed to be understood and potentially serve as a
learning experience for  others. For the Fourth International  Conference in Chiang Mai papers
from over 55 countries and international organizations will bring the total from four conferences
to well over 67 country  programs having been profiled. (See Figure 5.) Through papers and
reports by rapporteurs  at over 25 special topic workshops, the state of the  art in official
experiences in that topic is captured (See Figure 6).

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106           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
           Countries and International Organizations with Participants at the
                               International Conferences
    #     Countries and Organizations by Region
    17    Africa:
          Benin, Botswana, Cameroon, Egypt*, Ethiopia, Ghana, Kenya, Malawi, Nigeria*, Senegal*,
          Sierra Leone, South Africa, Tanzania*, The Gambia, Tunisia, Uganda*, Zimbabwe*
    19    Asia: Australia. Bangladesh, Bhutan, Cambodia, Hong Kong*, India, Indonesia*, Japan*,
          Malaysia, Mongolia, Nepal*, New Zealand*, Pakistan, People's Republic of China*, the
          Phillippines*,Sri Lanka, Taiwan, Thailand*, Vietnam
    9     Caribbean:
          Aruba, Bahamas, Barbados*, Curacao, Dominican Republic*, Jamaica, St. Lucia, St. Maarten,
          St. Vincent
    19    Central and South America:
          Argentina*, Belize, Bolivia*, Brazil, Chile, Colombia*, Costa Rica*, Ecuador, El Salvador*,
          Guatemala*, Guyana*, Honduras*, Nicaragua*, Panama, Paraguay, Peru*, Suriname, Uruguay,
          Venezuela
    3     North America: United States*. Canada*. Mexico*
    6     West Asia and Middle East: Bahrain, Israel*, Jordan, Kuwait, Oman, United Arab Emirates
    12    Western Europe: Austria. Belgium*, Denmark*, Finland, Germany*, Greece, Italy, Norway*,
          Sweden*, Switzerland.TheNetherlands*, United Kingdom*
    16    Central and Eastern Europe/NIS:
          Albania, Armenia*, Bulgaria*, Croatia.Czech Republic*, Estonia, Hungary*, Kazakhstan,
          Latvia, Lithuania*, Montenegro, Poland*, Romania*, Russia*, Slovak Republic, Ukraine*
    16    International Organizations: Asian Development Bank, Commission of the European
          Communities*,EnvironmentalLawlnstitute*,GlobalEnvironmentalManagementlnitiative*,
          Inter-AmericanDevelopmentBank, InternationalChamber of Commerce*, INTERPOL*, North
          America Commission for EnvironmentalCooperation (NACEC), Organization of American
          States, Organizationfor EconomicCooperation and Development, Regional Environmental
          Center*, United Nations EnvironmentProgram,l/E*, UNEP ELI, United Nations Development
          Program*, United Nations Crime Unit*, World Bank*, World Wildlife Fund*

    * Indicates sources of papers in Conference proceedings
Figure 5.  Countries and International Organizations With Participants  at the
           International  Conferences
3.4.2   Example conclusions from workshops and theme discussions

        •  Challenges to initiating environmental compliance and enforcement
           programs
           Challenges to environmental enforcement are present whether one is
           establishing a national environmental enforcement program or enforcing
           at a regional level, whether starting from scratch or improving  the
           implementation of an  existing  program.  First, a catalyst is needed to
           break the inertia of inaction about compliance problems. Second, there
           is a constant search for funding and trained personnel. Third, interagency
           conflicts and provincial/federal jurisdictional conflicts must be resolved
           or they will impede progress. Fourth, political  instability in  particular
           plagues the advances  in many programs. Fifth, creative and even
           courageous interpretation of  laws are  often necessary to begin
           constructive response to environmental  problems. Finally, national
           commitments have to be supported by international cooperation and an
           involved public.

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                                                            WASSERMAN, CHERYL E.  107
       Special Topics Addressed at Four International Conferences for which
                   Papers and Discussion Summaries are available:
         Automation and Enforcement: available support systems (4th)
         Strategictargetingforenforcement(4th)
         Strategies, tools and management systems (1 st)
     •    Integrated permittingand enforcement (4th)
     •    Compliance monitoring (2nd, 4th)
     •    Role of police in enforcement (3rd)
         Promoting voluntary compliance: environmental auditing, outreach,
         incentive programs (3rd, 4th)
         Measures of success (1st, 4th)
         Communicationsand enforcement (2nd, 3rd, 4th)
         Public role in enforcement: How to go about  creating and supporting  effective
         citizen enforcement (2nd, 3rd, 4th)
         Criminal enforcement: INTERPOL, role of criminal enforcement (3rd, 4th)
         Enforcementof economic instruments (3rd, 4th)
     •    Take-backlawsenforcement(4th)
     •    Creatingenforceablepermitprogramsand requirements (2nd, 4th)
         General, hazardous and solid waste (2nd)
         Focus on water pollution and contamination of drinking water supplies (4th)
         Transboundary illegal shipments/ imports and exports of hazardous waste, toxic chemicals,
         contaminated product, pesticides, contraband CFC (1st, 2nd, 3rd)
         Montreal Protocol: enforcement of CFC and related requirements (1st, 3rd, 4th)
         Enforcing domestic programs implementing international agreements (1 st, 4th)
         Establishing international networks (3rd, 4th)
         Collaborativeinternationaltargetingofenforcement(4th)
         Organizing Programs (2nd, 3rd, 4th)
         Financing Programs (2nd, 3rd, 4th)
         Intergovernmentatenforcementrelationships(lst)
         Enforcement policy and authorities (1 st, 2nd, 4th)
         Field citation and related administrativeenforcement programs (3rd)
         Enforcing the law at government owned or operated facilities (2nd, 3rd)
     •    Enforcing in economically depressed circumstances/areas (2nd, 3rd)
         Privatization as an opportunity to enhance compliance (2nd)

     Numbers reflect proceedings from conferences in which the topics were discussed and papers and
     discussion summaries available.
Figure 6.  Special Topics Addressed  at Four International Conferences

        •  Institution  building
           The important message in institution building is to start.  Many country
           examples are now available which suggest some common experiences
           that might be applicable in many different settings. Norway's experience
           suggests that it is best to create an independent enforcement and
           inspection function as their program evolved from an integrated permit
           and compliance program  in which personnel had multiple roles to one
           with discrete functions to improve professionalism. Mexico's experience
           with extensive training programs for their inspectors is part of a larger
           effort to improve interagency coordination and decentralize enforcement.
           The Netherlands  has established coordinating councils  to  organize
           response to violations  among several  agencies at different  levels of
           government efficiently and to address all aspects of the problem.

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"108          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        •  Transboundary  export/import  of illegal shipments of hazardous
          waste, pesticides and ozone depleting substances
          If ever there were a need for networking and cooperation it is the
          transboundary  shipments issue.  Complicated to detect, and facing an
          increasingly cynical community which is creating ways to evade detection
          as quickly as they are discovered, several obstacles to gaining strong
          controls on the export and import of illegal shipments still exist. In
          particular, the search for a clear and consistent  definition of hazardous
          waste continues  to be a challenge,  and detection requires  extensive
          coordination of departments  within  governments and internationally.
          Exporting nations need to take more  responsibility for  promoting
          compliance given the lack  of  full understanding of international
          requirements. Lack of strong requirements in some developing countries,
          that are sufficient to protect them from improper disposal of hazardous
          waste is still a  problem. To effectively  control export  and illegal import
          there is a need to continue the ongoing international efforts to share
          information and develop regulatory and institutional frameworks through
          Interpol, Basel Convention implementation and local regional cooperative
          arrangements .  The Proceedings of the Fourth Conference offer Nigerian
          and Dutch views on tricks of the trade,  U.S. tips  for investigation
          strategies, and China's experience in assessing responsibility  and
          working with the full range of actors to resolve problems.

        •  CFC controls to  implement the  Montreal  Protocol
          Several developed nations  have begun aggressive  enforcement
          programs aimed  at implementing the goals of  the Montreal Protocol.
          However, many developing countries  and  some developed  countries
          have not yet begun to achieve the  international goals set by the Montreal
          Protocol due to lack of support, lack of funding and lack of capacity. As
          CFC containing materials are banned, illegal  exports, particularly to
          developing countries, are increasing and there  is a particular need for
          cooperation and transfer of knowledge.

       •  Government owned and operated facilities
          It is essential for the credibility of compliance and enforcement programs
          and achievement of environmental goals that government owned  and
          operated facilities be held  accountable  for compliance in the same
          manner as private sector facilities. Although there is significant public
          support for the idea that governments should live  up to the environmental
          standards they set for their citizens, legal and political barriers  make this
          idea very hard  to implement. A variety of approaches and institutions
          are necessary  to produce environmental  compliance and  cleanup at
          government facilities. Most important are an  independent  judiciary,
          funding for compliance and cleanup, public awareness and involvement,
          and enforceable requirements.

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                                            WASSERMAN, CHERYL E.   109
Enforcement of economic instruments
Worldwide experience with economic instruments for environmental
protection is still  quite limited although a wide range of economic
instruments have been used in developing as well as developed nations.
Experience to date indicates that some types of economic instruments,
especially the more complex ones such as tradeable permits, can require
at least as much enforcement and monitoring as do the more traditional
command-and-control regulations. Economic approaches in fact require
good information and monitoring systems which can also raise costs for
regulated entities. There is real  interest in the potential  of economic
instruments to address environmental issues more efficiently. However,
this interest is tempered with caution, particularly in developing countries,
given the difficulty of implementation and the fact that a firm regulatory
and enforcement base is often required.

Role of communications
There is widespread agreement that an informed and supportive citizenry
is essential to achieve the political support for enforcement, and
communication  of enforcement actions is essential to gain the deterrent
impact of enforcement response.

 - Public disclosure: led to major pollution prevention efforts instead of
   cleaning  up pollution at the end of the pipe.  The press can be a
   major ally  in helping to  improve compliance and implement
   enforcement programs.
 - Citizen enforcement: plays a critical  role in making  enforcement
   effective  in achieving compliance. Public support and an educated
   citizenry are  essential to support  enforcement. This can  be
   accomplished through  disclosure  to the public of information  on
   releases. Governments  need to support NGO participation  in the
   enforcement process.

Enforceable requirements
A major theme at the second international conference was how to
establish enforceable requirements.  Criteria,  checklists, and country
experiences are now available in Conference proceedings, and results
reported, particularly in regard to hazardous and solid waste. Shared
problems with definitions, and  confusing requirements mingled with the
need for improved waste management approaches and waste
minimization were discussed and described in conference papers. The
Fourth International  Conference continues to explore this topic  with a
focus on safe drinking water.

Voluntary compliance
Voluntary compliance programs (i.e. programs to encourage and promote
compliance, not compel compliance through legal process) are important
to achieving compliance, especially as a complement to a regulatory
framework and strong enforcement program. Countries which are just

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    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
developing their regulatory and enforcement framework may only be
able to begin with voluntary compliance efforts, but such initiatives are
strongly encouraged, even though their effectiveness will be far greater
once enforcement and regulatory frameworks are in place. Approaches
need to examine all aspects  of compliance,  using all motivations,
particularly public pressure and concern for market share.  The role of
media is important in raising public awareness.
For small or economically marginal business, the goal of voluntary
programs  might be  compliance with the law,  whereas large  or more
profitable businesses can be encouraged to go beyond compliance to
reduce waste and prevent  pollution. There  are significant benefits to
promoting environmental auditing by companies and policies should avoid
discouraging self audits. Environmental education can change behavior
in early years, establish environmental  values, and provide for public
pressure for compliance.

Enforcement policies and authorities
Conference papers  and  workshops have explored the use of
administrative, civil judicial and criminal enforcement, their relationships,
and  relative strengths, human resource requirements  and program
implementation.

-  Creative new authorities to  balance  risk, compliance and ability to
   pay considerations: Polish  and  Czech officials have recently
   developed enforcement response policies and authorities which they
   are calling "compliance programs" to better take into account harsh
   economic realities while maintaining the rule of law and commitment
   to compliance based in part on experiences in  the U.S.  reported at
   the First International Workshop.  The U.S. employed  negotiated
   compliance schedules to address compliance by the iron and steel
   industry faced with economic hardship in depressed economic areas,
   tough environmental standards to meet quality goals in  the heavily
   polluted iron and steel bel. The new approaches also seek risk based
   pollution prevention and control which may go beyond what is required
   to comply, employing models similar to those used in the U.S on a
   selective basis in creative enforcement settlements which included
   supplemental projects to prevent pollution beyond mere  compliance
   in exchange for somewhat reduced penalties.
-  Field Citations: Empowerment of inspectors or  field officers to take
   complete enforcement action when confronting  certain  types of
   environmental violations was widely viewed as a desirable feature of
   an enforcement program. Field citations  were  felt to have a great
   deal of potential for streamlining lengthy administrative enforcement
   procedures which have proved to be very frustrating to enforcement
   officials around the world. There were a wide variety of approaches
   among countries to the authorities given to field officers, ranging from

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                                             WASSERMAN, CHERYL E.   111
   assessment of a small fine to closure of the facility. Field officers can
   include a variety of personnel including inspectors, park rangers and
   police officers.
-  Criminal enforcement: Countries employ criminal enforcement very
   differently, some reserving it for the worst offenses, while the majority
   of environmental offenses are  criminal  in other countries. Most
   countries  recognize the particular deterrent value of criminal
   enforcement in the potential and actual application of jail terms to
   violators. Education of judges and hearing officers can be a key factor
   in the successful prosecution of environmental crimes. Criminal
   enforcement mechanisms can deliver a full  range of potential
   sanctions and consequences for responding to environmental
   violations,  and not just jail terms and fines. It is increasingly being
   viewed as an important enforcement  tool best  utilized  in an
   enforcement scheme which contains multiple response options.

Compliance monitoring
The backbone of any compliance and enforcement program, compliance
monitoring raises may issues including the role and training requirements
for environmental inspectors,  relationships to  civil and criminal
investigators, relationships to legal staffs, and issues related to potential
roles in promoting compliance, providing assistance, and in enforcement
response.  Norway described its experience which led to separation of
the permitting and inspection functions and the use of inspection fees
for inspections augmented by payments to third parties to conduct audits
in  the absence of government inspection. Conference exchanges have
also  explored issues  related  to single versus integrated or multimedia
inspections, source self-monitoring  record keeping and reporting, and
the use of third party audits.  Key results of these discussions include:

-  Training and developing expertise: The United States has reviewed
   its establishment of the National Enforcement Training  Institute,
   federal requirements for inspector training and a National Enforcement
   Investigations Center which supplements the work of  state and
   regional inspectors and investigators.  In response to a request by
   the government of Mexico, the U.S. EPA developed training programs
   with Mexico for Mexican inspectors and customs officials which are
   equally beneficial  to U.S.  EPA.
-  Third party audits: Several countries have explored ways to augment
   their own inspector resources through third  parties.  For the First
   International Workshop,  Norway described  its experience with  the
   use of inspection fees for inspections augmented by payments to
   third parties to  conduct audits in the  absence of government
   inspection.   For the Fourth Conference,  the  Mexican government
   describes  an environmental audit program to augment  its  limited
   compliance monitoring resources, which may provide the basis for a
   more formal third party system.

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112          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
           -  Role of police: Police offer significant potential to serve as additional
              eyes  and ears for detecting environmental violations given their
              significant number and distribution and a lack of sufficient resources
              in environmental departments. Police may play a particularly valuable
              role in uncovering and solving environmental crimes and some
              countries have developed specialized police to investigate this sort
              of criminal activity. Training is essential to make police  aware of
              environmental infractions, civil and criminal, and to  enhance
              appreciation of their significance as crimes. Given the  need for
              technical skills and know-how,  the role of police must be carefully
              coordinated with that of the environmental department, using different
              means applicable to respective countries. The Dutch reliance on their
              police corps to investigate  and bring criminal enforcement action
              inspired outreach within the U.S. to Chiefs of Police  and a program
              of training and awareness in the State of  New Jersey which was
              adapted for national use to augment a corps of civil  inspectors and
              criminal investigators for environmental crimes.
           -  Source self monitoring  and reporting: were identified as key
              ingredients for success at the second International Conference where
              costs were affordable,  as it ensured  greater accountability  by the
              regulated community, provides more complete and timely information,
              and shifts some of the cost burden from the government. A new study
              comparing country approaches will  help further discussions on the
              subject.

3.5     Emergence of new institutional arrangements for regional and  international
        networking and cooperation

        The Conferences already have spawned several new institutional arrangements for
regional and international  networking and cooperation.  IMPEL, the  European Enforcement
Network of the European Commission and member states, (which stands for Implementation
and Enforcement  of Environmental  Law),  was largely inspired by exchanges at the first
International Enforcement Workshop on efforts to build the federal/state relationship within the
United States. Several papers have been prepared for the Proceedings of the Third and Fourth
International Conferences on cooperative projects on enforcement to  prevent illegal
transboundary shipments of hazardous waste and on notification of new substances. Following
the second Conference in Budapest, Hungary, in 1992 the Regional Environmental Center
helped to foster further exchanges among governmental and nongovernmental officials within
Central and Eastern Europe.
        At the Third  Conference regional enforcement cooperation was described for North
America under NAFTA. The historic North  American Free Trade Agreement  and its
environmental  side agreements have  established an unprecedented level  of international
cooperation and mutual support in enforcing environmental laws. A plenary program panel on
international networking and cooperation was presented to stimulate interest to foster ongoing
exchanges and capacity building both regionally and globally based upon natural partnerships
and common environmental challenges. Spontaneously during informal sessions, participants
from the Americas developed the Oaxaca Declaration, committing themselves to  work
together to establish a network for helping  to build programs. Subsequently the Summit of
the Americas has  led to more formalized efforts.

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                                                      WASSERMAN, CHERYL E.  113
       There is enormous activity now in Central and Eastern Europe to enhance
environmental enforcement. Interpol has been strengthened as an institutional mechanism
for exchange of information on environmental crime. The Caribbean basin is coordinating
efforts to protect the Gulf of Mexico and its fragile ecosystems and Central American nations
have joined to enhance and harmonize their environmental laws to achieve sustainable
development goals.
       In November of 1994, UNEP and the People's Republic of China's National
EnvironmentalProtectionAgencyorganizedanAsiaregionalworkshoponindustrialcompliance
using its draft UNEP workshop materials with representatives from 8 nations in attendance.
4       A LASTING LEGACY: INSTITUTIONAL ARRANGEMENTS FOR ONGOING
        REGIONAL AND INTERNATIONAL NETWORKS AND COMMUNICATIONS

        To leave a lasting legacy from the series of conferences it is important not only to
develop and disseminate the proceedings, workshop materials, and related documents — all
tangible products - but also to develop regional and international mechanisms for continued
exchange — leading to appropriate mechanisms for cooperation and shared progress globally
across regions that transcend the biennial conferences.

4.1     Regional networks
        The Fourth Conference provides fertile ground and opportunity for participants to adopt
the most appropriate approaches for their own countries and regions. Reports on regional
meetings among officials from Africa, the Americas, South Asia, Southeast Asia and the Pacific,
Central and Eastern Europe, West Asia and Middle East, and Western Europe will summarize
country programs' status and progress, shared problems and challenges, institution building
need and opportunities for support  and exchange, proposals for regional and international
networking and cooperation. Both the Principles of Environmental Enforcement definitions
and frameworks and the UNEP workshop materials provide a foundation for discussions.
        Each region will report  out at the Plenary session discussions on the last day on
these issues. Whatever the subject or avenues of exchange, the Conference  organizers are
looking toward an ongoing mechanism which can result in even greater progress reported at
the Fifth International Conference.

4.2     Joining the World-Wide Web
        In the interim, steps have and will be taken to create vehicles for exchange which
will be both more effective and less costly than the biennial conferences.  By  the time of the
Fourth International Conference, a homepage will be ready for use keyed off of Earth 1, U.S.
EPA's homepage. It will sport the Conference logo and logos of its sponsors. It will provide
cross-links to sponsors' homepages to take advantage of materials they have to offer and
provide in electronic form all  of the proceedings,  technical  and capacity building support
documents and workshop manuals created by the international collaboration for widespread
use. As a part of the homepage,  there will be an ability to make inquiries, request assistance
or send comments to the Executive Planning Committee and staff  on the  materials and
issues related to environmental  compliance and enforcement.

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114           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
ANNEX 1

        This annex provides a brief synopsis of the "Principles of Environmental Enforcement"
text reprinted in its entirety in the Proceedings of the second International Conference on
Environmental Enforcement held in Budapest, Hungary, September 1992. It offers definitions
of compliance and enforcement, principles, a general framework, and range of options for
addressing each element of the framework for establishing effective compliance  and
enforcement strategies and programs in any international setting. It considers the full range of
motivations and barriers affecting compliance  behavior, and offers reasons for concern about
effective compliance and enforcement efforts tailored to the specific  circumstances  and
problems presented.
1       DEFINING COMPLIANCE AND ENFORCEMENT

        One of the most difficult challenges for international exchange and enhancement of
compliance and enforcement is finding the proper translation for the terms "compliance" and
"enforcement" in different languages. The following definitions are used:

1.1     Compliance

        Compliance is a state in which environmental requirements are met and maintained1.
Environmental  management decisions  to address environmental problems  include many
different choices, ranging from voluntary programs to traditional regulatory approaches, from
economic approaches to liability schemes where individuals or groups are accountable for
consequences of their actions, or involving combinations of these approaches (see Figure
A1-1). Compliance is a concern only where requirements are a part of a management scheme
to achieve environmental  goals, whether it involves traditional  regulatory approaches or
economic-based requirements, such as the payment of fees.

1.2     Enforcement

        Enforcement refers to the use of legal tools to assist in and compel compliance with
environmental  requirements, and in  some contexts to establish liability or responsibility for
harm to the public or environment from polluting activities2.
        For simplicity, "environmental enforcement" has sometimes been used, (for example,
in the titlefor the internationalconferencesand for the "Principlesof Environmental Enforcement"
text and training course), as a shorthand for the term "compliance and enforcement programs".
In this use of the term it encompasses the full range of "carrot and stick" approaches to gaining
compliance, going  beyond the above definition  to include inspections and other forms of
compliance monitoring (e.g., to find information needed to determine compliance  status and
to identify violations) in addition to legal  actions to impose some consequences for violating
the law and would also include compliance promotion activities such as technical assistance
and subsidies. Some may prefer to speak in terms of "compliance and enforcement programs"
to ensure that this broader meaning is clear.

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                                                                                  WASSERMAN, CHERYL E.    115
                           Approaches to Environmental Management
                            Planning
                                                          Evaluation
Implementation
Goal Setting
For example:
• Reduce Risk
• Improve and Maintain
Environmental Quality

• Prevent Pollution
* Sustain
Environmental Uses
e.g., Fishing)

• Clean Up Past
Contamination

Selection of
Management
Approach(es)
For example:
• Voluntary
• Regulatory/
command and
control
• Economic/market-
based
• Liability
• Risk-based

• Pollution
• Prevention
Development of
Legal Basis/
Requirements
For example:
• Legislation
• Regulation
• Permits and
Licenses
- Court Cases/
Precedents
• Programs





Development and ™
Implementation of
Strategy/Program
For example:
• Compliance and
Enforcement Strategy/
Program
- Ensuring Enforceable
Requirements
- Priority Setting
- Compliance
Promotion
- Compliance
Monitoring
- Enforcement
Response
- Roles and
Responsibilities
- Evaluation Measures/
Accountability
Systems
                                                                                                  For example:
                                                                                                  •  Compliance

                                                                                                  •  Environmental
                                                                                                    Improvements

                                                                                                  •  Reduced Waste and
                                                                                                    Pollution
   Voluntary Approaches Voluntary approaches encourage or assist, but do not require, change. Voluntary approaches include public educa-
   tion, technical assistance, and the promotion of environmental leadership by industry and nongovernment organizations. Voluntary approaches
   may also include some management of natural resources (e.g., lakes, natural areas, ground water) to maintain environmental quality.

   Traditional  Regulatory or Command  and Control  In traditional regulatory or command-and-control approaches,  the government
   prescribes the desired behavior changes through requirements, then promotes and enforces compliance  with these requirements.
   Requirements may be imposed through laws, regulations and/or permits  and can  include:
   •  Technology requirements.
   •  Performance-based  requirements.
   •  Work practices or best management practices.
   •  Testing and/or monitoring, reporting and/or record keeping.
   •  Bans on certain products or practices.

   Marfcet-based/Economlc Incentive Approaches  Market-based/economic incentive approaches  use market forces to achieve desired
   behavior changes.  These  approaches can  be independent of or build upon and supplement command-and-control approaches.  For
   example,  introducing  market forces into a command-and-control approach  can  encourage greater pollution prevention and more
   economic solutions to problems. Economic incentive  approaches include:
   •  Fee systems, which tax emissions, effluents, and other environmental releases.
   •  Tradeable permits,  which allow companies to trade permitted  emission rights with other companies.
   •  Of/set approaches,  which  allow a facility  to propose various approaches to meeting an environmental goal. For example,  a facility
     may be allowed to emit greater quantities of a substance from one of its operations if the facility offsets this increase by  reducing
     emissions at another of  its operations.
   •  Auctions, in which the government auctions  limited rights to produce or release certain environmental pollutants.
   •  Environmental labeling/public disclosure,  in which manufacturers are required to label products so that consumers can be aware of
     the environmental impacts of the products Consumers can then choose which products to purchase based on the products' environ-
     mental performance.

   Liability Some environmental management approaches are based on laws that make individuals or businesses liable for the results of
   certain actions or for damages they cause to another individual or business or to their property. Examples of liability-based environmen-
   tal management systems include nuisance  laws, laws requiring compensation for victims of environmental damage, and laws  requiring
   correction of environmental problems caused by  improper disposal of hazardous waste. Liability systems reduce or prevent  pollution
   only to the extent that individuals or facilities fear the consequences of potential  legal action against them.

   Risk based Approaches Risk-based approaches to environmental management are relatively new These approaches establish
   priorities for change based on the potential for reducing the risks posed to public  health and/or  the environment.

   Pollution Prevention The goal  of pollution prevention  approaches is to prevent pollution by reducing or eliminating generation of
   pollution at the source  The changes needed to prevent pollution can be required eg  as part of a command-and-control approach, or
   encouraged  as voluntary actions.
Figure AM.

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116          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


1.3     Compliance and enforcement program

        A compliance and enforcement program is an organization, management systems,
and human and financial resources dedicated both to encouraging and compelling compliance.
The terms "compliance program" or "enforcement program" also may be used, although the
most common uses of these terms describe efforts to encourage and compel compliance,
respectively34. These programs are exclusive of efforts to define environmental requirements
through laws, regulations, and permits, but include relationships to ensure that the design and
language for requirements are enforceable.
2       IMPORTANCE OF COMPLIANCE AND ENFORCEMENT CONCERNS

        Once environmental requirements are established, we depend upon compliance with
those requirements to achieve their intended benefits. To achieve actual changes in behavior,
governments must devote resources to encourage compliance, overcome barriers, and ensure
that consequencesfor violations of those requirementsexist. Withoutthis commitmentto enforce
the law, governmental agencies lose credibility  and leverage to achieve more widespread
compliance, signaling the public that compliance is not a priority.  Further, long-term economic
health often depends on environmental protection that may not seem to be economically
advantageous in the short run, causing inefficientshort-run decision-making. Finally, enforcement
provides an element of fairness for those who comply with requirements where it reduces or
eliminates the economic advantages that might be lost to those who choose to violate the law,
particularly where sanctions are at least as high as the economic noncompliance. (See Figure
A1-2).


3       MOTIVATING COMPLIANCE BEHAVIOR

        Many factors affect whether compliance behavior results from  the adoption of
environmental requirements for industrial sources, such as social, moral, and personal influences,
the level of technical sophistication, familiarity with the requirements, and economic factors.
No one can predict human behavior, and a successful compliance strategy must address all of
these factors to overcome the barriers to compliance. Figure A1-3 lists some of these factors.
        Enforcement by government programs  seeks to correct violations and create an
atmosphere in which the regulated community  is stimulated to comply both  because the
government has demonstrated a willingness to act when noncompliance is detected and
because of the consequences such actions bring to bear. Deterrence is a principle that is
fundamental to all enforcement programs. "Deterrence" is the creation of an atmosphere in
which many choose to comply ratherthan violate the law. Four interrelated elementsare needed
to create deterrence:

        •  A credible likelihood that a violation will be detected.
        •  A swift and certain response by government or others.
        •  Appropriate consequences in the form of sanction or penalty.
        •  The perception that the above conditions  exist.

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                                                             WASSERMAN, CHERYL E.   117
               Why Are Environmental Enforcement Program Important?

      To Protect Environmental Quality and Public Health. Compliance is essential to achieving
      the goals of protecting public health and environmental quality envisioned by environmental laws.
      Public health and the environment will be protected only if environmental requirements get results.
      Enforcement programs are essential to get these results.
      To Build and Strengthen the Credibility of Environmental Requirements. To get results,
      environmental requirements and the government agencies that implement them must be taken
      seriously. Enforcement is essential to build creditability forenvironmental requirements and institutions.
      Once credibility is established, continued enforcement is essential to maintain credibility. Credibility
      means that society perceives its environmental requirements and the institutions that implement
      them as strong and effective. Credibility encourages compliance by facilities that would be unlikely
      to comply if environmental requirements and institutions are perceived as weak. The more credible
      the law, the greater the likelihood of compliance, and the likelihood that other government efforts to
      protect the environment will be taken seriously.
      To Ensure Fairness. Without enforcement, facilities that violate environmental requirements will
      benefit compared to facilities that voluntarily choose to comply. A consistentand effect iveenforcement
      program  helps ensure that companies affected by environmental requirements are treated fairly.
      Facilities will be more likely to comply if they perceive that they will not be economicallydisadvantaged
      by doing so.
      To Reduce costs and Liability. Though compliance is often costly in the short-term, it can have
      significant long-term economic benefits to both society and the complying facility. The healthier
      environment created by compliance reduces public health and medical costs, as well as the long-
      term cost to society of cleaning up the environment. Compliance benefits industry by reducing its
      liability and long-term cleanup  costs. Industry may also realize immediate economic benefits if
      compliance involves recycling valuable materials or increasing the efficiency of its processes. A
      strong enforcement program may also encourage facilities to comply by preventing pollution and
      minimizing waste, rather than installing expensive pollution control and monitoring equipment.
   Figure A1-2.

         Each element of a compliance and enforcement program relates to these aspects of
deterrence. Inspection programs are established in large part to ensure a credible likelihood
of detection. There are other possible purposes for inspections such as educating the regulated
community, or establishing compliance  statistics.   The enforcement response part of an
enforcement program is designed to ensure swift and sure response and appropriate sanction.
There is also an important communications component to any enforcement effort to ensure
that there is a general public awareness about the consequences of violating the law and that
there is a strong possibility of being detected. These factors are interrelated. The less likely a
violation is to  be detected, the greater  the consequences must be to establish effective
deterrence when violations are detected.
         Other theories of human behavior appropriate to enforcement  are  provided by
economic and behavior theory, but a basic principle of enforcement is that no one motivating
factor can predict human  behavior. A compliance strategy must therefore  anticipate the full
range of motivations that may be operative for a given situation. Another basic principle is that
a well-designed program, using these elements of deterrence, can leverage scarce program
resources to affect a broad regulated community with well-targeted activities.

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118           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
4       THE  GENERAL FRAMEWORK FOR COMPLIANCE  AND
        ENFORCEMENT

        The "Principles of Environmental Enforcement" text offers a general framework for
compliance and enforcement with seven elements:

        •  Creating requirements that are enforceable.
        •  Knowing who is subject to the requirements and setting program priorities.
 FACTORSMOnVATINGCOMPUANCE          BARRIERS TO COMPLIANCE AND FACTOR
                                             ENCOURAGING NONCOMPUANCE
                                     ECONOMIC
    Desire to avoid a penalty.                     • Lack of funds.
    Desire to avoid future liability.                  • Greed/desire to achieve competitive advantage.
    Desire to save money by using more             • Competing demands for resources.
    cost-efficient and environmentally sound practices.

                                    SOCIAL/MORAL
    Moral and social values for environmental quality.   • Lack of social respect for the law.
    Societal respect for the law.                    • Lack of public support for environmental
                                               concerns.
    Clear Governmental will to enforce environmental   • Lack of government willingness to enforce.
     laws.

                                      PERSONAL
    Positive personal relationships between program   • Fear of change.
    personnel and facility managers.
    Desire on the part of the facility manager to avoid   • Inertia.
    legal process.
    Desire to avoid jail, the stigma of enforcement, and  • Ignorance about requirement.
    adverse publicity.                            • Ignorance about how to meet requirements.

                                    MANAGEMENT
    Jobs and training dedicated to compliance.         • Lack of internal accountability for
                                                 compliance.
    Bonuses or salary increases based on             • Lack of management systems for
    environmental compliance.                        compliance.
                                               • Lack of compliance training for personnel.

                                 TECHNOLOGICAL
    Availability of affordable technologies.             • Inability to meet requirement due to lack of
                                                 appropriate technology.
                                               • Technologies that are unreliable or difficult to
   	operate.	
Figure A1-3.     Factors Affecting Compliance

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                                                        WASSERMAN, CHERYL E.  119
        •  Promoting compliance in the regulated community.
        •  Monitoring compliance.
        •  Responding to violations.
        •  Clarifying roles and responsibilities.
        •  Evaluating the success of the program and holding program personnel
          accountable for its success.

        These components form a framework within which any government at any level must
consider issues pertinent to designing  a compliance and enforcement program, no matter
what its stage of development. The response to these issues may differ among countries,
among regions or localities within countries, and among different programs over time. Important
to the success of all programs, however, is the need to address all elements of the framework.
Each element is part of an interconnected whole and thus can influence the success of the
whole program. The framework also calls for a dynamic process, one which evaluates and
adjusts to the successes and failures of proposed compliance strategies,. The full text provides
a range of alternative approaches to meet the needs  represented by the  elements of the
framework.

4.1      Creating environmental laws and requirements that are enforceable

        Once a management approach is selected which includes requirements, enforcement
concerns  begin and are addressed  at  requirements'  design stage, not only after the
requirements are put into effect. Without clear definition of who is required to do what by when,
how both the regulated community and enforcement officials will be able to credibly detect
violations and establish compliance status, and what the consequences of noncompliance will
be, the achievement of widespread compliance is unlikely.
        There are several implications for program design. First the need  for clear and
enforceable requirements may suggesta preference for tailored permitting of industrial activities
in orderto adaptand interpret general regulationsto the particular processes and circumstances
at the  facility. It also  suggests  a  need to establish appropriate  linkages between those
organizations  responsible for developing regulatory and permit  requirements with those
responsible for inspecting and enforcing requirements.

4.2     Knowing the regulated community and setting priorities

        A further principle of environmental enforcement that enforcement shares with other
aspects of environmental protection is the need to establish priorities that will yield the greatest
environmental and programmatic results. Various schemes for establishing priorities (i.e., for
inspections,  enforcement response, and  compliance incentives or assistance) are offered
based  upon  risk-reduction potential, the need to preserve the integrity of program reporting
and related requirements, and the need to preserve the integrity of prior enforcementagreements
or orders. Management  and collection of information  on the regulated community and its
compliance status are critical to effective targeting.
        No program can be everywhere at once to detect violations or to respond to each and
every violation. Accordingly,  priorities must be established based upon the environmental
consequences of the violation, the need for consequences for the regulated  community to
encourage the desired behaviors given the level of sophistication  of the regulated sources,
and the barriers to and incentivesfor compliance. Information must be assembled and managed
in a way that can help program managers decide how to focus resources: for example, who to

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inspect and how often, how to balance resources between  compliance promotion and
enforcement in the most effective way given the nature of the compliance challenge and
regulated sources, and which violations to respond to and how.
        The process of profiling the regulated communities makes the regulated community
aware of the requirements, aware that the enforcement program officials know who they are,
and aware that they will be expected to comply. This contact with the regulated community is
the first step in creating a perception of an effective enforcement program. Thus, the process
of identifying the regulated community can be a form of compliance promotion.
        Information that can be useful in designing a compliance strategy includes:

        •  Identifying information, e.g., the name of a facility.
        •  Geographic location, e.g.,  longitude and latitude, street address.
        •  Type of business or operation.
        •  Any existing license, permit, or product registration numbers.
        •  Types and quantities of regulated materials or emissions at the facility.
        •  Risk associated with the releases  (if this has been calculated).
        •  Compliance status, schedules, violations, and status of responses.

        The ability to analyze the information on a facility-by-facility basis is necessary in order
to determine patterns of noncompliance.
        The enforcement program needs to establish who in the organization is responsible
for collecting, analyzing, and managing the information, for defining requirementsfor information,
and for evaluating whether the information is accurate and useful. The program will need a
system (computerized, if possible) to store, access, and analyze the information, as needed.

4.3     Promoting compliance

        Compliance promotion is any activity that encourages voluntary compliance with
environmental requirements. Promotion helps overcome some of the barriers to compliance.
Most compliance strategies involve both activities  to promote and enforce requirements;
policymakers need  to  determine the most  effective  mix of  compliance  promotion and
enforcement response.
        Experience  has shown that  promotion  alone is often ineffective.  Enforcement is
importantto create a climate in which members of the regulated community have clear incentives
to make use of the opportunities and resources provided by promotion. However, experience
in several countries has also shown that enforcement alone is not as effective as enforcement
combined with promotion. This is particularly true, for example, when:

        •  The size of the regulated community far exceeds the program's resources
          for enforcement(e.g., when the regulated community consists of numerous
          small sources, such as individual gasoline stations).
        •  The regulated community is generally willing to comply voluntarily.
        •  There is cultural resistance to enforcement.

        Thus, promotion is an important element of most enforcement programs. Compliance
promotion includes:

        •  Providing education and technical assistance to the regulated community.
        •  Building public support.

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                                                        WASSERMAN, CHERYL E.   121
       •  Publicizing success stories.
       •  Providing creative financing arrangements.
       •  Providing economic incentives.
       •  Building environmental management capability within the regulated
          community.


4.4    Monitoring compliance
       Monitoring compliance—collectingand analyzing information on the compliance status
of the regulated community—isone of the most important elements of an enforcement program.
Monitoring is essential to:
       •  Detect and correct violations both by government and  the regulated
          community.
       •  Provide evidence to support enforcement actions.
       •  Evaluate program progress by establishing compliance status.

       The four primary sources of compliance information  are:
       •  Inspections conducted by program inspectors.
       •  Self-monitoring,  self-recordkeeping, and self-reporting by the regulated
          community.
       •  Citizen complaints.
       •  Monitoring environmental conditions near a facility.

       Additional information may come from reports from other national, regional, provincial,
or local agencies that have related jurisdiction over the facility; requests for modifications to
permits or licenses; and environmental audit reports provided by the facility.
        Inspections  are the backbone of most enforcement programs. Inspections  are
conducted by government inspectors, or by independent parties hired by and reporting back
to the responsible agency. Inspectors plan inspections, gather data in and/or arounda particular
facility, record and report on their observations, and (sometimes) make independent judgments
about whether the facility is in compliance. Inspectionscan be very resource-intensive;therefore,
they require  careful targeting  and planning. By standardizing inspection procedures,
enforcement officials can help ensure that all facilities are  treated equally and that all the
appropriate information is gathered. By specifying deadlines  for preparing inspection reports,
program managers can help ensure that reports are made available to enforcement personnel
without delay if a possibility of noncompliance exists.
        Policymakers need to consider many issues when designing  an inspection program.
For example:

        •  Selection  of facilities for inspection.
        •  Announced versus unannounced inspections.
        •  Frequency of inspection.
        •  Inspector selection: government, contractors, third parties, etc.
        •  Legal authority: to gain access to the facility, to information and files, etc.

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        •  Role of the inspector: whether the inspector will also be authorized to take
           an enforcement action in the field, provide technical assistance, and/or
           make judgments about compliance.
        •  Status that are communicated to the facility at the time of inspection.
        •  Comprehensivenessof the inspection: whetherthere will be sampling, how
           detailed the sampling will be, whether the sampling will be focused on one
           or all environmental programs and media, etc.
        •  Inspection of related activities.
        •  Ensuring the objectivity of the inspector.
        •  Documenting the violation.
        •  Inspector training.
        •  Data quality.
        •  Consistency of sampling and analytical procedures.
        •  In addition, the kind of equipment required to support an inspection varies
           depending on the type and purpose of inspection. Equipment needed may
           include:
           -  Safety equipment, to protect the inspector from any hazards that may
              be encountered during the inspection.
           -  Documentation equipment including cameras, film, pocket calculators,
              tape measures, and logbook, to record information and evidence.
           -  Sampling equipment, to take samples of soil, water, and/or air.
           -  Analytical equipment, to analyze the  environmental samples taken at
              the facility.

        Source self-monitoring, recordkeeping, and  reporting are three ways in which sources
can be required to track their own compliance and record or report the results for government
review. They are now recognized as essential to supplement and support inspections reflected
in Concluding remarks from the Proceedings of the Second International Conference on
Environmental Enforcement, Volume II, page 237, which concludes source self monitoring should
be required more as a basis for compliance monitoring with due consideration of the costs to
small and medium sized facilities. These activities can providemuch more extensive information
on compliance than can be obtained with periodic inspections, shifting some of  the economic
burden of monitoring to the regulated  community.  In  addition, performing these activities
educates  the regulated community  about their own  compliance, increases the level  of
management attention devoted to compliance,  and may inspire management to improve
production efficiency and prevent pollution.
        Reliable and affordable monitoring equipment must be available to the regulated
community. Its successful use also relies upon the integrity and capability of  the source  to
provide accurate data. Data will be misleading if the source either deliberately falsifies the
information or lacks the technical capability to provide accurate data. Therefore, programs
need to establish ways to help ensure accuracy, e.g., by requiring self-monitoringonly in facilities
with the appropriate technical capability, by developing quality control standards for monitoring
and recordkeeping, and by providing penalties for false reporting. Program officials will need
to provide guidance to the regulated community on what the standard procedures, methods,
and instruments are for obtaining the data; how frequently data should be collected; and how
the data should be recorded and reported.

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                                                        WASSERMAN, CHERYL E.   123
        Citizen complaints are an important way of detecting violations that are unlikely to
be detected through self-reporting or inspections. These include violations that take place in
isolated areas and illegal acts within an organization. Enforcement programs can help educate
and train citizens to detect and report problems.
        Information on compliance status can be gained by area monitoring, i.e., monitoring
environmental conditions near a facility. Area monitoring includes ambient monitoring, remote
sensing, and overflights. The main problem with ambient monitoring is that demonstrating that
the pollutants measured came from a particular facility can be difficult. Ambient monitoring is
most useful when a source is the only significant polluter in the area, or when its emissions
have a characteristic composition that serves to "fingerprint" them.

4.5     Enforcement responses to violations

        Experience with environmental programs  in many countries has  shown  that
enforcement is essential to compliance. This is because, in any society, many people will not
comply with the law unless there are consequences of noncompliance. Enforcement responses
may also seek to correct and redress actual or potential harm caused by environmental pollution,
whether or not the pollution violates a specific requirement.
        Responses to violations  can be quite varied depending upon the nature of violations,
circumstances surrounding them, and the range of response options available. Principles of
environmental enforcement include the need to ensure fairness and consistent and effective
application of enforcementtools—through policies and training—all of which serve to establish
and reinforce the credibility of environmental laws and the governmental institutions  that
implement them. Economic equity, in particular, can be achieved through enforcement where
economic sanctions imposed on violators through enforcement actions are at least as high as
the economic gain from noncompliance. Fundamental principles also call for escalation from
less resource-intensive to more resource-intensive or severe response, and the imposition of
consequencescommensuratewith the harm and behaviorof the violator. It includes negotiations
to ensure that correction is practical and realistic, that facts are correct, and that creative
opportunities for a successful response are fully explored from the perspective of both the
government and violators.
        Government enforcement capabilities will generally be most effective if they are in
place and used when requirements become effective. Delaying enforcement can undermine
the credibility of the program  and  make it difficult to create an atmosphere of deterrence.
Enforcement is often necessary throughout the life of a regulatory program to achieve initial
compliance and to ensure that those who have achieved compliance maintain it.
        Enforcement can be controversial because so much is at stake environmentally and
economically. To be successful,  enforcement requires support at all government levels and
within all sections of the program.
        A range of authorities and response mechanisms can be used for enforcement. Most
countrieswith enforcementprogramshave some but not all of these authoritiesand mechanisms
because they are developed over time to respond to new and different situations for which
existing authorities prove to be inadequate. Each program must work within the possibilities
offered by the legal system or systems under which the program operates.
        Figure A1-4 summarizes a range of authorities that may be useful for an enforcement
program. This list is an amalgam  of the authorities of several different enforcement programs
in the United States and other nations.

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124          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
                     TYPES OF ENFORCEMENT AUTHORITIES1

   Remedial Actions
   Authority to impose a schedule for compliance
   Authority to permanently shut down part of an operation
   Authority to temporally shut down certain parts of operations or practices
   Authority to permanently shut down an entire facility
   Authority to temporarily shut down an entire facility
   Authority to deny a permit
   Authority to revoke a permit
   Authority to require a facility to clean up part of the environment
   Emergency powers to enter and correct immediate dangers to the local population or
   environment
   Authority to seek compensation for damage caused by the violation

   Other
   Authority to require specific testing and reporting
   Authority to impose specific labeling requirements
   Authority to require monitoring and reporting
   Authority to request information on industrial processes
   Authority to require specialized training (e.g., in emergency response to spills) for facility
   employees
   Authority to require a facility to undergo an environmental audit

   Sanctions
   Authority to impose a monetary penalty with specified amounts per day per violation
   Authority to seek imprisonment (a jail term)
   Authority to seek punitive damages or fines within specified limits
   Authority to seize property
   Authority to seek reimbursement for government cleanup expenses
   Authority to bar a facility or company from government loans, guarantees, or contracts
   Authority to require service or community work to benefit the environment
   Limitations on financial assistance

   1 This list of enforcement authorities is a hybrid and does not appear in any one law or country.
    It is an example of the types of authorities that may be made available to enforcement officials
    through environmental laws. These authorities may be either direct authorities or the authority
    to seek a court order to impose the sanction.
FIGURE A1-4. Types of Enforcement Authorities

        Enforcement mechanisms may be designed to  perform one  or more
          functions:
        •  Return violators to compliance.
          Impose a sanction.
        •  Remove the economic benefit of noncompliance.
        •  Require that  specific actions be taken to test, monitor, or provide
          information.
        •  Correct environmental damages.
        •  Correct internal company management problems.

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                                                        WASSERMAN, CHERYL E.  125
        Response  mechanisms generally are formal  or  informal, civil or criminal,
administrative or judicial. Every nation has its own unique legal system, laws, and culture.
However,  common  to all democratic institutions are processes to balance the rights of
individuals with the government's need to act, often quickly, on behalf of the public. Several
processes may be used to ensure fairness of enforcement responses: notice, appeals, and
dispute resolution. In general, the more an enforcement action may deny an individual his or
her rights, the more protections the enforcement process provides and the longer the process
may take before final action is initiated.
        Negotiation, an integral part of enforcement, enables both the facility and the concerned
party or parties to consider the correctness of the facts, the circumstances of the case, and the
variety of alternative responses. Negotiation provides an opportunity to obtain additional
information and correct misinterpretationsbefore pursuing legal action, as well as an opportunity
to reach a solution that satisfies all parties. Enforcement actions create a stimulus and context
for discussion and resolution, providing the framework in which solutions can be negotiated.
Negotiation can enhance compliance by sending a signal to the regulated community that,
while pursuing enforcement response, the governmentis willingto be responsiveto the concerns
and  difficulties  faced  by the regulated community in achieving compliance  and to work
cooperatively to develop a satisfactory solution.
        Two types of enforcement responses are usually not negotiated. One is a request by
enforcement officials for information from  the violator. This is usually not controversial and
therefore does not require negotiation. The other is the exercise by the enforcement program
of emergency powers to protect public health and the environment. In this case, there is no
time to negotiate.
        Enforcement response policies describe how various enforcement authorities will be
used to respond to the many different types of violations and violation situations. Such policies
are important to ensure fairness. Fairness is particularly important when assessing monetary
penalties. The perception and  fact of fairness is critical to the credibility of an enforcement
program,  and also helps otherwise reluctant staff make what  are often difficult decisions to
demonstrate government will and resolve to enforce environmental laws.

4.6     Clarifying  roles and  responsibilities
        Environmental enforcement requires clear assignment  of roles and responsibilities
and functioning mechanisms for coordination and cooperation among different disciplines and
levels of government. It also requires accountability for results.
        Enforcement frequently involves many different groups, including various government
agencies, citizen groups, nongovernment organizations, and industry associations. A key
element in any strategy is defining the roles and responsibilities of the various groups involved:

        •  How should responsibilities for enforcement be divided among the various
           levels of government (national, regional, provincial, and local)? To what
           extent should a program be centralized (i.e., run at a national government
           level) versus decentralized (i.e., run at local government levels)?
        •  Which governmentagencieswill be involved (e.g., environmentalagencies,
           health agencies)?
        •  Should there be separate enforcementprogramsfordifferentenvironmental
           media (e.g., air, water, land), or one or more integrated programs covering
           several  media?
        •  To what extent should a program  make use of citizens and  other
           nongovernment resources?

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 126          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        •  To what extent should different types of staff be integrated within a single
           organization  (e.g., scientists, engineers, policy and program analysts,
           attorneys)?

        Regardless of the organization selected for the program, key principles that emerge
 are the need for clarity of  roles, strong and supportive working relationships, and good
 communication among all of the key players given the different levels of expertise and roles
 that must be played to make any program work effectively. A balancing must occur between
 giving responsibility to those closest to the environmental problems and ensuring an element
 of fairness and national consistency in enforcement.

 4.7     Evaluating program success and establishing accountability

        Finally,  a fundamental principle of environmental compliance and enforcement
 programs is its dynamic nature.  There is a need for constant reassessment and review based
 upon changing circumstances tailored to the nature of the regulated community and other social
 and economic influences.
        Information can be a  powerful and vital  tool for successfully implementing  an
 enforcement program. Information  about program activities and results can ensure that the
 individuals  responsible for pursuing enforcement are, in fact, doing so consistently and fairly
 using established procedures and strategies. Information can help managers adjust
 enforcement  programs  to changing conditions and lessons learned as the  program is
 implemented. Periodic program evaluations to gather information about program activities
 and results serve many purposes:

        •   Evaluating program strategy.
        •   Internal accountability.
        •   Creating deterrence.
        •   Public accountability.

        Measuring the success of an enforcement program is not easy. Program measures
 include (see also Figure 5):
        •   Environmental results.
        •   Compliance rates.
        •   Progress in returning significant violators to compliance.
        •   Measures of compliance monitoring.
        •   Number of enforcement responses.
        •  Timeliness of enforcement responses.
        •  Monetary penalties assessed.
        •  Measures of technical assistance.

        Each of these measures has advantages and disadvantages. Several measures must
 be used to  gain a meaningful assessment of program effectiveness. Key questions to ask
when considering which measures to use include:

        •  How accurate is the measure?
        •  What resources are needed to obtain the necessary data?
        •  How frequently should data be collected?

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                                                       WASSERMAN, CHERYL E.  127
       •  Who will collect the data?
       •  How should the data be reported, and to whom?
       •  Who will analyze the data? What will they analyze for?
       •  Where will the data be stored?
       •  Will the data be computerized?
       Collecting and processing reliable information on compliance and enforcement can
be a constant challenge.  For example, all personnel involved in gathering or analyzing data
need to clearly understand exactly what data should be reported. Problems can arise if different
individuals within a program have different interpretations of what data are needed.
       Another challenge is that different levels of an enforcement program may have different
data needs. Local personnel, for example, may prefer to focus their resources on data they
consider valuable for evaluating program performance. Program personnel at a national level
may have different priorities. National data systems will benefit if they are  designed from the
bottom up. Because local  personnel collect the data, they will have a greater incentive to gather
accurate data if they believe the data will be useful to them.
       Mechanisms will be needed to gather and store the data, and to transfer it at appropriate
intervals to other program levels that will analyze the data. A schedule for issuing reports of the
analysis will also be needed. Policymakers may also wish to conduct special studies to analyze
program strategy and success and to recommend improvements.
5       DESIGNING COMPLIANCE AND ENFORCEMENT PROGRAMS

        The principlesofenvironmentalenforcementare the foundation upon which compliance
and enforcement programs are built. To make them function properly requires the priority and
commitment of government managers at the highest levels. Proper functioning also requires
the consideration of many factors that enter into their design and implementation of these
programs.
        The Principles document identifies design issues in establishing a program, including:

        •  Personnel: roles, staffing levels, training, and use of third parties.
        •  Information management systems: planning issues.
        •  Program funding: review of various sources.
        •  Evolution of enforcement programs: where do they start?
        One of the most important principles of environmental enforcement is just to start doing
it — no matter how inadequate the resources or legal tools. Compliance and enforcement
programs will evolve and improve over time, environmental improvements cannot be made
without taking these first steps.
        The UNEP Institution Building Workshops for Industrial Compliance pick up where the
Principles of Environmental Enforcement leave off, exploring in more depth:

        •  Organization.
        •  Human, financial, and information resources and management.
        •  Inspection and enforcement response capability.
        •  Permitting processes for industrial facilities to enhance compliance.

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128           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        ENDNOTES

1.    This means that facilities, processes, owners or operators of polluting facilities or
     regulated activities exhibit the appropriate or desired behaviors, for example, when
     appropriate processes, raw materials, and/or work practices are used; when
     hazardous waste is disposed of at approved sites or in the appropriate manner; when
     appropriate tests are performed and/or reported on new products or chemicals before
     they are marketed; when environmental releases are within acceptable limits, etc.

2.    These activities may include the application of legal authority to compel compliance, to
     compel remedies to environmental noncompliance or hazards, to impose sanctions for
     violating the law/requirements, or to compel the development of information essential
     for determining compliance or the appropriate means of achieving compliance. It may
     also include the use of legal tools to protect public health and environment in the
     absence of requirements, where there is legal authority to address, for example,
     imminent hazards or accidents. It is meant to include the full  range of responses, from
     informal administrative actions to formal  administrative processes of the filing of court
     suits.

3.    The most common use of the term "enforcement program" includes at least inspection
     activities and legal enforcement response. In these instances, compliance promotion
     and assistance activities may be carried  out by the same or  different organizations.

4.    The most common use of the term "compliance program" includes those activities
     designed to encourage or assist compliance. However, the term also is used more
     broadly to describe the full range of activities to encourage and compel compliance.

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                                                      WASSERMAN, CHERYL E.  129
ANNEX  2
PRINCIPLES OF ENVIRONMENTAL COMPLIANCE AND ENFORCEMENTTRAINING
COURSE


1      SUMMARY OF COURSE

       The "Principles of Environmental Enforcement" text and associated training exercises,
and role-playing  and case-study materials were  developed  in 1991 by the U.S. EPA in
cooperation with Poland's Environment Ministry and the Dutch Ministry to assist policymakers
in any international or domestic setting to develop the institutional capacity for designing and
implementing effective programs for compliance with environmental requirements.
       The training is designed as a three-day course. The first day consists of a series of
exercises that introduce participants to basic concepts and a range of options. Participants
explore:
       •  environmental goals, desired behavior change to achieve those goals,
          and the range of environmental management approaches to achieve them;
       •  what factors motivate and/or create barriers to achieving behavior change,
          definitions of compliance,  enforcement  and deterrence, and why
          compliance and enforcement concerns  are important;
       •  drafting of enforceable requirements, where appropriate, and what makes
          requirements clear and effective;
       •  compliance monitoring  information  needs and approaches from the
          perspectives of the regulated community and government officials;
       • the range of enforcement responses,  their applicability to  a range of
          situations and the need for predictable  policies;

       The second day provides an opportunity for  participants to design their own
environmental management approach, draft enforceable requirements, and design elements
of compliance and enforcement strategy for a fictitious community and environmental problem.
Participants explore:
       • the application of different environmental management approaches to a
          particular problem;
        • the drafting of enforceable requirements where applicable;
        • designing compliance promotion strategies;
        • balancing compliance promotion and enforcement resources;
        • designing compliance monitoring strategies and establishingthe frequency
          and type of inspection;
        • anticipating potential  violations and designing enforcement response
          policies;
        • evaluating results and revising strategies.

        The third day involves an enforcement  negotiation  settlement role-play, where
participants act  out different roles  and consider an enforcement  problem from different
perspectives.

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130          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
2       DESIGN CHARACTERISTICS OF THE  COURSE

2.1     The enforcement training is philosophically neutral and generic (i.e., not geared
        to any specific requirements)

        Because environmental programs in Poland were undergoing radical changes, the
course had to transcend debates about the mix of "command and control," "market based," or
"voluntary" approaches to pollution control, as well as legal authorities and systems. The course
participants themselves  select an environmental management  approach to  a particular
environmental problem; only from that vantage point do they then gain experience in drafting
enforceable requirements, where they are appropriate, for designing compliance strategies
covering promotion, compliance monitoring, enforcement  response policies, and evaluation
of results.

2.2     The course can be delivered by  in-country trainers in order to reach a highly
        diverse and decentralized audience

        Any training had to be replicable  and readily  adaptable for Poland to train its own
people at the local government level. Because of the severity of the area's environmental
problems and because it  possessed a very capable staff, the Katowice Ecology  Department
was recommended by the Ministry as the primary location for a first offering of the training. The
course has now been "handed off" to trained in-country facilitators in Poland, Hungary, and
Turkey.

2.3     The training offers a rich menu of options and ideas so that key policy makers
        can design the program best suited to their culture and legal systems

        The course needed to be based on something broader  than  U.S. experience,
particularly because Poland and other Central and Eastern European nations were interested
in closer ties with Western Europe as well as the United States. We decided to seek active
participation from the Netherlands as well as broader international contributions  to make the
course useful internationally.The contacts developed throughthe first InternationalEnforcement
Workshop became the basis for the cooperation and consultation involved in developing an
international course and included, in addition to the Netherlands, Canada,  Sweden,  Norway,
the United Kingdom, Hungary, and others. Representativesfrom Poland's national inspectorate
also participated, supplemented by a team of future facilitators who were consulted during
course development.
        The framework for compliance and enforcement programs and strategies  involves
seven basic elements:

        •  ensuring environmental requirements are enforceable;
        •  setting priorities;
        •  promoting compliance;
        •  monitoring compliance;
        •  responding to violations;
        •  clarifying roles and responsibilities for implementation; and
        •  evaluating and establishing  accountability  for results, taking into
          consideration the range of human behavior that transcends differences in
          legal systems and culture.

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                                                       WASSERMAN, CHERYL E.   131
2.4    The target audience of key policy makers  is broadly defined

       Government  officials, academics, nongovernment organizations, industry
representatives, and even journalists are all involved in some fashion in reshaping existing
programs and policies. The course is designed  to include  all these groups as potential
participants.

2.5    No one model is offered as the only approach to gaining compliance

       Althoughthe text was drafted based upon a modified U.S. framework offered in Utrecht,
concepts and examples were broadened to  accommodate a range of situations and
experiences. The framework is used only as a point of departure from which all nations can
improve and build their own unique, and hopefully successful, enforcement approaches.

2.6    The course is facilitated. The participants learn from their experiences within
       the course and from each other, with a facilitator helping guide these
       experiences and exercises.

       A facilitated course has the advantage of creating interaction among participants to
enable them to start to build theirown ideas, dialogue, and consensus on the kind of enforcement
programs and approaches that would work best in their regions.

2.7    The course introduces the  roles that negotiation may play in reconciling tough
       economic, social, and environmental issues while preserving a credible and fair
       enforcement presence in fashioning a response to violations

       One of the three days of the course is devoted to a role-playing exercise during which
different interests  are brought to bear in the  resolution of an enforcement action against a
violator. The exercise presents an opportunity for participants to see the interplay between the
need for firm and fair enforcement and adherence to policy and competing demands on officials
to address economic and social concerns. Experience with these very real pressures within
the safety of role-playing  can enable officials to deal with some of their real fears in taking on
environmental enforcement concerns when problems seem intractable.
3       THE INTERNATIONAL COURSE AND ITS DELIVERY

        The course has now been delivered in Poland, Hungary, Turkey, the Ukraine, Mexico,
Russia, Bulgaria, the Czech Republic, Chile,  Thailand, Malaysia, Taiwan, Nigeria, and is
planned for delivery in El Salvador, Indonesia, potentially Egypt and South Africa. Participant
response has been very favorable and enthusiastic. In all of these settings, the course has
been designed to be handed off to in-country facilitators. The course materials consist of the
text, course exercises, and the facilitator's manual.
        The course text is available to any nation wishing to use it. The U.S. EPA's Office of
Enforcement and Compliance Assurance is prepared to consider requests by other
governments to train key officials and their own facilitators to offer it within their countries. For
countries in Central and Eastern Europe in particular, efforts are being made to ensure ongoing
delivery through the Environmental Management Training Centers being established by U.S.

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132          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


EPA and local governmental or nongovernmental organizations. The enforcement training is
one of several modules offered in various aspects of environmental management. (The course
is part of the training offered through the U.S. EPA's National Enforcement Training Institute.)


4       FUTURE PLANS FOR THE TEXT AND COURSE

        Additional case studies have been developed for delivery at the  International
Conferences and elsewhere so that facilitators can select from among seven subject areas of
environmental problems most likely faced by a country.
        The ideas generated at the International Conferences on Environmental Enforcement
and by course facilitators and course participants will help shape the future of the course, in
terms of its content, usefulness, and distribution worldwide. We welcome continued input and
ideas for the future of what is now called the Principles of Environmental Compliance and
Enforcement course and suggestions for additional steps we can take to spread the
enforcement message.

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         THEME 3: ESTABLISHING INTERNATIONAL COOPERATION AND REGIONAL NETWORKS  133
                             THEME  #3:

      ESTABLISHING INTERNATIONAL COOPERATION
                  AND REGIONAL NETWORKS:
               STATUS OF EFFORTS UNDERWAY
Theme 3 papers describe international support networks for environmental compliance and
enforcement. Each paper addresses, among others, the following issues:

       •  The genesis of the network and how it was established.
       •  What was/is involved in developing and maintaining the network.
       •  Who is asked to participate and at what levels in the organizations.
       •  Subjects the network covers.
       •  Vehicles used for exchange and means of communication used.
       •  Topics on which exchange is taking place.
       •  How the network overcomes differences in language and legal or other
         definitions of terms such as what constitutes a hazardous waste.
       •  Future directions and changes anticipated for the network.
1.   Summary of Panel Discussion of Theme #3, Moderator M. Enthoven,
    Rapporteurs: S. Oley, K. Rubin	135

2.   Emerging Networks of Environmental Enforcement and Compliance Cooperation
    in North America and the Western Hemisphere, S.A. Herman, L.I. Sperling	139

3.   Towards Establishing A Regional Network in the West Asia/Middle East
    Region,  O.A. EI-Kholy	157

4.   Establishing International Cooperation and Regional Networks, D.H. Slater,
    A.W. James	161

5.   Enforcement and Compliance Programs in Central America, P. Madrigal
    Cordero	169

6.   International Cooperation: INTERPOL, J. van Doom	205

7.   Transfrontier Shipments of Waste: Successes and Problems with the
    Enforcement of Supranational Legislation, R.  DeKrom	209

8.   A European Enforcement Project on the Notification of New Substances
    (NONS);  A Cooperative Project of 14 European Countries, L.C. Van Gent	215

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134          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
See related papers from other International Workshop and Conference Proceedings:

1.   The European Union Network of Environmental Enforcement Authorities, D. Slater,
    Volume I, Oaxaca, Mexico

2.   The Caribbean Environmental Program as a Network for the Caribbean Region, M. T.
    Szauerilmana, Volume I, Oaxaca, Mexico

3.   Environmental Crime and the Role of ICPO-INTERPOL, S. Klem, Volume I, Oaxaca,
    Mexico

4.   North American Trading Partners: Canada,  United States, and Mexico as an
    Enforcement Network, S.C. Fulton, LI. Sperling, Volume I, Oaxaca, Mexico

5.   Summary of Theme Discussion: Establishing International Networks,  Moderator: D.
    Slater, Rapporteur D. Bronkema, Volume II, Oaxaca, Mexico

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                                    SUMMARY OF PANEL DISCUSSION OF THEME #3  135
SUMMARY OF PANEL DISCUSSION OF THEME # 3: ESTABLISHING
INTERNATIONAL COOPERATION AND REGIONAL NETWORK STATUS OF
EFFORTS UNDER WAY

       Moderator:     Marius Enthoven
       Rapporteurs:    Shari Oley, Kenneth Rubin
       GOALS

       Description of international support networks for environmental compliance and
enforcement. Discussion of issues such as the genesis of the network, entities involved in
developing and maintaining it, types and levels of participation, subjects addressed by the
network, vehicles and topics of exchange, how the network overcomes differences in language
and terminology, and future directions and changes anticipated for the network.
1      PRESENTATIONS

       Mr. Marius Enthoven, Directorate-General Environment, Environment, Nuclear Safety
and Civil Protection, European Union, presented the Fifth Environmental Action Program for
the European Union, a strategic plan for sustainable developmentin Europe. Targeting industry,
energy, transportation, agriculture, and tourism, the plan has five dimensions:

       •  integrate EU policies into country laws;
       •  focus on environmental infrastructure;
       •  communicate with the regulated community;
       •  use networks, such as the  15-member state IMPEL network;
       •  integrate work of EU agencies with country agencies; and
       •  step up enforcement.

       The EU must integrate environmental enforcement and compliance into other sectors
that it is working on such as transportation and banking and insurance, broaden its use of
economic or market based instruments, expand implementation and enforcement of EU-wide
programs, increase awareness of EU-wide environmental programs, and increase international
cooperation.
       EU works with a policy life cycle model, i.e., This involves first recognizing the problem,
gathering data, analyzing and deciding what portion or dimension of the problem to tackle.
Then formulate a solution. Three instrumentsare emerging as the most useful in implementation.
First are market oriented approaches, such as environmental charges, negotiated agreements,
fiscal instruments, and environmental liability. The second is re-regulation, including increased
flexibility to attain goals. The third is an  upgrade environmental management and audit scheme
(EMAS) to make it more useful to enforcement. The next step in the model is to implement the
solutions and set up a management structure  and enforcement protocol. Here, the program
calls for strengthenedlegislation, increased reporting, enhancedintergovernmentalcooperation,
and more sanctions for offenders of environmental requirements. Integrating the ISO 14000
approach remains a large outstanding issue. The final step is continuous improvement, that is,

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136          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
keeping the problem under control as you go forward. The EU has several issues currently
under discussion for future resolution. Is there a need for an inspectorate at the EU level and if
so, how should it be structured? Currently the enforcement inspectorates are domestic. How
should the results of enforcement actions be used at the community level? Finally, what should
be done about voluntary actions with respect to enforcement?
        Dr. David Slater, Director, Pollution Prevention and Control, Environmental Agency,
Canada, explained that the UK program has recently consolidated three media programs
(waste,  air and water) and budgets under a single agency with a  new focus. They shifted
emphasis from pollution control to sustainable development focusing on pollution prevention,
communication with the regulated community, and networking across the EU. The need to
network, in particular on legislation and standards and the development of expertise, was a
key driving force.  One of the most  important and  successful programs with regard to
environmental compliance and enforcement is trading experts, a series of week-long staff
exchanges which they find to be are a great mechanism for capacity and morale building.
Networks deliver information, consistency across programs, and support for problem solving.
        Mr. Jan van  Doom, Chief, Environmental Crime Unit,  INTERPOL, explained the
workings of INTERPOL and cited achievements in networking country  police, information
exchange, and expertise exchange. INTERPOL maintains a worldwide network of police and
information  on international environmental criminal activities.  The standard of information
exchange regarding environmental crime is the ECO report. This aids  in tracking various
company activities across borders so that the activities of a company in one country can be
linked with its activities in another. It can help penetrate parent/child company relationships,
shell companies, and pursue enforcement of international  environmental crime. INTERPOL
also supports training programs to build environmental expertise.
        Mr. Virah Mavichak, Director of Industrial  Environment, division  of Industrial Works
Department, Thailand, discusses the need for more  formal cooperation on environmental
enforcement and compliance  in Asia. In Thailand,  ASEAN,  comprising  eight countries,
represents the only such network. In particular, the ASEAN Senior Environmentalofficerforum,
in order to formulate environmental  policy, maintains  six working groups: (1) transboundary
pollution, to define hazardous waste and develop a protocol to control transboundary movement
of waste (2) environmental management approaches, to harmonize country approaches (3)
environment and economy, to look at emerging programs of economic and market-based
instruments in ASEAN countries (4) environmental information, to establish  a  monitoring
network, which  is only  a  conceptual design so far (5) sea water, and (6) environmental
conservation. It has also established bi-lateral dialogues between member countries and the
U.S., Canada, The Netherlands,  the EU, and Japan  and  a tri-lateral agreement on ozone
depleting substances, attempting to establish policy on CFC phaseout.
        Dr. Ossama EI-Kholy, Senior Advisor, Egyptian Environmental Affairs Agency, Egypt,
explained that there is little regional cooperation  in the Middle East. The perspective of a
developing nation is different that a developed one,  but to foster such regional networking, four
things must be in place first: (1) a minimum level of commitment from top levels of government,
(2) a domestic environmental framework, (3) international organization and agreements such
as Montreal Protocol that will drive regional networking, (4) domestic expertise.
        Mr. Steven Herman,  Assistant Administrator, U.S. EPA, explained that since the
Partnership for Pollution Prevention that came out of the December 1994 Summit of the
Americas, the countries in the region  are at the beginning of transition from talking about
cooperation to taking action with efforts such as Haztracks, a joint effort of the U.S. EPA and
Mexico's PROFEPA to track transboundary shipments of hazardous waste. There is currently
a fair amount of technical cooperation between the two countries. The US has trained many

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                                     SUMMARY OF PANEL DISCUSSION OF THEME #3  137
Mexican inspectors developing a regional infrastructure and talks are beginning that will set
priorities and targets, resulting in specific enforcement actions on both sides of the border.
With a respect for sovereignty and the domestic laws of the two countries, they are sharing
policy, training, and information. NACEC, the North American  Council on Environmental
Cooperation, is serving as a neutral forum bringing countries together that might not otherwise
do so. Such efforts offer training, contacts, idea-sharing, and mutual support (multi-country
efforts can counteract opponents of enforcement better than can single countries).
2       DISCUSSION

        Three questions were posed for discussion:

        •  Why is regional cooperation important?
        •  Are there general lessons that can be learned?
        •  What are the critical success factors?
        Linda Duncan, from the Commission for Environmental Cooperation, suggested that
regional cooperation can provide a neutral forum for bringing together counties that might not
come together otherwise. Mr. Lee Paddock from the US pointed to four benefits of regional
networking organizations used  within the U.S. and border States: training, contacts, sharing
ideas, mutual support. The Honorable Wilson Masilingi form Tanzania pointed out that when
many countries join together it becomes harder for politicians from the individual countries to
object to implementation of environmental enforcement. Mr.  Tarek Genena  discussed two
success factor stating that (1)  realistic approaches needed to be taken because countries
have very different levels of capability  and  enabling statues, and  (2) regional  networking
commitments must be based on available resources, both financial and human.
        At the moderator's request, panelists listed their opinions on the most important
achievements in international networking:
        •  implementation of the Montreal Protocol;
        •  strengthened and harmonized domestic programs that must  precede
          efforts in international cooperation;
        •  international exchange of staff; and
        •  conferences such as this!

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138           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                 HERMAN, STEVEN A. AND SPERLING, LAWRENCE I.  139
EMERGING NETWORKS OF ENVIRONMENTAL ENFORCEMENT AND
COMPLIANCE COOPERATION IN NORTH AMERICA AND THE WESTERN
HEMISPHERE

HERMAN, STEVEN A.1 and SPERLING, LAWRENCE I.2

1 Assistant Administrator for Enforcement and Compliance Assurance
2 Senior Attorney-Advisor, International Enforcement and Compliance Division
United States Environmental Protection Agency, 401 M Street SW, Washington, D.C.
20460, United States
       SUMMARY

       This paper reviews progress to date in the emergence of networks of cooperation in
environmental enforcement and compliance in North America and the Western Hemisphere,
and explore the challenges and opportunities created by the development of such networks.
       Since the Third International Conference on Environmental Enforcement, the countries
of North America have continued to enhance and formalize bilateral and trilateral networks of
environmental enforcement and compliance cooperation, making progress in a number of
areas of cooperation. Under the North American Agreement on Environmental Cooperation, a
working  group of U.S., Mexican and Canadian  enforcement officials  has  developed a
cooperative work program on environmental enforcement, facilitated by the North American
Commission for Environmental Cooperation. Meanwhile, citizen submissions on enforcement
to the North American Commission for Environmental Cooperation has placed a spotlight on
the commitment of the three countries to effectively enforce their environmental laws. The U.S.
and Mexico continued to strengthen their bilateral cooperative relationship on environmental
enforcement and compliance, building partnership  among a diverse range of local, state and
federal agencies to enhance enforcement  and compliance efforts  aimed at environmental
problems in the U.S./Mexico border area.
       Cooperation on environmentalenforcementand complianceis beginning to take shape
throughout the Americas, stimulated by the creation of a Western Hemisphere Partnership for
Pollution Prevention, as well as a commitment of the governments of Central America and the
United States to work cooperatively toward sustainable development. North America's evolving
network of environmental enforcement cooperation is thus becoming a regional subcomponent
of, and a possible  model for, a broader Western Hemisphere enforcement network. The
development of hemisphere-wide environmental enforcement cooperation,  however, presents
unique challenges. These include: the developmentof an institutionalframeworkfor cooperation;
responding to an emerging debate over the role of environmental regulations and enforcement
as opposed to voluntary approaches in achieving environmental goals; and the need to address
the question of compliance capacity in the private sector.
1      INTRODUCTION

       At the December 1994 Summit of the Americas, the democracies of the Western
Hemisphere established a Partnership for Pollution Prevention as they embraced the promise
of hemisphere-widefree trade. In so doing, they acknowledged the need to couple development

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140          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
through economic integration with cooperation in ensuring the effective implementation of
sound environmental laws. Earlier, the negotiation of the North American Free Trade
Agreement had similarly highlighted the need for environmental cooperation to minimize
transborder pollution  effects of increased economic activity, and to ensure a level playing
field for free competition. The United States, Mexico and Canada responded to this challenge
by accelerating the formal development of a multi-tiered, North America-wide network of
cooperation in environmental  enforcement  and compliance. With increased hemisphere-
wide environmental cooperation, this North American network presents itself as a regional
subcomponent of an emerging hemisphere-wide environmental enforcement and compliance
network. 1
        The Third International Conference on Environmental Enforcement, in Oaxaca,
Mexico in April, 1994, laid the groundwork for developing a hemisphere-wide network of
cooperation in environmental regulation, enforcement and compliance. Representatives of
seventeen Western Hemisphere countries,  the Organization of American States, and the
Netherlands, signed a declaration to constitute a "Network of Friends of Environmental Law",
with the goal of facilitating information exchange and collaborative work, including in the areas
of compliance and enforcement, public participation, domestic environmental regulations, and
training. One of the papers presented at the Oaxaca Conference outlined a possible framework
for the development  of regional networks of environmental enforcement and compliance
cooperation, in North America and beyond. The paper suggested that such cooperation should
be solidly based on respect for sovereignty and internationalcomity, and should seek to develop
a rational institutional framework to combine partnership among the various actors at all levels
of interaction (e.g. regional,  bilateral,  national, subnational).  The paper suggested  that
enforcement and compliance network activities might seek to address specific environmental
problems through cooperative work which might include the following areas:2 3

        •  Strategic Priority-Setting and Targeting
        •  Compliance Promotion
        •  Compliance Monitoring
        •  Investigatory Cooperation in Specific Cases
        •  Sharing Experiences to Build Enforcement Capacity
           -   Consultation on Laws and Policies
           -  Training and Technical Assistance
           -   Enforcement Results Information-Sharing

        •  Public Communication of Cooperative Enforcement Activity

        Since the last conference, the countries of North America have  continued to enhance
and formalize the bilateral and trilateral networks of environmental enforcementand compliance
cooperation; making progress in many  of the above areas; and initial steps are underway
toward enhanced enforcement and compliance cooperation throughout the Americas.  This
paper reviews the status of these efforts, and reflects on the challenges that lie ahead.

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                                  HERMAN, STEVEN A. AND SPERLING, LAWRENCE I.   141
2      NORTH AMERICA: A MULTI-TIERED ENFORCEMENT AND COMPLIANCE
       NETWORK

       NAFTA's "environmental side agreement", the North American Agreement on
Environmental Cooperation ("Agreement"), created a unique institutional context for enhancing
North America's network of cooperationonenvironmentalenforcementandcompliance.through
the creation of the North American Commissionfor Environmental Cooperation ("Commission"),
consisting of a Council of the Environment Ministers of the three countries, and a standing
Secretariat, located in Montreal, Canada. In the first phase of the Commission's operations, a
Permanent Working Group on Environmental Enforcement Cooperation was established to
facilitate cooperation at the trilateral level, among national governments, states and provinces.
Meanwhile, bilateral U.S./Mexico cooperation on enforcement and compliance has continued
to grow, with particular focus on the U.S./Mexico border area. As a result, the past two years
have witnessed the continued evolution of a multi-tiered institutionalframework for environmental
enforcement and compliance cooperation in North America.4

2.1    The North American Commission for Environmental Cooperation

       The Agreement takes a multi-pronged  approach to promoting environmental
enforcement and compliance. Central to the Agreement is a commitment by the  Parties to
effective  enforcement  of their respective environmental  laws, reinforced by two formal
procedures:
       •  A procedure for citizen submissions asserting ineffective enforcement by
          a Party, to which the Secretariat may respond by requesting a response
          from the Party and developing a factual  record.
       •  A procedure for claims by a Party that another Party exhibits  a persistent
          pattern of failure to effectively enforce  its environmental law, involving
          consultations, possibleformal dispute resolution, and, ultimately, economic
          sanctions.5
       Complementing these procedures is an obligation of the Parties, through the
Commission's Council of Ministers and assisted by the Commission's Secretariat, to promote
effective enforcement and compliance, including through technical cooperation. In July, 1994,
the Commission Council directed the Secretariat to develop an enforcement and compliance
cooperative  work program to facilitate "cooperative initiatives to  improve compliance in
identified industry and natural resource sectors", as well as substantial exchangeof enforcement
and compliance information and dialogue on the comparability of enforcement and compliance
measures.67

2.1.1  Permanent working group on  environmental enforcement cooperation

       To implement these priorities, the governments created a Permanent Working Group
on Environmental Enforcement Cooperation, consisting of senior representatives of the Parties
with environmentalenforcementand compliance responsibilities.These include representatives
of: the U.S. Environmental Protection Agency, Fish and Wildlife Service, and Department of
Justice; U.S. state environmental enforcement agencies;  Mexico's Attorney  General for
Environmental Protection ("PROFEPA"); Environment Canada and the Canadian Department
of Justice; and Canadian provincial environmental enforcement officials. Meeting in June and
November, 1995, the Working Group adopted the following terms of reference:

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142          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        • Strengthen cooperation between the parties in environmental enforcement
          and compliance while respecting the individual approach of each party.
        • Deliver concrete cooperative enforcement and compliance initiatives.
        • Establish working relationships among the environmental enforcement
          agencies in recognition of the shared  borders and  inherent shared
          enforcement and compliance challenges.
        • Exchange information and experiences with  alternative approaches  to
          enforcement and compliance.
        • Facilitate enforcement and compliance training opportunities among the
          three countries.

        Subgroups were established to facilitate work in the following areas:

        • Development of the Commission's Annual Report on Enforcement.
        • Development of a North America-wide system  to assist in compliance
          monitoring of transboundary movements of hazardous wastes.
        • Cooperation in wildlife enforcement.
        • Promote voluntary environmentalcomplianceandenvironmentalauditing.8


2.1.1.1  Annual report on enforcement

        Significant activity in late 1995  and  early 1996  focused  on  the  compilation of
enforcement  information for the Commission's first Annual  Report, as required  by the
Agreement. Each country contributed information on its respective domestic enforcement
programs and activities. This exercise has begun to stimulate discussion among the three
countries on the comparability of enforcement and compliance statistics as the countries utilize
different arrays of enforcement tools and methodologies for measuring compliance.9

2.1.1.2  Transboundary hazardous waste shipments

        The subgroup on Transboundary Hazardous Waste began to discuss development of
a North America-wide system for tracking transboundary hazardous waste shipments.  Such a
system could  help identify illegal hazardous waste shipments and compliance circumvention
schemes, as well as hazardous waste manifest violations and othertechnical non-conformances;
and might facilitate enforcement targeting and enforcement cooperation between government
authorities. Such a system could also have additional benefits, such as expediting hazardous
waste export and import transactions and industry reporting, and providing information useful
in  hazardous  waste program planning, policy-making,  public reporting, and emergency
preparedness and response. The subgroup began to develop a project plan for design and
implementation of such a system, referencing the U.S./Mexico transboundary hazardous waste
system ("HAZTRAKS") as a possible starting point for a North America-wide system.

2.1.1.3  Wildlife enforcement cooperation

        The subgroup on wildlife enforcement, or the "North American Working Group on
Wildlife Enforcement", identified as priorities for 1996 building improved communications and
joint training courses focused on enforcement of the Convention on Illegal Trade in Endangered
Species  ("CITES") at border crossings. Programmed activities included training  in  CITES
enforcementon the U.S./Mexico border, and training in Toronto, Canada on fur-bearing species.

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                                   HERMAN, STEVEN A. AND SPERLING, LAWRENCE I.   143
Future training priorities  include focus on birds, reptiles and hides identification, and the
development of materials on the laws, policies and organizations responsible for wildlife
enforcement to support cooperative initiatives.

2.1.1.4 Voluntary compliance  and environmental auditing

        In September, 1995, the Commission Secretariat and Environment Canada joined
Mexico and the United States in co-sponsoring a seminar for industries in the Juarez/El Paso
area of the U.S./Mexico border zone on "Programs and Policies to Promote Environmental
Auditing and  Voluntary  Compliance in North America.  Attended by over 200 industry
representatives, the seminar marked the first cooperative effort under Commission auspices
to actively promote industry compliance with environmental laws. The seminar focused on
environmental auditing as a means of both assuring compliance and  identifying pollution
prevention opportunities, and explored government policies to encourage voluntary compliance
through environmental auditing. The Commission and the three governments sponsored  a
second seminar  in Tijuana, Mexico in December,  1995, expanding the focus to  include
discussion of emerging International Standards Organization  voluntary standards for
environmental management systems (EMS) to implement industry commitments to
environmental compliance and pollution prevention ("ISO 14000").
        At both seminars, the governments and the Commission conducted intergovernmental
consultations on their respective policies and programs in more detail, including their potential
relationship to ISO 14000. As a result of these consultations, the subgroup on Environmental
Auditing and Voluntary Compliance agreed to continue its dialogue on government responses
to ISO 14000 in  North America, and to develop additional geographic or  industrial sector
based cooperative efforts to encourage voluntary environmental compliance.
        To inform such future cooperative activities, the Commission Secretariat launched a
study of alternative mechanisms to  encourage voluntary compliance. The study will explore
existing efforts  in the three countries to develop  and implement voluntary compliance
mechanisms and develop recommendations, after consultation with enforcement and
compliance officials and private stakeholders.

2.1.1.5 Additional enforcement cooperation priorities and opportunities

        In addition to the subgroup activities, the Permanent Working Group agreed to pursue
the  following priorities: to share approaches to compliance data management; to  publish  a
roster of enforcement and compliance officials to facilitate information and expertise exchange;
to prepare a  catalogue of existing training programs in North America pertaining to
environmental enforcement and  compliance; and to focus work on the detection of illegal
shipments of ozone-depleting chemicals controlled by the Montreal Protocol. Other ideas for
cooperation, subject to further dialogue, include subsector-based approaches to cooperation
in enforcement targeting and compliance promotion, and the development of a North American
protocol for cooperation in environmental  enforcement investigations, including evidence-
gathering and treatment of confidential information.
        The Commission's broader  cooperative work on substantive environmental  problems
(e.g.,  Commission Council priorities or cooperative work activities which do not  pertain
exclusively to enforcement) may present opportunities for future cooperative  efforts in
enforcement and compliance. For example, in October, 1995, the Commission Council adopted
a resolution giving priority to cooperation in the management and control of persistent toxic
substances, such as polychlorinated biphenyls (PCB's). Another Council  resolution  agreed to
trilateral action to promote public access to environmental information. Initiatives such as these,

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144           FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
driven at the Council level, could provide useful foci for future cooperative work in enforcement
and compliance. For example, cooperative enforcement targeting and compliance promotion
activities could  be geared toward implementation of regulations controlling persistent toxic
chemicals or requiring reporting and community access to environmental emissions data.10'11

2.1.2   Formal enforcement procedures

        The Agreement's public complaint and dispute resolution processes complement the
Commission's cooperative enforcement and compliance work program in guaranteeing the
Parties' commitment to effective enforcement  of their environmental  laws. The citizen
submission procedure provides an important opportunity for public participation in promoting
effective environmental enforcement and compliance. By allowing private parties to request
the Secretariat to develop a factual record shining a spotlight on a Party's alleged failure to
effectively enforce its environmental law, citizens  can participate  directly in  "bright-lights
enforcement" of this central commitment of the Agreement. In October, 1995, the Commission
published a set of guidelines to aid the public in preparing such submissions.1213
        Meanwhile, the Secretariat reviewed and ruled on the first two such public submissions,
and began review of a  third petition. In the first submission, Biodiversity Legal Foundation
alleged that appropriations legislation passed by the United States Congress in 1995 had the
practical effect of preventing U.S. administrative agencies from carrying out their enforcement
mandates under the Endangered Species Act respecting the classification of threatened and
endangered species and critical habitats. The petitioner requested that the Secretariat of the
Commission seek a response from the United States on the matter under Article 14 of the
Agreement. Similarly, in the second submission, the Sierra Club alleged that U.S. appropriations
legislation effectively suspended citizen enforcement of environmental laws  with respect to
old-growth forest and salvage logging, through a "rider" provision which limited judicial or
administrative review of whether timber sales comply with environmental statutes. The Sierra
Club petitioned the Commission to develop a factual record to determine whetherthis legislative
provision amounted to a failure of effective enforcement by the U.S.141S16
        The Secretariat declined to take the actions requested in both petitions, finding itself
not empowered to act in response to legislative acts, as opposed to situations in which an
agency charged with enforcing environment law fails to do so. In the Sierra Club petition, for
example, the Secretariat concluded that the rider provision was new legislation which "becomes
a part of the greater body of laws and statutes on the books." The Secretariat concluded that it
"cannot characterize the application of a new legal regime as a failure to enforce an old one."
The Secretariat was reluctant to involve itself in the essentially legislative function of assessing
the prospective  impacts of new legislation. The Secretariat noted that failures to enforce "are
best construed to apply to the actions or omissions of the agencies and officials charged with
enforcing environmental laws", and not the enactment of legislation. Thus, in both cases, although
the Secretariat  declined to conduct a factual investigation or seek a response from  the
implicated Party, its decisions provide valuable interpretive guidance on the scope of the
Agreement's obligation  that the Parties effectively enforce their environmental laws.17
        The most recent submission, filed by the Centra Mexicano de Derecho  Ambiental
(Mexican Environmental Law Center) and el Grupo de los Cien (Group of 100), alleged failures
in the implementation of Mexico's environmental impact assessment requirements with respect
to a cruise-ship terminal development project located within a  natural protected area. The
submission, which was pending before the Secretariat as of the writing of this article, presents
the Secretariatan opportunityto provide guidance on issues such as: applicationof the "effective
enforcement" obligation to environmental impact assessment requirements; the application of

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                                   HERMAN, STEVEN A. AND SPERLING, LAWRENCE I.  145
the notion of "persistent" ineffective enforcement as applied to individual development projects
and to conduct beginning prior to the Agreement; and the transboundary nature of marine flora
and fauna.18
        In addition to the citizen submission procedure, the Agreement provides for formal
arbitration, and possible sanctions, if one Party alleges that another is failing to effectively
enforce its  environmental laws.  To date, the  Parties have preferred to focus on working
cooperatively to enhance enforcement capacity, rather than initiating formal allegations. The
mere possibility of such a proceeding, in fact, and the pressure of "bright lights enforcement"
created by the citizen submission process, appear at this stage to be effective tools in
encouragingthe Parties to work cooperativelyto improve the effectivenessof theirenvironmental
enforcement and compliance efforts.

2.2     U.S./Mexico bilateral enforcement  and compliance cooperation

        While the U.S., Mexico, Canada, and the Commission  were developing a North
America-wide program of enforcement and compliance cooperation, the U.S. and Mexico
continued to develop their cooperative bilateral relationship in this area through the U.S./Mexico
Cooperative Enforcement Strategy Workgroup, one of six workgroups set up under the 1983
U.S./Mexico Agreement on Cooperation for the Protection and Improvement of the Environment
in  the Border Area ("La Paz Agreement"). Effective enforcement of and compliance with
environmental laws in the U.S./Mexico border area is essential to  ensure realization of each
country's environmental goals, as well as to prevent transboundary environmental problems
and unfair trade advantages resulting from lax implementation. EPA and Mexico's PROFEPA
have worked to mutually enhance both countries' capacity to enforce and promote compliance
with their respective environmental laws, and to resolve mutual environmental problems caused
by noncompliance.19
        In June, 1995, the two countries developed a Work Plan for 1995-1996, which called
for substantial activities in the following areas: cooperation in detecting violations and targeting
enforcement; cooperation in specific case investigations and sharing enforcement information;
capacity building through training  and technical consultations; enhancing interagency
cooperation; and promoting voluntary environmentalcompliancethroughenvironmentalauditing
and pollution prevention.20

2.2.1    Recent and ongoing cooperative activities

2.2.1.1  Cooperative detection  of violations and targeting

        EPA and PROFEPA have been  working to enhance their capacity to identify likely
violators for enforcement follow-up. HAZTRAKS, a binational system for tracking transboundary
movement of hazardous wastes  initiated by the U.S./Mexico Hazardous Waste Workgroup
under the La Paz Agreement, has proven to be an effective  tool for monitoring compliance.
Informationdrawn from HAZTRAKS has enabled EPA, its state agency partners, and PROFEPA
to identify potential violations. EPA and PROFEPA are exploring approaches to enhance their
capacity to identify likely violators for enforcement follow-up, e.g., by supplementing data from
HAZTRAKS with other useful information, such as data about a facility or its use of chemicals.
        Input of local, state, and regional enforcement officials  is essential in identifying
prioritiesforcooperativetargetedenforcementinitiatives. To foster cooperativetargeting among
Mexican and U.S. federal, state and local enforcement  authorities, EPA and PROFEPA
established two pilot regional subgroups of the Cooperative Enforcement Work Group: one

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146          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
for Texas/Chihuahuaand one for California/BajaCalifomia. The subgroups will develop, propose,
and implement cooperative initiatives to address identified local or regional environmental
enforcement problems.

2.2.1.2  Investigations and information-sharing

        U.S. and Mexican federal, state and  local agencies engaged  in environmental
enforcement are increasingly cooperating in the investigation of environmental cases with
transboundary  aspects. EPA and PROFEPA are exploring development of a protocol  for
cooperation in the development of evidence for enforcement cases of each country.
        EPA and PROFEPA have been exchanging periodic aggregate data on enforcement
activities in their respective jurisdictions, and have agreed to determine criteria for sharing
more detailed information on specific completed enforcement cases.

2.2.1.3  Training and technical consultations

        EPA and PROFEPA have worked together to train hundreds of PROFEPA inspectors
in Multimedia Inspection techniques. The course includes a "train-the-trainer" component to
ensure its institutionalization by PROFEPA. The course was recently improved to include
information for inspectors on pollution prevention technologies, and a new unit on wastewater
discharge inspections to address the problem of cross-media transfer of pollutants from solid
waste to wastewater. EPA and PROFEPAhave begun to collaborateon more advanced training
for Mexican inspectors, including training in field sampling and laboratory analysis, and in
investigating environmental crimes.
        In May, 1995, EPA facilitated and PROFEPA hosted a presentation of the international
training course on the Principles of Environmental Enforcement and Compliance, attended by
policy-makers from a diverse range of Mexican local and federal agencies. EPA and PROFEPA
are now exploring future course deliveries which will include a "train-the-trainer" component,
and are looking forward to collaborating in the delivery of this course to other Spanish-speaking
countries in the Western Hemisphere.
        EPA, its state agency  partners, and  PROFEPA,  are improving interagency and
binational enforcement cooperation  through a bilingual training program for U.S. and Mexican
customsandenvironmentalinspectorsonmonitoringcompliancewithtransboundaryhazardous
waste,  pesticide, and toxic substance regulations.  This training, which has already  been
presented at most major land border crossings, has proven to be an effective tool for building
cooperative partnership among field enforcement personnel from diverse agencies on both
sides of the border. Similartraining is being developed regarding smuggling of ozone-depleting
chemicals banned or restricted under the Montreal Protocol.21
        In addition to these formal training exercises, EPA and PROFEPA have also engaged
in less formal technical consultations on diverse aspects of environmental enforcement. These
include enforcement data systems,  environmental crimes, and administrative environmental
enforcement. EPA and PROFEPA are planning a workshop to exchange perspectives on the
legal and technical  practicalities of  environmental enforcement, and are exploring technical
consultations on approaches to calculating economic penalties in enforcement cases.

2.2.1.4  Voluntary compliance and environmental auditing

        EPA and PROFEPA initiated outreach to U.S. maquiladora parents to encourage
voluntary compliance with  applicable laws and regulations, including through participation in
PROFEPA's innovative environmental auditing program. This effort spawned two industry

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                                   HERMAN, STEVEN A. AND SPERLING, LAWRENCE I.   147
conferences in the border area to promote voluntary compliance through strategies such as
environmental auditing and pollution prevention, and trilateral consultations involving the U.S.,
Mexico, Canada, and the Commission, to exchange information about each country's policies
to encourage voluntary compliance through environmental auditing. (See Section 2.1.1.4 above).

2.2.1.5 Building networks of interagency cooperation

       A diverse range of local, state, and federal law enforcement agencies are essential
partners of EPA and PROFEPA  in assuring  environmental compliance and in building
enforcementcapacity through cooperation.The EnforcementWork Group has strivedto develop
a border-wide network of enforcementand compliancecooperation.among all relevant agencies
at all levels of government on both sides  of the border. This border-wide network forms a
significant regional component of a North America-wide  enforcement and compliance
cooperation network,  and many activities  initiated bilaterally are now forming the basis for
North America-wide cooperative work under the Commission's Permanent Working Group on
Environmental Enforcement Cooperation. (See Section 2.1.1, above).
       EPA and PROFEPA have committed  to work to improve coordination among the
local, state, and federal agencies  on both sides of the border involved with environmental
enforcement. Binational multi-agency training, local task forces, and  supporting state
enforcement activities through grant programs, have proven to be effective tools for building
interagency cooperation.Creation of the regional subgroups for Texas/Chihuahuaand California/
Baja California will foster even greater cooperation among relevant federal, state and local
environmental agencies in these regions.

2.2.2  Border XXI: toward the 21st century

       The U.S. and Mexico have begun to develop a new framework for border area
environmentalcooperationunderthe La Paz Agreement, to address the significantenvironmental
challenges posed by rapid  development in the border  area as we approach the turn of the
century. The new framework, dubbed "Border XXI", will seek to forge a partnership among
border communities and state and federal governments on both sides of the border to work
together in improving the border environment. To foster this partnership, as proposed by the
U.S., the Border XXI program will emphasize the themes of public participation, decentralization
of environmental decision-making to  empower local communities and residents, and
interagencycoordinationto maximizelimited resourcesand avoid duplicativeefforts. The Border
XXI framework will seek to identify the resources necessary to achieve the environmental goals
for the border area, and will strive to integrate interdisciplinary efforts related to environmental
protection.

2.2.2.1 Enforcement and compliance cooperation under Border XXI

       Enforcement and compliance cooperation will continue as a major component of the
framework for U.S./Mexico  cooperation  in the border area, alongside the work of the other
existing La Paz Agreement Workgroups (Air, Water, Hazardous Waste, Emergency Response,
and Pollution Prevention) and new initiatives in areas such as environmental public health,
environmentalinformation, and environmentaleducation. Because enforcementand compliance
are cross-cutting themes which are important for protecting  all environmental media, close
coordination and cooperation is needed with other cooperative activities to ensure that they

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148          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
complement one another. The Enforcement Workgroup will continue to coordinate closely with
and support the other La Paz Agreement Workgroups to enhance cross-cutting attention to
enforcement and compliance.
        In developing Border XXI, the U.S. has proposed a number of broad objectives for
enforcement and compliance cooperation over the next five years, with specific implementing
projects to be identified in annual work plans. The proposed objectives include:

        •  Measurably enhance compliance in the border area through aggressive
          inspection programs; targeting of inspections for maximum effectiveness;
          complianceactions and follow-upto ensure future compliance; and creation
          of an effective deterrence through sanctions which remove the economic
          benefit of noncompliance and through public  communication of
          enforcement activities.
        •  Develop and implement cooperative targeted enforcement initiatives that
          address common environmental problems, in a manner which  preserves
          respect for national sovereignty.
        •  Promote industry leadership in voluntarily achieving and demonstrating
          compliance, including through strategies such as environmental auditing.
        •  Develop sophisticated tools to monitor compliance.
        •  Promote pollution prevention solutions to compliance problems, in all
          enforcement/compliance related activities.

        Enforcement cooperation would also be pursued  in accordance with the broader
proposed themes of Border XXI. For example, citizen involvement in the enforcement process
provides an important avenue for public participation.  In the U.S., citizens may initiate legal
action to directly enforce most environmental laws. In Mexico, PROFEPA's procedures provide
for follow-up investigation of citizen complaints about environmental compliance problems. In
both countries, citizen input is an important source of information to assist the governments in
responding to environmentallyunsound behavior. The Enforcement Work Group will encourage
the public, employing their respective domestic procedures, to work in partnership with the
government agencies to enhance effective implementation of environmental laws.
        Similarly,  involvement in the Enforcement Workgroup will be an important avenue for
state  and  local  governments to  help shape  implementation of  Border XXI, ensure
responsiveness to the needs  and priorities of local  communities, and build interagency
partnership and coordination. The recent creation of pilot regional geographic subgroups of
the Enforcement Workgroup  provides an important mechanism for state  and  local
empowerment, and will help to ensure that interagency coordination occurs where it matters
most—in the field, at the working level. In so building the enforcement and compliance network
in the  border area, the Enforcement Work Group will continue to coordinate its activities with
broader, North America-wide enforcement efforts, and to identify bilateral initiatives which could
benefit from trilateral cooperation.

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                                   HERMAN, STEVEN A. AND SPERLING, LAWRENCE I.  149
3       TOWARD A WESTERN HEMISPHERE ENFORCEMENT AND
        COMPLIANCE NETWORK

        At the December, 1994 Summit of the Americas, the presidents of the democratic
nations of the Western Hemisphere announced a Plan of Action which included a call fora new
hemispheric Partnership for Pollution Prevention. The Plan of Action specifically identifies
initial substantive priorities to include safe pesticide management, the gradual elimination of
lead from gasoline, and the reduction of lead exposures from other sources. The Plan calls on
international organizations such as the Inter-American Development Bank, the Pan-American
Health Organization, and the Organization of American States, to play a major role in organizing
and implementing Partnership activities.22
        The Plan of Action for the Partnership calls for cooperative efforts in developing and
improving environmentalenforcementas a key aspect of the sound environmental management
required to ensure sustainable development. The Plan of Action calls for the strengthening of
implementation and enforcement of environmental protection frameworks, both through individual
government action and through intergovernmental  cooperation to facilitate information
exchange, technical cooperation and  capacity-building. In  recognizing the importance of
cooperation to reinforce domestic enforcement efforts, the Partnership for Pollution Prevention
sets the stage for developmentof a Western Hemisphere network of environmentalenforcement
cooperation.
        Prior to the Summit, in October 1994, the governments of Central America announced
a new Alliance for Sustainable  Development, and invited the international community to join
them in achieving the goals of the Alliance. At the Summit in Miami, the U.S. accepted this
invitation. In a joint communique called the "CONCAUSA Declaration", the U.S. and the Central
American governments  issued an action plan to work together to achieve the goals of the
Alliance. The action plan contemplates cooperation between the U.S. and its Central American
partners in establishing a network of cooperation to promote and enforce compliance with
environmental legislation.23


3.1     Western Hemisphere partnership for pollution prevention implementation

        In November, 1995, EPA, in cooperation with the Organization of American States,
the Pan-American Health Organization, and the government of Puerto Rico, hosted an Advisors
Workshop and an Intergovernmental Technical Experts Meeting in San Juan, Puerto Rico, to
organize the Partnership for Pollution Prevention. Although the Summit of the Americas Action
Plan identified the 1996 Summit Conference on Sustainable Development in Bolivia  as the
time of reporting on progress in implementation of Partnership activities, it provided  no
mechanism to coordinate between government and non-government organizations or funding
institutions to develop specific programs. At the Puerto Rico meetings, participants from
approximately 25 countries, international organizations and multilateral development banks,
with input from nongovernmental and  industry organizations, developed a Framework  for
Cooperation, and identified initial priority projects.

3.1.1    Framework for cooperation

        The Framework for Cooperation developed in Puerto Rico calls for the Organization
of American  States to convene a meeting to establish a Task Force of involved international
organizations to coordinate efforts and optimize resources for Partnership implementation.

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150          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Each country is called upon to designate a national focal point for cooperation. The Task Force
will establish its own structure and work plan and report through government focal points. As of
March, 1996,  initial meetings of the Task Force had taken place in Washington, D.C., with
participation of the Organization of American States, the Pan American Health Organization,
the World Bank, the Inter-American Development Bank, the United Nations Environment
Program,  EPA  and  the  U.S. Agency for International  Development,  and the Canadian
International Development Agency.24
        The Framework  exhorts governments to cooperate to create and improve regional
and subregional networks. The networks would include governmental and nongovernmental
experts, and would exchange information and expertise for implementation of Summit-related
activities. Information exchange would include electronic communications, follow-up meetings
and other means. The Framework encourages reinforcing the Partnership with bilateral and
multilateral relationships among governments and nongovernmental organizations to advance
pollution prevention, and calls upon national focal points and international institutionsto promote
public participation.
        The Framework  specifically calls for strengthening of mechanisms for cooperation
among governments to implement Partnership commitments, including "policy, legal and
regulatory frameworks, institutional arrangements, economic instruments, enforcement and
compliance." Finally, the Framework encourages the countries and international organizations
to identify specific opportunities for capacity-building, training, and technical cooperation in
each of these  "cross-cutting" areas.

3.1.2    Substantive project priorities

        In addition to initial development of a Framework for Cooperation, the Working Groups
at the Puerto  Rico Meetings outlined recommendations for priority project goals to address
pesticides, lead, sustainable tourism, and water quality. Each of these priority themes provides
opportunities for cooperation in the area of enforcement and compliance.
        The Lead Working Group recommended the development and incorporation into legal
instruments of national plans to eliminate lead from gasoline in the Americas by the year 2001.
This activity will provide a Western Hemisphere focus on the phase-out of lead in gasoline, in
follow-up to global discussions initiated in March, 1995 at an International Workshop on Phasing
Lead out of Gasoline, hosted by the United States and Mexico under the auspices of the United
Nations Commission on Sustainable Development. To implement the Working Group's
recommendations, EPA is working with the U.S. Department of Energy, the U.S. Agency for
International Development, and the World Bank, to develop a program for providing technical
assistance to countries in the Americas in developing national  plans to phase-out lead in
gasoline. This effort appears to be taking shape as the first implementation activity on
substantive priorities of the Partnership for Pollution Prevention.
        The Pesticide Working Group recommended regional consultations on harmonizing
of laws and regulations at high levels of environmental protection; the creation of information
centers to facilitate information exchange, capacity-building, and assistance in government
institution strengthening; and establishment of a "board" of interested country representatives
to identify specific projects and assist in developing funding proposals. Projects recommended
by the Water Working Group contemplated development and implementation of water quality
criteria, exchange of experiences with implementation of legal, institutional and economic
instruments for water resource management, including international river basins; management
of water salinity in the Caribbean; and promoting institutional mechanisms for information-
sharing, such  as the Inter-American Water Resources Network of the OAS. The Sustainable

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                                   HERMAN, STEVEN A. AND SPERLING, LAWRENCE I.   151
Tourism Working Group recommended, inter aha, development of a sustainable management
system, including through regulatory and enforcement mechanisms, for marine parks in Belize,
Dominica, and Honduras.

3.1.3    Enforcement and compliance cooperation in the partnership

        At the Puerto Rico meetings, EPA offered a concept paper on "Building Environmental
Enforcement and Compliance Capacity in the Western Hemisphere". The paper envisioned a
hemisphere-wide network of officials and experts to promote development of sound
environmental laws and build enforcement and compliance capacity through regional and
hemispheric cooperation. The network would consist of several regional sub-networks to focus
efforts  on regional problems.  Its  members would include representatives of  all  relevant
government agencies, and of nongovernmental experts to provide perspectives of NGO's,
academia, and industry, and ensure attention to citizen participation in the enforcement process.
The paper suggested the following possible areas for cooperation:

        •  Capacity-building.
        •  Cooperative compliance promotion.
        •  Cooperative compliance monitoring.
        •  Cooperation on specific enforcement cases.
        •  Strategic priority-setting and targeting initiatives.
        •  Enforcement activity information exchange.
        •  Cooperative enforcement communications.

        The objectives of the proposed strategy include: promoting sustainable development
by ensuring that regulatory frameworks are capable  of reaching  their environmental  goal;
ensuring a level  playing field of effective environmental enforcement as a basis for free trade;
maximizing the efficiency of individual countries' efforts to build environmental enforcement
capacity; and maximizing the deterrent effect of enforcement activity,  by demonstrating a
cooperative resolve to detect and respond to violations and promote voluntary compliance.
The paper suggested that enforcement and compliance cooperation activities be incorporated
into substantive priority projects (such as pesticides, lead, sustainable tourism, and water
quality); but that they also be pursued through cross-cutting projects, not limited to the substantive
priorities, to allow the network the flexibility to address, through cooperation, unique regional
and subregional enforcement/compliance problems25
        The Puerto Rico meetings resulted in recognition of enforcement and compliance as
a cross-cutting theme for hemisphere-wide environmental cooperation. The Framework  for
Cooperation specifically encourages cooperative activities to address cross-cutting themes,
including through development and enhancement of networks of cooperation. The meetings
also produced  several substantive themes which present opportunities  for  developing
enforcement and compliance cooperation components.  In its subsequent participation in the
Task Force on  Implementation of the  Partnership for Pollution Prevention, EPA has
recommended the establishment of Working Groups to promote  cooperative action in the
substantive theme areas as well  as on  cross-cutting  themes such as legal frameworks,
enforcement and compliance, public participation, and pollution prevention.
        EPA has taken some initial steps toward implementing the strategy on enforcement
and compliance  as proposed at the Puerto Rico meetings. Building on the network developed
through the International Conferences on Environmental Enforcement and Compliance, EPA

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152          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
began to develop a directory of contacts of legal and enforcement officials and experts, to
support a hemisphere-wide network. EPA also developed an initial framework for a training
course on environmental legislation and regulations, to be supplemented by interested countries
or organizations. The training module, which will include a focus on enforcement considerations
in drafting legal requirements, will supplement the existing international training module on the
Principles of Environmental Enforcement.
       At the Puerto Rico meetings, EPA proposed several specific projects to follow up this
initial work. These include  a hemisphere-wide delivery of the Principles of Environmental
Enforcement and Compliance training, possibly in Mexico. EPA proposed a cooperative effort
to supplementand further develop the training frameworkon environmental laws and regulations,
and the development of case studies for both training modules to address identified Partnership
priorities, such as pesticide regulation, lead exposure, and water quality. (An existing case
study for the enforcement course, developed for the  Third International  Conference on
Environmental Enforcement, covers sustainable tourism.) Finally, EPA proposed development
ofdatabasesofenvironmentallawsandregulations.agencyandNGOorganizationalstructures,
and legal and enforcementcontacts, to support the evolution of the Western Hemisphere network
of environmental law and enforcement.
3.2     Regional enforcement and compliance cooperation in Central America

        The Central American  Commission  for Environment and Development (CCAD),
representing the seven governments of Central America, is taking a proactive approach to the
development of a regional network of cooperation on environmental laws, enforcement and
compliance. To implement U.S. commitments in the CONCAUSA Declaration to assist Central
America's regional environmental  cooperation  efforts, the U.S. Agency for International
Development (USAID) worked with CCAD and U.S. EPA to develop a Central American
Regional Environmental  Project (Proyecto Ambiental Regional para Centra America,  or
"PROARCA"), with components to address protected areas, coastal zone management, and
environmental protection.
        Underthe Environmental Protection component, a regional comparativeenvironmental
risk assessment has been launched to reach consensus among key stakeholders on, and
prioritize, the major pollution problems in the region. This effort will be supplemented by an
assessment of existing environmental legislation  in Central America and  of institutional
capacities to manage environmental risks. The workplan also envisions efforts to develop
compatible national systems of environmental laws and standards among the Central American
nations, including focus on the legislative basis for monitoring and enforcement. Finally, the
Environmental Protection component calls for improving implementation and enforcement of
environmental laws and regulations. This will include technical assistance and  training to
strengthen institutional capabilities, and compilation of statistics on enforcement activity. It will
also include engaging the private sector in an open, managed dialogue to achieve concrete
commitments to comply with environmental laws and regulations.
        EPA's involvement in the PROARCA project is being funded by USAID, pursuant to
an interagency agreement. Among the first activities, EPA facilitated a delivery of the Principles
of Environmental Enforcement training in Belize in January, 1996, and is working to arrange
future deliveries of this training in other countries in the region. EPA also participated in national
assessments of environmental  legislation in Honduras (December,  1995) and  Nicaragua
(February, 1996). EPA and CCAD are cooperating in the development of a Central American
network of environmental legal and enforcement officials  and experts, and are exploring

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                                  HERMAN, STEVEN A. AND SPERLING, LAWRENCE I.  153
cooperative projects in areas ranging from training of inspectors to promotion of voluntary
environmental compliance. Once it is completed, the regional comparative risk assessment
will further inform the development  of cooperative projects focused on enforcement and
compliance.
4       FUTURE CHALLENGES IN DEVELOPINGTHE WESTERN HEMISPHERE
        ENFORCEMENT AND COMPLIANCE NETWORK

        North America's evolving network of environmental enforcement cooperation can
provide a ready model for the growth of similar regional and subregional networks throughout
the Western Hemisphere, which would link together in a hemisphere-wide network of
cooperation. Initial steps have been taken to develop the architecture of such a hemisphere-
wide network. Enforcement and compliance functions are unique and cross-cutting: they are
identifiable as a separate activity while at the same time they are fundamental to achieving a
broad range of environmental program goals. Thus, cooperation should focus  on the broad
functions of enforcement and compliance. In addition, specific projects can be responsive to
the priority substantive environmental problems identified on a hemisphere-wide and regional
basis.
        Among developing countries in the Americas, enhancing institutional capacity through
technical assistance and training is a priority need. As the North American experience suggests,
however, there is great opportunity for enforcement and compliance cooperation to go beyond
capacity-building efforts. Exchange of ideas and experience benefits all countries in a region
by expanding awareness of possibilities and policy options. Cooperation in areas such as
compliance monitoring, enforcement  targeting, enforcement case investigations, and
environmental auditing, can achieve economies of scale in deterring violationsand encouraging
compliance.
        The task of hemisphere-widecoordination itself presentsa great institutional challenge.
Although the institutional framework for cooperation has developed rapidly in North America,
the outlines of a hemisphere-wide framework for cooperation have only begun to be drawn.
Regional efforts, such as that of the CCAD in Central America, appear to provide the greatest
hope for developing cooperative  networks. Building  a  hemisphere-wide  network which will
ensure optimal cooperation at the operational level, therefore, appears to  depend on the
development of regional  subnetworks, which will link together in a broader network for the
Americas. These regional subnetworks,  in turn, should be developed to enhance partnership
between national and local governments, to ensure  responsiveness  to local problems and
enhance cooperation among all entities which may provide  assistance in detecting and
responding  to violations or promoting compliance.
        One of the greatest challenges in establishing the Western Hemisphere network
pertains to differing perceptions of the proper role of  legal requirements and enforcement in
achieving environmental goals. Many of the presentations at the Puerto Rico meetings suggested
an emerging debate regarding traditional approaches to "regulation and enforcement" versus
"economic instruments, incentives, and other alternative approaches." This characterization,
however, presents a false dichotomy. First, although  environmental law in the United States
has traditionally involved "command and control" or "end-of-pipe  control" strategies, many
alternative approaches involve the promulgation of legal requirements, triggering concerns of
enforcement and compliance. For example, economic instruments, such as taxes or emissions
trading, often  rely on self-monitoring  and reporting of emissions or discharges. Such

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154          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
requirements must be encoded into law, and enforced, to ensure that the economic approach
achieves its environmental  goals. Even some "voluntary"  approaches involve notions of
enforcement and compliance. For example, many of the same compliance monitoring concerns
are involved regardless of whether behavior is proscribed by law, or imposed as a condition of
some incentive, whether it be a government subsidy or a private loan.
        Finally, regulatory/enforcement and voluntary approaches, if designed properly, are
compatibleand complementary, ratherthan mutually exclusive. Although some purely voluntary
approacheswill cause many polluters to improve theirenvironmentalperformanceout of rational
self-interest or altruism, it cannot be assumed that all polluters will act rationally or altruistically.
This is particularly so if the desired behaviorchange involves radical changes to institutionalized
business practices or large short-term capital expenditures. Hence, voluntary incentives work
best if backed up by baseline requirements and substantial certainty that  sanctions will be
imposed if noncompliance is detected.
        A more legitimate concern, however, is whether the private sectors in developing
countries have adequate tools and resources to  achieve  compliance with strict new
environmental standards.  While this issue was raised by Central American industry group
participants in the Puerto Rico meetings, the compliance  capacity of small or economically
disadvantaged businesses has been a matter of significant debate within the United States
for some time. In response to these concerns, EPA recently modified its traditional approach
to enforcementto include an emphasis on promoting voluntary compliance, particularlytargeted
at small and  medium-sized businesses. EPA's new program of compliance promotion is
supplemented by enforcement policies which encourage environmental auditing as a means
of assuring compliance, and provide incentives to small businesses to participate in compliance
assistance programs. EPA is also engaging industry directly in dialogue on how environmental
performance can exceed the baseline levels of protection achieved by mere compliance with
environmental standards, while reducing overall regulatory burdens. At the same time, EPA is
exploring new ways of recognizing industry for exemplary behavior which exceeds compliance.
These efforts provide examples of how traditional enforcement might combine with  positive
incentives to change behavior to comply with environmental requirements.
5       CONCLUSION

        Much work needs to be done to consolidate the Western Hemisphere environmental
enforcement and cooperation network. In North America, the U.S./Mexico border area is still a
large environmental concern.  Industry performance in this region remains a key test of
sustainable development in the Americas. Coordinated trilateral cooperative projects are only
just getting under way.  Although  great strides are being  made, promoting interagency
partnership among all relevant entities remains a challenge, as does ensuring appropriate
public participation. In other regions of the hemisphere, many environmental laws and standards
are only now being developed;  and these laws are perceived as challenging traditional
relationships between government and industry. Yet, drafting environmental regulations that
are enforceable from the start is a key to achieving the intended goals of an environmental
protection program. Although electronic communications promise to enhance communications
and cooperation within the hemisphere-wide network, not all stakeholders are at the same
milepost on the "Information Superhighway."

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                                  HERMAN, STEVEN A. AND SPERLING, LAWRENCE I.  155
       Notwithstanding these obstacles, in the two years since the Third International
Conference on Environmental Compliance and Enforcement, an Americas-wide network of
environmental enforcement and compliance cooperation has begun to emerge. While a
hemisphere-wide institutional structure for this network has begun to take shape, substantial
work has been done to form a coherent, multi-tiered institutional framework for a key regional
component of that network, North America. Meanwhile, other key regions of the Hemisphere,
such as Central America, have begun concerted efforts to organize regional networks. Clearly,
the benefits of mutually enhancing the capacity for and deterrent effect of enforcement,
minimizing trade distortions and transboundary environmental degradation, improving voluntary
compliance, and ultimately improving environmental performance,  will be well worth the hard
work. Hopefully, the Fifth International Conference on Environmental Enforcement and
Compliance will  provide an opportunity to report on further progress in the evolution of
enforcement and compliance cooperation in the Western Hemisphere.
REFERENCES

1.   Summit of the Americas Plan of Action, Miami, Florida, Dec. 9-11,1994.

2.   Oaxaca Declaration, Third International Conference on Environment Enforcement,
    Oaxaca, Mexico, April 25-28,1994.

3.   Fulton, Scott C., and Perling, Lawrence I., North American Trading Partners: Canada,
    United States, and Mexico as an Enforcement Network, Presented at the Third
    Conference on Environmental Enforcement, Oaxaca, Mexico, April 25-28, 1994.

4.   North American Agreement on Environmental Cooperation, Between the United
    States of America, the Government of Canada and the Government of the United
    Mexican States (entered into force January 1, 1994).

5.   Id., arts. 14,  15, and 22-36.

6.   Id., art.  10.
7.   North American Commission for Environmental Cooperation, Council Cooperative
    Work Program Priorities, Washington D.C., July 1994.
8.   Commission for Environmental Cooperation, Permanent Working Group on
    Enforcement, minutes from November meeting.

9.   North American Agreement on Environmental Cooperation, Council Resolution #95-5
    on Sound Management of Chemicals, October, 13,1995 (final ratification by ministers
    pending).

10. Commission for Environmental Cooperation, Council Resolution #95-5 on Public
    Access to Environmental Information, October 13,1995 (final ratification by ministers
    pending).

11. North American Agreement on Environmental Cooperation, supra note 4, arts. 14,15.

12. Guidelines for Submissions on Enforcement Matters under Articles 14 and 15 of the
    North American Agreement on Environmental Cooperation, October 13,1995.

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156          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
13.  U.S.C. 1531-1544(1973).
14.  Commission for Environmental Cooperation Secretariat Response to Submission by
     Legal Foundation, September 22,1995.
15.  Commission for Environmental Cooperation Secretariat Response to Submission by
     Sierra Club Legal Defense Fund, August 30,1995.
16.  Id.
17.  Denucia que Formula el Comite para la Proteccion de los Recursos Naturales A.C.
     de Cozumel, el Grupo de los Cien Internacional, A.C., ye el Centra Mexicano de
     Derecho Ambiental, A.C., Ante La Comision Para la Cooperacion Ambiental (January
     17, 1995).
18.  Agreement Between the United States of America and the United Mexican States on
     Cooperation for the Protection and Improvement of the Environment in the Border
     Area (Done at La Paz, Mexico, August 14, 1995).
19.  U.S./  Mexico Cooperative Enforcement Strategy Work Group Work Plan, Mexico
     City, Mexico, June 1995.
20.  Montreal Protocol on Substances that Deplete the Ozone Layer, 26 I.L.M. 1541
     (1987); 30 537 (1991).
21.  Summit of the Americas Plan of Action, supra note 1.
22.  Conjunta Centroamerica-USA (CONCAUSA) Declaration, Miami, Florida, December
     19, 1994.
23.  Partnership for Pollution Prevention Framework for Cooperation, San Juan, Puerto
     Rico,  Novembers, 1995.
24.  Building Environmental Enforcement and Compliance Capacity in the Western
     Hemisphere (U.S. Environmental Protection Agency concept paper, presented at the
     Summit of the Americas Advisors Workshop and Intergovernmental Experts Meeting,
     San Juan,  Puerto Rico, November, 1995.
25.  PROARCA Project Paper, U.S. Agency for International Development, June, 1995.

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                                                             EL-KHOLY, O.A.   157
TOWARD ESTABLISHING A REGIONAL NETWORK IN THE WEST ASIA/
MIDDLE EAST REGION

EL-KHOLY, O.A.

Senior Advisor, Egyptian Environmental Affairs Agency, 13, Street 265, New Maadi, Cairo
11742, Egypt


       SUMMARY

       This report sets the scene for taking the first steps in establishing a compliance and
enforcement network in the West Asia/ Middle East region.  After drawing attention to some
basic considerations, the report describes the main characteristics of environmental
management in the region with emphasis on compliance and enforcement. It ends by proposing
the main points to be discussed in order to start establishing the network.


1      INTRODUCTION

       There is no network in our region for the exchange of information and experiences on
compliance and enforcement. As we meet to discuss establishing such a network we need to
place our deliberations today against a background of some basic considerations. These we
need to keep in mind if our first steps towards establishing the network are to be based on a
firm foundation. Briefly, let me touch upon four main considerations:

1.1    Our region is heterogeneous to a significant extent. We have densely populated states
of rather limited  resources,  sparsely populated ones endowed with a wealth of natural
resources, and a third group that lies somewhere in the middle. Populations vary from  less
than one million in some states to sixty millions in others. As might be expected in such a
situation, the stages of development differ widely, as do the major economic activities.
1.2    While, twenty years ago, the general wisdom across the region was that environmental
protection was a  concern for the industrialized  countries, national and regional priority  was
rapid development with considerable tolerance towards environmental impacts. Environmental
worries were a long way down the line and can simply wait. This situation has been changing
slowly, but steadily. All over the region, environmental concerns are moving gradually to the top
of the list of national priorities.
1.3    The issue of environmental management has been addressed so far in a wide variety
of approaches and institutional and legal  frameworks. Government units responsible for the
environment have taken the form of ministries, councils, departments, and sometimes supra-
ministerial bodies. The concerned top levels of authority have ranged from ministers (of health,
defense,  interior) to councils of ministers and so-called higher councils. Some report directly
to the head of state.

1.4    At  the risk of making too drastic a simplification, the most commonly  adopted
approaches to environmental management had the following characteristics in common:

       •  Significant reliance on the command and control approach.

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158          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
          Little involvement of the regulated communities in the drafting of legal
          instruments (laws, decrees, standards).
          Young, understaffed, underfunded, and underequipped, regulating bodies
          faced with the task of dealing with much larger and sometimes more
          sophisticated regulated communities.
          As  might well be expected under the circumstances,  regulations,
          procedures and standards were usually copied from other societies of
          different backgrounds,  capabilities and conditions, and hence not
          conducive to enhancing the credibility of the young regulating bodies.
2       THE PRESENT SITUATION

        It is against this admittedly very sketchy outline of our recent history, and with full
appreciation that there are exceptions where the situation is  quite different from these
generalizations, that we should look at some encouraging developments in the region over the
last few years:

        •  There is now a general realization that the command and control approach,
          as it is being carried out, is failing to produce desired  results.
        •  The issue of environmental management is being rethought,  away from
          copying other models, to tailoring suitable approaches with full realization
          of the specificities of each society and institutional setup.
        •  One major consideration in designing appropriate systems, that has clearly
          emerged in many -if not all-countries in the region, is the need to bear in
          mind current value systems. The  choice of appropriate tools for
          environmental management has to take careful note of this critical factor.
          In many cases, compliance is not the social norm, and enforcement
          capabilities are often weak, if not nonexistent.
        •  As a result, emphasis is slowly shifting  from reliance on laws and
          regulations to in-depth analysis of the causes of non-compliance and
          definition of socially-acceptable enforcement actions when necessary.
        •  This has laid bare the defects in the legal instruments  as one of the main
          causes of weak compliance. The search is now for other more effective
          toolsfor ensuring compliance within the overall frameworkof environmental
          management at the national level.
        •  At the  level of society at large, dissatisfaction  with the state of the
          environment and protests against flagrant abuses is becoming more vocal
          and in a few cases an effective element in bringing about change.
        •  At the  level of the regulated community, more and more business
          enterprises are beginning to  devote more attention  and resources to
          environmental management at the level of the enterprise. The view is now
          spreading that this is good business  -not only because it improves the
          image of the enterprise; but because it is also profitable. A few enterprises
          are now talking of the implications of the combination of the new GATT
          agreements and the ISO 14000 parts that will come out this year.

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                                                              EL-KHOLY, O.A.  159
       •  Many countries are tapping new sources of technical assistance, foreign
          expertise, and even financial resources, in dealing with their environmental
          problems. Recently, this has moved beyond the "technical fix" to basic
          issues in environmental management, with compliance and enforcement
          fast becoming a new field of cooperation. This goes well beyond the usual
          organizational support, pollution prevention and control, and regulatory
          reform.

       I trust that you agree with me that this thumb nail sketch confirms that this is an
opportune moment for systematic study  and emphasis on the issue of compliance and
enforcement in our region.
3       HOWTO MAKE PROGRESS IN REGIONAL COOPERATION

        This Fourth Conference witnesses more participantsfrom our region than any previous
conference. Consequently, it is a unique opportunity for us to:

        •  Get to know one another.
        •  Exchange preliminary information on the current situation/ future plans to
          strengthen compliance and enforcement activities in our region.
        •  Identify and prioritize our common needs in the light of the above.

        Next, we may — subject to your approval — move on to:

        •  Sketch the structure of a regional network and the functions it will perform.
        •  Identify national focal points, even though tentatively.
        •  Discuss, and hopefully agree on the location of a node.
        •  Specify a feasible set of objectives and mechanisms of operations for the
          next two years, including monitoring progress.
        •  Discuss mechanisms for communication and exchange of information.

        I look forward to a very successful discussion that will hopefully be remembered in
years to come as the first step on the orderto achievingcomplianceand enforcementthroughout
our region and the role our network has played in this worthy endeavor.

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                                         SLATER, DAVID H. AND JAMES, ALUN W.  161
ESTABLISHING INTERNATIONAL COOPERATION AND REGIONAL
NETWORKS

SLATER, DAVID H.1 AND JAMES, ALUN W.2

1 Director Pollution Prevention and Control, Environment Agency, Rio House, Waterside
Drive, Aztec West, Almondsbury, Bristol BS12 4UD, United Kingdom
2 Regional Integrated Pollution Control Manager, Environment Agency, Rivers House,
St. Mellon Business Park, Cardiff CF3 OLT, United Kingdom
       SUMMARY

       This paper explains the benefits that are to be gained through international cooperation
on environmental issues. The ways in which such cooperation can help policy makers and
environmental regulators is described from the experiences of the United Kingdom as a Member
State of the European Union. It is suggested that the lessons learned through these experiences
are relevant to all countries.


1      INTRODUCTION

       We in the United Kingdom have just gone through a major reorganization of the
inspectorates dealing with the compliance and enforcement of environmental legislation. From
the first of April this year new Environment Agencies have been set up in England and Wales,
in Scotland, and in Northern Ireland. These Agencies will have responsibilities for the control of
certain kinds of pollution to all environmental media and will be the competent authorities for
the implementation in the United Kingdom of much of the environmental legislation originating
in the European Community.
       The Agency for England and Wales comprises staff of the old National Rivers Authority,
Her Majesty's Inspectorate of Pollution, and Waste Regulatory Authorities. It starts off with over
9000 staff with a wide range of expertise - from flood defense to the regulation of wastes from
the nuclear industry. The complexity of the legislation and the industries regulated by the Agency
would be daunting but for the fact that we are not alone. Not only do we have highly competent
staff in-house, we can get advice and assistance from colleagues in the other United Kingdom
agencies, and from government departments, consultants and academics.
       But we would be foolish if our networking was limited to the United Kingdom. The
Agency needs to tap into the knowledge and experience of environmental regulators throughout
Europe, and worldwide, to help us do our job well.
       This paper considers the benefits of networking from the perspective of policy makers
and  regulators. Although  the detailed descriptions refer to  Europe, the paper seeks to
demonstrate that the principles have global relevance.
2      BENEFITS OF NETWORKING TO POLICY MAKERS

       To consider the benefits of networking to policy makers, let us start at the top, in United
Kingdom terms, with a note from the Secretary of State of the Department of the Environment
to the Prime Minister in August 1993. This stated:

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162          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
      "We have done much to change the culture of (the civil service) in recent years. But
      there is one area where we need to do more. We need to encourage all Departments
      to be expert in their dealings with the rest of Europe.

      If we are to be at the heart of Europe we need to make this change of culture across
      the whole of Government. Every Department needs to keep in touch with the earliest
      stages of policy formulation affecting its business, long before the Commission
      puts forward proposals.  We also need to make sure that our officials  are trained
      and properly prepared to deal with Brussels."

       A short history of the Community will provide an explanation of why the United Kingdom
Department of the  Environment needs closer links with Brussels and our partners in the
European Union:
       In 1957 the Treaty of Rome  was signed establishing the European  Economic
Community. The essential objective of the Treaty was "the constant improvement of the living
and working conditions of the European peoples."
       No mention was made of environmental protection, but within a few years it was realized
that common standards were needed to protect consumersinorderto ensure the free circulation
of goods among the Member States. Hence the first environmentallegislationdealt with products
- dangerous chemicals, motor vehicles, and detergents. This legislation was based on Article
100 of the Treaty of Rome which dealt with the harmonization of laws in Member States "as
directly affecting the establishment and functioning of the Common  Market."
       The Treaty was amended in 1987 and the Amendment mentioned the environment. In
fact, it identified a linkage between environmental protection and the quality of life and introduced
a series of new Articles - 130r, 130s,  and 130t  - on  the goals, means and  procedures of
environmental protection. Most legislation under these Articles needed the unanimous approval
of the Environment Council; in other words, a Member State could  veto a proposal even if all
other countries were in favor.
       The next major step was taken in December  1991 with the signing of the Treaty of
Political Union in Maastricht. This requires that environmental concerns must be considered in
the formulation of all policies of the European Community, and it extends the application of a
"Cooperative procedure" to environmental legislation under Article  130r. This  means, in
essence,  that no single country can veto a proposal under this Article. (However, Member
States still have a veto in some  environmental areas.)
       The fact that most environmental legislation requires a cooperative procedure makes
a big difference to the way that the United Kingdom  deals with Europe. Without a veto, a
country can influence proposalsfor new legislationonly by gaining the support of other countries.
       The expansion of the Community in 1995, when Austria, Finland, and Sweden joined,
has meant that more countries need to be united to obtain a change in a proposal. So it is not
surprising in the post-Maastricht Europe that the Department of the Environment is forging
closer ties with similar Ministries in other countries.


3      BENEFITS OF NETWORKING TO REGULATORS

       What role, you may ask, do environmental regulators have in all this? Why does the
Environment Agency, for example, need to coordinate with organizations in other countries?
Again we shall recount some history:

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                                          SLATER, DAVID H. AND JAMES, ALUN W.  163
       The growth in environmental awareness from the original Treaty of Rome to
Maastricht has been mentioned above. This growth was matched by a proliferation of
environmental legislation  by the European Community throughout  the 1980s, over 200
environmental Directives and Regulations being adopted.
       But what happened to this new legislation after approval by Council and publication
in the Official Journal? Was it being enacted in all the Member States? How did different
countries go about the processes of transposing EC legislation, setting standards, issuing
permits for industrial process, implementing regulations, compliance checking, and
enforcement? Were there weaknesses in this regulatory chain?
       To answer these questions the Netherlands Ministry of Housing, Spatial Planning and
Environment embarked, in  1991, on a survey of organizations in each Member State involved
in the enforcementofenvironmentallegislation. The survey investigatedthe different procedures
for standard setting, permitting, compliance assessment and enforcement.
       The results of the survey and subsequent actions were reported at the Third International
Conference on Environmental Enforcement (ref. 1). In summary, the survey found inconsistencies
in a number of areas, for example:

       •  Administrative procedures.
       •  Permits required.
       •  Technical standards applied.
       •  Charges made  for permits.
       •  Public access to information.

       Some of these inconsistencies were thought likely to impose unequal burdens on
industry across the Community as well as unequal threats to the environment in different countries.
The survey results were presented, in October 1991, to an informal meeting of Environment
Ministers who agreed that

      "...  it would be desirable as a first step to establish a Network of representatives of
      relevant national authorities and the Commission in the field of enforcement,
      primarily aimed at the exchange of information and experience in the field of
      compliance and enforcement,  and at the development of common approaches at
      a practical level."

       At a meeting of the EC  Environment Council  on 12-13 December 1991 the United
Kingdom  offered to host the first meeting of the Network during its Presidency. This meeting
was held in Chester from 3-6 November 1992. Subsequent meetings of the Chester Network,
as it was then known, were  held in Copenhagen in May 1993 and at Steenokkerzeel (Belgium)
in December 1993.
       Some changes were agreed to in the terms of reference of the  Network at
Steenokkerzeel so as to incorporate certain requirements of the European Commission's
Fifth Action Program. The changes gave the Network a wider mandate for the application and
control of environmental legislation -focusing particularly on Community legislation, but also
addressing that of Member States. It was agreed that the Network would also seek ways to
ensure better implementation and enforcement by local and regional bodies, and that future
plenary sessions  would be jointly chaired  by the Commission and  the country holding the
'Presidency' of the European Union. At a subsequent meeting it was agreed that the modified
Network should  be known as the European Union Network for the Implementation  and
Enforcement of Environmental Law- the IMPEL Network.

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164          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
4       STATUS OF THE IMPEL NETWORK

        The IMPEL Network continues to provide opportunities for dialogue, at the European
Union and national level, between policy-makers, environment inspectors and enforcement
officers, allowing exchanges of ideas and experiences leading to the development of better
enforcement structures.
        During the past two years, plenary meetings have been held in Athens (May 1994),
Munich  (November 1994), Paris (June 1995) and Madrid (November 1995). These  have
considered broad issues  related  to implementation and enforcement and have provided
direction to four Working Groups and an ad-hoc Group.
        This period has seen the establishment and growth of the European Environment
Agency- one of the most exciting environmental initiatives of the European Union. The Director
of the Agency was invited to attend the Munich plenary and share his thoughts on the future role
of the EEA and its possible interaction with the IMPEL Network. In  his talk he foresaw the
following areas of cooperation:

        •  Exchange of information on monitoring techniques.
        •  Helping to influence policy makers.
        •  Development of best practices.
        •  Reports on control of transboundary effects.
        •  Technical aspects of permitting.
        •  Eco-audit experiences.
        •  Statistical systems.

        The Network looks forward to exploring these issues with the Agency. In addition, the
Agency has agreed that IMPEL members can make use of the wide-area computer network
that it is establishing across all Member States for the transfer of environmental data.
        Much of the work of the plenary sessions is devoted to the receipt of reports from the
various Working Groups, and to the identification of priorities for their future work. The progress
of these groups in the past two years can be summarized as follows:

4.1      Working Group 1: the technical aspects of permitting

        The Group has compared technical standards and pollution control technology for
various types of facilities in each of the Member States. As a result, it has proposed technical
guidelines which, though they have no official status, will provide useful guidance for regulatory
bodies.
        To date, the Group has looked at power plants, incinerators, refineries, and cement
and glass production. Future work will consider the production of steel, aluminum, ethylene,
varnishing compounds and chip board.
4.2     Working Group 2: on procedural and legal aspects of permitting

        This Working Group exchanges informationand compares experienceon the permitting
of industrial installations in the Member States. The discussions address specific pieces of
EC legislation, such as Directives on large combustion plants, incinerators, or refineries, and
horizontal issues, such as the cross-media assessment of the environmental impact of industries.

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                                          SLATER, DAVID H. AND JAMES, ALUN W.  165
        The group also examines the application of EC legislation in Member States and
the practical aspects of the regulatory process.

4.3     Working Group 3: on compliance assessment and inspection

        This Group has done a comparison of the inspection and enforcement arrangements
in all the Member States. A report on its findings is  being produced which will outline the
legislation, organizations and the mechanisms for inspection,  monitoring and enforcement
and will include statistics on complaints, inspection visits and enforcement actions.
        One of the Group's future tasks will be to examine the question of self-monitoring by
industry.

4.4     Working Group 4:  on management of  the regulatory process

        One of the Group's key activities has been to set up exchange programs for inspectors
to provide an in-depth understanding of the regulatory systems in each country. Four- or five-
day exchanges have been hosted by the Netherlands, Denmark, Germany, France, the United
Kingdom and Austria at which 30 or more inspectors from all Member States have participated.
Other countries will be taking turns to hold such "exchange weeks". Besides the knowledge
gained through the discussions on legislation and through site visits, the contacts established
during these programs  greatly facilitate the future exchange of information between
inspectorates.
        Working Group 4 is  also preparing 'skills and management' manuals for inspectors
covering both the regulatory process and facility inspections.

4.5     Coordinators

        In addition to the plenary sessions and the working groups, members of the IMPEL
Network have established National or Regional Coordinators. These have an important role in
the dissemination of information relevant to the Network among and within Member States.
5       UNITED KINGDOM EXCHANGE WEEK

        At this point it may be worthwhile to expand upon the subject of exchange programs
and briefly recount the experience of the United Kingdom in hosting one of these weeks in
October 1995.
        The main aim which the organizers of the United Kingdom program set themselves
was to persuade other countries in the practical benefits of Integrated Pollution Control. To
achieve this aim, a program of lectures, working groups, and visits to industries in the Teesside
area in the North East of England was arranged.

        Each day had a specific theme:

        Monday       - Principles and Legislation of Integrated Pollution
                        Control(IPC).
        Tuesday       - Practical Application of IPC  Principles and Legislation.
        Wednesday    - Links between IPC and other regulatory instruments.
        Thursday      - Examples of practical successes of IPC.

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       Two inspectors were invited from each Member State and also from Poland, Hungary
and Romania.  In addition, an inspector from Gambia, who was on a training mission with
HMIP at the time, was able to attend. To give participants a chance to become familiar with
the industries,  copies of the permits were sent to them prior to the exchange week.
       Small  groups of 5 or 6 participants were established, each with a United Kingdom
inspector as guide. These groups remained together throughout the week.
       First thing in the morning following visits to industrial sites, syndicate groups met to
discuss the authorization process and inspection practice they had seen the day before, and
compare notes on how things were done in different countries. A plenary session would follow
with presentations on the regulatory system in the United Kingdom. Then, before lunch the
syndicate groups would meet again to look ahead to the afternoon's site visit. During these
sessions, the  United Kingdom  inspector  would draw attention to various aspects of the
authorization for the industrial process to be visited.
       The feedback from the syndicate groups was very positive, the small size being
particularly welcomed as this facilitated the exchange of information among the participants
and enabled them to question industrial staff whom they met during site visits. The Intimacy
generated within the groups also encouraged openness with the guide inspector, and frank
discussions of how similar problems would be resolved in different countries. Another benefit
of the week for the United Kingdom was the enthusiasm generated in the guide inspectors to
learn more about regulatory processes in other countries. Of course, thanks to the exchange
week, they now know friendly contacts in these countries.
6       AD-HOC WORKING GROUP ONTHETRANSBOUNDARY SHIPMENT OF
        HAZARDOUSWASTE

        Returning to the Working Groups of the IMPEL Network, there is one other that we
have not mentioned - the Ad-hoc Working Group on the transboundary shipment of hazardous
waste.
        This Group was initially set up to carry out a project, now referred to as the first
Transboundary Shipment Project, or TFS-1. In this, five countries came together to examine
the international shipments of solvents and paint wastes from 28 companies. The countries
were Belgium, Germany, Luxembourg, the Netherlands and the United Kingdom; Italy became
a sixth participant halfway through. The project identified a number of illegalities, such as the
unauthorized completion of shipment papers to indicate that containers had been inspected
when, in fact, they had not. At least one of these infringements of regulation led to prosecution.
        In view of the findings of TFS-1, an expanded project, TFS-2, was set up involving
more waste streams and more countries. This has been a resounding success. It has:

        •  Agreed standard procedures for use by regulators for the inspection and
          identification of trans-frontier waste shipments.
        •  Coordinated an international waste transport check in which over 4000
          lorries in 9 countries were stopped and inspected in a single week in June
          1995.
        •  Established working practices with national and international police
          forces.
        •  Set up a task force to formulate proposals for the practical implementation
          of financial guarantees.

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                                          SLATER, DAVID H. AND JAMES, ALUN W.  167
       •  Investigated the options for electronic data exchange so as to facilitate
          faster and more effective information transfer between waste regulators in
          different countries.
       •  Arranged bilateral cooperation on issues such as the pseudo treatment of
          wastes.
       •  Made proposals to the European Commission for the establishment of a
          permanent technical officer forum to coordinate information exchange.

       Discussionsare being held between policy makers of Member States and the European
Commission to establish a means for continuing the work of the two TFS projects.
7       PROBLEMS

        Without doubt, the IMPEL Network has been a great success, but it can be improved:

          The Plenary sessions need to define the objectives of the Network more
          clearly and provide a better steer for the Working Groups. There must also
          be a smoother continuity between succeeding meetings.
          As for the Working Groups, some have found it difficult to get some
          countries to take part; the main problem being lack of funds. Collaboration
          among the different Groups could be improved and a concerted effort is
          needed to publish the reports they produce.
          The National Coordinators also face problems. Their work in disseminating
          information within each Member State is fundamental to the value of the
          Network in terms of improving the professionalism of inspectorates. But
          this can be very time consuming and, as ever, resources are tight.

        The Member States and the European Commission are working together on plans to
improve the Network, particularly in the light of the Commission's intention to prepare, in 1996,
a Communication to the Council of Ministers on the implementation  and enforcement of
Community environmental legislation. This work may redefine the overall context in which IMPEL
operates and necessitate a restructuring of the Network. For example, until now the Network
has focused on legislation linked to industrial facilities but it is recognized that, in due course,
the range of activities could be extended.
        In the mean time one small, but important, change has been agreed upon: the creation
of a small secretariat to improve continuity between meetings and to ensure better coordination
among Network members.
8      CONCLUSIONS

       The paper has identified one of the reasons why the United Kingdom Department of
the Environment needs to be involved in discussions in the European Community; that is, to
influence policy and legislation at the initial development stages. The Community is unique in
having supra-national authority, but we would argue that  the same principle  holds in all

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168          FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
international fora to do with the environment-governments of as many countries as possible
should be involved from the very beginning  in the drafting of international protocols,
conventions, standards, etc.
        If we in the United Kingdom fail to influence the drafting of European policies, and
proposals are put forward which are contrary to our national opinion, we now have two choices
- accept it, or work with other Member States to bring about changes. No longer do we or any
Member State have a veto on most environmental matters. Working with other countries
inevitably requires compromise, but that can lead to a greater common good.
        The same is true for regions other than Europe: agreeing a common position among
different countries helps to ensure that the world  community takes account of this position.
        When we addressed the practical aspects of compliance and enforcement in the
European Union, we mentioned the benefits that European Inspectorates have gained from
the IMPEL Network - it provides a forum for the exchange of ideas with other inspectorates
and enables all to learn  from each others' experiences.  The resulting  improvement in
professionalism helps achieve consistency in the application of environmental legislation, which
is good for the environment and provides a level  playing field for our industries.
        The same argument can be made for countries worldwide. There is much that we can
all learn from each other, whether it be through bilaterals or through multi-national networks.
The EnvironmentAgencies in the United Kingdom are keen to play a full part in such interactions,
within and outside Europe.
        Even though the IMPEL Network has been very effective, this paper has referred to
the need for improvements. This same need applies to all international networks - they must be
able to develop, to meet new requirements while maintaining the basic principles of cooperation
and exchange. And, of course, while fostering informal contacts between members; we are
convinced that this is one of the greatest benefits, and pleasures, of international networking.
        REFERENCE

1.   Volume 1 of the Proceedings of the Third International Conference on Environmental
    Enforcement, April 25-28,1994, Oaxaca, Mexico, p 323: "The European Union
    Network of Environmental Enforcement Authorities"; D. Slater

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                                                  CORDERO, PATRICIA MADRIGAL  169
ENFORCEMENT AND COMPLIANCE PROGRAMS IN CENTRAL AMERICA

CORDERO, PATRICIA MADRIGAL

Parliamentary and Constitutional Court Advisor, Environmental Law Consultants
P.O. Box 20-1017 San Jose 2000, San Jose, Costa Rica


       SUMMARY

       This paper provides an overview of environmental legislation in Central America.
Regional legal instruments have been developed and have gone into effect at the initiative of the
Central American Commission on Environment and Development (Comisibn Centroamericana
de Ambiente y Desarrollo) including Central American Agreements on biodiversity and protected
areas, forestry resources, climatic change, and dangerous waste. More recently a political
proposal has been made for an Alliance for Sustainable Development (Alianza para el Desarrollo
Sostenible).
       An incipient juridical framework exists at the national level. There are constitutional
grounds for environmental protection. There are important gaps in the development of juridical
instruments, especially regarding environmental sanitation matters; at present, the main challenge
is the imposition of quality standards. In other cases, such as forestry resources, an effort has
been made to promote an administrative organization with its corresponding procedures, but
real results in the reduction of the deforestation rates have not been achieved.
       The general conclusion is that environmental legislation in Central America is very weakly
applied and has  low compliance.
       Four main obstacles to the  actions that are needed to overcome this problem were
deduced from legal advice given over the last two years to the Wildlife Program for Central
America (Programa de Vida Silvestre), in the Regional Office for Mesoamerica (Oficina Regional
para Mesoamerica), of the World Conservation Union, which are:

       •  The absence of institutional conditions that assure a Rule of Law.
       •  The growing poverty in the region.
       •  The scarce participation in the elaboration of juridical instruments.
       •  The weakening of the State.


1      REGIONAL ENVIRONMENTAL  LAW
1.1     Central America environmental integration process

        The Central American Integration Process continues its development and consolidation.
It was organized and executed by the Central American Integration System. The Tegucigalpa
Protocol instituted it and included among its objectives:

      To establish concerted actions directed to preservation of the environment through
      respect and harmony with nature, ensuring a balanced development and rational
      exploitation of the region's natural resources, with the perspective to establish a New
      Ecological Order in the region."

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        The system now has four clearly identified sectors:

        •  Economical Sector: Economical Integration System.
        •  Social Sector: Social Integration Commission.
        •  Educational and Cultural Sector: Educational and Cultural Commission.
        •  Environmental Sector: Central American Commission for Environment and
          Development.

        The Central American Commission for Environment and Development has become
the focal point for the development of action plans and strategies in the region, as well as the
implementation of agreements concluded during periodic high-level political meeting, the "Central
American Presidential Summits."
        The Commission is formed by the leaders of the institutions responsible for the
management of natural resources and the environment in each Central American country. The
treaty setting up this body has been ratified by all regional states. The Protocol of San Salvador
included the participation of Panama and Belize as formal members.
        The Central American Commission for Environment and  Development guided the
preparation of the "Environmental and Development Central American Agenda", submitted at
the United Nations Conference on Environment and Development. A major theme of this agenda
is the development of regional legal instruments based on principles set out in the conventions
signed at Rio.
        This fact has produced the development of the international environmental law in Central
America via regional conventions, by now in four areas:

        •  Biodiversity and the protection of prime wilderness areas.
        •  Management and conservation of forest natural ecosystems and the
          development of forestry plantations.
        •  Transboundary hazardous wastes.
        •  Climatic change.

        This regional framework would aim to harmonize national regulations bearing on natural
resources and the environment and promote sustainable development at national level, while
maintaining common regional elements.

1.2     Central American environmental conventions

1.2.1    Convention on the conservation biodiversity  and  the  protection of prime
        wilderness areas  in Central America

        Virtually simultaneously with United Nations Conference on Environment and
Development, an "Convention on the Conservation Biodiversity and the Protection of Prime
Wilderness Areas in Central America" was signed during the Presidential Summit in Managua,
June 5,1992. Its objective is the conservation of terrestrial and marine-coastal biological diversity.
To further this purpose, it calls for the establishment and strengthening of eleven protected areas
between two or more countries. It creates a Central American Council  of Protected Areas to
coordinate regional  efforts to harmonize policies regarding the regional system of protected
areas. As a mechanism for monitoring compliance with the Convention, the Central American
Commission for Environment and Development, based on information obtained from national
authorities, is called upon to submit annual reports to the Presidential Summit.

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                                                   CORDERO, PATRICIA MADRIGAL   171
1.2.2   Convention on transboundary movement of hazardous wastes in the Central
       American region.

       Following the United Nations Conference on Environment and Development, at the
Presidential Summit held in December 1992, in Panama, the "Convention on Transboundary
Movement of Hazardous Wastes in the Central American Region" was signed. "Hazardous waste"
is defined by categories established in Annex I, and by characteristics listed in Annex II. Annex III
lists activities with hazardous waste disposal. The Agreement declared the importation of
hazardous waste an illegal and criminal act, subjecting it to sanctions pursuant to the national
law. These  regional agreements are open for membership by the Mesoamerican states. A
reflection, in part, of the fact that Mexico participates as an observer in the Central American
Commission for Environment and Development.

1.2.3   Central  American agreement on climatic change

       During the meeting of the Foreign Relations Ministers, in Guatemala City on the October
29th, 1993, the " Convention on Climatic Change" was signed by the following countries:
Guatemala, El Salvador, Honduras, Nicaragua, Costa Rica and Panama.
       It is based on the "United Nations Convention on Climatic Change", but its approach to
this global problem intends to  be from a Central American perspective. Its objective is the
protection of the climatic system to insure food production and continuous economic development.
It defines "climatic system", as the atmosphere, hydrosphere, biosphere lithosphere and their
interactions as a whole.
       The Convention contains general  mandates. Many of the articles are declarations of
principle, such as the necessity to maintain the climactic conditions for the conservation of the
natural resources. It does not establish specific guidelines nor does it specify parameters. It
reiterates the sovereignty of each countries' use of its natural resources, but only if these activities
are not detrimental to the global climate. It promotes the evaluation of gas emanations which
produce the greenhouse effect, the rational use of soils  and watersheds, and sustainable
agriculture that will not conflict with the conservation of the environment.
       Emphasis is placed on scientific investigation. For example, learning the factors that
regulate the climate, as well as strengthening the Meteorological and Hydro-meteorological
Services.
       Following the trend of preceding Regional Conventions, the executive agency is the
Central American Commission for Environment and Development. The Regional Committee of
Hydraulic Resources and Meteorological Services provides technical assistance to the
Commission. They are in charge of elaborating an Action Plan for 1993-2005.
       The Convention created the Central American Council on Climactic Change  and is
integrated by the Directors of the Meteorological Services; it purpose is the coordination of
policies at the national level as an associate agency to the Central American Commission for
Environment and Development. It becomes effective when at least four members ratify it, whereas
preceding Regional Agreements required ratification by three signatories.

1.2.4   "Regional convention for  the management  and  conservation of forest
       natural ecosystems and the development of  forestry plantations"

       The "Regional Convention for the management and conservation of forest natural
ecosystems and the development of forestry plantations", was signed during the meeting of
Foreign Relations Ministers, on October 29,1993, and was later approved by the Presidents'
Summit. It contains a regional framework for the management and conservation of natural forest
ecosystems and the development of forestry plantations. Its objective is to avoid a change in the

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use of land in forested areas and to recover those areas  that have been deforested. This
agreement is very interesting because it offers a set of principles that will guide institutional,
judicial, and financial policies in pursuit of its objective.
        It proposes the consolidation of a National and Regional System for Protected Wildlife
Areas, the rehabilitation of degraded forests, forestry management of primary natural forests,
reforestation programs, and the maintenance of inventories.
        Regarding financial aspects it recommends the creation of specific funds, reinvesting
mechanisms, credit assistance, important international cooperation and a modification to the
National Accounts System to include depletion of the natural resources when calculating the
Gross National Product.
        It includes a chapter on public participation, where it recognizes the necessity to respect
cultural diversity: indigenous population, communities, women, non-governmental organizations,
and industrial sectors.
        At the institutional level it recommends the strengthening of National Forestry Action
Plans, the creation of Environmental Ombudsmen  and  obligatory  Environmental  Impact
Assessment.  The reason for this is that no legal framework for environmental impact studies
existed in  Central America until very recently. Consequently the institutional capacity for their
reception, analysis and approval has been insufficient. This is an area that recently has begun to
develop. In Panama there is draft legislation, in Honduras the General Environment Law takes it
into consideration. In Costa Rica it began fifteen years ago as a requisite for mining activities;
this requirement has now been extended to other activities.
        The Central American Forests Council is created, integrated by the Directors  of Forestry
Services from each country and national coordinators of the National Tropical Forestry Action
Plans. It will come into effect once it has been ratified by three signatories.
        The major concerns at the moment is to stop the change in the use of land in forested
areas, which constitute 60% of Central American territory.  Currently deforestation is one of the
major environmental problems in the region. This is a consequence of inadequate management
of other sectors, a lack of territorial order, the process of  colonization and inefficient forestry
management systems. For this reason the legal regulation of forestry resources, in an effort to
conserve and restore them, is a common theme in the countries of the area. All Central American
countries are  reviewing and modifying their forestry legislation. Honduras and Panama have
already proclaimed new dictates in this aspect. Guatemala, Costa Rica and El Salvador have
defined forestry policies, which provide a referential framework for forestry activity for the next
five years. Here the State assumes a regulatory and supervisory role and the non-governmental
sector is the executor.
        These facts reflect that for the first time in the forestry sector, the policies and  legislation
of each country are trying to respond to the requirements established in the Diagnostics of the
Forestry Situation.
        In 1995, the Central American Council of the Protected Areas created by the "Convention
on the Conservation  Biodiversity and the Protection of Prime Wilderness Areas in Central
America" and the Central American Council on Forests, constituted by the "Regional Convention
for the management and conservation of forest natural ecosystems and the development of
forestry plantations", merged into one body, with one Executive Secretary, in order to coordinate
actions and to strengthen them.
        As observers a few regional organizations were  also incorporated, which represent
different sectors of the civil society such as: women and development, indigenous-farmers of
community forestry, forestry producers,  local governments, forest professionals, Parliament
Commissions for environment and development, regional members of World Conservation Union
(CR/ONG's).

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1.3     Central American environmental policy

        On 12 October 1994, the Presidents of Central America Panama and Belize, met in
Managua, Nicaragua, to  hold the "Central America Ecological Summit for Sustainable
Development". At this summit they adopted a holistic strategy for sustainable development in
the region, called the Alliance for Sustainable Development.
        This Declaration includes a definition of Sustainable Development which takes into
account the characteristics of the Central American region, the principles in which this strategy
in based, the requirements to allow it to happen, the objectives, and the tools.
        Sustainable Development is defined as: "a process of gradual change in the quality of
life of people that sees them as the center and the pivotal subject of development. This should be
achieved through economic growth with social justice and through the transformation of the means
of production and consumption patterns, based on the region's ecological equilibrium and vital
support. This process implies the respect for regional  ethnic and cultural diversity, at both the
national and local levels. It also requires the strengthening and full participation of their citizens,
in peaceful coexistence and in harmony with nature, without detriment to, and assuring the quality
of life of future generations."
        The guiding principles were defined as:

        •  A respect for life in all its expressions.
        •  The improvement of the quality of human life.
        •  The respect for, and sustainable use of, the lands, vitality and diversity.
        •  The promotion of peace and democracy as basic forms of human
          coexistence.
        •  The respect for the region's cultural pluralism and ethnic diversity.
        •  The attainment of greater degrees  of economic  integration among the
          countries in the region, and of these with the rest of the world.
        •  The intergenerational responsibility for sustainable development.

        The bases on which it is grounded are:

        •  Democracy.
        •  Socio-cultural development.
        •  Sustainable economic development.
        •  Sustainable management of the natural resources and improvement of the
          environmental quality.

        The strategy promotes the establishment  of National Councils for Sustainable
Development, as instruments of implementation. These will be with participation by the public
and private sectors, and by the Central American Council for Sustainable Development, which
is composed of the Central American Presidents and the Prime Minister of Belize.
        The Alliance document includes an Annex, where the specific objectives by areas are:
political, economic, social and environmental. In the latter, clear statements are included regarding
to the need to harmonize and modernize the environmental parameters, the laws and the national
entities that are in charge.  The need to strengthen the capacity to regulate, supervise and apply
the environmental norms is also underlined, as well as the need to typify the environmental offenses.
        On this occasion, at the foot of the Masaya volcano, another document was signed,
known as "The Masaya Volcano Commitments," with the official title of "Commitments Regarding
the Environment and Natural Resources. Masaya Volcano, Nicaragua."

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        These commitments try to set up concrete actions, with well defined and stringent
timetables, for the implementation of the Alliance for Sustainable Development.

1.4     Convenio  entre Centroamerica y Estados Unidos de  America (agreement
        between Central America and the United States of  America)

        During the Summit of the Americas, the Convenio entre Centroamerica y Estados
Unidos de America declaration was signed. This was the only document added to the Declaration
of Principles and the Plan of Action. Thus, the United States of America became the first partner,
from outside the region, in the Alliance for Sustainable Development. The Agreement defines a
Plan of Action that establishes the individual responsibilities of each one of the governments of
the United States and those of the Central America countries.

1.4.1   Plan of  action

        In this Plan of Action the following elements are included:

        •  Conservation of Biodiversity: identification, preservation, and sustainable
          use of the unique biodiversity in the region.
        •  Energy: promotion of a clean and efficient use of energy.
        •  Environmental Legislation: strengthening of the legal and  institutional
          frameworks of the instruments for implementation, and the improvement
          and harmonization of the environmental protection norms.
        •  Sustainable Economic Development.

        In addition to the specific components of its  Plan of  Action, Convenio entre
Centroamerica y Estados Unidos de America also voices general support for the implementation
of the Alliance for Sustainable Development.

1.4.2   Legislation

        Environmental legislation has seen a strong thrust in the region. The national initiatives
are taking shape within a Central American framework. The development perspectives found in
regional and national  legal instruments can  be  read as  summaries of the main elements
incorporated into the previously mentioned documents. The following perspectives are worth
mentioning:

        •  The participation of civil society, including native communities, indigenous
          groups and other groups at the fringe of society, in the  environmental
          decisions.
        •  The evaluation of environmental impact, with the definition of principles,
          minimum content, methodology, provision of consulting services, venues
          for consultation of civil society, and others.
        •  The management of natural resources:

           a) Forestry Resources
        Requirements and procedures are established for management plans, certification of
timber-yielding products from sustainable forests, plans for the prevention of, fight against, forest
fires, participation by municipalities and local authorities in the administration.
           b) Biological Diversity

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        The conservation of this resource and the specific actions for this purpose are becoming
an ever increasing relevance in the region. Since the signing of the Agreement on the Conservation
of Biodiversity and the Protection of Prime Wilderness Areas in Central America, in June 1992,
some Regional Projects have taken shape. These are the Central American Biological Corridor,
which is a  linkage of protected areas for the  conservation  and  migration of species; the
establishment of Centers of Biodiversity and Botanical Gardens; and the preparation of a Central
American list of endangered species of wild flora and fauna.
        In addition to these specific proposals,  a space is being opened up for a more holistic
proposal for conservation of the biological diversity. Proof of this is found in the agreements
reached during the first week of February 1995, in Panama  City, by the Interparliamentary
Commission on Environment and Development.
        It is acknowledged in them that, to fulfill what was approved in the Convention on
Biological Diversity, the countries need to define Strategies and Plans of Action on Biodiversity.
This must happen at both the national and regional levels, in order to evaluate this resource, and
should include inventories, and knowledge and  participation of civil society.
        For this reason this Commission supports a diagnosis and proposals for a legal and
policy framework that strengthen the conservation of biodiversity. Some of the recommended
orientations include the exercise of sovereignty  on Biological Diversity by the Central American
States, the establishment of the intellectual property rights of over natural and cultural resources,
and the right of access to information and technological transfer.

           c) Hydrographic Basins
        Policies and laws on the management and conservation of water resources are included,
as well as studies on hydrographic basins.

        •   Instruments of territorial ordering to unify the classification of lands, and to
           set up strategies for the protection and recuperation of depleted soils.

           a) Energy.
           b) Central American energy policies and a master plan are included.
           c) Transportation.
           d) Control and prevention of water,  air, and land pollution.

        This section includes a plan for the elimination of lead in gasoline; regulations to control
air pollution by mobile sources; regulations to monitor and control water, air, land,  noise, and
visual pollution.

1.5     Conclusion on legislation

        A consensus has been development in Central America regarding the urgent need to
strengthen the implementation of the environmental legislation, both at an international and national
levels. For this reason all the documents contain, as a political commitment, the ratification of
Regional and International Agreements on the environment and natural resources, and the
development of the institutional capacity to make their implementation possible.
        At the regional level environmental protection has been advancing rapidly. However,
implementation of these advances within the national legal framework, has been at a much
slower pace. In particular, the institutional response has also been slow reflecting the fact that
national bureaucracies are significantly less enthusiastic about regional integration than political
leaders.

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        We have witnessed a great effort to include the environmental concerns within the
political agenda. What used to be a dream is now a fact, and we can observe it in each of the
Declarations of the Presidential Summits. However, there has not been an improvement of the
quality of life for people in Central America, where poverty has been increasing. Now, and
hereafter, an additional effort is required to include the environmental aspects in the economic
development model and make it become part of the concerns of the productive sectors; which
seems the best way to improve the enforcement of and compliance with environmental law.
2       ENVIRONMENTAL LAW IN CENTRAL AMERICA

2.1     History

        The history of environmental law as a Western legal concept in Central America stems
from Civil Code, enacted in all Central American countries in the nineteenth century. Early cases
decided under that Code include cases pertaining to hunting, fishing and forest resources, all of
which were viewed as part of the property where they were found. Water resources, always of
great value for community development, began to be regulated in the first-half of this century.
Forest resources began to acquire value and importance in the second-half of this century. Given
their strategic value, both mineral resources and the coastal zone have been declared to be in
the public domain under the constitutions of the Central American countries.
        The defining characteristic of the first stage of environmental law in Central America is
compartmentalization. In this stage, the law has not taken into account that nature is composed
of interrelated ecosystems, requiring integrated global regulation to preserve the environment
as a whole. This systematic view is a product of the last twenty years, and has not yet developed
sufficiently in  Central America. Democratic states typically adopt legislation in response to
established problems, resulting in uncoordinated regulation that mitigates rather than solves the
underlying problems.
        The second stage of environmental law in Central America is characterized by an effort
to classify and systematize existing environmental law, revealing gaps in the law, overlapping
institutional jurisdictions, conflicts of law, etc. Efforts to systematize the environmental laws have
been underway for approximately the last seven years. Unfortunately, many of these efforts have
been isolated  projects, not undertaken in any coordinated fashion.
        The current stage of environmental law development is characterized by a legislative
effort to integrate and amplify existing law. In 1993, for example, Honduras approved a "General
Environmental Law" which recognized the most advanced principles in the field. The legislatures
of El Salvador, Nicaragua, Costa Rica and Panama are currently discussing proposed general
environmental laws. This legislative effort to establish comprehensive environmental regulation,
balancing conservation and development, to reorganize the administrative structure and to
strengthen the means of enforcement of the law, sets new horizons for environmental law in the
region.
        Additionally, while legal scholarship has traditionally remained somewhat outside of the
developments in environmental thinking, there are now a number of lawyers who have formed
non-governmental organizations in each of the Central American  countries, all seeking to assist
in the enforcement of environmental law.

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2.2     Constitutional treatment

        All Central American countries, with the exception of Costa Rica, amended their
Constitutions during the 1980's to specify the obligations of the State with respect to protection
of the environment. Costa Rica finally amended its Constitution in 1994. The treatment of this
issue in the various Constitutions is not identical, but the following general trends can be deduced:

        •  They tend toward the recognition of the right to enjoy a healthy environment
          as a human right (with greatest clarity in Panama, Nicaragua and Costa
          Rica).
        •  There is a significant controversy concerning the conceptual parameters of
          this human right, a subject of great importance, not only academically, but
          also practically,  in order to define the bases on which this right can be
          exercised.
        •  They recognize that production and development must be based on rational
          use of natural resources and environmental conservation.
        •  They contain a declaration that the following resources are in the public
          domain: waters,  coastal zone, continental shelf, air space, subsoil, and
          nonrenewable resources (hydrocarbons and minerals).

        The Constitution of Nicaragua has the broadest sweep, declaring all natural resources
to be the "national heritage."
        The most sensitive subject is the protection and exercise of the human right to a healthy
environment in the context of other equally well established human rights, such as the right to
private property, and the right to free enterprise. This balance of individual and social rights is a
daily struggle, framed not only by the applicable constitutional provisions, but also by the value
accorded the individual in each society.

2.2.1   Guatemala1

        The Political Constitution of the Republic of Guatemala, in Title II, "Human Rights," Chapter
II, "Social Rights," contains two important references consistent with the trends noted above.

        Article 64 (Natural Patrimony), Second Section (Culture) states as follows:

        The conservation, protection and improvement of the natural patrimony is declared
        to be in the national interest. The State is responsible for the creation of national
        parks, reserves and natural refuges, which are inalienable. The law is to guarantee
        their protection and that of the flora and fauna which exist in them.

        The Tenth Section (Economic and Social Regime) of Article 64 contains the following
Articles that refer to the Public Domain of the State: Article 121 (Property of the State), Article
122  (Territorial Reserves of the State), Article 125 (Exploitation of Nonrenewable Resources),
Article 126 (Reforestation), Article 127 (Regime of Waters), Article 128 (Use of Waters, Lakes
and Rivers).

2.2.2   Panama2

        The Political Constitution of Panama is  the only Constitution in Central America that
contains an independent, complete, chapter on the "Ecological Regime," contained within Title III
"Individual and Social Rights and Responsibilities." It provides as follows:

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        Article 114:

        It is a fundamental obligation of the State to ensure that the population lives in a
        healthy environment, free of contamination, in which the air, water, and foodstuffs,
        satisfy the requirements for the adequate development of human life.


        Article 115:

        The State and all of the inhabitants of the national territory are responsible for social
        and economic development that prevents the contamination of the environment,
        maintains the ecological balance, and avoids the destruction of ecosystems.


        Article 116:

        The State will regulate, enforce and apply in a timely fashion those measures
        necessary to guarantee that the use of the flora and fauna of the land, rivers and
        seas, the forests, land and waters, is carried out in such a way that precludes their
        depredation and assures their preservation, restoration and continued existence.


        Article 117:

        The law is to regulate the use of nonrenewable natural resources, with the goal of
        avoiding social, economic and environmental  damage.

        Moreover, the Constitution of Panama is the only Constitution in Central America that
specifically addresses the prevention and control of environmental pollution. All other countries
focus exclusively on the protection of natural resources.
        Title IX, The Public Treasury, Chapter 1, "Property and Rights of the State," identifies
the property of the State as follows: mineral resources, salt mines, mines, subterranean and
geothermal waters, hydrocarbons, quarries and springs (Article 254); territorial waters, flowing
and standing waters, their shores and banks, navigable waters, ports, deltas, air space and the
continental shelf (Article 255).
        Chapter 1 also includes an interesting provision not found in any other Constitution in
Central America. This provision leaves open the possibility of the creation of additional public
property by action of law, stating that, "in all cases in which private property is converted to public
use, the owner of the property shall be compensated."

2.2.3   Costa Rica3

        In 1994, Article 50 of the Political Constitution  of Costa Rica was amended to establish
the right to a healthy and ecologically balanced environment as a human right, as follows:

        The State will ensure the overall well being of all inhabitants of the country, organizing
        and stimulating production and an adequate distribution of wealth.

        Each person has the right to a healthy and ecologically balanced environment, and
        is empowered to denounce acts which infringe on this right and to recover damages
        for the harm done.

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                                                     CORDERO, PATRICIA MADRIGAL   179
        The State will guarantee, defend and preserve this right. The law will determine the
        responsibilities and the corresponding sanctions.

        Prior to this amendment, the Constitutional Chamber of the Supreme Court of Costa
Rica had already stated that this was a fundamental right, relying on other constitutional provisions,
such as Article 21 which establishes the right to life and Article 89 which establishes as a cultural
goal the protection of natural beauty.
        Article 121 prohibits the State from relinquishing public control of hydroelectric resources,
based on the nationalization  of these resources which occurred prior to the drafting of the
Constitution in 1949. Deposits of coal, oil, other hydrocarbons and radioactive minerals as treated
in like manner.
        Article 6, concerning territorial limits and sovereignty, creates a 200-mile zone of
territorial waters, with the aim of protecting and conserving the natural resources of this zone,
and ensuring Costa Rica's exclusive use of them.

2.2.4   El Salvador4

        The Political Constitution of El Salvador sets out the following in Article 117, concerning
the public's interest in natural resources, Title V, "Economic Order":

        The protection, restoration, development and use of natural resources is declared
        to be a public interest. The State will create the economic incentives and provide
        the technical assistance necessary for the development of adequate programs.
        The protection, conservation and improvement of natural resources will be the
        subject of special legislation.

        Although there is no express reference to environmental rights in Title II, "Fundamental
Rights and Guarantees of the Person," this provision does establish, as part of the right to public
health and social assistance, the obligation of the State to control environmental conditions that
can affect health and well-being. (Article 69)
        The public domain  is identified in several different articles. Article 103 establishes that
the subsoil is property of the State and that the State may grant concessions for its exploitation.
Article 84 establishes that  the territory over which El Salvador exercises sovereignty  and
jurisdiction includes the territorial waters, air space, subsoil, continental shelf and the seas,
seabed and subsoil up to 200 miles from the low tide line.

2.2.5   Nicaragua5

        The Political Constitution of Nicaragua includes the right to a healthy environment as a
human right. Title IV, "Rights, Obligations and Guarantees of the Nicaraguan People," Chapter III,
"Social Rights," Article 60 states:

        Nicaraguans have the right to live in a healthy  environment. It is the obligation of the
        State to ensure the preservation, conservation and remediation of the environment
        and of the natural resources.

        Moreover, Title VI, "National Economy, Agrarian Reform and Public Finances," Chapter
I, "National Economy," Article 102 establishes that,

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        Natural resources are part of the national heritage. The preservation of the
        environment and the conservation, development and rational exploitation of them
        are the responsibility of the State, which may enter into contracts for their rational
        exploitation when the national interest so requires.

        Law  192, a partial reform  of the Constitution passed in 1995 which precipitated a
constitutional crisis in Nicaragua based on its rejection of the executive power, did not change
any of the foregoing provisions concerning the environment.

2.2.6   Honduras

        In the Political Constitution of Honduras, the basic obligation of the State to conserve
natural resources is located in the provisions pertaining to the economic regime. Nevertheless,
in Title III, "Regarding Declarations, Rights and Guarantees," Chapter VII, "Regarding Health,"
Article 145 states: "The State will conserve the environment adequately to protect human health."
        Title  VI, "Regarding the Economic Regime," Chapter I, "Regarding the Economic
System," Article 340 states:

        The technical and rational exploitation of the natural resources of the nation are
        declared to be of public utility and necessity. The State will regulate their use
        according to the public interest and will establish the conditions under which they
        may  be granted to the citizens. Reforestation of the country and the conservation of
        the forests is declared to be of national convenience and collective interest.

2.3.    Jurisprudence

2.3.1.  Citizen  rights and  enforcement authorities

        A practical consequence of the recognition of the right to a healthy and ecologically
balanced environment as a human right is the procedural use of the established instruments for
the protection of the constitutional right.
        The Constitutional Chamber of the Costa Rican Supreme Court has been able to develop
a substantial jurisprudence concerning the protection of the environment through the issuance of
constitutional injunctions, issuing opinions concerning a wide variety of subjects related to the
environment. In fact, the Constitutional Chamber had already recognized the right to a healthy
and ecologically balanced environment as a human right before the Constitutional amendment
expressly so stating was actually passed. In order to recognize this right, the Court relied on the
relationships  between various existing constitutional provisions as set out in the following
paragraphs:

        "Human life is inviolate." This is the constitutional principle from which arises the
        undeniable right to health, physical, mental and social well-being, human rights
        which are  inalienably tied to the right to health and the obligation of the State to
        protect human life.

        Moreover, from a psychological and intellectual point of view, the emotional state is
        also  dependent on nature. Therefore, given the value of the countryside as a place
        for rest and leisure, it is the obligation of the State to preserve it.

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        Additionally, the Court has interpreted the concept of standing in Article 50 to include a
private right of action for any citizen seeking to use established legal  means to protect the
environment, as paraphrased below:

        With respect to the environmental right, the traditional narrow conception of legal
        rights must be abandoned. The right must be understood as universal, belonging
        to all people, rather than arising from limited notions of property ownership, rights
        or concrete actions that can be exercised under conventional rules of law. A legal
        action under this right can accordingly be described as an action in the "diffuse
        interest" (public interest). Therefore, all members of the public equally affected by
        any particular environmental wrong are empowered to bring an action to remedy
        that wrong.

        The Supreme Court of Panama also issued an important opinion in 1994 establishing
jurisprudence concerning the "diffuse interest." In that opinion, the Court recognized the standing
of the National Association for the Conservation of Nature, a non-governmental organization, as
a party which could oppose a logging permit. The National Association for the Conservation of
Nature presented an opposition before the National Institute of Renewable Natural Resources,
in which they argued that logging was not permitted in the area in question.
        In the opinion, the Court expressly recognized the existence of diffuse interests or rights,
defined as "those rights whose holders are indeterminate, that have a supra-individual character,
that are indivisible under law and where there is no legal relationship between the holders of the
rights. These rights deserve the protection of legal process, and the jurisdiction of the Court
should be interpreted broadly in these cases.
        The Court concluded that The National Association for the Conservation of Nature, an
organization created specifically for the public purpose of conserving nature and the environment,
had standing to oppose a logging concession and had the right to file an administrative complaint
seeking the nullification of the concession and the right to recover damages, all based on the
consideration that the alleged wrongful act harmed the "diffuse interests."
        The growing interest in environmental problems and the increase  in the number of
organized groups seeking  resolutions to those problems suggests that there will be greater
citizen participation in demanding the enforcement of already existing environmental laws. In
addition to the daily pressure brought to bear in Central America, such as communities demanding
potable water and responses to the problem of solid waste, etc., the public will begin to exercise
its established procedural rights. It is here that the administration of justice will play a crucial rule
in the near future.
        This growing public interest in the search for solutions to environmental problems will
be strengthened by the enactment of the general environmental laws currently under discussion
in all of the Central American countries, which have as one of their aims the promotion of public
participation in environmental issues.
        This objective is one of the general principles identified above as characterizing
environmental law, and is growing stronger all the time. This is reflected in the Rio Declaration,
which states in Article 10: "The best method of dealing with environmental questions is with the
participation of all interested citizens at all appropriate levels."

2.3.2   Honduras

        The General Environmental Law of Honduras is a good example of this approach, given
that it is the most recent and comprehensive legal instrument addressing environmental issues
in Central America. This law contains a public right of action:

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        A public right of action is recognized in judicial and administrative matters in order
        to obtain sanctions against anyone who contaminates or degrades the environment
        and damages natural resources.6
        This action has the following characteristics:

        •  It can be brought by any person. Consistent with the "diffuse interest" theory
          discussed above, standing does not require that there be a  subjective
          personal interest or right implicated.
        •  The objective is to denounce (file a complaint). Nevertheless, a  serious
          limitation or restricted interpretation may result if the emphasis is placed on
          the mere filing of the complaint without adequate attention to the resolution
          of the underlying issue in the continued litigation. Public actions of this nature
          promote greater participation in the  initial complaint  stage and in the
          subsequent proceeding.
        •  Acts subject to protest include polluting acts or activities.
        •  They must be brought before the proper authorities. The Central American
          countries have a wide range of institutions in the environmental area, with
          occasionally  overlapping expertise and jurisdiction. This may present an
          obstacle to the exercise of the right of public action.
        •  A case must be officially opened in order to bring in evidence to prove the
          allegations and to adopt the necessary remedial measures.

        Section III of the Regulations under the General Environmental Law establishes the
following proceedings: the investigation must be initiated within five days, the investigation must
be completed within one month, and a finding that there has been no violation of law may be
appealed by any citizen.

2.3.3   Nicaragua

        Article 179 of Title XV, "Regarding Administrative, Civil and Penal Sanctions," of the
General Environmental and Natural  Resources Law Project of Nicaragua identifies the following
characteristics of an environmental action:
        The following are entitled to bring action:

        •  All Nicaraguan citizens.
        •  Registered environmental organizations.
        •  Representatives of State agencies responsible for Natural resources,
          including municipal authorities and autonomous governments.
        •  The Attorney General.

        The intent is to increase the participation of all sectors of society in the enforcement of
the law. The action must be presented before the authorities or judge of the location where the
affected resource is located.
        Liability is based on an objective standard, without regard to intent. Liability is established
upon a showing of proof of damage and the identity of the responsible party, without the need to
analyze that party's subjective intent. The only defense is that the harm was caused either by the
sole fault of the victim or by a third person for whom the accused is not responsible. The law also
provides for joint liability, the liability  of legal entities, and the payment of compensatory damages.

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        These brief commentaries indicate that the reinterpretation of traditional legal forms,
such as the expansion of the concept of liability, will increase public participation and render the
role of the administration of justice more relevant.

2.4     Administrative organization7

        The form in which the State is organized to respond to environmental issues has been
influenced by the established model of development.
        During the last 60 years, following an economic model based on agricultural exports,
the Ministries of Agriculture and Livestock obtained control over the exploitation of natural
resources. Gradually, agencies were created corresponding to each of the resources, each with
a utilitarian perspective: the Division of Fishing Resources (for the exploitation of marine
resources), the Office of Wildlife (for continental hunting and fishing) and the Forestry Office (for
timber exploitation).
        Although the names vary between countries, ("Office," "Division," "Department,") the
reality is the same, i.e., administrative agencies charged with the exploitation of a specific resource
on a compartmentalized basis. These agencies typically have neither an integrated vision of
ecosystems nor policies based on sustainabilty.
        In the 1980's,  the economic model emphasized the reduction of imports and a
concomitant increase in exports, resulting in tremendous stimulation of the industrial and agro-
industrial sectors. At the same time, the conservationist movement was gaining strength, which
influenced the transformation of the various agencies from autonomous institutions into parts of
the existing state ministries or secretariats, changing their focus from exploitation to conservation.
Various protected areas began to be established at this time.
        At the present time,  the grave deterioration of natural resources and environmental
degradation is so obvious that the public is demanding action on the part of the government, and
the responsibility of the government to take action has been established as a constitutional
obligation. The compartmentalized agencies in charge of environmental issues have been
strengthened and transformed into official government organs, including for example, the Secretary
of the Environment in Honduras and the Ministry of the Environment and Natural Resources in
Nicaragua. Legal projects are underway to develop comprehensive environmental regulations
and to establish the functions and otherwise strengthen the institutions involved. Notwithstanding
this, the Ministries of Agriculture and Livestock, Industry and Commerce continue to exist,
demanding greater coordination and continuity in the government policies to achieve sustainability.

2.4.1   Guatemala

        In Guatemala, the National Protected Areas Council is the agency in charge of regulating
the use and conservation of wildlife. It is organized as follows:

        It reports directly to the President of the Republic.

        The Council is composed of 14 representatives of the following institutions:

        •   National Commission on the Environment.
        •  General Forest and Wildlife Administration.
        •  Guatemalan Institute of Tourism.
        •  National Institute of Anthropology and History.
        •  Center for Conservation Studies.
        •  National Institute for Agrarian Transformation.

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        •  Office of Control of Nation Reserve Areas.
        •  National Association of Municipalities.
        •  Friends of the Forest.
        •  Technical Education Board.
        •  Defenders of Nature.
        •  National Urban and Rural Development Board.
        •  One representative from the Committee of Associations of Commercial
          Agriculture, Industries, and Finance Institutions.
        •  One representative from the non-governmental conservation organizations
          that will be created in the future and registered with Consejo National de
          Areas Protegidas.

        This form  of organization, intended to encourage greater public participation, has
produced a significant obstacle to the functioning of the Council, i.e., it is difficult to obtain the
quorum required fora meeting. Decision making is a lengthy process, and is subject to appeal
before the Ministry  of Agriculture, Livestock and Foodstuffs. Some merely mechanical issues
such as preparation of the calendar of the agency are subject to the approval of the Congress of
the Republic.

2.4.2   Honduras

        There are two Secretaries of State in Honduras with related jurisdictions: the recently
created Secretary  of State in the Office of the  Environment, and the Secretary of Natural
Resources.
        The Secretary of Natural Resources has responsibilities in the areas of agriculture,
livestock, forests, mines, hydrocarbons, water resources and fisheries. The Honduran Corporation
for Forestry Development is an executive institution whose Protected Areas and Wildlife
Department is supervised by the Ministry of Natural Resources.
        Secretary  of State in the Office of the Environment has coordination functions rather
than executive responsibilities. It was created under the General  Environmental Law of 1993. It
is  responsible  for carrying out environmental legislation, formulating and coordinating in an
integrated manner national policies concerning the environment,  monitoring to ensure that these
policies are carried out, and coordinating public and private institutions. It has a Consultative
Board, composed of the Subsecretaries of State of the Offices of Planning, Coordination and
Budgeting, Natural  Resources and Public Education, and representatives of the Association of
Municipalities, Institutions of Higher Education, the Federation of Non-governmental Environmental
Organizations, the  Honduran Private Business Board,  organizations of workers and farmers. It
also has a Technical Advisory Committee.
        As a example  of the dispersion of institutional authority, the Environmental and
Developmental Action Plan assigns the following aspects of watershed management to the
indicated agencies and institutions:

        •  The Secretary of Communications, Public Works and Transport handles
          channelization projects and the protection of banks.
        •  The National Energy and Electrical Enterprise handles water resources for
          the production of energy.
        •  The Honduran Corporation for Forestry Development handles  forestry
          management plans for the conservation of watersheds.

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        •  The National Geographic Institute handles the preparation of hydrogeologic
          maps.
        •  Financial and technical agencies such as the Center for Tropical Agronomy
          Research and Teaching and the Food and Agriculture Organization of the
          United Nations are also involved.

        Notwithstanding the number of institutions involved in watershed management, the
majority of watersheds are seriously degraded from their highest reaches, as a consequence of
a lack of available water for various uses and frequent natural disasters such as droughts, floods
and erosion of the soil.

2.4.3   El Salvador

        In El Salvador, since the creation of the National Environmental Board in 1991, the
Executive Secretary has been responsible for preparing environmental policy proposals and
coordinating and supervising their implementation. The Board is comprised of the Ministers of
Agriculture and Livestock, Public Health and Social Assistance, Justice, Treasury, Public Works,
Planning, Economy, Defense and Public Security, Education, Interior, Labor and Foreign Relations.
Finally, a representative of the Salvadorean Municipal Development Institute is on the Board.
        The Executive Secretary is the entity responsible for coordinating  and monitoring
environmental policies and strategies issued by the Board to ensure their implementation as a
means of fulfilling the established goals  of defending  natural  resources and controlling
environmental contamination. One of its first actions was the preparation of the Environmental
Agenda and Plan of Action.
        Nevertheless, as in the rest of the Central American countries, there is "institutional
dispersion and fractionalization, administration of a resource by multiple institutions, resulting in
jurisdictional conflicts, duplication and rivalry with respect to the use and care of the resource.8

2.4.4   Nicaragua
        In Nicaragua, the Ministry of the Environment and Natural Resources has the legal
capacity to regulate the use of the natural resources of the country. This institution, which became
a Ministry in 1993, was formerly an autonomous legal entity with an independent jurisdiction over
its own  resources. It has unified a number of dispersed agencies,  among them the General
Administration for Renewable Natural Resources, formerly located in the Ministry of Livestock
Development.

2.4.5   Costa Rica
        In Costa Rica, there are two principal relevant institutions, the Ministry of Natural
Resources, Energy and Mines, responsible for renewable natural resources, and the Ministry of
Health, through the General Administration of Environmental Sanitation.
        The Ministry of  Natural Resources, Energy and Mines is composed of the National
Park Service and the General Administrations of Forestry, Wildlife, Geology and Mines. To
achieve consolidation of these functions, it is currently necessary to reinforce its mechanisms of
internal coordination in an equitable manner.
        The discussion of watershed management in Honduras, illustrating the problem of
scattered institutional authority, is equally applicable to Costa Rica. Watershed management in
Costa Rica is accomplished through a large number of different institutions, with overlapping
jurisdictions, and no clear means of coordination between them. Moreover, these institutions
have different structures; some are Ministries, others are autonomous institutions  or local
governments. These institutions include the following:

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        •  The National Electrical Service, which regulates the use of public waters,
          and grants concessions for their use.
        •  The Costa Rican Institute of Aqueducts and Sanitary Sewers, which supplies
          potable water, collects and removes sewage, and operates the system of
          storm sewers.
        •  The National Subterranean Waters, Irrigation and Drainage Service, which
          is responsible for the development of farming through its irrigation and
          drainage systems.
        •  The Costa Rican Electricity Institute, which is responsible forthe development
          of hydroelectric energy. The Ministry of Natural Resources,  Energy and
          Mines, which is responsible for watershed conservation.
        •  The Municipalities, which are responsible for the provision of potable water
          and the removal of used water AQUAS SERVIDAS.

2.4.6   Panama

        In Panama, the National Institute of Renewable Resources is relatively new. Created in
1986, its functions are centralized. It is an autonomous legal entity with its own resources. It has
a board of directors composed of nine representatives:

        •  Minister of Planning and Economic Policy, the Vice Minister presides.
        •  Minister of Government and Justice.
        •  Minister of Education.
        •  Minister of Agricultural Development.
        •  Minister of Commerce and Industry.
        •  A representative from the conservation groups.
        •  A representative of the Union of Industrial Workers.
        •  A representative of the Association of Employees of the I nstitute.
        •  A representative of the loggers' union.

        It is the obligation of the Director General, who is responsible for the technical and
administrative administration of the Institute, to designate and remove the executive body.

2.5     Legal regulations

        The environmental laws in Central American are totally scattered. Natural resources
are regulated in a compartmentalized manner and regulations are promulgated based on different
uses of the same resources resulting in overlapping jurisdictions and limited instruments of control
and application.

        The law suffers  from deficiencies, inconsistencies, duplications,  and
        superimpositions with respect to its substance.  Regulations have not been
        promulgated for the majority of the laws, presenting  legal gaps in decisions and
        regulations. Regulations concerning resources are scattered, creating institutional
        competition and turf battles with respect to resource management, rather than
        working together to strengthen environmental protection. Some laws are very
        general, others refer to regulations that were not approved in a timely manner, which
        makes application of the law difficult.9

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2.5.1    Protected areas, forest resources and wildlife

        The regulations concerning protected areas, forest resources and wildlife have principles
in common, but the instruments for their rational use are different. Nevertheless, in Central America,
due to the pressure to develop environmental laws, there are common regulations.
        In El Salvador, Nicaragua and Panama there are no integrated laws regulating protected
areas. "The majority of the existing declarations have responded to political pressures of the
moment. There is no legal definition of "protected area" nor is there a definition of what should
be the categories for such areas.10
        There is a regional trend to revise the policies concerning protected areas based on
the Convention for the Preservation of Biodiversity and Protection of the Priority Wild Areas in
Central America. There are also initiatives promoting proposed legislation in each country to
reform the law concerning protected areas. The objective is to conform the law of protected
areas to the actual circumstances. There is also a desire to make the categories of management
and use uniform. One of the most controversial subjects is whether and how private activities
may be carried out inside areas in the public domain.
        Forest resources have been the object of legislative attention since the middle of this
century. The law and institutional coverage of this issue are ample. Some commentators are of
the opinion that there is excessive regulation of forestry issues, interfering with both the use of
this resource and its conservation.
        In Guatemala, El Salvador, Honduras, Nicaragua and Costa Rica there is proposed
legislation to reform the existing laws.
        On February 3, 1994, Panama approved Law No. 1 "which establishes the Forestry
Law in Panama and makes other provisions." On November 23,1992, Panama approved Law
No. 24, "which establishes incentives and regulates the activity of reforestation  in the Republic of
Panama." This is the most recent forestry legislation in the region.
        There is also a Regional Convention for the management and conservation of natural
forest ecosystems and the development of forest plantations, signed by the presidents of the
Central American countries on October 29,1993.
        With respect to wildlife, Costa Rica, Panama and El Salvador have general wildlife
laws. These laws incorporate a focus on management of the resource for its conservation in the
context of regulating hunting and fishing as a use of wildlife. They also regulate other uses such
as animals raised in zoos, scientific collection, and other activities such as the import and export
of wild species, the introduction of exotic species and taxidermy.
        In Nicaragua and Guatemala there are scattered provisions in the forestry regulations
concerning protected areas and in the 1956 and  1969 hunting laws.
        The principal problem with respect to wildlife is the low perceived value of this resource.
Wild plants, excluding forest species, have not been subject to regulation, and have not been
assigned to the jurisdiction of any particular agency.
        There has always been a close relationship between the administration of protected
areas and wildlife, which has resulted in shared jurisdiction over both resources within the same
agency. Perhaps the primary result has been the failure to protect wildlife outside of protected
areas.
        There is no clearly defined concept of wildlife. It could be deduced that the concept is
implicitly restricted to the larger vertebrates. This is reasonable, given that the regulations primarily
address hunting and fishing.

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        Each of the countries in the region administer continental and marine wildlife separately.
Marine wildlife is regulated in each Central American country by a law concerning marine hunting
and fishing, dating from the 1950's. The object of this law is the exploitation of marine resources,
pursuant to a licensing system. Methods of fishing are regulated in some cases, but controls are
generally weak, as are the norms and policies established for the conservation of the resource.

      It is very rare that any country (developed or developing) achieves efficient use of the
      seas. Like the land, the sea  is a multiple-use resource, which provides food, transport,
      minerals and quarries, the production of oil, recreation and elimination  of wastes. But
      contrary to the land, there are few efforts intended to regulate this multiple-use.

        The organization of the administration of marine wildlife is even more complicated than
the regulation of continental wildlife. Administration is through decentralized and centralized
autonomous institutions with jurisdictions over specific resources. These institutions make no
effort to operate  in an integrated manner, resulting in duplicative and conflicting efforts and
dispersion of resources.
        The following charts, setting out the existing law on protected areas, forest resources
and wildlife summarize the legal norms applicable to renewable natural resources. As noted,
these laws are oriented to resource exploitation, the instruments of control and application are
very weak, and the focus is on specific sectors.
        To avoid the errors of the past, a legal standard should be enacted which allows the use
of resources, but which also guarantees their conservation, with an institutional structure sufficient
to exercise adequate control. Such a standard should be based on parameters of renewability
and respect for those species which may not have current economic value, but which may
acquire such value in the future. This is the heart of the concept of sustainability, which seeks to
not foreclose the development options of future generations.

2.5.2   Water resources

        The grave problem of administrative dispersion in relation to environmental
competencies and jurisdictions over natural  resources is manifested even more clearly with
respect to water resources. Although this issue is discussed with reference to Honduras and
Costa Rica, the situation is unfortunately similar in the rest of the countries of the region.

      Many laws and regulations are addressed to the use and management  of water... but
      there is no law which combines the various aspects of water management, just as there is
      no law that regulates water quality.11
2.5.3   Conclusions

        There are defects, gaps and duplications in normative texts, but the major problem is a
legal structure that has not been applied, not by private individuals and not by the State. The real
challenge is to ensure the application of existing law, through respect for the law on the part of the
citizens and by the application of it by public institutions.

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3       REFLECTIONS ON THE ENFORCEMENT AND COMPLIANCE OF
        ENVIRONMENTAL LAW IN  CENTRAL AMERICA

3.1      A concrete experience: the wildlife program for Central America

        Since 1993, legal and institutional assistance has been provided to the Wildlife Program
for Central America, of the Regional Office for Mesoamerica, of the World Conservation Union.
It has been a challenge to be able to work on wildlife management, with the objective of improving
the quality of life of the people, especially with the most impoverished sectors of the society. An
interdisciplinary work team has been consolidated. Environmental law is characterized for being
interdisciplinary and transectorial. We have had to pass over from the theory to the practice. The
professional and personal enrichment has been enormous and important.
        This final part of the work, is centered exclusively on the most relevant aspects of this
experience, trying to extract some lessons that can be useful to the Law. The characteristics of
the World Conservation Union, as a regional institution of the Program where assistance is
provided, the lessons learned from the Demonstration Projects and a general conclusion on the
most important aspects to be taken into account in the development of effective and efficient
juridical instruments will be briefly presented.

3.1.1   The wildlife program for Central America, of the regional office for
        Mesoamerica  of the World  Conservation Union

        The World Conservation  Union is an international  non-governmental organization,
constituted since 1948. It is  a Union of sovereign States, governmental entities, and non-
governmental organizations.  Its primary interest is to encourage scientifically founded action
which establishes links between the environment and development, with the aim to promote
improvement in the world populations' quality of life. There is a commitment to try to assure that
the human utilization of natural resources occurs in an appropriate, sustainable and equitable
manner.
        The World  Conservation Union has a Regional Office for Mesoamerica, with
headquarters in San Jose, Costa Rica. Its purpose is to provide services that are required by its
members in Mexico, Central America and Belize.
        Wildlife is one of its programs. It is founded on the premise that the controlled use of
wildlife is an alternative to the strict protection of the resource. By effectuating a sustainable use
of the wild resource, biodiversity is preserved, as the ultimate aim, which is vital for its development
and that of future generations.
        The Wildlife Program for Central America, came to being at the adoption of Resolution
18:24 in the 18th is sustained on the principles and criteria of "Caring for the Earth" (A Strategy
for Sustainable Living); whose basis is the establishment of an ethic for the care for nature and
people, and sets up  actions that are reinforced by acquiring an individual, local national and
international character.
        The program of the Regional Office for Mesoamerica, parallel to the Strategy for Caring
for the Earth, tries:

        • To respect and care for the community of life, by proposing actions that
          directly benefit the conservation of wildlife and the habitat that sustains it at
          the long-term.

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        •  To improve the quality of human life. This work is based on a triangle where
          the user's role is of equal importance to that of the wild populations' or the
          habitat. Here, any action should be based on a serious analysis of the social
          and economic situation of the human communities.
        •  To enable communities to care for their own environment, by promoting and
          facilitating the management of species which are of interest to the rural
          communities, as well as securing a just profit for the traditional users from
          the resources' exploitation.

        The Wildlife Program for Central America, has achieved actions:

        •  To promote the sustainable use of wildlife resources for the improvement of
          the quality of life of the rural population in the Central American region.
        •  To assist the Central American governments and non-governmental groups
          in  their  wildlife resource  management programs  with technical,
          administrative, legal and inter-governmental cooperation aspects.
        •  The implementation of demonstration projects for the sustainable use of
          natural resources in Central America.
        Community wildlife demonstration projects have been developed in:

        •  Guatemala: community management of fauna species in Uaxactun, within
          the Mayan Biosphere Reserve, in Peten.
        •  Nicaragua: community management of garrobo in semi-captivity.
        •  El  Salvador: community wildlife  management project in La Laguna de
          Jocotal.
        •  Costa Rica: community management of alligator in the Cano Negro Wildlife
          Reserve.
        •  Panama: management of paca and green iguana.
        These demonstration projects are carried  out through governmental and non-
governmental organizations in each of the countries. As well, the program has proposed the
establishment of a network of technicians who work in the region. It will be formed by those
professionals  interested in wildlife management, and will permit a better transfer of information
and technology in the aspects related to this subject.
        The activities of the Wildlife Program for Central America are developed according to
the following conceptual framework:

        •  That biodiversity is a vital resource, indispensable for survival, important for
          the economic, social, cultural, esthetic use which should be conserved for
          the benefit of present and future generations, in all of the Central American
          territory, within as well as outside of the protected areas.
        •  That wildlife is a shared resource, which doesn't admit geographic or
          administrative divisions  and  that  requires, in many cases, measures for
          protection and regional controls for its adequate conservation at the long
          range.
        •  That rural communities  depend and have depended on wild resources
          throughout the years for their well being and development. That the
          sustainable use of biodiversity improves  the quality of life  of human
          communities.

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                                                    CORDERO, PATRICIA MADRIGAL  191
        •  That the traditional knowledge of native communities regarding the use and
          exploitation of wildlife resources is very valuable.
        •  That women have knowledge and fundamental experience in the use and
          exploitation of wildlife resources, as well as in the  education  for its
          sustainability.
        •  That the State should regulate the distribution and the equitable access to
          the resources, balancing between the inclination for profit at the short term
          and social interests at the middle  and long range.
        •  That the law is an instrument that can promote community participation in
          wildlife management, and that the norms that regulate the sustainable use
          of natural resources should be based on scientific and traditional knowledge.


3.2     The wildlife program for Central  America: the juridical and institutional
        emphasis

        Since 1993, the Wildlife  Program of the Regional Office for Central America of the
World Conservation Union has developed actions on environmental legislation matters, specifically
regarding wildlife.
        One of the objectives of the Wildlife Program is "to contribute to the development of
basic elements for the elaboration of a strategy  in environmental legislation that permits community
participation in wildlife management, through effective and efficient instruments".
        The Program's juridical and institutional aspects have elaborated a plan of activities
which include:

3.2.1   A diagnosis,  in each country of Central America, of the situation
        concerning legislation  and institutional structures, for wildlife  conservation
        matters

        Its analysis was focused on the possibilities for community participation  in its
management. This research project had a duration of 2 years and involved natural science and
law professionals, with the aim to obtain a interdisciplinary focus. At the end of 1994 a book
entitled "A necessary encounter: the management of wildlife and its juridical regulations. A Central
American diagnosis" ("Un encuentro necesario: el manejo de la vida silvestre y sus regulaciones
juridicas. Un diagnostico centroamericano"), was edited by M.Sc. Vivienne Solis and Lie. Patricia
Madrigal.
        The general objective of publishing this book was to motivate an awareness of the
need for each country's political authorities to tend to administrative aspects and wildlife
management more rigorously, while also providing systematic information which is of interest to
different organizations and academic and research institutions.

3.2.2   Legislative assistance  in the elaboration of wildlife conservation  laws

        According to the above mentioned diagnosis the regulation of wildlife in the broad sense
is one of the gaps at the Central American level. Therefore, at the request of the corresponding
legislative bodies, Costa Rica and Panama have been assisted in the elaboration of Law Projects
on this matter, which are now in effect, and a  process has been initiated in Nicaragua.

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3.2.3   Research and diffusion

        Interdisciplinary work and "demonstration projects", as spaces for observation and
learning, have permitted the systematization and analysis of the main conclusions for the
consolidation of a juridical outline.
        This enrichment offers the possibility of providing juridical assistance with knowledge
of the reality and an adequate evaluation of the socio-economic circumstances.
        In the search for ways to reach the proposed objective of promoting the sustainable use
of wildlife resources to improve the quality of life of the rural population in Central America,
demonstration projects have been established in various countries of the Region.

3.2.3.1  The sustainable use project  in La  Laguna de Jocotal

        The Project is developed in La Laguna de Jocotal which is located in the southeastern
zone of El Salvador. This lagoon has a great variety of wildlife including aquatic plants and
resident fauna, especially birds, some migratory and in danger of extinction. Its size changes
according to the dry and rainy seasons that causes legal problems regarding its boundaries.
        The Project is implemented by different organizations that promote community
organization and education for the sustainable use of their natural resources. Nesting cages
have been installed for patos arb6reos or "piches", harvesting their eggs for consumption and
exchange.

3.2.3.2 Community management of the black garrobo (ctenosarura similis) and  the
        green iguana (iguana iguana)  project in Cosiguina

        This Project is located in the Cosiguina  Peninsula, in the northeastern zone of Nicaragua.
The Cosiguina Volcano is found in the Peninsula, which was declared a Wildlife Refuge in 1956
and as a Natural Reserve in 1983. The activities of the Project are carried out in the buffer area.
        Its objective is to promote community participation in  the sustainable use of wildlife,
with emphasis on the reproduction of the iguana andgarrobo. This is accomplished by developing
new productive options and a diversification of economic activities to improve the quality of life
and the sustainability of the Project.

3.2.3.3 Community management of  wild fauna resources project in Uaxactun

        The Project is developed in the community of Uaxactun, located in the heart of the
Mayan Jungle, in Flores of the Peten Department, Guatemala.
        Its objective is to develop community management plans for the sustainable exploitation
of the fauna species which are used by the community for consumption. These plans will
incorporate traditional knowledge and be supported by scientific and social research.

3.2.3.4 Institutional strengthening  for the  control  and  conservation of wildlife
        resources project in Panama

        Its objective is to increase the capacity of the Institute for Renewable Natural Resources
(Institute de Recursos Naturales Renovables so it can  provide extension services to rural
communities, for wildlife management, in the Canas Island with marine turtles and in Cabuya
with the green iguana.
        These projects have motivated the following reflections around real situation.

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        During the first trimester of 1995 an exchange was held between the technicians of
each one of the projects, to visit and learn about the experiences developed by the others. The
following reflections are the product of this systematization process. From the local experience,
great inputs are  extracted for a global analysis, trying to transcend the problems for local
development to the obstacles that are found at the national level.

3.2.3.4.1   Strengthening the rules of law  and the expansion of democracy,
           indispensable requisites of environmental legislation. The teachings of
           the "La Laguna del Jocotal"  project.

        "The campesinos don't have property titles. This is the reason that they don't invest".
        Land tenancy is one of the conditions required to undertake conservation actions. See
for example, the situation in El Salvador, in relation to the absence of an up-to-date and reliable
Registry System, that guarantees the juridical security of the land.
        In order for grassroots groups to approach a conservation strategy, there are relevant
juridical aspects to be defined. The  most important without a doubt is the definition of land
ownership. This factor causes serious obstacles in our countries where Democratic Systems
are barely in a process of establishment, since the governments have been elected "democratically"
only five years ago.
        Great differences exist between the catastral and registered information. The case of
La Laguna de Jocotal, from the strictly juridical point of view, doesn't offer major problems.
Based simply on the Legislation which is currently in effect, a lagoon is of public domain, and
therefore is inalienable and inadvisable; it can't be inscribed by any one person, and in the case
that it has been doesn't grant him/her any acquired rights.
        Nevertheless, reality is totally different. La Laguna del Jocotal has been inscribed by its
adjacent landowners. According to the Property Registry, the lagoon doesn't exist, it is an "optical
illusion". Even though judicially it can not have generated any right, if a protected area were to be
established, the supposed owners would have to be indemnified.
        Groups that have greater access to the inscription of properties have economic, political
power and strongly defend their interests. For this reason, it is not of interest to look for alternative
ways for granting property titles to the persons who live in the villages that border the natural
areas. Due to the lack of  property titles in these extremely rich areas, pressure groups have
tremendous interest to inscribe them as their own, despite the fact that the villagers are the real
owners.
        To develop a Conservation  Policy, the State as an organization of society, definitely
should exercise a Rule of  Law and having advanced democratic society place more attention to
these structural requisites:

        •  Free  electoral  systems.
        •  Representativity of public positions.
        •  Anticipation of civil society.
        •  Administration of autonomous and independent justice.
        •  Reliable property registry systems.
        The strengthening of the Rule of Law implies the struggle against corruption;  this is
extremely important for the control of one  of the  causes of irrational exploitation of natural
resources.

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194   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


3.2.3.4.2  "No one can  be obligated to do the impossible". With hunger there can
          not be  conservation. The teachings of the "Cosiguina" Project.

        Carlitos is a nine year old. While visiting the Project in Cosiguina he asked us to take
him to Chinandega. A Military Police check point was searching the vehicles this day. In his
knapsack Carlitos carried a garrobo (black iguana) and three baby parakeets, still without
feathers. Seeing our surprise, he calmly told us after they had taken away the animals from him
and we had started on our way again: "Thankfully they didn't find the biggest iguana that I have
with me which is pregnant".
        Trying to contain all of the mixed emotions that this event produced in us, we understood
that in the Chinandega market the equivalent of US $ 0.70 was paid for these iguanas and US
$ 0.10 for the parakeets. The day before Carlitos had also gotten three parakeets. Each day he
had to climb higher up the mountain of the Cosiguina Volcano, to reach the parakeets' nests.
        When we affirm that the communities live from the resources that are found in the woods,
many times we are saying that they "survive" thanks to these resources. The animal protein in
their diet comes from these resources; they use the leather; extract seeds, mushrooms, wood,
water...
        Unfortunately the use of the woods at this rhythm doesn't permit the recuperation of the
ecosystem. In all the Demonstration Projects that we visited it is recognized that "day by day it is
harder" to obtain the resources. It is extremely difficult to break the circle of misery and allow for
the rational management of the natural resources. For these communities, even an income of
US $ 4.00 is a benefit to its quality of life.
        Therefore,  it is imperative that Demonstration Projects enable the observer to transcend
each country's structural reality and analysis of economic and social policies. It is here where a
feeling of frustration and impotence stems from.
        The Law as regulator of social harmony, is a product and forms part of this political and
social structure, one of the consequences being the despairing poverty of our countries.
        Its response has been slow. Only sanctions  have been included as application
instruments in the laws that are intended to conserve the fauna,  Not only pecuniary sanctions,
like fines, which surpass the majority of rural families' incomes by various months to a year, but
with penalties that restrict freedom, in other words, jail.  Without even mentioning the problems
that are encountered in the Administration of Justice in each country, sanctions have been
established that are due to the non-application of the laws.
        This repressive juridical system has to change, it must be modified, and converted into
a preventive juridical system, which procures environmental conservation objectives, providing
opportunities for its  management.

3.2.3.4.3  For  broad participation in the elaboration of juridical  instruments. The
          teachings of the "Uaxactun" project.

        For some years, the National Council for Protected Areas (Consejo National de Areas
Protegidas) has been preparing a Hunting Seasons Calendar. The elaboration of this wildlife
conservation instrument has taken five years, and still has not been approved, since the Bylaws
of the Law of Protected Areas establishes the need for it to be approved by the Congress of the
Republic.
        It is definitely inadequate to demand the approval of a technical conservation instrument,
which in addition should be reviewed and modified periodically, by a deliberative political body
such as the Congress of the Republic.12

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                                                    CORDERO, PATRICIA MADRIGAL   195
        This is precisely the reason that the Hunting Seasons Calendar Project has not yet
been put into effect. The existing norms regarding the continental wildlife resource are found
mainly in the Law of Protected Areas and its bylaws. A General Hunting Law of 1970 also exists,
which has practically fallen into disuse.
        For the inhabitants of Uaxactun, where the Demonstration Project is being developed,
hunting has a high economic and social value; it is essential to sustain their daily diet. So, it is not
just a casual interest that brought them to discuss this Hunting Seasons Calendar Project.
        The Demonstration Project in Uaxactun  originated in the discussion of this juridical
instrument project with the inhabitants of this community,  and is a real example which
demonstrates the importance of holding discussions with those groups that will be the most
affected by the approval of a juridical norm. This is important for the enrichment of the process of
elaboration of the norms, which without a doubt will lead to a better application of them and fulfill
the established objectives.
        The technicians who work in this Project began a process for diffusion and discussion
with the community's inhabitants, which has a broad hunting seasons tradition. The following are
the main aspects that came out of this process:
        Both the Consejo National de Areas Protegidas Law, which was just approved, and the
first draft of the Hunting Seasons Calendar Project, evidenced a great contradiction between
the prohibition of many activities and the reality of a rural community which is accustomed to an
intense and diverse use of the woods.
        Originally they had been conceived more for sports hunting than for subsistence hunting;
they hadn't sufficiently evaluated the importance that hunting has as a source of animal protein in
this country's family diet.
        The Mayan Biosphere Reserve (Reserva de la Bidsfera Maya), an extremely rich
extension, still has a woods with a broad surface area which is expansive enough to sustain
large, healthy and stable seasonal animal populations.
        Some conclusions have been drawn from this Consultation Process with the local
hunters, who with great pragmatism and common sense gave their opinions on the Hunting
Seasons Calendar Project. As follows are some examples of the opinions that  have were
expressed:
        With regard to hunting licenses which could be granted per family, the Project limited
the license's use to three family members, but in this community the families are large, with an
average number of 5 persons.
        It outlined specific days for hunting;  sports hunting from Thursday to Sunday and
subsistence hunting from  Monday through Thursday. This was qualified as being absurd; the
days of the week are not the factor that defines when a person is going to go hunt. This is a point
where traditional practices that have been developed by these communities for thousands of
years should be taken into account and be respected.
        It makes it obligatory to carry a booklet with the species hunted, which should be handed
over to the Municipality every year. Hunting quotas for the next year will then be defined using this
information. Without a doubt this point will provide a good quantity of very valuable up-to-date
information. With regard to this aspect, the Community also manifested their wish to have this
information.
        The only hunting techniques established included fire-arms and bows and arrows. As
well, the use of other hunting techniques which are used locally such as snares, slingshots, lures
for mammals, bait, dogs, tiger traps (tigreras) is prohibited; the calibers of fire-arms which are
included are unknown to the inhabitants and do not  correspond to those fire-arms that they
possess. The prohibition  should be restricted to poisons, toxic substances or artificial light
(flashlights, lanterns, etc.).

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196    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        It establishes that the hunters who hunt for domestic consumption should not hunt more
than that which will be used to feed their own families, but inl/axacMnthe inhabitants eat half of
what they hunt and sell or exchange the other half within the community for other goods. There is
no profit in this exchange or sale; the community doesn't want the price of meat to go up.
        With regard to "sports hunting", the community prefers that it not be allowed in the
surrounding areas, or at least that limits be established. For example, that a local guide be used
or that a hunting fee be paid.
        In spite of the fact that the intention is to elaborate a prevention law, for conservation of
the fauna, it includes few control instruments, and these are limited to vigilance by the Municipality
and the community, but they do not give them defined attributes. The orientation of the laws
which are in effect in the Central American  region continues to establish sanctions of fines on
these aspects. These fines are set at five hundred quetzals which presently is equivalent to
some 75 to 80 US dollars; this is the annual income of a family in Uaxactun.
        The Consultation Process which was carried out is an example that should be followed
in the  elaboration of juridical instruments which will have an impact on the rural communities.

3.2.3.4.4   Institutional commitment in the elaboration of regulations. The  case of
           Panama.

        The legislative initiative is shared by the Deputies, as members of the Legislative Power,
and by the Executive Power. Approval of the laws is an exclusive capacity of the Legislative
Power. Nonetheless, in reality the Executive Power normally exercises the legislative initiative,
submitting for approval the Law Projects of its interest, and directly influencing on the establishment
of the Legislative Agenda.
        In Panama the Environmental Commission  of the Legislative Assembly has taken up
this function by seeking advise needed to elaborate a General Wildlife Law Project, looking for
support for the process from the Executive Power. This example constitutes a revindication of
the Legislative Power in its function to elaborate the legal legislative framework.
        The Wildlife  Program and in the Environmental  Legislation Center,  of the World
Conservation Union responded to the request for support for the elaboration of this Law Project.
        The former, providing technical assistance through the Regional Office and the
Committee of Panamanian Wildlife Specialists, professionals, scientists, from governmental
and non-governmental bodies, met for eight months to discuss what should be included in a
norm related to this subject in their country.
        The Environmental Legislation Center contributed juridical assistance through a regional
advisor and a national advisor, who participated in this  process by collecting the recommendations
made by the Group of Specialists and reflecting on the most suitable juridical instruments.
        An important part of this process was the consultation made in the governmental
institutions directly related to this subject and in the  non-governmental conservation organizations
and users of this resource, whose purpose was to collect their recommendations and opinions.
This consultation workshop was not an expository  event to gather the participants' endorsement,
but rather was an activity of intense work; for 3 days, 45 people dedicated an average of 8 hours
daily,  to substantially modify and enrich the foundation document that had been presented to
them.
        The Environmental  Commission of the Legislative Assembly and the Department of
Protected Areas and Wildlife of the Institute for Renewable Resources (Instituto de Recursos
Renovables) maintained close contact during the  entire Process, supporting and recognizing
the work being carried out. The notable participation of the Supreme Court of Justice and the

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                                                    CORDERO, PATRICIA MADRIGAL  197
Office of the Environmental Ombudsman should be emphasized, due to the importance they
should play in the elaboration of the juridical instruments and the care taken in the aspects of
Justice Administration.
        This process, where coordination among the Powers of the Republic, institutions, and
between the State and civil society converged, while maintaining a balance between scientific
and juridical aspects, is an example that brings us closer to a correct elaboration of the law.
4       CONCLUSIONS

        There are two levels of final reflections, first in global terms for Environmental Law and
the State; and second, in specific terms for regulations concerning wildlife matters.

4.1     Global reflections on environmental law and the  state

        According to the activities developed during the past two years, four main conclusions
can be made which are obstacles to the actions needed to overcome the weak enforcement
and low compliance of the Environmental Law:

        •  The absence of structural conditions which assure a Rule of Law.
        •  The growing poverty in the region.
        •  The scarce participation in the elaboration of juridical instruments.
        •  The weakening of the State.

        Little by little, Central America should overcome the difficult period of social confrontation
that it has been affected by, achieving a social concentration that permits the strengthening of
the Rule of Law, that satisfies the basic needs of the people.
        The Rule of Law doesn't just come to be "per se", it must be constructed. In our Region
institutional forms that diminish poverty should be found.
        We have witnessed a reform of the State, in each and every one of the countries of the
area; a large number of public officials have mobilized trying to reduce non-essential services
and be more efficient. This process has weakened the State as we have known it up to now.
Although it is true that the figure of the assistentialist State is not sustainable, public obligations
which permit a country's development cannot go unfulfilled.
        One of these public obligations, undeniable and non-transferable, is the conservation
of natural resources and of the environment. The contrary would be to mortgage the options for
development. If the state's present orientation recommends the decrease of activities where the
State is executor, its function as comptroller, as auditor,  should be strengthened.
        Two fundamental events should occur:

        •  A way to reduce poverty is the promotion of the sustainable use of natural
          resources. The rural communities should be capable of using their natural
          resources, in accordance with their cultural and  millenary traditions,
          accompanied  with scientific assistance,   permitting the resources'
          sustainability.
        •  A greater participation  in the establishment of norms that regulate this
          sustainable use, guaranteeing the best enforcement and compliance.

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198    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


4.2     The elaboration of norms should first take into account the socio-
        economic-cultural conditions of where they will be enforced

        This conclusion has led us to think that Environmental law should stem from two sources.
Traditional knowledge which collects the habits, knowledge and traditions that historically have
regulated the relationship between the native communities and the use of natural resources.
        Traditional knowledge coming from the autochthonous groups, should be recovered
and analyzed, to discover principles for environmental management. These millenary traditions,
experienced by native groups, should enrich the present reality. The past is a source for analysis
of the present.

4.3     Scientific-technical knowledge

        Scientific-technical knowledge helps when providing explanations or solutions to the
historical environmental problems and can offer current development instruments.
        Environmental Law is converted into a catalyst from these sources, where the different
sectors of society interact according to their interests, to find new forms of harmony. In this sense,
the State has a fundamental role to try to balance these interests for the common good.

4.4     Specific reflections for legislation on wildlife

        Based on the legislative assistance which has been provided over the last years to
regulate the wildlife resource, these should procure that:

4.4.1   The object of a wildlife law should encompass a broad concept of this
        resource

        Wildlife legislation, during the first half of the century, has been fundamentally oriented
towards the regulation of hunting. For this reason, its objective has mainly been fauna, leaving
aside other components of this resource, such as flora, fungus, microorganisms, alga, etc.
        Presently wildlife legislation encompasses a concept which  is much broader than just
vertebrate animals, and includes all the kingdoms that Science, in its development has identified
and classified (see figure 1).
        Wildlife is defined as a union of living organisms including the monera, protista, fungi,
animalia and plantae kingdoms; these live in natural conditions in the national territory and do
not require care by  human beings for their survival or else live, temporarily or permanently, in
non-natural conditions.

4.4.2   The sustainable  use of wildlife should be promoted, above all by rural
        communities

        To achieve wildlife conservation different systems have been used, like resource
conservation in the place where these are found; for example, "conservation in situ" through the
establishment of protected areas. It has also been accomplished by "conservation ex situ", which
is to say the conservation of wildlife resources outside of the areas  where they are found in a
natural manner, for example in zoos, botanical gardens, etc.
        The term conservation is used in a broad sense, accepting wildlife management
activities. For example, a rational use of this resource can be achieved through farming and
ranching of wild animals. The reproduction of wild animals can have commercial ends, which is
characterized by their objective to make a profit, but it also can be undertaken by the communities.

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                                                    CORDERO, PATRICIA MADRIGAL   199
        The participation of the communities in wild animals ranching and farming allows for the
improvement of their alimentary diet, by including more protein content; it achieves the
conservation of forest coverage and thus, of water nascents; and can provide additional income
stemming from the exploitation of woods products and wild animals.

4.4.3   The law should be enforced by the  authorities and should be complied by
        everyone

        At this time, the greatest challenge to  the Law is the enforcement of the juridical
regulations and their forms of control.
        When the difference is established between formal "reality" which is set up in the juridical
texts and the objective "reality" that we see day to day, we become aware of the divorce between
both. Today, this is the subject of major reflection by jurists and by all the society in general.
        The real possibilities for enforcement and compliance of the reglamentation that is
sought to be established, should be questioned. This question should be present from the very
moment of the regulations'  elaboration, because it affects each one of the matters that are
posed.
        The communities should participate and understand the existing regulations and their
importance for the conservation of local resources. A growing interest exists to recover "traditional
knowledge" which is the key to the rational use of natural resources by a portion of autochthonous
groups. The recognition of its importance should not solely be academic, but should influence on
the elaboration of policies and regulations, in a manner that permits the inclusion of ethnic
considerations and the enrichment of the juridical and institutional system with other types of
instruments.

4.4.4   Control  instruments for application of the law should be preventive and
        exceptionally  repressive

        The penalization of the conduct that attack wildlife conservation has been used as a
control instrument in the norms that regulate this resource.
        Practice has demonstrated that  aggressions  against wildlife resource still  are not
penalized, which is needed for them to be converted into penal crimes, and sanctioned with
prison terms.
        Judicial authorities do not see this as important, comparing them with other aggressions
like those against property, such as theft or robbery, or against human life, in the case of lesions
or homicides. Due to the volume of legal proceedings that are managed in a judicial office, it is
difficult for these denouncements to be resolved, and even harder to obtain an exemplary sanction.
        The classification of conduct should be directed towards really grave conduct, like the
trafficking of species.
        The use of penal law is the "last step", an instrument that should be used as the last
consequence in an environmental policy. The legal proceedings of the State should be oriented
somewhat according to the Precautionary Principle,  which is included in the Rio de  Janeiro
Declaration, which demands that actions be taken even though no scientific certainty regarding
the causes of a determined problem exist.

4.4.5   Implications of wildlife  legislation on biodiversity

        Wildlife is an important part of biodiversity. At this time, the pressure exercised on
biodiversity, occurs in the wild part. A type of legislation is required that sees to the conservation
of this resource in an integral manner, but most of all one which answers the need to establish
controls that permit its enforcement and compliance.

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200    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        At this time some regulations on wildlife exist, on hunting aspects, but there is a total
absence on biodiversity. The establishment of controls and regulations should be gradual,
according to the institutional capacities of each country, but with a vision of sustainable use of
the resources in benefit of their quality of life.
        Recently, at the request of the Commission for Environment and Development of the
National Assembly of Nicaragua, we have initiated a diagnosis on the juridical and administrative
situation of this country's biodiversity.
        The goal that we have established is the preparation of a law project that will fill the
existing legal gaps, procuring effective (enforcement) and efficient (compliance) instruments.
        Nonetheless, this legal initiative should be placed within a conceptual framework which
procures that the management, control and distribution of the resources, as well as the benefits
derived from the use of the biodiversity, are carried out with:

        • Community participation.
        • Respect for traditional knowledge.
        • Equity (between men and women).
        • An evaluation of the impact of the economical policies on conservation.

        Nicaragua has a national strategy on biodiversity. Its objective is to search for alternatives
for a juridical strategy that consolidate a juridical legal framework according to these purposes.
        The following has been defined as the work structure:
        There has been a great discussion over the concept of biodiversity which will be used.
For now, it has been defined with an emphasis on wildlife, continental and marine resources; the
resources which will be considered wild resources are those previous to human manipulation,
whose aim is domestication.
        Regarding biological and biotecnological resources, there is a discussion about what
it the order of domain: who does this resource belong to? What the concept of property implies
as far as domain, use and benefit are concerned.

        • The regime of intellectual property.
        • The access to genetic resources.
        • The evaluation of environmental impact for the control of exotic species.
        •  Research and technological transfer.

        As far as conservation in situ:

        •  Protected Areas: The efforts to grant the administration of protected areas
          to local organizations such as municipalities or autonomous regions; or the
           systems of associated property, which grants the property to men  and
          women, in buffer areas.
        •  Lists of threatened species.
        •  Traffic.
        •  Research (the departure of endemic species from the country, forms of
           control).

        Conservation ex situ:

        •  Zoos, botanical gardens,  seasonal farms, animal farms/ranches,
           germoplasm banks.
        •  Reintroduction of wild species: recovery centers.

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                                      CORDERO, PATRICIA MADRIGAL 201
Figure 1
                          Higher plant*

                                  Ferns
        Cellular
      slime molds
                                              Metazoa
Most fungi
            Acelhilar I   Red
           slime molds!   algae
                  Multicell
                  green algae
                Unicellular
                green algae
                Brown
                algae
            Flagellates
Parazot
(sponges)
   Amoebae
     Euglenoids

          Dinoflagellates



     Cyanophyt

           Eubactei
               Oiry»ophyte*

                Diatoms
                         f
                             Protospongia

                Cttiate protozoa

                 Methanogentc bacteria
           (e) WHTTTAKER'S FIVE-KINGDOM SCHEME
    Robert A. Wallage, Jack L. King, Gerald P.  Sanders
    "BIOLOGY, THE SCIENCE OF  LIFE"
    Editorial; Scott, Foreman and Company.  1981.

    p.403.

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202   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        Incentives

        In each one of these subjects the following items will be analyzed:

        •  International norms.
        •  Background regulations.
        •  Administrative procedures.
        •  Institutional capacity.
        •  Enforcement-compliance analysis.

        This process for the elaboration of a wildlife law, which develops the orientations
established by the Biological  Diversity Convention, has been designed  using a broadly
participative methodology, mostly because this country is the most advanced as far as social
organization.
        Finally, in this era of demystification, the Law should surpass some premises, such as:

        •  "No one can plead to be unknowledgeable of the law." If permanent diffusion
           programs, training and the discussion of juridical norms do not exist, this
           aphorism doesn't apply to reality. The reality is that the majority of the citizens
           are ignorant of the laws.
        •  "Norms should be general, enforceable for all." In a region of great cultural
           wealth, diverse  ethic and autochthonous groups, immigrants, some
           differences should be recognized. In order to respect cultural dignity,
           principles for interpretation should be included in the law which recognize
           these differences.

        There is an estrangement between the moral and legal content in the Law, there is a
lack of ethic,  revalidating forms of authoritarian organization and  materialist attitudes. This is
the origin of the frustration and social discontent in which we live. A movement for the humanization
of the Law, which questions why, for what and for whom the juridical systems are necessary.
        In my opinion, the Law is justified as a regulator of social harmony, for the well-being of
the citizens, in benefit for all, but mostly is for those who are the most deprived.
        REFERENCES

1.   MienezandAyala(Eds.), Political Constitution of the Republic of Guatemala, National
     Constitutional Assembly, Guatemala, May 31,1985, p. 61.

2.   Gebase S.A. (Eds.), Political Constitution of the Republic of Guatemala, 1972,1983
     Reforms, Official Gazette No. 19826, June 6,1983,1989, p. 89.

3.   Law 7412, reform of Article 50 of the Political Constitution of Costa Rica of November 7,
     1949, May 24, 1994.

4.   Supreme Court of Justice, El Salvador. Constitution of the Republic, 1983, Reforms of
     1991,1992. Seconded., San Salvador, March, 1992, p. 131. University of El Salvador,
     Faculty of Sciences and Humanities, Faculty of Jurisprudence and Social Sciences,
     "Regional Research Project: Diagnostic Concerning Environmental Legislation in Central
     America. National Report of El Salvador," 1991, p. 273.

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                                                   CORDERO, PATRICIA MADRIGAL  203
5.   Editorial El Amanecer S.A., Political Constitution of Nicaragua, February 1987, p. 64,
    Law No. 192: Law of Partial Reform of the Political Constitution, National Assembly of
    Nicaragua, Managua, February 1,1995.

6.   Article 10, General Regulations ofthe Law of the Environment, February 5,1994.

7.   Madrigal Cordero, Patricia; Soils Rivera, Vivienne, "Un Encuentro Necesario: El Manejo
    de la Vida Silvestro Y sus Regulaciones Juridiccas. Analisis Enctroamericano," 1st
    edition, San Jose, 1994, pp. 33 and 37.

8.   Executive Secretary ofthe Environment, Environmental Agenda and Plan of Action,
    1992, p. 237, as quoted from Serrano Caceres R., "The Legal Problem ofthe
    Environment in El Salvador and Possible Solutions," CENITEC, 1989, p. 85.

9.   Plan of Action for the Environment and  Development of Honduras, p. 27, paragraph 71.

10. Gonzales, Marco A. "Informe de Nicaragua," Un encuentro necessario el manejo de la
    vida silvestre y sus regulaciones juridicias. Analisis Centroamericano. Programa de
    Vida Silvestre, Officina Regional para Centroamerica, Union Mundial para la Naturaleza,
    The Wildlife Program for Central America, Editado por Madrigal, Patricia; Solis,
    Vivienne. 1 ed. San Jose, 1994, p. 205.

11. Government of El Salvador, National Commission on the Environment, the Executive
    Secretary, Environmental Agenda and  Plan of Action, San Salvador, 1992, p. 237.

12. We support the recommendation ofthe Guatemala Report, prepared by Alejandra
    Sobenes and Ma. Jose Gonzalez, in the book: Un encuentro necesario: el manejo de la
    vida silvestre y sus regulaciones juridicas. Analisis Centroamericano, edited by
    Madrigal Cordero, Patricia; Solis Rivera, Vivienne; Wildlife Program, Regional Office
    for Central America, International Union for Nature Conservation, 1 st edition, San Jose,
    1994. "To review the bylaws ofthe Law of Protected Areas and modify, among others,
    articles 54 and 57, in the sense that Consejo National de Areas Protegidas can manage
    by itself the General Hunting System and not by means ofthe Congress ofthe Republic
    as is presently established, being able  to emit cinegetic calendars of each season".

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                                                              VAN DOORN, J.  205
INTERNATIONAL COOPERATION: INTERPOL

VAN DOORN, J.

Chief, Environmental Crime Unit, INTERPOL, National Criminal Intelligence Division,
Financial and Economic Crime, The Netherlands, National Police Agency,  Postbus 3016,
2700 KX Zoetermeer, The Netherlands


        SUMMARY

        Since 1985 environmental crime has increased considerably. One of the causes of this
increase is the forever growing mountain of waste in Europe, which itself is partly due to the fact
that in Europe too much waste is produced and that the development of possibilities for processing
this waste does not keep pace.
        Added to this are the more stringent requirements set by the authorities for waste
processing and the increasing costs; in the Netherlands, for instance, these costs have tripled
over the past few years.
        Criminal inquiries conducted in the Netherlands have shown that the waste problem is
a breeding ground for environmental crimes.
1       INTERNATIONAL  ENVIRONMENTAL CRIME

        International environmental crime takes several forms:
        •  The so-called waste tourism, which involves illegal cross-border transports
          of waste within Europe. The  routes used by the international criminal
          organizations in question are usually part of large-scale environmental crime
          operations.
        •  The illegal dumping of waste at random spots in Europe. Investigations in
          the Netherlands show that Dutch waste is being transported to dumps in
          Belgium, France, England, former Yugoslavia, the former Soviet Union,
          Poland, and Romania.
        To the offenders and criminals, who operate at an international level, it is a very profitable
business to gather waste in one country and dump it, sometimes under false pretences, in another
country illegally. One of the major obstacles the authorities meet with in their fight against these
illegal activities is that the international exchange of information is no easy matter; this is due to
the differences in legislation and approach to this particular form of  crime. The chance that
perpetrators involved  in illegal dumpings are caught is small; their financial gain, however, is
very often considerable.
        We can easily conclude that international environmental crime is a very profitable
business; at the same time we cannot but acknowledge that fact but see that the fight against
this particular form of crime poses a great many problems. Illegal activities committed in different
countries attract less attention than those committed in a limited area, consequently, the chances
that perpetrators are caught are not as high either. This means that those involved in professional

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environmental crime are continuously roaming Europe in their search for new places where they
can illegally dump waste. All European countries will sooner or later be confronted with this form
of crime, with serious social and economic consequences.
        Obviously, the fight against international environmental crime necessitates a coordination
of the efforts undertaken by the various law enforcement authorities.
2       CURRENT SITUATION

        In the current situation authorities in different countries cooperate only on an ad hoc
basis and on the basis of treaties on international legal assistance. This may suffice for simple
crimes, but when internationally operating professional criminals are involved the case is quite
different. Experience has taught us that the gathering of relevant information is particularly difficult
because:

        • In a great many cases information must be obtained from different sources.
        • There is usually no central contact point.
        • The definition of "environmental crime" is not the same in all countries.
        • Almost always professional criminals make sure their illegal activities are
          hidden by a legal front.

        Beside the information provided by judicial authorities, information from  local
governments and agencies is especially relevant to the fight against environmental crime, both
at the national and the international levels.
        For example, it should always be examined whether dispensation or certain licenses
have been issued to a suspect. In almost every European country there is a government body
which is to see to it that the rules and regulations regarding the protection of the environment are
complied with. Still, the exchange of information is problematic because the various legal systems
are all very complex, because there is a lack of knowledge regarding these systems, and because
there are no central contact points.
3       IDEAL  SITUATION

        As explained above, the internationalization of environmental crime will continue in the
future, because,  as the waste issue is still increasing, the market for illegal practices is still
growing. These developments will make it even more necessary for the European countries to
cooperate and gear their activities where the fight against international environmental crime is
concerned. It seems desirable that this occurs at two levels:

        •   First,  it is important to coordinate the gathering of information regarding the
           various law enforcement activities and of the information to perform these
           activities efficiently.
        •   Second, it is also important to coordinate the gathering of information on
           regulatory bodies and of the information they can provide. As indicated
           above, almost every European country has a body that sees to it that rules

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                                                                VAN DOORN, J.  207
          and regulations regarding the environment are complied with. Linking the
          information provided by these bodies at an international level is essential in
          the fight of international environmental crime.

        All this leads to the conclusion that an international platform is what is needed for the
coordination of the various activities regarding the fight against environmental crime. Such a
platform will provide an opportunity to exchange information, to perform crime analyses, and to
make a start with international, well coordinated, concrete criminal inquiries.
4       CONCRETE  MEASURES

        INTERPOL has discussed the subject of environmental crime. Up to now these
discussions have led to:

        •  An insight regarding a world and a European network of national police
          contact points, where environmental law is enforced at a national level.

        •  The compiling of a so-called ECO report, which is a standard form for the
          (bilateral) exchange of information on environmental crimes, needed in order
          to provide a reliable structure for the provision of information at world and
          European levels. As the document, which is available in three languages,
          has been drawn up with the help of the relevant contact points, all countries
          know what  the ECO report is and how it can help the exchange of
          information. It has been agreed that ICPO INTERPOL in Lyons will collect
          and process information at world level, and that Denmark will do the same
          at for Europe.
        •  The organizing of a seminar (training module)  for representatives of the
          police forces in the various countries.
5       CONCLUSIONS

        Building a network, and getting to know it thoroughly, establishing which kind of information
is exchanged with whom, and providing others with one's know-how and experience are the first
three steps which have now been taken.
        The next step should now be a more goal-oriented and well coordinated international
cooperation and image building. INTERPOL is  considering paying particular attention to the
following phenomena:

        • Waste tourism and dumping of waste.
        • Illegal trafficking of nuclear substances.
        • Illegal trafficking of protected species (animals and plants).
        • Illegal waste brokers.

        Added to this is the attention that should  be paid to cooperation among national agencies
and the consultation of governmental bodies required at an international level.

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                                                           DE KROM, RUUD  209
TRANSFRONTIER SHIPMENTS OF WASTE: SUCCESSES AND
PROBLEMS WITH THE ENFORCEMENT OF SUPRANATIONAL
LEGISLATION

DE KROM, RUUD

Inspectorate for the Environment, Ministry of Housing, Spatial Planning and the
Environment, IPC 681, P.O. Box 30945,2500 GX The Hague, The Netherlands
       SUMMARY

       This article provides an overview of successes and problems in enforcing European
Regulation No. 259/93 on the supervision and control of shipments of waste within, into and out
of the European Community (EC).
       INTRODUCTION
1.1     Background
        The problems caused by dioxin-containing waste following an explosion at a factory in
Seveso in Italy in 1984, led the European Community to draw up Directives designed to control
the processing and transfrontier shipment of hazardous waste. The transfrontier aspect was also
dealt with in the Basel Convention and within the Waste Management Policy Group of the
Organization for Economic Cooperation and Development (OECD).
        The results were incorporated into EC Directive 84/631 on the transfrontier shipments
of hazardous waste, which has now been implemented by the European Member States.
        Several European countries had to contend with waste between  1988 and  1989,
searching the world over for somewhere to dispose of it. It became clear that there was a lack of
communication between enforcement organizations within the European Union (EU).
        The Inspectorate for the Environment therefore took the initiative in 1992 to organize a
European enforcement project. The aim was to build a network of enforcement organizations
involved with monitoring compliance with and enforcement of legislation governing transfrontier
shipments of waste.
        The project, entitled "Transfrontier Shipments of Hazardous Waste (TFS-1),  was carried
out by monitoring transfrontier shipments of paint waste and  spent solvents between five
participating countries (Belgium, Germany, Luxembourg,  the United  Kingdom and the
Netherlands). The project was completed in May 1994 and a follow-up and continuation of joint
enforcement activities was recommended.

1.2     European legislation

        European Community Directive 84/631 concerning  the transfrontier shipments of
"hazardous  waste" was replaced on May 6th 1994 by European Regulation No. 259/93. The
official title is "Council Regulation (EEC) No. 259/93 on the supervision and control of shipments

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210    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


of waste within, into and out of the European Community." One major difference between EC
Directive 84/631 and European Regulation No. 259/93 is that the latter regulates wastes of all
types, not just hazardous wastes.
2       "TRANSFRONTIER SHIPMENTS OF WASTE" (TFS-2) ENFORCEMENT
        PROJECT

2.1      Grounds for the project

        The final report on TFS-1 recommended a follow-up, with the following aim in mind:

      To develop a permanent structure (not as a project limited in time) to allow existing
      cooperation and coordination to continue and expand to other countries."

        The first step towards this structure was to design a new enforcement project entitled
"Transfrontier Shipments of Waste in Europe (TFS-2)."
        The essence of "TFS-2" is, in conjunction with a number of European Member States, to
monitor proper compliance with European Regulation No. 259/93 with a view to improving
compliance and enforcement and to continue to develop the enforcement network at operational
level.

2.2     Outline of the project

        The project is being conducted under the auspices of the IMPEL (Implementation and
enforcement of environmental law) network. This network was set up in November 1992 to provide
a mechanism for the exchange of information and experience between environmental enforcement
bodies within the European Union.  Its objective is to raise professional standards within national
inspectorates and to enhance the quality of pollution control enforcement throughout the Union.
        TFS-2 has been adopted by the IMPEL  network as "Ad hoc working group Ilia."
        The project is structured as follows:
        •  Orientation:
          Contacting organizations that are interested in participating.
        •  Desk-research:
          Conducting a survey of information on the waste flows being investigated
          (PCBs/PCTs), some non-ferrous metal wastes and etchants).  The
          purpose of this phase was to form some picture of the waste flows
          selected on the basis of the documentation and data files  available.
        •  Company visit and shipment inspection plans:
          Visiting companies (including those acting as producers, disposers,
          treaters and brokers of transfrontier shipments of waste), primarily to
          acquire the information required to form an overall picture of the waste
          flows selected.
        •  Final report:
          Compiling the final report with conclusions and recommendations on how
          to improve enforcement of European Regulation No. 259/93.

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                                                              DE KROM, RUUD   211
2.3     Results

        Enforcement organizations from 13 European Member States are currently involved.
Although not an EU member, Norway is also participating as an observer.
        Thanks to the joint enforcement activities, a number of European companies involved in
waste production or disposal are now familiar with their compliance with European Regulation
No. 259/93 being monitored.
        The desk-study identified 1.370 waste flows. This overview lists the companies involved
in transfrontier waste shipments, describes the waste and provides some further details.
        More than  a hundred company inspection site visits are planned on the basis of the
desk-study findings. Approximately 30% had been carried out by October 1995. Although some
companies require  further investigation, the general impression so far is  that companies are
complying with the Regulation.
        Additionally, 25 shipment inspections were carried out in seven European Member States
in week 25 of 1995.  More than 3,000 shipments have been checked. A number of infringements
were identified, with various administrative errors on  shipments with which the competent
authorities were not familiar. A number of these shipments were sent back to the country of
origin.  Sound communication with enforcement organizations is a particular must in such cases
- demonstrating the need for a good network.
        Apart from  these tangible results, there was a growing need for greater structure in the
approach to  enforcing the Regulation as enforcement was not uniform in the various Member
States.  The Regulation is also very complicated and requires Member States to cooperate in
monitoring compliance.  Although the Regulation is directly binding on all  Member States and
should therefore be clear, many problems of interpretation and definition remain.
        FUTURE DEVELOPMENTS
3.1     Introduction

        A task force was formed within the framework of ad hoc working group Ilia to develop a
more structural approach to enforcement of the Regulation 259/93 in Europe. It concluded that a
permanent forum would be effective by promoting joint enforcement. Ad hoc working group Ilia
will put forward a proposal  for a permanent forum under the responsibility of the IMPEL network.

3.2     Permanent forum

        The objective is as follows:

      "The establishment of a permanent forum in order to coordinate, stimulate and support
      the enforcement of European Regulation No. 259/93 in Europe."

        The forum will help improve the clarity and quality of enforcement of the Regulation. The
word "forum" has been chosen to highlight the fact that this is not just some new institution but a
body concerned with the approach adopted to practical enforcement and finding solutions. The
members are representatives of the European Member States involved in enforcing the Regulation.

3.3     Tasks of the permanent forum

        The forum has seven tasks:

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        •  providing the proper bodies (such as the IMPEL network and the European
          Commission) with problems encountered and recommendations/proposals
          for solutions concerning European Regulation No. 259/93;
        •  maintaining relations with other organizations (the European Commission,
          the police network and possible others) in order to exchange information on
          the enforcement of European Regulation No. 259/93;
        •  stimulating and facilitating European enforcement activities such as the
          current TFS-2 project (activities to be carried out by more than one Member
          State);
        •  developing a multi-year plan (working program) for enforcement activities;
        •  supporting the development of a central information  and communication
          system;
        •  sharing experiences and  information/solutions in respect of practical
          (interpretation) problems; and
        •  involving all Member States in the enforcement of European Regulation No.
          259/93.

        One of the forum's main tasks is to build upon the joint enforcement activities of several
Member States.
        It will therefore draw up a multi-year plan for the work. The plan will map out a vision of
enforcement, along with goals and enforcement targets agreed by all Member States as well as
specific enforcement projects and task forces.
        One key element in the plan is to organize the swapping of information, knowledge and
experiences. This exchange will provide a European understanding of monitoring compliance
with the Regulation. The information thus gleaned will form the basis for a uniform enforcement
strategy.
        CONCLUSIONS
4.1     Enforcement problems

        A number of problems were identified in enforcing EC Directive 84/631 and European
Regulation No. 259/93 to date, breaking down into the following areas:

        •  definition;
        •  interpretation;
        •  practical enforcement; and
        •  communication.

        For example: there were no procedures for returning illegal shipments and no guarantee
of their arrival at the proper destination.

4.2     Successes

        Finding a solution to the problems mentioned requires  effective communication and
cooperation between enforcement organizations within the European Member States.

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                                                              DE KROM, RUUD  213
       A network of enforcement organizations in Europe, the IMPEL network, was established
in 1992.
       Under the auspices of the network, two European enforcement projects were carried
out. The outcome was a practical network of enforcement organizations responsible for enforcing
European Regulation No. 259/93.
       The number of enforcement organizations involved has grown from five in five European
Member States to approximately twenty five in 13 Member States. The network will continue to
expand into a solid, practical enforcement network involved in day-to-day enforcement of the
Regulation. This will also enhance the uniformity of approach.
       A proposal fora more structural approach as a permanent enforcement forum has been
agreed by the organizations involved in the TFS-2 project and will be submitted to the IMPEL
network for implementation.
       In the meantime a start has been made on tackling the enforcement problems
encountered, by discussing solutions and drawing up manuals. Agreements have also been
reached on new joint enforcement projects on transfrentier shipments of waste in the near future.
        REFERENCES
1.   Council Regulation (EEC) No. 259/93 on the supervision and control of shipments of
    waste within, into and out of the European Community.

2.   Proceedings of the third international conference on environmental enforcement, April 25-
    28,1994, Oaxaca, Mexico.

3.   Conference reports on the "Transfrontier Shipments of Waste in Europe (TFS-2)" project.

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214   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                      VAN GENT, LIESBETH C.  215
A EUROPEAN ENFORCEMENT PROJECT ON THE NOTIFICATION OF
NEW SUBSTANCES (NONS); A COOPERATIVE PROJECT OF 14
EUROPEAN COUNTRIES

VAN GENT, LIESBETH C.

Senior inspector, Inspectorate for the Environment, Ministry of Housing, Spacial
Planning and the Environment, IPC 681
P.O. box 30945, 2500 GX The  Hague,  The Netherlands
       SUMMARY

       An impression on the set up and progress of the European inspection project on the
notification of new substances (NONS) is given. Fourteen European countries have participated
in this ongoing project and inspected approximately 100 companies. The preliminary results
show some serious problems with enforcing this regulation. These problems will be reported to
the European Commission and might lead to revision of European legislation. Besides this, the
set up of this project has already proven to be very successful and can serve as a blueprint for
other European inspection projects.


1      NOTIFICATION OF NEW SUBSTANCES, DIRECTIVE 67/548/EEG
1.1    European legislation on new substances

       In Europe many chemical substances are produced and imported. These chemicals
may expose man and the environment to unknown risks. To prevent the placing on the market of
new substances without reliable information on the dangerous properties the European Union
adopted in 1979 the Dangerous Substances Directive and improved this in 1992 (92/32/EEC)
       By introducing a harmonized notification procedure since 1983 new chemical substances
must be notified before placing on the market. The submitted information enables assessment
by the various EU-member states of the dangerous properties of the chemical substance and is
used to provide essential information for users in classification, labelling, packaging and safety
data sheets.

1.2    Enforcement activities

       The success of the above described risk assessment relies not only on the chemical
substances regulation implemented in the national legislation of the affected European countries,
but also on the monitoring of compliance with this regulation. New chemical substances which
have been placed on the market without proper notification lack adequate  information. These
substances could be on the market without proper classification, labelling and packaging, and
without proper information in safety data sheets. These "no-notified" substances could present a
serious danger to man and the environment, not only in one member state but potentially in all
European Countries.

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216    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
       As most Member States were not yet actively enforcing this regulation, the EU started in
1991 a project to develop a guidance manual to assist enforcement authorities in starting up
enforcement activities in this area. The manual was developed by a European working group. It
is based  on  practical experience within Member States in the selection and preparation of
inspections of companies that are manufacturing, selling, or importing new chemical substances.
In October 1993, the manual was accepted by the Member States. A European inspection project
seemed to be a useful continuation of the cooperation between member states on the enforcement
of this regulation.
2       THE "NOTIFICATION OF NEW SUBSTANCES" (NONS) PROJECT

        The Dutch Main Department of Enforcement Environmental Legislation of the
Inspectorate for the Environment took the initiative to coordinate an enforcement project on this
area; The realization of this project takes place in cooperation with the EU-subgroup on Control
Measures under the Chairmanship of the United Kingdom.

2.1      Aim of the project

        The main aim of the NONS-project is to foster a greater degree of compliance of
companies with regard to the notification of new substances. A second aim is to monitor the
occurrence of hazardous dyestuffs. This information can be useful for policy decisions. Moreover,
the cooperation of the participating countries might be an example for other European enforcement
projects.

2.2      Set up of the project

        A Dutch proposal for a European inspection project was put forward during a meeting of
the competent authorities for the implementation of directive 92/32/EEC, (Brussels, 17 and 18
January 1995). The proposal was given a positive reception. The competent authorities of most
of the EU member states and of Norway were interested in participating in the project. The
European Commission (DG XI), also present at the conference, stressed the importance of the
interchange of information and sharing of enforcement experience and welcomed the initiative of
an inspection project.
        For the organization of the project the Dutch Inspectorate contracted an experienced
consultancy. The first action was to send a 'request for participation' accompanied by a proposal
fora project plan, to all European Member States and to Norway. According to the project proposal,
participation in the project requires attending three workshops and carrying out a certain number
of company inspections. The response was overwhelming. The following countries indicated
that they were interested and are now actually participating in the inspection project: Austria,
Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Netherlands, Norway, Portugal,
Spain, Sweden and the United Kingdom.
        The project includes three  phases: the preparation phase, the operational  phase, and
the reporting phase. Each phase ends with a conference. Subjects of those conferences are
subsequently:  1) preparation and working method; 2) problems and preliminary results and 3)
the final report and future cooperation. Participants are committed to inspect a number of companies
and to take (if necessary) some samples for analyses.

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                                                         VAN GENT, LIESBETH C.  217
        During the first conference in Leiden (the Netherlands) on May 15-17,1995 enforcement
and policy authorities from 14 European countries reached agreement on the project program.
This meant that those countries would visit between 70 and 100 importers and producers of
dyestuffs during 1995 and in the beginning of 1996. The dyestuff industry was selected because
a desk study had shown that this sector is the most innovative in developing  new chemical
substances and it is well known that certain groups of dyestuffs have hazardous properties. The
conference met at the end of the preparation phase and at the beginning of the operational
phase.
        A company inspection means: checking whether imported or produced substances (which
can be part of a preparation) are in the European inventory of existing chemical substances
(EINECS)2. In order to check this, one needs to know the chemical constitution of the product or
the CAS-3 and/or EINECS-numbers of all ingredients. During the conference participants agreed
that minimal 25 dyestuffs would be checked per company.

2.3     Results so far

        By now the project is in the operational phase. The first results of the project are emerging.
Most countries have selected companies by using all different kind of sources,  like  custom
agencies, product registers, and handbooks. Company visits are carried out and for problems
related to those visits, a help-desk in the Netherlands is available. Participants are kept informed
about each others activities by means of newsletters.
        Company visits lead often to demanding problems, which require energy and creative
solutions from the inspector. A problem, for instance, is the lack of knowledge of the regulation
especially by importers of dyestuffs. Part of the companies are not aware of their obligations and
know only the performance of a product rather than their chemical constitution.
        In addition,  suppliers of visited companies are not very keen to provide information
about the chemical identity of a product. They are not familiar with the EINECS and, according to
some of the visited  companies, suppliers in Eastern Asiatic countries do not  always know
themselves the chemical constitution of a dyestuff.  Hopefully producers, especially in those
countries, will become more conscious of European obligations and the need to register chemical
names and potential hazards of their products.
        By means of sample analyses supplied information on  the chemical constitution of a
product is checked.  In too  many cases it happens that the given information is proven to be
wrong. The credibility of other supplied information by the company is therefore questionable.
        AN EXAMPLE FOR OTHER EUROPEAN PROJECTS
3.1     Positive results

        Positive results so far are; increased cooperation between participating countries, sharing
of knowledge and  improved control  methods by discussing results and using each other's
capacities. Probably all participants underwrite the preliminary conclusion that the enforcement
in every participating country improved during this NONS-project and is stimulated by new ideas
about enforcement methods.
        Another result of this project might be a strong signal to policy-makers and the European
Commission concerning problems in  enforcing this directive. This may lead to a modification of
some essential regulations. By now major differences are seen in, for instance, national legislation
concerning the registration of the chemical constitution of products by companies.

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218    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


gaining experience might be an impulse for maintaining an appropriate enforcement level on this
area. On the other hand countries which already have an enforcement history on this area learn
to look critically to their enforcement methods and to sharpen them.
        On several related areas the progress and results of the NONS-project are followed with
interest. For instance, the  Existing Substances Regulation might be the next European
Enforcement project to be started in this area. For this regulation one might expect enforcement
barriers on international level, as its effectuation asks already a lot of cooperation between member
states on policy level.


3.3     Conclusion

        Being aware of the promising progress of this project and the enthusiastic participation
of the fourteen countries, one might conclude that a project like this is very valuable and might
serve as a blueprint for other European projects.


        REFERENCES
1.    European Directive 92/32/EEC is the 7th Amendment of Directive 67/548/EEC on
     classification, packaging and labelling of dangerous substances, European Commission,
     27 June 1967.

2.    European Publication C 146A, European inventory of existing chemical substances
     (EINECS); 15 June 1990, Brussels; this inventory was made during the eighties and is
     meant to make a distinction between 'new' and 'existing' chemical substances.

3.    The CAS-register (chemical abstract service) is a kind  of chemical library. Every
     substance which has been published is given a reference number in order to facilitate
     literature searches. Substances in EINECS are numbered and cross-linked with their
     CAS-number. So having a CAS-number might be an entrance to check whether a
     substance is in EINECS.

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                                     THEME 4: INTERNATIONAL CAPACITY BUILDING  219
                               THEME #4:

             INTERNATIONAL CAPACITY BUILDING
Theme 4 papers address the following issues:
       •  capacity-building goals for this organization;
       •  expertise, materials, training, and/or support available or planned;
       •  priorities established for supporting capacity-building needs;
       •  how requests are made; and
       •  successes achieved.
1.   The Evolving Role of Citizens in Environmental Enforcement,
    S. Casey-Lefkowitz, W.J. Futrell, J. Austin, S. Bass	221

2.   International Capacity Building for Industrial Compliance and Enforcement —
    The UNEP Experience, J. Alois! de Larderel, J.H. Skinner	237

3.   UNEP's Role in Capacity Building in Environmental Law,  L Kurukulasuriya,
    Donald Kariary	243

4.   International Capacity Building for Environmental Compliance and
    Enforcement, S. Becker	255
5.   World Bank Supported Environmental Institutional Building Investments,
    J.Aden	275
See also papers in Theme 2: Principles of Environmental Compliance and
Enforcement.
See related papers from other International Workshop and Conference Proceedings:
(1)  Establishing International Networks—UNEP IE/PAC Experience, J.H. Skinner,
    Volume II, Oaxaca, Mexico
(2)  Principles of Environmental Enforcement and Beyond: Building Institutional Capacity,
    C. Wasserman, Volume I, Oaxaca, Mexico
(3)  Principles of Environmental Enforcement, C. Wasserman, Volume I, Budapest,
    Hungary

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220   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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        CASEY-LEFKOWITZ, SUSAN; FUTRELL, J. WILLIAM; AUSTIN, JAY; AND BASS, SUSAN  221


THE EVOLVING ROLE OF CITIZENS IN ENVIRONMENTAL
ENFORCEMENT

CASEY-LEFKOWITZ, SUSAN,1 FUTRELL, J. WILLIAM,2 AUSTIN, JAY,3 AND
BASS, SUSAN4

1 Co-Director, Environmental Program for Central and Eastern Europe
2 President
'Co-Director, Environmental Program for Central and Eastern Europe
A Director, Inter-American Program

Environmental Law Institute (ELI), 1616 P St. N.W., Suite 200, Washington, D.C.
20036, USA


       SUMMARY

       In many countries of the world, citizens interested in environmental issues are
experimenting with participation in development planning and governmental decisionmaking.
However, only in a few countries have governments and citizens developed workable mechanisms
for public participation in environmental enforcement. This paper reviews why it is important to
encourage citizen  participation in environmental enforcement efforts and outlines the main
elements which citizens have found necessary to ensure their participation, such as legal rights
and remedies, clear environmental standards, and access to information. The paper then outlines
common strategies for public participation in enforcement which are being initiated  in many
countries at the national level,  such as citizen monitoring and inspection, public complaint
mechanisms, and citizen enforcement suits. It concludes with a discussion of new options for
transboundary public participation in enforcement and examples of how international networking
and cooperation is building capacity and infrastructure in the non-governmental community to
take on the challenges of meaningful participation in enforcement efforts.
1       WHY ENCOURAGE CITIZEN PARTICIPATION IN ENFORCEMENT?

        The two past International Conferences on Environmental Enforcement in Budapest,
Hungary (1992) and in Oaxaca, Mexico (1994) established the principle that citizen participation
is an important supplement to governmental enforcement efforts.1 Still, examination of the situation
shows that in many countries citizens are often overlooked as one of a nation's greatest resources
for enforcing environmental laws and regulations'.  It has been acknowledged in international
fora, such as the 1995 Conference of European Environment Ministers in Sofia, Bulgaria, that
citizens know the country's land and natural attributes more intimately than a government ever
will; that their number makes them more pervasive than the largest government agency; and
that seeing citizens as part of the enforcement team helps shield an agency from isolation and
builds broad-based popular support for what can be controversial enforcement actions. Yet, in
many countries citizens and non-governmental organizations (NGOs) are still struggling to assure
the fundamental legal basis for citizen enforcement.
        A fisherman out on the river sees chemical waste flowing through a stream, traces the
source to a neighboring factory, and alerts government agencies to the factory's violation of its
emissions discharge permit. A local citizen group in a small town near a coal mine suggests to a

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222   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
state mining agency practical ways,  based on experiences working in the mines, of making
environmental standards for mines easier to administer and enforce. A trade association convenes
small  businesses to craft consensus on  new regulatory measures, thus avoiding protracted
litigation. A city resident notices that municipal buses are emitting noxious fumes, sues the bus
company, and wins a court order requiring the company to place pollution control devices in the
bus exhaust systems. These are just a few examples of the many and varied influences citizens
can have on the process of environmental enforcement.
        Drawing on the resources of citizens can  enrich and strengthen the environmental
enforcement process in several ways. Public participation strengthens governmental authority;
improves environmental decision-making; encourages sound business practices for sustainable
development; and strengthens civil society. Participation and authority are two sides of the same
coin. The government that encourages broad public participation is capable of mobilizing effective
popular support of its policies. Its authority is legitimate. Citizens want the state to govern effectively
and realize that at some point implementation demands authority.
        Yet tension sometimes arises  between the government and  the governed.  The
government may fear that citizen involvement in environmental enforcement will disrupt its own
enforcement efforts and will reduce its flexibility to tailor enforcement decisions to particular
circumstances.3 Government enforcers may also believe that if enforcement actions in the courts
are mounted on a piecemeal basis, rather than as part of a coordinated strategy, poor judicial
precedents may be set that could hinder further enforcement efforts'. Consequently, government
agencies sometimes decline to support, or may even resist, private enforcement initiatives.
        Citizens, on the other hand, often suspect government agencies of not properly fulfilling
their enforcement  responsibilities. Citizens may view government employees as overly susceptible
to the influence of the business interests they regulate*. Or they may attribute  government
inaction to bureaucratic inertia.  Either way, agency enforcers often are  seen as overlooking or
impeding environmental protection goals9.
        If properly channelled, this tension between government and citizens can result in
improved environmental enforcement. The government's desire to prevent citizen action it views
as disruptive can encourage agencies to take their own  regulatory or enforcement steps. The
public's suspicion that government may not vigorously implement certain laws may prompt the
legislature to grant citizens a statutory  right to bring a lawsuit requiring the government to perform
its assigned regulatory duties. And in  instances when the government insists on inaction, citizen
action can replace government enforcement.  Not only may compliance be achieved, but the
government can be required to account publicly for its own inaction.
        When the interests of the government and the citizens are similar — as is often the case
— individuals can fill gaps in government enforcement caused by resource constrains. The
sheer size  of the citizenry,  for example,  enables individual citizens to monitor  compliance
throughout the nation and identify violations that an understaffed investigative agency might
miss.  An enlightened government agency can also use  citizen volunteers to implement a
comprehensive enforcement strategy.  This could both help the government meet its enforcement
objectives and avoid the potential  conflicts that may result from piecemeal enforcement efforts.
        Finally, public involvement in enforcement is a logical next step for democratic political
systems that have encouraged public  participation in the creation of environmental statutes and
regulations.9 Allowing citizens to have a concrete role in implementing the regime they helped to
design strengthens public support for and awareness of environmental goals.  If citizens are
denied a role in enforcement, or if they are not educated about and encouraged to assume a role,
even the most sophisticated system of environmental protection laws may exist only on paper.
Developing and nurturing a role for the citizens in enforcement efforts could provide the missing
ingredient necessary to make these countries'  environmental protection goals a reality.

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        CASEY-LEFKOWITZ, SUSAN; FUTRELL, J. WILLIAM;  AUSTIN, JAY; AND BASS, SUSAN  223


2       LAYING THE GROUNDWORK FOR EFFECTIVE PUBLIC PARTICIPATION

        Effective citizen participation requires more than a willing citizenry. Both in countries like
the United States where citizen involvement in enforcement is fairly common, and in countries
like Hungary where it is just beginning, there are several fundamental regulatory and institutional
elements that are necessary for effective citizen participation. These prerequisites are legal rights
and remedies, access to information, and clear environmental standards. Where even one of
these elements is  missing, citizens find it very difficult to  participate in the environmental
enforcement process.

2.1     Legal rights and remedies

        Citizen participation in the environmental enforcement process is usually built around 1)
the recognition of certain rights beyond personal property rights and the recognition of citizens or
environmental organizations' ability to represent the public interest; and 2) the existence of an
independent and well-informed judiciary which can adjudicate and enforce these rights.
        Many newer constitutions, such as the one in Colombia, are guaranteeing citizens the
right to a healthy environment. In other countries, such as Argentina, courts have made use of a
constitutional guarantee calledamparo, which can be loosely translated as "protection," to defend
individual or collective environmental rights derived from statutes, international treaties, or the
constitution itself. In still other countries, such as Mexico, the constitution guarantees a right to
petition, which constitutes a vehicle for the public to direct inquiries to the government to which
the government must respond in some manner1.0
        Alternatively, in some countries environmental statutes themselves give a cause of
action to individuals to enforce the law when the government is not taking action. This system
has been largely developed in the United States over the past twenty years with citizen enforcement
suits being expressly included in the major federal environmental laws. For example, in the
United States, despite enactment of the Resource Conservation and Recovery Act in 1976, the
Environmental Protection Agency did not even begin to regulate hazardous waste until  four
years later, when required to do so by court order in a citizen suit]  However in the last few
years, citizen groups in other countries have had growing success in bringing such cases.
        Granting citizens the ability to bring enforcement suits, however, does not necessarily
mean that citizens  will be able to do this in practice. Citizens also need to consider costs. For
example, Ireland's laws appear comparable to U.S. provisions: Irish citizens may bring a suit for
injunctive relief against any person for violations of water, air, or land use regulations. However,
because of the risk that the plaintiff will have to pay defendant's costs and fees, these suits have
not been commonly used]2
        Another hurdle for citizens can arise if government agencies and courts are reluctant to
grant standing to citizen groups in administrative or court proceedings. Even where laws say that
any interested group may become a party to a proceeding, this access is often denied to citizen
groups. For example,  in Slovakia,  a forest protection NGO tried to become a party to an
administrative decision under a local forestry plan. The Ministry of Agriculture and subsequent
court decisions denied the NGO standing, even though the Slovak Administrative Procedure Act
states that any interested person may become a party to the proceeding. As of March 1996, the
case was before the Slovak Supreme Court which agreed to hear the standing issue. In only a
few countries, have courts determined that environmental organizations in a civil proceeding can
represent the interests of the environment as  a public interest. For example, in the  1986 De

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224   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Nieuwe Meer case, the Dutch Supreme Court recognized the standing of an NGO to defend the
environment as a public interest]3 It was the first time that it was not necessary to prove that a
specific individual interest had been harmed.
        In systems that rely on judicial, rather than administrative mechanisms for enforcement,
an independent judiciary becomes an essential element of citizen enforcement. In many legal
systems, such as in Europe, it is normal for the judiciary to be at least partially under the control
of the executive branch.  When  this is combined with a legacy of a totalitarian regime, it may
mean that the judiciary is too closely tied to the executive bodies to allow citizen enforcement
actions against the government. For example, in the Russian  Federation,  environmental
organizations have had difficulty convincing lower level courts to take their cases against the
government seriously. However, some Constitutional Courts have been  active in protecting
constitutionally guaranteed rights, such as the right to a  healthy environment. The Hungarian
Constitutional court can be counted among the success stories in its region in helping to promote
the rule of law and consequently a sound basis for public participation. The court held in a 1994
decision that amendments to the Law on Agricultural Cooperatives violated the constitutional
right to a healthy environment by lifting protected status from certain lands. The court found that
the constitutional right to a healthy environment required the state to give legal and institutional
guarantees to environmental protection1.4
        As a result, many countries in Central and Eastern Europe have reorganized their lower
court systems.15 The major focus of such changes has been to ensure the independence of the
judiciary from other branches of government. At a minimum, the power  of appointment and
removal and the control of resources available to carry out the judiciary's  tasks need to be
guaranteed. In some countries, the judiciary slowly is achieving the necessary independence. In
Slovenia, for example, judges have been given life tenure, freeing them from dependency on the
executive branch for their livelihood.
        In addition to independence, citizens need a judiciary which understands environmental
law and is receptive to its special needs in the court. Moreover, in countries in transition for
example, many judges still carry assumptions from the previous regime, including supremacy of
government production quotas and a relative lack of concern with environment. A case in Estonia
where a lower court admonished a local environmental administrator for appealing to the courts
to push the central authorities to rectify inconsistencies in law and regulation illustrates this point.
That judge was later overturned  by the National Court which found the administrator's case to be
proper.

2.2     Accessible information

        Access to information is the cornerstone of effective public participation at all levels of
decisionmaking. For environmental enforcement, the public needs access to specific information
concerning discharges and emissions, such as the discharge monitoring reports required in the
United States or the  toxics release information required in countries with a pollutant register
system. Yet, in many countries access to this type of information  is limited or not allowed.
        The degree of development of legal regimes for public access to  government-held
information varies from country to country. In many countries, recently amended constitutions
and national environmental laws grant the citizen the right to have access to information, but fail
to provide implementation and enforcement mechanisms. This is the case, for example, in the
Czech Republic. The Czech constitution guarantees a right to information,  however, the Czech
government has been reluctant to draft an implementing law providing  for public access to
government-held environmental information. In  addition, the government has been reluctant to

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        CASEY-LEFKOWITZ, SUSAN; FUTRELL, J. WILLIAM; AUSTIN, JAY; AND BASS, SUSAN   225


use the constitutional right to allow actual citizen access to environmental information without an
implementing law. Instead it limits access to environmental information to the relevant provisions
of the environmental impact assessment law.
        Only a few countries allow citizens to request and receive from the government
environmental monitoring data and discharge reports. Experienced environmental litigators in
citizen groups warn that any environmental program that requires citizens to gather evidence,
take samples, perform tests on effluents will  present almost impossible barriers to a successful
citizen suit.
        One invaluable source for such information is data on pollution levels supplied by polluters
themselves, as part of a regulatory self-monitoring and reporting regime? For example, the U.S.
Federal Water Pollution Control Act requires that the holders of permits to discharge effluents
from point sources submit regular discharge monitoring reports (DMRs) to the governmerif.
These reports are  usually accepted by courts as definitive proof of a violation, since they are
written and filed by the  alleged violator itself. However, especially in emerging democracies,
environmental laws usually do not contain  monitoring and self-reporting requirements. Even
when such requirements are in place, citizens in countries in transition have expressed a distrust
of such systems being enforceable and trustworthy.
        Access to information concerning permit conditions and regulatory standards are also
necessary to verify whether a violation has taken place. It is fairly well accepted that the  public
has the right to access  information concerning regulatory standards. It is less well accepted,
however, that the public has the right to access information concerning decisions affecting a
regulated entity (e.g., permits, licenses, etc.). For instance, in most of the European Union, the
Council Directive on access to environmental information has been interpreted to include access
to information concerning draft and final permit decisions1? Still, in Slovakia where the Ministry
for Environment is currently drafting legislation concerning access to environmental information,
the Ministry interpretation, as of March 1996, is to exclude permit information from the definition
of "environmental information" accessible under the law.
        Systems with publicly accessible information concerning toxic releases are slowly
spreading to other  countries from the United States. These laws typically provide for databases
where the government compiles information provided by  industry on toxic chemicals stored,
transferred, or released and provides for access by the public to this information. These types of
"right-to-know" provisions have helped citizens to identify and prove environmental violations. In
the U.S. the Emergency Planning and Community Right-to-Know Act (EPCRA), imposes extensive
self-monitoring and reporting requirements on certain industries that use and release extremely
hazardous chemicals.19  A growing number of countries are developing laws concerning toxic
release inventories (TRI) or pollutant release and transfer registers (PRTR). For example, in the
Czech Republic, the government is working together with a coalition of environmental organizations
and other sectors of the public to develop a pollutant release and transfer register.

2.3     Clear environmental standards

        Clear standards of conduct against which the behavior of potential violators can be
compared are the  final  prerequisite for effective citizen participation in enforcement efforts.
When a citizen is  provided with specific emission levels, deadlines for compliance,  or other
definite substantive requirements contained in statutes, regulations,  or permits, it is easier to
identify and  prove the violation.  Such substantive requirements are particularly effective when
used together with  industry self-monitoring obligations, reporting schedules, or other information
access mechanisms. Clear standards may be provided for in  statutory language, regulations
developed by agencies in accordance with statutory  duties, or industry-specific permits issued

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226   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
pursuant to the regulations. The only question at issue in most enforcement actions should be:
did the defendant violate the standard set forth in the law, regulation, order, or permit. In the
United States, for example, compliance is a matter of strict liability and a defendant's intention to
comply or good faith attempt to do so does not excuse a violation.
        A law which simply prohibits "harmful" or "dangerous" pollution would be very difficult to
enforce  consistently; it might serve  as a safety net, but experience has proven that enforcers
need clear standards to avoid debates over scientific and policy issues. The more scientific and
policy issues are resolved by statute, regulation, or permit, the easier and more cost-efficient
enforcement becomes. Thus, for example, laws that set a standard for water quality in a stream,
but fail to set an end-of-pipe standard would still be difficult to enforce. Unless there is a clear
standard of how much may be released from each pipe, enforcers will be burdened with proving
that it was the defendant's discharge which violated the water quality standard. Such causation
issues can become very complicated, especially given the complex scientific issues surrounding
release, combination, and dilution of chemicals in a stream.
3       MAKING PUBLIC PARTICIPATION WORK

        Environmental organizations and  governments in  many countries have been
experimenting with innovative methods for increasing citizen  involvement in monitoring and
inspection, as well as the use of citizen complaint and enforcement mechanisms.

3.1      Citizen monitoring

        The growing number of environmental problems and the increasing demands on limited
government resources combine to strain the resources of environmental agencies to perform all
the necessary investigatory and monitoring duties. Monitoring alerts the government not only to
possible violations of the law,  but also to potential damage or threat to the public health and
safety. However, in general, public participation in monitoring compliance with laws and permits
is very limited. With a few exceptions, the public and NGOs usually do not have proper technical
equipment or the practical possibility to undertake monitoring.
        In some countries, governmental institutions make use of citizen monitoring which may
already be taking place. For example, in the U.S., some  citizen organizations have begun
harborwatch programs to identify oil spills or other emissions in local harbors. Others teach
citizens to walk streams, identifying locations of pollutant emissions and observing the effects of
these emissions on  water  quality or indicator species. The Izaak Walton League of America
trains citizens in this way. The citizens then report information to a national clearinghouse, which
notifies state orfederal agencies. State agencies also help fund the League's training and reporting
programs.
        Another vehicle for public participation is the establishment of coordination agreements
between the government and public organizations. For example, in Mexico, such coordination
agreements provide for joint activity on a particular issue or problem. The Mexican Federal Ecology
Law envisions coordination agreements between government environmental agencies and the
public aimed at facilitating joint administration, conservation and monitoring of protected nature
reserves.21
        The opportunity for post-project monitoring usually falls within the environmental impact
assessment (EIA) process. However, in practice, monitoring is the weak point of most EIA regimes.
Most EIA regulations do not explicitly require any monitoring. Yet, without monitoring, there can
be no guarantee that conditions imposed by the decisionmaking body on the project proponent

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        CASEY-LEFKOWITZ, SUSAN; FUTRELL, J. WILLIAM;  AUSTIN, JAY; AND BASS, SUSAN  227


are being implemented. Monitoring also provides an opportunity to assess the accuracy of impact
predictions and the effectiveness of proposed mitigation measures, thereby contributing to the
design of future projects and the improvement of future ElAs.
        Where national EIA legislation does require some type of monitoring, it rarely specifies
whether that includes citizen participatiorf.2  However, there are some exceptions. For example,
in the Philippines, once the environmental compliance certificate is issued, compliance monitoring
is normally conducted by the Department of Environment and Natural Resources (DENR) regional
offices as part of their standard regulatory and enforcement procedures23 But, with the emergence
of the concept of multi-partite monitoring, a monitoring team consisting of representatives from
the DENR, the project proponent, NGOs, and local community residents may jointly undertake
compliance  monitoring.  For example, to  ensure that industrial developers  comply with
environmental standards set by the government in the ongoing development of a major industrial
corridor in Northern Mindanao in the Philippines, representatives of local communities, together
with NGOs and government agencies, organized a task force to monitor compliance. The Philippine
DENR is creating in each regional office  a Regional Community Advisory and Monitoring
Committee whose membership will include NGOs and the private sector. The Committees will
be involved in all phases of EIA, including compliance monitoring.
        Post-project monitoring can also be required in the permitting process. For example, in
the Czech Republic, citizen involvement was encouraged during a public participation experiment
in Ostrava in 1992 which included post-project monitoring A facility for the reprocessing of
used mineral oil has been permitted with the condition that an independent citizen's commission
be established to control implementation of the permit conditions. In theory this process could
also be used in the Czech Republic for EIA post-project monitoring. The Czech Administrative
Code allows for the establishment of a special commission on post-project analysis for each
particular project to ensure application of a sound administrative permit.

3.2     Citizen inspections

        In some countries, government agencies are allowed to contract with citizen groups or
other associations to enlist their assistance in inspection efforts. For example, in Estonia, under
the Nature Protection Act, citizens can be deputized as "public inspectors." They are allowed to
write protocols about violations of nature protection rules, but they cannot take payment. These
public inspectors monitor compliance with laws, regulations, and permits concerning hunting,
fishing, and forestry?5
        In Poland, a similar institution exists in the form of the Nature Protection Guard, which
was  established 1957?6 This is an organization affiliated with conservation associations. Its aim
is to monitor compliance with nature conservation laws and its members have powers similar to
forest rangers. Authorized members of the Guard have the right to enforce nature conservation
laws directly through a procedure of ticketing violators and imposing a small fine. However,
Poland has  been slower at transferring this model to the pollution control area. The Polish
Environmental Protection Act of 1980 provides for the existence of a number of institutions meant
to facilitate public participation in monitoring compliance For instance, trade unions and other
associations can function as civic environmental protection bodies with in-house environmental
commissions or inspectors to monitor a company's environmental performance. However,  this
model has not had much chance to prove itself, partially because the Council of Ministers has not
issued the necessary regulations.
        Some countries allow citizens to demand inspections under limited circumstances. For
example, in the Czech Republic, under the Building Act, parties to the land planning decision and
investment permitting process have the right to demand the inspection of facilities prior to  and

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228   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
subsequent to completion. Another example can be found in Argentina where water quality
legislation allows private parties who have filed a complaint about a facility to participate in any
inspection of the facility during the investigation.27  The U.S. Surface Mining Control and
Reclamation Act of 1977 contains a similar provision"?

3.3     Public complaint process

        The public complaint process is one of the most common mechanisms for public input
in environmental enforcement. The process usually allows any person to file a complaint with the
state regarding activities that are causing environmental harm or ecological imbalance. The state
or municipal government is then required to look into the matter and provide a response within a
relatively short period of time.
        Some countries have an independent complaint committee or designated staff member
(ombudsman) at the national or local levels. Citizens can lodge their complaints with the committee
whenever they disagree with any measure taken by the government. The institution is  usually
funded by, but independent of, the government and is competent to deal with complaints on the
basis of statutory rules. The law providing for the creation of an ombudsman also regulates what
kinds of complaints may be reviewed. In many cases, the publicity achieved through the complaints
puts pressure on the violator to address the situation at hand.
        The ombudsman, as an officer of parliament with the power of oversight over organs of
state administration, is established under the constitutions of nine countries in Central and Eastern
Europe. Yet, this institution has not been fully implemented in this region. Ombudsmen have only
taken office in five countries, as of late  1995, three of these only during 1995P Only  Poland has
had substantial experience with an ombudsman in place. Nonetheless, the recent appointments
may indicate the momentum for ombudsmen is building and the next few years will be critical
ones in determining the long-term viability of such an institution in this region.
        In many countries, however, there is a more informal complaint mechanism or petitions
are used. For example, in Bulgaria, citizens and NGOs can petition or make a request to
environmental authorities if they discover violations of environmental law or regulations. In Albania,
there is a new energy law which specifies that citizens claiming legal violations on the part of a
license-holder have the opportunity to  file written complaints with the licensing agency, which is
obliged to require a response from those permit-holders. This has not yet been implemented or
tried in practice. In Mexico, the federal and state Ecology Laws contain provisions enabling any
person to file a complaint with the government regarding activities that are causing environmental
harm.30 The state or municipal government agency is required to look into the matter and provide
a response within a relatively short period of time.  In practice,  the public complaint process
appears to be among the most widely used means of bringing government attention to
environmental violations and enforcement problems. In Mexico, state enforcement officials in
Nuevo Leon found the public complaint process so useful that they established a special telephone
hotline to facilitate receiving citizen complaint^.1

3.4     Citizen enforcement actions

        In many countries, citizens are allowed to take legal action to enforce environmental
laws, either under constitutional rights, under specific provisions in environmental laws, or in
accordance with administrative or civil  codes. Legal action by citizens has been used to enforce
environmental regulations and duties against both governmental institutions and private entities.
Most public participation opportunities provide citizens with the opportunity to give their comments.
However, to participate effectively, citizens must also have some way to ensure that their comments
are considered and that the laws and  procedures are properly implemented. Political pressure

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        CASEY-LEFKOWITZ, SUSAN; FUTRELL, J. WILLIAM;  AUSTIN, JAY; AND BASS, SUSAN  229


can be used on elected officials, but special avenues are needed to challenge decisions of non-
elected officials. Without an administrative or judicial review process of agency decisions, public
participation in decisionmaking can be an empty gesture*?
        Avenues for direct public participation in enforcement include allowing citizens to intervene
in government enforcement proceedings through filing friend-of-the-court briefs, allowing citizen
participation in reviewing the terms of settlement decrees, allowing citizens to bring administrative
review proceedings, and allowing legal action to be brought by citizens to enforce environmental
law against the government or against violators3.3
        Government agencies are usually granted a great deal of discretion  in deciding
enforcement priorities. However,  in the  United States, Congress supplemented governmental
enforcement with citizen enforcement rights. This is done through explicit provisions in the major
national environmental statutes granting members of the public the ability to enforce the  law
directly against violators or to bring a suit against a government agency for failing to carry out
duties that are not discretionary (for instance, missing a statutory deadline). In the U.S., federal
environmental statutes grant "any person" the right to bring a citizen suit, with "person" defined
broadly to include individuals, corporations, associations, and governments. In most cases, citizens
need only show primarily that the law was violated, not that there was fault or causation linked to
actual or threatened harm. The cases usually result in certain action being ordered by the court,
or in civil penalties being awarded to the government. Citizens do not usually collect compensation
for personal injury or property damage in enforcement suits. However, if citizens succeed on  any
significant issue in litigation, they may be awarded attorneys fees, determined by the court.
        It is also common in the U.S. for environmental cases, including  citizen suits, to be
settled during the lawsuit. To ensure that settlements are enforceable, they  are often crafted as
court negotiated consent  decrees, with  interim deadlines for specific actions and  penalties. In
addition to citizen suit settlements, citizens who are parties to or have an interest in a government
enforcement suit often may participate in negotiating the terms of the consent decrees.
        Citizen groups in many  other countries have been experimenting over the past  ten
years with varying forms of citizen suits, such as defense of the public interest under the  civil
code. Under Colombia's Civil Code, citizen groups have the  right to bring cases or "popular
actions" (acciones populares) to enforce the law. The code gives the right to stop the threat of
harm to the public interest to an indeterminate group of people. Suit can be brought against  any
public  or private person causing threat of harm.  However, the plaintiff must show fault and
causation, not simply a violation of the law. The Dutch Civil Code defines an unlawful act as  any
act which neglects to fulfill a general legal duty84 However, again, the definition of "unlawful act"
also includes fault, damage, causation, and "relativity" (the legal  norm that has been violated
must have the purpose of protecting the injured person). Such requirements of proving negligence,
damage, causation, and relativity place  an extra burden on citizen groups trying to enforce  the
law.
4       TRANSBOUNDARY PUBLIC PARTICIPATION IN ENFORCEMENT
        EFFORTS

        In many countries, industrial and other activities in the border region affect both their
own populations and those of neighboring countries. It  is a generally recognized principle of
international law that a country should not harm the environment of another country.  If this
occurs, the affected country can hold the country of origin  accountable, and if necessary take the
matter to court, even to the International Court of Justice.

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230   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        In general, granting legal rights for the public to participate in enforcement efforts under
international treaties has not yet been broadly implemented or exercised.  Until recently, inter-
governmental agreements only rarely included rights of the individual citizens of the States in
their provisions.  Recent international treaties, such as those concerning transboundary
watercourses and transboundary results of industrial  accidents provide for limited  public
participation.36  Public participation in a transboundary context means that citizens on both sides
of a border have the same rights to access to information and legal  remedies.
        Until the United Nations Conference on Environmental and Development in 1992, and
the preparatory process which started several years prior to that, there was very little mention of
the "public" or of "individuals" in international environmental treaties. In general, there are several
points in a typical treaty that have at times allowed participation, or at least access to information,
by individual citizens (or by NGOs). These are:  1) the meeting of the Conference of the Parties;
2) EIA procedures; 3) exchange of information procedures; and 4) access to courts. For example,
the 1992 Convention on the Transboundary Effects of Industrial Accidents grants a citizen from
the affected country access to judicial and administrative proceedings in country of origin. In the
1993 Convention on  Civil Liability for Damage Resulting from Activities Dangerous to the
Environment, non-governmental organizations which have the goal of protecting the environment,
in accordance with national law, may make certain requests to administrative or judicial bodies in
the country of origin concerning prohibition of a dangerous activity or requirement of preventative
measures.
        The environmental side agreement to the North  American Free Trade Agreement
("NAFTA") created several mechanisms for public participation in promoting the enforcement of
national environmental laws in the U.S., Mexico and Canada.  Citizens may submit a complaint
to the North American Commission for Environmental Cooperation (the "Commission") whenever
they believe a party is failing to effectively enforce  its environmental law. The Commission can
also be requested to prepare report on environmental matters related to its cooperative functions.
        The public was responsible for bringing a  major transboundary environmental case to
the attention of the Commission. During the winter of 1994-95 between 20,000 - 40,000 migratory
water birds died in the Silva Reservoir in the central Mexican State of Guanajuato. As a result of
a petition filed by U.S. and Mexican NGO's, the  Commission assembled a team of scientists from
the three NAFTA countries to determine what killed the birds. Although it was originally believed
that industrial pollutants were entirely to blame for the deaths, the scientific panel concluded that
the cause of mortality of water birds at the reservoir was botulism, often caused by raw sewage.
The panel  then  recommended several  efforts and management options for improving
environmental conditions at the reservoir.
        Another example of transboundary  public  participation in enforcement can be found in
Western  Europe in  a case concerning the dumping of pollutants in the river Meuse. In 1993, a
Dutch court heard a case brought by a coalition of NGOs against the steel manufacturer Cockerill
Sambre alleging the illegal discharge of pollutants into the river Meuse in Belgium7. In its verdict,
the court obliged Cockerill to take bi-monthly measurements of the amount of chemicals released
in one day and to send these measurements to the environmental  groups for monitoring.  The
plaintiffs  had the  authority to bring the case in the  Netherlands due to a 1976 European Court
decision that in a case concerning an international  misdemeanor, the injured party could chose
the court. The European Court  decision is an  interpretation of the European Execution Treaty
which regulates the mutual recognition and execution of legal verdicts.38 Belgium and the
Netherlands are both party to this treaty.

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        CASEY-LEFKOWITZ, SUSAN; FUTRELL, J. WILLIAM;  AUSTIN, JAY; AND BASS, SUSAN  231


5       INTERNATIONAL COOPERATION AND CAPACITY-BUILDING

        In most countries, there are only a handful of environmental NGOs and lawyers working
to ensure public participation in implementation and enforcement of environmental law. However,
there are expanding international and regional networks of environmental professionals assisting
each other in building the capacity of local NGOs to participate in this area. International cooperation
and support is an important element to many environmental enforcement campaigns. In cases
where the developer or industry  is from  another country, outside information about the firm's
background and practices can be essential in public enforcement efforts. International attention
can also put pressure on a firm to come into compliance or lose goodwill, as  well as putting
pressure on a government that may have been reluctant or unable to place resources towards a
specific environmental enforcement effort. Finally, exchanges of information concerning public
participation strategies and tools provide an opportunity for NGOs to learn from each others
experiences.
        An example of a structured network for assistance  in the most direct type of public
enforcement effort — citizen enforcement suits — is the Environmental Law Alliance Worldwide
(E-LAW).39 E-LAW is an international network of public interest environmental attorneys dedicated
to collaborating across borders and sharing information in defense of the environment. E-LAW
has nineteen offices around the world  and has worked with environmental advocates in more
than 50 countries. E-LAW uses electronic mail to give these attorneys access to vital scientific
and legal information for use in their cases.
        A more loosely structured network of public participation activists can be found in Central
and Eastern Europe. Coordinated through the  Public Participation Program of the Regional
Environmental  Center (REC), environmental advocates wishing to promote public participation
in their countries have been coming together since 1992 to exchange information on strategies
used in their countries and to work together to develop country guidelines based on practical
experience.40 This network has served to build local capacity for public participation throughout
most of the region, focusing on both legal and informal tools.
        A third type of cooperation in environmental enforcement is the IUCN Commission on
Environmental Law.41 The Commission brings together environmental law experts from all regions
of the world to think through issues of environmental law implementation and enforcement. The
Commission focuses both on tools for implementation of national law, such as environmental
impact assessment, and on tools for implementation of the international treaties. Commission
members are involved in the current process of drafting a new Convention on Public Participation,
which was mandated after the European Environment Ministerial Conference in Sofia in 1995.
        An example of cooperative efforts within the IUCN Commission can be found in the
Western Hemisphere. In cooperation with the Commission, eight law centers from the Americas
have joined forces to address one of the fundamental conditions threatening the biodiversity of
the Americas and impeding the  sustainable development of local communities:  the lack of
adequate national laws regulating access to and compensation for local genetic resources. The
Biodiversity Convention,  which came into force in December 1993, establishes a broad framework
for national systems to conserve and manage biological resources. To assist in the development
and implementation of these systems, the eight law centers are working cooperatively to produce
a comparative  analysis of laws regulating access in each of their countries. The study will also
identify options and recommendations for reforming existing national laws on access  and
compensation.
        Environmental law professionals in the Americas also have collaborated on efforts to
disseminate information and provide training on the development and use of citizen enforcement
tools. In July 1994 U.S.  and Mexican environmental lawyers teamed to present  a workshop for

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232   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
community leaders in Southern Mexico on basic legal tools for the conservation of natural resources
and environmental protection.  In September 1993 the Environmental Law Institute, the Defensoria
del Pueblo, and the Fundacibn para la Defensa des Interes Publico presented an international
seminar in  Bogota, Colombia on new tools for exercising collecting rights, bringing together
experts from throughout the region.
        In addition to networks of individuals working on environmental law implementation and
enforcement, the U.S.-based  Environmental Law Institute (ELI) tried to build the environmental
law profession.42 ELI's focuses on building capacity of the institutions that are essential for a
workable system of environmental protection. It increases the effectiveness of legal practitioners
and other professionals through training and education. It transfers the best "legal technology" —
the tools that have been proven to work in conserving natural resources and public health to
other environmental professionals around the world. One example of this type of capacity building
is judicial training which ELI has sponsored in the Americas and in Central and Eastern Europe.
As mentioned earlier in  this  paper, a judiciary which understands  the  basic concepts of
environmental law and is open to citizen environmental enforcement efforts is crucial to effective
citizen participation in enforcement. For example, after a 1995 judicial training  workshop co-
sponsored by ELI and the Ukrainian environmental law group Ecopravo, the participating judges
concluded that Ukrainian trial judges not only must take new environmental legislation seriously,
but must play an active role in its development and implementation.
        These types of  formal and informal cooperation through networks of environmental
professionals have been essential to spreading experiences with new  techniques for public
participation in enforcement efforts and for building capacity in local NGOs and in  local  legal
structures to support such efforts.
6       CONCLUSION

        With the progress of democracy, more and more citizens understand their role, rights
and responsibilities related to social and political environmental conflicts and are more willing
and able to supplement governmental enforcement of environmental law. The basic groundwork
for public participation has been laid in many countries in the form of basic constitutional rights,
environmental protection laws, and specific public participation procedures. In a few countries, it
can be said that the legislation is more than mere declaration. However, most countries are still
at the initial stages of creating a system which is conducive to making good use of the public as
a partner in enforcement efforts.


        ENDNOTES


1.   Starting in 1990  as a collaborative effort between the U.S. Environmental Protection
     Agency and the  Netherlands Ministry of Housing, Spacial Planning and the Environment
     (VROM), the International Conference on Environmental Enforcement has become a
     highly successful international collaboration to build effective environmental compliance
     and enforcement programs. Already in the 1992 Budapest Conference, the citizens' role
     in enforcement was a central theme, focusing on why citizen  involvement was important
     and on  the techniques developed in the United States and Western Europe to facilitate
     this involvement.

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        CASEY-LEFKOWITZ, SUSAN; FUTRELL, J. WILLIAM;  AUSTIN, JAY; AND BASS, SUSAN  233


2.   The examples in this paper are based mostly on the authors experiences working with
    colleagues in Central and Eastern Europe and in Latin America.

3.   See Cross, "Rethinking Environmental Citizen Suits," 8 Temp. Env. L. & Tech. J. 55, 64-
    70 (1989).
4.   See "Private Watchdogs: Internal Auditing and External Enforcement — Three
    Perspectives," 17 Envtl. L. Rep. (Envtl. L. Inst.) 10,255, 10,263 (1987) and Snook, Robert
    D., "Environmental Citizen Suits and Administrative Discretion: When Should
    Government Enforcement Bar a Citizen Suit?" Nat'l. Envtl. Enfor. J., Apr. 1995, at 3.

5.   This may be especially true in state agencies and enforcement programs, whose
    employees tend to be closer financially, politically, and personally to the potential
    violators than are federal officials. See Smith, "The Viability of Citizen Suits under the
    Clean Water Act after Gwaltney," 40 Case W. Res. L. Rev. 1, 55-56 (1989-90).

6.   See Environmental L. Inst., An Analysis of Citizen Enforcement Actions under EPA-
    Administered Statutes V-11 to V-12 (Sept. 1984) [hereinafter ELI Study].

7.   See Webb, "Taking Matters into Their Own Hands: The Role of Citizens in Canadian
    Pollution Control Enforcement," 36 McGill L.J. 770, 819 (1991).

8.   In the United States, government agencies have expressed appreciation for citizen
    enforcement efforts.  See Chesapeake Bay Foundation v. Bethlehem Steel Co., 652 F.
    Supp. 620, 625 (D. Md. 1987) (citing Brief of the U.S. as amicus curiae in support of the
    Clean Water Act at 1-2, Student Public Interest Research Group v. Monsanto, 600 F.
    Supp. 1474 (D.N.J. 1985) (indicating that the EPA Administrator enthusiastically
    supported the role of citizens in enforcement proceedings)); ELI Study, supra note 6, at
    V-7; L. Jorgenson & J. Kimmel, Environmental Citizen Suits:  Confronting the Corporation
    — A  BNA Special Report 17 (1988) [hereinafter BNA Report]; Price, "Private
     Enforcement of the Clean Water Act," 1 Nat. Resources & Env't 31, 60 (1986).

9.   See Participation and Litigation Rights of Environmental Associations in Europe (M. Fuhr
     &G.  Roller eds. 1991).
10.  Environmental Law Institute, Draft Report Decentralization of Environmental Authority in
     Mexico: A Review of the Legal and Institutional Framework for Environmental Protection
     at the State Level (forthcoming 1996)

11.  See Illinois v.  Costle, 9 ELR 20243 (D.D.C. Jan. 3, 1979).

12.  Supra note 9.
13.  See MilieuKontakt, Dutch Environmental Organizations Go to Court (Amsterdam 1994)
     [hereinafter MilieuKontakt Report].

14.  Magyar Kozlony, 1994/N0.55 p1919.

15.  Regional Environmental Center for Central and Eastern Europe, Status of Public
     Participation Practices in Environmental Decisionmaking in Central and Eastern Europe,
     September 1995.

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234   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


16.  A 1984 report on citizen suits in the United States identified the lack of readily accessible
     information as "the single most important factor inhibiting citizen enforcement."  "The
     crucial variable" in a successful citizen suit regime was information provided to citizens in
     a form that identified key compliance indicators. ELI Studysupra note 6, at V-12 to V-13.
17.  Federal Water Pollution Control Act, 42 U.S.C. §12519? seq.

18.  See MilieuKontakt Report.supra note 13.

19.  42 U.S.C.A. §11001-11050.

20.  See Babich, Adam,  "Citizen Suits: The Teeth in Public Participation," 25 Envtl.L.Rep.
     10141, Environmental Law Institute, March 1995.

21.  Supra note 10.

22.  Report of the International Roundtable on Practical Implementation of EIA in Central and
     Eastern Europe, Slovakia, November 1995.

23.  Smith, David B., and van der Wansem, Mieke, Strengthening EIA Capacity in Asia:
     Environmental Impact Assessment in the Philippines, Indonesia,  and Sri Lanka, World
     Resources Institute, June 1995.

24.  Regional Environmental Center for Central and Eastern Europe, Status of Public
     Participation Practices in Environmental Decisionmaking in Central and Eastern Europe,
     September 1995 [hereinafter REC Case Studies].

25.  Id.

26.  Id.

27.  Ley 13.577 Creacibn de Obras Sanitarias de la Naci6n,  art. 31  and 32; Decreto 674/89
     Regimen contra la Contaminaci6n de Rios Bs. As. 24/V/89.
28.  30 U.S.C. §1271(a)(1).

29.  REC Case Studies, supra note 24.

30.  Supra note 10.
31.  Id.

32.  Babich, Adam, "Citizen Suits: The Teeth in Public Participation," 25 Envtl.L.Rep. 10141,
     Environmental Law Institute, March  1995.

33.  The mechanics of citizen suits are discussed in detail in the Environmental Law Institute's
     paper, "The Role of  Citizens in Environmental Enforcement," which was delivered at the
     Third International Conference on Environmental Enforcement  in  1995. Environmental
     Law Institute, The Role of the Citizen in Environmental Enforcement (ELI Working Paper,
     1992).

34.  Burgerlijk Wetboek,  article 6:162,  section 2.

35.  This has widely been accepted as a general principle of international law based on Article
     38(1 )(c) of the Statute of the International Court of JusticeSee a/so Principle 21 of the
     Stockholm Declaration (1972) and Principle 2 of the Rio Declaration (1992).

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        CASEY-LEFKOWITZ, SUSAN; FUTRELL, J. WILLIAM; AUSTIN, JAY; AND BASS, SUSAN  235


36.  Convention on the Protection and Use of Transboundary Watercourses and International
    Lakes, 1992 and the Convention on the Transboundary Effects of Industrial Accidents,
    1992.
37.  The "Cockerill Sambre" case, District Court of Maastricht, 3 February 1993. For further
    information concerning this case, see supra note 13.

38.  See Article 5, section 3.
39.  E-LAW can be contacted through its U.S. office at 1877 Garden Ave., Eugene, Oregon
    97403, telephone (541) 687-8454, facsimile (541) 687-0535, email:
    elaw.usoffice@conf.igc.apc.org

40.  The contact for the REC Public Participation Project is Magda Toth Nagy at Regional
    Environmental Center, Miklbs ter, H-1035 Budapest, Hungary, telephone (36-1) 250-
    3401, facsimile (36-1) 269-7210, email: magdi@fs2.bp.rec.hu

41.  The Commission can be reached through the IUCN Environmental Law Center,
    Adenauerallee214, D-53113 Bonn, Germany, telephone (49-228) 2692-231, facsimile
    (49-228) 2692-250, email: elcb@hq.iucn.ch
42.  Environmental Law Institute, 1616 P Street, N.W., Suite 200, Washington, D.C., 20036,
    telephone: (1-202) 939-3800, facsimile: (1-202) 939-3868, email: HTTP://www.eli.org

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                           ALOISI DE LARDEREL, JACQUELINE AND SKINNER, JOHN H.  237
INTERNATIONAL CAPACITY BUILDING FOR INDUSTRIAL COMPLIANCE
AND ENFORCEMENT —THE UNEP EXPERIENCE

ALOISI DE LARDEREL, JACQUELINE1 AND SKINNER, JOHN H.2
1 Director IE/PAC
2 Senior Advisor
United Nations Environment Program (UNEP), 39-43 Quai Andre Citroen, Tour
Mirabeau, 757339 Paris, Cedex 15, France
       SUMMARY

       This paper covers the UNEP Industry and Environment (UNEP IE) office experience
related to international capacity building for industrial environmental compliance and enforcement.
The rationale or need for such capacity building is discussed, some of UNEP lE's capacity building
programs outlined, and some observations on the goals of capacity building are made.
1      INTRODUCTION

       It is an honor for the UNEP Industry and Environment to be a co-sponser of this Fourth
International Conference on Environmental Compliance and Enforcement. UNEP appreciated
the opportunity to work with the other conference sponsors and organizers, the Thailand Pollution
Control Department, the US EPA, the Netherlands Ministry of Housing, Spatial Planning, and the
Environment, Environment Canada, the European Commission,  and the Environmental  Law
Institute and to participate in discussions of these timely and important subjects.
       We are very impressed by the conference theme of International Capacity Building.
This theme reflects the important need to bring together the combined resources and expertise
of all elements of society to effectively deal  with some of the complex health, safety and
environmental issues of the future. This concept of capacity building through global partnerships
and networks is clearly called for by Agenda 21 adopted at the United Nations Conference on
Environment and Development (UNCED) in Rio de Janeiro in 1992.
       This paper outlines some of UNEP lE's programs for environmental capacity building in
general, and in particular, our efforts with respect to capacity building for industrial environmental
compliance and enforcement. Finally, it offers some observations on the goals of partnerships
for capacity building.
2       INTERNATIONAL CAPACITY BUILDING AT UNEP IE

        The UNEP Industry and Environment program was established in 1975 to bring industry,
governments and non-governmental organizations (NGOs) together to work towards
environmentally sound forms of industrial development.  UNEP IE  was active in UNCED's
preparation and participated in the various industry fora. Following UNCED, UNEP IE reviewed

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 its strategy and reoriented its activities to better support the initiatives of Agenda 21.  A summary
 of some major activities with an emphasis on international capacity building follows.

 2.1     Cleaner production

        UNEP IE launched the Cleaner Production Program in 1990, in partnership with many
 organizations including OECD, ED, UNIDO, and the World Bank. This concept has now entered
 the sustainable development lexicon and is strongly supported in Agenda 21.  Our Cleaner
 Production Program today includes:  national cleaner production workshops held  around the
 world, a publications series translated into several languages, ICPIC the International Cleaner
 Production Clearinghouse, the establishment of National and Regional Cleaner Production Centres
 in cooperation with UNIDO  and a series  of cleaner production demonstrations  in China and
 Africa. The program networks with organizations and experts world wide and transfers information
 to a broad set of audiences.  In September of this year, in Oxford, England, this program will be
 reviewed and discussed to assess progress  made and suggest future directions.

 2.2     APELL

        The APELL Program (Awareness and Preparedness for Emergencies at Local Level)
 which promotes the prevention of, and response to, industrial accidents was developed in 1988
 and was also acknowledged in Agenda 21.  This is a good example of an international partnership
 actively developed by UNEP IE, the chemical industry (the International Council of Chemical
 Associations), and governments.  The first step was  to prepare the APELL Handbook which is
 now available in 14 languages, and which recommends national and local partnerships to prevent
 accidents and prepare for emergency response. Many APELL Seminars and Workshops have
 been held over the past five years reaching over 1000  local decision  makers from industry,
 government, local authorities, and communities. Over 70 national governments now have APELL
 focal points which disseminate APELL information to appropriate industries and agencies on a
 nationwide basis and the APELL network links the members of this network.

 2.3     OzonAction

        UNEP IE is also responsible for the  clearinghouse function envisaged in the Montreal
 Protocol on Substances that Deplete the Ozone Layer. The OzonAction Information Clearinghouse
 transfers information on ozone-depleting  substances including:  policy  and  technical options,
 descriptions of alternative technologies, an international directory of experts, document abstracts
 and news bulletins. Workshops, conferences and training activities are held around the world
 and country programs have been established to provide  practical assistance to industry and
 governments to help phase out ozone depleting substances. Regional networks of ozone offices
 are being established under the auspices of UNEP, enabling the sharing of information and
 experiences on the implementation of the Montreal Protocol.

2.4     Tourism and transport

        Agenda 21 cites the importance of tourism, one of the world's largest and fastest-growing
 industries, in promoting sustainable development. The UNEP IE tourism program, launched in
 1991 involves partnerships with international  organizations, particularly UNESCO and the World
Tourism Organization, and has developed links with tourism industry associations. The program
 involves publications, training, technical assistance, networking and the preparation of guidelines
on tourism and the environment.

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                            ALOISI DE LARDEREL, JACQUELINE AND SKINNER, JOHN H.  239
2.5     EnTA

        In 1993, UNEP IE launched a new program on Environmental Technology Assessment
(EnTA). The goal of EnTA is to encourage the use of technology assessment as a tool to support
the development and application of environmentally sound technologies that are consistent with
sustainable development. Two specific goals are to  encourage cleaner production and to
discourage the export and  use  of technologies that pose potential  environmental hazards,
especially in developing countries. To guide this effort,  an international advisory group has been
established, and an EnTA Newsletter has been published. This year we will be issuing a primer
and workbook on how to carry out an environmental technology assessment and will develop
guidelines on the environmental information that technology importers can and should provide to
importing countries. Also an important report to the Commission on Sustainable Development on
survey of information systems on environmentally sound technologies was issued this year.

2.6     Sectorial activities and information transfer

        UNEP IE sectorial activities provide comprehensive guidance to specific industry sectors
to encourage improved  environmental performance.  Environmental management tools and
technologies such as waste and energy audits are addressed. A series of technical guides have
been prepared jointly with industry and over 15 industrial sectors have been covered to date. The
response to these in other sectors show the need and demand for such technical guidance. The
Industry and Environment Review is issued quarterly and is distributed to over 10,000 persons
worldwide including government, industry and educational organizations. Each year UNEP IE
responds to over 5,000 requests  for information and documentation, and more than 500
researchers from academia, industry and government consult the UNEP IE library and database
resources.

2.7     Consultation with industry, government and NGOs

        UNEP IE has continuous consultation with its various partners in carrying out its programs
and responsibilities pursuant to  Agenda 21.  UNEP IE has also held specific consultations on
several subjects: voluntary codes of conduct, and corporate environmental reporting and
sustainable consumption patterns. In a UNEP project on voluntary environmental reporting, more
than 100 corporate reports on the environment were reviewed and some first  guidelines on
environmental reporting, were discussed. In a cooperative effort with the International Chamber
of Commerce (ICC) and The International Federation of Consulting Engineers (FIDIC), UNEP IE
recently issued an  Environmental Management System  Training  Resource Kit to help build
environmental management capacity of industrial managers. UNEP IE will continue to encourage
industry codes of conduct that promote voluntary compliance with environmental policies.

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3       CAPACITY BUILDING FOR ENVIRONMENTAL COMPLIANCE AND
        ENFORCEMENT

        Over the last few years, many governments have established environmental laws and
regulations to protect their country's environment and provide a level playing field for industry
competition. But the institutional capacities needed to ensure that all companies are equally
complying with the environmental standards are often weak or lacking. In order  to assist
governments build their institutional capability to carry out environmental compliance programs,
UNEP IE in 1992 published a report entitledFrom Regulations to Industry Compliance: Building
Institutional Capabilities
        To build on this  earlier work, UNEP IE, in cooperation with US EPA, VROM and an
international working group, developed a training manual to help governments develop their
institutional ability to ensure industry compliance with the country's environmental standards.
The training manual entitled Industry Environmental Compliance: A Training Manuabrovides
the context, examines different approaches, identifies critical elements of success and discusses
options when resources  are limited in developing  an effective compliance and enforcement
program. It promotes an integrated approach to help steer industry towards cleaner production
options rather than end-of-pipe solutions to meet environmental requirements.
        The training manual consists of four separate modules. The first module on institutional
aspects examines:

        •  why an effective compliance and enforcement program is important;
        •  its objectives and functions;
        •  its optimal hierarchical position, degree of centralization and integration;
        •  the optimal balance between the inspection,  permit and enforcement
          functions;
        •  the necessary interaction among government bodies, industry and the public;
        •  how to establish priorities and evaluate success; and
        •  how to phase-in functions as resources become available.

        The second module focuses on permits and provides answers to such questions as:

        •  what is an environmental permit, its role, its content;
        •  who should be required to have  a permit, who should  issue it and what
          criteria should it be based upon;
        •  how to make the permit enforceable and what to do when laws or regulations
          are imprecise; and
        •  what to do when resources are limited and how to introduce integrated
          permits.

        How to  monitor compliance and enforce compliance is covered in the third module.
Three sections focus on industry self-monitoring, government inspections and  enforcement,
covering issues such as:

        •  who should be required to self-monitor what,  how and when;
        •  how to adopt an integrated approach to self-monitoring;
        •  how to develop an inspection strategy  and  what guidance to provide to
          inspectors;

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                             ALOISI DE LARDEREL, JACQUELINE AND SKINNER, JOHN H.  241
        •  how to convert to integrated inspections;
        •  how to develop an enforcement strategy with appropriate responses to
          different violations; and
        •  what options exist when resources are limited.

        The fourth module deals with human and financial resources and examines:

        •  the types of resources needed for different functions; and
        •  the funding options.

        The appendices include:

        •  a case study of a fictitious country providing a discussion of common
          problems governments encounter in each of these four areas; and
        •  a summary of the  key points of each module in a form which can be easily
          photocopied onto  overheads.

        The training manual can be used for individual study orfor group training in local, regional,
national or international  settings. It complements  the  earlier UNEP IE publication on From
Regulations to Industry Compliance: Building Institutional Capabilities which prompted worldwide
interest and requests for assistance to put its principles into practice. The training manual was
successfully piloted to run the  training program in China for governments of rapidly industrializing
Asian countries.
        The training manual is now available from UNEP IE. Requests for UNEP IE assistance
in carrying out the training programs may also be considered.
        In November 1994 in Beijing and Behai, China, UNEP held a Training Workshop on
Industrial Compliance with Environmental Standards for Countries in Asia with Rapidly Advancing
Economies. This workshop covered the functions of a  compliance and enforcement program,
financial and human resource needs, inspections, permits, compliance monitoring and enforcement
response.   The target  group  was government officials dealing with industrial compliance and
related subjects in China, India, Malaysia, Singapore, Indonesia, Thailand, Pakistan  and the
Republic of Korea.  At end  of workshop participants developed a compliance program
implementation plan for their country.
4       OBSERVATIONS ON CAPACITY BUILDING

        Five observations about capacity building: First, capacity building should enhance
compliance with environmental laws and standards.  Capacity building should be viewed as
complimentary to  efforts aimed at environmental enforcement and not substitutes for them.
Capacity building can furnish technical and managerial assistance, provide forums for consensus
building and help  develop institutions within government and industry to  improve voluntary
compliance with environmental standards.
        Second, capacity building should encourage cleaner production and other preventive
approaches as the strategies of choice for dealing with environmental problems. The traditional
approach to environmental protection has been an end-of-pipe strategy that captures or removes
pollutants after they are generated, or cleans up contamination after it has occurred. A cleaner
production or preventive strategy is different, it means not creating pollution in the first place. This
can be accomplished by substituting less toxic materials in product designs, recycling within

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242   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
industrial processes or increasing process efficiencies, and extending product lifetimes. Cleaner
production usually entails cost savings in terms of reductions in waste treatment and disposal
costs, reduced liability for environmental damages,  lower raw material costs and process
efficiencies.
        Third, capacity building should support public information and environmental education.
Capacity building can improve information flow to stakeholders and decision makers and educate
the public on the nature of environmental problems and what can be done about them. Partnerships
can involve research into the social and economic aspects of environmental protection to better
understand and design economic incentives and information and education programs.
        Fourth, capacity building should encourage technology transfer and technical assistance
both on a domestic and international basis. The results of environmental research and development
must be transferred into the field as new and improved technological and management systems
are developed. Outreach efforts to apply the results of research are essential. This is especially
true on an international basis. Technology transfer to countries with developing economies is
especially important.
        Fifth, capacity building should provide for better integration of environmental policy with
other policies. Other national and international policies can have as strong or stronger influence
on environmental protection as can environmental policies. Consider the effect of energy policy
on the types of fuels used, transportation policy on the vehicle mix and modes of transportation,
and agricultural policy on fertilizer and pesticide use. The environmental effect of these policies
need to be assessed in national and international forums. Approaches that reconcile environmental
and other objectives need to be explored.
        To deal with the increasingly complex environmental challenges of the future new tools
and broader  based strategies will be necessary. UNEP IE looks forward to new partnerships that
recognize the needs and capacities of different groups and bring together the necessary resources
for continuous improvement in environmental protection and sustainable development.

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                                      KANIARU, DONALD AND KURUKULASURIYA, LAL  243
UNEP'S ROLE IN CAPACITY BUILDING IN ENVIRONMENTAL LAW

KANIARU, DONALD1 AND KURUKULASURIYA, LAE

1Deputy Director, Environmental Law & Institutions, Program Activity Center
2Chief, Regional Environmental Law Program, Regional Office for Asia and the Pacific.

United Nations Environment Program, UN Building, Rajadamnerm Avenue, Bangkok
10200, Thailand


1       INTRODUCTION

        Endogenous and genuine capacity building for sustainable development elaborated by
the United Nations Conference on Environment and Development in Agenda 21 demands a
concerted and coherent approach linking a number of components and based upon systematic
analysis. Genuine capacity building requires a systemic analysis which links several components.
Among them are; establishment of environmental institutions and machinery; the development
of policies and strategies;  the  preparation and enforcement of  laws and regulations; the
development and use of economic instruments and market-based incentives; mechanisms for
gathering, assimilating and dissemination of information; training of human resources in relevant
technical disciplines; the development of new analytical tools, such as, national environmental
profiles, impact assessment, environmental accounting,  environmental audits, environmental
indicators, environmental education, community involvement, technology development and
transfer, and financing.
        The essence of UNEP's response to these challenges in the area of capacity building
lies in a shift of focus from pollution control and environmental management to the broader area
of sustainable development and the more concerted, coherent and consistent approach it has
adopted, in partnership with relevant UN and other agencies, with emphasis on regional delivery.
Environmental Law - both international and national - constitutes just one of these components
of capacity building in this new context. By itself, even the best legal regime can not do much to
advance the pursuit of sustainable development goals. However, as Agenda 21 points out, laws
and regulations suited to country-specific conditions could  be among the most important
instruments for transforming environment and development policies into action if they are used -
in conjunction with the requisite human and other resource capabilities. They include capacities
for the development and application of appropriate policies, strategies and activities to achieve a
clean environment, natural resource security and integration of environment and development.

1.1    Activities to realize sustainable development

        Capacity building in environmental law encompasses three distinct but closely interrelated
areas of activity crucial to the realization of sustainable development. They are:

        •  The development of national policies and strategies for pursuing the goals
          of sustainable development upon which national legislative and institutional
          regimes must be based;
        •  Formulation, enactment, implementation and enforcement of country-specific
          national  legislation and institutions for environmental management for
          sustainable development; and,

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244   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        •  Active participation of States in the negotiation and adoption of international
          legal instruments on sustainable development, and their effective
          implementation.

1.2     Need for adequate environmental laws in developing countries

        Agenda 21 echoes the concerns expressed in several national reports to the United
Nations Conference on Environment and Development, that the inadequacy and ineffectiveness
of existing national environmental law is a major hindrance to effective environmental management
for sustainable  development.  Agenda 21 also emphasizes the  essential importance of the
participation in, and the contribution by all countries, including the developing countries, to treaty
making in the field of international law on sustainable development. It states, in Chapter 39, that
many of the existing international legal instruments and agreements in the field of environment,
have been developed without  adequate participation and contribution of developing countries,
and calls for provision of technical and/or financial assistance to enable these countries to effectively
participate in the international law making process. It calls for developing countries to be given
"headstall" support not only in their national efforts to implement international agreements or
instruments, but also to participate effectively in the negotiation of new or revised agreements or
instruments, and in the actual international operation of such agreements or instruments. Such
support should  include assistance in building up expertise in  international law, particularly in
relation to sustainable development, and in ensuring access to the necessary reference information
and scientific/technical expertise.
        The legal and institutional capacities to cope with the challenging tasks of achieving a
cleaner environment, natural resource security and the integration of environment and development
are often either lacking,  or weak and inadequate in many developing countries. Further, the
legislative and  institutional mechanisms for the implementation of global  and  regional
environmental conventions are all too often nonexistent or inadequate such agreements being
implemented, generally, through administrative directives. Full and effective participation in treaty
making processes is often hampered by inadequate information  and perhaps also by inadequate
consultations among  relevant national institutions and interest groups.

1.3     Need for implementation and enforcement

        Where  governments  have succeeded in developing  environmental legislation and
institutions which incorporate  some modern concepts of conservation and natural resource
management, these  often remain  unimplemented or inadequately implemented for several
reasons. Principal among these are, the piecemeal formulation of legislation without adequate
consultation among all relevant national institutions and interest groups to forge national consensus
on the policies upon which to base such legislation, including, interrelationships among national,
state, provincial and local institutions involved in the implementation of such legislation; lack of
essential material resources, equipment and trained personnel; and inability to mobilize sufficient
public interest and participation.
        Environmental legislation  is among the most pervasive elements of cross-sectorial
importance in environmental management for sustainable development. Environment touches
upon most sectors of development related activity, for instance water management, soil protection,
agriculture development, livestock management, mineral activity, transport, energy generation
and distribution, industrial development, forestry, fisheries, wildlife utilization, tourism, management
of human settlements etc. In addition to having an important contribution in each of these individual
sectors and  in their interrelationships and integration, the development and implementation of

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                                        KANIARU, DONALD AND KURUKULASURIYA, LAL  245
sound and effective environmental law may involve interaction with legislation and administrative
practices and institutions even beyond these sectors. For example, it may be necessary in this
process to coordinate the provisions, or the application, of environmental norms with the  legal
regimes dealing with property rights, land tenure, taxation, local government, customary institutions
and practices, and with administrative practices in the areas of national planning, fiscal policy
development, natural resource accounting etc.
        Thus, a sound and implementable legislative and institutional regime at the national
plane which is country-specific  is indispensable for effective environmental management for
sustainable development.  It is particularly important not only to ensure that the network of
environmental legislation and related institutions are substantively adequate and implementable,
but also that the implementing agency/agencies have the capacity in terms of human and material
resources to carry out theirfunctions effectively. Laws which are not properly implemented simply
serve to weaken the compliance morality of the population and undermine governmental policies
and achievements in the environment and development field. Further, the full participation of all
States in the development of international legal instruments, including global and regional
conventions in the field of sustainable development, is essential for achieving wider adherence
to, and efficient implementation of, such legal instruments.
        Environmental law undergirds and guarantees actions taken by governments and aid
donors to help achieve a cleaner environment, natural resource security, and the integration of
environment and development. Giving legal backing to these policies and programs, provides
those engaged in them with justification, stimulation and even protection since the agency or
ministry concerned can have  recourse to the law as a mandate for resource mobilization and
action. It also provides a sound basis for implementation and enforcement of national policies.
The relevant institutions can also serve a catalytic function, energizing governmental, administrative
and public involvement in environmental management for sustainable development.

1.4     Capacity building for developing countries and those in transition

        Clearly, there is a need  for a coordinated, cohesive, structured and sustained capacity
building program to assist developing countries and countries with economies in transition to
develop and effectively implement  legal  and  institutional responses at both international and
national levels to the new challenges for achieving environmental  management for sustainable
development. Having regard to the fact that the effect of having laws which are not implemented
could be even worse than having no laws at all, it is essential that programs for the development
of national legislative and institutional regimes culminate in galvanizing international cooperation
for the mobilization of the requisite human, material and other resources to augment national
efforts to realize effective implementation.
        Following the mandate it received from the United Nations General Assembly Resolution
3436 (XXX) to".... take measures designed to provide technical assistance to developing countries,
at their request, for the development of their national environmental legislation."., reiterated at
successive sessions of its Governing Council, UNEP has provided assistance to some seventy
five or more developing countries, at their request, to develop national environmental legislation
and related institutions. Such assistance includes review of existing national legislation and related
institutions, drafting of general  and sectorial environmental legislation and/or elements for use in
drafting legislation, preparation of legal components of national environmental and conservation
strategies and legal advice on appropriate legislation and institutions for environmental
management. Having regard to the comparative advantage it has in this field, Agenda 21 has
identified as some of the priority  areas on which UNEP should concentrate: the.?, provision of

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technical, legal and institutional advice to governments, upon request, in establishing and
enhancing their national legal and institutional framework, in particular, in cooperation with UNDP
Capacity Building efforts...."
        The wealth of experience and expertise that has been gathered over a period of some
twenty years has firmly established UNEP as an acknowledged leader in the area of capacity
building in environmental law. This was recognized in Agenda 21 (Chapter 38.22) which listed
this activity as one of the priority areas on which UNEP should concentrate. The same has
recently been echoed in the Secretary-General's Report on the In-depth Evaluation of UNEP's
Program, endorsed by the Committee for Program Coordination, which listed capacity building in
environmental law as one  of two areas of capacity building on which UNEP should focus
(Recommendation 14?. A practical demonstration of this recognition is the lead role given to
UNEP in the design and implementation of the Government of the Netherlands funded UNEP/
UNDP Joint Project in Environmental Law in Africa in partnership with the World Bank, IUCN and
FAO2. Maintaining and further strengthening this leadership role is the principal responsibility of
UNEP's Environmental Law and Institutions Program Activity Center (ELI/PAC).
        Assistance in the development of relevant sectorial legislation has also been rendered
by several UN agencies such as FAO, WHO, UNESCO, etc. International organizations such as
IUCN have also made a significant contribution in the development of national environmental
legislation in several developing countries. The World Bank and Regional Development Banks
have also assisted in  development of sectorial legislation related to their loan agreements.
        ESSENTIAL CAPACITY REQUIREMENTS IN ENVIRONMENTAL LAW
2.1     Goals and objectives

        The aim of capacity building in environmental law and institutions is to develop as
appropriate, human and material resource capabilities of countries, particularly developing
countries and countries with economies in transition, to achieve the following goals:

        •  To secure, in the light of their respective country-specific conditions, the
          development of  national policies  and strategies for environment and
          development, and facilitate their integration through appropriate legal and
          regulatory policies, instruments and enforcement mechanisms at national,
          State, provincial and local levels;
        •  To secure the effective implementation and enforcement of international
          and  national  legal and institutional regimes in the field of  sustainable
          development; and
        •  To secure the effective participation of these countries in the negotiation of
          new international legal instruments in the field of sustainable development
          and the review, and where necessary, revision of existing instruments, their
          international operation and effective implementation at national levels.


2.2     Fundamental considerations in UNEP's capacity building programs

        •  Capacity building in environmental law must be integrated within the larger
          framework of capacity building for sustainable development.

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                                        KANIARU, DONALD AND KURUKULASURIYA, LAL  247
        •  The programs must be appropriately designed and executed with a view to
          inspiring a  greater interest in and commitment towards the use of
          environmental law as an instrument for translating sustainable development
          policies into action and enabling national institutions and individuals to take
          appropriate initiatives, on a well informed basis, towards this end. They must
          be appropriately focused on the requirements of each target group, be result-
          oriented and be pursued on a sustained basis until results are achieved.
          Investments in capacity building have failed too often due to the absence of
          follow-up action.
        •  Capacity building should be directed at countries that demonstrate a serious
          and sustained commitment to pursuing the goals of environmental
          management for sustainable development, having regard to their respective
          absorptive capacities.  Preference should be given to the Least Developed
          Countries and to those in which UN agencies and bodies and other
          international  organizations  have major activities on environment and
          development in general, and in capacity building in particular. Such programs
          should be carried out in languages which promote effective communication.
        •  Interagency cooperation and collaboration in the design and implementation
          of capacity building is emphasized in Agenda 21 with a view to avoiding
          duplication, enhancing effectiveness and promoting a holistic, cohesive and
          integrated approach to capacity building for sustainable development
          applying the best available expertise. Such collaboration is crucial to the
          success of capacity building in environmental law and institutions.
        •  An essential component of the strategy for capacity building, particularly in
          the legal and institutional field, is the central role to be assigned to national
          experts in these areas to steer the whole process. It is they who are the best
          judges of national needs and possible options for action as seen within their
          own particular national milieu. In addition, the full participation of national
          experts invests in them the authorship in the final product, which helps
          advance the implementation process. It also provides them with the much
          needed exposure and experience required to deal with national sustainable
          development issues with greater confidence and facility. External expertise,
          wherever possible from the region, should be used to  support what is
          essentially a national undertaking.


2.3     Essential Capacity Building Requirements in the Area of National Legislation
        and Institutions

        •  Capacity to effectively integrate environment  and development in policies
          and practices of each  country. Towards this end, to promote consultative
          processes which leads to the forging of consensus on national policies and
          institutional regimes upon which national legislation is to be based.
        •  To review existing legal and institutional mechanisms, established,  in most
          cases, long before the urgency for taking measures to achieve sustainable
          development became imperative, with a view to restructuring such regimes
          to promote the realization of the goals of sustainable development.

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248    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND  ENFORCEMENT
        •  To promote the development of appropriate, country-specific, legal and
          regulatory policies, legislation and enforcement mechanisms for the
          integration of environment and development, at national, state, provincial
          and local levels.
        •  Having regard to the need for countries to develop their own priorities,  in
          accordance with their specific needs, to disseminate information and practices
          of States in the field of environment and development, including appropriate
          instruments  and compliance incentives, with a view to encouraging their
          adaptation and use, as appropriate, at national, state,  provincial and local
          levels through national training programs and other means.
        •  To disseminate information on judicial decisions touching upon legal and
          institutional aspects of sustainable development to judicial officers, with a
          view to advancing the frontiers of environmental law for sustainable
          development through judicial interpretation and decisions.


2.4     Essential Capacity Building Requirements in the Area  of International Legal
        Instruments

        •  Dissemination of information on scientific, technical, legal, institutional and
          other developments which constitute a backdrop to the development  of
          international legal regimes for sustainable development.
        •  Promotion of national consultative processes leading to the examination of
          relevant issues from a wider national perspective, paying due regard  to
          regional  and global perspectives, and consequently,  developing relevant
          national policies on a more informed basis.
        •  Assistance to  participate in international negotiating processes of new  or
          revised agreements or instruments.
        •  Assistance to implement international legal regimes, including development
          of appropriate legal, administrative and institutional mechanisms.
        •  Assistance to build up expertise in international law, particularly in relation
          to the broad range of legal and institutional issues connected with sustainable
          development, through appropriate training and education programs, as well
          as, dissemination of necessary reference information and provision of access
          to scientific and technical expertise.


2.5     Target Groups

        To achieve the aims  and objectives of capacity building in environmental  law and to
integrate it within the larger framework of endogenous capacity building for sustainable
development, programs must be appropriately designed to respond to the specific requirements
of the following target groups.

        •  Policy-makers, decision-makers and senior government officers, whether
          at the national or local level, responsible for the formulation of environmental
          and development  policies requiring the assessment of the need for, and
          scope of, legislation and related institutions, and also, national positions  for
          the development of international legal instruments.

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                                      KANIARU, DONALD AND KURUKULASURIYA, LAL  249
          Legal officers and legal draftsmen with responsibility for the preparation of
          draft legislation in the field of environment and development, who would
          receive technical advice and professional enhancement support.
          Authorities and agencies,  and their individual  staff members,  that have
          responsibility for administering, implementing and enforcing laws relating to
          environmental protection, natural resource management and integration of
          environment and  development, who will benefit from training, information
          networking and professional enhancement services.
          Grassroots organizations especially those representing local communities,
          women and youth, in addition to being stimulated to play a more active and
          fuller role in environmental management, decision  making,  and the
          development, implementation and enforcement of environmental law at the
          local level, could also provide an important source of traditional knowledge
          relating to environmental management for sustainable development.
          Non-governmental organizationsactive in regard to the development and
          implementation of policy, legal and institutional aspects of environment and
          development. Their effective participation in the decision-making process
          and in environmental management tasks generally should  be encouraged.
          The media should also be encouraged to play its role effectively to stimulate
          the development and effective implementation of environmental law.
          The private sector especially with  regard to industrial  compliance, should
          also be encouraged to take a leadership role in community activities aimed
          at achieving the objectives of sustainable development.
          Universities and  other institutions specializing in  environment and
          development studies which have  programs in environmental  law and
          management should be further strengthened and in regard to the teaching
          of these subjects and their active  engagement in offering  assistance and
          training to national environmental institutions.
          Developments in the field of environmental lawespecially those attributable
          to judicial interpretation and decisions should be made accessible to members
          of judicial bodies with a view to promoting the harmonization of environmental
          law through the  application of the doctrine of precedent in judicial
          interpretation and decisions.
3       NEW APPROACHES TO CAPACITY BUILDING IN ENVIRONMENTAL LAW

        The Post-UNCED context demands a heightened role for UNEP as the leading instrument
of the international community to raise the world's conscience regarding actions that are creating
negative environmental impacts and to catalyze the development and implementation of policy
options to respond to urgent environmental issues, in the context of sustainable development.
Capacity building to enable nations to pursue sustainable development paths is central to UNEP's
mandate. It constitutes a linchpin of its restructured program, "UNEP: The New Way Forward",
which is designed to respond to the new challenges of UNCED. The principal strategic elements
of this new program are an integrated and coordinated approach, needs-responsive and result-
oriented program design, partnership with UN and other agencies, and regional delivery.

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        Against this background UNEP's new strategies for capacity building in environmental
law underscore the following fundamentals:

        •  Integration of capacity building in the legal and institutional field within the
          larger framework of endogenous capacity building for sustainable
          development as elaborated in Agenda 21 and towards that end, to harmonize
          ELI/PAC's capacity building activities in a multi-program approach with those
          of UNEP's other divisions, units and regional offices;
        •  Partnership with the secretariats of major environmental conventions, as
          well as other UN bodies, agencies and intergovernmental  and non-
          governmental organizations active in the area of environmental law and
          institutions so as to ensure cohesion, complementarity and continuity of the
          program, avoid duplication of efforts and resources, and heighten
          effectiveness;
        •  Design and implement programs in partnership with national/regional experts,
          which respond to the specific requirements of each country/region, taking
          full account of their respective absorptive capacities and towards that end to
          fully engage the specialized knowledge of UNEP's regional offices regarding
          the needs and requirements of countries in each region in both the design
          and delivery of such programs; and
        •  Investing in national experts the full responsibility for developing and steering
          the process of legal and institutional development through national
          consultative and participatory processes, with UNEP in partnership with other
          agencies, facilitating their work through the provision of technical advice,
          and a range of legal information and material.

        Within these key parameters, UNEP's capacity building activities in environmental law
had been directed at the following:

        •  Identifying the existing gaps and shortcomings in domestic environmental
          law, its implementation and enforcement and in the related  institutional
          structures, taking careful account of the work which has been undertaken in
          this respect by the governments and other international agencies, and the
          capacity of each country to develop and effectively implement country-specific
          legal and institutional regimes for environmental management for sustainable
          development;
        •  The provision of assistance for the formulation, enactment and enforcement
          of national environmental legislation and the establishment or enhancement
          of related institutional structures for effective environmental management to
          achieve sustainable development, covering general, cross-sectorial and
          sectorial issues and, including the implementation of international
          environmental agreements;
        •  The facilitation of advice and through interagency collaboration - in particular
          with UNDP's Capacity 21 and the World Bank's National  Environmental
          Action Plans, - assistance required by the governments to effectively and
          efficiently implement the legislative and institutional regimes, including
          provision of equipment and other material resources required for carrying
          out effective environmental management, within the framework of the legal
          and institutional regime;

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                                       KANIARU, DONALD AND KURUKULASURIYA, LAL  251
          Providing legal training and other human resource development programs
          in the field of environmental law and institutions, to enable the authorities
          and individuals dealing with these matters to discharge their functions with
          greater effectiveness and efficiency;
          Providing a network of information and resources to assist in the development
          and implementation of environmental legislation and related institutions
          including the development,  adoption and application of environmental
          standards; and
          Enhancing the capacity to participate effectively in the negotiation,
          development and implementation of international environmental agreements.
4       UNEP'S ACTIVITIES IN CAPACITY BUILDING IN ENVIRONMENTAL LAW

4.1     National Legislation

        UNEP has substantially restructured its assistance program to focus on sustainable
development issues, as against pollution control and environmental management, which was
the principal focus of its pre-UNCED program. In addition, these activities are linked to bilateral
and multilateral cooperation programs, such as the World Bank's National Environmental Action
Plans in order to maximize synergies and ensure an integrated and systemic response to countries'
needs. New areas being addressed in the  development of national legislative and institutional
regimes include, institutional mechanisms  for integration of environment and development in
decision making at national, state and provincial and  local levels, economic instruments for
promoting sustainable development, such  as, Environmental Impact Assessment and green
audits, industrial compliance and enforcement, public participation, including, citizens' suits, and
innovative funding and dispute avoidance and settlement measures.
        The previous practice of relying on foreign consultants to  develop national  laws  has
been replaced by investing the responsibility for this work on a representative Task Force of
national experts. It is they who, through participatory and consultative processes, develop the
necessary national legislative and institutional mechanisms in the context of the particular
circumstances and administrative practices of their respective countries. Technical assistance,
legal material and information is provided to the Task Force, as may be required, by ELI/PAC
staff in collaboration with the partner agencies. Such programs have been carried out in more
than twenty-five countries, at their request, during the three years since UNCED. These include:
in Africa - Burundi, Central African Republic, Chad, The Gambia, Ghana, Kenya, Lesotho, Malawi,
Nigeria, Sao Tome and Principe, Mozambique, Sierra Leone, Sudan, Tanzania and Zambia; in
Latin America and the Caribbean - Barbados, Bolivia, Chile, Trinidad and Tobago; and, in West
Asia and Asia and Pacific regions - Cambodia, Jordan, Kiribati, Lebanon, Oman, The Philippines
and Sri Lanka.

4.2     Human Resource Development

        The strengthening of human and material resource capabilities of countries, especially
developing countries and countries with economies in transition to develop  and effectively
implement environmental law at international and national levels in the new context of sustainable
development is the avowed aim of UNEP's programs in this field. Activities in this area since
UNCED include two Global Training Programs and four regional training programs. Two regional
training programs and  one at national level are planned for later this year. Several innovative

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measures have been included in the post-UNCED period to make these programs more focused
and result-oriented. The regional and national programs,  in particular, are focused on specific
aspects of law of special relevance to them, such as, the workshop held in China on Industrial
Compliance for countries in Asia with rapidly advancing economies, and those held in Western
Samoa and Bahrain which focused on national environmental legislation of the Pacific Island
States and West Asia, respectively. In designing each program, basic prerequisites are ensured,
i.e. adequate advance preparation of participants, appropriate teaching methodologies and focused
and sustained follow-up action . Some innovative mechanisms have  been introduced.
Environmental problems and issues of concern to the participants are received in advance of the
Program, which enables Resource Persons to focus on real issues, promote vibrant interaction
and enhance the usefulness of the programs to the participants. Participatory and experiential
teaching methodologies are applied having regard to the high level of participation that these
programs attract. Follow-up programs are  designed for each participant based on  continuing
support for accomplishing "special assignments" and for responding to their legal information/
material requirements. Arrangements have also been made with UN agencies and bodies and
other international organizations to provide necessary assistance to the trainees. A training-by-
attachment program which provides a 4-6 week exposure to selected senior officials of developing
countries and  countries with economies in transition at  UNEP's Legal Offices, Convention
Secretariats and other UN agencies and bodies began in 1992. Eight participants from  Egypt,
Barbados, Fiji, Jordan, Malawi, Cuba, Mozambique, and Burundi have benefited from this program
so far. With a view to strengthening the teaching of environmental law at universities, this program
is being expanded to include University professors,  who will be attached to Law Faculties of
other Universities in their respective regions which have well developed teaching programs in
Environmental Law.
        The principal objective of the legal information and publications program is enhancing
the information and knowledge base of those working in the field of environmental law in
government, universities and other institutions, and the public generally, especially in developing
countries and countries with economies in transition. It also provides an essential support service
to UNEP staff, particularly those working in the legal  and institutional field. Among the information
tools of particular relevance developed since UNCED, are the Computerized Environmental Law
Information Base (CELIB), which contains legal information collected by UNEP over a period of
over twenty years in both international and national environmental law; the texts of over 200
International  Environmental Conventions and Agreements, as well as the  Register of
Environmental Treaties. Two indexed compendia of national framework  legislation and E.I.A.
legislation have been compiled and a  biannual bulletin  serves to inform those interested in
environmental law worldwide of UNEP's activities  in this field. Collaboration with Convention
Secretariats in the development and dissemination  of information, and with other organizations,
particularly IUCN, with a view to enhancing efficiency and  avoiding duplication, constitute a
cornerstone of this program.


5       PARTNERSHIP

        Since UNCED, UNEP's  Environmental Law Program has  pursued  collaborative
partnerships not only with governments but with several UN agencies and bodies and international
organizations, universities and professional bodies. The aim of such partnership is to draw on
the experience of various UN and other organizations to mutually reinforce the effectiveness of
the respective programs, to build upon the work already carried out by various agencies, and to
avoid wasteful duplication  . The UNEP/UNDP Joint Project on Environmental  Law in  Africa,

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                                       KANIARU, DONALD AND KURUKULASURIYA, LAL  253
funded by the Government of The Netherlands and implemented in collaboration with the World
Bank, FAO, WHO and IUCN described elsewhere in this publication was the first major joint
undertaking in this field and has paved the way for closer collaboration with these and other
organizations in several other legal activities as well. This was followed by the signing of an
Agreement for Cooperation in the Field of Environmental Law between UNEP and IUCN, which
provides a framework for cooperation between the two organizations in several areas including
development of international environmental law, legal training, and dissemination of legal
information. Partnerships have also been forged with The United Nations Institute for Training
and Research (UNITAR) and The United Nations Commission on Human Settlements (Habitat)
which have collaborated in the design and conduct of two major Global Training Programs in
Environmental Law attracting participants from over 50 developing countries and countries with
economies in transition. Over 450 applications were received for participation in these two Global
Training Programs. UNEP is working in partnership with IUCN, the University of Singapore, The
United Nations University (UNU) and ESCAP to develop and carry out regional capacity building
programs at The Asia-Pacific Center for Environmental  Law established at the University of
Singapore. UNU's expertise is also being drawn into UNEP's initiatives to develop environmental
law curricula and  strengthen the teaching  of environmental law in Universities particularly of
developing countries. The two organizations regularly provide resource persons for each others'
training programs  in the field of environmental law,  thereby, contributing to creating a judicious
balance between the academic and practical aspects of environmental law in the training programs.
        In its program for the development of international environmental law, UNEP is working
closely with several  recognized institutions active in the field, such as, the Foundation for
International Environmental Law and Development (FIELD),  the Center for International
Environmental Law (CIEL), and the Environmental Law Center at the Georgetown University in
Washington DC A workshop on Implementation and Compliance was convened in collaboration
with FIELD early in 1995, and two workshops on the Development of International Law in the
direction of Sustainable Development were convened jointly with CIEL and the Georgetown
University Law Center later in the year. Relations with National Law Institutes are also being
strengthened through joint sponsorship of mutual programs, as for example, the sponsorship of
the Indian Law Institute's International Symposium on Environmental Law.
        FOOTNOTES

1.   Document No. E/AC.51/1995/3

2.   See Partnership in Action: UNEP/UNDP Joint Project on Environmental Law in Africa, in
     this volume.

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                                                           BECKER,  SUSAN 255
INTERNATIONAL CAPACITY BUILDING FOR ENVIRONMENTAL
COMPLIANCE AND ENFORCEMENT

BECKER, SUSAN

Environment Management Adviser, Sustainable Energy & Environment Division, United
Nations Development Program (UNDP)

405 East 45th Street, FF1006, New York, NY 10017, USA
       SUMMARY

       A summary of UNDP's primary objectives, modes of operation and forms of support for
building capacity in environmental enforcement and compliance is provided.
1      THE UNITED NATIONS DEVELOPMENT PROGRAM

1.1     General description of the organization

       The United Nations Development Program (UNDP) is the United Nations largest provider
of grant funding for development, and the main body for coordinating UN development assistance.
UNDP's purpose is to help developing countries, and countries moving from centrally planned to
market economies, build capacities for "sustainable human development" - development that
center's on people.
       UNDP has three overriding goals:

       •  To help the United  nations become a  powerful and  cohesive force for
          sustainable human development.
       •  to focus its own resources on a series of objectives central to sustainable
          human development, namely: poverty  elimination; creation of jobs and
          sustainable livelihoods; advancement of women; and, protection and
          regeneration of the environment.
       •  To strengthen international cooperation for sustainable human development
          and serve as a major substantive resource on how to achieve it.

       Within the framework of sustainable human development, UNDP's Executive Board
has recognized "poverty elimination" as the overriding priority in UNDP programs.  It has also
decided that countries with annual per capita incomes of US $750 or less should receive 88 per
cent of UNDP's core resources.

1.2     Universality

       UNDP derives its core resources, totaling about $1 billion a year, from the annual voluntary
contributions of governments that are members of the United Nations or its agencies. All major
policy decisions and financial allocations are determined by a 36-member Executive Board,
whose members are from both contributor and program countries.

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1.3     Global reach

        With 136 offices worldwide, UNDP has the largest on-the-scene representation of any
development assistance organization. Through these offices it supports the development efforts
of 175 countries and territories, working with governments, organizations of civil society, and the
people who  benefit from its support. Eighty-five per cent of UNDP's staff members serve in
country offices and 15 per cent at its Headquarters in New York.
        This extensive network also enables UNDP to facilitate the cooperation for development
provided by the UN system as a whole.  The Resident representatives that head UNDP offices
are usually also Resident Coordinators of UN operational activities for development and represent
many UN organizations.  Their duties include administering special-purpose funds such as the
UN Capital Development Fund (UNCDF); the United Nations Volunteers (UNV); and the UN
Development Fund for Women (UNIFEM).
        When disasters or emergencies occur, Resident Coordinators play an important
role in  coordinating relief efforts, in cooperation with the UN Under-Secretary-General for
Humanitarian Affairs  and other UN agencies.  In addition,  the resident coordinator is ex-
pected to take the lead in mobilizing international assistance for rehabilitation  in countries
that are recovering from major disasters and emergencies.

1.4     Access to worldwide expertise

        To execute the  programs and projects it supports, UNDP draws upon developing
countries' own national technical capacities, as well as the expertise of over 30 international and
regional agencies, academic and research institutions and many non-governmental organizations.
This enables it to deliver  the exact type of specialized assistance required. It also ensures the
effectiveness of UNDP's  global and interregional programs which address worldwide concerns
such as food security, safe motherhood, tropical disease control and HIV and AIDS.

1.5     Catalytic role

        Over and above  its core funding, UNDP helps to mobilize additional financial support for
governments' priority programs. Contributions of some $900 million yearly are provided for
UNDP  administered special purpose and trust funds, and for particular programs through "cost
sharing" contributions from  both donor and program  countries.
        In addition, UNDP support activities stimulate some $9 billion a year in collaborative
funding from public and private sources.

1.6     Program activities

        UNDP works both  "upstream," giving  governments essential policy advice, and
"downstream," providing funds for activities with short term tangible benefits. Support is provided
to:

        •  Build governments' capacities to manage development. Areas of assistance
          include public sector reform; aid coordination; economic management and
          market reform; democratization (encompassing electoral processes, human
          rights protection and establishment of independent judiciaries); and improving
          cooperation with organizations of civil society.

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                                                               BECKER, SUSAN  257
        •  Help countries develop operational frameworks for sustainable human
          development, for example, by defining development goals, linking global
          themes and resources to national priorities and identifying external financing
          and technology needs.
        •  Assist governments in identifying, designing and implementing long-term
          development programs, including strategies and plans which respond to
          national development objectives.
        •  Help countries mobilize additional financial resources needed for their
          development activities - from domestic sources, or from multilateral lending
          institutions such as the World Bank and regional development banks.
        •  Promote access to and adaptation of scientific knowledge and suitable
          technologies.
        •  Further Technical cooperation Among Developing Countries, whereby
          countries work together for development or match needs and capacities for
          their mutual benefit.
        •  Strengthen capacities in civil society for participatory grassroots development
          that empowers people and their non-governmental and community based
          organizations.
        •  Directly finance projects that validate policy ideas, demonstrate grassroots
          success or launch promising innovative activities.
        •  Help forge North-South partnerships and secure international  agreements
          on global issues, such as desertification control and climate change.
        •  Contribute to peace  building and conflict  prevention  through support for
          national and regional reconciliation, reintegration of returning refugees and
          displaced people, reconstruction of war-torn communities and the training
          of demobilized soldiers for remunerative employment.


1.7     Programming tools

        UNDP work includes the preparation of several program and project documents, some
of which are prepared every 3-5 years and others which are prepared on an as required basis.
These major documents, by their generic name, include a Country Strategy Note, Program Note,
Cooperation Framework and specific thematic programs and projects.
2       CAPACITY BUILDING

        The breadth of the topic of capacity development, much like that of sustainable
development, encompasses a wide  range of aspects including the human, technological,
organizational, financial, scientific, cultural and institutional. It does not lend itself to clear definitions
or a consensus on its meaning. Indeed, most discussions on the topic quickly tend to broaden
out to deal with the overall process of development. It therefore may be useful to restate the
definition in Agenda 21, i.e., that capacity building  is/he process  and  means through which
national governments and local communities develop the necessary skills and expertise to manage
their environment and natural resources in a sustainable manner within their daily activities
The main ideas, according to UNDP,  behind this concept are the following:

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        •  strengthening peoples' capacity to achieve sustainable livelihoods;
        •  a cross-sectorial multi-disciplinary approach to planning and implementation;
        •  an emphasis on organizational and technological change and innovation;
        •  an emphasis on the need to build social capital (i.e. voluntary forms of social
          regulation) through experimentation and learning; and
        •  an emphasis on developing skill and performance of both  individuals and
          institutions.

        To assist in the field of capacity building, UNDP gives attention to the  enabling
environment or the broader context of capacity building programs —  political, social, cultural,
legal, institutional — and ways in which key stakeholders can support or prevent progress. In
other words, capacity building for UNDP  is defined in its broadest sense and is not limited to
training and education activities.
        In the context of UNCED, UNDP was given the responsibility to task-manager on capacity
building for Agenda 21.
3       TECHNICAL SUPPORT FOR CAPACITY BUILDING IN ENVIRONMENT

3.1      Sustainable energy and environment division (SEED)

3.1.1    General description

        An important element in turning UNDP's sustainable human development mandate into
reality is SEED — the Sustainable Energy and Environment Division.  Established  in 1994,
SEED consolidates UNDP's wide range of energy, natural resources  management and
environmental support activities into one division. By bringing this wealth of substantive expertise
into a coherent whole for the first time, SEED enhances UNDP's technical capacity, competence
and responsiveness to country demand. This innovative consolidation provides UNDP - and its
partners in government and civil society - with new possibilities for improving the effectiveness of
global and national policies and programs related to energy, the atmosphere, agriculture, forests,
waters, land biodiversity and other natural resources, and environmental management as a whole.

3.1.2   Integrating environment and development

        SEED'S primary objective is to support the integration of environmental protection and
management with other aspects of UNDP's development program.  In addition, SEED seeks to
maximize the effectiveness of UN operational activities and strengthen international cooperation
in support of strategies, policies and programs focused on the essential linkage of environment
and development. It works towards these goals through UNDP's country offices and regional
bureaus at headquarters by providing support in the following areas:

        •  Helping to incorporate environmental concerns at the earliest possible stages
          of national planning and economic decision making.
        •  Helping to design and implement projects and programs to promote
          sustainable energy, encourage sustainable management and use of natural
          resources, protect biodiversity and  combat desertification and land
          degradation.

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                                                               BECKER, SUSAN  259
        •  Disseminating knowledge, training, tools and technologies to build capacity
          in both government and civil society to help achieve the goals of Agenda
          21.

3.1.3   Divisional structure, synergy and collaboration

        Five operational units, each with its own program responsibility and areas of technical
expertise, comprise SEED. While the units actively make inputs into one another's programs -
and increasingly collaborate operationally - they continue to maintain their own distinctive nature
and focus. SEED represents an innovation through synergy and diversity, rather than uniformity.
        The five existing SEED units, based in New York, are: Energy and Atmosphere Programs;
Natural  Resources Management; The Global Environment Facility; UNSO-Office to Combat
Desertification and Drought; and, Capacity 21.

3.1.4   SEED supported activities related to compliance and enforcement

        a) Capacity 21

        While each of the units has a particular segment of environmental compliance and
enforcement which it could support, the primary unit responsible for this topic is Capacity 21.
        Capacity 21 was launched at the United Nations Conference on Environment and
Development in Rio de Janeiro in 1992.  The program is a novel and catalytic initiative that
supports developing countries in building their capacity  to integrate the principles of Agenda 21
- the plan of action for sustainable development endorsed by more than 180 countries - into
national development.
        Capacity 21 pursues three main objectives: assisting countries to incorporate the
principles of sustainable development into their development plans and programs; assisting
countries to involve all stakeholders in development planning and management;  and creating a
body of experience and expertise in sustainable development and capacity building that will be
of continued material value to developing countries,  UNDP, UN specialized agencies, NGOs,
donors and others. At the end of its second year of operation, Capacity 21 had on-going programs
in more  than 40 countries; additional activities are under development in 10 other countries.
        One of the more relevant, yet unique, examples of Capacity 21 support for compliance
and enforcement is seen in the project RAF/93/013 Environmental Law and Capacity Building in
Africa.   The  project involves 10-12 African countries and is managed through a cost sharing
arrangement with the Government of the Netherlands, UNDP, UNEPandthelUCN. It addresses
the following needs:

        •  Strengthen the capacities and capabilities  of participating Government
          institutions with a view to facilitating a switch from vertical functioning attitudes,
          especially policy initiatives and decision-making to integrating multi-sectorial
          management approaches to environmental legislation, and enforcement for
          sustainable development;
        •  Institute a program for human  resource development related to legislative
          and institutional strengthening, including training and dissemination of
          information;
        •  Create enabling environment through improvement/ revision of  existing
          environmental and related institutional mechanisms with a view to promoting
          efficient, rational and sustainable utilization of natural resources.

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        In each of the targeted countries the project will develop country specific responses
that:

        •  Provide a detailed needs assessment of legal and institutional regimes for
          sustainable environmental management both on a sector and cross sector
          basis.
        •  Assist in preparation of national legislation.
        •  Assist in implementing environmental legislation, including the putting in
          place of institutional structures which ensure that managerial functions at all
          levels are properly integrated and coordinated to provide an effective
          framework for environmental  management, including inter-ministerial
          coordination and conflict resolutions.
        •  Provide institutional capacity building in the form of training, dissemination
          of information and exchange of experiences.
        •  Promote consensus building for environmental legislative reform processes.

        Capacity 21 is a UNDP trust fund managed by SEED. In order to access these funds
countries must make requests to their local UNDP offices which  in turn forward the  request to
their respective geographic bureau at UNDP-HQ New York. A Capacity 21 Management Group
meets occasionally to review  requests for Capacity 21  funds submitted through the Regional
Bureaus. Capacity 21 programs are traditionally broad in scope, rather than focusing on a single
aspect of Agenda 21.  Two examples of relevant Capacity 21 projects are attached herein as
Annex 1. The criteria for obtaining Capacity 21 support through a UNDP country office includes
those listed in the checklist in Annex 2.

        b) Forest capacity program

        The purpose of the Forestry Capacity Program (FCAP) is to support building capacity in
developing countries to implement their National Forestry Programs.  The focus of this Program
is to design and implement policies that will encourage the various actors to make decisions
which result in sustainable management of tropical forests for socio-economic development and
environmental conservation.
        As demand is expected to exceed the availability of resources, their allocation under the
program will be guided by criteria which include:

        (a) degree of government commitment to the FCAP goals and objectives;
        (b) importance of the  country's forest resources;
        (c) contribution of the sector to the national economy  and the respective
          development potential;
        (d) severity of forest degradation and the number of people affected;
        (e) needs for conservation of biodiversity as well as soil and water resources;
          and
        (f) type and extent of  FCAP assistance needed.

        It is important to establish a participatory planning and implementation process, and a
multi-disciplinary approach to  forest issues.  A variety of local institutional arrangements which
bring together relevant ministries, international organizations, NGOs and CBOs may be appropriate
to support such an approach. This project would provide assistance for supporting existing

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                                                              BECKER, SUSAN  261
institutional arrangements or setting up new ones where needed.  Coordination of donor
participation in NFPs requires further institutional capabilities which this program also aims to
support.
       The detailed design of a FCAP should be based on a comprehensive assessment of
the national and local capabilities to initiate and undertake long term forestry planning and to
implement programs and projects. The purpose of the program is to fulfill the essential technical
and institutional conditions for forestry development planning, while simultaneously enabling the
country to begin, or enhance, the FCAP process, particularly with regard to sectorial and project
planning, consultative mechanisms, policy design and implementation, and monitoring and
evaluation.
       Given the above, the FCAP has the ability to deal with legislation, policy and regulations
governing the forest sector. The projects supported through this special fund do not deal solely
with compliance and enforcement,  but includes these issues as part of overall forest sector
management. Assistance through an FCAP project may entail drafting new legislation, writing
regulations, implementing legislation, guidelines,  codes  of practices, and monitoring  and
enforcement thereof. For example, in the Cameroun, an FCAP project was mandated to provide
the team responsible for writing the specific text for the application of the new forestry law and
accompanying degrees. Similarly, the FCAP project in Bhutan has enabled the country to finalize
text for a new Forest and Nature Conservation Act (1995), which has been approved by the
Cabinet for submission to the National Assembly. The enforcement of many sections of the new
Act will require the preparation of rules and regulations, which will be entrusted to a Task Force,
also supported by the project.
       Support for FCAPs can be obtained directly through the Natural Resources Management
Unit of SEED.
4      ADDITIONAL UNDP SUPPORT FOR CAPACITY BUILDING GENERALLY

       UNDP can support capacity building in environmental compliance and enforcement
through its regular country level activities.  Country programs are developed by countries in
consultation with UNDP country offices. These activities are designed to provide support in the
thematic areas listed under 1.1 above.  Governmental and non-governmental  organizations
seeking assistance for support in capacity building for environmental compliance should therefore
contact the resident representative in their country to discuss methods of obtaining support from
the UNDP core allocation to the country.
       In the past support has been provided for training, institution building, programs in
governance and democratization processes, support for the creation of market based systems,
grants for civil society activities and so forth. The spectrum is broad, and requirements and
needs vary in each country.
5       UNDP'S RECENT EXPERIENCE WITH REGULATIONS AND COMPLIANCE

        In 1992 UNDP issued the Handbook and Guidelines for Environmental Management
and Sustainable Development. These guidelines were based on the rules and procedures of
UNDP at the time, and had some resemblance to strategic environmental assessment criteria. A
significant training program was launched after the guidelines were released, and over 120 country
offices hosted the training course. Although the guidelines are considered relevant and necessary,

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their implementation has been limited. Communication about the guidelines was abundant when
they were distributed, yet the guidelines were issued without any compelling reasons for their
utilization, either negative or positive. From this experience, UNDP is in the process of drafting a
new policy on the implementation of the guidelines which will hopefully provide incentives and
disincentives for the use of these protective measures.
6       CONCLUSIONS

        UNDP is committed to capacity building for sustainable human development.  Indeed,
using the broad definition of capacity development explained above, nearly all of UNDP's support
falls within this category, and certainly it is UNDP's priority in topics related to Agenda 21. UNDP
support is country driven - requests emanate from the countries, not from or through the
organization's headquarters. New proposals stemming from government or civil society for support
in areas related to capacity building for environmental compliance should accordingly be discussed
with UNDP country offices directly.

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                                                             BECKER, SUSAN  263
ANNEX 1      UNDP CAPACITY 21 PROGRAM EXAMPLES

       These are two of a series of summaries of Capacity 21 programs currently under
implementation around the world. One is for Lebanon and one is for Honduras. Series documents
and general program information are available through the UNDP Internet Gopher Server at
gopher.undp.org. Please address any questions by e-mail to CAP21@undp.org  or by mail to
the Coordinator, Capacity 21,  Sustainable Energy and  Environment Division, United Nations
Development Program,  1 United Nations Plaza, FF-10th Floor, New York, NY 10017, USA. Fax
1 (212)9066973.


           A. CAPACITY 21  PROGRAM SUMMARIES. NUMBER 3. LEBANON

Program Title: Establishment  of  an enabling environment for integrating the principles of
              sustainable development in Lebanon.
Program Number: LEB/93/G81
Start Date: September 1994
Duration: 2 years
Executing Implementing Agency: Government of Lebanon, Ministry of the Environment
Cooperating Agencies: UNEP and METAP
Capacity 21 Contribution 550,000 US$
Cost Sharing:  60,000 US$, UNEP
             42,675 US$, IPF Subline


1      IN BRIEF

       After seventeen years of war, and the social and environmental turmoil associated with
it, the Government of Lebanon faces the extraordinary task of planning, financing and executing
a comprehensive reconstruction of the country's infrastructure. The Government has also chosen
this as an opportunity to improve its development strategies and will use Capacity 21 support to
create an enabling environment for sustainable development. Included will be plans and strategies
for sound environmental  management and capacity  building for all sectors involved in the
sustainable use and development of Lebanon's resources.


2      BACKGROUND

       Environmental  profile Political and social attitudes during the war placed few limitations
on the use of natural resources,  and Lebanon's environment has severely deteriorated from
overexploitation. The depletion and degradation of land, water, air, coastal and other resources
have reached  critical levels, as has pollution by solid waste, sewage, chemicals and industrial
development.  A laissez-faire attitude has prevailed in Lebanon regarding land use planning,
environmental  regulation and the exploitation of natural resources, and no regulatory or monitoring
legislation currently exists.
       Cultural profile The years of civil conflict in Lebanon were also socially devastating.
Emigration of  skilled Lebanese was widespread, and by 1990 almost 750,000 people were
displaced, exacerbating both human and economic suffering.  Disadvantaged and vulnerable
groups were particularly affected, compounding previous regional imbalance. Disparities between
men  and women have also been widened.

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        Lebanon's response The Government of Lebanon has embarked on the implementation
of a US$ 2.25 billion Program of National Emergency and Reconstruction (NERP). The NERP
concentrates primarily on the rehabilitation of water, waste water, solid waste, electricity, housing
and education sectors. The Program is broadly managed by the Council for Reconstruction and
Development (CDR). While the NERP has an  implicit environmental  component, it does not
adequately integrate environmental concerns into its proposed rehabilitation and reconstruction.
        The Government has also established the Ministry of State for the  Environment. However,
an outdated legislative framework and nonexistent enforcement mechanisms  hinder Lebanon's
ability to regulate activities to ensure sustainable development. Current development and
reconstruction practices are therefore often launched in ways that are neither environmentally
sound nor sustainable.
3       POINTS OF EMPHASIS

        Though the main thrust of this program will be support for environmental management,
all sectors that impact sustainability will be supported and involved in implementation.
        This is the first attempt to integrate environmental  and sustainable development
issues into the national planning process of reconstruction and development.
        ANTICIPATED RESULTS

        •  National institutions established for sustainable development.
        •  An effective legal and regulatory framework for sustainable development
          and effective administration and enforcement of this framework, including
          economic instruments and market incentives.
        •  Enhanced capacity of stakeholders to participate in and apply the
          Environmental Impact Assessment (EIA) process.
        •  Ability of the Ministry of Environment and other stakeholders to:
           - ensure coordination of environmental monitoring;
           - use the information acquired for improved decision making,
           - establish systems for integrated environmental; and
           - economic  accounting,  promote greater awareness of the need for
             sustainable development, and facilitate greater access to information
             for sustainable development.

        •  Availability of and access to  resources necessary for sustainable
          development.
        DEVELOPMENT OBJECTIVES

        •  To create an enabling environment for integrating the principles of sustainable
          development in decision making processes in Lebanon

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                                                             BECKER, SUSAN  265
6      IMMEDIATE OBJECTIVES
6.1     To establish national institutions for the sustainable management of
       development
               Indicators of Achievement
       •  A program for the consultation and participation of all stakeholders in the
          planning of the mandate and functions of the Ministry of Environment (MOE)
          agreed and in operation
       •  Ministry of Environment Development plan approved by government
       •  Legislation to support the Ministry of Environment
       •  Ministry of Environment established
               How will Achievement be assessed
       •  Capacity 21  reports

6.2    To develop an effective legal and regulatory framework for sustainable
       development

6.3    To propose actions  for effective administration and enforcement of this
       framework, including economic instruments  and market incentives
               Indicators of Achievement
       •  Review of all policies, strategies and institutional arrangements relating to
          sustainable development
          - Existing laws revised
          - New laws drafted and presented to Government
               How will Achievement be assessed
       •  Capacity 21  reports
          - Review of government legislative process

6.4    To enhance the capacity of stakeholders to participate in and apply the
       Environmental  Impact Assessment (EIA) process
               Indicators of Achievement
       •  Stakeholder groups identified and consulted
       •  Procedures for stakeholder participation and consultation, including criteria
          for participation, developed
       •  A program of awareness and training in operation
               How will Achievement be assessed
       •  Interviews with stakeholder representatives:  government, private  sector,
          NGOs

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       •  Workshop reports

6.5    To enhance the ability of the Ministry of Environment of Lebanon to:
       •  Ensure coordination of environmental monitoring.
       •  To use the information acquired for improved decision making; and
       •  To establish systems for integrated environmental and economic accounting.
               Indicators of Achievement
       •  Environmental monitoring requirements and capacities of all sectors reviewed
          and assessed
       •  A cooperative inter-institutionalprogram of environmental monitoring drawn
          up and agreed by cooperating parties
       •  Equipment, personnel and training needs defined
       •  Priority equipment obtained
       •  Environmental monitoring program in operation
               How will Achievement be assessed
       •  Capacity 21  reports and interviews with representatives of sectors and
          institutions
       •  Capacity 21 reports
       •  Government of Lebanon reports

6.6    To enhance the capacity of the Ministry of Environment and of other
       stakeholders:
       •  to promote greater awareness of the need for sustainable development;
       •  to facilitate greater access to information to help secure the objectives set
          for sustainable development
               Indicators of Achievement
       •  Implementation of the Sustainable Development Network Program (SDN)
          Proposal
               How will Achievement be assessed
       •  SDN Program reports

6.7    To ensure that the necessary short and long term resources are made
       available for sustainable development
               Indicators of Achievement
       •  Government strategy for funding development in a sustainable fashion
       •  UNDP strategy for IPF investment in sustainable development prepared
       •  A program of resource mobilization among donors operating

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                                                               BECKER, SUSAN  267
               How will Achievement be assessed

       •  Government reports
       •  Country Office reports
       •  Capacity 21 reports

       B.  CAPACITY 21 PROGRAM SUMMARIES. NUMBER 10. HONDURAS

Program Title: Integrated Programto Strengthen Indigenous Groups to Protectthe Environment
              and the Cultural Patrimony
Program Number: HON/93/G81
Start Date: September 1993
Duration:  3 years
Executing Agency: Honduran Institute of Anthropology and History
Capacity 21 Contribution: 700,000 US$
UNDP/IPF Funds: 300,000US$
Cost Sharing:  300,000 US$, Government of Honduras, in-kind contribution 500,000 US$,
               Third Party Cost Sharing


1      IN BRIEF

       By working with indigenous groups who live in the most ecologically fragile Honduran
forests, Capacity 21 will help Honduras to build legal instruments, technical resources, and human
capacities that will harmonize external pressures with environmental protection. Institutional
capacity in Honduras will be strengthened in order to integrate environmental conservation with
human development in a manner that satisfies the aspirations of indigenous minorities, who are
typically alienated from mainstream patterns of development.

2      BACKGROUND

       Environmental Profile. Tropical forests are currently being deforested at rapid rates by
migrant farmers and cattle ranchers, leading to loss of biodiversity and environmental degradation.
Estimates of destruction are 15,500 hectares per yearforconiferousforests and 64,500 hectares
per year for broadleaf deciduous forests, the latter being  the most important ecosystem for
biodiversity. If these rates continue, the tropical forests of Honduras will disappearwithin the next
twenty years.
       Cultural Profile. Competing economic interests (primarily of migrant farmers, cattle
ranchers and tourism developments) are forcing indigenous groups off their traditional lands,
leading to  a gradual extinction of  these ethnic communities. The threat to survival of these
communitiesis also a threat to their vast knowledgeand a threat to the endangered species such
as tapirs, spider monkeys, harpy eagles and others which have coexisted together for centuries.
       Honduran Response. To combat the intensified occupation and degradation of their
traditional lands, representatives of the Toplan, Lenca, Tawakha, Miskito, and Garffuna tribes
recently presented a series of petitions to President Callejas requesting guarantees for "land
tenure, personal security, and self-determination of their autonomous cultures". The President
has recognized the need to support these indigenous groups in their efforts and has, in turn,
supported the integrated environmental and development strategies proposed in this program.

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3       POINTS OF EMPHASIS

        The social and economic aspirations of the communities that depend on natural resources
for their survival must be considered and integrated into environmental protection plans and
conservation goals.
        Ethnic groups who still inhabit the forest are living examples of ecological harmony and
can provide a wealth of knowledge regarding the forest flora and fauna.
        This  program is multi-disciplinary, involving indigenous groups and specialists in
anthropology, agro-ecology, education, health, artisans and eco-tourism development..


4       ANTICIPATED RESULTS

        A legal framework that guarantees the survival of forest-dwelling ethnic groups while
permitting the viable protection of biodiversity in fragile zones and the conservation of the nation's
cultural patrimony.
        A protected corridor system from the Rio Platano Biosphere to the Bosawas Reserve in
Nicaragua.
        A legal and functional  consolidation of ethnic settlements in ecologically fragile zones
and creation of buffer zones to  contain deforestation by cattle ranchers and migrant farmers.
        A technical plan for integrated resource management, combining elements of customary
and modern management systems. A group of pilot communities will also be established to test
this plan.
        Strengthened public administration systems of the indigenous groups through training
in community development, natural resource management, forest/biological reserve administration,
eco-tourism and other fields.
        A package of demonstration micro-projects at the village level, encompassing sustainable
resource management, agroforestry,  food security,  primary health care, bicultural education,
traditional crafts and eco-tourism under tribal control. Funding strategies for the implementation
of these projects will also be created.


5       DEVELOPMENT OBJECTIVES

5.1      Involve indigenous communities in the economic, political and cultural
        development of Honduran society


5.2     Achieve a rational use of natural resources, guaranteeing their continued
        existence to ensure  ecological balance and to provide the population with
        the benefits of their sustained use as a basis for development of the region
6       IMMEDIATE OBJECTIVES

6.1      Define a development concept for the  region which  incorporates the
        sustainable use of natural resources, by achieving the  following objectives:

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                                                              BECKER, SUSAN  269
6.2     Reform the public, private and non-governmental institutional structure for the
        promotion, management and coordination of development programs
                       Indicators of Achievement
        •  An understanding developed in government and in communities of traditional
          public administration systems
        •  Minimum capacities identified that is needed to guarantee survival of ethnic
          groups and biodiversity
        •  Indigenous people trained through specially designed training programs
        •  Increase in sharing of information between ethnic groups
                       How will Achievement be assessed
        •  An interdisciplinary study of indigenous systems
        •  Interviews with representatives of government and communities
        •  Capacity 21 reports
        •  Reports on training sessions. Interviews with trained people
        •  Interviews with representatives of groups

6.3     Involve local populations in the management and use of resources and in
        benefiting from them
                       Indicators of Achievement
        •  The legal and functional consolidation of ethnic settlements
        •  Creation of buffer  zones to contain deforestation by rancher and migrant
          farmers
        •  Integration of traditional management systems and new technology in a
          plan for integrated resource management
        •  Plan tested in pilot communities
        •  Communities involved in micro-projects,  and funding strategy for
          micro-projects in place
                       How will Achievement be assessed
        •  Government legislation documents, visits to settlements
        •  Government legislation, inspection of management plans for buffer zones
        •  Review of plan
        •  Reports on pilot programs
        •  Reports on micro-projects and funding strategy

6.4     Conserve and protect the ethnic cultural heritage of the indigenous population
        of the region as a means of strengthening their cultural and national identity

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               Indicators of Achievement

       •  Development of a legal framework that guarantees the survival of indigenous
          forest-dwelling groups while permitting the viable protection of fragile
          biodiversity and national patrimony
       •  Creation of new protected areas: establishing a protected corridor from the
          Rio Platano Biosphere to the Bosowas Reserve in Nicaragua

               How will Achievement be assessed

       •  Government legislation
       •  Review of legal status of protected areas

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                                                            BECKER, SUSAN  271
ANNEX 2.  CHECK LIST FOR ASSESSING PROPOSALS TO CAPACITY 21
       This checklist is a tabulated compilation of criteria and guidelines established by the
UNDP Governing Council for programs to be supported under Capacity 21.  Everything in the
table supports the central principles of Agenda 21, to which UNDP Program Countries are
signatories.
 REQUIREMENT
      SOURCE OF
     REQUIREMENT
COMMENT
 Country has demonstrated
 strong   commitment   to
 implementing Agenda 21 and to
 achieving     sustainable
 development. Commitment will
 normally be demonstrated
 through the actions of UNDP's
 main counterpart ministries,
 especially those concerned with
 central planning and finance.
 Commitment of specialized
 agencies,        including
 environmental agencies may be
 insufficient if they do not have
 adequate support.  Adequate
 funding   of  the  agencies
 responsible    for     the
 implementation of Agenda 21
 may be a good indication of
 commitment.
UNDP Governing Council.

Agenda 21, Chapters Integrating
environment and development in
decision making.

Agenda 21 Chapter 8, Section
8.12 - Strengthening National
Capacity.
 The nation's development plans
 in  general and the Country
 Program in particular manifest
 support   to   sustainable
 development, and planning
 frameworks recognize the long
 term nature of investment in
 sustainable development.  An
 aim is to bring about changes ir
 commitment and attitude towards
 sustainable development.
UNDP Governing Council.

Agenda  21,   Chapter  8
Integrating environment and
development in decision making
 The program that Capacity 21
 will support is designed to assist
 the achievement of sustainable
 development  through  the
 integration  of processes of
Agenda  21,  Chapter  8  -
Integrating environment and
development in decision making
 sustainable development into
 national development planning

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     REQUIREMENT
      SOURCE OF
     REQUIREMENT
COMMENT
Country has adopted, or plans,
a   broad   programmatic
approach   to   achieving
sustainable development.
Agenda 21, Chapter 8 - Section
8.12 - Strengthening National
Capacity.
The Capacity 21 proposal is of
central importancein helping to
shift development processes
towards        sustainable
development, (i.e. it is not "just
another" conventional program,
and Capacity 21 is not simply
being used to compensate for
general shortage of resources).
UNDP Governing Council.
The Capacity 21  proposal is
innovative i.e. it helps to bring
about a genuinely new and
pioneering   approach   to
sustainable development in the
country concerned.
UNDP Governing Council.
The catalytic nature of the
Capacity 21  proposal can be
demonstrated and will lead to
the mobilization of resources for
sustainable development by
helping  to  plan  national
budgetary requirements,  by
helping to allocate national
resources appropriately, and by
securing external resources.
UNDP Governing Council.
Although the  outputs  of
Capacity 21 proposals will be
national in impact, there must
be consistency with regional
and global initiatives including
the GEF, Montreal Protocol etc.
UNDP Governing Council.
Capacity 21 proposals should
be formulated locally on the
basis of a participatory and
Agenda  21,  Section 3  -
Strengthening the Role of Major
Groups - Chapters 27-32.
transparent  process  that

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                                                           BECKER, SUSAN  273
    REQUIREMENT
    SOURCE OF
   REQUIREMENT
COMMENT
involves consultation with
NGOs, the private sector,
government, UN agencies and
other donors. Proposals should
give  full  support  to  the
participation of civil society to
participate   in    program
execution.
UN  agencies  should  be
included in consultations at all
stages of proposal preparation,
and involved in program
execution where appropriate.
 UNDP Governing Council.
Proposals will normally give
consideration to improving
access to information  and
networking within the country
and between countries.
Agenda 21, Chapter 40 -
Information for Decision Making
Preference given to good
programs from LDCs.
UNDP Governing Council.

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274   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                                 ADEN, JEAN  275
WORLD BANK SUPPORTED ENVIRONMENT INSTITUTION BUILDING
INVESTMENTS

ADEN, JEAN

Institutional Specialist, Environment and Natural Resources Division, Asia Technical
Department,The World Bank, 1818 H Street N.W., Washington, D.C. 20433,  USA
        SUMMARY

        A main focus of Bank lending for the environment is to strengthen public sector institutions
responsible for environmental protection and management at the national and subnational levels.
As of July 1995, twenty such projects, involving commitments of nearly $670 million and total
project investments of close to $1.2 billion, were under implementation. All of these projects
have been approved since fiscal 1990 and almost two-thirds in the three years since UNCED
(see Table 1 for projects approved since Rio).  Many of these projects support implementation of
National Environmental Action Plans. While some of these operations include sizable investment
components, all of them include significant technical assistance, training, and studies components.
1       NEW ENVIRONMENTAL INSTITUTIONS PROJECTS

        Four new environmental institutions projects were approved in fiscal 1995 involving
Bank financing of $135 million for a total investment of more than $220 million. Of these, three
are comparatively small technical assistance operations, while the fourth is much larger, combining
investment and institutional development components in the Russian Federation.  The Benin,
Honduras, and Trinidad and Tobago operations are described below; the work initiated in the
Russian Federation is discussed in Figure 1.  In addition, the Institutional Development Fund
(IDF) is providing increasing support for activities with an environmental or social focus, as illustrated
in Figure 2.

1.1      The Benin Environmental Management Project

        The Benin Environmental Project will support  the development of environmental
management capacity at the national level and help the government of Benin to implement the
National Environmental Action Plan adopted in June 1993. It will pursue capacity building and
institutional  support, including streamlining and strengthening  national  environmental
responsibilities, reinforcing policy implementation and coordination mechanisms, promoting better
preparation and enforcement of the environmental regulatory framework, developing an effective
environmental regulatory framework, developing an effective environmental information system,
and enhancing environmental monitoring and evaluation capability. The project will also promote
public awareness of environmental issues and the integration of environmental considerations in
the education system.

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276    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
   STRENGTHENING ENVIRONMENTAL MANAGEMENT IN THE RUSSIAN FEDERATION

           Like many other countries in transition to market economies, the Russian Federation
  has inherited a costly environmental legacy from decades of growth that neglected to take
  environmental factors into account in national investment decision making.  As elsewhere,
  moreover, the environmental management system is fragmented and uncoordinated, with many
  government agencies sharing some responsibility for environmental concerns.  Because the
  capital requirements for resolving environmental problems in the country are high,  priorities
  must be set and interventions selected to address these priorities in a cost-effective manner.
  Among the institutional and financial problems that need to be tackled are the unreliability of
  much existing environmental data, ineffective laws and regulations for environmental protection,
  poorly defined management and organization responsibilities, inadequate budget allocations, a
  breakdown of the traditional command and control system for pollution abatement and nature
  protection, inappropriate criteria for emission standards, and the lack of sufficient medium-term
  investment funds.
          To support efforts to address these issues, a loan of $110 million was approved this
  year by the Bank for the Environmental Management Project to support, among other things,
  environmental management and institutional strengthening at the federal level and in the North
  Caucasus, Upper Volga, and Urals regions.  More specifically, the project will assist the Russian
  Federation in establishing and Environmental Framework Program, estimated to cost a total of
  $282 million over four to five years whose objectives are to:

          •  incorporate environmental and natural resource management concerns
             directly into the economic, social and political adjustment process at the
             federal and regional levels of government;
          •  strengthen and streamline government institutions for environmental and
             natural resource management;
          •  improve the formulation and implementation of environmental and natural
             resource management systems;
          •  strengthen financial delivery mechanisms to address priority environmental
             management investment needs  through the setting up and initial
             capitalization of a National Pollution  Abatement Facility; and
          •  facilitate the flow of donor and multilateral  resources to the
  	environmental protection sector.	
Figure 1.  Strengthening Environmental  Management  in the Russian  Federation

1.2     The Honduras Environmental Development Project has three principal sets of
        objectives:

        •  to strengthen government capacity for environmental planning, policy, and
           regulation, interagency and intersectorial coordination, and monitoring and
           enforcement of environmental laws and regulation;
        •  to assist the Ministry of the Environment in implementing national and
           participatory system of EAs and  in developing methodologies for their
           preparation, processing, and review; and
        •  to develop environmental management capacity at the municipal level, with
           greater grassroots  participation, and increase financial support for pilot
           environmental projects at the municipal and community levels as well as for
           small and microenterprises using the Honduran Social Investment Fund.

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                                                                    ADEN, JEAN  277
                 USING THE INSTITUTIONAL DEVELOPMENT FUND TO IMPROVE
                           ENVIRONMENTAL MANAGEMENT

           The Institutional Development Fund is a grant facility for financing technical assistance
   for institutional development not directly linked to planned Bank Group lending operations. The
   Institutional Development Fund enables a quick response for funding small, action-oriented
   initiatives identified during the Bank's economic and sector work and policy dialogue.  The
   Institutional Development Fund came into operation in 1992, and in the first two years committed
   nearly $27 million in grants to 101 projects, funding a wide variety of recipients and critical
   institution-building activities that otherwise might not have been funded.
           The Institutional Development Fund's focus is broad, but a number of its grants have
   social and environmental objectives at their core.   For instance, a $190,000 Institutional
   Development Fund grant was approved to strengthen organizational management in agriculture
   and natural resources in Malawi; a $100,000 grant was awarded to build  capacity for
   environmental management in Sao Tome and Principe; $190,000 was granted for formulating
   environmental policy and strengthening environmental capacity in the Lao People's Democratic
   Republic; and $430,000 was awarded for a local environmental management program in the
   Donetsk Oblast, Ukraine, which includes an air quality management program and a public
   awareness component  as a first step in Ukraine's budding environmental program.  Other
   grants awarded by the Institutional Development Fund since 1992 have been used to carry out
   innovative institution-strengthening programs for indigenous peoples in Bolivia, Chile,  and
   Guatemala; to manage national cultural property in Albania; and to provide assistance to China's
   Ministry of Water Resources and India's Ministry of Forestry and Environment.
Figure 2.  Using the Institutional Development Fund to Improve Environmental
           Management

1.3     The Trinidad and Tobago Environmental Management Project

        The Trinindad  and Tobago will also work to establish the necessary institutional
arrangements for environmental regulation and management, along with a priority environmental
work program based on a National Environmental Action Plan to be formulated under the project.
It will include a public awareness program and an environmental training program for the public
and private sectors. It will also support the activities of the Environmental Management Agency.
During project preparation, the government fostered a major participatory effort to draft legislation
for the agency, which was opened up for public review and substantially revised on the basis of
comments received before the legislations was introduced into parliament.
        In  addition to the operations approved in fiscal  1995, the Urban Environmental
Management Project in Colombia, currently under preparation, should be noted because of its
highly innovative nature. This proposed technical assistance operation capitalizes on the
government decentralization currently taking place in Colombia to build institutional structures
for managing environmental problems in four major urban centers:  Barranquilla, Bogota, Cali,
and Medellin. This will be the first Bank project to focus exclusively on environmental institution
building at the urban and municipal level.  In each of these  municipalities, new environmental
institutions  have been established to address a broad range of urban environmental issues,
including water supply  and  sewerage, water pollution, air pollution, and waste management.
The proposed project will support these institutions by focusing on environmental planning,
organization structures,  regulatory strengthening, and the provision of training and equipment for
the participating cities.

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   278    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        Environmental institution-building projects often face particularly complex implementation
challenges due to the cross-sectorial and cross-jurisdictional nature  of many environmental
problems, the likelihood that many environmental agencies are new or weak, and the critical
importance of strong political support for achieving environmental improvement goals. Among
such operations, which have been under implementation for several years, important lessons
can be learned from the Environmental Management Project in Poland, approved in 1990, which
is nearing completion and is one of the most successful environmental institution-building projects
to date.  Much of this success is due to solid preparation work, which included setting clear
priorities and effectively collaborating between Polish and Bank specialists, together with firm
government commitment to the project's objectives. Strong local technical and institutional capacity
and the continuity of key project personnel on both the borrower and the Bank side have also
been important factors, as has been the pragmatic approach taken to project design, which has
included consideration of procurement arrangements from the earliest stages of preparation.
From the very  beginning, moreover, several large but heavily polluted municipalities (Katowice
and Krakow among others) have been formally involved in project activities, together with the
central environmental  agency, reflecting the project's serious commitment to decentralization.
Flexibility during implementation has likewise been a significant element in the project's highly
satisfactory performance.

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                                                                  ADEN,  JEAN  279
Table 1.   Projects for Environmental Institutions, Fiscal 1993-1995
          (millions of dollars)
Fiscal year
and country
1993
Bolivia

Chile

China

Ghana

Korea, Rep.
of
TOTAL
1994
Gambia



Korea, Rep.
of

Morocco

TOTAL
1995
Benin

Honduras

Russian
Federation
Trinidad and
Tobago
TOTAL
Project Name


Environmental Technical
Assistance Project
Environment Institutions
Development Project
Environment Technical
Assistance Project
Environment Resource
Management Project
Environmental Research
and Education Project


Capacity Building for
Environmental
Management - Technical
Assistance
Environmental
Technology
Development project
Environmental
Management Project


Environmental
Management Project
Environmental
Development Project
Environmental
Management Project
Environmental
Management Project

Loan/Credit
(L/C)

C

L

C

C

L



C



L


L



C

C

L

L


Total since UNWED, fiscal 1993-1995
Active projects
approved before fiscal 1993

Total Active Portfolio
World Bank
Financing

5

12

50

18

60

145

3



90


6

99

8

11

110

6

135
379
289
668
Total Project
Cost

5

33

70

36

97

241

5



156


11

172

9

13

195

11

228
641
536
1,177

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280   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                             THEME 5: INSTITUTION BUILIDNG: UNEP WORKSHOPS  281
                              THEME #5:
       INSTITUTION BUILDING : UNEP WORKSHOPS

       A training manual, case studies, and a discussion guide are available to explore
design issues and options for organizing a compliance and enforcement program;
developing human information and financial resources; permit processing; and
implementing a compliance monitoring and enforcement response program.  Case
studies provide a common point of departure for discussion.
1.   Synopsis of UNEP Manual on Institution Building	283

2.   Synopsis of Capacity Building Support Document: Organizing Environmental
    Permit, Compliance, and Enforcement Programs	285

3.   Synopsis of Capacity Building Support Document: Financing Environmental
    Permit, Compliance, and Enforcement Programs	286
See related paper from other International Workshop and Conference Proceedings:

1.   Instructions for UNEP Institution-Building Workshops, R. Glaser, Volume II,
    Oaxaca, Mexico

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                            SYNOPSIS OF UNEP MANUAL ON INSTITUTION BUILDING 283
SYNOPISIS OF UNEP MANUAL ON INSTITUTION BUILDING

Industry Environmental Compliance

A Training Manual


UNEP IE TECHNICAL REPORT NO. 36

        UNEP IE has produced a training manual to help governments develop their
institutional ability to ensure industry compliance with their country's environmental
standards. "Industry Environmental Compliance: A Training Manual" provides the context,
examines different approaches, identifies critical elements of success and discusses options
when resources are limited in developing an effective compliance and enforcement program.
It promotes an integrated approach to help steer industry towards cleaner production options
rather than end-of-pipe solutions to meet environmental requirements. It complements an
earlier UNEP IE  publication on "From Regulations to Industry Compliance:  Building
Institutional Capabilities" which prompted world-wide interest and requests for assistance
to put its principles into practice.

        The training manual consists of four separate modules.   The first module on
institutional aspects examines: why an effective compliance and enforcement program is
important; its objectives and functions; its optimal balance between the inspection, permi
and enforcement functions; the necessary interaction among government bodies, industry
and the public; how to establish priorities and evaluate success; how to phase-in functions
as resources become available.  The second module focuses on permits and provides
answers to such questions as:  what is an environmental permit, its role, its content; who
should be required to have a permit, who should issue it and  what criteria should  it be
based upon; how to make the permit enforceable and what to do when laws or regulations
are imprecise; what to do when resources are  limited and how to introduce integrated
permits.  How to monitor and enforce compliance is covered in the third module. Three
sections focus on industry self-monitoring, government inspections and enforcement,
covering issues such as: who  should be required to self-monitor; what, how and when;
how to adopt an integrated approach to self monitoring; how  to develop an inspection
strategy and what guidance to provide to inspectors; how to convert to integrated inspections;
how to develop an enforcement strategy with appropriate responses to different violations
what options exist when resources are limited. The fourth module deals with human and
financial resources and examines the types of resources needed for different functions
and funding options. The appendices include: a case study of a fictitious country providing
a discussion of common problems governments encounter in each of these four areas
and a summary of the key points of each module in a form which can be easily photocopied
onto overheads.

        The training manual can be used for individual study or for group training in local,
regional national or international settings. It is now available from UNEP IE.  Requests for
UNEP IE assistance in carrying out the training programs may also be considered.

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284   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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   SYNOPSIS OF FINANCING ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT PROGRAMS 285
SYNOPSIS OF FINANCING ENVIRONMENTAL COMPLIANCE AND
ENFORCEMENT PROGRAMS

Capacity Building Support Document for Environmental Compliance and
Enforcement Programs

PURPOSE

        Consistent with the goals of the Fourth International Conference on Environmental
Compliance and Enforcement, its international sponsors, and the Executive Planning Committee,
this document provides guidance on budgeting and financing methods that can be used to
maximize resources available for environmental  compliance and enforcement programs.
Through illustrative examples, it describes how environmental compliance and enforcemen
programs are financed throughout the world.  Information from more than 50 countries is
presented. The document was designed for use by government officials and individuals
associated with non-governmental organizations who are directly responsible for design,
budgeting, and management of environmental compliance and enforcement programs.

SUBJECT AREAS

        In general, the document covers:  budgeting, specific funding mechanisms (taxes,
fees, fines, grants, loans/debt, voluntary mechanisms, and public-private partnerships), measures
to minimize financing demands (tradable permits, subsidies, deposit-refund systems, resource
allocation, and technical training) institutional mechanisms to manage the flow of funds (genera
fund mechanisms, dedicated funds, funds  transfer, public authorities, bilateral/multilateral
mechanisms), and additional sources of additional sources of information.

SCOPE

        Information on financing mechanisms used to fund environmental compliance and
enforcement  programs from the following countries:
Africa & Middle East
     Burkina-Faso
     Morocco
Asia
     Australia
     Japan
     Philippines
     Thailand
Egypt
Nigeria


China
Malaysia
Singapore
Vietnam
Europe
     Albania         Austria
     Estonia         Finland
     Greece         Hungary
     The Netherlands  Norway
     Russia         Spain
North America
     Canada

South America
     Argentina
Mexico
Brazil
Ghana
South Africa


Hong Kong
Nepal
South Korea
Belgium
France
Ireland
Poland
Sweden


United States


Chile
Israel
Tunisia


India
New Zealand
Sri Lanka
Mauritius
Indonesia
Pakistan
Taiwan
                               Czech Republic   Denmark
                               Germany        Dried Kingdom
                               Italy            Lithuania
                               Portugal         Romania
Columbia
Uruguay

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286   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
  SYNOPSIS OF ORGANIZATIONAL DESIGN ISSUES: A COMPARISON
  OF INTERNATIONAL COMPLIANCE AND ENFORCEMENT PROGRAMS

  Capacity Building Support Document for Environmental Compliance and
  Enforcement Programs


  PURPOSE

          Consistent with the goals of the Fourth International Conference on Environmental
  Compliance  and Enforcement,  its international sponsors, and the Executive Planning
  Committee, this document provides information regarding the organization of environmental
  compliance and enforcement programs in 19 countries drawn from seven  regions of the
  world.  It examines which institutions conduct what activities and why,  across tiers of
  government (national, regional, local) and within a tier, among agencies.  Countries facing
  organizational issues may benefit from models that other nations use to organize
  environmental compliance and enforcement  programs, especially where the two nations
  share similar environmental, social, cultural, political, geographical, or economic conditions.
  SUBJECT AREAS

          This document is based on a series of country profiles, which are presented in
  separate country appendices at the end of the document.  Country-specific information is
  contrasted in a series of comparative tables that examine the extent to which environmental
  compliance and enforcement activities (establishing requirements, writing permits,
  monitoring, inspections,  etc.) are centralized at the national level of government, or
  decentralized at regional or local levels; dominated by a single agency at any one level 01
  spread across numerous agencies; integrated or coordinated among agencies; organized
  by environmental media (air, water, natural resources, solid waste), or organized by industry
  type.  The role of non-governmental organizations is discussed. Country examples are
  used liberally to illustrate main points.


  SCOPE

          At least some information is presented for each of the following 19 countries:

               India          Indonesia          Philippines       Singapore
               Sri Lanka       Thailand            New Zealand      Jamaica
               Hungary       The Netherlands     Norway          Poland
               Canada        Mexico             United States     Brazil
               Chile          Nigeria             South Africa

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                     THEME 6: SPECIAL TOPIC AND INSTITUTION-BUILDING WORKSHOPS  287
                              THEME #6:
       SPECIAL TOPIC AND  INSTITUTION-BUILDING
                             WORKSHOPS
Expert papers were requested on the following workshop topics and the issues listed below each
workshop were addressed during facilitated discussions at the workshops.
A   Automation and Enforcement: Available Support Systems
B   Strategic Targeting for Enforcement
C   Integrated Permitting and Inspection
D   Compliance Monitoring
E   Promoting Voluntary Compliance: Environmental Auditing, Outreach, and Incentive
    Programs
F   Measures of Success
G   Communications and Enforcement
H   Public Role in Enforcement: How to Go About Creating and Supporting Effective Citizen
    Enforcement
I    Criminal Enforcement: INTERPOL, Role of Criminal Enforcement in Environmental
    Enforcement
J   Enforcement of Economic Instruments
K   Take Back Laws Enforcement
L   Creating Enforceable Permit Programs and Requirements: Discussion Focus on Water
    Pollution and Contamination of Drinking Water Supplies
M   Transboundary Illegal Shipments of Hazardous Waste:  Tricks of the Trade
N   Montreal Protocol: Enforcement of CFC and Related Requirements
O   Enforcing Domestic Programs Implementing International Agreements
P   Collaborative International Targeting of Enforcement
Q   Organizing and Financing Programs (Opportunity for Further Discussion from UNEP
    Workshops)
R   Enforcement Policy and Authorities (Opportunity for Further Discussion from UNEP
    Workshops)

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        SPECIAL TOPIC A: AUTOMATION AND ENFORCEMENT: AVAILABLE SUPPORT SYSTEMS  289




                  SPECIAL TOPIC WORKSHOP A

      Automation and Enforcement: Available Support Systems


Papers address the following issues:

       •  Potential uses of automation to  support compliance monitoring and
          enforcement response functions.
       •  Software systems used to support enforcement and availability to other
          nations: how copies can be obtained.
       •  Key pieces of information that are typically in such systems.
       •  Evolution of these systems over  time and what features characterize
          beginning systems.
       •  How information in the systems is maintained and kept up to date.
       •  Typical report formats, to whom these reports go, and for what purposes.
       •  Linkages between information systems used:
          -  For managing permit issuance or inventories of sources of pollution,
             and those used to monitor compliance.
          -  Information systems used to manage inspection programs, and those
             used to manage source self-monitoring information.
       •  How systems are managed in highly decentralized settings and options for
          establishing compatibility and exchange.
       •  Features of automated systems that make them:
          -  most reliable and up to date;
          -  supportive of strategic targeting of enforcement resources; and
          -  user friendly.
       •  How to address issues of confidentiality and access.


1.   Information Systems to Support Compliance and Enforcement, C.R. Galloway	291
2.   See also Cradle-to-Grave Compliance Tracking of U.S./Mexican Transboundary
    Hazardous Waste; The Haztracks Tracking System, S. Coleman, J. V. Schultes,
    Theme 6, Workshop M	711

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290   FOURTH INTERNATIONAL CONFERENCE ON  ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                        GALLOWAY, CAROL R.  291
INFORMATION SYSTEMS TO SUPPORT COMPLIANCE AND
ENFORCEMENT

GALLOWAY, CAROL R.

Chief, Data Management Branch (2222A), Office of Enforcement and Compliance
Assurance, U.S. Environmental Protection Agency, 401 M Street S.W., Washington,
D.C. 20460, USA
       SUMMARY

       A general overview of the types of information and information systems that support the
United States' compliance assurance and enforcement programs at the national, regional and
state levels including the need for national information and national systems, typical data, evolution
of enforcement systems and public access to the data.
1      REGULATORY ENFORCEMENT FRAMEWORK IN THE UNITED STATES

       Environmental protection is implemented through three major groups in the United States.
These groups are the States, the Environmental Protection Agency's (EPA) ten Regional offices,
and the Headquarters office of the EPA. In most environmental programs, EPA's Headquarters
office sets national goals and objectives, and establishes policies and general performance
expectations. Headquarters offices are also often closely involved with the formulation of new
environmental bills by Congress.  EPA is responsible for national compliance monitoring and
enforcement of environmental laws and for communicating information about these programs to
the public.
       The majority of Federal environmental statutes are eventually delegated to the States
for implementation.  In these cases, individual state environmental agencies implement the
enforcement program (i.e., conduct inspections, monitor compliance and take enforcement
actions). States may also implement additional state-specificstatutesand may be more stringent
than the Federal statutes and regulations. States are often subdivided into regions or districts
within a State,  and these districts  are sometimes semiautonomous units that implement
enforcement programs in their geographic area.
       EPA Regions oversee implementation by the States and attempt to ensure consistency
among States. Where States have not yet been delegated an environmental program (e.g., a
State may have approval to implement the wastewater enforcement program but not the sludge
control portion), the federal EPA throughon of its ten Regions will implementthe program directly.
Thus, both the State and EPA may be implementing separate parts of a program at the same
facilities.  The Regions negotiate with the States to set performance targets for key activities
such as inspections and enforcement response.


2      THE IMPORTANCE OF INFORMATION

       Information is critical to the work of all three groups; EPA Headquarters, EPA Regions
and States. The types of information required by each group however, do vary to some degree.
In general, the States (and EPA Regions where they implement programs) will require the

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292   FOURTH INTERNATIONAL CONFERENCE ON  ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
most detailed information, including a variety of data on individual regulated facilities. The Regions
will require less detail and more summarized information useful to their role in oversight and
performance evaluation. This summarized information might include numbers of inspections
conducted, numbers of administrative orders issues etc.  EPA headquarters relies heavily on
summarized information, however, it too uses facility-specific information as will be described
below.

2.1     Basic types of information

2.1.1    Inventory

        Information on the number, size, location, and character (i.e., an inventory) of the regulated
universe of facilities is critical to understanding which facilities are subject to specific laws and
regulations.  It is important to keep the inventory up to date as facilities shut down, start up, move,
change ownership or type of operations.  It is often useful to compare and contrast different types
of regulated facilities. For example, operators of small printing shops may be characterized by
limited resources and  educations and may require special outreach  to foster understanding of
environmental requirements. While large printing businesses may more typically have specific
staff trained to follow environmental issues and requirements.

2.1.2   Location

        It is vital that the regulators know specifically where facilities are located. This information
is used not only to enable the regulators to visit the site, but to understand the possible impact the
facility may have on nearby populations or surrounding ecosystems.  Locational information is
needed when selecting sites for inspections, and for targeting outreach and education efforts to
support geographic initiatives. The State may target a specific watershed for priority action, and
it is necessary to understand which facilities are located within or contribute to that watershed.
Thus, it is useful to know not only where the "front door" is located, but also where the emission
points are (e.g.,  air stacks, wastewater outfall  pipes).  Many of EPA's data systems contain
several sets of locational information including the mailing address, the plant addresses and the
location of the emission points.

2.1.3   Compliance and enforcement history

        Information on facilities' compliance histories is critical in targeting "bad actors"  and to
minimize potential risk. Information on violations also facilitates deciding  on an appropriate and
consistent enforcement response. States and EPA must maintain accurate and up to date records
on enforcement actions taken against a facility so that the regulator can ensure proper escalation
of actions if the violations are not corrected in a timely fashion.  It is also important to know what
actions have historically been taken at a facility to anticipate what level of action may be appropriate
to respond to subsequent violations.

2.2     Importance of automated information

        It is possible to implement compliance and enforcement programs using non-automated
methods using paper copies and careful filing. However, automating the key information described
above provides ease of access, quicker response and flexibility in analyses. Even a small State
program may have thousands of regulated facilities so finding and compiling even simple requests
for information can take a significant amount of staff time. Aside from the physical limitations of
working with paper copies, automating compliance and enforcement information allows the analyst

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                                                           GALLOWAY, CAROL R.  293
to compile, compare and to correlate large amounts of data.  For example, automated programs
can be created to generate inspection targets based on a complex set of conditions including
size, types of pollutants, compliance history, and geographic location. Data can be sorted by
industry category, by emissions, by proximity to sensitive ecosystems, etc. Tables 1, 2 and 3
illustrate the types of complex reports which can be produced using automated data systems.
Table 1 shows compliance by media program, numbers of enforcement actions, and numbers of
facilities by Region and by industry type. Table 2 shows a breakdown of populations served by
different sources of drinking water. Table 3 illustrates the multi-media picture for facilities showing
whether the facility is a "significant violator" under any media programs.

2.3     Typical reports

        Automated systems allow compliance and enforcement managers to generate periodic
reports useful in managing their resources. Included are sample printouts of reports from some
of EPA's major compliance and enforcement data systems to illustrate typical reports which are
generated. Table 4 shows the usefulness of maintaining inventory data. It identifies which wastes
are produced, quantities, who exports,  transports and who receives wastes. Table 5 shows a
typical inspection report showing the facilities which have received inspections, when the facility
was inspected, the type and  who (State/EPA) conducted the inspection.  Table 6 is a typical
enforcement action report showing that status of active civil judicial actions, that is,  where the
case is in the judicial process.  Finally, Table 7 shows a multimedia picture of a facility indicating
types of violations, inspections and enforcement actions.
3       KEY DATA TYPES COMMON TO ENFORCEMENT SYSTEMS

        Much of the compliance and enforcement information found in State and EPA's systems
is similar and falls into the following types:

        • facility descriptors;
        • compliance monitoring data;
        • types of enforcement and other action;
        • results of actions on compliance; and
        • environmental results of actions.


3.1      Facility descriptors

        Nearly all of EPA's compliance and enforcement databases are "facility oriented". The
major exception is the Enforcement "Docket" system which is "enforcement case oriented".  Of
the facility oriented systems,  some or all of the following information is usually found in each
database.

        • facility name;
        • physical location (street, city, county, State, zip code);
        • mailing address (street, city, county, State, zip code);
        • latitude and  longitude of physical address (including method, scale, and
          code of accuracy);

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        •  watershed (hydrologic unit code);
        •  permit or other identifying number;
        •  Standard Industrial Category (e.g., petroleum refining, animal feedlot etc.);
        •  name, phone number of plant operator;
        •  name and address of owner;
        •  type of facility (varies by program e.g., major/minor, direct/indirect discharger,
          private/public water supply, etc.);
        •  status code (active/inactive); and
        •  unique facility-specific information (e.g., seasonal facility).

3.2     Compliance monitoring data
        Compliance monitoring data includes inspection data and where applicable self reporting
data. These data elements may include the following types of data:
        •  type of inspection conducted (e.g., sampling, records review);
        •  date of inspection;
        •  responsible organization (State, EPA or joint inspection);
        •  date inspection report is submitted;
        •  result of the inspection (violations found);
        •  date self monitoring report received;
        •  parametric data from self monitoring; and
        •  violations detected based on self monitoring data.

3.3     Types of enforcement and other actions
        Enforcement action data describes the nature of the response to violations detected.
EPA's databases vary in their capability to link specific violations to corresponding enforcement
actions. Some systems do not have any linkage so it is impossible to verify which violations were
addressed by an enforcement action, and often whether the noncompliance was resolved. The
following data is typical in describing enforcement actions:
        •  enforcement action proposed (e.g.,  proposed administrative order);
        •  enforcement action issued (e.g., warning  letter issued, judicial referral,
          administrative order issued);
        •  date of enforcement action;
        •   responsible organization (State, EPA);
        •   proposed penalty amount ($);
        •  final penalty amount ($);
        •   date administrative hearing requested;
        •   date appeal filed; and
        •   date action concluded.

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3.4     Results of actions

        Enforcement actions often include schedules the violator must follow to return to
compliance. These schedule milestones are also included in the databases.  In addition, there
may be other conditions or supplemental environmental projects that are included in the conditions
associated with an enforcement action. These may include restoration activities to cleanup damage
to the environment, research activities relevant to the environmental problems at the site (e.g.,
research into biological affects of a pollutant spill or discharge), or compliance promotion activities
such as development of advertisements to educate the regulated community and/or the public
on the importance of compliance with environmental laws. The data associated with these types
of activities varies widely and may include:

        •  schedule  requirements and  milestone dates (e.g., when phases of
          construction are to be completed, when status reports are required); and
        •  supplemental environmental projects (type and monetary value).

        Recently, EPA has developed "measures of success" to monitor the environmental
results of our enforcement actions.  The data associated with these measures includes:

        •  type of injunctive relief required and value ($);
        •  amount of pollution prevented through the action;
        •  compliance promotion activities; and
        •  impacts (e.g., reduced worker/population exposure).
4       EVOLUTION OF DATABASES TO SUPPORT ENFORCEMENT

        Most of EPA's major databases were developed as national environmental programs
were first being implemented in the late 1970s and 1980s. These databases were developed by
EPA headquarters but with regional and state implementers in mind. The systems were developed
to fulfill information needs at all three levels;  national, regional and state.
        EPA chose to design systems to meet all needs for several reasons. First, in the beginning
of most environmental programs, EPA  regions were the only implementers.  Programs were
delegated to States  only after the States met certain standards and were approved by EPA.
Thus, EPA needed these systems to operate the programs themselves.  Second,  designers
believed that if the implementers used the systems, this would provide an incentive to keep the
data accurate and timely. This approach resulted in highly complex, large, varied systems. To
the credit of the system designers, while very complex, many of the systems actually fulfill most
of the needs at these three levels. Unfortunately, other systems found that state variability made
it impossible to have one system that would meet all states' needs as well as those of EPA
headquarters and regions, and these systems are undergoing major redesign.
        There is currently considerable debate over the role of national  information systems
especially in light of movements to reduce budgets, and to relax federal oversight of state programs.
Some believe that EPA should not have access to state data and have built two level databases
in which only core data is uploaded from the state systems to the national system. Clearly, this
is a complicated issue, and one can argue that it is more efficient to  have national systems than
to have each state develop its own. In addition, federal oversight must rely on information to

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ensure the effectiveness of state programs which argues for the availability of more, rather than
less information.  Depending on the outcome of these philosophical debates, the databases may
need significant revision and redesign to reflect the chosen approach.
        Enforcement databases were designed to support media-specific enforcement programs
(e.g., wastewater, drinking water, hazardous waste).  Since these were designed at different
times, by different offices, they are not compatible in terms of hardware, software, design, data
standards, or definitions. The evolution of media databases has made integrating data extremely
difficult (as discussed below). EPA recognizes that significant improvements should be made to
many of the major databases to facilitate integration, and to make better use of modern
technologies.  Unfortunately, EPA's regulatory framework and organization by media makes
significant, Agency-wide improvements extremely difficult to achieve.  Within media-specific
systems, however, there is evolution and constant improvements to the  data systems.

4.1     Flagging noncompliance

        Many of EPA's compliance databases record that a violation was detected, but do not
record the supporting data explaining the nature of the violation. While this approach is effective
in identifying facilities needing action, it does not facilitate tracking trends  in violations. This trend
information can be valuable in designing compliance assistance activities and in designing a
flexible enforcement response plan.
        In some systems, once a facility is flagged in the system as being in noncompliance, a
facility remains in this status indefinitely, even if the violations are resolved. This may be caused
by the lack of a linkage between violations and enforcement actions. If facilities remain identified
as violators for long periods of time, the usefulness of the information to target actions and to
monitor compliance rates diminish significantly.

4.2     Detecting noncompliance

        Some systems are able to track underlying compliance data and  identify noncompliance
determinations. In these systems it is relatively easy to designate violating facilities based on the
data in  the system and to record a return to compliance as well.  The  linkage between the
underlying data and the status of the facility (in compliance or in violation) makes the system
effective in generating  periodic lists of enforcement targets and in monitoring compliance trends
overtime.

4.3     Facility linkages, multi-media

        EPA has discovered that the independent development of individual, media-specific
information systems has led to great difficulty in linking information among systems for an individual
facility. Many facilities (although a minority overall) are multi-media, meaning that they are regulated
under more than one program.  Information on these multi-media facilities is therefore found in
more than one database.  In many cases the name of a given facility varies from system to
system along  with address and other key information.  The Agency has devoted significant
resources to linking facilities and assigning key identifier numbers, but this effort has not been
completely successful and linkages remain incomplete.
        EPA has shifted much of its enforcement focus from a media-specific orientation to a
multi-media and industry sector approach. Under this enforcement approach EPA must generate
a full compliance picture at specific facilities or groups of facilities. This information is used to

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generate multi-media risk and trend information for national targeting of compliance and
enforcement actions. As a result of these shifts in enforcement, there is even greater pressure to
accurately link data among the systems.
        The issue of facility linkages has been raised to the highest levels of the Agency and
was chosen as the most significant Agency information resources management issue for 1995
and beyond.  An Agency-wide effort has begun to redesign the way facilities report information to
EPA with an eye to providing one key identifier number to each facility. In the short term, EPA is
attempting to use all available linking mechanisms to facilitate generation of multi-media compliance
information.

4.4     Technology shifts

        Many of EPA's compliance databases were developed  in the 1980s  and were built
using the software  and hardware technologies then available and supported at EPA.  In the
intervening years, significant changes have clearly occurred in software and hardware.  Both
lack of funds to keep data systems current and the  inertia involved in changing databases used
by hundreds of EPA and State users acted to slow modernization of many systems. As a result,
several key enforcement databases including the Enforcement Docket, the Permit Compliance
System, the Resource Conservation Recovery Act  (hazardous waste) Information System and
the Air Facility Subsystem have not been modernized in recent years.  These systems are all
currently maintained on the Agency's mainframe computer.
        These mainframe systems are relatively difficult to access when compared to the desktop
personal computer. And, the software on the mainframe is non-intuitive making it more difficult to
use. The software often requires the user to understand some programming and a great number
of codes. The latest user-friendly features we are coming to expect on the desk top such as
windows, help functions, and graphical user interfaces are not available on these mainframe
applications.  The EPA is moving toward non-mainframe, client server technologies and many
system managers are currently examining the feasibility of this approach.  The challenge is to
use the power and capabilities of the PC while still operating an effective system on an appropriate
server.  Unfortunately,  lack of funds is slowing this modernization process.
5       HOW INFORMATION IS REQUIRED AND ENTERED INTO DATABASES

        Reporting to the national databases comes from both the regulated entities and from
the EPA and/or State regulators. Information submitted by the regulated facilities is required
through separate legislation e.g., Clean Water Act, Clean Air Act. These statutes require either
national reporting requirements or reporting through individual or group permits under the statutes.
The information submitted by the facilities includes information about the facility, such as location,
name of plant operator, industrial classification (SIC), numbers and locations of pollutant discharge
points.  These types of information are usually submitted initially in a permit application and
updated only if facility conditions change over time.  This information is usually submitted  in
written form to the EPA or State and entered into the databases manually.
        In some programs, periodic reports are required from facilities.  These may be  status
updates or progress reports on predetermined schedules.  The State or EPA will record and
enter into the database the date the reports were received to monitor and record any late submittals.

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5.1     Self monitoring data

        In addition to information about the facility, facilities may be required to submit information
on actual discharges.  Where statutes and/or permits require self monitoring and reporting of
discharge information, this compliance information is submitted on a periodic basis e.g., annual
to monthly reports may be required.  Where compliance data is self generated and reported,
compliance monitoring can be done off-site. Where the regulatory agency receives self monitoring
data, the EPA or State enters the data into a database and compliance is calculated automatically.

5.2     Inspection data

        Self reporting of compliance data is not required under many EPA programs and
compliance monitoring is done solely through inspections by the regulators. In addition, inspections
are conducted to supplement and verify self monitoring data. Information about the inspection
such as when it was conducted, the type of inspection (records review, sampling etc.), and the
results of the inspection are generated by the inspector and are eventually entered into the
national database.

5.3    Technology shifts in data entry

       While the majority of data from facilities is still entered manually by EPA or State staff,
EPA is moving quickly to use more cost effective approaches.  Other technologies are being
employed to save resources and time, and to increase data quality. These techniques include
use of optical character readers which scan documents and automatically upload the data into
an electronic file which can be uploaded to  a database.  This technique requires the use of
standardized forms and typed submittals.
       Another major improvement in data entry is electronic data interchange. This technique
allows the facility to directly transfer data electronically from their computer to the national database.
Many States currently achieve electronic transfer through the use of computer disks which they
often send to the facility preformatted to receive specific, required information and which are then
mailed back to the State for uploading to State databases. EPA is developing standard formats,
security procedures and establishing the infrastructure to handle electronic  submittal of large
amounts of data into national systems. After the initial configuration and mapping are established
at a facility, this approach will greatly reduce the resources needed by the facility to generate the
required paper reports and significantly reduce the  resources needed by EPA and/or State to
enter the data by hand.
6       MAINTENANCE AND ENHANCEMENT OF SYSTEMS

        Many of EPA's compliance systems have hundreds or even thousands of users at the
States and in EPA's Regional offices.  With user communities of this size and users who have
different needs and desires, EPA's systems must establish and use formal processes for making
changes to the databases. These "change management" processes involve both State and EPA
users and management in nominating desired changes and then voting on the final changes.

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6.1      Role of user communities

        Most of EPA's compliance and enforcement systems were developed to support both
State and EPA users across the country.  In the case of the Permit Compliance System for
example, the user universe is about 1,000 strong and located in all States across the country.

6.2     Enhancement, change processes

        The extent of user involvement in the decision-making process varies among systems
and in most cases, EPA program and system managers hold effective if not official veto powers.
In most cases, program managers divide the funds available for system enhancements into
"required" changes and "user specified" changes.   The "required" changes may include
enhancements to incorporate new regulatory  requirements (e.g., to include sludge facilities in
the water program database) or Agency required data elements (e.g., facility latitude and longitude
were mandated by the Agency for all systems.) There may also be required changes to enable
the system to operate more efficiently or to fix software problems (e.g., to allow dates after the
year 1999).
        User specified changes  are those actually suggested by the State or EPA users to
make the system more usable, or to provide codes or functionality to support user-specific
conditions or initiatives (e.g., to allow users to distinguish facilities targeted in a compliance
outreach activity). These changes are usually nominated, described  and discussed in user
conference calls or meetings and then voted  on by the user community with the most widely
supported changes enacted within budget constraints.

6.3     Modernization efforts

        Much like system enhancements,  system modernization efforts usually involve
representatives from all major user communities. Modernization projects vary widely with various
system managers using different tools and analytical frameworks.  In some cases, the effort to
modernize the information system begins with a  comprehensive look at the entire regulatory
program. One such effort, in the hazardous waste program, is currently examining what information
is needed to operate the program and will eventually translate these information needs to data
and system requirements.  These projects usually  take several years and several million dollars
to conduct; some modernization efforts at EPA have taken nearly 10 years (e.g., Office of Water's
STORET system modernization has taken over 5 years and will not be completed for several
more years).
7       THE ROLE OF NATIONAL SYSTEMS IN A DECENTRALIZED SETTING

        The EPA Headquarters has a unique role  in information management to support
compliance and enforcement efforts even though most actual implementation occurs at the State
or EPA Regional level. EPA maintains national information systems to:

        •  promote a nationally consistent environmental protection;
        •  provide national environmental information to the public; and
        •  target environmental efforts.

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7.1     Promote national consistency

        Access to national data helps EPA promote national consistency and ensure minimum
standards of environmental protection are provided to all Americans. These efforts seek to protect
the public by discouraging/removing economic incentives for pollution; minimizing interstate transfer
of pollutants; and creating a "level playing field" for U.S.  business. EPA's responsibility is to the
citizens of the United States, not just a particular area of the country.
        EPA needs national data to ensure that national environmental goals are achieved.
While the specific information required from states may change over time, baseline nationwide
data is necessary to identify when national standards are not being met and to appropriately
direct federal involvement. More flexible oversight approaches, such as the Performance
Partnerships, will continue to rely on sound state-by-state data.

7.1.1   Evaluate state actions

        Effective and uniform enforcement relies on compliance information. EPA systems collect
information on permit limits, inspections conducted, violations cited  and  enforcement actions
taken. Comparisons of this data highlights areas where states may need federal assistance;
bringing their performance in line with national standards.

7.1.2   Implement flexible oversight

        The new "Performance Partnership" approach to EPA/State agreements will be driven
by performance based indicators, relying directly on data summarized from the national databases
to evaluate results against state commitments. Efforts are also underway to reward complying
facilities by reducing reporting requirements. The  absence of credible compliance data will
jeopardize this effort.

7.1.3   Identify environmental justice communities

        The need for national consistency is perhaps best highlighted in the case of environmental
justice communities.  Minority or low-income communities should not bear a disproportionate
share of the adverse environmental consequences resulting from public and private activities.
This data provides the knowledge and power which local communities need to protect themselves.
Without national data EPA could not identify and address these concerns. For example:

        •  One EPA Region identified locations with a hazardous waste facility where
           the average number of people of color and low-income populations are
           greater than the state average to better target compliance monitoring and
           assurance efforts.
        •  EPA is conducting a hazardous waste study to reevaluate sites originally
           listed in the mid-1980s and is adding new sites, identified by native American
           tribes, to the cleanup list.

7.1.4   National analysis of sectors

        EPA identifies candidates for compliance assistance and enforcement based on analyses
of national trends in data such as pollutant emissions/releases, compliance, and inspection and
enforcement frequency.

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                                                           GALLOWAY, CAROL R.   301
7.2     EPA provides national environmental information to the public

        EPA serves as the focal point for providing environmental information to the public,
Congress, and other stakeholders. Data in the national systems allow EPA to serve as a direct
source for information on national environmental issues, a service which Congress and the public
expect. Seeking this same information on a state-by-state basis would be nearly impossible.

7.2.1    Answer information requests and Congressional inquiries

        Office of Enforcement and Compliance Assurance receives hundreds of Freedom of
Information Act (FOIA) and Congressional requests each year. These requests serve a wide
variety of needs for national or multi-state information. For example:

        •  Public Information Research Group annually requests and publishes a list
          of all facilities in significant noncompliance, focusing on trends in the quality
          of the nation's water.
        •  Environmental companies request lists of permitted facilities for marketing
          purposes.
        •  The Sierra Club's Environmental Justice Task Force requested pesticides
          information to educate their members and the public.
        •  Environmental compliance information is  requested by loan companies,
          insurance companies, and bond  companies to set bond ratings (which
          determine borrowing interest rates) for municipalities, counties, etc.
        •  The EPA's Inspector General and the General Accounting Office  routinely
          seek access to our national databases to assess the quality of EPA programs.

7.2.2   Provide public access

        Much of the compliance and enforcement data is available to the public. One delivery
mechanism, the Envirofacts system, which provides data from several national databases is
accessed, via the Internet, approximately 100,000 times per month. For detailed descriptions of
enforcement data available to the public, refer to section 10.2 of this paper.

7.2.3   Analyze trends

        •  Sound environmental decision making requires that trend data be  available
          to policy makers and others who wish to enter the national debate. Information
          from national systems is used to  establish base lines and then to show
          results over time. Also, the Science Advisory Board's recent "Futures" report
          recommends that the Agency spend as much attention to avoiding future
          problems as to controlling current ones, requiring a broad-based data  system.
          Efforts in this area include:
        •  The Office of Water is currently tracking reductions in toxins and oxygen
          demanding pollutants as part of their environmental measures.
        •  Publication of Toxic Release Inventory data, coupled with the 33-50 Project,
          has resulted in significant declines in industry's reported emissions.
        •  OECA annually publishes the Enforcement Accomplishments Report and
          the State-by-State Enforcement Summary, both of which provide trend data
          for EPA and State enforcement and compliance activities.

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7.2.4   Supply data to other agencies

        EPA data is used by other federal agencies for analysis and distribution to the public.
For example, publications include NOAA's National Coastal Pollution Discharge Inventory, and
the Council on Environmental Quality's Annual Report on Environmental Quality.


7.3     EPA develops approaches to target environmental efforts

        Using the national systems, EPA plays a leadership role in developing more effective
approaches to direct scarce public resources toward the most critical environmental needs
        National data  is essential for targeting on an industrial, corporate or media basis. In
addition, wide-ranging  national data is essential for supporting the objectivity of the Agency's
decision making. The national data can be reviewed by all interested parties, helping to prevent
an appearance that EPA has acted arbitrarily or on unsupported assumptions.

7.3.1    Conduct case and corporate screening

        Compliance/enforcement profiles of historical data are frequently prepared to support
enforcement case development or are reviewed prior to government officials interacting with a
company:

        •   Before an enforcement action is taken, two profiles are developed: a cross-
           media search of Agency compliance and enforcement databases for the
           specific facility(s) involved in the complaint, and a corporate-wide profile.
           Both of these profiles require access to EPA's national data systems as well
           as the Integrated Data for Enforcement Analysis data integration capability.
        •   Frequently  the EPA Administrator's Office  requests information from the
           national systems on the compliance status of various companies that the
           Administration wishes to interact  with for environmental and policy reasons
           (e.g.  the President's Toxic Release Inventory System and budget
           announcement at the Bethlehem Steel plant in Baltimore). The Administrator
           needs to know if the company should be praised for its compliance record,
           or whether  they have had  significant compliance problems.
        •   Target Industrial Sectors  The FY 1996 MOA  proposed national priority
           sectors were identified after evaluating national toxic pollutant release,
           compliance and enforcement data from Toxic Recovery Inventory System,
           AIRS Facility System, PCS and Resource Conservation and Recovery Act
           Information System. The sectors selected are all significant noncompliers
           with high TRI releases and a significant trans-Regional impact.

7.3.2   Target corporations

        Single media  noncompliance at a few facilities in one Region developed into multi-
Region, multimedia judicial case after Region VIII requested a national IDEA search for Louisiana
Pacific facilities.  The data collection  took about 30 minutes. This can be contrasted with the
development of a corporate profile for Exxon Corporation after the ExxorVa/ctez incident: data
was collected directly from the Regions  and  took about four weeks.

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                                                            GALLOWAY, CAROL R. 303
7.3.3   Analyze pollutant loadings

        Emissions data from AIRS Facility Subsystem and effluent data from  PCS can be
analyzed to determine ambient effects and for targeting the most significant sources.  For example:
        •  PCS data is being used to analyze pollutant loadings trends  in the Great
          Lakes. Coupled with Permit Compliance System compliance data,  this
          information is supporting a multi-state effort to ensure consistent enforcement
          for persistent toxic substances under the Great Lakes Enforcement Strategy.

7.3.4   Target ecosystems

        Integration and analysis of environmental data moves environmental efforts beyond
single-media statutory mandates toward ecosystem protection.  National  system  data is being
used to:

        •  Prepare basic background inventories of air, NPDES, and RCRA facilities,
          as well as TRI release and transfer loadings, for the counties abutting the
          Mississippi, Missouri and Ohio Rivers;
        •  Identify sources of nutrients draining into the Gulf of Mexico, causing a 6,000
          square mile oxygen  depleted "dead zone"; and
        •  Identify vulnerable national wildlife refuges across the country.


7.4     Other uses of EPA's national information systems

7.4.1   EPA operates non-delegated environmental  programs

        National data provides EPA information needed to directly implement federal statutes
which are not delegated to states and tribes. Through EPA efforts, citizens in states and tribal
lands which do not have the resources, technical expertise, or political will to assume environmental
programs will still be protected.
        EPA  must collect  and  maintain the information required to operate  non-delegated
programs across the country  and to run programs which are carried out at the federal level. At
least for the present, no Region has fully delegated programs within all of its states.
        Conduct Non-Delegated Programs EPA's direct implementation responsibilities include
for example: environmental programs on most tribal lands; and the wastewater permitting and
enforcement (NPDES) program in 12 states.
        Fulfill Federal and International Responsibilities EPA has primary responsibility for
administration of several federal programs including: many aspects of the toxic chemical regulation
program, the pesticide program, tracking potentially responsible parties at hazardous waste sites,
and  the hazardous waste Import/Export program. National data is  also essential for global
management including the negotiation of agreements with other countries (e.g. the Great Lakes
Agreement with Canada and the NAFTA Agreement with Mexico and Canada).
        Support Regulatory Development Accurate national data is essential to support Agency
regulatory decision-making and to minimize concerns and criticism resulting from Agency actions.

7.4.2   EPA supports state  information resource management  capacity

        EPA's national data systems provide state, local and tribal partners access to the EPA
information, and the computing  infrastructure,  which strengthens their efforts to protect human
health and the environment.

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        States use the national databases as an information reference tool,  locating relevant
information on other state programs to use in their compliance and enforcement efforts.
        Set Permit Limits: States review the detailed information on permit limits set by other
states for similar industries as they set their own permit limits and as a resource to supplement
their own expertise. For exmple:
        •   Great Lakes states in three Regions use the national databases to determine
           pollutant loadings and opportunities to tighten permit limits.

        Share Violator Information Nationwide data systems provide compliance information
which other states use for targeting their own activities, determining compliance of a facility they
are interested in or determining interstate impact. For example
        •   Many asbestos contractors  operate nationwide. The Agency's tracking
           system is  available to communities or school boards to aid in contractor
           selection.  States also use the systems to target contractor inspections.
8       NEED FOR AUTOMATED NATIONAL SYSTEMS

8.1     Efficiency

        EPA's national data systems provides delegated states with access to a computer
application specifically designed for environmental program management. Replicating these
services across 50 states would be both inefficient and very expensive. Similarly, maintaining
separate systems on several different platforms (the inevitable result of Regional systems) is
both inefficient and more costly than a central national system.
        Provide Computer Applications: For example, approximately 27 NPDES delegated states
use the Permit Compliance Systems  (PCS) as their primary data system and 35 delegated
states use the air system (AFS) for managing their programs.
        Support Computing Capability; Through the national systems, States have direct access
to the national application, the computing power of EPA's computer hardware (mainframe and
LANs), user support services, training and ongoing system O&M and development. Even states
without expensive, state-of-the-art desktops can access these systems.
        Supply Consistent System Modifications As revisions to the national laws are enacted
or new programmatic initiatives are undertaken the national systems are updated and, in turn,
state programs are kept current and consistent. For example:

        •   Revisions were made to PCS to track new Clean Water Act requirements
           for the stormwater, sludge, pretreatment  and Combined Server Overflow
           (CSO) programs which are then used by the states.
        •   If the national systems did not provide this service to the states, some states
           would  increase their budgets to modify their systems while others would
           delay and ultimately fail to update their systems.

        Develop Efficient Data Transfer Methods The centralized communications infrastructure
of the National Computing Center (NCC) provides opportunities for developing innovative data
exchange methods to reduce the burden associated with collecting and reporting data.
        •   For example, EPA is in the process of developing Electronic Data Interchange
           (EDI) technology for submission of Discharge Monitoring Reports into Permit
           Compliance System (PCS) which will increase data quality and reduce costs
           for both states and the regulated community.

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                                                           GALLOWAY, CAROL R.  305
        Manage Data for Non-Delegated Programs The national systems provide the data
storage and retrieval mechanism necessary to carry out EPA's direct implementation
responsibilities.
        Manage Data for Federal/International Programs EPA has primary responsibility for
several systems which support administration of federal programs including: Section Seven
Tracking System (SSTS)/PRES/ LISA/NCDB for Toxic Substance Control Act (TSCA), Federal
Insecticide, Forgicide and Rodenticide Act (FIFRA) and Emergency Planning  and Community
Right Act (EPCRA) requirements; Site Enforcement Tracking System (SETS) for potentially
responsible parties for Comprehensive Environmental Response Compensation and Liability
Act(CERCLA) sites; and Import/Export to track hazardous waste transported across U.S. borders.

8.2     Provides structure to data

        The existence of national databases imposes an overall structure on the environmental
data collected. This structure facilitates consistent data collection and interpretation.
        Consistent Data Collection: Definitions are developed for nationally reported data
elements (such as significant noncompliance). Lacking these definitions make comparisons among
states difficult if not meaningless. Additionally, through the national systems a  minimum set of
data elements is established which is critical for complete comparisons.
        Consistent Data Interpretation Standardized reports with standardized selection criteria
help to make valid comparisons of the data (e.g. the quarterly noncompliance report). These
reports are available to all users in an easily accessible and  consistent format.

8.3     Timeliness of analyses and responses

        National systems are the most efficient way to provide timely responses to requests for
information.
        Provide Prompt Responses The Freedom of Information Act requires EPA to respond
to requests within 10 calendar days. Congressional requests must sometimes be answered that
same day to influence committee or floor debate.
        Decrease State/Regional Reporting : Contacting each state or region to provide
information from their systems would not only increase processing time substantially, but would
also add a significant reporting workload to state and regional staff (i.e. 50 different states providing
answers instead of a single computer retrieval).

8.4     Relationships with other databases

        The automated national systems provide access to the data in a format which allows
regular data updates to systems such as Integrated Data Enforcement Analysis (IDEA) which
integrates data from many separate systems and creation of data sets which support other Agency
targeting tools.
        Support Data Integration Efforts Enforcement and compliance data from 11 of EPA's
national databases are accessed by Integrated Data  Enforcement Analysis (IDEA), allowing
data analysis across media on multiple targeting scenarios.  Demographic data and risk based
models are also being added to the system so that users can better evaluate queries. Over Office
of Environmental Compliance Assurance's (OECA) first year, someone started an Integrated
Data Enforcement Analysis (IDEA) session every 27 working minutes. This system provided a
report, handled a query or produced an analysis every 9 minutes.

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306    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
9       ROLE AND RELATIONSHIP OF STATE SYSTEMS TO NATIONAL SYSTEMS

        As discussed, most environmental programs are largely implemented by State agencies
rather than directly by EPA. And, in many cases, the scope of State programs go beyond and
may be more stringent than is required under national laws. This decentralized, flexible regulatory
approach poses a challenge in terms of maintaining and developing national databases. Two
basic options are available: national systems can be developed as tools for States and a subset
of information is used for national reporting; or national  systems  can  be developed solely to
support national reporting.
        EPA has had experience with both of these models and has encountered significant
difficulties in terms  of ensuring  that complete and accurate data  is entered  into the national
systems. Our basic finding is that in order to have reasonable data quality,  the users of the
system must perceive a benefit.  The criticism leveled at some systems is that the State and/or
Regions are required to "feed the monster" but do not receive any benefit once the data is
entered; that the system is not useful in managing their activities. Where systems have been
developed that are perceived as useful and that are actually used in implementing programs,
poor data quality and missing data do not appear to be significant issues.
10      PUBLIC ACCESS TO EPA'S ENFORCEMENT DATABASES

10.1    ERA's approach to public access

        In general, there are two approaches to accessing EPA data; through the Freedom of
Information Act process and through assorted avenues EPA has voluntarily chosen to make
information available.

10.1.1  Freedom of Information Act (FOIA) process

        EPA is required by law under the Freedom of Information Act to provide information
requested by the public within 10 days of receipt of the request. This law covers written documents
as well as data contained in EPA's databases. The law provides that EPA is not be required to
create new materials in order to satisfy the request. For enforcement data in national systems,
however, EPA has taken the approach that it is appropriate to generate reports and queries from
the databases that are specific to the requester's needs. This information can be requested from
EPA on hard copy, but is most usually provided on magnetic tape or on 3.5" computer disks. In
some cases where the database is small, a requester can receive a copy of an entire database,
but more often, specific types of data regarding a geographic area or specific type of facility is
requested. One of the limitations to using the FOIA process is that the requester must understand
what specific information to request. If the requester finds the  information is not sufficient, he or
she must go through the process again,  and write to EPA to request the additional information.

10.1.2  Publicly accessible information

        A great deal of EPA's compliance and enforcement  data is currently available to the
public through a  variety of mechanisms. EPA has not taken a consistent approach to public
access and as a result, each program office has historically chosen what data to make available
and through what delivery mechanisms. These include making hard copies of  summary data
available through public information centers, relying solely on Freedom of Information Act requests,
granting access directly to the databases, and most recently, making information available through
the Internet.

-------
                                                             GALLOWAY, CAROL R.  307
        Of the major enforcement databases, the following are available to the public:

        •  Enforcement Docket (Federal judicial and administrative enforcement cases)
           is available electronically from the National Technical Information Service
           (NTIS can be reached by phone on 703-487-4650).
        •  Permit  Compliance System (wastewater permitting  and enforcement
           program) is available electronically from this information service including
           on-line  access.
        •  Site Enforcement Tracking System (Superfund potentially responsible parties
           notified under Comprehensive Environmental Response Compensation
           Liability Act (CERCLA) is available from the  service on tape, disk  or CD
           ROM.
        •  Resource Conservation Recovery Act (RCRA) (hazardous waste) system
           is available through these reports and reports are available on the Internet.

        Some database managers at EPA were originally reluctant to release information to the
public because they believed the data quality was not sufficiently high and the data contained
errors. In the case of compliance and enforcement data, database errors can mistakenly represent
facilities as being in violation when they are in fact, in compliance. While the data in the databases
unquestionably does contain some errors, EPA's current approach is  to make  the data widely
available to promote improvements to data quality. It is our belief that if the public and the regulated
facilities begin to use the data and to do analyses, they will find errors and that this process will
lead to an increase in data quality.
        The Agency's experience with the release of Toxic Release Inventory (TRI) data has
shown that the public is very interested in environmental data. Simply releasing this inventory
data has resulted  in facilities voluntarily decreasing emissions. EPA believes that making
compliance data available may result in both greater community involvement in compliance
monitoring and voluntary compliance by regulated facilities.
        While this approach sounds simple, the decentralized regulatory setting makes releasing
national data a more complicated matter. The States are the primary source of the data in the
national systems and in fact,  the States do most of the data entry. However, once the data is in
the national systems, accountability for data quality seems to be diffused. For example, a public
interest group recently requested a national list of significant violators under the wastewater
program. The group planned to and eventually released a report which received national and
regional media attention. EPA alerted its Regions and the States to the request so that they could
correct any data entry errors prior to the generation of the list. When the report was released to
the national press and some facilities complained that they had wrongfully been listed as having
been a significant violator, several States disavowed any responsibility and claimed the information
had "all come from  Headquarters".

10.2    Description and availability of specific EPA enforcement databases

        EPA has chosen to focus public access activity on making information from its Integrated
Data for Enforcement Analysis system (IDEA). This system is EPA's tool to integrate compliance
and enforcement data from key Agency systems. It contains data on State and Federal compliance
and enforcement activities  under the wastewater, air, hazardous waste, emergency response,
pesticides, and toxics programs. These systems are described below. On-line public access to
this system will be available beginning in Spring of 1996 through the National Technical Information
Service (NTIS). This service will establish a billable account for users to access this system on

-------
308    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


EPA's mainframe. Documentation will also be available from the information service. Information
on this system and instructions concerning gaining access will also be available on the Internet
through EPA's homepage. EPA's long-term public access strategy includes implementing a toll-
free telephone number for information about this system, a simplified graphical interface available
on the Internet and an on-line Windows-based version for public access.
        IDEA contains information from the following databases:

        •  Aerometric Information Retrieval System (AIRS) Facility Subsystem - AFS
          contains emission, compliance and permit data for major stationary sources
          of air pollution.
        •  CERCLIS - Contains information on compliance and enforcement activities
          at Superfund sites under the Comprehensive Environmental Response,
          Compensation and Liability Act.
        •  Enforcement Docket  - Tracks EPA civil judicial and  administrative
          enforcement actions including violations, defendants, penalty information.
        •  Federal Insecticide, Fungicide and Rodenticide Act (FIFRA)/Toxic Substance
          Control Act (TSCA) Tracking System - FTTS tracks compliance with FIFRA,
          TSCA and Emergency Preparedness and Community Right to Know Act
          (EPCRA) EPCRA inspections, enforcement actions and settlement terms.
          Uploaded to a national database called NCDB. (FIFRA is the Federal
          Insecticide, Fungicide and Rodenticide Act, TSCA is the Toxic Substances
          Control Act.)
        •  Permit Compliance System - PCS contains permit and compliance and
          enforcement information on all major wastewater dischargers (facilities with
          greater than 1 million gallons per day of flow or that pose a significant risk to
          a water body) and many minor facilities.
        •  Resource Conservation Recovery Information  System - RCRIS tracks
          activities related to facilities which generate, transport, treat, store or dispose
          of hazardous waste including permit notification, compliance, inspection and
          corrective action activities.
        •  Site Enforcement Tracking System - SETS contains information on Potentially
          Responsible Parties notified under the Comprehensive Environmental
          Response, Compensation and Liability Act (Superfund).

-------
PR6
                      U.S.  Environmental Protection Agency
              Enforceeent Confidential - For EPA Interne! Us* Only
                               Sunmry Report
  Number of Facilities Selected by Region end Prograe

II     III    IV      V     VI     VII    VIII    IX     X
                                                                          TOTAL
                                                                                                                       a>
                                                                                                                       a-
AFS
CER
DCK
DUN
FFI
FIH
LST
HCO
PCS
RCR
SET
TRI
e
2
3
4
0
10
0
3
7
10
0
e
3
2
3
2
0
4
0
3
4
4
0
3
3
2
1
4
0
3
0
0
2
3
0
3
14
5
4
11
0
16
0
7
11
14
0
14
25 <
6 '
13
27
0
36
0
4
33
29
1
27 <
» 0
» 0
1 0
7 2
0
1
0
1
1
1
0
k 1
1 I
0
0
1
0
1
0
0
0
1
0 (
1 (
> 14
9
9
la
0
17
0
15
17
17
) 0
» 17
72
30
34
77
0
97
0
35
62
06
1
ao
                  Compliance Status of Facilities by Program

*

Facs
Facs

in Compliance
Not in Compliance
AFS
36 (
36 (

SOX)
SOX)
RCR
61 (
25 (

71X)
29X)
PCS
25 C
57 (

30X)
70X)
All Thr
0 (
1 I
ee
OX)
= Total Number of Facs
                            72
                                          86
                                                                      53
                   Number of Enforcement Actions by Program

              AFS                  RCR                 PCS
                                                                        CER
Year NOV/NONS Adiin Judic NOV/NOHS Adein Judic NOV/NONS Adein Judic Adain Judic
19*>2
1993
1994
1995
41
22
41
2
16
12
17
0
2
4
5
0
13
a
7
1
5
2
6
0
1
0
3
0
3
4
2
0
31
14
ia
i
4
1
Z
0
0
0
0
0
0
0
0
0
Number of Open Civil DocKet Casei =
                       Sunmry of SIC Codes by Region
  SIC
                II   III
                            IV
                                        VI   VII   VIII   IX
                                                                    Totals
                                                                                    iter Description
0
2087
2261
2297
2411
2'»21
2429
2436
m
2
0
1
1
0
0
0
i
i
0
0
0
0
0
0
i
1
0
0
0
0
0
0
i
2
0
0
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0
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10
0
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1
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I
N't in SIC Table
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SAHMILLS t PLANING HILLS, GEN
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-------
310   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Table 2
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-------
                                             GALLOWAY, CAROL R.  311
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-------
312   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
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-------
                                        GALLOWAY, CAROL R. 313
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-------
314   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
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Date: 1990/03 Year
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-------
316   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

-------
                         SPECIAL TOPIC B: STRATEGIC TARGETING FOR ENFORCEMENT  317




                  SPECIAL TOPIC WORKSHOP B

                  Strategic Targeting for Enforcement
Papers and Workshop B discussions address the following issues:

       • Methods developed to target enforcement resources, such as inspections
         and enforcement response.
       • How these methods have been applied in practice.
       • Criteria used for targeting.
       • Success and benefits demonstrated from the application of targeting
         methods in comparison to the alternatives. For example, whether targeting
         results in  greater ability to detect significant violations or significant
         environmental problems and to send a clear signal to the regulated
         community.
1.   Summary of Stategic Targeting Workshop, Facilitators: C. Currie, K. Prosser,
    Rapporteurs: C. Cocault, K. DeMoors.	319

2.   Strategic Targeting for Compliance and Enforcement/?.F. Duffy	325
See related papers in Theme 6, Workshop I: Criminal Enforcement.

1.   Planning and Executing Strategic Environmental Enforcement Initiatives: Maximizing
    Enforcement Impact, R. van Heuvelen, P.J. Fontaines Volume I, Oaxaca, Mexico

2.   The Great Lakes Enforcement Strategy: Using Enforcement Resources to Maximize Risk
    Reduction and Reduction and Environmental Restoration in the Great Lakes Basin,
    L Peterson, Volume 1, Oaxaca, Mexico

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318  FOURTH  INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

-------
                   SUMMARY OF WORKSHOP: STRATEGIC TARGETING FOR ENFORCEMENT  319
STRATEGIC TARGETING FOR ENFORCEMENT

        Facilitators: Chris Currie, Kathy Prosser
        Rapporteurs:  Clare Cocault, Karin DeMoors


        GOALS

        The session addressed the following issues:

        •  What methods exist or can be developed to target enforcement resources,
          such as inspections and enforcement response?
        •  How have these methods been applied in practice?
        •  What criteria are used for targeting?
        •  What are the successes and benefits demonstrated from the application
          of targeting methods in comparison to the alternatives?


1       INTRODUCTION

        More than twenty participants discussed, in two separate workshops, strategic targeting
for environmental enforcement.  Participants represented countries with a broad range of existing
environmental enforcement programs,  including a few who had strategic targeting plans and
many who were interested in developing these plans.
2       PAPERS

        One paper prepared for the workshop by Richard Duffy reviews the history of the United
States Environmental Protection Agency's efforts to  target its resources at sources of
environmental pollution over twenty years of implementation.  It describes criteria used for
strategic targeting, data and analysis performed to identify  strategic targets, management
systems used to communicate and manage targets, and the results of those efforts.  Recent
data and information system improvements better support targeting on  a geographic, industry
and pollutant basis as well as for specific types of violations. Targeting is used to manage a
decentralized organization within the U.S.
3       DISCUSSION SUMMARY


3.1      What are the reasons for strategic targeting?

        Some of the driving forces for strategic targeting identified by the workshop participants
include:

        •  Public perception and the media.
        •  Political agendas.

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320   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        •  Desire of an agency to get more results out of their resources.
        •  Insufficient resources to do the job and the need to use them wisely.
        •  Need for intelligence capability.
        •  Desire to stress enforcement within a decentralized organization in which
          one must get others to enforce laws and establish compliance as a priority.
        •  Desire to be less fragmented and adopt a more integrated pollution control
          regimen.
        •  Desire to protect and manage certain natural resources.


3.2     What is strategic targeting?

        Following a review of country legal and organizational frameworks and approaches for
achieving compliance, participants defined "strategic" and "target". "Strategic" entails intentional
direction, one in which interactions happen in a consistent manner, focused in a particular direction.
A "target" is the focus on activity and resources  believed to have the biggest impact and for which
to develop a strategy to achieve compliance.

3.3     What activities require strategic targeting?

        Most of this discussion did  not specifically address strategic targeting, but rather was a
general overview of what the participants' countries did by way of environmental compliance and
enforcement program implementation.
        All of the participants stated that they operated under laws or rules of a government or
agency that  ultimately lead to enforcement if a facility is out of compliance. These laws or rules
establish regulatory tools, such as permits, that have limits and standards for pollutant emissions.
Enforcement tools include inspections, self-monitoring  and reporting, citizen complaints and
company involvement.
        Grades of enforcement allow government agencies to target their resources. Generally, a
warning or notice is given to a violating facility stating that they must comply with regulations. The
next step taken if the violating facility does not respond is to issue a violation notice. This notice is
normally a formal document with penalties attached. If the facility still does not comply then one or
more of the following actions are taken:  1) the permit is withdrawn; 2) the facility is shutdown; 3)
civil and administrative procedures are taken; or 4) criminal charges are imposed. Some countries
such as Jamaica can require a company to submit a management plan and rapid response plan in
response to violations to ensure company involvement in resolving non-compliance.
        Participants also identified "carrots" such as education, information, tax incentives,
prevention, awards, grants and loans, technical assistance, negotiation and the like. It is important
that the tax payer not subsidize polluters in any such scheme. In all cases, it was deemed essential
by all participants that actions be documented, timely and communicated ahead of time and as
follow up to the community, all geared toward the compliance goal.
        The level or levels of government that are responsible for establishing and employing
enforcement tools varied among countries.   In some cases one level of government, either the
locality, state/province, orfederal, was responsible for the enforcement of all regulations on a particular
facility, while in other cases many levels of government had power over a facility.
        It was noted that the severity of the violation determines the level of enforcement taken.
For instance, if the action is severe, some participants stated that in their country the facility would
be shutdown without a  warning or notice. However, it  was also noted that if the violating facility
provides a public service such as sewage treatment then it is impractical to take such action.

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                    SUMMARY OF WORKSHOP: STRATEGIC TARGETING FOR ENFORCEMENT   321
3.4     How to start being strategic?

        First set priorities, indicating where to spend resources and second analyze the program
results to see if it is effective. Programs need plans so they are not just reacting. It is important to
focus on health and safety as well as public complaints. The strategic plan addresses:

        •  What are the problems?
        •  Why are the problems?
        •  Where are the problems?
        •  Who is causing the problems?
        •  Whether there are means (e.g. technology) to be effective.
        •  Verification: How do you know?

           - citizen input through the media and politicians
           - monitoring results
           - NGOs
           - health authorities
           - ambient monitoring

        The need to then shift resources according to priorities is important; use the full range of
carrot and stick compliance and enforcement tools to achieve results in a timely manner.

3.5     Garnering public support for agency priority setting

        Participants discussed issues related to public perception and the fact that the public may
not perceive the same priorities as does the responsible governmental organization. While
sometimes difficult, participants viewed informing the public to be very important, particularly when,
for example, a small plant they see as important may not be viewed by an agency as important in
comparison to larger plants - or vice versa. To do this successfully, an enforcement agency needs
a tradition of credibility so that when the government makes decisions, they will be trusted.  Some
countries hold public/private pollution forums to ensure the public understands the problems and it
is very helpful when companies establish and implement community plans to establish credibility.
        Despite any such efforts to establish and communicate priorities, community and press
concerns on a local basis, while not strategic,  is important to respond to and difficult to plan.  Some
countries have established ombudsmen for the environmentto serve as a buffer for the agency but
ensure they are trusted to look into citizen complaints.

3.6     What criteria are used for targeting?

        The target was defined as the area in which an enforcement tool or program can have the
most impact. A strategy can be formed that combines these targets enabling the enforcement
program to reach the highest level of compliance with limited resources. A strategy is composed
of priorities and an analysis of whether the strategy is effective.
        Criteria named that are used for targeting include:

        •  The compliance history of the industry or particular facility.
        •  Experiences in other countries (e.g. use of cyanide in gold mining or denying
          permit based upon other country experience).
        •  Political agenda and issues coming up.
        •  Public concern.

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322   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        •   Urgency of the problem.
        •   Quantities of pollutants.
        •   Geography.
        •   Topography.
        •   Specific pollutants.

        In several instances, information on compliance history within a community, or outside a
community or country has been used successfully to bar a company from obtaining new permits.

3.7     What are the successes and benefits demonstrated from the application of
        targeting methods in comparison to the alternatives?

        The utilization of targeting methods primarily allows the agency enforcing environmental
rules and laws to stretch limited resources enabling the most efficient use of funds, resources, and
labor.
        Targeting also establishes credibility for the enforcement agency. If a public example is
made of a polluter then the agency is seen as powerful and penalties are real. Other benefits
include the increased likelihood of receiving funding since the agency is perceived as efficient and
fair. Improved staff moral is also a benefit of targeting. When staff is given a target to focus on and
have success a feeling of accomplishment exists.
        The final and most important benefit of strategic targeting is improved compliance rates
and more sustainable development.
        In Armenia, mobilization of the public enabled the authorities to combat illegal forestry
cutting, a strategic focus and means of gaining this public support. Chile, when faced with bakeries
in residential areas where pollution from them was a problem held discussions with bakery
associations, sent letters to all members of the associations, gained assistance from municipal
authorities and conducted outreach to the press to promote compliance. In the USA, one example
provided was when small but numerous sources of air pollution in areas exceeding national air
quality standards were the source of integrated compliance promotion, assistance and enforcement
strategies.
4       CONCLUSIONS

        Strategic targeting plans are an essential component of any environmental agency's
enforcement program. These plans will allow the agency to focus limited resources and have the
largest impact on improving compliance. While it is not possible to control all factors that influence
the choice of targets, it is possible to establish priorities and shift the majority of resources
accordingly.
        Several observations were made by participants in the workshop about strategic targeting:

        1. Strategic priority setting requires discussion with others, both within the agency
           and ministry as well as with other ministries, and with the public.
        2. Strategic targeting requires an overall framework (e.g. national action plans)
           to enable priorities to be set.
        3. Strategic targeting and priorities often have  to be set  without complete
           information, but all agreed that the following  were most useful  criteria in
           targeting resources and setting priorities.

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             SUMMARY OF WORKSHOP: STRATEGIC TARGETING FOR ENFORCEMENT  323

   •  Very bad environmental (and health) problems.
   •  Urgency of the problems which could be at a geographic, industry or facility
      level.
   •  Practicality of taking compliance and enforcement activity.
   •  Visibility  of activity to encourage further compliance and get social
      acceptability.
   •  Public and political priorities.
  In addition, the following information is important to have:
   •  Compliance history of the industry or facility.
   •  Quantities of pollutants.
   •  Geography.
   •  Topography.
   •  Specific pollutants.

4. Strategic targeting offers several benefits including: stretching limited sources
   to ensure most efficient and effective use of funds, resources and labor; helps
   to establish credibility, enhances ability to secure funding; provides sense of
   accomplishment, compliance and environmental  results for sustainable
   development.

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324  FOURTH  INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                             DUFFY, RICHARD F.  325
STRATEGIC TARGETING FOR COMPLIANCE AND ENFORCEMENT

DUFFY, RICHARD F.

Chief, Targeting and Evaluation Branch, Enforcement Planning, Targeting, and Data
Division, Office of Compliance, Office of Enforcement and Compliance Assurance,
U.S. Environmental Protection Agency, 401 M Street, SW, (MC-2222A) Washington,
D.C. 20460, USA


        SUMMARY

        This paper reviews some of the history of the United States Environmental Protection
Agency's (EPA) efforts to target its resources at sources of environmental pollution. The paper
tracks the evolution of targeting efforts from the late 1970s to the present. Early targeting efforts
were based almost exclusively on independent single-media approaches i.e., the clean air program
and clean water program worked independently of each other, even if both programs were working
with the same major industry groups or, in a few instances, the same facility or company. In the early
1990's, in recognition of the realities of one of the most basic physical principles, that of mass
balance (where mass is neither created or destroyed, only its form changes), the Agency began
working to implement more holistic multi-media approaches to  environmental enforcement. Among
recent efforts to implement holistic approaches are targeting compliance and enforcement efforts
at individual industrial sectors based on their multi-media compliance histories and their overall
reported releases of toxic chemicals. Holistic multi-media approaches are also being pursued for
particular geographic areas and ecosystems, pollutants of concern, and corporations. Each of
these major areas of activity are discussed in detail.
1       INTRODUCTION

        Targeting of resources is a fundamental activity for any organization regardless of its size,
nature of its work, or whether it is a public agency or private enterprise. It can be used by senior
managers to inform and direct long-term macro-level strategic decisions looking one or several
years into the future, and it can be used to guide short-term field-level decisions (i.e., the next few
weeks or months) on how best to allocate resources to meet overall organization-wide goals. Targeting
is becoming  increasingly critical to the compliance and enforcement programs  of EPA and the
states as their regulatory programs have grown in scope and complexity at a time when budget
constraints on federal and state governments are resulting in stagnant or declining resources levels.
Efficient use of scarce field resources is essential if EPA and its state partners are to fulfill their
many regulatory mandates. Strategic targeting based on sound analysis of information about the
state of the environment and of compliance by regulated entities is essential to achieving efficiency.
        Targeting plays an important role at several stages of the organizational planning process.
It is essential to informing the early stages of the long-term planning process where senior managers
consider ideas and concepts for organizational priorities and new areas of emphasis. Once macro-
level decisions have been made, targeting analysis is critical for translating the macro-level directions
into operational plans and commitments at the field office level. In many ways, the stages of the

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326  FOURTH INTERNATIONAL CONFERENCE  ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
targeting process are akin to peeling an onion - one layer leads to another until you get to the core.
Targeting is an ongoing cyclic process, however, with measurement and analysis of the results of
prior targeting efforts providing feedback to the organization for future planning.
2       BACKGROUND

        For much of its existence, EPA has carried out its planning and targeting functions on a
media-specific basis, e.g., the Clean Air program planned and targeted its program without
interaction with the Clean Water program or the hazardous waste program. This approach was
logical since the Agency has been organized by statutes which focus on particular environmental
media, i.e., separate statutes and offices for air, water, hazardous and solid waste, and pesticides
and toxic substances. Within each of these major organizational subcomponents, the planning and
targeting process have started with identification of broad areas of priority, with iterative refinement
of those priorities until they evolve into facility-specific action plans for field level operations in EPA
or State agencies.

2.1     Early targeting of major sources of air and water pollution

        Media-specific targeting has frequently been guided by deadlines or specific requirements
contained in the individual statutes. In the late 1970's and early 1980's, the Clean Air and Clean
Water programs targeted their efforts on specific lists of facilities and industries which had never
achieved initial compliance with regulations promulgated under those statutes. Known as the Major
Source Enforcement Effort (MSEE), "major" facilities were targeted by either EPA or state agencies.
("Major facility" is defined by the air program as a source with a potential to emit greater than 100
U.S. tons per year, and a "major facility" is defined by the water program as a source with discharges
to navigable waters of greater than 1 million U.S. gallons per day). Facilities targeted were primarily
power plants, publicly owned treatment works, petroleum refineries,  steel mills, and chemical
manufacturers. Collectively, EPA and the states took over 600 enforcement actions for water-related
violations and over 400 actions for air-related violations. At the conclusion of the Major Source
Enforcement Effort, initial compliance with the air and water statutes for many industries had been
achieved, or enforceable schedules to achieve them had been established, and focus in these
programs began to shift toward maintaining continuous compliance.

2.2     Significant noncompliance  as a targeting mechanism

        In the mid-1980's, the  Agency  began implementing the concept of "significant
noncompliance" (SNC) into its management processes for use in long-term goal setting, annual
planning, and measuring success. Each of the major regulatory enforcement programs established
national criteria and definitions for high priority violations that constitute significant noncompliance.
Significant noncomplier lists are not industry-specific nor geographically oriented, rather, the lists
are generated by applying the media-specific criteria to the full universe of facilities regulated under
each statute. If the facility meets the violation criteria, it is placed on the significant noncomplier list.
Optimal timeframes for responding to facilities on the significant noncomplier list are established,
with initial response to occur within at least 150 -180 days after the violation is detected. Progress
in responding to violations is closely monitored  by each program, and the success of both EPA
regional programs and state programs are judged, in part, based on performance vis-a-vis significant
noncompliers. Significant noncompliance is a dynamic process which is well suited to the realities
of pollution control where regulated entities can come in and out of compliance due to equipment

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                                                              DUFFY, RICHARD F.  327
failures, poor operations and maintenance practices, or new regulatory requirements. The significant
noncomplier concept continues to be a key management tool for identifying and addressing violators,
and the definitions of significant noncompliance continue to be set on a media-specific basis.

2.3     Multi-media targeting

        In the early 1990's, policymakers at EPA saw that many environmental issues transcend
the boundaries of the media-specific programs, and work began on bringing a more holistic, multi-
media perspective to  compliance and enforcement goal setting,  planning, and program
implementation. The agency instituted both single- and multi-media inspection targeting and case
screening to identify violations which involve significant health and environmental risks. The agency
also formulated multi-media initiatives directed at specific industries. Initially, these changes met
significant organizational inertia, and both the Administrator and Deputy Administrator, the top two
ranking officials at  EPA, put a significant amount of personal energy into making sure that the
organizational culture at EPA began to take a broader view of the world. These first efforts to
implement a holistic, multi-media perspective were generally successful, however, many managers
in the media-specific programs were concerned about the high transaction costs associated with
coordination among the programs, and about detracting from their basic responsibilities under
each statute. Implementation of multi-media approaches continued to require significant commitment
from the Agency's most senior officials.
        Beginning  in 1994, EPA undertook a major reorganization at its  headquarters office
intended in large part to institutionalize holistic, multi-media approaches to environmental protection.
The  reorganization consolidated five major  media-specific headquarters  offices into a single
organizational entity with the responsibility for the compliance and enforcement requirements for all
the environmental  statutes. Similar, but  not necessarily identical, consolidations have been
implemented in EPA's ten regional offices. Key components of the new headquarters organization
include an office dedicated to developing multi-media enforcement cases, offices with expertise in
all matters pertaining to specific industries or sectors,  and offices that consolidate information
management, program planning, and targeting from all of the programs that conveyed to the new
organization. This latter office is charged with integrating the media-specific facility data from each
of the major computer data systems and conducting broad scale analysis of compliance trends
and potential impacts on human health and ecosystems.
        TARGETING FOR RESULTS
3.1     Early multi-media enforcement initiatives

        The multi-media compliance and enforcement targeting efforts that took place in the early
1990's prior to the reorganization were focused on industries such as the pulp and paper and iron
and steel industries. These efforts were coordinated by a senior level agency-wide enforcement
steering committee which was known as the Enforcement Management Council (EMC). It consisted
of representatives from each media office and from all ten regional offices. It served as a "board of
directors for enforcement," and it oversaw and sanctioned the development of the enforcement
initiatives targeted at major industry groups. It also sanctioned the analytical framework that was
used for selecting these industries which consisted largely of an analysis of industry-wide multi-

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328   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
media noncompliance rates, analysis of data reported by facilities to the Agency's Toxic Release
Inventory (TRI)  (it contains data self-reported by facilities on releases and transfers of over 300
toxic chemicals), and perceived opportunity.
        These early initiatives were intended to test new ways of better focusing the attention of
the enforcement program at problems that significantly impact human health and the environment,
and make better use of scarce Federal and state enforcement resources. To the maximum extent
practicable, environmental problems were to be  addressed in a holistic, multi-media fashion.
Resource efficiencies were  expected through focusing inspections, enforcement actions, and
settlements on industrial sectors of concern, pollutants of concern, and geographic areas where
populations and/or ecosystems are at risk.
        The bureaucratic obstacles to implementing these new approaches were significant.
Managers and staff at all levels of EPA's enforcement programs were initially resistant to the notion
of multi-media enforcement because of the additional new workload associated with establishing
and maintaining a multitude of new channels of communication and coordination among the media
offices. Many were also concerned that the resource and timing issues associated with developing
and  initiating multi-media actions would cause programs  to fail to meet their media-specific
commitments for conducting inspections and taking enforcement action within established guidelines
for timely and appropriate response.
        The EMC initially set as an operating assumption that the multi-media enforcement
initiatives would be conducted from inspection to developing enforcement actions within a single
year. With experience, it became clear that one year was simply not enough time to conduct an
effective initiative if a significant number of new inspections are to be targeted, as opposed to
relying primarily on "opportunistic" cases. At least one year is needed to simply plan and conduct
inspections; there should  be at least one more year for case development. Most initiatives  are
better implemented through a multi-year strategy which allows affected offices the lead time to
strategically allocate inspection resources to the targeted areas. This is particularly true if the goals
of an initiative are very complex or ambitious. A short time horizon also creates tension between
regional and state program goals, particularly with respect to implementing the base program.

3.2     Targeting in the  new compliance and enforcement organization

        As mentioned above, the reorganization of headquarters compliance and enforcement
functions consolidated many compliance and enforcement functions which for the prior ten years
had been scattered throughout five major offices in headquarters. The reorganization emphasized
five key objectives: (1) maintain an imposing enforcement presence to deter noncompliance; (2)
use compliance assistance and other innovative tools in addition to formal enforcement actions to
bring about compliance; (3) organize compliance strategies, and often formal enforcement activities,
around sectors of the economy and ecosystems; (4) utilize multi-media, whole facility approaches
to reach comprehensive solutions that fix problems and do not simply move a problem  from one
medium to another;  and  (5) measure success by improvements in compliance  rates and
environmental quality, not just by the number of cases brought or the amount of penalties collected.
        Strategic targeting plays a central role in achieving all of these objectives. Targeting analysis
plays a role from the very earliest stages of the program planning process where ideas and concepts
for future organizational priorities are considered. The analytical process follows through the process
of measuring the success of the program, where the targeting data serves as the baseline set of
conditions against which results are being measured. Analysis of data may suggest or indicate
trends within the regulated community that cause concern about the state of compliance, or it may
suggest potential opportunities for achieving greater public health and environmental protection
through use of innovative settlements or pollution prevention.

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                                                               DUFFY, RICHARD F.  329
        It is very important that the analysis be based on sound and objective analytical techniques
and methodologies that can withstand challenges by those facilities or areas that have been targeted.
And while it is also important that there be consistency in analytical approaches, especially if targeting
work is being conducted by different groups in the agency (e.g.,  conducted both at headquarters
and in the regional offices), a balance needs to be struck in this area because strict adherence to
uniform ways of doing analysis will also stifle creativity. It is also useful to expect that the analytical
process will be iterative, with refinements either narrowing or broadening the scope of work. Useful
byproducts of the iterative process include refinements which strengthen the overall analytical process
and an increased understanding by senior managers and staff alike of the meaning and limitations
of the data and the analysis.

3.3     Targeting analyses in EPA are generally focused on the following areas:
        industrial sectors,  geographic areas/demographic  analysis, corporate
        analysis,  and risk-based  analysis

3.3.1    Industrial sectors

        Analysis of industrial sectors is conducted using the United States' Standard Industrial
Classification (SIC) codes.  These codes are 4 digit numbers used to categorize industrial and
commercial processes. The first two digits place the facility in a macro-level category (e.g., Category
28 includes Chemicals and Allied Products), and the following two digits provide greater definition
and precision (e.g., Category 281 is the subcategory for Industrial Inorganic Chemicals, which is
further subcategorized to 2812 for Alkalies and Chlorine, 2813 for Industrial Gases, etc.).
        Objective rankings of industrial sectors are used for priority setting among many sectors.
The ranking analysis typically includes the historical multi-media noncompliance patterns for all the
facilities within the individual industrial groups (EPA's mainframe computer databases allow for
analysis of trends over a two-year timeframe), historical information on enforcement actions taken
against facilities within the sector, reported releases of toxic chemicals (both the amount of total
releases and releases  of known or suspected carcinogens), and  the frequency of inspections.
Relative rankings among the sectors are organized using the noncompliance rate as the primary
ranking factor; the secondary ranking factors are total reported  releases of toxic chemicals and
total reported releases of known or suspected carcinogens. Rankings are developed at the national
level to assist in selection of national priorities. Similar rankings  are developed for each of EPA's
ten regions to reflect the unique mix of industries that exist within each region. The national rankings
and the region-specific rankings are then  used during the annual planning process to inform
discussions between headquarters  and regional managers about region-specific priorities and
how they relate to, or deviate from, the national priority industrial sectors. These data also form the
baseline against which  success is measured overtime.
        For FY 1996, the process described above was used to inform the selection of both
national and  region-specific  priorities. At the national level, this process identified the following
major industrial groups as priorities: petroleum refining, primary non-ferrous metals, industrial organic
chemicals, plastic materials  and synthetics, iron and basic steel products, and pulp mills. On a
region-specific basis, some regions have many facilities within  these industries and others may
have none. Some industries with relatively high noncompliance rates and large releases of toxics
may be located mostly in one region. By analyzing the data at both the national and regional levels,
it is possible to inform the selection of macro-level national priorities while at the same time informing
region-specific decisions about priorities.

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330  FOURTH INTERNATIONAL CONFERENCE  ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
3.3.2   Geographic areas/demographic analysis

        Geographic analysis can be conducted using one of two starting points. The first starts
with an objective set of criteria or characteristics and then attempts to find areas that match those
criteria.  A second starting point is with a geographic  area that is selected based on general
knowledge or information from within the agency or the community which indicates that environmental
and/or compliance problems may exist. With a known area, the analysis focuses on gathering and
sorting through all of the available information for the area for facilities, ecosystems, and populations.
        In designing geographic analysis it is important to plan up front for how the data will be
displayed. It is  usually best to display the objective data in the form of maps created using
Geographical Information System (GIS) or other types of graphical depictions (proving the old
adage that "a picture is worth a thousand words"). In the Geographical Information System format,
"layers" of information can be placed on the map to depict sources, their compliance status (either
the rate overtime or the current status), the relative volume and nature of their reported releases,
important ecological characteristics  such as  receiving water bodies, critical habitats such as
wetlands, watersheds, and recreational areas, and the density and demographics of surrounding
populations (e.g., U.S. Census data on minority populations, income level, relative proportion of
children and elderly, etc.). Tables containing the underlying data can also be presented, but the
most effective way to convey such large volumes of information is proving to be through use of GIS
maps.

3.3.3   Corporate analysis

        Several models for objectively evaluating corporate compliance patterns have been
considered by EPA. Starting points for analysis can be corporation size, number of facilities reported
as being in significant noncompliance, corporation-wide noncompliance rate over time, and the
total amount of reported releases of toxic chemicals by facilities owned by the corporation.
        In corporate targeting analysis, patterns may emerge where corporations and their
subsidiaries may be  operating facilities improperly in many locations across the country.
Corporations and their subsidiaries may operate under many different names, and it may initially
be difficult to determine ownership. EPA has found, however, that this complex analysis can uncover
persistent patterns of noncompliance across a corporation. In the absence of a unified enforcement
response, the corporation may be able to greatly minimize its pollution control expenses. If a pattern
can be identified, and a corporate-wide enforcement  response developed, the impact on the
corporation and its practices, and the resulting benefits to the environment, can be many times
greater.
        Corporate approaches can  be resource intensive due to cross-program coordination
and coordination among many or all headquarters and regional offices. Coordination  becomes
even more complex if EPA's state partners choose to participate in the action. A notable example
of the benefits of the corporate approach was an action taken against Louisiana Pacific Corporation
where a pattern of widespread noncompliance was uncovered. The government uncovered evidence
through its databases and other sources of information that Louisiana Pacific had failed to apply
for required Clean Air Act permits and provided incomplete or low estimates on air emissions at 11
of its oriented strand board and medium density fiberboard facilities located in nine states. As a
result of the company's failure to report all its air emissions of volatile organic compounds, paniculate
matter, or carbon monoxide comprehensively,  neither the federal nor state governments would or
could accurately know the level of air quality deterioration in the vicinity of the plants. In addition, the
company avoided installing pollution control equipment that would have been required to prevent
the significant deterioration of air quality in areas which were attaining ambient air quality standards.
In settling the case, the company paid an $11 million  penalty, the largest Clean Air Act penalty in

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                                                              DUFFY, RICHARD F.  331
EPA's history, and the company is implementing an extensive Clean Air Act compliance program
including obtaining all necessary air permits and complying with all necessary requirements and
regulations.

3.3.4   Risk-based analysis

        Developing risk-based targeting techniques has tested the limits of the data that EPA
collects on regulated facilities and ambient environmental conditions. It has also brought into play
evolving sciences related to the toxicity and fate of chemicals, pollution pathways, the synergistic
effects of chemicals, etc. As EPA has worked to develop a risk-based targeting capability, it has
struggled to reconcile conflicting approaches coming out of the scientific community. EPA has
convened a workgroup to consider how risk assessment models might be used effectively and
confidently and incorporated into the operating strategy of EPA's enforcement and compliance
assurance program. The workgroup assembled a  compendium of over 160 models, and through
repeated applications of ranking and screening criteria arrived at a set of 6 models that are being
subjected to more thorough and detailed investigations. The evaluation criteria included amount
and type of required data and whether the model  provides consideration of multi-media risk and
human exposure. For the models which pass the continued evaluation, both independent (of EPA)
peer review and the production of guidance to prospective model users will be undertaken. If no
models pass these tests, consideration will be given to developing a new model designed specifically
for the compliance and enforcement program.
        Risk-based approaches are expected to have applications in the conduct of industrial
sector  analyses, pollutant-specific targeting analyses, corporate analyses, and geographic/
demographic and ecosystem analyses. One approach that will be explored will be the development
of relative risk  rankings of facilities where the amounts of reported releases for individual toxic
chemicals are weighted by the toxicity factors for each chemical. An analysis that uses only the total
number of pounds released may overstate, in a relative sense, the potential impact of one facility
over another. For example, in  industrial sector or geographic/demographic targeting, weighting
releases by the respective toxicity factors of the individual chemicals may reorderthe list of facilities
within the sector or area from rankings based on the total amount of all chemicals released. From
a program planning perspective, all facilities may still receive an  inspection and/or enforcement
action, but the order in which the inspections or actions are scheduled may be adjusted to first get
to the facilities of greater  concern or potential impact to surrounding populations.
        Risk-based targeting analysis can be conducted where identified environmental conditions
exist (e.g., aquatic systems with known contaminated sediments, river segments where fishing is
forbidden, contaminated fish tissue), and then the agency can identify through its data facilities
which may be contributing the contaminants of concern. The analysis can assist in developing and
implementing strategies (either enforcement or facility permit improvement strategies) for reducing
loadings  of problem contaminants, directly reducing known risks to human  health and aquatic
systems.


4       CONCLUSIONS

        In conclusion, the following thoughts may be useful in guiding and implementing strategic
targeting approaches:

        1.  Define objective and defensible analytical criteria to ensure that the agency is
           on solid footing in the selection of enforcement priorities and targets; industries
           and facilities  may take exception to having been targeted as a noncomplier
           or a potential  health risk.

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332   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        2. Synchronize the analytical process with the agency's annual planning
          processes to maximize results and to better inform the identification and
          selection of priorities. Establish baseline compliance and enforcement trend
          data and use this data to monitor and measure success, results and
          effectiveness.
        3. Make the targeting process inclusive (there isn't a monopoly on good ideas),
          iterative (macro-level for budget and national guidance, region-specific for
          local priorities and specific inspection plans), and supple to accommodate
          emerging priorities, new ideas, or unexpected occurrences (e.g., newly-
          identified health threats, accidents, spills).
        4. Take maximum advantage of the investment that the government has made in
          the collection (and automation) of compliance and enforcement data. If the
          agency is not going to use data, perhaps it should not spend resources to
          collect it.
        REFERENCES

1.   Memorandum from Elaine G. Stanley entitled "Final Report of the Workgroup on Measures
    of Success for the Office of Enforcement and Compliance Assurance." January 24,1995.

2.   Memorandum from Steven A. Herman entitled "Case Conclusion Data Sheet - Pilot
    Reporting for FY1995."  March 22,1995.

3.   Memorandum from Steven A. Herman entitled "Final FY1996/FY1997 Office of
    Enforcement and Compliance Assurance Memorandum of Agreement Guidance." June
    22, 1995.

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                          SPECIAL TOPIC C: INTEGRATED PERMITTING AND INSPECTION  333




                   SPECIAL TOPIC WORKSHOP C

                   Integrated Permitting and Inspection
        Many nations are moving toward integrated permitting and inspection, and others are
considering this approach. Workshop C discussions built on the UNEP training manual and a
new capacity-building technical support document prepared  for the Fourth International
Conference on Multi-media Inspection  Protocols. Papers and Workshop C discussion topics
address the following issues:

        •  The extent of country experiences with  integrated  permitting  and/or
          integrated multi-media) inspections.
        •  How an integrated permit is defined, specifically whether it covers procedural
          integration,  administrative integration, substantive  integration, or all three.
          What is different about integrated versus single-media or program permits.
        •  Advantages and disadvantages of integrated permits and whether they are
          more or less efficient and effective, why, and in what circumstances.
        •  Potential and actual compliance and environmental results from integrated
          permits that would not have resulted from single-media permits.
        •  Level of difficulty in issuing and monitoring compliance with integrated
          permits: is it more or less difficult to achieve compliance in the regulated
          community.
        •  Special expertise needed to implement integrated inspection programs.
        •  How an integrated multi-media inspection is defined, specifically whether
          it is a team  of inspectors with single program expertise, a single inspector
          trained to inspect for compliance with multiple programs, a review of overall
          processes and environmental performance, and/or a broad screen  for
          potential problems.
        •  Implications of pollution prevention concerns on  integration of compliance
          approaches.
1.   Summary of Integrated Permitting and Inspection Workshopfac/WafOAs:
    J. Skinner and C. Wasserman, Rapporteur, J. Mozingo	335

2.   Innovative Multi-media Compliance, Enforcement, and Pollution Prevention
    Approaches to Environmental Compliance at Federal Facilities in the United
    States of America, R.B. Cheatham, J.R. Edward, W.H. Frank, R.J. Satterfield.	341

3.   See also Synopsis of International Comparison of Source Self-Monitoring,
    Reporting, and Recordkeeping Requirements, Workshop D	393

4.   See also Synopsis Multi-media Inspection Protocols: International Examples,
    Workshop D	394

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334  FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
5.   See also Synopsis of Course: Conducting Multi-media Inspections, Workshop D..... 395
See related papers from other International Workshop and Conference Proceedings:

1.   Integrated Pollution Control in England and WalesA Bryce, Volume I, Oaxaca, Mexico

2.   Swedish System of Intergrated Permitting — Whether It Enhances Compliance and
    Enforceability, L Svemdal, Volume I, Budapest, Hungary

3.   The U.S. Environmental Protection Agency's Integrated Compliance by the Federal
    Government, T. McCall, Volume I, Budapest, Hungary

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                    SUMMARY OF WORKSHOP: INTEGRATED PERMITTING AND INSPECTION  335


INTEGRATED PERMITTING AND INSPECTION

        Facilitators:  John Skinner, Cheryl Wasserman
        Rapporteur:  Jack Mozingo


        GOALS

        Discussions were designed to address the following issues:

        •  The extent of country experiences with integrated permitting and/or integrated
          (multi-media) inspections.
        •  How an integrated permit is defined, specifically whether it covers procedural
          integration, administrative integration, substantive integration or all three. What
          is different about integrated versus single media or program permits.
        •  Advantages and disadvantages of integrated permits and whether they are
          more or less efficient and effective and why, in what circumstances.
        •  Potential and actual results from integrated permits that would not have resulted
          from single-media permits.
        •  Level of difficulty in issuing and monitoring compliance with integrated permits:
          more or less difficult to achieve compliance by the regulated community.
        •  Special expertise needed to implement integrated inspection programs.
        •  Impact on integration of compliance and pollution prevention concerns and
          approaches
1       INTRODUCTION

        Many nations are moving toward integrated permitting and inspection, and others
considering these approaches. This movement reflects several concerns, including: 1) recognition
that the environment and impacts on the environment often is not neatly compartmentalized into
single media such as air, water and land, but is an  integrated system requiring integrated
considerations on the best approaches to control pollution and its impacts; 2) increased emphasis
on prevention of pollution which often requires an integrated look at new processes and technologies
rather than end-of-pipe treatment for a single environmental medium; 3) a desire to achieve greater
efficiency in permitting and inspection activity; 4) a desire to avoid transfers of pollution from one
medium to another. Despite the desire to achieve more integrated environmental management
through integrated permitting and inspection, experience has been limited. Attempts to integrate
have raised management and decision-making concerns about complexity of decision-making
and implementation; whether it really is more efficient and how it can be implemented efficiently,
and whether these approaches really result in integrated control and prevention approaches.

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336   FOURTH INTERNATIONAL CONFERENCE ON  ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
2       PAPERS

        A Capacity Building Support Document was prepared by the Conference sponsors on
Multi-media Inspection Protocols with international examples. The document includes discussions
on and examples of a range of approaches and definitions, along with the potential advantages
and disadvantages of each approach.
        In addition, a paper prepared by Reginald Cheatham, et al. describes a multi-media
strategy for strategic targeting, compliance promotion and outreach, inspection and enforcement
response for the federal facilities sector within the United States. Data is presented on the success
of the strategy first described in the Proceedings of the second International Conference in Budapest,
Hungary.
3       DISCUSSION SUMMARY

3.1     Defining "integrated permits and integrated permitting"

        Integrated permits were defined by the participants as:one permit related to one facility
covering all elements of the environment The group realized that there were different approaches
and goals for integrated permitting systems and integrated permits that existed around the globe,
ranging from integration of permitting processes to integration of the substantive requirements in a
permit. Three categories of approaches were identified with three types within one of the categories
yielding a total of five different approaches:

        1) An additive approach(or "the big staple") which added together the results of
          what wereessentially separate permitting processes to deliver a single permit.
        2) A coordinated  approach  in which separate permitting processes are
          coordinated to  ensure that cross-media and cross-program transfers of
          pollution do not occur and that information about the facility is shared for
          purposes of decision-making on a media-by-media and program-by-program
          basis.
        3) Holistic approaches which create new substantive requirements as a result of
          permit integration at three possible levels:

           a) best available technology from a multi-media standpoint is applied;
           b) pollution prevention and cleaner technology is emphasized in addition to
              a base-line of compliance including resource; and/or
           c) the integrated permit takes into account overall environmental impacts.


3.2     Country experiences with integrated permitting

        Many countries throughout the globe are interested in pursuing integrated approaches to
environmental management for permitting and inspection activities. For example in Europe, the
Integrated Pollution Permitting and Control (IPPC) Directive from the European Union provides
new impetus for an integrated approach in both Western Europe and Central and Eastern Europe,
participants from both Italy and Poland described current efforts to address this challenge through
new legislation and review of ongoing programs. In the United States, a recent reorganization is
enhancing the ability of the program to adopt more sector and geographic based approaches to

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                     SUMMARY OF WORKSHOP:  INTEGRATED PERMITTING AND INSPECTION   337
inspection and enforcement activity. In Estonia it is a "dream", Bhutan is in its early stages of program
development with an Environmental Commission and Environmental Impact Assessment (EIA)
mandate but little else is in place as yet.
        In reviewing country experiences, it was clear that few countries have had actual experience
with integrated permitting that is holistic, and that experiences reflected the range of approaches
identified above. Most countries are attempting to coordinate permitting processes, while still issuing
separate permits. Among the countries participating in the workshop, only New Zealand had
experience with holistic approaches at the 3c level, taking into account overall environmental impacts
by using Environmental Impact Assessment as an application and including ecological conditions
in a single environmental permit. They have only issued 3 to 4 such permits since their laws were
changed in 1991. While ElA's are required in many countries for permitting, they are usually not
associated with issuance of a single comprehensive permit which reflects the full range of impacts
from pollution loadings to ecological implications. Some U.S. States are experimenting with level
3b integrated permitting but have not yet issued such permits. The U.S. EPA has gone so far as to
develop sector-based standard-setting for performance requirements in permits which emphasize
considerations of 3a (BACTfrom a multi-media standpoint), and 3b (pollution prevention and cleaner
technology from a multi-media standpoint), that would then be the basis for single media permitting;
and has provided opportunities for additive and coordinated permitting. Many countries in Western,
Central and Eastern Europe are preparing to comply with European Unions' IPPC requirement for
integrated permitting and are facing some very real implementation issues.
        Italy issues permits based upon BACT determinations which are holistic, and relies upon
a separate EIA process to ensure broader environmental impacts are addressed. Poland is currently
pursuing coordinated permitting approaches to prevent unwanted transfers of pollution from medium
to medium.

3.3     Implementation issues for integrated permitting


3.3.1    Relationship between Environmental Impact Assessment (EIA) processes
        and integrated  permitting

        In many countries around the world, environmental impact assessment precedes permitting
and has the potential to serve as a basis for an integrated permit application. The EIA typically
involves an holistic assessment of releases, risks, ecological impacts, resource usage, and all
other environmental implications. EIA, if followed up with enforceable operational and/or siting
conditions, brings many of the advantages of integrated permitting even where such permitting is
not practiced.
        If an integrated permit is intended to identify, measure, weigh, and resolve tradeoffs among
media, risks, and  impacts, difficulties remain as to how this can be accomplished, particularly
given the absence of methods, technical skills and discretion  not easily exercised by the typical
permit writer. One very important observation was that it is not possible to assign common values
to different types of impacts, whether during the EIA process or during permitting. Possible solutions
involve: 1) more guidance, 2) including such judgments in standards for these types of permits in
advance, and 3) getting discussionsamong teams of experts who can help to address such issues
in the permitting process  itself.
        Additional concerns are the pressures to permit new construction and the potential for
delay to address ecological issues related to flora and fauna.  For fully integrated permitting the
time involved in collecting and analyzing information could be substantial. As with EIA, assessment

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338   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
of ecological impacts often takes at least one growing season. There was some discussion of
whether permitting could proceed when less time was available, with additional data collection and
analysis requirements incorporated into the permits.
        The advisability of this approach really depended upon the types of impacts of concern
since moving ahead with permitting could reduce options to mitigate or avoid important environmental
impacts.

3.3.2   Organizational issues

        Single medium permitting and inspection is the norm in many countries so organizational
lines are drawn by medium. A move to integrated permitting or inspections raises organizational
issues created by both organizational autonomy and the need to cut across organizational lines of
authority. A move to integrated permitting or enforcement compels at least an examination of
organizational relationships. In some countries, a designated "lead" agency or organization can
overcome some of the problems posed  by institutional barriers.  Solutions discussed among
participants included New Zealand's approach of making one person responsible both for a site
and a sector to ensure consistency. Related approaches include assigning lead responsibility to
one organization to coordinate and integrate permits as is done in Romania, and South Africa's
proposed tiered model in which local inspectors serve largely to screen for compliance problems
and regional experts, who have sector specific expertise, are brought in less frequently or when
necessary, ensuring familiarity with local conditions while maintaining expertise. Romania used
audits of permit writers and inspectors to provide  integration and ensure consistency.

3.4     Multi-media inspections

        Workshop participants reviewed the new capacity building support document on Integrated
Multi-media Inspection approaches and discussed the distinctions that are similar to those in
integrated permitting between different approaches. The different approaches included:

        1) Multi-media screening which may accompany a single media inspection
        2) Consolidated (one or two multi-media trained inspectors for that sector or
          industry)
        3) Multi-media Team Inspections (single media inspectors inspect at one time)
        4) Process-based inspection

        along with different substantive purposes and scope for these inspections, which might
include:

           a) Compliance only;
           b) screening of environmental impacts; and
           c) technical assistance for prevention and compliance.

3.4.1    Separate or integrated inspection and  permitting staffs

        The group discussed whether the same individuals should write permits and perform
inspections.
        While Austria and South Africa have combined these roles, and New Zealand's site
coordinator coordinates both for a site, there was  general agreement with Italy's experience that it
works better to separate responsibility for inspection and permitting. This preference for separation
of these functions reflects the experience of Norway (see published paper by Gro Rodland in
proceedings), and the advisory group experience in the United Nations Environmental Program's

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                    SUMMARY OF WORKSHOP: INTEGRATED PERMITTING AND INSPECTION  339
Manual on Institution Building for Industrial Compliance. It may encourage too close a relationship
between facility and inspector or inability to approach permit requirements objectively for independent
evaluation of compliance and enforcement.

3.4.2   Integrated inspection without  integrated permits

        Programs can have integrated permitting not accompanied by integrated inspections
and integrated inspection but not integrated permits. There is insufficient experience to assess
whether an integrated permit would assist multi-media inspection. The U.S. EPA has developed
and requires use of a multi-media screening approach to be used for all inspections, regardless of
whether they are single or multi-media and has introduced greater use of both coordinated and
team inspections for specific types of situations. EPA and its state counterparts are experimenting
with new roles for inspectors in performing process-based inspections which are more capable of
identifying cross-media transfer problems and pollution preventioropportunities.
4       CONCLUSION

        Many countries are adopting and experimenting with integrated approaches to permitting
and inspection. There is no single approach, but a variety approaches from separate permits or
inspections which are simultaneous,  to coordinated permitting and/or inspection to  holistic
approaches which are multi-media, process-based or integrate broad environmental concerns.
Countries may have integrated inspection without integrated permits, and integrated permits without
integrated inspection. There is still limited experience with organizing and implementing fully
integrated single permit and single inspection schemes for all media and programs which adopt
holistic and process-based approaches to environmental protection. Questions still exist as to the
best means of organizing and implementing such programs, their efficiency and methods for making
trade-offs among media where issues arise. Much can be gained by further sharing of experiences
and clarifying what is meant by these terms when addressing them. The workshop participants
developed useful definitions for the range of approaches which should help in this  process of
exchange and learning from each other's experiences.

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340  FOURTH  INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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             CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.  341


INNOVATIVE MULTI-MEDIA COMPLIANCE, ENFORCEMENT AND POLLUTION
PREVENTION APPROACHES TO ENVIRONMENTAL COMPLIANCE AT
FEDERAL FACILITIES IN THE UNITED STATES OF AMERICA

CHEATHAM, REGINALD B., EDWARD, JAMES R., FRANK, WILLIAM H.,and
SATTERFIELD, RICHARD J.,

United States Environmental Protection Agency, Chemical Industry Branch, 401 M
Street, SW, Washington, D.C. 20460 USA


       SUMMARY

       The United States Environmental Protection Agency (EPA) oversees the Federal
government's efforts to manage and clean up safely the radioactive, hazardous, and mixed wastes
generated from its weapons research and production activities, operation of its military bases, and
a myriad of activities in non-defense areas. To accomplish its mission, EPA is implementing an
integrated management strategy for environmental performance by the federal government. The
immediate goal of the strategy is to assure that the federal government meets or exceeds compliance
with all applicable environmental laws and regulations. The ultimate objective of the strategy is for
the federal government to lead the way by setting an example for the entire nation in environmental
performance.1
       The five components of the integrated management strategy are:

       •  Legal and Regulatory Authority.
       •  Regulatory Agency Responsibilities and Organization.
       •  Training and Technical Assistance.
       •  Compliance Monitoring.
       •  Enforcement Options.

       This paper will focus on the implementation of programs and initiatives that directly and
indirectly influence the execution of these five components of the integrated management strategy.
The first subject for discussion will be the Federal Facility Compliance Act and how this legal
authority has enabled EPA to implement U.S. hazardous waste law with respect to Federal facilities
in the same manner as private facilities. Second, a discussion of EPA's Federal Facility Multi-
media Enforcement/Compliance Initiative (FMECI) will show legal authorities applied within a policy
framework that seeks efficiencies of scale by going beyond the single-media approach of the past.
The third section of the paper addresses one of the best overall examples of the direction EPA is
going in trying to improve environmental management systems in the Federal sector, which is the
ongoing effort to address the environmental performance and concerns of Civilian Federal Agencies.
The fourth section of the paper addresses one of the most innovative approaches to improved
environmental management in the Federal sector, the implementation of Executive Order 12856,
entitled "Federal Compliance with Right-To-Know Laws and Pollution Prevention Requirements,"
which requires that federal agencies comply with the Emergency Planning and Community Right-
to-Know Act of 1986 (EPCRA) and Pollution Prevention Act of 1990. Section five of the paper
discusses the future directions of EPA's federal facility enforcement program and offers some
conclusions from the antecedent discussions. There are two attachments: a guidance (Attachment
A) on assisting enforcement personnel in identifying and documenting pollution prevention

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342   FOURTH INTERNATIONAL CONFERENCE  ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
opportunities that can be incorporated into enforcement settlement agreements with particular
Federal facilities and a generic Federal Facility Pollution Prevention Field Reporting Form
(Attachment B).
        The responsibility for implementing the integrated management strategy within EPA lies
with the Office of Enforcement and Compliance Assurance (OECA) Within this Office, the Federal
Facilities Enforcement Office (FFEO), working with the EPA Regions, deals with multi-media
compliance issues under all environmental statutes as well as cleanup and remediation under
Superfund.
        Compliance at Federal facilities is monitored by EPA through both facility inspections
and the analysis of self-monitoring reports which are often required by statute or regulation and
submitted by Federal agencies. Upon the discovery of a statutory or permit violation at a Federal
facility, the appropriate EPA Region initiates an enforcement action pursuant to the enforcement
authorities granted to the Agency in the environmental law which has been violated. The procedure
for initiating these enforcement actions depends on the program under which the action is being
taken.
        Multi-media enforcement and compliance approaches, such as the Federal Facility Multi-
media Enforcement/Compliance Initiative and the Civilian Federal Agencies Strategy, ensure that
Federal facilities are evaluated for full compliance with environmental laws. Regulatory reform
initiatives such as the Common Sense Initiative and Project XL will move environmental protection
at Federal facilities into the next century, moving EPA successfully toward the goal of the integrated
management strategy at Federal facilities.
        Many Departments and Agencies currently use a multi-media approach in their
environmental auditing activities. EPA is promoting and facilitating this type of compliance monitoring,
which involves a more holistic view of compliance deficiencies and increased environmental
awareness by Federal employees.  By emphasizing the  use of creative solutions to these
deficiencies, such as pollution prevention, the Agency promotes both increased compliance and
decreased cost.
1       LEGAL AND REGULATORY AUTHORITY

        The most significant recent indicators of the direction in which U.S. environmental law is
moving with respect to Federal facilities are the passage of the Federal Facility Compliance Act
and the issuance of Executive Order 12856 (See Sec. 4.0, below). These authorities enable EPA
to implement hazardous waste and community right-to-know laws with respect to Federal facilities
in the same manner as private facilities.
        On October 6,1992, the Federal Facility Compliance Act of 1992, Pub. Law No. 102-386
(the Act), became lawfThis Act amends the waiver of sovereign immunity found in the Resource
Conservation and Recovery Act (RCRAyJThe Act's legislative  history indicates that its primary
purpose is to ensure that Federal facilities are treated the same as private parties with regard to
compliance with the requirements of the earlier Act.  For example, the Conference Report states
"where EPA uses an administrative complaint pursuant to section 3008(a) to address particular
types of violations detected at a private company or municipality the Administrator must  use an
administrative complaint to address the same types of violations at a federal facility.
        Prior to  the Act's passage, EPA took enforcement actions against Federal agencies
differently than against private parties. This difference was tied to the language of section 6001 of,
the hazardous waste law Resource Conservation and Recovery Act, 42 U.S.C. § 6961. According
to the Department of Justice's 1987 testimony before the House Subcommittee on Oversight and

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              CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.  343
Investigations, Committee on Energy and Commerce, EPA lacked the statutory authority necessary
to issue administrative compliance orders (pursuant to the Resource Conservation and Recovery
Act section 3008(a). EPA, thus negotiated Federal Facility Compliance Agreements with Federal
facilities to bring them into compliance.
        Through passage of the 1992 Act, Congress clarified that administrative order authority is
available to the Administrator, and this authority has been given directly to the Administrator:

        "The Administrator shall initiate an administrative enforcement action against such
        a department...  in the same manner and under the same circumstances as an
        action would be initiated against any other persofi"

        In addition, under section 103 of the Act, Congress further clarified that federal agencies
are persons for purposes of Resource Conservation and Recovery Act. EPA now has administrative
compliance order authority against Federal facilities under the latter Act.
        In the Federal Facility Compliance Act of 1992, Congress stated that "the Federal, State,
interstate, and local substantive and procedural requirements referred to in this subsection include,
but are not limited to, all administrative orders and  all civil and administrative penalties and fines,
regardless of whether such penalties  or fines are  punitive or coercive in nature or imposed for
isolated, intermittent, or continuing violations?"
        As a matter of policy, EPA will pursue penalties only from the  effective date of the Act
forward.7 If violations occurred prior to the effective date and are ongoing, EPA could assess penalties
for the violations from Octobers, 1992 until correction of the violation.
        In summary, the Federal government is liable for the Resource Conservation Recovery
Act civil and administrative penalties just like any other person (with the exception of the effective
date of the Act limitation). Since the law and the Congressional intent state that Federal agencies
are liable for penalties, EPA will apply its current applicable penalty policy, presently the 1990 Civil
Penalty Policy, against the Federal government for violations of the Act in the same manner and to
the same extent as against any private party3. The February 12, 1991 "Policy on the Use of
Supplemental Enforcement Projects" also applies in this context. Moreover, for settled cases that
require compliance work, stipulated penalties should be included in the Consent Agreement and
Consent Order.
        EPA believes that the Federal Facility Compliance Act will enhance accountability of
Federal facilities for environmental cleanup and compliance. At the same  time, the legislation
recognizes the unique situation of Federal facilities by ensuring that the authority to impose penalties
on these Federal facilities is exercised within a fair, workable framework. In this regard, the legislation
contains provisions which address mixed waste, munitions, public vessels, wastewater treatment
works, payment of fees by Federal agencies and protection from personal liability for Federal
employees.
        Since the passage of Federal Facility Compliance Act, EPA and the states have compiled
an impressive enforcement and compliance record. EPA and states have issued over 100 orders
to federal facilities, seeking over $12 million in penalties. Many of these actions have involved very
significant violations, including open burning and open detonation of munitions, and storing hazardous
wastes without permits. These violations not only threaten the health and welfare of neighboring
communities, but those of our service men and women, and civilian workers as well.
        For example, during a  1992 inspection, EPA found that a particular Federal facility had
stored over 22,000 pounds of hazardous waste unprotected and outdoors in an area prohibited for
such storage by the facility's Resource Conservation and Recovery Act hazardous waste permit.
When EPA returned to the same facility a year later for another inspection, large quantities of waste

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344   FOURTH INTERNATIONAL CONFERENCE ON  ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
were being stored in the same location, still in violation of the permit, prompting a penalty action.
Months after assessing over one million dollars in penalties, EPA conducted an inspection at the
facility and no violations were detected in their day-to-day waste management activities.
        In FY 94, EPA and the states issued 40 orders against Federal facilities seeking more
than $6.5 million in penalties. Many of these actions involved open burning and open detonation of
munitions without permits and storing hazardous wastes without permits. These violations not only
threaten the health  and welfare of neighboring communities, but those of our service men and
women and civilian workers as well.
        During FY 1995, EPA and states achieved or made significant progress towards achieving
a wide range of programmatic objectives. EPA continued to emphasize aggressive enforcement
of environmental regulations at Federal facilities, particularly Resource Conservation and Recovery
Act requirements under the Federal Facility Compliance Act. In FY 1995, EPA issued 12 Consent
Agreements and Final Orders under Resource Conservation and Recovery Act §3008. The types
of violations addressed under these actions ranged from illegal transport of hazardous waste and
improper waste management to inadequate waste characterization and various procedural/
administrative errors. Total penalties associated with these actions amounted to nearly $360,000,
with an additional $1.5 million worth of supplemental environmental projects.  During FY 1995, EPA
also issued a total of six Resource Conservation and  Recovery Act §3008 Complaints and Orders
with opportunities for hearings. Total potential penalties associated with these actions exceeds
$1.1 million. During the year, EPA issued two Corrective Action Orders under Resource Conservation
and Recovery Act  3008(h) against the Air Force.  Federal facilities affected  by Resource
Conservation and Recovery Act Orders were located across seven EPA  Regions and included
Army, Navy, and Air Force installations, as well as facilities under the oversight of Civilian Federal
Agencies (CFAs) such as the Coast Guard, U.S. Department of Agriculture, and Department of the
Interior.
        The Federal Facility Compliance Act demonstrates a commitment of leadership in
government by providing an opportunity for a positive and constructive relationship with the States
and ensuring that Federal facilities live up to the same environmental standards that  apply to private
facilities.
        STRATEGIES FOR IMPROVING ENVIRONMENTAL MANAGEMENT AND
        COMPLIANCE AT CIVILIAN FEDERAL AGENCIES
2.1     Background

        One of the best examples of the direction EPA is gong in trying to improve environmental
management systems in the Federal sector is the ongoing effort to address the environmental
performance and concerns of Civilian Federal Agencies. Recent legislative and executive actions
have placed additional legal requirements and reporting responsibilities on Federal agencies and
have focused attention on their environmental performance.  Despite efforts on the part of some
agencies to redefine their missions to include  environmental  stewardship, most Civilian Federal
Agencies are lagging considerably behind the environmental performance curve and may be
responsible for significant cleanup and compliance problems that have not yet received adequate
attention. As one example, EPA has determined that between 400 and 500 contaminated sites are
owned or operated by 16 Civilian Federal Agencies.  These sites vary from major research
laboratories and illegal drug operations seized by the Drug Enforcement Agency to landfills and
mines owned by the Departments of Interior and Agriculture.

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              CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.  345


        Civilian Federal Agencies often lack the infrastructure, budget, and technical expertise to
effectively manage environmental problems. Resource limitations may force many agencies into a
reactive — rather than proactive — posture on environmental compliance. Nor are Civilian Federal
Agencies closely monitored for compliance by EPA or the states. For example, although 56 percent
of the Federal facilities that EPA tracks in its database are owned or operated by civilian agencies,
in FY1994, only one third of the total number of Federal facility inspections conducted by EPA and
the states were performed at Civilian Federal Agencies facilities (380 out of 1,163). Meanwhile,
the percentage of Civilian Federal Agencies facilities among all federal facilities with Class I Resource
Conservation and Recovery Act violations increased from 13 to 24 percent between FY 1993 and
FY1994.
        At the heart of the problem is the failure of many smaller Federal agencies to embody
environmental compliance in systems that get their employees' attention, such as management
commitment, reward systems, or personnel performance evaluation criteria. As a result, when
hazardous waste contamination or violations of environmental statutes do occur, these agencies
are more likely to produce an inappropriate response to the problem. This in turn compromises the
personal liability of the agency's employees and the compliance status of the agency and its facilities,
and increases the potential for third party impairment or loss and associated legal complaints.

2.2     Findings
        A1993 survey conducted by the Task Force received responses from 27 Civilian Federal
Agencies, confirming these problems:
        • Over 80% of the Civilian Federal Agencies reported that they have no formal
          compliance training program at either the regional or installation level for
          employees charged with ensuring agency compliance.
        • Implementation of pollution prevention strategies as part of the agency's
          mission.
        • Only 22%  of the agencies reported having a formal award system that
          encourages environmental compliance among agency employees.
        • Only 40% of the Civilian Federal Agencies have conducted a third-party
          assessment of the effectiveness of their agency's environmental management
          program in reducing violations and risks.
        • 50% of respondents have not identified environmental liabilities from past
          operations or are only now in the process of  developing a plan to do so.
        • 50% of the agencies reported that they do  not perform risk evaluations of
          environmental cleanup contractors prior to award, or that they did not know of
          such evaluations.
        • Only one agency reported having an agency-wide system or database to ensure
          that proper records (e.g., waste manifests,  biennial reports, permit status,
          etc.) are maintained and updated.


2.3     Goals

        As  part of the development  of a strategy to  improve Civilian  Federal Agencies
environmental performance, the Civilian Federal Agencies Task Force articulated the following
overarching goals of this effort:

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346  FOURTH INTERNATIONAL CONFERENCE  ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        •  Assist Civilian Federal Agencies environmental compliance and management
          programs in evolving to higher levels of performance by providing accelerated
          access to resources.
        •  Improve communications between EPA headquarters, EPA regions, federal
          agencies and facilities.
        •  Give federal agencies that have more experience and expertise (i.e., the
          Department of Defense and the Department of Energy) the opportunity to
          demonstrate leadership by sharing information and helping other agencies
          resolve environmental problems.
        •  Provide EPA with an opportunity to improve federal agency environmental
          management and compliance performance through technical assistance,
          compliance assistance, and outreach.


2.4     Needs and recommendations

        The Civilian Federal Agencies Task Force identified the following six areas of highest
need for improving Civilian Federal Agencies environmental program management:

2.4.1    Environmental management training

        Inadequate training and a shortage of on-board expertise in environmental management
are key impediments to compliance. What training programs do exist are not well publicized and
are frequently inadequate or duplicative across federal agencies.

2.4.2    Information resources

        Regulatory requirements are voluminous and subject to change. Many Civilian Federal
Agencies have difficulty finding timely and reliable sources of information on new and proposed
regulations and on innovative technologies and management strategies.

2.4.3    Compliance monitoring

        Most Civilian Federal Agencies lack a centralized data management system that alerts
agency headquarters personnel to changes in facility compliance status, regulatory violations,  and
pending enforcement actions.

2.4.4    EPA assistance on specific compliance issues

        Smaller agencies would benefit from tapping EPA's environmental management expertise
to develop internal compliance programs, pollution prevention strategies, environmental auditing,
and other policies.

2.4.5    Sufficient staffing

        Most smaller agencies have a limited number of experienced technical staff. Greater in-
house expertise is needed in hazardous material/waste management, pollution prevention technology,
and environmental engineering as well as actual experience in hazardous waste site remediation.

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              CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.   347
2.4.6   Communications

        Many Civilian Federal Agencies encounter a confusing lack of consistency on regulatory
requirements between EPA headquarters and regional offices. A lack of understanding of each
other's organizational structures, budgeting processes, and current priorities is a problem for both
Civilian Federal Agencies and EPA.

2.5     Conclusions and future directions

        EPA will strive to develop a consensus with Task Force members on the most effective
ways to implement these and other recommendations. EPA will offer continued technical assistance
to foster improvement in Civilian Federal Agencies compliance programs, building on the success
of recent initiatives to establish permanent networks and databases to promote compliance and
environmental excellence at smaller federal agencies. More broadly, EPA recognizes the unique
environmental management concerns faced by smaller-sized federal agencies and will seek to
ensure that these concerns are reflected in the development of national strategies, enforcement
policies, and outreach initiatives conducted by Federal Facilities Enforcement Office.
        These efforts represent a first, albeit significant, step in forming lasting partnerships among
federal agencies. Another important collaborative effort will be the development of the Federal
Government Environmental Challenge Program mandated under Executive Order  12856. The
Environmental Challenge Program will provide a vision to federal agencies to go beyond compliance
with the law by developing  state-of-the art environmental management programs and implementing
pollution prevention concepts into all aspects of their operations.
        Both management and staff level employees at federal agencies are continually "on the
line" making decisions that affect an agency's compliance status. An environmental management
program that is purely reactive to regulations and environmental practices will be a serious handicap
for a federal agency in the  years ahead. Civilian federal agencies represent a tremendous potential
for environmental excellence and a proactive approach to  environmental management. With
coordination and effective exchange of information, the resources and talents of federal agencies
can be marshaled to provide a source of leadership in environmental management.
3       MULTI-MEDIA  ENFORCEMENT  AND COMPLIANCE AT FEDERAL
        FACILITIES

        EPA established the Federal Facility Multi-media Enforcement/Compliance Initiative
(FMECI) as an Agency priority for FY 1993 and FY 1994 in recognition of the fact that Federal
facilities are highly visible and have a mandate and commitment to address environmental problems
in the Federal sector. Traditionally, however, Federal facilities have demonstrated lower rates of
compliance with environmental laws than have private sector facilities.

3.1     Background

        The Federal Facility Multi Media Enforcement/Compliance Initiative was a national initiative
designed to assess compliance of Federal facilities with environmental laws  using multi-media
inspections and enforcement to address areas of non-compliance. The initiative consisted of a
series of coordinated multi-media team inspections conducted by all ten EPA Regional Offices, in
concert with appropriate State officials, at highest risk Federal facilities throughout the nation. An
Interim National Report on the results of the Federal Facility Multi Media Enforcement/Compliance
Initiative, based on FY 1993 data, was published in November of 1994 (EPA 300-R-94-007).

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348   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


3.2     Objectives

        In the past few years, EPA and Federal facilities have stepped up efforts to ensure that
environmental compliance is thorough, expedient, and just. Pursuant to those goals, and underscored
by the Federal Facilities Compliance Act of 1992, the Federal Facility Multi Media Enforcement/
Compliance Initiative seeks to:

        •   Foster improved Federal agency compliance with environmental laws and
           regulations.
        •   Help reduce environmental risks posed by Federal facilities by increasing the
           use of multi-media inspections.
        •   Achieve efficient use of enforcement authorities by consolidating efforts.
        •   Expand the application of pollution prevention measures so that facilities can
           exceed baseline compliance.

        The next section explains EPA's approach to the design and implementation of the Federal
Facility Multi Media Enforcement/Compliance Initiative.

3.3     Guidance/targeting criteria

        EPA Regions performed their field activities in accordance with the FY1993-1994 Federal
Facility Multi  Media Enforcement/Compliance Initiative Implementation Guidance  Document
prepared by the Federal Facilities Enforcement Office (FFEO) of the Office of Enforcement and
Compliance Assurance (OECA). The guidance specified that each Region conduct at least two
multi-media inspections during each year of the Federal Facility Multi  Media Enforcement/
Compliance Initiative. The guidance also provided a set of criteria for the Regions to use in targeting
inspections of Federal facilities. The criteria were designed to be adjusted by the Regions to account
for Region-specific factors. These criteria include:

        •   compliance history;
        •   regional risk ranking (including NEIC ranking or other identified impacts to
           human health and the environment);
        •   other national,  regional, or state environmental priorities/initiatives;
        •   environmental justice; and
        •   opportunities for pollution prevention.

        Once the facilities are selected, the EPA Regional Federal Facility Coordinator, inspectors
from EPA, and State media-specific environmental protection programs form teams and conduct
the inspections. The team concept is designed so that facilities can:
        •   comprehensively evaluate environmental management and compliance
           performance;
        •   take advantage of combined expertise to identify pollutants that affect various
           environmental media; and
        •   identify pollution prevention opportunities.

         In designing the Federal Facility Multi Media Enforcement Compliance Initiative, the
Federal Facilities Enforcement Office consulted with EPA Regions, EPA Headquarters Program
Offices, and State organizations. EPA issued inter-agency communication to other Federal agencies
to launch the initiative, which produced tools and achieved effects consistent with Federal Facility
Multi Media Enforcement/Compliance Initiative goals.

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             CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.  349
            FMECI National Hic/klignts
                          * EPA Regional Offices
                            Multi-Media Inspections Cond
3.4     Federal  Facility Multi-media Enforcement/Compliance Initiative  Inspections

        EPA conducted 73 multi-media compliance inspections during the Federal Facilities Multi-
media Enforcement/Compliance Initiative (FMECI); 41 in FY1993 and 32 in FY1994. The number
of inspections conducted ranged from three in Region V to 21 in Region IV. Most Regions conducted
fewer inspections during the second year of the initiative, although Region IX increased its inspection
activity from two in FY 1993 to five in FY 1994. Three other Regions (I, VII, and X) conducted the
same number in both years. All Regions, except Region V, conducted an average of at least two
inspections per year. Inspections were conducted in 35 States, two Territories, and the District of
Columbia.
        The Department of Defense (DOD) operates 61 of 73, or more than 83 percent, of the
facilities examined during the Federal Facility Multi Media Enforcement/Compliance Initiative. The
inspected DOD facilities include 21 Air Force, 17 Navy, and 23 Army installations. The remaining
12 inspected facilities include two Department of Energy laboratories and 10 Civilian Federal
Agency (Civilian Federal Agencies) facilities (three NASA space flight centers, two Department of
Agriculture research facilities, two Coast Guard installations, a Department of Justice penitentiary,
and a Veterans Administration medical center). In addition, as requested by President Clinton in
his Earth Day 1993  address, inspectors conducted a multi-media audit of the White House and
Old Executive Office Building (referred to herein as the White House Complex).

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    350  FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
           Exhibit 1 presents inspected facilities by agency category (i.e., Defense, Civilian Federal
    Agencies, and the Department of Energy and branch of the military service.
            Inspected Facilities by Agency Category and Branch
              All Facilities
            DOD Facilities
DOE
 (2.7%)

 CFAa10
   (13.7%)
                                 DOD 61
                                  (83.6%)
                                                                     Army 23
                                                                        (37.7%)
Navy 17
avy IJ.—
(27.8%)
               N - 73 Facilitie
                          Air Force 21
                            (34.4%)
             N = 61 Facilities
    3.4.1   The majority of inspections occurred at Defense facilities.

           EPA Regions classified most inspected facilities as medium-sized (62 percent) or large
    (34 percent), with the remainder (4 percent) being classified as small. Between FY 1993 and FY
    1994, the percentage of medium-sized and small facilities increased slightly, while the share of
    large facilities declined by approximately five percent.
           The intensity and level of resources devoted to the inspections varied somewhat across
    Regions and facilities; however, all inspections conducted under the Federal Facility Multi Media
    Enforcement/Compliance Initiative were either Category C or D. Overall, the Regions conducted
    slightly more Category D than Category C inspections, 39 and 34, respectively. Between the first
    and second years of the Federal Facility Multi Media Enforcement/Compliance Initiative, the number
    of Category D inspections increased slightly relative to the number of Category C inspections (in
    FY 1993, there were 21 Category D inspections and 20 Category C inspections).
           Large facilities were slightly more likely to receive the more resource-intensive Category
    D inspections, while medium-sized facilities were subjected to nearly the same number of Category
    C and D inspections.

    3.4.2   EPA and the States conducted slightly more Category D than Category C
           inspections

           Exhibit 2 presents a breakdown of multi-media inspection leads? States assumed a lead
    role on 23 percent (17 of 73)  of inspections conducted under the Federal Facility Multi Media
    Enforcement/Compliance Initiative. EPA-only inspections accounted for 18 percent (13 of 73),
    while EPA-led inspections, which include Regional and National Enforcement Investigation Center
    (NEIC)-led efforts, accounted for 59 percent (43 of 73).

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              CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.  351
Exhibit 2.
                          FMECI Inspection Leads
EPA-Led Inspections 4
   (58.9%)
N = 73 Facilities
                                                             State-Led Inspections 17
                                                                 (23.3%)
                                                                 EPA-Only Inspections 13
                                                                     (17.8%)
3.4.3   States played an  active role in multi-media  inspections

        The level of State participation on inspection teams declined slightly between the first and
second years of the Federal Facility Multi Media Enforcement/Compliance Initiative. In FY 1993,
States participated in 88 percent (36 of 41) of inspections and acted as lead on 34 percent (14 of
41). During FY 1994, the State participation rate decreased to 75 percent (24 of 32) and State-led
inspections dropped to only nine percent (3 of 32). For both years of the Federal Facility Multi
Media Enforcement/Compliance Initiative, States participated in 82 percent (60 of  73) of the
inspections and acted as lead on 23 percent (17 of 73).

3.5     Federal facility multi-media enforcement/compliance initiative enforcement
        actions

        Inspection teams identified 115 violations warranting enforcement actions during the
Federal Facility Multi Media Enforcement/Compliance Initiative. As of the publication of this Report,
there are six additional enforcement actions pending. The issued enforcement actions consisted
of:

        • warning letters;
        • notices of violation (NOV);
        • notices of noncompliance (NON);
        • field citations;
        • administrative orders; and
        • federal facility compliance agreements.

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   352   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
           The level of enforcement activity declined substantially between the first and second year
   of the Federal Facility Multi Media Enforcement/Compliance Initiative. In FY 1993, Regions and
   States issued 77 enforcement actions; in FY 1994, the figure was only 38, a decrease of almost 51
   percent. Moreover, this decline cannot be entirely attributed to a reduction in the number of multi-
   media inspections. The number of enforcement actions per inspection decreased from 1.9 in FY
   1993 to 1.2 in  FY 1994.
           Of the enforcement actions issued as a result of the Federal Facility Multi Media
   Enforcement/Compliance Initiative, 46 (40 percent) addressed Resource Conservation and
   Recovery Act violations. As can be seen in Exhibit 3 below, the four most frequently violated statutes
   warranting enforcement action (Resource Conservation and Recovery Act, Clean Air Act, Toxic
   Substance Control Act, and Clean Water Act) accounted for more than 84 percent of all such
   violations.

   Exhibits.
          Enforcement Actions Taken According to Statute/Program
                               RCRA46
                                (40.0%
N = 115 Enforcement Actions
                                                           SDWA4
                                                             (3.5%)
                                                              ST4
                                                              (3.5%)
                                            _ _ __      ;PCC 7


                                                              (1.7%)

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              CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.  353
3.5.1    A total of 115 enforcement actions were taken under nine different statutes

        The distribution of enforcement actions by statute is essentially the same for medium-
sized and large facilities?0 Navy, Army, and Air Force facilities had similar violation rates across
statutes, although as a group they tended to receive more enforcement actions for Clean Air Act
violations. Accordingly, Civilian Federal Agencies received Resource Conservation and Recovery
Act, Toxic Substances Control Act, and Clean Water Act violations in the same relative proportions
as the rest of the inspected facilities; however, they were not cited for any Clean Air Act violations.
        Exhibit 4 presents enforcement actions according to agency category and branch of military
service. Defense facilities accounted for the vast majority of the violations warranting enforcement
actions during the Federal Facility Multi Media Enforcement/Compliance Initiative. In addition, the
distribution of enforcement actions by agency category was fairly consistent with the distribution of
inspections (see Exhibit 1); Department of Defense, Department of Energy, and Civilian  Federal
Agencies facilities received 88.7,  1.7, and  9.6 percent, respectively, of enforcement  actions
compared to 83.6, 2.7, and 13.7 percent, respectively, of multi-media inspections. Comparing
these two exhibits also reveals that Army installations received a somewhat disproportionate share
of enforcement actions relative to the other branches of the military; Army installations accounted
for 37.7 percent of inspected Defense facilities, yet they received 47.1 percent of enforcement
actions at Defense facilities. Air Force facilities received 34.4 percent of the inspections and 23.5
percent of enforcement actions, while Navy facilities received 27.8 percent of inspections and 29.4
percent of enforcement actions.

Exhibit 4.
             Enforcement Actions by Agency Category ana Branch
                All Facilities
   DOD Facilities
                                 DOD102
                                   (88.7%)
                                             Army
                                              (47.1%)
   CFA11
     (9.6%)
                  Air Force 24
                    (23.5%)
                   Navy 30
            N = 115 Enforcement Actions
                   NavydU
                    (29-4%)

N = 102 Enforcement Actions

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354   FOURTH INTERNATIONAL CONFERENCE ON  ENVIRONMENTAL COMPLIANCE  AND ENFORCEMENT
3.5.2   Defense facilities received the  majority of enforcement actions

        Exhibit 5 provides additional detail on the specific types of enforcement actions taken to
address violations of environmental statutes. Notice of Violations (NOV) were the most frequently
issued enforcement action, accounting for almost 36 percent of the total. Administrative Orders
and Warning Letters each comprised 23 percent of all enforcement actions.
        Among the four most frequently violated statutes, NOVs comprised anywhere from 21
percent (Toxic Substances Control Act-TSCA) to 46 percent (Resource Conservation and Recovery
Act) of actions issued under each statute. In percentage terms, Administrative Orders were most
frequently issued under Resource Conservation and Recovery Act, while Warning Letters were
most commonly issued under Safe Drinking Water Act and Clean Air Act. Notices of Noncompliance
(NONs) accounted for two-thirds of toxic substance enforcement actions and Toxic Substances
Control Act (TSCA ) Notices of Noncompliance accounted for nearly 90 percent of all Notices
issued during the Federal Facility Multi Media Enforcement/Compliance Initiative. It should be noted
that the authority to issue  all of these various enforcement actions does not exist under every
environmental statute.
        Between FY 1993 and FY 1994, there were no significant changes in the distribution of
enforcement actions — Notice of Violations (NOVs), Administrative Orders, Warning Letters, and
Notices of Noncompliance (NONs,) respectively, were the four most commonly issued enforcement
actions.
Exhibit 5. Type of Enforcement Actions by Statute/Program Violated
Enforcement Action






Warning Letter
NOV
NON
Administrative Order
Field Citation
FFCA
TOTAL
Rtsou
rce
Coast
rvatlo
nand
Recov
fry
Act
7
21
0
IS
0
0
46
CWA






4
5
1
3
0
1
14
CAA






7
7
0
4
0
0
18
TSCA






0
4
13
1
0
1
19
F1FRA






0
1
0
0
1
0
2
SPCC






3
2
0
0
0
2
7
UST






1
1
0
1
1
0
4
EPCRA






0
0
1
0
0
0
1
SDWA






4
0
0
0
0
0
4
TOTAL






26
41
- 15
27
2
4
115
3.5.3   Notices of Violations (NOVs) accounted for more than one-third of
        enforcement actions under the Federal Facility Multi-media Enforcement/
        Compliance Iniative

        In all, EPA and States issued enforcement actions at approximately 73 percent (53 of 73)
of the facilities they inspected. Region II issued the most actions, handing down 27 among seven
facilities, with Region IV a close second at 26 actions. Region VII issued the fewest enforcement
actions (three actions at four facilities).

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               CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.  355


3.5.4   On average, one multi-media  inspection resulted in 1.6 enforcement


        On a per inspection basis, Region II was the most active, issuing 27 enforcement actions
against only seven facilities — an average of 3.9 violations per inspected facility. Regions VII and
IX had the lowest averages, issuing 0.8 and 0.9 actions per inspected facility, respectively. Nationally,
the average number of enforcement actions taken to address violations detected during a multi-
media inspection was 1.6.
        Exhibit 6 compares the number of facilities at which enforcement actions were taken to
the total number of inspected facilities. Of the 73 facilities inspected, 27 percent (21 of 73) were not
subjected to any enforcement actions and an additional  27 percent (21 of 73)received  only one
enforcement action. The remaining 44 percent (32 of 73) of inspected facilities were cited for
violations of multiple environmental statutes. Among the inspected facilities receiving enforcement
Exhibits.
        Percent of Inspected Facilities Receiving Enforcement Actions



                                                      One statute violated
                                                          (21 facilities - 28.8%)
                                    ^BRdRiKilytililiV  ^^XXXXXXXX^XXXXXi.
                No statutes violated
              (20 facilities -21'A
          Four or mote statutes violated ^V^HBB  BliilBii^^ -y    .. ,  ,   -1.1
             (7 facilities-9.6%)         ^Hii  B^8*^   Two statutes violated
                            '         ,   /,                 (19 facilities - 26.0%)
                        Tnree statutes vi
                          (6 facilities - I
  N = 73 Inspected facilities
actions under the Federal Facility Multi Media Enforcement/Compliance Initiative, the median
number of environmental statutes violated was two. Thus, the majority of Federal facilities cited for
violations violated multiple statutes.

3.5.5   More than 40 percent of all inspected facilities violated multiple statutes

        The type of enforcement actions taken and proposed or final penalties associated with
EPA- and State-issued Administrative Orders and Field Citations may vary in each jurisdiction.
Federal facilities located in seven of 10 EPA Regions were subject to enforcement actions in which
EPA and/or States proposed penalties. As of September 30,1995, the total amount of proposed

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356   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
penalties was more than $3.8 million. Final penalties issued were substantially lower — slightly
less than $575,000; however, proposed penalties of almost three million remain under review in
four Regions.
        In addition to participating on the inspection teams, States actively enforced requirements
under the Federal Facility Multi Media Enforcement/Compliance Initiative. Of the 115 enforcement
actions taken, States led 35 (30 percent). The level of State involvement in the enforcement phase
of the Federal Facility Multi Media Enforcement/Compliance Initiative declined substantially from
FY  1993 to FY 1994. In FY 1993, States took the lead on 35 percent (27 of 77) of enforcement
actions, while in FY 1994, the State share was only 21 percent (8 of 38). In addition, the U.S. Army
Corps of Engineers took the lead on a single enforcement action to address wetlands violations
under the Clean Water Act at Aberdeen Proving Ground in Maryland. Exhibits 1 -13 and 1 -14 show
how these State actions during the Federal Facility Multi Media Enforcement/Compliance Initiative
were distributed among the various types of actions.

3.5.6   Regions  led nearly two-thirds of all enforcement actions: States led 30


        The average time required to  initiate an enforcement action  following a  multi-media
inspection ranged from less than two weeks to nearly fourteen months. In general, enforcement
actions initiated and issued simultaneously (e.g., notices, warning letters) took less time to issue
than did actions that involve a period of negotiation or opportunity for public comment between their
initiation and issuance (e.g., Administrative Orders, Federal Facility Compliance Act - FFCAs).

3.5.7   Most  enforcement actions were issued within one  year of the inspection

        For those Regions reporting, the average time elapsed from inspection to report completion
declined from approximately 5.1 months during FY 1993 to 3.7 months during FY 1994; thus, the
average time required for the two-year period was approximately 4.6 months. Several Regions
noted that multi-media inspections were resource intensive; however, only two Regions specifically
observed that the time required to prepare the multi-media inspection reports may have delayed
the issuance of enforcement actions.
        Multi-media enforcement actions involve using a single enforcement action to collectively
address violations under multiple environmental statutes. Most Regions did not actively pursue
multi-media enforcement actions. Four Regions indicated that they had explored  multi-media
enforcement opportunities at inspected facilities, and only two Regions (II and V) issued enforcement
actions addressing violations of multiple statutes. Regions cited the following reasons for the lack
of substantial multi-media enforcement coordination:

        •   The discovered violations were straightforward, single-program violations.
        •   Parties who were encouraged to take multi-media enforcement actions saw
           no benefit that would off-set the extra time  required to coordinate such an
           effort.
        •   Coordination was difficult because of varying levels of enforcement authorities
           and the lack of substantial violations.


3.6     Pollution prevention results from enforcement

        Some Regions actively  pursued pollution prevention remedies as an enforcement tool
during the Federal Facility Multi  Media Enforcement/Compliance  Initiative, but most noted the
importance of pollution prevention and the expectation that it would become more prominent in the
future. Federal facilities in five Regions have either implemented pollution prevention Supplemental

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               CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.  357


Environmental Projects (SEPs) oral least explored their feasibility. In addition, three of these five
Regions have included pollution prevention remedies and conditions into enforcement settlements.
For example, Region I incorporated two separate pollution prevention remedies into settlements
with the U.S. Coast Guard Boston Support Center. The remedies involved replacing two underground
storage tanks (UST) with a single above ground dual compartment tank and construction of a new
container storage area. The Region also successfully included Supplemental Environmental Projects
as part of its enforcement settlement with the U.S. Army Natick Research Center. Similarly, Region
IV required Air Force Plant #6 to submit a pollution prevention action plan, setting forth actions and
dates for reduction of pollutants, as part of an enforcement action.
        Several other Regions reported pursuing less formal  pollution prevention strategies at
inspected facilities.  At least two Regions made specific pollution prevention recommendations
that were later adopted by facilities, while another Region noted that immediately following a multi-
media inspection, the facility initiated several pollution prevention measures. In FY1993, six Regions
provided Pollution Prevention Opportunity Profiles to facilities at the time of the inspections. During
FY 1994, most Regions elected not to distribute the Profiles, citing their lack of up-to-date information.
The Profiles identify processes, measures, operation and maintenance functions, and technologies
that facilities can explore  to prevent the creation or release of pollutants during facility activities.
FFEO compiles the Profiles  using a hybrid approach that combines facility mission and facility
specific environmental data. Annex I contains a sample Profile.

3.7     Regional/state coordination

        The level of Regional/State coordination shown by the Regions and States throughout the
Federal Facility Multi Media Enforcement/Compliance Initiative was significant. Regions reported
interaction levels between Regional and State offices as more intensive during the inspection and
enforcement phases of the Federal Facility Multi Media Enforcement/Compliance Initiative than
during the targeting phase.

3.7.1    Regions  need a fairly high level of involvement by States in Federal Facility
        Multi Media Enforcement/Compliance  Initiative (FMECI) activities.
        particularly during  the inspection and enforcement phases

        Three Regions reported that no interaction occurred during the targeting of facilities; three
reported a moderate level of interaction; and two reported a significant level. One Region noted a
moderate-to-significant level of interaction during the targeting stage.
        Five Regions reported significant coordination levels between EPA and States during the
inspection stage, and three Regions described interaction during that stage as moderate.  During
enforcement, six Regions noted significant levels of interaction, two reported moderate levels of
coordination, and one Region indicated that the level of interaction was not applicable.
        States  led enforcement efforts in approximately 30 percent (35 of 115) of enforcement
actions. State actions most frequently consisted of Warning Letters, Notices of Violations, and
Administrative Orders. Regions and the States exercised joint lead in four enforcement actions, an
Notice of Violations in one Region and three Resource Conservation and Recovery Act §3008(a)
Orders in another. Three Regions reported that State Enforcement Agreements (SEAs) enhanced
States' ability to  participate in Federal Facility Multi Media Enforcement/Compliance Initiative. The
remaining  Regions either did not report,  or stated that State Enforcement Agreements did not
affect State participation. One Region described the Agreement as providing a framework for joint
inspections which facilitated  coordination between Regional and State program  staff. Another
Region stated that the Agreements are beginning to include the multi-media enforcement concept.
In contrast, another Region stated that it has not used the Agreement for many years.

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358   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        Nine Regions reported benefits to State and Regional involvement, citing most frequently:
enhanced communication; training opportunities; mutual understanding; cooperation; and sharing
of data and technical  assistance.  The Regions reported other benefits including:  thorough
inspections; State familiarity with facilities as assisting Regions with inspections; joint assessment
of compliance problems; improvement of State relationships; and opportunities for joint partnerships.
        The Regions also reported several obstacles to Regional and State coordination. Two
Regions named scheduling as a primary obstacle. Other obstacles included difficulty in identifying
appropriate participants; the need to meet security and access requirements; extra time required
for State enforcement decisions; difficulty in agreeing to "lead" responsibilities for delegated
programs; and different inspection protocols (e.g., announced vs. unannounced inspections).
        Seven of the Regions responding indicated that the Federal Facility Multi Media
Enforcement/Compliance Initiative had no negative ramifications for Region/State relations. Of
the two Regions that perceived problems, one cited different enforcement philosophies within EPA
and the States. As an illustration, this Region referred to one State agency issuing a penalty to a
facility, while another State agency issued a relatively mild enforcement action for a comparable
violation at a different facility. Another Region noted that States do not perceive added value from
multi-media inspections. According to this Region, the States would rather refer inspections to
other program offices. The Region also stated that multi-media considerations delay enforcement
actions. Exhibit 7 summarizes these benefits and barriers.
        Between FY1993 and FY1994, the relationship between the States and several Regions
improved. Enhanced communication, inspection coordination, and enforcement action involvement
between Regions and States were reported by at least three Regions. Three other Regions reported
no change in the Regional/State relationships. No Regions noted any deterioration with respect to
any phase of the multi-media inspection/enforcement process.

3.8     Overall  impact of multi-media inspections
        Six of nine Regions responding stated that the Federal Facility Multi Media Enforcement/
Compliance Initiative resulted in increased interest in using multi-media inspections, although one
Region commented that it could allocate necessary resources for only a small number of inspections.
The Regions viewed the inspections as an effective enforcement tool that expands the knowledge
of inspectors.


Exhibit 7.  Benefits/Barriers to Multi-media Inspection
  Benefits
      Encourages upper level management to focus on environmental compliance
      matters
      Provides comprehensive compliance examination of facilities
      Allows determination of strengths and weaknesses of facility environmental
      programs
      Allows identification of technical needs of facilities
      Provides Regions and States an opportunity to exchange information	
  Barriers
  .    Limited travel funds
  .    Multi-media inspections can be time-consuming and require extensive resource,
      logistical, and decision-making coordination	

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               CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD,  R. J.  359
        Relative to conventional single-media inspections, two Regions reported that multi-media
inspections are more efficient, however, two other Regions noted just the opposite. The principal
benefits and barriers associated with a multi-media inspection approach, as reported by the
Regions, are presented in Exhibit 7.
        Overall, the Regions perceived facilities involved  in multi-media inspections to be
professional, cooperative, and positive in responding to the Federal Facility Multi Media Enforcement/
Compliance Initiative. Regions also noted that facility environmental staff often welcomed the
inspections because the attention inspections brought to environmental management reinforced
the importance of their efforts. Three Regions mentioned the effectiveness of the Federal Facility
Multi Media Enforcement/Compliance Initiative in involving upper management staff at facilities
and one Region noted the responsiveness of base commanders, stating that commanders frequently
will send follow-up letters outlining the corrections made as a result of inspections.
        Regions also described some of their concerns that arose during the implementation of
the Federal Facility Multi Media Enforcement/Compliance Initiative. These ranged from potential
difficulties incorporating multi-media inspections as a standard Regional program element once
the Federal Facility Multi Media Enforcement/Compliance Initiative concludes, to concerns on the
part of facility personnel about criminal liability associated with environmental violations discovered
during inspections, and the effect these concerns could have on facility participation.

3.9     Summary

        EPA's experience during the  Federal Facility Multi Media  Enforcement/Compliance
Initiative reveals some of the immense potential benefits associated with multi-media inspections.
Fully implemented, the multi-media approach can lead to significant improvements in environmental
compliance at Federal  facilities.  Specifically, the Federal  Facility Multi Media Enforcement/
Compliance Initiative demonstrates the following:

        • The 73 Federal Facility Multi Media Enforcement/Compliance Initiative
          inspections represent a significant investment in the Federal facility sector by
          EPA Regions and participating States.
        • EPA and States issued 115 enforcement actions for violations under nine
          separate environmental statutes. Enforcement actions taken were appropriate
          to the significance of or level of non-compliance encountered at facilities.
        • Nearly 45 percent of all inspected Federal facilities violated multiple statutes.
          Of the Federal facilities receiving enforcement actions, 62 percent violated
          more than one statute.
        • EPA documented significant levels of and benefits from State involvement in
          the Federal Facility Multi Media Enforcement/Compliance Initiative.
        • EPA's procedures and approach to conducting multi-media inspections can
          be effective, regardless of the size or operating agency of the facilities involved.

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360   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        •  Seven out of ten Regions proposed a total of more than $3.8 million in
          penalties.
        •  EPA and States began to encourage facilities to adopt Pollution Prevention
          strategies as first choice measures to return to and maintain compliance.
4       INTEGRATING POLLUTION PREVENTION INTO COMPLIANCE
        PROGRAMS

4.1     Background

        On August 3, 1993, President Clinton signed Executive Order 12856, entitled "Federal
Compliance with Right-To-Know Laws and Pollution Prevention Requirements." This Order requires
that federal agencies comply with the Emergency Planning and Community Right-to-Know Act of
1986 (EPCRA) and Pollution Prevention Act of 1990. Moreover, the Order sets a new standard for
federal environmental excellence by extending this compliance requirement to many activities not
currently monitored in private industry. In requiring compliance with the Act of 1986, the Executive
Order reaffirms and strengthens the Federal Government's obligation as a responsible neighbor in
communities where Federal facilities are located.
        In addition  to community right-to-know requirements, Executive Order  12856 also
establishes the Administration's vision for federal government leadership in pollution prevention.
The Order directs that federal agencies and facilities take steps to embrace pollution prevention as
a government-wide ethic in the day-to-day management of federal facilities and sets ambitious
goals for reducing or eliminating the release of toxic and hazardous pollutants from federal facilities
into our Nation's environment. Moreover, the Order supports these goals by committing the federal
community to modify acquisition and procurement practices by adopting pollution prevention as
standard practice for government purchase of goods and services. Finally, the Order supports the
continuing federal commitment to work with the private  sector in the development, testing and
implementation of innovative pollution prevention technologies.
        To ensure that federal agencies and facilities fulfill the provisions of Executive Order 12856,
the Order directs that all Federal agencies with  "covered  facilities"  * develop a strategy for
implementation of the Executive Order. Sixteen federal agencies have prepared pollution prevention
strategies that will direct implementation of the Executive Order at more than two thousand covered
federal facilities.

4.2     Executive Order reporting requirements

        As previously stated, Executive Order 12856 establishes a requirement for Federal facility
compliance with the Emergency Planning and Community Right-to-Know Act (EPCRA) and its
various reporting requirements.  For compliance with section 301 through 312 of this Act, the
Executive Order calls for a reporting schedule similar to that set up for initial industry compliance
and mirrors private sector time frames for annual reporting. The time frame for Federal facility
reporting under section 313 of the Act also coincides with the reporting schedule established for
private industry with the first reports due to be submitted by July 1,1995. As previously noted, the
Order applies the reporting requirements of the Act to federal facilities more broadly than current
application in private sector industries. A discussion  of applicable reporting requirements of this
Act is provided below.

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              CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.  361
4.3     Emergency planning and response

        Emergency Planning and Community Right-to-Know Act (EPCRA) SECTIONS 302 AND
303: Pursuant to section 3-305 of the Executive Order, federal facilities must comply with section
302 and 303 by  providing the State Emergency Response Commissions (SERC) and Local
Emergency Planning Committees (LEPC) information necessary for planning community response
to rare but potentially catastrophic events such as the release of hazardous chemicals during a
facility accident.
        SECTION 304: To provide for public notification of emergency releases of chemicals
potentially harmful to the community, the Executive Order states that, effective January 1,1994,
Federal agencies are subject to the reporting requirements of section 304.
        SECTIONS 311 and 312: To enhance community awareness of chemical hazards and
provide information about the identity and amount of chemicals including storage conditions and
locations, the Executive Order requires Federal facility compliance with sections 311 and 312.
        SECTION 313: and 313 establishes a nationwide inventory of toxic chemical releases to
all environmental media and provides affected communities and states with information about
chemical releases into the community. While section 313 has been applicable to the private sector
since 1987, the Executive Order now requires that federal facilities comply with the requirements of
this section. Moreover, in directing federal facility compliance with this section, the Executive Order
also removes qualifications which limit compliance by private industry primarily to facilities engaged
in manufacturing. Federal facilities which meet applicable thresholds must submit section 313 and
Pollution Prevention Act data on EPA Toxic Chemical Release Inventory Reporting Form R beginning
with calendar year 1994 with the first submission due to  EPA and the states on July 1,1995.

4.3.1    Agency strategy highlights

        Prior to the Executive Order, the Department of Energy voluntarily complied with Section
313 of the Act at several of its facilities beginning in calendar year 1993. This leadership initiative
provided a better understanding of the nature of toxic chemical releases from Federal facilities and
provided an incentive to Department of Energy reporting facilities to attain many of the goals of the
Executive Order before section 313 was applicable to federal agencies.

4.4     Executive Order pollution prevention goals

        To underscore the federal government's commitment to environmental leadership, the
Executive Order directs that each Federal agency develop voluntary goals to reduce the agency's
total releases and transfers of toxic chemicals by 50 percent by the end of calendar year 1999. The
Executive Order establishes 1994 as the baseline year against which progress toward the agency-
wide goal is measured and emphasizes that reductions should be achieved through source reduction
practices. The Executive Order also allows agencies to expand the chemicals covered under the
reduction goal to include other toxic pollutants in addition to chemicals identified as toxic chemicals
under section 313.
        A majority of federal agency pollution prevention strategies explicitly commit to the goal of
a 50 percent reduction in the release and transfer of toxic chemicals from their facilities by the end
of 1999. Further,  many agency strategies endorse source reduction activities as the alternative of
choice for facility pollution prevention improvements.

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362  FOURTH  INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
4.5     Facility specific  pollution prevention plans

        The Executive Order directs that the head of each agency will ensure that its covered
facilities develop a written pollution plan that sets forth the facility's contribution toward the agency
50 percent reduction goal. Facilities which do not report under section 313, and are therefore not
likely to be included in the agency's baseline but are nevertheless "covered facilities" under the
Executive Order, are also required to prepare  pollution prevention plans. Covered facilities are
defined in the Executive Order to include any Federal facility which meets one or  more of the
threshold requirements for reporting set forth  in sections 302, 303, 304, 311, 312 or 313. The
inventory of facilities covered under the Order encompasses nearly two thousand facilities from
fifteen  different federal agencies and includes more than twelve hundred civilian facilities.  The
plans that result from this requirement will assist federal facilities in assessing pollution prevention
opportunities and will serve as a mechanism for ensuring facility management decisions fully consider
and implement pollution prevention directives embodied in agency strategies. EPA has prepared
a document entitled Federal Facility Pollution Prevention Planning Guide, to assist agencies in
complying with this aspect of the Executive Order.
        Nearly all of the federal agency pollution  prevention strategy documents include an agency
commitment to ensure development of facility specific pollution prevention plans for covered facilities
and  most strategies direct facilities to conduct formal facility pollution prevention opportunity
assessments to enhance the effectiveness of the plan.

4.6     Compliance through pollution prevention

        The Executive Order states that the federal agency pollution prevention strategies should
reflect the federal government's commitment to utilize pollution prevention through source reduction,
where practicable,  as the primary means for achieving and maintaining compliance with Federal,
State and local environmental requirements. This provision serves to ensure that where practicable,
agencies and facilities endorse and implement policies and practices which seek to prevent pollution
that results in non compliance with environmental requirements. As such, pollution prevention is the
alternative of first choice in achieving compliance with new environmental regulations or requirements,
ensuring compliance with existing regulations and requirements, and returning to compliance when
violations are identified.
        Each of the federal  agency strategies includes a specific commitment to pollution
prevention as the primary means of achieving and maintaining compliance with environmental
requirements.

4.7     Pollution  prevention in  acquisition and procurement and facility management

        The Executive Order states that federal agency pollution prevention strategies must reflect
a commitment to pollution prevent through source reduction at the facility management and acquisition
level. This facility level directive ensures that consideration of pollution prevention is incorporated
into the routine of federal facility management decisions. This commitment to pollution prevention
"at the source" is a cornerstone of the Executive Order and not only prevents pollution and conserves
natural resources but also reduces wastes and creates markets for environmentally sound products
and technologies. Further, integrating pollution prevention concepts such as total cost accounting
and life cycle analysis into the acquisition and procurement process underscores the economic
benefit of pollution prevention that should be recognized as a standard  component of fiscal
responsibility and proper federal facility management.

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              CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.  363
        Like the endorsement of pollution prevention for achieving and maintaining compliance
with environmental requirements, all of the federal agency pollution prevention strategies contain a
commitment to pollution prevention in both facility management and acquisition.

4.8     Development, testing  and support of innovative pollution prevention
        technologies

        Executive Order 12856 calls for federal leadership in supporting innovative pollution
prevention technologies and programs and develop strong market incentives for those programs
and technologies. The Executive Order encourages Federal agencies to develop partnerships
with other federal agencies and with other groups such as industry and academia forthe development
and implementation of pollution  prevention technologies. This provision of the Executive Order
recognizes the unique role of the federal community as both a national leader in pollution prevention
research and development and the Nation's single largest consumer of goods and services.
        Over half of the federal pollution prevention strategies  contain specific commitments
endorsing the development, testing and support of innovative pollution prevention technologies
and programs.

4.9     Involving the public in planning and decision making

        Public involvement, open communication and a general good neighbor approach from
Federal facilities are basic tenets of the Executive Order. To support these goals beyond the reporting
requirement of the Act, the Executive Order encourages Federal agencies to involve the public
during the preparation of agency strategies and plans related to the Executive Order and in monitoring
the progress toward meeting the goals established by agency strategies and plans.
        The General Services Administration pollution prevention strategy commits the agency to
conduct community-wide environmental conferences highlighting compliance with the Executive
Order at their facilities, other federal facilities and private industry.
        AGENCY COMMITMENTS BEYOND COMPLIANCE: While the Federal agency pollution
prevention strategies discussed in this summary were prepared in response to provisions of
Executive Order 12856, many federal agencies took the opportunity to delineate agency intentions
for compliance with other environmental Executive Orders and outline improvements in agency
and facility environmental management and policy. The summary for each agency provides a review
of the strategy elements beyond compliance with Executive Order 12856. Below are highlights of
efforts and proposals that are similar.
        NATURAL RESOURCE CONSIDERATIONS: While Executive Order 12856 clearly embraces
protection of natural resources through conservation, pollution prevention activities also reduce
potential adverse environmental impacts to natural resources. Several federal agencies pledged
to further pursue  natural resource  protection through limiting the  use of pesticides and applying
integrated pest management techniques at federal facilities.

4.10    Implementation of Executive Order 12856 —  accomplishments

        INTERAGENCY POLLUTION PREVENTION TASK FORCE In accordance with the
Executive Order, a Task Force has been formed to ensure appropriate and uniform implementation
of the Executive Order. The Interagency Pollution Prevention Task Force is composed of senior
level representatives from the Central Intelligence Agency, Departments of Agriculture, Defense,
Energy, Health and Human Services, Interior, Justice, Transportation, Treasury, Veterans Affairs,
Environmental Protection Agency, General Services Administration, National  Aeronautics and
Space Administration, Smithsonian  Institution, Tennessee Valley Authority, and US Postal Service

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364   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND  ENFORCEMENT
as well as the Federal Environmental Executive Office and representation from the Office of Federal
Procurement Policy at OMB. The Task Force meets four times a year and has endorsed several
actions described below.

        INTERAGENCY POLLUTION PREVENTION TASK FORCE CHARTER: Through a group
established by the Task Force, a Charter has been prepared which delineates the roles and
responsibilities of the Task Force in implementation of the Executive Order. The Charter provides
each agency an opportunity to formally recognize the goals of the Executive Order and pledge to
faithfully implement the provisions of the Order.

        GUIDANCE AND IMPLEMENTATION ASSISTANCE: In coordination with other agencies
on the Interagency Task Force, EPA has prepared and released general guidance for implementation
of Executive Order 12856. Additionally, EPA has prepared assistance documents focusing on
Federal agency pollution prevention strategies and facility level plans required by the Executive
Order. In the fall of 1995, EPA will release a document designed to assist field level personnel in
addressing life cycle accounting concepts at the facility level.

        ENVIRONMENTAL MANAGEMENT: EPA has prepared a draft of the "Code of
Environmental Principles," called for in section 4-405 of the Executive Order as part of the "Federal
Government Environmental Challenge Program," and has circulated that document to other agencies
for review and comment.

        EFFECTIVE IMPLEMENTATION A work group established by the Task Force has
prepared a plan to address crosscutting Federal management issues which affect implementation
of the Executive Order. The work group is capitalizing on the collective knowledge and resources of
the 16 Task Force agencies to ensure a coordinated and effective effort. The Task Force has
established subcommittees composed of representatives from the various Task Force member
agencies to assist in implementation of specific aspects of the Executive Order. The following is a
list of each subcommittee:

        •  revising acquisition and procurement procedures;
        •  coordination pollution prevention research and development and technology
          diffusion;
        •  information transfer and technical solutions;
        •  standardize method for data gathering for Executive Order 12856;
        •  outreach and showcase federal governments progress on Executive Order
          12856 and pollution prevention;
        •  substitute chemicals and alternative processes; and
        •  training.
5       FUTURE DIRECTION OF ERA'S FEDERAL FACILITY ENFORCEMENT
        PROGRAM AND CONCLUSIONS

        EPA is committed to continually improving the performance of Federal facilities in protecting
human health and the environment, not only through traditional enforcement activities, but through
the use of innovative compliance  assurance and assistance efforts. EPA's federal facilities
enforcement program has a sector orientation, uses strong enforcement combined with compliance

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              CHEATHAM,  R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.  365


assistance, and promotes pollution prevention and multi-media enforcement.  The Office  of
Environmental Compliance Assurance's Federal Facilities Enforcement Office (FFEO) manages
a national program to ensure that Federal facilities and government-owned-contractor-operated
facilities conduct their activities in an environmentally sound manner and comply with all applicable
environmental statutes and regulations.
       The Federal facilities enforcement program will emphasize these major program areas in
FY1996: environmental reinvention activities at Federal facilities; implementation of a multi-media
enforcement strategy, including targeted multi-media inspections, to improve Federal compliance
rates; work with other Federal agencies and States to assist agencies in adopting and implementing
environmental management standards in their operations, using "model facilities," as examples  of
how to review and improve current practices, e.g., pollution prevention, at Federal facilities.
       In FY 1996, EPA will continue to emphasize aggressive enforcement of environmental
use its authority under the 1992 Federal Facilities Compliance Act against federal facilities. The
Agency will build on our successes in calendar 1995, and build on its Federal Facility Compliance
Act efforts in regard to civilian Federal agencies (Civilian Federal Agencies), as exemplified by
four major cases in calendar 1995 involving the Agriculture Department, the Bureau of Indian Affairs,
the Bureau of Reclamation, and the Bureau of Land Management.
       In FY 1996, along with our emphasis on traditional enforcement against Civilian Federal
Agencies, EPA will focus on special assistance to Civilian Federal  Agencies which have less
expertise, through implementation of the  new EPA Civilian Federal Agencies Environmental
Improvement Strategy and by conducting Environmental Management Reviews at Civilian Federal
Agencies facilities.
        EPA will work with Federal agencies through Project XUENWEST to ease requirement
burdens for environmental compliance—reduce less significant requirements (e.g., record keeping,
labeling, etc.) and focus on those activities that achieve high-level environmental results. This initiative
is a partnership to test affirmative environmental management strategies at selected DOD facilities.
A major focus will be on  near-term investments in pollution  prevention approaches that reduce
compliance and clean-up costs in the long run. It is always cheaper, and cleaner, to prevent pollution
in the first instance, instead of dealing with it after-the-fact. XL/ENNVEST is an exciting opportunity
to try management alternatives at federal facilities that will seek to achieve better environmental
results at less cost to the taxpayer.
       In July 1994, Administrator Browner announced the Common Sense Initiative to mark a
new approach to environmental protection at EPA. The overall goal of this Initiative is to identify and
implement cheaper, and  smarter, means of pollution prevention and environmental compliance,
while ending up with a cleaner environment. The primary theme of the CSI Initiative is "Cleaner-
Cheaper-Smarter" environmental protection:

       •  Cleaner because EPA will require participating industries to commit to
          improving their environmental performance to  show real, measurable
          environmental protection.
       •  Cheaper because EPA is committed to looking for opportunities to increase
          flexibility in its regulations, compliance assurance and permitting programs.
       •  Smarter because cleaner, cheaper environmental management is a winning
          proposition for everyone.

       Six industrial sectors are participating in Phase I of the Initiative: Auto Assembly, Computers
and Electronics, Iron and Steel, Metal Plating and Finishing, Oil Refining, and Printing.

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366  FOURTH  INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        The Common Sense Initiative represents a commitment by all of the participants, both
from government and from the private sector. It is a commitment to do better—to write our regulations
better, to understand and comply with them better, and to better achieve real reductions in pollution,
which will benefit us all.
        One way to be smarter, and cleaner, is to anticipate problems before they occur, identify
them when they do, and correct them right away. This approach makes sense for business and
government alike. After all, the most effective place to ensure compliance is at the source. EPA's
Environmental Leadership Program is working with selected private, and federal, facilities, to pilot
ways of enhancing compliance. These demonstration pilot projects will show new, and sound, ways
of self-policing - of checking the system, and fixing anything that is broken. This is truly a partnership
between the EPA and the participating facilities, to show that compliance assurance is a two-way
street.
        Two federal facilities have  been selected to participate in the first phase of our
Environmental Leadership Program. At the McClellan Air Force Base in California, the base will
develop and share multi-media inspection protocols which will improve environmental management
systems in both federal facilities and  in industry. At the Puget Sound Naval Shipyard, they will
conduct assessments of pollution prevention opportunities. Both of these projects will help us, the
federal government, be a true leader in the field of environmental compliance and protection.
        The Penalty Incentive Policy for Self-monitoring, Disclosure, and Correction, commonly
known as the "Audit Policy" allows the regulated community to take responsibility for themselves,
and make sure that they comply with the laws. The goal of the policy  is simple:  EPA wants to
promote responsible behavior by the regulated community. Self evaluation, disclosure, and prompt
correction make sense for business, make sense for government, and make sense for the
environment.
        One way that we will promote responsible behavior and compliance with the law is by
maintaining strong enforcement. Federal laws and regulations set minimum standards for protecting
human health and achieving environmental protection goals such as clean air and clean water.
EPA will continue to uphold these laws through tough enforcement actions that appropriately penalize
violators.
        The new policy is based on several principles:

        1.  Self-policing by regulated entities can play a crucial role in finding, fixing and
           preventing violations.
        2.  Violations discovered through self-policing should be disclosed and promptly
           corrected.
        3.  Regulated entities that self-police and that  self-disclose and self-correct
           violations should, in appropriate circumstances, pay penalties that are
           consistently and predictably lower than penalties for those who do not.
        4.  Regulated entities that self-police and self-disclose and self-correct violations
           should, in appropriate circumstances, also not have to fear prosecution for
           criminal violations.
        5.  Providing predictable rewards for voluntary disclosure and correction of
           violations identified through self-policing is a positive alternative to establishing
           new statutory privileges that promote secrecy, expand litigation and
           compromise enforcement actions.
        6.  EPA should not seek information obtained by regulated entity solely through
           an audit to trigger an investigation of a civil or criminal violation of environmental
           laws.

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              CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.  367
        7. The Agency should encourage innovation by states while ensuring that federal
          laws are fairly and consistently enforced.

        Finally, we will continue our emphasis on the development and implementation of pollution
prevention techniques.  By providing assistance  which promotes pollution prevention, and
encouraging pollution prevention projects in the litigation context, we are helping to build the capacity
of federal facilities to move toward cleaner,  cheaper and smarter methods of environmental
management. EPA will continue to take a leadership role in implementing the Pollution Prevention
and Right-to-Know Executive Order.
        The Federal Facilities Enforcement Office has grown from  its original Resource
Conservation and Recovery Act/Comprehensive Environmental  Response, Compensation &
Liability Act focus into a sector based multi-media office. We are committed to working with our
sister agencies to address their environmental problems and to make our government an
environmental leader as envisioned by the Integrated  Management Strategy. Our role as the Federal
Government's principal environmental regulator and enforcer demands this.
        Combining traditional enforcement and compliance assistance, and the host of approaches
in between, provides the Office of Enforcement and Compliance Assurance with unique opportunities
and challenges. EPA must continue strong enforcement of the environmental laws. The Agency's
enforcement program helps ensure the integrity of all of the Federal government's programs and
missions.

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368  FOURTH  INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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              CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.  369
ANNEX 1


GUIDE TO POLLUTION PREVENTION OPPORTUNITIES AT NAVAL BASE
USA (NBU)

        As part of the Federal Facilities Multi-media Enforcement/Compliance Initiative (FMECI),
the EPA Federal Facilities Enforcement Office (FFEO) is providing this guidance package to
assist enforcement personnel in identifying and documenting pollution prevention (P2) opportunities
that can be incorporated into settlement agreements with the above-mentioned Federal facility.
This package consists of two parts: a "Federal Facility Pollution Prevention Field Reporting Form"
(Attachment A), and a "Pollution Prevention Opportunities Profile" (Attachment B). Both of these
parts are specifically prepared for use at the above-mentioned Federal facility.

Part I.  Federal Facility Pollution Prevention Field  Reporting  Form

        The field reporting form presented in Attachment A provides a mission statement for the
facility, which can be used by inspectors to predict the types of processes and wastes that may be
present at the facility. In addition, this reporting form provides a consistent format for inspectors to
record information on pollution prevention activities and opportunities at the facility. Parts I through
IV of this form are provided by the Federal Facility Enforcement Office (FFEO), and include the
facility name, address, and identification number, and a facility mission statement. Parts V through
VIM are filled out by the inspector, and are to be maintained as part of the inspection record.
        Part V.A is used by the inspector to record information about wastes that may present
opportunities for pollution prevention. Part V.B allows inspectors to record the types of pollution
prevention opportunities that they know or suspect are relevant to each waste identified in V.A.
Inspectors may use the Pollution Prevention Opportunities Profile (Attachment B) as an aid in
completing Part V of the field reporting form.
        Part VI of the field reporting form allows the inspector to record detailed information about
ongoing pollution prevention activities at the subject facility. This information may be used by EPA
to propose the wider application of certain pollution prevention techniques implemented at the
facility.
        Part VII of the field reporting form allows inspectors to record violations occurring at those
waste generation activities that have pollution prevention potential as determined pursuant to Part
V of the field reporting form. These types of violations may allow the EPA to introduce pollution
prevention requirements into settlement agreements.
        Part VIM of the field reporting form allows inspectors extra space to nominate one or more
pollution prevention opportunities at the subject facility that are most likely to be incorporated into a
settlement agreement.

Part II. Federal Facility Pollution Prevention Opportunity Profile

        The Federal Facility Enforcement Office investigated a number of EPA information sources
to identify potential pollution prevention opportunities at Naval Base USA (NBU). These sources
and the types of data they provided are listed below:

        • Resource Conservation and Recovery Act 3016 database: Annual quantities
          for each Resource Conservation and Recovery Act hazardous waste.
        • Aeronomic Information Retrieval System (AIRS) database: Annual quantities
          of Federal air pollutants.

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370   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        •  Permit Compliance System (PCS) database: Annual quantities of Federal
          water pollutants.
        •  Resource Conservation and Recovery Act Biennial Reporting System (BRS)
          database: Types and annual quantities of hazardous wastes.
        •  Toxic Release Inventory System (TRIS) database: NBU was not found on this
          database.

        Data from the above-mentioned sources were used to prepare the profile for Naval Base
USA which is presented in Attachment B. This profile does not represent all wastes that may have
pollution prevention potential at Naval Base USA. Furthermore, this profile may include wastes that
have little or no potential for pollution prevention. This profile was prepared to provide the inspectors
with an initial list of wastes that, based on data from the above-mentioned sources and the information
depicted by the facility mission, appear to present the best opportunities for pollution prevention.
The inspector is encouraged to investigate these potential opportunities during upcoming
inspections.  If the opportunities in the profile are confirmed during the inspection,  the inspector
should obtain as much additional information as possible on these opportunities and  record all
such findings in Parts Vthrough VIII of the field reporting form (Attachment A).

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I.

II.

III.

IV.
V.
A.
Facility Name:
                     Attachment A
Federal Facility Pollution Prevention Field Reporting Form

   Naval Base USA
                                                                                                                           I
                                                                                                                           O
                                                                                                                           (D
Facility Address (City, State)   Anytown, Alaska

EPA ID No.:
   AK 1240098136
Mission Description:
   Naval Base USA is involved in the overhaul and maintenance of surface ships up to attack
   carriers, attack submarines, and ballistic missile submarines.  NBU services include conversion,
   overhaul, repair, alterations, and drydocking.  The base also provides support for air and
   submarine warfare weapons systems.  NBU is the homeport to an aiResource Conservation
   and Recovery Actft carrier, two cruisers, and two ammunition ships.  NBU occupies 1,760
   acres in Anytown, Alaska, and employs approximately 16,200 permanent staff (270 officers,
   4,390 enlisted personnel, 11,520 civilians, and 20 students).
                                                                                                                                  O
                                                                                                                                  m
3J
P
m

1
p
c_
 o
                                                                                                                                  Tl
                                                                                                                                  3D
Wastes with P2 Potential (observed):
Waste Description (include waste
sources,12 chemical compositions,
physical properties, and quantities)
                                 B.     P2 Opportunities (See Attachment B)
                                                                                                                                  a
                                                                                                                                  CO
                                                                                                                                  m
                                                                                                                                  3)
                                                                                                                                  m
                                                                                                                                  5

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VI.    Current P2 Activities                                                                                                     §.      §

                                                                                                                                       >
                                                                                                                                       i—


A.     Waste Description (Sources and Quantities)                    B.     Initiative Description
                                                                                                                                      m
                                                                                                                                      33

                                                                                                                                      O
VII.   Violations affecting Waste Sources with P2 Potential (see Part V of this form):


                                                                                                                                      O


A.     Waste Source                        B.     Violation                             C.     Status of Violation                   '   ~
                                                                                                                                      O
                                                                                                                                      m
                                                                                                                                      o


                                                                                                                                      m
                                                                                                                                      z
                                                                                                                                      -n
                                                                                                                                      O

                                                                                                                                      O
VII.   Recommendations for Modifications to Current Programs

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                                                                                              I
                                                                                              n
                                                                                              CD
                  Attachment B:  Federal Facilities
Pollution Prevention (P2) Opportunities Profile at Naval Base USA (NBU)
Waste Description"
Spent hydraulic fluid
(propylene glycol)
Ignitable wastes
(D001)
EPA 33/50
Program
Target
fY/N)14
N
N
Annual Waste
Quantity
1.55 tons (1989)
6.6 tons (1989)
Assumptions on Waste Origin
and/or Composition"
I lydraulic fluid drained from
equipment during routine
service
Mineral spirits from degreasing
operations
Potential Pollution Prevention Opportunities
• Determine whether hydraulic fluid can
be replaced in the equipment after
servicing has been completed
• Identify secondary uses for spent
hydraulic fluids
• • Minimize rates of sol vent use
• Replace organic solvents with water-
based solvents
• Extend solvent life by filtering or
setting accumulated solids
Data
Source"
BRS
BRS
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374  FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
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-------
             CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.  375
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376   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        ENDNOTES AND REFERENCES

1.   The strategy was originally outlined in former Deputy Assistant Administrator Tad McCall's
    paper presented in proceeding's from the September 22-25, International Conference on
    Environmental Enforcement, Budapest, Hungary

2.   See, Final Enforcement Guidance on Implementation of the Federal Facility Compliance
    Act, March 1996.

3.   The Resource Conservation Recovery Act's (RCRA) principle objective's are to:

        •  Protect human health and the environment from potential adverse effects of
          improper solid and hazardous waste management; and
        •  Conserve material and energy resources through waste recycling and recovery;
          and reduce or eliminate the generation of hazardous waste as expeditiously
          as possible.
        •  To achieve these objectives, the Resource Conservation Recovery Act (RCRA)
          regulates the generation, treatment, storage, transportation, and disposal of
          hazardous waste (cradle to grave management system).

4.   H.Rep No.  102-886,102nd Cong., 2nd Sess., p. 19 (1992). See also H.Rep. No. 102-111,
    102nd Cong., 1st Sess., p.2 (1991); S.Rep. No. 102-67,102nd Cong., 1st Sess. p.1
    (1991).

5.   See § 102(b)(1) of the Act, 42 U.S.C. Sec. 6961 (b)(2). This contrasts with the
    Comprehensive Environmental  Response, Compensation and Liability Act (CERCLA)
    which provides response authority and administrative order authority to the President. In
    order to determine who has been delegated the authority from the President for the
    particular responsibilities under this Act, it is necessary to consult Executive Order No.
    12580.

6.   See § 102(a)(3), 42  U.S.C. Sec. 6961 (a)(3)

7.   While states also have the authority to assess penalties against Federal agencies under
    the Act, states are not necessarily required to use the 1990 Resource Conservation
    Recovery Act Civil Penalty Policy, but should assess penalties in accordance with state
    practices. EPA encourages states to use this new authority. As is done in actions against
    private parties, the Agency can work with those states without administrative penalty
    authority to assess penalties under the Agency's authority.

8.   Because the Anti-Deficiency Act, 31 U.S.C. Sec. 1341, makes payments by federal
    agencies subject to the appropriation funds by Congress, there might be unique payment
    issues that arise with regard to payment of penalties by such agencies. Under the
    Resource Conservation Recovery Act Civil Penalty policy, the burden regarding ability to
    pay will reside with the Federal agency, as Respondent. If the Federal agency
    demonstrates that it cannot pay due to the Anti-Deficiency Act, the Regions should require
    that the particular Federal agency agree to request additional funds from Congress. In
    addition, EPA may include an acceleration clause in any payment schedule which is agreed
    to be the parties.

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              CHEATHAM, R. B.; EDWARD, J. R.; FRANK, W. H.; AND SATTERFIELD, R. J.   377
9.   For the purposes of this Report, a State or EPA is considered the multi-media inspection
    lead if it acts as the lead agency on the majority of individual environmental media
    components of the multi-media inspection.

10. Small facilities comprise too small a portion of the universe of inspected facilities to draw
    any meaningful conclusions regarding the distribution of enforcement actions by statute.

11. Penalties are not generally associated with the Federal Facility Compliance Act's Notices
    of Violations (NOVs), Notices of Noncompliance, or Warning Letters.

12. Waste source description should include the location of the waste generating activity (e.g.,
    building number), and the process that generates the wastes (e.g., degreasing of aircraft
    motor parts).

13. Waste descriptions are derived from the data sources provided in the last column of this
    matrix. Resource Conservation and Recovery Act wastes in reported quantities below 500
    Ibs (0.25 tons) per year are not included in the matrix. No limits were placed on waste
    generation quantities for non-Resource Conservation and Recovery Act Wastes.

14. A voluntary national program to reduce releases of pollutants and off-site transfers of 17
    toxic chemicals by 33 percent by the end of 1992 and 50 percent by the end of 1995.
    Y=Yes; N=No; ^Insufficient Data, (the 17 chemicals include: benzene, cadmium and
    cadmium compounds, carbon tetrachloride, chloroform; chromium and chromium
    compounds; cyanide and cyanide compounds; lead and lead compounds; mercury and
    mercury compounds; methylene chloride; methyl ethyl ketone; methyl isobutyl ketone; nickel
    and nickel compounds, tetrachloroethylene; toluene, 1,1,1-trichloroethylene; and
    trichloroethylene.)

15. Assumptions based on professional judgment.

16. BRS=Resource Conservation and Recovery Act Biennial Reporting System;
    AIRS=Aeronomic Information Retrieval System; and PCS=Permit Compliance System.

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378  FOURTH  INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                      SPECIAL TOPIC D: COMPLIANCE MONITORING  379
                   SPECIAL TOPIC WORKSHOP D

                          Compliance Monitoring
       Workshop D discussions build on the description of compliance monitoring techniques
and programmatic approaches in the "Principles of Environmental Compliance and Enforcement"
text, the UNEP training manual, papers published in the Proceedings of the second International
Conference, Theme #3, "Developing an Effective Compliance Monitoring Capability (e.g.,
Inspection Capability)," and a new capacity-building technical support document prepared for
this Fourth International Conference on Source Self-Monitoring, Recordkeeping, and Reporting.
       The workshop provided an additional opportunity for discussion of the design
issues touched upon on Day Three workshops as well as an opportunity for discussion
of country-specific problems.
1.   Summary of Compliance Monitoring Workshop,  Facilitators: J. Blenkers,
    H. Laing, J. Skinner, Rapporteur: J. Jeffery	381

2.   Institutional Strengthening and Capacity Building in the Field of Environmental
    Inspection and Enforcement in Denmark, G. Nielsen	385

3.   Synopsis of International Comparison of Source Self-Monitoring, Reporting,
    and Record Keeping Requirements	393

4.   Synopsis Multi-media Inspection Protocols: International Examples	394

5.   Synopsis of Course: Conducting Multi-media Inspections	395


See related papers from other International Workshop and Conference Proceedings:

1.   Norway's Experience in Building an Inspector Corps: Education and Financing,
    G. Rodland, A. Miller, Volume I,  Oaxaca, Mexico

2.   Compliance Monitoring of Companies Marketing Chemical Substances in Sweden,
    K. Thoran, K. Siirala, Volume I, Oaxaca, Mexico

3.   Environmental Inspection in Transition in the Czech Republic, V. Mezricky, Volume I,
    Oaxaca, Mexico

4.   Monitoring Industrial Emissions: A Successful Instrument for Environmental
    Enforcement, M. POtz,  Volume I, Oaxaca, Mexico

5.   Compliance Monitoring in Nigeria's Industries, M. T. Odubela and I.I. Omoniyi, Volume II,
    Oaxaca, Mexico

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380  FOURTH INTERNATIONAL CONFERENCE ON  ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
6.   Developing an Effective Compliance Monitoring Capability, M. Bierman-Beukema toe
    Water, Volume I, Budapest, Hungary

7.   Integrated Licensing, Implementation and Compliance Monitoring in Developing
    Countries, J. Aloisi de Larderel, Volume I, Budapest, Hungary

8.   Compliance Monitoring in Norway, G. R0dland, Volume I,  Budapest, Hungary

9.   U.S. Experience and Differences Between Civil and Criminal Investigations and Use
    of Central Elite Force to Supplement Local Inspectors, C. Willis and D. Gipe, Volume
    I, Budapest, Hungary

10.  UK Experience in Establishing an Inspectorate for Integrated Pollution Regulation, J.
    Handyside, Volume I, Budapest,  Hungary

11.  Compliance Monitoring in Poland: Current Status and Development, J. Jendroska,
    Volume I, Budapest, Hungary

12.  The Enforcement of the State Policy of the CSFR on the Field of the Montreal
    Protocol, M. Kotaska and V. Rehacek, Volume I, Budapest, Hungary

13.  Summary of Theme Discussion: Developing  an Effective Compliance  Monitoring
    Capability (e.g. Inspector Capability), M. ten  Hove, Volume II, Budapest, Hungary

14.  The Example of the Chemicals Weapons Convention, B. terHaar, Volume I, Utrecht,
    The Netherlands

See also, Role of Police:

15.  The Role of Local, County, and State  Police  Officers in New Jersey in Environmental
    Enforcement,  £. Neafsey, Volume I, Oaxaca, Mexico

16.  The Task of the Police, R. Messing, Volume  I, Oaxaca, Mexico

17.  Summary of Workshop: Role of Police, Facilitator: J. Peters, Rapporteurs: M. Low, T.
    Shewmake, Volume II, Oaxaca, Mexico

18.  The Public Prosecutor's Office of Hungary and Its Development, S.  Fulop, Volume I,
    Budapest, Hungary

19.  The Development of the Police's Enforcement Position in the Field of Environment,
    M. Horstman, Volume II,  Budapest, Hungary

20.  Environmental Law Enforcement and the Police, N. van Helten, Volume II, Utrecht,
    The Netherlands

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                                SUMMARY OF WORKSHOP: COMPLIANCE MONITORING  381
COMPLIANCE MONITORING

        Facilitators: Joop Blenkers, Harley Laing, John Skinner
        Rapporteur:  John Jeffery


1       INTRODUCTION

        A brief overview was presented by the co-facilitators that covered available reference
materials such as the recently prepared Compliance Monitoring Protocol manual, Volume I of the
Budapest proceedings, the Multi-media Inspection manual, and UNEP's institution building training
manual's module on compliance monitoring and inspection, as a starting point for further development
of this topic.
2       GOALS

        An exploration of the activities and requirements necessary to develop and implement a
compliance monitoring program. The group was particularly interested in learning about new
approaches and ideas that would aid them in either developing a new program or evaluating an
existing one. As a group they were looking to increase the efficiency of their programs through
multi-media training, approaches, and the number of single media inspections. They also wanted
an overview of an actual compliance monitoring program.
3       PAPERS

        A paper by Mr. Gudmund Nielsen entitled Institutional Strengthening and Capacity Building
in the Field of Environmental Inspection and Enforcement in Denmark describes the physical,
administrative, and legislative framework of the Danish inspection and control system,  providing
data on staffing, inspection frequency, penalties and other important compliance monitoring issues.
A technical support document, Source Self-Monitoring Requirements: International Comparison,
presents comparative information gathered from nine different countries on their use of source self-
monitoring,  reporting and recordkeeping and is based on key design issues that country officials
should consider when developing compliance monitoring programs.  Another technical support
document, Multi-media Inspection Protocols: International Examples, describes key aspects of
how and why multi-media inspections may be included in a compliance monitoring program with
information  gathered from nine different countries on present multi-media inspection approaches.
A  UNEP Training Manual on Institution Building was produced to help countries develop their
institutional ability to ensure industry compliance with environmental standards by examining different
approaches, identifying critical elements of success, and providing options if resources are limited.

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382   FOURTH INTERNATIONAL CONFERENCE  ON ENVIRONMENTAL COMPLIANCE  AND ENFORCEMENT
        DISCUSSION SUMMARY
4.1     Overview of key issues in developing a compliance monitoring program

        As requested an overview was provided by the co-facilitators that focused on: (1) the
need to define the responsibilities and authorities of each governmental agency involved in the
enforcement process and use of compliance monitoring information (i.e., from national government
to local police); (2) the need  for adequate inspector training; (3) the set of issues dealing with
whether to employ multi-media inspections, permitting and the use of multi-media checklists versus
single program approaches for air, water, waste etc.; (4) the various self-monitoring methods including
emissions testing, record keeping and reporting and the whys and wherefor of each; (5) the use of
certified, third-party compliance audits, (6) the issuance of a certification of compliance; (7) the
need to maintain and make available background information on sources; (8) the use of an elite
inspection group for complicated inspections; (9) the issue of how and when to use citizen complaints,
hot lines and other public participation approaches to increase the number of inspectors in the
field; (10) the role of an inspector-compliance, enforcement, technical assistance, environmental
assessment; (11) how facilities are targeted for inspection- large emitters, risk, citizen complaints,
geographical regions, sector-based;  (12) safety training and medical monitoring for inspectors;
(13) reducing the frequency of inspections as a reward for compliance; (14) mobile source emission
inspection requirements; (15) the need for inspection, analytical and information collection quality
assurance and quality control (QA/QC); (16) the use of special technologies to monitor compliance
such as overflights, Lidar, FTIR, and analysis of other databases; and (17) the need to have and
promtly prepare inspection reports.

4.2     Defining responsibilities and authorities of each governmental agency

        One question brought up was whether or not any new authority was needed to conduct
multi-media inspections. Most responded that it was less a matter of authority than of an administrative
effort to coordinate inspection activity at a single facility.

4.3     To what extent are countries conducting multi-media inspections?

        Most participants stated that wherever possible they are already conducting multi-media
inspections or are planning to do so in the near future. The reasons were as varied as the countries
represented at the session. One country uses this approach to promote a more professional presence
at the facility.  Others stated the commonly heard compliant from industry that on one day the air
inspector would show up, the next day the water, and so on. One mentioned the need to present an
image of cost savings by sending all its inspectors in one vehicle to cut travel costs. Others talked
about the potential for training and the frequent need to inspect complex sites and that if there were
several inspectors there was a preater chance that at least one could withstand the temptation to
accept a bribe. Still others were concerned that if only one inspector was sent out the tendency for
bribery would increase.  All of the participants talked about the difficulty and expense of cross-
training and maintaining a multi-media inspection staff.
        The topic of integrated or multi-media inspections was brought up again in the context of
why it is used on a technical level. Most thought that as a screening tool it was helpful in gaining an
overview of a facilities total releases to the environment. It can also be used to develop a historical
database for future comparative usage. Many were concerned about the cost to cross-train inspectors
and the time to conduct such an effort.  Others spoke of resistance on the part of the inspectors

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                                 SUMMARY OF WORKSHOP: COMPLIANCE MONITORING  383
themselves to be cross-trained. One comment was raised as to who was a better inspector, "a
generalist or a single media specialist?"  The group did not have an answer, but the use of a
checklist was viewed as a compromise that can work.

4.4     Source self-monitoring

        Another question raised centered around the issue of self-monitoring and what each country
is doing in this area. Hong Kong stated that it had no legal basis to process or use self collected
information against a facility for direct enforcement response, however third-party audits are
conducted to verify self-monitoring data and companies can be made to pay for control equipment
if the need for such is identified. One problem is that so much information is currently collected that
it has overloaded the system's ability to handle the volume. Sierra Leone and Honduras did not
currently use self-monitoring. The Slovak Republic, Latvia, and Poland all depend on self-monitoring
information as do Kenya and the Netherlands to assist them in setting priorities for inspections, but
all were very concerned about the quality of the information collected. A common approach was to
verify this information through the use of inspections. This practice is also used in The United
States  were the major self-monitoring program in place is the one associated with wastewater
discharges. Other programs underway include those for the RCRA, the pesticide manufacturing
industry, and air emission sources. Most if not all of the self-monitoring information collected in the
United  States can be used against a facility in a court of law. Mention was made of the "citizen suit
provision" wherein, a citizen, a group or and NGO can file suit against a company for noncompliance
based  on information submitted by the company under the  self-monitoring requirements. The
companies must certify under the penalty of law that materials contained in their submittal is accurate
and complete.

4.5     Citizen complaints

        The next issue raised concerned the policies, use, and practices of citizen complaints.
Kenya  has a system in place, but industries always point the finger at other companies or say "why
don't you go inspect them?" Hong Kong uses its complaint system to target offenders but needs a
clear pattern of violation or an extreme case to prove noncompliance. This is based on the reasoning
the court places on facilities that can show compliance histories of 90-95%. Malaysia also has a
similar approach to complaints and targeting. There is much mistrust of the information submitted
via self-monitoring  and from complaints and  therefore inspectors must use great discretion to
determine the next course of action. The Antilles  uses a  call  in  number and the offices  of all
governmental agencies to collect citizen complaints. As Honduras does not have an inspection
staff, most if not all violations come to the attention  of the government via citizen complaints The
U.S. has a network of local, county, state, and federal hot-lines and other communication links
through which individuals can report potential violations. There is also a network of NGOs that
citizens can call or contact.

4.6     Data collection and management

        On the issue of data collection, many talked about the volume of information but the lack of
actual data  being available for agencies to base decisions on. Countries like Latvia, the Slovak
Republic, and Poland gather information from three or more sources. National information collected
and verified vis inspections, economic and  production information gathered by a separate
governmental agency, and the fees levied by the tax offices on projected discharge levels. While
they are cross-checked as much as is possible, most have found that there was little connection
between these systems. Most countries can not use this  information to penalize, fine, or sue

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384   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
companies who report excess emissions. A few talked about the limitations in their regulations that
only allow them to obtain one sample from a source that must then be used to represent the conditions
of the entire production schedule. All talked about the need to increase their Quality Assurance/
Quality Control/ efforts but were at a lost as to how this could be accomplished within the framework
of limited resources.

4.7     Targeting  inspections

        The next issue discussed was on how targeting of sources was conducted in each of the
countries.  While most countries had a systematic approach to inspect the largest or most risk
assessed facilities,  many rely heavily on citizen complaints. Most spoke of limited resources - the
necessary number and adequacy  of trained inspectors, inspection, sampling, and analytical
equipment, and other financial support. Many of the developing countries spoke about the need to
develop a  legal and regulatory framework before any serious attempt could be made in targeting
facilities. Some talked about the concern of industrial  lobbying and the potential for bribery, others
about the internal competition for resources that made consensus targeting difficult to reach. Many
are simply "planning by doing".
5       CONCLUSIONS

        The group identified five (5) common points of interest/need that should be addressed by
those concerned about promoting the issues of compliance monitoring and multi-media inspections.
They are as follows:

        1. The need for multi-media inspector training in developing countries.
        2. The development of a network/database to exchange information on
          multinational companies.
        3. The use of multi-media inspections to deter bribery.
        4. The need for IS014000 training and a finding on its effect on a countries laws
          and regulations.
        5. The lack of an existing Quality Assurance/Quality Control (QA/QC) system to
          verify self-monitoring information and the need to establish a reliable and
          enforceable reporting mechanism.

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                                                           NIELSEN, GUDMUND  385
INSTITUTIONAL STRENGTHENING AND CAPACITY BUILDING IN THE FIELD
OF ENVIRONMENTAL INSPECTION AND ENFORCEMENT IN DENMARK

NIELSEN, GUDMUND

Head of Section, M.Sc., Ministry of Environment and Energy, Denmark, Danish
Environmental Protection Agency, Strandgade 29, DK-1401 Copenhagen K, Denmark
        SUMMARY

        The enforcement framework and the development and organizing of the Danish inspection
and control system is described from its beginning and up to the present situation where new
challenges have appeared. Some statistical data on staffing, inspection frequency, penalties, etc.
are provided. The changes of the environmental inspector's role, the call for further qualification of
the inspection system and the general adoption of local environmental action plans for counties
and municipalities illustrate the latest developments in institutional strengthening and capacity building
in Denmark.


1       ENVIRONMENTAL ADMINISTRATION IN DENMARK
1.1    The physical and administrative framework

        The Kingdom of Denmark is part of the Scandinavian area. It's land mass is 43,000 kPn
and consists of a peninsular, with border to the north of Germany, and approximately 500 islands.
The total coastline is approximately 7,000 km. A population of 5.2 million gives an average population
density of 120 inhabitants per krrf, but the number of inhabitants in the capital Copenhagen is
approximately 1.5 million.
       Denmark is administratively divided into 14 counties and 275 municipalities. The two
decentralized administrative levels are politically managed by county councils and municipal councils
respectively, who are elected by public elections every 4th year.

1.2    The legislative framework

       The Danish Environmental Protection Act gives the State,  the counties and the
municipalities each their own responsibilities in relation to environmental protection. Nearly all
inspection and enforcement tasks are delegated to the councils and the municipalities, the counties
inspecting the most polluting enterprises. The decentralized authorities are also the permitting
authorities, who grant permits and licences to potentially polluting enterprises. The State has
practically no inspection role in the  environmental field but prepares guidelines and generally
supervises inspection carried out by the decentralized authorities.
       The first Environmental Protection Act was adopted in Denmark in 1973, replacing the
former health regulations and decisions concerning water pollution. The first Act was primarily
aimed at industry. Since then the Act has been amended from time to time, and now comprises,
besides industry and farming, all other potentially polluting activities and all kinds of pollution. This
makes the Act an integrated pollution control legislation. The Act is a framework law which empowers
the Minister to lay down specified rules and standards in statutory orders.

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386   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        From the beginning the Act laid down that responsibility for the practical inspection and
enforcement should be given to the decentralized public elected authorities. This principle of
decentralization has since then been maintained during revisions of the Act.
        Under the first Act it was implied that an effective administrative apparatus was built up,
consisting of several hundreds of full-time employees: This comprised an Environmental Protection
Agency as the national administrative element, and technical administrative divisions in the counties
and municipalities as the implementory element. Without this apparatus, the rules would just be an
ineffective gesture?
2       INSPECTION AND ENFORCEMENT

2.1     Why inspection and enforcement

        The overall purpose of the Danish inspection and enforcement system is according to the
legislation to achieve or maintain a satisfactory environmental quality in the surroundings. Through
active and fieldwork inspection activities the environmental authority shall get an overview of the
pollution and potential polluting activities inside the border of the municipality or county.
        The decentralized authorities inspect and where necessary ensure that the Environmental
Protection Act and decisions in statutory orders laid down under the Act are complied with. This
includes check of compliance with conditions in permits and licences and with orders given by the
authority itself. Besides it shall be checked if existing permits are up to date and that all activities
which do not need permits or licences do not result in unacceptable pollution. Inspection also has
an advising role in connection with information about the consequences of the environmental
decisions for the single industry or activity.
        Even if the decentralized authorities' obligations to supervise are specified in the Act, the
authorities have freedom of choice in terms of inspection methods. The Act does not give instructions
on how the inspection shall be organized and carried out. The Danish Environmental Protection
Agency (DEPA), however, publishes and disseminates advisory instructions and examples of
suitable inspection work.
        Danish Environmental Protection Agency (DEPA) also keeps up with the inspection work
done by the municipalities and counties through obligatory inspection reports, which the decentralized
authorities forward to the Agency once a year. They summarize the reports into statistic overviews
of staffing,  inspection frequencies, enforcement reactions etc., and the overviews together with
theirs overall evaluation of the inspection work done are published in an annual report to the public?

2.2     The principle of decentralization

        The  delegation of the responsibility for the physical implementation of the Act to the
decentralized authorities has a historical background as a continuation of Danish practice in similar
areas. Other arguments in favour of this principle include the following:

        •  Above all, it can be expected that decentralized responsibility for environmental
           protection will encourage local engagement in environmental matters.
        •  Inside the frames of the Act there can be a number of different and suitable
           local solutions to the same problem.
        •  There is a general wish of giving local elected politicians influence in fields
           where the Act gives the municipal or county council the possibility of acting in
           the bestofthecouncil'sjudgement.

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                                                             NIELSEN, GUDMUND   387
               Inspection visits and enforcement reactions in Denmark 1993

Inspection visits
Requests
Orders
Prohibitions
Police reports
All municipalities
(App. 190,000
enterprises or
installations to inspect)
40,596
9,211
2,413
153
154
All counties
(App. 4,000
enterprises or
installations to
inspect)
5,032
1,008
655
14
91
Total
45,628
10,219
3,068
167
245
          By exercising judgements, the local politicians get the opportunity to weigh
          the local and relevant interests involved.
          Last but not least, it is of crucial importance for the translation of the Act's
          words into practice that technical administration of sufficient size is available,
          and who is familiar with the local industrial structure and other environmental
          conditions.
        HISTORICAL BACKGROUND
3.1
The environmental events
        In the middle of the 1980's some acute pollution problems brought environmental inspection
and enforcement of especially the municipalities into focus. In the coastal areas of the sea around
Denmark oxygen depletion in the bottom layer caused the death offish and vertebral fauna.
        These events could be traced back in particular to outlets of nitrogen, phosphorus and
organic substances in wastewater from the cities and leaching from farming. The nutrients gave
rise to extreme growth of plankton algae in the sea, and when the algae died they sank to the
bottom using the available oxygen in the purification processes.

3.2     Agreement on adequate staffing

        These events made it evident that after the Environmental Protection Act has been into
force for more than 10 years the Act's precondition of an active and fieldworking inspection left
much to be desired, especially as regards inspection and enforcement done by the municipalities.
A survey in 1984 showed that all the municipalities together employed an environmental inspection
staff of approximately 190 man-year, corresponding to 0.37 man-year per 10,000 inhabitants.
        The Ministry of Environment and the Danish Association of Municipalities agreed that to
achieve an adequate inspection activity an average of one inspector for every 10,000 inhabitants
was needed, corresponding to approximately 510 man-year for all the municipalities in Denmark.
This figure implied an increase of 320 inspectors to reach the goal of 510 full-time inspectors. The
goal was to be achieved during the 3 year period 1985-87.

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388   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
3.3     Strengthening of inspection

        Because of the oxygen depletion problems in the sea around Denmark, the Danish
Parliament in 1985 adopted a plan for reducing nutrient leaching and organic substances to the
sea. In connection with this it was decided that the environmental inspection by the decentralized
authorities should be intensified.
        By an amendment of the Environmental Protection Act the principle was adopted that the
same authority which grants a permit to a plant or installation should also inspect the facility and
enforce the conditions in the permit.
        It was also laid down that the municipalities and counties every year before April 1 should
submit to the Danish Environmental Protection Agency (DEPA) a report of the previous year's
inspection efforts and of the employed man-years for inspection purposes.
        All these initiatives together caused a boom in the employment of environmental inspectors.
Danish Environmental Protection Agency's (DEPA's) first national survey of environmental inspection
covered the year 1987. It was found that already then the municipalities altogether employed 459
full-time inspectors, and the counties employed a total of 321 full time inspectors.
        Since then the number of environmental inspectors has been around 450 inspectors in the
275 municipalities and  320 inspectors in the 14 counties. For the municipalities,  this gives an
average of approximately 0.9 man-year per 10,000 inhabitants, but this figure covers considerable
variations between individual municipalities. For all other environmental administration tasks, e.g.
environmental planning, working out permits, advising of industry etc., the municipalities altogether
employ approximately 450 man-years.
4       THE FUTURE INSPECTION

4.1     New challenges

        The stagnation in the number of environmental inspectors and at the same time growing
comprehensiveness in the inspection tasks have in recent years brought about growing interest in
making the inspection system more effective and further qualify the inspection workforce. While in
the first years after 1985 it was a matter of establishing an inspection workforce of sufficient size to
ensure that the environmental legislation could be respected, i.e. to ensure that the minimum
demands are complied with. The environmental administrations in many municipalities and counties
are now well underway adapting to new conditions for environmental inspection.
        These new challenges are the result of an amendment of the Environmental Protection
Act, which came into force on January 1,1992. Hereafter the environmental authorities shall by the
administration of the Act involve such aspects as cleaner technology, cradle-to-grave principles
and life cycle evaluations. In practice these circumstances have implied a change in inspection
attitudes in relation to industry away from the police like attitude towards a much more dialogue
oriented and co-operational approach.

4.2     Paradigm change

        The development may be said to imply a paradigm change for environmental inspection.
The former authoritative and controlling function is to a certain extent replaced by a role as catalyst,
where the inspection encourages, stimulates and maybe even co-operates with the industry to
change it to more environmentally friendly and natural resource saving production methods.

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                                                              NIELSEN, GUDMUND   389
    The number of man-years in municipal environmental administrations 1990-1993

Inspection
Permitting
Mapping and
planning
Advising
Total
Year 1990
450
130
190
80
850
Year 1991
460
130
220
100
910
Year 1992
440
110
220
90
860
Year 1993
440
110
260
90
900
        As examples some municipalities and counties make voluntary co-operation agreements
with selected enterprises about introduction of environmental management systems, prioritization
of efforts and setting up of environmental targets and action plans for the enterprises. Other
municipalities and counties employ a specialist in this field, who for a limited period is at an
enterprise's disposal, provided that the enterprise similarly employ a corresponding person in the
period it takes to work out environmental status, prioritize fields of effort and set up an environmental
action plan for the enterprise. Some municipalities and counties co-operate with the industry about
in-service training of the workers about environmental questions related to the single enterprise.
The purpose is to involve the workers in environmental action plans, environmental improvements
and savings of resources in the enterprises. And further some municipalities and counties have set
up what is called Green Councils or Environmental Fora  with the purpose of strengthening the
dialogue between the environmental authority and the enterprises.
        But the definitive breakthrough of the changed role of inspection is still ahead. The Danish
Environmental Protection Agency (DEPA) has thus followed a long series of cleaner technology
projects in the industry. An evaluation of the projects showed that the involvement of the decentralized
authorities in such projects hitherto has been very limited.

4.3     The reserved decentralized authorities

        The reserved decentralized  municipalities are those municipalities which  are not yet
"playing." The Danish environmental legislation definitely expects that all municipalities do their job
properly, but the legislation does not set precise requirements to how the new aspects as cleaner
technology, cradle-to-grave principles and life cycle assessments should be physically implemented
in the day-to-day inspection and enforcement work carried out by the single decentralized authority.
The other mentioned aspects rely very much on dialogue, cooperation and confidence between the
municipality and the single enterprise. The reasons for not "playing" are mentioned  in 4.3 in the
article. On a very rough estimate more than 75% of the municipalities are still not "playing," especially
those municipalities which have a very small environmental administration.
        There are probably several  reasons for this reservation, especially found  in the
municipalities. Many municipalities have a very small environmental administration with only one or
two environmental inspectors. Under  these circumstances it can  be very difficult to find time for
other aspects than the traditional inspection and control function. Maybe also uncertainty of how to
tackle the task in practice and especially the authoritative role in this connection can be a reason for

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390   FOURTH INTERNATIONAL CONFERENCE ON  ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
the reservation in the municipalities. Further lack of basic knowledge about cleaner technology,
environmental management, life cycle assessments etc. at the environmental inspector level may
contribute to the reservation. Finally, probably many environmental inspectors do not have a
professional network in his or her geographical region, which can function as or can create a common
basic reference for handling the new assignments.

4.4     Qualification for the catalyst role

        To make the decentralized  environmental authorities function as catalysts for the
development in accordance with the intentions of the Act and to further stimulate the process, the
environmental inspection in all decentralized authorities must be suitably qualified for this task.
        Environmental inspectors naturally need not be experts in all industrial sectors and
productions, but they need basic knowledge about environmental management systems, cleaner
technologies etc., and ought to have suitable  professional qualifications to be able to go into a
dialogue about these questions in connection with inspection visits at the enterprises.
        The qualification dilemma can probably be solved by means of goal-directed in-service
training of the inspectors, both as regards the technical and administrative aspects and as regards
the more dialogue oriented tools which are needed in connection with negotiations with the
enterprises and co-operation with several participants about suitable solutions.
        Parallel to this, inspector networks should be established about these topics, which can
serve as a professional environment and create the necessary basic reference. Part of this could
be done by means of a common data base where information about experts and relevant experience
gained by other inspectors can be found and to which own experience with the single industrial
branch can be reported.
        This upgrading of the inspection system and the follow up of the scheme will be an important
task for the Danish Environmental Protection Agency (DEPA) in the continuous effort to qualify the
system to match the demands of the environmental legislation.
5       LOCAL ENVIRONMENTAL ACTION PLANS

5.1     A united plan for the local environmental initiatives

        Still more municipalities and counties in Denmark collect all planned environmental
initiatives into a local environmental action plan, which is adopted by the municipal council or county
council. Instead of the former separate planning for each environmental sector, e.g. drinking water,
wastewater, noise and air pollution, inspection of enterprises and animal farms, waste disposal
and recycling, oil and chemical waste, polluted sites, nature conservation etc., all these activities
are united in the local environmental action plan.
        It is voluntary for the single municipality or county to work out such a plan, but the advantages
involved become still  more obvious. The DEPA has worked out a guideline for making local
environmental action plans, because such plans  among others strengthen the environmental
inspection system4

5.2     The basic idea of the environmental action plan

        A local environmental action plan typically consists of a status part, an environmental strategy
and prioritisation part and an action part. Further an annual revision part can be included.
        Among the advantages of the local environmental action plan should be mentioned:

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                                                              NIELSEN, GUDMUND   391
        •  The plan gives a general view of the conditions of the environment within the
           county or municipality;
        •  The plan gives a general view of the environmental tasks of the authority;
        •  The plan is very well suited as a political prioritization tool for optimal use of
           existing administrative and financial resources in the environmental field;
        •  When the local politicians have prioritized the plan and decided to carry it out,
           the  technical administration has a  precise guide for organization  of
           environmental work.
        •  For the citizens of the county or municipality the environmental action plan is a
           clear source of environmental conditions.
        •  For  the local politicians, the administrative managing director and the
           environmental staff the plan is besides being an excellent working tool an
           obvious way of visualizing the environmental tasks and efforts to the public.

        The key point here is the commitment of the local politicians when the local environmental
action plan has been approved by the municipal council. From the beginning the starting point for
working out local environmental action plans was the inspection and enforcing  activity in the
municipality, and this item is still the core in most plans. The status part of the plan gives an overview
of the number and types of polluting enterprises and other activities within the borders of the
municipality. In the preparation of the plan the technical administration in the municipality lists all
kinds of environmental requirements which are either demanded by law or otherwise desirable.
This can e.g., be the number of enterprises, and — not least — the inspection staff needed for
carrying out the single environmental activity. Concerning inspection and enforcement activities
this means the number of environmental inspectors to check compliance with the environmental
requirements.
        When the local politicians prioritize the proposal for the plan and the plan has subsequently
been approved by the municipal council, the council has both  finally decided the municipal
environmental activities for the coming year and at the same time set aside the necessary money
in the municipal budget.
        The experiences gained so far with the local environmental action plans are very promising.
Nearly all decentralized authorities who have made such a plan can report that the plan has proved
a success. Especially concerning the inspection aspects, the local administrations feel that the
environmental action plan contributes to strengthening the inspection and enforcement administration.
Further, the local environmental action plan can entirely, or partly, form the local Agenda 21 initiative
in the municipality or county.

5.3     The inspectors and  their new role

        In general, environmental inspectors in Denmark are very enthusiastic in their work. If
given sufficient opportunities — i.e., time, knowledge and training — they will undoubtedly throw
themselves into the work with implementing the new "soft issues" of promoting pollution prevention
and cleaner technology as mentioned above. The implementing phase will be a balance between
the traditional inspector role and the role as guide. Naturally the inspector should never forget that
his primary role is to check compliance and—if necessary—to enforce the environmental demands.
Nor should the enterprises ever forget the inspectors' basic authoritative role. But when the enterprise
has shown its ability and will to go further along the environmentally friendly line, the relationship
between the inspector and the new enterprise is ready for the dialogue about the mentioned new

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392   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND  ENFORCEMENT


issues. And the experience hitherto — as mentioned in 4.2 — has proved very  successful. Still
more companies and enterprises are interested in a positive dialogue with the local environmental
authorities about these "green issues."
6       CONCLUSIONS

        Institutional strengthening and capacity building in Denmark play on several strings. The
number of environmental inspectors in counties and municipalities has stagnated and cannot be
expected to increase in the near future. The new Danish Environmental Protection Act implies
changed and more complicated inspection strategies because of the demand for inspection systems
to promote cleaner technology solutions in the enterprises. The new challenges and the inspectors'
new role as catalysts for this development calls for a change in inspection attitude and for further
qualification of the inspection staff.

        Local environmental action plans have—although voluntary - positively shown its value
as institutional strengthening instruments. It can be expected that such plans will create permanent
frameworks for environmental initiatives in the Danish counties and municipalities.
        REFERENCES

1.    Environmental Protection Act no. 358 of June 6,1991. (With later amendments in
     Consolidated Environmental Protection Act no. 590 of June 27,1994).

2.    Moe, Mogens: Environmental Administration in Denmark. Ministry of Environment and
     Energy, Denmark. Danish Environmental Protection Agency, 1995, pp. 63 ff.

3.    Danish Environmental Protection Agency: Miljotilsyn 1993, Orientering fra Miljostyrelsen nr.
     3/1995 (in Danish).

4.    Danish Environmental Protection Agency: Udarbejdelse af kommunale
     miljohandlingsplaner, Vejledning nr. 6/1993 (in Danish).

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              SYNOPSIS OF INTERNATIONAL COMPARISON OF SOURCE  SELF-MONITORING  393
SYNOPSIS OF INTERNATIONAL COMPARISON OF SOURCE SELF-
MONITORING, REPORTING, AND RECORDKEEPING REQUIREMENTS

Capacity Building Support Document for Environmental Compliance and Enforcement
Programs

Purpose

         Consistent with the goals of the Fourth International Conference on Environmental Compliance
and Enforcement, its international sponsors,  and the Executive Planning Committee, this document
addresses source self-monitoring, reporting, and recordkeeping as a cornerstone to compliance monitoring
Source self-monitoring, reporting, and recordkeeping constitute those activities that are required to be
undertaken by regulated entities to monitor and report on their environmental compliance. This document
presents comparative information on how different countries use source self monitoring requirements as
a form of compliance monitoring within their environmental enforcement programs.

Scope

Information and data on self-monitoring, reporting, and recordkeeping requirements was solicited from
various countries throughout the world. Information provided by the following countries is contained in the
document:

                 Canada               Germany                  Hungary
                 India                   Mexico                    The Netherlands
                 Norway                United Kingdom            United States

In addition, limited information on self-monitoring requirements in Israel and Japan programs that was obtained
from available reference sources is included.

Subject Areas

The document is organized based on the key design issues that country officials should consider when
developing or enhancing its self-monitoring, reporting, and recordkeeping requirements as part of their compliance
monitoring program. Specific Chapters cover the following design issues:

         •   What is source self-monitoring What program objectives can be used to achieve?/
            How are data used? Through what legal mechanisms is self-monitoring imposed?
            At what level of government are self-monitoring requirements imposed?
         •   Who must conduct self-monitoring  What industries should be subject to source
            self-monitoring requirements? Should this include all of an industry or some subset?
         •   What source self-monitoring activities are required What parameters must be
            monitored, at what frequency, using which method?
         •   What information must be reported and what records must be ma/nte/'ned?What
            information  must be reported to the regulatory agency, in what format, at what
            frequency, and to whom? What information must be maintained and for how long?
         •   What quality assurance and data validation procedures are implemented and how
            are data managed? What procedures are conducted to ensure the accuracy of the
            self-monitoring data (by both the regulated community and the regulatory agency)?
            How are data managed by the regulatory agency?
         •   How is self-monitoring enforced?

         Within each Chapter, the factors  and/or criteria typically used by countries in answering these
design questions are discussed. Country-specific examples are provided that illustrate how these factors
have been utilized in the development of various countries' programs.  Detailed country-specific informatioi
(for example, copies of reporting forms) are included in the Appendices as reference materials.

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394  FOURTH INTERNATIONAL CONFERENCE ON  ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
  SYNOPSIS OF MULTI-MEDIA INSPECTION PROTOCOLS:
  INTERNATIONAL EXAMPLES

  Capacity Building Support Document For Environmental Compliance and
  Enforcement Programs


  PURPOSE

  Consistent with the goals of the Fourth International Conference on Environmental Compliance
  and Enforcement, its international sponsors, and the Executive Planning Committee, this
  document addresses key aspects of how and why multi-media inspections may be
  incorporated as a component of a compliance monitoring program. In a multi-media integrated
  inspection, the regulatory authority evaluates a facility's overall compliance with environmental
  control programs rather than assessing  facility compliance on a media-specific  basis. In
  addition, multi-media inspections may address environmental performance issues, such as
  the evaluation of pollution prevention opportunities, that offer environmental benefits in excess
  of that required by statute or regulation.


  SCOPE

  Information and data on  multi-media inspection approaches was solicited from various
  countries throughout the world.  Information provided by the following countries is  containec
  in the document:

                 Sweden             Germany              Hungary
                 India                Mexico                The Netherlands
                 Norway              United Kingdom        United States

  Examples of multi-media inspection  approaches used in the United Kingdom and United
  States are included in  the document.  In addition, examples of specific questions askec
  during inspection programs are included  in the Appendices.


  SUBJECT AREAS

  This document presents key factors that program managers could consider prior to adoptinc
  multi-media inspections into an overall compliance monitoring program.  As shown in this
  document, there are a variety of approaches for conducting multi-media inspections. Selection
  of an appropriate approach depends  on the regulatory program's purpose for conducting a
  multi-media inspection, the size and complexity of targeted facilities, the expertise and training
  of the inspectors, the time allotted for conducting the inspection, and other factors. Country
  officials can  use the information provided in this document as a reference for designing a
  multi-media  inspection program appropriate within an  overall compliance monitoring
  framework.

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                         SYNOPSIS OF COURSE: CONDUCTING MULTI-MEDIA INSPECTIONS  395
SYNOPSIS OF COURSE: CONDUCTING MULTI-MEDIA INSPECTIONS


AN INTERNATIONAL TRAINING COURSE

       This course is one of series designed to build capacity for implementing environments
management programs in a variety of governments and cultures. The purpose of the series of
training courses in their format and content is to stimulate participants to think creatively aboi
how to translate national goals, laws, and requirements into action that effectively change >
behavior in society so as to achieve the desired environmental results. In particular, the inspecto'
training course provides an overview for new inspector personnel of the basics of environments
compliance inspections but also provides a basic understanding of several industrial processe;
from the vantage point of control and pollution prevention.

What is the Training?

       The Conducting  Multi-Media  Inspectionstraining is an intensive, five-day course for
governmental officials responsible for assuring that facilities subject to environmental requirements,
specified in laws, regulations and/or permits, are in compliance with those requirements.  Tlr
course provides information and training on the role of multi-media inspections for enforcemerj
and compliance assurance,  and trains participants on how to safely conduct inspections for
compliance with air, water and hazardous waste laws.

Why Was This Training Developed?

        Conducting Multi-Media Inspections training was created in response to  a  need
recognized in the Mexico-U.S. Border Plan for training and education of environmental inspectors
The course was developed  by USEPA during 1991 and 1992, in coordination with Mexico's
Secretaria de Desarrolla Social (SEDESOL). The training, however, has been subsequent!
adapted to meet the needs of other countries and cultures. The use of inspections is an effectivfe
tool for environmental enforcement and compliance assurance, which is gaining more and
attention as the public, governments, and industry take action to prevent and reduce the healt
and environmental consequences of pollution.

What Does the Course Do?

       This course provides training and knowledge to conduct multi-media inspections.
includes a discussion of the role of inspections in the national environmental program, healtji
and safety  issues, compliance inspection planning,  plant survey and inspection technique;
industrial processes, air, water and hazardous waste emission points, pollution control device:
and pollution prevention activities.  Course materials include information on several Industrie
processes including: processing or manufacturing of petrochemicals, chemicals, Pharmaceuticals,
metals, leather goods (tanneries), furniture finishing, wood preservation, cement, injection molding,
printed circuit boards, or electroplating.

Who Will Benefit from the Course?

       The course is designed especially for government officials charged with conducting
inspections to ensure environmental compliance at industrial facilities. Course participants
include officials of national agencies responsible for health, safety and environmental law
enforcement.

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396  FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
How is the Course Delivered?

        The course is delivered by instructors who guide attendees through the materials. The
course may be delivered by USEPA instructors, or by in-country instructors who have training
and experience in the substance of the course.

What Do Participants Learn?

Day1

        Review of the national environmental program of the country where the course is being
delivered and the role of inspections in enforcement and compliance assurance.

Day 2

        During the morning, participants learn health and safety precautions to be taken during
field activities. Topics include preparation for field activity, hazard evaluation, and the use o
protective clothing and respiratory devices.  The afternoon session provides an overview of the
multi-media inspection process, including planning, opening conference, information gathering
and post-inspection activities.

Day3

        The morning session provides a brief introduction to pollution prevention, and then
focuses on specific inspection issues for air, water, and hazardous waste. The afternoon session
discusses  specific issues of inspecting industrial  processes chosen  by the host country.  For
example, the industrial processes may include processing or manufacturing of petrochemicals,
chemicals, Pharmaceuticals, metals,  leather goods (tanneries), furniture  finishing,  wood
preservation, cement, injection molding, printed circuit boards, or electroplating.

Day 4

        Continuation of inspection issues for industrial processes chosen by the host country.

Day5

        Field Trip to industrial processing plant and course wrap-up.

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                            SPECIAL TOPIC E: PROMOTING VOLUNTARY COMPLIANCE  397
                  SPECIAL TOPIC WORKSHOP E

      Promoting Voluntary Compliance: Environmental Auditing,
                   Outreach, and Incentive Programs
Papers and Workshop E discussions address the following issues:
       • Potential effectiveness of the International Standards Organization's
         international environmental management standards (ISO 14000 series) in
         promoting compliance.
       • Potential for official government recognition in efforts to promote compliance
         and take enforcement response.
       • The role of compliance promotion in an enforcement program and how
         success might be defined for a program to promote compliance: What might
         be its goals.
       • Successes of programs designed to promote compliance in achieving
         compliance independently and in relation to inspection  and enforcement
         response.
       • The proper relationship between technical assistance,  inspections, and
         enforcement  response.
       • How enforcement response policies might be designed to promote
         compliance as well as deter violations.
1.   Summary of Promoting Voluntary Compliance Workshop, Facilitators:
    M. Olman, L Rimer, Rapporteur. D. Novak	399

2.   Legal Marketing of Environmental Law: The Philippines Experience, A. Oposa	405

3.   The Mexican Environmental Audit as a Voluntary Norm, J. Calderon	419

4.   Dutch Industrial Target Group Approach: An Enforcement Study on the
    Voluntary Environmental Agreement with Petrol Stations.H.P. Staats	427

5.   Stimulating Voluntary Compliance: New Policy Directions in the United States:
    The Minnesota Experience,/.. Paddock	439

6.   Encouraging Voluntary Compliance Without Compromising Enforcement,
    E.S.  Schaeffer	451

7.   Dutch Industrial Target Group Approach: A National Enforcement Study on
    the Voluntary Environmental Agreement for the Wood Preservation Industry,
    W. Huurdeman	461

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398   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
8.  See also Implications of ISO 14001 For Regulatory Compliance/ Cascio,
    Theme 1	43

9.  See also Information Sharing as an environmental Policy Tool:  The Indonesian
    Experience, N. Makarim, J. Butler.	881
See related papers from other International Workshop and Conference Proceedings:

1.   Promoting Voluntary Compliance: Environmental Auditing, Outreach, and Incentive
    Programs,./ Hall, Volume I, Oaxaca, Mexico

2.   Promoting Voluntary Compliance: Environmental Auditing, Outreach, and Incentive
    Programme, H.M. Kajura, Volume I, Oaxaca, Mexico

3.   The Compliance Incentive Experience in Santa Rosa, California W. Gam, M.L
    Grimsrud, D.C. Paige, Volume I, Oaxaca, Mexico

4.   Promoting Voluntary Compliance: A Valuable Supplement to Environmental
    Enforcement, M.M. Stahl, Volume I, Oaxaca, Mexico

5.   Summary of Workshop: Promoting Voluntary ComplianceFac/Wator S. Bromm,
    Rapporteur: D. Bronkema. Volume II, Oaxaca, Mexico

6.   Promoting Voluntary Compliance: Linking Competitiveness,  Corporate Quality, and Self-
    Auditing, J.  Olha, A. Mastrandonas Volume II, Oaxaca, Mexico

7.   Voluntary Environmental Initiatives and Environmental Policy: Environmental
    Management Systems, Auditing, and Enforcement/V. Kennedy, A. Greene, Volume II,
    Oaxaca, Mexico

8.   From Public Disclosure to Public Accountability: What Impact Will It Have on
    Compliance, F. Irwin, Volume I, Budapest, Hungary

9.   Use of Public Disclosure in Environmental Protection Programs to Enhance Compliance
    and Change Behavior in  the United States,P. Keough, Volume I, Budapest, Hungary

10. The Role of Industry: Empowerment and Environmental Protection/ Plaut, Volume II,
    Budapest,  Hungary

11. Public Disclosure and Its Impact on Compliance,/^ Blackburn, Volume II, Budapest,
    Hungary

12. Target Group Management Industry and Internal Company Environmental Management,
    J. Peters, Volume I, Utrecht, The Netherlands

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                       SUMMARY OF WORKSHOP:  PROMOTING VOLUNTARY COMPLIANCE  399


PROMOTING VOLUNTARY COMPLIANCE: ENVIRONMENTAL AUDITING,
OUTREACH, INCENTIVE PROGRAMS

        Facilitators: Menno Olman, Linda Rimer
        Rapporteur: Dave Novak


        GOALS

        The sessions addressed the following questions:

        •  Can banks and insurance companies create special incentives for companies
          that promote voluntary compliance?
        •  How can voluntary compliance reduce compliance costs to the regulated entity
          and the regulatory agency?
        •  Does voluntary compliance work better in some sectors that others — i.e.
          large/small, high/low-tech, sectoral, locational?
        •  How can EMAS/ISO work with traditional regulation?
        •  Does an audit program affect the type and number of inspections or the type
          of permit?
        •  Can voluntary compliance work for small and medium enterprises or cottage
          industries?
        •  What drives voluntary compliance?


1       INTRODUCTION

        Given the level of interest in programs to promote voluntary compliance, engage in and
foster environmental auditing, and to design incentive programs, two workshops were held at the
conference. The group discussed whether there is such a thing as voluntary compliance, some of
the creative programs governments have developed, and keys to success. In particular, the
participants discussed the issue of accountability on the part of both the regulated community and
the government for achieving compliance with such programs, and the fact that enforcement is
essential to drive voluntary compliance.
        There is substantial interest in the potential impact of IS014000 and EMAS in promoting
compliance, but some uncertainty as to the specific impacts of the program.
2      PAPERS

       Six new papers add to the growing literature on the subject of promoting voluntary
compliance. The papers evidence a greatly increased level of sophistication in governmental and
nongovernmental programs designed to promote voluntary compliance and their relationship with
traditional enforcement programs. Mr. Calderon wrote about Mexico's experience using a voluntary
program of government audits to assess both compliance and pollution prevention opportunities,
and to delay consideration of penalties to provide some time for correction. The program preserves
and establishes enforcement consequences for failure to come into compliance. He discusses the

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400   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND  ENFORCEMENT
resource implications of the program and a review underway to explore options for the future. Mr.
Staats and Mr. Hurrdeman each provide individual papers on two sectors in the Netherlands that
have entered into industry-wide covenants with the government to reduce pollution voluntarily, to be
incorporated also as permit conditions.  The papers explore experience with petrol stations and
wood preserving industries respectively.  They conclude that in the absence of other actions,
compliance with voluntary industry agreements was mixed, sometimes not as timely or complete
as it should have been.  Factors contributing to voluntary compliance with the terms of these
agreements included, incorporation of covenant terms into licenses and permits, the strength of the
enforcement program of the locally responsible authority, and participation in the relevant trade
association which helped to formulate the agreements with government.  Mr. Lee Paddock of the
United States reviewed  current trends in complementing U.S. enforcement programs with
compliance promotion programs including, education, free telephone access to assistance (Hotline),
technical assistance programs, experimental programs for defining new relationships with industry
leaders, and economic incentive schemes to support the regulatory agenda. Mr. Joseph Cascio
prepared a paper on ISO 14000 and its relationship to industrial compliance with environmental
requirements.  His paper supports the need for continued government role in environmental regulation
and enforcement but advocates a special relationship with companies committing to environmental
management through ISO certification and registration.  Finally, a paper prepared by Mr. Eric
Schaeffer describes how US EPA's penalty policies have been amended to encourage voluntary
self-detection, prompt self-correction and disclosure of violations.  Mr. Nabiel Makarim's paper
describes Indonesia's public rating scheme which is used to assess compliance and beyond through
the use of a five color coded ranking. Documentation of results describe some early successes.
3       DISCUSSION SUMMARY

3.1     Is there such a thing as "voluntary" compliance?

        All the participants agreed that there is no such thing as voluntary compliance without
regulation or requiremens with which all must comply. In addition, there need to be other drivers of
compliance besides regulation for "voluntary" compliance to take place such as:

        • The costs of waste management must be sufficiently high to prompt action;
        • The risks from bad publicity must be a real factor; and
        • The companies must face long-run liability for damages and non-compliance.
        The fundamental reason for government activities to promote voluntary compliance is that
those firms that audit and take actions to comply free up resources of regulatory agencies to focus
on firms that either do not audit or take steps toward compliance.

3.2     What drives voluntary compliance?

        The group identified six factors that drive voluntary compliance:

        1.  public opinion;
        2.  global competitiveness;
        3.  enforcement;
        4.  self-motivation and awareness;

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                        SUMMARY OF WORKSHOP: PROMOTING VOLUNTARY COMPLIANCE  401


        5. improvements in internal accounting systems that identify higher than
          expected costs of waste management; and
        6. requirements of suppliers and buyers.


3.3     Where does compliance promotion fit into the continuum of enforcement
        approaches?

        Participants discussed whether voluntary programs can work in the absence of regulatory
requirements. There was general consensus that a regulatory program is, indeed, needed to drive
voluntary actions. Many participants asserted that voluntary compliance would not occur without
high costs of waste management, bad publicity, or long-run liability.
        One participant suggested that an international police force, which acts as an enforcing
arm in developing countries without enforcement programs could be a driving force for voluntary
compliance.  Other participants disagreed that an international force could be appropriate within
any sovereign nation.
        The group agreed that a voluntary program such as EMAS or ISO could free up resources
of regulatory agencies to focus on firms that either do not audit or take steps toward compliance.
        Participants formulated Figure 1 that describes the continuum of enforcement approaches.
It describes the fact that the market place can drive voluntary action to protect the environment but
may not adequately send the right signals. Government mandates establish norms, but to change
behavior it is important that mandates be backed up with the right kinds of incentives to act in the
right way, and that they  use, to the extent possible, market forces to achieve behavior change
that is mandated.

Figure 1 Continuum of  Enforcement Approaches
  Government
                              Market
  Mandates
Incentives
Voluntary
                                    Behavioral Change

                                     Accountability
  Defined
                         Needs to be defined

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402  FOURTH INTERNATIONAL CONFERENCE ON  ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
norms, but to change behavior it is important that mandates be backed up with the right kinds
of incentives to act in the right way, and that they use, to the extent possible, market forces to
achieve behavior change that is mandated.
       What became clarified by the discussion is that each approach to getting behavior
change requires some accountability.  Government establishes accountability with its mandates
through compliance monitoring,  including self-monitoring, and enforcement responses.  The
market mechanisms, incentives and other schemes similarly require.accountability to the public
and officials if they are to blend in with the entire regulatory scheme.
       New voluntary standards for environmental management such as  ISO 14000,
responsible care programs, and EMAS have some provisions for accountability but it is still
unclear whether these will clearly relate to how well these industries, companies or facilities will
measure and report on their compliance status.

3.4    What is the difference between ISO 14000 and EMAS? What difference might
       it make to compliance  and  enforcement program implementation?

       ISO and EMAS constitute somewhat different approaches to voluntary programslSO
14000 series standards are related to environmental management systems.  EMAS is a
European Community regulation which mandates voluntary programs in  each of the member
states for public accounting, auditing, and environmental management systems with specific
provisions which contain more substantive provisions than does ISO.

3.4.1   Performance versus systems

       Whereas ISO is simply a management process toward the goal of continuous
improvement of the management system itself,  EMAS is performance oriented, with
environmental improvement as the goal. ISO is  simply a management process, which is one
step removed from environmental results.

3.4.2   Prevention of pollution versus best technology

       Whereas EMAS has as an objective improved environmental performance including
the application of Economically  Viable Application of Best Available Technology (EVABAT),
ISO will allow less than this as long as the firm has a commitment to prevention of  pollution,
which can include pollution control as well as prevention.

3.4.3   Demonstrated compliance versus commitment to compliance

       Whereas EMAS requires that firms demonstrate progress toward compliance with
applicable regulations, ISO has no similar requirement.  ISO does require a policy commitment
to compliance, periodic evaluation of compliance, but does not go so  far as to require
measurement and the setting of compliance objectives and targets as would EMAS.  This is
one of the open questions concerning ISO implementation in practice versus a minimalist reading
of the text of the standard.

3.4.4   Public disclosure versus consideration of public disclosure

        Whereas EMAS require that audit results and other information be directed to the
public (public register) and a public statement summarizing the environmental management
system, environmental releases and significant  environmental events including significant
noncompliance, ISO has no provisions  for public disclosure. It only mandates that it be
considered by the business seeking certification.

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                        SUMMARY OF WORKSHOP: PROMOTING VOLUNTARY COMPLIANCE  403
3.4.5   Relationship to regulation

        Both ISO and EMAS encourage compliance and depend upon regulation and regulatory
requirements to establish norms. They also provide a means of going beyond requirements of
compliance.

3.5     Use of awards and public rating of compliance

        Editor's note: Participants in the session on strategic targeting identified several other
country programs utilizing a categorization scheme  that is made public as a means of
encouraging compliance such as those now in use in Indonesia and the United Kingdom.
4       CONCLUSIONS

        Participants reviewed the role of programs to promote voluntary compliance in an
enforcement program and concluded that while enforcement is essential as a driver of
compliance, that voluntary programs can be crafted to play an important if not dominant role in
achieving compliance. There should be a linkage between these efforts to make them effective.
Voluntary industry agreements, public ranking, forbearance of penalties in exchange for evidence
of voluntary commitments to prevention, detection and prompt and complete correction of
violations and public disclosure have had their successes, but these successes are influenced
by the overall strength of enforcement and regulatory framework. Voluntary compliance programs
also have offered a unique opportunity to move beyond compliance to prevention.
        Voluntary compliance is considered to be one of the ways to achieve environmental
protection. Whereas enforcement may be seen as a repressive measure, voluntary compliance
is more of a way of prevention of violations in the first instance.  It can be achieved by positive
and negative incentives, information,  education, communication, certification and covenant. But
there will be no voluntary compliance wihtout a strong enforcement program that is and will be
executed.  Voluntary compliance can mean a shift from regulation to market mechnisms as
well and that implies a change in attitude and depends upon the accountability of companies in
the marketplace.   Classical  enforcement measures and new economic, market-oriented
measures will  have to be  used.

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404  FOURTH  INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                       OPOSA, ANTONIO A. JR.  405
LEGAL MARKETING OF ENVIRONMENTAL LAW: THE PHILIPPINES
EXPERIENCE

 OPOSA, ANTONIO A. JR.

Attorney, Philippine Ecological Network, 1807 Tower One, Cityland 10, Ayala Ave. Cor.
H. V. Dela Costa St.,  Salcedo Village, 1200 City of Makati Philippines

"Nature, to be commanded, must be obeyed."
- Francis Bacon
 Novum Organum

"Marketing sells a product; Law sells a mode of conduct."
-Anonymous


        SUMMARY

       The Philippine environmental law is replete. The level of implementation, however,
suffers in the sickbed of non-compliance. This paper seeks to present an evolving hypothesis
for an alternative mode for effective law enforcement. For lack of a better term, it is tentatively
called "legal marketing."
       The paper will seek to examine ways and means by which the social product of the
law — the 'ratio legis" — can be more effectively sold and promoted to the target market. It will
try to posit a few theoretical principles distilled from the field of experience. Thereafter, it will
present a situational analysis of current environmental flashpoints and suggest a practical
approach to address them. This technique uses not the 'force of  law" as Western legal systems
give emphasis; rather, it seeks to use the social and cultural characteristicsinherentin Filipinos,
and values which they, and perhaps all Asians, hold true and dear.
       Since it is only an evolving theory, any comments and suggestions, especially practical
examples in communities, will be most appreciated.
1       INTRODUCTION

        Law is a tool of understanding by which human society conducts itself. The goal and
objective of the law is the betterment of the general public, the public interest, or the common
good. However, the provisions of the law, per se, are ineffective unless the target market of the
law, the consumers so to speak, are aware of the provisions of the law. More important, the
consumer of the law must be convinced of the need for such law and must be "sold" to the
policy objective of the law, i.e. the reason behind the law, the ratio legis.
        Under the current legal regime, the method which this marketing exercise relies is solely
on "enforcement" rather than on "voluntary compliance and implementation". It depends heavily
on the sanctions and methods of the use of "force" to coerce, albeit legally, the modification of
behavior. Thus, to discourage a manner  of behavior, "criminal" penalties are imposed, for
example, fishing by dynamite, the burning of forest land, or the indiscriminate dumping of wastes.
        The Philippines has one of the most voluminous set of environmental laws in Asia.
The presence of these  laws, however, has not prevented the reduction in forest cover from
about sixty percent (60%) fifty years ago, to the now critical state of ten percent (10%). Neither
has it prevented the destruction of our coral reefs to the now terminal state of only five percent

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406   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
(5%) in good condition. Illegal fishing methods continue to be practiced and so is slash-and-
burn farming. With the heightened economic pace of the Philippines, industrial pollution is and
will continue to be a problem in the country.
        The Philippine government has enacted approximately 118 environment related laws
in the country.1  Evidently, the legal framework of Philippine environmental law is sufficient in
substance and in form, even superfluous. The primary legal basis for environmental protection
may be found in the 1987 Constitution. Article II, section 16 provides: "The State shall protect
and advance the right of the people to a balanced and healthful ecology in accord with the
rhythm and harmony of nature2."
        Underlying all these laws is the "trust doctrine". The trust doctrine proceeds from the
premise that humankind, allegedly the most intelligent being in the animal kingdom, are only
the trustees of the  earth's natural resources. As a species, we hold these God-given gifts in
trust not only for future generations of humankind, but also for the "lesser" forms of animals of
which we are supposedly their guardians and stewards. They — future generations of humankind
and other life forms — are, in law, the beneficiaries of our trust. If our generation misappropriates
for its exclusive use and benefit the natural resources of the earth to the permanent prejudice
of future generations and other life forms, we breach that trust.
        This misappropriation,  if done in bad faith and with  knowledge aforethought, is
tantamount to ""generational swindling", i.e. swindling future generations of what rightfully belongs
to them. And because what is damaged is the very life-support system of the rightful beneficiaries,
this misappropriation can even result in generational genocide. Finally, the act of misappropriating
life-support systems of future generations of life forms (humankind included) violates the highest
law of Nature. It offends every living being"s right and  instinct of self-preservation and self-
perpetuation.
2       PRINCIPLES OF EFFECTIVE ENVIRONMENTAL LAW IMPLEMENTATION

        If one carefully examines the innumerable provisions of formal and informal laws (i.e.
statutory and traditional or customary laws), the potential for creativity to make sustainable
development work effectively is contained in or in-between the very lines of the Law. Voluntary
compliance is more socially desirable than coerced compliance. Put a little differently, the best
form of law enforcement is that where the law does not need to be enforced.
        In the course of years of environmental law practice, both in the public interest and
private sectors, the author has identified several principles of  effective environmental law
implementation.
        First, recall that a law is an agreement of minds, a social contract. As an agreement,
the participants must fully understand and appreciate the reason behind — and the need for —
the law. In legal language, this is the Ratio Legis, the reason for the law. In sociological terms,
this is the "social product" and the "common good" which the law seeks to promote. And voluntary
compliance is possible only when those whose conduct is sought to be regulated or modified
fully understand the reason for the law and appreciate its value. If their understanding is secured
that the social product and policy are desirable, then their mental and emotional "agreement" is
reached. In addition, the body politic must also participate in the making of the law. When the
social  policy is generally agreed upon, there is consensus, a characteristic mode of reaching
an agreement in Asian societies. Then,  the law is nothing more  than the informal agreement
formally crystallized into words.

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                                                         OPOSA, ANTONIO A. JR.  407
        Second,  legal marketing, or selling the law, may be used to promote voluntary
compliance. The legitimacy and effectiveness of a law is in large part dependent on publicizing
the law. As ordinary marketing sells a product; law sells a mode of conduct. Thus, in like manner
that active marketing, advertising and promotions are techniques used to sell a consumer product,
so must creative marketing use proactive methods to "sell" the social good and the mode of
conduct desired.
        Third, the manner of implementing the law must be socio-culturally sensitive. It must
take into account the social and cultural characteristics of the people who are the target market
of the law. This is particularly true in situations and countries and regions that may have some
commonalties in their socio-cultural traits such as Asia.
        Fourth, the law must contain an aspect of punishment in order to modify behavior and
serve as a deterrent. That is, people must be aware that deviating from the  conduct which
promotes social good carries a penalty. Penal law must, however, be reserved only for the
hard-headed. And it is effective as a deterrent if,  and only if, its application is swift, painful and
public.
        Human conduct is such that it responds to the stimuli of pleasure and pain. To promote
behavior, therefore, it must promise a pleasure, and to discourage it, it must present the possibility
of extreme pain.
        Technically, the term used is "incentives-and-disincentives." It is also called the "carrot-
and-stick" market-based incentives (MBIs). For this discussion,  however, a more graphic term
shall be used: "candies-and-needles". Candies are so irresistible that unless one has severe
dietary restrictions, it is generally accepted, taken  and ingested. On the other hand, the prospect
of a sharp and long needle being pierced into one"s flesh is so squirmingly painful by its mere
appearance that one would generally not want to tangle with it.
        The following will illustrate some approaches  and examples by which the candies-
and-needles technique may be applied to address environmental law non-compliance.
3       CANDIES AND NEEDLES APPLIED

        In the application of this approach, care must be taken to consider the socio-cultural
characteristics of the target market. Among Filipinos, as among many Asians, the following
cultural attributes are significant:

        Highly personal. Filipinos are a highly personal people. They would rather
          "talk things over" than issue or receive written orders. When people have
          problems with one another, they are more inclined to approach the person
          concerned.
        Debt-of-qratitude One value the people hold dear is  the debt-of-gratitude.
          When a favor is  owed, it is the source of great shame when one will refuse
          to requite it.
        Face value sanction. "Loss of face" is a sanction of the highest order, higher
          than ordinary legal sanction. A man can pay a big fine quietly and be done
          with it. But even a small fine if well-publicized will inflict much greater pain.
          And the pain extends not only to one"s self but also to his family. Thus, the
          sanction is imposed also on the strongest social  tie and ultimate
          psychological crutch of the wrongdoer. It is so painful, one would not even
          want to think of it.

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408   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE  AND ENFORCEMENT
3.1     Commercial illegal logging

        One of the problems that has hounded the Philippine Government is the issue of illegal
commercial logging. The laws on the matter have existed since the inception of government in
the Philippines. The consolidated Forestry Code3 lays out the cutting methods, silva-cultural
and protection techniques, prohibition of slash-and-burn farming and provides heavy penalties
of up to 20 years imprisonment for the violation thereof.
        Fifty years ago, the Philippines, an archipelagic country of 7,100 islands with a land
mass of 30 million hectares, was estimated to have a virgin forest cover of 16 million hectares,
or more than 50% of the land area. The topography of the Philippines is such that at least 50
per cent of the land area must be devoted to forest lands. Being of volcanic geology, the islands
generally have central highlands and gradually sloping down to sea level. Thus, the law requires
that all lands with at least  10 degrees4 in  slope must be devoted to forest land and kept in
"vegetative condition sufficient to prevent erosion and adverse effects on the lowlands.5"
        In 1988, a satellite imagery was taken of the country. It was determined that the virgin
forest cover had been reduced to a mere 800,000 hectares, a mere 2.6% of the land area. The
period  from 1970  to 1985 showed that notwithstanding the strict laws on the matter, forest
degradation was at its most severe. Among the catalyst culprits is commercial illegal logging.
        The same situation is observable in the country's marine resources sector. Presidential
Decree 7046, otherwise known as the Fisheries Code, provided for the policy legal conduct
being promoted in the fisheries sector, and  also provided for heavy penalties therefor. This has
not prevented the destruction of our coral  reefs, for example, from being degraded so badly
that only 5% of the country's wondrous coral reefs remain intact.

3.1.1    The  candies

        In a democratic system of government, participation by the sector concerned in the
law-making process is essential. Thus, the requirements of due process, public hearings, and
investigations in aid of legislation have been provided as an outreach mechanism of the legislative
procedures. When a law is however fait accompli, i.e.  when the law has been made and all it
needs  is enforcement, the participatory technique can be applied to the aspect of creative
implementation.
        The first  step is to identify and invite all lumber/wood dealers, loggers, and others
involved in the industry to individual meetings.7 These persons all have a stake in the sustainability
of the supply of trees. They are the so-called "stakeholders.8" This meeting must also be attended
by top-level inter-agency officials and citizens groups (NGOs). The agenda is  to: a) enlighten;
b) excite; and c) en-act.
        The critical nature of our present forest resources must be explained with great patience
and clarity. Then, appeal is made to them as fellow Filipinos and as fellow human beings. After
all, they too have a stake;  they too are concerned with the future of their country and of their
own children.
        The meeting must be attended by other top officials of the Department of Environmental
and Natural Resources (DENR), the National Bureau of Investigation (NBI), the Department of
Justice, the Bureau of Internal Revenue (BIR), the Multi-Sectoral Forest Protection Committee,
Non-Governmental Organizations (NGO), Local Government Unit (Governor or Mayor) (LGU),
and the media. It is a subconscious message and an exhibition of political  will, not only of
government but also,  and  importantly so,  of the citizenry, the  People. With the presence of
these  personages, the message is sent, subtly and most powerfully: These are the  people
they will have to contend with. The medium is the message.

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                                                         OPOSA, ANTONIO A. JR.   409
        The stakeholders must be enticed with incentives that answer the question, "whafs-
 in-it-for-them." Human nature is such that self-interest is higher in rank than public interest. The
 mark of a good negotiator is when one can find the right blend between self and public interest
 to achieve the desired end.
        The Department pf Environmental and Natural Resources (DENR) can offer many
 different incentives. For example, the it can offer organized and profitable tree-planting. The
 lumber/wood businessmen can form a consortium and can be given an Industrial Forest
 Management Agreement (IFMA) over several thousand hectares of denuded land. Under this
 tree-farm concept, the planters will be given the privilege of harvesting the planted trees. With
 the growing awareness on the profitability of tree-planting, many are considering the venture.
 The hindrance appears to be in the bureaucratic requirements to avail of the program.
        Administrativeassistance must be extended and must include the facilitation of a long-
 term soft loan to cover the heavy capitalization needs. Also, the DENR can help register the
 project with the Board of  Investments for other fiscal incentives. The idea behind this is that
 since the  lumber businessmen want to cut and sell wood, let them take care of its supply.
 There will be no substantive debate on this basic point and everyone will be in general, if not
 unanimous, agreement. This option is so attractive, it will be difficult to refuse.
        The DENR can offer a grace period for "ecological reconciliation." The government
 has relied heavily on raids and confiscations. But the target market must be allowed to manifest
 a gesture of their sincerity and commitment to  the common goal. Within  say, 30 or 60 days,
 they may  be allowed to report and surrender, and thereafter dispose of,  their illicitly-sourced
 inventory at public auction supervised by the DENR. With a  public auction, the  lumber/wood
 "surrenderees" are assured the best prices. After the sale, government gets its 25% share in
 forestry charges, and the businessmen are allowed to begin anew with a clean slate, a tabula
 rasa.
        The DENR can offer technical assistance such as in the mapping or surveying of the
 area allotted for utilization by the lumber businessmen. Also the DENR can advise them as to
 what trees are most compatible with the soil and topography of the area and even the cultivation
 and  harvesting system appropriate to the locality. Support can also be extended by the
 government in the difficult initial stages of community-organizationand social preparation.
 3.1.2   The needles

        For those who fail  or refuse to modify their behavior, there are many suggested
 sanctions, actual and imaginary. It may be suggested to them (the lumber and wood dealers)
 that within the grace period allotted and thereafter, monitoring and surveillance will be conducted
 by a joint task force of the National Bureau of Investigation, DENR, Bureau  of Internal Revenue
 and NGOs. Good faith compliance is better advanced when "one speaks softly yet carries a big
 needle."
        For the willful violators, lightning raids must be conducted after the grace period. These
 special operations can be carried out by a composite elite team from the above mentioned
 sectors  (as well as Media). It has been proven  that  legal proceedings such as an immediate
 inquest can  be done with  almost-surgical precision. In  the unprecedented raid of the Super
 Mahogany Plywood Corp. in Butuan City, Agusan del Norte on 13 August 1992, a  raiding team
 of the above mentioned department including the Justice Department and the media struck
with pinpoint accuracy well armed with a notebook computer, printer, photo-video equipment,
and conducted on-site inquest proceedings. Instead of the arrested suspects, high-ranking
officials of the company, being brought to the investigating magistrate, it was the latter that
arrived on-site and, there and then, conducted legal proceedings. In a matter of five hours from

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410   FOURTH INTERNATIONAL CONFERENCE ON  ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


arrest, the respondents were in jail, legally. Their picture, taken behind bars, was widely published
in national newspapers. This demonstration of swift and painful justice has been repeated since
in more dramatic air-land-and-sea operations. It can be done.
        Multiple criminal charges may be filed for: 1) illegal logging9; 2) tax evasion10; and 3)
anti-fencing11; (for selling or otherwise dealing in things that were the products of a theft of
government property, i.e. forest products from the national and natural patrimony). Administrative
sanctions may include: 1) cancellation of the lumber dealer's license; 2) cancellation of the
Mayor's permit to do business; and 3) revocation of the business license or corporate franchise
(with the Bureau of Domestic Trade / Department of Trade and/or the Securities and Exchange
Commission) on the ground of "violation of law". In addition, there may be civil suits brought by
the government, Non-Governmental Organizations (NGOs), or both, seeking multi-million dollar
environmental damages for the loss of wildlife habitat, loss of the water and carbon dioxide
absorption, erosion, siltation, loss of agricultural  productivity, loss of marine  productivity,
aggravation of the greenhouse effect, global warming, climate change, etc.
        The DENR can make arrangements with the government and private media networks
to block off a short period of time or newspaper space to publicize illegal logging offenders on a
regular basis, say three times a day for three months. As previously discussed, Filipinos dread
the loss of face. The constant repetition of one's  name and the publication of one's picture is
more than enough to cause the utter loss of face. Truly, the prospect of the series of penalties
inflicted wholesale or in seriatim, can make one desire to avoid its occurrence.

3.1.3    Advantages of the Proposal
         There are important social and cultural  values that  come into play in this exercise,
such as: 1) inter-personal relations; 2) face-to-face consensus; and 3) the face value sanction.
         The use of non-adversarial and non-confrontational methods in the resolution of societal
issues is a reality in Asian culture and must be played up for maximum utility. We are a highly
personal people and would rather talk than fight. Conflicts are attempted for mediation, conciliation
and informal arbitration by and among members of the extended family system and of friends.
         However,  because of the super-imposition of the American  legal system into the
Philippines, the adversarial litigation has become overly relied upon in the more recent history
of the country. With the tendency  of "students" to surpass their "teachers", the Filipinos are now
probably the most litigious people in Asia. But then this is not inherent in our culture.
         Moreover, the adversarial litigation  model cannot be used with optimum effect for
environmental law issues in the Philippines. The judicial system is still relatively weak. Litigation
is also time-consuming as well  as emotionally and financially aggravating. Thus, even the
Americans, the teachers of the litigation model, are beginning to consider alternative dispute
resolution (ADR) methods especially in addressing environmental issues.
         There is a Filipino saying that some things are  better done sitting down than standing
up12. The very Filipino way of face-to-face negotiation to  arrive at a consensus—"ang pinag-
 uusapan13" must be used. As a highly personal people Filipinos value face-to-face agreements
 more than the written "legal" document.
         Corollary to this is the "loss efface" (napapahiya) that results from the non-observance
 of what has been  agreed upon. The "higher and more  painful sanction" is, in Filipino,  called
 "hiya" or shame. Indeed it is so valuable that it is generally considered better for a person to
 lose everything else except face, honor, or name.
         The ultimate objective of this exercise and campaign is to get the target market to
 move and act on their own volition. When people understand and internalize the purpose and
 the reason for the necessary course of action, they will act  on their own steam. Information,
 education and consciousness are not enough. The target market must take the necessary action
 to "buy" the product.

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                                                           OPOSA, ANTONIO A. JR.  411
          With all the irresistible and attractive benefits of the "packaged product" only the very
  stubborn will refuse. For them is reserved a special operation in legal surgery.
          The agreement thus reached by the stakeholders must be preserved in printed memory
  documented in both print and photo-video, as a public gesture of commitment of all the parties
  to abide by  its terms in good faith. This news must  be widely disseminated to local and
  international networks. The public dissemination will  serve two functions- 1) it is a public
  declaration after which there is  no turning back (otherwise "face" is lost); and 2) it is a subtle act
  of contrition not only by the parties but also by the Philippines as a country
  3.2    Soil and water conservation
         The marketing of environmental law may also find application in land tenure problems
  In this case, the product is the social good of soil and water conservation and the afforestation
  of denuded mountains. The Forestry Code mandates that lands of 18% slope must be kept in
  sufficient vegetative condition to prevent erosion. Yet the country is losing an estimated 1 billion
  tons for topsoil every year. The central Philippine island of Cebu, a long and narrow land mass
  of 500,000 hectares, suffers from the most severe water shortages and saltwater intrusion It
  has a zero forest cover notwithstanding the fact that as early as in the 19th century by Royal
  Decree of the King of Spain, logging was already totally banned on the island
 3.2.1   The candies
         It is a psychological reality that people do not make long-term investments on land for
 soil and water conservation measures unless they have secure land tenure. If one is insecure
 about being evicted from the land he is working on, he is not likely to plant long-term trees and
 spend time and effort to configure the land in a manner that will protect the topsoil from erosion
 This psychological reality can be used for ecological advantage.
         Assistance can be extended in expediting the surveying and issuance of the appropriate
 land tenure instrument (e.g. certificate of title, 50-year certificates of stewardship, tree-farm lease
 etc.). Much can be done by the DENR's logistical resources especially with the new surveying
 means using the Global  Positioning (GPS)  and the Geographic Information Systems (GIS)
 These tenure instruments must however contain an ecological encumbrance or an environmental
 lien an 'eco-lien."  Using the innocuous provision of the law requiring lands 10 degrees in slope
 or higher to be in sufficient vegetative condition14, an annotation can be made on the  tenure
 instrument mandating that the appropriate portion of the  land be afforested and/or subjected to
 the sloping agricultural land technology (SALT) and contour farming. Like a mortgage lien the
 State must have an "eco-lien" on the land over and above all liens and encumbrances    '
 ....  .   fupport can also be offered in the Propagation of seedlings and a food-for-work program
 ut.hz.ng the bayanihan" system to undertake area-wide SALT or afforestation activities  The
 Bayaninan system is a Filipino social practice of community action and mutual help  In the rural
 areas, the practice is common especially when someone"s house is being transferred to another
 place. In such a case, all the men in the village gather around for half a day or so to physically
 carry the house on their shoulders to the point of destination. It is lifted by tens of men without
 any compensation except for a simple fare of  rice, beans and fish provided by the houseowner
 The prospect of using this cultural value in reforestation/landcontouring activities presents many
 positive possibilities.                                                                y
        Another incentive is a tax exemption from real property taxes of the planted  trees
 Under the present state of the law, each and every single tree standing on private land is levied
a realty tax on the theory that it is an "improvement" on the land in much the same manner as a
house or a building15.  It is submitted that this is contrary to the articulated public policy of

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412   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


encouraging tree planting.  It is proposed that the DENR, in coordination  with the Local
Government Units (LGUs)  and the Department of Finance, work for the abolition of this
burdensome and ineffective tax. A preliminary analysis of the revenue stream derived from this
tax is a minuscule 0 001% of the LGUs income. Instead of levying a tax on standing trees,
these trees should be granted a tax credit or rebate applicable to, but not to exceed, the realty
tax due on the land. It is a form of reward to the consumers for their compliance with the mode
of conduct being encouraged.                                                .
        Given the popularity of lotteries and other games of chance in the  Philippines, the
government can conduct regular raffles in order to  promote the goal of soil and water
conservation Raffles are promotional gimmicks effectively used in marketing campaigns. There
is no reason why they could not be used in legal marketing. For example, government can
assign numbers to trees or to lands which have been well-vegetated. These numbers can be
periodically raffled and the winners will be given very valuable prizes. Thus, individuals would
have a greater stake in the  preservation of their trees because each tree would be of greater
value to the planter than just its seemingly unseen ecological benefits.
        Another promotional technique may be to assist large landholdersto exempt their lands
from coverage of the Agrarian Reform Law. Under the Comprehensive Agrarian Reform Law16,
 all private lands of more than 5 hectares owned  by  one person shall be acquired by the
 Government for distribution to the tenant farmers.  Under a more recent law, Rep. Act 7881
 (1995) private lands devoted to reforestation or those with a slope of 10 degrees or higher
 are exempt from the land reform law. Unfortunately, hardly even the Department of Agrarian
 Reform (DAR) personnel know about this law. The ignorance of the  general population is
 symptomatic indication of the failure of the education and communication component of the
 legislative and legal system.

 3.2.2   The needles
          Even if the land is classified as alienable and  disposable and is covered by a Torrens
 Certificate of Title (TCT)18,  the Forestry Code mandates that it must still be kept in "sufficient
 vegetative condition"19 to prevent erosion. This provision, implemented creatively, can be the
 basis for the abovementioned ecological encumbrance/environmental lien. It is the general
 impression of Government functionaries that when  land is titled to  a private person the
 Government loses all control of it. This is not so. Under the provision above cited, the State
 retains an ecological encumbrance.
         The law also provides that "when the public interest so requires, steps shall be taken
 to expropriate cancel defective titles, reject public land applications, or eject occupants thereof  ,
 i e of private lands whose owners fail to keep the same in sufficient vegetative condition.
         The threat of eviction from one"s land, troublesome legal cases and the filing of multiple
 criminal charges such as for arson (in the case of slash-and-bum 'kaingirf activities)21, intentional
 destruction of government property, malicious mischief,  unlawful occupation of public forest
  lands, with a prayer for injunction, and multi-million environmental damages in seriatim, will
  legally rattle any would-be environmental malefactor.

  3.3     Industrial pollution
          Industrial pollution should be the easiest environmental issue to address for the following
  reasons-1) the point sources and owners of industrial establishments are easily identifiable; 2)
  industry has some financial capacity; 3) profit enterprises are sensitive to economic incentives
  and penalties;  and 4) the owners/CEOs are highly vulnerable to legal surgery.

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                                                           OPOSA, ANTONIO A. JR.  413
          The Pollution Control Law of 1976 provides for a comprehensive legal framework on
  industrial pollution.  However, imperatives of economic development  have overtaken its
  implementation. Further, the administrative bureaucracy which handles industrial pollution is
  ineffective. In addition to the domestic wastes, industrial  pollution  is the cause of the
  eutrophlcation of the rivers of Metropolitan Manila. While a law on toxic and hazardous wastes
  has been recently enacted22, the waste generators have not  even bothered to register their
  establishments or wastes in accordance with the law. There is a near total failure in environmental
  law information, communication and implementation.

  3.3.1    The candies & needles

          Candies are to children what money  is to a businessman. The candies must be
  economic in nature and must be made irresistibly palatable. Incentives may include a grace
  period for industries to resolve their environmental management/pollution control issues and
  achieve compliance within a reasonable period.
         The first step in this socio-culturally sensitive approach is to identify point sources of
  solid and water wastes. This identification process must include not only the names of the
  companies/establishments but should also include the names and addresses of the Chief
  Operating Officers/ Presidents and Chairmen of the Boards23. They are the persons most directly
  responsible and concerned. They too have the power and the authority to make big decisions
  Moreover, they are the most sensitive to the legal needles.
         Having been thus identified, the top officers of the DENR (Secretary, Undersecretary)
  and the respective Regional Directors may proceed to personally meet with the executives
  concerned individually or in small industry or sectoral groups. This will capitalize on the highly
  personal character of Filipino culture and social relationships. In addition, the meeting will also
  create  a  measure of psychological tension on the part of the executives. Being personally
 identified is both an honor, when one is doing right, and a source of apprehension when it is
 otherwise.
         It is a fact that many of the establishments, especially the small and  medium scale
 industries and  those in their infancy, will not be able  to immediately afford waste treatment
 facilities. The owners and officers of the establishments must first be given evidence of their
 pollution load. It is impressed upon them that this issue has to be addressed one way or another
 This gesture will also impress upon them the existence of a determined political will on the part
 of the government. With the overall awareness and concern for environmental protection most
 if not all, of the industrial establishments would like to address their pollution The secret lies in
 giving them the opportunity to do it in a manner that they will find difficult to resist
        The executives are then informed that it is not the  government's intention to close
 them down. Immediate closures are not only culturally inappropriate for being confrontational it
 also results in economic dislocation which the country can ill-afford. Instead they will be given
 time to  install the proper equipment or otherwise minimize their wastes. They can be asked
 how much time they need. If it is one year, they can be given one and a half years or even two
 years. This will entice them into agreeing into a modus vivendi. It will also create a debt-of-
 gratitude ("utang na loob").
 mcir, ,K,™ °rder t0 sweeten the Proposal, the concept of a revolving door environmental fund
 (Ktr-UND) can be introduced. The fundamental premises by  which the concept of REFUND
 operates are: 1) application of the "polluter-Pays-Principle".With the industries discharge of
 pollution loads, they must bear the cost of the clean-up which would otherwise be solely borne
 by others and/or the  government; 2) application of the true-value system in the  costing of
environmental resources. Industries must price their products  accordingly so as to reflect the
true cost of the manufacturing process which includes the waste disposal and not treat the

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414   FOURTH INTERNATIONAL CONFERENCE  ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


environment as a "free dumpsite"; 3) realization that industrial establishments are not immediately
able to address their pollution. The technological'and financial constraints are the stumbling
blocks to full compliance. As an incentive to strive for compliance, the industries are not
immediately penalized, rather they are given ample time to do it;  4) The governmental focus
shitts from  being regulatory to being developmental. With an insufficient bureaucracy where
regulation often results in massive financial investments, gross inefficiency, or corruption, the
private sector's resources must be harnessed to address their own pollution problems.

3.3.2   Operational framework of the REFUND incentive
        The REFUND will be applicable to present industrial establishments, especially small
and medium industries whose emissions,  discharges, and/or wastes are in excess  of the
regulatory standards. They are  afforded a period of time within which to reach the standards
through the regulatory mechanism of variances. The following is the proposed operational
framework for REFUND.
        First, there must be an identification of common wastes. This is important so as to
properly site and design an efficient Common Waste Treatment Facility.
        Second, there must be an environmental user fee (ENUF) for every unit in excess of
standard. Every unit in excess of the standard shall be given an equivalent amount. This can
be roughly approximated using the methodology of environmental accounting. To make it more
attractive a discount can even be given. This is an added "utang na loob" on the part of the
 industry The trend of jurisprudential authority indicates that where there are administrative
 agencies better equipped to resolve the technical issues, the Courts will generally keep its hands
 off24
        Third the funds collected can be deposited in a trust account. They must not be paid
 to the government coffers lest they be lost in the black hole called the National Treasury. It can
 be deposited in a trust account to be held jointly by the industrial firms concerned, a government
 representative and, for the purpose of transparency, a representative of the Philippine Chamber
 of Commerce and Industry (PCCI) or a reputable NGO.
         Fourth the funds collected from firms with common waste streams shall be used as
 seed capital for them25 to put up a common waste treatment facility (CWTF). If the funds are
 not sufficient the government can assist the firms in securing a soft loan from financial institutions.
 The common firms will be responsible for choosing the technology and equipment suitable to
 their needs  Profitable enterprises are often better than government in the selection of the
 appropriate and most efficient means to ensure the viability of the undertaking. To sugar the
 pot further, government can provide other investment incentives such as tax holidays, real estate
 tax exemptions, etc26.
         Fifth the operation of the facility will be conducted by the firms concerned. The mode
 of  cooperation may be in the form of a joint venture corporation,  a consortium or  even a
 cooperative The services which can be offered by the waste facility may include the transport
 of  wastes to and from their sites, actual treatment and  disposal, environmental consultancy,
 and other like activities. The users of the facility, including others of common waste streams,
 shall pay  a corresponding amount. This will ensure the financial sustainabihty of the enterprise.
         To illustrate assume that five companies (A-E) are now in excess of standards in varying
  degrees  Closing them  down immediately is not a viable option because of the unemployment
  consequences and economic dislocation. Thus, an agreement is for a realistic period of time to
  arrive at compliance. In the meantime, they shall be required to pay a corresponding amount
  for every  unit in excess of standard. This is simply an application of the polluter-pays principle.
  (See Figure 1.)

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                                                         OPOSA, ANTONIO A. JR.  415
         Another benefit of having those with greater pollution loads pay more is that they will
 begin to seriously consider "start-of-the-pipe" waste reduction measures. It must be recalled
 that pollution is often the result of the inefficient manufacturing process. A few common-sense
 techniques in materials management can reduce the waste significantly.
         In a short period of time, the collected funds will build up into a substantial amount
 This amount can then be used as seed capital for the construction of a common waste treatment
 facility. For example, for a period six months28 the industrial firms will be allowed to-1) build up
 the fund; 2) explore the appropriate technology and financial mechanisms; 3) engage consultants
 for the common waste treatment facility design and construction; 4) select and negotiate for
 sites; and 5) undertake such other related activities.
        For the purpose of monitoring, a time chart may be made and agreed upon by both
 parties. Existing DENR regulations allow for up to 24 months of variance  Thus  1 500 x 30
 days (or the appropriate number of working days) = 45,000 (per month). 45,000 x 6 'months =
 %n'™n' Assumin9the cost of the facil'ty is 1.0 M, the amount to  be loaned is therefore only
 730,000. It may be pointed out that during the construction phase,  the amount will  continue to
 accumulate, thus further reducing the financing required.
        The penalties, while eroded by inflation, are still stiff when imposed properly A fine
 ranging from U.S. $50-$200 per day can be imposed. In addition, imprisonmentcan be imposed
 upon the person, natural or juridical, responsible for the violation. The concerned industrial
 establishment can also be subjected to immediate closure.
        The creative application of the  principle of swift, painful and public justice can be used
 to expose the owners of the industrial firms who persist in environmental misbehavior.

 3.4     Advantages of the proposal

        The advantages that arise from this proposition are as follows:

        a. Government ceases being a "policeman" and instead becomes a promoter
          of responsible environmental management.
        b. Government takes a back seat in the promotion of pollution control and  is
          left only with the monitoring of compliance according to the time frame
          agreed upon by Government and the industrial establishments concerned.29


Figure  1. Company Exceedanceof StandardEnvironmentalCost
               (eg. PLOOpermg/liter)1
       A       500 mg/liter            500/day
       B       400                   400
       C       300                   300
       D       200                   200
       E       100                   100
       Total   1,500mgP              1,500

    The very nominal amount of-P1.00 is used to  simplify the arithmetical illustration
    Environmental accounting however, indicates that very substantial amounts can be
    assessed.  =P1.00=  US$0.38

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416  FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        c. Funds derived from pollution charges/environmental user fees are directly
          channeled back to environmental management. Moreover, private funds
          are harnessed to address a public sector concern. This is important for a
          cash-strapped economy.
        d There is less confrontation and more cooperation between Government
          and the concerned sector. This is how Filipino society traditionally
          operates—by cooperation, "Bayanihan", lending a helping hand.
        e. Polluters are converted into environmental managers.
        The foregoing are some of the examples of how the approaches of legal marketing
 can be applied to several other environmental issues in lieu of conventional law enforcement.
 Law enforcement is necessary only when there has already been a violation. Environmental
 law however  must apply in a precautionary and/or preventive manner. This is because
 environmental damage is often permanent, irreversible, or extremely expensive to remedy. Thus,
 violations, and its resultant damage, must be avoided as much as possible.
 4      CONCLUSION

        It is said that the absence of alternatives clears the mind marvelously. Thus, in the
 implementation of the law, the candies must be so attractive and so sweet and the needle must
 appear and be so sharp and so painful that the consumer of the law is left with no options.
       ' The law is not a dead language that should be understood only in the gobbledygook
 of lawyers judges legislators and the members of the arthritic governmental bureaucracy. The
 law and the reason for the law, must be popularized in the same manner that particular brands
 of soft drinks are popular the world over. The law must be understood by, and be a common
 reality for  all of those concerned. They — the general public — are the "target market and the
 •consumers" of what the law seeks to sell. In Environmental Law, the social product being sold
 is the ecological balance that results in general sanitation, food and water security cleaner
 waterways  cleaner air, affordable supply of wood, reduced erosion and siltation, reduced flooding,
  etc
         It is not enough that the target market is made aware of the product. Awareness without
  action is not a "sale." Thus, the objective of legal marketing must not only be to develop an
  acute awareness; it must also create a real need. Only when a real need is created is information
  transformed into action. Then, and only then, will the Law become a living reality in the minds
  and in the hearts of each and every member of the target market - every man, woman and
  child.
          REFERENCES
      The basic environmental laws of the country are:
      Presidential Decree No. 1151: The Philippine Environmental Policy, 12 Vital Legal
      Documents (VLD) 1  Presidential Decree No. 1152: The Philippine Environmental Code,
      12 VLD 3- Presidential Decree No. 984: National Pollution Control Law (PD 984);
      Presidential Decree No. 1586: Environmental Impact Assessment Law; Presidential.
      Decree No 704: Fisheries Decree of 1975,6 VLD 36; Presidential. Decree No. 705:

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                                                           OPOSA, ANTONIO A. JR.  417
      Forestry Reform Code; Rep. Act No. 6969: Toxic Substances and Hazardous Wastes
      Law; Rep. Act No. 1786: National Integrated Protected Areas System; Presidential
      Decree No. 1067: Philippine Water Code; and, Presidential Decree No. 825: Sanitation
      Code.  Republic Act No. 386: Philippine Civil Code, particularly the provisions on
      Nuisance, Torts and Damages and Human Relations also find application.
  2.   Section 16, Article II, 1987 Philippine Constitution.
  3.   Presidential Decree 705 (1975)

  4.   Also known as the 18% slope, i.e. 1.8 m. x 100m.
  5.   Sec. 15, ibid.

  6.   Enacted in 1975.

  7.   The mere fact that they are identified is enough to cause the necessary psychological
      tension.

  8.   The invitation to sawmillers, lumber dealers and other persons engaged in the industry is
      not premised on the suspicion  that they are "illegal loggers". Rather.it  must be
      premised on the fact that more than anyone else, they are in a better position to assist in
      the effort to curb illegal logging.

 9.   Violation of the penal provisions of the Forestry Code (Presidential Decree No 705 &
      Executive Order No. 277).

 10.  For failure to pay forestry charges, an internal revenue tax equivalent to 25% of the
      value of the wood as provided for by Republic Act No. 7161 The Local Government
      Code of 1991.

 11.  Violation of the penal provisionsof Presidential Decree  No 1612, the Anti-Fencing Law.

 12.  It is a Filipino saying that goes, "Kukunin sa pa-upo, imbis na sa patayo." This saying
      literally means to take/do things sitting down rather than standing up.  Figuratively, it
      means using persuasion and consensus instead of confrontation.

 13.   Meaning: "to talk things over."  This is also a general trait in Asia.
 14.   Presidential. Decree. 705,  section 15 (on topography).
 15.   Presidential Decree. 464, Sec. 40 (e.)

 16.   Rep. Act 6657 (1988).

 17.  The scientific basis of this criterion is that with 10-degree slope,  land  is already
     vulnerable to water run-off and erosion unless proper soil and conservation measures
     are instituted.

 18.  Proof of ownership of a parcel of land, the  metes and bounds of which are particularly
     described therein, adopted under the Torrens system of land classification.
 19.  Sec. 15, para. 2, PD 705 (Forestry Code)

20.  Section 15, Pres. Decree 705, final proviso.

21.  Kaingin is a slash-and-burn method of farming which is a very destructive form of land
     use conversion, i.e. from forest land to marginal agricultural land.
22.  Republic Act 6969 (1991)

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418   FOURTH INTERNATIONAL CONFERENCE  ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


23.  The owners of industrial establishments, Chief Executive Officers, Chairmen of the
     Boards and other persons principally responsible are hereinafter collectively referred to
     as executives for brevity.
24.  Technology Developers, Inc. vs. Court of Appeals, et al.(G.R. No. 94759, July 31,1991)
     where the Supreme Court held that the Environment Management Bureau (Pollution
     Adjudication Board) with its technical staff is in a better position to examine whether there
     is in fact pollution in a given situation.
25.  Common waste stream establishments are hereinafter referred to as "common firms".
26.  Pollution control equipment is exempt from real  property tax. (Sec. 234, RA 7160)  This
     is a fairly new provision of law hardly  known by  the sectors concerned. Government can
     even extend the exemption to the land on which the treatment facility is constructed.

27.  The very  nominal  amount of 1.00 is used to simplify the arithmetical illustration.
     Environmental accounting however, indicates that very substantial amounts can be
     assessed.  P1.00= US$0.381
28.  This can be longer depending on the level of complexity or cost of the technology
     required.
 29  To stretch the analogy further, it is like government being driven in a chauffeured car.
     All  it does is to set the direction, check halfway if  the car is moving and on the right
      direction, and check again at the designated stop (time-frame) whether the destination
      has been reached.

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                                                                CALDERON, J.  419
THE MEXICAN ENVIRONMENTAL AUDIT AS A VOLUNTARY NORM

CALDERON, J.

Under Attorney for Environmental Audit, Federal Attorney for Environmental Protection,
Periferico 5000 4°  Piso, Col. Insurgentes Cuicuilco,  Mexico, D.F.


        SUMMARY

        In 1992, the  position and organization of the Federal  Attorney for Environmental
Protection was created. One of its objectives is the implementation of the Environmental Audit
Program. The Environmental Audit in Mexico is being used as an "autorregulation,"or voluntary
norms with the following objective— to minimize industrial risks through pollution prevention
and control.


1       INTRODUCTION

        Several aspects make enforcement of environmental laws an especially difficult affair
in Latin America.
        The international division of work has condemned developing countries to an increasing
dependance on exploitation of their natural resources in a non-sustainable way, in order to
relieve the extreme poverty that currently exists.
        Although the relationship between debt vs. natural  resources or world trade vs.
environment still remains unclear, there is no doubt that the developing countries have had to
reconcile their population's increasing demand for basic goods with the exhausting repayment
of debt.  Furthermore,  we have had to promote industrial activity and provide the  necessary
framework for foreign  trade  while simultaneously protecting our environment, which includes
our more valuable belonging: human life.
        Within a globalization framework at the international level, we have committed ourselves
to comply with international agreements around global issues  requiring immediate attention.
Those commitments have highlighted the limitations of our environmental sector, but also have
fostered efforts to face a reality that cannot be postponed.
        Taking into account increasing awareness about the environmental risks that the world
faces, we must notice that the solutions given to those problems more often are corrective than
preventive. In this point of view the last ones are useful tools to avoid ecological imbalance.
       BACKGROUND

       The main results of this approach have been:

       •  deterioration of world population's quality of life, very fast in some cases;
       •  perceptible change in atmospheric composition, especially C02
          concentrations (the main greenhouse gas);
       •  damage to the stratospheric ozone layer;
       •  harmful accidents related to industrial plants; and

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420   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        •  improper management and final disposal of hazardous wastes in general
          and toxic wastes in particular.

        This situation has become sharper in industrializing countries for several reasons:

        •  their traditional lack of control;
        •  the vicinity of industries and populated areas;
        •  the constant population pressure over free spaces;
        •  the recurrent financial and market crises; and
        •  the lack of operational programs for emergency response.

        The population and environmental components are exposed to unnecesary risks by all of
these factors.
        Those risks have become real by lamentable accidents. Perhaps the most well known of
them occurred in 1984 when a toxic puff from a Union Carbide pesticide plant near Bhopal, India,
was inhaled by 300,000 people. Nobody was aware that methyl isocianate, the gas released,
could be so noxious. Everybody knew that methyl isocianate is toxic, but it was supposed that no
one would have contact with it because it is an intermediate product. Consequently, the proper
measures were not taken. Later in the same year, some liquid propane gas storage tanks exploded
in San Juan  Ixhuatepec, Mexico, killing more than 400 people, according to official reports.
        These kinds of accidents, however, are not only present in developing countries. In 1976,
an uncontrolled chemical reaction in an Hoffman-LaRoche produced a puff of one of the most toxic
substances known: dioxin. This cloud was carried by the wind towards Seveso, Italy, provoking one
of the most harmful accidents of the chemical industry in this century.
        The common aspect of these accidents is the absence of an opportune diagnostic of their
possible risks. They point out the need to review systematically industry operations  in order to
detect the likelihood effacing similar problems in the near future. That is the origin of the environmental
audit, the proactive device by nature, the autorregulation tool  par excellence.
 3      THE ENVIRONMENTAL AUDIT

        The development of auditing skills as environmental management tools started in the mid-
 1970s when several companies, working independently and by their own initiative, developed internal
 management tools to help in the assessment and review the status of their operations.
        Since then, environmental auditing programs have evolved until reaching a high grade of
 specialization in pioneering countries, which have allowed the government authorities not to have a
 key role. Let me get back to this issue later.
        The creation of PROFEPA was led by the explosions which took place in Guadalajara
 1992; the tragedy is still present  in  national  awareness. Among PROFEPA'S functions is to
 implement both enforcement of environmental laws and the environmental auditing program as a
 proactive mechanism to avoid risks.
        The PROFEPA's main function is enforcement of the law in order to protect the environment.
 This goal is achieved basically in two ways: inspection (with its related enforcement authority to
 shut down operations) and the environmental audit. The first one is a powerful legal action with a
 big limitation. The Federal Government can only demand the compliance with such items that have
 already been regulated.
         Since the environmental audit is voluntary, it can involve all those aspects that have  not
 been regulated yet, which however, must be solved immediately.

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                                                                   CALDERON, J.  421
        The Federal Government decided to use the non-punitive environmental audit approach
due to the current situation in Mexico. This situation can be outlined as follows:

        • almost no environmental legislation compliance during 21 years;
        • enormous amounts of hazardous wastes improperly stored and disposed;
        • almost total absence of environmental consciousness;
        • unfinished and dislocated legal framework;
        • lax mechanisms of compliance;
        • incipient environmental sector;
        • incipient ecological and territory planification;
        • obsolete production technology; and
        • scarcity of fiscal and credit politics.

        All of these features promoted an industrial sector which was reluctant to analyze its
environmental reality, so the Federal Government had to convince the industrial sector by explaining
the environmental audit's real goal. In addition, to foster the environmental audit program, if an
enterprise decided to enter the environmental audit program, PROFEPA would exclude it from
normal inspection activities. Nevertheless, the industry would be inspected if a public law complaint
were presented or a contingency occurred.
        Environmental auditing is therefore the way that an industry can choose to comply with its
environmental obligations. It basically consists of a methodological review of its production process
in order to know the pollution and risk conditions underwhich it is operating. The degree of compliance
is also defined. Likewise the environmental audit includes items not regulated yet but controlled
internationally through good engineering practices. It defines and compels the application of
preventive and corrective measures needed to protect the environment. All this is done confidentially,
as the legal framework demands.
        The essence of the environmental audit is to verify, analyze and assess the adequacy and
application of risk minimization and pollution control to the enterprise.
4       MEXICO'S CASE

        Let me show you some data about one of our main worries, Mexico City metropolitan
zone.
        Mexico City metropolitan zone embraces 16 delegated Federal Districts and 17 State
municipalities, and its inhabitants have grown 2.54% annually in the last two decades. Such a big
city offers cheap labor, services and great market opportunities. This is why it has strongly attracted
every kind of industry (see Figure 1).
        The ultimate result is that within a 2,000 square kilometers city there are about 30,000
industries of all sizes and classes of industries besides 18 million people. Moreover, in some parts
of this crowded city, risks are high; almost 44 million tons of hydrocarbon fossil fuels are burned and
nearly 600 metric tons of solvents are used day in and day out.
        To a smaller degree, a similar situation is presented in the metropolitan zone of Monterrey
and Guadalajara Cities. Of special concern are the northern border region and the industrial corridors
of Coatzacoalcos-Minatitlan, Tula-Vito-Apasco, Tampico-Madero-Altamira, and Irapuato-Celaya-
Salamanca (see Figure 2).

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                                                                                                                               (O
                                                                                                                               i
                      MEXICO'S  CITY METROPOLITAN ZONE
                                                 o
                                                 33
                                                       FEDERAL DISTRICT'S
                                                       DELEGACYS

                                                       1.  Alvaro ObregAn
                                                       2.  Azcapotzalco
                                                       3.  Banito Juarez
                                                       4.  Coyoacan
                                                       5.  Cuajinalpa
                                                       6.  Cuauhteaoc
                                                       7.  Gustavo A. Madero
                                                       8.  Iztacalco
                                                       9.  Iztapalapa
                                                       10. Hagdalena Contreras
                                                       11. Miguel Hidalgo
                                                       12. Milpa Alta
                                                       13. Tlahuac
                                                       14. Tlalpan
                                                       IS. Venustiano Carranza
                                                       16. XochUilco
MEXICO'S STATE JOINT
MUNICIPALITIES

17.  Atlzapan de Zaragoza
18.  Coacaleo
19.  Cuautitlan
20.  Cuautitlan Izcalli
21.  Chalco
22.  Chicoloapan
23.  ChiMlhuacan
24.  Ecatepec
25.  Huixquilucan
26.  Ixtapaluca
27.  La Paz
28.  Naucalpan de Juarez
29.  Nezahualc6yotl
30.  Nicola* Roaero
31.  Tecanac
32.  Tlalnepantla
33.  Tultitlan
 _  _  _  _  Federal District'• Delcgacyt

	  Federal District

	  Municipality Llalt
                                                                                                                                       m
                                                                                                                                       33
O
o
o
rn
O

m
33
O
                                                                                                                                       O
                                                 o
                                                 m
Source: Integral Program VS Atmospheric Pollution.
Intergovernmental  Technical Uanager.  1990
                                                                                                                                       o
                                                                                                                                       m

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COUNTRY'S PRIORITY ENVIRONMENTAL ATTENTION ZONES
(O
c
3
10
 S3  Northern Border
 1  Tamplco-Madwo-Altamlra
 2  Irapuato-Calaya-Salamanca
 3  Tula-Vlto-Apasco
 4  Coatzacoalcos-Mlnatltlan
      p
      6
      m
      O
                                                                                         CO

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424   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND  ENFORCEMENT
        The federal government decided to start the auditing activities in dangerous enterprises
located in those areas. As we expected, the bigger industries were selected in this step. Lately
PROFEPA has been inviting the other industries to join the environmental audit program.
        Reviewing the 1994 economic census from the National Institute of Statistics, Geography
and Data Processing, the micro, small and medium  industry comprise 99.2% of the total
manufacturing establishments. They hire 55%  of the total personnel and generate 38% of total
income. On the other hand, the big industries comprises 0.8% of the total industrial plants, hire 45%
of the personnel and receive 62% of total income.
        In Mexico, like most countries, the smaller enterprises constitute the manufacturing activity
bases. Moreover, they offer most of the employment. However, given the scarcity of governmental
human and financing resources, the starting actions have been directed to the bigger industries for
which control is easier because of its small number. They represent the highest risk situations,
therefore their control  is imperative.
        Indeed, the Environmental Audit Program does not ignore the micro, small and medium
industries. However, it is assumed that these enterprises are facing serious financial problems and
have more urgent concerns than environmental activities. Aware of that,  PROFEPA is looking for
their participation in the program through a World Bank fund. In that case, the government would
pay part of the audit expenses.
5       THE INDUSTRIAL RESPONSE

        The Mexican environmental sector is evolving quickly, the government is enforcing the law,
citizen participation is rising and the industries are making considerable efforts to comply. In this
sense, in the near future, "declaration audits" will be implemented. In this kind of audit, the auditors
will be certified by the governmental authority and their reports will be accepted without review,
unlike the present scheme which demands that reports to be supervised by PROFEPA.
        Industries in Mexico, especially those with corporate environmental policies, have echoed
the official efforts to support proactive mechanisms for environmental management.
        As a result, the "Environmental Protection and Industrial  Competitiveness Covenant"
between the Trade and Industrial Promotion Secretary (SECOFI), Environment, Natural Resources
and Fishing Secretary and Industrialist Confederation Chamber was signed in September 1995. In
this covenant, autorregulation was defined as intersectorial policies to develop and foster voluntary
industrial environmental protection programs through mechanisms  like raw material substitution,
technological modernization, energy efficiency, recycling and, of course, environmental audits.
6       PRACTICAL RESULTS

        Environmental audits represent a preventive approach to pollution control and risk
minimization. Its collateral results are: updating an industry in terms of environmental compliance
and the processes's continuous improvement. This goal demanded enormous effort because of
the fact that the country, jointly with its industrial plants, is facing severe financial problems.
        Environmental Audit Voluntary Program results by August 1995 are as follows: 303 audits
completely finished, 150 in progress, and 135 in any part of consultation process.

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                                                                  CALDERON,  J.  425
        Among those audited, Federal Government enterprises stand out, such as the PEMEX'S
petrochemical complexes, CFE's energy generation plants, National Mexican Railroads Workshops,
etc. To give an idea about the required expenses, PEMEX by itself has spent more than US $2
billion in the audit process as well as the Action Plans and remediation activities detected.
        Although the concept of an audit is the same internationally, the Mexican concept of audit
has special features. In Germany, Austria, Finland, France, United Kingdom, Belgium, USA, Canada
and other countries, unlike Mexico, the environmental authority has no key participation in the process.
An industry in those countries decides to audit because of one or more of the following reasons:
internal or corporate politics; improvement of its public image; non-government  organization
pressure; stakeholders decisions; financial requirements; etc. The government does not participate
in the decision. Furthermore, the final audit reports are not destined for the environmental authority
and the audited industry decides all by itself what to do and when. Therefore, in those countries,
there is no official or compulsory way to do audit. However, the review of every matter related to the
environmental question is a common practice, but without governmental guidance.
        In Mexico, PROFEPA has a key role. First of all, it promotes the entrance to the voluntary
program and establishes the compulsory terms of reference for the audit; then it supervises the
performance of the job and convenes with the industry representative of all the actions to be performed
in order to correct the findings of the audit. Finally, it supervises compliance of the convened actions.
        As a signatory of NAFTA, Mexico  is committed to effective compliance of its own
environmental regulations. In this sense, and facing less and less regulated international trade, the
environmental audit is now accepted as an environmental law compliance advice in terms of the
North American environmental protection agreement.
        In the same sense, as an active organization member, Mexico will have to heed the
Organization for Economic Cooperation and Development Council's recommendation on integrated
prevention  and control of  contamination, issued  on January 31,  1991,  which  indicates that
environmental audit is one of the integrating mechanisms.
        The environmental audit has demonstrated its effectiveness and has other interesting
advantages as  the possible elimination of penalties for self-identified, reported, and corrected
items, provided that PROFEPA is notified in a spontaneous way and realistic and scheduled solutions
and control and prevention  measures are presented.
        We must notice too that the environmental audit's terms of reference fulfill the environmental
certification requirements internationally, such as IS014000. This will allow, in the near future, the
environmental audit to become a requirement to obtain the commercial benefits acquired with the
adoption of such international standards.
        The ongoing PROFEPA environmental audit policy is to take care of the problems arising
from bigger industrial installations, either public or private; Petroleos Mexicanos, Comision Federal
de Electricidad, Ferrocarriles Nacionales de Mexico, Ford, General Motors y  Nestle are some
examples of them.
        All of this has a double effect: to minimize industrial risks and, on the other hand, promote
adequate pollution control. We really think that Environmental Audit Program must be complemented
with an appropriated enforcement policy. The Federal Attorney for Environmental Protection's
general policy is intended to achieve this goal.
        The Mexican environmental question is based on the "Think Globally, Act Locally" concept,
so, we are committed to the preservation of the unique world we have.
        In conclusion, let me be emphatic in saying that the main objective of Mexico's Environmental
Audit Program is to achieve a better and healthier environment for all of us and to raise the quality
of life for all Mexicans through a preventative approach.

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426  FOURTH  INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                           STAATS, HENRY P.  427
DUTCH INDUSTRIAL TARGET GROUP APPROACH: AN ENFORCEMENT
STUDY ON THE VOLUNTARY ENVIRONMENTAL AGREEMENT WITH PETROL
STATIONS

STAATS, HENRY P.

Regional Inspectorate for the Environment in the Province of South Holland, P.O. Box
5312,2280 HH Rijswijk, The Netherlands
       SUMMARY

       A major vehicle for achieving the Dutch environmental objectives is the industrial target
group policy. Voluntary agreements are reached on achieving emission reductions of volatile
hydrocarbons to the air, water and soil by the years 2000 and 2010. The agreed emission reductions
are given concrete flesh in individual company environmental plans or in an environmental action
program for a whole business sector.
       This article describes the results of an enforcement  study by the Inspectorate for the
Environment into compliance with  the environmental action  program at petrol stations in the
Netherlands. The program is based on an agreement signed in 1991 between central and local
governments and trade-associations. The study investigated whether the petrol stations placing
the greatest load on the environment had implemented the agreed environmental measures and
what the enforcement role of the competent authority had been.
        INTRODUCTION
 1.1     Reasons for the project
        The following environmental problems are particularly relevant at petrol stations in the
 Netherlands:
        •  soil and groundwater contamination by motor vehicle fuels;
        •  air pollution caused by volatile hydrocarbons;
        •  contamination of water caused by vehicle fuels and detergents;
        •  the risk of fire and explosion; and
        •  noise nuisance caused by delivery units and traffic (tankers loading and
          discharging as well as traffic arriving and departing).

        With a view to resolving these problems, the Inspectorate for the Environment of the Ministry
 of Housing, Spatial Planning and the Environment, trade-associations, the Association of Netherlands
 Municipalities (VNG), and the Association of Provincial Authorities (IPO)1 drew up an action program.
 This program contains a phased clean-up program to be put into practice by July 1999 (this is the
 date by which all stations in the Netherlands must have satisfied the requirements under the program).

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428  FOURTH  INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        The agreement was signed in September 1991. The associated action program was
converted into a statutory arrangement, the Environmental Management Petrol Stations Decree
(ref. 1), on March 1,1994. This provides a statutory basis for implementing the activities in the
program.
        Petrol stations are classified into categories by environmental load. Stations imposing
the heaviest environmental load have to satisfy the requirements at an earlier date (by March 1,1994)
than stations placing less of a load.
        A soil survey is to be carried out at each petrol station. If the soil is contaminated, a soil
clean-up plan has to be drawn up. A redesign plan also has to  be submitted to the competent
authority.2
        After the clean-up has been carried  out and the station redesigned, the station has to
submit notification of readiness to the competent authority. The  latter body checks whether the
clean-up and redesign plan have been properly carried out.

1.2     The Dutch industrial target group  policy

        The government cannot solve the environmental problems by its own, let alone prevent
new problems arising. Development focused on sustainability is only feasible if government, industry
and non-governmental organizations make common cause. One major vehicle for achieving Dutch
environmental objectives, as set forth in the National Environmental Policy Plans (ref. 2), is the
target group policy. Agreements are reached with each branch of industry, for example the printing
industry, the primary metals industry, the chemical industry, the wood-preservation industry and
petrol stations on achieving emission reductions by the years 2000 and 2010 compared to the
base year of 1985. The reductions are recorded in what are  termed integrated environmental
targets, which constitute part of the agreement signed between government and industry. In the
case of petrol stations, for example, the environmental objectives are given concrete flesh in the
aforementioned action program.
        Although the target group policy is a question of voluntary agreements, it is desirable that
the agreements reached for individual companies be set forth in the environmental licence, so that
the agreements are enforceable. In the case of petrol stations, the environmental measures included
in the action program are set forth in the Environmental Management Petrol Stations Decree. In this
manner, the agreed measures are amenable to enforcement.
        What is the role of the Inspectorate for the Environment in the industrial target group policy?
On behalf of the Minister of Housing, Spatial Planning and the Environment, the Inspectorate monitors
compliance with the environmental and emission reduction targets set forth in agreements by the
industrial target group. This is achieved by performing sample checks on compliance with the
agreements (implementation by companies and implementation of the concrete measures in
environmental licences).

1.3     Project objectives

        The project includes the following three objectives:

        1. Gaining understanding of the way in which industry is implementing the
          program.
        2. Gaining understanding  of the way in which the competent authority is
          implementing its responsibility for monitoring compliance with the program.
        3. On the basis of 1 and 2, making a pronouncement on whether the in the action
          program has been achieved.

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                                                             STAATS, HENRY P.  429
1.4     Structure and approach to the project

        The project spans petrol stations throughout the Netherlands. A study group was assembled
on a random basis from those stations imposing the heaviest load on the environment and which
ought to have been cleaned up by March 1,1994. The sample covered 50% of petrol stations that
ought to have been ready.
        A questionnaire developed specifically for the purpose was the basis for an integrated
check on the study group by the Inspectorate for the Environment between October 1994 and
January 1995, the results of which provide some insight into compliance with the action program by
petrol stations and the way in which the competent authority has discharged its responsibilities.
Company checks were carried out in cooperation with the competent authority where possible. In
cases where shortcomings were discovered, the competent authority was requested in writing to
take enforcement action.
        IMPLEMENTING THE STUDY AT PETROL STATIONS
2.1     Description of general data
        Before the action program was drawn up, there were 7,304 petrol stations in the
Netherlands. The activities required for the program can be divided into four phases:

        1.  Conducting a soil survey.
        2.  Drawing up a soil clean-up plan.
        3.  Implementing soil clean-up.
        4.  Redesigning the petrol stations to meet air, water, and other requirement!.

        Companies lacking the financial resources to fund the soil clean-up and redesign were
able to apply to a Clean-up Fund. One condition was that after admission to the fund, the petrol
station would close down operations within three months. An agreement for a contribution from the
fund was signed with 1,917 companies. The action program no longer applies to these stations. It
was also found that 523 companies fell outside the scope of the program, either because these
were not public points of sale or because they had already ceased operations.
        In total, there remained 4,864 companies that did fall within the scope of the program. 218
of these ought to have notified that  they were ready by March  1, 1994. These 218 companies
constitute the study group from which 107 stations were selected randomly.
        The checks revealed that only 76 companies, which were still in active operation, actually
qualified for the study group. Those omitted were stations that were found to no longer exist or
which closer inspection revealed as belonging to a different category, placing less of a load on the
environment.

2.2     Results
        The 76 companies selected were studied on the basis of the fourphases of the program.
The results of the soil clean-up are discussed in section 2.2.1, covering the first three phases of the
program. Section 2.2.2 then reports progress made in redesign of stations, the fourth phase of the
action program.

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 430  FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND  ENFORCEMENT


 2.2.1   Phase 1: conducting soil  survey

        Each of the 76 companies was checked to ascertain the scale on which soil and/or
 groundwater surveys had been carried out. The requirement to perform research into soil
 contamination had been met in over 90% of cases. The first phase had been completed at virtually
 all the petrol stations investigated.

 2.2.2   Phase 2: drawing up clean-up plan

        The study revealed that 62 of the 76 companies required clean-up of soil contaminatioti
 Before the clean-up proceeds, the clean-up plan has to be drawn up and submitted to the province
 for review. Compliance with the second phase of the program was moderate. Approximately 20%
 of stations had not yet started drawing up a clean-up plan or were still busy working on it.

 2.2.3   Phase 3: implementation of soil clean-up

        At petrol  stations where soil clean-up was required, 32 stations (52%) had completed
 their clean-up, whilst 30 stations (48%) had not completed their clean-up or only partially so. Of the
 30 stations that had not (yet) cleaned up it was found that:

        •   14 stations were busy with their clean-up operations.
        •   6 stations had performed soil surveys and had drawn up clean-up plans, but
           implementation of clean-up had still to start.
        •   10 stations were still busy with soil surveys and discussing them with the
           competent authority.

        The third phase of the action program had not yet been sufficiently implemented. Slightly
 more than half the number of clean-ups had been completed at the time of the study (October 1994
 - January 1995). Further investigation among companies that had not yet completed the clean-up
 indicated that two thirds of them were busy with the clean-up or could start within the near future.
 2.2.4    The fourth phase: redesign

        The preventive action to avoid future soil contamination has to be taken during the third
 phase, or after completion of the third  phase of the program. This section describes the results of
 the study into the main elements of the redesign. All 76 stations were included in the study and not
just those that had completed the third phase. The reason for this is that the redesign requirements
 also apply to stations that have not yet  cleaned up. Figure 1 shows the results for each measure or
 provision.

 2.2.4.1  Soil protection measures

        In terms of soil protection, the liquid-proof floor or pavement, protection of the filling point,
the leak-detection systems and inspection of the cathodic protection of underground tanks and
 pipes were investigated? The state of affairs with each of these points is discussed briefly below.

        1. Liquid-proof floor
          52 stations (68%) of the 76 petrol stations had a liquid-proof pavement, which
          prevented any fuel spillages during filling from entering the soil.
        2. Protection of the filling point
          49 (64%) of the 76 stations had a drip tray or some other device to catch any
          spillages during the filling of underground fuel tanks.
        3. Leak-detection system

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                                                            STAATS, HENRY P.  431
Figure 1.   Number of petrol stations scoring positively or negatively against each
          measure	
  80

  70

  60

  50

  40

  30

  20

  10

    0
                                Number of Stations
               23456
                       H Compliant
 8     9    10    11    12
I Noncompliant
        1    = liquid-proof floor
        2    = protection of filling point
        3    = leak-detection system
        4    = corrosion protection inspection (cathodic protection)
        5    = vapour-return system
        6    = presence of complete installation log
        7    = static delivery units
        8    = mobile delivery  units
        9    = car wash facilities
        10   = anti-collision devices at filling point
        11   = static electricity earthing point
        12   = soil resistance report

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432  FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


           There are two ways of using a leak-detection system for identifying soil
           contamination:
           •  By means of groundwater measuring tubes which are sampled at least
              once a year.
           •  By connecting leak-detection systems equivalent to the measuring tubes.
              For example, electronic detection which identifies hydrocarbons.
           46 (61 %) of the 76 petrol stations had fitted at least one of these provisions.
           Seven companies were using several systems  simultaneously. Thirty
           companies failed to satisfy this requirement.

        4.  Cathodic protection inspection
           Cathodic protection of underground tanks and pipes has to be checked
           annually. 27 companies did not have any cathodic protection present and
           inspection was therefore not applicable. Of the 49 remaining stations, annual
           inspections were performed in 36 cases (73%). This annual inspection was
           not being conducted in 27% of cases or in any event there was no written
           evidence to this effect.

        28 stations (37%) satisfied all the mandatory soil protection provisions (cathodic protection
where necessary). 14 stations (18%) had failed to achieve any of the mandatory provisions.

2.2.4.2 Other measures

        5.    Vapor-return system
             In order to prevent petrol vapors escaping from the underground tank when
             tankers are unloading, a vapor-return system  is required, to return the
             vapors to the tanker. A vapor-return system was found to be in place at 49
             stations (64%).

        6.    Presence of complete installation log
             The purpose of the installation log is to record the results of measurements,
             inspections and checks on the units. The mandatory logs were found during
             inspection at nine (12%) of the petrol stations investigated. All the required
             forms were found at three of the nine.

        7/8.  Delivery units
             Delivery units are divided into mobile units, i.e. a delivery for mixed
             lubrication, and static delivery units.
             The static delivery units satisfied the requirements at 45 stations (59%).
             The most common cause of failure to satisfy the requirements was that the
             delivery hoses were too long. They extended beyond the edge of the liquid-
             proof floor. It was also found that the quality of the hoses at one station did
             not satisfy the requirements. There was also one station where there was
             no separation between the cycle path and the delivery pumps. Anticollision
             devices to prevent collisions with delivery units were present at 50 stations
             (66%).

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                                                              STAATS, HENRY P.   433
            Twenty of the 76 stations had a mobile delivery unit, and the unit satisfied
            the requirements at eight of them (40%). Deficiencies encountered included
            the absence of an overspill trap and too long delivery hoses. The set-up of
            the mobile unit was found to be good at ten stations (50%). At the other ten
            stations, the mobile unit was not totally affixed to the liquid-proof floor in a
            number of cases. Five stations (25%) satisfied the requirements as well
            as the set-up.

       9.   Car wash facilities. There was a car wash at 27 stations. A total of 6 of the
            27 (22%) failed to comply with the requirements. The most common
            deficiency was the absence of a liquid-proof floor in the washing area.

       10.  Anticollision devices at filling point 28 petrol stations (37%) did not have
            provisions to prevent collisions with motor vehicles at the filling points for
            the underground fuel tanks.

       11.  Static electricity earthing point To avoid sparking caused by static electricity,
            a cable should be connected between the tanker and the underground
            tank during unloading. 26 stations (34%) did not have such an antistatic
            facility.
       12.  Soil  resistance report.  Soil resistance must be measured before
            underground tanks are laid. The soil resistance says something about the
            aggressiveness of the soil in which the tanks and  pipelines are laid. Soil
            resistance measurements should be repeated every ten years. A soil
            resistance report with the results of the measurements was available at 32
            stations (42%).
               Assessment of the redesign at companies that have completed their soil clean-
up operations and at companies where no soil clean-up is necessary revealed compliance with an
average 79% of measures. Figure 2 shows the percentage of measures being complied with at
cleaned-up companies and those not contaminated.
        Progress in implementing the fourth phase (redesign) was modest. On average, 79% of
the provisions were in place at companies where  there was no further clean-up in operation (43
stations). This means that in a number of cases no preventive measures to avoid soil contamination
had been taken.
       41% of the measures had not been taken at all the stations together (76 companies).
Figure 1 shows that in most cases the installation log is absent. Only 12% of the petrol stations had
an installation log. Where it was present, however, it was often not complete.
        It also emerges that many mobile delivery units fail to comply with the requirements: where
present, only a quarter of cases satisfied the requirements. The picture with static delivery units is
also poor. Fewer than half the units had anticollision devices and satisfied the regulations.

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 434  FOURTH INTERNATIONAL CONFERENCE  ON ENVIRONMENTAL COMPLIANCE AND  ENFORCEMENT
 Figure 2.   Compliance with measures for petrol stations where the soil is not
           contaminated or where clean-up is complete
     20
     16
         Number of stations
     10
           0-20%     20-40%   40-60%    60-80%    80-90%
                        (% of measures being complied with)
00-100%
3       THE COMPETENT AUTHORITY

        All petrol stations in the Netherlands have to comply with requirements in the action program
or the Environmental Management Petrol Stations Decree. Furthermore, any soil contamination
identified must be cleaned up. The municipality and the province in which the petrol station is
located are the competent authorities for implementation.
        This chapter describes the responsibilities of the competent authorities and how they
have implemented them.

3.1      The responsibilities of the  competent authority

        Municipalities and provinces have a steering and corrective role to play in implementing
the action program.
        The responsibilities of the competent authority are described in this section on the basis
of the four phases of the program.

3.1.1    Phase  1: conducting soil survey

        The municipality can urge a company to have a soil survey carried out, after which they
must submit the survey report to the municipality. The municipality judges the results of this survey.
If it is a clean-up study, the province is the competent authority and assesses the results.

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                                                              STAATS, HENRY P.  435
3.1.2   Phase 2: drawing up clean-up plan
        The province ensures that where soil contamination exists, the petrol station draws up a
clean-up plan and submits it. The province announces its verdict within one month of receipt of the
plan.

3.1.3   Phase 3: performing soil clean-up
        The province is the competent authority for soil clean-up. It must monitor its implementation.
        Upon completion of the clean-up the company has to draw up an evaluation report and
submit it to the province for assessment. The province determines on the basis of the evaluation
report whether the clean-up operation has had sufficient of an impact. The province will decide
whether or not the clean-up has been effectively carried out within six weeks of receipt of the
evaluation report.

3.1.4   Phase 4: redesigning the petrol station
        The municipality must review the redesign plan drawn up by the petrol station. According
to the action program, this must be done within one month. In addition, the municipality must monitor
progress with the redesign.
        Upon completion of the fourth phase of the action program, the company must notify the
municipality. The municipality then checks whether the redesign has been carried out in accordance
with the program or the Environmental Management Petrol Stations Decree.

3.1.4.1 Periodical  and interim  checks
        Municipalities perform periodical multi-media checks at the petrol station to check whether
it is complying with the conditions of the licence and the Environmental Management Petrol Stations
Decree. These multi media checks must be carried out at least once every two years. The
municipality  may also perform interim checks, for example in response to complaints or incidents.

3.1.4.2 Actions
        In the event of infringements against the regulations in the Environmental Management
Petrol Stations Decree, the municipality must take enforcement action to terminate these
infringements. These actions may range from reporting the company to applying such measures
as coercion or closing a company.

3.2    Results
        The situation was investigated to ascertain the progress achieved by the provinces in
assessing the  quality of implementation of soil clean-up operations. Of the total of 38 evaluation
reports received, 18 were assessed and approved within the six-week period.
        All 76 stations investigated ought to have cleaned up and redesigned by March 1 1994.
There have been virtually no checks by municipalities on completed redesign. Only six stations had
given notice  of being ready and at the time of completion of the study, one had been checked. The
main reasons for failing to notify completion are as follows: companies do not know how to do so
and at the time of the study no standard notification forms were available. At the end of the inspection
study in January 1995,43 companies (57%) were ready with their redesign. On average, 79% of
the measures had been implemented. Only two stations scored 100%.

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436  FOURTH  INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        Periodical multi media checks also proved to have been inadequately carried out by the
municipality. In 1994 and 1995, a total of 34 checks were carried out (on 45% of the companies
investigated).  In practically all  cases municipalities had taken enforcement  actions against
infringements of the environmental regulations.
4       CONCLUSIONS AND  RECOMMENDATIONS

4.1     Conclusions

        This section presents the main conclusions of the study on the basis of the objectives.

4-1-1   Understanding how petrol stations are implementing the action program

        The Inspectorate for the Environment carried out multi media checks on compliance with
the action program at 76 stations from the group of stations placing the heaviest load on the
environment. These checks revealed the following:

        •  Almost all companies investigated had completed the first phase of the action
          program (soil survey).
        •  The second phase of the program (drawing up clean-up plan) had been
          completed by approximately 80% of companies. The other 20% had not yet
          drawn up a clean-up plan required or were still working on it.
        •  Compliance with the third phase of the program (performing the soil clean-up)
          was poor:  52% of clean-ups were complete.
        •  The fourth phase of the program (redesigning the station) scored only modestly.
          79% of the provisions had been made at companies where the soil clean-up
          was complete or not required (43 companies). The total study group of 76
          companies was achieving compliance with 59% of measures.

        Despite the fact that companies had done a great deal of work and that clear improvements
could be observed, it has to be said that clean-up operations have in general been too slow. At the
time of the study, and long after the latest date of March 1,1994,30 companies had not yet completed
their clean-up operation. Nor had the redesign been carried out with due care. Often, provisions
were missing and requirements were not being complied with. The conclusion is, therefore, that the
action program has not been satisfactorily carried out.

4-1-2   Understanding of the wav in which the competent authority is implementing
        the program

        The competent authority has a steering and corrective role to play, such as checking the
results of the soil survey, approving the clean-up report, checking on clean-up, approving the redesign
plan and checking the redesign itself.
        The study showed that municipalities are not keeping sufficient of a finger on the pulse at
petrol stations with a view to implement the action program. All stations placing the heaviest load
on the environment which had not cleaned  up or redesigned by  March 1, 1994, are guilty of
infringement. Municipalities have in general failed to monitor this sufficiently: in 1994 and 1995
multi media environmental checks were carried out on 45% of the stations investigated.
        Finally, the clean-up plans are not always assessed by the province within the one-month
period.

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                                                               STAATS, HENRY P.   437
4.1.3   Has the  action program achieved the desired goal?

        The study shows that the aim of the program, to avoid and limit the environmental load
posed by petrol stations, has only partly been achieved. The target group has not taken sufficient
initiative to curb environmental loading in time and voluntarily. Although not all stations were
investigated, a representative study was carried out. The results of the study lead to the conclusion
that many stations placing the heaviest load on the environment had not completed the action
program by March 1,1994.
        The action program would perhaps have been carried out more effectively and with greater
vigor if there had been better monitoring of implementation and introduction of the accompanying
legislation, the Environmental Management Petrol Stations Decree. Apart from clear legislation,
effective information, preferably in consultation with the trade-associations, is important. Every player,
the authorities and industry alike, must be clear what is expected of them.

4.2     Recommendations
        The recommendations from the study have been grouped according to the various
participating bodies.

4.2.1   Provinces

        •  Assess plans and evaluation  reports for soil clean-up by the specified
           deadlines.
        •  In cases of soil  clean-up operations, exchange more information between all
           the parties involved (municipalities, petrol stations, executive agencies and
           water boards).


4.2.2   Municipalities

        •  Develop a planned approach which provides for:
            - effective progress controlled via a milestoned plan;
            - a timely start to the requisite procedures and redesign of the petrol station;
            - standardized multi media  (progress) checks, including checks after
              completion of the redesign; and
            - coordination of other municipal agencies or departments, for example,
              Land Use planning.

4.2.3   Trade-associations

        •  Develop a milestoned plan for soil clean-up and redesign.
        •  Draw up a simple checklist for redesign, which can be discussed with the
           contractor/installer. This should include all major requirements.
        •  Develop a structure for an installation log and ensure that the log is actually
           present at petrol stations.
        •  Actively provide information on the environmental measures agreed in the
           context of the target group policy on petrol stations.

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438  FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


4.2.4   Petrol  stations

        •   Ensure effective and adequately relaxed planning of soil clean-up and redesign.
        •   Use the checklist developed by the trade-association for redesign.
        •   Upon completion, send in the notification of completion in good time.
        •   Instruct staff on environmental rules.
        ENDNOTES


1.    The Association of Netherlands Municipalities (VNG) and the Association of Netherlands
     Municipalities (IPO) can be described as cooperative associations of municipalities and
     provinces in the Netherlands respectively.

2.    On the basis of the Soil Protection Act, the province is the competent authority for soil
     clean-up. On the basis of the Environmental Management Act, the municipality is the
     competent authority for redesign (implementation of other environmental measures) of the
     petrol station, including the soil survey.

3.    Redesign means taking the measures and the provisions specified in section 2.2.2.

4.    At the time of the study, there were three petrol stations where it was unknown whether soil
     and/or groundwater were contaminated. These were deemed stations with a need for
     clean-up in the study.

5.    Cathodic protection protects underground tanks and pipes against (additional) corrosion by
     aggressive soil, such as wet (maritime) clay or peat. To determine the level of
     aggressiveness of the soil, the soil resistance of the ground should be established before
     underground tanks or pipes are laid.
        REFERENCES

1.    Besluit tankstations milieubeheer (Environmental Management Petrol Stations Decree),
     Staatsblad 1994,53 (only available in the Dutch language).

2.    National Environmental Policy Plan, May 1989; National Environmental Policy Plan Plus,
     June 1990; National Environmental Policy Plan 2, December 1993.

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                                                         PADDOCK, LEROY C.  439
STIMULATING VOLUNTARY COMPLIANCE: NEW POLICY DIRECTIONS IN
THE UNITED STATES: THE MINNESOTA EXPERIENCE

PADDOCK, LEROY C.

Director of Environmental Policy, Minnesota Attorney General's Office, 445 Minnesota
Street, Suite 900, St. Paul, Minnesota 55101,  USA
       SUMMARY

       The principle goal of environmental enforcement programs is to contribute to improved
environmental quality. To most effectively advance this goal enforcement officials must actively
participate in efforts to stimulate voluntary compliance. In addition to significantly contributing
to environmental improvement, successful voluntary compliance programs allow governments'
always limited enforcement resources to be focused on poorer performing organizations, build
support for enforcement efforts, and can help embed environmental concerns in organizations
making it less likely that the organizationswill violate environmental laws. This article discusses
some of the new policy directions being pursued in the United States with particular emphasis
on programs being developed in the State of Minnesota that are designed to stimulate voluntary
compliance.
1       BACKGROUND

        Environmental improvement is driven by several different mechanisms including
personal values, economic incentives, statutory requirements, the way laws are administered
and enforcement. Figure 1. below, is a graphic illustration of these drivers. It also lists several
types of programs or issues that are important aspects of each driver. Over the last two decades,
most of governments' efforts have concentrated on statutory and administrative requirements
coupled with enforcement programs to drive environmental improvement. These drivers have
most often been used to impose change on sometimes unwilling or at least reluctant regulated
entities. In the absence of a widely held environmental ethic or clearly perceived economic
motivations for environmental improvement, these imposed requirements were the most effect
way to assure that environmental improvement would occur. There is a consensus in the United
States that the statutory requirements introduced over the last 25 years together with the efforts
of the federal and state governments to enforce these requirements have resulted in significant
improvement in environmental quality.
        The increasing attention to environmental issues in the United States, sparked by
environmental crises, pervasive regulation, prominent enforcement actions and more widespread
environmental education, has triggered a growing environmental ethic in the country. These
same factors have made it clear to businesses that  their economic health may be heavily

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440  FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
 Figure 1.   Drivers of Environmental Improvement
                      PERSONAL
                      RESPONSIBILITY
                      •Early education
                      •Professional training
                      •Continuing education
                      •Public information
                      •Scientific data
       ENFORCEMENT
       •Enforcement tools
       •Federal/state relationship
       •State/local relationship
       ADMINISTRATION
       •Permitting
       •Enforcement policy
       •Technical assistance
THE
MARKETPLACE
•Efficiency (cost savings)
•Competitiveness
•Risk reduction
•Public relations
                                                                STATUTORY
                                                                FRAMEWORK
                                                                •Minimum standards
                                                                •Long-term performance goals
                                                                •Economic instruments
                                                                •Liability/responsibility
impacted by environmental issues. The result is that new types of programs grounded in personal
values and economic self-interest, including voluntary compliance programs, can successfully
be employed to achieve important environmental objectives. The  experience with recycling
programs in the United States which relies on voluntary compliance has demonstrated that a
change in personal  values can produce  dramatic results. In addition, factors such as the
increasing cost of achieving marginal environmental improvement, the growing focus on diffuse
sources of pollution such as air toxics and non-point water pollution, the rapid expansion of the
number and type of  regulated facilities, and the limited resources available to government to
develop and enforce environmental regulations, suggest the need for greater emphasis on
voluntary compliance programs.
        Because of  these  changes, the federal and state governments are redesigning their
existing statutory, administrative and enforcement programs to make them more flexible and to
build in performance incentives. In addition, these governments are turning to new ways to
drive environmental improvement. Many of these new voluntary compliance techniques involve
fostering personal responsibility for environmental problems or helping to realign economic
incentives in ways that promote environmental improvement. Because they rely on the  basic
behavioral motivators of values and economic self-interest, these new programs may be more
effective in embedding environmental issues in personal and workplace decision making.

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                                                             PADDOCK, LEROY C.   441
        Since these new approaches could have significant effects on enforcement programs, it
is critical that enforcement officials understand and participate in the development of the new
techniques. Perhaps the most significantimpact of the effortstoencouragevoluntary compliance
programs is the ability to focus always limited enforcement resources on poorer performing
organizations. With often tens of thousands of facilities subject to environmental requirements specific
and general deterrence through enforcement cannot, by itself, assure wide spread compliance.
Voluntary compliance programs that preserve scarce enforcement resources, so that those
resources can be targeted on the most significant environmental problems and on the worst offenders,
will be most successful.
        A second important benefit for enforcement officials derived from voluntary compliance
programs is greater support for enforcement programs. Enforcement programs that are part of a
comprehensive compliance strategy that includes compliance education, technical assistance and
other voluntary compliance options are likely to be perceived as fairer than those programs that
place little emphasis on voluntary programs. In addition, it is much more difficult for enforcement
targets to argue to political leaders and to courts that they have treated unfairly if voluntary compliance
programs were available to the organizations. Finally, as voluntary compliance increases in a sector,
the businesses in that sector are more likely to support enforcement efforts against laggards because
the laggards may be gaining at least a short term economic advantage over the sector leaders by
avoiding costs associated with compliance.
        When voluntary compliance efforts cause environmental concerns to become embedded
in personal decision-making, a third benefit for enforcement officials results. Since imposed changes
often result in reluctant compliance, people subject to imposed requirements will frequently look for
ways to get around the imposed requirement. On the other hand, people are much more likely to
enthusiastically pursue change that is consistent with their personal ethic or with their economic
self-interest. Governments will have to continue to establish norms to ensure at least a basic level of
protection for the environment and for public health, as well as to deal with people who will not
respond to voluntary programs. Still, by focusing some voluntary compliance efforts on altering
personal values or enhancing economicmotivationsforenvironmental improvement a sociological
setting is created where the need for enforcementof some requirements is likely to be significantly
lessened and where continuous improvement of environmental outcomes may occur.
         The remainder of this article discusses several voluntary compliance programs in the
United States focusing particularly on the efforts of the State of Minnesota. In the United States,
responsibilityfor environmental prog rams is divided between the federal and state governments.
Typically, the United States Congress adopts legislation that gives the U.S. Environmental Protection
Agency (U.S. EPA) primary responsibilityfor setting standards to protect the country'sair, water
and land from pollution. In most cases, Congress authorizes U.S. EPA to delegate to the states the
ability to issue permits under the federal laws and to  enforce the laws if a state has adequate
statutory authority and the resources to administer the program. Although U.S. EPA retains authority
to review state programs and to independently initiate enforcement actions, the majority of
enforcement in the United States is conducted at the state and local governmental level. In addition
to authority delegated from U.S. EPA, states enact their own environmental programs to suit the
particular needs of the state. Minnesota has long been a leader among the states in developing
innovative environmental programs.
         Within Minnesota, the responsibility for environmental programs is shared by the Minnesota
Pollution Control Agency (part of the Governor's office) and the Minnesota Attorney General's Office.
The Attorney General is an independently elected public official in Minnesota. The Pollution Control
Agency is responsible for developing environmental regulations, issuing permits, investigating
violations of environmental requirements and initiating administrativeenforcement actions. The
Attorney General  is responsible for investigating criminal violations of environmental laws,

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 442  FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


 representing the Pollution Control Agency in administrative hearings and initiating civil judicial
 enforcementactions. The Attorney General's Office has for severalyears worked closely with the
 Pollution Control Agency to develop more effective enforcementtools and to develop preventative
 programsthat are designed to minimize the need for enforcement. While some Attorneys General
 in the United States do environmental policy development work, environmental policy development
 has been a priority for Minnesota Attorney General Hubert H. Humphrey for nearly a decade. This
 priority is demonstrated by the fact that Minnesota is the only state that has had a full time Director
 of Environmental Policy in the Attorney General's Office overthe past eight years.
        VOLUNTARY COMPLIANCE PROGRAMS
2.1     Personal  responsibility

        Personal values and information are critical drivers of behavior. Recognizing this fact, the
Minnesota Attorney General's Office has long focused on educational efforts to shape personal
values in order to better address such intractable enforcement problems as drug abuse and sexual
violence. Similarly, initiatives to improve environmental education and to increase access to
environmental information can enhance personal responsibilityfor environmental improvement.

2.1.1   Environmental management training

        Most people responsible for environmental compliance in the United States have had little
training related to developing and implementing comprehensive environmental management
systems. The Dutch government relies heavily upon environmental management systems (referred
to as "internal care systems") to achieve their goals for sustainable development. They have identified
several elements that should be part of a quality environmental management system. These include:
        •  A company environmental policy statement.
        •  A detailed environmentalmanagementprogram.
        •  Integration of environmental management in normal business operations.
        •  Internal monitoring of environmental activitiesand releases.
        •  Internal information and training.
        •  Internal and external environmental reporting.
        •  Periodicenvironmentalauditing.

        These elements are similarto the International Standards Organization draft Environmental
Management Systems Standard (IS014001).
        Based on  a belief that comprehensive environmental management systems could
significantly increase compliance, the Minnesota Attorney General's Office, in conjunction with three
non-profit training organizations, will be conducting two  environmental management training
programs over the next two years. One program will focus on larger businesses, while the other will
use differenttechniquesto reach small and medium-sized businesses. The programs are funded
by a $197,000 grant from the U.S. Environmental Protection Agency, program fees and in-kind
donations of timefrom the Attorney General's Office and an environmental consulting firm.

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                                                           PADDOCK, LEROY C.  443
2.1.2   Eco-Sense curricula

        Early educational opportunities can have a major impact on the development of
environmental values. These values, in turn, are likely to affect voluntary compliance as young people
growtoassumedecision-makingpositions.The "Eco-Sense" series of educational curricula was
developed by the Minnesota Attorney General's Office in conjunction with a non-profit education
organizationto help studentsintegrateenvironmentalandeconomicsissues into their day-to-day
decision-making.Three curriculum guides have been developed to date:

        •  "Eco-Sense" designed for 12 to 17 year-old students.
        •  "Eco-Sense:lt'sElementary"designedfor7to 11 year-old students.
        •  "Eco-Sense:  Know  Tomorrow," a curriculum focused  on sustainable
          developmentdesigned for 14 to 17 year-old students.

        Several hundred teachers in Minnesota have been training to use the curriculum. The
program costs about $40,000 per year to operate. The money is raised through foundation grants
and corporatedonationsmade to the non-profiteducationalorganization.
        Focusing on values, information and personal responsibility to increase voluntary
compliance with environmental regulation will not always result in behavioral change in the short
term. However, embedding environmental values in personal decision-making may be the most
effective way of minimizing environmental enforcement problems over the long run.

2.2     Economic incentives
        Economicself-interestis also a powerful motivatorfor change. In the past, many people
assumed that economic interests and environmental interests were polar opposites.1  However,
recent experience demonstrates that economic and environmental interests are increasingly
compatible. For example, one study on reduction of pollution through changes in production
processes found the annual savings per dollar spent on reduction of polluting chemicals in industrial
processesaveraged$3.49forthe27activitiesstudied.2 Research also indicatesthat companies
that take steps to minimize resource input and pollution outputare likely to be more competitive.3


2.2.1   Economic incentives  for  adopting  comprehensive environmental  management
        systems
        Organizations may achieve economic benefits by adopting comprehensive environmental
management systems; these benefits result from risk reduction achieved by better management
techniques. The risks that may be mitigated through improved management systems include:

        • Government enforcement and noncompliance penalties.
        • Tort liability.
        • Workers compensationclaims.
        • Superfund and othercleanup liability.
        • Adverse publicity from spills or other environmental problems.

        Although the risk reductions and competitive advantages associated with comprehensive
environmental management systems should provide businesses with strong internal incentives to
adopt these practices, there are a number of factors including short-term costs, lack of training and
organizationalculturethat have kept many companies from moving in this direction. To overcome
these roadblocks, the Minnesota Attorney General's Office is exploring whether external incentives

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444  FOURTH  INTERNATIONAL CONFERENCE ON  ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


may create the momentum that would lead to widespread adoption of these systems. One of these
external incentives is a penalty mitigation program such as the one discussed in section 2.5. Another
external incentivemay be increased access to capitol and insurance
        Lenders, insurers, and financiers can play an important role in encouraging companies to
adopt environmental management systems, thereby reducing risks relevant to their lending,
insurance and financing decisions. Specific recognition of these lowered risks in the form of expanded
availability of loans or insurance, lower rates for loans or insurance, or increased investment would
certainly be a powerful incentive for companies to institute these systems and practices. For this to
happen, there must be clear criteria for identifying what constitutes a quality environmental
management system. The IS014001 standards could conceivably serve this purpose. There also
must be a clear understanding that these systems can substantially lower risk and increase
competitiveness. Along the same lines, businesses will have to know the kinds of practices that will
qualify them for better access to loans and insurance, and increase their attractiveness to the
financial community.
        Government can play a key role in facilitatingthe criteria developmentprocess. Because
better access to capitol and insurance could be a powerful incentive to adopt and implement
environmental management systems, the Minnesota Attorney General's Office is now working with
NGO, business, insurance, banking and investment community representatives to identify specific
steps that could be taken to develop new financial incentives for implementing comprehensive
environmental management systems.

2.3     Statutory  framework

        The structure of environmental requirements can be a major factor influencing the
effectivenessof voluntary compliance efforts. Although environmentalconditionshave improved
dramatically in the United States under the current statutory framework we have learned that this
framework can also create barriers to further environmental improvement.4 Two key barriers to
voluntary compliance are technology-based standards and a lack of stable long-term environmental
goals. Although technology-based standards may be needed  in some cases, these standards
frequently stifle innovation and lead to higher compliance costs.5 The lack of stable long-term
environmental goals create uncertainty which is difficult for many businesses to deal with in their
normal planning process, thus creating additional resistance to meeting environmental requirements.
Regulatory reform efforts that encourage innovation, set out clearer long-term environmental goals
and provide reasonable planning horizons for affected organizations are more likely to stimulate
voluntary compliance than some of the current approaches.

2.3.1    President's council on  sustainable development

        In 1994 President Bill Clinton established a multi-stakeholder council to recommend ways
for the United States to move toward a more environmentally-sustainable economy. The President's
Council on SustainableDevelopmentconducted most of its work in multi-stakeholdertask forces.
The Minnesota Attorney General's Office participated in the Eco-Efficiency Task Force of the
President's Council on Sustainable Development. This task force developed recommendations
for reform of the regulatory process which are designed to encourage innovation and progress
toward sustainabledevelopment.These recommendationsinclude:

        •  Ambitious long-term environmental performance goals, strategically and
          collaborativelyset, on an industry, facility, agency, community or geographic
          basis.

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                                                             PADDOCK, LEROY C.   445
       •  Interim quantitative milestones which ensure that participating entities
          continuously improve environmental performance and make progress toward
          long-term performancegoals.
       •  Increased operational flexibility that  maximizes innovation and cost-
          effectiveness in exchange for achieving improved environmental performance.
       •  Use of incentives to increases operational flexibility, decrease participation
          costs and encourage continuous improvement in environmental performance.
       •  Use of information mechanisms to measure and demonstrate that progress
          toward goals is occurring and to provide participants with information that
          facilitates environmental decision-making while sufficiently protecting
          proprietary information.
       •  Enhanced publicinvolvementinsettinggoalsforsustainabilityand reviewing
          progress toward goals at the local, regional, state and national levels.
       •  A life-cycle perspective that encourages participating entities to establish
          pollution prevention and product stewardship as standard business practices.
       •  A multi-media approach that encourages participating entities to manage
          environmental responsibilities in a "whole-facility" or "whole-ecosystem" fashion.

       The federal and state governments are now examining what they can do to create more
efficientandeffectiveregulatorysystemsbased on many of the ideas identified above.

2.4    Administering environmental laws
       The manner in which environmental laws are administered can also stimulate voluntary
compliance (and beyond compliance) efforts. Because flexibility in changing production processes
is very valuable to many companies, they are often willing to commit to voluntary reductions not
required by law in return for more flexibility in the permitting process. Providing technical assistance
to organizationsto help them make desired changes can also help spur voluntary compliance. By
providing incentives and assistance to organizations that take significant steps to improve their
environmental performance, a better working relationship develops between the regulated
organization and government. This more "trusting" relationship is likely to further encourage voluntary
compliance.

2.4.1   Project XL
        One of the priorities of the Clinton Administration is increasing the efficiency and
effectiveness the federal administrative agencies. Vice PresidentAI Gore was appointed to lead
this effort which was called the "National Performance Review." As part of the National Performance
Review, the Clinton Administration issued a report in early 1995 entitled "Reinventing Environmental
Regulations."  One  of the key recommendations in the report was  the creation of alternative
performance-based strategies. "Project XL" is a critical component of the reinvention effort. In
partnership with the states, the U.S. EPA is  providing a limited number of responsible companies
the opportunity to demonstrate excellence and leadership. They will be given the flexibility to replace
the requirementsof the current system at specific facilities with an alternative strategy developed
by the company if certain conditionsare met:

        • The alternative strategy must produce environmental performance superior
          to that which would be achieved by full compliance with current laws and
          regulations.

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 446  FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        •  The alternative strategies must be "transparent" so that citizens can examine
           assumptions and track progress toward meeting promised results.
        •  The alternative strategy must not create worker safety or Environmental justice
           problems.
        •  The alternative strategy must enjoy the support of the community surrounding
           the facility.
        •  The alternative strategy must be enforceable.

        Minnesota is the only state authorized by the U.S. Environmental Protection Agency to
 undertake Project XL pilot projects. XL documents will take the place of individual permits that
 participating facilities might otherwise hold. As part of its XL program, the Minnesota Pollution
 Control Agency developed the "Environmental Regulatory Innovations Act"8 which is currently pending
 before the Minnesota legislature. The Act will provide a statutory base for the administrative changes
 that are part of Project XL.
        Under the Act, the Minnesota Pollution Control Agency could issue an XL permit if:
        The permit will facilitate pollution prevention and source reduction activities by the facility
 and result in significantly more overall pollution reduction from the facility, its customers, or suppliers
 than would otherwise be required by applicable laws, without increasing any negative impact on
 the environment, the local community, or worker health and safety.

        •  the pollution prevention, source reduction, or other pollution reduction goals
           are verifiable.
        •  The pollution limits contained in the permit are verifiable and enforceable.
        •  The stakeholders have been involved through a decision-making process
           that seeks consensus in the design of the permit and will have the opportunity
           for continued involvementin the implementationand evaluation of it.
        •  The permittee agrees to make available informationthat it gives the agency
           about the XL project, except confidential information to the stakeholdergroup
           in a format that is easily understood.
        •  The permittee agrees to providean assessment of the successofthe project
           in reducing the time and money spent at the facility on paperwork and other
           administrativetasks that do not directly benefit the environment.
        •  The permittee, the pollution control agency, and other state and local agencies
           are likely to expend less time and resources over the long term to administer
           the MinnesotaXL permit than othertypes of permits.
        •  The project is consistent with the federal government's Project XL guidance
           and any federal legislation governing the ProjectXL program.

        Minnesota's XL program is based on a project that the Minnesota Pollution Control Agency
(MPCA) and 3M Corporation undertook in 1992 and 1993 which resulted in an innovative air quality
permit. The permit provided precedent setting operational flexibility by preauthorizing facility
modifications as long as air emissions remain below a cap set at 50 percent less than was actually
emitted in 1991. Not only has significant environmental benefit resulted from this permit, but 3M
and the Agency's costs have been reduced.  Between March 1993 and January 1995, the 3M
Corporation made 21 changes that would have required permit modifications. Avoiding the permit
modification process resulted in two important benefits for the company. The company saved 1,530
hours that would have been spent on permit applicationsand other administrativetime, and it was

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                                                             PADDOCK, LEROY C.  447
able to get its products to market more quickly. The Agency also saved an estimated 700 hours of
staff time that would have been expended in preparing and processing seven major permit
modifications.

2.4.2    Technical assistance

        Changes in products or processes can make compliance with environmental requirements
much easier by preventing pollution problems from arising. Governments in the United States have
been a catalyst for pollution prevention activities for over a decade through technical assistance
programs. In addition, providing concise information about environmental requirements and how to
meet those requirementscan increase compliance rates.
        Recently, U.S. EPA has established several small business compliance assistance centers
to focus on businesses such as printing, metal-finishing and auto service stations where compliance
costs are high and noncompliancerates are significant. These new centers will:

        •  Assist state and local agencies and trade associations to develop "plain
          English" guides to regulations.
        •  Identify low-coststrategiestoachievecompliance.
        •  Develop ways to consolidate reporting and cut paperwork for client industries.

        The long term plan is to establish one national compliance centerfor each small business
sector, which would work with the trade association and state programs providing technical
assistance for the particular industry.7

2.4.2.1  Minnesota Technical Assistance Program

        The Minnesota Technical Assistance Program (MnTAP) was established over 10 years
ago under Minnesota's Office of Environmental Assistance and is located at the University of
Minnesota. TheProgram'snonregulatorytechnicalassistancehelpsMinnesota'smanufacturing
and service industries protect the environment by  providing practical alternatives for properly
managing waste and preventing pollution of land, air and water. Specific services available include
telephone and on-site assistance, a intern program for business, an information clearinghouse and
training/workshops.

2.4.2.1.1  Telephone assistance

        Each quarter Minnesota Technical Assistance Program receives approximately 300
telephone inquiries, about 10 percent of them from environmental consulting firms. A variety of
large and small Minnesota industries, from metal fabricating and finishing to dry cleaners and printers,
have requested telephone assistance in the following areas:

        •  Less-toxicandhazardousrawmaterialstouseinmanufacturingoperations.
        •   Process or equipment redesign or upgrading to prevent pollution.
        •   Environmentallyacceptable options for transporting, disposing, or recycling
          industrial waste.
        •  Waste managementand regulatory compliance.8


2.4.2.1.2 Site  visits

        Generally, a site visit has the following components:

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448  FOURTH INTERNATIONAL CONFERENCE  ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
         •  A meeting with the company representative to clarify objectives of the visit.
         •  A plant walk-through.
         •  A follow-up meeting to restate objectives, summarize what was observed,
           provide readily available information and identify next steps.

         The site visit is always followed by a letter and additional printed materials from the technical
assistance staff person laying out waste reduction and waste management considerations. During
1994 and 1995, the Program staff conducted 273 site visits.9  Figure 2 summarizes the number of
site visits by type of business.
Figure 2.
        Summary of Site Visits by Type of Business, 1994-1995
Type of Business
Food manufacturing
Printing & publishing
Chemical manufacturing
Rubber & plastic products
manufacturing
Primary metal industries
Fabricated metal products
manufacturing
Industrial & commercial machinery &
computer equipment mfg.
Electronic & electric equipment
manufacturing
Transportation equipment mfg.
Educational services
Other businesses
Number of Site Visits
20
17
15
19
16
42
31
14
17
10
72
2.4.2.1.3   Student intern program

        The Minnesota Technical Assistance Program intern program has a primary objective of
placing students in industrial facilities to implement pollution prevention measures as technical solutions
to regulatory and industrial needs.
        Typical steps in an intern project include assessment, information gathering, identification of
opportunities, technical and economic feasibility, and implementation, where time allows. Students
produce a report that contains recommendations for pollution prevention implementation for the
company. Students present project results to the company and the staff of the Minnesota Technical
Assistance Program.  The staff then document results and provide needed additional assistance.
        During 1994 and 1995, eight interns were placed, bringing the total since the program began
in 1985 to 60. Waste and emissions reduced since 1985 on an annual basis total more than 1,341,000
pounds (plus 10 million gallons of water) with a cost savings of approximately $654,000.10
2.5
Enforcement
        Enforcement programs can also be designed in ways that promote voluntary compliance.
In the United States,  enforcement officials traditionally have had broad discretion to decide not to
pursue an enforcement action if there are substantial mitigating factors. In the environmental field,

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                                                             PADDOCK, LEROY C.   449
self-reporting of violations and prompt correction are important factors in deciding whether an
enforcement action should be pursued. These same factors are also important in determine whether
a civil or criminal enforcement action should be initiated and what, if any penalty should be imposed.
        Voluntary  compliance can be stimulated by  clearly  communicating  to  regulated
organizations that they will be treated more favorably if they seek-out violations within their operations,
and promptly report and correct those violations. Several programsin the United States follow this
approach. These include the U.S. Environmental Protection Agency's December 1995 policy on
"Incentivesfor Self-Policing"11 and the United States Sentencing Commission proposed guidelines
for sentencing corporate officialsconvicted of federal environmentalcrimes.

2.5.1   Environmental improvement pilot program

        The Minnesota Environmental Improvement Act of 199512 establishes a four-year pilot
project to encourage environmental auditing. The Act supports auditing efforts by waiving penalties
in most cases where companiesand governmental unitsaudittheirfacilities.reportproblemsand
committo prompt correction of the problemsthey identify.
        As an alternative to an audit, the Act authorizes businesses and governmental units to use
a new self-evaluation checklist if they do not have the expertise to conduct internal audits or cannot
afford the cost of an external audit. Finally, the Act allows participating companies and governmental
units to be recognized for theirefforts by authorizing theirfacilities to display a "green star" emblem
that indicates the facility is in compliance with environmental requirements.
        The Act should benefit businesses and governmental units by providing better information
about their operations, encouraging them to learn more about the environmental requirements that
apply to theirfacilities, and by providing increased certainty about how they will be treated in the
enforcementprocess. It will benefit the environmentby assuring that many morefacilitiesmeetor
exceed the state's environmental expectations. In the first six months, eight audits covering 18
facilities have been submitted to the Minnesota Pollution Control Agency. The program is run by the
equivalent of two full time staff.
3       CONCLUSION

        Laws and regulations that ensure a minimum level of environmental and public health
protection and firm enforcement of these norms remain the core of effective environmental programs
in the United States. These efforts can be significantly enhanced by creating additional incentives
for environmental improvement. By aligning internal company incentives (personal values, efficiency,
liability reduction, competitiveness) with government incentives (penalty mitigation, permit flexibility
and regulatory reform) together with external incentives (increased access to capital and insurance
as well as increased attractiveness to the financial market) everyone wins. The results of these
efforts should be decreased risks and costs, substantially-increasedvoluntary compliance, an
enhanced ability for enforcement organizations to target their limited resources on the worst problems
and offenders, and most important, improved environmental quality.
        ENDNOTE  AND  REFERENCES

 1.   Porter, M. and VanderLinde, Co., Harvard Business Review, Sept. - Oct. 1995, p. 122.

 2.   Id. at p. 125.

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450   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


3.    Id. at pp. 127 and 129-131.

4.    National Performance Review, Reinventing Environmental Regulations (March 16  1995)
     pp. 1-2.

5.    Id. at2; U.S. Environmental Protection Agency, National Advisory Council for Environmental
     Policy and Technology, Improving Technology Diffusion for Environmental Protection,
     1992, pp. 49-56.

6.    To be codified as Minn. Stat. Ch. 114C.

7.    Reinventing Environmental Regulation, p. 31.

8.    Minnesota Office of Environmental Assistance, 7996 Pollution Prevention Evaluation
     Report, p. 47.

9.    Id.

10.   W.A148.

11.   58 Federal Register 65764 (December 16,1993).

12.   1995 Minn. Laws ch. 168, §§8-20.

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                                                            SCHAEFFER, E.S.  451
ENCOURAGEING VOLUNTARY COMPLIANCE WITHOUT COMPROMISING
ENFORCEMENT: EPA'S 1995 AUDITING POLICY

SCHAEFFER, E.S.

Environmental Protection Agency, 401 M Street S.W., Washington, D.C. 20460, USA


       SUMMARY

       Environmental auditing has expanded rapidly in the United States over the past decade,
in response to the complex and  multiplying requirements  of environmental law.  The US
Environmental Protection Agency has encouraged this trend by helping to define the concept
of environmental  auditing through policy  and technical assistance, and through a strong
enforceemnt program that discourages noncompliance.  In December of 1995, the EPA
announced for the first time that  it would systematically reduce civil penalties and corporate
liability for criminal prosecution for companies  that voluntarily audit,  disclose, and correct
violations. This article  examines  the evolution  in EPA's approach to environmental auditing,
explains the criteria that shaped the new policy,  and reviews its prospects for success.
1      THE FIRST STEP: EPA'S 1986 POLICY

1.1    EPA Policy Statement
       By the mid 1980's, the accumulation of new regulatory standards and the federal
government's commitment to their enforcement had made environmental auditing a practical
necessity for many businesses.  The EPA sought to encourage this trend with a 1986 policy
statement that  provided a common sense definition of auditing (ATTACHMENT  1), and
recognized that auditing should remain a voluntary activity, to provide individual companies the
flexibility to design their own systems for self-policing.
       EPA also sought to reassure nervous corporate counsel, anxious to protect their clients'
privacy, that environmental audits would not generally be the subject of routine government
inspections.
       US environmental law provides EPA inspectors with  broad authority to request any
evidence regarding a potential violation, including materials contained in an audit. This material
may be requested prior to an investigation or during the course of the inspection request. While
making clear that EPA would not request audit reports as a routine matter, the Agency reserved
the right to request such documents (or portions thereof) for specific cause, e.g, where the
information might be useful in determining whether a violation was intentional.
       While auditing was identified as one  factor the Agency might consider in assessing a
penalty for violations, the policy declined to make specific promises to reduce inspections or
enforcement in exchange for audits:
       EPA will not promise to forgo inspections, reduce enforcement responses, or offer other
such incentives in exchange for implementation of environmental auditing or other sound
environmental management practices.

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452   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE  AND ENFORCEMENT
        The Agency did indicate that it would take into account, on a case-by-case basis, the
"honest and genuine efforts of regulated entities to avoid and promptly correct violations..." in
determiningtheappropriateenforcement response.

1.2     Agency Practice Under 1986 Policy

        Following issuance of the policy, EPA invested in numerous reports, case studies,
bibliographic references, and training materials, designed to help guide the fledgling environmental
auditing industry. EPA's internal surveys confirm that the Agency has kept its promise not to routinely
request audit reports in inspections. The Agency also typically adjusted penalties downward for
violations voluntarily discovered and reported by the regulated industry, although conflicting rules in
different media programs made it diftlcultto establish a consistentand predictable pattern.
2       ENVIRONMENTAL AUDITING AFTER  1986

2.1      Importance of Deterrence to Self-Policing

        The 1986 policy  reflected three related principles that are fundamental  to EPA's
environmental enforcement program:

        1) Frequent and thorough inspections and stiff penalties for noncompliance send
          a strong message of deterrence to would be violators;
        2) Enforcement agencies should have the discretion to adjust penalties for good
          faith efforts to comply, but any limitationson that discretion (e.g..promises to
          reduce penalties for companies that audit) should be avoided because they
          undermine deterrence;
        3) Environmentalauditsaretheirown reward, because they helpcompaniesto
          find and correct violations before they are brought to the attention of enforcers,
          as well as reduce potential liability for damage to surrounding communities.


2.2     Growth in Environmental Auditing

        The explosion in environmental auditing since publication of the 1986 policy offers powerful
testimony to the truth of these arguments. So does evidence from the regulated industry about the
reasons for this growth.
        Surveys of the private sector over the past two years have demonstrated that environmental
auditing is now widely accepted as good business practice, at least by companies that are coping
with significant regulatory requirements. A1994 Price Waterhouse survey of major corporations
found that 75% of respondents had already established environmental auditing programs, up from
40% in 1992.  These findings were consistent with a 1994 survey by the Investor Responsibility
Research Center(IRRC), which found that 85% of respondents had established such programs,
with most conducting audits at U.S. facilities at least once every two years.  A 1995 follow-up
survey by Price-Waterhousefound that over 90% of respondentsin heavily regulated sectors like
petroleum refining and chemical manufacturingaudited on a regularbasis.
        Why such high levels of participation?  Not surprisingly, the same surveys report that
environmental self-policing is driven by enlightened self-interest, as companies seek to reduce
their exposure to fines and environmental damages and improve their efficency.  For example, over
96% of the respondents to the Price-Waterhouse survey said that one of their most important

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                                                               SCHAEFFER, E.S.  453
reasons for auditing was the need to uncover violations before they were identified by government
inspectors. (ATTACHMENT2). Interestingly, while companies responding to the IRRC survey
reported auditing 75% of theirU.S. facilities overthe past two years, only half of theirforeign plants
had been audited within that time. While there may be a number of explanations, stringent regulatory
standards and their enforcement have undoubtedly created an incentive for industry self-policing in
the United States.
3       EPA REEXAMINES ITS AUDITING  POLICY

3.1     Regulated Industries Raise  Concerns  About Liability

        As environmental auditing became more widespread, however, corporations began raising
questions about their potential liability for violations uncovered during these self-evaluations. While
fearof enforcementwas identifiedas a majorincentiveto audit, the 1995 ArthurAndersensurvey
cited concern over potential exposure to fines and third-party claims for damage as a major
impedimentto the expansion of auditing programs.
        At the same time, as inspection resources failed to keep up with the growth in new
regulations, government agencies gained an even greater appreciation of the importance of voluntary
auditing to compliance. By one estimate, at least 700,000 facilities are subject to one or more
federal environmentallaws.whilethe federal governmentand states togetherconductfewerthan
100,000 inspections every year. As discussed above, while different enforcement policies offered
discretion to offset penalties by varying amounts for violations disclosed and corrected, these policies
were not consistentand not perceived as offering a substantial incentive.
        In July of 1994,  EPA began a public reexamination of its auditing policy, to determine
whether it should offer additional incentives to encourage companies to conduct environmental
audits. The key issue was whether it was possible to reduce the risk of enforcementfor companies
that audited and corrected violations,  without compromising the  kind of deterrence-based
enforcementthatcontributedto the growth of auditing in the first place.

3.2     Regulated Industry has Proposed  Privilege and Amnesty for Environmental
        Audits

        The Agency began by examining two concepts advanced by lawyers representing regulated
industry.
        The first proposed establishing a statutory privilege that would shield environmental audit
documents from discovery by government agencies or other third parties, so long as any violations
found were ultimately corrected. "Discovery" in this context refers to requests for evidence or testimony
that occurs during the inspection process referred to above, as well as legal motions by either party
to compel the disclosure of such material once the case is taken to court. Discovery rules under US
law are quite broad, so long as the requests are relevant to the case, and subject to only a few
narrow exclusions (such as confidential communications between a lawyer and his client).
        The second alternative is to grant immunity from civil penalties or criminal prosecution for
any violationsfound through audits which weredisclosed to governmentagenciesand corrected.
At present, fifteen states have enacted either privilege or immunity laws, or some combination of
the two approaches.

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454   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
3.3     EPA Rejects Privilege

        After careful consideration, the EPA has decided to reject the concept of a privilege
protectingenvironmentalauditsfrom discoveryfor several reasons. Among the most important:

        •  The Agency is concerned about the effect a privilege might have on its ability
          to obtain evidence of wrongdoing, or assure that violations have been corrected.
          American law has traditionally placed a high value on fair access to the facts,
          best reflected in the Supreme Court's finding that, "the public. ..hasa rightto
          every man's evidence." (CITATION)
        •  There is  little to suggest that a privilege is needed or would encourage an
          increase in auditing, at least in those cases where the government is willing to
          offerlimited amnesty to encouragedisclosure. In practice, audits are rarely
          seized by government agents, while industry respondents in the Price-
          Waterhouse survey identified concerns about confidentiality as one of the least
          important barriers to auditing.
4       EPA OFFERS  LIMITED AMNESTY TO ENCOURAGE AUDITS

4.1     Finding the Balance

        While rejecting evidentiary privileges, the Agency came to appreciate the value that a
limited penalty amnesty program might have in encouraging voluntary self-policing. Unconditional
amnesty, which might excuse irresponsible behavior which caused real harm, was rejected outright
as undermining the value of deterrence in preventing such misconduct. As an alternative, EPA
worked with state agencies, the regulated industry, and public interest groups to develop a balanced
approach that reduces civil penalties and the threat of criminal liability for companies that audit, but
with conditions and exceptions to protect the public and provide a continued incentive for companies
to prevent violations before they occur.
        This compromise is reflected in EPA's new policy, announced on December22 of 1995.
The policy is best explained by examining:

        •   howthe violation must be discoveredand disclosed;
        •   what the company must do after the violation is reported to EPA;
        •   the specific benefits EPA is offering for those who meet the policy's conditions;
           and
        •   the circumstances in which these benefits are not available.


4.2     Discovery and Disclosure

        Discovery of the violation must be voluntary, that is it must not be detected through monitoring
equipment or sampling protocols that are required in the company's permit. It should be independent,
e.g., before the company has been notified of the problem through an inspection or by a third party.
To receive full credit from EPA, the discovery should arise from either an environmental audit, or a
compliance management program that demonstrates due diligence. Finally, once  identified,
disclosure of the violation must be prompt, generally within 10 days of discovery.

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                                                               SCHAEFFER, E.S.   455
        These conditions make clear that the incentives offered under the audit policy are for
companies that take the initiative, without requirements or prompting from the government, to assess
their compliance status. Disclosure of the violation is important, because it allows EPA to determine
that the problem has been corrected and not allowed to linger.
        An effective compliance program requires not only periodic auditing, but a comprehensive
system that engages both managers and employees in the day-to-day task of both preventing and
responding to noncompliance. The Agency's policy recognizes the value of both approaches.
Environmentalaudits are defined accordingto the 1986 policy as encompassinga periodic, etc.
        To receive credit for violations found through a compliance management program, a
company must be able to demonstrate due diligence according to criteria for corporate compliance
adapted from the 1991 Sentencing Guidelines. (ATTACHMENTS).  These criteria are designed
to be flexible and consistentwith emerging IS0140001 standards for environmental management
systems, while providing more specific guidance for compliance than are contained in ISO.

4.3     Correction and Prevention

        Once the company has reported the violation it must, of course, agree to return to
compliance. EPA may require a written agreement binding the company to keep its commitment,
and to take specified actions to prevent the violation from recurring. The company is expected to
cooperate with the Agency in supplying whatever documentation is needed to determine that the
problem has been corrected. Any complianceagreements reached under the policy will be made
public, to avoid any appearance of collusion between EPA and the regulated industry.

4.4     Incentives for Self-Correction

        A company with an aggressiveauditingorcompliancemanagement program to identify,
report, and correct violations can virtually eliminate its potential for significant civil or criminal penalties.
These incentives are particularly valuable under US environmental law, which establishes stringent
sanctionsfor noncompliance.
        In general, a company or individual that knowingly violates the law risks not only monetary
penalties, but incarceration for those responsible. For purposes of establishing criminal liability,
"knowledge" means awareness that the act was committed, not necessarily that it was illegal.
Under the Clean Water and Clean Air Acts, even negligence may be charged as a criminal
misdemeanor. These seemingly strict standards are consistentwith liability forothertypes of "general
welfare" offenses, and reflect the common-law maxim that "ignorance of the law is no excuse." In
practice, criminal prosecutionsare reserved for the most serious types of misconduct, but there is
no question that the potential penalties — particularly the prospect of jail time for coporate officials
— has caught the attention of senior management and their counsel.
        Where conditionsof the audit policy are met, however, EPA will not recommend criminal
prosecutionof the corporation. Neitherwill corporate managers be charged with the illegal acts of
their employees, unless they were consciously involved in, or wilfully blind to, the violation. In other
words, companies may audit, disclose and correct compliance problems without fearing that these
actions may expose them to criminal liability. Not surprisingly, EPA's new policy reflects common
sense practice, as the Agency's criminal program has never recommended criminal prosecution
in such circumstances. Putting this practice in writing, however, may help to reassure the most risk-
averse corporationsthat theirgood faith efforts will be rewarded, not punished.
        Corporations are also strictly liable for environmental violations, without regard to whether
the violation is knowing or negligent. Strict liability allocates the cost of correcting the problem to
responsible parties, without regard to fault. Federal environmental law also promotes deterrence
through civil penalties that reflect both the "gravity" of the offense, and any economic benefit gained

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456  FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
through noncompliance. Gravity-based penalties can reach as high as $25,000 per violation
per day under some federal environmental laws; long-term noncompliance can, and has, cost
companies tens of millions of dollars in civil fines.
        EPA has agreed to waive these gravity-based penalties altogether where companies
audit, disclose and correct violations.  In the 1995 Price-Waterhouse survey, two-thirds of
corporate respondents said they would expand the scope of their auditing programs in exchange
for reduced penalties. The Agency's policy offers this incentive in the hope that it will improve
the extent and quality of corporate self-policing.

4.5     Maintaining Deterrence

        While reducing the potential for criminal and civil penalties to encourage auditing, EPA
wanted to maintain the  deterrent effect of a strong enforcement program, which gave birth to
the environmental auditing movement in the first place. The conditions for discovery, disclosure,
and correction described above are meant to limit the benefits of the policy to good actors. But
the Agency also believes that whether or not they audit, corporations ought to remain liable for
certain kinds of behavior and exclude the following from the terms of the policy:

        •  Repeat Violations, where either the same violation has occurred at the same
          facility within the past three years, or the corporation has demonstrated a
          pattern  of noncompliance over the  past five years.   Audits should be
          designed to  prevent violations, not to license their repeated occurrence.
        •  Violations which Result in Serious Harm or Imminent and Substantial
          Endangerment; The corporation should remain liable  not only for putting
          its neighbors at such risk, but because such events signal a serious failure
          in its corporate self-policing program.
        •  Significant Economic Benefit, where a company has gained a competitive
          advantage over its competitors by delaying its investment in compliance.
          Several trade associations, including the Chemical Manufacturers
          Association, have recognized the importance of retaining some ability to
          recover economic benefit even for violations disovered through auditing,
          although the CMA does not agree with EPA's definition of economic benefit;
        •  Individual Criminal Conduct, as auditing should not shield individuals from
          their personal responsibility for knowing violations of the law;
        •  Violations of a Compliance Order are excluded. Specific orders to correct
          violations are generally treated as contractual agreements between EPA
          and the regulated agency, and companies would have little incentive to
          meet their commitments if the failure to do so carried no penalty.

        EPA has retained its discretion to penalize the worst types of noncompliance, so that
auditing remains focused primarily on preventing violations, rather than providing an excuse for
misconduct.
5       FROM THEORY TO PRACTICE

        While it is too early to determine whether the policy will achieve its goals, preliminary signs
are encouraging1.  Disclosures have increased as both the Agency and the regulated community
leam that at least some compliance problems can be resolved more quickly without adversarial,

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                                                              SCHAEFFER, E.S.  457
expensive, and time consuming enforcement actions.  State environmental agencies, which
retain substantial responsibility for environmental enforcement under the US federal system,
have begun to adapt the policy for use in their own compliance incentive programs.
        Further expansion of environmental auditing, which has become standard business
practice for many US companies, may depend on factors beyond changes in EPA's penalty
policy.  As discussed above, industry's own  surveys  show that a significant enforcement
presence, through frequent inspections, for example, provide an obvious motivation for self-
auditing. What happens to this incentive if budget limitations force a cutback in inspections?
EPA is exploring whether independent third-party audits, subject to stringent standards, can
supplement scarce inspection resources. The Agency is also working through trade associations
and state programs to simplify rules and provide direct assistance for the many small businesses
that will never be able to audit on a regular basis.
        Whether or not it substantially expands auditing, EPA's new policy offers fair play for
those who take the initiative to correct violations and stay in compliance. And by helping to
distinguish responsible companies from bad actors, it should preserve a solid foundation for a
strong and credible enforcement program.
        ENDNOTE
1.   Under the new audit policy, 105 companies disclosed violations at more that 350
     facilities. Of these disclosures, violations were settled against 39 companies and 47
     facilities. Most cases settled without penalty, although some paid economic benefit.

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458  FOURTH  INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND  ENFORCEMENT

Attachment 1.   The voluntary Environmental Audit Survey of U.S. Business
      REASONS WHY COMPANIES AUDIT CAN BE REFERENCED WITH THE
                                 FOLLOWING CODES:

       1.    Problems can be identified internally and corrected before they are
            discovered by an agency inspection.
       2.    Assurance can be provided to management that control systems are
            functioning.
       3.    To improve the company's overall environmental program and make it
            proactive.
       4.    It is a requirement of a permit, consent orders, etc.
       5.    To decrease the company's operating and financial risks.
       6.    Auditing program was instituted upon the recommendation of counsel.
       7.    The proposed "Sentencing Guidelines" state that enforcement actions
            might be more lenient if an effective audit program is in place.
       8.    The U.S. DOJ" Factors Document states that criminal enforcement might
            be averted if an effective audit program is in place.
       9.    In response to the issuance of the 1986 EPA Policy Statement.
       10.  To meet requirements of special due diligence audits required reduced
            risk during real property transactions.
       11.  Other.

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                                               SCHAEFFER, E.S.  459
Attachment 2.  Reasons why Companies Audit*
      Reasons  Why Companies Audit
        Percentage for Companies That Audit
                                                     88%
                       40%
60%
80%
100%
        In terms of importance, the most frequently cited reason
Note:
Reason #1 "Problems can be identified internally and corrected before they are discovered by
an agency inspection" was the most frequently cited reason why companies audit.
Reason #3 "To improve the company's overall environmental program and make it proactive"
was the most frequently cited "Primary" reason for auditing.

* From "The Voluntary environmental Audit Survey of U.S. Business" Price Waterhouse (1995)

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460   FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Attachment 3.   Due diligence
      "DUE DILIGENCE" IS DEFINED IN EPA AUDIT POLICY AS FOLLOWS:


       "Due Diligence" encompasses the regulated entity's systematic efforts, appropriate
to the size and nature of its business, to prevent, detect, and correct violations through all of
the following:

       1.   Compliance policies, standards and procedures that identify  how
            employees and agents are to meet the requirements  of laws,
            regulations, permits and other sources of authority for environmental
            requirements.
       2.   Assignment of overall responsibility for overseeing compliance  with
            policies, standards, and procedures,  and assignment of specific
            responsibility for assuring compliance at each facility or operation.
       3.   Mechanisms for systematically  assuring that compliance  policies,
            standards,  and procedures are being carried out, including monitoring
            and auditing systems reasonably designed  to detect and correct
            violations,  periodic evaluation of the overall performance of the
            compliance management  system, and a means for employees or
            agents to report violations of environmental requirements without fear
            of retaliation.
       4.   Efforts to communicate  effectively the regulated entity's standards
            and procedures to all employees and other  agents.
       5.   Appropriate incentives  to  managers and employees to perform in
            accordance with the compliance policies,  standards and procedures,
            including consistent enforcement  through  appropriate disciplinary
            mechanisms.
       6.   Procedures for the prompt and appropriate correction of any violations,
            and any necessary modifications to the regulated entity's program to
            prevent future violations.

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                                                          HllURDEMAN, WlM  461
DUTCH INDUSTRIAL TARGET GROUP APPROACH: A NATIONAL
ENFORCEMENT STUDY ON THE VOLUNTARY ENVIRONMENTAL
AGREEMENT FOR THE WOOD PRESERVATION INDUSTRY

HUURDEMAN, WlM

Regional Inspectorate for the Environment in the North Netherlands, P.O. Box 30020,
9700 RM Groningen, The Netherlands
       SUMMARY

       In the Netherlands discussions between government and industry are increasingly leading
to agreements about the reduction of the environmental effects of the industrial activities. These
agreements are set out in covenants. Some people question the effect of such covenants. Aren't
these covenants by definition too voluntary? Isn't it much better to incorporate the agreements in
the environmental license, so that they become legally enforceable? This report describes an
enforcement study made at wood preservation companies by the Inspectorate forthe Environment
of the Ministry of Housing, Spatial  Planning and the Environment at the end of 1994. These
companies impregnate soft woods with chemicals to protect them against fungal attack and rot.
This branch of industry was one of the first with which the government reached an environmental
covenant. In 1992 the agreements were set out in an action programme with the wood preservation
companies. The main objectiveof this study was to obtain insight into how the municipalities.the
competent authority forthese companies, and especially the individual companies, have executed
the agreements made in connection with the target group policy.
1       INTRODUCTION

1.1     Industry target group policy

        The government cannot solve environmental problems on its own, let alone prevent all
new problems arising. Development focused on sustainability is only feasible if government,
industry and nongovernmental organizationsjoin together in common cause. One major means
of achieving the Dutch environmentalobjectivesas detailed in the National Environmental Policy
Plans is the Target Group Policy.1 Agreements are made with each branch of industry, for example
the printing industry, the iron and steel industry, the chemicals industry, the wood preservation
industry and filling stations, with regard to achieving reductions in emissions by the years 2000
and 2010 as compared with the reference year 1985. The reductions are specified in integral
environmentaltargets which constitute part of the covenant signed between governmentand the
relevant branch of industry. The environmental tasks for the industry are set down in an action
program. For the wood preservation industry they are described in the "Action Program for
Environmental Measures by Wood Preservation Companies"2.
        Although the target group policy as such concerns voluntary agreements, it is desirable
that the agreements reached for individual companies be set forth in the environmental license,
so that the agreements are enforceable.

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        What is the role of the Inspectorate for the Environment in the industrial target group
policy?  On behalf of the  Minister of Housing,  Spatial Planning  and the Environment, the
Inspectorate for the Environment monitors and makes sure that the industrial target group complies
with the environmentalemission reduction targets as specified in the covenant. The Inspectorate
does this by carrying out random checks on compliance with the agreements (the execution of
these by the companies and the implementation of the measures as required in the environmental
licenses).

1.2     Reasons for the project

        The wood preservation industry is one of the spearheads in the target group industry.
The governmenthas in fact been discussing environmental problems with this branch of industry
since the mid 1980's.  At the beginning of the 1990's an integrated package of environmental
regulations were developed, which are detailed in an action program3. Additional agreements
were made in 1993 with the specific group of companies using creosote oil to preserve wood
about the restriction of the emission of creosote oil into the atmosphere. The implementation of
the environmental measures was to be carried out in phases. All environmental measures
specified in the action program were to have been implemented by mid 1994.

1.3     Objectives of the project

        Section 1.2 explained that as  part of the target group policy agreements have been
made to restricttheenvironmentaleffects of companiesin the wood preservation industry. These
agreements are specified  in the action program. This article describes how the companies
carried out the following  agreements cited in the action program:

        •  Taking measures to protect the soil.
        •  Decontamination of the soil  following earlier pollution.
        •  Provision of independent inspection of the impregnation installations.
        •  Restriction of emissions to  the atmosphere by using a high boiling-point
          creosote oil.
        •  The setting up of a company environmental plan or the development of a
          company environmentalmanagementsystem.

        It was agreed with the authorities issuing the licenses, the municipalities (the Municipal
Council), that priority would be given to the incorporation of the environmental measures of the
action program in the licenses.
        The purpose of the study is:

        •  To investigate the extent of the implementation of agreements made between
          the companies and government in accordance with the target group policy.
        •  To identify bottlenecks, if any, in the agreements made.
        •  To set up, if necessary, a follow-up program to ensure that any environmental
          measures  not yet implemented will still be complied with.

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                                                             HUURDEMAN, WlM   463
1.4     Structure and approach to the project

        The study was carried out by inspectors of the Inspectorate for the Environment, who
inspected the companies with the assistance of a special questionnaire. This questionnaire
was discussed beforehand with the  parties concerned, including the Association of the Wood
Preservation Establishments and the Association of Netherlands Municipalities (VNG). The
questionnaire gave particular attention to the following:

        •  Compliance with the target group agreements (the action program) and
          relevant existing legislation.
        •  The situation with  regard to the introduction of company environmental
          management.
        •  The quality of the current license issued in accordance with the Environmental
          Management Act in relation to the target group agreements.
        •  The quality of the supervision by the competent authority, the municipality.

        The visit to the company was prepared by examining the dossiers about the company
and any other relevant information. The company was informed of the visit in advance. In most
cases the company was visited  together with the competent authority. The companies were
visited in the autumn of 1994. All 36 wood preservation companies operating in the Netherlands
that use the impregnation method known as the vacuum pressure method were involved in the
study. The study did not extend to other methods of preservation or protection such as dipping or
painting the wood.
2       THE CHARACTER OF THE WOOD PRESERVATION INDUSTRY

2.1     Preservation of wood

        Unlike hard wood soft wood is susceptible to fungal attack. Wood will be attacked by
fungi when it is in contact with soil and water, and in general under moist conditions, and it will rot.
Under these conditions wood can be made to last longer if it is preserved. This can be achieved
by painting the wood or impregnating it with chemicals which are poisonousto fungi (fungicides).
        The most effective method of impregnating the wood is the vacuum pressure process.
In this process the wood is placed in an impregnating tank, which is then evacuated to extract
moisture and air. Then the impregnating agent is forced into the wood at elevated pressures.
        The impregnating agents most commonly used in the vacuum pressure process are
creosote oil or metal salts. Creosote oil consists of polycyclicaromatics (including benzapyrene)
and phenols. Superwolmansaltis the most-used metal salt, being a mixtureof chromium, arsenic
and copper salts. Salts based on copper and chromium and on copper salts, either with or
without ammonium salts, are also used on a large scale.
        When the wood is impregnated with salts then these must be fixed in the wood. In a
fixation process the salts are  physically and chemically bonded to the wood.  The degree of
fixation determines  the leaching behavior of the metal salts. Fixation can take place naturally
during a number of weeks, but it can be improved and accelerated by a treatment with hot air or
steam (steam fixation).
        Thirty-sixcompanies belong to the branch of industry which impregnates wood with the
vacuum pressure method in the Netherlands. The majority of these companies impregnate the
wood with salts. Four companies use creosote oil in the impregnation process. The total amount

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464    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
of wood impregnated each year is about 290,000 m3, of which 45,000 m3 is impregnated with
creosote oil. There are quite a few smaller companies in the industry; togetherthe fifteen smallest
companies produce about  10% of the total amount of impregnated wood. The degree of
organization in the industry  is limited. About half of the companies are members of the trade-
association, the Association of Wood Preservation  Establishments in the Netherlands. With a
few exceptions the larger companies (annual production >10,000 m3) are all members of the
association. The members of this association together produce 77% of the impregnated wood.


2.2     Environmental impact

        The nature and the extent of the environmental impact of the wood preservation
companies is related to the nature of the impregnating agents used (see paragraph 2.1). Arsenic
is a black  list1 substance for the compartments air, water and soil.  Chromium  is a black list
substance for air, and like copper it is also a priority substance.2 Emissions of copper, chromium
and arsenic salts to the compartments soil and water can occur during the production process
and during the storage of impregnated wood (leaching by rainwater).
        The impregnation process using creosote oil is carried out at a higher temperature (80
°C). As with metal salts, emissions can occur to soil and water. In this process the emission to
the atmosphere (and thus also the smell) is of relevance. In The Netherlands the emission of
polycyclicaromatics as a result of wood impregnation was estimated to be 320 tons (80% of the
total emission of polycyclic aromatics by industry) in 1985. This is why additional agreements
were made with these companies to reduce the emission of the compounds to the atmosphere
(90% reduction in 1994 compared with the reference year 1985).
        Leaching of the impregnation agents can occur during the useful life of impregnated
wood, resulting in diffused distribution in the soil. If waste wood is disposed of by uncontrolled
combustion, then heavy metals, especially arsenic, can also be spread in the environment via
the air. The ash from this wood  also has high concentrations of heavy metals, which can also
lead to diffuse distribution of these metals in the environment.
3       RESULTS

        When the Inspectorate for the Environment visited the companies an inspection was
made of the extent of the execution of the agreements in the action program. In particular an
investigationwas made of the extent to which the environmental measures in the action program
had been implemented also when these measures had not been included, or only partly included,
in the current environmental license. This investigation had the aim of gaining an insight of the
extent to which the environmental tasks as agreed on with the trade-association were being
executed by the individual companies. In addition to this investigation of the implementation of
the environmental measures the study also investigated the agreements on the reduction of
emissions of polycyclic aromatics by the creosoting  companies and the introduction of
environmentalmanagementsystems.

3.1     Execution of the environmental measures from the action program

        A selection of the most important measures in the action program was used to draw up
a checklist, and this was worked through during the inspection of the company. The questions
were clustered in company departments or activities (ten clusters). After the assessment of the
results from the individual questions seven clusters were then awarded a final score. Figure 1

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                                                            HUURDEMAN, WlM  465
shows a summary of the average scores of these clusters, after which the results for the different
clusters are discussed in more detail.
Figure 1.    Average score for the implementation of the environmental measures in
            the action programme per cluster of company departments. A score of 1
            signifies poor implementation or no implementation at all; 5 signifies
            excellent implementation
     Scores
        4.1
4.1
           1  = impregnation installation and surroundings
           2  = exit track of impregnation process
           3  = storage of salt solutions and creosote oil
           4  = storage of vessels of impregnation agents
           5  = approval of impregnation installation
           6  = post-treatment installation
           7  = storage of impregnated wood
           8  = average score of the clusters
3.1.1    Impregnation installation and surroundings
        The execution of this part of the action program required the presence of provisions in
the impregnation area such as liquid catchment, measuring and control equipment and floors
impermeable to liquids. Three-quarters of the companies complied with this part of the action
program. Two companies met almost none of the requirements.

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466    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
3.1.2   Exit track of impregnation process

        Particularattention was given to the catchment of the liquid released during the removal
of the wood and to the presence of floors impermeableto liquids. More than half of the companies
that impregnate with salt complied with this part of the action program. Four companies fell far
short of the requirements. With three of the four companies impregnating with creosote oil the
compliance was poor or unsatisfactory. In particular it was seen that the companies which did
not meet the requirements in this part of the process lacked good facilities to catch the impregnation
liquids.

3.1.3   Storage of salt solutions and creosote oil

        This part deals with the storage of salt solutions in the storage reservoir, the mixing tank
and of the storage of creosote oil in above ground steel tanks. The agreements in the action
program cover optimum and safe storage conditions to prevent the undesirable release of the
impregnation agents to the surroundings. Three-quarters of the companies complied with this
part of the action program. Three  companies complied with only a few sections  of the
requirements. A feature that was relatively frequently missing was the high level or overfilling
protection on the salt solution storage reservoirs.

3.1.4   Storage of vessels of impregnation agents

        The directives of the Committee for the Prevention of Disasters, CPR 15-1 and 15-23
of the Netherlands apply to the storage of impregnation agents in vessels as received from the
supplier. Twenty-onecompanies have a method of storage of the impregnation agents such that
they should comply with these directives. More than half the companies observed these directives
to a high level. Nine companies clearly did not comply with the directives. In particular this was
because the storage room itself did not comply with the regulations (for example the storage
area was not separated from other activities) or because the impregnation agents were not
stored separately from other materials.

3.1.5  Approval of impregnation installation

       The impregnation of wood is carried out in tanks subjected to both vacuum and pressure.
The tanks must therefore be periodically approved by a recognized agency. The agreements on
this point in the action program were complied with by two-thirds of the companies.

3.1.6   Post-treatment installation

        Eighteen companies impregnating the wood subject it to a post-treatment process with
steam or hot air (fixing process). The agreements in the  action program  covering the post-
treatment installation are aimed in primarily at the prevention of leakage. All the companies
catch and reuse the liquids released during fixation. Sixteen companies complied with the
agreements in the action program. Two companies did not comply with the agreements. One
company had a catchment reservoir which is not completely leak-free and  the other company
transported the wood to the post-treatment installation using a route which is not provided with a
ground surface impermeable to liquids. The other companies use natural fixation instead of a
post-treatment process. In most cases this took place in a roofed area. Two  smaller companies
made do with the use of tarpaulins.

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                                                             HUURDEMAN, WlM  467
3.1.7    Storage of impregnated wood

        In the action program it was agreed that impregnated wood should in principlebe stored
in an area with a floor impermeableto liquids. The companies using the salt impregnation process
can catch the rainwaterrunning off the wood in a buffertankand reuse it. Alternativelythe storage
area can be roofed over, so avoiding contamination of the rainwater through leaching of the
impregnation agents from the impregnated wood. The study shows that one third of the companies
have realized this situation to a far-reaching degree. About half the companies have a storage
area of which part of the ground is impermeable to liquids or roofed over. The wood which has
recently been impregnated is stored in this area, and then after a few weeks moved to an area
where no provisions have been taken to protect the soil. The other half of the companies had a
storage area which was completely or partly paved with bricks or an asphalt surface which was
cracked.

3.2     Checking the quality of the soil

        The environmentalmeasuresin the action program provide for the periodic investigation
of the quality of the soil in the storage area. When the storage is in an area in which the surface
is impermeable to liquids, then the agreement is that the groundwater be sampled once every
five years and analyzed for the presence of the impregnation agents used by the company.
When the storage is in an area where the surface is not impermeableto liquids, then the soil and
the groundwater are to be sampled once a year and the samples analyzed for the presence of
the impregnation agents. In both cases the soil should be examined before December 31,1994.
It was found that this investigation has actually been made by only a limited number of companies
(four). The results are sometimes difficultto interpret because of earlier soil pollution. They indicate
that the  influence of leaching on soil contamination is limited. Eight companies had plans to
carry out the soil examination in mid 1995. At the time of the study the other 24 companies had
as yet no plans.

3.2.1    Leaching tests

        One of the possible causes of earlier pollution of the soil is the leaching of impregnation
agents from the stored preserved wood. In the action program agreements were made about
the leaching standards for wood impregnated with salts or creosote oil and the annual checking
of these standards. The study shows that all the companies, except four, have the annual check
carried out and meet the specified leaching standards. Nearly 80% of the companies who  have
this leaching test carried out are in the possession of a certificate with a paragraph on the
environment which includes an explicit statement about the leaching standard.

3.2.2    Soil examination and clean-up

        In addition to the periodical soil examination the action program also specifies that a
preliminary soil analysis for the quality of the soil and the groundwatermust be carried out before
October 1,1992. To date 31 of the 36 companies have carried out an examination of the soil.
Table 1 shows a summary of the analyses of these samples.

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468     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Table 1.   Number of companies where soil contamination has been found
Contamination of soil and groundwater
All parameters under the intervention level(4)
One or more parameters above the intervention
level
Number of
companies
17
14
       When one or more intervention levels were exceeded at the fourteen companies then
this was for the heavy metals (especially arsenic) and polycyclic aromatics. Of the twelve
companies where the intervention levels were exceeded one company has nearly completed
the clean-up of the soil, two companies have started the clean-up, five companies have plans to
clean-up the soil and four companies have as yet no plans.4

3.3    Reduction in the emission of polycyclic aromatics by creosoting companies

       In addition to the other agreements the companies impregnating with creosote oil had
also agreed to use only high boiling point creosote oil (with a distillation range such that at
300°C a maximum  of 5% volatile constituents are present) from 1  July 1994. The aim is to
reduce the emission of polycyclic aromatics into the atmosphere by 90% as compared with
1985. Three of the four companies complied with this requirement at the time the study was
made. At the time one of the four companies was still using a creosote oil which contained 45%
volatile constituents at 300°C. Since the study this company has also switched to high boiling
point creosote oil.

3.4    Company environmental management

       Acompanyenvironmentalmanagementsystem is an importantmeans of implementing
and managing the measures resulting from the target group discussion in individual companies.
The initiative to introduce such a system in the wood preservation industry has been allocated to
the trade-association.
       In the action program it was agreed that the companies would submit a company
environmental plan to the competent authority by October 1,1992,  which was to contain an
explanation of how and when the environmental measures were to be implemented. In a later
stage it was agreed with the Association of Wood Preservation Establishments in the Netherlands
that this company environmental plan would form part of the future environmental management
system for this sector of industry.

3.4.1   The role of the trade-association

       The Association of Wood Preservation Establishments in the Netherlands fulfilled its
duty by arranging for the development of a model management system. The-system is largely
based on BS 7750 (British Standard) and was completed in mid 1993. The system is documented
in an environmentalmanagementmanual. The contentsof the manual includea statement of the
environmental policy and general information about environmental legislation and regulations of
relevance to the industrial branch. The manual also contains a checklist which companies can
use to assess to what extent the agreements from the target group policy have been implemented.

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                                                          HUURDEMAN, WlM  469
On the basis of this assessment the companies can draw up a company environmental plan, so
that the shortcomings can be rectified. The trade-association promoted the introduction of the
environmental management system with newsletters, an instructional video tape, meetings of
company environmental coordinators and the organization of a symposium. The non-members
of the trade-association also participated in the symposium and they received copies of the
instructional video tape.

3.4.2   Introduction by the companies

       Members of the Association of Wood Preservation Establishments have copies of the
environmental management manual as drawn up by the trade-association. Of the other companies
(the approximately 50% non-members), three had an environmental management manual which
had been drawn up on their own initiative. Four companies had drawn up a (simple) company
environmental plan based on the environmental measures in the action program. The other
companies had not yet made any attempt to develop a company environmental management
system or even a simple company environmental plan. Except for one company none of these
are members of the trade-association. Most are small companies; their combined production of
impregnated wood is less than 10% of the total production in the Netherlands and in most cases
they have less than five employees.
Figure 2.  Development of company environmental management (CEM) systems by
          the wood preservation companies in the Netherlands
     20
     16
     10
       Number of companies
           Qood development of CEM     Insufficient development of CEM

                                                            14
              Member of Association     7771   Non-member of Association

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470     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
       The possession of an environmental management manual is a condition for a company
environmental management system, but it does not guarantee that it is actually used in practice.
This proposition is confirmed by the results of this study (see Figure 2). Only half of the members
of the trade-association who had a  copy of the association's manual had  worked on an
environmental management system. Evidence of working on such a system is the possession of
a clear program of the environmentalmeasures which are to be taken (planning, responsibilities,
safeguards), thorough integration in company management (clearly defined responsibilities)
and the existence of, or plansfor, an internal environmentalreport. The formulation of an external
environmental report is receiving attention from the companies (five companies have plans for
this report), but at the time of this study the reports had not yet been drawn up. The general
situation was similar for the three companies which had independently developed a company
environmental managementsystem.
Table 2.   Summary of the agreements in the action program incorporated in
          environmental licences
  Measures fom Action Program in the License
Number of Companies
          All measures

          The majority of the measures

          A few of the measures

          No measures
          8

          7

          7

         14
        The other members of the trade-association have until now given insufficient attention
to the introduction  of the company environmental management  system as provided the
association. In a number of cases there was a plausible reason (the company is just starting up,
there is  a changeover to a new method of process control), but the general picture with this
group was not very positive.

3.5     Incorporation of environmental measures in the license  issued by the
        municipality

        An important part of the requirements for environmental protection which must be met
by a company are included in the environmental license. For each of the 36 companies in this
study an investigation was made of which licenses were required, which have been issued, and
in how far the licenses were up to date. The licenses were also assessed on their contents. In
this assessment special attention was given to the extent to which agreements in the action
program had been incorporated in the license issued by the competent authority (the municipality).
All companies possessed a license as required by the Environmental Management Act of the
Netherlands. Of these 36 environmental licenses eighteen had been issued before 1990; the
average year of issue for all companies was 1987.

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                                                             HllURDEMAN, WlM  471
        The action program for the wood preservation industry came into force in May 1992. It
was agreed with the municipalities that the environmental measures from this action program
would be incorporated in the licenses with priority. The study included an investigation of the
extent to which this agreement had been honored by the end of 1994.

Table 3.  Summary of the number of company inspections by municipalities
Number of inspections in the two years
preceding the study
None
One, two or three inspections
Four inspections
Five inspections of more
Number of
companies
8
18
6
4
        In view of the average year of issue of the license this result is not surprising. The reasons
for the backlog were stated to be uncertainty over the future plans of the company and having
other priorities. In a number of cases it was found that the municipality was not sufficiently aware
of the existence of the action program. Most companies, certainly the largerones, are thoroughly
familiarwith the environmental measures in the action program. The average quality of the licenses
was assessed as not very satisfactory (score 2.9 on a 5-point scale). The most important
inadequacies of the licenses concerned protection of the soil.
        The quality of the licenses of companies which are members of the Association of
Wood Preservation Establishments in the Netherlands is in general better than that for non-
members (average score 3.2 compared with 2.6). This does not mean that all members had a
satisfactory license. In five cases the license was judged to be unsatisfactory. Conversely, three
companies which are non-members had a satisfactory license.
3.6
Enforcement
        During the study an investigationwas made of the way in which municipalitiessupervise
compliance with the environmental license. As part of their enforcement task the municipality
should regularly visit each company to which it has issued a license. During this visit the
municipality should preferably give attention to all relevant environmental matters. Part of the
procedure is the reporting of the findings, and informing the company of these. If necessary the
municipality can resort to administrativepowers, criminal proceedings and sanctions.The number
of inspections made by the municipality in the two years priorto the study were investigated. The
standard for this kind of company has been specified as two inspections each year.
        Eight companies had not been subjected to any inspection by the municipality in the
previous two years. The final assessment of the quality of the enforcement was based on the
frequency of the inspections and a number of qualitative aspects (degree of supervision, written
reports and follow up). The average assessment of the quality of enforcement - which of course
was influenced negatively by the  simple fact that about one quarter of the companies had not
been inspected at all —  is not very satisfactory (score 2.9 on a 5-point scale).

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472     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
  Figure 3. Relationship between the implementation of the environmental measures
           in the action programme with other factors. Score: 1 = poor
           implementation, 5 = excellent implementation
   Scores
   1
   2a
   2b
   3a
   3b
   4a
   4b
   5a
   5b
                                                   4b
                                               5a
5b
= average score of the clusters
= licence of good quality
= licence of bad to moderate quality
= sufficient enforcement
= insufficient enforcement
= member of Association
= non-memberof Association
= good development of Company Environmental Management System
= insufficient development of Company Environmental Management System
       DISCUSSION
4.1     Relationship between the implementation of the action program and other
       factors

       The previous chapter described the way in which companies have fulfilled the
agreements made as part of the target group policy. Figure 1 (section 3.1) showed that most
parts of the action program are being executed in a manner which can be described as good to
reasonable.
       This paragraph will investigate whetherthere is a relationship between the execution of
the action program and the following factors:

       •  Incorporation of the action program in the environmental license.

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                                                            HllURDEMAN, WlM  473
       •  Quality of the enforcement.
       •  Membership of the Association of Wood Preservation Establishments in
          The Netherlands.
       •  Development of company environmental management.
       The results of this analysis are summarized in Figure 3. In each case the average score
for the implementation of the environmental measures in the action program is shown for two
contrary situations (for example good against poor).

       •  The incorporation of the action program in the environmental license (2a/2b
          in Figure 3).

       On average it can be seen that for five of the seven sections of the action program
       investigated the execution of the measures in the action program is better when
       these measures are incorporated as regulations in the license.

       •  The quality of the enforcement (3a/3b in Figure 3).

       It can be seen that when the quality of enforcement is good (score 4 or more, see
       section  3.5) the execution of the action program is on average better than for
       companies where the quality of enforcement by the municipality is found to be poor
       (score 2 or less).

       •  The membership of the Association of Wood Preservation Establishments
          in The Netherlands (4a/4b in Figure 3).

       It can be seen that members of the trade-association have on average carried out
       a better implementation of all parts of the action program than the companies that
       are not members. But there are also members who have implemented the program
       to a lesser extent, just as there are nonmembers who have carried out a better
       implementation of the program. The members of the trade-association produce
       77% of the yearly amount of impregnated wood. All of the larger companies, with
       one exception, are members of the trade-association. These companies have
       correctly executed of most of the environmental measures in the action program.
       The agreements about the storage area for impregnated wood have been at best
       partly implemented by all companies, including the larger companies.


       •  The development of company environmental management system (5a/5b
          in Figure 3).

       An impression of the influence of an environmental management system which is
       working as it  should on the  behavior of companies in their compliance with
       environmental regulations was obtained by comparing the scores for compliance
       with the environmental measures in the action program (see section 3.1) with each
       other. The group which had been judged to have a reasonable to good management
       system scored on average 3.9, whilst the group which has no effective management
        system  had a lower score of 3.5. Howeverthis lattergroup does contain companies
       which have achieved a (very) high level of implementation of the environmental
        measures.

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474    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
4.2     Licensing and enforcement in relationship to company environmental
        managementsystem

        A good company environmental managementsystem gives an insight into the emissions
caused by the company and the risks, the measures which have been taken or are to be taken to
minimize them and the effectiveness of the measures. These factors are also of importance for
the issue of the environmental license and its enforcement. It is reasonable to suppose that the
competent authority takes the existence of a company environmental managementsystem into
considerationwhen issuing the environmental license, reporting incidents and with enforcement
activities. This section investigates whether this is the case.
        When companies had a good environmental managementsystem at the time the license
was issued (which was the case with three companies) then the municipality used this company
environmental management system to issue the license by incorporating parts of it in the license
or by referring to it in the license.
        There are more contacts with companies during supervision (enforcement) than when
issuing licenses. The study shows that with enforcement activities a good environmental
managementsystem played an important role in only half of the cases. The reason given for the
limited attention was that the management system is not (yet) part of the license, and therefore is
not of significance with regard to enforcement. This is, strictly speaking, a legitimate argument.
Nonetheless it would be advisable not to wait until the system is part of the license, but to make
a start with giving attention to the company environmental management system during inspections.
The role of companyenvironmentalmanagementsystems will obviously become more important
in the future; and companies experience the active use ofa company environmentalmanagement
system as an environmental effort. Conversely the situation must be avoided where companies
think of a good environmentalmanagement system asa reason to consider'normal'enforcement
activities to be superfluous.
5      CONCLUSIONS

       The following conclusions can be drawn from the study made by the Inspectorate for
Environmentinto the compliance with the 'Action programforEnvironmentalMeasures for Wood
Preservation Companies'. These conclusions concern the companies, the trade-associations
as well as the municipalities.

5.1     Implementation of environmental measures by the companies

       All the large companies have implemented the majority of the environmental measures
in the action program. This is also the case for most of the smaller companies. The environmental
measures covering the impregnation process as such (impregnation and fixing) have been
correctly implemented by most of the companies. The observance of directive CPR15-1 by the
companies impregnating with metal salts leaves much to be desired. The implementation of the
agreements about the exit track from the impregnation tank by the companies impregnating with
creosote oil was only moderate to unsatisfactory.
       The environmental measures in the action program covering the storage space for the
impregnatedwood have been implementedto only a limited extent. Two-thirdsof the companies,
including larger companies, store impregnated wood in the open and on a surface which is not
impermeable to liquids. At the time of the study periodic soil examination in the storage area
had not been implemented by the companies, including the largerones. The companies consider

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                                                            HUURDEMAN, WlM  475
the environmental measures concerning the storage of impregnated wood to be too strict. A
number of companies have also indicated that as the result of the use of better impregnation and
fixing techniques, the amount of leaching during storage has been reduced to such a degree that
the risk of soil pollution during storage is negligible.
        In general members of the trade-association have implemented the action program
betterthan non-members.

5.2     Reduction in the emission of polycyclic aromatics by the creosoting companies

        All four creosoting companies active in the Netherlands use high boiling point creosote
oil. This is as such a proper implementation of the agreements made to reduce the emission of
polycyclic aromatics by the creosoting companies.

5.3     Introduction of company environmental management

        The trade-association has correctly carried out its role in the introduction of environmental
management systems by individual companies. The introduction of an environmental management
system has been carried out correctly by one third of the companies. In general these companies
have implemented the environmental measures in the action program betterthan the others.
Eight of these companies are members of the trade-association. One third of the companies
have done nothing towards a company environmental management system. These are smaller
companies, in most cases fewer than five employees.

5.4     Incorporation of the measures in the environmental license by the municipalities

        All companies have licenses as required by the Environmental Management Act. A
quarter of the licenses were issued after the action program came into force (1992). In two-thirds
of the licenses the environmental measures in the action program are not incorporated or only
marginally incorporated. In qualitative terms these licenses are unsatisfactory. Individual
municipalities have given insufficient attention to the agreement which was made to give priority
to incorporateenvironmental measuresfrom the action program in the licenses. The main reason
given was that the municipalities have other priorities. In some cases the municipality did not
know of the action program.
        When the environmental license includes the environmental measures from the action
program then the implementation is better.

5.5     Enforcement of the environmental license

        The supervision by the municipalitiesof the compliance with the regulations of the license
is not yet in all cases at the required level. Three-quarters of the companies  have had one or
more integral inspections with regard to compliance in the last two years. One quarter of the
companies have had no inspections at all. Just one-third of the companies  have undergone
inspections at the required frequency.
        Correct enforcement has a positive influence on the  implementation of the action
program.
        The general conclusion  is that  most  of  the companies have implemented  the
environmental measures in the action program in a way which can be considered as good to
satisfactory. The municipalities have lagged in the incorporation of the environmental measures
in the license. It would appear that environmental management has become part of company
thinking to an extent such that agreements that have been made are being honored - and are

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476    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
being honored even when they are not incorporated or only partly incorporated, in the environmental
license. Considered in the light of the target group policy this is a positive development. It shows
that for environmental protection the covenant has had a greater value than the traditional
instrument of the license. The passive attitude in general shown by  the municipalities in
incorporating the environmental measures from the action program in the environmental license
has had a negative effect on enforcement- after all agreements are not of a nature such that they
can be enforced. It should be realized that the wood preservation industry is a small and very
homogeneous branch of industry, with a high degree of organization, where the trade-association
plays a very active part in the area of the environment. This, together with the fact that the action
program  consists of a  set of concrete measures,  creates optimum conditions  for the
implementation of the target group policy.
6       RECOMMENDATIONS

        The recommendations which can be made based on this study by the Inspectorate for
the Environment are grouped together for the various participants concerned.

6.1     Municipalities

        •  Those licenses issued in accordance with the Environmental Management
          Act in which the environmentalmeasures in the action program have not yet
          been incorporated to a  sufficient extent should be updated. When this is
          being done priority should be given to the companies which have not yet
          implemented the environmental measures to a sufficient extent.
        •  When issuing licenses the company environmental management system
          should be used where  this is available.  Company environmental
          management systems should receive attention during inspections.
        •  The frequency of inspections should be increased to the required level. Those
          companies which have  not yet implemented the environmental measures
          from the action program should receive a high priority.


6.2     Trade association

        •  The  stimulation  and monitoring of the introduction  of the company
          environmental management system developed for the industry should be
          continued. Extra attention should be given to the smaller companies and
          solutions more suitable to their needs should be made available to them.
        •  Active attempts should be made to increase the degree of organization
          within the wood preservation industry. During these attempts the smaller
          companies active in the industry should not be forgotten.

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                                                            HUURDEMAN, WlM   477
6.3    Wood preservation companies

       •  The environmental measures in the action program which have not yet been
          implemented should be carried out. In particular attention should be given
          to the agreements made about the periodical examination of the ground
          where impregnated wood is stored.
       •  More efforts should  be  made to introduce a company environmental
          management system, where the model developed by the trade-association
          should be used.
        ENDNOTES

1.    Substances on the black list are so designated because of their detrimental influence on
     the environment. In the Netherlands the government is making efforts which include the
     elimination of pollution by substances on the black list.
2.    Priority substances are so designated because the risk (the combination of exposure
     and properties) they cause is greater than the negligible risk. In the environmental policy
     these substances receive special attention.
3.    Directives from the CPR (Committee for the Prevention of Disasters) for the storage of
     dangerous substances; CPR 15-1 is applicable for amounts up to 10 tons, CPR 15-2 for
     amounts above 10 tons.
4.    When the intervention level is exceeded then the pollution of the soil is deemed to be
     serious, and clean-up measures are required.
        REFERENCES

     National Environmental Policy Plan, May 1989; National Environmental Policy Plan Plus,
     June 1990; National Environmental Policy Plan 2, December 1993.
     Circulaire Werkprogramma milieumaatregelen bij houtimpregneerbedrijven ('Action
     program for environmental measures for wood preservation companies'), May 1992
     (available only in Dutch).

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478     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                        SPECIAL TOPIC F: MEASURES OF SUCCESS  479
                   SPECIAL TOPIC WORKSHOP F

                           Measures of Success
Papers and Workshop F discussions address the following issues:

       •  What success is for a compliance and enforcement program:
          -  100 percent compliance with 100 percent perfect permits or licenses,
             or if it is less than this, how success should be described;
          -  environmental improvement and,  if so, how improvements can be
             attributed to implementation of compliance and enforcement programs
             (e.g., emissions or effluent reduction; improved practices; accurate
             reporting and monitoring);
          -  implementation of a specific strategy  (e.g., numbers and types of
             inspections performed; enforcement response (type, timeliness, whether
             policy is followed); penalties and sanctions (number, levels, whether
             policy is followed), dollars spent on compliance programs; and
          -  how we can assess whether our priorities are correct.

       •  Whether to consider the success of compliance monitoring in terms of:
          -  inspections of a percentage  of the regulated community (Broad
             presence);
          -  inspections of the worst noncompliers. At the most significant sources
             of pollution (Targeting); and
          -  ability to detect significant violations.

       •  How we can measure the deterrence created by enforcement:
          -  levels of penalties and extent of sanctions imposed and whether this
             measures our success, failure, or both; and
          -  repeat violator rate; return to compliance; excess emissions reduced,
             etc.

       •  Cost and reliability of obtaining information on success and results.
       •  The audienceformeasuresof success and whetherthedifferentaudiences
          require different information.
1.   Summary of Measures of Success Workshop, Facilitators: J. Peters,
    C. Wasserman, Rapporteur: J. Mozingo	 481

2.   Measuring the Success of Compliance and Enforcement Programs, R.F. Duffy	489

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                                  SUMMARY OF WORKSHOP: MEASURES OF SUCCESS  481
MEASURES OF SUCCESS

       Facilitators: Jit Peters, Cheryl Wasserman
       Rapporteur: Jack Mozingo
       GOALS

       Workshop participants focused on the following questions:
       •  What is success for a compliance and enforcement program and what are
          the results for which we are looking? Who is the audience for measures of
          success? Do the different audiences require different information?

       •  How do  we measure the  results of our compliance and enforcement
          programs and the effects of enforcement? How can we get quantitative
          assessments that are meaningful and what are reasonable surrogates?
          How do we assess quality? (e.g. of inspections) What is the cost and
          reliability of obtaining information on success?
       •  How do we use the measures to help manage programs? How do we relate
          what is done to the results? How do we assess success of actions against
          goals and whether our priorities are correct? How can we set reasonable
          goals? How do we ensure compliance is the goal rather than enforcement?
       •  What performance measures should be used by the regulated community
          in implementing compliance objectives under IS014000?
       •  How can we communicate success so the  public understands and
          appreciates accomplishments?
1      INTRODUCTION

       Effective management of environmental  compliance and enforcement programs
depends on our ability to communicate program success and progress through appropriate
quantitative and qualitative measures. Such measures allow managers to track resource use
and the effectiveness of activities, communicate with the public and gain program support,
convince the regulated community of the importance of compliance and consequences of
noncompliance and relate a degree of success to particular sets of activities so adjustments
can be made to ensure program effectiveness. Participants discussed challenges in coming up
with meaningful measures, developing and communicating accurate information, and relating to
a range of purposes and audiences for this information.
2      PAPERS

       A paper by Richard Duffy entitled, "Measuring the Success  of Compliance and
Enforcement Programs" in the Proceedings describes the evolution of the use of measures to
manage, evaluate, and communicate program success within the United States and current
attempts to enhance the use of environmental indicators (e.g. pollutant loadings reduced,

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environmental quality restored or changed) in addition to traditional measures of activities (e.g.
numbers of inspections, numbers of enforcement actions), compliance results (e.g. rates of
compliance, return to compliance of significant violators) and enforcement results (cost of
injunctive relief, value of supplemental environmental projects, timeliness and appropriateness
of enforcement response, levels of fines and length of jail terms). The "Principles of Environmental
Enforcement" text chapter on accountability and evaluation proposes a list of measures and
their potential use in program management, advantages and disadvantages.
3       DISCUSSION SUMMARY

3.1     Defining "success"

        Discussion first centered around the question of what "success" is for an environmental
compliance and enforcement program. Participants generated a list of possible ways to define
success including:

        •  Creating an atmosphere or culture of compliance; increase in the rate of
          compliance; no violations.
        •  Improvingenvironmentalquality- reducing water pollution, air pollution, etc.
        •  Depending on objectives, success could be:

           - fewer demonstrations (e.g. public satisfaction)
           - reduced government role
           - least cost to encourage compliance
        •  Achieving  something that gives a feeling of pride and accomplishment in
          our work; something "to feel good about".
        •  Reduction in repeat violators and/or success in attacking the hard core of
          noncompliance.
        •  Enforcement response achieves intended results.
        •  Inspections are of good quality, appropriately detect violations.
        •  All of the above, in a continuous improvement model.

        The participants concluded that, "there is no one magic formula". Each of these ways of
measuring success were valid when viewed in the context of various program objectives.

3.2     Why Measure Success and for whom?

        In exploringthe purpose for measuring success it became apparentthatthereare many
potential reasons for measuring success, including to:

        •  Know what you are doing.

        •  Evaluate how well you are doing:

           - link activities, results, and goals
           - improve the approach to enforcement and compliance
           - assess the effectiveness of specific compliance and enforcement tools

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                                   SUMMARY OF WORKSHOP: MEASURES OF SUCCESS  483
        •  Justify budget/resources: to stay in business.
        •  Motivate:

           - the regulated community to comply
           - enforcement and compliance agency personnel
           - public support

        •  Take credit for improvements (where other factors may also apply) for both
          professional and personal reasons.

        The range of reasons also correspondedto a range of potential audiencesfor measures
of success including internal management, budget and resource managers, the general public,
the regulated community and officials who must support decisions on resources and authorities.
During discussions and sharing of experiences, it became apparent that what may be a good
measure for one purpose may not be useful for another purpose. Participants concluded that
measures should be related to specific program objectives, but also to these different audiences
and purposes.
        Participants also agreed that a number and range of measures are needed to address
a range of audiences and purposes and that no single measure will satisfy all needs even for a
single audience. Programs need a range of measures and these must be suited to specific
audiences and purposes. The concept of "measuring success" was also challenged in that it
may place too much emphasis upon "success" rather than "progress" thereby raising expectations
prematurely in early stages of program implementation which may take sometime to yield results.

3.3     Measures in use

        Participants  listed many different  measures potentially and currently used by
environmental compliance and enforcement programs, including:

        •  Number of inspections.
        •  Number of violations.
        •  Rate of compliance.
        •  Types and targets of noncompliance.
        •  Amount of fines.
        •  Industry composite indicators.
        •  Stopping pollution sources.
        •  Extent to which industry is committed to environmental goals.
        •  Correction of noncompliance.
        •  Number and type of enforcement responses.
        •  Stopping environmentally damaging projects.
        •  Reduction in pollutant loadings.
        •  Amount and cost of pollution control equipment.
        •  Public awareness and participation: increasesin number of visits to library,
          hearings requested, demonstrations.
        •  Increase in agency budget.
        •  Degree of public and/or parliamentary attention and support.

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484     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        •  Number and time to respond to complaints.


3.4     Measuring success: current experiences

        Participants shared individual experiences with successful program accomplishments
and measures used to describe them and manage for them. The result of these discussions
were a set of principles which cut across all the experiences.

3.4.1    Number of inspections performed by local governments: getting local
        government to fulfill commitments to inspect sources in the Netherlands

        In the Netherlands local governments have not undertaken environmental inspection
activities to the extent they were responsible under national law. Indeed many have not undertaken
any inspections.The national government providedfunds and established agreements with local
communities to undertake these inspections. The number of inspections compared against the
plan was used as a measure of success. This measure also provided an accounting of whether
funds were properly spent. Participants in the workshop discussions recognized that over time
the number of inspections alone would not be a good measure of success since there would be
further expectations in regard to what was done with the inspector findings of noncompliance in
order to demonstrate that the program of inspection and enforcement response was resulting in
compliance and environmental improvement.

3.4.2   Communicating with the public on non-compliance when success looks like
        failure: number of violations/types and targets of noncompliance (Norway
        example)

        In Norway, the Norwegian Pollution Control Authority for years has reported the number
of controls and the number of violations on an annual basis. Since one of the targets of the
agency's controls is companies with the highest possibility of having violations, the reports through
the years show little or no decrease in the number of violations. This has caused confusion since
many regard the report as a status of the environmental behaviorof industry. This news also was
received by the public as a failure rather than as a success since there were no other measures
of performance such as increasing rates of compliance. The Authority now stresses heavily that
the controlled companies are in no way a representative sample of Norwegian industry.
        Participants discussed the difficulty of finding measures of program success which
adequately communicated with the public. Discussion focused on the problem of interpreting
quantitative results without qualitative information about the status of the program and what the
trends mean. For example, an increasingnumberofviolationsisasuccessin a program seeking
to improve detection and a failure in a program trying to reduce the rate of noncompliance.

3.4.3   Increasing public support and involvement in industrial compliance (Thailand
        and Malaysia experiences)

        In programs  such as those of Thailand and Malaysia increased  numbers of public
demonstrationsare measures used to evidencean increase in desired public involvement. Other
workshop participants were at first very surprised at this measure of success since this activity
is considered a negative indicator in countries with a tradition of public involvement. Following
discussion it became apparent that because of the importance of political support for industrial
compliance, such activity is an indicator of an informed and supportivecitizenry and was therefore
a very good measure of program success given this objective.

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                                   SUMMARY OF WORKSHOP: MEASURES OF SUCCESS  485
3.4.4   Sending the deterrence message to the regulated community - problem of
        keeping up the trends: supplementing information on amount of fines and jail
        terms with environmental results measures (United States example)

        In the United States, a range of measures of activity (numbers of inspection, numbers
and types of enforcement response, timeliness of enforcement response), and results (compliance
rates, return to compliance by significant violators, fines, jail terms and investments in compliance,
prevention, and correction of damages undertaken through enforcement actions) are used on a
routine basis. Recent efforts to better communicate with the public and manage with more
consideration of environmental risk is resulting in new measures being added to address pollutant
loading reduced for each enforcement action, and cumulative environmental results wherever
possible to do so. The U.S. is trying to ensure environmental measures accompany every
enforcement action. In addition, measures have recently included expenditures on compliance
that result from enforcement actions rather than a focus just on penalties and fines, a surrogate
for benefits to the environment and indicator of strength of deterrence.

3.4.5   Potential for government officials to use emerging industry indicators of
        performance

        The industry representative at the workshop and Conference offered the perspective
and efforts of industry to find good measures of performance to support internal programs and
external communicationsand IS014000 commitmentto continual improvementin management
systems. One example is that used by Merck and Company, a Pharmaceuticals  company, to
develop a Composite Compliance Progress Indicator:

        •  Score of zero on facility index (private sector self-audit program). Index is
          based on several factors, among them:

          - number of incidents multiplied by relative impacts
          - publicity (amount and exposure of news coverage)
          - severity and number of violations per audit
          - amount of time to remedy

        •  Score is normalized for complexity of facility.

        Participantsobserved the potentialfor such industry developed measures to be adopted
by regulator agencies as well to establish trends over time.

3.4.6   Stopping pollution sources

        Mexico recently communicated its resolve to respond vigorously to violations by
presenting statistics on the number of pollution sources closed down. The case study from Israel
in the Proceedings related to closing and shutting down illegal hazardous and non-environmentally
sound land fills was also noted in the discussion. Participants felt that such measures can be
powerful in communicating a deterrence message, but in the long term may not alone serve as
the measure  of program success unless tied to broader program objectives and measures. In
the general context of industrial operations, shutdowns are in one sense success but in  another
a failureand with greater compliance.the numberwill presumablyfall and success will be difficult
to distinguish from a lack of governmentwill if there are fewer plant shutdowns. In the case of the
Israeli case study, the primary objective was to ensure proper waste disposal and the effect of
shutting down illegal or legal operations with their integrated strategy of providing sound

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486     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
alternatives depends upon the availability and use of alternative facilities. The discussion again
pointed to the importance of changing measures overtime to correspond to the maturity of the
program and its objectives and to putting such numbers in context.

3.4.7    Getting to environmental results: protection of shellfish beds through
        enforcement: use of staged measures (British Columbia, Canada example)
        Participants discussed the  lessons learned from this  experience including a) the
importance of environmental indicators of success where possible to communicate with both
the public and ultimate program strategic priorities; b) the delay in getting environmental results
data in implementing programs; and c) the life  cycle of a program and need for a range of
measures to be used in a program context.
        In British Columbia, Canada, where shell fish beds  needed protection enforcement
was identified as an essential means of achieving this goal. Measures evolved over time from
numbers of enforcement actions initiated and inspections undertaken in the early states to
penalties and clean up imposed through enforcement to eventually measure shellfish bed
improvements.
4       CONCLUSIONS

        There are many ways to define success for an environmental compliance and
enforcement program. Participants in this workshop developed a potential list of measures with
dozens of activity and result measures, but agreed upon several principles.

        •  A mix of quantitative measures and qualitative assessments is needed. No
          single statistic can be made useful particularly in the absence of qualitative
          information. They should  also reflect the full range of responses from
          encouraging compliance and providing incentives to enforcement response.
        •  There must be a linkage between  program objectives and measures
          appropriate to those objectives: Purposes may range from seeking to
          support requests for program resources, to assessing performance, to
          seeing if actions resulted in desired results, to assessing overall strategy
          and accomplishments. Measures of success identified  by participating
          countries ranged from counting inspections to measuring concentrationsof
          toxic pollutants in shellfish. They included reductions in government roles,
          reductions in repeat violators,  and increases in compliance rates. Within a
          specific context, what is success to one country may not be success to
          another, depending upon program development, life cycle, and other factors.
        •  We must also keep in mind that enforcementis only one part of the program,
          and cannot be separated.
        •  The ideal measure of compliance and enforcementsuccessis improvement
          in environmental quality, however: 1) it is very difficult since many other factors
          affect environmental quality; 2) indicators of enforcement or compliance
          activities such as numbers of inspections or numbers of penalties are
          necessary to know what we are doing; and 3) indicators of environmental
          improvement often require elapsed time before they are either available or
          reflect the benefits of enforcement activity.

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                                   SUMMARY OF WORKSHOP: MEASURES OF SUCCESS  487
        •  There appears to be a natural life cycle to a program  and what are
          appropriate measures of success at different stages of the program. For
          example, inspections will precede enforcement response will precede
          enforcement results such as fines, complianceand investmentsin pollution
          control and all of these will precede environmental quality improvements. In
          addition, from a management standpoint we can:

          - Initially measure enforcement organization activity: number of
             inspections, violations, fines.
          - Then, measure follow up to noncompliance: amount and size of fines.
          - As performance and  compliance improves, measure changes/
             improvements in technologies.
          - Once demonstrated, measure and report on environmental
             improvements.
        •  Multiple audiences for measures must be addressed and new sources of
          creative ideas developed for evaluating progress - potentially a preferred
          concept to that of measuring success.  Measures used  for internal
          management may be either insufficient or unconvincing for  our external
          audiences.
        •  Enforcement has a multiplier effect which must be taken into account in
          interpreting and using measures of success. It was noted that achieving
          reductions in substantive violations could lead to increased attention to other
          types of violations, such as reporting, record keeping, monitoring, etc., which
          cannot be measured in environmental result terms.
        We should work on the development of environmental indicators. Those are difficult to
relate to enforcementactivities since so many otherfactors affect environmentalquality. Several
leading industries have  developed composite  measures of their own  compliance and
environmental performance that might be useful including several shared with the group which
weighted number of incidents, their severity and the complexity of the facility's operations.
        In brief, there is no one magic formula.

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                                                           DUFFY, RICHARD F.  489
MEASURING THE SUCCESS OF COMPLIANCE AND ENFORCEMENT
PROGRAMS

DUFFY, RICHARD F.

Chief, Targeting and Evaluation Branch, Enforcement Planning, Targeting, and Data
Division, Office of Compliance, Office of Enforcement and Compliance Assurance,
U.S. Environmental Protection Agency, 401 M Street S.W., (MC 2221 A) Washington,
D.C. 20460, USA
       SUMMARY

       This paper reviews the history of the United States Environmental Protection Agency's
(EPA) efforts to measure the success of its enforcement programs, and it discusses recent
efforts to improve its measurement of the environmental and programmatic results achieved
through enforcement.  In preface to this discussion it is useful to introduce two axioms which
have been employed during EPA's past and current efforts to develop measures of success for
its programs. The first is stated in the positive and says that "what gets measured, gets done."
Under this axiom, well defined measures will encourage the  correct things to happen and the
quality of work will be high. The second is stated in a more cautionary tone and says "be careful
what you ask for, you might get it." Under this axiom, poorly defined measures of success, or a
management system overloaded with measures of low priority activities, may actually encourage
ineffectiveness and inefficiencies and result in unintended or  undesired outcomes.
       EPA is striving to employ measures of both environmental and compliance results,
rather than  relying solely  on measures of the activities of  EPA and state compliance and
enforcement programs. There are many challenges ahead in developing these results measures.
Among the most challenging tasks is developing measures which serve the multiple purposes of
helping managers manage and  communicating externally  to the public and the regulated
community about progress that has been made and the continuing importance of ensuring
environmental compliance.
1       MEASURES OF SUCCESS

        Measures of success are vital tools for effectively guiding and implementing compliance
and enforcement programs and communicating results to the public and policy makers. Information
about program activities and results, and information about what is happening at regulated
facilities, can ensure that individuals responsible for pursuing compliance and enforcement are,
in fact, doing so consistently and fairly using established procedures and strategies. This
information can help managers adjust compliance and enforcement programs to changing
conditions, and provide lessons learned as the program is implemented.  Periodic program
evaluations based on activity and results information gathered through the measures of success
serve many purposes including  evaluating  program goals, strategies, internal agency
accountability and public accountability, and creating deterrence among regulated facilities.
        Success can be measured in two basic ways. One involves  setting goals or targets
and then comparing actual activity to the goal. An example of this approach is establishing the
number of facilities that will be inspected during the year and then comparing actual performance

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with commitments. A second way of measuring success involves no formal commitmentsabout
output levels but instead tracks results by looking for trends and changes in conditions (either
environmental or programmatic) over time. Under either method, how the desired products or
results are defined is crucial to having effective measures and effective programs.
        Following the axiom "what gets measured, gets done," if measures are well defined the
program is more likely to be successful and produce the correct results. If, however, the measures
are poorly defined the management system may actually encourage ineffective and inefficient
activities. Like water flowing down a hill, organizations will tend to follow the path of least resistance.
If the measures of success are defined to give equal acknowledgment, for example, for issuing
a citation for a  minor infraction as is given for addressing a complex major violation at a big
facility through a lengthyjudicial action, a likely result is that many citations will be issued but few
complex violations will be addressed. Or, if the measures of success only acknowledge the
beginning stages of the enforcement process, and do not measure and create incentives for
completing those processes, it is likely that backlogs of unfinished work will accumulate.
        Along with sound definitions, it is also important that realistic goals be set. A balance
needs to be struck between making goals challenging for the organization and avoiding over
ambitious goals which may set up the organization and its staff for failure. While success can
never be guaranteed, if success in the terms defined by the management system is perceived
by managers and staff to be impossible to achieve, then the  management system will not be
creating proper incentives and will not be well received. The potential for these types of unintended
or  undesired outcomes makes it important during the process of defining measures and
establishing goals to bear in mind the management axiom "be careful what  you ask for, you
might get it."

1.1     The measurement spectrum

        Figure 1 represents the spectrum of performance measures for environmental programs.
The measures on the left of the spectrum have been used for some time by EPA's management
system to direct its highly decentralized media-based compliance and enforcement programs.
These programs are decentralized in ten regional offices. In addition to their many compliance
and enforcement tasks, the regional offices also monitor the progress of the media compliance
and enforcement programs that are operated by the fifty states. Much of the monitoring of state
efforts is through commitmentsand reporting carried out to implementthe measures of success.
        The spectrum ranges from relatively simple activity measureson the leftto sophisticated
environmental  indicators on the right.  Measures on the left side of the spectrum are well
establishedin EPA. These measures includenumbers of judicial and  administrativeenforcement
actions initiated, numbers of various types of inspections, level of monetary fines, and timeliness
of enforcement response. Consistent with the axiom that "what gets measured, gets done," the
management system has been very successful in encouraging and rewarding the assessment
of monetary fines (Figure 2), initiationof enforcementactions (Figures), and inspections. These
measures will be discussed in greater detail below.
        Moving to the right along the spectrum has proven more  difficult, and progress has
been  slower than the agency desires.  In the past, the agency has had mixed success in
implementing results measures such as overall compliance rate measuresand measures of the
value of corrective and preventive action taken as a direct result of enforcement actions. Improved
environmental quality and protection of human health are the ultimate goals of environmental
programs and, therefore,  are the most desired measures of success. Incremental progress in
the direction of developing environmental results indicators has recently been made, and on a
limited basis EPA is now able to characterize the pollution reduced or avoided through its

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                                                              DUFFY, RICHARD F.  491
  Figure 1.
                   MEASUREMENT/ACCOUNTABILITY
               SPECTRUM OF PERFORMANCE MEASURES
        Measurement
        Improvement
          Efforts
[Activity]
I  Measures   I
   •I	1	1	r
                                         I Environmental I
                                            Indicators
   •actions by
   EPA/States
•actions by
 regulated
community
•discharge/
 emission
 quantities
  •ambient
 conditions/
concentrations
•body burdens/
  assimilation
•human health
•ecosystems
•welfare
  enforcement actions.  Earlier attempts by the Agency to develop measures on the right of the
  spectrum have been stymied by the desire to design and define the "ultimate measures." The
  "ultimate measures" have been elusive, being either too difficult or too expensive to measure.
  The new measures that are being implemented resulted from a recent effort by EPA to critically
  evaluate the ways that it has measured compliance and enforcement success over time, and
  chart a course for the future that assures that proper incentives are being created for achieving
  real results in protection of human health and the environment. In this evaluation, the Agency did
  not try to develop the "ultimate measures," rather it was determined early in the proceedings that
  making incremental progress would be satisfactory. Much of the earlier institutional resistance
  that had resulted in making no progress in developing measures to the right on the spectrum
  was avoided by accepting incremental progress ratherthan insisting on establishingthe "ultimate
  measures."
          It is useful to note that the evaluation of compliance and enforcement measures took
  place in conjunction with EPA's recently implemented reorganization of its compliance and
  enforcement operations at its headquarters in Washington, D. C. Prior to the reorganization,
  compliance and enforcement operations in headquarters were decentralized among five major
  offices that were organized solely by media, i.e., air, water, hazardous waste, pesticides, and

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toxic substances. Now consolidatedinto one office, the reorganized structure emphasizes cross-
program, multi-media approaches that look comprehensively at all facilities within particular
industries (e.g., petroleum refining, iron and steel, chemical manufacturing), particular geographic
areas (e.g..critical watersheds), or emissionsof pollutants of concern (e.g..known or suspected
carcinogens, metals). Conductingthe evaluation of the measures during the reorganizationwas
advantageous because many traditional ways of doing business were already being changed,
and much of the organizational resistance to change which had existed in the old decentralized
structure disappeared.
        The evaluation process resulted in the implementation of new measures that move to
the right along the spectrum. The new measures are intended to provide incentivesfor pursuing
multi-media approaches, emphasize completing actions and achieving high quality environmental
and programmatic results, and encourage alternative approaches to environmental protection
suchascomplianceassistance. Reflectiveof EPAseniormanagement'sprioritiesforcompliance
and enforcement, measures  that are now being utilized by EPA include:  quantification of
environmental results obtained through compliance and enforcement actions; facility and industrial
sector multi-media compliance rates overtime; progress in returning significant noncompliers
to compliance; inspectionsof regulated facilities; enforcementactions; monetary fines assessed;
monetary value of actions taken by regulated entities to achieve compliance; and measures of
compliance assistance activities.
        Each of these measures has advantages and disadvantages which will be discussed
in turn below. Based on experience, it is clear within EPA that several measures need to be
used to gain  a meaningful and comprehensive assessment of program performance and
effectiveness. No single measure can capture the breadth and depth of complex environmental
programs. In developing measures several key questions need to be addressed, including: the
expected accuracy of the measure; the resources that will be needed to collect and maintain the
data; thefrequency of data collection; who will analyze the data and to whom will they report their
findings; and how will the data be stored (e.g., in a centralized computer, local computer systems,
or a paper system).
        Measuring the success of compliance and enforcement programs is not an easy task.
Organizations and programs are dynamic entities, and new programs or regulations are always
on the horizon. It is important, therefore, that the management system  provide an opportunityfor
periodicdialogueat many levels withintheorganizationabout how success should be measured.
Collecting and processing reliable information on compliance and enforcement requires long-
term commitment of resources and management support. Personnel involved in gathering or
analyzing data need to clearly understand  exactly what data should be reported, and that this
function is very important to the successful operation of the overall program. It is also important
to acknowledge that different levels within the compliance and enforcement program may have
different data needs. Local personnel may prefer to focus their resources on data they consider
valuable for evaluating program performance. Facility specific information on inspections and
compliance status is likely to be very important to them.  Program personnel at a national level
may have different perspectives and priorities. They may need highly aggregated data that sum
the inspectional or enforcement activities from all the facilities across the nation. As a result of
this hierarchy of data needs, national data systems appear to benefit significantly if they are
designed to meet the day-to-day needs of the local office managers and staff. This creates an
incentive for them to gather and maintain accurate data. If the data are accurate at this level, a
properly designed data system will be able to aggregate national summary information for use
by the central office.

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                                                             DUFFY, RICHARD F.  493
1.2     Results measures

1.2.1    Environmental results

        As mentioned above, improved environmental quality is an ultimate goal of environmental
programs and, therefore, measures of environmental success are highly desired.  The types of
environmental results that can be measured include changes in overall environmental quality,
reduction of pollutant releases, and risk reduction.  These measures pose several difficulties
that need to be addressed.  Among the issues commonly cited within EPA as  obstacles to
developing measures of environmental results are: a potentially significant lag time between the
compliance assistance and/or enforcement response activity and the resulting improvement in
environmental quality; difficulties in linking changes in environmental quality to specific sources
or specific compliance actions; and factors such as changing weather patterns  or economic
conditions which affect environmental quality and therefore the accuracy of this measure.
        The recent evaluation of the measures of success resulted in a recommendation that
the Agency routinely gather and report data on actual reductions in  pollutant emissions or
discharge loadingsthat result from enforcementsettlements, pollution prevention activity, and/or
compliance assistance activity. Also recommended was a systematic method for collecting
these data at the time enforcement cases are being concluded.  Benefits of collecting the data
at this time include creating greater incentive for concluding actions, and improved accuracy by
gathering the data when the staff involved in the action are likely to have the greatest understanding
of the environmental results to be achieved. In order to calculate emission/effluent reductions,
compliance and enforcement personnel will also need to routinely document the conditions
(establish the baseline) when violations are discovered.  To augment the quantitative data,
narrative descriptions will be routinely developed describing the environmental conditions that
existed at the time that the facility was found in violation along with the results which are expected
when the settlementor order is fully implemented. This data will also be gathered at the time that
the is case concluded.
        Measuring the environmental results  of reporting and record-keeping violations has
always proven to be a challenge. Now, environmental benefits attributable to the correction of
violations of reporting requirements or violations that do not involve illegal discharges will also
be quantified, i.e., the failure to submit required emissions reports or the failure to make proper
hazardous waste determinations. To the extent possible, personnel will quantify the volume of
discharge or the amount of waste subjectto the  requirement. Then, the success measure would
be to declare that as a result of the enforcement action that brought about correction of the
violation, "x" tons of emissions were now being properly regulated by the Agency or "y" barrels of
hazardous were now being properly managed in accordance with the law.
        Additional  measures have been recommended that are  intended to capture
implementation of source reduction technology which describe the specific types of pollution
prevention processes or activities which are utilized (e.g., input chemical substitution, process
change, closed loop recycling, product reformulation, etc.) Environmental benefits can result
from enforcement settlements or compliance assistance activity.
        There are some examples of successful early efforts in the U.S. to measure environmental
results. These have been written about previously in the proceedings of both the Budapest and
Oaxaca Conferences and will not be discussed in detail here. For further information on these
efforts please refer to pages 11-16 to 11-20 of the Budapest proceedings for discussion of the
Clean Water Act National Municipal Policy,  and pages 11-20 to 11-25 for the discussion on the
Marketable Reductions of Lead in the U.S. (also known as Lead Phasedown). Please also refer

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to pages 181 to 196 of the Oaxaca proceedings for the paper entitled, "The Great Lakes
Enforcement Strategy:  Using Enforcement Resources to Maximize Risk Reduction and
Environmental Restoration in the Great Lakes Basin."

1.2.2   Compliance rates

        Compliance rates are one of the best overall measures of enforcement success, and in
an ideal world high rates of compliance are the ultimate goal of most programs. Most EPA
programs are able to record and assess overall compliance rates on a macro-level. Among the
issues commonly cited in discussions about developing meaningful compliance rates are: the
reliability of compliance rates is dependent on the thoroughness and frequency of inspections
and/orthe accuracy of self reported data; a lower compliance rate may mean that the program is
doing a good job of detecting violations, that  the program is using stringent standards for
compliance,  and/or that the regulatory requirements are stringent; and a high compliance rate
can be misleading if the most significant pollution sources remain out of compliance or if the
sources fail to stay in compliance. Because of these issues, many U.S. programs have found it
difficultto hold managers accountablefor improvementsin compliance rates, and some program
managers have in the past vigorously opposed implementing reporting on compliance rates as
a measure of success. All U.S. programs have, however, utilized some form of compliance rate
to suggest specific areas requiring management attention. If compliance rates are to be used
as a measure of success, the following issues need to be considered: is compliance considered
to be achieved when final required emission levelsare met or when a facility is meeting a schedule
for compliance set forth in an enforcement agreement; should the compliance rate be calculated
based on only the most significant requirements or is it based on all requirements; how should
sources be reported that are in compliance during the reporting period but which are known to
regularly go in and out of compliance.
        The recent evaluation of the measures of success resulted in a recommendation that
the Agency continue to routinely gatherand report data on compliance rates. In the past, the use
of facility compliance rates as a method of gauging program progress and success has had
mixed results. The compliance rate information that have been generated in the past have been
limited in determining program successsince all regulated facilitiesforparticularmedia programs
have been aggregated together into very large numbers (e.g., 40,000 major air sources,  8,000
major water  dischargers, etc.), and uncertainties about the timeliness and completeness of
information in automated data systems. From a purely mathematical perspective, it takes large
numbers of facilities either entering or leaving compliance to move the compliance rate numbers
in a discernible direction.  If similarly large numbers of facilities go into and out of compliance, it
can appear as if no change has occurred. For example, overtime the air program has frequently
reported overall compliance rates of 90% - 95%, however, these data do not indicate which
types of sources tend to be in noncompliance,  whether there are many repeat violators, and
what these facilities represent in terms of contribution to overall emissions of air pollutants. As
result, existing compliance rate measures have been viewed as not being very useful and have
been used infrequently.
        Use of compliance rates as a measure of success will  be reinvigorated  by both
broadening and narrowing how the concept is applied. The use of compliance rates would be
broadened through looking at a multi-media picture of compliance, and it would be narrowed by
limiting this multi-media view to particular industries (e.g., petroleum refining, iron and steel
manufacturing), high priority  geographic areas, emission of pollutants of concern, and/or
corporation-wide noncompliance. These are smaller slices of the total universe of regulated
facilities, but the picture for these slices will be much more comprehensive. These data, which
will help guide targeting and priority-setting decisions, can serve as the baseline against which

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                                                             DUFFY, RICHARD F.  495
progress and success are measured overtime. For the most part, the rates that are calculated
will look back at the pattern of compliance for a period of two years. This length of time should
be sufficient to detect most patterns of recidivism and/or periodic noncompliance.
        A key obstacle to successful implementation of compliance rates is organizational
impatience. Due to the significant length of time that can pass before results in a particular area
of emphasis are realized and measured, it is necessary for the organization to be patient with
this approach.

1.2.3   Progress in returning significant noncompliers to compliance

        As noted in the paper "Principles of Environmental Enforcement and Beyond: Building
and  Institutional Capacity" from the proceedings of the Third International  Conference on
Environmental Enforcement in  Oaxaca,  Mexico, significant noncompliers (SNC) are those
noncompliersthat have the greatest potential or actual impact on environmentalquality. Bringing
them into compliance will, therefore, have a significant impact on environmental quality. It may
also  have an important deterrent effect since these noncompliers are frequently large and well
known sources within the regulated community. This indicator can be appropriate for both tracking
and goal setting. It is important to remember that this indicator does not provide any measure of
success achieved in that portion of the regulated community that are not defined as "significant
noncompliers."
        The U. S. has used variations of this measure since the late 1970's, and it is one of the
country's most successful managementtools.  At first, U.S. program officials identified the most
significant air and water pollution sources throughout the nation which had not installed the pollution
control equipment that would bring them into initial compliance with the applicable statutes and
proceeded to take action against them. This effort brought many large facilities into compliance.
This was a finite list, however, and enforcement activity declined when the initial list was exhausted.
        In the mid-1980's, the U.S. expanded use of the concept to look at the full range of
environmental statutes on an ongoing, dynamic basis. National criteria have been established
for each program which define what constitutes a significant noncomplier. Definitions have also
been developed for the types of actions that should be taken for particular types of violations.
EPA regional office and state  agency personnel identify significant noncompliers  in their
jurisdiction and make commitments to take action to resolve the noncompliance. Sources are
tracked until compliance is achieved. Performance is evaluated based on how closely these
goals are met. Advantages of this approach include: it tracks results achieved, and actions and
results can be easily associated; the system encourages actions that will have significant
environmental benefits; and enforcement program managers can analyze the data for patterns
of compliance across industry, companies, and environmental media.
        While there are many similarities between the significant noncomplier definitions and
measures among each of the media programs, there are also many differences. Many of these
differences are easily attributable to differences in the various laws that establish the programs,
however, there are many differences that are more reflective of the personalities and management
styles of the individuals who were in charge of the programs at the time that the measures were
developed. The significant noncomplier measures are at the heart of the management systems
and day-to-day operations of the media programs.  Long-term decisions that were made about
how accounting for the measures functions has made program-to-programcomparisonsdifficult
without a  comprehensive understanding of the nuances of each programs' methodology.
Decisions  about how data are gathered  and tracked have impacted decisions about major
acquisitions of computer hardware and software. Many of these media-specific decisions that
were made in the mid-1980's have had long-term impacts on the usefulness and ease of
understanding the data.  They have affected whether the measures are actually guiding the

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programs and are leading to programmatic and/or environmental results, or whether the measures
have been mostly bean counting tools. To overcome the significantdifferences among the media
programs in both hardware (mainframe and mini-computer) and software (five incompatible
software platforms) and develop comprehensive multi-media facility and industry-specificdata,
EPA has had to develop very sophisticated data integration software that is capable of linking
data from twelve different data systems. Even with this software, users of the data still need to
have extensive knowledge of the definitional and accounting nuances for each media program.
       At the time that these measures were put in place in the mid- to late-1980's, general
guidance was provided on how they should be developed. The media programs were allowed
to develop their individual approaches. A few key common standards were set forth to guide the
development, but many decisions relating to accounting methodology and computer hardware
and software were left up to the individual program managers.  In retrospect, this degree of
individual program flexibility would not be recommended. The different and frequently incompatible
approaches that were developed by the media program offices have had major consequences
for the Agency's subsequent efforts to develop and implement multi-media approaches. If the
Agency had it to do over again, it is likely that the guidance would be more prescriptive about
standardaccountingmethodologiesandcomputerhardwareandsoftwareconsiderations. Some
individuality by the media programs would undoubtedly be necessary, but the wide differences
in approaches taken do not appear to have been necessary due to the individual  needs of each
program.

1.2.4  Monetary fines assessed

       This indicator is simply the total number and/or value of penalties assessed as a result
of enforcement actions. Trends in this indicator (see Figure  2) are used to measure success
since it is not possible or appropriate to set goals for how many penalties should be assessed
during a particular time period or how severe the penalties should be. This measure is not a
good means for holding managers accountable for successful enforcement activity because
there is usually a significant lag time (sometimes years) between the initiation of an enforcement
action and the assessment of a monetary penalty.  In the U.S., until recently, reports on the total
value of monetary  fines were prepared at the end  of each fiscal year.  With the advent of more
systematic approaches to gathering data on the results of concluded enforcement actions this
information will be  prepared at the mid-year and end-of-year.
       As Figure 2 shows, the level of fines in the U.S.  has been steadily increasing. This is
reflective of a number of factors. Overall, EPA's enforcement programs have been vigorously
enforcing the law and initiating record numbers of civil enforcement actions. In addition, the civil
penalty policies for each media program have become well established.  These policies apply
to both judicial and administrative enforcement cases, and fines in each of these categories
have been  increasing.  Finally, the federal government  has  placed increased emphasis and
resources in its criminal environmental enforcement program, and, as a  result,  the number of
cases taken and the level of fines have been increasing. All together, in  FY 1994, EPA levied
over $151 million in civil and criminal fines.  The Agency ensures that these figures are well
publicized, and looks to them as a key component of its effort to create deterrence.

1.2.5   Nature and monetary value of injunctive relief: correcting the violation

       This indicator provides information on the nature and  value of the injunctive relief
assessed as a result of enforcement actions. This measure provides narrative descriptions of
the physical actionsthat are requiredoffacilitiesthroughenforcementsettlements. This measure
also includes the estimated value of the cost of undertaking these actions.  When viewed with
information on monetary fines assessed, the enforcement program has a more complete handle

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                                                              DUFFY, RICHARD F.  497
Figure 2.
                    Civil Judicial and Administrative
                              Penalties
                    and Criminal Fines Assessed
                  H CRIMINAL
                   ADMINISTRATIVE
                   JUDICIAL
on the full impact of enforcement actions. Trends in this indicator are used to measure success,
but are not used for goal setting. In the U.S., reports on the nature and value of injunctive relief
are prepared twice per year.  Efforts to gather this data are relatively new and it is too early to
know what role it will play in long-term program management and priority setting.  Gathering
accurate data will be a  challenge due to the many complexities of estimating the cost of
procurement and installation of pollution control equipment, interest costs, etc. Early indications
are, however, that the value of injunctive relief may total 4-5 times the amount of monetary
penalties.

1.3     Activity measures

1.3.1    Measures of compliance monitoring

        Another measure of success, appropriate for both tracking and goal-setting, is how
well an enforcement program monitors compliance.  Several measures can track progress in
this area including: the number of inspections; the quantity of self-reported data received by the
regulatory agency; and the quality of self-reported data received by the regulatory agency
        The number of inspections is probably the easiest of these indicators to track. This
indicator provides a quantitative measure of program success in creating an enforcement
presence. EPA uses these indicators in its enforcement programs to set goals for inspections
and for reporting on progress. Policymakers develop national criteria for effective inspection
strategies and program officials evaluate the strategies against these criteria. These measures
are relatively straightforward and have been relatively easy to implement.

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498     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
1.3.2    Number of enforcement responses

        Legal action is the ultimate tool in the environmental enforcers' arsenal. Measures of
enforcement responses may therefore be of particular interest to members of the public that are
concerned about environmentalquality. In the U.S., for example, this measure has been viewed
by the public and by U.S. lawmakers as an indication of program managers' commitmentto gain
compliance, and it is therefore closely tracked. To use this indicator, policymakers must decide
exactly what will be counted: total number of legal cases initiated (Figure 3); a breakdown of the
types of cases by severity of violation, number of sites involved, multiple violations, repeat violators;
thenumberofcasessuccessfullyconcluded.etc. These indicatorsare not generally appropriate
for goal-setting because making program  managers  responsible  for meeting quotas  for
enforcement response could undermine the objectivity of the program.
        Depending  on the maturity of  the enforcement program, more  comprehensive
enforcement response indicators may need to be developed that encourage an appropriate
balance between the initiation of new enforcement response  activities and the conclusion of
already initiated matters. Activity accounting approaches that  place most of their emphasis on
Figure 3.
           EPA Civil Judicial Case
           Referrals -1977 to 1994
    FY77 FY78  FY79 FY80 FY81 FY82  FY83 FY84 FY85 FY86 FY87 FY88 FY89 FY90 FY91 FY92 FY93  FY94

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                                                             DUFFY, RICHARD F.  499
the initiation of actions, and relatively little emphasis or incentive on bringing already initiated
matters to conclusion, may result in increasing backlogs of unresolved cases and delay reaching
the point in the enforcement process where environmental results are achieved.

1.3.3   Timeliness of enforcement responses

        One of the best indicators of a program's efficiency is the time  it takes to either 1)
respond to a violation; or 2) achieve compliance. Ideally, many types of enforcement responses
should be as swift as possible so that the source can return to complianceas quickly as possible.
Timeliness can be evaluated by monitoring trends and by comparing actual results against
predetermined goals. Timeliness can also be measured by setting goals for different types of
enforcement actions. Goals can only be set for more routine types of enforcement actions that
consistently take a predictable time to complete.  Complex legal actions do not generally lend
themselves to such goals. Also, timely response may not be possible or appropriate in some
cases, such as criminal cases, that require detailed investigation before an enforcement action
is filed. Care may be necessary to ensure that use of timeliness as a measure of program
success does not encourage enforcement personnel to take simple administrative action rather
than pursuing a more complex and time-consuming enforcement response.
        In practice in the U.S., this measure has met with mixed success. Key factors that have
affected implementationof these measures include relations between EPA and its state program
partners, and the level of technical and legal staffing in the regional offices vis-a-vis the number
of violators that need to be addressed. Tracking timeliness information has also proven to be
more difficult than was expected, with the nuances of particular cases making it difficult to
categorizethemultitudeofpossibleoutcomes. Success againsttimeliness measures will always
be a standard that EPA and the states aspire to, however, it remains to be seen whethertimeliness
in the real world is a practical standard for assessing program success.
        The Clean Water Act program has probably had the most success among the various
programs in implementing a timeliness measure. This success seems to be largely the result of
two factors: the way that compliance status is reported in this program, and the length of time
that EPA and/orthe states have to make a "timely response" to the violation. Source compliance
status reporting in the Clean Water program lends itself more readily to precise tracking because
permitted sources must install monitoring equipment in outfall pipes that continuously monitors
the amount and characteristicsof the effluent being discharged to surface waters. These detailed
data are sent to EPA and/or the state agency monthly. It is possible, therefore, to know with
some precision when a facility has entered into noncompliance and to track the timeliness of the
actions taken by EPA or the states to return it to compliance. In large part due to the timing and
structure of the automated reporting in this program, the timeframefor "timely response" is set at
180 days from detection .This timeframe is from 30 - 50 days longer than for the other programs.
Actual experience in the other programs suggests that the current definitions of a "timely response"
may be unrealistically short and that a timeframe more on the order of that used in the Clean
Water program would be more appropriate.  The setting of response timeframes has been
demonstrative of the importance of setting realistic, achievable goals. A balance needs to be
struck between making goals challenging for the organization and avoiding overambitious goals
which may set up the organization and its staff for failure.

1.3.4   Measures of compliance assistance activity

        A key feature of EPA's reorganization is the emphasis that is being placed on compliance
assistance as an alternative approach to bringing about source compliance. New measures
have been proposed for compliance assistance activities conducted by headquartersor regional
office staff.  Reporting by states on their activities is voluntary.  Activities at the federal level

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500     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
include, for example, distribution of sector-based compliance assistance materials that explain
environmental regulations and discuss pollution prevention opportunities through various media
such as brochures, training, seminars or computer-based expert systems. Activities could also
include working as part of a compact with a trade association to involve the trade association in
compliance assistance for an identified industry sector. Overall compliance rates, both pre- and
post-activity compliance rates, need to be measured in order to provide a meaningful context for
assessing the effectiveness of compliance assistance measures efforts.
2       CONCLUSIONS

        When designing measures of success it is important to realistically assess program
maturity and develop measures which lead the program forward to achievement of strategic
goals.  Measures that do not keep pace with program maturity will cause frustration and will
undermine the credibility of the management system. At EPA, measures development efforts
through the rest of the 1990's will be guided by three broad themes:  1) many environmental
problems are not confined to a single media (air, water, or land), and more holistic, multi-media
approaches are needed to protect public health and the environment; 2) management systems
need to be balanced to place greater emphasis on completing actions and achieving and
measuring high quality environmental and programmatic results; and 3) methods otherthan direct
enforcement actions (e.g., compliance assistance) can be effective in bringing about facility
compliance and these methods need to be measured.
        In designing new measures EPA will try to follow a few simple principles:  1) design
measures that are practical and relatively simple to implement in the field; 2) while some activity
initiation indicators will continue to be necessary for the foreseeable future, encourage quality
and completion of work by measuring the conclusion of processes where the environmental and
programmatic results are obtained;  3) given the multitude of internal and external uses of the
measures of success data, implementing new concepts will requirean effectivecommunications
strategy about the nature and reasons for changes with others within EPA, in state agencies, the
public, Congress, environmental interest groups, and the media; and 4) incremental progress
along the measurement spectrum is better than making no progress at all.
        REFERENCES

1.   Wasserman, Cheryl E., "Principles of Environmental Enforcement and Beyond: Building
     and Institutional Capacity." Proceedings of the Third International Conference on
     Environmental Enforcement in Oaxaca, Mexico. April 1994.

2.   Memorandum from Elaine G. Stanley entitled "Final Report of the Workgroup on
     Measures of Success for the Office of Enforcement and Compliance Assurance."
     January 24,1995.

3.   Memorandum from Steven A. Herman entitled "Case Conclusion Data Sheet - Pilot
     Reporting for FY1995." March 22,1995.

4.   Memorandum from Steven A. Herman entitled "Final FY1996/FY1997 Office of
     Enforcement and Compliance Assurance Memorandum of Agreement Guidance." June
     22, 1995.

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                                                           DUFFY, RICHARD F.  501
5.   Petersen, Lynn, "The Great Lakes Enforcement Strategy: Using Enforcement Resources
    to Maximize Risk Reduction and Environmental Restoration in the Great Lakes Basin."
    Proceedings of the Third International Conference on Environmental Enforcement in
    Oaxaca, Mexico. April 1994.

6.   Case Study 4: Enforcement of Municipal Wastewater Requirements in the United States
    of America. Proceedings of the International Conference on Environmental Enforcement,
    Budapest, Hungary. Page 11-16.  September 1992.

7.   Case Study 5:  Enforcement of Marketable Reductions of Lead in the United States of
    America. Proceedings of the International Conference on Environmental Enforcement,
    Budapest, Hungary. Page 11-20.  September 1992.

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502     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                             SPECIAL TOPIC G: COMMUNICATIONS AND ENFORCEMENT  503
                  SPECIAL TOPIC WORKSHOP G

                   Communications and Enforcement
Papers and Workshop G discussions address the following issues:
       •  Reasons for communications about enforcement.
       •  Target groups for communications (e.g., politicians, enforcers, the general
          public, the regulated community).
       •  Legal problems in using enforcement information in communications.
       •  Special activities as enforcers to ensure effective communications (e.g.,
          press release policies and requirements, contributions to newsletters or
          the trade press).
       •  How communication is made part of the total enforcement process.
       •  Means of communication available: written, video, broadcast, or other.
       •  The target group of your country's communications.
       •  How press interest is attracted on positive stories, since they seem interested
          in the "negative issues."
1.   Summary of Communications and Enforcement Workshop, Facilitators: R. Glaser,
    J.C.M. Veenman, J. Wise, Rapporteur: J. J. van Klaveren	505
See related papers from other International Workshop and Conference Proceedings:
The Role of Communication in an Enforcement Program
1.   Changing Environmental Behavior in the United States Through the Use of Public
    Disclosure of Information, P.G. Keough, Volume I, Oaxaca, Mexico
2.   The Role of Communication for Implementing Enforcement Policy, J.C.M. Veenman,
    Volume I, Oaxaca, Mexico
3.   Media Challenges in Environmental Enforcement: The Case in Nigeria, O.O.
    Uwejamomere, Volume I, Oaxaca, Mexico
4.   Planning and Executing Strategic Environmental Enforcement Initiatives: Maximizing
    Enforcement Impact, R. van Heuvelen, P.J. Fontaine, Volume I, Oaxaca, Mexico
5.   Summary of Theme Discussion: The Role of Communication in an Enforcement
    Program, Moderator: P. Verkerk, Rapporteur: D. Bronkema, Volume II, Oaxaca, Mexico

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504     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Designing Enforceable Environmental Requirements

6.   Information Campaigns Benefit Enforcement of Environmental Laws, J. van Ekeren and
    M. van der Voet, Volume I, Budapest, Hungary

Public Disclosure and Citizens' Role in Enforcement

7.   From Public Disclosure to Public Accountability: What Impact Will it Have on
    Compliance, F. Irwin, Volume I, Budapest, Hungary

8.   Disclosure of Environmental Information and Enforcement of Environmental Law in
    Flanders: The Complementary Role of Governmental Authorities and NGOs, R. de
    Baere, Volume I, Budapest, Hungary

9.   Use of Public Disclosure in Environmental Protection Programs to Enhance Compliance
    and Change Behavior in the United States, P. Keough, Volume I, Budapest, Hungary

10. Public Disclosure and Its Impact on Compliance, N. Blackburn, Volume II, Budapest,
    Hungary

11. Public Disclosure and Citizen's Role in Enforcement, £. Popov, Volume II, Budapest,
    Hungary

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                        SUMMARY OF WORKSHOP: COMMUNICATIONS AND ENFORCEMENT  505
COMMUNICATIONS AND ENFORCEMENT

       Facilitators:  Robert Glaser, Jan C.M. Veenman, John Wise
       Rapporteur:  John J. van Klaveren
       GOALS

       The following are discussion issues for the workshop:

       •  Reasons for communications about enforcement.
       •  Target groups for communications (e.g..politicians, enforcers, the general
          public, the regulated community).
       •  Legal problems in using enforcement information in communications.
       •  Special activities as enforcers to ensure effective communications (e.g.,
          press release policies and requirements, contributions to newsletters or
          the trade press).
       •  How communication is made part of the total enforcement process.
       •  Means of communication available: written, video, broadcast, other.
       •  The target group of your country's communications.
       •  How press interest is attracted on positive stories, since they seem interested
          in the "negative issues".


1      INTRODUCTION

       The workshop focuses on the relationship between enforcement and communication,
both instruments in the environmental policy of the national as well as the local government.
2       PAPERS

1.   Capacity building support document International Training Workshop: "Communication
    Strategies for Enforcement," (April, 1996).

2.   Case description "The Harbour of Neko" and procedures for the "Communication and
    Enforcement Game".
3       DISCUSSION SUMMARY

3.1     The compliance challenge

        The objective of environmental policy is to direct companies and individuals toward
more environmental-friendly behaviorthrough compliance to regulations. Enforcement is one of
the most powerful instruments to influence this behavior. The objective of enforcement is to achieve
compliance within the regulated community.

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506    FOURTH INTERNATIONAL CONFERENCE ON  ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        One of the main problemsforenvironmentalenforcementis the imbalance between the
huge amount of companies under regulation and the limited enforcement capacity. It is simply
impossible to enforce every environmental law by inspecting each company individually on a
regular bases. A more sophisticated approach of enforcement is needed

3.2     Communications as a compliance tool

        One of the main instruments to increase  the effectiveness of the enforcement  is
communication.  The effectiveness of enforcement depends on the probability to get caught if
you violate the rules.  The effect this "chance to get caught" has on compliance is based on two
elements: the factual chance to get caught and the perception of individuals and companies to
get caught.  Communication can reinforce the feeling that there is a big chance you will be
caught. If the government inspects 10 out of a 100 companies, the factual chance to get inspected
is 10%.  But if the government communicates about the enforcement-action most likely more
than 10 companies feel they run the risk to be inspected. This feeling alone can change their
behaviour.  This is what communication can do. It makes environmental enforcement more
effective by influencing the perception of the enforcement-action.

3.3     Integrated use of enforcement and communication

        Like enforcement, communication is an instrument of environmental policy. These two
instruments are not independent of each other. If employed in the right combination they reinforce
each other,  but if handled separately they can do more harm than good. For communication to
make enforcement more effective it is necessary to integrate these two instruments.  Checking
compliance without making this known to the regulated community will prove not to be a very
efficient way of stimulating environmental friendly behavior. Vice versa it is in the long run not
effective to constantly communicate about enforcement and threaten with compliance checks,
while in fact no inspections are made. Communication by itself is not enough. In practice this
means a well considered integration of enforcement and communication.

3.4    A strategic approach

       A strategic approach for both enforcement and communication is a prerequisite for
success. There must be a plan, based on a thorough analyses of the present situation  and the
specific  environmental problem(s) at hand, the relevant  target groups  and  the means of
communication at disposal.
       An important step in making a plan is the selection of target groups.  Who are directly
involved (for example the management and people on the work floor of the pollution company),
and who are the intermediate target groups (the press and the branch-organization). You can
not communicate with everybody about everything.  Related to these  selected  target groups,
objectives must be formulated. Objectives for the enforcement action (compliance targets) and
objectives for the communicationactions (attention, knowledge, public awarenessand behavior).

3.5     Game-playing for training in strategic use of communications

       To explore the use of communications the participants in the workshop played a game.
The challenge in this game was to make the enforcement activities as effective as possible  in
promoting compliance by supporting the enforcement activities with communication activities
with limited resources. Starting with a case description of a governmentthat wants to reduce the
environmental pollution caused by careless transhipment of scrap, the participants in the game

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                        SUMMARY OF WORKSHOP: COMMUNICATIONS AND ENFORCEMENT 507
had to select target groups and communication actions and put them on a timeline for a six-
month period in relation with enforcement actions. Acting as the Enforcement Department of the
government the participants had to be clearon the kind of communication (tv, radio, newspaper,
meetings, etc.) that should be put in place on behalf of the different target groups (the management
of the company.the people on the work floor, the peopleliving in the area, other companiesin the
area, the branch organization, the local press and media and the national press).

3.6     Evaluation of the workshop
        After playing the game the results were evaluated. What did the participants learn from
the game and how realistic and applicable was the game experience with regard to the actual
practice of the participants?
        The game proved to be a successful way of making clear that communication actions
are an important managementtool for supporting enforcementactivitiesto realize environmental
objectives. The game leads to a process of decision making in the group of participants in
which the relationships are explored between communication and enforcement.
4       CONCLUSION

        Communication objectives and target groups must be well chosen and are essential for
an enforcement communication plan, as it proved to be during the workshop. The experiences
made clear that  it is actually possible to plan communication  actions in the process of
enforcement. Moreover the game proved to have an educational impact on the participants.  It
lead to self-evaluation of the way their own work is done at present. Communication strategies,
as well as the way of execution, are, however, culturally bound and differs for each situation,
perception of the problem and  the view of possible enforcement approaches.  A mix of
communication channels or media and activities is preferable within the limits of availablefinancial
and other resources.  Most of the participants became aware of the desirability to introduce
more communication activities in their own work to get the results they want.
        The suggestion was also made to implement the workshop on a structured bases in
future programs in combination with the development of an enforcement plan, the communications-
game and a role-play of the participants.

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508     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                  SPECIAL TOPIC H: PUBLIC ROLE IN ENFORCEMENT  509
                  SPECIAL TOPIC WORKSHOP H

     Public Role in Enforcement: How to Go About Creating and
               Supporting Effective Citizen Enforcement
Papers and Workshop H discussions address the following issues:

       •  The various roles that citizens may play in environmental enforcement and
          achievement of compliance:
          -  the public role as an economic and social force for compliance;
          -  the role of citizens in identifying violations;
          -  the role of citizens in pursuing enforcement actions or forcing
             governments to pursue violators (citizen suit authorities and trends in
             recent environmental legislation creating environmental bill of rights);
             and
          -  citizen roles in commenting on settlement of violations and disputes on
             compliance.
       •  How the public role can be fostered as an effective force for achieving
          widespread compliance.
       •  Mechanisms used to empower citizen enforcement: what authorities exist
          in different countries and how this authority has been exercised.
       •  Relationships that might be established between governmental agencies
          mandated to enforce requirements and citizens empowered to enforce the
          law. What are the advantagesanddisadvantagesofdifferentrelationships.
       •  How dependent an effective public role is on public disclosure of compliance
          information.
1.    Summary of Public Role in Enforcement Workshop, Facilitators: M. Axline,
    J. van Dijk, Rapporteur: S. Casey-Lefkowitz	511

2.   Environmental Enforcment and Public Advocacy in Ukraine, S. Kravchenko	575

3.   Intergenerational Responsibility in the Philippine context as a Judicial Argument for
    Public Action on Deforestation, A Oposa	521

4.   Role of Public Participation in Enforcement, G. Sarmiento	527

4.   See also The Evolving Role of Citizens in Environmental Enforcement,
    S. Casey-Lefkowitz, W.J. Futrell, J. Austin, S. Bass, Theme 4	221
See related papers from other International Conference and Workshop Proceedings:

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510     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
1.   Popular Actions and the Defense of the Environment in Colombia, G. Sarmiento, Volume
    I, Oaxaca, Mexico

2.   The Role of Citizens in Environmental Enforcement, £. Roberts, J. Dobbins and M.
    Bowman, Volume I, Budapest, Hungary

3.   Citizens Role in Enforcement: a Spur, a Supplement and a Substitute, R. Hallo, Volume
    I, Budapest, Hungary

4.   Citizen Participation in U.S. Environmental Enforcement, R. Van Heuvelen and/..
    Breggin, Volume I, Budapest, Hungary

5.   From Public Disclosure to Public Accountability: What Impact will it have on
    Compliance, F. Irwin, Volume I, Budapest, Hungary

6.   Disclosure of Environmental Information and Enforcement of Environmental Law in
    Flanders: The Complementary Role of Governmental Authorities and NGO's, R. de
    Baare, Volume I, Budapest, Hungary

7.   Citizens' Role of Enforcement of Environmental Law in Europe, M. Fuhr, Volume II,
    Budapest, Hungary

8.   Public Disclosure and Citizens' Role in Enforcement, £. Popov, Volume II, Budapest,
    Hungary

9.   Enforcement of EEC Environmental Legislation: the Role of Citizens and Citizens'
    Groups, E. Klatte, Volume II, Budapest, Hungary

10.  The Role of the Russian Public in Environmental Enforcement, M. Brinchuk, Volume II,
    Budapest, Hungary

11.  The New Ecological Legislation of Russia, R. Bogolepov, Volume II, Budapest, Hungary

12.  Summary of Theme Discussion: Public Disclosure and Citizens' Role in Enforcement, A.
    DeLong, Volume II, Budapest, Hungary

13.  NGO's Role in Environmental Enforcement in Ownership Transformations in Poland
    1990-1992, Opportunities and Problems, W. Stodulski, Volume II, Budapest, Hungary

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                       SUMMARY OF WORKSHOP: PUBLIC INVOLVEMENT IN ENFORCEMENT  511
PUBLIC INVOLVEMENT IN ENFORCEMENT

        Facilitators: Mike Axline, Jaap van Dijk
        Rapporteur: Susan Casey-Lefkowitz
        GOALS

        The following are discussion issues for the workshop:

        •  The various roles that the public and citizens may play in environmental
          enforcement and achievement of compliance:

           - Public role as an economic and social force for compliance.
           - Role of citizens in identifying violations.
           - The role of citizens in pursuing enforcement actions or forcing
             governments to pursue violators (citizen suit authorities and trends in
             recent environmental legislation creating environmental bill of rights).
           - Citizen roles in commenting on settlement of violations and disputes on
             compliance.

        •  How the public role can be fostered as an effective force  for achieving
          widespread compliance.
        •  Mechanisms used to empower citizen enforcement: what authorities exist
          in different countries and how this authority has been exercised.
        •  Relationships that might be established between governmental agencies
          mandated to enforce requirements and citizens empowered to enforce the
          law.  What are the advantages and disadvantagesof different relationships.
        •  How dependentan effective public role is on publicdisclosureof compliance
          information.
1       INTRODUCTION

        There were two workshops during the conference on the topic of how citizens can be
involved in enforcement. Both groups had mixed nongovernmental and governmental participation.
Although the flavor of the discussion differed greatly in each workshop, both groups reached
certain common understandingsof public involvementin environmental enforcement. The groups
agreed that citizen enforcement should supplement governmental enforcement and be used to
ensure governmental compliance with environmental laws.  Both sessions focused on the
conditions which facilitate citizen participation,  such as access to information, independent
judiciary, public awareness of enforcement needs, and a public right to enforce. In addition, the
groups  discussed how public enforcement takes place, including citizen monitoring of
compliance, citizen complaint systems, and citizen enforcement lawsuits.

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512    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
2       PAPERS

        Two papers were written on this topic. From Columbia, Mr. German Sarmiento wrote
an article on the importance of public participation in enforcement listing judicial mechanisms
available to the public in Columbia and stressing the importance of public access to information
as an essential condition necessary to use judicial tools. Another paper was written by the
Environmental Law Institute about the evolving role of citizens in environmental enforcement
outlining common strategies for public  participation,  new options for transboundary public
participation, and examples of how international networking and cooperation is building capacity
and infrastructures^ the nongovernmentalcommunity.


3       DISCUSSION
3.1     Conditions to facilitate citizen involvement

        Participants established certain  basic prerequisites for public involvement in
environmental enforcement to be meaningful. These included a clear legal framework for
environmental requirements, a transparent and accountable government, and an independent
judiciary. The group also discussed the necessity to have clearly established  rights, such as
freedom of expression, freedom of press, access to information, and access to the courts. Finally,
participants discussed the need for capacity among citizens to handle independent technical
monitoring and assessment of environmental findings.

3.2     How to accomplish citizen involvement

        Participants  also discussed how  to provide avenues for citizen involvement in
environmental enforcement in practice. Citizen participation in policymaking was named as an
initial method to involve the public in priority-setting and development of enforcement and
compliance programs. Participants also gave examples of situations where citizens could
supplement government inspectors to monitor compliance with environment regulation. Most
participants also had examples of citizen complaint systems, which gave citizens an avenue for
reporting alleged violations of the law or threats to the environment or human health. Many
participantsalso mentioned education of the public as an important element of public involvement
in enforcement. Finally, participants discussed citizen enforcement lawsuits which could be
brought against the governmentto force it to carry out its enforcementduties, or againsta violator
to force it to obey the law.
4       CONCLUSIONS

        The discussion of one group led to a list of recommendations concerning public
involvementinenvironmentalenforcement.

        •  The public should have the right to a healthy environment.
        •  The public should have the right to enforce environmental law against any
          violator (including the government).

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             SUMMARY OF WORKSHOP: PUBLIC INVOLVEMENT IN ENFORCEMENT  513


The public should have the right to require the government to carry out its
mandatory enforcement duties.
Government should provide mechanisms for the public to enforce these
rights in court.
Government should build awareness among the public concerning
environmental policies, enforcement needs, and the role citizens can play.
Government should provide support and opportunity forthe public to monitor
environmental problems and to communicate those observations to the
government.
The  public should have timely and  affordable access  to information
necessary for enforcement efforts, including current environmental monitoring
data.
Governmentshouldprovidefinancialincentivesfor citizen enforcementand
remove barriers to citizen enforcement.

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514     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                        KRAVCHENKD, SVITLANA   515
ENVIRONMENTAL ENFORCEMENT AND PUBLIC ADVOCACY IN UKRAINE

KRAVCHENKO, SVITLANA

Professor on Environmental Law, Law Faculty, Lviv State University, Director of
Environmental Public Advocacy Center, 2 Krushelnitskoi St., Lviv, 290000, Ukraine


        SUMMARY

        Brief characteristicsof the environmental situation in Ukraineare given. Anoverviewof
existing environmental legislation in Ukraine, the reasons for its ineffective realization, and
enforcement mechanisms are described.  The role environmental public advocacy plays in
enforcement, and the experiences of the Environmental Public Advocacy Center in Lviv are
analyzed.


1       ENVIRONMENTALSITUATION

        The present environmental situation in Ukraine is dangerous and grave. The Parliament
of Ukraine declared the whole territory of the country an extraordinary environmental situation
zone.
        Ukraine, which occupied 27 % of the former Soviet Union territory, produced 20 % of
its national product and received a quarter of its industrial pollution.  The Ukrainian economy
was formed with total disregard for the objective welfare of the Ukrainian people. The result is
the formation of one of the most polluted economies in the world, over saturated by chemical,
metallurgical and mining production facilities utilizing obsolete technologies.1
        Every year 20 million tons of industrial waste goes into the atmosphere. More than  1
billion cubic meters of harmful substances are ejected into the rivers.  Seventeen billion tons of
solid wastes are accumulated in the dumps, which continue to grow to more than 1 billion tons
annually. Nonrenewable mineral raw stock resources are being exhausted. Soil, water, and
atmospheric air gets intensively polluted.
        118 million hectaresof black soil have been eroded. Such erosion has never previously
occurred in the 5 thousand year history of Ukrainian agriculture.  Thousands of rivers have
perished. The Black Sea and the Sea of Asov suffer degradation due to water pollution.  The
Carpathian mountains have lost half their forests as a result of intensive cutting for economic
purposes.  There is a  water deficiency in a number of cities. Industrial atmospheric pollution
exceeds environmental quality standards up to 10 times.
        Unfortunately, Ukrainian's lack of forests, along with a developed metallurgy and thermal
power industry, make it one of the countries that burn the planet's oxygen. In 1986-1991, more
than 100 million tons of harmful substances were emitted into the air. The main pollution sources
are power industries, facilities, metallurgy,  coal and chemical  industry as well as  motor
transportation.
        In the agricultural arena, an excessive and uncontrolled use of pesticidesand fertilizers
under the conditions of low technological culture has resulted in an accelerated degradation of
soils and an accumulation of many harmful substances in the food chain. Lands have also been
polluted with heavy metals and other components of industrial emissions.

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516    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        In the former Soviet Union concentrated centers of industrial production  were
established, especially in Donbass and Dnieperside, which have resulted in one of the highest
levels of environmental pollution in Europe.  In the cities of  Zaporizhzhja  and Mariupol,
contamination has reached such a harmful level.  If it remains unchecked, it will unavoidably
result in the  physical and intellectual degeneracy  of the local  population. The incidence of
pathologicchanges in the blood of the population of this region is three times higher than average
for Ukraine.2
        The unfavorable economic and ecological situation which has formed in Ukraine in
recent years has adversely affected population growth. Today in Ukraine, the average life
expectancy is 71 years, putting it in the 53rd place among countries of the world.
        Infant mortality in the first year of life is three times higher than in Japan and two times
higher than that of other developed countries. In 1989, the natural increase of the population in
Ukraine was 1.7 men per population of 1000, but in  1991 this rate decreased to 0.7 per 10OO.3
An essential factor in this decline is the unfavorable state of the environment, aggravated by the
consequences of the Chernobyl catastrophe.
        The accident in Chernobyl in 1986, the first really global environmental catastrophe,
has become a great tragedy for  the Ukrainian people.  According to official  statistics,
approximately 200 thousand people and more than 2,000 settlements were moved from the
contaminatedzone.
        2.8 million people, including more than half a million children under the age of 14, are
now living in areas contaminated by the Chernobyl catastrophe. Particularly alarming is the fact
that 150 thousand people, including children, received radiation poisoning to the thyroid,  which
exceeded the permissible limit.  Today the  Ukrainian list of Chernobyl's victims consists of
405,576 persons, in addition to 36,000 persons who are on the military-medicallist of The Ministry
of Internal Affairs and Security Service of Ukraine.4
        Diseases of the respiratory and digestive systems, as well as the endocrine and blood
circulation systems, account for a significant percentage of the mortality rates of children living in
contaminated zones. Experts now consider that the Chernobyl disaster has  created a new
epidemic, called Chernobyl AICD.  All children of the Chernobyl zone  have reduced immune
system.
2       ENVIRONMENTAL LEGISLATION

        Environmental legislation plays an important role in the improvement of the environment.
Since Ukraine became a sovereign state, the regulation of all questions dealing with environmental
protection was transferred to Ukraine. The Parliament and Ministry of Environmental Protection
of Ukraine (established in 1991) prepared the Conception of National Environmental Legislation
Development. The system of environmental legislation was created and cardinal renewed in
1991-1996  years.
        The Parliament has adopted a Law on Protection of the Natural Environment (1991), a
Land Code (1992), Forest Code (1994), Water Code (1995), Code of Entrails (1994), Law on
the Animal World (1993), Law on the Protection of Atmospheric Air (1992), Law on Nature, The
Heritage Fund (1992), Law on Environmental Examination (1995), Law on the Sanitary and
Epidemiological Prosperity of Population (1993) as well as other laws and regulations.

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                                                          KRAVCHENKO, SVITLANA  517
        The Law on Protection of the Natural Environment is the main, basic act. It consists of
many really new principles and rules.  Environmental protection, rational usage of natural
resources, and the safeguarding of environmental security for human activity are regarded to be
general conditions of sustainable economic and social development in Ukraine.
        The law declares the priority of environmental security requirements and the compulsory
observance of environmental standards and limits, while realizing economic, executive, legislative
and other activities. Until now, economic purposes have had priority.  Very often economic
problems were solved though methods which damaged nature. The law consolidatesthe validity
of concordance between environmental, economic and social interests.
2.1     Economic instruments

        The law fixes payment for environmental pollution and usage of natural resources as
well as compensation for damages inflicted by a breach of environmental legislation. The law
grants tax privileges for enterprises, organizations and citizens measures of environmental
protection. Privilege credits are also given to environmental measures realization.
        The aim of these principlesis the perfection of economic mechanisms of environmental
protection and  natural  resources use optimization.   The combination of stimulation and
responsibility methods should promote a concordance between environment and development.
2.2     Public role

        For the first time, the Law on Protection of the Natural Environment confirms the right of
citizens to a safe human life and healthy environment, and a compensationfor damages inflicted
on them and/or their property by environmental transgressions.
        This right is guaranteed by public participation in decision making and by citizens' right
to get true information about the state of the environment. Citizens have got the right to know
how proposed industrial projects would impact the environment, and the health of the population.
They also have the right to participate in environmental impact assessments, state environmental
examinations, and to organize independent public environmental examinations. The law confirms
the court's defense of the right to a safe environment for life and health.
2.3     Sanctions

        The law prohibits putting into operation enterprises, constructions and other facilities
which do not meet environmental standards.  The activity of enterprises which breach
environmental legislation can be temporarily stopped and canceled by the Cabinet of Ministers
or by the Environmental Protection Ministry, regardless of the form of the property.


2.4     Standards

        Environmental standards regulate the protection of vegetation, the use  of mineral
fertilizers and toxic substances, and the location and development of military facilities.
        It is for the first time that law is defined and given for environmental catastrophes and
extraordinary environmental situation zones.  The law introduces a procedure for declaration
and  legal regime of such zones.  More detailed regulation of legal status of these zones is
foreseen in a separate law. The draft of this law is currently under work.

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518     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
2.5     Potential violators

        The Law on Protection of the Natural Environment envisages administrative, criminal,
civil and disciplinary responsibility for the following transgressions:

        •  Breach of an individual's right to a safe life and healthy environment.
        •  Breach of environmental safety.
        •  Breach of environmental limits and standards.
        •  Special usage of natural resources without permits.
        •  Violation of fulfillment of state environmental examination requirements.
        •  Neglecting to execute an order of state environmental control bodies.
        •  Breach of environmental  requirements regarding the keeping,
          transportation,  usage and utilization of mineral fertilizers, toxic and
          radioactive substances, industrial and communal wastes.
        •  Breach of the requirements of natural heritage areas.
        •  Neglecting to provide full and trustworthy information about an environmental
          situation.
        •  Falsification of, or holding back, any information about the state of the
          environment and diseases of the population, etc.
3       EFFECTIVENESS OF ENVIRONMENTAL ENFORCEMENT

        Ukrainian legislations the sphere of environmental protectioncontains also many other
significant and vital principles and rules. However, the citizens and decision makers frequently
break environmental laws. There are many reasons for this. Let us analyze the main reasons for
the low effectiveness of environmental enforcement in Ukraine.

3.1     Economic situation.

        The present economic situation in Ukraine could be characterized as an economic
crisis. The financing of environmental protection measures, which up until now was insufficient,
was reduced this year to 0.2 % of the gross national product of Ukraine. This is in stark contrast
to the USA, which spends between 4 and 5% of gross national product (GNP).
        Environmental protection measures are not profitable because they are expensive and
do not provide quick revenue. Ukraine needs big investmentsforthereconstructionof one of the
most "dirty" economies and for changing obsolete technologies.
        Implementation of radical rules, which have been defined by new legislation, about
payment for pollution of the  environment or compensation for the damages inflicted by
environmental transgressions, is impossible because many polluting enterprises have gone
bankrupt.

3.2      Environmental consciousness

        Social-legal studies show a low level of environmental and legal consciousness and
culture  of the population of Ukraine.  Eighty-eight percent of respondents do not know of
environmental legislation at all. Moreover, they do not respect it. Decision makers very often

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                                                          KRAVCHENKD, SVITLANA  519
ignore environmental laws because they do not understand the importance and priority of
environmental  problems or do not have the economic possibilities for environmental  law
compliance.
        Even professional lawyers Oudges, prosecutors, attorneys) do not have excellent
knowledge of new environmental legislation because of its novelty and complication. For instance,
court practice in the protection of the environmental rights of citizens is only now being formulated
in Ukraine because citizens very often do not know about the possibility of suing for compensation
for damages inflicted by environmental transgressions. If they know, they do not trust that it is a
reality.

3.3     Enforcement mechanisms

        Now there are many  state bodies  which control the state of the environment and
environmental legislation compliance. The most important of these is the Ministry of Environmental
Protection and Nuclear Safety, and its regional bodies. A few Ministries deal with protection of
different natural resources, such as water, forests, soil, minerals and others. These ministries
control the protection and usage of the resources according to current legislation. The Cabinet
of Ministers and local government also have authority to enforce compliance with environmental
legislation.
        However, the Inspectorate of the Environmental Protection Ministry consists of 850
inspectorsfor 100,000 industrial and other enterprises. It is insufficient. It is capable of controlling
only 20-25 % of natural resource users and polluters5. Effectiveness of control activity could be
improved through development of financial and technical support of this Inspectorate.
        The Prosecutor General and its regional bodies carry out prosecutorial supervision for
environmentalcompliance. Special Departments for the supervision of environmental legislation
compliance were created a few ears ago.
        The court system includes civil and criminal as well as arbitration courts.  All of them
deal with environmentalenforcement. However, they usually defend state interests in the sphere
of environmental protection on cases regarding such issues as illegal cutting of timber, illegal
hunting or fishing, and pollution of the environment.There is almost no practice in court regarding
the protection of environmental rights of citizens.
        These kinds of cases are rather new and difficult. Especially in cases with requests for
compensation of damages inflicted on health and property by environmental transgressions, a
judge must prove causation between the fact of the pollution of the environmentand damages, in
order to calculate the compensation. This requires special expert knowledge.
        Citizens, as a rule, do not know how to collect evidence, or how to sue through the court
system. Attorneys or lawyers who specialize in the sphere of environmental law are usually
absent; however, special environmental law firms are beginning to appear now in Ukraine (CEELI)
program.
4       THE ROLE OF ENVIRONMENTAL PUBLIC ADVOCACY IN ENFORCEMENT

        The first environmental law firm, "EcoPravo", was organized in Kyiv in 1992. Following
this, the charitable foundation, "EcoPravo-Lviv",  was founded in 1993.   In 1994 a similar
organization appeared in Kharkiv.  The first Environmental Public Advocacy Center in Ukraine
was organized in 1994 on the foundation of EcoPravo-Lviv. It is a pilot joint project with The
American Bar Association's Central and East European Law Initiative.

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520     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        The Environmental Pulic Advocacy Center, as well as other "EcoPravo" non-governmental
organizations, provide the following free of charge services:

        •  Consultations on environmental law issues.
        •  Representation of citizens' and non-governmental organizations (NGO)
          interests in state and prosecutor bodies as well as in the courts.
        •  Organizingtraining programson environmental law and enforcementissues
          for environmental NGOs, professional lawyers such as judges, prosecutors,
          attorneys and others.
        •  Developinga network of environmentallawyersinterestedin environmental
          law and public advocacy throughout Ukraine.
        •  Creating a data base of environmental legislation of Ukraine and other
          countries.
        •  Providing accurate information on environmental and legal issues.
        •  Taking part in the drafting of new environmental laws and regulations in
          Ukraine.

        It must be noted that the Center works closely with the Law Faculty at Lviv State University.
Students are involved in the EPAC clinical program. It supports the growth of a new generation
of environmental lawyers and provides a practical education with a high level  of professionalism
in the public interest and an equally high level of environmental consciousness.
        The Center increases the awareness of lawyers and judges about environmental issues
andenvironmentalenforcement. The center raises the level of environmentaland legal culture of
citizens and NGOs, and their readiness to  use legal tools in environmental protection and
protection of citizens' environmental rights.  The activity of Center also raises the  level of
responsibility of governmental administrators, increases the transparency of governmental actions
and governmental provisions and thus access to environmental information.
        REFERENCES

 1.   Ukrainian National Report. UN Conference on Environment and Development. Brazil-92.
     Kyiv. 1992.

 2.   Ibid.

 3.   Ibid.
 4.   National Report About the State of Environment in Ukraine in 1993. Kyiv. 1994 (in
     Ukrainian).

 5.   Ibid.

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                                                      OPOSA, ANTONIO A., JR.  521
INTERGENERATIONAL RESPONSIBILITY IN THE PHILIPPINE CONTEXT AS A
JUDICIAL ARGUMENT FOR PUBLIC ACTION ON DEFORESTATION

OPOSA, ANTONIO A., JR.

Attorney, Philippine Ecological Network (PEN), 1807 Tower One, Cityland 10, Ayala
Avenue, Cor H. V. Dela Costa St., Salcedo Village, 1200, Makati, Philippines


1      INTRODUCTION

       One of the basic principles stated and reiterated in the Agenda 21 is the concept of
'inter-generational responsibility.' It states that:

       "Man ... bears a solemn responsibility to protect and improve the environment
       for present and future generations."1
       Essentially, the principle means that we hold the natural resource treasures of the earth
in trust for the benefit, enjoyment and use of the generations of humankind yet to come.  It is
therefore a trust endowed upon us — as trustee and depository — to use and enjoy. While our
generation has the right to use the earth's resources, as a trustee and depository, we are also
duty bound not to misuse or exhaust it, so that those of our species to come in much later years
will still have something to use.  This, in simple terms is the meaning of "sustainable development",
using natural resources without exhausting them.
       The time frame is not limited to nor extending only until the generation of our children
andofourchildren'schildren. Rather, it extends up to a horizon of reasonable perpetuity, i.e. up
to the time when the species homo sapiens is still around and  that they will still need the life-
support systems of the natural resource treasures of the earth.
       This concept was tested in the legal forum in the Philippines. On July 30, 1993, one
year after the Earth Summit that produced Agenda 21, the Philippine Supreme Court had the
occasion to rule on the legal standing of children to sue before a court of law on a question of
nationwide significance — the issue of deforestation.
2       GEOGRAPHIC CONDITIONS

        The Philippines is an archipelagic country of 7100 islands with a total land area of 30
million hectares. Being an island ecology and given the slope and terrain of our islands, the
proper land use balance should be about 50-50, i.e. 50% for forest lands and 50% for other land
uses.
        Lest we forget, the laws of man must follow the laws of nature.
        It is estimated that approximately 50 years ago, the country had about 16 million hectares
of old-growth forest covering 53% of the land mass.
        In 1988, it was determined through satellite imagery that the country had approximately
800,000 hectares of old growth forests left and about 3-4 million hectares of residual and/or
logged-over forests.

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522    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
3       POLICY ADVOCACY THROUGH LEGAL ACTION

        The Philippine mahogany was once famous worldwide. They were extracted from the
virgin forests of the Philippines. Because these forests were once lush and almost limitless, it
was the governmental policy to allow logging only in our virgin forests.
        To recall, there were only 800,000 hectares left. In 1989, data from the Government2
revealed that there were 92 logging corporations holding Timber License Agreements (TLA's)
covering an area of 3.9 million hectares. There was even evidence that certain logging companies
did not have forested areas within their logging concessions.  Something was wrong with the
arithmetic. It was estimated that about 100,000 hectares of old-growth forests were destroyed
every year. Thus, on its very face, total removal of the virgin forest cover may happen in less than
10 years.
        If one were to seek a change in the policy, and the law was the only tool on hand, the
avenue for attempt, howevermodest, would be through a legal action.  How to frame the problem
into a justiciable and litigable issue was the challenge.
4       STRATEGIC AND TACTICAL CONSIDERATIONS

4.1     Choice of the parties:

4.1.1    Plaintiff:

        Whilethe present generation was and will continue to sufferthe ecological malfunctioning
as a result of forest destruction, it is the generation of our children and those to follow that will
sufferwhat in legal parlance is called irreversibledamageandirreparableinjury.  Under the rules
on procedure, they are the real parties in interest.

4.1.2    Defendant:  Who should be the defendant/s?

        The necessary defendants are:
             a.   The holders of the license.
             b.   The issuer of the license.
        To unnecessarily pick a fight with 92 multimillion logging companies, with their battery
of topnotch lawyersand their massive political clout, may not be an act of heroism but of foolhardy
quixotism.
        The art of war teaches us to choose the line of least resistance. Thus, the issuer, the
Government,  was the easier target.3  Besides, under  the Regalian doctrine, Government
(representing  the State) is the owner of the country's natural resources. Being the owner and
possessor of  authority,  Government is also bestowed with responsibility.  As the temporal
representative of this generation, Government is duty bound to care for the natural resources of
the Philippines and to keep it in good, if not in a better, condition for the benefit of the present
and future generations of Filipinos.
        In fact this line of thinking was already present in our existing environmental laws. An
environmental provision had even been recently enshrined in the 1987 Constitution.

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                                                         OPOSA, ANTONIO A., JR.  523
4.2     Choice of the action:

        A cause of action in an environmental legal action with a policy (a.k.a. political)
complexion must not only be sufficient, it must also appear sufficient, clear, unmistakable, and
palpable. Otherwise, it can suffer the setback of early dismissal for failing to state a cause of
action.
        The clear and unmistakable cause of action was in the fact that:
        •  There were only 800,000 hectares left of virgin forests.
        •  The Government had granted logging concessions to 3.9 million hectares
          (almost five times more than was  available).
        •  At the present rate of forest depletion, there will be nothing left for our children
          and those of them to follow.
        •  If the generations to follow will suffer irreparable injury and permanent
          damage, they are therefore the proper parties-plaintiff.
5       THE LEGAL ACTION

        On March 20,1990, (two years before Agenda 21) Civil Case No. 90-777 for mandatory
injunction was initiated before the Regional Trial Court of Makati, Metro Manila. The plaintiffs,
forty three children from all over the Philippines filed a legal action against the Secretary of the
Department of Environment and Natural Resources (DENR) and prayed for the cancellation of
all logging concessions in the country. The legal and philosophical basis are as follows.

5.1.     Constitution:

        The 1987 Constitution states that, "The State shall protect and advance the right of the
people to a balanced and healthful ecology in accord with the rhythm and harmony of nature"
(Article 2, Section 16).

5.2     Common Law:

        This generation, represented by the Government, is the trustee of the natural resource
treasures of the country.  As such, it must properly care for these treasures so that succeeding
generations—the beneficiary— may still enjoy, use and benefit from these resources until and
up to an horizon of reasonable perpetuity. The Trustier, of course, is the Creator of Nature.

5.3     Civil  Law:

        Whoever does damage to another in a manner that is contrary to morals and public
policy shall be liable for the damage done.  Public policy is contained in the Constitution and in
the various dormant environment laws of the country. All of them state, in effect, that we hold
these natural resourcesforthe benefit of future generations. If this public policy is violated by our
act of willful and continued forest depletion, there is actionable damage.

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524    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
5.4     Natural law:

        Plaintiff minors alleged that the act of allowing the total decimation of the forest resources
of the country violated their right (and instinct) of self-preservationand self-perpetuation. It is an
at tantamount to generational genocide.


6       THE INITIAL SETBACK

        The Government, as anticipated,filed a motion to dismiss on the ground of the failure to
state a cause of action, and that the issue was political in complexion. After about one year, the
Regional Trial Court dismissed the case on the following grounds:

        1.    Failure to state a cause of action on the part of the plaintiffs and lack of
             personality to sue.
        2.    The issue is a political question and therefore, non-justiciable.
        3.    Canceling the timber license agreements will violate the constitutional
             protection against infringement of contracts.
7       THE SUPREME COURT DECISION

        The Supreme Court of the Philippines rendered an en bane and unanimous decision
on July 30,1993." The following legal issues and clarifications may be of interest:

7.1     Class suit

        "The subject matter of the complaint is of common and general interest not just
        to several, but to all  the citizens of the Philippines.  Since the parties are so
        numerous, it is impossible to bring them all before the court."

        The case was ruled as a proper class suit. It was also ruled that the petitioners are
numerous and representative enough to ensure full protection of all the concerned interests.5

7.2     Legal personality to sue:

        The Supreme Court clarified the question of the children's legal right of action, their
locus standi.  It said:

        "Petitioners minors assert that they represent their generation as well as
        generations yet unborn. We find no difficulty in ruling that they can, forthemselves,
        for others of their generation and for the succeeding generations, file a  class
        suit."

        "Their personality to sue in behalf of the succeeding generations can only be
        based on the concept of inter-generational responsibility insofar as the right to a
        balanced and healthful ecology is concerned. Such a right considers the "rhythm
        and harmony of Nature."

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                                                        OPOSA, ANTONIO A., JR.  525
        "Nature means the created world in its entirety.  Such rhythm and harmony
        indispensably include, inter alia, the judicious disposition of the natural resources
        to the end that their development be equitably accessible to the present as well
        as future generations."

        "Needless to say, every generation has a responsibility to the next to preserve
        that rhythm and harmony for the full enjoyment of a balanced and healthful
        ecology."

        "Put a little differently, the minors' assertion of their right to a sound environment
        constitutes,  at the same time, the performance of their obligation to ensure the
        protection of that right for the generations to come."

        The Court also clarified the legal status of the right to a sound environment. It noted that:

        "While the right to a balanced ecology is found underthe Declaration of Principles
        and State Policies and not underthe Bill of Rights, it does not follow that it is less
        important than any of the civil and political rights enumerated in the latter."

        "Such right belongs to a different category of right altogetherforit concerns nothing
        less than self-preservation and self-perpetuation the advancement of which may
        be said to predate all governments and constitutions."

        "As a matter of fact, these basic rights need not even be written in the Constitution
        for they are assumed to exist from the inception of humankind."

        "If they are now explicitly mentioned in the fundamental charter, it is because of
        the well-founded fear of its framers that unless the  rights are mandated by the
        Constitution itself, the day would not be too far when all else would be lost not
        only for the present generation, but also for those to come —"

        "Generations which stand to  inherit nothing but parched earth incapable of
        sustaining life."
8       POST FACTO INCIDENTS

        The Government has since prohibited logging in old growth forests.6  The number of
Timber License Agreement (TLA) holders has since been reduced to about 24. In effect, what
was sought to be achieved by protracted legal action was accomplished, at least partially, by
administrative action. This is not to say that the legal action was principally or even significantly
responsibleforthis development.  If at all contributory, it served to merely stoke the fire of concern
over our vanishing forest resources.


9       LESSONS LEARNED

        For all its jurisprudential value and implications in constitutional and political law, remedial
law and environmental law, the importantlesson learned is that environmentalcontroversiesand
issues are not resolved by legal action and in the legal forum. After a 3-year battle all the way to
the Supreme Court, only the legalistic issue of the legal personality to sue had been resolved. If
a proactive environmental legal action can be of any value at all, it is in the fact that it serves to:

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526    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        1.    Force the issue and disturb the molecules of thought not only in the minds
             of the concerned sectors (Government, logging operators, legislators,
             etc.), but also the minds of the general public.
        2.    Oftentimesan environmentalissuebecomesa highly-chargedemotional
             controversy. Submitting it before a court of law will render it subjudice
             and subject the controversy to the court's dispassionate scrutiny.  The
             issues can be clarified in an orderly manner.
        3.    Given a sympathetic bureaucracy, the government administrators may
             just be looking for additional  ammunition with which they can enact a
             policy that they wanted to do in the first place but could not on account of
             political considerations and sensitivities.


10      CONCLUSION

        So far we have discussed a legal  precedent on the issue of inter-generational
responsibility. What are the possible theoretical extensions of the principle?

        1.    If a generation is fully aware of its destructive  behavior  in  such
             environmental concerns as climate change, deforestation, and marine
             resource depletion, yet continues to follow such conduct, is there malice
             and bad faith?7

             If so, is the next generation entitled to inter-generationalmoral damages?

        2.    If a generation converts and misappropriates for its own use and benefit
             the  natural resource treasures which it holds in trust for succeeding
             generations — the beneficiaries — can the former be held for, and is
             there a crime of, generational swindling? The answers to these we shall
             leave to future jurisprudence.


REFERENCES

1.   Stockholm Declaration, Principle No. 1, and the Rio Declaration, Principle 3.

2.   The agency of Government primarily mandated to protect the country's natural resources
    in the Department of Environment and Natural Resources (DENR).

3.   To the credit of then DENR Secretary, F.S. Factoran, his administration was of similar
    thinking. In fact, he was informed beforehand of the legal action which he gamely
    encouraged and supported.

4.   Minors vs. Secretary of the DENR, GR 101083, 224 SCRA 792. All quotations
    hereinafter cited may be found in the decision.

5.   The plantiffs-children were carefully selected to come from all the geographic regions of
    the country.

6.   DENR Dept. Admin. Order No. 24, Series of 1991.

7.   It is a universal principle of law that when one knows that something is wrong yet goes
    ahead and does it, there is premediated malice and evident bad faith.

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                                                          SARMIENTO, GERMAN  527
ROLE OF PUBLIC PARTICIPATION IN ENFORCEMENT

SARMIENTO, GERMAN

President of FUNDEPUBLICO, Calle62 No. 3-18 Santa Fe De Bogota, Colombia


        SUMMARY

        Public participation is prerequisite of enforcement even in the countries where citizens
do not have standing to use either judicial or administrative mechanisms. In countries where
such standing is granted, public participation replaces governmentauthoritiesin the cases where
they do not have political will to enforce environmental laws.
        In general, environmental authorities do not move unless public request it specifically if
violations come from government activities, government corruption or from private activities that
are relevant in national or local economies.
        In order to overcome such lack of political will, several countries have opened standing
to citizens to defend environment either through judicial or administrative procedures. Citizens
may activate judicial mechanisms to obtain injunctions, sanctions or compensations. Also they
may intervene in administrative procedures addressed either to grant or cancel licenses.


1       PUBLIC ENFORCEMENT IN LATIN AMERICA

        In Latin America, Brazil and Colombia are countries that have gone further in such a
trend. Other countries are beginning. In 1991, Colombia enacted a new Constitution that has
been named the "green constitution", because of the extensive protection to the environment as
a collective right. Such protection has been insured through different judicial mechanisms that
may be used by citizens, communities and non-government organizations on the ground of a
very broad standing to access the Courts.


2       JUDICIAL MECHANISMS

        Those mechanisms are:

        •  Popular actions, which is a very close tool to the citizen action of the U.S.
          law;
        •  Tutela actions, basically  addressed to  protect fundamental rights but
          interpreted by the Courts as means to protect environment when violations
          also affect fundamental rights such as life or health;
        •  Compliance actions, to enforce laws and regulations that government officers
          are reluctant to enforce; and
        •  Nullificationactions, that allow citizensto nullify licenses and permits issued
          without complying with the laws or the Constitution.

        Standing is very broad. Tutela action is only limited to the fact that plaintiff belongs to
the group of people affected by the violations.

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528     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
3      REMEDIES

       Powerful remedies may be obtained by citizensthrough the listed mechanisms. Popular
action allows compensation for national resource damages on behalf of the government. They
also allow injunctions to be obtained.  Successful  plaintiffs  are awarded with  a special
compensation as well as legal fees. Tutela action allows only injunctions; no legal fees are
granted. Compliance action allows to obtain injunctions against authorities that do not want to
enforce environmental laws.


4      PUBLIC PARTICIPATION

       As a complementary mechanism, citizens may intervene in administrative procedures
addressed to grant or cancel licenses. They may participate in public hearings in order to make
comments on the environmental impact studies.
5      ACCESS TO INFORMATION

       As an essential condition to use the above judicial tools, citizens have access to any
environmental information. After request, the government officers have 15 days to release it. If
it is not, citizens may insist and then the request must be submitted to the court that must decide
if the information is or not reserved.
6       CONCLUSIONS

        The Environmental Law Institute (ELI, US) has published data showing that the
enforcement activity by US citizens is bigger than the U.S. Environmental Protection Agency
(EPA). In Colombia it is not true yet as those mechanisms are new and the civil society is just
starting to be organized to use them. The true fact is that citizens have become a new actor in
the solution of environmental conflicts. It does not depend any more on govemmentand violators.
Victims and affected communities have a substantive role.

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                      SPECIAL TOPIC I: CRIMINAL ENFORCEMENT ROLE IN ENVIRONMENT  529
                   SPECIAL TOPIC WORKSHOP I

                          Criminal Enforcement:
               INTERPOL, Role of Criminal Enforcement
                      in Environmental Enforcement
Papers and Workshop I discussions address the following issues:

       •  Sanctions and other consequences available through criminal enforcement
          and how effective they are in achieving compliance.
       •  The proper role of criminal authorities and sanctions in environmental
          enforcement. What the relationship should be between criminal and civil
          enforcement and for what types of violations criminal enforcement (rather
          than civil enforcement) is particularly well suited.
       •  Government entities involved in making criminal enforcement successful:
          How these different groups can be encouraged to work together.
       •  Training required to support criminal enforcement, and training materials
          available.
       •  How INTERPOL works. Cooperative efforts among  countries to prevent,
          detect, and prosecute crimes. What works well and what does not work
          well. What improvements can be made.
1.   Summary of Criminal Enforcement Workshop, Facilitators: T. Bispham,
    J. van Doom, Rapporteurs: J. Gras, L Sievers	531

2.   The Environmental Task of the Police: 1990-1994, LJ. Sievers, M. J. Horstman	535

3.   The Environmental Task of the Police: 1995-1998, LJ. Sievers, M. J. Horstman	547

4.   Environmental Duties of the Police in the Netherlands, LJ. Sievers	559

5.   Oregon's Experience in Developing and Implementing a State Environmental
    Crimes Program, T. Bispham, H. Duncan, L Cariough,	565

6.   Targeting and Criminal Enforcement, A. de Lange	577

7.   The Environmental Criminal Justice in China, S. Wang	583

8.   The Netherland's Manual: Investigations of Complex Environmental Offenses,
    C. van Kooten	591
See related papers from other International Workshop and Conference Proceedings:

1.   Criminal Enforcement Role in Environment, O. Dubovic, Volume I, Oaxaca, Mexico

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530     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
2.   Enforcement of Environmental Legislation Under Criminal Law by the Public
    Prosecutions Department in the Netherlands, G. van Zeben, Volume I, Oaxaca, Mexico

3.   The Evolution of Environmental Crimes Enforcement at the United States Environmental
    Protection Agency, £. E. Devaney, Volume I, Oaxaca, Mexico

4.   The Role of the Inspectorate for the Environment in Tracing Environmental Crime in the
    Netherlands, D. J. Van Zeben, J. van derPlas, Volume I, Oaxaca, Mexico

5.   Summary of Workshop: Criminal Enforcement Role in Environment, Facilitator: G. van
    Zeben, Rapporteurs: A. DeLong, T. Shewmake, Volume II, Oaxaca, Mexico

6.   U.S. Experience and Differences Between Civil and Criminal Investigations and Use of
    Central Elite Force to Supplement Local Inspectors, C. Wils andD. Gipe, Volume I,
    Budapest, Hungary

7.   Choosing among Criminal, Civil, Judicial, and Administrative Enforcement Options, D.
    van Zeben andM. Mulkey, Volume I, Budapest, Hungary

8.   The Environmental Prosecuter: The Experience of a "Central Command" Theory  of
    Environmental Enforcement, S. Madonna, Volume I, Budapest, Hungary

9.   The Application of Criminal Law Instrument in the Environmental Law Enforcement, A.
    Hamzah andR. Surachman, Volume I, Budapest, Hungary

10. Combatting Environmental Crime in an International Context, Y. van derMeer, Volume II,
    Budapest, Hungary

11. The Role of INTERPOL in Environmental Enforcement, S. Klem, Volume II, Budapest,
    Hungary

12. Criminal Enforcement of Environmental Legislation, H. Fangman, Volume I, Utrecht, The
    Netherlands

13. Criminal Prosecution in Environmental Matters—The State Perspective, J. Lynch,
    Volume II, Utrecht, The Netherlands

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                SUMMARY OF WORKSHOP: CRIMINAL ENFORCEMENT ROLE IN ENVIRONMENT  531
CRIMINAL ENFORCEMENT ROLE IN ENVIRONMENT

        Facilitators: Tom Bispham, J. van Doom
        Rapporteurs: J. Gras, L. Sievers
        GOALS

        The sessions addressed the following issues:

        •  Sanctionsand other consequencesavailablethrough criminal enforcement
          and how effective they are in achieving compliance.
        •  The proper role of criminal authorities and sanctions in environmental
          enforcement. What the relationship should be between criminal and civil
          enforcement and for what types of violations criminal enforcement (rather
          than civil enforcement) is particularly well suited.
        •  Government entities involved in making criminal enforcement successful:
          how these different groups can be encouraged to work together.
        •  Training required to support criminal enforcement and training materials
          available.
        •  How INTERPOL works. Cooperative efforts among countries to prevent,
          detect, and prosecute crimes.  What works well and what does not work
          well. What improvements can be made.
1       INTRODUCTION

        In two sessions, the second of which only consisted of three persons excluding the
facilitators and rapporteurs, several of the indicated topics were addressed. There also were
discussions about negotiation versus criminal action, political interest in the brown environment,
and environmental cases versus other severe criminality.
2       PAPERS

        Six papers were produced on this topic. From China Mr. S. Wang wrote an article
about environmental criminal justice in China. Mr. T. Bispham wrote an article about Oregon
developing and implementinga state environmental crime program to complement theirexisting
civil enforcement program. Different authors from the Netherlands produced four articles. Two
were written on the environmental task of the police.  One concerned targeting and criminal
enforcement and the other is a manual on investigations of complex environmental offices.

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532     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
3       DISCUSSION SUMMARY

3.1      How does a country establish laws enabling criminal sanctions?

        This is very difficult in countries where the economy has a higher priority than the
environment or there is a lack of public awareness about the adverse effects on health and the
environment from serious violations. It was also very clear that social, economic, and political
matters make the environmental problem a very complex one.  It was believed that the first step
is to educate the public about the negative impact serious violations can have on public health
and natural resources. Then, public awareness and their demand for strict laws and regulations
needs to become a driving force.  Education also needs to be elevated to the police, NGOs,
prosecutors, judges and politicians, and to develop these entities into driving forces. It was also
agreed that is important to publicize environmental scandals  as a means  of public education
andtocreateadeterrenteffect. Publicizingscandals may also result in greaterpolitical attention
and support. It was a general viewthatenvironmentalenforcement may take years to develop. It
is a long process of training, coordinating efforts and knowledge, developing laws and regulations,
setting up permit systems,  etc. In countries that seem to be far ahead now, it took years to come
to the point where they are now. And the problem of getting and keeping environmental cases
high on the priority-list is world-wide: it always has to compete  with murder, rape, drugs, etc.

 3.2     Training

        It was evident that a number of countries are in need of good training programs for
investigators and prosecutors, and for judges too. Various networks need to be established to
provide this service.  The U.S. Environmental Protection  Agency and the U.S. regional
enforcement project may be able to serve this need to some degree. There is also a very basic
need for some countries to have information on what constitutes civil versus criminal crime. In
some areas a checklist approach has been found valuable in assisting inspectors to identify an
environmental crime.  Because of other priorities such as murder and drugs it appears that
countries need to develop  resources for dedicated environmental prosecutors. This would also
be beneficial because many times the crimes are so complex it takes a full-time prosecutor to
learn and apply the laws.
        It was also very apparent that the most effective and  efficient approach to addressing
environmental crimes is a cooperative coordinated approach between affected programs like
the police, the environment agency, prosecutors, fire and hazardous materials teams, etc. Defining
roles, responsibilitiesand assigning accountabilitiesare imperative.  It was said that in countries
where the police are not involved in environmental enforcement but should be, a basic expertise
is needed.

3.3     Sanctions

        There is a great diversity between countries regarding the nature of the sanctions and
the use of sanctions.  The sanctions vary from fines to jail time.   From China, Mr. S. Wang
reported on the recovery of the costs of investigations, repairs or clean up, enforcement notices,
preliminary measures (by the prosecutor), external audits and the recovery of profit. There is
also a variety of authorities that can impose the sanctions.  Especially the fact  that civil/
administrative sanctions can be imposed not only by a judge,  but also by the environmental
agency and the local or provincial authorities.

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                SUMMARY OF WORKSHOP: CRIMINAL ENFORCEMENT ROLE IN ENVIRONMENT  533
        In a number of instances, a country's economics and culture will dictate whether they
utilize negotiations or enforcement. It was suggested that one should not overlook the value of
equity between sources as a driving force. That is, maintaining a level playing field between
sources so that a polluter does not gain an economic advantage over a clean industry. In some
instances countries may find support from industry for developing a criminal program if they
believe it will promote equity. There was also discussion about the imposing of sanctions on
individuals when the situation becomes a serious social problem. This was for instance the case
in private owned land use.  It was clear that severe sanctions have a preventive effect because of
deterrence.

3.4     Roleoflnterpol

        The role of Interpol was explained and the way this network operates. There was much
interest to try and coordinate more between the various countries. An additional paper will be
produced in which the Interpol-functionwill be explained. The network covers some 157 countries.
In the European region Interpol has a working group established for further concrete information
exchange. Until now it was hard to get in contact within Eastern Europe in the Interpol working
group, but now there will be extra efforts made to involve this region.

3.5     Different issues discussed

        The situation in Estonia recently changed under a new law, which indicates that the
Department of Environmental Protection is responsible for the environmental enforcement both
green and brown. This used to be a task for the police. The department has no investigatory
knowledge so enforcement is a big problem.
        In one rapidly industrializing country in Asia a participant observed that environmental
enforcement doesn't have a high priority. Economic development comes first. Besides this, the
police nor the public prosecutor have skills or knowledge to handle major environmental cases.
Only small companiesorindividualsare prosecuted. Training but also restructuring of the system
is needed. According to official reports, the environmental situation is improving, but there are
doubts about the trustworthinessof these reports. Public awareness is growing very rapidly and
the government is willing to take more action.
        Chinahasacriminalcodeandseparateenvironmentallegislation. Criminal prosecution
is only possible on environmental laws if this law relates to the criminal code. There are a lot of
offenses on which a judicial reaction should have followed, but because of the legal system it is
very difficult to prosecute. Besides this, there is a very high priority on economic development.
The public has the same view.
        Jamaica has a problem with smuggling of endangered species, which are on the brink
of extinction. They seek cooperationwith the U.S. Customs and the Convention on International
Trade in Endangered Species (CITES) organization to give an effective response to this threat.
        A major problem in Malaysia is the dislodging of ships in the waters of Malaysia. There
is action being taken but it could be more effective if there was information exchange about
these kinds of criminal activities and the owners of the ships or the agents internationally.

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534     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
4       CONCLUSIONS

        The general remark was that environmental enforcement and criminality is a complex
problem because it is highly related to the political, economicand social situation. In all countries
it is hard to get and keep environmental issues high on the priority list.
        The role of public awareness is vital to compliance and enforcement: The environment
has to be a social issue and much more energy should be spent to educate and inform the
public.  This could provide a main driving force in all countries.
        The effectiveness of sanctions should be seen in repairing of the damage or prevention
of further damage. Equity is an important factor both in enforcement and in sanctions.
        There was much support for international exchange of criminal information via the
INTERPOL-network or otherwise.  Information about cases in other countries may strengthen
national cases and violators can more effectively be detected.
        The conclusions of the third conference were supported: Civil and criminal sanctions
can play an important role in environmental enforcement programs and send a strong deterrent
message to industry and the public. Effectivenessin enforcementis best reached by cooperation
between all agencies involved. Training remains essential to effective enforcement.

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                                               SEVERS, LJ. AND HORSTMAN, M.J.  535
THE ENVIRONMENTAL TASK OF THE POLICE: 1990-1994

SEVERS, LJ. AND HORSTMAN, M.J.

The Advisory Committee on the Enforcement of Environmental Law, Council of Chiefs of
Police, postbus202, 3970 AE, Driebergen, The Netherlands


        SUMMARY

        During the years 1990-1994, intensifying the environmental task of police coincided
with the reorganization of the police, which brought both advantages and disadvantages. As laid
down in "Maintain or lose" (the 1991 policy plan on environmental tasks by the Chiefs of Police),
the starting point was the integration of environmental tasks in police work as a whole. Seemingly
a paradox, in the first phase of accomplishing the task both the Coordinating Police Council and
the various forces opted for projects. This approach led to a satisfying number of good results in
several fields, specifically internal organization and  setting the criteria for law enforcement.
        The police connected to environmental networks and made their position with regard to
environmental law enforcement clear to the public and other authorities, which meant more
attention to consultation and definition of tasks and responsibilities than concrete action. During
this phase experience was gained with certain methods of thinking and working which very often
appeared to be trend setting. The ultimate goal (integration of the environment in the total police
task) has not yet been reached;  the goals mentioned by the heads of the forces in their 1991
statement have been partly realized, but still require extra attention.
1       THE ENVIRONMENTAL TASK OF THE POLICE 1990-1994

1.1     Introduction

        During the first three years in which the police received National Environmental Policy
Plan funds, much has been achieved. Particular attention has been paid to conditions for efficient
environmental law enforcement by the police. The next three years will in particular focus on the
way the environmental task is performed. This chapter will discuss developments up to 1995.
        The early 90s saw the publication of "Handhaven of verliezen" ("Maintain or Lose"), an
environmental policy plan for the police, by the Coordinating Police Council. The plan presented
vision for the way (form and contents) in which the police were to carry out their environmental
task in relation to their other tasks, the authorities, and partners in environmental law enforcement.
Toward the end of 1991, the joint heads of forces, united in the Coordinating Police Council,
issued a statement containing a number  of goals as  regards the implementation  of the
environmental task of the police.
        Starting in 1991, National Environmental Policy Plan funds were made available to the
departments which were to play a role in this accomplishment. The police were promised and
earmarked an amount of 73.5 million guilders (US$ = .5878 guilders) in 1992 rising to U.S.$ 60
million in 1994. After that the money was to be integrated in the total police budget.  (In  the
course of 1994 the department decided to extend the period for earmarking funds to 1998, see
chapter 2).

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536     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
1.2     New phenomenon

        Compared to more traditional police tasks, environmental tasks are relatively new.
Implementation of these tasks were to take place in the same period of time that the police
organization underwent a rigorous reorganization. This had both positive and negative effects,
the positive  being that here was a  chance to integrate a well-determined task  in the new
organization, the negative effect that it appeared to be difficultto ask their attention for a relatively
new phenomenon in a time when the police were occupied with many other important matters.
        As indicated earlier, when the contents of the environmental tasks  of the police were
determined, particular attention was paid to the setting up of conditions and  the creation of the
right infrastructure. On Decembers, 1991, following a conference on the environmental tasks of
the police, the Coordinating Police Council came with a statement in which they asked the
competent authorities to promote a certain number of goals:

        •  The budget: In view of the effectsenvironmentallegislationwould later have
          on society, the level of effort should double by 1995; in money terms this
          would be 4% of the budget.
        •  Training: By 1996 all police officers involved in the environmentaltask must
          have  attended a relevant training course, both as regards general and
          specific subjects.
        •  Internal environmental measures: In 1995 internal measures must have been
          established.
        •  Computerization:A rapid developmentofcomputerizationand coordination
          with other parties involved in environmental law enforcement.
        •  External cooperation: Providing expertise to other parties more  explicitly,
          and thus contributing to proper enforcement of laws and issuing of permits.


1.3     Advisory committee

        The Coordinating Police Council created an Advisory Committee on the Environment,
similar to advisory committees for other police tasks. As the environment was a novelty for the
police, and there was a great need for exchange of information and experiences, the operational
environmentaldiscussiongroup, consisting of the heads of the regional bureau's, was started. A
project organization, under the guidance of the (acting) portfolio holder, was asked to coordinate
and stimulate the implementation of the environmental task.

1.4     Budget

        Since 1991 the Ministry of the Interior and the Ministry  of Justice have made funds
available to the police under the National Environmental Policy Plan. For each regional force
and the National Police Agency, this so-called National Environmental Policy Plan money
amounted to 60  million guilders (US$ = .5878 guilders) a year until 1994. One of the goals
referred to earlier (at the end of 1991) mentioned 4% of the budgetary means in 1995 for
environmental law enforcement. Questionnaires and inquiries have made clear that the forces
indeed now spend some 4% of their budget on this particulartask, especially when one looks at
the amounts spent on training courses.
        As mentioned above, the funds will remain earmarked until 1998. Up to 1994 the National
Environmental Policy Plan money was made available on the basis of the project plans of the
various regional forces.

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                                                SlEVERS, L.J. AND HORSTMAN, M.J.  537
1.5     Training courses

        Another importantfeature of the infrastructuredevelopmentwas training. The National
Centre for Police Training developed national training courses for the various target groups
(basic police officers, management, criminal detectives, traffic police), which were financed with
money made available specifically for this purpose between 1992 and 1994. The courses were
partly given within the forces, and partly at the National Centre for Police Training. At the end of
1994 almost half of the number of police officers (8196) had received their compulsory training.
The optional modules were not as popular as the compulsory ones at first, but this appeared to
change in the middle of 1994.

1.6     Computerization

        The proposed infrastructure also offered ample room for computerization. A national
inquiry into the informationavailable in the field of the environment led to a national environmental
data list which can be used irrespective of the computer system used. Pilot schemes which are
to lead to the  implementation of this dictionary in  the systems used by the various forces are
currently being held in the Friesland and Groningen regions. The National Criminal Intelligence
Division of the National Police Agency is currently involved in a pilot which is to lead to one
national system for information exchange to which the regions can connect.

1.7     Internal environmental measures

        As the police are to set an example, it is not just the external task that is important, but
also internal environmental measures which need to be taken.  During the environmental
conference referred to above, the heads of the forces came up with a recommendation which is
to lead to internal measures in 1995. "Care of environment starts at home" is especially true for
the police; national seminars are held, and a video tape has been compiled. It is very often
difficult to determine who is responsiblefor the necessary measures within an organization; first
it was thoughtthat this was the task of regional environmentalbureaus, but later it was concluded
that management all through the organization is responsible (supported by the logistics unit).

1.8     Participation in the law enforcement network

        For the purpose of environmental law enforcement, a separate structure was created
(by letter of Minister of Housing, Spatial Planning and the Environment dated October 11,1990)
which put the emphasis  on the "Joint  Regulations" level (i.e. agreements by a group  of
municipalities to work together in certain areas of their responsibilities). The police have had to
obtain their proper place in this, and now cooperates with the Public Prosecution, municipalities,
provinces, the Inspection for the Environment, the Ministry of Transport and Public Works, and
designated enforcement agencies/officers. As often the police region borders do not coincide
with those of "Joint Regulations" regions, the police frequently have to point out to their partners
that the priorities cannot be determined in the police-"Joint Regulations" discussions, but these
have to be set in the three-party discussions. Often the police were and are represented by the
head or other representative of the regional environmental bureau. It is obvious that this task
should be fulfilled better by a district manager.

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1.9     Position in the organization

        Regional environmental bureaus have been set up in all police regions. Policy plans in
the field of the environment were made and coordination took place within the network and law
enforcement structures. The starting point forall activities was the integration of the environmental
task in the basic police function. In order for integration to be successful, specialist knowledge
must be available as a supporting specialization, and not (or only very limited) as independent
assistance. So, most regions have specialists available at district level (usually full-time
coordinators) and basic unit level (usually part-time).
        A great number of regions also made staff available within the serious crimes division
for the fight against serious environmental crime. Up to now, the number of cases dealt with has
remained limited; often one chose to cooperate with others in the form of projects. Only part of
the officers occupied with the environmental task came from the organizations; support by
management was often lacking.

1.10    Crime Investigation Service

        As explained above, most police regions had chosen the support of specialists. Where
Crime Investigation  Service activities  are concerned, however, the specialist knowledge is
independent. In 1991 a pilot project was started in which four criminal investigation services and
the National Criminal Intelligence Division participated. Their aim  was to improve the way
information, needed for the fight against environmental crime, was supplied. Later almost all
regions joined the project.
        From the final report it appears that large investments are needed in order to come to a
proper information position. Existing techniques, used for the more traditional forms of crimes,
are only partly suitable in view of the intertwinement with the so-called upperworld (authorities
and businesses), and new methods and techniques must be developed. However, the investment
needed (both with regard to time and capacity) does not have to be restricted to the fight against
environmental crimes, but will also help the information gathering as regards other forms of
organized crime which involve the upperworld.

1.11    Environmental map

        When determining the form and nature of the environmental task of the police, the
environmental map is a useful instrument. As it has several functions, the map might be of use for
law enforcers working in the field, it can help policy makers when setting priorities, and it can be
used when the Public Prosecution, the authorities, and the police together set their priorities.
The majority of the forces have devised some form of environmental map.

1.12    New style police

        In addition to the concreteand tangible results, the environmentaltask of the police also
led to other, positive effects. Examples of these are:
        When performingtheirenvironmentaltasks, the police gain experience in working within
complex networks.
        The environmental tasks have caused the police to look differently at the fight against
crime as the intertwinement of upperworld and underworld and the development of new working
methods are subjects which specifically demand attention.

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                                               SEVERS, L.J. AND HORSTMAN, M.J.  539
        Environmental law enforcement has taught the police that targets can be reached in
different ways. The application of relevantlaws is only one instrument, and alternativemeans are
being developed.
        Through the role they play in environmental law enforcement, the police are expectedto
set an example.
2       THE ENVIRONMENTAL TASK OF THE POLICE 1995 - 1998

        The previous section gave an overview of the developments until 1995. This chapter
deals with the visions, objectives, starting points, and goals which have been laid down in the
note "The Environmental Task of the Police 1995-98 Achievement and Inspiration".

2.1     Summary

        The second period of implementing the environmental tasks of the police will be
characterized by special attention to actual performance; the main aim is (and was) the integration
of environmental tasks in the police task as a whole. The police will increasingly participate in
environmental law enforcement in both the "green" and "grey" fields.
        Professionalism and cooperation are key words, both with regard to operations and
policies. Exchange of information, internal and external, at the local, regional, interregional, and
national levels appear to be essential. Serious environmental crime is an important goal; the
internationalandsophisticatednature of it demand a new approach. Providing specialist support
will remain important to the quality of the environmental tasks of the police.

2.2     Continuation

        On 29 March 1995,  the Joint Chiefs of Police decided to continue their efforts  to
implement the police's environmental tasks and to integrate the accompanying activities in general
police work. The aforementioned note was agreed on unanimously.  It mentions the objectives,
starting points, and goals for the period from  1995 to 1998, and is based  on the expected
developments and trends in those years. The main aspects of the environmental tasks of the
police and a concrete plan for the desired situation within the police organization are given, as
well as the relation to external partners and the competent authorities. The note also gives a
description of the role of the Council of Police Commissioners. This role is described below.
The note also gives an account of internal and external developments in the past period of the
National Environmental Policy Plan.
        By determining the contents of the note "Achievement and Inspiration" the Chiefs of
Police, united in the Council of Chiefs of Police, recognized that it is still too early to abandon the
environment as  a specific point of discussion and attention. Internal inventories and various
reports, by several agencies and bureaus, such as WODC, AEF, and Klinkers, indicated that
intensive implementation should be continued.

2.3     Implementation

        In the past period emphasis was mainly laid on infrastructure, organizations, structure
and division of tasks and responsibilities, devising plans and projects; in the years 1995-1998
emphasis will have to be on actual implementation. Investments must lead to growing achievement

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540    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
now that the reorganization of the police has almost been completed. From the 1994 figures
provided by the Public Prosecution the change is already noticeable: the share of the police with
regard to the number of official environmental reports increased by 20%.
        In the years 1995-1998 this specific task of the police should also be integrated in the
total police work, which means that after that, specific attention to the environment, just as in the
case of traffic or cid work, is no longer needed.
        At the national level efforts are also being continued. Here too, integration is the objective.
The projects will come to an end, and the activities which are now the result of specific attention
for the environment will then be part of the general portfolio of the Council. For instance, the
follow-up to the Crime Investigation Service pilot will be the responsibility of the advisory committee
on crime, and training courses will be supplied by the Advisory Committee on Personnel and
Training. The Advisory Committee on the Environment will continue its activities for the time
being, but gradually take the role of initiator and director of current and future developments.

2.4     Developments and trends

        Environmental awareness is increasing, especially since the measures taken by the
authorities will become more and more important to the public. And the fact that the authorities
aim to withdraw and leave more to the "market" or businesses means that the nature of law
enforcement, and so the working methods of the police is changing.
        International developments will have their influence on the police as well. The relation
between East and West (serious environmental problems in the former Eastern Bloc countries),
and the  relation North-South (protection of species threatened with extinction, the dumping of
waste in Third World countries) will play a bigger role in the future.
        The environment will be part of the integral safety policy, and so the integral approach
will become more important. Three-party discussions will be held at all levels. All the while the
reorganizationswithin the Public Prosecution Service and otherauthori ties will demand attention.
The need for cooperation and harmonization of activities will increase, both  among and within
the relevant agencies. Chain approaches will be used more often so as to gear policy and
operational activities.
        Environmental crimes are expected to increase in size and number. The organizations
behind these crimes will be run more efficiently and more intellectually, and more often there will
appear to be ties with other forms of crime.
        This vision with regard to future developments, together with the current state of the
environmental task of the police, leads to the following main lines for the coming three years.

2.5     Main lines of the environmental task of the police

        The police will have to make an extra effort in this field to ensure that at all levels within
the organizations there is support and expertise. The priorities set in police, activity, and workplans
will have to be followed by adaptations of the budget and number of staff. The environment is to
become one of the many areas of attention for the police. Involvement, setting an example, and
steering by management are essential to this.
        Dealing with the so-called "free-field"crimes by the basic police officer/unitis particularly
important, both with regard to the green and the grey environment. Knowledge about legislation
and green networks will have to be increased. Cooperation with the authorities  will have to lead
to the most effective approach as regards the free field tasks.
        The fact that environmental crime is on the increase necessitates extra stimulation for
the building-up of know-how needed for the fight against this form of crime. This applies to both
the information position (Crime Investigation Service) and the right number of expert staff needed.

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                                                SEVERS, L.J. AND HORSTMAN, M.J.  541
The fight against environmental crime also calls for the development, in cooperation with the
Public Prosecution, of new methods and techniques, such as phenomena approach and risk
analysis. The dumping of waste should be a particular field of attention, both national and
international. The police will have to invest in cross-border cooperation. The exchange of
information will have to be intensified, and actual cooperation will have to be extended further.
        The cooperation with the other partners involved in environmental law enforcement will
have to be deepened and elaborated. From the description of responsibilities it will be clear
which agency is to be approached first, and all those involved will have to be prepared to consult
one another with regard to their activities. The quality of law enforcement will  increase through
the integral approach.
        The exchange of information with the authorities and special investigation services will
have to be extended, and the police will actively support the creation of law enforcementteam at
municipal level. In the three-partydiscussions,the police will have to prove that they are a stable,
reliable and knowledgeable partner. Obviously, the submission to the competent authorities will
remain a given fact.
        In the coming period emphasis will be placed on the actual  performance of the
environmentaltask. Priorities must lie with both the grey and the green environment. At the basic
unit, district, and regional levels, the proper expertise will  have to be available. This obviously
calls for professionalism. The inter-regional task will have to be  extended as well. The right
capacity must be made available in order to be able to deal with  matters which are of super-
regional or national importance. Current information projects must be continued in orderto ensure
an efficient exchange of information.

2.6     Objectives and starting points

        The main objective is the total integration of the environmental task  in the total police
work in  1998. However simple this may look, quite a lot of work is required in order to achieve
this objective. The formal integration may have taken place (mainly with ordinary units, but also
with some specialized environmental bureaus), but the actual integration will have to be as
described below.
        The starting points are, as far as the underlying intention is concerned, comparable to
those laid down in "Maintain or Lose". The 1995-1998 note takes up current issues and puts
emphasison implementationand the concrete measures needed, whereasthe 1990 note places
the main emphasis on the formal integration, structures, conditions, and position in relation to
external partners. The points of departure are based on what should be. Where this has not been
realized, the spearheads are meant to serve as guidelines.
        The first starting point refers to the police tasks with regard to environmental law
enforcement. These are:

        • Eye, nose, and ear function, detection and  handling of simple crimes.
        • Provide support to the authorities, exchange of information  with law
          enforcers, strong arm, preventive role, in particularwith regard to checks at
          businesses.
        • Detection, in particular of serious environmental crimes.

        The second starting point emphasizes the  importance of cooperation  and gives
examples of how this cooperation can be realized with regard to the new regulations on designated
investigators/designated investigation services. Other law enforcers are to be cooperated with
regard to all tasks; the integral approach is to be strived after:

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542    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        •  In the cooperation with designated investigation services/designated
          investigators the police are "primus interpares", and have an obvious
          coordinating  role because of the general competence with regards to
          criminal investigation.
        •  Activities are directed by the competent authorities, who are responsible
          for the integral security policies.

        The third starting point deals with the quality and professionalism of the police's
environmental task. All levels within the organizations are confronted with certain requirements;
they concern both general police work and the specialized tasks:

        •  The police have specific knowledge at the basic level: basic police officer/
          basic police unit, both as regards the green and the grey environmental
          task.
        •  Support in the form of specialized knowledge is available within the own
          organizations.
        •  Both for crime investigation and forensic investigation, expertise in the field
          of criminal investigation is available.
        •  The management is involved.
        •  The environment is integrated in the police task as a whole.


2.7     Goals

        The questions asked and answered on the basis of the goals chosen are the following:

        •  How will the police function (in three years time) when the environmental
          task has found its proper place among the other police tasks?
        •  How will the partners/authorities function  when the police have given the
          environmental task its proper place among the other tasks?

2.7.1    Integration

        Integration of environmental law enforcement in the police task and organizations as a
whole means that environmental issues are recognized and acknowledged. The environment is
seen as a part of general issues on quality of life,  security, and integrity.  All levels of the
organizations have adequate knowledge regarding  the environment to perform their tasks
properly; the management is environmentally aware, has a proper basic know-how, and knows
the broad outline of the "environmental map" of his or her area. The manager participates in the
discussions  which are  held with the authorities and the Public  Prosecution, supported  by
specialists where needed. The manager will set the example within the force and supports other
officers to reach the goals. Specialist support is available within the organizations.
        Where matters of the environment are concerned, the manager serves as the contact
for external partners and as support for the force. Gathering and exchanging operational and
management environmental information is organized. The environmental task is included in the
usual cycle (planning-budget-accounting).  On the basis of agreements, the police can refer to
their partners and competent authorities.  The environment is discussed in the three-party
discussions, and is part of the discussion on integral security, quality of life and integrity.

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                                                SEVERS, L.J. AND HORSTMAN, M.J.  543
        The information on the basis of which priorities are set is provided collectively. For the
police the municipality is the first level of discussion; clarity as regards competence and authorities
is a precondition for adequate law enforcement.

2.7.2   Basic police function

        The goal which refers to a strengthening of the basic police function/unit deals with the
self-evidence with which environmental issues are encountered.This is as self-evidentas giving
a ticket for driving through a red light or drawing up an official report on a theft. The basic police
officer knows what to look for, and has "green antennae". Goal-directed and planned activities
take place. Cases which are based on efficient planning and information get a follow-up. The
basic unit has the know-how to cope with semi-serious environmental crime. The basic unit has
a clearly marked "letter-box"for externals and a specialized "think tank" for colleagues. The local
competent authorities direct their questions in principle to the basic unit first for matters of a
semi-serious nature; arrangements have been made at this level with regard to the division of
tasks, work, and responsibilities.As regards criminal proceedings, agreement has been reached
with the Public Prosecution.

2.7.3   Enforcement of "green" laws

        The third goal deals with the improvement of the approach to law enforcement which is
directed to conservation of the environment (enforcement of "green" laws). The police know of
the green  network within  their region, and are the director of coordinated and  coherent law
enforcement. The importance of green enforcement is recognized and the basic unit has adequate
knowledge in the field; here too, the basic police officer has green antennae. In the policies the
enforcement of green laws plays a role similar to the enforcement of other environmental laws.
        The partners know where to find the police and are aware of the added value  of
cooperation. These agencies gear their activities and projects with the local police. On this
subject too, agreement on criminal proceedings has been reached with the Public Prosecution.

2.7.4   Serious environmental crime

        The goal regarding this subject leads to an insight into the nature and extent of this form
of environmental crime. This  can be achieved on the basis of risk analysis and phenomenon
directed efforts.  Each force has the  right capacity and know-how to fight regional serious crime.
The forces have agreed to provide each other with capacity and  know-how in  cross-border
cases. The project team on serious environmental crimes supports other forces in the creation
of know-how and information gathering. The criminal intelligence project continues in the sense
that the  recommendations will be followed. The National Criminal Intelligence Division of the
National Police Agency plays a supportive role in this.
        The competent authorities will set priorities for the fight against serious environmental
crime on the basis of, i.e., the outcome of risk and phenomenon analyses. The damage to the
environment is weighed against the catching of the perpetrators.

2.7.5   Cooperation

        This goal refers to the cooperation among the various forces, authorities, and partners
at all levels. An important aspect of the external cooperation is the way the exchange of information
is structured. As the environmental task of the police is to fit in the regional enforcement chain, it
is also of importance to define the methods which are used. The police do not have to be
omnipresent; what is essential is that the information needed is exchanged effectively and
efficiently.Thepoliceare also to give signalsto the authoritiesand provide the latterwith support.

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544    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
The police can also give names of bureaus and institutionswhere informationon external judicial
and hygienic knowledge  is available.  The forces and the National Environmental Crime
Investigation  team will also gear their activities  related  to the fight against international
environmental crime. They  make expert knowledge available to one another and promote
concrete international projects, for example with regard to flows of waste and CITES (directed
against the illegal international trafficking of protected species). The authorities are responsible
for enforcement; the police are informed on the state of affairs, and participates in discussions.
The authorities are to safeguard an efficient gathering and exchanging of information at the
regional level. Both with regard to operations and policies, discussions are held at local (basic
unit/municipality), regional, and national (Public Prosecution, Chiefs of Police, Council of Police
Supervisors) levels in an early stage.

2.7.6    Exchange of information

        Still another goal for the police is the creationof an inter-regionaland national exchange
of data regarding the environment. In order to facilitate this, information is stored in computer
systems (like GUM - Gegevens-Uitwisseling-Systeem Milieu - Environmental Data Exchange
System). Managers can use this information to set the necessary guidelines. The milieu-expertise-
centrum project enables the various forces to exchange information on innovative and relevant
operational developments.

2.8     Tasks for the Council of Chief Commissioners

        From the above it will be clear that the forces will have to make the most substantial
contribution in order to realize this goal. The Council will be in a position to give the necessary
support, and commit themselves to this in their note.
        Training will be provided with regard to the strengthening of the basic police function/
unit and the management. The efforts of the "desk for information and expertise on the environment"
must be maximized, and models for covenants will be drawn up at national level.
        In order to implement the approach with regard to legislation in the field of protection of
the environment, an inventory will be made of the "green network". What has happened since the
field police ceased to exist, and what work has not been done? The expectations one has of the
police with regard to green enforcement are currently being investigated, and the CITES project
will be continued.
        In the fight against serious environmental crime, the Council will prepare and promote
the use of the "project team on serious environmental crime". Regions will make arrangements
for the fight at the super-regional level. The Council will also play a role in the continuation of the
Regional Crime Investigation Service pilot. The outcome of (WODC) investigations, risk and
phenomenonanalyses, both internal and external, will be made known in orderto facilitate policy
making. As regards cooperation, the Council will provide information and mediate, at the national
level, between the Council of Supervisors of Regional Police Forces, the Public Prosecution,
Council, representatives  of special  investigation  services, and authorities involved  in law
enforcement.
        In cooperationwith the relevant regions, the Council will complete computerization pilots
and the desk for information and  expertise  on the environment project; the Council will also
promote the  implementation of environmental  modules  which  become available and the
connection to the national environmental data system (GUM).

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                                               SEVERS, L.J. AND HORSTMAN, M.J.  545
3       FINALIZATION

        On 12 April 1995 the second conference for environmental law enforcers "Werk in
Uitvoering"("Men at work") was held at the RAI centre in Amsterdam. The theme of the conference
was "Work in progress, up to here, and further on". Besides approximately 900 environmental
law enforcers from provinces, municipalities, the Ministry of Public Works, district water boards,
etc., there were more than a hundred police officers involved in environmental law enforcement.
        Towards the end of the day, the representativescould vote on a number of propositions.
In 1993 many saw no major role for the police; in 1995 this role was self evident, but now 75% of
those present appeared to have no major confidence in the way the police perform their task. A
mere 25% agreed to: "the police have substantially invested in the past few years; the next few
years will be characterized by results".  So, the portfolio holder for environmental issues of the
Council of Chiefs of Police, R.H. Messing, ended his presentation with the wish that the outcome
would execute the environmental task, both within the  police organization  and where the
cooperation with others is concerned.  For the police too, the slogan still is: Up  to here, and
further on!

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                                              SEVERS, LJ. AND HORSTMAN,  M.J.  547
THE ENVIRONMENTAL TASK OF THE POLICE: 1995-1998

SEVERS, L.J. and HORSTMAN, M.J.

The Advisory Committee on the Enforcement of Environmental Law, Council of Chiefs of
Police, postbus 202, 3970 AE, Driebergen, The Netherlands


        SUMMARY

        The Dutch Environmental Policy Plan has earmarked funds for three years (1991-1994)
to support environmental tasks of police.  The police still have quite a bit of work to do in the
years 1995-1998 to perform their environmental task at the right level. The infrastructure has
been created, but now the time has come to intensify the efforts. After having anticipated trends
and expected developments, plans have to be implemented. This means also gearing the efforts
with those of the partners and authorities in the field of environmental law enforcement. Secondly,
the function of the basic police officer/unit must be strengthened through professionalism, through
expertise, and management support by the. Thirdly, serious crime must be paid particular attention
to; central in this are the creation of know-how and expertise, the development of new instruments,
and making capacity and know-how available to address environmental crimes at regional and
supra-regional levels.


1       INTRODUCTION

        The last years, particular attention has been paid to environmental law enforcement.
The National Environmental Policy Plan provided various authorities with the financial means to
perform their specific tasks in the field. The police too have made an extra effort with regard to
environmental law enforcement. Environmental law enforcement appeared to be trend-setting: a
New Style of Police seemed to develop.
        The earmarking period for which the funds were provided  under the  National
Environmental Policy Plan has been extended by another three years until 1998. Despite some
concrete results, there is still a lot to be done.
        This note, "Environmental task of the Police 1995-1998: Achievement and Inspiration"
is meant to provide support for the extension of the environmental task  within the police force. In
order to achieve this, the contents of "Maintain or Lose", the environmental task of the police,
written in 1990, will be highlighted and concrete suggestions will be given.
       The note is also meant to provide starting points for consultations and covenants with
the authorities in the various police regions.
       The Coordinating Police Council  report "Maintain or Lose", which appeared in 1990
was an environmental policy plan for the nineties by the Dutch police. Just before this report, the
National Environmental Policy Plan was published. On the basis of this National Environmental
Policy Plan, the government decided that the police were to  play  an important task in
environmental law enforcement.
       This first environmental policy plan by the police largely contributed to the development
of the environmental task of the  various police forces. It made clear  how the police task as
regards this subject related to other enforcement agencies and how the task should be fulfilled.

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548     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        The developments both outside and within the police have made it necessary to bring
parts of the 1990 policy plan up-to-date now that we are halfway through the nineties. The National
Environmental Policy Plan 2 has appeared, the Protection of the EnvironmentAct has come into
force, and the police have gone through a far-reaching reorganization. However, the quality of
the environment seems worse than ever before, and despiteall efforts, it will be difficultto look to
the year 2000 in a positive way.
        This note is not just a more recent version of all of the details of the "Maintain or Lose"
policy plan. As the situation is developing rapidly, and the details therefore become obsolete
very easily, this note will only give a broad sketch.
        The note starts with a vision regarding the developmentsand trends which are expected
for the coming three to five years. This vision forms the basis for the starting points, the objective
and the key points for the environmental task of the police for 1995-1998/2000. The key points
(i.e. the actions to be undertaken) will be elaborated in proposals which are as concrete as
possible. This elaboration is accompanied by a presentation of the situation within the police
and of the partners of the police when the environmental task is performed well. Expectations
are explicitly made clear.
        The above is followed by a general overview of a number of relevant developments,
documents and sketches from the partners of the police and from within the police, as occurred
between 1990 and 1994. The general tendency in this same period as regards the environmental
law enforcement is also discussed.
        Looking back serves two purposes. The first is to provide a picture of the developments
that were relevant forthe police and theirpartnersas regardsthe environmentaltask, the second
provides a basis for the policy in the coming period.  Knowing the history will teach us to act
better in the future.
        The environmental task of the police in 1995-1998 offers a challenge for achievement
and food for inspiration.
2       BROAD SKETCH OF DEVELOPMENTS AND TRENDS 1995-1998

2.1     General introduction
        Before determining starting points, objectives, and key points, the vision regarding the
developments which are important to the selection of these will be discussed. Both the ideas as
regards the expectations for the future and what has been done in the past (chapter 7 and 8) will
serve as grounds for the direction into which policies go.

2.2     Relevant developments in society

        Quite a few measures have been taken to tackle current environmental problems. These
problemsare expected to grow in size for the time being, perhaps not so much in the Netherlands
and surrounding countries, but certainly in other parts of Europe (in particular former Eastern
Bloc countries) and the world. Both the relation East-West and the relation North-South are of
interest. Transport and dumping of waste in third world countries, deforestation of tropical rain
forests, and the disappearance of biotopes are only a few of the issues which require to be dealt
with at the international level.
        There is no doubt that environmental awareness is increasing. The measures taken by
the authorities are becoming stricter. However, increase of livestock and, consequently, the surplus
of dung, and the increase of fuel prices, usually go hand in hand with seemingly paradoxical

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                                                SlEVERS, L.J. AND HORSTMAN, M.J.  549
measures such as leaving decisions to businesses and "the market" in the fields of waste disposal
and environmental measures within factories (see also the OESO report on the environment and
measures in the Netherlands).
        In orderto be able to adequately deal with the relation between the environmentand the
economy, the environmentwill gradually have to betaken into account in the discussion of issues
of a more general nature. The integral approach, in which attention is paid to more than one
aspect at the same time, will become more widely used and supposedly more successful. Regional
and national "three-party discussions"1 will become more important and greatly influence the
discussions regarding general safeguarding. The restructuringof the National Public Prosecution
Service and the reorganization of public authorities will have to be paid attention to in the various
regional three-party discussions.
        Among and within the relevant institutions, the will and the need for a better harmonization
of the various law enforcement activities increases. Measures that are taken are increasingly
linked to one another; this means that policies and operations will also be better linked.
        The fact that environmental issues become more complex means that solutions are not
easily available, and that, consequently, a lot of money can be made from this; this may be done
legally, but the chances are that illegal practices will be resorted to more frequently. Environmental
crimes are profitable, and this is why organized crime becomes more and more involved and
related to "ordinary" crimes, such as fraud and drugs trafficking.  Fortunately, research will
increasingly reveal what goes on, and, where traditional tactics and techniques fail, an "intellectual"
approach will appear effective.
3       GENERAL OUTLINE OF THE ENVIRONMENTAL TASK OF THE POLICE
        1995-1998

        The police will make an extra effort to carry out their task with regard to the protection of
the environment and make sure that there is support and expertise all through the organization.
The priority given to this specific task necessitates adjustments in all policy plans, activities, and
working methods, and, of course, the making available of funds and personnel. Integration is the
keyword for the coming years. An essential role in this (showing involvement, setting the right
example, relevant steering) is to be played by those at management level.
        Police constables and units have an important role in combating "free-field" crimes,
which are related to both the green and the grey environment. The knowledge regarding "green
networks" is to increase, and cooperation with the various authorities is to lead to an effective
carrying out of the "free-field" tasks.
       The fact that environmental crime is on the increase necessitates an extra effort to build
up expertise as regards the fight against it. This is true for both the creation of information positions
(Criminal Investigation Service) and the making available of ample and adequate staff. The fight
against environmental crime also calls for a close cooperation with the Public Prosecution as
regards the development of new methods and techniques.  Phenomenon approach and risk
analysis will be part of this, especially with regard to the national and internationalillegal dumping
of waste.
       The need for international cooperation will increase. The police, including the National
Crime Investigation Team,  will have to invest in international cooperation. The exchange of
information is to be intensified, and practical cooperation in specific cases will have to occur
more often.

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550     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        The cooperation with other partners who are also involved in  environmental law
enforcement should be extended as well. It is important that responsibilities are defined, and
that the relevant agencies are willing to consult one another. This means that the police are to
gain a better insight in the existing rules and regulations (the issue of permits, the performance
of checks, the assistance with regard to surveillance), and that combating of serious crimes is
no longer the exclusive prerogative of the police and the Public Prosecution (the measures
taken by authoritiescan also be effective). Here too, the integral approach will lead to an increase
in the quality of law enforcement.
        The exchange of information through coordination and information desks and others
will have to be increased. The police will undertake better action so as to come to the creation of
law enforcement teams at local and regional levels.
        The police will have be a stable, reliable, and knowledgeable partner in the three-party
discussions. The subordination to the authorities is and will remain a given fact. The coming
years, emphasis will be on the performance of the various tasks. Priority must be given to both
the grey and the green environment. The basic police units, districts, and regional forces will
have to have the necessary expertise to perform their (future) tasks with regard to environmental
law enforcement.
        The police also have to extend their task on the inter-regional level. A solution is to be
sought for cases of environmental crime which surpass the regional and national levels. In order
to be able to exchange information regarding issues at the national level further computerization
is necessary.

3.1     Summary
        The second half of the nineties will show an increase of the various environmental issues,
both in numberand size; it will also be a time of extended cooperation, disappearanceof dividing
lines, and integral approach with regard to both policies and operations.
        The police will contribute more to law enforcement both with regard to "grey" and "green".
Serious crimes will be a spearhead. Internationalization and sophistication of environmental
crime call for a new approach. This must lead to a professionalization at all levels of the
organization as regards the environmental task.
 4      OBJECTIVES AND KEY POINTS OF THE ENVIRONMENTAL TASK OF THE
        POLICE 1995-1998

 4.1     The period 1995 -1998 will be characterized by the following starting points:

 4.1.1   The police have the following tasks as regards the enforcement of
        environmental laws:

        •  The so-called eye, nose and ear function; spotting and dealing with simple
           offences in the free field.
        •  Supporting the authorities; exchange of information with relevant authorities,
           preventive role in surveillance actions, in particular with regard to businesses.
        •  Detection, in particular of serious environmental crimes.

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                                                SEVERS, LJ. AND HORSTMAN, M.J.  551
4.1.2   Cooperation with other law enforcement agencies as regards the various tasks:
        integral approach is aimed at:

        •  Cooperation with designated investigation services/designated
           investigators the police are "primus inter pares", and have a coordinating
           role in view of their competence with regard to criminal investigation; the
           authorities have the final say and are responsible for the integral safety
           approach.

4.1.3   The quality of the environmental task of the police will be adequate: the police
        contribute to the environmental law enforcement through their professionalism:

        •  They have specific know-how at the basis, basic police officer/basic police
           unit, both with regard to green and grey.
        •  Criminal intelligenceexperts at Criminal Investigation Service and research
           levels.
        •  Management is involved.
        •  Integration of the environment in other police tasks.


4.2     General objective

        In  1998 the environmental  task of the police will be integrated in the general police
work.
        Intensifying attention for the following spearheads will lead to the situation described
below (chapter 5).

4.3     Goals:

        •  Realizationof the integrationof the environmental task in the general police
           tasks and the organization as such.
        •  Strengthening the basic police function/basic police units.
        •  Improving the approach  as regards violation of measures directed at the
           protection of the environment (green legislation).
        •  Improving the approach as regards the fight against serious crime.
        •  Extending the cooperation among police forces and with other partners at
           regional, inter-regional, national, and international levels.
        •  Realizing regional, inter-regional, and national exchange of information on
           the environment.

        The aforementioned spearheads will serve as the basis for a description of the functioning
of the police (chapter 5),  of their partners and the authorities (chapters), and the initiating and
stimulating task of the Council of Chief Commissioners (chapter?).

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552     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
5       HOW WILL THE POLICE FUNCTION (IN THREE YEARS' TIME) WHEN THE
        ENVIRONMENTAL TASK HAS BECOME AN INTEGRAL PART OF THE
        TOTAL POLICE WORK?

        Goals in terms of a desired situation within the police organization

5.1     Promotion of integration of environment in police task and organization as a
        whole

        •  Supporting and involving managementthrough training and other measures.
        •  Indicating priorities in policy and activity plans.
        •  Indicating priorities in budgets.
        •  Providing specialist support.

        The organizationwill be aware of environmental issues; the environmentwill be seen as
an integral part of quality of life, safety, and integrity.
        Managers know what the environmental issue entails, have a certain basic know-how,
and are aware of what the problems are in their area.
        The manager participates in the discussions with the Public Prosecution and the
authorities, supported by specialists where  needed; within the force, the manager is to set an
example, and supports and stimulates other officers to get the best results.
        The environment is always on the agenda, and  is a subject which is constantly under
discussion.
        The organization has specialists in the field of environmental issues; they can be relied
on for consultation and are the contacts for external agencies.
        Know-how regarding the environment is available at all levels within the organization.
        The organization has a well-structured system of collecting and exchanging environmental
information (both at operational and management levels).
        The environment (including internal measures) will be discussed in the force's annual
report.

5.2     Strengthening of the basic police function/unit:

        • Gathering specialist knowledge.
        • Elaborating the eye, nose, and ear function.

        The basic police officer knows where to look and what to look for; he or she has green
antennae.
        Realizing that environmental laws have been violated and that an official report is to be
drawn up should be as self-evident as giving a ticket for a simple traffic offence.
        Activities specifically directed to environmental law enforcement are organized; the
approach to similar cases should be similar as well, and these cases are prosecuted.
        The basic police officer has the necessary know-how and acts professionally.
        The basic police unit can be consulted and provides specialist support; both internal
and external partners, as well as the public, know who to approach.
        The activities of the basic police unit are primarily directed to the fight against ordinary,
non-organized crimes; know-how and manpower are available.

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                                               SEVERS, L.J. AND HORSTMAN, M.J.  553
5.3     Implementation of the approach regarding violation of environmental laws
        (green legislation):

        •  Training courses include green module.
        •  Priority in policy and activity plans.

        The police have an understanding of the green network and have a leading role in this
network.
        The basic police officer's knowledge of green legislation is such that spotting violations
and drawing up official reports become self-evident.
        The management is aware of the issues and discusses these when designing policies.
        (For further points, see remarks under 1).

5.4     Supporting the fight against serious crimes

        •  Strengthening the Regional Criminal Service/information position.
        •  Creating expert know-how (through criminal intelligence) and making this
          available.
        •  Using a project team in the fight against serious environmental crime.

        There is an insight as regards the nature and extent of serious environmentalcrime; the
phenomenon approach (for specific cases) and risk analyses are part of the pro-active method.
        Every force has sufficient capacity and know-how to fight these kinds of crimes within
their region.
        The various forces will make capacity  and know-how available for the fight against
inter-regional environmental crime; the structure chosen fits in with already existing structures.
        The experience gained in dealing with important cases and phenomenon analyses will
be offered to the various forces through a "project team environmental crime".
        The forces will implement the suggestions and  recommendations  in the  Regional
Criminal Service report.
        The National Criminal Intelligence Division will make know-how, expertise, and information
available and thus support the fight against serious environmental crime.

5.5     Extending the regional, inter-regional, national, and international cooperation
        within the police and with other partners

        •  Promoting the creation  of law enforcement teams and  coordination and
          information desks.
        •  Promoting concrete projects, such as those regarding dumping of waste
          and CITES projects.

        The exchange of information between the police  and their partners takes place in a
structured way.
        Agreements are made as regards the way cases are dealt with; matters initiated by the
police will have a follow-up; the way the police deal with environmental law enforcement fits in
with the regional approach.
        When setting priorities, the importance of "catching the crooks" will be set against the
damage that may be caused to the environment.

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554     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
       With regard to permits or the quality of internal environmental measures reports of certain
enterprises, the exchange of information will be adequate.
       The police do not have to be involved in all matters; quality of law enforcement lies in
effective and efficient exchange of information.
       To the authorities, the police have a signalling role in addition to theirgeneral supporting
task (strong arm of the law) and assisting when checks are performed.
       Police specialists know where extra know-how is obtainable and do not hesitate to ask
for it.
       The forces cooperate in the creation of law enforcement teams and coordination and
information desks; the authorities bear responsibility for these.
       The forces and the National Crime Investigation Team gear the activities regarding the
fight against international and national environmental crimes, both with regard to exchange of
information, willingness to cooperate, and making expert knowledge available.

5.6    Realization of inter-regional and national exchange of information regarding the
       environment within the police

       •  Completion of computerization project national data exchange regarding
          the environment and pilot projects environmental modules Environment
          Management System and others.
       •  Stimulation of project Desk for environmental information and expertise.

       The police have included the environmental modules in the various registration systems;
connection with the national data exchange regarding the environmentsystem makes exchange
of information at a national level possible.
       The management makes decisions also on the basis of environmental  management
information.
       Innovative and relevant operational developments within the various  forces are
disseminated through a "system" to other regions which are involved in similar cases; the Desk
for environmental information and expertise is created and implemented, first for environmental
cases, later for general police work.
6       HOW WILL THE PARTNERS AND AUTHORITIES FUNCTION WHEN THE
        POLICE HAVE INTEGRATED THE ENVIRONMENTAL TASK IN THE TOTAL
        POLICE WORK?

        Goals in terms of desired situation in relation to external partners and authorities

6.1     Promotion of integration of environment in police task and organization as a
        whole;

        •  The police can refer to external agencies who will react adequately.
        •  The  environment  has a fixed place on the agenda of the three-party
          discussions and is part of the discussions on integral safety, quality of life,
          and integrity.
        •  Priorities are set in relation to the total integral safety policy; the authorities
          make choices on the basis of information supplied by the sources together.

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                                                SEVERS, L.J. AND HORSTMAN, M.J.  555
        •  The administrative structures are clearly defined; where structures are
          unclear, the municipal authorities will have the final say, and upgrading to
          the regional level will take place from that point.


6.2     Strengthening of the basic police function/unit:

        •  The local competent authorities consult the basic unit as regards ordinary
          and semi-serious environmental crimes.
        •  Local agreements are made as regards concrete tasks, the division of these,
          and responsibilities.
        •  Agreements have been made as regards prosecution;  the  Public
          Prosecution will start proceedings in cases put forward by the police.


6.3     Amelioration of the approach regarding violation  of environmental laws (green
        legislation):

        •  Green law enforcement agencies ask the police  for assistance and
          experience the added value of the cooperation.
        •  Organizations involved  in "green law enforcement" gear activities and
          projects to activities of the local police force.
        •  The Public Prosecution has set guidelines for proceedings.


6.4     Supporting the fight against serious crime:

        •  Limiting the damage done to the environment is set against the advantage
          of catching the perpetrators.
        •  The competent authorities will give priority to serious  (organized) crime.
        •  The competent authorities will take into account the results of risk analyses
          and phenomenon  investigations  when  drawing up and implementing
          policies.


6.5     Extending the  regional, inter-regional, national, and international cooperation
        within the police and with other partners:

        •  The authorities will realize the creation of coordination and information desks
          and law enforcement teams.
        •  The exchange of information at regional level (Joint Regulations Act and/or
          police  region) is organized efficiently and effectively; the police will be
          provided with information needed to carry out their task of signalling and
          coordinating detection activities.
        •  The designated  investigation services/designated  investigators are in
          principle responsiblefor law enforcementin businesses/factories/premises;
          the police are kept informed on developmentsand provide assistance when
          this is requested.

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556     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
          Agreement as regards the course and priorities of the environmental policy
          is to be reached in an early stage, both at national (Council of Chief Public
          Prosecutors, Council of Supervisors of Regional Police Forces, Council of
          Chiefs of Police), regional (regional college), and local (basic unit/municipal)
          levels, and within the law enforcement structures.
7       WHAT IS TO BE DONE BY THE COUNCIL OF POLICE COMMISSIONERS?

7.1     Promotion of integration of environment in police task and organization as a
        whole:

        Test training courses for management on concreteness, region directed approach,
stimulation as regards participation, try-outs.
        Policy and activity plans: devising a draft covenant based on criteria set for the desired
situation.
        Budget priorities; preparation in discussions at national level (Council of Chief Public
Prosecutors, Council of Supervisors of Regional Police Forces, Council of Chiefs of Police) as
regards possibilities and contents of covenants.

7.2     Strengthening of the basic police function/unit:

        Developing the  Desk for environmental  information and expertise; exhausting the
possibilities it offers to stimulate environmental awareness.
        Continuing and if necessary adapt the programme of environmental training courses.

7.3     Amelioration of the approach regarding violation of environmental laws (green
        legislation);

        Making an inventory of all agencies dealing with green legislation.
        "Examining" the regions in which the field police were active; what do the green law
enforcers miss now that the field police are no longer there?; use the results of the examination
to come to an advice for the regional forces;
        Test the green environmental module on the basis of the results of the investigation into
the expectations as regards the police.
        The CITES project, in which the police, the Public Prosecution, the General Inspection
Service of the Ministry of Agriculture, and the Customs cooperate, will be continued.

7.4     Supporting the fight against serious environmental crimes:

        Preparing and stimulating the efforts of the  "project team environmental crime" when
creating and extending  the  interregional  knowledge  as regards the fight against serious
(organized) crime, by making use of the experience gained in large-scale investigations and
phenomenonanalyses.
        Support the making of agreements with regard to the fight against supra-regional
environmental crimes, all with respect for existing structures.
        Making a follow-up to the Regional Criminal Service pilot; Together with the parties
involved, test the criminal intelligence module with current developments in mind;

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                                               SEVERS, L.J. AND HORSTMAN, M.J.  557
        Stimulating phenomenondirectedinvestigationsand risk analysesin the field of serious
environmental crime, and make the existence of these known to those services and agencies
responsible for relevant policies.
        Taking care of dissemination of the results of the Center for Scientific Research and
Documentation examinations, including the results of the evaluation models.

7.5     Extending regional, interregional, national, and international cooperation within
        the police and with other partners:

        Preparing and discussing the contents of national course and spearheads with Council
of Supervisors of Regional Police Forces and Council of Chief Public Prosecutors.
        Discussing gearing of activities and relationship with national representatives of
designated investigators/designated investigation services.
        Stimulating the fight against international environmental crime; paying attention to
phenomena and trends in crime;
        Informing the national partners on course and developments within the police; contributing
to the knowledge regarding the police and their tasks.

7.6     Realization of interregional and national exchange of information regarding the
        environment within the  police:

        Completion of project national data exchange regarding the environment and pilot
projects environmental modules Environment Management System and others.
        Stimulation of implementation of environmental modules in all regional forces.
        Completion of project Desk for environmental information and expertise.
        Stimulation of acquisition and use of the Desk  for environmental information and
expertise and providing the public relations.
        ENDNOTE


1.   The authorities involved, namely the burgomaster, the head of public prosecution, and the
    chief of police.

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558     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                                 SEVERS, L.J.  559
ENVIRONMENTAL DUTIES OF THE POLICE IN THE NETHERLANDS

SEVERS, L.J.

P.O. Box 202, 3970 AE Driebergen, The Netherlands


        SUMMARY

        Since 1992 over a third of all police-officers, i.e. basis-policeofficers, specialists and
managers, have followed one of the specially designed environmental courses. An information
module on environmental police-information was designed, to make communication possible
on interregional and national level. The module is based on a handbook on the environmental
task. All the necessary arrangements and studies  have been carried out to establish an
environmental information and expertise centre for the police.
        The number of official reports and facts found on environmental matters have increased
drastically over the last years. The police have in 1994 reported 8924 facts and in 199511385.
The year 1996 seems to show a stabilisation. On serious environmental crime 56 cases were
started 1995.  Over  30 of those are still in process. The CITES-project (Convention on Illegal
Trade in Endangered Species) has directly contributed to the  start of 7 specific investigations.
Much effort has also  been put into designing-training modules, providing information and education
on CITES and operating a help desk.


1       ORGANIZATION,AUTHORITYAND MANAGEMENT

        The police  force of the Netherlands is comprised of 25 independent regional police
forces, which vary in size from 400 to 5000 officers, and a National Police Force of about 3000
officers. The regional forces are subdivided into districts and  operating units. The total police
force numbers about 40,000 officers on a population of 15 million.
        The authority and management of the police are organized on a regional basis: this
rests with the Chief Public Prosecutor, and the regional head of the police force who is the mayor
of the largest city in the region. A board of all mayors in the region has an important voice in
management  questions. The local authority on matters of public order is the  mayor of the
municipality concerned.  Criminal enforcement is conducted under the authority of the Public
Prosecutor.
        The enforcement of environmental legislation is based on the regions as defined in
connection with the  'Joint Regulations Act'. This is a level of collaboration in which a number of
(mostly smaller) municipalities synchronizetheir efforts. On occasion they also make agreements
with other enforcement authorities active in this area. The synchronization activities concern the
setting of priorities, and the approach to the enforcement of the environmental legislation.
        The police play a part in this consultation and synchronization process. An environmental
coordinator (a staff officer or an officer involved with policy-making) often participates in these
consultations. The line management is also becoming involved to an increasing extent. Local
consultations are also often held within each municipality,  in which the police also participate.
Enforcement activities are also synchronized in provincial environmental consultations.

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560     FOURTH INTERNATIONAL CONFERENCE ON  ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
       The police have also been entrusted with the enforcement of environmental legislation
by the Minister of Housing, Spatial Planning and the Environment. In the first instance the attention
of the police was focused on participation in the above-mentioned enforcement organization.
This participation has now been realized throughout the Netherlands.


2      SUPPORT, TRAINING, AND INFORMATION SYSTEMS

2.1     Training

       Since 1992 much energy has been devoted to environmental training courses. About
one third of all police officers have now taken one of the specially-designed courses; most have
taken the general basic courses for enforcement of environmental legislation (see table). Fewer
officers have taken the specialized courses, although the situation did improve in 1994. The
course in environmental investigation and the course on the environmentand traffic are examples
of courses with increased attendance. The number of police in management positions who have
taken an environmental course has also slowly increased since 1994. The course designed to
be given jointly to the entire management of one district has proved particularly popular.
       Newly developed courses include a course dealing with the enforcement of nature
conservation legislation, and a course on the taking of samples by police officers. The first
indications are that both courses are generating sufficient interest.
       The number of police officers who have taken a course varies considerably across the
regions. In some regions all junior police officers have taken a course, while in other regions
many have yet to do so (see table 1).

2.2     Information systems
       Work has been carried out on an information system since 1992. This began with the
compilation of a concise handbook on the environment. The handbook is now finished, and is
being continually revised to keep pace with the continual developments in environmental matters.
Pilot studies were made in two regions in which an environmental module was added to the
basic police task processes system. These studies are now complete, and the modules are
now ready for use. Messages are now being prepared to allow for the exchange of interregional
and national environmental information. It is expected that trials can be run in the course of 1996.

2.3     Environmental Information and Expertise Centre

        In 1995 a survey was made of the needs and requirements of the regional police forces.
It transpired that many regions considered a central Environmental Information and Expertise
Centre to  be of great importance. Each regional force would supply information about new
situations, ideas, and developments in their region. This information would be made available to
the other regional forces, where the centre would be responsible for the organized exchange of
the information. The next step would be to provide expertise and advice to those requesting
assistance. A strategic policy plan to establish such a centre is now complete. It is expected that
the actual exchange of information via the Environmental Information and Expertise Centre can
begin in the latter part of 1996, once the necessary finances have been made available.
        (See also report on the Environmental Information and Expertise Centre in the exhibition)

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                                                                      SlEVERS, L.J.  561
Table 1.  Participation in courses
Summary of environmental examinations held in compulsory and optional modules
number of candidates
modules
YEAR
1992
1993
1994
1995
1996
1997
1998
1999
2000
TOTAL
BEL
283
1268
1016
531





3098
CEL
133
246
411
150





940
TEL
313
1905
2621
2830





7669
AEW
0
0
172
121





293
ANA
0
34
0
61





95
ARA
0
11
58
63





132
AWA
0
55
25
51





131
AAG
0
33
103
92





228
AEI
0
47
88
59





194
EEP
0
92
42
63





197
TOTAL
729
3691
4536
4021





12997
BEL   Basic course on the enforcement of environmental legislation
CEL   Compulsory section of advanced course on the enforcement of environmental legislation
TEL   Combination of basic course and compulsory section of advanced course on the enforcement of
       environmental legislation
AEW   Advanced course on the environment and waste
ANA   Advanced course on the environment and nature areas
ARA   Advanced course on the environment and residential areas
AWA   Advanced course on the environment and water
AAG   Advanced course on the environment and agriculture
AEI    Advanced course on the environment and industry
EEP   Environmental enforcement expert

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562     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
3      OPERATIONAL DUTIES: THE NUMBER OF OFFICIAL REPORTS,
       SERIOUS ENVIRONMENTAL CRIME, WASTE STREAMS, #CITES

3.1     Number of official reports

       The police are making increasing efforts in the area of the enforcement of environmental
legislation. These efforts cannot be measured solely by the number of official reports that have
been made, although this does give a good indication. There has been a clear increase in the
number of official reports from 1994 onwards.  It can also be seen that there is a reasonable
range in the kinds of official reports made.

       Summary  of the official reports made by the police in 1994 and 1995:

       -1994- 8.924 facts
       -1995-11.385 facts

       The Dutch national police corps is not included in these figures. The figures of the first
half of 1996 show a stabilisation of the number  of official reports. The exact number is close to
the number of the first half of 1995. The figures shown give no information about the character/
size of the reports made or the type of facts involved. This information was not yet available for
me.

3.2     (Serious)  environmental crime

       Dealing with serious environmental crime is a matter which is receiving  increasing
attention  from many authorities, including the regional police forces. Problems are often
encountered with the manpower available, and the knowledge which is required. These are two
of the reasonsfor the formation of the'core'environmentalteam. The team formed to  investigate
the notorious TCR/TCA case in the Netherlands was not disbanded, but remained in existence
in order to help the  regional forces build up the knowledge they need. The TCR case yielded an
amount of information which would have been sufficient to start seven cases immediately.
       The acquisition of the required knowledge  and the necessary manpower within the
regional forces is now in progress. The forces are gradually developing their potential to be able
to deal with increasingly larger cases. As such cases often need more resources than can be
supplied  by one police force, agreements are often used to enable a number of regions to
collaborate on the case. Information from the Criminal Information Department of the National
Police  Force indicates that the police dealt with the following numbers of cases in 1994. The
number of cases started in 1995 is 56. Over 30 cases are still in process. There have also been
about 10  pre-investigations that were closed as such; the inforamtion was not enough to start a
case.
        If the share of the investigative authorities and the total of the environmental cases
underthe Economic Offences Act are examined then it can be seen that the share of the regional
police forces is by far the largest. The share of the regional police forces increased from 56% in
1992 to 62% in 1994.
        The share of official reports from the General Inspectorate decreased during this same
period  from 23% (1725 reports) in 1992, to 16% (1456 reports) in 1994. The reason for this
decrease was the improved compliance with the Determination of Year-End Form Regulations.

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                                                                        SIEVERS, L.J.  563
Table 2.   Share of cases (%) between the various investigative authorities in the
           period 1990 to 1994 inclusive (*)
Authority, share in
percentages

General Inspectorate
Regional Police Forces
Port authorities
Health Protection
Inspectorate
Provinces /
municipalities
Purification boards and
water control boards

Othersf)

Total
1990
(n=4500)

27
49
11
3
2
1

6

100
1991
(n=2974)

28
47
12
5
0
3

3

100
1992
(n=7030)

23
56
6
6
2
4

3

100
1993
(n=6861)

24
56
5
5
3
3

2

100
1994
(n=8852)

16
62
2
3
3
3

9

100
       The figures for 1990 cover all 19 Public Prosecutor's Offices, but not all cases. The figures for
       1991 cover all cases for 7 Public Prosecutor's Offices. The figures for the other years cover all
       cases of all Public Prosecutor's Offices.

       Including the National Transport Inspectorate, Customs, the military constabulary, and the
       Inspectorate for the Environment.
       Total number

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564     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
       The figures also reflect a decrease in the number of official reports made by the port
authorities, in particular the Municipal Port Management of Rotterdam, on the grounds of the
Pollution of Surface Waters Act. In 1992 387 official reports were made, which fell to 210 reports
in 1994.
       Another striking development is the increase in the share of 'others' in the number of
official reports. This is caused by the increased enforcement of the Endangered Exotic Animal
and Plant Species Act and the Import and Export (Endangered Exotic Animal and Plant Species)
Decree by Customs.

3.3    Waste streams

       During  1992 it became clear that extra efforts were needed to obtain an insight into
waste, in particular waste streams, both within the country and transfrontier. This was the duty of
the National Police Force, which is entrusted with the supervision of the through roads and
waterways, the regional police forces, the National Transport Inspectorate, Customs, and the
Inspectorate for the Environment. A joint project was initiated to train a large number of officers
for the enforcement of the European Regulation on the supervision and control of shipments of
waste.
       The above-namedauthoritiescollaboratedin several majorwasteinspections(the video
in the exhibition shows an example). The police are also conducting  an increasing number of
independent smaller-scale inspections. The National Police Force is using inspection forms in
order to obtain an indication of the movement of waste streams over the larger transportation
routes. A comprehensive national project under the direction of the Ministry of Housing, Spatial
Planning and the Environmenttogetherwith initiatives by the National Police Force have the aim
of giving a new impulse to the enforcement of the legislation on the transport of waste substances.

3.4     CITES
       A national agreement has been signed  between the police forces of Rotterdam/
Rijnmond, the  National Police Force/Criminal Information Department  and the General
Inspectorate of the Ministry of Agriculture, Nature Management and Fisheries. This purpose of
this agreement  is to  stimulate the enforcement of the Endangered Exotic Animal Species Act
and the CITES Decree. At the beginning of 1996 the agreement was prolonged for a further two
years. A lot of patience is needed to get a clear picture of this area, and ensure that specific
enforcement activities are taken.
        The project has contributed towards the current situation in which 7 specific investigations
are in progress. One case is already brought to court.
        Apartform having contributed to judicial cases, the project has implementedahelpdesk
on the CITES-subject. Another major activity has been the designing of education and training-
programmes, especially for police-officersworking in the general task as well as forthose working
in the criminal departments. Last but not least providing information  and education on CITES
has taken a lot of time and energy.

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                              BISPHAM, TOM; DUNCAN, HOLLY; AND CARLOUGH, LESLIE  565
 OREGON'S EXPERIENCE IN DEVELOPING AND IMPLEMENTING A STATE
 ENVIRONMENTAL CRIMES PROGRAM

 BISPHAM, TOM,1 DUNCAN, HOLLY,2 AND CARLOUGH, LESLIE3

 Administrator, Northwest Region and Statewide Enforcement, 2020 S.W. Fourth
 Avenue, Portland, Oregon 97201, USA

 Environmental Attorney, Environmental Law Education Center, Post Office Box 40748,
 Portland, Oregon 97240, USA

 Environmental Crimes Coordinator, Oregon Department of Environmental Quality, 2020
 S.W. Fourth Avenue, Portland, Oregon 97201, USA
        SUMMARY

        For many years, Oregon's Department of Environmental Quality enforced Oregon's
environmental laws solely though the civil process. By 1993, it became clearthat the State needed
authority to allow criminal prosecution of the most-egregious violators. In proposing an
environmental crimes program, the Department found broad citizen, business, and government
support for criminal enforcement of extreme environmental violations, and the State passed an
Environmental Crimes Act in 1993.  The most difficult problems we encountered involved
facilitating communication between the various parties and  interests involved.  In an effort to
improve the communicationsand efficiency of the program, the Department initiated an ongoing
training program  for inspectors, criminal  investigators, and prosecutors. In addition, the
Department'sEnvironmentalCrimesCoordinationTeam meets weekly to discuss developments
in current investigations and prosecutions. In our first full year of operation, Oregon investigated
over 50 environmental crimes which have lead to the criminal sentencing of numerous individuals
and corporations. At a time when there is a government movement to conduct more technical
assistance with less-culpable violators, Oregon believes that a strong environmental crimes
program is necessary to any successful environmental protection strategy.
1      INTRODUCTION

       Before 1993, Oregon had little authority or capability to criminally prosecute violators of
environmental law. At that time, Oregon could only seek misdemeanor penalties, which are the
least severe punishments, for even the most extremeenvironmentalviolations.Furthermore.the
State lacked the needed agency infrastructure to coordinate investigation and prosecution of
environmental crimes. As a result,  there was virtually no criminal prosecution of any kind of
environmentalviolation.
       Today, Oregon has some of the toughest environmental crime statutes in the country,
providing for felony punishments up to fifteen years in prison. These statutes are administrated
by the Oregon Department of Environmental Quality with assistance from state and local
coordination teams which provide  direction for, and augment communication between, the
environmental regulators, county emergency response teams, law enforcement officers, and

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566     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
criminal prosecutors. Although the various parties are still resolving the boundaries of their roles
in the process, environmental crimes are  now aggressively investigated and prosecuted in
Oregon.
2       HISTORY AND THE NEED FOR AN ENVIRONMENTAL CRIMES PROGRAM

        Oregon has a national reputation for being a leader in environmental protection. Our
citizens take great pride in the beauty and liability of the State. We have a strong environmental
ethic and a tradition of supporting environmental protection. Oregon was the first state to enact
a "Bottle Bill" requiring a deposit for beverage containers to encourage recycling, and has one of
the most successful plastic recycling programs in the country. Oregon was also the first state to
enact a comprehensive land-use-planning program to protect valuable farm and forestry land
from over-development. We have continued our quest for environmental protection by passing
laws, in 1989, to reduce the use of toxic chemicals and prevent pollution.
        The State has obtained authorization from the  United States federal government to
administer, in Oregon, most of the federal environmental programs including the Clean Air Act,
Clean Water Act, and the Resource Conservation and Recovery Act. The State legislature has
adopted numerous environmental statutes governing air pollution, water pollution, hazardous
and solid waste management, and  contaminated-site cleanup that, in many cases, are more
stringentthan theirfederal counterparts.These laws are administrated by the State's Department
of Environmental Quality and its rule-making and adjudicative body, the Environmental Quality
Commission.
        In 1971, the Oregon legislature adopted an enforcementmechanism designed to punish
and deter violators of environmental law. Since then, civil administrative enforcement has been
the State's primary enforcement tool. In that civil arena,  Department of Environmental Quality
inspectors gather evidence of violation, and advise the agency's environmental law specialists
who handle the legal aspects of assessing fines and issuing legal orders to bring violators back
into compliance with the environmental laws. The process has worked well, as demonstrated by
the low rate of recidivism among violators.
        However, by 1992 Department of Environmental Quality began to document  some
environmental violations where violators had knowingly disregarded the law and disregarded
the significant danger they caused to public health and the environment. Examples of these
extreme violations included: covert dumping of hazardous waste onto public and forest land,
intentionally by-passing pollution control equipment to discharge industrial wastes into rivers,
falsifying discharge  monitoring reports from required compliance self monitoring to conceal
evidence of violation, and intentionally burning  PCB-contaminated waste on public land.
Environmental  regulators, law enforcement officers, and citizens all agreed that the civil
enforcement process was not effective in deterring these extreme types of violations and violators,
and that a stronger, criminal enforcement process was needed.

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                               BISPHAM, TOM; DUNCAN, HOLLY; AND CARLOUGH, LESLIE  567
3       DEVELOPING THE LEGISLATIVE CONCEPT

3.1     Garnering support

        The initial step in developing a state environmental crime program was for Department
of EnvironmentalQuality to work with all the interested parties in defining the goals and structure
of the program. Support from a wide variety of interested parties was necessary to convince the
state legislatorsthat the program was needed. Department of EnvironmentalQuality also wanted
to obtain commitments from the agencies and individualswho would be involved in administrating
the program. Department of EnvironmentalQuality first approached the Oregon Attorney General
to inquireabout joining forces to develop proposed environmentalcrimes legislation. Department
of Environmental Quality also met with the Oregon District Attorneys' Association (the criminal
prosecutors' network) and Oregon State Police to describe environmental crimes, Oregon's
existing statutes, and the need for police involvement. Having convinced these parties that an
environmental crimes program was needed, Department of Environmental Quality, the Attorney
General, the District Attorneys and Oregon State Police formed a group to gather information,
define roles and responsibilities, prepare draft legislation, and  garner support of the citizenry.
        Three factors were especially persuasive in building  a broad base of support among
citizens and the business community. First, nearly everyone believed that extreme violation of
environmental law was criminal conduct, especially when violators knowinglydisregarded public
health in obtaining an unfair economic advantage over their competitors. Second, the federal
Congress had enacted the Clean Air Act amendments of 1990 which authorized the states to
administrate their own air-quality permitting programs. However, as a prerequisite for the federal
authorization, states were required to have authority to enforce air quality laws through the criminal
process. The primary organization representing industry (Associated Oregon Industries) wanted
the State to run the air quality program instead of the federal government and was prepared to
help build an environmental crimes program to satisfy the authorization requirements.
Representativesof this industry organization also believed that the most egregious environmental
violations should be treated criminally. Last, Oregon was one  of only five states in the country
with no felony authority for environmental violations. This was  a key statistic — legislators and
others wanted to prevent Oregon from becoming a haven for environmental criminals.

3.2     Defining the elements of the program

        In the initial stages of developing an environmental crimes program, Department  of
EnvironmentalQuality laid out short-and long term strategiesfor bringing togetherthe necessary
elements. We examined environmental-crimes programs administered in other states,  and
concluded that the elements necessary for a successful environmental crimes program would
be:

        •  Environmental statutes and regulationsthat are written clearly.
        •  Enforcement authority that includes felony provisions.
        •  Law enforcement officers who are assigned to  investigate environmental
          crimes and are trained in environmental law.
        •  Department of Environmental  Quality (DEQ)  field inspectors  who are
          authorized to work on environmental crimes, trained in criminal law and
          procedure, and have access to adequate laboratory resources to handle
          the greater sampling analysis needed for a criminal prosecution.

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568     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        •  Criminal prosecutors who are trained in environmental law; and prepared
          to bring charges against extreme environmental violators.
        •  Prosecutors should  have a procedure and a guidelines document for
          determining whether a given environmental violation will be criminally
          prosecuted.
        •  The environmental crimes program must have guidelines to clearly define
          the roles of the involved parties, their responsibilities, and the division of
          authority for making decisions during investigation and prosecution.
        •  Before undertaking a criminal investigation and prosecution, the various
          agencies involved should reach an understanding concerning their relative
          roles and responsibilities.


3.3     Enacting the environmental crimes package
        The Department of Environmental Quality, the District Attorney Association,the Attorney
General, and State Police co-sponsored the Environmental Crimes bill during the 1993 Oregon
Legislative Session. The industry association introduced its own bill addressing environmental
crimes. The co-sponsors of both bills, along with representatives of municipalities, small business,
labor and other groups worked together during the legislative session to a create comprehensive
environmental crimes statutory package. After several months of negotiations, and public hearings
in front of legislative committees,  the participating parties reached a consensus on the bill's
language. Subsequently, both the Democratic-controlledSenate, and the Republican-controlled
House passed the bill with near unanimous support (See Section 8 below). At the signing
ceremony, former Oregon Governor Barbara Roberts said that the Act sends a clear message
that violations of the environmental laws will not be tolerated in this state.
4       STRUCTURE OF OREGON'S ENVIRONMENTAL CRIMES PROGRAM

4.1     The Department of Environmental Quality field inspectors

        Department of Environmental Quality has approximately 300 field inspectors who routinely
inspect facilities, identify violations of environmental law, and referthose violations to Department
of Environmental Quality's Enforcement Section for civil enforcement. Although Department of
Environmental Quality acquires some information about potential environmental crimes from
citizen complaints, the majority of the leads come from Department of Environmental Quality
inspectors who uncover extreme violations during the course of their civil inspections. Involving
the field inspectors in the process has been one of the most problematic, and most rewarding,
aspects of the program, as will be described more fully below.

4.2     The criminal law enforcement officers

        The Legislature funded one full-time Oregon State Police Officerto work with Department
of Environmental Quality regulators on the investigation of environmental crimes. That officer
was hired in January 1994, and is physically located at Department of Environmental Quality's
Enforcement Section office. In September 1993, the  United States Environmental Protection
Agency (U.S. EPA) concurrently established an environmental crimes office in Oregon which is
now staffed by three  full-time criminal investigators. The U.S. EPA criminal investigators are

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                               BISPHAM, TOM; DUNCAN, HOLLY; AND CARLOUGH, LESLIE  569
also located in Department of Environmental Quality's offices and work closely with the state
criminal investigator and field inspectors. The close physical proximity of the law enforcement
officers and the civil regulatory inspectors has enhanced communication between them and
resulted in a better, more holisticunderstandingof the environmentallaws and the environmental
crimes process by all parties.

4.3    The environmental crimes coordination team

       Department of EnvironmentalQualityrealizedfrom the beginningthat an Environmental
Crimes Coordination Team would be needed to maintain and promote communication between
the participants. The Team consists of representatives of Department of Environmental Quality,
Oregon State Police, the federal Environmental Protection Agency, the Oregon Department of
Justice, and the Federal Bureau of Investigation. Once a week, the Team meets to discuss
environmental crimes. The Team discusses whetherto initiatea full criminal investigation based
on evidence supplied by Department  of Environmental Quality inspectors and information
obtained through citizen complaints. In some cases the Team, using investigative discretion,
determines that the alleged conduct does not meet the criteria as an environmental crime and
that the Department of Environmental Quality inspectorshould proceed with a civil enforcement
action. In other cases, the Team determines that the state or federal law enforcement officers
should initiate  a criminal investigation. The Team also discusses the progress of ongoing
investigations and strategies based on resource availability and the particular needs of the
investigation. Any decisionto commit DepartmentEnvironmentalQuality'sresourcesto a criminal
investigation is made after consulting with the Department of Environmental Quality Director.

4.4    Local task forces

       Because much of the prosecution of the environmental crimes is done by the county
district attorneys, several counties have developed their own cooperative agreements to define
responsibilities and expectations of the parties who may be involved in the discovery, investigation,
and prosecution of environmental crimes in their community. The first such agreement was
organized by the Multnomah County District Attorney's Office, which oversees the prosecution
of crimes in Portland, Oregon's largest city. The District Attorney's Office brought together
representatives from the fire departments, local governments, Department of Environmental
Quality, Oregon State Police, and County Sheriff to coordinate the response to the discovery of
environmental violations. The agreement described each agency's commitment to the
environmental crimes program and established procedures for responding to environmental
crimes. Other counties are currently organizing similar environmental crimes and first response
teams.

4.5    Department of Environmental Quality criminal enforcement criteria

       Once Department of Environmental Quality had obtained the authorityand infrastructure
to investigate environmental crimes, and had developed a working relationship with the  state
and federal criminal investigators, Department of Environmental Quality began to examine the
violations occurring in the State and define which environmental violations are so extreme that a
criminal investigation  is warranted. The result was the development of the "Department of
Environmental  Quality Criminal  Enforcement Criteria." These criteria were designed to help
Department of Environmental Quality inspectors define which environmental violations could
meet the elements of a crime and therefore should be elevated for a possible criminal
investigation. The criteria fall into three categories:

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570     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        •  History of noncompliance — If the violator has a history of violating the
          environmental laws, criminal enforcement may be warranted as a punishment
          and deterrent.
        •  Violator's culpability — A criminal investigation may be warranted if the
          violator was intentional, deceitful, deliberate or dishonest in committing the
          violation.
        •  Results of the conduct — Violators who cause a threat to public health or
          environmental damage are more likely to be prosecuted criminally than
          violators whose acts did not cause actual harm or threat of harm.

        Our experience has shown that case selection is a critical element of the environmental
crimes program. These criteria provide a framework for Department of Environmental Quality
inspectorstodeterminewhether conduct should be considered criminal, and whetherthe agency
should employ some of its investigative resources to investigate a particular violation.
        Using this criteria, Department of Environmental Quality inspectors have discovered
and documented numerous environmental violations that have been criminally investigated and
prosecuted. For example, Department of Environmental Quality pursued criminal investigation
and prosecution of an electroplating  operation because the operation endangered the public
health of a residential neighborhood by intentionally abandoning a large volume of highly toxic
hazardous wastes to avoid the costs of lawful and safe disposal. In a similar case, Department
of Environmental Quality pursued criminal sanctions against a chrome-plating business that
repeatedly dumped its chrome waste on the ground, contaminating residential drinking water
wells with dangerous chemicals. In another case, Department of EnvironmentalQuality sought a
51-count felony indictment of an underground storage tank clean-up business that repeatedly
submitted falsified laboratory reports to Department of Environmental Quality in an effort to conceal
evidence of its misconduct.
5       PROBLEMS IN EXECUTING THE PROGRAM AND OREGON'S SOLUTIONS

5.1     Institutional bias against criminal enforcement

        Department of Environmental Quality's mission is to restore, enhance and maintain the
quality of Oregon's environment, and Department of Environmental Quality has implemented its
mission by bringing industry, small businesses, municipalities and others into compliance with
the environmental  laws. Historically, Department of Environmental Quality has promoted
compliance through education and technical assistance programs in conjunction with its civil
enforcement actions. As a result, some Department of Environmental Quality inspectors have
had difficulty moving away from the cooperative compliance approach to pursuing violators
criminally. Biases against criminal enforcement can also develop because criminal cases take
a long time to prepare and complete. The inspectors are used to collecting evidence sufficientto
prove a violation by the "preponderance of the evidence," needed in a civil case, and may not be
used to collecting the more-rigorous and  detailed evidence needed to meet the "beyond a
reasonable doubt" burden of proof for a criminal conviction. Also, few Department of Environmental
Quality inspectors have experience in participating in the criminal justice system. They may feel
uncomfortable with the complex legal issues that arise during a criminal proceeding such as the
Constitutional search and  seizure requirements, confidentiality issues and  prosecutorial
discretion.

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                              BISPHAM, TOM; DUNCAN, HOLLY; AND CARLOUGH, LESLIE  571
        In an effort to overcome these biases, Department of Environmental Quality has
organized training events for civil regulators to meet with the EnvironmentalCrimes Coordination
Team as well as criminal prosecutors and law enforcement officers. During these workshops we
have explained the types of conduct considered criminal, and have introduced the inspectors to
the criminal justice system so that they would have a picture of how the case should progress.
We have shown the inspectors how their involvement in the crimes program is absolutely
necessary to its success because they are the most likely individualsto observe criminal conduct
by virtue of their considerableexposure to environmentalcompliancein the regulated community.
Department of Environmental Quality inspectors have also attended national and regional criminal
enforcement training programs. Progress has been made in developing  Department of
Environmental Quality inspectors' interest in pursuing environmental crimes. Ongoing training
programs and other educational opportunities are vital to developing informed and prepared
participants in the environmental crimes program.

5.2     Need for cross-training

        Each of the primary players in the environmental crimes program has a defined area of
expertise. The civil regulators  understand the science behind the  law and the technical
requirements of compliance, but generally do not know the legal aspects of a criminal investigation
and prosecution. Laboratory personnel understand the required sampling and analysis protocols.
Criminal investigators know the legal aspects of conducting a criminal investigation, and they
have experience in assisting prosecutors, but they generally do not know the science or the
technical aspects of the law. Criminal prosecutors have legal procedureand litigation experience,
but in general do not have the science background to fully understand the technical aspects of
environmental laws. The communication problems that can  result from these non-overlapping
areas of expertise can cause breakdown of the program's system. If the criminal investigators
do not understand the science or the consequences of a violation, they are less likely to see it as
a crime. If the prosecutors feel over-burdened by the time needed to study the technical aspects
of the complex environmental laws, they are less likely to budget time for an environmental crimes
prosecution.
        Because the program is new, many of the parties lack the experience of working with
each other. Most of the communication problem can be solved by through educational cross-
training and by facilitating discussion and communication between the parties. This has been a
prime goal of the Environmental Crimes Coordination Team.
6       STATUS OF THE PROGRAM

6.1     Successes

        Since its inception, the Environmental Crimes Coordination Team discussed almost
200 potential crimes and referred over 50 to the law enforcement officers for criminal investigation.
Of these,  12  hazardous waste cases, 4 asbestos cases, 5 water quality cases and an
underground storage tank case have been referred to state and federal prosecutors. So far,
these have led to the charging of approximately 20 environmental  crimes. As a result of
subsequent misdemeanor and felony prosecutions, criminal sanctions imposed included the
following:

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572     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
        •  A husband and wife team, respectively the president and secretary of a
          plating company, performed plating operations on contract without properly
          disposing of any of the resulting waste sludges. When under investigation,
          the pairfled, abandoning 43,000 gallons of hazardouswastes and a number
          of unfulfilled contractual obligations. The pairwere found guilty of six counts
          of illegal storage and disposal of hazardous wastes  in the first degree,
          supplying false information to a state agency, and theft. He  received a
          sentence of 14 months jail, 3 years supervision, and $18,000 in restitution
          to injured parties. She received a sentence of 120 hours community service,
          5 years probation, and $5,000 in restitution to injured parties.
        •  A corporation and its president pled guilty to two counts of unlawful disposal
          of hazardouswastes when it was discovered that they had dumped chrome-
          plating solutions and contaminated  an aquifer in a residential area. The
          plater knew the aquiferwas contaminated, and began to supply bottled water
          to a neighboring  resident, but did  not tell her that her well-water was
          contaminated. In a negotiated settlement, the corporation and president
          agreed to pay a continuing fine of $3,000 per month plus 40% of the future
          profits until the cleanup is completed and all costs of cleanup are repaid.
          The agreement also required 100 hours of community service, 5 years
          probation, and $30,000 in restitution to the injured neighbor.
        •  A corporation repeatedly discharged raw sewage onto the grounds of a
          mobile-home park it operated, in flagrant violation of water quality law and
          of prior warnings it had received. The corporation pled guilty to water pollution
          in the second degree, and was sentenced to 1 year probation and $3,500
          in fines.
        •  A machine-shop owner repeatedly burned and otherwise unlawfully disposed
          of hazardous wastes. He pled guilty to a hazardous waste misdemeanor
          and the court ordered him to remediate the contamination he caused and
          bring the facility into full compliance with hazardous waste law.
        •  A fuel and used oil processor was discovered illegally accepting hazardous
          wastes and illegally blending hazardous wastes for energy recovery in a
          boiler.  In settlement,  the  corporation agreed to bring the facility into
          compliance, to conduct studies and submit compliance reports, to pay a
          $133,000 penalty, and to 4 years of probationary oversight. The processor
          has violated the terms of its probation and the Department is currently
          seeking additional sanctions.
        •  A corporation  and its president were found guilty of illegal disposal of
          hazardous waste paint and were sentenced to 6 months home detention, a
          $5,000 fine, 150 hours community service, $30,000 in restitution to injured
          parties, and 5 years probation.


6.2     Future directions

        Currently in the United States there are strong incentives to move away from total reliance
on the historical enforcement approaches and to emphasize technical  assistance and
cooperative pollution prevention strategies. President Bill Clinton and Vice President Al Gore
have initiated a number of new non-regulatory approaches to achieve compliance. Two such

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                               BISPHAM, TOM; DUNCAN, HOLLY; AND CARLOUGH, LESLIE  573
federal projects are the technical assistance centers for small businesses, and the new Project
XL, where the federal government will allow companies that demonstrate superior excellence in
environmental leadership to have flexibility in meeting regulatory requirements. State and local
governments also have implemented new and creative ways to protect the environment, for
example Oregon's Environmental Partnership with Oregon  Communities Project. These
programs are not intended to role back the progress we have made. They are intended to allow
us to make wiser and more efficient use of our resources, and to allow us to achieve our
environmental goals more expeditiously by integrating pollution control into the process.
        While we recognize that these new approaches and programs are helpful in bringing
the regulated community into compliance, we believe that a strong enforcement program is
necessary for any environmental compliance strategy. Our experience has also demonstrated
that criminal enforcement of environmental laws is necessary to deter extreme environmental
violations that are committed intentionally, repeatedly, deceitfully, or threaten public health and
the environment. Oregon'senvironmental crimes program will continue to build on the institutional
resources currently in place.
        We have gained valuable experience by reviewing potential criminal cases with our
civil inspectors, criminal investigatorsand the legal community. We will continue to define which
violations should be treated through criminal  prosecution and which cases will be handled with
the traditional civil enforcement approach. We also will continue to improve our investigatory
coordination by defining roles and responsibilities of the various participants and by taking the
time to develop  case specific investigator  strategies. Future emphasis will be placed on
developing case settlement strategies addressing issues such as cleaning  up contaminated
properties,  recovering the state's costs and monitoring the violators' compliance with the
environmental laws.
7       CONCLUSION

        Designing, establishing and implementing an environmental crimes program is a
complicated task because of the diversity of necessary involved parties and interests. However,
in Oregon, we found broad citizen, business, and government support for criminal enforcement
of extreme environmental violations. In 1993, the State established a statutory basis for its criminal
program. During 1994, and continuing through today, the Department has worked with the various
state and local agencies to develop a well-integrated, coordinated and efficient system through
which to discover, investigate and prosecute environmental crimes. The most difficult problem
we encountered is in facilitating communication between all the involved agencies and individuals.
Our solution to this problem has been the establishment of state and local coordination teams.
We have overcome the obstacles to implementation, and our program has been successful. In
our first full year of operation, we investigated over 50 environmental crimes which have lead to
the criminal sentencing of numerous individuals and corporations. At a time when there is a
government movement to conduct more technical assistance with less-culpableviolators, Oregon
believes that a strong environmental crimes program is necessary to any successful environmental
protection strategy.

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574     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
ANNEX: OREGON'S ENVIRONMENTAL CRIMES STATUTES
1      HAZARDOUS WASTE CRIMES

1.1     Unlawful disposal, storage, treatment or transportation of hazardous waste in
       the second degree (Oregon Revised Statutes (ORS) 468.922, 468.929)

       1.   Person commits the crime of unlawful disposal, storage, treatment or
            transportation of hazardous waste in the second degree if the person, in
            violation of any hazardous waste statutes, rules, licenses, permits or
            orders, knowingly treats, stores, disposes of or transports hazardous
            waste.

       2.   Unlawful disposal, storage, treatment or transportation of hazardous waste
            is a Class B misdemeanor punishable by a fine up to $10,000 and one
            year imprisonment.

1.2     Unlawful disposal, storage, treatment or transportation of hazardous waste in
       the first degree (ORS 468.926, 468.931)

       1.   A person commits the crime of unlawful disposal, storage, treatment or
            transportation of hazardous waste  in the first degree if the person, in
            violation of any hazardous waste statute, rule, license, permit or order,
            knowingly disposes of, stores, or treats hazardous waste and:
            a.   As a result, recklessly causes substantial harm to human health or
                 the environment.
            b.   Knowingly disregards the law in committing the violation.
       2.   Unlawful disposal, storage, treatment or transportation of hazardous waste
            in the first degree is a Class B felony punishable by a fine up to $200,000
            and 10 years imprisonment.
2      AIR POLLUTION CRIMES

2.1     Unlawful air pollution in the second degree (ORS 468.936)

       1.   A person commits the crime of unlawful air pollution in the second degree
            if the person knowingly violates any applicable requirement of the air
            quality statutes, a permit, rule or order.
       2.   Unlawful air pollution in the second degree is an offense punishable by a
            fine of up to $10,000.

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                               BISPHAM, TOM; DUNCAN, HOLLY; AND CARLOUGH, LESLIE  575
2.2     Unlawful air pollution in the first degree (ORS 468.939)

        1.    A person commits the crime of unlawful air pollution in the first degree if
             the person, in violation of any air quality statutes, rule, permit, order or
             applicable requirement,  knowingly discharges, emits or allows to be
             discharged or emitted any air contaminant into the outdoor atmosphere
             and:
             a.    As a result, recklessly causes substantial harm to human health or
                  the environment.
             b.    Knowingly disregards the law in committing the violation.
        2.    Unlawful air pollution in the first degree is a Class B felony punishableby
             a fine up to $200,000 and 10 years imprisonment.
3       WATER POLLUTION CRIMES

3.1     Unlawful water pollution in the second degree (ORS 468.943)

        1.    A person commits the crime of unlawful water pollution in the second
             degree if the person, with criminal negligence, violates any water quality
             statute, rule, standard, license, permit or order.
        2.    Unlawful water  pollution in the second  degree is a misdemeanor
             punishable by a fine up to $25,000 and one year imprisonment.

3.2     Unlawful water pollution in the first degree (ORS 468.946)

        1.    A person commits the crimeof unlawful water pollution in the first degree
             if the person, in  violation of any water quality statute, rule, standard,
             license, permit or order, knowingly discharges, places or causes to be
             placed any waste into the waters of the state or in a location where the
             waste is likely to escape or be carried into the waters of the state and:
             a.    As a result, recklessly causes substantial harm to human health or
                  the environment.
             b.    Knowingly disregard the law in committing the violation.
        2.    Unlawful water pollution in the first degree is a Class B felony punishable
             by a fine up to $200,000 or 10 years imprisonment or both.


4       OTHER ENVIRONMENTAL CRIMES

4.1     Environmental endanqerment (ORS 468.951)

        1.    A person commits the crime of environmental endangerment if the person:

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             a.    Knowingly commits the crime of unlawful disposal, storage,
                  treatment or transportation of hazardous waste in the first degree,
                  unlawful air pollution in the first degree or unlawful water pollution in
                  the first degree.
             b.    As a result, places another person in imminent danger of death or
                  causes serious physical injury.

        2.    Environmental endangerment is a felony punishable:
             a.    If the defendant is an individual, by imprisonment of not more than
                  15 years, a fine of not more than $1,000,000 or both.
             b.    If the defendant is other than an individual, by a fine of not more
                  than $2,000,000.
             c.    In the case of a second or subsequent conviction under this section,
                  by imprisonment of not more than 30 years, a find of not more than
                  $5,000,000 or both.

4.2     Supplying false information to agency (ORS 468.953)

        1.    A person commits the crime of supplyingfalse information to any agency
             if the person:
             a.    Makes any false material statement, representationor certification,
                  notice, plan,  record, report or other document required by any
                  provision of Oregon's environmental laws or rules.
             b.    Omits any material or required information, knowing it to be
                  required, from any document described in paragraph (a) of this
                  subsection.
             c.    Alters, conceals or fails to file or maintain any document described
                  in paragraph (a) of this subsection in knowing violation of any
                  provision of Oregon's environmental laws.
        2.    Supplyingfalse informationis a Class C felony punishableby a fine up to
             $100,000 and five years imprisonment.


4.3     Refusal to produce subpoenaed material (ORS 468.956)

        1.    Refusal, without good cause, to produce books
             a.    Subpoenaed materials.
             b.    Materials otherwise required to be submitted to any agency under
                  the environmentalstatutes.
        2.    Refusal to produce material is a Class A misdemeanor punishable by a
             fine up to $5,000 and one year imprisonment.

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                                                               DE LANGE, A.  577
TARGETING AND CRIMINAL ENFORCEMENT

DE LANGE, A.

Public Prosecutor responsible for environmental matters in Middelburg, The Netherlands,
and National Coordinator attached to the Support Division of the Public Prosecutions
Department, P.O. Box 5015,4330 KA Middelburg, The Netherlands


        SUMMARY

        Administrative authorities prefer enforcement by negotiation and persuasion, which
can be described as 'cooperative enforcement'. Prosecuting authorities have little enthusiasm
forthisapproach. They preferaresoluteapproach, a punitive approach. The gap can be bridged
by the use of what is known as 'responsive enforcement'. In principle responsive enforcement is
cooperative, but has criminal law in the background. It is possible to switch to punitive enforcement
if the reasons for the violation make this necessary.
1       INTRODUCTION

        The authorities in the Netherlands have now had some 20 years experience with the
enforcement of environmental legislation. There have been many problems, there still are some
problems, and there are still some problems yet to be encountered. Even so, a lot has been
learned in the course of the years, and a lot of progress has been made. The first few years were
characterized by what is known as cooperative enforcement. Enforcement was above all
approached in an administrative way, using negotiation and persuasion. Criminal law was then
seen as the ultimate weapon. This philosophy was abandoned following a number of major
environmental scandals.1 Criminal law was also brought to bear, and as a result enforcement
took on a more punitive nature. However both forms of enforcement still occasionally come into
conflict with each other.
2       COOPERATIVE ENFORCEMENT

        Administrative authorities in the Netherlands usually make use of cooperative forms of
enforcement. They don't like to threaten companies - and there are good arguments for not
doing so.
        An administrator realizes that there are interests otherthan just those of the environment.
This is quite understandable, as an administrator has broader responsibilities. There are also
other matters, such as the number of jobs provided by the company. Ultimately violation of the
environmental regulations is always frowned on by administrators, but this poor state of affairs is
always compensated. The same company also brings prosperity,  and that is as such a good
thing. A company has to be way out of line before administrators decide to institute legal
proceedings. These are some  of the factors which determine the basic attitude  of the
administrators towards enforcement.

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        First of all attempts are made to persuade the company involved to better itself, and if
this does not work then the authorities are quickly inclined to negotiate. Attempts are then made
to find a compromise, and the authorities may even prepared to permit companies (temporarily)
to break the rules. In other words, violations are tolerated (condoning).
        When administrators do decide to act, then this has only one purpose: to end the
violation. This isalsothe responsibility of the authorities. The means of enforcement the authorities
have at their disposal have been designed with this purpose. In The Netherlands these include
a measure which entails a form of administrative coercion.
        Termination of the violation is achieved by the authorities at the cost of the company
concerned. The same is in fact also true for the penalty which the authorities impose on a company
when ordering the company to  end the violation within a specified time (which can also be
immediately), under the forfeit of a specified sum. According to Dutch jurisprudence the amount
of this penalty should be just sufficient to compel the offender to conform with the regulations.
The penalty shall not be used as a means of punishment.2 In practice penalties are not usually
collected when the company has finally ended the violation- even when the time which had been
granted to do so has been greatly exceeded.3
        The above shows that no account is taken of the economic advantage enjoyed by the
offending  company by not complying with environmental regulations, for example the
postponement of a specific investment for longer than necessary. As a result violation of the
environmental regulations is regularly profitablein the long run - even when the regulations have
been enforced. It's almost an invitation to break the rules.
        Furthermorethe violation of the environmentalregulationsis not thought of as a criminal
act within the subculture of the business community, government, or the authorities. Environmental
offences are often thought of as justifiable because they are economically necessary - or in
some circles businessmen admire them as being a smart way of doing business. In this context
an appeal, or procedures dealing with objections, is considered as nothing more than a difference
of opinion in business affairs between a company and the authorities.4 Non-compliance with the
regulations is accepted to a certain degree.
        An important advantage of this kind of enforcement is that communication channels
with the company are kept open. This results in a thorough knowledge of the company, and the
company can also be advised how it can best comply with the regulations. Enforcement can be
tailored to the situation, in particularfor those violations which are the result of ignorance, always
provided that the company is also willing to comply with the regulations.
        The most importantdisadvantageis the risk that the activities of the enforcers have little
effect, as a result of the enforcers either allowing the company too much leeway, or by allowing
themselves to be played along with, or both. Cooperative enforcement is based on a close and
continuous relationship between the company and the enforcer. The resultant mutual dependence
can frustrate other methods of enforcement. Cooperative enforcement can lead to partial, or
even complete non-enforcement,as was shown in a number of notorious environmental scandals
in the Netherlands. One example was the environmental disaster in the town of Lekkerkerk in
which it transpired that the council had known for years that toxic waste was being dumped
amongst the rubble on which a housing estate was later built. Another was the Uniser affair,
which clearly demonstratedthe impotence of the authoritieswhen supervising and acting against
the largest chemical waste processing company in the Netherlands.
        Another important disadvantage is that cooperative enforcement readily leads to legal
inequality, which in turn leads to distortion of competition. Enforcementis not a matter of course.
Or, as explained above, enforcement is executed in a  mannerwhich partly depends on a number

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                                                                   DE LANGE, A.  579
 of interests, and often interests other than those of the environment. Enforcement is also dependent
 on the individual relationship between the company and the relevant authority such as the
 municipality or province.
 3       PUNITIVE ENFORCEMENT

        Punitive enforcement attempts to ensure compliance with the regulations by tracking
 down violations, determining who is guilty, and finally punishing the offenders. Punitive enforcement
 is mainly carried out using criminal law. This is the responsibility of the Public Prosecutions
 Department, the police, and specialized investigation departments. These authorities also have
 their limitations. I'll discuss the strong points of criminal law first.
        In principle the law is enforced without regard of the persons involved. 'Legal equality'
 must truly be almost part of the very genes of a Public Prosecutor! This is also why there is little
 understanding for those authorities that turn a blind eye to certain violations after they have
 balanced the various interests involved. This is also the reason for the past behaviour of the
 judicial authorities, when matters which did finally reach them were regularly dismissed because
 the authorities tolerated violation of the regulations by other companies in similar situations.
        The emphasis of criminal  law is on the imposing of sanctions and the deterrence of
 potential offenders. This form of enforcementwould appearto be supremely suitable to situations
 in which the environmental regulations are violated in the pursuit of profits. Punitive enforcement
 increases the costs of the violation of the regulations, and as a result the offender might possibly
 decide not to repeat the offence - and potential offenders might decide not to take the risk.5
        An important advantage  is that not only companies (legal persons) but also  the
 management can be prosecuted under criminal law. A legal person is in fact not much more than
 a framework under corporate law. Mistakes,  or the decisions which result in environmental
 offences, are always made by individuals. Whether natural persons are prosecuted as well as
 the legal person obviously depends on the nature of the violation.
        Another side of criminal law  is  that it reinforces the concept of 'right and wrong' in
 environmental legislation. Earlier it was explained that the violation of environmental regulations
 is sometimes thought to be a very clever way of conducting business, or at most a question of a
 difference of opinion with the authorities about business affairs. But if the Public Prosecutions
 Department decides to prosecute,  then the more basic idea of "right and wrong" comes into
 play; an environmental offence becomes a criminal act. The Public Prosecutions Department
 has a "moral authority".6 This is undoubtedly an important weapon in the fight against environmental
 crime. Companies are usually extremely sensitive about damage to their  good name and their
 reputation, which also acts as a strong deterrent. In other words the power of criminal law is not
just based on the effect of the sanctions on the offender; it also - and quite possibly especially -
 acquires its powers from the effect of publicity accompanying a criminal prosecution.7
        At the same time this 'right and  wrong' in criminal law is also its weakness. Criminal
 prosecution stigmatizes. There is  a real risk  that the organization will isolate itself from its
 surroundings. Communications with the company become difficult, and this can hinder the
 realization of structural improvements  in the situation. In addition it also acts as a deterrent for
the administrative authorities, and as explained above they were already unenthusiastic about
this punitive approach. As a consequence there is little readiness to pass cases to the Public
 Prosecutions Department, which is consequently deprived of an important source of information.
The administrativeauthoritieshave the command over the supply of information. It's very different
from the situation where citizens report cases of breaking and entering or violent crime to the

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580     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Public Prosecutions Department of their own accord.  It doesn't concern them. It should be
remembered that environmental offences are usually perpetrated behind high fences and in
distant industrial areas; or in any case far from extensively-populated areas. And it's not easy to
establish whether there actually has been a violation.  You can't see it from the colour of the
waste water being discharged by the company. First of all measurements will have to be made;
it should be realized that pollution is in fact permitted to a certain extent by virtue of the very
licence itself. Citizens can't carry out measurements and they don't usually have the authority to
do so. In other words we depend on the supervisory civil servants working for the authorities to
establish whethera company has violated the regulations.And if those civil servants don't deliver,
or don't give sufficient information, then the Public Prosecutions Department won't be able to
carry out its responsibilities.
        It's not just the fault of the administrativeauthorities that cases are nottransferredtothe
Public Prosecutions Department. For a long time the Public Prosecutions Department and the
police weren't exactly enthusiasticabouttacklingenvironmentaloffences. Undoubtedly reasons
for this were unfamiliarity with the subject matter, and the complex regulations.  However even
those cases which actually were taken on didn't always end up with the result that might have
been expected. The Public ProsecutionsDepartmentand the police still compare environmental
offences too much to other more traditional forms of crime, such as breaking and entering,
robbery, and dealing in drugs. As such a comparison of the various forms of crime is very wise,
as it results in more balanced enforcement in the various areas, and consequently better legal
equality. But at the same time there is also a tendency to trivialize the offence, which is in part
due to the unfamiliaritywith the subject matter. This isn't really very surprisingascompaniesand
their managements don't fit in with the traditional image of crooks.
        Those cases which were however considered to be serious were then often treated in
the same way as organized crime. To some extent this is still the case. The efforts of the authorities
are then in particular aimed at dismantling a criminal  organization.  However environmental
offences are usually perpetrated by normal bona fide organizations, and of course it  is the
intention that they - in  a cleaned-up form - continue to exist.8  Obviously Public Prosecutors
appreciatethis as well. None the less these kinds of cases all to often end in rather unimaginative
prison sentences and (big) fines. Of course this is justifiable as such - but the environment is not
always served by such an outcome. The authorities are especially interested in putting things
back in order, the structural termination of the violation, and in the removal of the pollution.
4       RESPONSIVE ENFORCEMENT

        In the preceding sections about cooperative and punitive enforcement I have described
not only two very different strategies of enforcement, but also the two conflicting enforcement
cultures of the administrative authorities and of the Public Prosecutions Department. A bridge
must be built between the two cultures; and intensive efforts are being made to achieve this. As
is also evident from other contributions to this volume, an enforcement structure has already
been created in which the authorities, police and Public Prosecutions Department meet each
other and come to agreement about enforcement matters. The structure provides for national,
provincial, regional and local consultations.The agreements range from the making of programs
to agreements about the approach in specific cases. This cooperation has already produced
excellent results. This has allowed the police and the Public Prosecutions Departmentto take up
an important position in the area of enforcement.9 However there is still room for improvement.
We can really make a leap forward if we can merge cooperative and punitive enforcement in

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                                                                  DE LANGE, A.  581
such a way that the advantages of both are kept, whilst the disadvantages are compensated as
much as is possible. That's certainly possible. The solution is cooperative enforcement, with
criminal law in the background: this is also known as responsive enforcement10.
        Responsive enforcement is not a replacement for cooperative or punitive enforcement;
on the contrary, it contains both forms. An exclusive choice of just one of these forms would be
unwise. It is more a question of which combination of punitive and cooperative coercion is most
appropriateto which situation. In each case the choice is made with the intention of matching the
method of enforcement to the reason(s) for the violation. In this sense enforcement is a suitable
response to the violation. It is also assumed that long term compliance is only guaranteed when
environmental regulations are accepted, and have been  secured by a  learning process in the
organization in question11.
        Responsive enforcement can contribute to this process by a rather more inventive use
of criminal law. I'll give a couple of examples12
        Environmental offences which can readily be explained by organizational matters such
as communication problems, or insufficient management or supervision within the company, do
not warrant a strict punitive reaction. Enforcement should be of a cooperative nature, but with
criminal proceedings in the background. In concrete terms this means that the offence is first
reported. This shows the company that the violation is being taken seriously. After the offence
has been reported a cooperative approach can be adopted. The matter can then be suitably
concluded with either dismissal or a settlement, under the condition that the organization takes
the necessary measures required.  For example the condition can be made that an external
investigation or environmental audit be carried out at the cost of the offender. The Public
Prosecutions Department can even agree with the company that a corporate environmental
management system be drawn up.
        Howeverwhen there is a  corporateculturesuch that environmentaloffencesare caused
by indifference, extreme slovenliness, or a lack of motivation, then it is reasonablethatthe Public
Prosecutions Department acts as 'moral authority1 and gives a clear indication of disapproval
by serving a writ on the company, or offering a settlement with an accompanying press release.
As far as I am concerned a fine or even a prison sentence  are not sufficient in this instance. The
company must above all be confronted with the consequences of its actions, by compelling the
company to repair the environmental damage which it has caused. Furthermore, the corporate
culture must also be influenced from within, by stipulating that the company sets up a corporate
environmental management system, or if needs be appoints compliance officers. If a company
cooperates, then the Public Prosecutions Departmentshould explicitly take this into consideration
as mitigation. This should be reflected firstly in an appreciable reduction in the punishment and
secondly, and if possible of even more importance, the new corporate ideals must be emphatically
stressed  in court during  the public prosecutor's closing  speech, or in a settlement with  the
accompanying press release.
       When the regulations have been violated on the basis of a calculated cost-benefit
analysisthen a businesslikereaction is warranted. In addition to traditional punishment, together
with the accompanying negative publicity, the profit accrued by virtue of the violation should also
be forfeited. It is reasonableto expect that this kind of company would experience a 'soft' approach
as a victory in business terms.

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582     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
5       CONCLUSION

        Responsive enforcement bridges the existing differences in  culture between the
authorities, the police, and the Public Prosecutions Department. The authorities are reassured
that the continued existence of companies is not threatened. Nor is the relationship between
companies and government broken off. On the contrary, responsive enforcement puts the
organization in order by the enforcement of various kinds of self-regulation, such as audits,
corporate environmental management systems, compliance officers, etc. As a result the necessary
communication between companies and the authorities remains intact. All these activities take
place with criminal law in the background. This is vital. If necessary, the Public Prosecutor can,
as the moral authority, hit companies where it hurts, by attacking their reputation.  If companies
repent then they will always have the opportunity to clear themselves from (all) blame, and there
is then no question of unnecessary stigmatization. In addition when criminal law is in the
background - or in the foreground - then this will be advantageous to legal equality.
        REFERENCES

1.    These were notorious affairs in the Netherlands, such as Uniser (1981) and the
     Lekkerkerk housing estate (1980).

2.    Voorzitter Afdeling Geschillen, Raad van State (Chairman of the Administrative Disputes
     Division of the Council of State), 20 July 1990, Administratieve Beschikkingen 1991, no.
     245.
3.    Michiels, F.C.A., Niemeijer, E., et al., Wie is er bang voor de dwangsom?
     Evaluatiecommissie Wet Milieubeheer, Achtergrondstudie no. 22, Den Haag 1994.

4.    Huisman, W., de Lange, A., et al., Milieucriminaliteit vergt handhaving op maat, Justitieie
     verkenningen, volume 20, no. 9,1994.

5.    Huisman, W., de Lange, A., et al., p. 34.

6.    Ibid., p. 39.
7.    On the basis of section 7. sub-section g,  of the Economic Offences Act a judicial
     decision is allowed to be made public.

8.   It is then advisable to talk in terms of "crime in the organization".

9.   For example, see Zesde Voortgangsbericht.

10.  See also Huisman, W., de Lange, A., et al., p. 34ff.

11.  Ibid., p. 43.

12.  The examples have been taken from: Huisman, W., de Lange, A., et al.

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                                                                  WANG, SULI  583
THE ENVIRONMENTAL CRIMINAL JUSTICE IN CHINA

WANG, SULI

Director, Division of Legislation, Office of Policy and Legislation, the National
Environmental Protection Agency of China, No. 115, Xizhimennei Nanxiaojie, Beijing
100013, People's Republic of China


        SUMMARY

        This paper is intended to introduce the legal basis for punishing environmental crimes
in China. It reviews the penalties against the environmental crimes, the institutional structure of
the judicial bodies in China and their responsibilities. The procedurefor prosecuting and bringing
suits for environmental crimes are also described. Finally it  reviews the barriers to punish
environmental crimes, the related causes and provides possible solutions to overcome these
barriers.
1       THE LEGAL BASIS FOR PUNISHING ENVIRONMENTAL CRIMES IN CHINA

        The Criminal Law of the People's Republic of China which was issued in 1979 and did
not contain provisions concerning environmental crimes.
        To strengthen the protection of the environment and punish the behavior of seriously
polluting and damaging the environment, all the environmental laws in China now stipulate that
the person responsible for environmental accidents shall be given certain penalties referencing
provisions in the Criminal Law. For example, Article 43 of the Law of Water Pollution Prevention
and Control of the People's Republicof China enacted in 1984 provided that the criminal penalty
of the violators of this Law and those responsible for serious pollution accidents which cause
losses of public and private properties or human deaths or injuries can be judged by referring to
the related provisions in the Articles 155 or 187 of the Criminal Law. Similar provisions are also
found in Article 38 of the Law of Air Pollution Prevention and Control of the People's Republic of
China enacted in 1987 and Article 72 of the Law of Solid Waste Pollution Prevention and Control
of the People's Republic of China issued in 1995. In the Law of Environmental Protection of the
People's Republic of China issued in 1989, even though it does not clarify that the Articles 115
or 187 of the Criminal Law can  be referred to in giving  the penalties against  environmental
crimes, there is principle provision that the penalties can be measured in accordance with the
related laws which referto Article 3 of Water Pollution Prevention and Control Law and Article 38
of Air Pollution Prevention and Control Law. This also means Articles 115 or 187 and Article 79
of the Criminal Law can be referred to in the process of measuring the penalties because according
to the related provisions in these  environmental laws, the judiciary bodies can give the criminal
penalty to the people causing pollution and damaging the environment by referring to Articles
115,187 and 79 of the Criminal Law.
        The Article 115 provides that those responsiblefor serious consequencesand accidents
in the manufacturing, storage, transportation and use of explosive, flammable, radioactive,
hazardous and corrosive substance due to violation of regulations of management of these
substances will be sentenced to imprisonment of less than three years and those responsiblefor
more serious cases to an imprisonment of between 3 and 7 years.

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       The Article 187 stipulates that those government officials and workers responsible for
major losses of property and damages to the interests of the State and the People due to neglect
of their duties will be sentenced to an imprisonment of less than five years or criminal detention.
       The Article 79 stipulates that the penalties against the crimes unclarified in the articles
of this Law can be measured be referring to similar provisions  in the articles of this Law and
submitted to the People's Supreme Court for examination and approval. Similar to the crime of
polluting and damaging the environment is Article 106 of the Criminal  Law in which there is a
provision that those responsiblefor major losses of public and private properties, serious human
injuries and deaths by employing such dangerous means as setting fire, destroying water or
flood works, explosion, poisoning and so on will be sentenced to an imprisonment of less than
ten years, life imprisonment or death depending upon the nature  of damages caused.  And
those responsible for the above crimes  but not out of their detention will be sentenced to an
imprisonment of less than seven years or criminal detention.
       Above is the legal basis for the judiciary bodies in China to punish the environmental
crimes.  Some provisions are from the environmental laws and some from the Criminal Law
which are put togetherto form a framework of environmentalcriminal justice of the present stage
of China. This means that the judiciary bodies can judge as crimes the behavior of violating the
environmental laws and causing serious environmental pollution and damages and measure the
penalty accordingly by referring to the related provisions of the Criminal Law.
2       THE PENALTIES AGAINST ENVIRONMENTAL CRIMES IN CHINA

        Based on the above provisions in the laws related to the environmental crimes there
are five penalties for environmental crimes in  China: criminal detention, a fixed term of
imprisonment, life imprisonment, death and paying fines.
        Criminal detention means that the criminal is deprived of freedom of activity for a period
from 15 days to at most 6 months. The criminal being detented will undertake assigned labor
under the supervision of the public security authorities.
        The criminal convicted of a set term of imprisonment will be deprived of freedom of
activity ranging from more than 6 months to less than fifteen years and forced to work in prisons
or on criminal reform farms under the supervision of the criminal reform authorities.
        Life imprisonment is defined as a penalty to deprive the criminal of freedom of activity
and force them to work in prison for their whole life.
        Death penalty means that the criminal will be executed.
        In minor cases, the people's court will require the criminal to pay for a certain amount of
fine.
        But in practice, the judiciary bodies seldom apply to the above penalties because the
judicial personnel's have a great deal of difficulty in measuring the penalties againstthe behavior
of polluting and damaging the environment by analogy or reference to similar provisions of the
Criminal Law, which is the practice not easy for them to master. In addition, in most cases, the
environmental criminal is the legal person and the above penalties except paying the fine can be
applied only to the individual. The regulationon paying finesfortheenvironmentalcrimes will go
into effect from April 1,1996.
        In addition to the above penalties, the Criminal Law provides  some non-criminal
punishments. For example, Article 31 of the Criminal Law provides that the criminal responsible
for economic losses of victims of the crime will make compensations for the losses besides
criminal penalty.  Compensating for the economic losses caused is the civil punishment the

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                                                                  WANG, SULI  585
court force on the criminal after the criminal trial on the basis of the amount of losses the victim
suffers. To those committing misdemeanors which can be exempted from criminal punishment,
Article 32 of the Criminal Law stipulates that the person responsible will be given the punishment
ranging from apologies, compensation for losses to administrative punishment. The three main
non-criminal punishments: a) compensation for losses; b) administrative punishment; and c)
apologies and receiving instructions can be applied to the environmental crimes.
3       THE ENVIRONMENTAL JUDICIARY BODIES IN CHINA AND THEIR
        RESPONSIBILITIES

        The environmental judiciary bodies in China include the public security authorities, the
people's procuratorate, the people's court and the criminal institution.

3.1     Public security authorities

        The public security authorities are the government administrative bodies responsible
for protection of the security of the public and the society. Their specific responsibilities in the
judicial  activities  concerning the environmental  crimes are to investigate the  cases of
environmental crimes and exercise the power of criminal detention, arresting and pretrying the
criminal.

3.2     The people's procuratorate

        The people's procuratorate is the legal supervisory  body to exercise the power of
procuration on the behalf of the State.  It is responsible for approving the arrest, initiating public
prosecution and supervisingthe trial by the people's court and the execution of the court decision
by the criminal reform institution.

3.3     The people's court

        The people's court is to exercise the power to try the cases.  So is their responsibility in
the trial of environmental crimes.

3.4     The criminal reform  institution

        The criminal reform institution is the body to execute the  court  decision.  They will
categorize the criminals according to the court verdicts and reform and educate the criminals
and supervise their labor.
4       THE PROCEDURE OF PROSECUTING THE ENVIRONMENTAL CRIMES

               According to the Criminal Procedure Law of China, to prosecute and punish
the environmental crimes shall go through the following five phases: putting the case on file,
investigating, initiating public prosecution, trial and execution of the court decision.

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586     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
4.1     Putting the case on file

        All the government bodies, groups, institutions, enterprises and individuals have the
right as well as the obligation to inform the public security authorities about the behavior or the
suspect of causing environmental pollution or damages.  And the public security authorities
should respond immediately after receiving the report and information and put the case on file
after the preliminary examination of the case if they think there is the need to prosecute the
criminal based on the criminal fact.

4.2     Investigation

        The public security authorities shall collect the evidence and identify the criminal facts
and the criminals after the case is put on file.

4.3     Initiating public prosecution

        Whether the case can be prosecuted or exempted from prosecution or not shall be
examined and decided by the people's procuratorate.  After the examination,  the people's
procuratorate think the criminal facts of the accused have bee identified and the comprehensive
evidence collected and shall initiate public prosecution at the people's court if they decide the
case should be prosecuted.

4.4     Trial

        After receiving the prosecution of the environmental crimes by the people's procuratorate,
the people's court shall first of all examine the case and try it with the presence of the public if
they think the criminal facts have been identified and full evidence collected. In the process of
the trial, the court shall go through the procedures of court investigation, court debate, statement
of the accused and discussion of the court decision and shall declare whether the accused is
guilty or innocent and give appropriate penalties if they decide the accused is guilty.

4.5     Execution of  court decision

        The court decision will be executed after it has legal effect. The death penalty shall be
executed by the people's court. To the criminals convicted of the suspended execution of death
penalty for two years, life imprisonment, fixed term of imprisonment, or criminal detention, the
people's court shall send the verdicts or notice to prisons or criminal reform institutions for
execution. The people's court shall force the criminal to pay for fines if he or she is given fine
penalty and fails to pay fines within a fixed time.


5       BARRIERS TO PUNISH ENVIRONMENTAL CRIMES IN CHINA AND
        PROPOSED SOLUTIONS

        Thereare few cases of environmental crimes which have been punished in China. Seen
from the statistics in China Legal Yearbook, there is no yet statistics about cases of environmental
crimes. According to the statistics done by National Environmental Protection Agency of China,
there happened to be  3001 accidents of environmental pollution and damage caused by the
enterprisesabove the county level in 1994, including 141 serious major accidents. In accordance
with the environmental laws, those responsible for serious environmental pollution accidents

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                                                                   WANG, SULI  587
 should be given criminal penalties by referring to the related provisions in the Criminal Law. In
 actuality, the majority of cases were given administrative punishments or ended in making
 compensations rather than criminal penalties.

 5.1     The barriers to punish environmental crimes

        There are two reasons for failing to punish those seriously polluting and damaging the
 environment.

 5.1.1   The barriers from imperfect environmental legislation

        First, in the Criminal Law of China, there are no yet specific provisions which define the
 environmental crimes and measure the penalties against the environmental crimes. At present,
 the penalties against the behavior of seriously polluting and damaging the environment can be
 measured only by referring to the related provisions in the Criminal Law. This practice poses a
 great deal of difficulty to the judiciary bodies in applying to the similar provisions because there
 exist great differences between environmental crimes and other categories of crimes in the
 subject and object of crimes and subjective and objective components of crimes if seen from the
 content of crimes.  The crimes of poisoning, causing major accidents due to violation of the
 regulations on management of hazardous substances and neglect of duties stipulatedin Articles
 106,115, and 187 of the Criminal Law are difficult to be applied to all the behavior of polluting
 and damaging the environment. Therefore, in most cases, the judicial personnel will not judge
 environmental pollution and damage as crimes and put them on file when they examine the
 cases after they are reported.
        Secondly, the existing penalties except paying fines provided by the Criminal Law and
 environmental laws can be applied only to the individual ratherthan the legal person which is the
 main part of environmental crimes.  Therefore, few of the existing criminal punishments can be
 applied to environmental crimes.
        Thirdly, the Chinese laws of environmental crimes punish only the criminals whose
 behavior has produced certain consequences dangerous to the society and the public rather
 than those whose behavior has not produced certain consequences but has the potential to
 bring about certain dangerous consequences and those who have violated the law but not brought
 about certaindangerous consequences. According to the provisions in the Law of Environmental
 Protection, only those who have caused serious environmental pollution accidents and major
 losses of property and human death and injury can be given criminal penalties by analogy to the
 related provisions of the Criminal Law. To those whose behavior has not but has the long-term
 potential to damage the environment and harm human health, such as illegal disposal of hazardous
 substance, no criminal penalties will be given to them. Such legal practice does not fit in with the
 principle of prevention as priority measure for environmental protection and narrows the range
ofenvironmentaljustice.

5.1.2   The barriers from the low level of economic development

        Both making and enforcing laws often subject to the economic level of one society.
Under the existing circumstances, the main task for China is to develop its economy. So many
people, including law makers and enforcement personnel's, lack awareness of environmental
protection. Eventhoughtheyarenotinfavorofpollutinganddamagingtheenvironment.theydo
not consider crimes the behavior of seriously polluting and damaging the environment.

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588     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
5.2     Proposed solutions to overcome barriers

5.2.1    To perfect the legislation to punish environmental crimes

        The legislature body should consider revising the existing Criminal Law or formulating
a separate regulation for punishing environmental crimes in which the environmentalcrimes and
the penalties against them should be specified and clarified so that the judicial personnel's can
easily deal with the related cases.
        In the content of legislation, the following issues should be solved:
        To specify the range of environmental crimes. I think all the behavior of violating the
environmentallaws and pollutingordamagingthe environmentshould be given certain penalties
depending on the consequences of the behavior. The criminal should include individuals, legal
persons, and groups. The environmentalcrimes should be divided into intentional environmental
crimes and negligent  crimes if we look at the subjective side of crimes. And is we look at the
objective side of crimes, the punishmentshould be given to not only the criminals whose behavior
has produced certain  dangerous consequences but also those who have violated the laws but
not brought about serious consequences and those whose behavior has the potential to bring
about damages to the environmentand the hazardsto human health. The environmentalcrimes
should be specified as the crimes of air pollution, ocean and sea pollution, pollution of internal
water body, soil pollution, land damage, forest destruction, grassland damage, killing endangered
species and animals and collecting endangered rare plants and others.
        To formulate effective methods of punishment. First, a system of double punishment
should be established.  The environmental  criminals, in most cases,  are the  groups or legal
persons. To punish the environmental crimes effectively, both the persons responsible and the
legal entity responsible should be punished. The person directly responsible for the case may
be the representative of the legal entity as well as the executor of the illegal behavior. Secondly,
a penalty of property confiscation and compensation for losses should be  established to punish
environmental crimes. The penalties of paying fines and property confiscation should be fully
given to check the motive of polluters to a maximum extent to pursue the economic interest by
sacrificing environmental resources. Since the penalties, except fines, cannot be applied to the
legal persons, this proposed penalty of property confiscation or compensation for losses can be
applied to the legal persons in the case that the criminal is the legal person. Thirdly, a penalty of
stopping operation or production should be established. When the penalty of property confiscation
or compensation for losses cannot prevent the environmental crimes, the penalty of stopping
production or operation shall be adopted to check the continual of the criminal behavior because
some behavior of polluting the environment, such as discharging pollutants into water bodies, is
often frequent and constant. If the production or operation is not stopped, the behaviorof polluting
the environmentwill not be stopped. Undersuch circumstance, only through stopping production
or operation can the punishment be effective.

5.2.2   To set up a  precedent rule for environmental criminal penalty

        Legal precedents are typical examples of successfully employing the laws which have
been confirmed by the legal authorities as reference for judging the future cases.  At present,
China's environmental legislation is still developing and only principled regulations can be made
on many problems.  In addition, many judicial personnel's lack the experience of punishing
environmental crimes and perfecting environmental legislation will play an active role in effectively
 punishing environmental crimes. First, setting up a precedent can help interpret and specify
 some abstract provisions and remove the ambiguities in the process of law enforcement. Next,
 precedents can provide the judicial personnel with examples of measuring the penalty against

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                                                                   WANG, SULI  589
the behaviorof polluting and damaging the environment. Thirdly, setting up a precedentrule can
meet the changing situation of environmental crimes and avoid the necessity to amend or revise
the environmentallaws constantly.

5.2.3    To strengthen the training of judicial personnel

        Since most of judicial personnel's in China lack the experience in punishing environmental
crimes, it is necessary to provide them with training's in this field. The training can cover: a) a
systematic knowledge of the  laws  punishing the environmental crimes; b) knowledge of
characteristicsof environmental crimes; c) techniques to investigate environmental crimes; and
d) analysis and discussion of precedents of punishing environmental crimes. The training of this
kind is expected to upgrade the quality of judicial personnel's and promote the development of
environmental legislation and justice.

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590     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                          VAN KOOTEN, CHRIS  591
THE NETHERLANDS MANUAL: INVESTIGATIONS OF COMPLEX
ENVIRONMENTAL OFFENCES

VAN KOOTEN, CHRIS

Coordinator, Environmental Assistance Team, Inspectorate for the Environment. Ministry
of Housing, Spatial Planning and the Environment, IPC 681,  P.O. Box 30945, 2500 GX
The Hague, The Netherlands
        SUMMARY

        The Manual "Complex Environmental Offences," published by the Inspectorate for the
Environment in 1994, is intended for those active in the area of environmental enforcement who
may be involved with criminal investigations. The manual was drawn up in cooperation between
the partners in the enforcement network: the Public Prosecutions Department, the police, the
local authorities, and the Environmental Assistance Team.
        An important reason for publishing this manual was the realization that the specialized
knowledge and experience needed for the investigation of major environmental offences was
quickly disappearing from these enforcement groups, for reasons including the turnover of staff
and reorganizations.
        The manual is also very useful when dealing with less complex environmental offences.
        The English-languageversion of the manual has been revised; those matters which are
relevant only to the situation in the Netherlands have been either omitted or rewritten.
        As is usual legal practice in the Netherlands, the public prosecutor has the leading part
in criminal investigations. In other countries these duties may fall either partly or completely
under the responsibility of the judiciary.
1       PURPOSE

        The purpose of this manual1 is to provide support during the investigation and prosecution
of complex environmental offences by:

        •  Serving as a guideline when setting up an organization for the investigation
          of an environmentaloffence, and during the actual execution of the criminal
          investigation.
        •  Providing an insight in the duties of the bodies which may be involved in an
          investigation.
        •  Furthering a consistent interpretation of concepts pertinent to the kind of
          investigation involved.

        The text of the manual is built around a flow chart which describes the course of a
criminal environmental investigation. Important decisions to be made during the investigation
are shown in the flow chart and further discussed in the text.
       A three-stage investigation is assumed:

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592     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        •  The informative investigation, to establish whether there are reasonable
          groundsto suspect that an environmental offence has been committed; and
          if an offence has been committed, then whether a criminal investigation is
          the most suitable means of dealing with the offence.
        •  The preliminary investigation, in which the more detailed and more extensive
          information needed for an effective prosecution is collected.
        •  The factual investigation, the stage at which it becomes known that the
          judiciary, the police,  and the assisting  authorities are conducting  an
          investigation. The purpose of this investigation is to collect the definitive
          evidence for the trial by conducting an administrativeinvestigationtogether
          with the interrogation of witnesses  and suspects.

        The manual also gives a number of useful suggestions and recommendations concerning
enforcement matters, which are based on experience. This makes the manual of use to all
involved in the investigation and prosecution of complex environmental offences.
        The emphasis of the manual's contents is especially on those aspects in which criminal
investigations of environmental offences differ from  criminal investigations according to the
general provisions of the Dutch Criminal Code. Examples are:

        •  The  timely recognition of  pitfalls in environmental legislation and
          environmental protection.
        •  Differences in culture which may be encountered during cooperation
          between the authorities and the police.
        •  The powers provided by legislation other than just legislation concerning
          criminal proceedings as proscribed in the Dutch Code of Criminal Procedure
          (examples are the Economic Offences Act and the Environmental
          Management Act).
        •  Making efficient use of the enforcement network.
        •  The  continual balancing of the interests of criminal investigations
          (investigation of the offender) against the  interests of the environment
          (investigation of the causes of the act committed, and its consequences for
          the environment).
2       THE INSPECTORATE FOR THE ENVIRONMENT IN THE FIGHT AGAINST
        CRIME

        The  Inspectorate for the Environment has been involved  in the investigation of
environmental offences since the formation of the Environmental Assistance Team in 1985.
        The Environmental Assistance Team was established with the intention of intensifying
efforts to combat environmental crime. This was seen to be necessary in the aftermath of a
number of environmental scandals in the Netherlands in the early 1980s, which also  revealed
significant deficiencies in both the  inspection  and the investigation of matters concerning
environmental legislation.  As a result the Minister of Housing, Spatial Planning and the
Environment and the Minister of Justice decided to form a national group of experts specialized
in criminal behaviour.

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                                                            VAN KOOTEN, CHRIS  593
        In the beginning the Environmental Assistance Team had a pioneering role. The Team
concentrated on the furthering of investigations carried out by the police, who were confronted
with the new field of environmental offences.  In recent years various agencies have become
closely involved in the enforcementofenvironmentallegislation;thisinvolvementis in the form of
inspection and investigation. There has been a substantial build-up of resources among the
police and the judiciary, and special investigating officers have been attached to a number of
administrative bodies for the specific purpose of the investigation of environmental offences.
Experience has also shown that, to obtain  the best possible  information  concerning the
enforcementof environmental legislation, close cooperation is required with inspection agencies
and officers in the investigation of environmental offences.
        The EnvironmentalAssistance Team is comprised of officers from the various divisions
of the Inspectorate for the Environment. These officers have complete powers of inspection and
complete powers of search throughout the country, and have followed special training to enable
them to act as investigating officers. They have also undergone a security screening.
        The duty of the Environmental Assistance Team is to provide practical assistance during
the conduction of criminal investigations,  and to participate in them. This is provided to the
police, the Public Prosecutions  Department, and other investigating agencies. Assistance is
given by supplying the necessary specialized knowledge and technical aids, and the provision
of laboratory and research facilities. The Environmental Assistance Team can also carry out
inspections and inquiries in companies or particular categories of companies, in order to collect
information for administrative and/or judicial purposes. The Environmental Assistance Team
can provide specialized knowledge in the following areas: process technology, chemistry,
administrative and legal affairs, environmental protection, criminal investigation and business
administration.2
        ENDNOTE AND REFERENCE

1.    Ministry of Housing, Spatial Planning and the Environment, Publication document number
     1993/79.

2.    The investigative activities of the Inspectorate for the Environment. Planned
     developments 1993 -1998.

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594     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                           SPECIAL TOPIC J: ENFORCEMENT OF ECONOMIC INSTRUMENTS  595





                    SPECIAL TOPIC WORKSHOP J

                  Enforcement of Economic Instruments
 Papers and Workshop J discussions built on papers published in the Proceedings of the Third
 International Conference on this topic.

        • Economic instruments and how requirements or incentives are defined (e.g.,
          emission taxes, marketable permits).
        • Particularchallenges or problems posed by designing effective compliance
          strategies and enforcement responses.
        • Institutional requirements and design requirements for the program that would
          help in enforcement.
        • Particulartraining or inspection approaches that are most useful in trying to
          detect violations and compliance problems.

        How those challenges might be overcome.
 1.   Summary of Enforcement of Economic Instruments Workshop, Facilitators:
     J. van den Heuvel, J. Rothman, J. Wise, Rapporteur: D. Novak	597

 2.   Enforcement of Pollutant Discharge Fee in China, H. Baolin	601
 See related papers from other International Workshop and Conference Proceedings:

 1.  The Enforcement of Environmental Charges in The Netherlands, J.A.Peters, W.F.G.
    Alblas, Volume I, Oaxaca, Mexico

 2.  Enforcement of Economic Instruments in the United States, J.B. Rasnic, Volume I,
    Oaxaca, Mexico

 3.  Summary of Workshop: Enforcement of Economic Instruments, Facilitator: J. Peters,
    Rapporteur: E. Cowan, Volume II, Oaxaca, Mexico

4.  Enforcement of Economic Instruments in Russia, M.M. Brinchuk, Volume II, Oaxaca,
    Mexico

5.  Privatization as an Opportunity to Enhance Compliance, Poland's Perspective S
    Wajda, Volume I, Budapest, Hungary

6.  Environmental Problems in the Hungarian Privatization, /. Mandoki, Volume II, Budapest
    Hungary

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596     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                    SUMMARY OF WORKSHOP: ENFORCEMENT OF ECONOMIC INSTRUMENTS  597
 ENFORCEMENT OF ECONOMIC INSTRUMENTS

        Facilitators: Jan van den Heuvel, John Rothman, John Wise
        Rapporteur: David Novak
        GOALS

        The following were issues for the workshop:

        •  Economic instruments and how requirementsorincentivesare defined (e.g.,
          emission taxes, marketable permits).
        •  Particularchallenges or problems posed by designing effective compliance
          strategies and enforcement responses.
        •  Institutional requirements and design requirements for the program that would
          help enforcement.
        •  Particulartraining or inspection approaches that are most useful in trying to
          detect violations and compliance problems.
        •  How those challenges might be overcome.
1       INTRODUCTION

        More than 15 participantsfrom 10 countries met in two separate sessions. The sessions
included representatives from countries in all stages of economic development.
        The discussion centered around four major topics of interest: the purpose and application
of economic instruments; the benefits of using economic instruments as opposed to command
and control approaches to compliance and enforcement; particular examples of economic
instruments being used in both developing and developed countries and how successful they
have been in achieving their stated purpose.
2       PAPERS

        One paper, by Dr. Hu Baolin, was prepared for the workshops.  The paper deals with
enforcement of pollution dischargefees in China. Overthe past decade, environmentallaws and
regulations have developed rapidly in China resulting in examples of the successful use of
economic instruments to promote environmental compliance. A system of pollution charges
backed by fines for non-compliance is currently in use in the country, and has met with initial
success. The purposeof the fee is to encourageenterprisesandindustriesto voluntarily reduce
pollutant discharges in order to minimize the discharge fee. The policy is designed to allow the
polluterto assume responsibility for controlling pollution in China.

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598     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
3       DISCUSSION SUMMARY

3.1      The purpose and application of economic instruments

        The participants first addressed the need to have a regulatory structure in place before
the use of economic instruments can be considered. The participants agreed that there was a
great deal of interest in promoting the use of economic instruments in their respective countries.
In some cases, however, this interest had not developed beyond economictheory, and command
and control approachesto environmentalcomplianceand enforcementwere still the most widely
utilized measures. The discussion centered around the benefits that can be derived from the use
of economic instruments and at what level economic instruments may be incorporated.
        In a highly competitive global economy there is a compelling need to:

        •  Reduce waste.
        •  Increaseefficiency.
        •  Reduce costs.
        •  Modify supply and change demand.
        •  Reduce liabilities.
        While command and control approaches may achieve the environmental goal of reducing
pollution, they may increase the cost of production and often require strict monitoring practices
through the use of fines, penalties, and strict liability. Economic incentives can successfully be
used to:
        • Reduce pollution.

        • Internalizeexternalities.
        • Change behavior.
        A simple linear production model was used to illustrate how and where externalities
can arise during production and at what level economic instruments may be employed.
 Figure 1   Basic Linear Production Model
Resource
Extraction
i i
Energy
V
\,
^
Process

V



Transport

V



Manufacture

V



Product




V
WASTE = POLLUTION
EXTERNALITIES = MARKET FAILURE
Use

I
•I
Disposal



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                    SUMMARY OF WORKSHOP: ENFORCEMENT OF ECONOMIC INSTRUMENTS  599
        Discussion included illustrations of where certain economic instruments may be most
appropriate. For example, a tax or fee on waste disposal of the final product will be born by the
end user. The tax or fee may have no impact on resource extraction or production practices. On
the other hand, a tax or fee on raw resources at the point of extraction may alter production
practices and reduce the waste generated at every step of the production model.

3.2     Benefits of  economic instruments

        A goal of the majority of participants was to begin to shift away from, or to supplement,
command and control type enforcement systems with systemsthat incorporatemarket incentives
for pollution control.  The interest in economic instruments or market incentives stem from the
potential economic benefits that can be derived from the use of such policies. While the theory
behind the use of economic instrumentsis sound, many governmentsandindustriesare hesitant
to abandon traditional command and control policies, where firm behavior is well documented
and predictable, to employ untested  economic policies.  In some  cases, the use of economic
incentives may not yield clear-cut behavioral changes, and there is some uncertainty as to how
firms may react to varying economic policy changes.  However, the lure of potential benefits
including monetary and efficiency gains that, theoretically, will result from the use of economic
instrumentsis tempting to many governments. A list of potential benefits resulting from economic
instruments are listed below.

        •   Economic instruments can result in cost savings.
        •   Economic instruments promote efficient use of resources.
        •   Externalities are internalized.
        •   Industry may adopt a more cooperative approach to pollution control.
        •   Economic instruments allow increased productive flexibility in dealing with
           pollutioncontrol.
        •   The burden of pollution control shifts to the private sector, away from the
           public sector.
        •   The use of economic instruments promotes technological developments,
           while command and control policies do not.
        •   Used properly, economic instruments  can  promote environmental
           compliance as well, or better than command and control approaches.


3.3     Examples of economic instruments

        It is importantto note that in many cases it is difficultto make a clear distinction between
economic instruments and command and control approaches. The two approaches are often
blended together.  For example, fines, quotas, and pollution fees  can be viewed as either an
economic instrument to encourage pollution  control or a command and control regulation.
Furthermore, economic instruments have some underlying regulation, that often include fines or
penalties. Examples of some economic instrumentspresented in the discussion are listed below.

        •   Fees or charges (to discharge, emit,  or dispose).
        •  Taxes (on inputs, outputs, or waste).
        •  Market approaches (open trading, price clearing).
        •  Subsidies.

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600     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


        •  Royalties.
        •  Emission reduction credits.
        •  Banking (mitigation banking, asset (savings account).
        •  Cross-media trading.
        •  Trade policy (tariffs, quotas, PPMs).
        •  Deposit/refund system.
        •  Recognition and rewards (green labeling).


4       CONCLUSIONS

        Both session precipitated some very  constructive  and interested discussion and
concluded with examples being given  of economic instruments used in specific countries.
Participants  described economic incentives being used in their respective countries and
discussed issues surroundingthe regulatory framework, the purpose of the instrument, and how
effective the instrument was.  The discussion was very open and did not focus on "right" or
"wrong" approaches to pollution control.
        It is important to note that the applicability of economic instruments may vary between
countries (for a wide variety of reasons) depending on the type of pollution being controlled (air,
water, waste) and on the overall objectives of the policy. While economic instruments can not
completely replace command and control regulations, they can offer a cost effectiveand efficient
approach to pollution control.

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                                                                 BAOLIN, Hu  601
ENFORCEMENT OF POLLUTANT DISCHARGE FEE IN CHINA

BAOLIN, HU

Director-General, Policy and Law Department, China National Environmental Protection
Agency, No. 115Xizhimennei Nanxiaojie, Beijing 100035, People's Republic of China


       SUMMARY

       The environmental legislation has witnessed rapid development since the early 1970s
in China. On the basis of its successful experience in the field of environmental management,
China has formulated and implemented many laws and regulations relating to environmental
protection. The system of pollution charges now under operation nation-wide is one of its efforts
in the aspects of environmental legislation and enforcement and offers a successful example in
improving environments by using economic and legal means.


1      CONCEPT

       The system of levying fees for pollutant discharge means: the enterprises and institutions
discharging pollutants or discharging pollutants in excess of the prescribed discharge standards
shall pay an amount of fees according to state laws, regulations and  discharge  standards for
eliminating and controlling the pollution.
2       PURPOSE

        The system is aimed to encourage enterprises and institutions to enhance management,
comprehensively use resources, prevent and control pollution and improve the environment.
Combining with actual conditions in China, it is designed according to the policy principle"polluter
assumes responsibility for eliminating and  controlling the pollution" and also the theories
concerningenvironmentalvalueandenvironmentaleconomy.
3      CHARACTERISTICS

3.1     The pollution charges are levied compulsorily. A pollutant discharger shall pay the fee
within a prescribed period; if not, it shall pay additional 1 per thousand of the amount a day as
arrearage; if it fails to pay the fee for discharge of pollutants, the competent department of
environmental protection administration may impose a fine and apply to the people's court for
compulsory enforcement.

3.2     The payment shall not exempt a pollutant discharger from responsibility for eliminating
and controlling the pollution and compensating for the damage incurred and also other liabilities
provided by laws.

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602    FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
3.3     For those new incurred or severe pollution cases, the charging standards shall be higher
than ordinary ones. This involves the newly-built enterprises since September 13,1979 when
the Environmental Protection Law (for Trial Implementation) was promulgated which discharge
pollutants in excess of the prescribed standards; enterprises that dismantle installations for the
preventionand control of pollution or leave them idle withoutauthorizationand thereby discharge
excessive pollutants; and those enterprises and institutions which didn't complete the pollution
control projects within a certain period of time. Their fees for excessive discharge shall be doubled.
If an enterprise or institution has paid the fee but retains its excessive pollutant discharge, the
fee levied upon it shall be raised by 5 percent annually beginning from the third year since the
first imposition.

3.4     Both preferential and punitive policies are pursued. The preferential policies adopted
to encourage enterprises prevent and control pollution include: the fee levied for pollutant
discharge may enter the production costs, the  subsidies will be allocated to those key
pollutant-discharging enterprises for their pollution control, and the special funds for pollution
control will be offered at low interest rate or free conditionally. The defined arrearage, the additional
charges, the doubled payment and fines, however, as punitive measures, shall not enter the
production costs.

3.5     The special funds shall be used for certain purposes  and shall be paid. The  income
derived from fees for pollutant discharge shall be put into budgets and shall be used as special
subsidy for controlling major pollutant sources and comprehensive contamination. The special
funds supplied for pollutant source control shall be paid by the person receiving a loan.
4       EFFECTS

4.1     The system helps to coordinate economic development with environmental protection
by using economic means. As the pollution pre-control is related to the economic interests of
enterprises, it has played a role in balancing environmental, social and economic efficiencies.

4.2     Through the practice, relevant enterprises have enhanced their capacity and quicken
their steps on pollution control. The fees levied for the discharge or excessive discharge of
pollutants are used as subsidies for key pollutant source control and overall pollution control,
opening up a newfund-raisingchannel and arousing the enthusiasm of enterprisesin controlling
pollutant discharges. As a result, their capacity of pollution control has been enhanced.

4.3     The practice exerts pressure upon pollutant dischargers and thereby urges them upgrade
management. To seek economic interests, they have to improve management so as to reduce
pollutant discharges.

4.4     The practice urges those discharging enterprises to carry on technological transformation
and raise the rate of utilization of resources and materials. The  only way out to reduce and
eliminate discharge of pollutants for enterprises is to innovate their technologies and give up
backward techniques and equipment, fully use and save on resources and energy and reduce
the waste so as to raise the rate of utilization of resources and energy, promote technological
progress and cut down the production cost. Only by doing so can they raise both economic and
environmental efficiency.

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                                                                 BAOL.IN, Hu   603
Figure 1.  Provisions Concerning the Pollution Charges System Laws
 Laws

    1)    The Environmental Protection Law: Article 28 and Article 35, Section 3
         (1989)
    2)    The Law on the Prevention and Control of Atmospheric Pollution: Article
         11, Section 1 and Article 31, Section 5 (1987)
    3)    The Law on the Prevention and Control of Water Pollution: Article 15 and
         Articles?, Section 1 (1984)
    4)    The Law on the Prevention and Control of Environmental Pollution Caused
         by Solid Waste: Article 34, Article 48 and Article 59, Section 1 and Section
         2(1995)

 Administrative Regulations

    1)    The Regulationsforthe Enforcement of Law on the Prevention and Control
         of Atmospheric Pollution: Article 25, Section 5 and Article 30 (1991)
    2)    The Regulationsforthe Enforcement of Law on the Prevention and Control
         of Water Pollution: Article 31, Section 5 and Article 36 (1989)
    3)    The Regulationson Noise PollutionControl: Article 13 and Article 37 (1989)
    4)    The Management Regulations  on Environmental Protection in the
         Exploration and Exploitation of Marine Petroleum: Article 26 (1983)
    5)    The Management Regulations on Controlling Marine Pollution Caused by
         Terrigenous Pollutants: Article 7, Article 29 and Article 32 (1990)
    6)    The Provisional Methods on Levying Pollution Charges (1982)
    7)    The Provisional Methods on the Non-Gratuitous Use of Special Funds for
         Pollutant Source Control (1988)
    8)    The Regulations of the  State Council on Strengthening Environmental
         Management of Village-Run, Township and Neighborhood Enterprises:
         Article 1, Section 3(1984)
    9)    The Decision of the State Council on Environmental Protection Work: Article
         5, Section 5 (1984)
    10)   The Temporary Provisions Concerning Environmental Management in the
         Opening Economic Zones: Article 9, Section 2 (1986)

 Ministerial Regulations

    1)    Methods on Financial Management and Accounting Calculation on
         Collecting Fees for Over-Standard Pollutant Discharge (1984)
    2)    The Announcement on Setting An Additional Budgetary Account "Fee for
         Pollutant Discharge" (1982)
    3)    The Regulations on Strengthening Management of Subsidies for
         Environmental Protection (1990)
    4)    The Announcement on Regulations Concerning Funds  Channels for
         Environmental Protection: Article 4 (1984)
    5)    The Methods on Radioactive Environment Management: Article 21 (1990)

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604    FOURTH  INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
4.5     The system helps pollutant dischargers raise their sense of responsibility for
environmental protection and urges them take measures to protect and improve environments.
5       LEGAL PROVISIONS

        The Environmental Protection Law stipulates in Article 28: Enterprises and institutions
discharging pollutants in excess of the prescribed national or local discharge standards shall
pay a fee for excessive discharge according to state provisions and shall assume responsibility
for eliminating and controlling the pollution. The income derived from the fee levied for the excessive
discharge of pollutants must be used for the prevention and control of pollution and shall not be
appropriated for other purposes. The Law provides in Article 35: Any violator of this Law shall be
warned or fined for... failing to pay, as provided for by the state, the fee for the excessive discharge
of pollutants.
        The Law on the Prevention and Control of Atmospheric Pollution, the Law on the
Prevention and Control of Water Pollution, the Law on the Prevention and Control of Environmental
Pollution Caused by Solid Waste, and the Regulations on Noise Pollution Control all include
similar provisions. In accordancewith these laws, the fee-payers referto those enterprises which
discharge pollutants into the air; enterprises and individuals that emit noises into the surroundings;
and the enterprises and institutions which discharge pollutants into the water. As a special case,
whether enterprises discharge pollutants into the water in excess of discharge standards or not,
they shall pay fees, as provided for by the state. This decision is made in consideration of the
shortage of water resources and the seriousness of water pollution in China.
        In order to guarantee the operation of the system levying fees for pollutant discharge,
the State Council has formulated and issued the Provisional Methods on Levying Pollution
Charges, the Provisional Methods on the Non-Gratuitous Use of Special Funds for Pollutant
Source Control and other administrative regulations. Also, other statutes concerning environmental
protection include a lot of relevant stipulations in this regard.
6       IMPLEMENTATION

        Up to now, China has established a complete set of laws, regulations, standards, financial
systems and working procedures in levying fees for discharge of pollutants. And they have played
an important role in controlling pollution and improving environments and encouraging enterprises
upgrade managementand fully use resourcesand energy, thereby furthering the environmental
protection cause. Statistics show that more than 300,000 enterprises and institutions now pay
fees for their discharge of pollutants and that the accumulated income derived from these fees
Collection and Use of Pollution Charges Between 1990 and 1994 (billion RMB yuan)
Year
1990
1991
1992
1993
1994
Total
Payers
(thousands)
186
207
217
251
301

Collection
Amount
1.75
2.01
2.36
2.66
3.10
11.88
Use
Amount
1.48
1.52
1.95
2.13
2.39
9.47
Use for
Source
Control
0.92
0.94
1.18
1.21
1.15
5.40
Use for
Area
Control
0.08
0.07
0.10
0.07
0.08
0.40
Control
Projects
Finished
16,516
17,706
18,977
17,990
17,282
88,471

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                                                                   BAOLIN, Hu  605
has amounted to 24 billion yuan since 1979,80 percent of which, equal to 15 percent of the total
amount of funds allocatedtocontrollingindustrial pollution, were used as subsidiesto controlling
key pollutant sources, with the rest 20 percent used in general environmentalprotection projects,
such as purchasing instruments for environmental monitor, strengthening environmental education
and developing studies on pollution control.

        Over the past 15 years, China has invested these funds into 220,000 pollution control
projects, with 210,000 having been completed. All these projects have a capacity of treating
waste water 16 billion tons and waste gas 4,000 billion cubic meters a year, handlingand reusing
solid waste 70 million tons and controlling 19,000 noise sources. As efforts have been extended
to encourage enterprises to improve management, save on and fully use resources and control
pollution, the enterprises have earned economic returns nearly 9.5 billion yuan.
7       CHARGING METHODS

7.1     Basis for levying the fee for discharge of pollutants

        The pollutant discharger shall report to and registerwith the local environmental protection
agency about the variety, quantity and density of discharged pollutants, which, subject to check
by the environmental protection agency or other monitor agency it assigned, will be the basis for
levying the fee.

7.2     Standards for levying the fee

        The existing standards are provided for in the relevant document issued by the State
Council. According to the document, some large and medium-sized cities with concentrated
industrial enterprises and suffering severe  pollution (subject to the approval  of competent
department of environmental protection administration under the State Council) may raise the
charging standards in a bid to urge enterprises gradually reduce its discharge of pollutants
through technological transformation. As to the pollutants excluded in the document, the provincial
governments may work out local standards.

7.3     Increase and decrease of the fee

        If an enterprise remains to discharge pollutants in excess of discharge standards after
paying the fee, from the third year after the first payment, its fee shall increase by 5 percent
annually. If an enterprise has accorded with the discharge standards or reduced its discharge of
pollutants through control measures, it may apply to local environmental protection agency for
re-monitor; if so as proved, it may stop paying the fee or reduce the payment amount.
8       MANAGEMENT AND USE OF THE POLLUTION FEES

        The fees levied shall  be included in budgets as a special item, the environmental
protection subsidy under joint management of environmental protection agency and financial
department. They shall be used for special purposes with regard to pollutioncontrol and shall not
be overspent or even appropriated for other purposes. The surplus may be used in next year.
The environmental protection subsidies shall be applied in controlling major pollutant sources

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606     FOURTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
and comprehensively improving environments. The pollutant control program put forward by
enterprise shall examined by competent departments and the funds needed shall be raised
mainly by itself. If it is really hard to raise funds, the enterprise may apply to local environmental
protection agency and financial department for subsidy, but the amount of subsidy shall not exceed
80 percent of the total fees it has paid.
9       SPECIAL FUNDS FOR POLLUTANT SOURCE CONTROL

        Problems still exist in using the funds derived from fees levied for discharge of pollutants.
On the one hand, the funds used for controlling pollution are in short supply, on the other hand, a
part of these funds were overstocked or even appropriated for other purposes, effecting a low
utilization ratio. An important reason is that the funds were allocated to various enterprises that
paid the fee and thus were used in a scattered manner and at a low efficiency. To settle the
problems, in July 1988 the State Council issued the Provisional Methods on the Non-Gratuitous
Use of Special Funds for Pollutant Source Control, which stipulates to set up the Special Funds
for Pollutant Source Control. According to the document, the Funds shall be established and
managed in an independent accounting by the environmental protection agencies at provincial,
city and county levels, and they shall be allocatedas loans by local banks and shall be paid back
by enterprises.
        The funds are raised from the fees levied upon major enterprisesdischarging excessive
pollutants. As subsidies, they are used in focus of following projects:

        •   key projects for pollutant source control;
        •   projects for comprehensive  utilization of waste gas, waste water and
           industrial residues;
        •   model projects on pollutant source control; and
        •   the installations for the prevention and control of pollutant sources in those
           enterprises which are newly merged, shift to produce new products, or are
           moved into new places.

        The prospective borrowers are those enterprises which have paid the fee for discharge
of pollutants. The enterprisesshall apply for the funds in conformity with the prescribed conditions.
The priority is given to the enterprises which are required to control pollution within a definite
time, which cause serious pollution cases urgentto be under control, and which have raised over
60 percent of investment themselves. The Special Funds are under unified management and
distribution of environmental protection agencies in coordination with financial departments.
The length of maturity is less than three years and the interest rate retains a low level. Up to now,
the competent departments have offered this kind of loans about 3.2 billion yuan.
        The procedures have been proved effective to raise the utilization rate of funds and
speed up the pollution control process.

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                                                                     BAOLIN, Hu  607
 10     CONCLUSIONS

 10.1    Impact

        Generally speaking, the pollution charge system has, with resort to both legal and
 economic means, played a positive role in encouraging pollutant dischargers eliminate and
 control pollution and improve the environments. However, because the fee is allowed to enterthe
 production cost, the pollutant dischargers do not take entire responsibilities for their action. In
 fact, they shift the spending on to consumers, who will suffer from the increase of price. Also, the
 aforesaid preferential policies play the positive but also the negative role, for they mean that the
 state recognizes the enterprises have the right to discharge pollutants. This, of course, contradicts
 with the principle of protecting environments and the original intention of encouraging them reduce
 pollutant discharge. Moreover,  a question is also raised on how to conduct a fair distribution of
 the subsidiesamong pollution control projects. It is practical to concentratefinancialand material
 resourceson key projects in the field of the prevention and control of pollution, but all enterprises
 having paid the fee apply for a share of funds. Therefore, how to avoid decentralized use of the
 special funds while guaranteeing the fairness now challenges the competent departments.

 10.2    Scope

        The existing discharge standards have some shortcomings still and some pollutants
 have not been covered by the system. First, the fee levied for excessive discharge of pollutants
 is lowerthan the cost of building and operating pollution control installations, so some enterprises
 would rather pay the fee than control pollution or utilize those facilities. Second, some enterprises
 discharge over two kinds of pollutants through a blow-off pipe, but it is provided now that only the
 pollutant of the most excessive discharge shall be levied the fee. This is certainly unreasonable
 and could not reflect real situation of pollution. Third, the environmental protection departments
 have not made charging standards on some pollutants, the sulphur dioxide that results in acid
 rain, for example, is still free from being levied the fee nation-wide. Also, many tertiary industrial
 sectors which produce severe pollution and disturb the daily life of local residents are still exempted
 from pollution charges.  Therefore, while readjusting the charging standards on excessive
 discharge of pollutants, attention should be paid to raising the fee for excessive discharge to a
 level higher than the spending for pollution control, levying the fee upon all kinds of pollutants
 discharged, and increasing the charging items  relating to other pollutants. And fourth, the
 management of the funds is unsuited to the demand of market economy now. Specifically, the
 special funds for pollution control account for a small proportion and the  interest rate of special
 loans keeps at a low level. They should also be readjusted in a timely manner.

 10.3    Implementation

        In  practice, some factors still hinder the system from being fully implemented. For
 instance, some local  enterprises intend to evade paying the fee, and some state-owned
enterprises fail to strictly follow relevant  provisions when they drop in  business slump. The
personnel on environmental supervision and law-enforcementat the basic level are understaffed,
as a result, the environmental management has not yet meet the needs of environmental protection
undertakings.

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