315R07002
 7th International Conference
            on Environmental
Compliance and  Enforcement
                  9-15 April 2005
              Marrakech, Morocco
             Proceedings Volume 2

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   7th International Conference on

             Environmental

    Compliance and Enforcement

             Marrakech, Morocco
               9-15 April 2005
   33
   O



   \
OEGD
            I)
            z
            OCDE
  European Commission
 THE  WORLD BANK
                        VROM
                       Moroccan Ministry of the Territory Planning
                           Water and the Environment
                               ENVIRONMENT
                               AGENCY
                                UNEP
                           United Nations Environment procjrarnme
Finnish Ministry of the Environment
                            Environment  Environnement
                            Canada      Canada

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        SEVENTH INTERNATIONAL CONFERENCE ON
   ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
                       CONFERENCE PROCEEDINGS
                                VOLUME 2
                               9-15 April 2005
                            Marrakech, Morocco
Editors:
Mr. Jo Gerardu, VROM, The Netherlands
Mr. Davis Jones, US EPA
Mr. Kenneth Markowitz, INECE Secretariat
Mr. Durwood Zaelke, INECE Secretariat
Executive Planning Committee:
Mr. Peter Acquah, AMCEN
Mr. Bie Tao, People's Republic of China
Ms. Angela Bularga, REPIN
Dr. William Clark, Israel
Mr. Jim Gray, England and Wales
Dr. Marco Antonio Gonzalez Pastora,
   CCAD/SICA
Mr. Donald Kaniaru, Kenya
Mr. Lai Kurukulasuriya, UNEP
Dr. Ladislav Miko, Czech Republic
Mr. Antonio Oposa, Jr., Philippines
Mr. Manuel Rodriguez Becerra, Columbia
Mr. Charles Sebukeera (Co-chair), UNEP
Ms. Sabine Sommer, IMPEL
Mr. Durwood Zaelke, (Director), INECE
   Secretariat
Mr. Antonio Herman Benjamin, Brazil
Dr. Adriana Bianchi, World Bank Institute
Ms. Paula Caldwell St-Onge, Canada
Mr. Mihail Dimovski, ECENA/BERCEN
Mr. William Futrell, United States
Mr. Markuu Hietamaki, Finland
Mr. Georges Kremlis,  European Commission
Mr. Jose Luege, Mexico
Mr. Akio Morishima, Japan
Mr. Carlos Manuel Rodriguez, Costa Rica
Mr. Kenneth Ruffing, OECD
Mr. Phyllis Harris (Co-chair),
   United States
Mr. Gerard Wolters (Co-chair), The
   Netherlands

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               These Proceedings, Volume 2, include papers prepared
               by speakers, topic experts, conference participants and
               other interested parties for the Seventh International Con-
               ference on Environmental Compliance and Enforcement,
               April 9-15, 2005 in Marrakech, Morocco.

               Copyright ©2005 by the INECE Secretariat.  No part of
               this  book may be reproduced in any form  or  by any
               means without the prior  permission of the INECE Secre-
               tariat and the author(s)  and attribution to the Seventh
               International Conference on Environmental Compliance
               and Enforcement, 9-15 April, 2005, in Marrakech, Moroc-
               co. 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 governments or
               organizations, or the INECE Secretariat.
Conference Sponsors:

Centre de Developpement des Energies Renouvelables (CDER)
Ceske Svycarsko (National Park Bohemian Switzerland of the Czech Republic) and Appian Group
Ciments du Maroc (CIMAR)
Deutsche Gesellschaft fur Technische Zusammenarbeit (GTZ)
Environment Agency, England and Wales
Environment Canada
European Commission
International Fund for Animal Welfare
Institute for Governance and Sustainable Development
Ministry of Justice, Morocco
Ministry of the Environment, Finland
Ministry of the Territory Planning, Water, and Environment, Morocco
Ministry of VROM, Department of International Environmental Affairs, The Netherlands
Ministry of VROM, Inspectorate of Housing, Spatial Planning and the Environment, The Netherlands
Organisation for Economic Co-operation and Development
Royal Air Maroc
United Nations Environment Programme
United States Department of State
United States Environmental Protection Agency
World Bank Institute

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PREFACE
                                                                 PREFACE
       These   Proceedings  principally
contain reports from the panels and work-
shops of the Seventh International Confer-
ence on Environmental Compliance and
Enforcement, held in Marrakech,  Morocco
from 9-15 April  2005. There are also some
articles submitted by Conference partici-
pants  and other enforcement profession-
als, to add to those presented in the first
volume of Proceedings.
       These reports and papers present
empowering concepts, insights, and expe-
riences, as well as important ideas for
INECE, and are made available to enforce-
ment practitioners throughout the world to
further our  common endeavor. These
materials,  like  the first  volume prepared
prior to the conference,  are also available
through the INECE web site (www.inece.org),
along with the proceedings of the  previous
six INECE Conferences.
       The theme of the INECE Seventh
Conference was MAKING LAW WORK:
ENVIRONMENTAL COMPLIANCE AND
SUSTAINABLE DEVELOPMENT,  which
built upon the premise that the integrity of
our ecosystems, the conservation  and wise
use of our  natural  resources,  and  our
progress toward sustainable development
all require a strong and effective legal sys-
tem, with strong and effective compliance
efforts, including the right mix of  enforce-
ment and compliance assistance.
       INECE's  Seventh  International
Conference brought together enforcement
officials from 63 countries and 124 organi-
zations, representing all  regions of the
world - developed and developing - to
share experiences and make plans to take
environmental  compliance and  enforce-
ment  efforts to the next level. Ultimately,
the success of INECE's Seventh Interna-
tional Conference was in  the strength of
the individual  commitments  pledged in
Marrakech; the durability of the bonds
forged among local, regional, and interna-
tional networks and practitioners; and the
powerful and innovative ideas and projects
spurred at the Conference and beyond. It is
our hope that these and the other results
that emerged become forces for change
and a call  for action  by governments and
nongovernmental organizations  alike to
strengthen the rule of law for sustainable
development, to enforce compliance with
environmental law, and to make law work.
       On behalf of the  Executive Plan-
ning Committee and the Secretariat staff,
we look forward to your continued and pro-
ductive use of INECE's Seventh Interna-
tional Conference materials. Comments
and suggestions should be  sent to the
INECE Secretariat by email at inece@
inece.org, by fax to 1-202-338-1810, or by
mail to 2141 Wisconsin Avenue NW, Suite
D2, Washington, DC, 20007.
                                        THE EDITORS

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IV           SEVENTH INTERNATIONAL CONFERENCE ON LNVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                   TABLE OF CONTENTS
CONTENTS



INECE EXECUTIVE PLANNING COMMITTEE AND SPONSORS

I. REPORTS FROM INTERNATIONAL CONFERENCE	

  PREFACE	
  OPENING KEYNOTE ADDRESS: MINISTER MOHAMED EL YAZGHI, MINISTRY
                             OF TERRITORY PLANNING, WATER, AND
                             THE ENVIRONMENT, MOROCCO	   5

  MARRAKECH STATEMENT: Making Law Work for People, Environment,
                         and Sustainable Development	   7
  DECLARATION DE MARRAKECH: Faire fonctionner le droit pour les
                              populations, I'environnement et le
                              developpement durable	  13

  RECOMMENDATIONS FOR INECE from the 7th INECE Conference on
  Compliance and Enforcement in Marrakech, Morocco	  19

  SUMMARY OF PANEL 1: Relationship between Good Governance and
                      Environmental Compliance and Enforcement	  21
    Presentation by Sir John  Harman 	  29
    Presentation by Pieter van Geel	  31
    Presentation by Kenneth  G. Ruffing	  33
    Presentation by Jonathan A. Allotey	  35

  SUMMARY OF PANEL 2: The Compliance and Enforcement Message	  37

  SUMMARY OF PANEL 3: Enforcement Initiatives: Stories of Success	  43

  SUMMARY OF PANEL 4: Environmental Compliance and
                      Enforcement Indicators:  Measuring Performance,
                      Managing Resources	  51

  SUMMARY OF PANEL 5: Strengthening the Implementation of
                      Multilateral Environmental Agreements	  55

  SUMMARY OF PANEL 7: The Role of International Financial Institutions in
                      Compliance and Enforcement	  61

  WORKSHOP SESSION 1: Exploring Current Environmental Compliance
                       and Enforcement Topics	  65
    Summary of Workshop 1A: Economic Aspects of Compliance
       and Enforcement	  67

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         SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

  Summary of Workshop 1B: Compliance Incentives and other Assistance 	 73
  Summary of Workshop 1C: Ecomessage/lnterpol and the Police	 79
  Summary of Workshop 1D: Compliance and Enforcement Theories and
     Design Principles 	 83
  Summary of Workshop 1E/F: Information Management, Reporting
     Requirements and Self-Monitoring	 87
  Summary of Workshop 1G: Good Governance and the Rule of Law	 91
  Summary of Workshop 1H: Communications Policy and Practice	 97
  Summary of Workshop 11: Citizen Particpation in Environmental Enforcement... 101
WORKSHOP SESSION 2A: Environmental Compliance and Enforcement
                        Indicators: Getting Started	105
  Summary of Workshop 2A1	107
  Summary of Workshop 2A2	113
  Summary of Workshop 2A3/A4	115
WORKSHOP SESSION 2E-2I: Other Current Environmental Compliance
                          and Enforcement Topics	121
  Summary of Workshop 2E: Criminal Law and Environment: Prosecutors,
     Inspectors, Police, and Nongovernmental Organizations	123
  Summary of Workshop 2F: Role of the Courts, Nongovernmental
     Organizations, and the Press: Climate Litigation Case Study 	125
     Summary of Climate Change Cases Worldwide:
        Background paper for Workshop 2F	133
  Summary of Workshop 2G: Compliance With and Enforcement  of
     Multilateral Environmental Agreements	137
  Summary of Workshop 2H: Wildlife Enforcement Network	141
  Summary of Workshop 21: Negotiated Compliance Agreements	145
WORKSHOP SESSION 3: Networking to Improve Enforcement Cooperation ..149
  Summary of Workshop 3A: Water Resource Management
     Governance to Eliminate Poverty	151
  Summary of Workshop 3B: Vessel Pollution	155
  Summary of Workshop 3C: Hazardous Waste at Ports  	157
  Summary of Workshop 3D: Analyzing the Compliance and Enforcement
     Mechanisms of the Montreal Protocol	159
  Summary of Workshop 3E: Enforcement of Emissions Trading Programs	165
  Summary of Workshop 3F: Illegal Logging: Regional Strategies for
     Enforcement Cooperation	167
  Summary of Workshop 3G: Penalties and Other Remedies	173
  Summary of Workshop 3H: Multilateral Environmental Agreements:
     Synergies for Compliance	181

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                                                         TABLE OF CONTENTS
  REGIONAL CONFERENCE
     Regional Conference, Opening Speech by Jo Gerardu	187
     Summary of the INECE Regional Conference for Morocco and North Africa	189

  FIELD VISITS	191

  CONCLUDING REMARKS BY GERARD WOLTERS	193

  CONFERENCE EVALUATION	199

II. ARTICLES
  Raising Industry's Role in the Field of Environmental Compliance
  Assurance: Elements of Reform In Kazakhstan,
  Angela Bularga, Andrey Korchevsky, Aare Sirendi	207

  Using Peer Reviews to Promote Environmental Improvements and
  Good Governance: The Case of the Kyrgyz Republic,
  Angela Bularga and Krzysztof Michalak	215
  Strategy for the Supervision of Carbon Dioxide and
  Nitrogen Oxides Emissions Trading, Theo de Gelder.	221
  The Emergence of Citizen Enforcement in International Organizations,
  David B. Hunter	229
  Designing Mandatory Disclosure to Promote Synergies Between Public and
  Private Enforcement,
  Annette B. Killmer	235
  Measurable Targets for Enforcement Performance,
  Wout Klein	245
  Minimum Criteria for a Professional Environmental Enforcement Process, Part II,
  Wout Klein	251
  Strengthening Implementation of MEAs: The Innovative Aarhus
  Compliance Mechanism,
  Svitlana Kravchenko	255
  The Challenge of the Implementation of the Environmental Acquis
  Communautiare in the New Member States,
  Georges Kremlis and Jan Dusik	263
  Compliance Promotion in the United Kingdom,
  Paul Leinster, Jim Gray, Chris Howes, and Rosie Clark	271
  UNEP Guidelines, Manual, and Pilot Activities on Compliance with
  and Enforcement of Multilateral Environmental Agreements,
  Elizabeth Mrema and Carl Bruch	277
  Argentine Case Study: Using Human Rights as an Enforcement Tool to Ensure
  the Rights to Safe Drinking Water,
  Romina Picolotti	283
  Environmental Enforcement and Compliance and its Role  in  Enhancing
  Competitiveness in Developing Countries,
  Lawrence Pratt and Carolina Mauri	291

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4          SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


  Compliance with the Montreal Protocol,
  K. Madhava Sarma	301

  Fixing a Critical Problem: Used Oil Filters,
  Zohar Shkalim	313
  Using Indicators to Lead Environmental Compliance and Enforcement Programs,
  Michael M. Stahl	315

LIST OF PARTICIPANTS	325

PROJECT MANAGEMENT AND CONFERENCE SUPPORT	355

ACKNOWLEDGEMENTS	357

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                                                                  EL YAZGHI
OPENING KEYNOTE ADDRESS:
MINISTER MOHAMED EL YAZGHI, MINISTRY OF TERRITORY
PLANNING, WATER AND THE ENVIRONMENT, MOROCCO
       Mr. President of INECE, Mr. Wall of
the Marrakech-Tensift Region, Honorable
Members of INECE, Ladies and Gentle-
men,
       It is an  honor for me to address
your prestigious assembly on the occasion
of the 7th conference of your network in
Marrakech. On behalf of the Government of
my country, I  would like  to welcome you
and to tell how proud we  are for your hav-
ing chosen Morocco, the Land of Peace, of
conviviality and of a great civilization. Your
presence  here  in Marrakech today is a
message  of  confidence  and friendship
which we appreciate very much; it is a wel-
comed addition to other events at the inter-
national level  that focus on environmental
protection and on the search for ways and
means to promote the good environmental
cause in the world today.
       Allow  me, ladies and gentlemen, to
mention but two international environmen-
tal events that were hosted by this charm-
ing city, Marrakech: COP7 which was held
from 21 October to 9 November 2001  and
the International Partnership  Forum  on
water and energy which took place here
only a couple of weeks ago. This goes to
say that by choosing this venue for debat-
ing the issue of environmental law compli-
ance and enforcement, INECE strengthens
in a way the environmental vocation of Mar-
rakech and by the same token draws the
attention of the international community to
the fundamental dimension of the environ-
mental agenda, namely the need to comply
and to apply the rule of law.
       Ladies and Gentlemen,
       It is my pleasure to take the oppor-
tunity of  your conference to give you a
broad idea about the environmental legisla-
tive and regulatory situation in my country.
Like most other countries, the Moroccan
legal arsenal  consists of numerous texts
with unequal  legal weight: laws, decrees,
as well as internal administrative circulars
that contain legal stipulations of an environ-
mental nature. Some of these texts are
indeed old but they have the merit of cover-
ing the  environmental field in  its broad
sense: classified sites, water,  forests, cul-
tural monuments,  protected areas, quar-
ries, mining, fuels, etc.
       However, in 2003,  environmental
legislation in my country witnessed a leap
forward with the adoption by parliament of
three law proposals that were entirely ded-
icated to environment: Law 11-03 pertain-
ing to   environmental  protection   and
improvement; it spells out the basic  rules
and general principles  of the national policy
in this area. Then there is Law 12-03 per-
taining to environmental  impact  studies
aimed at subjecting every project that is
likely to harm human health, fauna, soil, cli-
mate, cultural heritage or the environment
in general.
       On another level  and in  parallel
with these  texts, Morocco contributes to
international environmental law, particularly
by participating in major international con-
ferences dedicated to  the environment
(Stockholm, Rio and Johannesburg). It is
worth reminding, in this  regard, that the
Moroccan delegation to the Johannesburg
Conference was presided by  His Majesty
Mohamed VI, which goes to show the great
interest  decision makers of  my country
have for the environmental agenda.  It is
also worth  reminding that my country is
party to around one hundred environmental
conventions and agreements and it is striv-
ing to integrate into its internal law most of
the international principles and commit-
ments.
       But, like most countries,  it must be
admitted  that Morocco encounters serious
difficulties in implementing environmental
regulations. Granted, these difficulties are
not insurmountable; especially since there

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            SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
is a real political will in my country to go for-
ward with sustainable development strate-
gy, natural resource protection and the fight
against pollution.
       Mr. President, Ladies and  Gentle-
men,
       I would like at this stage, as a con-
tribution to your debate, to put before your
honorable assembly, some general ideas
as to why environmental legislation is met
with important obstacles when it comes to
implementation. There are, in my view, four
(4) fundamental explanations for this situa-
tion:
       In the first instance, I find that one
of  the  reasons lies precisely in the very
objective pursued by environmental law in
modern countries, namely the fight against
pollution and the protection of scarce natu-
ral resources, which require a change in
behavior not only of individuals but also of
entire communities. And it is not an easy
task to make people do away with their old
habits  and make  them  internalize  non-
harmful environmental behaviors.
       Then,  I think the conditions under
which  legal and regulatory standards are
established are not alas unrelated to those
standards at the level of implementation. In
fact, when it comes to formulating, examin-
ing or  adopting legal rules, the  legislative
assemblies and decision  makers  do not
take sufficiently into consideration adminis-
trative  and/or  social conditions  for imple-
mentation; hence this oversight is translat-
ed into a gap between what the  text stipu-
lates and the actual use made of it in reali-
ty. This observation is not the exclusive  lot
of developing  countries;  far  from  that,
developed nations face similar difficulties in
this regard as well.
       The third reason lies with the defi-
ciency of implementing tools; this deficien-
cy is particularly due to the multitude of
structures and authorities concerned and to
the difficulty of coordination, for information
sharing and for the means of an  optimal
implementation of environmental  regula-
tions. As a matter of fact, it should be noted
that, if  today the creation of new structures
is  widely justified, the lack of coherence
and cooperation between those structures
constitutes a real source of dysfunction
which is inevitably reflected at the level of
applicability and respect for environmental
regulations.
       Finally,  one  can  never  stress
strongly enough the importance of human
capacity building in the implementation of
those rules. Without the men and women
endowed  with both  legal  and technical
training, the texts cannot impose them-
selves by themselves. And yet we  now
know that the frontiers between the fields of
knowledge and the barriers between  aca-
demic branches reduce the sphere of  legal
teaching significantly. The legal approach
to environmental   issues remains  poorly
developed among the human resources
working directly on environmental prob-
lems. It goes without saying that legal
capacity building  among individuals and
institutions is the best way to secure a high
level of applicability and compliance with
environmental rules and regulations.
       Mr. President, Ladies and Gentle-
men,
       This manifestation was an excel-
lent occasion for  the consolidation of the
cooperation as  regards enforcement and
compliance of the environmental laws in
Maghreb countries. The positive results of
the conference held on this Saturday  fore-
cast  well the  development  of a profitable
partnership as regards environmental law
compliance in this area of North Africa.
       I am convinced that the presenta-
tions which will be made at the various pan-
els and  workshops planned within  the
framework of your conference will enable
the participants to  be updated on the  gen-
eral progress of the movement on environ-
mental law in various countries belonging
to other continents. Your recommendations
and reports are eagerly awaited; they will
be, of course, of  great use for promoting
the practice of good environmental gover-
nance around the world. I wish you full suc-
cess in your deliberations and renew my
thanks for having chosen Morocco for your
7th conference.

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                                                        MARRAKECH STATEMENT   7
MARRAKECH STATEMENT

Making Law Work for People, Environment, and Sustainable Development
Co-Chair and Executive Planning Committee Final Conference Statement
7th INECE International Conference on Compliance and Enforcement
in Marrakech, Morocco
INTRODUCTION

       1. At this 7th International Confer-
ence of the International Network on Envi-
ronmental Compliance and  Enforcement
(INECE) participants from more than sixty
developing  and developed countries from
governments, international, and non-gov-
ernmental organizations gathered in Mar-
rakech, Morocco, to affirm the role of envi-
ronmental compliance and enforcement in
supporting  the rule of law, strengthening
good governance, and securing progress
towards sustainable development.

THE ROLE OF INECE

       2. As the only global  network of
independent experts dedicated to pursuing
the rule  of law, good environmental  gover-
nance, and  sustainable development at all
levels of  governance, local  to  global,
INECE links the environmental compliance
and enforcement efforts of more than 4,000
practitioners -  inspectors,  prosecutors,
regulators,  parliamentarians, judges, and
NGOs - from 120 countries, through train-
ing and capacity building programs,  raising
awareness, and  enhancing  enforcement
cooperation.
       3.   INECE's goals are to  raise
awareness  of  compliance and enforce-
ment, develop networks for enforcement
cooperation, and strengthen capacity to
implement  and  enforce  environmental
requirements. Founded in 1990 by the
environmental agencies of the Netherlands
and the  United States, in partnership with
UNEP, the European Commission, the
World Bank, the OECD and other organiza-
tions, INECE has played a crucial role in
strengthening environmental  compliance
and enforcement around the world.
       4.  At this international meeting,
participants identified new opportunities for
INECE to strengthen environmental com-
pliance and enforcement by closing the
"compliance gap", enhancing capacity, and
implementing the  laws agreed  at  the
national and international level, to promote
human well-being,  ensure a  competitive
and viable economy, conserve and improve
the environment, and help achieve sustain-
able development.

RECOGNIZING ACHIEVEMENTS

       5. Over thfi past 30 years, consid-
erable efforts have ijeen made to improve
management of human' relationships  with
nature. Countries  have created environ-
mental agencies,  negotiated multilateral
agreements, and undertaken new initia-
tives at the  local, national, and internation-
al levels to protect human health, conserve
biodiversity and wildlife, and manage natu-
ral resources. These efforts have involved
leaders in government, parliaments,  and
the judiciary, in international organizations,
businesses, and civil society, and in other
sectors of society.  Environmental officials,
in particular, have often been at the  fore-
front of efforts to promote the rule of law
and good governance.

ACKNOWLEDGING CHALLENGES

       6. These achievements are signifi-
cant. But also acknowledged are the grow-
ing challenges. There is a need to further

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            SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
strengthen our stewardship of the Earth
and  of  all  living  species and  natural
resources, the foundation of  social  and
economic development and the heritage of
our children  and grandchildren, in accor-
dance with the precepts of sustainable
development.  Human  activities  have
changed the Earth's ecosystems  and cli-
mate more in the last 50 years than in any
comparable  period  in  human  history.
According to the  Millennium Ecosystem
Assessment, the most systematic survey of
the state of  the planet, the deteriorating
condition of  the environment will, unless
addressed, compromise efforts to address
poverty,  hunger and health, as well  as other
development objectives established in the
Millennium Development Goals.

IMPLEMENTING THE MILLENNIUM
DEVELOPMENT GOALS AND WSSD

       7.  These  challenges  can  be
addressed. The Millennium Development
Goals and the outcomes of the World Sum-
mit on Sustainable Development can be
implemented, but it will require additional
efforts. Faced with growing environmental
challenges and persistent poverty for bil-
lions, achieving these development goals -
particularly those of integrating "the princi-
ples of sustainable development into coun-
try policies and programmes and reversing
the losses of environmental resources" -
will require  a  significant  commitment to
strengthen governance, the rule of  law, and
compliance.

STRENGTHENING GOVERNANCE AND
THE RULE OF LAW

       8.    Sustainable    development
depends upon  good  governance,  good
governance depends upon the rule of law,
and the rule of law depends upon effective
compliance and enforcement. Good gover-
nance is characterized by institutions that
are open,  participatory, accountable, pre-
dictable, and transparent. The rule of law
supports these characteristics by ensuring
that rules are applied consistently, efficient-
ly, and fairly by independent institutions to
all, including those who govern. Securing
compliance with laws is easier when there
is public participation in their development,
and  they  are founded  on fundamental
social values and norms. Law must also
respect principles of intra- and inter-gener-
ational equity, which call for poverty allevia-
tion,  the protection of  human rights, and
respect for future generations. Yet, even as
the number of instruments and institutions
has increased, most indicators of environ-
mental quality continue to decline. A key
reason is the failure to invest in compliance
and enforcement.

THE BENEFITS OF INVESTING IN
COMPLIANCE AND ENFORCEMENT

       9.  Investing in  compliance and
enforcement benefits the public by secur-
ing a healthier and safer environment for
themselves and their children. It benefits
individuals, firms and others in the regulat-
ed community by ensuring a level playing
field  governed by clear rules applied in a
fair and consistent manner. Economically,
firms meeting or exceeding environmental
standards  regularly build  customer loyalty,
increase efficiency, and enhance their prof-
its. Countries benefit by creating  a pre-
dictable investment climate based  on the
rule  of law thereby promoting  economic
development. And through strengthening
compliance with international obligations,
countries ensure that multilateral environ-
mental agreements are implemented by all
parties through effective domestic action.

STRENGTHENING EFFORTS AT
DOMESTIC AND INTERNATIONAL
LEVELS

       10. The need to strengthen compli-
ance was recognized by heads of state and
government at the 1992 Rio Earth Summit.
Agenda 21, the blueprint for sustainability,
thus directs  countries to collaborate  to
enhance their compliance and enforcement
capacity. At the international level,  coun-
tries must respect their commitments in
multilateral environmental agreements. At
the domestic level, efforts are required at

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                                                          MARRAKECH STATEMENT
all stages of the regulatory cycle - design,
implementation,  enforcement,  evaluation
and feedback - to ensure regulatory sys-
tems are feasible and fair, effective and effi-
cient.

DESIGNING RULES FOR COMPLIANCE

        11.  Laws and  policies must  be
designed with compliance and enforceabil-
ity in mind. For the regulated community to
comply,  it must be aware of the rules, will-
ing to comply, and able to comply. Laws
must therefore be no more complex than
necessary, cost-effective  to comply with,
and consider the social, cultural and psy-
chological profile of the regulated commu-
nity. Rules running counter to cultural prac-
tices or ignoring economic incentives are
likely to  fail. Rules that reward environmen-
tal leadership, build on best practices,  and
ensure a level playing field are  more likely
to succeed in securing compliance.

ENHANCING COMPLIANCE
ASSISTANCE AND INCENTIVES

        12. Well designed rules may still
pose difficulties to those who lack techni-
cal, financial, or administrative capacity.
Securing compliance  therefore calls  for
renewed efforts to raise awareness of the
law, to strengthen compliance  assistance
programs, and to enhance incentives for
compliance. Efforts  at  the national level
must be designed to address the needs of
small- and medium-sized enterprises, and,
at the international level, the  needs of the
least developed and developing countries.
International institutions and donors have a
particular role to play in supporting these
efforts.

ADDRESSING NON-COMPLIANCE

        13. Countries have a responsibility
to protect those  who comply with the law
not merely by assisting those who cannot
comply,  but  by  finding and  sanctioning
those who do  not  comply.  Compliance
assistance and incentives are only effective
if backed by a credible  threat of penalties
and sanctions. By communicating the out-
comes of enforcement actions,  penalties
and sanctions also deter others from break-
ing the rules. Efforts to address  non-com-
pliance should be firm but fair, transparent
and consistent, and  proportionate to the
magnitude of public risks, the seriousness
of the violation,  and the need for deter-
rence.  At  each  stage in the regulatory
process, efforts should be made to evalu-
ate effectiveness and to feed the results
back into activities to enhance the contribu-
tion of key actors in strengthening compli-
ance and enforcement.

THE CONTRIBUTION OF KEY ACTORS
IN STRENGTHENING COMPLIANCE
AND ENFORCEMENT

       14.  Strengthening environmental
compliance  and enforcement   requires
renewed efforts by individuals and institu-
tions  everywhere.  Government  officials,
particularly inspectors, investigators, and
prosecutors, must exercise public authority
in trust for all of their citizens according to
the standards of good governance and with
a view to protecting and improving public
well-being and  conserving the  environ-
ment. Legislators play a key role in creating
legislation that can be effectively enforced
to achieve its goals. The judiciary has a
fundamental  contribution  to   make  in
upholding the rule of law and ensuring that
national and international laws  are  inter-
preted and  applied fairly,  efficiently, and
effectively.
       15. The regulated community and
the public have a responsibility to comply
with the letter and spirit of the law and to
encourage compliance by others. Non-gov-
ernmental organizations play a leading role
in public education and assisting enforce-
ment agencies. The media has a responsi-
bility to raise public awareness by providing
objective analysis and information about
environmental challenges and  efforts to
address them. The international communi-
ty,  including  donors  and  international
organizations, has  a  responsibility  to
strengthen domestic efforts through capac-
ity building, technical and financial support,

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10
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
and by promoting an enabling environment
for more effective compliance and enforce-
ment.

A PROGRAM OF ACTION

       16. The Co-Chairs and Executive
Planning Committee of this  International
Conference call on regulators, legislators,
courts, networks,  negotiators,  tribunals,
development banks, the media, business-
es,  industry certifiers, lawyers, scientists,
engineers,  financial experts, NGOs, and
individuals working at all levels - local,
national, regional, and international -to:
        a. Recognize the imperiled state of
the  environment and the need to build
capacity to establish and strengthen the
rule of law, good governance, and ecologi-
cally sustainable development in order to
conserve  natural  resources  and  ensure
human health,  ecosystem  integrity, and
economic development.
        b. Urge the international communi-
ty and policymakers  in  each and every
country to acknowledge the importance of
compliance and enforcement with environ-
mental laws  at all levels  as critical  to
achieving  rule of law, good  governance,
and ecologically sustainable development.
        c. Affirm the importance of provid-
ing  capacity building  to those countries,
firms, and  individuals that  lack the capacity
to comply, and of identifying cases of non-
compliance and enforcing appropriate and
equitable sanctions to punish those that
violate environmental laws and to deter
others.
        d. Improve the ability of environ-
mental agencies to  gather  and analyze
information to develop effective and effi-
cient environmental regulatory programs.

STRENGTHENING THE
CONTRIBUTION OF INECE

       17. INECE  has  a crucial  role in
advancing these objectives and improving
the institutional capacity of, and coordina-
tion  among, major actors in the  field of
environmental governance. INECE is pur-
suing these goals through a  diverse array
                             of activities including, for example, through
                             developing accepted performance  meas-
                             ures. To help public agencies strengthen
                             their management and improve their effec-
                             tiveness and efficiency, INECE is develop-
                             ing indicators that measure environmental
                             compliance and enforcement. INECE offers
                             teaching,  training  and  capacity building
                             courses, and maintains extensive internet
                             resources, such as interactive forums, digi-
                             tal libraries, and searchable databases.
                             Through international conferences, INECE
                             presents practitioners world-wide with the
                             opportunity to acquire the  knowledge and
                             build the long-term relationships needed to
                             tackle the challenges  of environmental
                             compliance and enforcement. To strength-
                             en these efforts and to deepen the  contri-
                             bution of INECE to its members, govern-
                             ments, and the public the Co-Chairs and
                             Executive Planning Committee of INECE:
                                     a. Call upon all INECE practition-
                             ers to share information  and practices,
                             through INECE and other channels,  to pro-
                             mote compliance  and  enforcement  that
                             ensures that environmental regimes are
                             effective and efficient.
                                     b. Encourage INECE to continue
                             expanding its training and capacity building
                             initiatives, and  to  strengthen its partner-
                             ships  with  international,  regional,  and
                             national organizations, as well  as  NGOs
                             and academic institutions, with  a view to
                             pooling  their   respective  comparative
                             advantages, avoiding duplication, and opti-
                             mizing the use of available resources.
                                     c. Reaffirm INECE's commitment
                             to strengthen  and  develop  regional  net-
                             works, especially  in Latin America, Asia,
                             Eastern Europe, Caucasus and Central
                             Asia, and Africa, including a new network
                             for North Africa.
                                      d. Recognize the important role
                             non-governmental organizations can  play
                             in enforcement and compliance, as inde-
                             pendent actors and as supporters to gov-
                             ernment  enforcement  and  compliance
                             efforts, and call on INECE to support their
                             creation and contribution to compliance
                             and enforcement.
                                      e. Encourage INECE to continue
                             its efforts to collaborate with national part-

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                                                        MARRAKECH STATEMENT   11
ners,  academic  institutions,  international
organizations and other  partners in the
research community to develop and help
implement  a multidisciplinary  research
agenda that supports the INECE mission.
        f. Call upon INECE to continue to
develop and  pilot  INECE Environmental
Compliance and Enforcement Indicators, in
cooperation with regional networks, with a
view to improving performance, public poli-
cy decisions, and environmental gover-
nance globally, as well as the  quality of the
environment.
        g. Call on INECE to strengthen its
work in collaboration with other partners to
enhance the capacity of parliamentarians
in the field of international law and institu-
tions for sustainable development.
        h.  Call  on INECE to encourage
networks of judges for the environment and
to organize a forum  where different net-
works can meet and exchange views.
        i. Call on INECE to work with part-
ner organizations to collect success sto-
ries, case law, and other practical exam-
ples of the application of the principles set
out in the 1992 Rio Declaration on Environ-
ment and Development, in accordance with
the INECE strategic plan's objective of ana-
lyzing "key regional and international devel-
opments of  relevance  to the work  of
INECE".
        j. Call on INECE  to promote best
practice on citizen involvement and funda-
mental citizen rights, such as  access to
information,   public  participation,  and
access to justice.
        k.  Call  on INECE to develop a
wildlife enforcement and compliance net-
work,  inviting the participation of national
and international enforcement  agencies,
institutions  and  specific  networks  (e.g.
INTERPOL Working  Group on  Wildlife
Crime  and the   Lusaka Agreement  Task
Force), as well as NGOs with expertise in
enforcement and compliance and other rel-
evant partners.
        I. Commit INECE to build upon its
accomplishments  including  its  confer-
ences, publications, training courses, and
website, and to develop new products and
services to support a growing network of
experts  working  on  compliance  and
enforcement world-wide.

CONCLUSION

       18. The Conference's  Co-Chairs
and  the  Executive  Planning  Committee
gratefully acknowledge the assistance and
support of the Moroccan government and
express our deep gratitude for the gener-
ous hospitality provided. We also thank our
sponsors and partner organizations, includ-
ing  the  US Environmental  Protection
Agency, the Ministry  of Housing, Spatial
Planning and the Environment  in  The
Netherlands, the US Department of State,
the Finnish Ministry of the Environment, the
European Commission, the Environment
Agency of England and Wales, the World
Bank, the OECD, Environment Canada,
and the International Fund for Animal Wel-
fare, as well as the embassies of the  Unit-
ed States and The Netherlands.
       19. The challenge of our  genera-
tion is to  change the attitudes and actions
of individuals, organizations and the regu-
lated community and to modernize our reg-
ulatory systems  to  ensure  sustainable
development for the generations to come.
History will judge us harshly if we fail to fos-
ter a stronger sense of responsibility for the
Earth.
       20. Key to meeting this challenge
is building fair and sustainable societies
based on the rule of law and principles of
good governance. This is a task that many
- including INECE and its partners -  have
taken up. As we confront this challenge, we
urge new partners to join us in developing
and implementing a program of action to
strengthen compliance  and enforcement,
and to  advance the broader effort of con-
verting  common principles and shared val-
ues into the  meaningful action required to
create a better and more sustainable future
for all of the world's people.

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12          SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                    DECLARATION DE MARRAKECH    13
DECLARATION DE MARRAKECH

Fa/re fonctionner le droit pour les populations, I'environnement
et le developpement durable

Declaration finale du co-president et du comite executif de planification
7ieme conference Internationale sur la conformite et I'application de la loi en
environnement tenue a Marrakech
INTRODUCTION

       1. A cette 7ieme conference du
Reseau international sur la conformite et
I'application de la loi en environnement
(INECE)  tenue a  Marrakech, les partici-
pants d'organismes  internationaux,  gou-
vernementaux  et non gouvernementaux,
provenant   de plus  de soixante  pays
developpes et en  developpement, se sont
reunis a  Marrakech au Maroc pour  con-
firmer le role de la conformite et de I'appli-
cation  de la loi, le maintien  de la regie de
droit,  renforcer la bonne gouvernance et
garantir  notre   progression   vers  le
developpement durable.

LE ROLE DE INECE

       2. En qualite de seul reseau global
d'experts independants dedies au respect
de la  regie  de droit, de la bonne gouver-
nance environnementale et au developpe-
ment durable a tous les niveaux de gouver-
nance, INECE integre les efforts de confor-
mite et d'application de plus de 4000 prati-
ciens (inspecteurs, avocats de la poursuite,
legislateurs, parlementaires,  juges, les
ONGs ) de 120 pays, par des programmes
de  formation   et  d'accroissement  des
capacites, la sensibilisation et  la coopera-
tion en matiere d'application de la loi.
       3. Les objectifs de INECE sont de
promouvoir la conformite et I'application de
la loi, de developper des reseaux pour la
cooperation en matiere d'application de la
loi, et, d'accroTtre la capacite  de mise en
oeuvre des exigences environnementales
et d'en assurer le  respect. Fonde en  1990
par le biais des agences environnemen-
tales des Pays Bas et des Etats-Unis, en
collabaration avec le PNUE, la Commis-
sion europeenne,  la  banque  mondiale,
I'OCDE et d'autres organisations, INECE a
joue un role determinant dans le renforce-
ment de la conformite environnementale au
niveau mondial.
       4. A  cette conference  Interna-
tionale, les participants ont identifie une
occasion pour que INECE renforce la con-
formite environnementale et I'application
de la loi en  eliminant les failles ou lacunes
a la conformite, en ameliorant les capacites
et en mettant en ceuvre les outils legislatifs
qui ont ete etablis aux niveaux nationaux et
internationaux, en promouvant le mieux
etre des  humains,   en   assurant  une
economie competitive et viable, en conser-
vant et en ameliorant I'environnement et
facilitant I'avancement du developpement
durable.

RECONNAITRE LES
ACCOMPLISSEMENTS

       5. Au  cours  des 30  dernieres
annees, des efforts considerables ont ete
realises afin d'ameliorer la relation entre les
humains et la  nature.  Plusieurs pays ont
cree des agences de protection de I'envi-
ronnement, negocie  des accords  multi-
lateraux et entrepris de nouvelles initiatives
aux niveaux local, national et international
afin de proteger la sante humaine, conserv-
er la biodiversite et la faune et gerer les
ressources naturelles. Ces efforts  ont
impliques les dirigeants de ces pays, leurs
Parlements, les tribunaux, les organismes
internationaux,  les entreprises privees et la
societe civile. Les officiers d'application de

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14
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
la loi ont souvent ete au centre des efforts
de promotion de la regie de droit et de la
bonne gouvernance.

RECONNAITRE LES DEFIS

       6.  Les realisations sont significa-
tives.  Nous  reconnaissons toutefois  les
defis grandissants,  un centre desquels
apparaTt le besoin de renforcer notre bonne
gerance de la Terre, des especes vivantes
et les ressources naturelles, les fondations
de notre developpement  economique et
social ainsi que ('heritage de nos enfants et
petits enfants. Les activites humaines des
dernieres 50 annees ont change I'ecosys-
teme de la terre et le climat plus que toute
autre periode comparable dans I'histoire de
I'humanite. Selon revaluation de I'ecosys-
teme du millenaire (Millenium Ecosystem
Assessment) - evaluation la plus systema-
tique de I'etat de la planete, la deterioration
de  I'environnement  compromettra  les
efforts investis pour favoriser la sante et lut-
ter centre  la  pauvrete et la faim, ainsi que
d'autres objectifs etablis dans les objectifs
de developpement du  Millenaire.

LA MISE EN CEUVRE DES OBJECTIFS
DE DEVELOPPEMENT DU MILLENAIRE
ET DU SOMMET MONDIAL SUR LE
DEVELOPPEMENT DURABLE

       7.  Nous pouvons attaquer ces
defis. Les objectifs de developpement du
millenaire  et les conclusions du Sommet
Mondial sur le developpement durable peu-
vent etre  mi en oeuvre mais des efforts
additionnels seront requis.  Face a ces defis
environnementaux grandissants et la pau-
vrete persistante pour des milliards d'hu-
mains, la  realisation  de ces objectifs de
developpement - particulierement ceux qui
integrent les principes du developpement
durable dans les politiques nationales et
les programmes ainsi que  le renversement
des  pertes  de ressources  naturelles -
necessitera  un  engagement significatif
pour le renforcement de la gouvernance,
de la regie de droit et de la conformite aux
lois.
                             RENFORCEMENT DE LA
                             GOUVERNANCE ET DE LA
                             RELOGE DE DROIT

                                    8.   Le  developpement durable
                             repose sur la bonne gouvernance, laquelle
                             depend de la regie de droit qui implique la
                             conformite  et  ('application  des lois. La
                             bonne  gouvernance est caracterisee par
                             des  institutions ouvertes, participatives,
                             responsables, previsibles et transparentes.
                             La regie de droit soutient ces caracteris-
                             tiques en veillant a ce que les regies soient
                             appliquees de maniere coherente, efficace
                             et juste par des institutions impartiales de
                             tous, incluant ceux qui gouvernent. Garan-
                             tir la conformite aux lois est plus facile
                             lorsqu'il y a  participation du  public au
                             developpement des lois et lorsque celles-ci
                             sont fondees  sur des valeurs fondamen-
                             tales sociales et des normes. Le droit doit
                             egalement respecter les principes d'equite
                             intra et inter generationnelle, qui exigent
                             I'elimination de la pauvrete, le respect des
                             droits de la personne et le respect des
                             generations futures. En depit de I'augmen-
                             tation des instruments  juridiques et des
                             institutions, la plupart des indicateurs ejwi-
                             ronnementaux  ont declines.  L'une  des
                             raisons cles pour cet echec est le defaut
                             d'investir suffisamment dans la conformite
                             et I'application des lois environnementales.

                             LES BENEFICES D'INVESTIR
                             EN CONFORMITE ET EN
                             APPLICATION DE LA LOI

                                    9.  Les  investissements dans  la
                             conformite et  I'application de la loi benefi-
                             cient au public en garantissant un environ-
                             nement plus secure et plus sain pour tous
                             et  les  generations   suivantes.   Ces
                             investissements beneficient aux commu-
                             nautes reglementees en garantissant des
                             conditions   reglementaires   claires  et
                             appliquees egalement  a tous de facon
                             coherente et equitable.  Economiquement,
                             les firmes qui respectent les normes envi-
                             ronnementales developpent la loyaute de
                             leur  clientele  et seront plus efficientes, et
                             verront une augmentation de leurs profits.
                             Cela profile aux pays en assurant que les

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                                                   DECLARATION DE MARRAKECH   15
ententes multilaterales  sont mises  en
vigueur par toutes les parties via leurs
actions nationales.

ACCROISSEMENTS DES EFFORTS
INTERNATIONAL^ ET DOMESTIQUES

       10.  Le besoin d'accroTtre la confor-
mite a ete reconnu par les chefs d'etats et
les gouvernements au Sommet de la Terre
a Rio en 1992. Le Plan d'action pour le
developpement  durable  (agenda  21)
enjoint les pays a ameliorer la conformite et
la capacite en  application de  la loi.  Au
niveau  international,  les  pays  doivent
respecter leurs engagements en vertu des
ententes multilaterales environnementales.
Au plan domestique, des efforts sont requis
a toutes les etapes du cycle reglementaire
- conception, mise en ouvre, application,
evaluation et retroaction - afin d'assurer
que  les  systemes reglementaires sont
applicables, equitables, efficaces et effi-
cients.

CONCEPTION DES REG LES
DE CONFORMITE

       11. Les lois et les politiques doivent
ete concues en ayant a I'esprit les objectifs
de conformite et d'applicabilite. Afin d'etre
conforme,  la communaute  reglementee
doit connaTtre les regies, les accepter et
etre en mesure  de se conformer. Les lois
ne doivent pas etre plus complexe que
necessaire, etre economiquement realis-
ables et considerer les profils sociaux, cul-
turels et psychologiques de la communaute
reglementee.  Les regies contraires aux
pratiques culturelles et economiques sont
vouees a I'echec. Les regies qui recom-
pensent les chefs de file environnemen-
taux, elaborees sur les meilleurs pratiques,
et assurent des chances egales pour tous,
ont  plus de chance de succes  et pour
garantir la conformite.

AMELIORER LE SUPPORT A LA CON-
FORMITE ET LES INCITATIFS

       12.  Les  regies bien concues peu-
vent tout de meme creer des difficultes
pour ceux qui ne possedent pas les capac-
ites techniques, financieres ou administra-
tives necessaires. Garantir la conformite
exige des efforts repetes pour augmenter
la connaissance des exigences legales,
pour renforcer les programmes d'assis-
tance, et pour ameliorer les incitatifs a la
conformite.  Les efforts au niveau national
doivent etre congus afin de rencontrer les
besoins des petites et moyennes entrepris-
es et, au niveau  international les besoins
des pays en voie de developpement. Les
institutions  internationales et les  pour-
voyeurs de  fonds ont un role particulier a
jouer pour soutenir ces efforts.

REPONDRE A LA NON-CONFORMITE

       13.  Les pays ont la responsabilite
de proteger ceux qui se conferment a la loi
pas seulement en aidant ceux qui ne peu-
vent se conformer, mais en identifiant et en
sanctionnant ceux qui ne  sont pas con-
formes.  Les incitatifs et I'assistance a la
conformite   sont  efficaces   seulement
lorsque supportes par une possibilite  credi-
ble de sanction. Les penalites et les  sanc-
tions ont egalement un effet dissuasif sur
d'autres  reglements  et soutiennent une
competition  economique  equitable. Les
efforts  en reponse a  la non conformite
devraient etre fermes mais  equitables,
transparent^, coherents et proportionnels
aux risques, au serieu de I'infraction et au
besoin de dissuasion. A chaque etape du
processus  reglementaire,  des  efforts
devraient etre fails pour evaluer I'efficacite
et mieux orienter les efforts afin d'ameliorer
la contribution des intervenants principaux
dans ('amelioration de la conformite  et de
I'application.

LA CONTRIBUTION DES
INTERVENANTS A L'AMELIORATION
DE LA CONFORMITE ET DE
L'APPLICATION

       14.  L'amelioration de la conformite
et de  I'application  requiert  des efforts
renouvelles par tous les individus et les
institutions.  Les fonctionnaires  doivent
exercer  leur autorite au nom de tous les

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16
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
citoyens en accord avec  les normes de
bonne gouvernance et dans une perspec-
tive de protection du bien etre public et de
conservation de  I'environnement. Les leg-
islateurs jouent un role clef en creant des
lois qui  peuvent etre appliquees efficace-
ment  pour atteindre ces objectifs. Les tri-
bunaux ont un role fondamental  a jouer
pour maintenir la regie de droit et  faire en
sorte  que les lois nationales  et  Interna-
tionales sont interpretees  d'une maniere
juste,  efficiente et efficace.
        15. La communaute reglementee
et le public ont la responsabilite de se con-
former a la lettre et a I'esprit de  la loi et
d'encourager la conformite a la loi par tous.
Les medias ont la responsabilite de sensi-
biliser en fournissant des analyses objec-
tives et  de I'information sur les defis envi-
ronnementaux ainsi que les efforts  consen-
tis pour y faire face. La communaute inter-
nationale, incluant les bailleurs de fonds et
les  organisations  internationales,  ont  la
responsabilite de renforcer  les  efforts
nationaux par un support technique et fin-
ancier et de promouvoir un contexte favor-
able a une conformite et une application de
la loi plus efficace.

UN PROGRAMME D'ACTION

        16. Les co-presidents et le comite
executif  de planification  de  cette con-
ference internationnale enjoignent  les indi-
vidus, les ONG's, les medias, les entrepris-
es privees,  les organismes de certification,
les   avocats,   les   scientifiques,   les
ingenieurs,  les experts financiers, les legis-
lateurs,  les tribunaux, les negociateurs, et
les banques de developpement de tous les
niveaux, - local,  national, regional et inter-
national - de:
a) ReconnaTtre   les perils qui  menacent
  I'environnement et le besoin d'etablir et
  de  renforcer la regie de droit, la bonne
  gouvernance,  le developpement durable
  afin  de  conserver  les  ressources
  naturelles et d'assurer la sante humaine,
   I'integrite  des   ecosystemes  et  le
  developpement economique ;
b) Presser la communaute Internationale et
                                les  concepteurs  de  politique  dans
                                chaque pays  de  reconnaTtre  I'impor-
                                tance de la conformite et de I'application
                                des  lois environnementales a  tous  les
                                niveaux critiques afin de respecter la
                                regie de droit, la bonne gouvernance et
                                le developpement durable;
                              c) Valoriser I'importance de fournir de la
                                formation aux pays, compagnies, et indi-
                                vidus qui  n'ont pas la capacite de se
                                conformer, et d'identifier la  non confor-
                                mite et d'appliquer des sanctions appro-
                                priees et equitables pour punir ceux  qui
                                sciemment  violent les  lois  environ-
                                nementales et dissuader les autres;
                              d) Ameliorer la  capacite des agences envi-
                                ronnementales de recueillir et  analyser
                                les informations afin de developper des
                                regimes reglementaires efficaces et effi-
                                cients.

                              LE ROLE DETERMINANT DE INECE

                                     17. Le reseau  INECE a  un role
                              determinant pour que progresse ces objec-
                              tifs, pour ameliorer la capacite institution-
                              nelle, et coordonner, les intervenants prin-
                              cipaux  dans le domaine de la gouvernance
                              environnementale.  INECE poursuit ces
                              objectifs  grace a  des  activites  diverses
                              pour aider les agences publiques a renfor-
                              cir leur gestion et ameliorer leur efficacite et
                              leur efficience,  INECE developpe des indi-
                              cateurs qui mesurent la conformite et Tap-
                              plication  de  normes environnementales.
                              INECE offre des cours de formation, de
                              I'enseignement et de renforcement  de la
                              capacite  et tient a  jour via Internet des
                              forums de discussions interactifs, des bib-
                              liotheques virtuelles et des bases de don-
                              nees. Par des conferences internationales,
                              INECE offre aux praticiens du monde entier
                              I'opportunite  d'acquerir la connaissance et
                              d'etablir des  relations a long terme requis-
                              es pour faire face aux defis de la confor-
                              mite et de la application des lois environ-
                              nementales.  Pour accroTtre ces efforts et
                              augmenter la contribution de INECE a ses
                              membres, aux gouvernements et au public,
                              les co-presidents et le comite executif de
                              planification:

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                                                     DECLARATION DE MARRAKECH   17
a) Enjoignent tous les praticiens de INECE
   de partager les informations et les pra-
   tiques via INECE et autrement, de pro-
   mouvoir la conformite et ('application qui
   garantissent que les regimes environ-
   nementaux sont efficaces et efficients;
b) Encourage INECE a continuer d'etendre
   ses  initiatives  de renforcement de la
   capacite,  de renforcir ses partenariats
   avec les  organisations internationales
   regionales et nationales  ainsi qu'avec
   les ONG,  les institutions  academiques,
   en vue   de profiler  des avantages
   respectifs de chacun, eviter la duplica-
   tion   et   optimiser   ('utilisation  des
   ressources disponibles;
c) Reaffirme I'engagement  de  INECE  de
   renforcer  et developper  des reseaux
   regionaux, specialement en  Amerique
   latine, en Asie, en Europe de I'Est, dans
   les Caucase et dans I'Asie centrale,  en
   Afrique incluant un nouveau reseau  en
   Afrique du Nord;
d) ReconnaTt le role  important que les
   organisations  intergouvernementales
   peuvent jouer en  matiere de conformite
   et  d'application  comme  intervenant
   independant et en support des efforts
   gouvernementaux dans ce domains, et
   enjoint INECE de supporter leur creation
   et leur apport a  la conformite et a I'appli-
   cation;
e) Encourage INGE a continuer ses efforts
   de cooperation avec  les  partenaires
   nationaux, les institutions  academiques,
   les  organisations  internationales  et
   d'autres  partenaires dans la commu-
   naute de  la recherche pour developper
   et supporter la mise en place d'un agen-
   da de recherche multidisciplinaire qui
   supporte la mission de INECE;
f) Enjoint   INECE   de   continuer  le
  developpement et de diriger le  projet
  d'indicateur de performance, en coopera-
  tion avec les reseaux regionaux dans la
  perspective d'ameliorer la performance,
  la prise de decision en  matiere de poli-
  tique,  et la gouvernance environnemen-
  tale globale, ainsi que la qualite de I'envi-
  ronnement;
g) Enjoint INECE de renforcer son travail
   en collaboration  avec d'autres parte-
   naires pour accroTtre  la capacite des
   parlementaires dans le domaine du droit
   international et des institutions pour le
   developpement durable;
h) Enjoint INECE d'encourager les reseaux
   de juges pour I'environnement et d'or-
   ganiser  un forum ou les  differents
   reseaux  peuvent  se  rencontrer   et
   echanger;
i)  Enjoint INECE  de travailler avec  le
   PNUE,  UICN,  CEL, et d'autres institu-
   tions pour recueillir des cas de reussites
   remarquables,  de la jurisprudence et des
   exemples concrets d'application de con-
   cepts environnementaux clefs tels que le
   principe de prevention, le principe de
   precaution, le  principe  du  pollueur
   payeur,   selon  Pobjectif   du  plan
   strategique de  INECE d'analyser les ele-
   ments clefs regionaux et internationaux
   pertinents au travail de INECE;
j)  Enjoint  INECE  de  promouvoir  les
   meilleures pratiques pour ('implication du
   public et  les droits fondamentaux du
   public tels que I'acces a I information, la
   participation du public et I'acces a la jus-
   tice;
k) Enjoint INECE de developper un reseau
   d'application de la loi en  matiere fau-
   nique et d'inviter les differentes agences
   d'application de la loi nationales et inter-
   nationales, les institutions et les reseaux
   specialises (e.g. Interpol, Working Group
   on Wildlife Crime et le Ousaka Agree-
   ment  Task Force), tous les ONG qui ont
   une expertise ainsi que les autres parte-
   naires concernes;
I)  Engage INECE a batir sur ses realisa-
   tions incluant ses conferences, publica-
   tions,  formation, cours et son site Web,
   ainsi qu'a developper de nouveaux pro-
   duits  et services pour supporter  un
   reseau grandissant d'experts travaillant
   en matiere de conformite et d'application
   de la loi.

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18
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
CONCLUSION

       18. Les copresidents et le comite
executif de planification sont reconnaissant
de I'apport significatif du  gouvernement
marocain et expriment leur grande grati-
tude pour la genereuse hospitalite demon-
tree. Nous remercions nos commanditaires
ainsi que nos organismes partenaires pour
leur support, notamment la USEPA (United
States    Environnemental   Protection
Agency), le Ministere de I'habitation, de
ramenagement et de I'environnement des
Pays Bas,  le Departement d'Etat ameri-
cain, le Ministere finlandais de I'environ-
nement, la Commission europeenne, I'A-
gence environnementale d'Angleterre et du
Pays de  Galles, la Banque  mondiale,
I'OCDE,  Environnement  Canada  et  le
Fonds international pour le bien-etre des
animaux, ainsi  que  les ambassades des
Etats-Unis et des Pays Bas.
       19. Le defi de notre generation est
de changer les attitudes et les cornporte-
ments des individus, des  organisations,
des  communautes  reglementees,  pour
                             assurer un developpernent durable  pour
                             les prochaines generations. L'un des  defis
                             est de moderniser nos regimes reglemen-
                             taires  afin  de rencontrer les  besoins
                             changeants  de notre societe. L'histoire
                             nous jugera severement si nous echouons
                             dans la promotion de notre responsabilite
                             pour la terre.
                                    20. Un element clefs dans la  reali-
                             sation de  ce defi  est de developper des
                             societes equitables et durables basees sur
                             le respect de  la regie  de  droit et les
                             principes  de bonne  gouvernance.  C'est
                             une tache que plusieurs - incluant INECE
                             et ses partenaires ont prise en charge. En
                             addressant ce defi, nous pressons les nou-
                             veaux partenaires de joindre nos rangs en
                             developpant et mettant en oeuvre un pro-
                             gramme d'action pour renforcer la confor-
                             mite et I'application et de transformer  dans
                             un  effort  global les  principes communs
                             ainsi que  les valeurs  partagees dans des
                             actions significatives  requises pour  creer
                             un futur plus durable pour tous les  citoyens
                             de la terre.

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                                                  RECOMMENDATIONS FOR INECE   19
RECOMMENDATIONS FOR INECE

from the 7th INECE Conference on Compliance and
Enforcement in Marrakech, Morocco

Conference participants spent a week in Marrakech discussing ways to promote the
rule of law, good governance, and sustainable development by focusing on the three
INECE goals of:
(1)  raising awareness of the importance of environmental compliance and enforcement;
(2)  strengthening capacity to implement and enforce environmental requirements; and
(3)  developing networks for enforcement cooperation.
       In a variety of instructive panels,
interactive workshops, and animated dis-
cussions - all described in more detail in
this volume of conference Proceedings -
conference participants  strongly  encour-
aged INECE to take specific actions in fur-
therance  of  these   goals.   Participants
specifically urged INECE to play a leading
role in further developing a strategy  to
demonstrate that environmental  compli-
ance and enforcement can help to promote
good governance, the rule of law, and sus-
tainable development.
       Participants suggested that INECE
continue  developing  useful  tools  for
enforcement and compliance, placing par-
ticular  emphasis on  INECE's  efforts  to
assist countries in the process of identify-
ing, developing, and using Environmental
Compliance  and  Enforcement (ECE)
indicators. Participants indicated strong
support for INECE's ECE indicator project,
recommending  specific  actions such as
developing trainings, compiling a library of
examples of basic indicators used by differ-
ent countries, building a Community  of
Practice among ECE programs conducting
indicators projects in order to compile
accomplishments and  lessons learned, and
working with regional  networks to promote
the use of ECE indicators. Participants also
suggested that INECE explore opportuni-
ties to use ECE indicators as a tool to com-
municate information  on and  results from
ECE activities to diverse audiences - rang-
ing from parliamentarians to financial insti-
tutions to field officers to the public - in a
clear and concise manner.
       Participants  also   pushed   for
INECE to further its efforts on a variety of
specific issues. Participants recommended
that INECE raise awareness of the impor-
tance of compliance and enforcement in
emissions trading schemes, serve as a
resource for exchanging information and
data between environmental compliance
and enforcement experts on emission trad-
ing activities in different countries, develop
a simple document on elements of emis-
sions trading systems, and develop a work-
shop in  the near future for practitioners.
Participants urged INECE to identify ports
in countries or regions that are probably the
most  sensitive  targets  for  illegal ship-
ments of hazardous waste, identify spe-
cific waste streams that represent the most
severe risks, and recommend focal points
in each of the relevant interested countries.
Participants encouraged INECE to hold a
regional or international meeting of experts
on forest sector enforcement to address
the issue of illegal logging and to promote
national and local  enforcement capacity
building. And participants asked INECE to
work to build capacity for good governance
practices to assist countries in meeting
their water resource management obliga-
tions.
       Conference participants  further
suggested a continued  focus on building
the capacity of certain groups and profes-
sions, such as the judiciary and its need

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20
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
for better information on penalty calculation
and  other  remedies.  Participants  urged
INECE to provide training for regulators,
investigators, prosecutors, and judges to
perform  their   environmental   criminal
enforcement duties.  Participants also sug-
gested that INECE promote and facilitate
the international exchange of information to
develop and strengthen national  programs
for determining penalties and developing
methodologies;  aid in the dissemination of
information regarding the importance of
appropriate  penalties and enforcement;
promote mechanisms to share information
among  judges  to  develop  specialized
expertise; consider the creation of an inter-
national award for judicial excellence; seek
harmonized  approaches in penalties  and
remedies, particularly for transboundary
crimes; create guidelines on how to calcu-
                             late  harm and  demonstrate the harm  to
                             judges; and present judges and prosecu-
                             tors with best practices and real examples
                             of how legislation can be implemented.
                                     Sincere thanks goes to all confer-
                             ence participants for their valuable input.
                             The recommendations from the Marrakech
                             Conference, which the Executive Planning
                             Committee will be evaluating to determine
                             priorities and to assess relevance to the
                             INECE goals, are part of the process  of
                             revising the INECE Strategic Implementa-
                             tion  Plan for its next three-year cycle. As
                             demand for INECE assistance continues to
                             grow,  these  recommendations  from the
                             conference  participants,  and  the many
                             other  recommendations  and ideas  con-
                             tained in the reports in this volume, provide
                             important  guidance and  inspiration  to
                             INECE.

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                                                        SUMMARY OF PANEL 1    21
SUMMARY OF PANEL 1: RELATIONSHIP BETWEEN
GOOD GOVERNANCE AND ENVIRONMENTAL
COMPLIANCE AND ENFORCEMENT

Moderator:    Sir John Harman, Chairman, Environment Agency (England & Wales)

Panelists:     Jonathan Allotey, Executive Director, Environmental Protection
             Agency, Ghana
             Ladislav Miko, Deputy Minister of the Environment, Czech Republic
             Kenneth Ruffing, Deputy Environment Director, Organisation for
             Economic Co-operation and Development (OECD)
             Pieter van Geel, State Secretary for the Environment, The Netherlands

Rapporteurs:  Sandy Rowden, Environment Agency (England & Wales)
             Terence Shears, Environment Agency (England & Wales)
1 INTRODUCTION

       The panel demonstrated how com-
pliance  and  enforcement are  building
blocks for the rule of law and good gover-
nance and,  ultimately,  for sustainable
development, and emphasized the need for
improving communication between law-
makers and enforcement  practitioners to
ensure better legislation. The panelists
explored the roles of civil society, environ-
mental ministries, parliamentarians, judges,
and the press in environmental compliance
and enforcement and ways to confront cor-
ruption and ensure transparency.

2 PRESENTATIONS

2.1     Presentation by Sir John Harman
       Sir John Harman opened the panel
by saying that  he hoped the panel would be
able to identify why  good governance was
important for compliance and enforcement
(and vice versa) and why it was essential to
have  good cooperation  between imple-
menting authorities.  Regulators are certain-
ly accountable to ministers but also to reg-
ulated businesses and individuals. Where
there is a clash of accountabilities, there is
a question over which is the most impor-
tant: in other  words,  there is a question
over whether compliance and enforcement
standards should be left to politicians.
       Society demands high environ-
mental standards. There is a pressing need
to tackle  a legacy of harm to the environ-
ment on a global scale, but protection, con-
servation, and  good governance can only
take place within a framework of good gov-
ernance and respect for the rule of law.
       Businesses can compete on equal
terms Where regulations are enforced fairly.
Effective  environmental compliance, com-
pliance   assurance,   and  enforcement,
where necessary, are key tools for deliver-
ing good  governance. However, if govern-
ments and regulators expect companies to
respect the law and accept increasing reg-
ulatory standards, they should also recog-
nize that regulators are accountable to the
public and to the regulated community, as
well as to ministers, for aspects of their reg-
ulatory practice.
       Despite the global differences in
legal frameworks and administrative sys-
tems,  there is  general agreement on the
concept of good governance. Good envi-
ronmental regulation is central to good gov-
ernance, while regulatory regimes can also
give  incentives for good governance in
businesses. Compliance and enforcement
are powerful tools that underpin good gov-
ernance.

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22
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
2.2    Presentation by Secretary
       Pieter van Geel
       Secretary Pieter van Geel said that
the Dutch government is deeply concerned
about the enforcement of environmental
regulations, whether in the Netherlands,
the European Union, or on a global scale.
That is why the government supports and
participates in the European  Union Net-
work for the Implementation and Enforce-
ment of Environmental Law (IMPEL) and
the International Network for Environmen-
tal Compliance and Enforcement (INECE).
These networks help to protect the environ-
ment for future generations  and at the
same time  create a level  playing field for
companies.
       Many international  organizations
have emphasized the importance of good
governance and the rule of law. They are
both essential conditions for achieving sus-
tainable development. Weak legal and judi-
cial systems, where non-compliance is the
norm, undermine the rule of law and cause
environmental degradation while slowing
progress towards sustainable develop-
ment. Weakness in the rule of law has seri-
ous consequences for the confidence of
economic actors and hinders  investment.
Lack of investment in turn deprives govern-
ments of resources to  invest in education,
social welfare nets, and  sound environ-
mental management.
       The rule of law could be strength-
ened in many ways. To date,  most efforts
have concentrated on developing new laws
and creating new institutions rather than on
building capacity for ensuring compliance
with  existing rules and making sure that
these are clear and are not contradictory. A
culture of compliance should be developed
to replace a culture of non-compliance or
corruption.   International  assistance  for
building capacity should  expand efforts
aimed  at the deeper  goal of increasing
compliance with laws, and it  is here that
INECE has a  critical  role to  play.  There
should be increased focus on  compliance,
but it is not possible to build  a culture of
compliance overnight. Often it is necessary
to  change   long-standing    practices,
                             entrenched interests, cultural habits, social
                             norms, and even religious norms.

                             2.3     Presentation by
                                     Mr. Kenneth Ruffing
                                     Mr. Kenneth Ruffing said that there
                             are several definitions of good governance.
                             The Organisation for Economic Co-opera-
                             tion and Development (OECD) has adopt-
                             ed  a set of six  principles: rule of law,
                             accountability, transparency, efficiency and
                             effectiveness, responsiveness, and forward
                             vision. There are examples to illustrate that
                             good governance supports environmental
                             improvement and also that lack of  good
                             governance hampers countries' efforts to
                             maximize the benefits of  environmental
                             policies and minimize the negative impacts
                             of sectoral policies  on  human health,  the
                             environment, and natural resources.
                                     While the existence of good gover-
                             nance is a necessary condition to ensure
                             better environmental management, it  is not
                             a sufficient condition on its own. Specific
                             elements are necessary to achieving  the
                             desired objectives. For instance, policies,
                             laws, and regulations should reflect con-
                             sensus  and science-based objectives.
                             Attention should be  paid to the full regula-
                             tory cycle with suitable  mixes of policy
                             instruments,  sectoral  policy integration,
                             and compliance  monitoring, assurance,
                             and assessment. The institutional frame-
                             work should have  a clear allocation of
                             responsibilities and powers to national and
                             sub-national levels of government. Finally,
                             it is necessary to ensure provision of envi-
                             ronmental information, public participation,
                             and access to an impartial judiciary.
                                     Effective public administration is
                             fundamental to good governance. In  many
                             OECD countries, environmental agencies
                             or ministries have been at the forefront in
                             developing good governance practices. At
                             the  same time, many environmental con-
                             cerns have been championed by the gener-
                             al public demanding that governments pro-
                             tect the environment. Thus, parliamentary
                             bodies and regulators, an independent judi-
                             ciary, and an engaged citizenry each have
                             essential roles to play in strengthening gov-

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                                                          SUMMARY OF PANEL 1   23
ernance for improving environmental out-
comes.
       The OECD  has been supporting
countries in the region of the former Soviet
Union and in  Asia in strengthening their
enforcement systems.  It has contributed
towards developing laws and encouraging
compliance with them in a number of ways.
It fostered agreement on environmentally
effective and economically efficient policies
and on their underlying principles; it identi-
fied good practice;  and  it adopted legal
instruments, usually establishing monitor-
ing and "peer  review" mechanisms aimed
at fostering compliance.  OECD wants to
continue to play an active  part within
INECE by exchanging good practices and
supporting the development of effective
and  efficient  policies   and compliance
assurance  based  on good governance
principles.

2.4    Presentation by
       Mr. Jonathan Allotey
       Mr.  Jonathan  Allotey  gave  an
African perspective  on  good governance
and  environmental  compliance.  Gover-
nance and environmental management are
universal and  involve norms and values.
These  are both  informal (customs and
practices) and formal (written rules and
instructions). In Africa there are many tradi-
tions and systemic taboos and rituals. Tra-
ditional governance was responsive and
delivered at a local level. With colonization,
major  changes  in  governance were
imposed. It was centralized,  and informal
groups were no longer part of the system.
Rules were now written down.
       Indigenous rules were time-hon-
ored and adaptive. However, the traditional
view was no longer seen as legitimate. For
example, when forest reserves were estab-
lished,  local people were hostile because
they saw their livelihood as threatened. On
the other hand, there were traditional forest
reserves based on traditional rules which
now  stood as islands  in the  midst  of
degraded lands.
       A particularly good example was a
monkey sanctuary in an area where mon-
keys were seen as sacred. They lived with
people and were not seen as a threat to
people, just as people were no threat to
them. Local rules and traditions worked
well in this situation. In an urban area, there
was a period of ban on the use of drums to
allow a peaceful period before farming and
fishing seasons - a traditional equivalent
for modern  regulation  for noise control.
Another  example  was the protection of
lagoons and wetlands where there were
closed and open seasons for fishing. It was
quite possible for traditional knowledge and
concerns to co-exist with modern systems
of ownership, etc.  It was  necessary to go
back to roots and to examine enduring con-
cepts on which systems had developed.

2.5    Presentation by Dr. Ladislav Miko
       Dr. Ladislav Miko recognized that
environmental  compliance and  enforce-
ment are very important and effective tools
in supporting good governance. However,
he suggested that their use and effect
could' be strongly influenced by  different
national and international factors. In partic-
ular, he quoted  some  of  the  lessons
learned by the Czech Republic in moving
away from the former totalitarian regime.
       In the national context, there is a
tradition of non-compliance and of breaking
the law because the law was often used as
a tool against the demands of the general
public. This  behavior persists for a long
time, even after the political change. Envi-
ronmental goals tend to be set either very
low, representing the current environmen-
tally harmful situation in the country, or very
high  and unattainable. Although the public
recognizes the value of the quality of the
environment, low standards of living mean
that they prefer cheap products  to more
expensive, environmentally safe  ones.
Environmental measures taken by the gov-
ernment  are often seen  as  a burden in
achieving a better standard of life.
       There was a lack of  trust in state
bodies under  totalitarian  regimes,  such
that, when they had gone, there was a ten-
dency to limit the size of the state as much
as possible. This limited the  resources

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24
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
available in terms of finance and personnel
for good governance. The approach taken
to implementation of laws and compliance
and enforcement is bureaucratic, so it is not
possible to simplify the system. There is lit-
tle coherence between the bodies of  the
state, and traditional ways of behavior  are
often environmentally  unacceptable   (for
example, wastewater disposal or hunting of
birds). Finally, there is no feedback, even if
the  legislation is in  place.
       In the international context, small
countries with less developed  economies
are  greatly influenced by the  broader
region. If some countries in the region do
not  follow international environmental stan-
dards, the advance towards environmental
targets is very limited. Developing coun-
tries often do not have trust in the fact that
they gain internationally with good environ-
mental behavior. Environmental goals set
by international bodies are seen as being
too  ambitious and unrealistic.
       There are  of ways of avoiding or
solving these  problems. There should be
open environmental  information  about
compliance with multilateral environmental
agreements. There might be financial sup-
port for countries developing effective com-
pliance and enforcement systems, as well
as  support in terms  of providing  experts
and practitioners for direct transfer of expe-
rience. There should be support for devel-
oping national systems of environmental
education, and international minimum stan-
dards of inspectors'  expertise should be
set. There should  also be a road map of
effective enforcement, defining the neces-
sary conditions and  starting  points  for
implementing  particular approaches   and
methods.

3 DISCUSSION

        Dr. Bill Clark, Nature and National
Parks Protection Authority, Israel, began
the  discussion session by asking how an
authority or  regulator can avoid liability
when they publish  negative data and infor-
mation  about companies on the internet.
Mr.  Kenneth Ruffing  believed that if the
published information is publicly available
                              anyway, this avoids the liability and pro-
                              vides  information that  can  stimulate the
                              local community  to participate in environ-
                              mental compliance and enforcement. Sir
                              John Harman provided an example from
                              the  Environment  Agency   (England  &
                              Wales), where  company data  is  made
                              widely available  on the internet, allowing
                              searches by postcode (zip code) that yield
                              local sources of pollution and environmen-
                              tal risk. This process makes publicly avail-
                              able data publicly accessible.
                                     Mr. Lee Paddock, Director of Envi-
                              ronmental Law Programs, Pace University
                              New York, highlighted the issue that many
                              environmental  compliance  and  enforce-
                              ment  staff have limited experience and
                              training outside their own areas (for exam-
                              ple, in economics), and  asked how capaci-
                              ty, training, and experience of these staff
                              can be expanded. Secretary Pieter van
                              Geel stated that environmental compliance
                              and enforcement inspectors could not live
                              in isolation but must live and work in their
                              social and economic contexts. Dr. Ladislav
                              Miko believed that inspectors need training
                              on issues such as economics,  as well as
                              communication  skills.  With  this training,
                              they are more capable of explaining the
                              environmental compliance  and  enforce-
                              ment and environmental goals to others. It
                              is essential that inspectors operate in  multi-
                              disciplinary teams with a  wide range  of
                              skills in order to achieve their environmen-
                              tal compliance and enforcement aims and
                              contribute  towards  sustainable  develop-
                              ment. Mr. Kenneth Ruffing  proposed that
                              capacity building is most effective at the
                              national level, though efforts are also being
                              made at an international level, and indicat-
                              ed that training courses and  programs are
                              available to assist in this capacity building.
                                      Dr. Palamagamba Kabudi, Tanza-
                              nia, in response to the key points made by
                              Mr.  Jonathan Allotey, noted  that in Africa
                              the issue  of traditional versus  modern
                              styles of regulation is a  problem across the
                              continent. Modern environmental legisla-
                              tion in many African countries has excluded
                              the role of the indigenous institutions, and
                              cooperation is required between countries
                              to restore a more holistic  approach. Mr.

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                                                           SUMMARY OF PANEL 1    25
Allotey indicated that one way to resolve
this is by bringing local authorities into envi-
ronmental compliance and enforcement, as
for  example  occurred  with  the  Monkey
Sanctuary. One method to help achieve a
holistic approach, merging traditional and
modern regulation, is to create an invento-
ry of  indigenous practices and  to study
these  to  identify  where  the  conflicts
between tradition and modernity occur, to
allow these issues to be resolved  with par-
ticipation of all parts of society. One power-
ful example in Ghana was a nature protec-
tion measure to prevent the extinction of
local animal species. Traditionally, the local
cultural or ethnic groups use one species
as the symbol of their authority. If these
species become rare or extinct, this could
be seen as the loss of that group's authori-
ty. By  using this  argument, groups  have
been persuaded of the need to protect the
wildlife to preserve their traditional society
customs and beliefs.
        Dr. Kabudi from  Tanzania  also
asked, in response to the  comments of Dr.
Ladislav Miko, how the balance  between
international and  national demands could
be found so that national  priorities are not
displaced. Both Mr. Kenneth  Ruffing and
Dr.  Miko  agreed  that  the best  way to
achieve this is by ensuring that all environ-
mental compliance and enforcement pro-
posals are subject to rigorous cost-benefit
analysis. However, there is a need to over-
come the problem of how to communicate
complicated cost-benefit  analyses to the
wider community in a manner that is under-
standable. New,  innovative ways of  com-
municating these  ideas are needed. Dr.
Miko further added that while international
demands provide an impetus for national
action on issues, there are too many inter-
national demands at one time, and there is
a need for countries to prepare road maps
of the way forward for that country, to allow
prioritization of action.
        Mr. Chris Dekkers,  Ministry of
Housing, Spatial Planning  and the Environ-
ment (VROM), in the Netherlands, raised
the issue of emissions trading. Monitoring
and reporting  of emissions trading is not an
issue that many find interesting or impor-
tant, and there is a general reluctance to
address the enforcement, compliance, and
verification of emissions trading,  despite
these being essential activities. The Panel
was asked what the role of INECE could be
in resolving this problem. Secretary Pieter
van Geel believed that policy makers  are
only interested in compliance if things go
wrong: only if there is no level playing field
in Europe on emissions trading will there be
a focus on compliance and enforcement.
Dr.  Ladislav Miko added that fair and prop-
erly functioning environmental compliance
and enforcement systems would have to be
in place to allow trading  to occur. People
need to be made aware of the full costs and
benefits of particular  environmental pro-
posals.
       Mr.  Georges  Kremlis,  European
Commission,  provided  some additional
points on how law can be better informed in
order to contribute to good governance. He
stated that there is  a  need for better law
making, and there should not be over-reg-
ulation. All parties need to cooperate in  the
development of laws, which should ensure
that the laws are also enforceable. In  the
European Union,  they   are  undertaking
Regulatory  Impact  Assessments, which
also improve legislation.  In addition, sanc-
tions  need to be fair and proportionate.
With greater decentralization of power with-
in countries, there is also a need to build
capacity  in local  authorities to  deal with
environmental compliance  and  enforce-
ment. The European Union's Aarhus Con-
vention is a  key way of helping with envi-
ronmental compliance and  enforcement
and supporting good governance.
       Ms. Katia Opalka, Commission for
Environmental  Cooperation,  Canada,
asked the Panel how governments should
enhance the profile of the regulator with
industry and the public. Ms. Linda Duncan,
environmental law and policy consultant,
Canada, also asked how the credibility of
environmental  regulators in many countries
could be improved. Dr. Ladislav  Miko said
that the government should use top spe-
cialists and should ensure positive public
presentation of the regulator to the public
and industry.  Secretary  Pieter  van Geel

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26
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
explained that the roles of government and
society cannot be split. He highlighted how,
in the Netherlands, general society reacts
when they feel that the government is not
fully backing environmental enforcement. If
the government does not do this, it leads to
the government losing its moral integrity.
       Mr. Bakary Kante, United Nations
Environment Programme, raised the issue
of sanctions in international environmental
agreements. He stated that it is very chal-
lenging for all governments in the multilat-
eral agreement to agree on sanctions. For
example, under the Basel Convention it is
virtually impossible to enforce the agree-
ments, as there is no scheme to do this. Dr.
Ladislav Miko added that the public finds it
difficult to understand the system of sanc-
tions. Mr. Kenneth Ruffing asserted that it is
important  to  recognize  the difference
between national and international sanc-
tions. Nationally,  proportionate fines must
be  based on an  estimate of the environ-
mental damage,  multiplied  by a factor for
punitive damage. Internationally, it is not
always necessary to  include sanctions at
this level.  However, sanctions have been
included on an international basis in the
Kyoto Agreement.  Sir  John  Harman
explained that, in the European Union, the
ability to  take  issues to  the European
Courts of Justice and to apply sanctions on
governments had been  very  powerful in
environmental  compliance  and enforce-
ment cases.
       Ms. Linda Duncan asked the Panel
how to overcome the tension between strict
compliance and softer environmental com-
pliance  and enforcement  options.  Mr.
Jonathan Allotey stated that a mixture of
options  should be  used  within a country
depending on the context of the issue being
tackled. Mr. Kenneth Ruffing highlighted an
OECD study on voluntary approaches that
concluded that it was useful to use volun-
tary approaches  to complement the tradi-
tional approaches, particularly where there
was little capacity for environmental com-
pliance  and enforcement.  The  research
also provided a list of approaches that have
been successfully applied in different con-
texts. Secretary  Pieter van  Geel outlined
                             the approach  taken in the Netherlands
                             where  environmental  compliance  and
                             enforcement start  with  voluntary agree-
                             ments, but at a  later stage, more formal
                             regulations are implemented if the environ-
                             mental  targets  are not being met. This
                             approach has delivered many positive out-
                             comes, and therefore the Netherlands use
                             a mix of the traditional and softer options.
                             Sir John  Harman  stated  that  voluntary
                             agreements can be used as the forward
                             edge  of environmental compliance  and
                             enforcement, but need to be accompanied
                             by  the  understanding that if  voluntary
                             agreements are not delivering the desired
                             environmental outcomes, then traditional
                             regulation will be used.  Reductions in pes-
                             ticide  use  in   agriculture  have  been
                             achieved through voluntary agreements in
                             the UK, as the government threatened to
                             tax the use of pesticides if the use did not
                             decrease. Dr. Ladislav Miko also agreed
                             with this approach  and  added that regula-
                             tion in the later stages helped create a level
                             playing field for businesses by not allowing
                             those not  in the  voluntary  agreements to
                             gain advantage.
                                     Mr.  Sibusjso  Gamede,  Basel
                             Resource  Centre, South Africa, stated that
                             environmental  compliance  and  enforce-
                             ment  include improving the knowledge of
                             the judiciary and their ability to preside in
                             environmental cases. He asked the Panel
                             how the learning process for the judiciary
                             and support for inspectors can ensure com-
                             pliance and enforcement. Sir John Harman
                             noted that the question of judicial education
                             is not just a South African concern, and Mr.
                             Jonathan  Allotey  echoed   that judges'
                             knowledge is often low (and sometimes
                             they admit it).

                             4 CONCLUSION

                                     In conclusion,  Sir John Harman
                             summarized the key points of the panel dis-
                             cussions on how  environmental compli-
                             ance  and  enforcement are building blocks
                             of good governance.
                                     The main outcomes of the discus-
                             sion were as follows:

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                                                        SUMMARY OF PANEL 1   27
Compliance and enforcement does not
happen in isolation but in a wider politi-
cal and social context.
Regulators need to be aware of the lim-
itations of top-down standard setting.
Specify the end result but  be flexible
about the means.
The  principles  of subsidiarity  should
apply to environmental compliance and
enforcement, but how  they  can be
applied is rarely considered.
Enforcement is there for a purpose, and
outcomes should take priority in meas-
uring its effectiveness.
Lawmakers and policy makers should
make use of the practical experience of
those responsible for enforcement.

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28           SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                                 HARMAN   29
THE RELATIONSHIP BETWEEN GOOD GOVERNANCE AND
ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

HARMAN, SIR JOHN


Chairman, Environment Agency (England and Wales)
       May I  begin by welcoming you to
this Panel on the Relationship between
Good Governance  and  Environmental
Compliance and Enforcement, key themes
for the conference as a whole.
       During this panel discussion I hope
we will be able to identify why good gover-
nance is important  for compliance and
enforcement, and why cooperation between
implementing authorities is essential.
       To whom  are  we  as regulators
accountable for what we do? To Ministers,
certainly; but also to the public, and to reg-
ulated businesses or individuals. What do
these accountabilities demand of us? Who
benefits from what we do?
       If these accountabilities  clash,
which wins out? Should we put the public
interest first? Or to put the question anoth-
er way, are compliance and enforcement of
environmental standards too important to
be left to politicians? To help address these
questions we have  a panel of eminent
speakers:
— Secretary Pieter  van Geel from The
  Netherlands.
— Kenneth Ruffing from the Organisation
  for Economic Co-operation and Devel-
  opment (OECD).
— Jonathon Allotey, Executive Director,
  Environmental   Protection  Agency,
  Ghana.
— Ladislav Miko, Deputy Environment Min-
  ister, Czech Republic and Director Des-
  ignate DG Environment (Directorate  B:
  Protecting the Natural Environment).
       We circulated a paper on the rela-
tionship  between  good governance and
environmental compliance  and enforce-
ment. I expect that many of you will have
had an opportunity to read the paper, but I
should like to highlight some of the  key
points from it.
       Society  demands high environ-
mental standards. The  need to address a
legacy of  harm  to the  environment on a
global scale is more pressing than ever but
protection, conservation and improvement
of the  environment can only take place
within a framework of good governance
and respect for the rule of law.
       Regulations,   enforced   fairly,
enable business to compete on  equal
terms. Effective environmental compliance,
compliance assurance and, if necessary,
enforcement are key tools for delivering
good governance. But good governance
cuts both ways. If governments and regula-
tors expect companies to respect the law
and accept good regulatory standards, they
also need  to recognise that regulators are
accountable to the public and to customers,
as well as  to ministers,  for aspects of their
regulatory  practice.
       In  my  paper for this panel, I have
given examples of definitions of good gov-
ernance. Despite the global differences in
legal frameworks and administrative sys-
tems there is a high  degree of  shared
understanding of what constitutes good
governance. In fact the underlying princi-
ples across the world are almost the same.
I have therefore taken the principles of the
European Commission as the main basis of
my paper, not because I consider them bet-
ter than those  from  other regions,  but
because they are those by which my organ-
isation, the Environment Agency, bases our
work and modernising regulation agenda.
       In  this panel, we are going to dis-

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30          SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


cuss these issues further, and we hope to
hear good examples of how  compliance
and enforcement activities across the world
both benefit from good governance and
contribute to it.
       Good environmental regulation is
central to good governance.  Regulatory
regimes can incentivise good governance
in  businesses. Compliance and enforce-
ment can be powerful  tools that provide
support for good governance.
       To help us explore these questions
further  I turn to our panel and invite each of
them  to  contribute  some  introductory
remarks  before we open the  session for
wider debate.

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                                                                VAN GEEL   31
THE RELATIONSHIP BETWEEN GOOD GOVERNANCE
AND ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

VAN GEEL, PIETER
State Secretary for the Environment, The Netherlands
       Let me take one minute of my time
to make some general remarks. This year,
Morocco and the  Netherlands are com-
memorating  their  400-year  relationship.
Although this conference is not part of the
official celebrations, I am pleased and hon-
oured to be participating in it.
       The Dutch government is deeply
concerned about the enforcement of envi-
ronmental regulations,  not  only  in  the
Netherlands but also throughout the Euro-
pean Union and on a global scale. That is
why we support and participate in  the EU
Network for  the  Implementation  and
Enforcement   of  'Environmental  Law
(IMPEL) and the International Network for
Environmental Compliance and Enforce-
ment (INECE).
       We feel this is necessary to protect
our environment for our generation and -
more importantly - for future generations.
But we also need to create a level  playing
field for companies so they can comply on
equal terms.
       The need to promote enforcement
and compliance was recognised by the par-
ticipants in the Rio Earth Summit back in
1992. The Summit established an interna-
tional mandate, in Chapter 8.21 of Agenda
21,  identifying compliance and enforce-
ment capacity as essential  elements of
environmental management.
       We participate in  activities organ-
ised by INECE, which began in 1990, fulfill-
ing the mandate established at  the  Rio
Earth Summit.
       How do the Rule of Law and Good
Governance help us achieve environmen-
tal compliance and enforcement?
       Let me begin by saying that inter-
national organisations  like the European
Commission, the United Nations Environ-
ment Program, the World Bank, the United
Nations  Development  Program and  the
Asian Development Bank have stressed
the importance of  Good Governance and
Rule of Law.
       I  realise  definitions  may  differ
slightly, but in general this is what we mean
when we talk about the Rule  of Law and
Good Governance.
— The Rule  of Law means having inde-
   pendent, efficient and accessible judicial
   and legal  systems, and a government
   that applies  fair and equitable laws
   equally, consistently,  coherently and
   prospectively to all its citizens.
— Good Governance  is characterised by
   accessibility, accountability,  predictabili-
   ty and transparency.
— Good Governance:
   - promotes accountability, openness
     and transparency,  citizen participa-
     tion, efficiency, and other aspects of
     the Rule of Law in public institutions
     at all levels;
   - includes clear decision-making proce-
     dures for all  public  authorities, civil
     society participation in decision-mak-
     ing  processes,  and the ability  to
     enforce rights and obligations through
     legal mechanisms; and
   - allows for sound and efficient man-
     agement of human, natural, econom-
     ic and financial resources for equi-
     table and sustainable development.
       Good Governance and the Rule of
Law are essential conditions for achieving
sustainable development.
       Weak legal and judicial systems,

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32
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
where non-compliance is the norm, under-
mine the Rule of Law and cause environ-
mental degradation and slow progress to
sustainable development.  This  not only
affects sustainable development, but also
carries severe economic consequences.
Weakness in the Rule of Law has devastat-
ing consequences for the  confidence of
economic actors and hinders investment.
Lack of investment slows economic growth,
which  in  turn deprives governments of
resources to  invest in education,  social
safety nets and sound environmental man-
agement.
       These are the negative effects.
       What  can we do to strengthen the
Rule of Law?
— To date, most efforts to strengthen the
   Rule of Law concentrate  on developing
   new laws and creating new institutions,
   rather than building capacity for ensur-
   ing compliance with existing rules and
   making sure that they are clear and not
   contradictory.
— It is not enough merely to point out the
   elements of  the  Rule of Law and to
   invest in institutional reforms,  if a culture
   of  compliance  is  not  developed  to
   replace the culture of non-compliance or
   corruption.
— International  capacity-building   assis-
   tance  should  expand efforts aimed at
   the deeper goal of increasing govern-
   ment compliance with laws. INECE has
   a critical role to play here; it  is the only
   global network of professionals dedicat-
   ed to  improving compliance with envi-
   ronmental law.
                             — Increased focus on compliance, along
                                with better coordination and increased
                                support,  will improve the success of
                                efforts to strengthen  the  Rule of Law,
                                which in turn will improve the success of
                                efforts to improve Good  Governance,
                                and help  us move towards Sustainable
                                Development.
                             — However, we cannot  expect to build a
                                culture of compliance overnight.  The
                                process is often a gradual one, involving
                                changes  to long-standing practices,
                                entrenched interests, cultural habits and
                                social and even religious norms.
                                    We, the Dutch Government, are
                             committed to these developments and to
                             increasing   focus  on   compliance  and
                             enforcement. This has to be done in a flex-
                             ible way, taking advantage of the activities
                             of government and industry to achieve our
                             goals. Industry has to be encouraged to be
                             part of the  compliance process through
                             compliance assistance schemes, self-regu-
                             lation and  voluntary environmental  per-
                             formance agreements.
                                    Allow me to return to  where I start-
                             ed. The Dutch Government is in favour of
                             capacity-building,  good  governance  and
                             using networks like INECE to achieve our
                             goals of sustainable development on a
                             level playing field. That is why we support
                             activities like INECE and why  it is important
                             that I am  participating  in this conference
                             with so many people who are  truly engaged
                             in their work as enforcement activists. I look
                             forward to discussing this and other points
                             with my fellow panellists and the confer-
                             ence participants.Thank you.

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                                                                   RUFFING   33
RELATIONSHIP BETWEEN GOOD GOVERNANCE AND
ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

RUFFING, KENNETH G.
Deputy Director, Environment Directorate, Organisation for Economic Co-operation
and Development (OECD)
       It is a pleasure and an honor for
me to be able to participate in this impor-
tant Conference.
       To express what its 30 Members
mean by good governance, the  OECD,
through its Public Management Committee,
has adopted a  set of six principles: rule of
law, accountability, transparency, efficiency
and  effectiveness, responsiveness, and
having a forward-vision. The  content of
most  of these is  similar to those in the
European  Commission  White   Paper
referred to by Sir John Harman, but OECD
also attaches importance to cost-effective-
ness and places considerable emphasis on
having a forward vision.
       Evidently, good governance is like-
ly to lead to environmental improvement; its
absence  certainly  hampers  countries'
efforts to maximize the benefits of environ-
mental policies and to minimize the poten-
tially negative impacts of some economic
sector policies on human health and the
environment.
       Good governance is a necessary,
but insufficient, condition to  ensure better
environmental   management.  Additional
specific elements  which  fall  under the
heading of environmental governance are
also necessary. The most important are:
— consensus/science-based  objectives
   (differentiated  by  time)  appropriately
   reflected in  policies, laws, and regula-
   tions;
— attention to the full  regulatory cycle with
   appropriate mixes of policy instruments
   (regulatory, economic, social, etc.); sec-
   tor policy integration; compliance moni-
   toring, assurance, and assessment;
— an appropriate institutional framework
   (including a clear allocation of responsi-
   bilities and powers to national and sub-
   national levels of government);
— provision  of information,  including the
   right of access to it as provided for, e.g.,
   in the Aarhus Convention; public partici-
   pation; and access to an impartial judici-
   ary.
       In many OECD countries, environ-
mental agencies or ministries have been at
the forefront in developing good gover-
nance practices, notably  by fostering
greater openness and participation in deci-
sion-making  processes.
       In ensuring  good environmental
governance, there are mutually reinforcing
roles for three key actors:
— government: parliamentary bodies and
   regulators can  help foster a culture of
   compliance by using  the most  cost-
   effective policy instruments (and mixes)
   possible,  which will often be economic
   instruments (such as emissions trading,
   and environmental taxes and charges,
   sometimes complemented by voluntary
   approaches), and by providing access to
   information (e.g., pollution releases and
   transfer inventories);
— an independent and impartial judiciary to
   which private citizens have access as
   plaintiffs is essential for assisting gov-
   ernments in maintaining effective envi-
   ronmental enforcement regimes;
— citizens, individually and through non-
   governmental  organizations, can use
   media outlets (and the internet) to name
   and shame violators; and they can  make
   vigorous use of the courts to ensure that

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34
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
   laws are  effectively  enforced  and,
   indeed, interpreted more broadly where
   citizens can appeal to such norms as
   environmental justice and the right of cit-
   izens to have a healthy environment (in
   this regard, there are important refer-
   ences in the draft European Union Con-
   stitution and in the Environmental Char-
   ter of France).
       The  OECD contributes  towards
developing  laws (both international  and
national)  and  fostering  compliance with
them  in a number of ways. It promotes
agreements  on environmentally  effective
and economically efficient policies and on
their underlying principles (polluter pays,
user pays, etc.); it identifies good policy
practice;  and  adopts  legal  instruments,
supported by monitoring and "peer review"
mechanisms aimed at fostering  compli-
                             ance. Members also share experience and
                             provide support to Non-Member countries.
                                    The OECD has  been an  active
                             partner of INECE, supporting analysis of
                             various aspects of compliance assurance,
                             including economic aspects and  environ-
                             mental compliance and enforcement (ECE)
                             indicators.  It has  also  been  supporting
                             countries in the region of the former Soviet
                             Union and in Asia  in strengthening their
                             enforcement systems.
                                    The OECD is willing to continue to
                             play an active part within INECE by facilitat-
                             ing an exchange of good practice and sup-
                             porting the development of effective  and
                             efficient policies and compliance assurance
                             systems based on principles of good gover-
                             nance and sound environmental manage-
                             ment.

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                                                                  ALLOTEY   35
THE RELATIONSHIP BETWEEN GOOD GOVERNANCE AND
ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT:
AN AFRICAN PERSPECTIVE

ALLOTEY, JONATHAN A.


Executive Director, Environmental Protection Agency - Ghana
       I would like to make my contribu-
tion from the perspective of  an African
developing country. The concepts of gover-
nance and environmental management are
universal in all societies, African countries
not excluded.
       GOVERNANCE involves a set of
norms and values which are expressed in
two (2) or more ways: informal and formal.
INFORMAL polices, laws, and rules are
founded on custom and practice. FORMAL
polices, laws, and rules are  expressed in
written forms and established institutions.
       In Africa there -are two  systems of
governance in operation - traditional and
modern. Traditional governance is com-
posed of unwritten, informal, and systemat-
ic taboos (prohibitions and restrictions), rit-
uals, and rules that regulate the interaction
between individuals and the natural envi-
ronment. This type  of governance has its
own characteristics:
— It is evolutionary,  i.e., has emerged from
   within a societal system and grown in a
   cumulative way. Knowledge has passed
   down from generations through experi-
   mentation, learning, and application.
— It is responsive and resilient to the ecol-
   ogy on which they are based.
— It  is  localized  and  participatory  -
   decisions are  taken at different levels
   involving informal organizations (e.g.,
   households).
       The modern governance  system
vests planning and decision-making in cen-
tralized government agencies and denies
participation of local and informal groups.
The system is composed of written and for-
mal policies,  environmental plans,  legal
instruments  and informal laws,  rules of
practices, and institutions.
       The pre-colonial era was charac-
terized by pure traditional governance sys-
tems. Colonialism introduced the modern
or formal governance system.
       The traditional governance system
has indigenous roots and is time honoured
and adaptive. Local people understood it
well.
       Conflicts have arisen when local
traditional practices are no longer viewed
as legitimate or consistent with  national
policies or when entities external to a coun-
try ignore needs and imperatives of local
people.
       For  example,  in  Ghana,  forest
reserves were  created and restrictions
placed on entry by local people by introduc-
ing  forest guards. Management of  the
resource did not permit participation  by
local people to serve their needs in terms of
food and medicine.
       However, there were traditional for-
est reserves - sacred groves - with rules of
entry and restrictions on collection for med-
icines, hunting, etc. Most of them came
under threat from so-called  modern ways of
doing  things  (urbanization,  construction,
etc.).  Today, though  small in  size, they
stand as rich islands of biodiversity in a sea
of degraded lands. Currently the concept of
community-based natural  resource man-
agement approaches similar to traditional
governance systems are been promoted.
       There is one case of  a  monkey
sanctuary - where the people regard mon-
keys as sacred  and villagers and animals
live together. A cohabitation strategy of
instituting by-laws in line with the beliefs of

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36
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
the people has bridged the gap between
customary and formal laws and regulations
to save the monkeys, and is now a tourist
attraction  and providing livelihood to the
community.
       There are many of these traditional
governance and compliance  systems all
over Africa (e.g., rules on noise making,
fishing, and farming along water bodies).
       There is a need to incorporate tra-
ditional knowledge systems and principles
of conservation in the overall national envi-
ronmental governance structure - where
                              basic questions about ownership distribu-
                              tion and control and utilization of environ-
                              mental resources are integrated into the
                              design of appropriate structures.
                                     In Ghana, there is a saying in one
                              of the local languages: SANKOFA - a call
                              to traditional values. We  need to go back to
                              our roots and examine the good enduring
                              concepts in our societies that have served
                              our people well. In Africa, good governance
                              and   environmental    compliance  and
                              enforcement would be assured by incorpo-
                              rating traditional governance values.

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                                                         SUMMARY OF PANEL 2   37
SUMMARY OF PANEL 2: THE COMPLIANCE AND
ENFORCEMENT MESSAGE

Moderator:    Bakary Kante, United Nations Environment Programme, Kenya

Panelists:     Sheila Abed, Chair of IUCN (World Conservation Union) Commission
             on Environmental Law, and IDEA (Environmental Law and Economics
             Institute), Paraguay
             Antonio Benjamin, Law for a Green Planet Institute, Brazil
             Ken Cook,  Environmental Working Group, United States
             John C. Cruden, Deputy Assistant Attorney General, U.S. Department
             of Justice

Rapporteurs:  Matthew Stilwell and Scott Stone,  INECE Secretariat and the Institute for
             Governance and Sustainable Development, United States
1 INTRODUCTION

      The purpose of this panel is to pro-
vide participants with the tools and mes-
sages necessary to foster a culture of com-
pliance and enforcement  in their organiza-
tions, home countries, and  regions. The
panelists discussed  the  benefits/costs of
enforcement, tools for promoting success,
and new approaches to compliance.

2 PRESENTATIONS

      A summary of the  presentations of
the four presenters to the  plenary follows:

2.1   Presentation by Dr. Sheila Abed
      Dr. Sheila Abed spoke on challenges
facing developing countries in securing bet-
ter compliance and enforcement. The Mil-
lennium Ecosystem Assessment captures
the significant challenges facing develop-
ing countries. It stresses  that key ecosys-
tems on which we rely are under stress,
particularly  in  developing countries that
husband  the world's biodiversity. Among
her main points were the following:
— Crime pays. Enforcement is inadequate
   in many countries and  actors benefit by
   breaking the law. Compliance needs to
   be enhanced to address this problem.
Enforcement systems are only as strong
as their weakest link. A first step towards
enforcement  and  compliance  is  the
amendment of frameworks  and  the
building of national capacities. Biodiver-
sity-rich countries are often fmmersed in
an authoritarian culture, marked by cor-
ruption   and  arbitrary   procedures.
Enforcement and compliance are thus
related to good governance and the rule
of law.
Coherent and comprehensive regulatory
frameworks require better coordination
among institutions.
Obstacles to compliance and enforce-
ment include insufficient resources, poor
staff development,  inadequate educa-
tion of staff and the public, and insuffi-
cient access to information and to jus-
tice.  Addressing   these   obstacles
requires  more attention to economic,
social, and political issues.
Economic issues can also be an impor-
tant vehicle for compliance. Addressing
these through economic incentives can
promote competitiveness, increase effi-
ciency and level the playing field.
Social and political issues must also be
addressed, such as the essential need
to enhance participation  and public
involvement.

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38
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
      In conclusion, Dr. Abed asserted that
frameworks must be adapted to local con-
ditions, where a mix of measures will usu-
ally be required, including economic instru-
ments. She further explained that efforts to
strengthen compliance should reflect that
the inadequacy of financial resources is
unlikely to be remedied in the short term,
so incentive-based approaches should be
promoted. In addition, officers must be bet-
ter trained and supported, to achieve better
compliance.

2.2   Presentation by
      Mr. Antonio Benjamin
      Mr. Antonio Benjamin,  a Brazilian
environmental  lawyer  and   prosecutor,
spoke on shaping the  compliance and
enforcement message, with a focus on five
main points: (1) whether there is a global
message; (2) the importance of the mes-
sage; (3) issues facing developing  coun-
tries on  environmental  compliance and
enforcement; (4) assessing tools for com-
pliance and enforcement; and (5) the future
of environmental compliance and enforce-
ment.
      On the first point regarding a global
message, Mr. Benjamin stated  that a num-
ber of elements can be combined to form a
coherent and collective message on envi-
ronmental compliance and enforcement.
He discussed three elements in particular:
— Ecologically  sustainable  development
   has become a global paradigm and,
   although often lacking in clarity, provides
   an overarching goal to which efforts to
   strengthen compliance and enforcement
   can be linked.
— The rule of law is essential in promoting
   progress towards sustainable develop-
   ment and in achieving other important
   social objectives.
— Law demands compliance and enforce-
   ment. Without  compliance, the  law is
   deprived of meaning.
      Mr. Benjamin asserted that  these
elements, taken together, could be consid-
ered as  central components of a more
effective global message on  compliance
                             and enforcement. They can help to address
                             a culture of non-compliance as a global
                             problem, which  reflects not only a lack of
                             willingness to comply, but more importantly
                             also a lack of capacity to comply. Both civil
                             and common law countries face these chal-
                             lenges.
                                   Second,  Mr.  Benjamin addressed
                             the issue of the  audience for the message
                             and why that is important. To start, we must
                             ourselves have  a clear sense of our mis-
                             sion, of the contribution we have made over
                             the last few decades, and that which we will
                             continue to  make  in  the future.  He
                             explained that there is a message we want
                             to pass to parliaments, to show that a good
                             piece of  legislation can be well-enforced
                             and achieve its goals. There is also a mes-
                             sage we want to convey  to the business
                             community about fairness in  the  market
                             place and fair competition, which requires
                             rules to be applied equally to all parties.
                             Finally, there is also a message we want to
                             pass to the non-governmental organiza-
                             tions. Mr. Benjamin further contended that,
                             as well as policies,  we need laws with
                             which  we can  secure compliance. And
                             finally, he declared that there is a message
                             we must convey to the donor community, to
                             ensure that the investments they make
                             result in the objectives they seek.
                                   Third, Mr. Benjamin discussed the
                             main challenges facing developing coun-
                             tries on  environmental  compliance and
                             enforcement. He addressed a number of
                             issues:
                             — Regulatory systems in all parts of the
                                world have been improved. Moderniza-
                                tion of the regulatory process is an
                                essential part of strengthening the rule
                                of law and must continue.
                             — There is growing public demand for bet-
                                ter  environmental  compliance and
                                enforcement. The  public is becoming
                                progressively aware of the  need for
                                environmental compliance and enforce-
                                ment and progressively more supportive
                                of it.
                             — Drafting good laws remains a problem in
                                all countries. The  United Nations Envi-
                                ronment Programme (UNEP), INECE,

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                                                         SUMMARY OF PANEL 2   39
   and other actors can provide model laws
   and other  tools to assist countries to
   improve their regulations.
— All developed and developing countries
   face  financial  and human  resources
   challenges that must be addressed.
      Fourth,  Mr. Benjamin argued that the
assessment of environmental compliance
and enforcement tools should also be a pri-
ority  in  strengthening  compliance  and
enforcement:
— In many cases, there is a lack of system-
   atic  environmental  compliance  and
   enforcement  strategies  and priorities,
   which can be addressed through the
   activities of UNEP, INECE, and others.
— There is a continuing focus on a bureau-
   cratic model  of environmental compli-
   ance and enforcement, and poor gener-
   ation and management of environmental
   compliance and enforcement informa-
   tion. It is difficult to develop environmen-
   tal compliance and enforcement indica-
   tors when you lack information.
— Another  challenge   that  must  be
   addressed is the career  insecurity of
   environmental compliance and enforce-
   ment personnel, as well as  capture of
   agencies.
      Mr. Benjamin concluded  by  stating
that  we  must  strengthen  environmental
compliance and enforcement if we are to
leave our children and future generations a
world we desire.

2.3   Presentation by Mr. Ken Cook
      Mr. Ken Cook spoke on how to pres-
ent a message - or set of messages - that
help to create a culture of compliance and
enforcement.  He made three main points:
first, as environmental law has improved so
has the  message of those who  oppose
these developments; second, this tendency
is challenging the work of compliance and
enforcement officials and others; and third,
we need to think about  how to  communi-
cate better to address this opposition and
make room for our work.
      Mr. Cook first addressed how we can
shape better messages. He asserted that
the best messages come from culture. We
are not simply trying to establish a mes-
sage of compliance and enforcement. We
are also thinking about how our cultures
receive information about compliance and
enforcement. He maintained that concepts
such  as  "compliance  and  enforcement"
inspire some,  but  cause  resistance  in
many; therefore we need to reframe our
message to connect with a broader public.
      Mr. Cook also contended that culture
comes from many sources, including the
family. He  mentioned these statements as
examples: "pick up after yourselves", "stop
tracking mud through the house", "if you
break it,  you  buy it".  These statements
embody values - fairness, equality, oppor-
tunity, respect  for  nature, respect for her-
itage  and the past. He  argued that these
values in  many ways  are  at  war  with
modernity, commerce,  and  ideology, but
they remain fundamental. Mr. Cook further
declared that when we stray from these val-
ues, we do so at our peril, and find our-
selves using technocratic arguments that
people do not  understand or relate to. He
explained that people without a specialized
background  (similar  to the participants')
may not understand the language we use.
To communicate with the public, we need to
use common language  that  connects with
their  core values. Mr.  Cook  presented
some  metaphors to draw on: (1) The sher-
iff riding into town is fair, but tough, and
keeps the town orderly;  (2) The cop on the
beat keeps the order, knows people, and
secures the peace. In contrast, describing
the EPA as the Gestapo, as has been done
by some in the United States, presents an
unfavorable image.
      Mr. Cook also contended that organ-
ized opposition stays on message to dilute
technical information and present a positive
and acceptable message  to the public.
While  some of their messages are "nega-
tive", most strike a more  engaging and pos-
itive tone.  Some examples of these mes-
sages are: "making progress but having a
long way to go", "science is not settled",
and "risk reduction is probably not worth
the costs". They stay  positive and connect

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40
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
with  people's values.  He stated that the
regulatory community,  by contrast, has  a
negative message that causes people to
disconnect. We describe problems as over-
whelming, and the solutions as long-term.
We use technical language. We thus need
to reframe our message. Examples of more
positive messages are: we take care of the
planet for our future; we are investing; and
the problems are not insoluble.
      Mr. Cook offered three suggestions
as we move this forward:
— Keep it  simple. Messages should be
   tested out on people who do not work in
   the field, to ensure that they connect.
— Teach first. We need to raise awareness
   as a first step towards building trust and
   understanding,  and  before  securing
   compliance and enforcement.
— Give credit where credit is due. We need
   to be better at recognizing achievement
   and reward it as a way of expanding the
   circle of people who are interested in
   protecting the environment.

2.4   Presentation by Mr. John Cruden
      Mr. John Cruden drew on his exten-
sive experience as the person responsible
for all civil environmental enforcement in
the United States and presented three sig-
nificant points: the concept of compliance
and enforcement; lessons learned from the
last few years; and next steps to communi-
cating our ideals and passions to the public
and citizens we serve.
      First, Mr. Cruden stated that the con-
cept of  environmental  enforcement  and
compliance is the engine that drives the
train towards environmental improvement
and success. Compliance means achieving
our standards, and failing to comply lowers
the  real standards we are  setting. He
argued that we  must do a better job at
explaining our roles and promoting our val-
ues and messages. In particular, we  must
communicate that when we do not  ade-
quately enforce,  companies that are  com-
plying with the law are put at a competitive
disadvantage and the environment suffers.
      Second, Mr. Cruden explained that
                             over  the  last  few years, enforcement
                             experts in the United States have learned
                             at least three crucial lessons. First,  as
                             enforcers, we work better when we partner
                             with other entities - citizen groups, states,
                             and local entities.  Partnerships are  an
                             essential part of building better compliance
                             and enforcement. Second, clarity in goals
                             and objectives is required. Those closest to
                             the event must feel part of the process. We
                             must cut through  our complex vocabulary
                             to connect with real people.  Setting out
                             simple rules clearly - as  is often done in
                             children's classrooms - is essential. Third,
                             we must use our  own resources wisely in
                             achieving the goals we are seeking. We
                             lack resources, so we must use them effec-
                             tively and efficiently.
                                   Third, in  terms of  next  steps, Mr.
                             Cruden asserted that we must:
                             — Develop a clearer message. What are
                                the elements of a clear and successful
                                message? We need to send a simple
                                message that  people  must "clean  up
                                their mess" and behave responsibly.
                             — We need to deter future misconduct.
                                Industry  players want compliance to
                                ensure a  level playing field. Like a good
                                soccer game,  the rules  should  be
                                enforced fairly upon all players.
                             — We need  to improve our communication
                                to all actors: we must improve communi-
                                cation  to citizens,  non-governmental
                                organizations,  and the media; we need
                                to communicate accurately to the regu-
                                lated community; and we must commu-
                                nicate effectively to others  in govern-
                                ment that our work is important not just
                                to   the   environment,    but   also
                                to  the  economy and other sectors of
                                society.

                             3 DISCUSSION

                             During discussion in plenary, participants in
                             the meeting asked a number  of relevant
                             questions:
                             — What is the  importance of international
                                environmental agreements  in shaping
                                domestic environmental agendas and

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                                                          SUMMARY OF PANEL 2   41
   rules?  (Dr.   Iwona  Rummel-Bulska,
   Switzerland)
— Are we optimistic or pessimistic about
   getting the concept of compliance and
   enforcement across, and why? (Mr. Paul
   Gavrel, Canada)
— Is it possible to create a good future for
   future  generations  with  our current
   efforts? (Mrs. Zahia Ibersienne, Algerian
   NGO representative)
— Do our institutional models - the estab-
   lishment of formal environmental agen-
   cies and so forth- make them easy to
   attack and fail to connect us with more
   fundamental  values  and approaches?
   (Mr. Paul Gavrel, Canada)
— Do you think that implementation of mul-
   tilateral   environmental  agreements
   would be improved by seeking funding
   for implementation before ratification?
— Does  communication  with those who
   should comply also imply cooperation?
   What is the appropriate balance?
      Remark by Mr.  Ken Cook (United
States): To reconnect the environment with
our values, we need to focus on how to bet-
ter communicate with the public. We need
to be careful about the model we pick. We
should not, for instance, refer to those that
government works with  as "customers",
such as "the customer is always right".
      Remark by Mr. John Cruden (United
States):  People  are  fundamentally  con-
cerned with the air, water, and land,  and
are willing to sacrifice their other goals to
achieve these goals. We are doing well at
communicating the problems, but badly at
communicating our successes. We need to
be better at showing the value we create.
      Remark  by  Dr.   Sheila  Abed
(Paraguay): Enhancing national capacities
for enforcement is crucial. We  must also
make simple and clear messages that
address  all stakeholders in  society.  We
must do better at making our goals - the
goals of securing compliance and enforce-
ment - those  of the broader  political
process.
      Remark by  Mr. Antonio Benjamin
(Brazil): Legal frameworks that stress pre-
vention and precaution must be built and
strengthened. The stronger they  are, the
easier  our job. We need therefore to work
on the legislative side, but also within our
community to create a culture of precaution
and prevention.  He expressed optimism in
the area of pollution control but noted that
green environmental law, biodiversity, and
habitat protection are more of a challenge -
the impacts are irreversible and  the effects
often fall  further  from the acts  causing
them. We  have not yet realized the rele-
vance of international agreements in shap-
ing national legislation.  The main role is not
only that of hard international law, but also
in guiding  the development of other softer
practices.  The Stockholm Declaration, for
instance, has been included into  national
law in many jurisdictions.

4 CONCLUSION

      In conclusion,  the  moderator  Mr.
Bakary Kante summarized discussions and
offered the following key points:
— Working together in achieving  environ-
   mental compliance and enforcement is a
   crucial message - we must work togeth-
   er to achieve our goals.
— Clarity is essential if  we are to communi-
   cate better with the public.
— The rule of law plays a  critical role, as
   well as  economic incentives, in achiev-
   ing  environmental  compliance and
   enforcement.
— UNEP and other agencies have been
   called on to develop tools and models to
   support and strengthen environmental
   compliance and enforcement. UNEP is
   ready to respond to this call,  which
   addresses one  of the core areas of its
   mandate.

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42           SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                         SUMMARY OF PANEL 3   43
SUMMARY OF PANEL 3: ENFORCEMENT INITIATIVES:
STORIES OF SUCCESS

Moderator:    Kenneth Cook, Environmental Working Group, United States

Panelists:     Bill Clark, Nature and National Parks Protection Authority, Israel
             Antonio Oposa, Jr., Philippines
             Justice Adel Omar Sherif, The Supreme Constitutional Court, Egypt
             Walker B. Smith, Environmental Protection Agency, United States

Rapporteurs:  Matthew Stilwell, Institute for Governance and Sustainable Development,
             Geneva
             Matthew Cooper, Environmental Media Consultant, United States and
             New Zealand
1 INTRODUCTION

       This panel presented successful
enforcement  initiatives  and  sought  to
inspire future successes. A diverse group of
panelists from government, civil society,
the judiciary, and a local community-based
action group highlighted practical enforce-
ment examples  and  success  stories.
INECE has helped facilitate these success-
es by working to: 1) raise awareness of
compliance and enforcement; 2) develop
networks for enforcement cooperation; and
3) strengthen capacity to implement and
enforce  environmental requirements. The
stories and practical examples described
during the panel demonstrate that enforce-
ment initiatives are actually about protect-
ing our collective future and preserving the
environment for future generations. All par-
ticipants  emphasized the  importance  of
communication, networking, and capacity
building  to ensure successful enforcement
action. The judiciary, government agencies,
nongovernmental  organizations (NGOs),
and communities all have special roles to
play in  facilitating effective enforcement
and ensuring that successes and any "Eco-
Hero" stories are communicated to a wider
audience.
2 PRESENTATIONS

2.1     Presentation by Mr. Kenneth Cook
       Mr. Kenneth Cook, President of the
Environmental Working Group, opened the
panel by explaining that the panelists would
talk about stories of success, stories on the
ground, stories of capacity building, and
stories of taking action. He stressed that in
the second half of the last century, and at
the beginning  of  this century,  we  are
"standing up for the entire future", we are
standing up for the planet, and we are look-
ing to the future to secure victory. Mr. Cook
inquired as to whether we have our finger
in the dyke or whether we are close to a
victory for the people and the environment.
He then announced that the four speakers
would present a broad range of successful
enforcement  initiatives  and the stories
behind these successes.

2.2    Presentation by Dr. Bill Clark
       Dr. Bill Clark,  International Liaison
Officer for the Nature and National  Parks
Protection Authority in Israel, questioned
what we mean  by a  successful enforce-
ment initiative. We are asked to consider
the concept of success, and within  the con-
text of INECE's three overarching priorities.
What do we know about each?
       First, INECE seeks to raise aware-

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44
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
ness  of compliance and  enforcement.
Recent  decades  have witnessed  an
increased  awareness  of environmental
crime.  Until recently,  there was a thriving
trade in ivory, animal pelts, and other ani-
mal species. As a consequence,  species
were being depleted and driven into extinc-
tion. Countries have  adopted endangered
species laws, the Convention on  Interna-
tional  Trade  in  Endangered  Species
(CITES) was agreed upon, but  despite
these admirable efforts, the dirty business
of illegal trade in contraband wildlife  prod-
ucts continues. Most people today  know
about endangered species and understand
that  keeping  species from  extinction  is
important. But all of this success in raising
awareness has  been matched by increas-
ing criminality - so  we face  a dilemma.
Despite all of the successes and the raising
of awareness, "dirty trade" continues at a
disturbing rate.
        INECE's second goal is to develop
networks for enforcement cooperation. Dr.
Clark noted that this conference is helping
to create many initiatives and collaborative
projects and that this  is an ideal  opportuni-
ty to increase  communication  networks.
Interpol has also created enforcement net-
works on environmental issues.  For exam-
ple, Interpol's Project Noah identified one
person as a key actor in trafficking in  many
regions. This key  actor was cornered in
Mexico,  extradited to the United States,
and sentenced  to 71 months  in a  U.S.
prison. Other networks too have  had signif-
icant success stories, such as the Lusaka
Agreement and  Europol.  Dr. Clark stressed
that networking works, and that we need
much more of it.
        Of course, the criminals also cre-
ate their own  networks. They create differ-
ent groups, different communication chan-
nels, and different ways of moving species.
Today  we think less  of "organized crime"
and  more of  "networked  crime".  The
numerous  legal  and political  obstacles
hamper authorities' attempts to curb  these
criminal activities. But we must work within
these  obstacles  and  resolve  them  to
enhance the flow of information and to
secure  human   rights  and effective  law
                              enforcement.  Responsible  law enforce-
                              ment must be accountable; criminals can
                              work outside  formal  responsibilities, but
                              authorities cannot.  We must be account-
                              able, follow the rules, and protect the infor-
                              mation of individuals used in relation to the
                              enforcement and prosecution of criminal
                              activity, even  if there is no level playing
                              field. But networking helps us to do this
                              well, linking us across borders and around
                              the world.
                                     INECE's third  goal  is  building
                              capacity. Dr. Clark affirmed that there have
                              been numerous successes in increasing
                              capacity.  One is Interpol's  EcoMessage,
                              which provides all officials  with access to
                              Interpol's information and network. Another
                              is the Lusaka Agreement, which is an infor-
                              mal network of African officials who work
                              together for wildlife protection and enforce-
                              ment. The  Lusaka Agreement Taskforce
                              has undertaken a range of important initia-
                              tives, including the recovery of huge  smug-
                              gled stocks of ivory from Singapore,  in col-
                              laboration with Singaporean officials. The
                              International  Fund  for  Animal  Welfare *
                              (IFAW)  has also built capacity through a
                              range of partnerships. IFAW built scientific
                              capacity  to undertake DNA and isotope
                              analysis of ivory, to find the ivory's origins
                              and the structure of the criminal organiza-
                              tions undertaking the smuggling. This sci-
                              entific  capacity  building  helps  support
                              enforcement capacity. Networking  opens
                              access to technical resources and capaci-
                              ties. These are not the traditional tools of
                              African park rangers; things are changing
                              as new technology and networking  works
                              to support enforcement.
                                     What is the sense of raising aware-
                              ness, building  networks,   and  creating
                              capacity - the three goals of INECE - if the
                              criminals still have  the upper  hand? If we
                              look into our own work, we know that for
                              everyone we catch,  there are still many get-
                              ting away. If we can break the chain of
                              criminality - break the links  at any point in
                              the chain - then the principal concerns of
                              society are met. However, with wildlife and
                              pollution, the first link is the problem. The
                              conviction of wildlife criminals is often too
                              late, as the animals are already dead or the

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                                                           SUMMARY OF PANEL 3   45
environment  is already polluted. So  we
must emphasize the importance of deter-
rence if we are to be better in achieving the
goals society  has set for us.

2.3    Presentation by
       Mr. Antonio Oposa Jr.
       Mr. Antonio Oposa, Jr. of the Philip-
pines told a story. Once upon a time in the
Far-East, there was a group of islands
called the Philippines. It was known to be
the richest island of biodiversity in  the
world. But the real wealth of the Philippines
is under the water. It has many more miles
of coastline than the United States. It is the
richest center of biodiversity in the world. In
a small sector of their ocean, there  are
more species of coral than  in many other
parts of the world. But this biodiversity has
been  destroyed by blast  fishing, cyanide
fishing,  and  other  activities  based  on
exploitation of these fragile ecosystems.
There were three million hectares of coral
reef, now there  are only eight thousand
hectares left.  The Visayan Sea and Philip-
pines islands can  be found in the Sulu-
Salawesi Marine Triangle, an epicenter of
biodiversity on Earth, but it is facing col-
lapse.  How can we respond to this?  "We
can curse the darkness, or we can light the
candle."
       In January 2003, Mr.  Oposa and
colleagues launched an operation  with
local police and convicted seven people of
damaging the coral reefs through dynamite
fishing. Yet instead of simply taking  the
convicted persons to jail, part of their punish-
ment was to act as fish wardens to protect
the sea they were previously destroying.
       Mr. Oposa's group then focused on
addressing the production of the blasting
caps that were used for fishing. After shut-
ting down production on  their island,  his
group  moved to address  production  of
blasting caps on other islands. With  the
help of the Navy, the group organized a
gunboat to shut down blasting  cap opera-
tions on a neighboring island.
       An ongoing challenge remained to
capture not only the fishing boat crews, but
also the owners who are often  rich, power-
ful, and have links with corrupt police. With
the help of local law enforcers and the
Navy, his group convicted a number  of
owners, sending a message to criminals
that illegal operations would not be tolerat-
ed. Mr. Oposa observed that in the rules of
nature, there is no right or wrong, only con-
sequences.  So  to  promote  longer-term
care of the coral reefs and the marine envi-
ronment, his group organized the Visayan
Sea  Squadron to empower and educate
youth, help local governments establish
marine sanctuaries, and undertake marine
surveys. The purpose of the Squadron is to
enlighten the youth, who must take respon-
sibility for the future of their natural environ-
ment. The group promotes the three "E's"
of environmental stewardship:  Education,
Engineering (social,  physical,  legal, and
financial), and  Enforcement,  leading  to
Conservation, Protection, and Restoration
(CPR). In effect, this is CPR for the environ-
ment. These successes  are due to net-
works and inter-agency cooperation.
       .Mr. Oposa  concluded  with  two
thoughts:
       "In the laws of nature, there is no
right or wrong, only consequences."
       "Though nothing can bring back
the hour / of splendor in the grass and glory
in the flower, / we grieve not rather find /
strength in what remains behind."
       This is an evolving story.

2.4    Presentation by
       Justice Adel Omar Sherif
       Twenty  years ago, Justice Adel
Omar Sherif, Deputy Chief Justice of the
Supreme Constitutional  Court  in  Egypt,
became involved in protecting the environ-
ment. At this time, having an interest in the
environment was questioned by many, who
wondered why environmental issues would
be of interest to a judge  and  not simply
environmental officials. However,  Justice
Sherif argued that in order to be part of the
civilized world, one  must have a commit-
ment to the environment.  It was not until
the global judges meeting in Johannesburg
that it became evident to developing coun-
tries that to be part of the civilized world

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46
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
today they must respect all human rights
including the right to the environment.
       Since then,  collaborating with the
United Nations Environment Programme
(UNEP) and the Supreme Court of Egypt, a
union of  judges focusing on the environ-
ment has  been established to support
judges in the Arab Region, by creating net-
working and awareness and by providing
databases and  resources. Support for the
judges has come from UNEP to establish a
global center for training judges. The gov-
ernment  of Egypt has provided the center
with land and headquarters, which will cost
over 15 million dollars.
       These organizations are working
with partner organizations in Europe and
elsewhere to develop the program and its
materials. The goal is to help judges in the
region and in the wider developing world to
understand the environmental  challenges
and to build a world that is  cleaner, more
peaceful, and more democratic.

2.5    Presentation by Ms.  Walker Smith
       Ms.  Walker  Smith, director of the
Office  of Civil  Enforcement at the  U.S.
Environmental Protection Agency ("EPA"),
began  her presentation by explaining that
initiatives are often developed to meet a dif-
ferent  challenge than core  enforcement
activities. A key component of core enforce-
ment activity is to ensure a level playing
field. Thus, there is  an implicit assumption
that there is a basic level of compliance in
the sector,  and the  goal is to bring those
who are out of compliance to the same
level as those who are complying. But what
if virtually the entire  sector is out of compli-
ance? Then creating a level playing field is
not the issue. The playing field is level, but
it is level  at the bottom. This scenario is ripe
for an initiative.
       This is not to say that the more tra-
ditional model of bringing one or two big
enforcement cases cannot motivate a sec-
tor into compliance. One example of how
this strategy can promote compliance in a
sector is the  EPA's recent enforcement
action  against DuPont. The EPA filed an
administrative case against DuPont for fail-
                             ure to provide the Agency with information
                             on the adverse  effects of PFOA, a sub-
                             stance  used to make Teflon.  The EPA
                             alleged that DuPont's failure was a viola-
                             tion of Section 8(e) of the Toxic Substances
                             Control Act ("TSCA"), which requires com-
                             panies to submit information to the EPA
                             about chemicals that may present a sub-
                             stantial risk to human health or the environ-
                             ment. The DuPont case has gotten the
                             industry's attention about the importance of
                             meeting  its obligations under TSCA. Even
                             though  the  case is  still in litigation, the
                             industry has identified TSCA compliance as
                             one of its biggest priorities, has invited the
                             EPA to  national conferences  to speak
                             about the importance of TSCA compliance,
                             and  has come to the Agency to discuss
                             TSCA compliance.
                                     However, compliance with TSCA
                             does not require a company to invest in
                             expensive Control technology. Ms. Smith
                             explained that it has been the EPA's expe-
                             rience that where compliance is expensive,
                             the traditional model of bringing one or two
                             cases is often not sufficient to bring a sec-
                             tor into compliance. Here the level playing
                             field can operate as a disincentive for com-
                             panies to come into compliance: until com-
                             panies in the sector are convinced that the
                             Agency will bring additional enforcement
                             actions,  they may be unwilling to expend
                             funds for pollution controls when their com-
                             petitors  are not making similar expendi-
                             tures.
                                     That dynamic changes when the
                             EPA announces an initiative against an
                             entire sector. EPA sector  initiatives have
                             proven   highly  effective. The  petroleum
                             refining industry is an example of a suc-
                             cessful EPA initiative that is nearing conclu-
                             sion. The EPA inspected over 100 petrole-
                             um refineries for compliance with the Clean
                             Air Act,  the Clean Water Act, and haz-
                             ardous waste regulations, found violations
                             at every facility, and identified the sector as
                             a national  priority. However, the task  of
                             bringing the entire refining  industry into
                             compliance with  numerous statutes proved
                             daunting, so the EPA tasked  a working
                             group  with  determining which  violations
                             should be the focus of the priority and with

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                                                           SUMMARY OF PANEL 3   47
determining an enforcement approach.
       The resulting strategy focused on
the areas with the most significant environ-
mental impacts, involving significant VOC,
NOx, SO2, and toxic emissions. Thus the
Agency decided  to concentrate on four
areas  in  the  initiative:  flaring, benzene
emissions, leak detection and repair, and
new  source review.  New source  review
requires installation of the  best available
control technology for new and modified
units in refineries, including heaters, boil-
ers, and cracking units.
       EPA also  decided to use an inno-
vative approach to traditional enforcement
to obtain compliance in each of these four
areas. Under the more traditional approach
to enforcement, the EPA develops  a case
using information requests, inspections,
and other methods to identify violations.
Once those  violations are  identified, the
Agency engages in settlement where pos-
sible, or proceeds to litigation. Whether the
parties are in settlement  negotiations or lit-
igation, they  spend significant  efforts
attempting to prove or disprove the viola-
tions. Once the violations are established,
the parties engage in discussing the appro-
priate remedy for the violations.
       The   EPA  wanted to   try  an
approach  that would  bring  the parties to
resolution  more quickly and would bring an
entire company into  compliance  at one
time,  rather  than  suing  a company on a
facility by facility basis. Under this alterna-
tive approach, the EPA limits the investiga-
tion of the company and does  not fully
develop information on all of the potential
violations. In return for  the EPA's  agree-
ment to limit the investigation, the company
agrees that the negotiations will focus not
on the violations, but rather on how to bring
the company's facilities into compliance
with the law, thus remedying any underly-
ing violations.
       This approach means that the par-
ties do not have to engage  in a time con-
suming and costly discovery process about
each violation, providing  obvious resource
benefits to the EPA and  participating com-
panies. The companies save resources on
litigation costs and can enter into system-
wide settlements that allow them to incor-
porate business planning into the settle-
ments, a more difficult proposition in facility
by facility negotiations. Moreover, since the
EPA will have  less information about a
company's specific violations, the penalty
imposed in the consent decree  can be
reduced. If companies reject this  alterna-
tive approach, the EPA proceeds with tradi-
tional enforcement. Most of the petroleum
refining industry has agreed to the alterna-
tive approach, although the EPA has had to
proceed with  information gathering on
some occasions when settlement discus-
sions broke down. Following a period of tra-
ditional information gathering,  the parties
have generally resumed settlement discus-
sions.
        This approach has led to signifi-
cant benefits. It began with a sector out of
compliance, and now over half of the indus-
try (by refining capacity) is under a consent
decree, requiring system-wide emissions
reductions and  compliance with the Clean
Air Act. Another significant percent of the
industry is  in settlement negotiations that
are close to resolution, and EPA hopes to
have 80%  of the industry under  national
consent decrees within the  year.  The
remaining  20% of  the  industry  will be
addressed by EPA regions and  by states.
        This process, Ms. Smith explained,
has also allowed companies and the EPA
to discuss ways to improve technology to
get more effective control technology  at
lower cost. An unanticipated benefit of this
approach has been enhanced communica-
tion and cooperation  within the industry
about pollution control.  When the first con-
sent decrees were signed, the settling com-
panies created  a "Consenters' Group" that
meets  on a regular basis to discuss pollu-
tion control, including new technologies to
meet the emissions limits in the decrees.
The EPA also meets with the Consenters'
Group  to discuss compliance issues. This
communication within and with industry has
proved important in enhancing compliance.
        Ms. Smith concluded  by stating
that  the EPA  has built on  the  lessons
learned in the refinery initiative and devel-
oped other national priorities to address

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
widespread noncompliance in sectors that
have a significant environmental impact.
Initiatives are challenging and require a sig-
nificant commitment of time and resources,
but they can turn an  industry around and
make a real environmental difference.

3 DISCUSSION

       Participants    and     panelists
addressed a number of issues through
questions and discussions.
       Question: The role of judicial net-
works is crucial. The European Union (EU)
has established a forum of judges for the
environment. It has circulated a question-
naire to the twenty-five EU countries. This
technique could also be used by INECE to
gather information.  Different  forums  of
judges could collaborate  and exchange
best practices. We could also see an acad-
emy under the auspices of INECE to pro-
mote best practices. There is, for instance,
important  case  law on the precautionary
principle applied by Supreme Courts which
could be promoted among judges. (EU rep-
resentative)
       Answer:   Collaboration   among
judges is important and can help to pro-
mote common language and approaches
across different jurisdictions. International
cooperation at national, regional, and inter-
national levels  is  particularly  important.
(Justice Adel Sherif)
       Question: First, experiences  in
Bangladesh establishing a separate envi-
ronmental court  with special magistrates
has proved illustrative. While much training
focused on higher level judges, often cases
are brought in  the  lower courts.  How,
through initiatives such as the new judges
facility, can we facilitate the training of mag-
istrates at lower levels? Second, in relation
to collaborative approaches discussed by
Ms. Walker Smith, is there a danger of cap-
ture when the  regulated community is
included  in  the  discussion?  (Ms.  Linda
Duncan)
       Answer 1:  In relation to training,
the policy of the new center will  be to make
training available to all judges who are
interested, subject to capacity. The chal-
                             lenge is for judges to accept the concept of
                             training, so it is important  to approach
                             judges in the right way. (Justice Adel Sherif)
                                     Answer 2: Collaboration on issues
                             such  as flaring in the petroleum industry
                             has worked well. It has prevented opposi-
                             tion to consent degrees which might other-
                             wise have seen challenges by the industry.
                             (Ms. Walker Smith)
                                     Question: Workers in a company
                             are also part of the network that could be
                             called on to help  promote compliance. Can
                             unions  be better included in discussions
                             about compliance?
                                     Answer:  In some cases, workers
                             are interested in  creating a cleaner indus-
                             try. In others, workers are concerned about
                             more work, additional  responsibilities, and
                             new challenges. So there is pressure on
                             management to educate workers to adapt
                             to new technologies and approaches. (Ms.
                             Walker Smith)
                                     Question: How do we achieve suc-
                             cess stories in countries with governments
                             that are perceived as being more anti-envi-
                             ronment, or at least  not  convinced  that
                             environmental management  is a priority?
                             (Mr. Albert Kohl)
                                     Answer  1: The president of the
                             Philippines has  not made environmental
                             enforcement a priority  at the national level.
                             So we work together with officials and law
                             enforcement officers at the local level. We
                             also work with the youth,  preparing them
                             with improved environmental awareness
                             for when they will take  over. (Mr.  Tony
                             Oposa)
                                     Answer 2: We have to be better at
                             getting  our message out  and framing the
                             message for public and political manage-
                             ment, about why it is the right thing to do.
                             Government has been supportive where
                             some companies have been complying and
                             where others  have not. Concepts of the
                             rule  of law and fairness are  powerful. We
                             are  not  making  new  laws, but enforcing
                             laws passed by  Congress. This message
                             gets through. INECE could consider identi-
                             fying four or five  countries to be sensitized
                             and  worked with to improve their environ-
                             mental awareness. (Dr. Bill Clark)
                                     Answer  3:  Over  the past  four

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                                                          SUMMARY OF PANEL 3   49
years, the EPA has had greater successes
on specific pollutant reductions than in the
previous four years. No-one at a political
level  has  prevented  EPA's  Office  of
Enforcement and Compliance Assurance
(OECA)  from  taking  these  cases.  (Ms.
Phyllis Harris)

4 CONCLUSION

       Each of these case studies  illus-
trates success in a different  category of
environmental enforcement, including ille-
gal fishing,  wildlife  smuggling, judicial
awareness,  and  pollution  reductions. In
each example, different approaches to the
problem were used to achieve success,
from local to  national activities. However,
all these success stories shared common
elements:
— Setting out with a clear goal and objec-
   tive allows you to demonstrate success.
— We must be accountable for our activi-
   ties and publicize our successes.
— Collaboration with other enforcers, and
   in some cases with  the industry we are
   enforcing,  is a crucial component for
   changing behavior directly and indirectly.
— Innovation  and new  approaches are
   needed to address both old and new
   problems.

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50           SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                       SUMMARY OF PANEL 4   51
SUMMARY OF PANEL 4: ENVIRONMENTAL COMPLIANCE AND
ENFORCEMENT INDICATORS: MEASURING PERFORMANCE,
MANAGING RESOURCES

Moderator:   Paula Caldwell, Environment Canada

Panelists:    Myriam Linster, Organisation for Economic Co-operation and Development
            Michael Stahl, Environmental Protection Agency, United States
            Maria Eugenia Di Paola, Fundacion Ambiente y Recursos Naturales,
            Argentina

Rapporteur:  Rene Drolet, Environment Canada
1 INTRODUCTION

       Presentations on  environmental
compliance and enforcement (ECE) indica-
tors were delivered from three organiza-
tions (OECD, the Fundacion Ambiente y
Recursos Naturales (FARM) from Argenti-
na, and the U.S. Environmental Protection
Agency). The panel then  opened into a
group discussion involving  all participants.
Discussions  demonstrated that there  is
always a need for several  indicators, but
there is no universal set of  indicators. The
appropriate set of indicators depends on
the specific circumstances of a given situa-
tion and must be tailored to the purpose of
the exercise.  Lessons learned from various
countries emphasize the need for flexibility
and continuity, as well as the need for prag-
matism (the need to learn  from pilot proj-
ects). Exchange of information and interna-
tional  cooperation are therefore key  ele-
ments for success. The panel also demon-
strated that both developing countries and
developed  countries face  challenges  in
identifying, developing,  and using  ECE
indicators. However, the nature of these
challenges may be different.
       This  panel culminated  in various
recommendations for INECE. It was  rec-
ommended that a Community of Practice
be built among ECE programs conducting
indicators projects  in order to  compile
accomplishments and  lessons learned.
Participants  also identified the need for
training in this area. It was suggested that
the Performance Measurement Guidance
for Compliance and Enforcement Practi -
tioners document be used  as  a starting
point to develop training tools.

2 PRESENTATIONS

       The session started with presenta-
tions  on  environmental compliance  and
enforcement (ECE) indicators from three
organizations (OECD, the U.S. EPA,  and
FARM).
       The first presentation was given by
Ms. Myriam Linster and was entitled "Enw -
ronmental Indicators: Development, Mea -
surement, and Use". This presentation out-
lined the OECD's experience with environ-
mental indicators. The  PSR model (Pres-
sure-State-Response) is  the  conceptual
framework used by  the OECD to develop
environmental  indicators. In this  model,
ECE   indicators   are  examples   of
"Response"  indicators. This model  has
proven useful for the OECD in the develop-
ment and use of environmental indicators.
Since 1992, the OECD has developed a set
of 40-50 core environmental indicators to
review the environmental performance of
47 countries.  Environmental  indicators
have proven their usefulness for a broad
range of purposes. It has become clear that
a universal set of indicators does not exist.
Decision on which indicators to use must
be made in accordance with the objectives

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
and circumstances of each situation. The
development  and  use of  environmental
indicators is a dynamic process that needs
flexibility, continuity, and pragmatism. The
only possible way  is  to learn  by doing. It
was pointed out that there is much to learn
from  exchange of  experiences,  which
emphasizes the interdependency between
international and national progress and the
importance of international cooperation.
       Mr. Michael Stahl followed  with a
presentation on "Performance Indicators
for  Environmental   Compliance  and
Enforcement Programs". The presentation
outlined a three-stage model for identifying
(stage 1), developing (stage 2), and using
(stage 3) performance indicators. Evidence
suggests that most  countries are  in the
identification  and  development  stages.
Best Practices for each stage of this model
are identified and discussed in a report pro-
duced by the INECE Expert Working Group
on ECE Indicators (Performance Measure -
ment  Guidance   for  Compliance and
Enforcement Practitioners). Discussions
within  the  international community have
shown that indicators projects are tailored
to the unique circumstances and settings of
individual countries. It is also noted that the
challenges facing developing  countries in
their indicators  projects are different from
those experienced by developed countries.
Developing countries are often faced with
compliance cultures  in formative or very
early stages,  environmental laws not fully
implemented,   immature  environmental
agencies, and a system lacking data collec-
tion. For developed countries, challenges
are mainly associated with the duration of
implementation of projects,  lack of interpre-
tive skills,  misuse and/or misinterpretation
of results  by external audiences, and the
inherent limitations of indicators. ECE per-
formance indicators are being used for var-
ious  management purposes in  certain
countries.  Such uses include the monitor-
ing of performance through regular reports,
review of  performance of  organizational
units,  evaluation  of  the effectiveness of
specific programs,  or  the reporting of
results to multiple audiences.
       The last presentation  was  entitled
                             "Pilot Project on  ECE Indicators in Latin
                             America - The case of Argentina" and was
                             delivered by Ms.  Maria Eugenia Di Paola
                             from the Fundacion Ambiente y Recursos
                             Naturales,  describing  a  pilot  project on
                             ECE  indicators associated  with air and
                             water quality. The pilot project  was devel-
                             oped by FARM in Argentina, in the frame-
                             work of an initiative of the World Bank Insti-
                             tute in Latin America, with other institutions
                             from Brazil (Lawyers for a Green Planet)
                             and Mexico (Ceiba), with the support of the
                             Economic Commission for Latin America
                             and the Caribbean (ECLAC) and INECE.
                             The project was carried out in the Munici-
                             pality of Moron, Province of Buenos Aires,
                             and involved three levels  of government,
                             with major support and involvement from
                             the Mayor of Moron. The  methodology
                             described in the INECE Expert Group doc-
                             ument (Performance Measurement Quid -
                             ance  for Compliance and  Enforcement
                             Practitioners) was used as a starting point
                             for this project and was refined. A large
                             number of  indicators were identified, both
                             for water and air quality. Overall, there were
                             many  more indicators for  inputs and out-
                             puts,  compared to intermediate and final
                             outcomes. This pilot project demonstrated
                             that NGOs have an important role to play in
                             such  projects, particularly in  stimulating
                             and increasing   interest  within govern-
                             ments. The project also clearly demonstrat-
                             ed that a single indicator is  not enough, and
                             that one needs an interrelated system of
                             various indicators in order to tell a story.

                             3  DISCUSSION

                                     The presentations were followed
                             by exchanges between panelists and the
                             audience. A summary of the discussions is
                             presented below,  by major topics.

                             3.1     Perception Issues
                                     There was a discussion on the per-
                             ception issues that may arise when indica-
                             tors are used to provide information to the
                             public. Panelists acknowledged that this is
                             indeed a potential problem. Members of the
                             public can be scared by what they see

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                                                          SUMMARY OF PANEL 4   53
and/or may not interpret the indicators the
way they should. It was suggested that this
risk may be reduced if information is given
to the public using a set of various indica-
tors, with some context to help interpreta-
tion. The choice of indicators is critical as
well. Developers of indicators must always
keep in  mind the possibility of misinterpre-
tation or misuse of indicators by others.

3.2      Funding Allocations Based
        On Indicators
        A question was asked with respect
to a hypothetical situation in which funding
would be allocated based on benefits to the
environment. Panelists were asked how
they would proceed to measure such ben-
efits. It was pointed out that such a situa-
tion  would emphasize  the need for the
development of more  indicators. It was
suggested that in such situations the focus
should be on the development of a set of
two or three outcome measures that are
readily usable. The importance of consult-
ing with stakeholders on the choice of indi-
cators in such cases was also emphasized.

3.3      Training
        There was a suggestion that devel-
oping countries need to learn from those
countries  where  ECE  indicators have
already  been developed and used. It was
pointed  out that formal training is needed
and  that  lessons  learned  need to  be
shared.  There seemed to be consensus on
this topic among the participants.
3.4    Challenges
       Several questions focused on the
various  challenges  associated  with  the
development of ECE  indicators. Those
challenges may be related to the interac-
tions of compliance and enforcement per-
sonnel with their policy development coun-
terparts in government. Other challenges
are related to the development of indicators
for criminal prosecution  programs. The
specific challenges of developing ECE indi-
cators in federally-oriented countries were
also discussed. In the latter case, one pan-
elist suggested that the main challenge in
federal countries is related to data collec-
tion and management (the need for timely
and accurate data).

4 RECOMMENDATIONS FOR INECE

       This panel culminated  in various
recommendations for INECE:
— A Community of Practice should be built
   among  ECE  programs conducting indi-
   cators  project^ in  order to  compile
   accomplishmerits^and lessons learned;
— Indicators should be used to establish a
   culture of performance (promote indica-
   tors as a management tool to improve
   performance and increase effective-
   ness);
— Training should be developed and made
   available. It was suggested that the Per -
   formance Measurement Guidance for
   Compliance  and Enforcement Practi -
   tioners document be used as a starting
   point to develop training tools.

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54           SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                        SUMMARY OF PANEL 5   55
SUMMARY OF PANEL 5: STRENGTHENING THE IMPLEMENTATION
OF MULTILATERAL ENVIRONMENTAL AGREEMENTS

Moderator:   Donald Kaniaru, Kaniaru & Kaniaru, Advocate and former
            Director of Environmental Policy Implementation, United Nations
            Environment Programme

Panelists:    Rosalind Reeve, Chatham House and the International Fund for
            Animal Welfare
            Elizabeth Mrema, United Nations Environment Programme
            Gilbert Bankobeza, Ozone Secretariat
            Iwona Rummel-Bulska, World Meteorological Organization
            Sibusiso Gamede, Basel Convention Regional Centre, South Africa

Rapporteur:  Rene Drolet, Environment Canada
1 INTRODUCTION

       Mr.  Donald Kaniaru opened  the
panel by declaring that implementation of
multilateral   environmental  agreements
(MEAs) is critical, since in the last 30 years
more environmental  agreements have
been adopted1 than in any other area of
international agreements  except  human
rights. He noted that an important tool in
this process is the United Nations Environ-
ment Programme's (UNEP) recently devel-
oped guidelines on MEA implementation. A
key to making the process work is convinc-
ing legislatures,  nongovernmental  organi-
zations (NGOs), and funding agencies of
the importance  of  MEA implementation.
Following  Johannesburg,  Mr.  Kaniaru
observed, the pivotal issue is the question
of implementation: how can we get change
on the ground? Mr. Kaniaru asserted that it
is time to shift focus away from new legis-
lation to how best to implement what has
been adopted.

2 PRESENTATIONS

2.1     Dr. Rosalind Reeve

2,1.1   The Convention on International
       Trade in  Endangered Species of
       Wild Flora and Fauna (CITES)
       The objective of CITES is to ensure
international cooperation among parties to
prevent international trade in specimens of
wild animals and plants from threatening
their survival. It operates through a system
of mandatory licensing whereby  trade in
specie's listed on 3 appendices is controlled
through  permits.  Commercial  trade is
banned for species listed on Appendix I, but
under Appendices II and III, trade is permit-
ted subject to certain  controls.
       Several implementation and com-
pliance tools  have evolved  over the 30
years since CITES entered into force. They
include voluntary export quotas,  national
reporting, the national  legislation project,
technical support and  ad hoc missions,
training workshops, the review of signifi-
cant trade, compliance action plans, and
the use of recommended CITES trade sus-
pensions to address persistent non-compli-
ance. Suspensions may be recommended
against non-compliant countries for all list-
ed species or individual species. They have
been used against 10 countries for gener-
alized non-compliance and have proved an
effective tool to increase annual reporting
of trade  data and to  encourage parties to
enact CITES  implementing  legislation.
Under the national legislation project, a car-
rot-and-stick  approach  is  successfully
addressing non-compliance with enacting

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
national implementing legislation. Technical
assistance  is  backed  up by  legislation
plans, deadlines, and threats of trade sanc-
tions if plans are not provided  and dead-
lines met. The threat of trade sanctions has
prompted  parties  to request  technical
assistance and has led to capacity building.

2.1.2   The Convention on Biological
       Diversity (CBD)
       The  objectives of the Convention
on Biological Diversity are to conserve bio-
logical diversity and to promote sustainable
use of the components of biodiversity and
fair and equitable sharing of benefits aris-
ing from the use of genetic resources. Prior
to 2002, the focus for biodiversity was on
policy  development,  but  this  emphasis
changed with  the  adoption  of the 2010
strategic plan designed to achieve signifi-
cant reduction  of biodiversity loss and shift
focus to implementation.
       Implementation tools for the Biodi-
versity Convention include access to the
Global Environment Facility (GEF) to con-
duct  implementation projects,  country
reporting mechanisms,  a clearinghouse
mechanism, and technology transfer pro-
grams. National reports are required every
four years, but several of these  reports are
late and the data  is often qualitative. The
clearinghouse  has three  objectives  — to
promote scientific and technical coopera-
tion, information exchange,  and network
development.

2.1.3   The Cartagena Protocol
       The Cartagena Protocol,  which
regulates cross-border trade in living modi-
fied  organisms (LMOs), also  includes
reporting requirements  and a biosafety
clearinghouse.  Additional  compliance
mechanisms include a compliance commit-
tee and soft measures such as advice or
assistance, capacity building, issuance of
cautions, and a name and shame option.

2.1.4  CITES and CBD Compared
        In comparing the strengths  and
weaknesses of CITES and CBD, the follow-
                              ing results can be seen. For CITES, the
                              strengths are its  narrow focus, its robust
                              compliance system, and the ability to rec-
                              ommend trade sanctions. For the CBD, the
                              strengths are its clearinghouse  mecha-
                              nism, the ability to access the GEF, and
                              NGO participation. CITES' weaknesses
                              include  lack of funds and political will, lack
                              of information on national  implementation
                              and enforcement,  lack of capacity in nation-
                              al  authorities, exclusion of enforcement
                              personnel from decision-making,  and the
                              legal basis for compliance  mechanisms.
                              For the CBD, weaknesses include lack of
                              focus, complexity, multiplicity of reporting
                              requirements, and lack of information on
                              national implementation.
                             2.2
Ms. Elizabeth Mrema
                                     The Lusaka Agreement's ultimate
                             objective is to eliminate illegal trade in wild
                             fauna and flora, and to set up a permanent
                             Task Force for that purpose. All signatories
                             must establish a national bureau to deal
                             with CITES issues and  must second an
                             enforcement officer to the  Lusaka Task
                             Force located in Nairobi. The ministers with
                             jurisdiction over wildlife from  each party
                             serve as the Governing Council. Although
                             the Agreement has been in effect for 10
                             years, the Task Force has only been in full
                             operation for two and a half years.
                                     One focus of  the Task Force is to
                             create a network with other CITES-related
                             officials  worldwide. However, under  the
                             Agreement, Task Force agents are author-
                             ized to  go into the field to conduct opera-
                             tions and make arrests (59 such operations
                             have been conducted  to date). The on-the-
                             ground work  under Lusaka is  a critical
                             aspect of the program.
                                     One key issue is to strengthen the
                             link between the Task Force and prosecu-
                             tors to increase the likelihood of successful
                             convictions. Another important issue is that
                             success must be measured  by something
                             other than the number of convictions since
                             the animals are often already dead. Instead,
                             the Task Force must go to the root causes
                             of poaching  and  try to deal with these
                             issues to prevent the harm in the first place.

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                                                           SUMMARY OF PANEL 5   57
2.3
Dr. Gilbert Bankobeza
       The implementation of the Montre-
al Protocol provides several valuable les-
sons for other MEAs.
       Better information about success-
ful  implementation  techniques,  including
how data is generated and collected under
other MEAs, would help facilitate imple-
mentation under new MEAs. This informa-
tion gathering process would be easier if
there were better cooperation among con-
vention secretariats.
       At  the national  level,  countries
should  compare  how   implementation
occurs across the various MEAs to which
the countries have become parties.
       The compliance incentives in the
Montreal Protocol are important to its suc-
cess, including: the trade  with  notification
and the trade sanctions provisions, the sus-
pension of participation section, the finan-
cial mechanisms  that can  assist with
capacity-building and  technology transfer,
and the common but differentiated obliga-
•tions  under the Protocol.  It would have
been impossible to achieve such broad
participation (189 parties)  without a broad
range of implementation tools.
       Kyoto utilizes some of the same
implementation tools, including technology
transfer and common but  dfferentiated
obligations, and more MEAs can follow this
lead. However, for these tools to be suc-
cessful there must be a  strong national
focal point for implementation.  We do not
have a common set of implementation tools
in part because the MEAs were adopted at
different times in different political contexts
so that some of the tools were  not ripe for
use at the time  of adoption. As a result,
inter-ministerial cooperation at the national
level is very important  in assuring success-
ful implementation of MEAs.

2.4    Mr. Sibusiso Gamede
       The three conventions  related  to
hazardous chemicals — Basel,  Rotterdam,
and Stockholm — provide an international
framework for environmentally sound man-
agement of hazardous chemicals through-
out their lifecycle. Synergies among the
three conventions are possible at the inter-
national, regional, national, and local levels
since there are a number of similar issues
with each convention. Benefits of coordina-
tion among the three conventions and the
various levels of government are:
— Administrative — minimizing overlaps
   and inconsistencies among policies and
   programs.
— Cost — minimizing duplicative efforts.
— Communication — improved informa-
   tion exchange.
— Life-cycle management — ensuring
   that chemicals management occurs at
   all stages of the chemical life cycle.
— Joint programming — leading  to more
   attention from potential international
   and bilateral donors.

       The obstacles to greater cooper-
tion and synergies include, among others:
Lack of awareness.
— Inter-ministerial cooperation.
— Lack of skills across program areas.
— Lack of funding.
— Lack of coherence among policies.
— Failure to link chemicals management
   to sustainable development.
       Synergies can be created at the
international level through (1) the develop-
ment of international capacity in facilitating
synergies,  (2) improved guidance  and
training material, and (3) improving region-
al mechanisms for jointly implementing the
Conventions, such as the Basel Regional
Centres.
       INECE could make significant con-
tributions to MEA implementation in sever-
al areas including:
— Indicators.
— Providing examples of effective regula-
   tory systems (a particular problem for
   Africa).
— Capacity building.
— Providing model framework legislation.
— Exchanging information.

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     SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
— Developing model legislation that har-
   monizes related conventions.
— Strengthening regional cooperation.
2.5
Dr. Iwona Rummel-Bulska
       The most critical problem in devel-
oping compliance and enforcement pro-
grams for MEAs is the lack of financial
resources. Countries need financial assis-
tance to build enforcement programs, and
they need access to low-cost compliance
technologies that can be quickly and easily
adopted by businesses in developing coun-
tries.
       The  Montreal  Protocol has been
effective, in significant  part, because of its
access to the GEF.  Climate will be much
harder to deal with  than ozone-depleting
chemicals. Funding  may come  from fees,
but it will be much harder to increase fees
without U.S. involvement. There is also a
significant difference  in  implementation
depending on the focus of the MEA. Ozone
was primarily a developed-country issue
with a developed-country solution, so it was
easier to  implement and to fund. Other
MEAs have more direct impacts on devel-
oping countries and are harder to imple-
ment and fund. For example, the GEF does
not provide funding  for implementation of
the Basel Convention.
       What is missing under all agree-
ments is verification; there is almost no on-
site monitoring for environmental MEAs.
This is not the case in other areas such as
treaty regimes that address nuclear facili-
ties or weapons.
       Collaboration with other organiza-
tions like customs agencies may be helpful
in advancing implementation of MEAs. Cor-
porate liability  and compensation  could
also play an important implementation role.
Although this is a sensitive issue that has
not produced consensus among NGOs and
other organizations, perhaps  INECE  can
assist in exploring the role MEAs might play
in establishing a standard of care for pri-
vate liability.
3 DISCUSSION

       Dr.  Bankobeza pointed out  that
even when the international community is
not ready to act on implementation, there
are still ways to proceed. For example, the
Montreal  Protocol was amended four times
to improve implementation  provisions so
that when the international community was
ready to  act,  better tools were already in
place.
       Ms. Mrema suggested that there is
a need to work with all convention secre-
tariats covering similar issues to bring them
together to work on enforcement in areas
such as  hazardous  chemicals, trade in
endangered species, and illegal logging.
       Dr.  Reeve pointed  out problems
with implementation of CITES and the Con-
vention  on  Biological Diversity  at  the
national level. Biodiversity-related treaties
addressing specific  issues are  usually
implemented through  different  national
agencies than the CBD. There is a need for
inter-agency  cooperation at the national
level and coordination of capacity building.
However, harmonization needs to be mutu-
ally supportive and not dilute the effective-
ness  of  the  specific biodiversity-related
treaties.
       Ms. Picolotti from Argentina noted
the value of "shadow  reports" produced by
NGOs  on  national  implementation  pro-
grams. She asked whether any  of the MEA
secretariats, particularly CITES, encourage
these types of reports. Ms Picolotti also
observed that focusing on  human rights
issues such as access to food  might be a
vehicle for raising implementation issues
related to issues such as biodiversity.
       Mr. Ruessink  from the Netherlands
said that political will  is often an issue and
inquired about whether INECE  could work
with NGOs on this issue.
       Dr. Reeve responded  that there
has been no push for  shadow reports relat-
ed to CITES but that it is a good idea. She
pointed out that NGOs have  a capacity
problem  related to shadow reports since
there are over 160 CITES parties. On the
political will issue, she noted NGOs are a
key to strengthening political will.

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                                                          SUMMARY OF PANEL 5   59
       Dr. Rummel-Bulska observed that
there is little cooperation related to human
rights issues but that it should be done in
areas such as  chemicals. She said one
way of creating a constituency for MEA
implementation  is to work with universities
because professors often are seen as very
credible people and less subject to political
influence. We also need  to  work more
closely with judges, in her opinion.
       Ms.   Mrema  agreed  with  Ms.
Picolotti that shadow reports can be useful
and suggested  that it may be helpful to
have a common format for these reports to
facilitate their  use.
       Ms. Duncan from Canada pointed
out the need  to carefully watch enforce-
ment successes, because once successful,
those opposed to regulation  may try to
change the laws that were the basis for the
enforcement actions.
       Ms. Melen from the Ukraine noted
the value of public involvement as part of
national reports under the Aarhus Conven-
tion. She pointed  out that the  Ukraine
report changed significantly from the first to
the final  draft as  a result  of public com-
ments on the first draft.
       Dr. Rummel-Bulska observed that
public  involvement is critical. She noted
that Article 19  of the Basel Convention
allows an NGO to submit its own report on
implementation,  triggering a  verification
mission.
       Dr.  Bankobeza pointed out that
NGOs played a crucial role in the lead-up
to the Montreal Protocol. This has led to a
situation where the parties fear being in
non-compliance  because  of  the public
response.
       Mr.  Shears from England noted
that the European  Union Network for the
Implementation  and Enforcement of Envi-
ronmental Law (IMPEL) has been working
to define the scale of illegal trade in species
and that it is much higher  than expected.
He  also  noted  the possibility of links
between illegal trade in species with other
crime networks such as illicit drugs.

4 CONCLUSION

       Mr.  Kaniaru closed the session by
noting that there is still much to be done to
improve coordination and synergies among
the MEAs. He also pointed out that more
MEAs need access to GEF  resources to be
effective. Finally, Mr. Kaniaru observed that
lessons learned from implementing earlier
conventions need to be taken into account
in designing implementation programs for
the newer conventions.

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60           SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                        SUMMARY OF PANEL 7   61
SUMMARY OF PANEL 7: THE ROLE OF INTERNATIONAL
FINANCIAL INSTITUTIONS IN COMPLIANCE AND ENFORCEMENT
Moderator:

Panelists:
             Adriana Bianchi, World Bank Institute
             Sheng Shuo Lang, Multilateral Fund for the Montreal Protocol Secretariat
             Alberto Ninio, World Bank
             Dariusz Prasek, European Bank for Reconstruction and Development

Rapporteur:   Melanie Nakagawa, INECE Secretariat
1 INTRODUCTION

       This panel addressed the role of
multilateral development banks in environ-
mental  compliance  and  enforcement.
Panelists discussed measures to ensure
internal compliance  with the banks' own
environmental  and sustainable develop-
ment policies, such as inspection panels,
compliance advisors and offices, accounta-
bility mechanisms, etc. They also explored
ways  banks can  support environmental
compliance and sustainable devejopment
in countries receiving funding. This support
may include indigenous policies,  environ-
mental impact assessments, and other rel-
evant activities. Finally, panelists and con-
ference participants brainstormed  practical
mechanisms  to  improve environmental
governance and to meet sustainable devel-
opment objectives.

2 PRESENTATIONS

2.1     Presentation by
       Mr. Sheng Shuo Lang
       Mr. Sheng Shuo Lang's presenta-
tion focused on the Multilateral Fund's use
of funding as leverage to help developing
countries comply with the Montreal Proto-
col. The Fund's assistance to China to
reduce and eliminate the production of
chlorofluorocarbons  (CFCs) exemplified
the  effectiveness of a performance-based
funding modality. China became the largest
CFC producer in the world after the devel-
oped countries terminated CFC production
                                        in  1996. China produced 45,000 tons of
                                        CFCs in 1997; since then production has
                                        been growing in double digits every year. In
                                        1999, China  agreed  to  close  down  its
                                        plants if the Fund would pay  China 150 mil-
                                        lion dollars in annual installments. Funding
                                        was  conditioned   on  achievement  of
                                        agreed-upon production reductions and on
                                        independent verification. On-site verifica-
                                        tion  was  satisfied  by reviewing  plant
                                        records on level of production, consump-
                                        tion of raw materials, number of days of
                                        production, and other details. Any default
                                        on reduction achievement could  be penal-
                                        ized by US$1,000 for each ton not reduced.

                                        2.2    Presentation by Mr. Alberto Ninio
                                               Mr.  Alberto Ninio's presentation
                                        focused on the accountability and function
                                        of  the World Bank Inspection Panel. The
                                        Panel, created in 1993,  is the oldest
                                        accountability  mechanism in the context of
                                        multilateral organizations. Mr. Ninio shared
                                        his reflections on the Panel  and described
                                        what is happening  on the ground. First, he
                                        explained some limitations  on multilateral
                                        development banks. For instance, the gov-
                                        ernment,  not the Bank, is responsible for
                                        implementing  projects; the Bank can only
                                        suspend disbursements and subsequently
                                        leave the project altogether. As a result,
                                        long-term sustainability of  agreed meas-
                                        ures may be compromised. This problem
                                        can be addressed  if public funds are used
                                        with transparency and if regional develop-
                                        ment banks are responsible to the people
                                        and shareholders.

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
       Mr. Ninio stressed the importance
of accountability. In response to demands
to finance in a socially responsible manner,
the  Bank adopted several policies and an
independent verification and accountability
mechanism -  the   Inspection  Panel.
Creation of the Panel signaled a shift in
public international law giving nongovern-
mental organizations (NGOs) and  individu-
als access to the highest level of the Bank,
the  Board of Directors. Mr. Ninio  believed
that the Panel has had a positive impact
despite a limited number of complaints and
a conservative cost estimate of about $20
million over the past 12 years. On  balance,
the positive change he has witnessed in the
Bank's internal culture of compliance may
be viewed as a considerable feat.
       Mr. Ninio concluded by discussing
recommendations for  the future of the
Inspection  Panel.   He   recommended
mandatory  facilitation  or  mediation
because he felt this process could  easily
dispose of some complaints. He also rec-
ommended mandatory sharing.of lessons
through dialogue, as this is  not currently
done on a systematic  basis. Similarly, the
Panel could have an advisory component.
Mr.  Ninio   mentioned  that  stricter time-
frames  could  apply to the  investigation
phase to ensure that the  Panel's findings
are  available without major delays. Lastly,
he suggested  having either a fixed panel
that is completely replaced after five years,
or having ad  hoc specialized panels for
each case.

2.3      Presentation by
        Dr. Dariusz Prasek
        Dr. Dariusz Prasek discussed envi-
ronmental appraisal of investment projects
and   environmental   compliance  and
enforcement from the perspective of the
European   Bank for  Reconstruction and
Development (EBRD).  He began by outlin-
ing  common  misconceptions of EBRD's
abilities, environmental safeguards, regula-
tions, and  mechanisms for enforcement.
Established in 1991,  the  EBRD is the
youngest  of  the regional development
banks. It is owned by sixty-two  countries
                             and two  supranational shareholders: the
                             European Union and European Investment
                             Bank. Although based in London,  it has
                             regional offices in all countries of operation,
                             including  Central/Eastern  Europe  and
                             some parts of Asia.
                                    In 1991, the EBRD became the first
                             international organization given an environ-
                             mental mandate, consisting of guiding prin-
                             ciples for environmental and sustainable
                             development. The EBRD mandate touches
                             on the issues of community, involuntary
                             resettlement,  and  labor  standards.  The
                             EBRD handles both small- and large-scale
                             projects,  such as the Baku-Tbilisi-Ceyhan
                             pipeline project. It is guided by environmen-
                             tal policy and focuses on conducting envi-
                             ronmental projects to manage risk, disclose
                             information, and  have thorough  consulta-
                             tion.
                                    The EBRD also has the  youngest
                             accountability mechanism - an independ-
                             ent recourse mechanism - drawing on les-
                             sons learned from the Inspection Panel and
                             the International  Finance  Corporation's
                             Compliance Advisory Ombudsman.
                                    The EBRD's classification system
                             determines the impact of each Bank proj-
                             ect, guided  by the principle that compliance
                             with  national  laws is always a must. The
                             project must meet both national regulations
                             and European Union standards. If there are
                             issues to be mitigated and improved as a
                             result of  due diligence,  the Bank agrees
                             with clients on Environmental Action Plans.
                             These plans  are  legal agreements con-
                             ducive to  achieving  international  good
                             practice standards. Dr. Prasek stressed the
                             importance of meaningful consultation and
                             monitoring  activities during  project  imple-
                             mentation. This is often where NGOs play a
                             role because they raise the issues and con-
                             duct periodic environmental assessments.
                                    Dr.  Prasek concluded his presenta-
                             tion by briefly discussing the EBRD's inde-
                             pendent recourse mechanism, stating that
                             its two main functions are problem solving
                             and compliance.  He believed that interna-
                             tional commitments can be met at the proj-
                             ect level  through compliance and enforce-
                             ment  mechanisms. He emphasized the

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                                                           SUMMARY OF PANEL 7   63
importance  of  working  in  partnerships
because small  institutions cannot  solve
everything.

3 DISCUSSION

       After the presentations, there was
a period of questions and answers. The
panelists  fielded  a variety  of  questions
ranging from inspection monitoring to veri-
fication procedure.
       One key point raised was the differ-
ent verification mechanisms used by each
organization:
— In the  Multilateral Fund, independent
   auditing firms carry out verification.
— In the World Bank, verifiers are selected
   by the  World  Bank President with the
   approval of the Board of Directors, and
   can never be hired by the Bank again as
   employees or consultants.
— In EBRD bank audits, there is independ-
   ent verification and routine requests for
   corporations to achieve various certifica-
   tions, including ISO 14001.
       Another important issue raised was
the use of EBRD's political leverage to
achieve recipient country domestic compli-
ance with EBRD standards. Similarly, Dr.
Adriana Bianchi noted the private sector's
use of the Equator Principles to achieve
environmental safeguards in project lend-
ing and financing.

4 CONCLUSION

       The final set of questions brought
forth the notion that INECE can work with
enforcement  and compliance groups for
capacity building on a variety of levels. Cur-
rently,  the World  Bank  has worked on
capacity building with INECE, with a recent
presentation  on indicators given  at  the
Bank by Mr. Michael Stahl of the US Envi-
ronmental Protection Agency and INECE.
At a local level, there is still work to be
done. Mr. Ninio pointed out that a  project
typically takes three to four years to pre-
pare, and building capacity can take a life-
time. Thus, there is a need to balance the
timing of forming capacity and moving the
project forward. Often this process is done
in parallel in accordance with public partic-
ipation and by considering mitigation of off-
sets.

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64           SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                         WORKSHOP SESSION 1  65
                         WORKSHOP SESSION 1

   Exploring Current Environmental Compliance and Enforcement Topics


       Conference participants explored important current topics in environmental compli-
ance and enforcement, including broad "background" concepts (theories of compliance,
design principles, and exploration of good governance and the rule of law), types of prac-
tices or approaches (economics, compliance assistance, communications policy, and pub-
lic participation),  and a specific example of an ongoing cooperative enforcement effort
(Ecomessage).


1A Economic Aspects of Compliance and Enforcement
       Facilitators: Krzysztof Michalak, Organisation for Economic Co-operation and
                 Development
                 Ger H.J. Ranter, Province of Overijssel, The Netherlands

1B Compliance Incentives and Other Assistance
       Facilitators: Thomas Maslany, Environmental Protection Agency, United States
                 (retired)
                 Rene Drolet, Environment Canada

1C Ecomessage/lnterpol and the Police
       Facilitators: Bill Clark,  Israel Nature and National Parks Protection Authority
                 Andrew Lauterback, Environmental Protection Agency,
                 United States;  Interpol

1D Compliance and Enforcement Theories and Design Principles
       Facilitators: Lee Paddock, International Union for the Conservation of Nature;
                 Pace Law School, United States
                 Marcia Mulkey, Temple University, United States

1E/F Information Management, Reporting Requirements, and Self-monitoring
       Facilitators: Donna Campbell, New South Wales Department of Environment
                 and Conservation, Australia
                 Markku Hietamaki, Ministry of the Environment, Finland

1C Good Governance and the Rule of Law
       Facilitators: Angela Bularga, Organisation for Economic Co-operation
                 and Development
                 Adriana Bianchi, World Bank Institute
                 Michael Stahl,  Environmental  Protection Agency, United States

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66          SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

1H Communications Policy and Practice
       Facilitators: John Cruden, Environment and Natural Resources Division,
                  Department of Justice, United States
                  Krystyna Panek-Gondek, Inspectorate for Environmental Protection,
                  Poland
11 Citizen Participation in Environmental Enforcement
       Facilitators: Georges Kremlis, European Commission
                  Katia Opalka, Commission for Environmental Cooperation
                  Romina Picolotti, Center for Human Rights and Environment,
                  Argentina
                  Barry Hill, Environmental Protection Agency, United States
Report Out from Workshop Session 1
       Moderator: Bharat Mathur, Environmental Protection Agency, United States

In the following pages, the reports of these workshops are presented.

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                                                    SUMMARY OF WORKSHOP 1A   67
SUMMARY OF WORKSHOP 1 A: ECONOMIC ASPECTS
OF COMPLIANCE AND ENFORCEMENT

Facilitators:   Krzysztof Michalak, Organisation for Economic Co-operation
             and Development
             Ger H.J. Ranter, Province of Overijssel, The Netherlands

Rapporteur:   Davis Jones, Environmental Protection Agency, United States
GOALS

       To discuss the reasons why companies violate environmental laws and explore
both regulatory and non-regulatory solutions to this problem.
1 INTRODUCTION

       The  facilitators raised four key
questions for consideration:
1. What are key factors that lead firms to
  comply or not to comply with environ-
  mental requirements?
2. What are types of regulatory approaches
  that are enforceable and lead to environ-
  mental improvements?
3. What  is   the  appropriate  balance
  between compliance  monitoring  and
  enforcement to respond to violations?
4. What are other non-regulatory schemes,
  such as performance ratings, public dis-
  closure, and emissions trading, that may
  also encourage changes in behavior or
  compliance with environmental rules in a
  more cost-effective manner?
       One  of the primary reasons that
companies violate environmental  laws is
that they are unwilling to spend the money
necessary to comply.  Another  reason is
that many permits may be too complex or
overly burdensome, so  companies can  not
comply with every detail. Finally, compa-
nies may not see the effects of their actions
when pollution is dispersed or the harm is
caused  far  from  their facilities.  This
decreases their concern and knowledge of
the importance of their compliance.
       Penalties are one mechanism that
may be useful to "balance the books" and
increase  the cost of non-compliance to
motivate enterprises to invest appropriate-
ly. However, other mechanisms, including
closure of the facility, criminal sanctions,
pubic disclosure, and direct communication
with the company may also be effective.
       One way proposed to increase
enforcement efficiency would be to shift the
burden of proof to the industry to show they
are  in compliance,  ratheV  than  on the
inspectorate to  show violations. Another
effort for  efficiency involved  the prioritiza-
tion of regulations for inspectorates to bet-
ter focus their efforts on the most important
rules.
       Efforts are needed to focus permits
on outcomes instead of detailed require-
ments  mandating  methods to  achieve
those outcomes. This would both increase
compliance with  more limited requirements
and make compliance more efficient for the
regulated community  and  enforcement
more meaningful for the authorities.  If the
permitted limit is achieved, there would be
limited  oversight. However, if the emission
limit is exceeded, the polluter would have to
prove that they had met or exceeded the
required  management practices. Inspec-
torates would not have to prove complicat-
ed technical violations in court; instead the
polluter would have to prove  that they met
the requirements. Subsequent  penalties
should take away economic incentives to

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
violate and make violators rethink their
practices and compensate the public for
any harm caused.

2 DISCUSSION SUMMARY

       Mr. Kenneth Ruffing of the Organi-
sation  for Economic  Co-operation  and
Development (OECD) opened  the work-
shop by presenting the outcomes of the
December 2004 OECD/INECE workshop
on the Economic Aspects of Environmental
Compliance Assurance held in  Paris and
distributed the background paper for that
workshop, (see http://www.oecd.org/docu-
ment/20/0,2340,en_2649_34339_3364565
2_1_1_1_1,00.html) The conclusion of the
event has led the OECD to continue to
work on the topic and gather more views
and experiences to develop cost-effective
controls and economic motivators for com-
pliance. Compliance  promotion systems
that have been in place rely on many com-
ponents to function effectively, including
actions at the firm, compliance monitoring
by the competent authorities, enforcement
actions when violations are found,' and the
collection of penalties when appropriate.
But these systems are only as strong as
the weakest link, and  if companies contin-
ue to fail to comply, efforts count for little.
Estimates show that 60% - 80% of facilities
in OECD member countries may be out of
compliance at any given time, and percent-
ages may be worse among non-member
countries.
       There must be an increase in the
use of economic instruments to reduce the
cost of compliance and provide additional
economic incentives  to  comply.  More
empirical analysis on compliance rates and
the causes for non-compliance is  needed,
as  well  as  the  most  effective policy
approaches. Countries need to better ana-
lyze the financing that their programs need
and to better understand and utilize mech-
anisms  such  as   self-implementing
approaches to help reduce the costs to the
government of increasing compliance. It is
incumbent on all to find the most efficient
means to improve compliance rates.
                             2.1     Are Penalties an Effective Means
                                    of Providing Economic Incentives
                                    for Compliance?
                                    Money and profits are the biggest
                             factors that motivate entities to not comply
                             with  environmental  laws.  Investments
                             required for compliance cut into profits and
                             investments in other areas. Penalties can
                             be an effective way to balance these costs
                             and eliminate  the financial incentive not to
                             comply by recouping any economic bene-
                             fits derived from the violation. However, Mr.
                             Peter Lehner commented that many times,
                             penalties are not big enough to truly cover
                             the savings  from  non-compliance.  The
                             State of New York brought several cases
                             against coal-fired  power plants for viola-
                             tions of the U.S. Clean Air Act. As a result
                             of one case, a company will install pollution
                             control devices costing over $1 billion, but
                             these changes should have been done 10
                             years ago. The $8 million penalty collected
                             doesn't come close to covering  the return
                             on their investment achieved by delaying
                             the required expenditures. The statutory
                             maximum for this type of continuing penal-
                             ty could have been much higher,  even in
                             the hundreds of millions  of dollars, but in
                             the current climate, no one would authorize
                             a penalty that  truly recaptured the econom-
                             ic benefits the company gained over the
                             years. More effort is needed to educate
                             judges and decision makers on the true
                             value of non-compliance and the costs of
                             damages.
                                    The United States Environmental
                             Protection Agency has developed a mathe-
                             matical model to calculate the  economic
                             benefit of  noncompliance. The standard-
                             ized  method  has helped  increase  the
                             penalties, and ensure some national con-
                             sistency, but often, in cases with very high
                             economic benefits, the full value is seldom
                             collected in the penalty.
                                    Mr. Neil Davies  commented that
                             penalties may also be based on the envi-
                             ronmental damages resulting from  non-
                             compliance. However, the  value  of  the
                             damage is usually very  difficult to deter-
                             mine, and may be quite  high if all factors

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                                                     SUMMARY OF WORKSHOP 1A   69
are  considered.  Mr.  Daniel  Geisbacher
added that we can count dead fish, or other
concrete effects, but not broad damages to
the environment or intangible effects.  Mr.
Peter Lehner described some of the tools
used in the United States, particularly to
evaluate the loss  of wetlands.  However,
measurable effects such as number of fish
killed, while easier  to  calculate, only
account for a fraction of the harm, and do
not measure the  value of the aesthetics
and  other intangibles. In other cases,  we
can calculate the number of deaths result-
ing from a given amount of air pollution,  but
ascribing  the worth of a  human  life is
extremely controversial.
2.2
Penalties as Deterrence
       Mr. Neil Davies said that deter-
rence comes  from the  marginal  cost of
compliance  compared  with  the  risk of
detection and the amount of a penalty.
Damages to the environment  are  often
caused by accidents or unforeseen events.
As such, the collection of damages does
not usually result in true deterrence. Mr.
Ken  Ruffing added that if the penalties
themselves do not rise to the true benefit of
non-compliance, going beyond that amount
may be moot, and ineffective.
       Mr. Peter Lehner stated that penal-
ties are generally used to respond to culpa-
bility, and may determine which is  more
appropriate: the  collection  of  damages
caused or the economic benefit derived.
Another aspect of the penalty should be
punitive to help deter future violations.
       In developing  countries, penalties
may not  be feasible as a mechanism to
change behavior. Dr.  Warapong Tungitti-
plakorn explained that in  Thailand, the Pol-
lution Control  Department has not  been
able  to  get  any company  to pay any
amount of penalty. The government is try-
ing to develop a penalty policy for judicially
acceptable  calculations,  but  have  no
administrative  mechanism  outside the
court system to assess and collect a penal-
ty. They have had some success in negoti-
ating non-penalty  solutions  directly with
companies, but have not taken any cases
to court.
2.3    Other Types of Effective Sanctions
       In the United Kingdom, Mr. Martin
Murray said that, although they have the
authority to close a facility, the authority is
seldom if ever used. There is a fear that the
company could sue the government for lost
profits while they were closed. However,
the statute does not allow much discretion,
and if the company  does not  voluntarily
comply,  the statute  mandates  that they
cease operation. This  is  seen  as too
extreme a response for most violations.
       Mr. Mihail Dimovski explained that
several industries in Eastern Europe were
closed because of the risks they presented,
particularly at chlorine plants. The inspec-
torate has the authority to cut the power to
the facility, in effect forcing its closure. Both
the inspectorate and the company found
that it was much more expensive to close
the facility than any penalty, greatly accel-
erating the response. Closure can be much
more punitive and  powerful than other
means of enforcement.
       Mr. Krzysztof Michalak cited exam-
ples where the government actively adver-
tised the  closure of enterprises to promote
the authority of the ministry and the conse-
quences of non-compliance. However, Mr.
Peter Lehner said that in his experience,
the ministry would never  announce that
they forced the closure of a company for
environmental reasons, as it reinforces the
argument that environmental protection is
incompatible with job creation.

2.4    Do Different Types of
       Companies Respond Differently
       to Compliance?
       Mr. Peter Lehner said that he has
seen several  differences in companies
based on their ownership and size.  Private-
ly  held companies  can more  effectively
plan for longer terms and  project future
benefits compared to  present costs. Public
companies are often less concerned about
future benefits  and are forced to place
more importance on short-term benefits.
For this reason, more closely-held  compa-
nies are generally more compliant as they

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70
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
are willing to make the expenditures neces-
sary for longer term needs. Another factor
is how local the ownership of the company
is. Local companies tend to have a larger
stake  in the community and are more con-
cerned with environmental issues. As com-
panies become larger and more diversified,
they may tend to comply less.
        Mr. Kenneth  Ruffing cited some
contradictions that came from a study of
firms that didn't focus on compliance, but
on predictions of  whether environmental
management systems (EMS) are in place
or not.  They  examined factors  that may
make firms change processes to prevent
pollution and subsequent compliance prob-
lems,  instead  of  end-of-pipe  treatment.
These studies have found that widely-held,
global corporations are more likely to  have
better EMSs due to reporting requirements
and corporate social responsibility.  This
seems to conflict  with New York's experi-
ence on compliance of different size firms.
        Mr. Peter  Lehner responded that
big cpmpanies may be more likely to  have
an EMS, but are also very carefully scruti-
nizing and guarding their environmental
budget. He admitted that he  may  have
overstated differences between  large and
small  companies, because  many small
companies are not complying due to costs.
The contrast may  be more appropriate for
mid-size firms with a strong connection to a
community compared with  multinational
conglomerates.
        Mr. Daniel Geisbacher agreed that
there are differences between large and
small companies.  Larger companies care
more  about reputation, as that may impact
their stock price. Smaller companies tend
to operate with smaller margins, are closer
to bankruptcy, and may  not be  able to
afford compliance.

2.5     Other Incentives for Compliance
        However,  there are other factors
that may give  larger companies a greater
incentive to comply. Mr. Antero Honkasalo
said that the problem with small and medi-
um-sized enterprises is that they primarily
lack the knowledge and resources to com-
                             ply. In addition, the inspectors may not
                             have the expertise necessary to verify com-
                             pliance. In Finland, there are more than
                             400 municipalities, some with only a few
                             thousand inhabitants, so the local  inspec-
                             tors may not be able to determine  compli-
                             ance at the more complex facilities.
                                     The compliance situation may also
                             differ depending on the social norms in dif-
                             ferent  countries. For example,  in Nordic
                             countries, there are generally high levels of
                             compliance due to  great respect  for law
                             generally. In these situations, the concen-
                             tration should not be on the penalty, but on
                             prevention. Penalties  are  a  reactive
                             response after the fact, rather than proac-
                             tively ensuring compliance before viola-
                             tions occur.
                                     Through an OECD country  assess-
                             ment  in   Chile,  Mr.  Kenneth  Ruffing
                             observed that the government worked with
                             one particular sector to provide technical
                             assistance through  the trade association.
                             This effort ensured that  all enterprises
                             knew what the rules are, they knew that
                             they all need to comply, and they received
                             technical  assistance and recognition  for
                             voluntary participation.  Working  through
                             the trade group ensured very good partici-
                             pation and increased compliance. The reg-
                             ulated sector saw it not as an effort to set
                             the regulatory bar higher, but raise every-
                             one to the bar in the same time-frame.
                                     Mr. Neil Davies described a similar
                             approach  in the  United  Kingdom. Trade
                             associations signed up for agreements with
                             the environment agency,  not  individual
                             companies. If an individual enterprise then
                             complied  with   the   agreement,  they
                             received a rebate on their energy levy as
                             an economic motivation.

                             2.6     Clear,  Enforceable
                                     Permits Required
                                     The group also acknowledged the
                             need for permits and regulations that focus
                             on the outcome,  not necessarily  the way
                             the outcome is reached. A flexible frame-
                             work for compliance allows the operator to
                             find the most efficient  way to reach an
                             emission limit, so they are more  likely to

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                                                      SUMMARY OF WORKSHOP 1A   71
comply. Ms.  Maryna Yanush suggested
that this can also make the inspectorate
more efficient by freeing the inspectors to
look at the outcome and result, rather than
the minutia of detailed rules.
        Mr. G.H.J. Ranter stated that regu-
lators should look for middle ground so
inspectors can inspect in efficient ways, but
businesses can follow rules with no discus-
sion or questions. In Holland, they are mak-
ing efforts to reduce  the number of rules,
prioritize between more and less important
rules, and  focus on  the most important.
Regulators should focus on the goal behind
the rule, not the detailed procedures need-
ed to achieve the goal.
        Mr. Peter Lehner explained that in
the United States, permits must be specific
so violations will be specific and complaints
will stand up in court. Violations of general
objectives are very difficult to enforce; the
law may say that companies must not pol-
lute the air, but it is hard to establish a vio-
lation without specific criteria. Judges tend
to favor private interests,  so we must be
very clear about why costs  are  required.
Courts  are  designed to  protect  private
rights, not the publip right to a healthy envi-
ronment, so detailed  permits are required
to shift the burden of proof  to the polluter.

2.7     Other Non-Regulatory Structures
        There may  be room for greater
flexibility if the effluent or emission is meet-
ing the overall  objectives.  Mr.  Kenneth
Ruffing  asked whether the problems with
penalties and strict compliance measures
advocate for other economic tools and mar-
ket sources. Emission trading schemes put
the burden on companies to establish their
emission volumes/types so they can partic-
ipate in the market. Enforcement is on the
validity  of their measures, but authorities
would not need as much monitoring if pol-
luters could choose cost-effective ways of
reaching outcomes so they can trade emis-
sion credits after controls are implemented.
The key is to  get  the limit right, which
applies to either a trading system or a per-
mit-based regulatory system.
        Many countries have established
taxes or fees on waste or effluent to moti-
vate pollution prevention. Mr. Ruffing stated
that a large number of OECD countries
have environmentally related taxes, fees,
or charges. However, there are so many
exemptions that the system is not effective.
Studies have shown that between  1300
and 1400 exemptions to pollution taxes or
fees exist in the 30 OECD countries.
       While these tools may be effective
to address emission or effluent problems,
there  are many  environmental require-
ments designed to eliminate releases or
accidents. Mr. Peter Lehner cited the situa-
tion with storage tank leak prevention sys-
tems  where any discharge is prohibited.
Neither pollution trading schemes or waste
taxes would work  to regulate those  sys-
tems, so traditional mechanisms are  still
effective.

3 CONCLUSION

       The group agreed that compliance
decisions are motivated  by economic and
financial factors in most  circumstances.
Economic efficiencies must be sought that
promote compliance  and eliminate  any
incentives to  violate environmental  laws.
The full range  of tools must be used to
eliminate economic disincentives to compli-
ance, including  penalties to address viola-
tions  and new  regulatory approaches to
reach environmental goals in the most effi-
cient manner possible.

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72           SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                   SUMMARY OF WORKSHOP 1B   73
SUMMARY OF WORKSHOP 1B: COMPLIANCE
INCENTIVES AND OTHER ASSISTANCE

Facilitators:  Thomas Maslany, Environmental Protection Agency, United States (retired)
            Rene Drolet, Environment Canada

Rapporteur:  Scott Stone, INECE Secretariat


GOALS

       To explore the following questions:
— How can government agencies motivate those who decide to comply with or to violate
   the law based on the government's actions ("the Reactive Group")?
— What are some unique programs that accomplish this motivation?
— Who can the government partner with (and how) to implement these programs?
— How do you address issues associated with these programs?
1 INTRODUCTION

       Compliance assistance and incen-
tives are only effective if they are backed by
a strong threat of enforcement with sanc-
tions.
       To secure compliance, the regulat-
ed community  must: (1) be aware of the
rule; (2) be willing to comply; and (3) be
able to comply.
       The regulated community may be
divided into three groups, which change
over time based on how the agency inter-
acts with the community, the type of com-
munity, and the type of regulation. These
three groups are: (a) compliant group; (b)
reactive group;  and (c) resistant group.

2 DISCUSSION SUMMARY

       The regulated community divides
into three groups:
— Compliant Group: complies irrespective
  of what the government does; believes
  in rule of law; believes in environmental
  protection; incorporates environmental
  regulations  into  their  business  plans
  (Note: government behavior can change
  the size of this group).
— Reactive Group: decides to comply or
   not comply based on the government's
   behavior/actions (usually the  largest
   group).
— Resistant Group: refuses to comply with
   environmental laws and regulations, and
   enforcement actions must be taken to
   compel them to comply.
       Government agencies can help
motivate the Reactive Group by using the
carrot and the stick (e.g. assistance and
incentives offered against the backdrop of
enforcement).

2.1    Some  Types of Compliance
       Assistance
       Some  types of  compliance assis-
tance include  compliance assistance cen-
ters, workshops/training, printed material,
audits and inspections, skill transfer pro-
grams, and training of  compliance assis-
tance providers.

2.2    Some  Types of Positive Incentives
       Positive incentives include awards,
green labels, tax incentives, low-cost loans
or grants, tax incentives,  and  legal time
extensions for  compliance.

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
       Legal extensions can be informal
or written into the law. In the early 1980s,
the  United States passed the Steel Exten-
sion Compliance Act in order to encourage
investment in modernization. This legisla-
tion allowed members of the steel industry
to postpone their investment in pollution
prevention  if they agreed to a long-term
compliance schedule for all their violations.

2.3     Some Types of Negative
       Incentives
       Negative incentives include public
disclosure of non-compliance, financial dis-
closure of environmental liabilities, and pol-
lution fees.

2.4     Issues Associated with
       Compliance Assistance Programs
       One issue that may arise with com-
pliance assistance programs is that indus-
try  may fear communicating non-compli-
ance, as facilities in violation are usually
unwilling to disclose this fact to the govern-
ment.
       Another issue is that there can be
tension  between compliance  assistance
staff and enforcement staff within govern-
ment. There is a need for good communi-
cation between  compliance assistance and
enforcement staffs because sometimes the
enforcement staff views compliance assis-
tance as a  step backward. There is also a
need to make it clear to enforcement staff
that compliance assistance makes their
jobs easier because they lack resources to
prosecute  every instance  of noncompli-
ance. Additionally, documenting attempts to
offer compliance assistance to firms that
refuse to accept them provides justification
for  enforcement actions, which can help
when the decision to prosecute raises diffi-
cult political issues.
       Finally,  compliance assistance is
not effective without enforcement.

2.5    Reducing Cost of
       Government Programs
       Working with trade organizations
and other groups to help  spread govern-
                              ment compliance assistance messages
                              can lower the costs of compliance assis-
                              tance programs.

                              2.6     Reliance on Government Advice
                                     Reliance  on  government  advice
                              can be  used as a defense for non-compli-
                              ance when firms follow a detailed compli-
                              ance assistance  program and still fail to
                              come into compliance.
                                     There is a need to limit how much
                              detail a compliance  assistance program
                              provides. The position of the United States
                              Environmental Protection Agency (USEPA)
                              is to point firms in the right direction, but not
                              give professional engineering advice, etc.
                              The USEPA will only identify types of tech-
                              nologies, places to acquire it, etc.

                              2.7     Tailoring Programs
                                     Compliance  assistance  must be
                              adapted to fit the targeted industry as differ-
                              ent  industry and  corporate cultures  will
                              respond differently to forms  of compliance
                              assistance. Choosing the  most effective
                              format  requires understanding a business
                              sector's behavior regarding compliance,
                              including at sociological and psychological
                              levels.  Each business sector has its own
                              unique  ways of receiving information, lev-
                              els of resources to devote to government
                              requirements, and interaction with the gov-
                              ernment.
                                     For example, in the U.S. in  the
                              early 1990s, the USEPA announced regu-
                              lations for the dry cleaning industry. Half of
                              all  dry  cleaning facilities in the U.S. were
                              owned  by Koreans, who got most of their
                              information  from  Korean  trade associa-
                              tions. Initially, the USEPA did not have a
                              working relationship with these trade asso-
                              ciations, and so the new regulations did not
                              reach large parts of the regulated commu-
                              nity until the USEPA created such a rela-
                              tionship.

                              2.8    Key Questions & Issues
                                     Question: Working with the private
                              sector can lower costs of compliance assis-
                              tance programs, but how can  regulators

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                                                    SUMMARY OF WORKSHOP 1B   75
maintain their independence when working
closely with industry?
       Answer: Providing public informa-
tion to a trade association  and/or non-
governmental organizations (NGOs) opens
lines of communication. Regulators are not
asking the  trade association or NGO to
report violations to them.
       Question: How should regulators
respond when a firm contacts the agency
because the firm wants  to do something
that is not required, but meets many of the
same  regulatory goals?
       Answer: Regulators should reiter-
ate the regulatory standard and provide the
firm with advice and interpretation of the
standard. The agency should  have a com-
mon message that all personnel can use,
such as that they are willing  to work with
firms,  but  the bottom  line  remains  the
same.
       Question: If a firm accepts compli-
ance  assistance,  should  the regulator
waive penalties for noncompliance?
       Answer: The regulator should not
provide government-backed  guarantees
regarding enforcement.
       Question:  How  effective  is  the
European Union's strategy of publishing all
available technologies and requiring that
the regulated community show that  the
technologies they use are the best option
for them?
       Answer: Regulators must be care-
ful not to give one firm any information that
provides  a competitive  advantage over
other competing firms.
       Question: How  can  it be made
clear for inspectors and other regulators to
distinguish between when they are provid-
ing advice and when they are describing
the law or standard?
       Answer: Some enforcement per-
sonnel have extensive training regimens,
but the compliance assistance personnel
do not. Compliance assistance personnel
should get similarly extensive training.
Clear policy on providing compliance assis-
tance should be developed.
       Question: What role does planning
and cost play in compliance assistance
programs?
       Answer:   Every   agency   will
approach this differently, but there are a
few basic guidelines:
— capacity-building and compliance assis-
   tance  programs  should  involve all
   agency  personnel and  not just  the
   enforcement staff;
— there can be constitutional limits to pro-
   grams that involve taxes and tax funds,
   which  require everyone to be taxed in
   the same manner;
— funds  collected  from  environmental
   enforcement actions (via penalties and
   fines) can be applied to different compli-
   ance assistance programs, but this often
   requires special training for judges or
   provisions in the law;
— it can be useful to  work with  other gov-
   ernment agencies  when pursuing com-
   pliance  assistance programs;  in  the
   U.S., the USEPA  will work  with state
   agencies because they have different
   constitutional and  other legal limits on
   how they can use penalty money.
       Question:  Are there  any  unique
compliance  assistance programs? With
whom and how can the government  partner
to implement these programs? How can
you address issues associated  with these
programs?
       Answer: NetRegs is a program in
the UK that is geared toward  small and
medium-sized   enterprises    (SMEs).
NetRegs  makes  environmental  legal
requirements accessible to SMEs  via the
internet, tailoring specific standards  to spe-
cific industries. It has proven to be more
cost-effective than inspections. Making a
website useful to SMEs requires marketing
research, asking  SME owners and  opera-
tors what they think of the website, measur-
ing how many people use the site, and
other factors such as what SMEs' needs
and key issues are. For example, for devel-
opers, the key issue is time because they
want to start building right away.  Some pro-
grams will allow for developers with a long
history of compliance to have an expedited
permitting time.
       Question: What types of funding

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76
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
can be used for compliance assistance pro-
grams, and is it possible to get funding from
the private sector?
       Answer: It depends on the laws
and constitution of the country. However,
many non-government groups such  as
trade organizations or citizen groups have
a similar mission (i.e., to improve the envi-
ronment or to service the regulated com-
munity)  and are willing  to devote their
resources in partnership with the  govern-
ment to provide  compliance assistance.
Also, in some situations it is possible to use
collected penalties for compliance assis-
tance.
       Question: What are  some contro-
versial approaches (i.e. approaches where
participants were not in  universal agree-
ment as to their effectiveness)?
       Answer:  (1) Allowing local/state
governments to  administer compliance
assistance programs;  (2) Amnesty pro-
grams. In the U.S. pesticide program, when
widespread  non-compliance was deter-
mined, the USEPA  allowed a six-month
period for self-reporting  with significantly
reduced penalties but followed it with a vig-
orous enforcement period. In India, firms
are given an amnesty for past violations if
they sign up to a compliance plan and a
legal  action  was  not already  initiated
against them.
       Question:  Where do  you  find
money to pay for incentive programs?
       Answer: The United States had a
milk program where a small  percentage of
each sale (1-2 cents) went to a fund to pro-
mote drinking milk. The USEPA has been
working to create an  industry-managed tax
along similar lines that  can be used for
compliance assistance or pollution abate-
ment. Additionally, in  the United States,
some environmental laws have tax incen-
tives programs. The United Kingdom has a
series  of environmental  taxes,  some of
which are set aside for the development of
alternatives.
       Question:  How  should agencies
allocate resources between enforcement
and compliance assistance programs?
       Answer: It depends on the politics
                             of the day; different administrations have
                             different trends in terms of whether they
                             favor enforcement or  compliance assis-
                             tance. However, the balance between com-
                             pliance assistance and enforcement is not
                             zero-sum - the job of the agency is compli-
                             ance assurance. This is a balance between
                             enforcement and compliance assistance,
                             not just emphasizing one or other.
                                    The participants here made two
                             observations:  (1) if you are starting a pro-
                             gram, it is good to emphasize both, and (2)
                             you should not talk in terms of numbers of
                             enforcement actions, but in terms of pollu-
                             tion reduction  or behavior changed. A suc-
                             cessful compliance assurance program is
                             not based on number of cases, because if
                             the number of cases goes up, then you are
                             really not succeeding. Rather, the number
                             of violations should go down.
                                    Question: The  Multilateral  Fund
                             (MLF) is providing funds for compliance
                             assistance to  comply  with the Montreal
                             Protocol. What will success  depend  on:
                             incentives or deterrence? Is there a way to
                             ensure that the money  is spent for compli-
                             ance assistance to ensure compliance?
                                    Answer:  Compliance  assistance
                             and incentives will not work without an
                             enforcement program.
                                    Question: Will rewarding firms with
                             good track records work from the outset, or
                             only after you have gone through  ugly
                             enforcement battles?
                                    Answer:  Some developing coun-
                             tries that  receive compliance assistance
                             help from foreign sources do not have suc-
                             cess because compliance assistance usu-
                             ally requires  the firms  to  spend some
                             money  up front. Without the threat  of
                             enforcement,  they are  not likely to spend
                             the money.

                             3 RECOMMENDATIONS FOR INECE

                             — Develop a section of the website that
                               links  to other compliance assistance
                               programs.
                             — Form  a compliance assistance expert
                               working group to produce policy guid-
                               ance and papers.

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                                                   SUMMARY OF WORKSHOP 1B   77
Explore ways to make more information
available, but balanced against some of
the risks and legal liabilities in doing so.
Consider how a firm that has won envi-
ronmental awards can be prosecuted for
violations and whether the awards make
it more difficult to succeed.
Develop  compliance assistance  pro-
grams for  green issues, as well as
brown.
Find ways to demonstrate the costs and
savings of compliance assistance pro-
grams, relative to the cost of inspections
and their effectiveness.
Link compliance assistance programs to
indicators  projects in order to measure
their effectiveness.

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78           SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                    SUMMARY OF WORKSHOP 1C   79
SUMMARY OF WORKSHOP 1C:
ECOMESSAGE / INTERPOL AND THE POLICE
Facilitators:
Rapporteur:
GOALS
Bill Clark, Israel Nature and National Parks Protection Authority
Andrew Lauterback, Environmental Protection Agency, United States;
Interpol

Henk Ruessink, Ministry of Housing, Spatial Planning and the
Environment (VROM), The Netherlands
— Assess the ways Ecomessage, to facilitate sharing of information about international
   environmental crimes, can foster improved enforcement coordination at the inter-agency
   and international levels, including the police.
— Provide participants with sufficient background on Ecomessage, so their organizations
   can participate in the international program at an inter-agency level.
1 INTRODUCTION

       About fifteen participants with a
variety of backgrounds and  nationalities
joined    the    workshop    on    the
Ecomessage/lnterpol Data Base. Two col-
leagues with dedicated expertise on the
subject acted as moderators, Bill Clark of
the Israel Nature and Parks Authority and
Andrew Lauterback of US EPA. As an intro-
duction for the discussions, the facilitators
presented the background and the set-up
of the Ecomessage system.

2 DISCUSSION SUMMARY

       Ecomessage is one of the products
initiated by Interpol's Environmental Crimes
Committee. Interpol's role - in general - is
to collect, compare and exchange informa-
tion  on  international  criminal  activities.
Connected to  this  function  of  Interpol,
Ecomessage was developed by two work-
ing groups of the Environmental Crimes
Committee,  the Wildlife Crimes Working
Group and the  Pollution Crimes Working
Group.
       The objectives of Ecomessage are
to enhance reporting and communication
concerning   criminal   environmental
offences   between  environmental  law
                            enforcement  professionals  in different
                            countries and to develop a database to
                            determine trends and  information with
                            regard to environmental  criminal activity.
                            The data can be used for purpose of moni-
                            toring and analyzing environmental crime.
                            Criminal intelligence analysis of Ecomes-
                            sage data is presently the most promising
                            technique for defining the size, composi-
                            tion, structure and dynamics of criminal
                            syndicates  involved  in  environmental
                            crime. This information  is critical  to any
                            campaign seeking to suppress this type of
                            criminality.
                                  The Ecomessage system  ideally
                            covers all essential information with regard
                            to  serious environmental crime  having
                            international  ramifications.  Such  crimes
                            are, for instance, wildlife smuggling, illegal
                            transboundary shipment of waste, vessel
                            pollution, and ODS smuggling.
                                  Ecomessage is centrally reposited
                            with the  Interpol General Secretariat in
                            Lyon, France. The information on environ-
                            mental/ecocrime can be submitted to the
                            system in an efficient and standardized
                            way by means of a simple form. The sys-
                            tem allows cross-referencing and dedicat-
                            ed extraction of data. Several organizations
                            may submit data, e.g. police,  agencies,
                            ministries and NGOs. The entrance to the

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80
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Ecomessage facilities is, however, always
through the  Interpol's National Central
Bureaus (NCB) in each participating coun-
try.
       At   the   moment,   some  800
Ecomessages have been  submitted, most
of those on wildlife crime. INECE and the
International Fund for  Animal  V\elfare
(IFAW) are currently working together with
Interpol to stimulate an intensified use of
Ecomessage. In connection to this,  mail-
ings have been sent to  inform  relevant
stakeholders around the world about exis-
tence and potential of Ecomessage.
       In the Workshop discussions, the
current benefits  and  suggestions for
improved  usage of Ecomessage  were
addressed.  The following notions  were
brought forward:
— Get the message out that Ecomessage
  exists and is  having success. By this,
  the use of the system can be stimulated
  so that more data are gathered concern-
  ing environmental crime. Exchange of
  such data will help to further improve the
  international enforcement of the rules of
  law.
— Keep sending the message to  Interpol
  and others that ecocrime is an important
  aspect. These crimes seriously threaten
  environmental quality, sustainability and
  health all over the world. So it can not be
  stressed enough that adequate enforce-
  ment actions have to be taken to protect
  the planet and its people. Since many of
  the environmental crimes have an inter-
  national context and are not bound by
  national borders, the exchange of infor-
  mation between countries is crucial to
  tackle the problem.  The Ecomessage
  facility within Interpol  is therefore  an
   important instrument that deserves full
  support and application.
— Keep the system simple and with low
  thresholds.  This  is  of  importance
   because  potential users would be dis-
   couraged if the use of the system  is
   made difficult. The easy approach of the
   system should therefore be maintained,
   e.g., by the use of simple entry form with
   a limited number of truly essential items.
                                Care should be taken that the system is
                                kept dedicated to the real major interna-
                                tional environmental crime cases. If too
                                many minor cases are fed into the data-
                                base, the power of the instrument and
                                the motivation to submit cases would be
                                reduced.
                                In  order to retain sufficient support for
                                working with Ecomessage, the  backing
                                of  the responsible management in the
                                contributing  organizations  should be
                                sought and ascertained. If not, there is a
                                serious risk that the use of the system
                                would become  too incidental and too
                                dependent on the dedication of individ-
                                ual  compliance  and   enforcement
                                employees.  One of  the actions that
                                therefore should be taken is that man-
                                agement is informed about the  benefits
                                Ecomessage does offer. Stories of suc-
                                cess might help  to get the message
                                across here.
                                It should be noted that a system like
                                Ecomessage is for many countries in
                                fact the first and only tool to obtain some
                                data gathering of environmental crime at
                                all. The accessibility and simplicity of the
                                system  is  hence a very  important
                                aspect, since sophistication would ham-
                                per its use in such countries. In connec-
                                tion to this it is essential that due atten-
                                tion be paid to basic training and educa-
                                tion in method and techniques of envi-
                                ronmental data gathering.
                                It should be realized that in some cases
                                authorities that  submit data to the sys-
                                tem will not directly benefit from this
                                input for their specific case. Neverthe-
                                less, it is crucial that data of important
                                environmental crimes are continuously
                                fed into Ecomessage. Only in that way,
                                the result form monitoring and  analysis
                                of data can in the end serve everybody
                                and facilitate  better  compliance and
                                enforcement of the rule of law.  In cases
                                where there is a direct one-to-one result
                                from the data entered into Ecomessage,
                                it should be guaranteed that the workers
                                in the field really get these results fed
                                back to them for their specific case.

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                                                  SUMMARY OF WORKSHOP 1C   81
The  results from  Ecomessage could
also serve  the  purpose  of  building
awareness and public and political pres-
sure if used in a smart and communica-
tive way.  Good examples of this are
reported  from  the Czech Republic.
Another successful case reported was
that  a  nongovernmental organization
managed to get its expenditures refund-
ed from an insurance company for the
clean-up of an oil spill on the basis of
data from the Ecomessage system.
In an  effort to stimulate  the  use of
Ecomessage to report wildlife crime, the
International Fund for Animal Welfare
has budgeted a US$30,000 award for
the agency which submits the most sig-
nificant Ecomessage of a Convention on
International  Trade  in  Endangered
Species intersessional period. The Inter-
pol Working Group on Wildlife  Crime
has established criteria for selecting the
awardee, and plans to apply those crite-
ria to various candidates at its upcoming
meeting. The award will not be made as
cash, but rather will be made as $30,000
in law enforcement training and/or law
enforcement equipment for the winning
agency.
3 CONCLUSION

       Ecomessage is a simple but pow-
erful tool for reporting and communicating
criminal environmental offenses of interna-
tional character. The use of Ecomessage
should be further promoted, as is currently
being done in a joint effort by INECE, IFAW,
and  Interpol. The enforcement of the law
will  benefit from  the  data  gathered,
exchanged,  and  analyzed via  Ecomes-
sage.
       For   its   effective   operation,
Ecomessage should be kept as a system
that  can be  used  without unnecessary
thresholds. Provisions should be made that
other organizations and communities with
an affiliation to enforcement - apart from
police forces - could easily contribute to
and extract from Ecomessage.
       By  actively  spreading  stories  of
successful use of Ecomessage in fighting
international eco-crime, the importance of
enforcement of the law will be  underlined.
Communication  about  concrete environ-
mental results that  have been achieved
thanks to Ecomessage is  an essential
instrument to stimulate public  awareness
and to build political pressure  concerning
environmental issues.

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82           SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                    SUMMARY OF WORKSHOP 1D   83
SUMMARY OF WORKSHOP 1D: COMPLIANCE AND
ENFORCEMENT THEORIES AND DESIGN PRINCIPLES

Facilitators:   Lee Paddock, International Union for the Conservation of Nature;
             Pace Law School, United States
             Marcia Mulkey, Temple University, United States

Rapporteur:   Dave Grossman, INECE Secretariat


GOALS

To explore ways participants can evaluate and apply in their home organization a wide vari-
ety of compliance and enforcement theories and program design principles that have
emerged, considering the unique circumstances in each particular program and in each
cultural setting.
1 INTRODUCTION

       The workshop began with opening
comments from the facilitators laying out
the idea of first principles, underlying theo-
ries and beliefs, and the need to have a
common system of beliefs or values in
order to design effective programs and to
strategically  direct limited resources to
raise compliance and influence the drivers
of human behavior.  Facilitators provided
participants with two sheets of questions
intended to provoke discussion. The work-
shop then opened up into discussion of
national  experiences  and  participant
thoughts on design principles. Participants
shared experiences of designing  enforce-
ment systems and discussed enforcement
and compliance design problems in the
Netherlands, Bahrain,  Tanzania,  Turkey,
Italy, England & Wales,  and Canada. There
was frequent discussion of the need for
those who write laws to consult with those
who enforce them in the course of drafting
environmental laws.

2 DISCUSSION SUMMARY

2.1     Asking  the Key Questions and
       Finding Common Beliefs
       Ms. Marcia Mulkey contended that
a key design challenge is determining the
functions to co-locate within a common
reporting chain and with common person-
nel, as opposed to functions located else-
where that require  coordination. She
explained that it is impossible to put all rel-
evant  programs together,  such  as the
dilemma of whether to locate an environ-
mental enforcement program in an enforce-
ment agency or an environmental agency,
and how to maintain coordination with the
agency into which the program is not inte-
grated. She also asserted the need for a
common belief system and asked what the
underlying theories and beliefs are that we
collectively accept to be truths.
       Mr. Lee Paddock presented the
issue  of how  to raise compliance  levels,
such  as  through  direct   enforcement,
inspections, permitting, targeting, compli-
ance assistance, or a strategic approach
combining  all of the above.  He also
inquired about the drivers of human behav-
ior and stated several possibilities, such as
regulatory systems, economics, values,
and traditions.
       In response, Mr. Wout Klein assert-
ed that it was more important that enforce-
ment officials ask themselves these ques-
tions than that the workshop participants
find "the answers." Ms. Marcia Mulkey con-
curred, noting that it is more important that
all those working together in the same

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84
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
agency share the same core set of beliefs
than that the workshop participants find a
common set of answers. Mr. Ryan Levitt
contended, however, that it was desirable
to have some global commonality as well.
       Justice Amadeo Postiglione main-
tained that the participants also needed to
clarify their own philosophy for constructing
solutions.  He asked if institutions were the
answer or if other social or scientific solu-
tions would be more effective, and whether
states should be trusted as mediators for
the environment. If not, then the alterna-
tives and the other actors that should play
a role need to be considered.

2.2    Effective Message Sending
       Mr. Renzo Benocci  asserted that
the most important question is how to max-
imize the  effectiveness  of enforcement
activities in the face of limited  resources,
considering the appropriate role for deter-
rence and message sending. He contend-
ed that you must market what you do with-
in your  own organization, getting buy-in
from people in your own departments, and
then must move the marketing efforts up to
the agency's  political masters  and  to the
public. He asserted  that this  marketing
must be done in a way that conveys what
was done, why it was done, and why it was
essential. This approach attempts to get all
members  of your enforcement community
to share the same vision.
       Ms. Marcia Mulkey responded that
message sending is very important in order
to achieve common  buy-in, but that we
must recognize that how to do the message
sending differs between agencies. Mr. Lee
Paddock offered that it was also important
to consider how to better send this mes-
sage to lawmakers and policymakers.
       Mr. Renzo  Benocci declared that it
was also key to develop a better enforce-
ment message, which  requires gathering
the  information  to explain why  certain
actions are being taken, how they  are
effective, how they could be improved, and
what the consequences are of not improv-
ing them. Decisionmakers cannot  resolve
agency problems if they do not know about
                             them. What this means is that agencies
                             cannot have everyone on staff doing only
                             enforcement, because then no one is doing
                             the reporting that lets the agency and poli-
                             cymakers know where the gaps are.
                                    Mr. Ryan Levitt maintained that the
                             ongoing message should be about protect-
                             ing the environment and how the  regula-
                             tors' actions help to  do this, rather than
                             about compliance and enforcement.

                             2.3    Country Experiences
                                    Ms. Ozge  Karadeniz stated that
                             when  Turkey  announced  multi-media
                             inspection regulations, it was a big shock
                             for the  industry.  As  a result,  Turkey
                             engaged in a two-year preparation period,
                             with training programs for industry and for
                             inspectors. Reports were sent to industry,
                             and real  inspections began this year. She
                             asserted that the preparation period was
                             important.
                                    Mr. Chris Howes explained that
                             revisions to the Environment Agency (Eng-
                             land & Wales) have  been based  around
                             basic principles, such as risk  screening.
                             The concern is less about principles and
                             more  about resource balancing, since the
                             agency tends to put lots of effort into creat-
                             ing perfect permits at the expense of imple-
                             menting  and  verifying  compliance with
                             them.
                                    Mr. Ebraham Ali shared  that  in
                             Bahrain,  a warning letter is sent first when
                             a violation  is found, and if no response is
                             received, then  the facility is shut down until
                             it replies. He asserted that there needed to
                             be legislation for enforcement  that allows
                             for other options.
                                    Mr. Palamagamba Kabudi stated
                             that Tanzania has enacted a lot of environ-
                             mental acts and that the Environmental
                             Management Act (EMA) has recently been
                             approved to help coordinate among them
                             all. Local authorities need to  be taken into
                             account because Tanzania is  a  big country,
                             and an  effective  national environmental
                             protection agency would only be effective
                             in the main city of Dar es  Salaam. The
                             biggest difficulty is figuring out how to coor-
                             dinate among all the authorities, which is

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                                                     SUMMARY OF WORKSHOP 1D    85
why the  EMA was created and  passed.
Heads of the key Tanzanian governmental
departments form a National Environmen-
tal Committee that meets twice a year. Now
that Tanzania has all the environmental
acts, enforcement is  the key issue.  Eco-
nomic incentives are  now being explored,
as well as how to harmonize them with the
traditional "command and  control"  pro-
grams that Tanzania is used to. "Command
and control"  programs have actually had a
negative impact on  forests in Tanzania,
where local communities are assisting the
poachers. Public cooperation is therefore
key, which is why Tanzania took two years
to draft a law - workshops  were  held
throughout the country in an attempt to
involve everyone in  Tanzania. The  goal
was to attain legitimacy, seek common val-
ues, and involve the stakeholders to get
common buy-in to the core principles. Tan-
zania has also instituted a reward system in
the  act  that  covers wildlife, and  has
arranged for compensation to officers and
informers who are injured in  the cause.
There are also rewards in the Forest Act
and Fisheries Act. Given the government's
limited resources, the  public's hefp is need-
ed to enforce the laws, but systems of pub-
lic involvement that involve telephones and
the internet are not feasible because  most
people in the country  do not have access.
Tanzanian NGO civil  society is still in  an
infant stage. Furthermore, Tanzania's con-
sensus-based culture, in which people are
happy  to talk  regardless of how long it
takes to  achieve consensus, can make
enforcement difficult.
       Justice Amadeo Postiglione noted
that in Italy there were too many laws, and
that the water law had 63 articles and  7
annexes. This illustrates the point that the
drafting of laws is very important.

2.4    Input Into Drafting of Laws
       Ms. Marcia Mulkey stated that peo-
ple who write environmental standards are
often not writing  those standards with the
issue of ease of detection  in mind.
       Mr. Terence Shears suggested that
the "experts" writing the laws may not be
the ones best-suited to designing laws that
are enforceable. Mr.  Renzo Benocci added
that it is also important to draft the laws and
regulations so they can be understood by
laymen.
       Mr. Albert Koehl  contended that
clear values and knowledge  of what is
meant to be  achieved by the laws make  it
easier to create and implement standards
and to communicate them to the public.

3  RECOMMENDATIONS FOR INECE

       It was suggested that INECE could
investigate areas of cooperation in capaci-
ty building not only in the form of exchang-
ing ideas and sharing experiences, but also
by providing  human resource assistance to
those now designing enforcement systems
so that they  do not repeat the same mis-
takes  already made by  others. In other
words, INECE should investigate capacity
building not just in terms of field  implemen-
tation, but also in terms of strategies and
design principles.

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86           SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                 SUMMARY OF WORKSHOP 1E/F   87
SUMMARY OF WORKSHOP 1E/F: INFORMATION MANAGEMENT,
REPORTING REQUIREMENTS AND SELF-MONITORING

Facilitators:  Donna Campbell, New South Wales Department of Environment and
            Conservation, Australia
            Markku Hietamaki, Ministry of the Environment, Finland

Rapporteurs: Markku Hietamaki, Donna Campbell
GOALS

— To share experiences to identify issues that regulators face in relation to self-monitoring,
  the reporting of self-monitoring information and the management of that information.
— To identify any work that INECE might do in the future to assist regulators address
  these issues.
1 INTRODUCTION

       Key questions presented  by the
facilitators:
— What does the term "self-monitoring"
   mean?
— Why do regulators require operators to
   monitor performance?
— Wouldn't it be better for regulators to
   monitor performance to ensure compli-
   ance?
— How can the quality of monitoring data
   be assured?
— What approaches have countries used
   to improve the quality of data provided
   by operators?

2 DISCUSSION SUMMARY

2.1    What Does the Term "Self
       Monitoring" Mean?
       The term "self monitoring"  is mis-
leading  and often  misunderstood.  It is
sometimes  interpreted as meaning  the
operator volunteers to carry out the moni-
toring when in fact there is a legal require-
ment imposed on the operator to both carry
out the monitoring and to carry it out in a
particular way.
       The panel discussion in the morn-
ing on "The Compliance and Enforcement
Message" highlighted the importance of
sending the community the right message.
A better term is needed to describe moni-
toring that operators are required by law to
carry out. The focus of the workshop was
on environmental monitoring that operators
are required by law to carry out.

2.2    Why Do Regulators Require
       Operators to Monitor
       Performance?
       Monitoring data is required for a
variety of purposes, including inventories
for policy makers and public reporting, to
ensure compliance  with  environmental
laws (e.g., emission limits on a permit), and
emissions trading.
       The kind of data required, and its
quality, will depend  on the purpose for
which it is collected. Broadly speaking,
aggregated data used for inventories does
not need to be as precise as data used to
check compliance. Good regulators recog-
nize the cost of monitoring requirements on
industry and ensure that they only require
what is necessary for the purpose for which
the data is being collected.

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
2.3    Wouldn't It Be Better for
       Regulators to Monitor Performance
       to Ensure Compliance?
       Compliance monitoring required by
regulators today is generally around the
clock. It would be prohibitively expensive to
have a government inspector at every plant
24 hours a day, 7 days a week, monitoring
compliance.
       It was  noted by some participants
that operators are generally  motivated to
monitor their own performance. Operators
want to ensure they don't cause environ-
mental harm that may result in legal claims
for damages or adverse publicity affecting
their profitability. Poor environmental per-
formance may also be costly to the opera-
tor  because it  generates unnecessary
waste disposal costs.
       Responsibility for monitoring must
rest with the operator, both in principle and
from a practical viewpoint.

2.4    How Can the Quality of Monitoring
       Data Be Assured?
       It was agreed that assurance of the
quality of monitoring data is the most diffi-
cult and pressing issue facing both regula-
tors and operators.
       The complexity and significance of
environmental monitoring in today's  world
is generally underestimated.  Countries
have developed their  monitoring require-
ments and their quality assurance systems
from their own starting points. However,
where pollutants cross national boundaries
the need for information to be  measured
and collected in a transparent way is vital.
Efforts should  be geared towards reliable
monitoring as well as  principles of good
approaches and standards for monitoring
of industrial emission.
        Emissions trading is  increasing in
importance. The quality of monitoring data
is critical  to   make  emissions  trading
schemes work. The data must be both
accurate and comparable. There is a need
for greater uniformity in the way countries
require monitoring to be done in order for
emissions trading schemes to work across
national boundaries. Emission charges will
                              affect the future profits of the operator, and
                              they will demand reliable monitoring  of
                              other operators in the trading scheme. This
                              must drive the authorities to establish equi-
                              table measurement and reporting systems
                              in order to create a level of playing field.

                              2.5     Approaches Countries Have Used
                                     to Improve the Quality of Data
                                     Provided By Operators
                                     In Australia, the head of the com-
                              pany (CEO) holding a license is required
                              each year to:  1) certify that all monitoring
                              has been carried out in accordance with the
                              license requirements and 2) identify  all
                              instances of non-compliance with license
                              requirements.  It is a very serious offense by
                              the CEO personally if he or she does not
                              certify honestly and correctly. This is con-
                              sistent with the  US approach that carries
                              out inspections to ensure that operators
                              have the necessary monitoring systems in
                              place  backed up with  the threat  of large
                              fines if they are not. When the Australian
                              scheme was  introduced,  there  was  an
                              intensive education  campaign  to ensure
                              that CEOs understood their obligations. A
                              surprisingly large number did not. The edu-
                              cation campaign, backed up with the threat
                              of personal  liability,  resulted in a  big
                              improvement in the provision and quality of
                              monitoring data.
                                     In the European Union, for some
                              industrial sectors such as large combustion
                              plants and  waste incinerators, there are
                              very elaborate requirements for the quality
                              control of continuous emission measure-
                              ments. The directives  set  requirements
                              relating to the uncertainty of the measure-
                              ments and CEN standard  EN 14148 stipu-
                              lates how  measurements and the quality
                              control must be done. The IPPC directive
                              stipulates that the environment permit must
                              specify how the  measurements are to be
                              taken  by operators.
                                     Finland  has  implemented  these
                              requirements  in national  legislation  and
                              developed electronic procedures to collect
                              and  manage the operator's compliance
                              monitoring data. The standard method is
                              that the operator completes a report using

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                                                          SUMMARY OF WORKSHOP 1E/F   89
      forms available on the Internet. There are 3
      kinds of reports: 1) a report of disturbances,
      2) a report of exceedance of limit values, 3)
      a report of compliance with permit condi-
      tions. The first two reports must be sent to
      the regulator immediately after the event
      has occurred.  The third  report is only
      required to be sent periodically. In addition,
      actual  fuel  usage  and emissions to air,
      water and waste must be reported to the
      regulator.. The  inspector receives an elec-
      tronic message every time a new  report
      arrives. The checking of the data is done in
      the server that  is outside of the regulator's
      system and  only checked  data is  moved
      inside the regulator's system.
             The latest method used in Finland
      is for the operator to have its own system
      for collecting all  necessary data from its
      process control  systems. The operator's
      system calculates results that can be com-
      pared to limit values and an operator sends
      this information to the regulator periodical-
      ly. The regulator must audit  not only the
      measuring system but also the data collec-
      tion and  management system to ensure
      that the whole system is reliable. This sys-
      tem is so far in use in only a few installa-
      tions.
             The  Netherlands  has recently
      adopted  a scheme for accrediting inde-
pendent verifiers to check the quality of
monitoring data used  in emission trading
schemes (COa and also NOx).
       It was clear from the workshop that
much could be learned from the experi-
ences of other countries.

3 RECOMMENDATIONS FOR INECE

       The most pressing need is for a
comparison of:
— The monitoring methodologies for pollu-
   tants that cross national boundaries.
— The  effectiveness of  methods  or
   schemes used to assure the quality of
   the monitoring data provided by opera-
   tors. These could include the examples
   given above  and  an  examination of
   schemes for the accreditation of inde-
   pendent verifiers in  other fields of regu-
   lation.
       Also, at the inspector level, there is
a need for a simple  checklist to ensure
monitoring for a particular purpose is done
correctly by the  operator. This  might
already exist in training materials but the
INECE website  might provide a simpler
more direct means of accessing it.
I	

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90           SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                   SUMMARY OF WORKSHOP 1G   91
SUMMARY OF WORKSHOP 1G:
GOOD GOVERNANCE AND THE RULE OF LAW

Facilitators:   Angela Bularga, Organisation for Economic Co-operation and
             Development
             Adriana Bianchi, World Bank Institute
             Michael Stahl, Environmental Protection Agency, United States

Rapporteur:   Matthew Stilwell, Institute for Governance and Sustainable
             Development, Geneva


GOALS

       To explore the role of good governance and the rule of law in promoting sustain-
able development.
1 INTRODUCTION

       The workshop discussions com-
menced with  a short introduction by Dr.
Adriana Bianchi, and a round of introduc-
tions by participants.  It continued with  a
brainstorming  session on key issues relat-
ing to good governance, rule of law, and
compliance, which developed into a deeper
discussion on a range of key  issues. The
workshop concluded  with  a summary of
key topics discussed during the session.
       The workshop aimed at exploring
concepts of good governance and rule of
law, and their relationship to  sustainable
development.  The  discussion was  held
around the following key questions:
— How can the international community
   promote good governance?
— How do we move  from a  situation in
   which incentives structures promote cor-
   ruption and poor governance towards
   one in which we  have improved gover-
   nance?
— How do we measure whether we are
   moving towards this goal?
— What kinds of indicators do we need?
   What is the role of indicators in helping
   to measure progress,  and in moving us
   forward?
2  DISCUSSION SUMMARY

2.1    Presentations
       Presentations were made to the
group Ms: Angela Bularga and Mr. Michael
Stahl.

2.1.1   Ms. Angela Bularga
       The international community can
play an important role in creating a shared
vision of good governance and substantial-
ly  contribute towards promotion of  good
governance. In this respect, the Organisa-
tion for Economic Co-operation and Devel-
opment (OECD) is at the forefront of efforts
to  understand and  help governments adopt
good  governance - in  both its member
countries and non-members.
       For  example,  the  OECD   has
worked for many years in the former Soviet
Union to improve environmental gover-
nance and  policy implementation. For a
long period, the un-transparent and  often
corrupt nature of the governance system in
this region made efforts to protect the  envi-
ronment difficult. In 1991, the start of a tran-
sition to democratic governance and a mar-
ket economy  required a rethinking of the
design and functioning of the whole gover-
nance system. Unfortunately, a decade of
transition   did  not  bring  spectacular

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92
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
changes and often accentuated old prob-
lems: the  effectiveness of environmental
agencies remains limited, lobbying by pow-
erful groups and individuals for special priv-
ileges is widespread, and rules are not ade-
quately  enforced;  thus  non-compliance is
high. Important factors that nourished non-
compliance were the slow pace of gover-
nance and economic reforms, the compli-
cated legal framework and poor economic
situation, society's failure to believe in fair
regulation, and the erosion of the rule of the
law.
        Based on a wealth of experience
accumulated internationally, the OECD pro-
vided support to the countries of Eastern
Europe,  Caucasus, and  Central  Asia
(EECCA) to  define direction for regulatory
and institutional reform and elaborate a ref-
erence model of good governance for envi-
ronmental  enforcement systems.  This
model was  reflected in a concise policy
document, called "Guiding  Principles for
Reform of  Environmental   Enforcement
Authorities of EECCA". The Guiding Princi-
ples were  developed with active participa-
tion  of experts from EECCA and OECD
countries within the framework of the Reg-
ulatory  Environmental Programme Imple-
mentation Network  (REPIN)  and  were
endorsed  at the Kiev Conference of  Envi-
ronmental Ministers  (May 2003) from  51
countries.  The principles are wide-ranging,
and  emphasize, among other things, that
prevention is better than cure; that the reg-
ulated community should be  treated fairly;
that government  agencies should  be
accountable, transparent, and equitable;
and  that feasible  compliance targets and
objectives should be established.
        By endorsing the Guiding Princi-
ples, EECCA countries recognized the
need for reform. The next step was to help
countries to  implement  the Guiding Princi-
ples. One way to do this was to promote
peer reviews, i.e. systematic examination
and assessment of the performance of a
state by other states, with the ultimate goal
of helping the reviewed country adopt best
practices established in the Guiding Princi-
ples. The REPIN peer review scheme is
intended to serve  the following purposes:
                              — To provide international peer support for
                                institutional  reform  of  enforcement
                                authorities;
                              — To enhance their transparency, account-
                                ability,  and  visibility, at  national  and
                                international levels;
                              — To extend opportunities for inter-govern-
                                ment policy dialogue and support capac-
                                ity building.
                                    The Ministry of Ecology and Emer-
                              gency Situations of the Kyrgyz  Republic
                              was the first  environmental authority sub-
                              ject to this scheme. The review suggested
                              a number of short and longer-term steps for
                              reform of domestic compliance assurance
                              instruments,  strategies, and institutions.
                              These steps  are  closely linked with, and
                              support,  the  implementation of the coun-
                              try's  strategic  development objective  of
                              adopting a good governance system.
                                    Another major  issue  that arose
                              was "how to  communicate a message on
                              good governance in a simple and integrat-
                              ed manner". To address this issue, OECD
                              has developed a rating framework that
                              reflects environmental policy development,
                              legislative framework,  policy instruments
                              and relevant implementing  regulations, and
                              the  institutional  framework. The rating
                              framework offers, first of all, the benefit of
                              measuring progress in individual countries,
                              but also can  serve to identify where they
                              are on a scale  versus their country peers.
                              While rating is done based on expert judg-
                              ment, the transparency  of the criteria and
                              supporting data enable stakeholders to ver-
                              ify the ratings.

                              2.1.2   Mr. Michael Stahl
                                     Indicators play a key role in making
                              progress towards good governance and
                              the  rule  of  law,  and  in  demonstrating
                              progress  to others. Indicators demonstrate
                              things like: the presence or absence of
                              phenomena;  whether they are increasing
                              or decreasing; whether targets and goals
                              are being met; and if not, how far away suc-
                              cess is.
                                     Indicators can help to strengthen-
                              ing  public participation. Whether compli-

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                                                     SUMMARY OF WORKSHOP 1G   93
ance programs are working  needs to  be
established  and shared with the public.
Indicators are also good at helping to man-
age and improve environmental compli-
ance and enforcement programs. Yet many
government bodies are not yet using them
for this goal. Rather, they are mostly using
them to measure progress, instead of tak-
ing the next step of systematically manag-
ing and improving programs.
       As we look at what kinds of indica-
tors to  establish, we should be careful
about not only  measuring outcomes and
results. We want indicators that speak to
outcomes, but we  also need to measure
the kinds and levels of activity in a pro-
gram. We should not simply  focus on the
improvements in air quality without  meas-
uring what we are doing to get there. That
is, we  should measure outputs and out-
comes.

2.2    Brainstorming
       During the  brainstorming session,
a diverse range of issues arose. The main
points are set out below, organized around
the main themes of the discussion:
                         ?
2.2.1   Good governance and the rule
       of law
— Do we all have the same conception of
  the rule of law? We have different back-
  grounds, so do we share a common per-
  spective?
— The rule of law includes a number of ele-
   ments. Rules must be  developed pub-
  licly and promulgated widely. They must
  be   applied  equally,  fairly,   and pre-
  dictably.  They must  be applied  to  all
  actors including the government.
— Understanding the rule of law requires
  understanding what the law  is.  Some
  issues are regulated, but others are not.
  So the law does not cover all relevant
  activities.  The tendency of agencies to
  get monies from regulation may  cause
  them to focus more on those industries
  that provide them with resources than
  others.
2.2.2   Strengthening compliance and
       enforcement
— In countries where we see good envi-
   ronmental  compliance,  we  may  also
   expect to see good governance in other
   fields. Environmental officials have often
   been at the forefront of improving com-
   pliance, the rule of law, and good gover-
   nance.   Their  experiences  may  be
   instructive for other communities.
— The OECD  principles  emphasis  the
   need for independence of officials from
   public and political pressure, yet  this
   may be  difficult to achieve in practice.
   For example, the key indicator of per-
   formance for many enforcement agen-
   cies in EECCA is how many claims they
   make, and how much they earn  from
   fines and penalties. Yet these incentives
   may cause agencies to ignore industries
   that do not generate fines, and, in some
   cases, to focus perversely on tolerating
   higher levels of pollution to provide more
   resources to the government.
— In   strengthening  compliance   and
   enforcement, education is a crucial ele-
   ment Public opinion, too, is often criti-
   cal. Yet public opinion is not always sup-
   portive   of environmental  protection.
   Public opinion may also affect elected
   representatives in  government,  who
   may influence enforcement activities. To
   what extent should regulatory agencies
   be  independent of political pressure and
   public opinion?

2.2.3   The role of indicators
— What is the role of indicators, and how
   can we make valid comparisons across
   different  countries and contexts? Envi-
   ronmental enforcement and compliance
   indicators are one good tool for promot-
   ing good governance.  Participation indi-
   cators are also important in securing
   access to information,  participation, and
   justice.
— At  the  same  time, major challenges
   arise when we pick the elements indica-
   tors will  cover, and seek to compare
   across these  different  elements.  We

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94
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
   should acknowledge problems with our
   institutions, and note that indicators and
   other  tools  may  also  give  rise to
   renewed pressure - political and other-
   wise - on our agencies.
— How  can  Environmental Compliance
   and Enforcement (ECE) indicators be
   better used  to measure and promote
   good governance?  A presence of  a
   robust environmental compliance and
   enforcement program  indicates a ten-
   dency towards good governance. It is at
   least one factor in  demonstrating  a
   move towards the rule of law and good
   governance.

2.2.4   Developing a broader "tool kit"
— As well  as focusing  on  indicators,
   enforcement officials also need to think
   of the other elements in the tool kit. One
   is peer review, which provides a good
   way to improve the management and
   performance of environmental agencies.
   Another is enforcement and compliance
   strategies and policies, which provide a
   tool for use by all members in society to
   evaluate  government  performance.  A
   third is the extent to which laws or direc-
   tives provide for sufficient delegation of
   authority.  From  experience  in some
   developing countries, the less authority
   is delegated, the more likely is the con-
   sideration of  inappropriate factors. Dele-
   gation protects the  officer from harass-
   ment. The challenge is to build indica-
   tors to measure good governance, and
   how to tie these into the elements of a
   broader toolkit.

2.2.5   The role of the judiciary
— In  Canada, environmental laws reflect
   the expectation that everyone will obey
   the law - individuals, firms, and govern-
   ment. National laws bind provincial gov-
   ernments and their officers. More broad-
   ly,  independence of the bureaucracy, the
   judiciary,  and other officers is essential.
   The judiciary must be seen  as being
   able to limit  the power of the state, not
   merely as an officer of the  state.  How
                                are the courts perceived in developing
                                countries?
                                In the Philippines, the Supreme Court is
                                seen as an honorable institution - sup-
                                porting positive public perceptions of the
                                rule of law. At the lower levels, however,
                                there are more significant problems  of
                                corruption, deriving from the often close
                                relationship between judges and other
                                actors. Judicial reform, along with  new
                                programs   being  implemented,   is
                                enhancing  the ethical  standards  and
                                performance of the judiciary.
                                In Argentina, the president has promul-
                                gated  a degree including a system  of
                                transparency  in  judicial  affairs.  The
                                impeachment of three  members of the
                                Supreme  Court followed this decree.
                                This has strengthened the judiciary and
                                improved its standing in the public. Nev-
                                ertheless, Argentina still lacks a tradition
                                of judicial   independence.  So  further
                                work on access to justice is required.
                                Indicators provide a good tool in this
                                effort.
                                The mandate of some  international
                                organizations is often  to  work  with
                                Supreme Courts, yet the level of corrup-
                                tion  may be high, making it difficult  to
                                promote judicial  reform.  The  need,
                                therefore, is often  to  work  with other
                                more  independent actors in society,
                                including civil society and key actors in
                                the regulated  community. In one coun-
                                try, there is movement to  develop a
                                "green bench" to address environmental
                                issues.

                                     The situation in developing
                                     countries
                                Developing countries often face particu-
                                lar challenges in securing compliance.
                                Effective policy work requires communi-
                                cating effectively with senior and elected
                                officials. In developing countries, the
                                audience is often local enforcers who
                                would do more if they had the resources
                                and capacity.  We should support these
                                people.

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                                                     SUMMARY OF WORKSHOP 1G   95
— At the same time, these people often
  remain in place, while the more senior
  officials often change. Part of our chal-
  lenge then is how to change the culture
  of senior bureaucracies. The problems
  are often practical. Peer to peer work is
  also critical - it provides a good way of
  putting enforcement officials or judges
  from different jurisdictions together to
  learn and share experiences.
— Developing countries  often lack a  cul-
  ture of accountability.  But changing the
  culture of officials is a  long task. A
  sounder approach, therefore, is to focus
  on empowering the  people  to  know,
  understand, and enforce the laws. Edu-
  cating people  about  their rights,  and
  helping them to demand  good gover-
  nance, is essential. Participatory gover-
  nance mechanisms may exist but are
  underutilized.
— The gap in resources available to  offi-
  cials in developed and developing coun-
  tries is profound.  In many developing
  countries, resources for compliance offi-
  cials  are  woefully   inadequate.  For
  instance, officials may have too  few
  resources to even visit the facilities they
  are supposed to regulate. We need to
  close this gap. We must also correct the
  perverse incentives that create perverse
  outcomes. In correcting  these, at the
  same time, we must ensure  we do not
  rob the agency of a key source of their
  income, or otherwise downgrade their
  status. If agencies lack resources, how
  do they ensure that they can apply the
  law fairly to all in the regulated commu-
  nity?

2.2.7   Other challenges
— One challenge  is to focus on concrete
  projects to  strengthen compliance, while
  keeping in mind broader goals such as
  the rule of law. The role of each of the
  three branches of government is impor-
  tant. Citizen groups  can help  public
  authorities to enforce the law. We need
  to think about how to develop mecha-
  nisms  that will persist in  time so  that
   they preserve the rule of law over the
   longer term.
— There is a shift from supporting interna-
   tional  exchanges  and  environment,
   towards "good governance". Our chal-
   lenge is to show that our business is an
   important aspect of good governance.
   Our field thus provides a great test case
   of successes and problems. We have to
   play a leading role in demonstrating that
   we can  help to promote good gover-
   nance. We need to form a partnership
   and develop a strategy to promote this
   goal, and to secure  the resources to
   showcase our work, strengthen gover-
   nance, and continue our present and
   new activities.

3 CONCLUSION

       These discussions are particularly
pertinent to the goal of this conference and
of INECE. The workshop covered a range
of issues relating to governance, the rule of
law, and compliance. The following are par-
ticularly pertinent:
— We discussed the notion of good gover-
   nance, and acknowledged its main com-
   ponents - including cost-effectiveness,
   accountability, and transparency.
— Yet we do not necessarily have a clear
   and operational definition. The OECD
   guidelines provide an important step in
   this direction.
— Peer review provides a good vehicle for
   strengthening compliance, rule of law,
   and good governance.
— Accountability must also be better insti-
   tutionalized, as  it has in some  cases
   with transparency.
— Different resource levels and the inde-
   pendence of officials and judiciary must
   also be ensured.
— Authorities' awareness of accountability
   must be strengthened.
— How do we educate for change? We
   need  to  strengthen  efforts to  raise
   awareness and build a group of people
   who support our work.

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96          SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


— We also had  suggestions to develop    — Resources for enforcement and compli-
  broader toolkits and to see how indica-       ance must be adequate.  How  can we
  tors work in the context of a broader set       ensure adequate resources are avail-
  of tools.                                   able?

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                                                    SUMMARY OF WORKSHOP 1H   97
SUMMARY OF WORKSHOP 1H:
COMMUNICATIONS POLICY AND PRACTICE

Facilitators:   John Cruden, Environment and Natural Resources Division, Department
             of Justice, United States
             Krystyna Panek-Gondek, Inspectorate for Environmental Protection,
             Poland

Rapporteur:   Meredith Reeves, INECE Secretariat
GOALS

       To give participants the opportunity to discuss how their organizations use effec-
tive communications to promote or advance environmental compliance and enforcement.
1 INTRODUCTION

       The facilitators opened the work-
shop by stating that, in the context of this
workshop, the term "effective communica-
tions" means communications that promote
or advance environmental compliance and
enforcement.
       For a person working to communi-
cate information about compliance  and
enforcement activities, there are three main
groups of target audiences. The first is civil
society, including the public, non-govern-
mental organizations, and the  media; the
second is the regulated community; and
the third is government agencies and relat-
ed authorities.
       Furthermore, regardless  of the
intent of your communications strategy,
information is only as good as far as your
audience understands it and can use it.
Therefore, education and  training should
be an  essential component of effective
communications.

2 DISCUSSION SUMMARY

       Ms.   Krystyna   Panek-Gondek
began  the  discussion  by  describing
Poland's experience with its innovative "List
of 80" program, which  makes public the
names of the country's 80 worst polluting
companies. The List is  also used by the
environment agency to target inspections
and enforcement actions towards the worst
polluters.
       The List sent the message that the
worst polluters are the focus of the Inspec-
torate's interest, and enterprise got the
message that government and the public
are in control. The List created public legit-
imacy for enforcement,  as well as public
support for the program.
       Companies are included on the
List based on the following criteria: (1) how
many times the  emitted  pollutants exceed
the allowed limits, (2) the degree of con-
centration of the pollution; and (3) the loca-
tion  of  the  plant and  the  range  of its
adverse  effects.  A  company  can  be
removed from the list if it meets and main-
tains the terms and conditions established
by its ecological  permit.
       Mr. John Cruden brought the par-
ticipants back to the three target audience
groups, by pointing out that what you say
depends greatly  on which of the three audi-
ences you are targeting - for each, you
need a separate communications plan.
       Mr. Cruden went on to describe the
relationship  between the United States
Department  of  Justice  (U.S.  DOJ)  and
companies. When a company settles litiga-
tion with Justice following an environmental
dispute, the company agrees to take some
action,  e.g.,  to meet environmental  stan-

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
dards or  clean  up pollution.  U.S.  DOJ
invites civil society to comment on the set-
tlement by posting a public notice and pro-
viding a 30-day comment period.

2.1     Why Is It Necessary To
       Communicate With Civil Society?
       The workshop participants devel-
oped a list of reasons of why it is important
to communicate with civil society (the pub-
lic, NGOs, and the media), including:
— to raise public awareness;
—to educate the public about new laws and
  provisions;
—to  make the  public understand  what
  enforcement agencies are doing;
—to  obtain  legitimacy  for  enforcement
  actions;
—to deliver to nongovernmental organiza-
  tions (NGOs) and media information nec-
  essary to trigger supportive action;
—to prove that enforcement agencies work
  efficiently and  spend public funds  in an
  appropriate way;
—to involve people in the decisionmaking
  process;
—to create public support that influences
  government, parliaments, and interna-
  tional organizations.
       Ms. Brenda Brito (Imazon, a Brazil-
ian NGO) and Mr. Kenneth Cook (Environ-
mental  Working  Group,  a Washington,
D.C.,  "think tank with an attitude")  both
made  the point that  non-governmental
organizations can play a key role in trans-
lating governmental records and data into
useful public information.
       Ms.   Brito  discussed  Imazon's
experience with  researching the effective-
ness of criminal law on illegal logging. Two
central challenges to the project have been
(1) the difficulty of obtaining data on judicial
decisions and (2) the difficulty in finding
alleged violators  due to the length of time it
takes to prosecute a case.
        Ms.  Brito described how danger-
ous the work of the NGO can be, particular-
ly in terms of giving tips to the government
                              about illegal logging activities. Imazon tries
                              to work with the "help" of the loggers. The
                              Brazilian government does not know any-
                              thing about the number of loggers, where
                              the permit boundaries are, or what is per-
                              missible to take. In many cases, it is easier
                              to get information from the loggers. Imazon
                              does not ask direct questions about illegal
                              activities, and considers itself to be more of
                              a think tank than  an active participant in
                              prosecution.
                                     Ms. Brito described Imazon's use
                              of "policy briefs" to communicate to policy
                              makers and the public about illegal logging.
                              Imazon is also  exploring the use of the
                              Internet in communicating to its target audi-
                              ences; although the World Resource Insti-
                              tute's Global Forests Initiative posts Ima-
                              zon policy briefs and news stories, Imazon
                              is currently planning  a Web site on "The
                              State of Amazonia".
                                     Mr. Kenneth Cook discussed Envi-
                              ronmental Working Group's (EWG) use of
                              information from the US government (fre-
                              quently obtained through Freedom of Infor-
                              mation Act ("FOIA")  requests), along with
                              discovery evidence from tort actions, and
                              original   laboratory  tests  and   other
                              research,  to inform  the  public and the
                              media about threats to human health and
                              the  environment. EWG is unique in that it
                              has made an equal investment in its media
                              staff and its research staff, and selects proj-
                              ects based on  their  appeal to the media.
                              Mr.  Cook emphasized that it is very impor-
                              tant for NGOs  to  have  both external and
                              internal communications. Internal commu-
                              nications  include  sharing  exciting news
                              regularly with funders.
                                     Mr. Jonathan Allotey (Environmen-
                              tal  Protection  Agency,  Ghana) and Mr.
                              Mohamed Ben Hassine (Tunisia) described
                              their countries'  efforts to involve the public
                              in environmental decision-making, includ-
                              ing  through the  Environmental  Impact
                              Assessment process. Both countries invite
                              public comments and input on the scoping
                              process,  as well  as on the draft impact
                              statements. The opportunity for comments
                              and feedback often can result in the public
                              supporting the ultimate outcome  of the
                              impact assessment process.

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                                                     SUMMARY OF WORKSHOP 1H   99
2.2    Why Is It Necessary To
       Communicate With Regulated
       Communities (Both Enterprises
       And Authorities Responsible For
       Implementation Of The Law)?
       Participants' suggestions on the
reasons it is important to communicate with
the regulated community included:
—to  educate  the  regulated  community
  about new provisions;
—to promote best practices;
—to involve both enterprises and responsi-
  ble authorities in the regulatory chain;
—to establish cooperation among different
  compliance  and  enforcement  bodies
  (vertically and horizontally);
—to optimize the practice and implementa-
  tion of environmental policy.

2.3    Why Is It Necessary To
       Communicate With Government
       Organizations, International
       Bodies, And Regional Groups?
       Participants' ideas on the reasons
to communicate with governmental  organi-
zations, international bodies,  and regional
groups included:
—to prove  the effectiveness of inspection
  work (in  the scope of compliance and
  enforcement);
—to check  if the objectives established in
  environmental policies are being met;
—to  prove good   performance  among
  organizations.
       Mr.  Allotey  and  Mrs. Mihaela Beu
(Regional   Chief Commissar,  Romania)
described the role of training workshops in
communicating with the  regulated commu-
nity and with government inspectors. Mr.
Allotey described the training workshops
held in Ghana to introduce companies  to
new rules and requirements. Mrs. Beu dis-
cussed how, in Romania, the government
works hard  to communicate with the regu-
lated community to achieve  compliance.
The government shares the enforcement
resource allocation  plan with the regulated
community,  which  details  how  many
resources are involved in promoting com-
pliance and how many resources are dedi-
cated to enforcement activities.

2.4    How Should Communication
       Be Done?
       Participants also described meth-
ods that resulted in effective communica-
tions. Participants  agreed that the three
main criteria for effective communications
were that they be (1) comprehensive and
comprehensible, (2) open/transparent, and
(3) an honest representation of the event or
activity.
       The  communications should also
be shaped to the needs of the recipient. In
describing the challenges faced by the
United Nations Environment Programme's
(UNEP's)  regional  environmental compli-
ance and enforcement  officers,  Mr. Jim
Curlin (an Information Officer at UNEP's
Division of Technology, Industry and Eco-
nomics) noted  that in  most developing
countries, the  Internet has limited reach,
and that it is critical to modify communica-
tions policies in response to each country's
social context, and to utilize appropriate
media, including radio, television, banners
in the marketplace, and other methods. Mr.
Allotey commented that pamphlets and
brochures (which may need to be pictorial
and/or  in  the  local language)  are also
appropriate  communications tools. Ms.
Meredith  Reeves   (INECE  Secretariat)
briefly described the role of Environmental
Compliance and Enforcement Indicators as
tools for communicating complex informa-
tion in a straight-forward, easily-understood
manner. Mr. Kenneth Cook added that it is
critical to the success of the communication
effort  to  not allow much time  to pass
between   discovery and  sharing the
announcement, and to have a media plan
in front of the research.
       Mr. Matthew Cooper (an independ-
ent  environmental  media  consultant)
described the role of storytelling in effective
communications. Mr. Cooper noted that
when a message is presented in a human

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
context (e.g., through a story that relates
directly to a real situation), it is more likely
to be  understood  and received  by  the
intended audience.
       Mr. Allotey described  the use of
public award programs to companies that
put in the effort to clean up their activities.
Ghana's  EPA uses a rating scale of Red
(non-compliance),  Green  (operating  in
compliance), and Gold (achieved compli-
ance) to share information about the envi-
ronmental performance of companies in
the mining and manufacturing sectors. Mr.
Allotey also said that, in Ghana, the EPA
communicates directly with the press and
responds to press inquires on the position
of the government on issues.
       Ms.  Francesca  Di Cosmo dis-
cussed the US Environmental  Protection
Agency's seven rules for risk communica-
tions, noting that the rules apply to environ-
mental compliance  and enforcement com-
munications as well. The rules are:
1. Accept and involve the public as a part-
  ner.
2. Plan carefully and evaluate your efforts.
3. Listen to the public's specific concerns.
4. Be honest, frank, and open.
5. Work with other credible sources.
6. Meet the needs of the media.
                             7. Speak clearly and with compassion.
                                    Ms.  Di  Cosmo  continued by
                             emphasizing  the importance  of  under-
                             standing the target audience for any com-
                             munication  effort, and  of understanding
                             your own message before sharing it with
                             others. Ms.  Di Cosmo  noted  that it was
                             important to communicate the basic mes-
                             sage clearly, without using confusing termi-
                             nology or jargon.
                                    Participants  in  the   workshop
                             agreed that there is a need for elaborating
                             communications strategies for every target
                             audience.

                             3 RECOMMENDATIONS FOR INECE

                             —Develop  a  communications strategy,
                               which could be based on a survey of best
                               practices  from  around  the  world. By
                               extension,  participants  recommended
                               that INECE collect and promote strate-
                               gies for  developing  messages to the
                               three groups of target audiences.
                             —Look at ways that environmental compli-
                               ance and enforcement indicators can be
                               used as  a tool to communicate  mes-
                               sages about effective enforcement activ-
                               ities to diverse audiences in a clear and
                               concise manner.

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                                                   SUMMARY OF WORKSHOP 11   101
SUMMARY OF WORKSHOP 11: CITIZEN PARTICPATION IN
ENVIRONMENTAL ENFORCEMENT

Facilitators:  Georges Kremlis, European Commission
            Katia Opalka, Commission for Environmental Cooperation
            Romina Picolotti, Center for Human Rights and Environment, Argentina
            Barry Hill, Environmental Protection Agency, United States

Rapporteur:  Dorine Hornung, Ministry of Housing, Spatial Planning and the
            Environment (VROM), The Netherlands
GOALS

— To explore citizens' access to environmental data - both public and private - from the
  1966 U.S. Freedom of Information Act to the 1998 UN/ECE Aarhus Convention
— To explore the role that citizens play in the enforcement process once access to envi-
  ronmental data is granted
1 INTRODUCTION

       The first part of the workshop is
devoted to information disclosure to the
public, the second part of the workshop
examines  how this theme  is reflected in
actions by citizens groups and in laws that
seek to more directly involve citizens in the
enforcement of environmental laws through
citizen suits, reporting of alleged violations
to the government, etc.
       The basic questions presented by
the facilitators were:
— What are the successes and the prob-
  lems involving citizens' participation?
— What does "meaningful" mean when we
  speak about meaningful citizen involve-
  ment?
— What are the rights that the citizens and
  the  nongovernmental   organizations
  (NGOs) have?

2 DISCUSSION SUMMARY

       Prior to the discussion, the key ele-
ments  of  citizen  and nongovernmental
organization participation were set. These
are:
— Access to information
— Right to participation
— Access to justice
       Katia Opalka opened the workshop
discussion with an interesting presentation
about citizens' involvement in Canada. She
explained what routes citizens and NGOs
in her country can take and what the Cana-
dian system is for access to information for
citizens and  NGOs. For example, citizens
can launch private prosecutions. Citizens
and NGOs can ask the minister for an
investigation, and  if the government  does
not meet the request to their  satisfaction,
they can go to court. This allows citizens to
monitor environmental  issues. In addition
to this, Canada has an online network - the
Canadian Environmental Network - which
invites  people and NGOs to participate.
The politicians rely on the NGOs as speak-
ers for the citizens. There is also a system
for investigation of complaints made by cit-
izens.
       Following this example of a gov-
ernment that really involves citizens and
NGOs,  the situation in  Latin America was
shared with  the participants  by Romina
Picolotti. Usually, the possibility for citizens

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
to participate is based upon the  right of
information. In Latin America, this cannot
be explained without mentioning the his-
toric civil rights situation. Democracy is also
the right to know what is happening. But
only since a couple of years ago has there
been  an  environmental  movement that
supplies information. Today, in some Latin
American countries, there is a 'right to infor-
mation act' but  this does not apply to all.
Even when an act is available, government
officials are still not sharing information
easily. When information is requested, it is
shared  as  a  favor  rather  then  as  a
response  to a right. And even  when the
government is  willing to  share, the data
may not be accessible; for  example, files
may be on the floor, or data systems may
be  absent. If the government  does not
share the information, the NGOs would
rather accuse them of violating the human
rights act rather then the right to get infor-
mation based on the right of access to envi-
ronmental information. This is because the
government is  probably more  willing to
share information if accused of violating
human rights. One problem in  using this
approach  is that in Argentina, NGOs have
no human rights.
       After these two presentations, an
interesting discussion was held,  sharing
experiences.  The different remarks  made
or key points stated are listed below. For a
good understanding of the discussion, it is
noted that most of the participants were
representing NGOs.
— It should be kept in mind that providing
   information costs the government a lot
   of time and effort (for example, they may
   not be able to afford the costs of making
   photocopies), and there should be a
   feeling that  the  government  benefits
   from it, because otherwise authorities
   see only the risk that they will be sued
   constantly.
— Public  participation should enable citi-
   zens to make their  views known,  to
   ensure compliance with environmental
   laws and the precautionary principle.
— Citizens and NGOs should have access
                                to justice to support access to informa-
                                tion, to participation, and to courts.
                              — Meaningful  public participation  would
                                require all relevant environmental infor-
                                mation to be made available and the
                                views of the public to be taken into con-
                                sideration to the extent possible.
                                     In addition to these key points the
                              following remarks  were also made.  These
                              remarks are listed  in no particular order:
                              — 'Meaningful information' means getting
                                general information as well as specific
                                information. And it should not only mean
                                sharing  information,  but also  giving
                                rights to control discussions and then
                                the  right to appeal. In Austria,  in the
                                case of public  participation in certain
                                dossiers,  they  are handled  differently,
                                with more care, by the government.
                              — A participant stated that access to infor-
                                mation is linked  to access to justice. This
                                means the government actively supply-
                                ing  information, not only on  request,
                                such as  access via databases.  When
                                the  information is shared, such  as via
                                the  Internet, it will actually  pay itself
                                back.
                              — A participant from  an NGO said that
                                sometimes information is held back, or
                                the  opposite may occur: they give too
                                much so it is difficult to understand. It
                                was also stated that governments are in
                                some cases only sharing technical infor-
                                mation, which the public does not under-
                                stand.
                              — Website access is not in all cases and/or
                                for all countries  enough for sharing infor-
                                mation. This is because  not all  people
                                have access.
                              — If the government uses the possibilities
                                mentioned in the Aarhus Convention, it
                                will be easier for them to reach the peo-
                                ple. Citizens are sometimes surprised of
                                the  possibilities they have. The govern-
                                ment's role should be more than just
                                supplying technical data.
                              — Without  providing  information  to the
                                people, it is impossible to give  people
                                awareness. In the Ukraine, they are

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                                                  SUMMARY OF WORKSHOP 11   103
encouraging people to get access to
information. NGOs can go to court now,
but citizens cannot do this yet. In front of
the court,  the government once stated
that it did not want to share all the docu-
mentation because  it was secret. But
the court  said that they had to share
because otherwise they would violate
the convention.
It is very different in Africa: 'you are just
lucky getting information'. A participant
from an NGO said that it was sensed
that the government sees NGOs only as
troublemakers.  It  has to  be said  that
there is not much money available to
share information.
A problem is that not all state bodies are
trained properly about the possibilities of
the Aarhus Convention and its imple-
mentation. It was also stated that envi-
ronmental democracy cannot be built
from one day to another and sometimes
the NGOs  want more than what the gov-
ernments are ready for. It  is not always
a matter of willingness; it takes time, and
th'e  governments need to build  this
capacity.
Governments should keep in mind that
citizens' complaints are the eyes and
ears that enable the effectiveness of the
environmental laws.
— Governments often see industries  as
   partners, but they should see NGOs as
   beneficial partners as well.

3 RECOMMENDATIONS FOR INECE
— Strengthening  governmental commit-
   ments and public support for regional
   agreements, making them spread world-
   wide.
— Presenting training workshops on  inno-
   vative tools for meaningful public partic-
   ipation,  which should  be for  NGOs
   together with regulators.
— Developing  a strategy for establishing
   guidelines for meaningful participation.
— Making an effort to develop databases
   and other ways of providing information
   to the public, e.g., by sharing best  prac-
   tices.
— Sharing success stories and the way
   that they were used.
— Promoting that human rights (e.g., to life
   or health) relate to environmental rights.
— Mentioning to governments that infor-
   mation  given by NGOs and the public
   should be used, to get the advantage of
   the participation.

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                                                      WORKSHOP SESSION 2A   105
                        WORKSHOP SESSION 2A

  Environmental Compliance and Enforcement Indicators: Getting Started
       Representatives from Argentina, Austria, Canada, Costa Rica, the United States,
and others from the INECE Expert Working Group on Indicators led a series of workshops
that introduced the concept of environmental compliance and enforcement (ECE) indica-
tors and discussed basic components of program  design and implementation. Drawing
from the experiences of the workshop leaders, the workshops provided guidance to prac-
titioners for identifying, implementing, and using ECE indicators and discussed issues such
as costs, lessons learned, and the values, benefits,  and need for ECE indicators.
2A  ECE Indicators: Getting Started
       A1 Facilitators:    Dave Pascoe, Environment Canada
                        Angela Bularga, Organisation for Economic Co-operation
                        and Development

       A2 Facilitators:    Michael Stahl, Environmental Protection Agency,
                        United States
                        Waltraud Petek, Federal Ministry of Environment, Austria

\      A3/A4 Facilitators: Maria Di Paola, Fundacion Ambiente y Recursos
                        Naturales, Argentina
                        Jose Pablo Gonzalez, Office  of the Attorney General,
                        Costa Rica
                        Myriam  Linster, Organisation for Economic Co-operation
                        and Development
                        Kenneth Markowitz, INECE Secretariat


Report Out from Workshop Session 2A
       Moderator:        Michael LeRoy-Dyson, Auckland Regional Council,
                        New Zealand


In the following pages, the reports of these workshops are presented.

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                                                 SUMMARY OF WORKSHOP 2A1   107
SUMMARY OF WORKSHOP 2A1: ENVIRONMENTAL COMPLIANCE
AND ENFORCEMENT INDICATORS: GETTING STARTED

Facilitators:  Dave Pascoe, Environment Canada
            Angela Bularga, Organisation for Economic Co-operation
            and Development

Rapporteur:  Davis Jones, Environmental Protection Agency, United States
GOALS

       To strengthen capacity to measure and manage the effectiveness of the partici-
pants' compliance assurance and enforcement activities by launching new environmental
compliance and enforcement (ECE) indicator pilot projects.
1 INTRODUCTION

       The facilitators began  by  raising
two key questions to help focus the discus-
sion.
1. What are the challenges to starting ECE
  indicator pilot projects?
2. How can INECE help?
       The difficulties with result-oriented
measures should not dissuade programs
from beginning to measure environmental
outcomes in more limited ways. Output
indicators with  measures such as inspec-
tion numbers or the  number of regulated
entities are a necessary component of indi-
cator systems, despite their limits in show-
ing  the environmental results. However,
even though the data may be difficult to col-
lect and manage, limited outcomes meas-
ures should be sought. Agencies  should
not be afraid to make mistakes; they should
be encouraged to be creative and to exper-
iment with indicators. Care must be taken
not  to create measures that create per-
verse incentives, such as increasing the
number of  insignificant inspections or
cases to show greater activity, or by indicat-
ing  the lack of violations as a success
rather than as  an  indication that compli-
ance status is unknown. Indicators must be
developed  early  in  the  management
process and be used to guide resource
dedication  and   strategies.   Indicators
should be examined in light of the expecta-
tions of the programs and may help explain
why regulators act as they do towards the
public and other stakeholders, who may
have other expectations.
       INECE could play a key role in the
following areas:
— Working with Regional Networks to pro-
   mote global use of  ECE indicators and
   continue to promote the issue to help
   the networks connect with funders.
— Sharing information between countries
   and standardizing definitions and termi-
   nology to develop a common language
   on the subject.
— Develop training and guidance on the
   development and use of basic compo-
   nents, including some specific indicators
   with which they can begin.

2 DISCUSSION SUMMARY

       Several countries  have begun to
measure performance and outcomes in dif-
ferent ways,  and have different experi-
ences in developing environmental compli-
ance and enforcement indicator programs.
Mr. Dave Pascoe began  by relating his
experience in Canada as they developed a
performance measurement system. They
began by choosing only a selected number

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
of indicators from a menu referenced in a
larger list of measures (from the INECE
publication "Performance Measurement
Guidance for Compliance and Enforcement
Practitioners"). The biggest lesson learned
was that  in a pilot, you should not discount
any indicators, even if you only begin with a
more limited set. If some measures do not
work, it is acceptable to make mistakes and
then discard a particular measure, but pro-
grams should not begin a pilot by leaving
anything  out of future consideration.
       Many  countries have  advanced
systems,  which may rely on the internet or
other tools, to collect and publish informa-
tion on environmental releases and activi-
ties, such  as timely and appropriate
response to violations or other activities.
These systems may do a great job of cap-
turing data, but often  do a poor job at
measuring performance and results. Differ-
ences in  performance of industry toward
compliance  or  effluent releases are not
always adequately linked to environmental
performance such as  stream quality.
       In The Netherlands,  a new law
requires yearly environmental data reports
for public release from the environmental
authority. The decree described criteria for
data and presentation of information to
ensure adequacy of the data presented to
the public. Information was in two parts:
1. Effect  of pollution  on surrounding area
   around plant.
2. Information  about  monitoring system
   and data management system.
       For some items, such as methane,
polluters  can calculate the exact emissions,
but for some other pollutants such as fugi-
tive benzene,  it can be much  harder to
directly measure. Therefore, the authorities
had to establish  uniform data  collection
methods  and reporting mechanisms. They
also had  to get agreement on responsibili-
ties of government and industry regarding
data systems.
       The development  of  indicators
must not be done too much in isolation of
other parts of the compliance monitoring.
Some well-meaning indicators can  create
perverse incentives, if not done with a
                             wider perspective. For example, indicators
                             that compare the work of subnational units
                             can create motivation for units to perform to
                             meet the measure, rather than to perform
                             to meet the ultimate goal of the measure,
                             leading to inadequate or incomplete com-
                             pliance.
                                    Finland first investigated process-
                             es and how they work, and then developed
                             measures on work outputs and schedules
                             to show how work proceeds. The develop-
                             ment of indicators should go hand in hand
                             with development of  work processes  to
                             improve work flow and efficiencies. Indica-
                             tors should help to put work in positive light
                             and should not be designed as a method to
                             criticize.  Program  evaluation  should be
                             designed to improve programs, not to justi-
                             fy tearing them apart or eliminating  pro-
                             grams that do not adequately fit the meas-
                             ures.
                                    The INECE Internet forum on indi-
                             cators highlighted a system to capture key
                             data from inspection reports. The goal  of
                             the system is to take all the necessary data
                             for the indicators from inspection reports,
                             rather than requesting more data from the
                             inspectors  or additional  forms for inspec-
                             tors to complete. Inspectors already have
                             too much work to add additional  data col-
                             lection or reporting demands.
                                    The goal of indicator systems is to
                             measure the effectiveness of compliance
                             work. In Canada they broke the indicators
                             into two parts. The first measure is compli-
                             ance with the rules and outputs such as the
                             amount of fines, the number of inspections,
                             and the number of cases. It is fairly easy to
                             report and  collect information of this type,
                             and to measure the effectiveness of indus-
                             try compliance. However, it requires a small
                             leap of faith to believe that compliance will
                             reach the goals of the rules. But, if there
                             are limited  resources, this may be enough.
                             The second measure is  the efficacy of the
                             rules. It can be very difficult to figure out if
                             rules themselves are working, but we can
                             assume that if people not following rules, it
                             is impossible for the rules to reach the
                             expected  outcomes. Once compliance
                             occurs, then we can measure  the  out-
                             comes and ultimate results.

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                                                   SUMMARY OF WORKSHOP 2A1    109
       In one pilot, Canada first started an
initiative with measurement of things like
awareness of the environmental obliga-
tions. They then did one year of compliance
promotion to the targeted industrial sector.
Awareness went up to 70 - 80%. They then
measured targeted enforcement, and sub-
sequently found 90 - 95% compliance. The
dual track measurement helped them see if
they could measure the  effects of compli-
ance  promotion  vs.  enforcement, and
showed that both tools are most effective
when  used together. It required some trial
and error on which indicator worked, but
better results occurred when different indi-
cators were tested.
       Indicators should be designed and
used  to define compliance and  enforce-
ment  strategies and allocate resources to
best achieve goals.  Define the  baseline
indicator, measure the current state, then
perform the  activity and see if it worked.
Many  countries start work before they have
measures and do not know  how to ade-
quately direct the resources  in the most
productive way.
       Indicator programs should not be
created just  for  the  measures,  but they
must be a planning and  management tool
to learn about the effectiveness of work, not
just to measure.
       Some of the perverse incentives
are evident in Russia. Large countries do
not have nearly as many inspections per
facility as smaller countries. In Russia, and
many other countries, inspectors can not
revisit facilities unless a violation  is found,
so inspectors may invent  a violation so they
can come back to a facility later to continue
to review areas they may  not  have com-
pletely covered the first time. Another per-
verse  indicator is created when penalties
add to the inspectorate's funding and budg-
et,  creating   motivation  for  higher  fines
rather than environmental  improvements.
Many  areas do not set objectives correctly
because of other causes or influences.
       An  indicator  is defined as  an
expectation for a particular result.  When
dealing with  the  public, experience has
shown that the best  indicators are found
when  everyone with expectations in that
area are consulted, including governments,
auditors,  nongovernmental organizations
(NGOs), treasuries, the public, etc. Whose
expectations are being met? Information
used to explain enforcement may not be
the same as the information needed to
evaluate the effectiveness of the enforce-
ment, but both are important. Are indicators
created by the agency or imposed from out-
side? It is all  about "effectiveness", and
effectiveness is in the eye of the beholder.
That is, what governments consider a suc-
cess may not  be viewed as such by the
public.  Indicators are an important source
of information  on  expectations  of law
enforcement. It is important to know what
the public expects, and to understand that
it does not always match what the agency
is doing based on law, budget, or agency
priorities.  It is crucial to help define what
the public wants, and whether law enforce-
ment can deliver on those expectations.
       The hierarchy of preferred indica-
tors  often depends on resources and the
ability to collect measures. Activity  is an
important and indispensable  indicator. We
need activity levels to compare to results to
show what we have done with our time and
resources. But we also have  to look at the
entire compliance continuum and  compli-
ance strategy. We need to look at the full
spectrum  of activities  and see which  is
effective in which parts of the continuum.
When you look at what you are going to
measure, you should also look at the deter-
rent value of "presence", even when viola-
tions are not found and there is no  other
direct result from an inspection or  other
activity. Ideally, all parts of the continuum
should  be measured, but this may be unre-
alistic.
       One problem  with  enforcement
indicators based on ambient environmental
conditions comes from externalities such as
transboundary pollution. Do you want to be
responsible for quality of environment when
some effects are beyond national control?
We must "think globally, act locally". Compli-
ance and  enforcement programs can only
be responsible for national law. Domestic
programs can not monitor  a  multi-national
company's activities in other countries.

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
       Perhaps this is one way INECE
can help? How can we ensure that indica-
tors toward one company in one country
are applied  equally in others? Different
national programs should work together to
try to  make  multi-national  corporations
globally accountable. There is someone at
the top of every company that is responsi-
ble, how can we get to them?
       Some  countries  have  tried  to
develop indicator programs, but because of
the lack of funding or internal capacity, they
have  not finished or  implemented  the
required indicators. Can INECE help create
mechanisms where donors and requesting
countries could come together? INECE can
help build networks and  push the  ideas
through regional networks. Donors may be
able to help networks work regionally better
than individual countries.
       Countries are asking about  the
basic elements  of indicator programs,  and
asking for guidance on what to do and what
indicators they should use, not on how to
develop  measurement  systems them-
selves. But if we create a system for them
instead of helping them learn to develop
their own, the efforts may not be sustain-
able. INECE should develop training on the
benefits of indicators and why they are use-
ful, then how to  develop a system so coun-
tries are  better  equipped to work out their
own  measures in a consistent way.
       There is a success story from Nor-
way  where they worked with three  coun-
tries in southern Africa on how to establish
an environmental department, and worked
specifically on  inspections and enforce-
ment. All  three new departments have been
successful. This was a result not just of one
or two courses, but rather a longer term
engagement with back-and-forth visits and
intensive capacity building. Any type of  sus-
tainable  capacity building, particularly on
long-term subjects such  as indicators,
requires a long-term commitment.
       The OECD is initiating a similar
project  in  Kazakhstan.  In  some cases,
there may be  a possible bilateral agree-
ment for  help, and environmental programs
may want to cooperate under that frame-
                             work. In other situations, regions may pre-
                             fer to deal with an outside broker such as
                             INECE or other international organizations.
                                    INECE has successfully connected
                             funders  with  issues  in  a  couple  of
                             instances. In Southeast Asia,  INECE  has
                             connected funders from the United States -
                             Asia Environmental Partnership (USAEP)
                             and  the Asia Development  Bank  with
                             experts in the US EPA, the OECD,  and
                             elsewhere and will be  holding a regional
                             workshop  on  enforcement  indicators in
                             August in  Manila. Another example exists
                             in Central America where the Central Amer-
                             ica Commission for the Environment  and
                             Development is working with funding from
                             the  US Agency for International Develop-
                             ment (USAID) and experts through INECE
                             to start indicator pilot projects in the region.
                                    Russia presents an example of
                             performance-based budgeting that is forc-
                             ing them to rethink their indicators. There
                             are requirements in the law that the govern-
                             ment must report their results to the public,
                             so they are working to strengthen their
                             measurement  systems. Currently,  they
                             have a great deal of data, but it is not effec-
                             tively used. They have collected data for
                             the  public "State of Environment" report,
                             but  do not think about  trends, visible  dis-
                             play of data, and  long-term analysis.

                             3 RECOMMENDATIONS FOR INECE

                                     INECE could try to develop a  tool
                             or guidance with learning lessons on devel-
                             oping and using indicators, particularly on
                             how to creatively develop and use informa-
                             tion  that already  exists based on where it
                             has  already been done.
                                    Another role for INECE could be to
                             examine how different indicators, such as
                             compliance  rates, inspections,  and  out-
                             comes are addressed or segmented by dif-
                             ferent countries.  E.g., the  number of
                             inspections is not as easily defined as it
                             seems: what is an inspection? How are dif-
                             ferent levels of inspections counted? How
                             do  you count a  team vs.  an  individual
                             inspection? A set of common definitions
                             used across boundaries would help as

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                                                   SUMMARY OF WORKSHOP 2A1   111
countries or other institutions make com-
parisons.
       INECE could also help with defin-
ing severe nonconformities. Many different
systems exist such as the US definition of
"Significant  Non-Compliance" or  "SNC",
which  differentiates between violations
based on their seriousness and triggers dif-
ferent responses which are closely tracked
to ensure adequate response  is taken.
What are the  most serious  ones? What
types of violations matter most? While this
may differ depending on  legal regimes,
INECE could share how countries reach
their determinations so others could apply
the same logic within their  regulatory sys-
tem.

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112         SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                 SUMMARY OF WORKSHOP 2A2   113
SUMMARY OF WORKSHOP 2A2: ENVIRONMENTAL COMPLIANCE
AND ENFORCEMENT INDICATORS: GETTING STARTED

Facilitators:  Michael Stahl, Environmental Protection Agency, United States
            Waltraud Petek, Federal Ministry of Environment, Austria

Rapporteur:  Wout Klein, Ministry of Housing, Spatial Planning and the Environment
            (VROM), The Netherlands


GOALS

       The facilitators presented as goals for the workshop:
1. Hearing about issues that participants are faced with when defining, developing, and/or
  implementing environmental compliance and  enforcement (ECE) indicators
2. Defining ways in which INECE could help with these issues.
1 INTRODUCTION

       Several countries have a history of
"state of the environment" indicators. The
challenge is to develop a whole spectrum
of indicators from input to outcome and at
several intermediate stages. One  should
not try to make this link by one big leap. An
incremental approach is the only way to do
so, and focus should be given to intermedi-
ate outcome indicators.
       There is not one ideal set of indica-
tors that can  be  used by every country.
There only seems to be a general approach
or process of  identifying, developing, and
implementing  environmental compliance
and enforcement (ECE) indicators.

2 DISCUSSION SUMMARY

2.1     Experience
       Experience  with ECE  Indicators
among workshop  participants ranged from
practically none to fairly sophisticated. Spe-
cific situations were mentioned by mem-
bers from:
— Bahrain
- USA
— New Zealand
— Austria
— Australia
— Poland
— Romania
— Ghana
— England & Wales
- IMPEL
       Some of these countries are really
at the  beginning of an ECE Indicators
scheme. Other countries have experience
with "state of the environment" indicators,
but   not  with  performance indicators
focused on environmental compliance and
enforcement. Several countries are in the
burdensome  process  of  linking  their
enforcement output  indicators to the state
of the environment.

2.2     Observations
       From these various  experiences
and from the work on ECE Indicators by
INECE and the Organisation for Economic
Co-operation and  Development,  several
observations emerge that are stipulated by
the participants and moderators.
— Several countries have a history of
  "state of the  environment" indicators.
  The INECE group focused on perform-

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
  ance indicators for compliance and
  enforcement that are,  so far,  in most
  countries described in terms of input or
  output.
  The challenge is to develop a whole
  spectrum of indicators from input to out-
  come  and  at  several  intermediate
  stages, like, for instance, what was done
  in the Chesapeake Bay  water quality
  program.
  One should  not try to make this link by
  one big leap. An incremental approach
  is the only way to do it.
  Focus should be given to the intermedi-
  ate outcome indicators, because
  they are more directly related to  the
  enforcement activities than are outcome
  indicators,
  they are more directly related to  the
  efforts of the regulated community and
  are more readily accepted, and
  they are sooner to be obtained and
  attributed to the actions.
  There is no one ideal set of indicators
  that can be  used by every  country.
  There  only seems to be a  general
  approach  or  process of  identifying,
  developing,  and   implementing ECE
  Indicators. (See: M. Stahl, "Performance
  Measurement Guidance for Compliance
  and Enforcement  Practitioners,  avail-
  able at http://inece.org/forumsindicators.
  html").
  In this process, one should try to focus
  on  only a  few indicators,  especially
  those that  will be really and sensibly
  used by the  management or  by  the
  national government;  indicators that
  pose a  burden on employees or local
  authorities of collecting data that  will
  never be used will soon discourage the
  whole process.
  There is always a risk of perverse incen-
  tives originating from a specific indicator,
  so that inspectors might make the wrong
                                choices  just to  get good  indicator
                                results.
                              — There is also a risk of misuse and misin-
                                terpretation of indicators; a decrease in
                                incoming fines  can  either indicate a
                                lower performance of the inspectors or a
                                higher performance  of  the regulated
                                community.
                              — Communication and education about
                                the sense and meaning of the indicators
                                is essential at all stages, both inside the
                                agency and to the outside (politics, com-
                                munity,  industries).  Several  of these
                                audiences can very well be co-design-
                                ers in the development stage.

                              3  RECOMMENDATIONS FOR INECE:
                                     INECE could  assist countries in the
                              process of identifying, developing,  and
                              implementing  performance indicators on
                              environmental  compliance and  enforce-
                              ment in several ways:
                              — By building capacity, e.g. by incorporat-
                                ing these notions on the ECE Indicators
                                process  into a training course or by
                                mentoring actual processes in develop-
                                ing countries.
                              — By presenting a library of examples of
                                basic indicators, used by different coun-
                                tries, preferably categorized  by their
                                type or use, in order to give direction to
                                new schemes and  a possibility of bench-
                                marking for existing schemes.
                              — By  exchanging  information   through
                                INECE's website, not only about suc-
                                cesses,  but also about burdens and fail-
                                ures.
                              — By investigating the  use of ECE Indica-
                                tors  in situations  of cross-compliance,
                                e.g.  where the  granting of agricultural
                                subsidies is dependent on the compli-
                                ance with environmental regulations.
                              — By continuing the E-dialogue  on ECE
                                Indicators with an exchange of experi-
                                ences with intermediate outcome indica-
                                tors.

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                                               SUMMARY OF WORKSHOP 2A3/A4    115
SUMMARY OF WORKSHOP 2A3/A4: ENVIRONMENTAL COMPLIANCE
AND ENFORCEMENT INDICATORS: GETTING STARTED

Facilitators:  Maria Di Paola, Fundacion Ambiente y Recursos Naturales, Argentina
            Jose Pablo Gonzlaez, Office of the Attorney General, Costa Rica
            Myriam Linster, Organisation for Economic Co-operation and Development
            Kenneth Markowitz, INECE Secretariat

Rapporteur:  Melanie Nakagawa, INECE Secretariat
GOALS

       To introduce the concept of environmental compliance and enforcement (ECE)
indicators and discuss basic components of program design and implementation. The par-
ticipants represented countries at varying  stages of economic development as well as
sophistication with regards to enforcement and compliance programs. This workshop
helped identify how participants from countries that do not have an ECE indicator program
or are in the process of establishing one would go about designing an effective ECE pro-
gram. Participants shared lessons  learned and raised  new ideas about how to facilitate
establishment of an effective ECE indicator program and, in particular, suggested ways for
INECE to guide this process.
1 INTRODUCTION

       The discussion focused on five key
questions posed by the facilitators. These
were:
1. How can we start developing ECE indi-
  cators? What are the benefits of using
  ECE indicators?
2. What challenges are  associated with
  identifying, designing,  and using ECE
  indicators?
3. What role can INECE play in developing
  and using ECE indicators?
4. How can we share experiences from
  INECE pilot projects  to  assist  other
  countries in initiating projects?
5. What is the role of International Financial
  Institutions (IFIs) in providing financial
  assistance for compliance and enforce-
  ment programs? More specifically, what
  role  can they play  in countries to help
  them fund the  information sharing and
  data gathering aspects?
       Several ideas were suggested by
members from a variety of countries rang-
ing from those with a strong enforcement
regime to those still in the nascent stages
of environmental enforcement.

2 DISCUSSION SUMMARY

2.1     Key Points Attributed to
       Specific Individuals
       1. Ms. Maria Di Paola commented
that access to lessons learned from other
indicator  programs  and  sharing  experi-
ences  are  important  for countries  just
beginning  pilot programs.  For  instance,
Brazil and Mexico have been good exam-
ples for Argentina to learn from by examin-
ing our shared similarities while still paying
attention to our differences.
       2. Mr. Jose Pablo Gonzalez high-
lighted that training, regional trends,  and
enforcement cooperation  are critical to an
effective ECE program.

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
       3. Mr. John Chouinard added that it
is important to focus on intermediate out-
comes and goals and to avoid looking for
proof of cause and effect.
       4. Mr. Kenneth Markowitz noted
that in order to get the full impact of a coun-
try's Organisation for Economic Co-opera-
tion and Development (OECD) assessment
report, we should identify ways to work with
OECD to integrate ECE indicators into the
country assessment report  process. We
cannot look at these indicators in  a vacu-
um,  but rather we should pay attention to
the externalities involved and other pres-
sures. This same idea is true in other con-
texts such as the Millennium Challenge
Corporation country selection process and
the  World Bank's  initiative  on  country
assessments. Both of these  are exploring
ways to better understand a country's abili-
ty to govern effectively. There is a signifi-
cant role for compliance and enforcement
indicators to contribute to the success of
these efforts.
       5. Ms. Maria Di  Paola suggested a
potential role for IN ECE. E-dialogues are a
good way to exchange  information  and
share different  experiences  useful to our
pilot programs. If INECE  is  interested in
developing pilot programs, it would be use-
ful to think how the methodology will fit into
a country's unique system. It would be
interesting to review the  same indicator
through  different  perspectives,  another
mechanism for the promotion of exchange.

2.2    Shared  Experiences from Existing
       Programs: Lessons Learned
       Based on Costa Rica's experience,
Mr. Jose  Pablo Gonzalez discussed the
importance  of  compiling   data  and
resources on indicators and  then organiz-
ing this data. While Costa Rica has legisla-
tion  forcing officials to manage indicator
data, they do not have  an effective means
of enforcing it. Mr. Ken Markowitz agreed
with Mr. Gonzalez and added that  not only
is  collecting, organizing, and distributing
data difficult,  but it is  also  expensive.
Therefore, he questioned what the role of
international finance institutions would be
                              in  fiscally  supporting  compliance and
                              enforcement programs. He further ques-
                              tioned what roles they can play in countries
                              to help fund aspects of information gather-
                              ing. Finally, he inquired as to whether there
                              is a role for INECE to facilitate or assist with
                              this process.
                                     The workshop then discussed the
                              need to monitor and control ECE programs,
                              the role for public participation, and how to
                              evaluate effectiveness of a program. Types
                              of monitoring indicators include input indi-
                              cators (e.g., resources available) and out-
                              put indicators (e.g., number of enforcement
                              actions, number of  inspections, and num-
                              ber of cases filed).  But more significantly,
                              the workshop posed the question of how
                              we can try to understand improvement in
                              environmental quality.
                                     One   participant,    Mr.   John
                              Chouinard from Canada, suggested the
                              need for stronger consequences for non-
                              compliance. This goes hand in hand with
                              making sure an inspector is vigilant in his
                              monitoring. For instance, he suggested that
                              inspectors should have a checklist of major
                              activities that require compliance and then
                              record this data. With recorded data,  a
                              business can have a picture of changes in
                              its  performance over time, and inspectors
                              can focus their attention on those who they
                              now know do not comply. Basically, the offi-
                              cer in the field needs to know the purpose,
                              reason, and use of the information he gath-
                              ers. With a data system, or a generated
                              system, inspectors  know where to go and
                              what to check for.
                                     The participants then discussed in
                              greater detail input, output, and outcome
                              indicators. Mr. Rene  Drolet  commented
                              that we should focus attention on alterna-
                              tive outcomes. Based on his own experi-
                              ence, he found that long-term outcomes
                              can be attractive, but can also be discour-
                              aging. He found his  staff discouraged when
                              looking at long-term indicators, but when
                              he focused on outcome-based indicators,
                              that translated into small wins and encour-
                              aging results.  In other words, while final
                              outcome  indicators present an  attractive
                              goal, it may be premature in most countries
                              to jump toward outcome indicators without

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                                                 SUMMARY OF WORKSHOP 2A3/A4    117
taking performance measurement in steps
designed to provide useful information on
program activities.
       Mr. Fred Kok cautioned that while
outcomes are important, it is also important
to look at the quality of data versus the
quantity.  This  was  supported  by  Mr.
Krysztof Michalak's suggestion that there
be good monitoring of the quality data.
       The workshop stressed the notion
of clarifying outcome indicators and focus-
ing on intermediate outcome indicators.
One such approach is the pressure-state-
response (PSR) approach.  However, the
participant from Australia, Ms. Maria Comi-
no, posed the question of whether, when a
country has legislation and  uses the PSR
approach, there is a way to piggyback ECE
indicators on  this type of legislation. One
solution may  be to look at it from a cost-
effective approach.
       In response,  Mr. Ken  Markowitz
suggested looking to the Organisation for
Economc Co-operation and Development
(OECD) for guidance. OECD has signifi-
cant expertise with the pressure-state-
response model. The process at the OECD
is to try to not look at this in  a vacuum, but
to consider the externalities  involved, such
as non-point sources of pollution. However,
the participant from the OECD, Ms. Myriam
Linster, mentioned that the OECD could
use better figures  and better indicators.
Instead, the OECD currently uses other
data, similar  to what Mr. Markowitz  dis-
cussed. INECE can  help improve OECD
indicators. For example, INECE can help
figure out what information is needed to
show that  a  project is effective. INECE
could also explore voluntary approaches.
       Mr. Rene Drolet noted that behav-
ioral changes provide a good indication of
compliance. He is interested in  knowing
more about which industry  sectors would
respond best to compliance promotion in
achieving high levels of compliance.  Start
with a baseline and try to link change with
a  particular compliance  response.  This
gives an indication of where to focus atten-
tion - in his case, the farming community.
In Canada, Mr.  Dave Pascoe was able to
raise awareness about the fisheries act by
explaining to the fishing community  what
constitutes a violation. However, he ran into
political problems during the enforcement
phase. For enforcement actions in Costa
Rica, Mr. Jose  Pablo Gonzalez was asked
by the attorney general to monitor impacts
and set out guidelines for prosecutors with
the goals of achieving better settlements
and quality of enforcement.
       The participants discussed empiri-
cal data showing that there is a small per-
centage of the regulated community that
will comply.  There is also another small
percentage that will not comply because
there are economic disincentives to  com-
ply. However, in the middle there is a  com-
munity where with some compliance assis-
tance or a "kick in the knee" in the form of
a notice of violation, they will comply. The
challenge is to first determine who fits in
which of these  categories and then use the
bag of tools we have to know what tool to
apply to each group. The workshop partici-
pants then discussed what they can do with
this group and how the collective INECE
participants can use indicators to move this
gray group into compliance.
       The suggestions offered for fur-
thering compliance within this group includ-
ed several suggestions.
       (1)  The participants suggested
looking at cost effectiveness. This entails
calculating the  chance  that the offense will
carry  high  fines and  finding those who
would pay millions versus only a few  thou-
sand dollars in  fines. In addition, it requires
determining which offenders take on the
perspective that they would rather be  fined
than go under.  In these situations, it is best
to try to calculate the fine in the direction of
compliance.
       (2) The participants suggested it is
important to get the sources of emissions
and pollution registered.  Similarly, these
registries must be kept updated to facilitate
effective monitoring and tracking mecha-
nisms.
       (3) The participants suggested that
we pay close attention to  small and medi-
um-sized enterprises that may, if better

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
 informed, come into compliance. For exam-
 ple, eighty percent of small and medium-
 sized firms in the United Kingdom did not
 know regulations applied to them.
        (4) Developing good governance in
 countries that  are just setting up environ-
 mental  legislation and laws, like Bosnia
 Herzegovina, can help build the capacity
 for effective ECE indicators.  Bosnia Herze-
 govina  needs a good foundation, which
 includes good legal institutions, capacity,
 and budget, a  healthy economy, and a pri-
 vatization process.  Perhaps then, in the
 long-term, they will be able to develop ECE
 indicators.
        Dr. Roberto Rodriguez suggested
 that there should be regulatory plans based
 on a baseline for each country and a set of
 indicators. This would allow each country to
 extract  a  common  regional approach  in
 accordance with ECEs on an international
 level. These ECEs  would be targeted  at
 helping countries comply with environmen-
 tal agreements at the  local level through
.standards and permits, in accordance with
 Multilateral Environmental  Agreements
 (MEAs) and national plans. Drawing from
 Costa Rica's experience because it is more
 advanced,  a country would  look at indica-
 tors of performance instead of looking  at
 indicators  of impacts,  which are  hard  to
 measure.  Perhaps  the Central  American
 Free  Trade Agreement  (CAFTA) could
 serve as an opportunity to spread the use
 of ECE indicators in Central America.

 3 RECOMMENDATIONS FOR INECE

        The final issue raised  was how
 INECE  can help. It was noted that it  is
 important  for  INECE to respond  to the
 needs of the network, while expanding the
 network.
        Mr. Jose Pablo Gonzalez stressed
 the importance of training.
        Ms. Myriam Linster suggested that
 in some countries with extensive financial
 constraints, there must  be  a  minimum
 amount of resources necessary to begin an
 indicators  and ECE program. Given the
 financial constraints, the recommendation
 agreed to by the workshop participants was
                             to encourage creativity,  which takes into
                             account the different outcomes possible
                             from  different  countries  with different
                             issues.  Narrowly defined pilot  projects
                             (e.g., focusing on one law or part of a law)
                             that lead to valuable information should not
                             be discounted.  The  INECE methodology
                             could serve as  a starting point. INECE's
                             role could be to encourage the involvement
                             of academic institutions and non-govern-
                             mental organizations (NGOs) to start the
                             process, similar to what is being done in
                             Argentina with  the  World Bank  Institute
                             (WBI) and Fundacion Ambiente y Recursos
                             Naturale (FARN).
                                    Participants  also discussed the
                             need to provide inspectors and enforcers of
                             environmental regulations with training and
                             a methodology for ensuring good informa-
                             tion collection, management, and distribu-
                             tion. Such practices  will greatly assist in
                             conducting a pilot project, irrespective of
                             the scale.
                                    The workshop participants recom-
                             mended that INECE  develop  a standard-
                             ized  ECE  indicator training program,
                             dynamic  and interactive in  nature.  This
                             training could serve  a dual function as a
                             mechanism for  encouraging partnerships
                             with institutions  and as a means of foster-
                             ing comprehensive indicator development
                             within a country. The  INECE website could
                             serve as a clearinghouse for the training
                             and for sharing experiences among partici-
                             pants in the program.
                                    Another role for INECE would be to
                             highlight those who are the champions of
                             in-country projects,  have the vision and
                             political capacity, and are leaders. INECE
                             partners can do  training and capacity-build-
                             ing, but there still needs to be movement
                             from inside the  country as well. Individual
                             champions within an  organization are criti-
                             cal and can make a huge difference.
                                    Ms. Maria Di  Paola highlighted the
                             significance of the  e-dialogue and the
                             INECE website  as a way to promote infor-
                             mation exchange and the different experi-
                             ences useful to our pilot programs. Feed-
                             back  is especially  important if  used to
                             review the same indicator through different
                             perspectives. If countries continue to try

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                                               SUMMARY OF WORKSHOP 2A3/A4   119
things and share what has been tried, this   INECE  was in regard to the need  for
can advance the dialogue on ECE indica-   regional, national, and domestic coopera-
tors as people develop and explore the link-   tion as  the primary means for INECE to
ages between  ECE indicators and other   achieve its goals.  Without this domestic
indicators.                               support  system, INECE would be only able
       The  final  recommendation  to   to frame an agenda, but not enforce it.

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120         SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                          WORKSHOP 2E-2I   121
                       WORKSHOP SESSION 2E-2I
     Other Current Environmental Compliance and Enforcement Topics
       Conference participants explored other important current topics in environmental
compliance and enforcement, including enforcement methods and roles (criminal law and
negotiated compliance agreements), a case study of climate litigation efforts, a potential
wildlife enforcement network, and an assessment of compliance and enforcement in the
context of multilateral environmental agreements.
2E Criminal Law and Environment: Prosecutors, Inspectors, Police, and
    Nongovernmental Organizations
       Facilitators: Antonio Benjamin, Law for a Green Planet Institute, Brazil
                 David Uhlmann, Department of Justice, United States
                 Peter Murtha, Environmental Protection Agency, United States
2F Role of the Courts, Nongovernmental Organizations, and the Press:
    Climate Litigation Case Study
       Facilitators: Peter Lehner, Environmental Protection Bureau, New York Attorney
                 General's Office, United States
                 Catherine Pearce, Friends of the Earth International, United Kingdom
2G Compliance with and Enforcement of Multilateral Environmental Agreements
       Facilitators: Elizabeth Mrema, United Nations Environment Programme
                 Carl Bruch, United Nations Environment Programme
2H Wildlife Enforcement Network
       Facilitators: Azzedine Downes, International Fund for Animal Welfare
                 Yvan Lafleur, Environment Canada
                 Ladislav Miko, Ministry of the Environment, Czech Republic
21 Negotiated Compliance Agreements
       Facilitators: Susan Bromm, Environmental Protection Agency, United States
                 Ike Ndlovu, Department of Environmental Affairs and Tourism,
                 South Africa
Report Out from Workshop Session 2E-2I
       Moderator: Sibusiso Gamede, Basel Convention Regional Centre, South Africa

In the following pages, the reports of these workshops are presented.

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                                                  SUMMARY OF WORKSHOP 2E   123
SUMMARY OF WORKSHOP 2E: CRIMINAL LAW AND
ENVIRONMENT: PROSECUTORS, INSPECTORS, POLICE, AND
NONGOVERNMENTAL ORGANIZATIONS

Facilitators:  Antonio Benjamin, Law for a Green Planet Institute, Brazil
            David Uhlmann, Department of Justice, United States
            Peter Murtha, Environmental Protection Agency, United States

Rapporteur:  Andrew Lauterback, Environmental Protection Agency, United States
GOALS

— To discuss the roles of prosecutors and inspectors in enforcement and how the public
  and nongovernmental organizations (NGOs) can play a role in the process
— To generate a list of principles and best practices for cooperation and  coordination
  among investigators, prosecutors, and other environmental and enforcement officials
1 INTRODUCTION

       The  first  part  of the  session
focused on key foundation issues to be
addressed in establishing an environmen-
tal criminal enforcement program. The sec-
ond half of the workshop focused on the
key components of an effective  environ-
mental criminal enforcement program.

2 DISCUSSION SUMMARY

2.1    Key Foundation Issues
       The  first  part  of the  session
focused on key foundation issues that must
be addressed in establishing an  environ-
mental criminal enforcement program. The
workshop participants did not discuss indi-
vidual opinions on how best to answer each
issue. It was very instructive to step back
from specific case work and apply a macro
view to the fundamental issues of environ-
mental criminal enforcement. The founda-
tion issues that  must be  addressed  in
developing an  environmental  criminal
enforcement program include:
1)The nature of the  criminal offense - Is
  the relevant statute aimed at protecting
   human health or does it also include the
  environment?
 2) Issues of scienter - What is the standard
   for mental state: knowing, negligence,
   strict liability, etc.?
.3) Who is liable? - Does this include corpo-
   rations, responsible corporate officers,
   etc.?
 4) Standing to prosecute - What is the role
   of victims  and  NGOs? In some coun-
   tries, victims and others with standing,
   possibly NGOs, can initiate a criminal
   prosecution, or require the government
   prosecutor to pursue an environmental
   violation by criminal process.
 5) Penalties - What are the appropriate
   penalties? They may include imprison-
   ment,  fines,  restitution,  compliance
   orders, etc.
 6) Statute of limitations - Should there be
   one? If so, should it start from the point
   of  discovery   by  the governmental
   authority or the point when the violation
   is committed?

 2.2    Key Components
       The  second part of the workshop
 addressed the key components of an effec-
 tive  environmental criminal  enforcement
 program. The discussion was very  lively
 and  all members  participated. The group

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
decided that the essential components that
need to be present in order to have a suc-
cessful program include:
1) Will - Underlying all of the components,
  there must be the will on the part of the
  political establishment and the executors
  to provide the energy and resources to
  do the job.
2) Statutory framework - There should be a
  clearly articulated statutory base com-
  plemented by an effective  regulatory
  program.
3) Capacity building - Regulators, investi-
  gators, prosecutors, and judges all need
  training to perform their duties.
4) Effective communication  - There needs
  to be trust and  open communication
  among all members of the team, such as
  between investigators, regulators, pros-
  ecutors, and other stakeholders.
5) Case  selection  criteria - Investigative
  and prosecutorial decisions should  be
  based on clearly articulated criteria and
  priorities.
                              6) Outreach and publicity - There needs to
                                be outreach in order to inform the public
                                of case accomplishments and initiatives.
                                This is the only way to accomplish the
                                objective of general deterrence.
                              7) International cooperation - There needs
                                to be open communication with interna-
                                tional  organizations and  counterparts.
                                This could assist domestic programs in
                                creating the necessary political will.
                              8) Truly integrated system - A goal to attain
                                is an  environmental  criminal enforce-
                                ment program that is truly integrated
                                with all  levels of government: federal,
                                state or provincial, and local. Also, the
                                criminal program should  be integrated
                                with administrative and civil enforcement
                                programs if they exist. It was agreed that
                                this is  more accurately  considered  a
                                goal than  a  component,  and one  that
                                should be continuously sought.

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                                                  SUMMARY OF WORKSHOP 2F   125
SUMMARY OF WORKSHOP 2F: ROLE OF THE COURTS,
NONGOVERNMENTAL ORGANIZATIONS, AND THE PRESS:
CLIMATE LITIGATION CASE STUDY

Facilitators:  Peter Lehner, Environmental Protection Bureau, New York Attorney
            General's Office, United States
            Catherine Pearce, Friends of the Earth International, United Kingdom

Rapporteur:  Matt Cooper, Environmental Media Consultant, United States and
            New Zealand
GOALS

— To discuss what elements of climate change and its causes have made litigation a pos-
  sible tool to promote action, drawing on prominent climate litigation actions;
— To identify ways in which national and international laws may be used to address climate
  change polluters (whether nations or industries);
— To discuss and identify the important role that media & nongovernmental organizations
  (NGOs) play in the climate issue and in litigation strategies;
— To critically analyze the way in which the issues of global warming and climate change
  are framed and portrayed in the media generally.
1 INTRODUCTION

1.1     Climate Litigation
       The facilitators began with opening
comments generally describing some of
the  more prominent climate change litiga-
tion cases around the world that may be
used as a possible tool to spur action on cli-
mate change. Also discussed was the way
in which climate change is played out  and
portrayed in the media and how issues of
climate change and global warming  are
framed generally. The three types of litiga-
tion cases identified were: 1) cases to get
governments to disclose information about
the climate change impacts of their actions;
2) cases to directly limit carbon emissions;
and 3) cases to reduce  energy  use or
encourage use of "greener" or renewable
fuels.
       Other theories  and  ideas  dis-
cussed involved: 1) the utilization of human
rights actions based on the right to a clean
and  healthy  environment;  2)  cases,
actions, and  communication campaigns
highlighting government-backed  projects
that are not climate friendly; 3) tort actions
based on nuisance or trespass based on
property  damage caused  as a conse-
quence of climate change (such as rising
sea levels leading to loss or destruction of
coastal property); 4) actions based around
countries or institutions unfairly subsidizing
industries  that are accelerating climate
change; 5) choices of relief sought in such
actions (i.e., injunctive relief versus claims
for monetary damages).

1.2    Framing and Messaging
       The workshop participants agreed
that any message concerning dramatic cli-
mate change effects already occurring or
coming in  the near future (e.g., stories of
environmental catastrophes and environ-
mental refugees created through resource
scarcity, droughts, etc.), should be married
with a message  of hope and education
based on renewable or "green" energy. It is

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
necessary to tell a story of climate change
as it relates to human values and the effects
of climate change on local communities.
       The general consensus was that
the message of climate change needed to
be communicated in a simple, straightfor-
ward, and interesting manner to grab the
attention of a skeptical or uninformed pub-
lic and to answer concerted efforts to dis-
pute the fact that climate change is a reali-
ty. A values-based message could be built
around the right to clear air, clean  water,
and a clean environment generally, in order
to preserve the health of future generations
(i.e., to lessen human health effects of fos-
sil fuel use through the use of cleaner ener-
gy).  Part of this message would also be
that addressing climate change will lead to
substantial economic benefits and opportu-
nities in addition to environmental benefits
- an entire new area of industry built on
renewable energy sources  and the new
technology, business developments, and
job opportunities it creates.

2 DISCUSSION SUMMARY

2.1     Opening of Workshop
       The  facilitators  introduced and
gave a general overview of some  of the
high-profile climate change cases currently
being litigated, or that have previously been
litigated, around the world. These  cases
are set out in  detail in the background
paper Summary of Climate Change Cases
Worldwide  attached  to  this workshop
report. Participants agreed that the scientif-
ic evidence of  climate change is robust,
and it is becoming more and more certain
that climate change impacts can be attrib-
uted to increased carbon dioxide emissions
from human activities. The three types of
litigation cases introduced for discussion
were:
1) Cases to get governments to disclose
   information about the climate change
   impacts of their actions and force con-
   sideration of climate emissions;
2) Cases where citizens and/or govern-
   ments are trying to directly limit carbon
   emissions; and
                             3) Cases seeking to reduce energy use or
                                encourage use of "greener" and renew-
                                able fuels.

                             2.2     Cases from Background
                                     Paper Discussed

                             2.2.1    Climate Litigation & Industry: Case
                                     1 .A - State Attorneys General in
                                     U.S. Sue Private Utilities
                                     This  case  involved  eight  U.S.
                             states (including New York) and the City of
                             New York suing the five largest power com-
                             panies in the  U.S. in  July 2004, claiming
                             the companies, which emit nearly 10% of
                             the nation's total carbon dioxide emissions,
                             were  substantial contributors to the public
                             nuisance of global warming. The  action
                             seeks injunctive relief to reduce pollution; it
                             does  not seek damages.

                             2.2.2   Climate Litigation & Industry:
                                     Case 1 .D - German NGOs Sue
                                     Government for Export Credit
                                     Support of  Fossil Fuel Projects
                                     This case  involved a legal chal-
                             lenge by NGOs against the German gov-
                             ernment in June 2004 over its secret export
                             credit support for fossil fuel projects since
                             1997 through  its own agency, Euler Her-
                             mes AG. Money was expropriated into off-
                             shore fossil fuel projects, and the goal of
                             the action taken against the German Fed-
                             eral Ministry of Economics and Labor was
                             to force the government to disclose the
                             contribution to climate change made by
                             such  government-supported  projects in
                             developing  countries. The  case  is  still
                             pending.

                             2.2.3   International Law & Climate
                                     Litigation: Case 3.D - NGOs
                                     Submit Climate Change Petitions
                                     Under World Heritage Convention
                                     This case involved a petition to the
                             World Heritage Committee in November
                             2004 to place Sagarmatha National Park
                             (Mt. Everest) on the World Heritage Danger
                             List  as  a  result  of  glacial  degradation
                             caused by climate change. This national
                             park  is a focal  point of Nepal's tourism-

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                                                     SUMMARY OF WORKSHOP 2F   127
based economy and is rich in biodiversity,
which is imperiled by melting glaciers that
could destroy the park's natural and cultur-
al value and place thousands of lives at
risk. The case was also linked to two other
petitions calling for the coral reefs of Belize
and glaciers in Peru to be added to  the
Danger List as a result of climate change.
       The World Heritage Committee is
to meet in July this year to decide whether
to pick up these cases.

2.3    Other Theories of Interest and
       Related Cases Discussed

2.3.1   Human Rights Cases: Case 3.A-
       Arctic Peoples to Frame US
       Inaction on Climate Change
       as Human Rights Violation
       In the near future, the Inuit people
intend to bring a petition in the Inter-Ameri-
can Human Rights Commission against the
United States, through the Inuit Circumpo-
lar  Conference (ICC). The ICC case  will
highlight the link between human rights and
environmental degradation, especially con-
sidering that climate change is projected to
impact the Arctic regions sooner and more
substantially than other parts of the Earth.
       The  group   discussed  whether
there are  other opportunities around  the
globe to bring similar actions based on
"Eco-Justice" and  the link between human
rights and  environmental damage. Are
there possibilities to use World Trade Orga-
nization (WTO) mechanisms for  this pur-
pose and to bring  actions against some of
the world financial institutions in order to
highlight and bring these human rights and
environment stories to light?

2.3.2   Injunctive Relief versus Claims
       in Damages
       The group agreed that calculating
the value of damages in the area of climate
change  was indeed difficult, whereas
injunctive relief could impose overall reduc-
tion targets. Such  reductions could  be
achieved by various means which could
include: improving the efficiency of power
plants; using renewable energy sources;
and  investing in conservation measures
(such as conversion of power plants from
coal  to gas).

2.3.3  Reduction Goals
       The  group  discussed  whether
there was a basis or framework for what
constitutes an attainable and realistic goal
for emissions reduction. Based on statistics
and evidence of carbon accumulation in the
atmosphere, scientists have tried to deter-
mine a reasonable and  realistic emission
reduction goal that would put us on a tra-
jectory  toward some  real  results  and
toward  avoiding   the  dramatic  conse-
quences  of global climate change.
       A possible role for network partici-
pants is to help pull together some of these
emission statistics and formulate questions
to focus discussions on what is a reason-
able target level. The  longer we wait to
impose targets, the  higher the emission
cuts  need to be. It was agreed that real cuts
need to start now.

2.3.4  Sector Legal Suits
       Suits against entire industrial sec-
tors  were identified as a valuable tool for
creating  pressure on industry to develop
regulations rather than  individual lawsuits
against single industry players. By focusing
on controls and regulation,  you develop
and  create market mechanisms  that can
ultimately lead to larger changes in industry
behavior and greater emission reductions.

2.3.5  Tort Actions Based in Nuisance
       or Trespass
       The possibility of nuisance or tres-
pass tort actions based  on property dam-
age  caused as a consequence of climate
change was discussed. The specific exam-
ple raised was rising sea levels leading to
loss  or destruction of coastal property. Par-
ticipants  noted that proving the causal link
between climate change as a consequence
of carbon emissions and the property dam-
age  now occurring could at times be diffi-
cult.
       The example  of  Pacific  island
nations becoming submerged due to rising

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
sea levels was raised. Examples such as
this were not persuasive to people in coun-
tries such as the Ukraine which is not an
island nation  and therefore people do not
see this example as relevant to them. In the
context of Kyoto, the Ukraine is interested
in selling carbon credits under Kyoto and in
the economic advantages the agreement
may bring..
       Exxon's  Climate  Footprint:  the
Contribution  of  Exxonmobil to  Climate
Change since 1882, a report  issued  by
Friends of the Earth International in Jan-
uary 2004, also was discussed. One of the
major conclusions  of the report was that
Exxonmobil's emissions of carbon dioxide
from 1882 to 2002 totaled approximately
5% of global carbon dioxide emissions, or
one  twentieth of the world's total. It was
noted  by participants that more such
reports could  assist attribution efforts.

2.3.6  Actions Based in Human Rights
       The  possibility of human rights
actions based on the link between human
rights and environmental degradation was
raised  for discussion again. Related con-
cepts discussed included: environmental
refugees; the possibility of a major environ-
mental catastrophe; and the dramatic eco-
nomic  as well as  human consequences
that can occur as the result of an environ-
mental disaster. The idea would be to pro-
mote the view that lack of clean water, lack
of clean air, coastal flooding, loss of gla-
ciers and snowmelt, etc. are human rights
issues. The group discussed the  question
"How powerful is the human rights angle?".
       Some felt  that litigation  of such
human rights cases in local jurisdictions,
rather than in the international courts, was
more likely to succeed. It is difficult for a
local judge  to disregard a local human
rights argument as opposed to internation-
al actions based solely on environmental
concerns, which can be too far removed
from local concerns and effects on local
communities. It was suggested that inter-
national  human  rights bodies were  not
ready for a case based on environmental
human rights. Another question posed was
                             whether the Alien Tort Claims Act could be
                             utilized as the basis for a legal action in the
                             United States.
                                    A human  rights  strategy  should
                             ideally involve  a series of litigation actions
                             that would raise global awareness of the
                             issue of climate change and how it is affect-
                             ing local communities, peoples,  and cul-
                             tures.  Various  forms  of environmental
                             media and press coverage could be used
                             to support such a campaign.
                                    The group suggested that this was
                             something network participants could help
                             support,  networking  with, sourcing, and
                             supporting local lawyers around the world to
                             make such a litigation campaign a reality.
                                    Litigation is not as prevalent and
                             tied into the culture of other countries as it
                             is in the United States, but the idea of joint
                             actions setting out the problems, connec-
                             tions, and  similarities that exist  between
                             countries, regions, peoples,  and cultures
                             on the  issue  of climate  change  (water
                             scarcity,  drought, changing  weather pat-
                             terns, rising sea level, etc.) is a good idea.
                             Such actions  could  also  help provide a
                             vision for the future based on cleaner ener-
                             gy, new technologies, and alternative trans-
                             portation networks.
                                    Any cases  brought must be sound
                             and have beneficial effects on the problem.
                             An added benefit is that sound cases will
                             survive challenges and thus stay in the
                             courts long enough to enable the media to
                             stay focused on the human rights angle as
                             a press-worthy issue.
                                    In the  context of the  United States
                             it was pointed out that economic arguments
                             were as compelling, if not more compelling,
                             than  an action based in human  rights.
                             There may be a real opportunity for a tort
                             case based on property damage caused as
                             a consequence of climate  change (the
                             example of sea levels rising was raised
                             again). Is there evidence from an econom-
                             ic and industry viewpoint (such  as rising
                             insurance premiums for coastal property in
                             high risk areas or offshore oil  rigs for exam-
                             ple) that can be drawn upon and used as
                             evidence to support the  fact that global
                             warming is a reality rather than a disputed
                             theory?

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                                                    SUMMARY OF WORKSHOP 2F   129
2.3.7   The Framing of the Climate
       Change Message in the Media
       Public  attitudes  are  extremely
important. The  group  suggested that we
need to focus on the goal of communicating
the problems that are already occurring, or
beginning to become apparent, and marry
this with a message of hope for the future -
suggesting  solutions and renewable ener-
gy options  as an alternative to the status
quo. We need to set out what the problems
are, in a simple and clear way, and suggest
the positive solutions available. It is very
difficult to sell a negative message - the
doom and gloom message of global warm-
ing and hard science - in the absence of a
human story and solutions that provide
some hope for our collective future.

2.3.8   Other Ideas and Strategies
       Raised in Group Discussion
       The need to address the argument
that  "the science  of  global warming  is
unclear" was discussed. Litigation can be
used as a tool to demonstrate the real evi-
dence  that climate change  and global
warming is  occurring and that there will be
real and dramatic human consequences as
a result. A related topic discussed was the
fact that the media's portrayal of the "cli-
mate change debate" in the States is very
unbalanced. The reality  of the climate
change science  is that there are over 1500
scientists who attest to the fact that climate
change is a reality versus a few industry-
backed scientists who  are suggesting that
climate change  either is not occurring or
does not pose a problem. The media in the
States needs to be encouraged and edu-
cated so that the portrayal of the issue in
the media is more balanced. Alternatively,
is the better approach not to even enter into
a debate on the  science?
       Other points raised include:
— There  is  a real need to combine media,
   law, and  science, to facilitate a coopera-
   tive approach to selling the message.
   Only  by having all  of  the different
   experts in the field working together can
   we battle the counter-spin in an effective
   manner.  NGOs and expert groups also
need to work to educate judges and the
media about  the reality  of  climate
change.
There must be a focus on basic human
values and the effects climate change is
having on human communities.
The environmental movement must get
away from speaking solely about strict
scientific  data  and evidence  and re-
frame the message of climate change at
a level of human values and how envi-
ronmental change is impacting people
and communities. The group discussed
the idea of telling the stories of the plight
of indigenous people and local commu-
nities being impacted by climate change
as an indicator of the wider changes that
could impact all people and their way of
life.
We may be at  a "tipping point" where
there will be sudden change that  could
have dramatic effects (such as  a major
environmental or humanitarian disaster).
The media is a very visual tool that
should be utilized to create video releas-
es and tell many human  stories. There is
a very clear need to create media con-
tent and produce documentary pieces
about the issue. Examples of human
stories are the Sherpas from  Tibet -
whereby a human story  can be told, but
undercutting the local story is  a wider
message about climate change.
A majority of countries  have accepted
that climate change is a reality but are
acting  on this  knowledge in different
ways. There must be joint action from
countries  in  all  regions  of the world to
address climate change.
The group discussed the example of the
Chernobyl Nuclear Reactor disaster and
lessons  learned. This   environmental
catastrophe  spurred a  whole environ-
mental and democratic movement in the
Ukraine, and the press arising from the
disaster has created substantial political
pressure to ensure that such an  incident
does  not occur again. Unfortunately,
people have now become tired of the
issue because it is always portrayed in a

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
   negative light. The press in the Ukraine
   has become very sensationalist where-
   by stories are only published if they are
   possible to sell to a mass audience.
— In Algeria, there are educational pro-
   grams to help prevent summer fires,
   using theatre as the medium to educate
   and tell a story.
— It was agreed that renewable energy
   and a  focus  on  sustainable building
   practices both provide a valuable oppor-
   tunity to develop and promote a positive
   message  through:  education  about
   alternatives to fossil fuel reliance; exam-
   ples of green  buildings; and emphasiz-
   ing  reduced impacts on  human health
   (i.e., cleaner  air  and water) through
   cleaner energy.
— Other ideas discussed involved ancillary
   cases promoting energy efficiency and
   cases where deforestation is highlighted
   as a cause of and contributing factor to
   climate change.
— The group discussed the establishment
   of marine sanctuaries in the Philippines,
   the  possible scientific theory  that coral
   reefs are in fact carbon sequestration
   sinks, and whether anyone knew of any
   studies currently being undertaken that
   prove this  theory.  In the context of cli-
   mate litigation cases, it was agreed that
   there needed  to be a strategy of linking
   plaintiffs to defendants, as well as iden-
   tifying where and in what forum (nation-
   al/international) to bring an action.

3  RECOMMENDATIONS FOR INECE

       The group concluded that network
participants have a potential role to play in
eliminating the barriers that may exist in
bringing  legal actions  based on climate
change. It was suggested that network par-
ticipants could investigate areas of cooper-
ation in capacity building, networking, and
creating awareness, not only in the form of
exchanging ideas  and  snaring  experi-
ences, but by generating material and evi-
dence that helps educate the media, the
judiciary, and the public, countering the cur-
                              rent media spin on climate change issues.
                              Network participants could also help in the
                              preparation of evidence  and material to
                              support  the formulation  of  any  climate
                              change  legal  actions. This could  include
                              the development of concise abstracts,  for
                              use in many languages, on the science and
                              stories of global warming  to be distributed
                              to the public, media, and judiciary,  utilizing
                              the internet and other forms of media.
                                     The assistance  work  suggested
                              included:
                              — Disseminating and simplifying the back-
                                ground  science   so  that  laypeople
                                (media, politicians, the  public, etc.) can
                                understand the issue of climate  change
                                and the threat it poses clearly.
                              — Presenting the climate  change science
                                in a way that demonstrates  the causal
                                link  between  human-based  carbon
                                emissions and the dramatic effects of
                                climate change on people.
                              — Providing legal support and  networking
                                opportunities around prominent climate
                                change  litigation cases and ensuring
                                that the human  stories behind  such
                                cases are publicized. Translating scien-
                                tific articles into simple abstracts that
                                can support litigation cases and be used
                                to educate media and the public. These
                                abstracts would also be translated into
                                other languages where needed.

                              4 CONCLUSIONS

                              — Actions  based on human  rights and
                                environmental degradation are and can
                                continue to be a very successful strate-
                                gy to  raise  awareness  of  climate
                                change. In the event that the laws of a
                                particular jurisdiction do not allow for an
                                action to be brought,  a good fallback
                                position  may be a tort  action based on
                                property damage  (so long as the defen-
                                dant is large enough and has existed for
                                long enough to meet appropriate tests of
                                causation).
                              — Education of the media, public, judiciary,
                                and lawmakers is extremely important to
                                ensure the message of climate change

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                                                  SUMMARY OF WORKSHOP 2F   131
is communicated and represented in a
balanced and clear manner.
Information about climate  change and
stories of the effects of climate change
on people must be communicated sim-
ply   and  effectively  through  media
sources and the press. Media and pub-
licity is also a valuable tool to help sup-
port and publicize a particular litigation
action.

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132         SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                               SUMMARY OF CLIMATE CHANGE CASES WORLDWIDE (2F)   133
SUMMARY OF CLIMATE CHANGE CASES WORLDWIDE
GROSSMAN, DAVE,1 AND STONE, SCOTT2

1  Staff Attorney, INECE Secretariat and Institute for Governance and Sustainable
  Development
2 Staff Attorney, INECE Secretariat and Institute for Governance and Sustainable
  Development

2141 Wisconsin Ave. NW, Suite 02, Washington, DC 20007, United States,
dgrossman@inece.org, sstone@inece.org
1 CLIMATE LITIGATION & INDUSTRY

1.1     State Attorneys General in U.S.
       Sue Private Utilities
       Eight states (California, Connecti-
cut, Iowa, New Jersey,  New York, Rhode
Island, Vermont,  and  Wisconsin) and the
City of New York, and three NGO land
trusts, sued the five largest power compa-
nies in the United States in  July 2004.
These companies own or operate 174 fos-
sil fuel burning power plants  in 20 states
that emit  approximately 650 million tons of
carbon dioxide each  year. This is nearly
25% of the U.S. utility industry's annual car-
bon dioxide emissions and about 10% of
the nation's total. The action  calls on the
companies to reduce their pollution and
does not  seek monetary damages. Plain-
tiffs claim that the power companies' COa
emissions contribute to global warming, a
nuisance  under the federal common law of
public nuisance, or alternatively, under the
state common law of public nuisance. The
defendants have moved to dismiss the case
for lack of personal jurisdiction and argue
that federal statutes and treaties regarding
climate change pre-empt common  law in
the area.  The case is still pending.
       More information:
http://www.oag.state.ny.us/press/2004/jul/
jul21a_04.html
http://www.pawalaw.com/html/cases.htm
1.2    NGO Sues U.S. Government
       for Failing to Consider CO2
       Emissions from Federal Project
       NGO sued the U.S. Department of
Energy and the Bureau of Land Manage-
ment for violating the National Environmen-
tal Policy Act (NEPA) and the Administra-
tive Procedure Act (APA) in granting appli-
cations for permits to construct and operate
power lines to  connect power plants in
Mexico to California's electric grid. NEPA
requires that all major federal actions sig-
nificantly impacting the  human  environ-
ment undergo  an  environmental assess-
ment to determine the extent of the action's
impact.  In 2003, the court held that the
Environmental Assessment and the Find-
ing of No Significant Impact were inade-
quate under NEPA for failing to consider
carbon dioxide emissions from the power
plants.
       More information:
http://www.earthjustice.org/urgent/display.
html?ID=106
http://www.earthjustice.org/news/
documents/5-03/borderdecision.pdf

1.3    U.S. Municipalities Sue Export
       Credit Agencies for Funding
       Fossil Fuel Industry
       The city of Boulder in Colorado, the
cities of Oakland and Arcata in California,
and several NGOs  brought suit in August
2002 under NEPA against U.S. export cred-

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
it agencies for funding fossil fuel projects.
The  Export-Import  Bank (Exlm) and  the
Overseas  Private  Investment Corporation
(OPIC) provided over $32 billion in financ-
ing and insurance for oil fields, pipelines,
and coal-fired power plants over the past 10
years without assessing their contribution to
global warming or their impact on the U.S.
environment  as required under NEPA. The
U.S.  Government has filed motions to dis-
miss the case, arguing that the plaintiffs lack
standing, that  Exlm and OPIC have  not
taken any action subjecting them to judicial
review,  and  that  OPIC  is  exempt from
NEPA. The case is still pending.
       More information:
http://www.climatelawsuit.org

1.4    German NGOs Sue Government
       for Export Credit Support of Fossil
       Fuel Projects
       NGOs began legal action against
the German  government in June 2004 for
its secret export credit support for fossil fuel
projects since 1997, when the Kyoto Proto-
col was agreed  to. Germanwatch and
Friends of the Earth Germany  (BUND)
have taken action against the German Fed-
eral  Ministry of Economics and Labour in
the Administrative Court  in Berlin to force
the German government, under the free-
dom of environmental information law, to
disclose the  contribution to climate change
made by projects supported by the German
taxpayer through its export credit agency
Euler Hermes AG. The case is still pending.
       More information:
http://www.climatelaw.org/media/german.
suit
http://www.foei.org/publications/link/rights/
32case.html

1.5    U.S. State Sets Carbon
       "Shadow Price"
       Minnesota approves the  siting of
new power plants based on analysis of the
plants' social costs and benefits. In order to
account for a proposed plant's carbon diox-
ide emissions, Minnesota's Public Utilities
Commission determined that assessment
                             of a plant's cost must include a charge of
                             US$0.30 - $3.10 per ton of CO2 emitted,
                             depending  on geographic location. The
                             power industry challenged that assessment
                             process. The court upheld the analysis in
                             1998.
                                    More information:
                             http://www.globelaw.com/Climate/
                             MinnCase.htm

                             1.6     U.S. States and NGOs Sue
                                    Department of Energy for
                                    Weakening Efficiency Standards
                                    Seven U.S. states and NGOs sued
                             the  U.S.  Department of Energy (DOE)
                             under the Energy Policy and Conservation
                             Act (EPCA) and the Administrative Proce-
                             dure Act (APA). EPCA requires DOE to get
                             energy efficiency standards for appliances
                             at the maximum level that is technological-
                             ly and economically feasible. DOE set stan-
                             dards for air conditioners  (now used in 85%
                             of U.S. homes and accounting for over one-
                             third of U.S.  peak electricity demand). In
                             early  2001,  the  new  U.S.  presidential
                             administration sought to  replace the stan-
                             dards with  much weaker ones. The states
                             and NGOs sued, basing their interest on
                             the global warming impact of the  increased
                             emissions. The court held in 2003 that the
                             weakening  of the standards violated EPCA
                             and the APA and reinstated the standards.
                                    More information:
                             http://www.commondreams.org/
                             headlines04/0114-04.htm

                             1.7     Industry Sues U.S. State for
                                    Setting Vehicle Greenhouse Gas
                                    Emissions Standards
                                    California is the only U.S. state
                             with  the authority to set vehicle emission
                             standards (because it did so before the fed-
                             eral Clean Air Act was enacted). California
                             set greenhouse gas emission standards to
                             take effect  in 2009. In  December 2004,
                             industry sued California and has submitted
                             papers  challenging the  scientific  link
                             between CO2 emissions and global warm-
                             ing.  California has  moved to dismiss on
                             procedural grounds. The case is pending.

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                               SUMMARY OF CLIMATE CHANGE CASES WORLDWIDE (2F)   135
       More information:
http://www.enn.com/today.html?id=550
http://www.autoalliance.org/archives/00016
3. html

2 LITIGATION AS A CONSEQUENCE
  OF GOVERNMENT ACTION &
  INACTION

2.1     States and NGOs Sue U.S.
       EPA to Force Regulation
       of Greenhouse Gases
       Twelve U.S. states, several cities,
and several NGOs sued the U.S. EPA in
2003 for its failure to regulate greenhouse
gas  emissions  from vehicles.  Plaintiffs
claim that the EPA erred in deciding that
carbon dioxide was not a "pollutant" under
the Clean Air Act. The EPA asserts that the
broad, inclusive language of the Act should
not  be read to authorize as major a pro-
gram  as one increasing the fuel efficiency
of cars. This case is still pending; oral argu-
ments in the U.S. Court of Appeals for the
D.C. Circuit were just heard this past Fri-
day.
       More information:
http://www.nytimes.com/2005/04/09/
politics/09emissions.html.
http://www.climatelaw.org/media/states.
challenge.bush.

2.2     NGOs Challenges Australian
       Minister's Power to Preculde
       Consideration of Greenhouse
       Gases
       Australian  NGOs  challenged  a
minister's power to prevent a planning body
from considering greenhouse gas emis-
sions before deciding to approve a coal
mine  expansion. In November 2004, the
judge agreed with the NGOs and said that
these  emissions  must be  taken  into
account.
       More information:
http://www.climatelaw.org/media/CANA.
Australia
http://www.austlii.edu.au/au/cases/vic/VCA
T/2004/2029.html.

2.3    Argentine Citizens Sue for
       Access to Information on
       Climate Change Actions
       As the result of severe flooding in
2003, Argentine citizens  brought  legal
action  against  their  government under
Argentina's Accion Informativa mechanism
and Article 6 of the UN Framework Conven-
tion on Climate  Change to force the gov-
ernment to admit to  its  official failure to
adapt  to  climate change. The  case
revealed that changes to infrastructure to
prevent flooding had  been developed by
governmental authorities  but not imple-
mented.
       More information:
http://www.climatenetwork.org/eco/cops/
copl 0/en/ECOCOP1010.pdf

3  INTERNATIONAL LAW & CLIMATE
   LITIGATION

3.1    Arctic Peoples to  Frame U.S.
       Inaction on Climate Change
       as Human Rights Violation
       The  Inuit Circumpolar Conference
(ICC) intends to  bring  a petition in the near
future against the United States in the Inter-
American Human Rights Commission. The
ICC case will highlight the link between
human rights and environmental degrada-
tion, especially  considering  that climate
change is projected to impact  the Arctic
regions sooner and more substantially than
other parts of the Earth.
       More information:
http://www.inuit.org/index.asp?lang=eng
&num=244
http://www.climatelaw.org/media/inuit.

3.2    NGOs Submit Climate Change
       Petitions Under World Heritage
       Convention
       NGOs and others submitted a
petition to the World Heritage Committee in
November 2004 to place the Sagarmatha
National  Park  (Everest) on the World

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136         SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


Heritage Danger List as a result of glacial
degradation caused by  climate change.
Sagarmatha National Park is a focal point
of Nepal's tourism-based economy and is
rich in biodiversity, which is imperiled by
melting  glaciers that could  potentially
destroy the park's natural  and  cultural
value and place thousands of lives at risk.
The petition was handed in along with peti-
tions calling for coral reefs off Belize and
glaciers in Peru to be added to the Danger
List as a result of climate  change.

        More information:
http://www.climatelaw.org/media/UNESCO

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                                                  SUMMARY OF WORKSHOP 2G   137
SUMMARY OF WORKSHOP 2G:
COMPLIANCE WITH AND ENFORCEMENT OF
MULTILATERAL ENVIRONMENTAL AGREEMENTS

Facilitators:   Elizabeth Mrema, United Nations Environment Programme
             Carl Bruch, United Nations Environment Programme

Rapporteurs:  Joseph Freedman, Environmental Protection Agency, United States
             Carl Bruch, United Nations Environment Programme


GOALS

       This workshop had three primary goals. First, it sought to raise awareness of the
UNEP Guidelines and Manual designed to facilitate implementation of multilateral environ-
mental agreements (MEAs). Second, the workshop sought to identify additional best prac-
tices and case studies for the Manual. Finally, the workshop provided a forum in which to
discuss the next steps for improving compliance with and enforcement of MEAs.
1 INTRODUCTION
       In this workshop, UNEP introduced
Guidelines and a draft Manual on Compli-
ance with and Enforcement of Multilateral
Environmental  Agreements. The  Guide-
lines and Manual are designed to assist
countries in implementing, complying with,
and  enforcing  multilateral  environmental
agreements. The workshop showed partic-
ipants how to use the checklists, case stud-
ies,  explanatory text, and annexes to
enhance  compliance and  enforcement.
Participants were also invited to share their
own  experiences of compliance with and
enforcement of MEAs and  provide feed-
back to UNEP for improving  the Manual.
       Following an introduction to the
Manual, UNEP facilitated a discussion of
the Manual. The facilitators sought specific
examples  and considerations  relating to
implementation of MEAs in the areas of:
— cost-benefit analysis on  becoming  a
   Party to an MEA;
— public-private partnerships; and
— technology transfer.
       In addition, the facilitators opened
the discussion for other aspects of negoti-
ating, implementing, and enforcing MEAs.
2 DISCUSSION SUMMARY

       While the workshop  discussions
focused on the three themes (cost-benefit
analysis,  partnerships, and  technology
transfer), participants raised a broad series
of issues and experiences that addressed
the entire life cycle of MEAs.
       Discussions highlighted the impor-
tance of involving a broad range of sectors
and interests in negotiating MEAs. Future
implementation may depend on many enti-
ties in order to be effective and successful.
By involving these entities in preparing for
negotiations or during the actual negotia-
tions, participants noted that it was possible
to broaden the constituency supporting  a
particular MEA. One sector that the Manu-
al could highlight more is the private sector.
Private sector representatives have been
incorporated into national delegations for
various MEAs, including the Basel Conven-
tion, the Stockholm Convention, the Rotter-
dam Convention, and the Montreal Proto-
col. Involving the private sector  can  add
technical  expertise  to  the  delegation,
access additional information on produc-
tion aspects (e.g., of a potentially regulated
substance or commodity), highlight avail-
ability and feasibility  of technology,  and

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
build support of the regulated community
for the MEA. Notwithstanding the potential
benefits of including non-state actors, there
is still much concern about involving them
in negotiations.
        Examples of involving the public in
developing and  implementing legislation
and  policies  were also highlighted. For
example,  in 2004, Tanzania created the
National Environmental Advisory Commit-
tee,  which includes governmental repre-
sentatives (who chair the Committee) as
well  as representatives from civil society,
the private sector,  and institutions of higher
learning. It meets twice a year and provides
recommendations to the government on
different issues.   In addition,  there is  a
requirement to consult civil society and the
private sector before submitting bills to Par-
liament.
        If a country has a federal system,
coordination between the national (federal)
authorities and   sub-national  (state or
provincial) authorities becomes much more
important.  Such  coordination  can take
place  in negotiations - for example by
including sub-national authorities on official
delegations - as well as during the imple-
mentation phase.  Depending on the coun-
try,  capacity building at the sub-national
level might be done by federal institutions,
or it might be more effective to develop
approaches in which sub-national institu-
tions train sub-national government offi-
cials.
        In trying to determine whether  to
become a party to a particular MEA,  many
countries are interested in how to conduct
cost-benefit analyses. Countries are partic-
ularly  interested  in the financial conse-
quences of becoming a party, particularly
for compliance and implementation. This
has been done in  specific instances follow-
ing adoption of the Montreal Protocol (dis-
cussion highlighted an instance where the
costs had been estimated at an erroneous-
ly high level, which may be contrasted with
more objective recent examples), the UN
Framework  Convention   on    Climate
Change, and the  Kyoto Protocol. To meet
these needs,  the Basel Convention Secre-
                              tariat  and the  Ozone Secretariat  have
                              developed cost-benefit booklets.
                                     As cost-benefit analysis may be
                              perceived as examining a narrower set of
                              considerations (often  those  most  easily
                              given  a financial value),  one alternative
                              would  be to consider a risk benefit analysis,
                              which  considers a broader range of non-
                              economic values.
                                     The discussion noted a number of
                              experiences in technology transfer.  The
                              Multilateral Fund of the Montreal Protocol
                              has been particularly successful in this
                              regard. Ozone technology highlighted one
                              of the challenges for technology transfer:
                              while  most  of the control technology for
                              ozone depleting substances is in the public
                              domain (and thus transfer is fairly straight-
                              forward), production technology tends to be
                              heavily protected  and controversial. The
                              Manual could  better highlight these sensi-
                              tivities.  Other examples of technology
                              transfer include under the UNECE Heavy
                              Metals Protocol, the Basel Convention, the
                              Rotterdam  Convention,  the Stockholm
                              Convention, the Climate MEAs, and tech-
                              nology transfer through  private founda-
                              tions.  The Multilateral Fund  and UNEP's
                              Division of Technology, Industries and Eco-
                              nomics, among  other institutions,  have
                              sought to highlight available  technologies
                              by cataloguing the technologies and plac-
                              ing this information on the Internet.
                                     Discussions also highlighted a vari-
                              ety of ways to improve the usability of the
                              Manual. Participants suggested that the
                              Manual be distributed in a CD-ROM format,
                              as well as a print version, with a ten- to fif-
                              teen-minute tutorial on how to  use the Man-
                              ual. Participants also  suggested that the
                              index could  be made electronically search-
                              able by word.

                              3 CONCLUSIONS

                                      In conclusion, the group applauded
                              the development of the UNEP  Guidelines
                              and the draft  Manual as useful tools. The
                              workshop  also provided considerations,
                              approaches, and examples for developing,
                              implementing, and enforcing MEAs. These

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                                                   SUMMARY OF WORKSHOP 2G   139
suggestions were offered to strengthen the
Manual  in discrete ways. Following the
workshop, UNEP will revise the draft Man-
ual on Compliance with and Enforcement
of MEAs to take into account the sugges-
tions from this workshop and from  other
sessions of the INECE Conference, as well
as suggestions received through events
convened by UNEP.
       The group  also asked  UNEP to
consider  other,   non-textual   ways  to
enhance the usability of the Manual. Final-
ly, some participants highlighted some spe-
cific ways that UNEP could promote com-
pliance with and enforcement of MEAs in
particular countries or contexts. UNEP is
reviewing those requests and will follow up,
as appropriate.

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140         SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                    SUMMARY OF WORKSHOP 2H   141
SUMMARY OF WORKSHOP 2H:
WILDLIFE ENFORCEMENT NETWORK

Facilitators:   Azzedine Downes, International Fund for Animal Welfare
             Yvan Lafleur, Environment Canada
             Ladislav Miko, Ministry of the Environment, Czech Republic

Rapporteur:   Anita Sundari Akella, Consultant, United States


GOALS

(1) To identify tools to encourage information sharing among wildlife enforcement experts
   at the interagency and international levels.
(2) To establish a mechanism for coordination and  exchange of information  regarding
   wildlife enforcement, including input from various relevant organizations and agencies.
1 INTRODUCTION
       The facilitators opened the work-
shop by advancing a series of questions
discussed by the participants:
(1) What should the membership of a
   wildlife enforcement network be?
(2) What is the function of a wildlife
   enforcement network?
(3) How can such a network be effective
   across barriers arising from level of
   development, language, and culture?

2 DISCUSSION SUMMARY

       Ms.  Donna Campbell began the
discussion by asserting that "wildlife pro-
tection" should include  not only managing
illegal trade, but also habitat protection.
       Mr. Ken Ledgerwood asserted that
the wildlife  enforcement network's goal
should be to break the links in the chain
that Bill Clark discussed during  Panel 3
(Enforcement  Initiatives: Stories of Suc-
cess) earlier in the day.
       Mr. Azzedine Downes pointed out
that  in the  past, networks have  linked
lawyers to lawyers  and investigators to
investigators only, but that this is not neces-
sarily the best  way to advance a  network.
Instead, the network  should link disparate
agencies  involved in enforcement, and
even people whose direct function is not
necessarily enforcement should be includ-
ed. Mr. Peter Pueschel elaborated on the
idea by offering that such  a network could
also help overcome the silence on wildlife
enforcement issues at the  decision-making
table.
       Mr. Ofir Drori offered his opinion
that the network should focus on two types
of objectives: strategic (giving a global view
of the problem so that appropriate respons-
es can be generated) and  tactical (collabo-
rating and exchanging information on spe-
cific cases).
       In response to Ms. Donna Camp-
bell's inquiry into what the problems are
with the networks that currently exist, Mr.
Yvan  Lafleur  declared  that from  the
enforcement official's perspective, a net-
work like this is only  useful if it helps you
obtain information and contacts from other
countries. For instance, if you can get infor-
mation on cultural context (specific details
relevant to a particular investigation, or
help in identification of species), or on laws
in other countries (through links to expert
lawyers, etc.)
       Ms. Rosalind Reeve also stated
that from  a non-governmental organiza-
tion's (NGO's) perspective, a network like

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
this should provide a place to give informa-
tion on wildlife trade and smuggling issues
and cases because they often have infor-
mation, but nowhere to report it. According-
ly, NGOs  should definitely be involved in
such a network, after establishing certain
protocols  for NGO participation to  avoid
compromising  sensitive data, etc.  She
explained  that wildlife  enforcement net-
works do exist, but they tend to be closed
off to anyone other than enforcement or
government   officials   (e.g.   the   Tiger
Enforcement working group of CITES and
the Interpol working group) and/or relate to
a specific region only (e.g. Lusaka, which is
only in Africa, only accessible to govern-
ment). Aside from this, most "networking" is
happening  informally,  individually,  and
could probably benefit from greater  cohe-
sion.
       Dr. Ladislav Miko,  Deputy Minister
for the Czech Ministry of the Environment,
declared that the Interpol  Working Group
has been very useful to him both in finding
contacts and allowing him to make use of
technical capacity (e.g.,  experts or labora-
tories) in other countries. However, a major
challenge  he recognized is how to institute
interaction  and cooperation  with  non-
enforcement  bodies  like  NGOs.  Many
times,  these channels  are  actually only
accessible by the police, and not even by
Ministry officials. Many  of the "networks"
tend to be diffuse  and informal, based on
personal relationships only. This lack of
cohesion may be difficult to overcome - for
instances, there are databases in different
countries that all get their information from
the same source (e.g. Ecomessage) and
yet the databases containing this  same
information cannot be joined.
       At this point, Ms. Donna Campbell
asked  whether much of the  information
would be  available to NGOs if they were
even included in the network. In response,
Mr. Yvan  Lafleur stated that the network
could be sanitized so that they would be
able to have access to it without any con-
cerns about sensitivity arising. On another
point, Mr.  Lafleur noted that there really is
no point in the existing formal/interpersonal
networks  operating  in  isolation,  but
                              acknowledged that we will never be able to
                              change the way that the World Customs
                              Organization, Interpol, and others conduct
                              their business. Therefore,  if those "clubs"
                              were to be part of a larger umbrella, maybe
                              there could be greater interaction.
                                     Mr. Bill Clark elaborated that sensi-
                              tive data should  not be much of an  issue
                              anyhow, since the truly sensitive informa-
                              tion is  not transmitted via a network,  but
                              government  to  government.  Mr.  Peter
                              Pueschel added that in many instances,
                              sharing even nominal information can be
                              useful, not just the sensitive information.
                              Dr. Ladislav Miko illustrated this point by
                              arguing that information on what you do
                              with a seized animal - where you can send
                              it and be assured that they are treating the
                              animals well - could be facilitated by  a net-
                              work that could give this type of 'Vetting".
                                     Mr. Ofir Drori emphasized that it is
                              important to divide the objectives of the net-
                              work at the different levels of operation.  For
                              instance, a network should include (a) Gen-
                              eral  information  (e.g., contacts in  other
                              countries), (b) Strategic information (e.g.
                              like data found in Ecomessage),  and (c)
                             • Tactical information that  maximizes  the
                              availability of data for operational use. The
                              last  is the  most  conflicting  objective
                              because it involves ensuring confidentiality
                              of data. Mr.  Drori then questioned how a
                              network would guarantee that information
                              gets to the right place without spreading the
                              data around.
                                     Mr.  Azzedine  Downes  further
                              declared that a network should also contain
                              an  education component  that helps  to
                              avoid  repetition  in  training  programs,
                              organizes    capacity-building    efforts,
                              addresses overlapping content, etc. It is
                              important that the network make  every
                              effort to move beyond the management
                              level, actually getting down to the level of
                              practitioners in the field (not just  ministry
                              level  or  enforcement agency decision-
                              maker level). Ms. Rosalind  Reeve elaborat-
                              ed on this by stating that the fact that
                              enforcement agents are not involved  in pol-
                              icy and decision-making is a major prob-
                              lem. Because of this, policies that  are
                              developed are often impractical for applica-

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                                                    SUMMARY OF WORKSHOP 2H   143
tion  on the ground, or ignore key  real
issues.  We need to also work to put
enforcement on the agenda of Multilateral
Environmental Agreements (MEAs).
       Dr. Ladislav Miko interjected that a
network should be a lot of things, but per-
haps at this moment we should focus on
what is achievable now, rather than getting
too lofty or over ambitious. What seems
easily done in the short term are things like
information sharing and  coordination of
training activities.
       Mr. Bill Clark said that the ground
rules for this  network in the first instance
should be to not engage in projects that are
big or  sensitive, and to stick to activities
that are at the information level, but we can
certainly work to assist other existing net-
works, engaging in do-able mini-projects.
For instance  CITES has no enforcement
authority but countries are meant to identi-
fy and list their enforcement authorities with
CITES, yet most have not - this could  be a
constructive project  for the  network to
engage in. In addition,  the network could
make a listing of the dozen most common-
ly seized Appendix I/I I animals and try to
find the best sanctuaries where they can be
sent, or identify 200 persistent offenders
worldwide and make sure that if captured,
there is some public record  of it - like a
name and shame list, so that it can be con-
sulted by the CITES Management Authori-
ty or by local authorities before permits are
given. Mr.  Yvan  Lafleur responded that the
only problem is that this type of name-and-
shame listing may increase the risk of  peo-
ple deciding not to bother getting a permit.
       Mr. Ken Ledgerwood noted  that
unless networks have a "nerve center" that
includes personnel and some access to
funding, they do not work. Totally informal
does not necessarily work.
       Mr. Azzedine Downes added that
the  International  Foundation for Animal
Welfare (IFAW)  and the International  Net-
work for Environmental Compliance and
Assurance (INECE) are currently working
on developing a Memorandum of Under-
standing (MOD) for joint activities over five
years and  will be identifying joint projects
       Dr. Ladislav  Miko looked at the
possibility of providing support from the
European Commission (EC)  on  green
issues and identified this as a major priori-
ty for his work at the EC. Dr. Miko suggest-
ed that this network may or may not have to
occur through INECE.
       Mr.  Peter  Pueschel added  that
developing a system that allowed people
access to information without having to go
through bureaucratic channels would be an
improvement. In this discussion,  the priori-
tized objectives from the group he specifi-
cally  noted  are:  (a)  Information  -  new
trends in wildlife trade, legislation, publicly
accessible databases, and naming  and
shaming;    (b)   Special   Cooperation/
Exchange - rating shelters, developing
capacity-building   standards,   building
national capacity,  and legislation drafting;
and (c) Advocacy/Message-Sending - this
happens  automatically  as  the network
becomes a presence in congresses where
policy/legislation is set.
       Dr. Ladislav Miko also added that it
is important to engage the NGOs  by provid-
ing an address to which they can send any
information on wildlife trade/smuggling that
they have. Ms. Rosalind Reeve stated that
the Biosafety Clearinghouse of the Con-
vention on Biological Diversity is a really
great nexus of information that could serve
as a model/tool for us to learn from as we
develop the network.
       Mr. Yvan Lafleur pointed  out that in
order  to  get people to commit to giving
information into the system, it needs to be
something formal and established. Also, to
avoid  people not wanting to be a part of it,
it should be based somewhere neutral.
       Dr. Hedia Baccar added that the
network should also have a sub-regional
component.

3 CONCLUSION

       Dr. Ladislav Miko summarized that
some  "outputs" or guidelines that we have
discussed here include: (a) contacts, infor-
mation sharing, (b) a specialists group to
analyze key problems and  come up  with
recommendations for how each should be
handled,  and (c) some regional structures

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144         SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


that are linked to an international structure.    (d) the functions of such a network would
In addition, the overall points seem to be as    include strategic and tactical objectives,
follows: (a)  Such a network is necessary    general data sharing, education/training/
and useful,  (b) it should be informal, but    capacity building,  (e) it should  be  corn-
under a formal umbrella, (c)  it could  be    prised of both regional subgroups and an
under INECE but need not necessarily be,    international umbrella group.

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                                                    SUMMARY OF WORKSHOP 21  145
SUMMARY OF WORKSHOP 21:
NEGOTIATED COMPLIANCE AGREEMENTS

Facilitators:   Susan Bromm, Environmental Protection Agency, United States
             Ike Ndlovu, Department of Environmental Affairs and Tourism, South Africa
Rapporteur:   Thomas Maslany, Environmental Protection Agency, United States (retired)


GOALS

       To explore the salient elements and usefulness of compliance agreements and the
motivations of industry and government regarding entry into such agreements.
1 INTRODUCTION
       Ms. Susan Bromm opened the
workshop  by  suggesting  questions that
participants should consider during the dis-
cussion:
— What motivations  exist to  enter into
  negotiations   regarding  compliance
  agreements for industry and for govern-
  ment?
— Are there situations  in which govern-
  ments  should not  use compliance
  agreements?
— What are the elements of a good compli-
  ance  agreement?  Should some ele-
  ments be non-negotiable?
— Are there examples of creative elements
  that your country has included in compli-
  ance agreements?

2 DISCUSSION SUMMARY

2.1     The South African Experience
       Mr. Ike Ndlovu gave a presentation
on the negotiated agreement experience in
South Africa. The South African  National
Environmental Management Act and Envi-
ronmental Management Cooperative Act
include provisions to negotiate agreements
that go beyond compliance with existing
requirements,  so as to  establish  new
expectations. These provisions are intend-
ed to complement - not  replace - existing
legal requirements.
       To facilitate negotiations with con-
 cerned parties, the government may indi-
 cate that it plans to adopt new require-
 ments in a particular area of concern, pre-
 senting an opportunity for parties that cre-
.ate these environmental problems to have
 their input recognized and addressed. Dur-
 ing the negotiations, the government will
 come to an agreement with the concerned
 parties on new environmental targets (dis-
 charge or emission requirements, product
 changes, etc.),  monitoring requirements,
 provisions for monitoring progress towards
 meeting  the  new  expectations  (mile-
 stones), and periodic progress reports. As
 part of this process, the government devel-
 oped  Environmental  Cooperative Agree-
 ment Guidelines to provide a framework for
 the process.  Mr.  Ndlovu presented two
 examples of this negotiated requirement
 process:
 — The Plastic Bag Initiative: The use  of
   thin plastic bags for packing purchase
   goods was creating a significant trash
   problem. The South African government
   negotiated an agreement with the man-
   ufacturers of the plastic bags to ban the
   thin plastic bags  and to introduce a
   charge for the new plastic bags to facili-
   tate recycling of  the  bags. They also
   agreed on an acceptable thickness and
   the type of ink that can be used on the
   bags.
 — The  Vesuvius  Refractory Company:

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
   This  company manufactured  building
   material and created air pollution that
   was  a  concern.  The  government
   imposed a control program on the com-
   pany to reduce the emissions, but it did
   not comply with the program, so  the
   government filed  an  action  with  the
   court. When the court ruled in favor of
   the company, the  government threat-
   ened to shut down  the facility. The com-
   pany then indicated a  willingness to
   negotiate a new schedule to reduce
   their emissions. The agreement resulted
   in full compliance with the requirements.

2.2    What Constitutes a
       Negotiated Agreement?
       After the presentation of the South
African experience and some preliminary
discussion, the group recognized that a
common understanding on what consti-
tutes a negotiated agreement was needed.
       The group recognized four types of
negotiated agreements:
1)an agreement for a party  to make
   improvement to the environment beyond
   what it is formally obligated to do,
2) an agreement for a party to meet a
   future compliance date,
3) an agreement for a party  to go beyond a
   future compliance date, and
4) an agreement for a party to comply with
   a past compliance date  where there is
   an established violation.
       The last three fall into the category
of negotiated compliance agreements.

2.3    What Motivations Exist to
        Enter Into Negotiations for
       Compliance Agreements fo
       Government and for Industry?
        Motivations for government include:
— To secure agreements that get addition-
   al benefits beyond  compliance
— To increase the likelihood of a success-
   ful resolution of the problem, since it rec-
   ognizes some of the companies' needs
   (compared to other alternatives)
                             — To save money and time, since negotiat-
                               ed agreements may be the most cost-
                               effective and timely way for the agency
                               to resolve a non-compliance situation if
                               the alternative is a potentially long and
                               challengeable court action
                             — To benefit the environment, since it may
                               provide a more timely return to compli-
                               ance
                             — To avoid the need to shutdown the facil-
                               ity, especially if the facility is providing
                               an important service
                             — To fill gaps  in  the requirements where
                               clarity is necessary.

                                    Motivations for industry include:
                             — To create goodwill and a positive envi-
                               ronmental image
                             — To resolve disputes in a manner that the
                               company can  live with in  its business
                               plan
                             — To provide some certainty.

                             2.4     Are There Situations in Which
                                    Governments Should Not Use the
                                    Compliance Agreement Process?
                                    Workshop participants concluded
                             that negotiated agreements should not be
                             used:
                             — Where the company will get an unde-
                               served benefit
                             — Where the agreement is unenforceable
                               or will not be enforced
                             — Where the company has a history of vio-
                               lating past agreements
                             — Where the public will not accept a nego-
                               tiated agreement
                             — Where you  have a weak legal basis or
                               can  only come up with  a weak agree-
                               ment
                             — Where  other  alternative  mechanisms
                               are more efficient and effective to bring
                               about compliance.

                             2.5     What Are the Elements of a "Good"
                                    Compliance Agreement?
                                    Workshop participants concluded

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                                                    SUMMARY OF WORKSHOP 21   147
that to be a good agreement:
— The agreement must be enforceable
— There should be an established frame-
  work for negotiating an agreement
— The agreement should include a dispute
  resolution process
— All parties must have the authority to
  sign the agreement
— The agreement should  include both
  milestones and a final compliance date
— The agreement should provide  for peri-
  odic progress reports
— The agreement should address penal-
  ties for missing  a milestone
— There should be transparency and pub-
  lic involvement
— The agreement should make the envi-
  ronment whole (such that environmental
  insults caused  by  non-compliance are
  fully remediated).
       There was considerable discussion
on the issue of "making the environment
whole". It was generally felt that while this
concept  does not normally appear  in nego-
tiated compliance agreements,  it is  an
important  element for consideration. This
concept  would go  beyond provisions such
as cleaning up spills,  to provide for reduc-
tions in emissions to the air or discharges
to the water that would offset those emis-
sions or discharges previously added to the
environment that were beyond the compli-
ance level.

2.6    Are There  Examples of Creative
       Elements That Your Country
       Has Included in Compliance
       Agreements?
       Workshop participants  shared the
following elements:
— Miscellaneous or collateral benefits as
   part of the agreement, e.g., provisions
   such as mandatory audits or Environ-
   mental Management Systems that help
   prevent future violations

— Training programs established  by the
   violator for audiences outside the violat-
   ing company
— Supplemental Environmental Programs
   that provide additional benefits beyond
   the requirements
— Programs that establish environmental
   management programs or other require-
   ments in the corporate structure that is
   above the facility that is in violation

3 RECOMMENDATIONS FOR INECE

       Workshop  participants  requested
that INECE develop a guideline document
on Negotiated Compliance Agreements.

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                                                       WORKSHOP SESSION 3   149
                         WORKSHOP SESSION 3
              Networking to Improve Enforcement Cooperation
       These workshops were designed to strengthen INECE topic-specific networks, to
foster enforcement cooperation activities through INECE regional networks, and to benefit
from multi-disciplinary synergies to improve the implementation of, compliance with, and
enforcement of environmental laws in projects in the INECE Strategic Implementation Plan.
3A  Water Resource Management: Governance to Eliminate Poverty
       Facilitators: Romina Picolotti, Center for Human Rights and Environment,
                  Argentina
                  Barry Hill, Environmental Protection Agency, United States
                  Ceazar Natividad, Department of Environment and Natural
                  Resources, Philippines
3B  Vessel Pollution
       Facilitators: David Uhlmann, Department of Justice, United States
                  Katia Opalka, Commission for Environmental Cooperation
3C  Hazardous Waste at Ports
       Facilitators: Robert Heiss, Environmental Protection Agency, United States
                  Henk Ruessink, Ministry of Housing, Spatial Planning and the
                  Environment (VROM), The Netherlands
3D  Analyzing the Compliance and Enforcement Mechanisms of the
    Montreal Protocol
       Facilitators: Jim Curlin, United Nations Environment Programme
                  Gilbert Bankobeza, United Nations Environment Programme
3E Enforcement of Emissions Trading Programs
       Facilitators: Neil Davies, Environment Agency (England and Wales)
                  Chris Dekkers, Ministry of Housing, Spatial Planning and the
                  Environment (VROM), The Netherlands
                  Joe Kruger, Resources for the Future, United States
3F  Illegal Logging: Regional Strategies for Enforcement Cooperation
       Facilitators: Antonio Benjamin, Law for a Green Planet Institute, Brazil
                  Yvan Lafleur, Environment Canada

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150         SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

3G Penalties and Other Remedies
       Facilitators: John Cruden, Environment and Natural Resources Division,
                  Department of Justice, United States
                  Chief Justice Vladimir Passes de Freitas, Brazil
                  Deputy Chief Justice Adel Omar Sherif, Egypt

3H Multilateral Environmental Agreements: Synergies for Compliance
       Facilitators: Carl Bruch, United Nations Environment Programme
                  Kenneth Markowitz, INECE Secretariat
                  Alberto Ninio, World Bank
Report Out from Workshop Session 3
       Moderator: Wout Klein, Ministry of Housing, Spatial Planning and the
                  Environment (VROM)

In the following pages, the reports of these workshops are presented.

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                                                  SUMMARY OF WORKSHOP 3A   151
SUMMARY OF WORKSHOP 3A: WATER RESOURCE MANAGEMENT:
GOVERNANCE TO ELIMINATE POVERTY

Facilitators:  Romina Picolotti, Center for Human Rights and Environment, Argentina
            Barry Hill, Environmental Protection Agency, United States
            Ceazar Natividad, Department of Environment and Natural Resources,
            Philippines

Rapporteur:  Marcia Mulkey, Temple University, United States


GOALS

1. Evaluate and understand the special importance of water to human life and ecosystem
  preservation.
2. Link sustainable water management and water pollution control to environmental justice
  and community health
3. Evaluate opportunities for INECE to support sound water policies and practices.
1 INTRODUCTION
       This workshop  emphasized  the
vital importance of water and a general
consensus of access to clean, healthy and
adequate water as a basic human right,
individual and collective.
       In the context of this basic human
rights issue, this workshop discussed the
opportunity to  build  bridges  about  the
importance of water with the international
human rights community (such as the spe-
cial rapporteurs of the Human Rights Com-
mission), the world's religious communities,
and others.
       The workshop explored a number
of country-specific  examples  of dealing
with the challenges of  water  protection,
water allocation, and water management
and  then  discussed opportunities  for
INECE to advance  global efforts. Specifi-
cally, the workshop felt that the core com-
petencies of INECE should be targeted to
water issues in several important ways.

2 DISCUSSION SUMMARY

2.1     Key Points from Specific People
       1. Ms. Romina Picolotti, Argentina:
As facilitator, Ms. Picolotti framed the dis-
cussion, introducing how water is being
dealt with by law and offering an Argentine
example of a poor neighborhood located
next to a Coca Cola plant. The community
lacked a water supply and used only shal-
low wells. Waste sewage from the  plant
routinely overflowed, directly contaminating
water supplies.  Following  a lawsuit  by
CEDHA (a nongovernmental organization),
the state has built a new water supply and
has introduced new national  legislation dic-
tating that fees paid for a water supply will
only be used to address sewage problems
and imposing new limits on growth pending
sewage capacity.
       2.  Mr. Ceazar  Natividad, Philip-
pines: The Philippines developed a new
system to protect a major Philippine lake
intended as a drinking water supply, based
on pollution fees  (wastewater charges).
The system worked well in this lake,  lead-
ing to major BOD (Biological  Oxygen
Demand) improvements. It  is now being
implemented nationally.
       3. Mr. Barry Hill, US: As facilitator,
Mr. Hill offered the example of Haiti, with its
contaminated water and correspondingly
high illness rates; the example of Mexico

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
City, with  26 million people draining the
aquifer and depleting the drinking water
supply; and the example of the Mattaponi
Tribe in the state of Virginia, U. S., which is
dependent on a river-based lifestyle but is
faced with the diversion of the river to a
reservoir,  destroying tribal culture and
lifestyle.
       4.  Mr.  Mohamed Ben  Hassine,
Tunisia: Tunisia has limited rainfall and is
reliant mostly on groundwater. Fresh water
is allocated among domestic uses, agricul-
ture, and  industry and consists of 3,000
wells  plus small wells, weirs (large and
small), and small  lakes. Government has
developed a water allocation and  conser-
vation  strategy and  increased  ministry
resources. The focus includes increased
public awareness and changes in irrigation
practices.
       5.  Ms.  Maria Comino, Australia:
Australia is embarking on new efforts to set
priorities  among  water users,  including
ecosystems. In this context, it is just learn-
ing how to balance the science issues,  the
political forces, the institutional complexity,
etc.
       6.  Mr.  Daniel Geisbacher, Slovak
Republic:  Use of water management plans
based on desired water uses is the main
strategy in Central  Europe. This involves
decision-making about uses and  pollution
standards.

2.2    Other Details of Discussions
       In addition to the specific examples
set forth above, the discussion covered the
following points:
— Water  is essential to  life - there  is a
   powerful link between water and human
   rights.  Many states recognize a human
   right to a clean, healthy environment,
   including some that recognize  it in con-
   stitutional provisions. The inclusion of
   environmental human rights into consti-
   tutions does not assure actual results,
   however.
— There  is a well-recognized connection
   between  contaminated water  and
   human illness.
                              — Water is a limited resource and subject
                                to multiple demands, e. g., agriculture,
                                industry,  domestic,  and recreational
                                uses.
                              — Water and  security issues are closely
                                tied. Because of the vital role played by
                                safe, clean  water in the survival of peo-
                                ple and key economic systems,  includ-
                                ing agriculture, water  may  prove  a
                                tempting  target for terrorists.  Because
                                water sources may be  readily accessi-
                                ble, especially where  surface  water
                                sources are critical, the vulnerability of
                                water  supplies  may  exacerbate  this
                                security threat.
                              — Water and poverty are inexorably linked.
                                Water can be a source of disease and
                                death or a lifeline to health and prosper-
                                ity.
                              — Water and  technology  present special
                                challenges.  Lead piping, for example,
                                can create  health risks for  otherwise
                                clean drinking water sources.
                              — There  is  a clear  link between climate
                                change and water quantity (changes in
                                water  recharge  rates  and  patterns;
                                impact on glacial melt).
                              — Water is involved in all the complex con-
                                siderations   around "collective  rights".
                                The cultural and legal approaches to
                                water management and water allocation
                                are highly interdependent with a soci-
                                ety's approach to property, individual
                                freedoms, and collective considerations.

                              3 RECOMMENDATIONS FOR INECE

                                     INECE can  serve  as  a  central
                              depository of information about standards
                              for   water  quality  management   and
                              approaches to water allocation. (Workshop
                              participants  noted the availability of numer-
                              ous documents on water quality and infra-
                              structure development from the Organisa-
                              tion for Economic Co-operation and Devel-
                              opment).
                                     INECE could work with other multi-
                              national  organizations  (United  Nations
                              Environment Programme, The World Con-
                              servation Union) to promote the notion of

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                                                    SUMMARY OF WORKSHOP 3A    153
clean, safe, and adequate supplies of water
as a human right (individual and collective)
and, relatedly, identify global warming as a
water supply disruption with the potential
for significant human impact.
       INECE should build bridges to the
human rights international community (e.g.,
the  special rapporteurs of the Human
Rights Commission) and promote dialogue
and cross-learning about water.
       INECE could collect information on
best practices of integrated water use and
quality management systems that take into
account multiple users, climate  changes,
and all other impacts.
       INECE could feature water issues
in all products and tasks: training materials,
indicators, conference programs, etc. The
participants felt that water is of such central
importance as a cross-cutting issue that
every opportunity  should  be  taken  to
emphasize and enhance understanding of
issues relating to water.
       INECE should concentrate  on  its
core compliance and enforcement focus in
the context of water resources  issues -
going beyond  pollution to all aspects of
water management (including land man-
agement as it relates to water  impacts).
Current legal  systems tend to separate
attention to water quality and water alloca-
tion. Although integration efforts are under-
way,  the  compliance  and  enforcement
"piece" is lagging behind. We should think
about what areas related to water are best
suited to INECE competencies and are not
well covered by other efforts.
        INECE could collect information on
national experiences in the area of privati-
zation of water management  and serve as
a central information  source. (Workshop
participants recognized that the issue of
privatization is complex and  potentially
controversial.)
        INECE  could  explore  partnering
with the world's religious communities  on
issues relating to water and its importance
(starting, perhaps, with awareness raising).
        INECE could supplement the exist-
ing work on integrated water resource plan-
ning and  management to  be sure that
enforcement and  compliance  are  ade-
quately covered.
        INECE should work to build capac-
ity for good governance practices to assist
countries in meeting their water resource
management obligations.

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154         SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                    SUMMARY OF WORKSHOP 3B   155
SUMMARY OF WORKSHOP 3B: VESSEL POLLUTION

Facilitators:   David Uhlmann, Department of Justice, United States
             Katia Opalka, Commission for Environmental Cooperation

Rapporteur:   Andrew Lauterback, Environmental Protection Agency, United States
GOALS

— To explore the successes and failures of existing compliance and enforcement
  mechanisms to limit pollution, including oil, wastes, and CFCs, from marine vessels
— To propose innovative methods to remedy current gaps in enforcement
1 INTRODUCTION
       The workshop facilitators opened
the session by framing the definition of ves-
sel pollution, which includes:
1. accidental oil spills; and
2. waste generated  on-board and dis-
   charged from the ship in violation of an
   international treaty, such as MARPOL.

2 DISCUSSION SUMMARY

       Participants heard about a Canadi-
an initiative that would build on the mini-
mum standards provided in MARPOL. To
address bird  mortality caused by ocean
dumping of oily bilge water, the Parliament
of Canada is considering amending envi-
ronmental statutes to  facilitate evidence-
gathering by allowing game officers, within
Canada's  200 mile  Exclusive Economic
Zone, to detain, board, inspect, and redi-
rect ships suspected of ocean dumping.
       The  workshop participants  then
focused their attention on what efforts are
working to control vessel  pollution,  the
challenges enforcement officials confront,
and recommendations for improving the
effective enforcement of vessel pollution.

2.1    What Is Working?
1. The existing treaty, MARPOL (The Inter-
   national Convention for the Prevention of
  Pollution of Ships), establishes the base
  for vessel pollution control.
2. In most countries, domestic laws have
  been passed to implement MARPOL.
3. There  have been some prosecutions
  and appropriate penalties.
4. There is international interest, and there
  are international efforts, in the realm of
  vessel pollution control,  like Interpol's
  Project Clean Seas.
5. There is massive public support.

2.2     Challenges for Enforcement
1. The target is a powerful worldwide indus-
  try with a long history of ineffective self-
  regulation.
2. There is limited or no enforcement by the
  flag state authority.
3. Most discharges occur on the high seas
  and so are difficult to detect.
4. Evidence  of vessel  pollution is hard to
  gather.
5. Investigations can be expensive, espe-
  cially those involving holding ships at
  port.
6. Training of ships' crews on best manage-
  ment practices is inadequate.
7. There is a lack of  adequate disposal
  facilities at ports.

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
2.3    Recommendations for
       Improving Enforcement
1.  Strengthen domestic laws everywhere,
   especially concerning the extension of
   jurisdiction to the Exclusive Economic
   Zone and the strengthening of extradi-
   tion treaties,  whistleblowing provisions,
   and the criminal culpability of captains,
   corporate officers, directors, and agents.
2.  Improve evidence gathering, for instance
   through the use of satellite technology
   and the sharing of information (including
   data bases and information on leads)
3.  Build the capacity of investigators and
   regulators.
4.  Develop a manual of best practices for
   investigations.
5.  Participate in the International Maritime
   Organization.
6.  Promote the increased availability of on-
   shore disposal facilities.
7.  Eliminate the concept  of flag  states of
   convenience.
                              8. Partner  with  NGOs concerned  with
                                wildlife and pollution to develop a strate-
                                gic public relations and education cam-
                                paign to alert people  to  the  massive
                                scope of the problem (public education,
                                according to the workshop participants,
                                is the most important recommendation).

                              3 RECOMMENDATIONS FOR INECE

                                     INECE is in a  unique  position to
                              provide significant support for international
                              efforts to regulate and enforce against ves-
                              sels discharging waste at sea . The recom-
                              mendation proposed by the workshop par-
                              ticipants  that fits  most neatly  within
                              INECE's mission is the development of a
                              public relations and education campaign to
                              alert people to the scope of the  problem.
                              INECE can also provide a forum for regula-
                              tors and enforcement officials  to  come
                              together to work on issues related to vessel
                              pollution. Lastly,  INECE can represent its
                              members before  other international  bodies
                              and advocate new approaches to control
                              pollution from ships.

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                                                   SUMMARY OF WORKSHOP 3C   157
SUMMARY OF WORKSHOP 3C: HAZARDOUS WASTE AT PORTS

Facilitators:   Robert Heiss, Environmental Protection Agency, United States
             Henk Ruessink, Ministry of Housing, Spatial Planning and the
             Environment (VROM), The Netherlands

Rapporteur:   Fred Kok, National Board for Compliance and Enforcement,
             The Netherlands
GOALS

— To design a project to improve enforcement to reduce shipments of hazardous waste
   through ports.
— To discuss success stories (including the IMPEL-TFS project), potential new partner
   countries, and  synergies with the Green Customs Initiative.
1 INTRODUCTION
       At the start of the workshop, the
facilitators gave short introductions to the
subject, highlighting the fact that interna-
tional transport of waste is a growing prob-
lem that needs serious attention, and not-
ing the growing awareness about the prob-
lem.

2 DISCUSSION SUMMARY

       Workshop participants offered the
situation in the United States as an exam-
ple of the growing awareness of the prob-
lem.  As a  consequence of the September
11th  attacks, U.S. Customs agents are now
more aware of all kinds  of international
transport,  including transport of waste.
Therefore, customs has become  a natural
partner in the fight against illegal waste
trading, and greater  attention has been
paid  to both import and export procedures,
as well as the need for new approaches for
tracing waste streams.
       There are also initiatives from the
United Nations Environment Programme
(UNEP) to support data systems. Addition-
ally, there  is awareness that international
cooperation  is urgently needed  to tackle
the problem. Exchange of information is
essential, although uniform definitions and
interpretations are often difficult to achieve
with many parties involved in the process.
       Nevertheless, we have to realize
that each of us faces similar problems. So
we should work together to solve some of
the difficulties and use the opportunities
and strength of the INECE network to learn
from good practices and to disseminate
valuable information.
       Some  valuable  experiences  are
available from the IMPEL-TFS project. This
project, which was presented in brief, com-
bats illegal transfrontier shipments of waste
from  European harbors to non-OECD
(Organization for  Economic Cooperation
and   Development)  countries.   Further
details can be found in a separate paper,
as published in Nancy Isarin's paper in Vol-
ume 1 of the 7th INECE Conference Pro-
ceedings.
       In the subsequent discussion, it
was stipulated that our common  goal
should be to stimulate  and  coordinate
enforcement and compliance through joint
projects dealing with hazardous waste at
ports. Countries in both the developed and
the developing world should participate in
these projects, since a  lot of waste is
shipped from developed countries to devel-
oping countries to avoid the cost of proper
recycling  or  disposal.  In the  countries
receiving waste, there is often little or no
legislation; enforcement is often weak or

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
missing;  and  proper  treatment/storage
facilities may be absent. Human health and
the environment are consequently put at
risk.

3 RECOMMENDATIONS FOR INECE

       To stimulate proper action, INECE
could take the initiative to create and coor-
dinate an action plan with clearly defined
goals, project partners,  a funding  strategy,
and a scheme for implementation.  Potential
partners are: IMPEL-TFS, Green Customs,
UNEP,  the World Customs Organization
(WCO),  Interpol,  the Basel  Secretariat,
Basel Action Network, the Chemical Legis-
lation European  Enforcement  Network
(CLEEN),   OECD,  the North American
Commission for Environmental Coopera-
tion (CEC), Silicon Valley Toxics Coalition,
the Strategic Council on Security Technolo-
gy, Toxics  Link, and  other NGOs. After
adoption of the action plan, a report on the
enforcement cooperation project  might be
expected in spring of 2006.
       Based on the ideas of the work-
shop participants, some components of the
action plan could be the following:
— INECE  participants should  organize a
   simple and effective initial means for the
   exchange of TFS-data. At this stage, it is
   not desirable to invest a lot of effort in
   setting   up  sophisticated   databases
   since that would  require too much  time
   and too many resources; in addition, the
   essential underlying infrastructure  is
   missing.
— INECE participants should  recommend
   focal points in each of the relevant inter-
   ested countries,  as  is done in IMPEL-
   TFS  projects.  The  purpose  of these
   focal points  is to disseminate general
                                knowledge  and to exchange  specific
                                information on shipments  with  focal
                                points in other countries. The ideal focal
                                point should have good contacts  with
                                other TFS stakeholders in his/her coun-
                                try, such as customs, police,  and NGOs.
                                In conjunction with the focal points, joint
                                inspections should  be  organized for
                                training and instruction, as well  as a
                                means to share and  adopt  good prac-
                                tices in tackling TFS problems.
                                INECE participants should devise a sim-
                                ple  instrumental toolkit that interested
                                countries can  use to find out whether
                                they have a (potential) problem with TFS
                                through their harbors. Through  the use
                                of this toolkit,  the situation with respect
                                to TFS can  be brought to some clarity in
                                those cases where basic information on
                                the  subject  is currently lacking.
                                Further work  on  raising awareness  of
                                the  problem of (hazardous) waste ship-
                                ments  is  needed. Such work could
                                include ensuring that media  outlets pick
                                up  and spread stories  of  successful
                                enforcement cases against illegal waste
                                transports.  Naming   and blaming the
                                offenders could also be considered. To
                                get  the problem on the political agenda,
                                providing information to NGOs  and the
                                general public  is essential so that politi-
                                cal  pressure can be built.
                                Based on what is known from IMPEL
                                projects and other information, INECE
                                participants should identify harbors in
                                countries or regions  that are probably
                                the  most sensitive  targets for illegal
                                shipments, as well  as specific waste
                                streams that represent the most severe
                                risks. An initial focus for follow-up activi-
                                ties can then be defined.

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                                                  SUMMARY OF WORKSHOP 3D   159
SUMMARY OF WORKSHOP 3D: ANALYZING THE COMPLIANCE AND
ENFORCEMENT MECHANISMS OF THE MONTREAL PROTOCOL

Facilitators:  Jim Curlin, United Nations Environment Programme
            Gilbert Bankobeza,  United Nations Environment Programme

Rapporteur:  Scott Stone, INECE Secretariat


GOALS

To explore the role that INECE can play in:
— Building capacity for compliance and enforcement in developing countries with regard
   to the Montreal Protocol.
— Encouraging the enforcement community in developed countries to share thei compli-
   ance and enforcement expertise with developing countries so they can implement the
   provisions of the Montreal Protocol effectively.
1 INTRODUCTION
       Mr. Jim Curlin gave an introductory
presentation on the basic features of the
Montreal Protocol. Adopted in  1987, the
Montreal Protocol was designed to phase
out the use of ozone-depleting substances
(ODS) and  is generally regarded as the
most successful multilateral environmental
agreement (MEA).
       The Montreal Protocol has entered
what is termed the "late stages" of imple-
mentation. This means that the  developed
world has largely come into full compliance
with its terms and that the production and
use of ODS has been virtually eradicated.
However, problems remain in the develop-
ing world where ODS are still produced and
used. Many of these countries contribute to
a significant  black market for ODS in the
developed world.
       In 1991, the Multilateral Fund for
the Implementation of the Montreal Proto-
col was established to provide developing
countries with  the funding necessary to
comply with the terms of the treaty. Man-
aged by the  United Nations Development
Programme (UNDP), United Nations Envi-
ronment Programme   (UNEP),   United
Nations Industrial Development Organiza-
tion (UNIDO), and the World Bank, the fund
has supported 4,600 technical capacity-
building projects for 134 developing coun-
tries worth 1.75 billion U.S. dollars. It will
phase out 182,690 tons of ozone depleting
potential (OOP) consumption, and 62,200
tons of OOP production. Most of  this has
already been accomplished as of 2004.
       To qualify for  assistance from the
Multilateral Fund, a Party must have coun-
try programs (implementation and compli-
ance strategies) in place. Also, the data
that a country submits to the fund  must be
timely and accurate to be considered. Reg-
ular technological assessments  of each
country are made every two years  to moni-
tor compliance with the treaty.
       The goal, of course, is to build suf-
ficient capacity in developing countries so
that it can meet its legal obligations under
the treaty.  They keys to national compli-
ance include national policies, legislation,
regulations, directives for  licensing and
quota systems, export controls, bans on
equipment  using  ODS, and economic
instruments. Compliance and enforcement
stakeholders include government agencies
(foreign affairs, environment, customs,
agriculture, judiciary), industry (ODS users
and producers, importers), and civil society.
       Compliance assistance under the

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Montreal Protocol includes institutional
strengthening for National  Ozone Units
(NOUs) (which are responsible for imple-
mentation and compliance), national and
industry-sector compliance strategies, and
investment and technical assistance from
UNDP, UNIDO, and the World Bank. UNEP
operates a compliance assistance program
that consists of  policy  development and
enforcement, data reporting, customs train-
ing, technical  support, information, and
communication.
       There  are   frequent  meetings
among  the  many   national   NOUs  to
exchange experiences,  ideas,  and knowl-
edge and to develop skills. These meetings
are opportunities  for sharing data and intel-
ligence, and they have proven to be a cost-
effective and constructive way to  assist
developing countries with their enforce-
ment efforts.
       Mr. Curlin pointed out,  however,
that there are still pressing issues unre-
solved. First there is a great need for devel-
oped  countries,  other  MEAs,  and non-
governmental  organizations to  transfer
real-world  compliance  and enforcement
experiences and knowledge from devel-
oped  countries to developing  countries.
There need to be bilateral exchanges on
specific  issues,   both  North-South and
South-South,   matching   peer-to-peer
inspectorates to  address different issues.
Furthermore,  there should be a focus on
training officials, prosecutors, and judges in
all countries so they know the most effec-
tive way to adjudicate  customs seizures
and how to levy and enforce penalties that
will further  effective implementation of the
Montreal Protocol.
       Mr. Curlin concluded his introduc-
tion with a  brief summary, noting that:  (1)
the Montreal Protocol is succeeding,  but
much work remains to be done; (2) compli-
ance  is being achieved, and treaty goals
are being met, and (3) the ozone layer is on
a path to recovery

2 DISCUSSION SUMMARY

2.1     Capacity Building
       There is  a need to establish com-
                             mon and realistic goals for capacity build-
                             ing that developing countries are able to
                             meet. When building capacity, all efforts
                             need to be made to create transparent
                             national enforcement and compliance
                             regimes. Training environmental and cus-
                             toms officers as well as members of the
                             judiciary and legislature is essential, and
                             current training programs must be main-
                             tained and expanded.
                                    Additionally,  there must be a com-
                             mon international program of compliance
                             verification, and the  results must be made
                             publicly available. The resulting public input
                             will give the Parties  incentives to improve
                             their compliance records.

                             2.2    Regulating Producers of CFCs
                             — The 1997 Montreal Amendment to the
                                Montreal Protocol introduced a system
                                for licensing the  import and export of
                                controlled   substances.   Under   this
                                regime, each manufacturer is  licensed
                                for each product it produces. A good
                                number  of parties have implemented
                                this licensing system, and by controlling
                                the  number  of licenses issued, these
                                parties are able to identify illegal manu-
                                facturers.  Though  many  countries
                                adopted this system, there are often few
                                or no supporting enforcement mecha-
                                nisms; if the licensing system is not
                                backed up by enforcement mechanisms
                                (with both trade and  use aspects), it is
                                meaningless. This has allowed black-
                                market production of ODS to flourish in
                                many countries around the world. This
                                illegal production  supplies black-market
                                consumption in Party nations that have
                                already successfully regulated their own
                                producers, thus undermining the goal of
                                the  licensing system to regulate  and
                                reduce the amount of ODS production.
                             — The Multilateral  Fund (MLF) finances
                                the closure of the  CFC/Halon producers.
                                The state government must agree with
                                the  MLF that the government will use
                                the funds to reduce the number of these
                                facilities  and the   amount  of  the
                                CFC/Halon  produced. The  MLF will
                                freeze the delivery of funds unless the

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                                                    SUMMARY OF WORKSHOP 3D    161
  government  delivers clear proof  of
  progress.  Mexico has gone fully out of
  production as of May of 2005.
— The MLF  also has a complete list of
  every facility that produces banned sub-
  stances.
— Quite often CFCs are used in fine chem-
  ical production that  once occurred in
  developed nations. When this manufac-
  ture is moved to developing countries
  with weaker enforcement mechanisms
  and production controls,  the production
  of  CFCs  can actually increase.  This
  combined with  irresponsible  handling
  and less sophisticated facilities can work
  to undermine the goals of the Protocol to
  reduce/eliminate  ODS   all together.
  Regional programs may be a good way
  to  help developing  nations  regulate
  these industries  and  enforce the terms
  of the Protocol. A regional program will
  allow local countries to pool and  focus
  resources on the biggest problems first
  and will be sensitive to local needs.

2.3     Regulating International Trade
       of Banned Substances
— The developed countries have a great
  need for enforcers to gather intelligence
  and identify the sources  of  illegally
  imported products.
— It is relatively straightforward to develop
  a database for banned substances that
  are coming in  and  out  of a country.
  Because of the size of the CFC market
  and the fact that the chemicals are com-
  ing  in  from  a  multitude of  different
  sources, some countries  have decided
  that the way to attack this problem is to
  focus on  the importer/exporter, which
  are more easily targeted and which are
  often responsible for massive amounts
  of illegal traffic and commonly deal in
  numerous chemicals and products.
— Current MLF efforts to provide countries
  with the equipment and technology nec-
  essary to catch ODS at their borders are
  both expensive and inefficient, because
  the volume of trade crossing a border at
  any given  time is so immense. Instead,
environmental inspectors should  be
tasked with tracking the illegal products
back to the importer/exporter. The track-
ing process  should  begin  with the
receiving market, because looking on
store  shelves is easier than trying to
identify illegal ODS as they  cross the
border in the stream of commerce. Fur-
thermore, if the investigation traces the
ODS back from the store  to the manu-
facturer, the environmental agent will
discover  the  source of the ODS and
whether that  source is responsible for
more  than  one ODS. Then the agent
can verify whether the  country of manu-
facture is allowed to produce that ODS.
How the success  of an import/export
enforcement  regime  is measured  is
important. If  a retailer is caught with
ODS  in its merchandise, busting the
shopkeeper is not an efficient  or judi-
cious remedy, because a manufacturer
may have a market that involves thou-
sands of  retailers and covers dozens of
products. Therefore, indicators that sim-
ply measure the number of busts is not
the best  way to  measure  success;
arresting a hundred shopkeepers has
less of an  environmental impact than
stopping  a single import/export opera-
tion that brings huge quantities  of ODS
into the country. Furthermore,  it often
costs the same amount to bust the
shopkeeper  as  it does  to  bust the
importer,  and  an agency may only have
enough resources to bust one of them.
Even  investigating an import/export
operation without a bust  can cause a
major upheaval in  business and deter
illegal activity.
Some developing countries do not need
to be  in compliance until 2010 and are
not currently  prohibited from manufac-
turing CFCs. They can export legally; it
is only the imports that are illegal. There-
fore, the enforcement community needs
to focus on the importers and  not the
producers. If enough importers are bust-
ed, the  producers will  be deterred
because their  market will become unsta-
ble.

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
— MLF is trying to promote some coopera-
  tion between  importing and exporting
  companies. The developing  country
  exporter can provide a list to importers
  in developed  countries about who is
  authorized to produce CFCs. This is an
  excellent  use of  Montreal  Protocol
  regional networks because it identifies
  bad exporters.
— MLF is trying  to  develop indicators to
  monitor laws that limit the import/export
  of CFCs. The first indicator should be
  whether a country has a list of author-
  ized importers.  If a country does not
  have such a list,  it may show that they
  are  not   concerned   about   the
  import/export of CFCs.
— The representative from Bahrain sug-
  gested  that they need assistance to
  avoid giving anyone an exception to
  import into the country if they are not
  known to be legal CFC importers/manu-
  facturers. Bahrain also needs to know
  about aerosols/sprays, e.g. which facto-
  ries legitimately manufacture them with
  CFCs. This is a question that could be
  addressed by  posing it through the  net-
  work to other countries.

2.4     Judges, Prosecutors, and
       Inspectors
— Education for judges and prosecutors is
  a very high priority.  It is also critical that
  the on-the-ground enforcement commu-
  nity is educated on environmental policy
  matters including the Montreal Protocol.
— Prosecutors and judges must be able to
  evaluate the societal costs of environ-
  mental damage. They need to be able to
  understand the actual significance of
  each violation and to levy penalty/reme-
  diation  judgments appropriately.  For
  instance,  it may seem impractical to
  prosecute the selling of the toy "Silly
  String",  but if  the dangers of the CFCs
  that may be contained in  the product
  were understood, the importer of such a
  product would receive a stiff fine.
— INECE emphasizes that environmental
  goals should always be reflected in the
                                regulations  and  requirements  that
                                embody them. Inspectors should under-
                                stand the significance  of these broad
                                environmental   policies.   Inspectors
                                should understand not just how many
                                violations they need to detect, but the
                                significance of that quantity in relation to
                                the overarching  environmental objec-
                                tive. This would encourage the input of
                                inspectors and enforcers in the creation
                                of domestic regulation which,  all too
                                often, neglects adequate enforcement
                                mechanisms.

                             2.5     Legislation/Regulation
                             — Countries need to pass regulations that
                                include specific instructions for industry
                                on how to comply with the terms of the
                                Montreal Protocol. A company simply
                                cannot  be expected  to  interpret the
                                Montreal Protocol alone and bring  itself
                                into compliance without national policy
                                and regulation. The government should
                                identify the types of activities deemed to
                                be illegal and communicate this informa-
                                tion to the company clearly.

                             2.6     Disposal
                             — An example of a common disposal prob-
                                lem was raised:  Once an old refrigera-
                                tor reaches the end of  its lifespan, it is
                                often disposed  of  in  the  developing
                                world. If the refrigerator is  destroyed
                                there, there  may be a release of CFCs
                                into  the  atmosphere.  Often,  however,
                                the refrigerator is re-used, because it is
                                cheaper to  refurbish  it and  add  new
                                refrigerant than to buy a new refrigerator
                                with non-CFC refrigerant. The recycling
                                of  refrigerators  from  the developed
                                world keeps the CFC production indus-
                                try alive in many developing countries
                                where they are trying to phase out CFC
                                use.
                              — Under the  Basel  Convention  for the
                                Transboundary Movement of Hazardous
                                Waste, the refrigerator could be consid-
                                ered waste. However,  the definition of
                                waste varies depending on disposal ver-
                                sus re-use,  so  its  regulatory status
                                under Basel is unclear depending on

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                                                   SUMMARY OF WORKSHOP 3D   163
  whether the refrigerator is shipped for
  disposal or for re-use.

3 RECOMMENDATIONS FOR INECE

— INECE should work with various regions
  on developing regional enforcement
  programs.
— INECE  should work with the Parties to
  develop a mechanism  for evaluating
  program success that is  not based sim-
  ply on the number of citations.
— INECE should help Parties build capac-
  ity to identify illegal importers/exporters.
— INECE  should expand its educational
  programs to include CFC policy for judi-
  cial and enforcement communities.
— INECE should consider distributing a list
  of  known manufacturers of CFCs.
INECE needs to link up with the Montre-
al Protocol website that contains the list,
and the outcomes of this workshop also
need to link to both sites.
INECE should create a global website
for all information on CFCs, containing
information relevant to enforcement and
compliance promotion. It would include
things  such  as: reasons and need for
legislation, descriptions of the products,
how they can be located, main countries
of origin, alternate uses,  substitute uses,
what types of products, scales for fines,
etc.
INECE needs  to work  with regulation
writers to make sure that the regulated
community will be  able to understand
what they need to do to comply with leg-
islation implementing the Montreal Pro-
tocol.

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164         SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                  SUMMARY OF WORKSHOP 3E   165
SUMMARY OF WORKSHOP 3E: ENFORCEMENT
OF EMISSIONS TRADING PROGRAMS

Facilitators:   Neil Davies, Environment Agency (England and Wales)
             Chris Dekkers, Ministry of Housing, Spatial Planning and the
             Environment (VROM), The Netherlands
             Joe Kruger,  Resources for the Future, United States

Rapporteurs:  Arthur Roborgh, Ministry of Housing,  Spatial Planning and the
             Environment (VROM), The Netherlands
             Martine Meerburg, Ministry of Housing, Spatial Planning and the
             Environment (VROM), The Netherlands


GOALS

To explore the role that INECE can play in developing a consistent world-wide trading
scheme of greenhouse gas (GHG) emissions.
1 INTRODUCTION

       To  answer the  aforementioned
inquiry as to the role of INECE in develop-
ing and enforcing a consistent world-wide
trading scheme of GHG emissions,  the
workshop was divided into two parts that
discussed the requirements for:
1.  Enabling the private sector to comply
2.  Enabling  the Competent  Authority  to
   ensure and enforce compliance.
The aim was to get:
— Three recommendations on part 1 for
   enabling  compliance and three recom-
   mendations for enforcing compliance
— Three recommendations on part 2 for
   enabling  compliance and three recom-
   mendations for enforcing compliance
       Finally, it was decided to try to
draw  more  general  recommendations
directly related to the main inquiry as raised
above. These recommendations were pre-
sented by Mr. Joe Kruger as bullet points
during the plenary meeting of INECE.

2 DISCUSSION SUMMARY
       Mr. Neil Davies started by outlining
the aim of the workshop:  to review the
design elements of an emissions trading
scheme, including allocations, legislation,
institutional arrangements, and regulation
to ensure compliance.
       Mr.  Chris Dekkers then gave an
overview of the European Union Emissions
Trading Scheme (EU-ETS)  Directive on
carbon dioxide emissions trading, using a
PowerPoint presentation now available on
the INECE website  (www.inece.org). He
emphasized that compliance by the private
sector depends heavily on proper monitor-
ing (e.g., the European Commission's Mon-
itoring  & Reporting  Guidelines),  proper
reporting, and proper verification (e.g., the
European   Accreditation  Cooperation's
guidance note and verification protocols).
Furthermore,  he highlighted that regula-
tions to enforce compliance by the compe-
tent authority  are aimed at the use of an
electronic  registry, inspection,  enforce-
ment, and sanctions.
       Mr. Joe Kruger focused his presen-
tation on compliance and enforcement in
the United States concerning SO2 and NOx
emissions trading programs and gave a
U.S. perspective on key similarities and dif-

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
ferences  with  the   EU-ETS  trading
schemes, supported by a PowerPoint pres-
entation. In this presentation, Mr. Kruger
outlined the following:
1) emissions  monitoring, reporting, and
  verification,
2) data systems concerning emissions and
  allowance registries,
3) penalties and enforcement provisions,
  and
4) public  access   to   emissions  and
  allowance data.
        Next, there was a short question-
and-answer session, after which the group
tried  to answer the questions  outlined
above.  The  first conclusion was that in
many countries, there is a sizeable knowl-
edge gap for environmental compliance
and  enforcement experts on the require-
ments, conditions, and costs of emissions
trading. For  this reason it is important to
raise awareness and exchange information
on  the lessons  learned  from  existing
schemes.

3 RECOMMENDATIONS FOR INECE

        There was  agreement that INECE
could develop introductory materials (e.g.,
Frequently Asked Questions documents)
on compliance and enforcement aspects of
emissions trading, and could provide a plat-
form for exchanging information and data
between environmental compliance and
enforcement  experts.  Regarding specific
activities, INECE could develop an enforce-
ment and compliance manual for emissions
trading, with  best  practices  and basic
requirements. INECE might also facilitate
or sponsor an analysis that compares the
practices of  'third party verification' to the
traditional role of the regulator in verifica-
tion. More generally, INECE could  play a
vital role in future initiatives to set up guide-
lines for compliance and enforcement of
                             emissions trading. INECE could also be the
                             forum for creating linkages between envi-
                             ronmental  compliance and  enforcement
                             experts and international organizations like
                             the European Union, international accredi-
                             tation bodies, the European Union Network
                             for the Implementation and Enforcement of
                             Environmental Law (IMPEL),  and the Unit-
                             ed Nations Framework Convention on Cli-
                             mate Change (UNFCC).

                             3.1    General roles for INECE
                             — Raise awareness, and  provide informa-
                                tion and clarification
                             — Serve as a resource on emission trading
                                activities in different countries
                             — Establish  links  with  other  parties
                                involved (accreditation  bodies, UNFCC,
                                IMPEL etc.)
                             — Aim for a balance on general consisten-
                                cy and flexibility in  international trading
                                schemes

                             3.2    Various products that INECE
                                    should develop
                             1. A simple document on elements of emis-
                                sions  trading  schemes, including Fre-
                                quently Asked Questions
                             2. Give more information on:
                                a. skills
                                b. training requirements
                                c. data gathering  and sharing
                                d. monitoring requirements and
                                  standards
                                e. other technical issues
                                f. third party verification and  regulatory
                                  input
                                g. sanctions
                                h. costs and financial and environmental
                                  benefits (compared to tax systems)
                             3. A workshop in the near future for practi-
                                tioners

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                                                   SUMMARY OF WORKSHOP 3F   167
SUMMARY OF WORKSHOP 3F: ILLEGAL LOGGING: REGIONAL
STRATEGIES FOR ENFORCEMENT COOPERATION

Facilitators:   Antonio Benjamin, Law for a Green Planet Institute, Brazil
             Yvan Lafleur, Environment Canada

Rapporteur:   Anita Sundari Akella, Consultant, United States


GOALS

— Identify a set of common issues that will allow the international and national institutions
   working on deforestation issues to work together on logging sector enforcement in the
   context of the International Network for Environmental Compliance and Enforcement
   (INECE).
— Come up with a concrete proposal that will allow INECE to move into this new direction,
   in the 'green' sector.
1 INTRODUCTION
       The facilitators opened the discus-
sion by asking the participants to draw on
their countries' experiences to define illegal
logging. The  facilitators then progressed
the workshop by opening discussion  of
what the international issues are and how
they should be prioritized. They then raised
the question of  whether the international
community should be targeting a particular
type of illegal logging. Finally, the discus-
sion group talked about the proper role for
INECE and the international community.

2 DISCUSSION  SUMMARY

       Mr. Antonio Benjamin opened the
workshop  by  acknowledging the various
definitions of illegal logging and asked the
participants to give a definition based on
what goes on  in  their respective countries.
       Dr. Ladislav Miko explained that in
the Czech Republic, no  clearcutting  of
areas greater than one hectare is allowable
by law,  and  landowners are required  to
leave seventy percent of the trees on their
land standing. However, it is not always the
owner that cuts, and often criminals come
in and extract timber. Sometimes the prob-
lem is a different one - for instance, in the
Caucasus, poor people were breaking the
law by cutting timber for fuelwood, so that
they  could  avoid  freezing.   Dr.  Miko
expressed the difficulty in enforcing the law
in such situations.
       Dr. Miko added that the Czech Min-
istry of the Environment has developed a
system for evaluating ecological damages
in  the forest,  based on 12  years of
research. The specific system is particular
to Czech forests and will not be applicable
in other sites; however, the system's funda-
mentals can serve as a basis for those
wishing to calculate damage to forests in
other countries.
       Picking up on Dr. Miko's observa-
tion about poor people and logging, Ms.
Sheila Abed responded that in much of
Latin America, illegal logging is linked to
poverty  issues.  Deforestation happens
because  of land use  change, often slash
and burn agriculture  by  squatters  who
sometimes work with traders to sell valu-
able wood before clearing. However, these
types  of deforestation are difficult to fight
because they are closely  linked to social
and political issues.
       Ms. Brenda Brito further explained
that in Brazil, there  are  "legal reserve"
requirements - for instance, in Amazonia,

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
landowners are required to retain eighty
percent of their land  as forest.  In other
parts of the country, it is twenty percent.
However, this law is neither complied with
regularly nor enforced effectively.
       Mr. Tony Oposa added that in the
Philippines, no logging beyond the allow-
able cut is allowed, but it happens. There is
also conversion of forestland to other uses
by poor people. Often,  selective logging
opens  roads  that small farmers and the
landless use to enter the forest, which they
then convert.
       Ms.  Rosalind  Reeve  illuminated
some of the transnational issues with log-
ging regulation. In  Kenya, people were
allowed to cultivate among the trees in pro-
tected areas - until  it was discovered that
they were growing all kinds of things
(including marijuana). The  government
then clamped down. They began requiring
a permit for any cutting on private lands or
for any transport of  timber. The result has
been that the timber  coming into Kenya
now is largely harvested illegally from the
Congo. The Congo has a good law, but
it is not implemented - in  the Eastern
Congo, for instance, there is no enforce-
ment at all.
       Mr. Ofir Drori  explained  that  in
Cameroon, illegal logging mainly takes the
form of companies  not staying within the
rules of their concessions - they break reg-
ulations regarding diameter, species, and
quantities. These companies control the
law enforcement agencies and so there is a
lot of corruption. The  government is also
reluctant  to  be too strict with the rules
because they do not want the companies to
leave the country and do business else-
where instead. There is some small-holder
illegal  logging  once the  big  companies
have left, but this is  not the major problem.
       Mr. Antonio Benjamin  responded
that in Brazil, the problem differs according
to where you  are. In the developed south,
deforestation  and illegal logging are minor
issues, and development (along the coast,
in the  Atlantic Forest, and in agricultural
areas) is  the  main  problem.  In the north,
logging is not  as much of  an issue  as
expansion of the agricultural frontier - driv-
                             en by large, wealthy agro-business. Peas-
                             ants are sometimes used by them to do
                             their dirty work, but are not the main actors.
                             If you address the big actors in this region,
                             it could have considerable impact on the
                             ground even if it does not stop expansion
                             altogether.  The  issue  is  complicated
                             because this is a region of low develop-
                             ment,  and a lot of  export income comes
                             from the soy that is being grown here. Mr.
                             Benjamin  asked how it is possible to battle
                             this kind of deforestation.
                                     Mr.  Benjamin further  noted  that
                             many compliance and enforcement issues
                             have to do with the legal framework itself.
                             The precautionary principle is important - if
                             appropriate uses of the  resource are pre-
                             scribed in the law, it is much easier to do
                             compliance and enforcement. For instance,
                             Brazil's legal reserve system is established
                             in the law and if it were complied with,
                             eighty percent of the Amazon  and twenty
                             percent of the remainder of the country
                             would  be  conserved. This is not the case,
                             but if there is political will, it should be pos-
                             sible to enforce this law.
                                     The facilitators  summarized  that
                             overall, based on what everyone had said,
                             the problem of illegal logging is widespread
                             and caused by a number of contributing
                             factors that legislation and enforcement will
                             have to tackle. With this in mind, the facili-
                             tators  urged participants to focus on the
                             goal of developing concrete proposals that
                             INECE can work on in the illegal logging
                             realm, with a focus on enforcement.
                                     Dr. Ladislav Miko suggested that
                             the workshop participants should decide
                             what the priorities within  INECE relevant to
                             this topic should be, since many issues
                             should be handled nationally. He then sug-
                             gested focusing on (a) what the internation-
                             al issues are and (b) how to prioritize them.
                                     Mr. Peter Pueschel added that the
                             working group should keep in mind what
                             the capacities and sphere of impact of
                             INECE are. For instance, they may be high-
                             ly effective at making economic arguments
                             that can show the links between illegal log-
                             ging and demand in consumer countries. It
                             is important to make efforts on both the
                             consumer and producer side. Enforcement

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                                                     SUMMARY OF WORKSHOP 3F    169
officials need tools, and those tools should
be provided.
       Mr.  Antonio  Benjamin  observed
that these ideas point to building support
for a project proposal on illegal logging.
       Mr.  Yvan Lafleur suggested that
the group should consider which aspects of
illegal logging they can hope to influence.
He summarized by identifying the following
types of illegal logging in the conversation:
(1) Social - Mr. Lafleur questioned whether
   INECE could  really address logging that
   has to do with social issues.
(2) Technical - loggers are  not respecting
   the details of  cutting (diameter at breast
   height, etc.) in their concessions.
(3) Commercial  -  companies  are  not
   respecting the law, either because they
   do  not care  or because there  is no
   enforcement. Mr.  Lafluer identified this
   type of illegal  logging as having the
   most impact at the international level.
(4) Criminal.
       The facilitators posed the question
of whether the group wanted to  target its
activities to any particular type of illegal log-
ging-
       Mr.  Ofir  Drori thought  that  the
group should restrict itself to things that are
(a) under the law (i.e. not social) and (b)
international. The most logical target is the
large companies, because  their behavior
has implications  beyond their borders. One
idea could be to build a network that can
share information that could be helpful in
criminal proceedings
       Ms.  Brenda Brito explained that the
problem in Brazil is a bit different, as the
majority of  Brazil's illegal timber is con-
sumed domestically,  making it a domestic
issue. Ms. Brito thought it would be useful
for INECE to hold a regional  meeting to dis-
cuss how to:
(a) identify major organizations/stakehold-
   ers involved in illegal logging,
(b) identify existing legal mechanisms in
   regional  countries and test other inno-
   vative ones that might work (i.e., using
   negotiated compliance agreements in
   this sector rather than strictly focusing
   on command and control),
(c)  provide technical assistance to compa-
    nies and loggers who might log legally
    if they knew how and understood what
    the rules were, and
(d)  provide capacity building and training
   for local agencies working on enforce-
   ment.
       Ms.  Rosalind  Reeve  suggested
that the group should concentrate on what
is beyond the law,  what is international, and
what INECE is good at (for instance, which
tenets of brown-side enforcement can be
translated for the green side?).
       Mr. Peter Pueschel elaborated that
information exchange on  trade routes is
important and questioned whether capacity
support for enforcement agencies will be
harder where there are large multinationals
involved.  He added that there is a need for
national enforcement capacity building to
help look  at (a) organized criminal sector
illegal logging activity (including linking to
work being done by Interpol) and (b) com-
panies that  are just taking advantage of
weak enforcement.
       Mr. Antonio  Benjamin supported
the framework suggested by Brenda Brito
and advocated  for thinking about a global
meeting   of  experts   on  forest  sector
enforcement -  something that  will help to
legitimize this  message by discussing  it
with a broader audience. He also suggest-
ed working with The World Conservation
Union's (IDCN's) Commission on Environ-
mental Law.
       Dr. Ladislav Miko further suggest-
ed that if there  is to be  such a workshop,
the topic  to be discussed must be very
clear and that it would be helpful  to priori-
tize  the  places  where there is  a link
between  illegal  logging and primary habi-
tat/biodiversity.  He explained that  if they
could bring key  people in forest sector
enforcement together and get them speak-
ing the same language, it would be an
advance.
       Mr.  Yvan  Lafleur suggested   a
series of regional  meetings that lead up to
an international meeting, because of Ian-

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
guage and culture barriers. However, Ms.
Rosalind Reeve  disagreed,  suggesting
instead an international meeting that would
then spawn  regional meetings. She also
suggested   including  nongovernmental
organizations (NGOs) active in this area
(Global Witness, Environmental Investiga-
tion Agency, Chatham House) in such a
meeting.
       Mr. Peter Pueschel advocated for
focusing on understanding who the interna-
tional companies doing illegal logging are
and  identifying  the international  trade
routes used  by these companies and their
partners on  the ground. He further stated
that this international meeting should have
a limited number of participants.
       Mr.  Matthew Cooper suggested
that  INECE, because  of its access  to
experts, can give advice about how to gen-
erate and share information. It can also
access NGOs who do not have access to
information - through appropriate messag-
ing and sound advice.
       Mr. Yvan Lafleur stated that local
input would  be required and that it is hard
to create guidelines or messages that are
global.
       Ms.  Anita Akella suggested incor-
porating conservation NGOs who are de
facto "working on enforcement" as part of
their conservation work  on  the ground.
However,  Mr. Peter Pueschel disagreed,
stating that inclusion of such NGOs creates
the potential for the discussion to become
too broad, not focused on enforcement. Mr.
Ofir Drori offered a solution that only NGOs
working explicitly on enforcement be invit-
ed, because otherwise you get message
drift  and end up broadening the topic at
hand beyond "real" enforcement.
        Dr. Ladislav Miko interjected that
foresters have meetings on  these topics
too, and should be kept in close contact to
avoid duplication. He suggested sending
an INECE emissary to European meetings
of foresters and contacting them to find out
what has already been done, what needs to
be done, and how INECE can contribute.
        Mr.  Antonio Benjamin elaborated
on the need for NGOs at the workshop by
                             stating that the workshop envisioned is an
                             enforcement stakeholders meeting to pre-
                             pare something  for the enforcers  them-
                             selves. Therefore, the network does have
                             to listen to what NGOs who do policy work
                             and know that enforcement is important
                             have to say. The majority of the participants
                             should be people who work directly with
                             enforcement - but we should also invite a
                             few from the large NGOs. However,  he
                             agreed that it is important to make it clear
                             that this is not a policy meeting, and not a
                             science meeting - that rather, it is a meet-
                             ing to decide what the next concrete steps
                             will  be in  designing  strategies for forest
                             sector law enforcement.
                                    Mr. Tony Oposa suggested  a plan
                             of having  a team of 2-3 people of legal
                             renown coming to a country, developing a
                             good sense of what the enforcement chal-
                             lenge in that country is, and paying visits to
                             national officials to create awareness of the
                             gap between what the law says and what is
                             happening in reality.  The method could
                             exert subtle, pressure on the political lead-
                             ership to change the environmental prob-
                             lems.
                                    Ms. Rosalind Reeve added that the
                             network should include NGOs like Green-
                             peace who can  hit  the  headlines  and
                             impact public awareness.
                                    Ms.  Brenda  Brito  recommended
                             that each  member of this group could list
                             people  and organizations  from  different
                             countries that they think should participate
                             in this meeting. Mr. Antonio Benjamin coun-
                             tered that  membership selection should be
                             done by INECE and the INECE Executive
                             Planning Committee, with people sending
                             suggestions of criteria (e.g., how to pick the
                             countries that the participants come from:
                             based on the size of the country or focus-
                             ing on representatives of  megadiversity
                             countries).
                                     Mr. Yvan Lafleur said that compa-
                             nies must also be involved. Ms.  Rosalind
                             Reeve replied that companies did not need
                             to be involved at such an early stage. In the
                             African context, bringing the companies in
                             will be like inviting the fox into  the hen-
                             house and will not work.

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                                                    SUMMARY OF WORKSHOP 3F   171
3 FACILITATORS' RECOMMENDATIONS
  FOR INECE

       INECE should review and analyze
other activities related to the coordination
of enforcement activities and enforcement
training regarding the issue of illegal log-
ging.  INECE should develop a strategy
based on this analysis to join in these activ-
ities or develop additional  activities while
avoiding duplication with the on-going ones.
       The  facilitators also recommend
that INECE develop a proposal for capaci-
ty building programs for inspectors,  public
prosecutors, and judges in megadiversity
countries that face widespread illegal log-
ging. In addition, INECE should develop a
proposal for a comparative global study in
key  countries  of  legislative  models
designed to fight illegal logging.

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172         SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                    SUMMARY OF WORKSHOP 3G  173
SUMMARY OF WORKSHOP 3G: PENALTIES AND OTHER REMEDIES

Facilitators:   John Cruden, Environment and Natural Resources Division,
             Department of Justice, United States
             Chief Justice Vladimir Passes de Freitas, Brazil
             Deputy Chief Justice Adel Omar Sherif, Egypt

Rapporteur:   Davis Jones, Environmental Protection Agency, United States
GOALS

To explore the following three questions regarding judicial enforcement:
1. What experiences or problems have workshop participants had in attempting to obtain
  penalties or remedies for illegal activity?
2. What are the most important factors a judicial officer should consider in deciding appro-
  priate penalties or other remedies?
3. What should we recommend that INECE do to assist in informing judges about available
  penalties and other remedies for illegal environmental misconduct?
1 INTRODUCTION
       Varied experiences demonstrate
that there is frequently inadequate judicial
understanding of  environmental law, but
the  United  Nations  Environment Pro-
gramme (UNEP) is actively helping to build
world-wide capacity. South America, Fin-
land, and the European Union Network for
the Implementation and Enforcement  of
Environmental Law (IMPEL)  have  had
seminars for judges and prosecutors, and
the numbers of court cases have subse-
quently increased. Some agencies do not
have experience in seeking criminal cases
or civil penalties, while others have dedicat-
ed courts or tribunals and prosecutor units.
Some innovative judgments include "publi-
cation orders" and "environmental service
orders" to obtain compliance. Others have
effectively utilized administrative courts.
       The various aspects of environ-
mental harm  and  economic benefit are
important to prove, even when they are not
required to prove the case. In addition, the
intent of the defendant is often a key issue
in criminal cases and may help the judge
determine the  adequacy of the penalty. We
should share best  practices for calculating
penalties and for developing methodolo-
gies that are clear and straightforward. The
international  exchange  of  information
between countries can help develop and
strengthen national programs.
       More judicial education and sup-
port is  necessary, and  UNEP's work,
including the judicial  training  center  in
Cairo, helps meet this need. In some coun-
tries specialized  courts may provide a
mechanism for sharing information among
judges and developing individual expertise.
Chief Judges and  trained judges should
help promote the issue to their colleagues
to establish credibility in the message, and
INECE should help by spreading the infor-
mation. Prosecutors must be included in
the  process,  both as experts  and  to
improve their own skills.  Recognition  of
excellence  is an outstanding motivation,
and INECE should consider creating an
international award for judicial excellence.
Finally,  we should  seek  harmonized
approaches in penalties and remedies, par-
ticularly  for transboundary crimes, so all
countries can show the fairness and con-
sistency of their penalty structures.
       Mr.  John Cruden  introduced the

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
session by describing the various theories
for civil penalties and asserting that despite
differences in how countries obtain and cal-
culate penalties,  they ultimately  have
shared experiences and goals.  He then
asked the other facilitators for introductory
remarks.

1.1     The  Brazilian Experience
       Judge Freitas began by citing the
need  for good institutions that can make
improvements on resolutions beyond civil
and administrative penalties. Brazil has a
special law  on environmental crimes, but
only 2 or 3 articles of the law have penalty
provisions, and those  are mostly insuffi-
cient. General prosecutors are becoming
more aware of  environmental  require-
ments, and  some have created  environ-
mental crime units. Now, prosecutors are
bringing cases against entities at different
levels than in the past,  including corporate
presidents in some instances.
       In many cases, convicted individu-
als or entities in Brazil can negotiate reso-
lution involving clean-ups without mandato-
ry jail time. For example, criminals convict-
ed of  illegal logging can appeal to the court
to postpone  the term for 2 years, and avoid
jail altogether if the prosecutor is subse-
quently satisfied with their activities to solve
the problem during that time. This  helps
achieve environmental benefits in lieu of jail
time.  Some  judges are beginning to use
this  type of  innovative  sentencing  to
achieve more environmental results.
       Training on environmental law has
improved for judges, and some courts are
starting to include environmental issues in
the exam required prior to becoming a
judge. They have  also established a few
special environmental courts. If there are
not enough  cases  to justify a dedicated
court, the newly  established specialized
courts can  also  handle other types  of
cases.
       We must create a good knowledge
base  in environmental law among judges to
raise  their  interest  in addressing  those
problems, which  can be  very difficult.
Judges will listen to other judges (especial-
                              ly senior judges), but additional motivation
                              is useful.  UNEP helped create a Congress
                              on Environmental Law in Iguazu Falls in
                              southern   Brazil that  brought carefully
                              selected judges from other parts of Latin
                              America  to motivate  and educate  the
                              judges about environmental law, with out-
                              standing results.
                                     Another motivational tool is to help
                              judges publish papers and articles on the
                              issue by providing a forum for disseminat-
                              ing information that other judges will recog-
                              nize and respect. Another tool is to provide
                              special recognition to particular judges who
                              have made a difference.

                              1.2     The Middle Eastern Experience
                                     Judge Sherif  spoke  about  his
                              experience as an environmentally-motivat-
                              ed judge  in the Middle East. One of the
                              problems involves judges and law enforce-
                              ment officers, specifically regarding penal-
                              ties. Most countries  have enacted legisla-
                              tion that may include penalty authority, but
                              judges have set attitudes about their dis-
                              cretionary power and do not like to be guid-
                              ed by "mandatory" penalty guidelines. They
                              want to  exercise their full  discretionary
                              authority  in determining the size of penal-
                              ties.
                                     It is not enough to just provide the
                              legislation, but it is as important to empow-
                              er and educate judges. In Egypt, this is
                              done through specialized tribunals and by
                              promoting awareness of the international
                              agreements and the challenges they seek
                              to solve.  There is  an ongoing need to
                              increase  the judges' capacity, education,
                              and awareness of environmental law.

                              1.3     The American Experience
                                     Mr. John Cruden discussed the two
                              sides of environmental  enforcement in the
                              United States. Criminal violations are han-
                              dled with fines and prison time, while civil
                              or administrative violations are addressed
                              through penalties to  capture any economic
                              benefit and wrongful profits, at a minimum.
                              In calculating  penalties,  environmental
                              harm must also be taken into account, as
                              well as the violator's ability to pay. In addi-

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                                                    SUMMARY OF WORKSHOP 3G    175
tion, restitution, injunctive relief or correc-
tive action, and supplemental environmen-
tal projects are important components of
settlements  and consent decrees in the
United States.
       Mr. Cruden emphasized, however,
the importance of prosecutors not only pre-
senting  evidence sufficient to prove the
case, but also demonstrating the degree of
environmental  harm. He cited an example
where a company had illegally  filled in a
wetland, destroying it in the process. The
prosecutors charged it as a criminal case.
They won the case (which was upheld on
appeal), but the judge did not award a very
big fine, and the sentence was  probation
without jail time. The low level  of judicial
response was probably because the prose-
cutors did not adequately explain the seri-
ousness of the offense. The judge agreed
that the  law was violated but did not under-
stand why  the  wetland was  important
enough to justify incarceration.
       Mr. Cruden emphasized that this
brings up three key problems for the prose-
cutor: (1) How do we present and explain
the environmental harm? To  be credible
and deemed worthy by a judge, there must
be adequate evidence of the environmental
consequences of the illegal  activity. (2)
How do prosecutors convince a judge that
they are requesting the correct penalty? At
a minimum, prosecutors must explain how
the penalty recoups the economic benefit
or wrongful  profits obtained  by the mis-
deeds. (3)  How  do prosecutors demon-
strate that the company has enough money
to pay the penalty or complete the environ-
mental restoration sought in the case? The
evidence must adequately demonstrate the
importance of the  penalty and  the ability of
the company to pay the requested penalty
and complete the necessary  injunctive
relief.

2 DISCUSSION SUMMARY

2.1     Canada
       Mr. Albert Koehl said that in Cana-
da each prosecutor must be able to prove
violations to  the judge, as well as why the
response is appropriate. The judge's lack of
experience may lead to inadequate penal-
ties and remedies. The lack of capacity
leads to an inefficient system and exces-
sive appeals. A general lack of interest and
motivation may lead judges to ignore envi-
ronmental  cases. Specialized tribunals
would be very helpful and would cut ineffi-
ciencies in  prosecutors explaining law and
remedies in  each case  with  a  different
judge.
2.2
Australia
       According to Ms. Donna Campbell,
Australia has a specialist court  with both
criminal and civil authorities for land and
natural resource issues. The legislature
has laid down guidelines for the determina-
tion of penalties, primarily associated with
the environmental harm and the culpability
of the defendant. Prosecutors have found it
very difficult to determine the harm, and
scientific  uncertainty  abounds, making
judgments problematic.
       Australia uses two additional types
of extrajudicial remedies. The first are "pub-
lication orders", where the company must
pay to publish articles or press announce-
ments about the offense. The second are
"environmental service orders" that require
violators  to carry out  environmental work
and to clean up around the facility and the
community. They also have provisions in
which citizens are given authority to bring
cases as well.
       UNEP has paid for judges to come
from the Asia/Pacific region to see how the
Australian  EPA is  enforcing. This  has
helped both internally (through the external
examination of practices)  and externally
(by sharing best practices). This is part of
the larger UNEP Judicial Training project.
Essentially, UNEP divided the world into 10
regions  and  has done workshops  and
courses in each region. In South America,
judges are working with other countries and
NGOs such as Law for a Green Planet and
FARN. Mr. Cruden participated in a work-
shop in Argentina, and was able to advise
judges from  across  Central  and  South
America about techniques in collecting and

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
presenting  evidence,  penalty determina-
tion, environmental harm, and environmen-
tal restoration techniques.

2.3    Costa Rica
       Mr.   Jose    Pablo   Gonzalez
explained that Costa Rica is limited by lack
of specialized judges, but does have a spe-
cialized unit of prosecutors dedicated to
environmental cases. Judges and prosecu-
tors share the judicial training academy and
can share training. Judges often do not like
to be  trained by prosecutors,  but through
the impartial  academy,  they can  train
together.
       Many  environmental  crimes fall
under different statutes or laws, and judges
need to know more about these laws.  How-
ever, some judges think they need to come
to the case completely uninformed to avoid
bias, so prosecutors have to explain the
law, science, technology, harm, etc., and
failing at any part of that explanation  jeop-
ardizes the case.  Judges merge civil and
criminal authorities,  so judges must  com-
bine penalties, jail time, fines, and reme-
dies all together.  The prosecutor's office
has^finished a manual listing the environ-
mental crimes, how they should be proven,
and what penalties/remedies should  be
sought, which will be a critical tool for edu-
cating judges.
       In  Costa  Rica,  judges  are  now
using  provisional  probation similar to the
example cited by Judge Freitas in Brazil to
allow  for remedial actions. They are also
encouraging  settlements  to  expedite
cases. Costa Rica has the authority to set-
tle or  agree to conciliation, and now 90 -
95% of cases  conclude with a settlement
that is then  sent to a judge for approval.
Settlements, signed by judges, serve as a
useful tool and an enforceable resolution.
In the  United States, settlements become
public  prior to judicial  approval. Settle-
ments are submitted to the judge, who is
asked to wait to approve the settlement to
give the public a chance to review and
comment on it. The advantage of judicially
approved settlements is that they make any
subsequent violation of the  settlement a
                             violation of a court order rather than a sim-
                             ple agreement.

                             2.4    The United States
                                    Mr. Lee Paddock  explained that
                             New York State has over  2500 judges in
                             the state  courts  alone. Among the U.S.
                             states, only Vermont has a dedicated envi-
                             ronmental court.  Pace  University Law
                             School in  New  York and the North Ameri-
                             can Commission for Environmental Coop-
                             eration hosted  a North American judicial
                             conference, which delineated the following
                             two issues.:  1)  We must find the right way
                             to reach judges  so they will accept training.
                             Judges are resistant to training from one
                             side of an argument (i.e. environmental
                             agents or prosecutors). But when judges
                             have been reached in a neutral way, the
                             judges demonstrated that they really want-
                             ed the training  and were surprised about
                             how much there is to know about environ-
                             mental law. 2) We should create networks
                             of judges  that other judges can turn to for
                             support or training. Judges from one coun-
                             try may look to judges from other countries
                             for advice they will accept. The Internation-
                             al Union for  the  Conservation  of Nature
                             (IUCN) has worked with UNEP to develop
                             resources for judges around the world and
                             would be a crucial partner  for INECE work
                             in this area.
                                    Ms. Walker Smith from the US EPA
                             explained that judges may want to rule for
                             government,  but they will still want ade-
                             quate evidence  of environmental harm and
                             proof of the underlying offenses. Prosecu-
                             tors also  must  convince judges when an
                             individual  or company attempts to defend
                             by arguing how difficult it is to comply with
                             the law or how  complicated environmental
                             requirements can be. We  should concen-
                             trate on the illegal activity and the environ-
                             mental consequences of  the conduct in
                             presenting our case to the judge or tribunal.
                                    Mr. Davis Jones explained that in
                             the U.S.,  there are administrative courts
                             dedicated to  environmental issues. These
                             courts can handle lower level, non-criminal
                             violations in  a  very effective and  efficient
                             manner. In addition, the agency has written

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                                                    SUMMARY OF WORKSHOP 3G   177
penalty policies that guide prosecutors in
the calculation of penalties. Judges often
defer to these policies with cases often
centering on the appropriate application of
the policy rather than the penalty itself. He
went on to explain how the U.S. calculates
the economic benefit of non-compliance
and demonstrated a simplified tool known
as the "BEN Model" that accounts for vari-
ous  factors such as  the time-value  of
money to determine the benefits of delayed
and avoided compliance costs. Mr. Jones
then demonstrated for all of the participants
the simplified process by which economic
benefit can be calculated and presented to
a judge.

2.5    European Union Network for the
       Implementation and Enforcement
       of Environmental Law (IMPEL)
       Mr. Antero Honkasalo referenced
an  IMPEL study that examined  reasons
why cases failed. The study showed that
lack of prosecutor knowledge was a prob-
lem (as opposed to the judges'). IMPEL
shared results and queried other countries
to find similar problems. This convinced
some countries to create special  environ-
mental units of prosecutors instead of an
environmental court. They also found some
countries that lacked standardized prac-
tices on how to  bring  cases to court, so
IMPEL arranged seminars for judges and
prosecutors to create standardized proce-
dures. While it may be an incomplete indi-
cator  of success, the number of environ-
mental court cases has increased, showing
a better acceptance  from prosecutors and
judges and how enforcement is solving
problems and repairing specific harms.

2.6    United Nations Environment
       Programme (UNEP)
       Mr.  Donald  Kaniaru personally
started the UNEP Judges Symposiums in
1996 and has tried to accommodate prob-
lems  by  successfully  engaging senior
judges to establish credibility. UNEP began
with the belief that  developing countries
needed additional judicial capacity building
where they did not have adequate environ-
mental laws to rely on. At the international
level there was standardized material, but
not at the  local  or national level, which
judges could actually use. UNEP started its
program with the chief justices of the high
courts, but the  day-to-day decision makers
are really judges  at lower levels, who must
also be addressed.
       UNEP  has found that starting  up
specific environmental tribunals is excel-
lent, but they need to establish procedures
and rules of practice for those courts that
may not otherwise exist, which can be very
resource-intensive and time-consuming. In
addition to sensitizing judges, you must
also sensitize  both sides of the bar. Most
courts will  not take the initiative toward
solving environmental  problems; advo-
cates, attorneys,  and prosecutors must be
convinced of the importance of environ-
mental crimes so that they will take cases.
       There is also a need for guidelines
on  how to calculate  harm  and how to
demonstrate harms to judges. There must
be a push  for movement toward harmo-
nization of  processes  regarding transna-
tional  problems.  For  example, crimes
involving elephants migrating from Tanza-
nia to Kenya should be treated the same in
both  countries'  laws,  and  international
organizations such as INECE should work
to harmonize laws, prosecution, and penal-
ties.
2.7
Belarus
       Ms.  Maryna Yanush suggested
that published commentaries on environ-
mental laws can be used to develop some
common language for all to use and follow.
Ms. Yanush emphasized that it is important
to understand the point of view of judges
and prosecutors, not just technical informa-
tion. They can be helped by showing them
best practices with real examples  of how
legislation can be implemented. Judges
can also help inspectors understand the
judicial requirements for proof, as well as
how inspectors can better explain cases to
judges. In Belarus,  there  is  a  forum
between  senior judges and  ministry  offi-
cials to help identify procedural and institu-
tional problems. Judges and prosecutors

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
should also be involved with drafting of leg-
islation to help identify gaps that may make
the laws more difficult to enforce.

2.8    The Economic Side of
       Enforcement: Deterrence
       Mr. Krzysztof Michalak cited the
OECD's work on the economic  side  of
enforcement and explained that deterrence
is a function of the probability of detection
and severity of the sanction. Environmental
agencies must consider, given restraints,
the balance between compliance monitor-
ing and fines/penalties to determine the
optimal level of a penalty.
       This calculation will vary county to
country; in Japan, the fact that an inspec-
tion occurred is considered a significant
penalty by the company, so a much lower
monetary fine is necessary. The amount of
the fine or  penalty should  be commensu-
rate with how much  is actually needed to
create deterrence.
       Another cultural difference is  how
harm  is assessed by judges. In  Central
Asia, the calculation is based on zero toler-
ance or no acceptable impact, which drives
penalties to unreasonably high levels. In
China, a campaign  was  carried out that
shut down many polluting enterprises, but
due to the nature of the campaign and the
failure to carry through over the long-term,
polluters merely waited and came back to
their previous compliance status.
       Different systems  are not  always
understood well enough. The U.S., U.K.,
and other countries  may have well-accept-
ed  credible tools and methodologies, but
others are hampered by lack of transparen-
cy or standardization, which significantly
hampers enforcement. OECD can provide
information  from  its work  in  different
regions to share methodologies so that
standard  practices  can   be established
before the case rather than in response to
an  individual enforcement action, which
can lead to charges of arbitrary response.

2.9    Tanzania
        Mr.  Palamagamba  Kabudi,  who
drafted the new Tanzanian environmental
                              law, has been training judges in  environ-
                              mental law - country-specific training for 25
                              senior judges, including a Supreme Court
                              judge. But he is increasingly recognizing
                              that Tanzania must also train prosecutors
                              and inspectors. They are discussing devel-
                              opment   of  specialized   environmental
                              courts, or one with the existing Land Court
                              (similar to the  Australian  system). They
                              want to  avoid,  however,  developing too
                              many specialized courts in every region,
                              which leaves the  alternative of  training
                              everyone.
                                     The new Tanzanian law  includes
                              clear penalty provisions, including impris-
                              onment. The law was developed in a very
                              public, open process with public support for
                              penalties. The legislature thought penalties
                              were appropriate but too high in the original
                              proposal and reduced them in the final law.
                              The new law also allows  for restoration
                              orders, prohibition orders, and cost orders.
                              If both parties agree, there is the possibility
                              to settle out-of-court by paying a fine and
                              agreeing to corrective  actions. The law also
                              provides  for consent judgments  and for
                              working on Alternative Dispute Resolution.

                              2.10   Israel
                                     Dr. Bill Clark said that they do not
                              have  much problem  in  Israel  winning
                              cases, but were told  by the Ministry that
                              they could not approach judges outside of
                              court  (such as  for a  training) because  of
                              ethical concerns.
                                     Dr. Clark also explained that there
                              is often a  need for one country to work with-
                              in other countries' judicial systems to  help
                              ensure consistency  within  the  penalty
                              framework, as became  evident in an ivory
                              seizure in Japan,  when a smuggler had
                              paid an administrative  fine equivalent  to
                              $300  for an illegal consignment  of ivory
                              worth many thousands of dollars.  In China,
                              a smuggler convicted of  a similar crime was
                              sentenced to life in prison and another was
                              sentenced to death with possible reduction
                              to life in prison. In Kenya, a smuggler was
                              caught with 4 suitcases of ivory and fined
                              several thousand dollars, but his passport
                              showed  multiple  trips with no conse-
                              quences for the repeated violations.

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                                                    SUMMARY OF WORKSHOP 3G    179
3 RECOMMENDATIONS FOR INECE
— Promote and facilitate the international
   exchange of information between coun-
   tries to develop and strengthen national
   programs for determining penalties and
   developing  clear  and  straightforward
   methodologies.
— Aid in the dissemination of information
   regarding the importance of appropriate
   penalties and  enforcement,  and  pro-
   mote mechanisms to share information
   among judges to  develop specialized
   expertise.
— Consider the creation of an international
   award for judicial excellence as an effec-
   tive  motivation to develop and enforce
   penalties for environmental law viola-
   tions.
— Seek harmonized approaches in penal-
   ties and remedies, particularly for trans-
   boundary crimes, so all  countries could
   show  the fairness and  consistency of
   their penalty structures.
Create guidelines on how to calculate
harm and  demonstrate  the  harm  to
judges.
Present judges and prosecutors with
best practices and real examples of how
legislation can be implemented.
Facilitate the sharing  of  international
organizations' work in different regions
to share methodologies,  so that stan-
dard  practices  can  be  established
before  any  enforcement  action  as
opposed to after-the-fact,  which can
lead to charges of arbitrary response.
Search for  a harmonized approach to
seek parity within the international com-
munity.

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                                                  SUMMARY OF WORKSHOP 3H   181
SUMMARY OF WORKSHOP 3H: MULTILATERAL ENVIRONMENTAL
AGREEMENTS: SYNERGIES FOR COMPLIANCE

Facilitators:  Carl Bruch, United Nations Environment Programme
            Kenneth Markowitz, INECE Secretariat
            Alberto  Ninio, World Bank

Rapporteur:  Dave Grossman, INECE Secretariat


GOALS

To explore the following questions:
1. What types of information and what compliance and enforcement activities should we be
  looking at for the UNEP-INECE Multilateral Environmental Agreements (MEAs) indicator
  project on developing indicators?
2. What are some examples of particular input and output indicators that will be beneficial
  in measuring the impact of compliance and enforcement activities?
3. How should we approach identifying synergies in implementation of MEAs at the nation-
  al level?
1 INTRODUCTION

       The  workshop  began with an
explanation of the UNEP-INECE indicator
project, which focuses on identifying indica-
tors to promote synergies in the implemen-
tation of two clusters of topic-related MEAs
- one cluster on biodiversity conventions
and one on chemical conventions. There
was also a preliminary discussion  of the
definitions of input, output,  intermediate
outcome, and final outcome indicators.

2 DISCUSSION SUMMARY

2.1     Project Goals and Method
       Mr. Carl Bruch explained that he
saw a couple of goals for the project: (1) to
develop and pilot-test a set of indicators to
track progress over time, oriented largely to
agency staff  trying to take specific meas-
ures to implement  and  enforce  MEAs,
though also relevant to the negotiators try-
ing to develop national positions; and (2) to
develop qualitative case studies of interest-
ing  approaches  of  how countries have
implemented MEAs synergistically, thereby
allowing for an element of experience-shar-
ing in the project.
       Dr. Iwona  Rummel-Bulska (World
Meteorological  Organization)  added that
these goals can be united, and that one
should start by looking at one complex
country and see how  many focal points it
has for its MEAs, how many competent
authorities it has and  whether they talk to
each other, what legislation it has, whether
the legislation is being implemented, etc.
Dr. Rummel-Bulska further declared that
one should start from the country side of
things, checking how that country is imple-
menting the enormous amount of MEAs.
       Ms. Olya Melen (Ukraine) asserted
that the issue of a synergetic  approach is
present in the majority of countries. Con-
ventions are signed and put on a shelf, with
no one evaluating effectiveness. Indicators
are important. She suggested that there is
a need for one body or commission within
UNEP or INECE to collect all the data, con-
sisting of  representatives of focal points of
different conventions  and of people of  a

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
high governmental level. This committee
additionally  can facilitate  the reporting
process of conventions and can serve as a
clearinghouse of information.
       Ms. Elizabeth Mrema (UNEP) pro-
posed starting with the MEA itself and the
Secretariat,  as  a process to  guide us in
terms of  identifying  stakeholders, audi-
ence, national-level contacts, and perhaps
indicators.
       Mr. Matthew Stilwell (Institute for
Governance & Sustainable Development,
Switzerland)  stated  that  when  thinking
about this project, there  are some  key
questions and  issues  that need  to  be
addressed:
(1) Who is the  ultimate  audience for the
   project: frustrated negotiators? people
   in national  ministries?  on-the-ground
   enforcement officers?
(2) In light of the audience, what is the goal
   of the project? Is  it to promote imple-
   mentation of existing MEAs? Is it to pro-
   mote future development of MEAs in a
   synergistic way?
(3) At what level are we looking for syner-
   gies:   in the MEAs themselves (e.g.,
   institutional arrangements, cooperative
   projects) or  at the national level (e.g.,
   implementation laws and  measures)?
   At what level in the causal chain do you
   want to intervene most? Where is the
   main emphasis of the project?
(4) Overlaps among conventions are often
   quite different, and  the  secretariats
   themselves are often  unaware they are
   there.  The  Convention on Biological
   Diversity (CBD) and the Ramsar Con-
   vention on Wetlands overlap on wet-
   lands;  CBD and  the  Convention  on
   International Trade  in  Endangered
   Species  (CITES)  overlap  on  species;
   Ramsar  and CITES  overlap on wet-
   lands species. But these overlaps are
   all  in  different  contexts.  The further
   down the chain you  get, the harder it
   gets to find synergies. One suggestion
   is to take  a sectoral  approach. The
   UNEP economics and trade branch did
   a study focusing on rice, which estab-
                                 lished a single specific context across
                                 countries and provided useful data that
                                 allowed for building general models that
                                 could apply to other sectors. Every situ-
                                 ation is quite different and complex, so
                                 it  is hard  to apply a one-size-fits-all
                                 approach when dealing with  final out-
                                 comes. Higher up the indicators  logic
                                 chain (e.g., inputs), it can be easier.
                                     Mr. Carl Bruch  agreed, noting that
                             the higher level is what we are trying to do
                             - looking broadly at the biodiversity sector
                             and the waste sector. The question is: how
                             do we do it at  a high enough level that it is
                             useful but where there still are synergies?
                                     Mr. Matthew Stilwell explained that
                             as  one moves down the chain,  it will be
                             necessary to move from  an  indicators
                             approach to  an assessment approach,
                             looking at specific projects in specific sec-
                             tors. That is the only way to understand the
                             complexities.  Indicators  are better for
                             understanding inputs and intermediate out-
                             comes. As you start moving toward ultimate
                             environmental  outcomes, you  will need
                             more tailored approaches. Also, a good
                             starting  point is to ask  the secretariats
                             about their 5 favorite delegates,  and they
                             will often give you people who are great on
                             the ground, though not necessarily focal
                             points. Also, look  at the Economics and
                             Trade Branch's methodologies, which may
                             be  adaptable.  Mr. Stillwell said that he had
                             written  a  paper on synergies  between
                             Ramsar, CBD, and CITES and that it was
                             quite difficult to get the data. MEA secretari-
                             ats themselves often had not thought about
                             how  economic  instruments would apply
                             across  MEAs. Mr. Stilwell suggested that
                             we look at the  project from the national
                             level - i.e., what  data do national  folks
                             need to promote national synergies?
                                     Mr. Alberto Ninio inquired as to
                             whether the aim is to get national finance
                             ministers the  hard numbers they always
                             ask for when getting a loan from  the World
                             Bank or providing funding to an environ-
                             ment ministry about the outcomes they can
                             expect.
                                     Dr.  Iwona  Rummel-Bulska  con-
                             tended that if  you start with a single coun-

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                                                    SUMMARY OF WORKSHOP 3H    183
try, you get different indicators than if you
start with the MEAs. She asserted that the
number of conventions a country is part of,
whether they produce CFCs and export
waste, what the institutional structure is,
how  many focal points  there  are,  and
whether the focal points communicate with
each other should all be considered. Start-
ing from the country side, you then go
through all the MEAs. She further inquired
into which MEAs are being looked at, since
there are  many important regional agree-
ments on these issues that should also be
considered.
       Mr.  Sibusiso  Gamede  (South
Africa) explained that countries, especially
developing ones, ratify MEAs for a variety
of reasons, many of which might not be
environmentally-related.  For  example,
some will join Kyoto because they see a
financial mechanism that will facilitate for-
eign investment. This would make it difficult
to develop a sole set of indicators for Kyoto
without understanding why a country joined
the Protocol in the  first place. You might
find  that  those reasons affect the institu-
tions created to implement the MEA.
       Dr. Iwona Rummel-Bulska replied
that there are always different reasons, but
that does not matter. Once they are in, they
have to comply, and that is what  we are
after.
       Dr. Rosalind Reeve (International
Fund for Animal Welfare) asserted that it
will also be necessary to actually  go into
the country to get the data, because you
will not get the true information from the
governments.

2.2    Multiple Authorities Involved in
       MEA Implementation
       Dr.  Warapong  Tungittiplakorn
(Thailand) suggested that the  project
should work from the top down. For this
project  to happen, Dr. Tungittiplakorn
asserted  that  the project  needs strong
interest from the heads of departments and
from  decision-makers.  Furthermore, in
countries like Thailand, many departments
are responsible for hazardous waste man-
agement, so the project needs support not
just from the head of one department, but
from the heads of many different depart-
ments.  But Thailand has  a hazardous
waste committee, which  has  representa-
tives from different departments (e.g., Agri-
culture,  Industrial Works). He suggested
that it would be best to coordinate with the
committee.
       Mr. Poul Byskov (Norweigan Pollu-
tion Control Authority) pointed out that Nor-
way is like Thailand in  that  it  has  MEA
authority and jurisdiction  housed in many
different departments. Also, Norway focus-
es more on industry, factories, wastewater
treatment plants, etc. MEAs  exist in the
background, only occasionally coming to
the forefront.
       Mr. Sibusiso Gamede  emphasized
that especially with developing countries, it
can be very difficult to find out "who's who
in the zoo" and what is happening, because
of the fragmentation. In South Africa, for
example, when there is notification  for a
transboundary removal  under the  Basel
Convention, that goes to the Department of
Trade and Industry, then to Foreign Affairs,
then to the Department of Safety and Secu-
rity. Each plays a different role  in  the chain,
but they do not speak to each other; each
does its own task. The best starting point is
the MEAs,  which require each country to
develop  and   submit an implementation
plan. Perhaps  the project should start with
a review of those implementation plans.
       Mr. Matthew Stillwell  added that
there are similar problems at the  MEA sec-
retariats themselves. Each is so involved in
its own  work,  it  is hard  to talk  to others
about how their work is complementary.

2.3    Suggestions for Input Indicators
       Mr. Ken Markowitz asked what the
indicators are that we should try to look at,
so when we go to the pilot project coun-
tries, we have a clear sense of  what we are
asking for? He suggested starting with rec-
ommendations for basic  input indicators.
What inputs would we want to look for to be
able to  get data to  assess efficiencies?
What types of data would be helpful?
       Dr.  Iwona Rummel-Bulska pro-

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
posed that one indicator can be the number
of focal points there are - if an MEA has 10
focal points, something is clearly wrong.
       Mr. Sibusiso Gamede added that
the number of compliance  and enforce-
ment personnel charged with the responsi-
bility for implementation of MEAs should be
considered as an input indicator, as well as
a skills and expertise assessment to try to
reconcile  human capital with what  the
enforcement and compliance  agency is
supposed to do.
       Mr. Poul Byskov  stressed stake-
holder identification - defining who all the
actors are (companies, etc.). and perhaps
finding indicators that can help make com-
panies accountable.
       Ms. Olya Melen suggested as indi-
cators: (1) The number of cases of non-
compliance. (2) The number of complaints
brought by different bodies.
       Dr. Warapong  Tungittiplakorn sug-
gested exploring whether there is a strong
commitment from the decision-makers and
others.at a high  level in the implementing
authority, as well as whether  there is a
national implementation plan.
       Ms.  Tamara  Malkova (Ukraine)
suggested as  an indicator whether there
are linkages between the environmental
ministry and other non-environmental min-
istries (e.g., financial,  transportation) that
might be responsible for parts of a conven-
tion. So we might want to look at how often
or in what papers non-environmental struc-
tures give recommendations or instructions
for, or even just mention,  MEAs.
       Mr. Alberto Ninio proposedas  an
indicator financial sources, allocation, and
sustainability for compliance and enforce-
ment.
       Ms. Linda Duncan (Canada) pre-
sented the following four possible indica-
tors:  (1)  Have  they  clearly  delegated
responsibility  to a specified authority to
implement and report on the MEA? (2) Are
there regular reports?  (3) Has the country
developed  and  implemented a strategic
plan with an associated budget and time-
line to implement the MEA?  (4)  Is there
some sort of  measure for progress  from
report to report? Have they set perform-
                             ance  targets for themselves? Is there a
                             peer-reviewed baseline against which to
                             measure progress?
                                    Ms. Olya Melen also recommend-
                             ed looking at the amount of national legis-
                             lation that has been amended after ratifica-
                             tion of the MEA.
                                    Mr. Carl Bruch highlighted the fol-
                             lowing: (1) Regulations and standards that
                             have  been  amended, not just legislation.
                             (2) Technical resources and equipment.  (3)
                             Is there an institutional requirement  for
                             communication  and  coordination  among
                             agencies at the national level (horizontally)
                             and  among agencies  at  different  levels
                             (vertically)?
                                    Ms. Elizabeth Mrema emphasized
                             looking at the personnel, resources, and
                             other aspects of the institution itself. Also,
                             the implementation  plan  serves as  the
                             baseline. Other issues  will come in when
                             doing the plan, such  as whether there are
                             laws in place and whether they are effec-
                             tive. So, does the country have a review
                             process?
                                    Mr. Ken Markowitz highlighted the
                             following:  (1) Technical assistance and
                             training., (2) The level of capacity building
                             within the institution  (e.g.,  the number of
                             trainings). (3) The level of support coming
                             from outside organizations  (e.g., the World
                             Bank) for capacity building.
                                    Mr. Ike Ndlovu (Department of Envi-
                             ronmental  Affairs  and Tourism,  South
                             Africa) expressed the need for an index of
                             some sort  between  legal  and permitting
                             requirements and the staff and resources
                             we have to meet those requirements.
                                    Dr.  Rosalind Reeve contributed the
                             following:   (1) Levels of penalties. (2) Is
                             there an enforcement strategy?

                             2.4    Suggestions for Output Indicators
                                    Dr.  Iwona Rummel-Bulska sug-
                             gested as an output indicator the number of
                             permits given, taking  into account the need
                             for an Environmental  Impact Assessment?
                                    Ms. Olya Melen contributed the  fol-
                             lowing: (1)The amount of information col-
                             lected and disseminated by the focal point.
                             (2) How often do the enforcement bodies

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                                                    SUMMARY OF WORKSHOP 3H   185
cooperate and communicate?
       Ms. Tamara Malkova pointed out
that the number of public outreach activities
to the regulated community and the public
would be a useful output indicator.
       Mr.  Alberto  Ninio  recommended
the fines and  penalties imposed and actu-
ally collected that remain at least in part
with   the  environmental  enforcement
agency.
       Dr.  Carl  Bruch stressed (1) The
number of trainings and the number of peo-
ple trained, perhaps broken down into spe-
cific units and sectors. (2) The number of
prosecutions. (3) The number of convic-
tions.
       Ms. Elizabeth Mrema suggested
the following:  Has the review process been
used,  and how often?

3 RECOMMENDATIONS FOR INECE

       Participants  in   the   workshop
offered a variety of comments and sugges-
tions,  including:
(1)The  importance of having department
   heads and  decision-makers  with  a
   strong interest in doing the project;
(2) Starting data collection with  the MEA
   Secretariats,  providing  contacts and
   focal points in target countries;
(3) The  implementation plan required  by
   many MEAs could be a good  source of
   information;
(4) Consider who the ultimate audience is
   for the indicators;
(5) Consider at what level of the implemen-
   tation process we are looking for syner-
   gies, and how focused on a sector you
   want to get; and
(6) Consider creating  a body or committee
   to  coordinate collection of all the data.
       Suggestions  from the  group for
input indicators included:
(1) Number of  personnel charged with
   implementation of  MEAs,
(2) Stakeholder identification,
(3) Number of violations,
(4) Number of focal points,
(5) Whether there is support from a high
   level in the implementing authority,
(6) Whether and how often non-environ-
   mental agencies mention MEAs in their
   documentation and efforts,
(7) Financial sources, allocation, and sus-
   tainability for compliance and enforce-
   ment,
(8) Whether there is an authority with a
   clearly  delegated  responsibility  to
   implement and also to report  on the
   MEA;
(9) Whether the country has developed and
   implemented  a strategic plan with an
   associated budget and  timeline for
   implementation of the MEA;
(10) Whether national legislation,  regula-
    tions, and/or standards were changed
    after MEA ratification;
(11) Amount of  technical  resources and
    equipment, and amount of technical
    assistance and training;
(12) Adequacy of focal points;
(13) Whether there  is  an  institutional
    requirement for horizontal and  vertical
    communication;
(14) Level of capacity building within insti-
    tution, the number of trainings, and
    whether there is support  coming from
    outside organizations (e.g., the World
    Bank) for capacity building;
(15) An  index of some sort  to correlate
    requirements to be met with staff and
    resources available to meet them;
(16) Whether the country has a  review
    process.
       Suggestions for output indicators
included:
(1) Number of inspections, instances of vio-
   lations,  enforcement cases, permits,
   prosecutions, and convictions;
(2) Quality of inspections;
(3) Amount of information collected and
   disseminated by the focal point;

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
(4) Amount of cooperation with other stake-
   holders that enforce aspects of MEAs;
(5) Development of a national implementa-
   tion plan and enforcement strategy;
(6) Whether there has been outreach to the
   regulated community and the public;
(7) Amount of fines / penalties imposed and
   actually collected and that remain at
   least  in part with the environmental
   enforcement agency;
                             (8) Whether the review process is used;
                             (9) Whether there is a baseline against
                                which to measure progress over time.

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                                           REGIONAL CONFERENCE, GERARDU, Jo   187
REGIONAL CONFERENCE, OPENING SPEECH BY JO GERARDU
       On behalf of the INECE co-chairs
and the Executive  Planning Committee,
welcome.
       My colleague Davis Jones from the
US Environmental Protection Agency and I,
Jo Gerardu from the Netherlands Ministry
of Housing, Spatial Planning and the Envi-
ronment, are very honored to address you
at this regional conference.
       We are very pleased to see such a
great turnout of our colleagues from Alge-
ria, Tunisia, Mauritania, and our wonderful
host country,  Morocco.
       We have worked very closely with
the Moroccan ministry to develop this pro-
gram  to  strengthen  compliance  and
enforcement in Northern Africa.
       The three goals of INECE are:
1) raising awareness of the importance of
  environmental compliance and enforce-
  ment;
2) developing networks; and
3) strengthening capacity.
       This is the perfect opportunity to
further these goals and to open up new
doors and further cooperation with new
partners.
       We are very happy that you have
all come together for this meeting.
       It provides the perfect example for
the  international  conference that begins
here tomorrow.
       Again,  it  is our pleasure to wel-
come you.
LA CONFERENCE REGIONALE, DISCOURS D'OUVERTURE
DE JO GERARDU
       Au nom des co-presidents et du
Comite  Executif  de  Planification  de
I'lNECE, je vous souhaite la bienvenue.
       Mon collegue Davis Jones de I'A-
gence Americaine pour la Protection de
I'Environnement et moi meme, Jo Gerardu
du Ministere de I'Habitat, de I'Amenage-
ment Spatial et de I'Environnement des
Pays-Bas,  sommes tres honores de nous
addresser a vous a cette occasion.
       Nous sommes tres  heureux de
remarquer cette forte presence de la part
de  nos  collegues Algeriens, Tunisiens,
Mauritaniens, et  merveilleux  holes du
Maroc.
       Nous avons  travaille etroitement
avec le  ministere de I'environnement du
Maroc afin de developer ce programme qui
vise le renforcement de la mise en applica-
tion et la conformite environnementales
des pays de I'Afrique du Nord.
       Les trios objectifs de I'lNECE sont:
1) Sensibiliser sur I'importance de la mise
   en application et la conformite environ-
   nementales ;
2) Creer des reseaux; et
3) Renforcer les capacities.
       C'est  une meilleure  opportunite
pour realiser ces objectifs et ouvrir de nou-
veaux horizons et promovoir la cooperation
avec de nouveaux partenaires.
       Nous  sommes tres  heureux  de
vous avoir parmi nous dans cette rencon-
tre.
       Cette rencontre offre un bon exam-
ple pour la conference Internationale qui
debutera demain.
       Encore  une fois,  merci d'avoir
repondu present a I'invitation a prendre par
a cette rencontre.

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188         SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                SUMMARY OF THE REGIONAL CONFERENCE FOR MOROCCO AND NORTH AFRICA   189


SUMMARY OF THE INECE REGIONAL CONFERENCE FOR
MOROCCO AND NORTH AFRICA


Dl COSMO, FRANCESCA

U.S. Environmental Protection Agency Region 3,1650 Arch St., Philadelphia PA
19103-2029, United States, dicosmo.francesca@epa.gov
       In conjunction with the Moroccan
Ministry of Territory Planning, Water and
Environment, INECE hosted a Regional
Conference for local and regional profes-
sionals on issues of particular relevance to
Morocco, North Africa,  and the  Mediter-
ranean region.
       Over 65 participants from govern-
ments and nongovernmental organizations
(NGOs) enthusiastically engaged  in strate-
gic discussions on advancing the imple-
mentation of environmental compliance
and enforcement in the region. The Confer-
ence provided a unique opportunity for gov-
ernment-government and  government-
NGO  collaboration.  The  workshop was
conducted in French with limited English
translation.
       Participants  concluded  that  a
regional  enforcement  network,  affiliated
with  and supported  by INECE,  was an
essential tool for promoting best practices
and building capacity in the region. Partici-
pants agreed that the new network should
capitalize on lessons learned from existing
networks, including their goals and objec-
tives.
       The  following  is  a summary of
questions, comments, and ideas from par-
ticipants  about the development  of  a
regional enforcement network:
— Shall the  network be managed by the
   Government or  an NGO? The Govern-
   ment can  make suggestions. The  NGO
   can introduce the debate.
— What is the definition  of the Region that
   the Network will cover? Will it  be  all of
   North Africa or will  it be sub-regional (i.e.
   Magreb only)?
The new network should capitalize on
the goals and objectives of other exist-
ing networks, using those objectives to
develop the objectives for the INECE
network.
The new network should utilize the les-
sons learned from other networks.
Each country has a clear set of enforce-
ment goals that are set by the environ-
ment  ministries.  What  is  the  value-
added of this network? What will be  its
mission? What are the expected out-
comes? Will there be separate goals or
outcomes  for each country? For  all
countries? Will it protect their values?
These questions should be answered to
develop an appropriate  network  for
Northern Africa.
Starting from the assumption that the
network is supported by  the govern-
ments and fits into other networks, the
organizers of the new network need to
analyze what is happening now (the cur-
rent state of affairs) relative to enforce-
ment within each country as a basis to
understand their concerns and objec-
tives. The new organization needs to be
justified. What is the need for the net-
work? Links to economic development
would be helpful and useful to show how
laws and enforcement can be linked to
job opportunities. Also, a list of projects
that are underway would be useful (to
show that capacity building is underway
and the lessons learned from them).
An understanding of who is doing what
in this field would be useful to  avoid
overlapping  with the missions, objec-
tives, projects, etc., of other networks.

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
  We need to define the geographic scope
  of this new network under INECE. The
  Magreb is probably a good idea. NGOs
  should  be included. If government is
  included,  then it can get complicated.
  But, the role of government needs to be
  considered. What will the role of govern-
  ment be?
  Will this be an administrative organiza-
  tion or an NGO organization? NGOs can
  get a lot of things done and can  help
  with implementation. How will the net-
  work  operate? A  combination  of focal
  points  may be  useful. The  network
  should support NGOs at the local level
  as well as sustainable development.
  Use the  lessons learned  from other
  organizations. Also, the platforms that
  other organizations use  may be used for
  this organization  (e.g.,  the   United
  Nations Environment Programme's pro-
  gram  for climate change). There  are
  other  programs for international cooper-
  ation; we should think about using exist-
  ing structures and add this network to it.
  An enforcement network for North Africa
  is needed. But, how can we tackle the
  issue?  Developing  terms of reference
  for the development of this network may
  be a good way to organize it. The organ-
  izers  should know the local  circum-
  stances to make sure it will succeed. We
  should  think about  the issue of "infor-
  mal",  as well as look at other networks
  and see those  as experiences  and
  examples, especially  the  successful
  ones. The three countries of the Magreb
  share similar  problems. We need to
  highlight the objectives of the project, its
  benefits, and the  international support,
  both financial and technical.
 • The setting up of the  network  for the
  Magreb is not the point.  We need to start
  from  what brings us together. Lots of
  things are common.  Sustainability of the
  network is very important.  Should the
  network be multi-disciplinary or mono-
  disciplinary? Broad projects  or more
  specific projects? Network among jurists
  or lawyers? Specialized networks may
                                have a better chance of succeeding.
                                The Magreb as the basis for the network
                                is probably a good start; the network can
                                be expanded later. The field of environ-
                                mental legislation should be  the corner-
                                stone. Focus on a  specific area, but
                                determining the scope of the network is
                                important.
                                The organizers of the network should
                                look at today's program for guidance rel-
                                ative to what  the network can achieve
                                and issues to be covered.  It is up  to
                                everyone here to take the first steps.
                                Local governments should be included in
                                the network. For example, municipalities
                                in many countries are responsible for the
                                management  of municipal solid  waste,
                                and they are  therefore responsible for
                                compliance in this area.  Involving them
                                in the network would be a way to help
                                educate them about enforcement and
                                compliance issues that relate to them.
                                An example of a good network that is
                                working  in Northern Africa is the North
                                African Network of Humid Areas. They
                                rotate the coordination of the network
                                among the member  countries.  They
                                have quarterly meetings. It may be a
                                model to study.
                                A network for the Magreb that will focus
                                on environmental laws is a good idea. It
                                should also focus on shared experiences
                                and shared information. Also,  rotating
                                the secretariat, having a bi-annual con-
                                ference, making national  reports, having
                                a national coordinator, and involving rel-
                                evant  stakeholder groups can gain the
                                commitment of members for the pro-
                                gram. The network can charge fees or it
                                can be free, depending on funding. The
                                network should be developed with  local
                                (Magreb) resources.
                               - The European Union (EU)  supports a
                                regional network for Northern Africa. It
                                may be a good idea to link this new net-
                                work  with  ongoing processes  of  EU
                                standards and their networks.
                               - Efficient networks should also include
                                the private sector.

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                                                                FIELD VISITS   191
FIELD VISITS

Wednesday, 13 April 2005
       In conjunction with the Moroccan Ministry of Territory Planning, Water, and Envi-
ronment,  INECE arranged for a field trip to local sites. All participants traveled by bus to the
3 sites described below.
CIMENTS DU MAROC (CIMAR)

       In 1997, the L'Association Profes-
sionnelle des Cimentiers (APC)  (Profes-
sional Association of Cementers) entered
an agreement with the Moroccan Ministry
of the Environment. The members of the
APC (including Ciments du Maroc) agreed
to take all necessary measures to solidify
the quality objectives of the National Strat-
egy for Environmental Protection and Sus-
tainable  Development, to work with the
Environment Ministry and other  relevant
departments for rational management of
natural resources and energy, to  comply
with  national regulations relating to envi-
ronmental protection and rational resource
management, to consider an integrated
approach for protection of the air, water,
and soil,  and to limit  as much as  possible
negative  impacts on the environment. The
APC  members  signed  this agreement
because the government created a fund to
help industry clean up its pollution,  high-
lighting the potential  influence of govern-
ment-provided .economic assistance. Fol-
lowing this agreement, CIMAR voluntarily
reduced  its dust pollution and gas emis-
sions. CIMAR has also received ISO 14001
certification.

SIDI KAOUKI

       Wind energy offers excellent possi-
bilities for non-polluting electricity produc-
tion for medium to high energy needs.  It
also offers the potential to provide an elec-
tricity supply to villages located far from the
national grid, where clean energy can help
improve social and economic development.
In October 2000, Sidi Kaouki started sup-
plying electricity through a hybrid wind-
diesel system connected to a local grid at
low voltage. Sidi Kaouki makes possible a
supply of electricity to households in the
Kaouki village,  located  in the province of
Essaouira, in southern  Morocco (170 km
from Marrakech), which did not have elec-
tricity before. The wind turbines are a proj-
ect of CDER (Centre de Developpement
des  Energies Renouvelables), a govern-
ment agency  with  the  Office Nationale
d'Electricite. CDER sited a wind turbine
project here  because of the high winds in
the area, as it has done  in other windy
areas of Morocco  in an effort to  reduce
greenhouse gas and other emissions from
the process of generating electricity.

VILLAGE DES POTIERS

       Village  des Potiers (Potters' Vil-
lage), located 6 km outside of Marrakech, is
a place where local potters make and sell
their wares. Pottery artisans formerly used
biomass and tires, among other things, for
curing their products in traditional ovens.
This resulted in greenhouse gas emissions,
air pollution, forest and agriculture degra-
dation, and  a poorer quality product. An
NGO called CDRT  (Centre de Developpe-
ment de la Region de Tansift) tried to con-
vince the pottery artisans to use gas ovens
instead to address  health and air pollution
concerns, but the artisans were resistant to
change because of the expense of chang-
ing ovens. CDRT raised funds and guaran-
teed loans for the artisans to change their
ovens to gas. The first few artisans to use
the gas ovens produced a superior product

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
and  could  work  under more  conditions
(e.g., when it rains) and thus made more
money,  offsetting the  costs of the new
ovens. In fact, between the improved prod-
uct quality and efficiency and the reduced
maintenance costs, gas ovens saved the
artisans money. After the success that the
                              first few artisans had with the gas ovens,
                              many are now following in their path, with
                              the majority of artisans now using natural
                              gas ovens. As a consequence, the air qual-
                              ity in the area has improved dramatically.
                              Village des Potiers highlights the role that
                              NGOs and economic assistance can play.

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                                                               WOLTERS   193
PRESENTATION OF THE CONFERENCE STATEMENT
AND DISCUSSION OF THE FUTURE OF COMPLIANCE
AND ENFORCEMENT


SUMMARY

       Gerard Wolters, Inspector General of The Netherlands Ministry of Housing, Spatial
Planning, and the Environment (VROM)  moderated the final session of the conference.
During the closing session, Mr. Wolters described the key messages that emerged from the
conference and presented the final Marrakech Statement to the conference participants.
The participants were then invited to share comments on the results of the conference and
to share their views on the future  of compliance and enforcement.
       Following the participants' comments, short film of the conference was presented.
The film highlighted the conference message that "environmental compliance and enforce-
ment are the foundation for the rule of law, good governance, and sustainable develop-
ment," through short interviews with participants. The film also depicted the networking
opportunities provided  by the conference and showcased the culture of Marrakech.
       Following the film, Mr. Wolters paid a special tribute to Jo Gerardu, who has over-
seen INECE's dramatic evolution since its beginnings in 1990 as a bilateral exchange
between the U.S. Environmental Protection Agency (U.S. EPA) and the Dutch VROM.
Through Jo's hard work, dedication, vision, and leadership, INECE has grown into a broad
partnership of government officials, NGOs, and international organizations from all reach-
es of the globe.
       Mr. Gerardu delivered a brief set  of remarks, emphasizing the role of each of the
participants in supporting the network. Mr. Wolters concluded the conference by calling for
each participant to fulfill the commitments made during the conference and embodied in the
Marrakech Statement.
1 INTRODUCTION

       I want to thank all of you for provid-
ing us with your comments on the Co-
Chairs' Conference Statement. We think it
has come together very well and presents
a powerful statement about our message
and about the challenges and opportunities
we face.
       The Conference Committee that
worked on this statement included  Donald
Kaniaru, Antonio  Benjamin, Tony Oposa,
Ladislav Miko, Paula Caldwell, Krzysztof
Michalak, Angela Bularga, Phyllis  Harris,
Durwood Zaelke, and myself, with assis-
tance from Jo  Gerardu,  Davis  Jones,
Matthew Stilwell, and Ken Markowitz.
       The Secretariat staff  provided a
working draft to the Executive Planning
Committee and to the Conference State-
ment Committee. It was modified in sever-
al versions with assistance from all of you.
Again, we thank you for all these contribu-
tions.
       Let me recall what are in my view
the substance, the message, and the most
important part of the statement.
— Strengthening  governance  and the
   rule of law
   Sustainable development depends upon
   good governance, good  governance
   depends upon the rule of law,  and the
   rule of law depends upon effective com-
   pliance and enforcement.
— The benefits of investing in compli-
   ance and  enforcement
   Investing  in compliance and enforce-
   ment benefits the public by securing a

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
  healthier  and safer environment  for
  themselves and their children. It benefits
  individuals, firms, and others in the reg-
  ulated community by ensuring a level
  playing field  governed by clear rules
  applied in a fair and consistent manner.
  Countries benefit by  creating a  pre-
  dictable investment climate based on
  the rule of law, thereby promoting eco-
  nomic development.
— Strengthening efforts  at the domestic
  and international levels
  The need to strengthen compliance was
  recognized by heads of state  and gov-
  ernment at the 1992 Rio Earth Summit.
  Agenda 21 directs countries to enhance
  their   compliance   and  enforcement
  capacity. At the international level, coun-
  tries must respect their commitments in
  multilateral environmental agreements.
       This is the important message you
have to take home and communicate to
your colleagues, your governments, and
your organizations.

2 COMMENTS  FROM PARTICIPANTS

       INECE is a network and our real
success  is the work we  are  going to do
together. I understand that there are some
participants who would like to talk about
new initiatives that have evolved out of the
conference, so I would now like to open the
floor for comments from people who want
to make statements.
- Alberto Ninio (World  Bank):  Mr. Ninio
  commented on his support for the indi-
  cators project and complemented  the
  organization  of  the  conference  as
  "remarkable." Mr. Ninio  conlcluded by
  stating that the World Bank will continue
  to work with INECE.
— Ada  Alegre  (Ministry  of  Energy and
  Mining, Peru): "I think the success of this
  conference was based on the  excel-
  lence of the speakers and facilitators but
  especially  on the  hard  work  of  the
  INECE team. Also the origin of the par-
  ticipants from different regions  of the
  world, and the  different moments  to
                               meet each other, were very important.
                               The conference had  a good balance
                               between  law  issues  and  a friendly
                               atmosphere." Ms. Alegre concluded by
                               stating that she will work in Peru to try to
                               improve enforcement, based on lessons
                               learned  during  the  conference  and
                               experiences shared with  her  by other
                               participants.
                               Elizabeth Mrema (United Nations Envi-
                               ronment Programme): Ms. Mrema com-
                               plimented the interactive model used
                               throughout plenary panels  and work-
                               shops. Ms. Mrema also noted  the need
                               to "enhance and increase participation
                               of enforcement personnel and  agencies
                               from developing countries in future con-
                               ferences." Ms. Mrema noted that UNEP
                               will continue to  strengthen  their bond
                               with INECE.
                               Neil Davies (Environment Agency (Eng-
                               land and  Wales)): Mr. Davies praised
                               the  conference  and  expressed  his
                               enthusiasm  for  working with INECE in
                               the future on emissions trading, "in con-
                               junction with other countries,  including
                               the U.K."
                               Fouad Zyadi (Ministry of Territory Plan-
                               ning, Water and Environment, Morocco):
                               Mr. Zyadi commended the conference
                               participants  for  accomplishing  "six
                               months of work in one week."  Mr Zyadi
                               made  a  commitment to working with
                               INECE to  explore  opportunities  for
                               capacity building in Morocco.
                               Ladislav Miko (European Commission,
                               Environment DG): Dr.  Miko explained
                               that this  was his third INECE Confer-
                               ence, and that while it was great every
                               time, this  conference was the "best
                               ever".  He declared that he could  not
                               remember any other INECE conference
                               where participants got so familiar with
                               each other and had so many opportuni-
                               ties for official  and unofficial discus-
                               sions. He praised the combination of
                               plenary panels and specific workshops,
                               the active involvement of participants,
                               and the   social  program.  Overall,  he
                               described the conference as "simply a

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                                                               WOLTERS    195
great success." Dr. Miko concluded by
confirming his commitment to identify
enforcement cooperation opportunities
between the European Commission and
INECE.
Azzedine Downes (International Fund
for Animal Welfare): Mr. Downes com-
mented that he felt "quite positive about
future cooperation in developing a
wildlife enforcement network."
Tom Maslany (U.S. Environmental Pro-
tection Agency,  Ret.):  Mr. Maslany
praised the conference and commented
on the need to "collect empirical data"
about enforcement efforts.
Maria Comino (Department of Infras-
tructure,    Planning   and   Natural
Resources,  Australia):  Ms.  Comino
noted that INECE's message to the pub-
lic is capacity building. She congratulat-
ed INECE on the very successful con-
ference and invited the network to have
the 8th International Conference "down
under".
Warapong  Tungittiplakorn  (Pollution
Control Department, Thailand): Mr. Tun-
gittiplakorn thanked the organizers for
their hard work in arranging his travel to
the Conference. He  also noted that he
had "learned a lot and  met wonderful
people," and  announced  the August
2005 meeting  designed to  launch a
regional environmental compliance and
enforcement network in Asia.
Gloria Ramos (National Environmental
Action Team, Philippines):  Ms. Ramos
noted that she appreciated the develop-
ing countries'  perspectives that were
presented  in the workshops, and  that
the presence of lawyers at the confer-
ence had  been important.  "We leave
here with bigger hopes, heavier pack-
ages  from  all the  materials  we've
received, and allies in enforcement we
can call upon."
John Cruden (U. S. Department of Jus-
tice): Mr. Cruden complimented Confer-
ence Chairman  Gerard  Wolters,  and
commented,  "This is my second confer-
ence. I've met heroes, found allies, and
developed new relationships, including
with representatives from South Ameri-
ca. The most valuable item I  take home
from the conference is the email contact
list. I very much hope to continue the
friendships that have been made here."
Antonio Benjamin (Law for a Green
Planet Institute,  Brazil): Mr. Benjamin
noted that coming from a biologically
mega-diverse country  like  Brazil,  he
"would like to recognize the importance
of this conference's increased focus on
green issues.  Although INECE was
founded by a group of dedicated people
in the brown sector, it is critical for the
network to find a  balance between
brown and green issues. I think  it was
done this year." Mr. Benjamin thanked
the Executive Planning Committee  on
behalf of the Brazilian delegation.
Roberto Rodriguez   (Comision Cen-
troamericana de Ambiente y Desarrollo
(CCAD),  El Salvador): Dr.  Rodriguez
affirmed the commitment of CCAD to
continue to work with INECE.
Melissa Fourie (Department  of Environ-
mental  Affairs  and  Tourism,  South
Africa):  Ms. Fourie,  commenting  on
behalf of Ike Ndlovu,  noted  that  South
Africa is starting off with enforcement
and compliance for waste and air, and
thanked the British High Commissioner,
Clair Twelvetrees, and Sue Holland  for
their assistance in facilitating the travel
of South African participants to this
important event.
Sibusio Gamede  (Basel Convention
Regional Centre,  South  Africa): Mr.
Gamede described the conference  as
"very educative and entertaining."  He
noted that "optimism is needed for com-
pliance  and  enforcement"  and that
"capacity building is taken for granted
but we still struggle for it." He concluded
by acknowledging that he hoped there
will be more participants from Africa at
the next conference.
Albert Koehl  (Sierra  Legal  Defense
Fund, Canada): Mr. Koehl stated, "this

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
  was a fabulous opportunity and I plan to
  keep in touch with these dedicated and
  passionate participants to further devel-
  op ideas from the conference."
  Krzysztof Michalak  (Organisation for
  Economic Co-operation and Develop-
  ment): Mr. Michalak made three points
  in his comments: (1) as embodied in the
  Conference  Statement,  enforcement
  and compliance are crucial tools to build
  and support  good  governance; (2)
  another point  that emerged from the
  conference was that countries  have
  responsibilities to comply; and (3) the
  conference provided many valuable net-
  working  opportunities for discussing
  new issues and what to do. Mr. Michalak
  concluded, "I look forward to using these
  tools and to the next conference."
  Palamagamba Kabudi  (Institutional
  and Legal Framework for Environmental
  Management Project, Tanzania): In his
  remarks,  Mr. Kabudi expressed the sen-
  timent that "I  am  because you  are",
  appreciative of the exchange  of ideas
  that occurred during the conference. He
  also said, "African optimism says 'make
  the eagle rise up, and see the horizons',
  which  has optimism. Success stories
  say that we should be optimistic and not
  despondent. Capacity building is  not a
  thing we take for granted, but something
  we strive  for. We expect that representa-
  tion of Africa will be much more preva-
  lent in future INECE conferences."
  Renzo Benocci (Environment Canada):
  Mr. Benocci thanked Paula Caldwell for
  significantly  expanding the Canadian
  delegation that attended this  confer-
  ence, in comparison to previous ones.
  Hocine Benyahia (National Federation
  for the Protection of  the Environment,
  Algeria):  Mr.  Benyahia, who is  part of a
  small nongovernmental organization in
  Algeria, described  the unique learning
  experience that the conference provid-
  ed, and hoped that this was not the last
  one.
  Linda Duncan (Consultant on Environ-
  mental Law & Policy, Canada): Ms. Dun-
                               can complimented the conference par-
                               ticipants on stepping beyond the lines
                               defining what groups they represent to
                               form a true cooperative enforcement
                               network.
                                    Gerard  Wolters concluded  the
                             remarks by thanking the participants for
                             their comments.

                             3 THANKING THE CONFERENCE
                              STAFF, HOSTS, AND PARTICIPANTS,
                              PRESENTED BY GERARD WOLTERS

                                    There are also several others who
                             were critical to making this conference a
                             success. First and foremost, I would like to
                             thank the  INECE  Secretariat  staff, who
                             worked night and day this week to make
                             this conference  happen: Ken Markowitz,
                             Marcy Markowitz,  Dave Grossman, Scott
                             Stone,  Meredith  Reeves, Aesah Javier,
                             Mike Frizzell,  Melanie Nakagawa, Linda
                             Massopust, Davis  Jones of the US EPA,
                             and, of course, Durwood Zaelke.
                                    I would also like to thank our hosts
                             here in Morocco for all of their efforts. In
                             particular, I would like to thank Fouad Zyadi
                             and Naima Oumoussa and others with the
                             Moroccan  Ministry of Territory Planning,
                             Water and the Environment.
                                    Special thanks must be given to
                             Mohamed Rida Derder,  the North African
                             Counsel with the INECE Secretariat and a
                             jack-of-all-trades who arranged  the sub-
                             stance of  the  regional  conference and
                             many of the logistics of this conference,
                             and who helped many of you get your lug-
                             gage back.
                                    And, of  course, I would like to
                             extend thanks to the hotel staff.  The hotel
                             managers and staff have made our stay
                             here very enjoyable and have gone out of
                             their way to accommodate our requests.
                             We appreciate all of their efforts.
                                    Also I would like to thank all the
                             speakers, moderators, facilitators, and rap-
                             porteurs who contributed to the success of
                             our conference. And of course this also
                             refers to all those  who have been  instru-
                             mental to the success of the Regional Con-
                             ference on Saturday and those who were

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                                                                WOLTERS   197
facilitating the Principles  of Compliance
and Enforcement Executive Course.
       Finally, friends and colleagues, I
would like to thank all of you for participat-
ing in this conference and sharing your
thoughts  and  insights.  INECE will benefit
from all your valuable input during plenary
sessions and all the workshops. You all are
the stars of this conference.
       Of course, you are also the stars of
the film by Douglas Varchol, which will cap-
ture the story of this conference and the
stories of some of its participants. I thank
Douglas for his efforts this week to compile
a documentary film for us about the confer-
ence. Douglas is a filmmaker, not a film edi-
tor, so the edits will take  place over the
coming weeks. But he has kindly agreed to
show a short  preview,  which we  will now
see. Enjoy.

4 JO GERARDU'S CLOSING
  COMMENTS, PRESENTED BY
  JO GERARDU

       What is there to say after this draft
of an Oscar nominee? I want to thank you
for all the compliments that have been
addressed to me for my activities  as an
INECE participant. I want to make three
remarks but do not worry;  I'm not keeping
you away from your lunch for long.
       In 1989, in Washington,  D.C., there
were three of us: Cheryl  Wasserman of
U.S. EPA, Bert Metz of the Royal  Dutch
Embassy, and  myself. We  met  at an
exchange program  on compliance  and
enforcement between  the U.S. EPA  and
our Ministry of VROM. At that moment, we
decided to follow our idea to organize  a
larger exchange meeting in Utrecht in 1990
with  participants of  other countries  and
organizations. Our bosses agreed with our
ideas and this was the moment INECE was
conceived,  and you demonstrated this
week how well this idea has been growing
and has matured.
       INECE is a success not only due to
the work we were able to do. You can be a
very good photographer but if there is noth-
ing in your picture you have no results. I
feel the same about INECE; you as partici-
pants are INECE, you are the network, and
I'm proud to be part of your network.
       I want to thank Gerard for the pos-
sibilities he gave me to work for INECE
over the years. Most of all, I want to thank
my wife Marij, who never really complained
when I was again  abroad. She too made
this happen.
       I end with a phrase out of a song of
the Rolling Stones: "INECE I'm gonna miss
you". Thank you  all and good luck.

5  FINAL REMARKS, PRESENTED BY
   GERARD WOLTERS

       We worked hard but enjoyed our-
selves. We have renewed old friendships
and made new ones. I hope this confer-
ence has been as rewarding for all of you
as it has been for  me. But we must not.
allow the experiences of this week to be
confined to this week only. Let this confer-
ence be a catalyst for further action. I want
to recall to you the words of Phyllis Harris,
one of our Co-chairs, that INECE is not the
Executive Planning Committee,  nor is
INECE the Secretariat, but INECE is all of
you.
       So to all  of you: LENAFTAHH
ABUWAB (A)TTAA-WOON (Arabic for "Let
us open the doors of partnership")
       Again, I  thank you all and have  a
safe trip home.  And with  these words, I
declare the 7th INECE International Con-
ference on Environmental Compliance and
Enforcement closed.

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198          SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                              EVALUATION OF INECE's 7TH INTERNATIONAL CONFERENCE   199
EVALUATION OF INECE'S 7th INTERNATIONAL CONFERENCE
1 INTRODUCTION

       The 7th INECE Conference was
attended by 188 participants from 63 coun-
tries and 124 organizations, representing
all regions of the  world. The Conference
presented six plenary sessions with 25
speakers, and 24 workshops with 83 facili-
tators and rapporteurs. Participants repre-
sented national governments (55%), NGOs
(9%), regional governments (6%), interna-
tional organizations (15%), bank and devel-
opment agencies (5%) and other organiza-
tions (10%).
strengthening the rule of law and good gov-
ernance and, ultimately, achieving sustain-
able development objectives.
       The Conference program achieved
its  best  marks  in encouraging ongoing
international exchange and regional net-
working,  fostering exchange of expertise
and learning through active participation,
number of participants, relevance of the
conference to  current work, and useful-
ness.  Lowest marks (between Good and
Very Good) were given to the number and
types of countries represented and the site
visits.
Geographic Regions Represented


Africa
Asia & the Pacific
Central & Eastern Europe
Central America
South America
International
Middle East & North
Africa
North America
Western Europe

Total
Participants
No.
10
8
19
2
8
35
35
39
32

188
%
5.3
4.3
10.1
1.1
4.3
18.6
18.6
20.7
17.0

100














Organization Types Represented


National Government
International Organizations
Non-governmental Organization
State/Province/Regional Gov't
Banks and Development Agencies
Municipal/Local Government
Unspecified
Other


Total
Participants
No.
103
29
16
11
9
0
1
19


188
%
54.8
15.4
8.5
5.9
4.8
0.0
0.5
10.1


100
2 SUMMARY OF THE
  EVALUATION OUTCOMES

       Of the  188 participants, 103 com-
pleted conference evaluations. Participants
overwhelmingly provided high  marks for
the Conference. The average  rating for
most questions ranged between Excellent
and Very Good.
       They expressed  high satisfaction
with the conference. Participants  expressed
their greatest approval for the conference
goal of developing and communicating a
strong message on the critical role of envi-
ronmental  compliance and enforcement in
        The three conference workshop
sessions and six plenary sessions were
very well received, with high approval rat-
ings. Overall, the participants were enthusi-
astic about the  substantive sessions, the
opportunities for networking, and the Con-
ference as a whole, as indicated by the nar-
rative comments that participants shared
on the evaluation,  including:
— "An excellent forum for collective learn-
   ing among compliance and enforcement
   professionals."
— "A fine conference providing great sub-
   stantive value."

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200
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
  "I think the success of this conference
  was based  on the excellence of the
  speakers and facilitators.... Also, the ori-
  gin of the  participants from  different
  regions of the world and  the  different
  moments to  meet each other were very
  important."
  "The conference has given me a clear
  picture of what  needs to be  done to
  achieve effective enforcement in South
  Africa."
  "I learned a lot and feel motivated to
  fight for the defense of the environment.
  Besides that, I met many people with
  whom  I had the opportunity to exchange
  experiences."
  "An  excellent  conference.   I  have
  renewed contacts, made new contacts,
  and most importantly, feel  energised to
  do more in the future for effective com-
  pliance and enforcement."
  "On Sunday, I participated  in the Princi-
  ples of  Environmental  Enforcement
  Training course. This course stimulated
  me to organize training for inspectors in
  my country."
                              — "I do not remember any other confer-
                                ence I attended where participants got
                                so familiar with each other and had so
                                many opportunities for discussion - in
                                official and unofficial ways."
                              —  "It has been a pleasure to be part of the
                                7th INECE Conference, and I'm looking
                                forward  to putting  some of lessons
                                learnt into practice."
                              — "I am very glad that I had the opportuni-
                                ty to meet so many experts from differ-
                                ent countries  and to share their experi-
                                ence and knowledge."

                              3  RESULTS

                                     Each   Conference   participant
                              received a blank evaluation form and was
                              asked to complete it prior to their departure
                              from the Conference. Most questions on
                              the  evaluation  could  be  answered by
                              assigning  a number between 1 and 5 as
                              the response, where 1=Excellent, 2=Very
                              Good, 3=Good,  4=Fair,  and 5=Poor.  This
                              section  presents the original evaluation
                              questions and shows the average rating for
                              each evaluation question.
SECTION 1: CONFERENCE GOALS
1.1
1.2
1.3
1.4
How did you feel about the conference's goal of developing and
communicating a strong message on the critical role of environmental
compliance and enforcement in strengthening the rule of law and good
governance and, ultimately, achieving sustainable development
objectives?
How successful did you feel the conference was in achieving this goal?
How did you feel about the conference's goal of strengthening the
capacity of governments, development banks, and other institutions to
measure and manage the effectiveness of their compliance assurance
and enforcement activities by launching new environmental compliance
and enforcement indicator pilot projects that build upon the experiences of
current initiatives?
How successful did you feel the conference was in achieving this goal?

1.51
1.81
1.97
1.97

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EVALUATION OF INECE's TTH INTERNATIONAL CONFERENCE    201
1.5
1.6
1.7
1.8
How did you feel about the conference's goal of inspiring new enforcement
cooperation projects on issues of pollution, natural resources, and
biodiversity, and creating plans that set forth clearly defined goals, project
partners, funding strategies, and implementation?
How successful did you feel the conference was in achieving this goal?
How did you feel about the conference's goal of facilitating professional
development within the compliance community and discussing the best
compliance and enforcement tools, techniques, and theories from around
the world, identifying key research and data collection needs?
How successful did you feel the conference was in achieving this goal?
1.83
2.11
1.67
1.96
SECTION 2: ASSESSMENT OF THE CONFERENCE
2.1 How successful do you feel the conference was in:






Shaping and confirming the role that INECE will play in the future?
Forming effective partnerships among those working in compliance
and enforcement?
Increasing institutional capacity to enhance existing and develop new
environmental compliance and enforcement programs?
Serving all people involved in the design of environmental compliance
and enforcement programs?
Encouraging ongoing international exchange and regional networking?
Fostering exchange of expertise and learning through active
participation?
1.82
1.74
2.13
2.04
1.45
1.61
2.2 Concerning the participants at the conference, how do you feel about:




The number of individuals in attendance?
The number and types of countries represented?
The number and types of organizations represented?
The mix of experience?
1.68
2.41
2.13
1.83
2.3 Concerning the structure of the conference, how do you feel about:




The optional p re-conference training workshop on Principles of
Environmental Compliance and Enforcement?
The balance between Panels and Workshops?
The site visits?
The length of the conference?
1.74
1.79
2.61
1.99

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202
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
2.4




Concerning the usefulness of the conference, how do you feel about:
The relevance of this conference to your current work or functions?
The extent to which you have acquired information that is new or useful
to you?
The focus of this conference on what you specifically needed or
wanted to learn?
The overall usefulness of the conference?

1.60
1.74
1.91
1,60
SECTION 3: DAY ONE — SPECIFIC CONFERENCE PLENARY THEMES AND TOPICS —
MONDAY MORNING
Opening Plenary Session: Building Blocks of Good Governance
3.1 Panel 1 - Relationship between Good Governance and Environmental Compliance and
Enforcement



Usefulness of material?
Mix of topics covered on panel?
Opportunity for discussion?
1.90
1.78
1.90
3.2 Panel 2 - The Compliance and Enforcement Message



Usefulness of material?
Mix of topics covered on panel?
Opportunity for discussion?
End of Day Plenary (after workshops)
3.3 Report out of workshop sessions


Usefulness of material?
Opportunity for discussion?
1.87
1.84
2.03

2.16
2.45
SECTION 4: DAY ONE — WORKSHOPS — MONDAY AFTERNOON
Please evaluate the workshop that you attended in Session 1 :

1A Economic Aspects of Compliance and
Enforcement
1B Compliance Incentives and Other
Assistance
1C Ecomessage/lnterpol and the Police
Was the discussion
valuable?
1.86
1.67
1.58
Were your
expectations met?
2.25
1.75
1.92

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EVALUATION OF INECE's TTH INTERNATIONAL CONFERENCE   203
1D
1E/F
1G
1H
11
Compliance and Enforcement Theories and
Design Principles
Certification, Information Management, and
Self-Monitoring
Good Governance and the Rule of Law
Communications Policy and Practice
Citizen Participation in Environmental
Enforcement
2.08
2.00
1.55
1.50
1.33
2.92
2.00
1.60
1.75
1.67
SECTION 5: DAY TWO — SPECIFIC CONFERENCE PLENARY THEMES AND TOPICS —
TUESDAY MORNING AND AFTERNOON
5.1 Panel 3 - Enforcement Initiatives: Stories of Success



Usefulness of material?
Mix of topics covered on panel?
Opportunity for discussion?
1.75
1.65
1.88
5.2 Panel 4 - Environmental Compliance and Enforcement Indicators: Measuring
Performance, Managing Resources



Usefulness of material?
Mix of topics covered on panel?
Opportunity for discussion?
1.89
2.03
1.99
End of Day Plenary (after workshops)
5.3 Roundtable discussion from Indicator Workshops


Usefulness of material?
Opportunity for discussion?
2.07
2.28
5.4 Report out of workshop sessions 2E - 21


Usefulness of material?
Opportunity for discussion?
2.12
2.37
SECTION 6: DAY TWO — WORKSHOPS — TUESDAY AFTERNOON
Please evaluate the workshop that you attended in Session 2:

2A ECE Indicators: Getting Started
Session A-1
Was the discussion
valuable?

2.00
Were your
expectations met?

2.40

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204
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Session A-2
Session A-3/4
2B Criminal Law and Environment: Prosecutors,
Inspectors, Police, and NGOs
2C Role of the Courts, Non-governmental
Organizations, and the Press: Climate
Litigation Case Study
2D Guidance and Manual on Compliance with
and Enforcement of MEAs
2E Wildlife Enforcement Network
2F Negotiated Compliance Agreements
1.82
1.69
1.62
1.40
1.70
2.00
1.88
1.95
1.64
1.85
1.50
1.80
2.13
1.86
SECTION 7: DAY THREE — FIELD VISITS — WEDNESDAY

Village Des Potiers
Ciments du Maroc (CIMAR)
Sidi Kaoki (Wind Power)
Quality of
case
study?
2.76
2.77
3.31
Quality of
presentation
and tour?
3.14
2.89
3.64
Usefulness of
field visit?
2.94
3.15
3.50
SECTION 8: DAY FOUR — SPECIFIC CONFERENCE PLENARY THEMES AND TOPICS
— THURSDAY MORNING AND AFTERNOON
8.1 Panel 5 - Strengthening the Implementation of MEAs



Usefulness of material?
Mix of topics covered on panel?
Opportunity for discussion?
1.95
1.87
2.05
 SECTION 9: DAY FOUR WORKSHOPS — THURSDAY AFTERNOON
 Please evaluate the workshop that you attended in Session 3:

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EVALUATION OF INECE's 7m INTERNATIONAL CONFERENCE    205

3A Water Resource Management: Governance
to Eliminate Poverty
3B Vessel Pollution
3C Hazardous Waste at Ports
3D Analyzing the Compliance and Enforcement
Mechanisms of the Montreal Protocol
3E Enforcement of Emissions Trading Programs
3F Illegal Logging: Regional Strategies for
Enforcement Cooperation
3G Penalties and Other Remedies
3H Multilateral Environmental Agreements:
Synergies for Compliance
Was the discussion
valuable?
2.10
1.17
1.63
1.71
1.86
1.00
1.25
1.65
Were your
expectations met?
2.30
1.00
1.75
1.50
2.00
1.33
1.25
1.88
SECTION 10: DAY FIVE — PLENARY SESSIONS — FRIDAY
10.1 Panel 7 - Compliance and Enforcement in the Context of Multilateral Development
Banks



Usefulness of material?
Mix of topics covered on panel?
Opportunity for discussion?
1.90
1.85
1.83
10.2 Video


Usefulness of video contents?
Do you feel it provided a good overview of the conference?
2.16
2.23
10.3 Presentation of Conference Statement


Appropriateness of the statement?
Do you feel this reflects the purpose and goals of INECE?
1.71
1.63
10.4 Closing Ceremony Session

How do you feel about the closing session?
1.74
SECTION 11: EXHIBITS

UNEP
VROM
USEPA
Were the topics
of interest to
you?
2.16
1.84
1.92
Productive
exchange of
information?
2.16
1.93
2.04
Quality of the
exhibit material?
2.04
1.61
1.81
Availability of
materials?
2.19
1.68
2.08

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206
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
CEC
Environment
Agency
OECD
World Bank
Institute
IFAW
IMAZON
Others
2.23
2.00
1.91
2.42
2.45
2.53
2.00
2.21
2.08
2.03
2.28
2.33
2.41
2.00
2.03
1.95
1.81
2.13
2.09
2.24
1.94
2.00
1.95
1.96
2.21
2.15
2.24
1.96
SECTION 12: ORGANIZATION OF THE CONFERENCE








City Location
Schedule (workshops, free time, other)
Speakers
Service desk
Chez Ali cultural event
Cornptoir Restaurant outing
Contact with Executive Planning Committee
Availability of Conference Staff
1.44
1.72
1.58
1.69
2.16
1.52
1.82
1.40
4 CONCLUSION

       In conclusion, the participants expressed strong support for the organization and
outcomes of the 7th International Conference on Environmental Compliance and Enforce-
ment. Participants strongly supported the Conference goals and praised the Conference for
providing many opportunities for networking between participants facing similar challenges
in improving enforcement in their respective countries. Participants also complimented the
organizers for bringing together an impressive group of speakers, all of whom are leading
practitioners in the fields of environmental compliance and enforcement. The Executive
Planning Committee will carefully study the numerical results and narrative comments from
the evaluations. The lessons learned will be used to improve and shape future conferences
and recommendations made by participants for INECE projects will be reviewed and incor-
porated into INECE's expanded Strategic Plan.

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                                               BULARGA, KORCHEVSKY, SlRENDI   207
RAISING INDUSTRY'S ROLE IN THE FIELD OF
ENVIRONMENTAL COMPLIANCE ASSURANCE:
ELEMENTS OF REFORM IN KAZAKHSTAN

BULARGA, ANGELAS KORCHEVSKY, ANDREY,2 and SlRENDI, AARE3


1 Project Manager, Environment Directorate, Non-Member Countries Division,
 Organisation for Economic Cooperation and Development (OECD),
 angela.bularga@oecd.org.
2 Project Expert, Executive Director of the Centre for Health Protection and
 Environmental Projects, Kazakhstan
 health@nursat.kz
3 Project Expert, former staff of the Estonian Environmental Inspectorate, Estonia
 aare.sirendi@kki.ee

OECD, 2 Rue Andre-Pascal, 75775 Paris Cedex 16, France
SUMMARY

       Assisting transition economies in the region of Eastern Europe, Caucasus, and
Central Asia to better align environmental policy development and implementation is the
core objective of the Regulatory Environmental Programme Implementation Network (com-
monly referred to as REPIN). The Network facilitates access to best practices of environ-
mental management and compliance assurance and implements pilot projects in individual
countries of the region. Raising industry's responsiveness to the regulatory environmental
compliance assurance program in Kazakhstan is one such pilot projects. Its results are pre-
sented in the current article.
1 INTRODUCTION

       Over the last decade, the regulated
community in the Eastern Europe, Cauca-
sus, and Central Asia region, as in other
regions, has become subject to new instru-
ments of environmental policy that create
incentives to  comply  with regulatory
requirements or go beyond such require-
ments.  In some cases, fervent discussions
around new instruments, in particular vol-
untary  approaches, eclipsed the need to
assess the effectiveness of,  and reform,
more traditional instruments, including self-
monitoring, self-reporting, and self-correc-
tion. To address this need, a pilot project
was launched  in Kazakhstan under  the
framework of REPIN.
 DEFINITION OF "ENVIRONMENTAL
 SELF-SUPERVISION"

       One of the first challenges within
the project in Kazakhstan was to find a syn-
thetic term that would best reflect the sys-
tem of mandatory actions by the regulatees
to  ensure their own compliance with regu-
latory requirements (most often known as
"self-monitoring"). The project team pro-
posed to use the term "environmental self-
supervision" and defined it as a system of
organizational and technical measures, put
in  place and financed by regulatees, sub-
ject to environmental permitting or general
binding rules in the field of environmental
protection, in order to ensure their own

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208
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
compliance  with  environmental require-
ments. This includes:
— monitoring of (i) operations; (ii) emis-
   sions of pollutants regulated by permits
   or general binding rules; (iii) ambient
   conditions in the vicinity of the facility
   concerned - with a scope  that would
   balance environmental  effectiveness
   with costs of monitoring;
— record-keeping of data obtained through
   monitoring of any unforeseen  circum-
   stances, non-compliance episodes, cor-
   rective measures, and complaints from
   the general public;
— providing  reports  to the  competent
   authorities - in mandated cases, with a
   specified regularity, and in a duly aggre-
   gate form;
— undertaking other measures, such as
   assigning environmental responsibilities
   throughout the whole chain of manage-
   ment,   providing basic environmental
   training, performing self-inspection, and
   implementing self-correction  actions.

3  BENEFITS OF ENVIRONMENTAL
   SELF-SUPERVISION

       For the regulated community, reli-
able data on emissions and the environ-
mental impact of their production can have
significant value from an economic view-
point. For example, such data can help to
better  identify and reduce environment-
related costs (that can be as  high as 30
percent  of  operational  costs in some
branches), and minimize environmental lia-
bilities. Disclosure of facility-specific data
and comparison between enterprises with-
in the same industrial sector, or with inter-
national benchmarks, can further indicate
where  cost-savings are possible. Further-
more, access to other companies' facility-
specific data can build trust within indus-
tries that the government is targeting to
ensure a level playing field.
       The other primary benefits include
the possibility of ensuring the earliest pos-
sible response to any environmental prob-
lem occurring because of malfunctions in
                              production  processes and, at the same
                              time, reduce public spending on govern-
                              mental compliance monitoring. Self-super-
                              vision data can provide a basis for verifica-
                              tion of compliance with legal requirements
                              and enforcement and for calculation of var-
                              ious charges. The program can also help to
                              optimize national, regional, and local ambi-
                              ent monitoring systems and establish prior-
                              ities for inspection.
                                     Disclosure  of facility-specific data
                              can help citizens to take individual deci-
                              sions  that affect not only their health, but
                              also economic well-being, such as where to
                              buy property.  Worldwide, the social rele-
                              vance of self-supervision is growing due to
                              higher public  access  to  environmental
                              information, in particular in light of estab-
                              lishment of national Pollutant Release and
                              Transfer Registers.
                                     While there are many other bene-
                              fits of self-supervision, they will be har-
                              nessed only if its results are actually used
                              by stakeholders within decision-making
                              processes. Data collection for the  sake of
                              data will lead, most likely, to an erosion of
                              the system's value.

                              4  DESIGN OF ENVIRONMENTAL
                                 SELF-SUPERVISION IN
                                 KAZAKHSTAN

                                     In Kazakhstan, environmental self-
                              supervision has a long history at the largest
                              industrial facilities - some of  the oldest
                              enterprises reported establishing such pro-
                              grams in the mid-1970s. The design of self-
                              supervision has many  positive elements
                              that correspond to good international prac-
                              tice, but some  of its weaknesses and  its
                              poor  links  with the new  economic  and
                              social context diminish  its potential bene-
                              fits.

                              4.1    Strengths
                                     The obligation for industrial opera-
                              tors to conduct self-supervision is indicated
                              in  the Law on Environment  Protection,
                              which is a very positive characteristic of the
                              Kazakh regulatory framework. Also, legal
                              stipulations exist in the Administrative and

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                                                   BULARGA, KORCHEVSKY, SlRENDI   209
Penal Codes to minimize the possibility of
fraud and negligence within self-supervi-
sion program implementation. The second-
ary legislation gives further guidance on
approaches and procedures of self-super-
vision. In conjunction with a stronger focus
on the integrity and professionalism of staff
who develop secondary  legislation,  this
model of regulating self-supervision could
be  very effective.  It provides  sufficient
scope to adjust in a timely manner to any
new transition challenges and to gradually
develop  and  tighten regulatory  require-
ments without compromising the goals of
social and economic development.
       The regulated community (in  prac-
tice, the largest facilities) is in charge of
developing  individual multi-media  self-
supervision programs and  of presenting
them for approval to the competent author-
ities. The obligation to conduct self-supervi-
sion applies regardless of ownership; uni-
form  self-supervision requirements are
established for public and private compa-
nies. Enterprises ("natural resource users")
bear  full  responsibility  for  implementing
self-supervision programs and provide the
necessary expertise, equipment, and ana-
lytical  facilities.  Sometimes services are
obtained on a sub-contract basis. Results
of self-supervision  are communicated to
competent authorities through regular sta-
tistical reports or immediately in the case of
emergency  situations or  accidents. The
costs of self-supervision  are met by the
enterprise.
       The  government  of Kazakhstan
regulates the functioning of these systems
through certification of laboratories, annual
approval  of programs,  inspection,  etc.
Competent authorities are allowed to use
self-supervision data in law enforcement
against violators; this approach is widely
used, in particular due to scarce resources
available to competent authorities to con-
duct compliance monitoring.
       Finally,  non-governmental organi-
zations and the  general  public  voice
demands to have access to facility-specific
environmental information. This is backed
up  by  Kazakhstan's ratification of the
Aarhus Convention and  signature of the
Kiev Protocol on Pollutant Release and
Transfer Registers.
4.2
Weaknesses
       While the self-supervision system
has the potential to be very effective, it is
undermined by a number of problems, such
as:
— gaps and  conflicts in laws and regula-
   tions, including a poor definition of basic
   concepts;
— lack of clarity in the mandated scope of
   self-supervision;
— insufficient attention to quality assur-
   ance and quality control;
— assessment of self-supervision perform-
   ance,  based on the existence of a spe-
   cific organizational form, i.e., of an envi-
   ronmental unit within an industry,  rather
   than on the quality of  self-supervision
   programs  and outcomes of their  imple-
   mentation;
— continuing  low  mutual  trust between
   public authorities and industry;
— poor laboratory facilities of both regulat-
   ed industries and competent authorities;
— lack of mechanisms to  disclose facility-
   specific data and take into consideration
   the interest of the general public while
   designing  self-supervision programs;
— limited coordination between different
   departments  and sub-divisions  of the
   Ministry of Environment Protection on
   matters of self-supervision due to their
   focus on carrying out very specific func-
   tions mandated in legal  acts.
       The incoherence of the legal basis
in allowing the  existence of two similar
terms with blurred definition - self-supervi-
sion and  self-monitoring - creates  much
confusion among the regulated community.
Frequently, self-monitoring is understood
as the instrumental measurement of emis-
sions or ambient quality, while self-supervi-
sion means the decision-making process
following self-monitoring. In addition  to this
interpretation, it is also common to under-
stand self-supervision as emission monitor-

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
ing and self-monitoring as ambient monitor-
ing (i.e., the monitoring of soil, air, or water
quality).
       Competent authorities often con-
sider that industries  have to monitor the
maximum possible number of parameters
without balancing the  scope of self-supervi-
sion with inherent costs. At the same time,
competent authorities do  not have ade-
quate resources to keep track of and ana-
lyze the information received from industry.
This leads to a situation in which industries
create a superficial  mechanism  of self-
supervision disconnected from the overall
management system  and therefore of little
value beyond  mandatory reporting. Con-
trary to international  practices, in order to
verify compliance, the values of parame-
ters monitored by operators are compared
with  historic (inventory) emission levels,
rather than the permit conditions.
       The quality of self-supervision data
raises doubts for a  number of reasons.
There is  no statutory procedure to ensure
the integrity of sampling, sample preserva-
tion,  transportation,   and  analysis.  The
robustness and  reliability  of  calculation
methods are often challenged due to a high
level of uncertainty and absence of quality
control and quality assurance. There is evi-
dence of major discrepancies between the
measurements made by the state analyti-
cal laboratories  and  enterprise laborato-
ries. Quality problems with laboratory tests
often lead to controversy, which sometimes
has to be resolved in court. Consequently,
both the industries  and  the  competent
authorities incur additional administrative
costs.

5  PROPOSED ELEMENTS OF
   POLICY REFORM

       There  is a need for reforming the
current system of self-supervision in Kaza-
khstan. Most importantly, its obsolete legal,
institutional, and  technical characteristics
have to be addressed and the quality and
use of data for decision-making should  be
enhanced. The need  to reform the existing
system is recognized  by various stakehold-
ers,  including  governmental  authorities,
                              industry, and the general public. It is recom-
                              mended that the reform aim at the following
                              key outcomes:
                              — unambiguous definition of basic con-
                                cepts and improved legal basis;
                              — differentiated scope of self-supervision
                                for large industries and Small and Medi-
                                um-Sized Industries, and its link to per-
                                mit conditions or general binding rules;
                              — clear requirements on the content of
                                self-supervision programs;
                              — longer validity of self-supervision  pro-
                                grams, with a possibility to amend them
                                when necessary, and the introduction of
                                post-closure requirements;
                              — combined use of various types of moni-
                                toring (direct and indirect monitoring;
                                operational, emission,  and impact moni-
                                toring) within self-supervision programs,
                                abandoning the practice of all-encom-
                                passing impact monitoring, and accept-
                                ance of various organizational forms of
                                self-supervision  to  better  suit  the
                                resources available to particular  cate-
                                gories of enterprises;
                              — reliable approaches to setting regimes
                                of monitoring and optimization of  self-
                                supervision costs;
                              — uniform requirements  for quality assur-
                                ance and a strategy to ensure data qual-
                                ity;
                              — efficient data management, reporting,
                                and  a meaningful  use of information in
                                decision-making, including self-correc-
                                tion  actions;
                              — regular review and use by authorities,
                                and  public scrutiny of self-supervision
                                data;
                              — better use of self-supervision data for
                                inspection and enforcement, in parallel
                                with the development of the incentive
                                framework for regulated  industries to
                                comply  with self-supervision require-
                                ments.

                              6 MANAGEMENT OF THE TRANSITION

                                      A transition period (seven to eight

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                                                  BULARGA, KORCHEVSKY, SlRENDI   211
years) should be envisaged for improving
self-supervision, with the adoption  of an
intermediate model, which would facilitate
the step-by-step achievement of feasible
objectives and bring the system closer to
international practices. This will need to be
fully coordinated with the process of imple-
mentation of requirements under the Kiev
Protocol on Pollutant Release and Transfer
Registers  (PRTR).  During the transition
period, internal financing of  proposed
measures (Ministry  of Environmental Pro-
tection's (MEP)  budget and budgetary pro-
grams) could be matched with external
technical assistance.

6.1    Improving the Legal Basis
       In the short term  (one  year), the
MEP will need to propose amendments to
the existing legal basis in order to strength-
en the foundations  of self-supervision.  In
this context, the definition of self-supervi-
sion, its elements and forms will need to be
clarified,  the  differentiated   approach
towards large industry and Small and Medi-
um-Sized  Enterprises  enacted, and the
powers of the competent authorities stipu-
lated  more precisely. The Administrative
and Penal Codes  will  also need to be
amended. Good laboratory practice and
other process-relevant requirements need
to be mandated in  secondary legislation.
The quality of legal amendments will need
to be monitored intensively, based on feed-
back from  practice during a period of two to
three years, with a view to further improving
the legal basis, if necessary.
       The development and approval of
a thematic chapter  for the Environmental
Code  (foreseen  for 2007)  should  be
finalised through a wide stakeholder con-
sultation process.  In this context, the MEP
staff need to understand that directly man-
dating self-supervision and determining its
elements in great detail may restrict future
developments in the field concerned. It also
can be a serious impediment for correcting
the design of self-supervision, if the primary
legislation is not exact or misleading. How-
ever, legal requirements of direct applica-
tion may be more easily enforceable and
have  a stronger impact  on compliance
behaviour  than  requirements  imposed
through secondary legislation.
       An important task is to link  the
reform of self-supervision with the reform of
permitting  and introduction of differentiated
requirements for large industry and other
members of the regulated community (see
also the Guidance on Integrated Environ-
mental Permitting for Eastern Europe, Cau-
casus, and Central Asia). A good step  for-
ward is the development of the List of Envi-
ronmentally  Hazardous  Installations in
Kazakhstan,  although  the categories of
installations identified in the List need  fur-
ther definition,  in particular as concerns
production thresholds.  To further develop
this List, it is suggested that the  MEP uses
the list of categories in Annex I of the Euro-
pean Union's  Directive on Integrated Pollu-
tion Prevention and Control and the Scope
of the PRTR Protocol as a starting point.

6.2    Addressing Institutional Issues
       As a  matter of immediate priority,
the MEP should strengthen communication
and cooperation between its departments
and other sub-divisions that contribute to
the reform and functioning of self-supervi-
sion. This includes, first  of all, the State
Committee for Environmental Control,  the
Department  for  State   Environmental
Review and Licensing, the  Department of
Environmental Policy, and the Department
of Legal and International Affairs. Focus
should be  put on developing procedures of
data sharing and joint decision-making,
including:
— coordination of any plans to develop
   secondary legislation and guidance for
   industry to conduct self-supervision;
— mandatory  review of permit require-
   ments (or  stand-alone self-supervision
   programmes) by other Departments and
   the State Committee for Environmental
   Control;
— immediate feedback from inspection to
   permit-writers;
— establishment of a database on compli-
   ance history of facilities (including permit

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
   applications, permit documents, reports
   from site visits, reports from the facility,
   etc.) that would  be accessible  for all
   government stakeholders and easy to
   use;
— regular and ad-hoc coordination meet-
   ings.
       In order to facilitate the work of reg-
ulators and  inspectors, the MEP should
develop general and sector-specific techni-
cal guidance  that  would describe the
mandatory and desirable elements of self-
supervision within a branch. This could be
based  on the consultative  guidance docu-
ment, developed by the EAP Task Force
Secretariat within the demonstration proj-
ect in Kazakhstan. Such guidance should
be  widely available  and disseminated
through all means,  including through the
MEP's website.
       Training will be necessary for vari-
ous stakeholders to better understand the
design of modern self-supervision systems.
A training course could be included in the
programme delivered by the National Train-
ing Centre under MEP, based on materials
developed within the demonstration proj-
ect.
       Establishing a powerful information
system to share data reported by operators
and make them available to the general
public  can  greatly contribute towards
increasing the  value added of self-supervi-
sion. This should be done within the frame-
work of implementation by Kazakhstan of
the Kiev protocol on PRTRs. Also the MEP
may want to  adopt electronic reporting
within the framework of the e-government
introduction.

6.3    Improving Laboratory
       Infrastructure and Practice
       The government will need to pro-
mote and support the creation of reference
laboratories and  analytical centers, and
their participation in the international inter-
calibration, training, and certification of per-
sonnel. This could include the improvement
of both the existing laboratories and  the
technical skills available with competent
authorities, and at the same time,  the
                              development of independent private labo-
                              ratories, this often being a more cost-effec-
                              tive approach. In the latter case, a legal
                              right to sub-contract sampling and labora-
                              tory analysis should be given to competent
                              authorities, and budgets planned for out-
                              sourcing such services.
                                     It will  be important to review and
                              develop the monitoring capacity of pollu-
                              tants that  are  specified  in international
                              agreements. For instance, the capacity to
                              monitor dust  particles  of  10  microns
                              (PM10) in air emissions should be devel-
                              oped immediately.
                                     International experience should be
                              used to improve laboratory practices and
                              techniques. In this context,  a very helpful
                              tool is  the  OECD's  Resource  Centre for
                              PRTR Release Estimation Techniques. The
                              Resource Centre is an Internet site that has
                              been developed by the  Task  Force on
                              PRTRs  of the OECD's  Environment,
                              Health, and Safety Programme. The pur-
                              pose of the site is to provide a clearing-
                              house of guidance manuals/documents of
                              release estimation techniques for the prin-
                              cipal pollutant release  and  transfer reg-
                              istries developed by OECD Member coun-
                              tries. The manuals and documents include
                              descriptive information  on the  sources of
                              pollution and  the  pollutants  that are
                              released, as well as information on emis-
                              sion factors, mass balance methods, engi-
                              neering calculations, and  monitoring infor-
                              mation. The Resource Centre will be updat-
                              ed on a regular basis to include additional
                              and  new  documents   available.   See
                              http://206.191.48.253/

                              6.4    Implementing Facility-Specific
                                     Pilot Projects
                                     Pilot projects aiming to establish a
                              comprehensive self-supervision programs
                              in selected  enterprises can be a useful tool
                              to assess, among other things, the benefits
                              and costs of implementation of self-super-
                              vision, in particular as part of the transition
                              to integrated permitting. Such pilot projects
                              can be recommended particularly for large
                              new investments where enterprises have
                              sufficient capacity.  Criteria  for  selecting

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                                                BULARGA, KORCHEVSKY, SlRENDI    213
installations for such pilot projects include,
most   importantly:  the  environmental
impact,  compliance costs, and  financial
performance.

7 BIBLIOGRAPHY

European  Integrated Pollution Prevention
and Control Bureau. Reference Document
on the General Principles of Monitoring.
July 2003, http://eippcb.jrc.es
Hietamaki, M. (2002), Self-monitoring (of
air emissions, discharges to water and
waste) in Finland. Proceedings of the Sixth
International Conference on Environmental
Compliance and Enforcement, http://www.
inece.org
IMPEL (1999). Operator Self-Monitoring.
Impel  Network   (1999)  available  at
http://www.europa.eu.int/comm/environ-
ment/impel/
IMPEL (2001). Best practice in compliance
monitoring available at http://www.europa.
eu.int/comm/environment/impel/
IMPEL (2002). The Finnish Comparison
Programme  II available at  http://www.
europa.eu.int/comm/environment/impel/
INECE (International Network for Environ-
mental  Compliance and Enforcement),
Source  Self-Monitoring  Requirements:
International  Comparison,   http://www.
nece.org
Saarinen K. A method to improve the inter-
national  comparability of emission data
from industrial installations. Environmental
Science & Policy 6 (2003).
Saarinen K.  Monitoring total emissions
from industrial installations. Environmental
Science & Policy 6 (2003).
United Nations Economic Commission for
Europe  (UNECE)  Paper  ECE/MP.PP/
AC.1/2005/6  on  institutional and  legal
implementation of  the  PRTR  protocol
http://www.unece.org/env/documents/
2005/pp/ece/ac.1/ece.mp. pp. ac. 1.2005.6.e
.doc
UNECE  Paper ECE/MP.PP/AC.1/2005/7
on the scope  of the PRTR protocol, http://
www.unece.org/env/documents/2005/pp/e
ce/ac.1/ece.mp.pp.ac.1.2005.7.e.doc
US  Environmental  Protection  Agency.
Compilation of Air  Pollutant Emission Fac-
tors, AP-42,  http://www.epa.gov/ttn/chief/
ap42/index.html.
World  Bank Group.  Pollution Prevention
and Abatement Handbook 1998. Towards
Cleaner Production. Washington, D.C.

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                                                      BULARGA, MICHALAK   215
USING PEER REVIEWS TO PROMOTE ENVIRONMENTAL
IMPROVEMENTS AND GOOD GOVERNANCE:
THE CASE OF THE KYRGYZ REPUBLIC
BULARGA, ANGELA,1 and MICHALAK, KRZYSZTOF2

1 Project Manager, Environment Directorate, Non-Member Countries Division,
 Organisation for Economic Cooperation and Development (OECD),
 angela.bularga@oecd.org
2 Administrator, Non-Member Countries Division, Environment Directorate, OECD,
 krzysztof.michalak@oecd.org

OECD, 2 Rue Andre-Pascal, 75775 Paris Cedex 16, France
SUMMARY

       The Kiev Conference of the Ministers of Environment (May 2003) recommended
that countries of Eastern Europe, Caucasus, and Central Asia (EECCA) implement the
"Guiding Principles for the Reform of Environmental Enforcement Authorities in Transition
Economies". The Guiding Principles, which build on good governance practices, provide a
reference model for an effective and efficient system of environmental compliance assur-
ance. To help countries of the region to implement the Guiding Principles a Peer Review
programme has been launched in the framework of EECCA REPIN Network. The current
article presents the experience of the first pilot application of a Peer Review Scheme in Kyr-
gyzstan.
1 INTRODUCTION

       The members of the Regulatory
Environmental Programme Implementation
Network (REPIN) agreed, at their 5th annu-
al meeting in October 2003 in Kiev,  to
launch a pilot Peer Review Scheme intend-
ed to facilitate  reforms  of  compliance
assurance in Eastern Europe, Caucasus,
and  Central Asia  (EECCA).  REPIN
endorsed the objectives and methodology
of peer reviews and welcomed the initiative
of the Kyrgyz Republic to be the first coun-
try subject to this mechanism  of  inter-gov-
ernmental dialogue  and support.  The
"Guiding Principles for the Reform of Envi-
ronmental Enforcement Authorities in Tran-
sition Economies of EECCA", recommend-
ed for implementation by the Kiev Minister-
ial Declaration (May 2003), provided a ref-
erence framework for the review.
       The benefits and high policy profile
of peer reviews have been demonstrated
due to a vast practical experience, includ-
ing regular (economic, regulatory, and envi-
ronmental performance) reviews undertak-
en by the OECD, Environmental perform-
ance reviews carried out in the EECCA
region by the United Nations Economic
Commission for Europe (UNECE), as well
as the reviews of environmental funds car-
ried out by the Task Force for the Imple-
mentation of  Environmental Action  Pro-
gramme (EAP Task Force) in Central
Europe and lately in EECCA. The IMPEL
Review Initiative, established in 2001 by
the Member  Countries of the European
Union (EU), provided another example of a

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
successful application of the peer review
concept.
   BOX 1:  PEER REVIEWS AT OECD

  A peer review involves a systematic
  examination and  assessment  of the
  performance of a state by other states,
  with  the  ultimate  goal of helping the
  reviewed country adopt best prac-tices
  and comply with established standards
  and principles.
  The peer review mechanism is free of
  any threat of non-compliance sanc-
  tions arising from the findings  of the
  review: its impact relies on the influ-
  ence  and  persuasion exercised  by
  "peers" (equal partners in the review
  process).  The Peer Review Scheme
  serves the following purposes:
  — To provide international peer sup-
    port for institutional reform.
  — To enhance government's trans-
    parency, accountability, and visibili-
    ty, at national and international
    level.
  — To extend opportunities for inter-
    government policy dialogue and
    support capacity building.
2 THE PRACTICAL APPLICATION OF
  THE SCHEME IN KYRGYZSTAN

       The review was carried out at the
request of the Ministry of Ecology and
Emergency Situations (Ministry) of the Kyr-
gyz Republic by an international team of
experts. The preparatory phase of the Kyr-
gyz Peer Review consisted of preliminary
analysis carried out in the period November
2003  to February 2004. The analysis was
based on available  background reports,
national policy and legal framework, and a
self-assessment report prepared by Kyrgyz
counterparts. Prior to the review mission,
the Ministry disseminated the Guiding Prin-
ciples among all stakeholders at the nation-
al level, which  contributed to a  better
                             understanding of the reference framework
                             for the review among stakeholders.
                                    The review mission was carried out
                             from 15-20 March 2004 by a team of seven
                             experts from OECD, Central European and
                             EECCA countries,  and the OECD Secre-
                             tariat.  The mission included  a series of
                             interviews with political leaders, managers
                             and  experts  representing  the  Ministry's
                             headquarters and  regional departments,
                             other governmental organisations, as well
                             as NGOs and the regulated community. In
                             total,  more than 70 people were consulted
                             during these meetings. At the end of their
                             mission,  the  review team members  pre-
                             sented and discussed initial findings  at a
                             meeting with Ministry staff. A press confer-
                             ence was held jointly by the Secretariat and
                             high-level officials from the Ministry on the
                             objectives,  outcomes, and  follow-up of the
                             review mission.
                                    Subsequently,  the draft review
                             report was prepared by the  Secretariat.
                             This  report was  discussed  during the
                             REPIN annual meeting in  Yerevan (26-29
                             September 2004). The final set of conclu-
                             sions and recommendations were adopted
                             by consensus.
                                    A round-table with key stakehold-
                             ers was conducted on the outcomes of the
                             review of environmental enforcement sys-
                             tem  in  Kyrgyzstan (9 February 2005,
                             Bishkek). More than 50 people  attended
                             the round-table, including  representatives
                             of the Council of  Ministers, Ministry of
                             Economy and Industry, Ministry of Finance,
                             Ministry  of Health, the  NGO community,
                             major industrial enterprises,  as  well as
                             national  and regional level officials and
                             staff members of the Ministry.
                                    The participants of the round-table
                             concluded that the peer review  revealed
                             "real" problems and challenges of the envi-
                             ronmental enforcement system in Kyrgyzs-
                             tan. The Ministry will work to reform the
                             environmental enforcement system follow-
                             ing the review recommendations, and all
                             partner organisations (including  the  Min-
                             istry of Finance) agreed to provide support
                             to the reform process. The participant from
                             the Ministry of Health pointed out that the
                             recommendations were also valid for their

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                                                          BULARGA, MICHALAK   217
inspection unit (Sanitary Epidemiological
Service)  and these would be taken on
board during the reform of that service.

3 OUTCOMES OF THE PEER
  REVIEW IN KYRGYZSTAN

3.1     Country Context
       Since achieving independence in
1991, the Kyrgyz Republic has implement-
ed broad reforms aimed at attaining macro-
economic stability, improving the regulatory
system and  creating the foundations of a
democratic society and market economy.
The  economy of Kyrgyzstan is relatively
open: The  country was the first former
Soviet republic to be accepted in 1998 into
the World Trade Organization.
       Market reforms have not yet been
completed. This includes unfinished public
sector reforms and a lack of favourable
framework conditions for private entrepre-
neurship and the promotion of investment
activity. The domestic situation has been
exacerbated by external  obstacles  to
growth, of which the main ones are remote-
ness from - and dependence upon - major
international commodity and financial  mar-
kets, as well difficulties in preserving tradi-
tional economic relations with the neigh-
bouring countries.  Although  economic
recession has been stopped and  produc-
tion is recovering the  past few years, Kyr-
gyzstan remains among the poorest in the
world and 44% of the population still  lives
below the poverty line .
       Strategic priorities of Kyrgyzstan
have been outlined in the Comprehensive
Development Framework, adopted in 2000
for the ten years to 2010. The overall devel-
opment goal is the political,  social and eco-
nomic well being of the people of  the Kyr-
gyz Republic, with freedom, human dignity
and equal opportunity for all. This has been
broken down into three basic goals:
— Effective  and  transparent governance
   system;
— A fair and secure society to ensure that
   all members of society share equitably
   in the nation's political, social and  eco-
   nomic development
— Sustainable economic growth and
   development.
       Although the adverse impact on
the environment decreasing over the last
decade  because   of   the   generally
depressed situation in industrial and agri-
cultural production, this trend was compen-
sated by environmentally malign practices
and resource-intensive processes used to
attain short-term economic goals. There is
an overall degradation of environmental
infrastructure, accompanied by a reduced
spending  for  environment  protection
needs.  This resulted in  considerable
threats to human health: more than 16% of
the total number of diseases in Kyrgyzstan
are caused by air pollution, 10% - from pol-
luted water, 9% - from the  contaminated
soil.

3.2    Environmental Management
       System in a Nutshell
       The  Republic of Kyrgyzstan has
developed  an extensive  environmental
management system with particular instru-
ments, working methods,  institutions, and
communication interfaces in place to imple-
ment environmental  policy  objectives.
Command-and-control instruments, includ-
ing permitting, compliance monitoring and
non-compliance response, were introduced
in the late 1970s. In  the mid-1990s, they
were complemented  by economic instru-
ments.  These  were  mainly  pollution
charges, and to a lesser extent non-regula-
tory, information-based instruments, such
as environmental information provision and
awareness-raising activities.
       It is important to mention that the
country's economic and social context is
not favourable  for better environmental
management, although the Country Devel-
opment Framework targets more effective
state governance and secure conditions of
life for all members of society. Unfortunate-
ly, the political support for environmental
improvements was so far largely declara-
tive. The government emphasised the eco-
nomic recovery of the country without tak-
ing due account of external environmental
costs imposed by current production pat-

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
terns. For instance, the air permit system
has been suppressed for some time as part
of a wider process to encourage entrepre-
neurship and foreign investment. A very low
percentage of the Gross Domestic  Product
is devoted to environmental purposes:  in
the Kyrgyz Republic, only 0.03% of the
Gross Domestic Product is allocated to the
environment compared with one to 1.5% in
OECD countries.

3.3     Institutional Capacity for
        Environmental Enforcement

        The main environmental authority
was established in 1989 and went  through
several  structural reforms, particularly fre-
quent after 1999.  Presently, the Ministry
has full  executive authority in Environmen-
tal protection. The Ministry is the successor
of the former Ministry of Environment Pro-
tection but, unfortunately,  has so far been
unable to keep as high an institutional pro-
file for environmental protection as it has
for emergency response.
        Compliance with, and administra-
tive  enforcement  of, regulatory  require-
ments is ensured by 185 environmental
inspectors employed by the Ministry and  its
regional branches. Their  scope of activity
covers  mainly industrial  pollution control
with around 2,200 large installations under
national and  sub-national  jurisdiction.
Other members of the regulated communi-
ty are not yet well identified, especially
among Small and Medium-sized Enterpris-
es, whose number has now  reached 30
thousand. Given the absence of Small and
Medium-sized Enterprises in the centrally
planned economy, this is rather an impres-
sive growth of the regulated community.
        Over the last few years the atten-
tion of environmental inspectors has been
placed primarily on enforcing the payments
of pollution charges as the way to compen-
sate for the limited funding of Environmen-
tal authorities. This focus has reached the
point of distorting the very mission and
integrity of compliance assurance system
and eroding the self-confidence and public
credibility of enforcement  officers.
                                     There are other serious problems
                              in the design and operation of the environ-
                              mental compliance assurance system in
                              the  Kyrgyz  Republic.  Inter  alia,  these
                              include:
                              — A  regulatory framework that  favours
                                companies'  short-term interests, while
                                disregarding potential negative  environ-
                                mental impacts and the costs of environ-
                                mental pollution to society, for example,
                                the suppression of air permit systems
                                and restrictions on inspectors' authority
                                to conduct on-site visits;
                              — Frequent reforms of the organisational
                                structure of the environmental authority
                                without a clear vision  of  how  these
                                reforms will  help achieve priority envi-
                                ronmental objectives. Similarly, working
                                methods are currently applied that lead
                                to inefficient use of resources;
                              — Confrontational relations with the regu-
                                lated community due to lack of dialogue
                                between stakeholders, low understand-
                                ing of compliance problems, unfeasible
                                regulatory requirements, and outdated
                                instruments of compliance assurace and
                                promotion;
                              — Limited human, financial, and  material
                                resources to carry out inspections. In
                                particular, very low operational budgets
                                and no capital investment for monitoring
                                and inspection facilities.

                              3.4     Key Recommendations of
                                     the Review
                                     The major challenge for  environ-
                              mental enforcement authorities in the Kyr-
                              gyz Republic is to shift their operation away
                              from  pursuing  revenue-raising  goals
                              towards focusing on ensuring  compliance
                              with environmental requirements in order to
                              achieve environmental results. Preventa-
                              tive actions should be used more systemat-
                              ically  and frequently and the regulated
                              community should be treated with consis-
                              tency, in a transparent and proportionate
                              manner.
                                     The credibility  of enforcement
                              actions should  be ensured by establishing
                              feasible  and   enforceable   compliance

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                                                           BULARGA, MICHALAK  219
objectives and working in a transparent,
accountable manner. Also the value of the
enforcement authorities will be elevated if
policy makers and the general  public are
better acquainted with the potential bene-
fits of a fair and firm enforcement, including
decreased social and economic costs of
environmental  pollution and degradation,
enhanced rule of law and  a guaranteed
level playing field for industry.
       The review concluded  that fulfil-
ment of the core mission of the enforce-
ment authority in the Kyrgyz  Republic
which is to ensure compliance thus protect-
ing the environment and human health will
require:
— improving the environmental regulatory
  framework;
— Acquiring adequate powers  and raise
  the institutional status of the enforce-
  ment agency;
— Adopting risk-based and performance-
  oriented working methods;
— Embracing  higher  professional stan-
  dards and foster international co-opera-
  tion;
— Interacting with stakeholders openly and
  constructively.
       Specific  recommendations were
provided under each of these objectives.
Also the  review  suggests a number of
short- and longer-term steps for reform of
domestic  compliance assurance  instru-
ments, strategies, and institutions in light of
good  international  practice. These steps
are closely linked with, and  support, the
implementation of the country's strategic
development objective of adopting a good
governance system.

4 CONCLUSIONS

       The peer review process confirmed
to be  an effective mechanism for distilling
achievements and bottlenecks in environ-
mental enforcement, identifying direction
for reform and concrete actions. It helps
also to build in-country partnerships for
improving the effectiveness of environmen-
tal compliance assurance. The OECD/EAP
Task Force Secretariat will continue using
this mechanism in EECCA: Armenia is the
next country to be reviewed  under the
scheme.

5  BIBLIOGRAPHY

"Guiding Principles  for the Reform of Envi-
ronmental  Enforcement Authorities in Tran-
sition  Economies" available   at  www.
oecd.org/env/eap
"Peer Review: an OECD Tool for Co-opera-
tion and Change" available at www.oecd.
org/dataoecd/33/16/1955285.pdf
"Environmental Enforcement in the Kyrgyz
Republic:    Promoting    Environmental
Improvements  and   Enhancing  Good
Governance" at www.oecd.org/env/eap

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220          SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                               DE GELDER   221
STRATEGY FOR THE SUPERVISION OF CARBON DIOXIDE
AND NITROGEN OXIDES EMISSIONS TRADING

DE GELDER, THEO
Netherlands Emission Authority, Prinses Beatrixlaan 2, 2595 AL, Den Haag,
The Netherlands, Theo.degelder@minvrom.nl
SUMMARY

       This paper presents a summary of a discussion paper of the same title, which was
distributed at the 7th INECE Conference. The summary describes the problems that need
to be addressed and of the strategy's limitations, as well as a discussion of the planned
approach and an introduction to carbon dioxide and nitrogen oxides emission trading in The
Netherlands.
1 BACKGROUND AND
  QUANTITATIVE CHARACTERISTICS

       On 13 October 2003, the European
Parliament and the Council passed a direc-
tive (2003/87/EC) to introduce a system of
emission trading in greenhouse gasses in
the European Union as of 1 January 2005.
The directive is instrumental to the realisa-
tion of the Kyoto targets and must ensure
that the industry and energy sectors deliver
he  emission  reductions implied  by the
Kyoto Protocol. The directive requires that
Member States enact the legal structure to
implement the directive obliging Member
States to issue emission permits to the
larger industrial companies enabling  them
to  participate  in  the  emission trading
scheme. All member states must draw up
an  allocation plan that determines the
emission allowances to be issues to partic-
ipating companies. All companies have to
monitor their emissions in accordance with
the permit requirements at the end of the
year draft an emission  report stipulating
and specifying their  total  carbon dioxide
emissions  and  hand   over  sufficient
allowances to cover their total emissions.
       Included  in the Carbon Dioxide
Emission Trading Scheme will be those
plants that are covered by the definitions in
Annex 1 of the European Carbon Dioxide
directive. These concern energy activities
in which the installed thermal capacity of
the combustion plants in the installation
(facility) is above 20 "MWth,1  but also a
number of other designated categories with
or without a threshold as listed in the
annex. Member States are obliged to sub-
mit national  allocation plans (NAPs) for
approval by  the  European Commission.
According to  Annex A of the Dutch national
allocation plan 355 establishments in the
Netherlands  fall under the directive. How-
ever, this also includes 150 establishments
with an  annual emission of less than  25
kilotons of carbon dioxide. Early on, the
Netherlands  has  flagged that the cost of
participation  of these installations in the
trading scheme far outweighed the bene-
fits, and with the approval of the Commis-
sion an out-out provision for these installa-
tions was created. Some 26 of these 150
establishments have opted to participate in
the emission trading. A total of 206 estab-
lishments  have been provided  with  an
emission permit and have been issued with
allowances  in  accordance  with  the
approved national allocation plan.
       In October 2001, the European
1MWth signifes "Megawatt thermal," and is a measure of energy production.

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222
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
parliament and the Council decided on the
National   Emission  Ceilings  directive
(2001/81/EC), which  imposes  on each
Member  State  ceilings  for  the  national
emissions of nitrogen oxides,  sulphur diox-
ide, and  particulates. The ceiling for the
nitrogen oxides emissions in the Nether-
lands for 2010 is 260 kilotons. The Dutch
government has decided  to introduce a
system of emission trading  for  nitrogen
oxides emissions of the industrial installa-
tions  as  a  cost  effective instrument to
realise the required emission reductions. In
this context a target of 55 kilotons of nitro-
gen oxides has been set for  the industrial
installations  to  which the legislation  on
nitrogen oxides emissions apply. In general
it means all industrial installations with a
total thermal capacity of more  than  20
MWth and installations with process emis-
sions of the steel and other metal industry,
cement  and  glass  production,  chemical
industries etc. For each category of nitro-
gen oxides emitting industry, a perform-
ance standard rate has been defined that
applies to all the establishments  in  the
same way. The performance standard rate
is expressed in grams per gigajoule  (g/GJ)
of energy used and for process emissions
in gram or kilograms nitrogen oxides per
ton  produced in that process. The starting
value is 68 g/GJ in 2005, decreasing with 5
or 6 gram annually to 40 g/GJ in 2010.

2 THE NETHERLANDS
  EMISSIONS AUTHORITY

       Early during the first discussions in
1999 on the introduction of nitrogen oxides
emissions trading it was learned that the
aspects of proper monitoring, inspection
and enforcement to comply with the legal
requirements are most critical elements of
any emissions trading programme, and that
thereto the Dutch Government would have
to set high standards and develop ambi-
tious targets high.
       From  the very  beginning,  this
ambition has been focused on setting up an
effective  structure and organisation that
would be able to  manage the application
and issuance of emission permit most effi-
                             ciently  and  effectively,  and  would  be
                             equipped with sufficient staff and expertise
                             to inspect,  enforce and correct deviations
                             from the permit conditions or between actu-
                             al emissions and those reported by the
                             establishments.
                                    The Netherlands Emission Authori-
                             ty's ambition is to achieve a situation with a
                             high compliance  rate. The Netherlands
                             Emission Authority has been set up as an
                             independent administrative  organisation
                             that will  act as the  competent authority
                             charged with the permitting, inspection and
                             enforcement of emissions trading  at the
                             above  mentioned establishments. During
                             the last two years this authority  has pre-
                             pared itself for the tasks and responsibili-
                             ties in  respect of  the implementation and
                             execution of new legislation. One  of the
                             steps taken to prepare the Netherlands
                             Emission Authority for its tasks and respon-
                             sibilities concerned the formulation of the
                             inspection  and enforcement  strategy to
                             ensure  that  companies actually comply
                             with the legal requirements. The inspection
                             and enforcement strategy has been devel-
                             oped in a consultancy assignment whereby
                             as much as possible  knowledge and expe-
                             riences from the UK and the USA has been
                             taken on board. This strategy defines the
                             tools that the Netherlands Emission Author-
                             ity intends  to use in  order to achieve the
                             high rate of compliance that is needed in an
                             emissions trading  environment.

                             2.1    Legislation For The
                                    Implementation Of Emission
                                    Trading And The Role Of The
                                    Netherlands Emission Authority
                                    To  be able to implement emission
                             trading in the Netherlands the framework
                             Environmental Management Act has been
                             amended on the following elements.
                                    A new chapter (Chapter 16), deal-
                             ing specifically with  emissions trading of
                             carbon dioxide and  nitrogen oxides has
                             been added to the Environmental Manage-
                             ment Act and two existing chapters have
                             been amended.
                                    Chapter 2 (Advisory bodies) allows
                             for establishing of the  Netherlands Emis-
                             sions Authority as the legal body charged

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                                                                    DE GELDER   223
with  the issuing of  emission  permits,
inspection and enforcement of emissions
trading.
        Chapter  18  (Enforcement)  has
been amended to provide for the penalties
and other instruments to enforce effectively
the  various  emissions  trading  require-
ments. The two schemes of emissions trad-
ing, i.e. nitrogen oxides and carbon dioxide
require similar provisions for the monitor-
ing, permitting, verification and inspection.
The requirements in
        Chapter 16 in the Act  provides for
one emission permit for  nitrogen oxides
and carbon dioxide, and for a monitoring
protocol as an integral part of the emissions
permit covering the  equipment, manage-
ment of data and the internal procedures to
safeguard the proper monitoring  of both
emissions.  The  Netherlands  Emission
Authority is responsible for the issuance of
the permit and the approval of  the monitor-
ing protocol. In the new set-up, the opera-
tor is to prepare  just one emission report
and to have it verified and hand it in accord-
ing to the same  procedures.  In  order to
facilitate and to ensure a fully  equal treat-
ment and procedure for the implementation
and enforcement of both trading schemes
the  Netherlands  Emission  Authority  will
supervise the  legal requirements, the per-
mitting, the inspection and the enforcement
of the new legislative requirements.

2.2     The Principal Tasks
        The principal tasks of  the Nether-
lands Emission Authority include:
— Validation of monitoring protocols.
— Issuance of permits.
— Carrying out supervision  and enforcing
   compliance.
— Keeping records of trading transactions.
— Publication of  emission totals and out-
   comes.
— Imposing administrative sanctions.
        In  performing these  tasks,  the
Netherlands Emission Authority will coop-
erate closely with the provincial authorities
as the competent authorities for the Envi-
ronmental Management Act  (Wm-BG), in
particular on the validation and issuing of
permits and supervising and enforcement
of compliance.  Furthermore, the Nether-
lands Emission Authority has established
close working relationships with the Public
Prosecutor to achieve effective coordina-
tion between criminal and administrative
proceedings. To be able to guarantee reli-
able and accurate monitoring and reporting
emission data a compliance and assurance
system has been set up in cooperation with
the industry and government and provincial
authorities. It is set out in figure 1.
Figure 1:
              Enforcetiient
         " Validation / prftttte is&md
I Moment of |
I enforcement
System for guaranteeing monitoring and reporting in
context of emission trading

(Source: report "Strategy for the supervision of CO2 - and
NOx - emission trading. Dutch Ministry of Environment, 29
April 2004)
        In order to assist the industry at an
early stage in their preparations for drafting
their monitoring protocols, a Programme of
Requirements for the monitoring of carbon
dioxide and nitrogen oxides emissions was
being  developed before the legislative
requirements  were  in  place. This Pro-
gramme  of   Monitoring  Requirements,
which in the meantime has been translated
into the ministerial order on monitoring for
carbon dioxide and nitrogen oxides, sets
out the monitoring and reporting require-
ments the companies  must comply with.

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224
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
The companies themselves must draw up a
monitoring protocol based on the require-
ments laid down in this Programme of
Requirements. The monitoring protocol is
the main element of the permit application
by the company. The Netherlands Emission
Authority then validates the monitoring pro-
tocol by assessing whether it meets the rel-
evant  requirements  and  whether  the
description  of the installation  is  a true
reflection of the actual situation as covered
by the Integrated Pollution Prevention and
Control (IPPC) permit to the company.
       On the basis of the validated mon-
itoring protocol the emission permit is then
issued. The company subsequently carries
out its monitoring process  in accordance
with the  monitoring  protocol.  In case
changes occur in the monitoring or other
relevant changes in the  permitted situation,
these  must  be reported  and in  certain
cases also Netherlands Emission Authori-
ty's approval of the changes in the monitor-
                               ing protocol must be solicited. At the end of
                               each year the company is to draw up an
                               emission report that is to be verified by an
                               independent  verification  body  that is
                               accredited to verify emission report under
                               the emissions trading scheme. The verified
                               emission report is then sent to the Nether-
                               lands Emission Authority. The Netherlands
                               Emission Authority will accept the verified
                               emission  report and  the emissions  con-
                               tained therein, but as her task and respon-
                               sibility as  competent authority the Nether-
                               lands Emission Authority will carry out inde-
                               pendently various inspection and control
                               activities to assess whether the emissions
                               reported in the annual reports  are indeed
                               monitored and reported in conformity with
                               the permit conditions. To that end,  the
                               Netherlands Emission Authority will carry
                               out regular visits  at  the establishment
                               aimed at auditing the  emissions reported
                               by the companies and carry out in-depth
                               inspections to assess  that the  process of
Figure 2: Information Flows
                     Accreditation of

                    measuring company
                             Accreditation of the

                             verifier
                 measuring equipment
                     Measuring

                      input &

                      output

                     according to

                     monitoring

                      protocol
                    Buying & selling

                     of allowances

                      (+flnanciaJ

                      transaction)
        = primary information and data emissions
 	 = secundiary information needed for the verification of quality and reliability primary information
	= tertiary data and information transactions
(Source: report "Strategy for the supervision of CO2 - and NOx - emission trading. Dutch Ministry of Environment, 29 April 2004)

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                                                                           DE G ELDER   225
monitoring, reporting and verification func-
tions in line with the intentions of the legis-
lator.

2.2.1   Information Flows
        The reliability and  correctness of
the  emission  data provided  in  the emis-
sions reports  are Netherlands Emission
Authority's central concern. The supervi-
sion strategy distinguishes therefore two
levels on which emission data are generat-
ed usually.
        On a secondary level the strategy
is directed to  information  related  to  the
measuring and production  data cycle,  the
calculation and processing of these data
and the resulting reports. On what is prob-
ably  the  highest  level  it concerns the
processes aimed at quality assurance and
quality control (QA/QC). The figure 2 below
sets out the  relevant information flows as
far as the supervision is concerned.
        As indicated above,  the strategy
for supervision focuses particularly on the
primary and secondary information flows.

2.2.2   Limitations
        The  strategy  for  supervision  is
directly concerned with the inspection and
enforcement of compliance with the regula-
tions,  in order to ensure the reliability and
accuracy  of  the reported emission  data.
There is also the relationship with associat-
ed tasks such as validation, the issuing of
Figure 3: Concepts used in the context of supervision and enforcement

(Source: report "Strategy for the supervision of COa_and NOx - emission trading. Dutch Ministry of Environment, 29 April 2004)
Enforcement of the rules is intended to ensure compliance with the applicable regulations (regulations imposed
by law as well as those that are part of a permit). It concerns activities carried out by the competent authority
that are intended to achieve a certain degree of compliance or enforce it. These activities can be of a preven-
tive or repressive nature and usually include general supervision and taking action in the case of infringements
(see the diagram below).                   '  -
                                       Enforcement
                                                         Repressive
                                                         enforcement
Validation
permits issued

Preventive
supervision
                                                  Administra-
                                                  tive action
                    Criminal
                    procedings
The term 'enforcement' includes both the concept of preventive and repressive action.

Preventive activity on the part of the Netherlands Emissions authority (NEa) means the validation of the moni-
toring protocol, the issuing of permits and preventive supervision. By preventive supervision is meant check -
ing whether (permit) regulations are being complied with and whether the permit is adequate. If infringements
are discovered this is followed by consultation and the NEa will indicate the nature and degree of the shortcom -
ings. In this strategy for supervision preventive supervision will simply be referred to by the term supervision.
In addition to consultation, the  repressive phase of the enforcement may be started with the initiation of admin-
istrative steps (in the form of a penalty, an administrative fine) or criminal proceedings (charge, criminal prose-
cution). In this strategy for supervision the term repressive enforcement will be used to refer to the application
of (administrative) sanctions.
When the supervision  is aimed at uncovering offences, it takes on the form of an investigation. This requires
prosecuting or investigative powers. This phase falls outside the scope of this strategy for supervision.

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226
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
the permits and the evaluation of annual
emission reports. The step involving action
taken to correct infringements (repressive
enforcement) is not part of this strategy.
The action can consist of imposing or warn-
ing for legal sanctions, either of an admin-
istrative or penal nature. The strategy for
punitive action and penalties will be devel-
oped by Netherlands Emission Authority as
a separate line of enforcement. This strat-
egy however does deal with the  relation-
ship between inspection  and repressive
enforcement.

3 COMPLIANCE FACTORS FOR
  DETERMINING THE STRATEGY:
  THE TABLE OF ELEVEN

        One of the tools which has been
developed as a "thinking framework" is the
so-called Table  of Eleven. This Table of
Eleven offers eleven factors from the target
group's perspective that influence the caus-
es of infringement or the motives for com-
pliance with the regulations. A distinction
has been  made  between  spontaneous
compliance factors and enforcement  fac-
tors. At various  levels, tools can  be used
that take into consideration and reflect the
                              factors in spontaneous compliance as well
                              as the enforcement factors. The following
                              figure illustrates the Table of Eleven.
                                      Another tool that is emphasized in
                              the discussion paper is communication.
                              Interviews held with experts from the USA
                              showed  that a proper  communication is
                              very  important for encouraging sponta-
                              neous compliance. Making sure the parties
                              concerned are well  informed applies to
                              increasing knowledge and the clarity of the
                              regulation but also the  degree of accept-
                              ance of the policy.

                              4 SANCTION STRATEGY

                                      Netherlands  Emission  Authority
                              has developed  a  sanction strategy to rem-
                              edy in the situation that shortcomings are
                              found during audits or  depth-inspections.
                              The sanction strategy  sets out in detail how
                              inspectors must act when different types of
                              deviations  are  noticed.  The  strategy
                              includes a "how to act" model. In this model
                              there are four categories of various devia-
                              tions classified  and ranked by urgency and
                              seriousness. By  following  a process-dia-
                              gram  inspectors know precisely  which
                              steps in response should be taken.
Figure 4: Compliance, enforcement and sanction factors.
                                                       Enforcement factors
          Costs benefits of compliance

     Knowledge/clarity of regulations
                              Seriousness of sanction

                               Chance of sanction

                                 Selectivity

                    Chance of being caught

                Chance of being checked

        Chance of informal notification

          Chance of informal check

  Faithful observance of standards

       Acceptance of policy
                                                                  Sanction
                                                                  factors
                            Spontaneous compliance factors
(Source: report "Strategy for the supervision of CO2 - and NOx - emission trading. Dutch Ministry of Environment, 29 April 2004)

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                                                                 DE GELDER   227
5 GUIDE TO THE DISCUSSION PAPER

       The most important  conclusions
regarding the strategy for supervision can
be found in Chapter 2. Continuing on this,
the background, justification  and further
elaboration of these conclusions are set out
in a further four chapters. Chapter 3 pro-
vides an elaboration of the objectives and
the  preconditions of  this strategy  for
inspection.  This  chapter  discusses  the
basic premises of the strategy and also
deals with the impact of the time aspect on
a changing strategy for supervision. Chap-
ter  4 provides a further elaboration of  the
strategy and the approach to the supervi-
sion. A description is given of  the sources
drawn on for determining the strategy and
the instruments for the  execution of  the
strategy (communication and two types of
inspections), possible reasons why super-
vision is required and the relationship of the
supervision with other steps in the process
such as validation, the issuing of  permits
and assessment  of  emission  reports.
Chapter 5 focuses on the various aspects
of carrying out inspection. These include
the  required capacity and expertise for  the
various instruments as well as the inherent
risks of deviations. An indication is  also
given  of  what  form  the collaboration
between the competent authority for the
Environmental Management Act and the
collaboration on an international level might
take as part of  the  supervision.  Finally,
Chapter 6 looks  at the role evaluation and
feedback play as part of the supervision. It
also explains the role  of  building up
dossiers and generating  management
information as part of the evaluation, as
well as international possibilities for further
fine-tuning and evaluation.

Note:
       Participants of the conference who
would  like to receive a hard  copy of the
paper or the electronic version are invited
to sent a request by mail to:
Theo.deGelder@minvrom.nl
Netherlands Emission Authority
Address: Prinses Beatrixlaan 2
2595 AL, Den Haag
The Netherlands
Tel: 0031 (0)70391361

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228          SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                                  HUNTER   229
THE EMERGENCE OF CITIZEN ENFORCEMENT IN
INTERNATIONAL ORGANIZATIONS

HUNTER, DAVID B.
Professor, Washington College of Law, 4801 Massachusetts Avenue, NW, Washington,
DC 20016, United States, dhunter@wcl.american.edu
SUMMARY

       In recent years, the nation-state's monopoly over international law and institutions
has been eroding. The rise of an effective and active global civil society on the one hand
and that of increasingly powerful international institutions on the other have created a pow-
erful dynamic that is reshaping the way international law is made and enforced. This paper
describes the emergence of influential environmental and social standards at international
financial institutions and the parallel emergence of citizen-based mechanisms to enforce
those standards.
1 INTRODUCTION

       Since  the 1980s,  international
financial institutions led by the World Bank
Group have been developing environmen-
tal and  social policies  that are oriented
towards protecting certain rights and inter-
ests  of affected communities. These poli-
cies  address, for example, issues relating
to environmental assessment,1 involuntary
resettlement2 and indigenous  peoples.3
The  influence of these  standards extend
well  beyond  the  substantial  sphere  of
World Bank Group operations, however, as
they  have become the models for regional
development  banks and national laws in
some countries.
       More recently and importantly, the
standards of the International Finance Cor-
poration, the private sector arm of the
World Bank Group, have emerged as the
predominant standards for all international
project finance  in developing countries.4
Export Credit Agencies from the OECD
countries have agreed to benchmark their
environmental  and   social  standards
against those of the International Finance
Corporation.5  In  addition,  the  world's
largest commercial banks, who collectively
are responsible for  arranging more than
80% of all foreign  project finance in devel-
oping countries,  have  agreed to follow
International  Finance Corporation  stan-
dards.e
       The development and strengthen-
ing of these standards,  and their applica-
tion to the full range of financial institutions,
has resulted in large part from pressure
brought by international  civil society in col-
laboration with local affected communities.
These  stakeholders recognize, however,
that standards without any enforcement or
oversight  mechanism will  not result  in
improved practice on the ground. For that
reason, the call for enhanced environmen-
tal and social standards has been met by a
parallel call for effective, transparent and
independent enforcement mechanisms.
       Beginning  with the 1993 creation of
the World Bank Inspection Panel, affected
citizens have been given new rights to hold
international  institutions accountable  for
compliance with their policies  and proce-
dures.  Today citizens enjoy enforcement
mechanisms at five multilateral  financial
institutions7 and three  bilateral  financial

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230
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
institutionss where they can seek to enforce
the environmental and social policies of the
institutions.  Each of these  enforcement
mechanisms differs  to some degree, but
they share one thing: they all provide local
people with an opportunity to seek the insti-
tution's compliance with applicable environ-
mental and social policies. The original
conception for these mechanisms emanat-
ed from civil society organizations and aca-
demics outside of the traditional interna-
tional  legal order who recognized the need
for enhanced citizen  involvement in inter-
national institutions.9 These mechanisms
were  viewed both as a response to the
international organizations' immunity  and
as a way to ensure that those people most
affected  by the  organization's activities
have  some sort of mechanism to ensure
their rights and interests under the policies
were met.
       Generally speaking,  the citizen
enforcement mechanisms  at international
financial  mechanisms can  be categorized
as reflecting a "compliance model" exem-
plified by the World Bank Inspection Panel,
a "problem-solving"  model exemplified by
the International Finance Corporation's
Compliance  Advisor and Ombudsman
office, or  a hybrid of both systems exempli-
fied by both the Compliance Advisor and
Ombudsman office and the Asian Develop-
ment  Bank's Accountability Mechanism.
Brief descriptions of the Inspection Panel
and the Compliance Advisor and Ombuds-
man office's processes are  provided below.

2 HOW THE WORLD BANK
  INSPECTION PANEL WORKS"

       The World Bank Panel was created
"for the purpose of providing people direct-
ly and  adversely affected  by a  Bank-
financed  project with an independent forum
through which they can request the Bank to
act in accordance with its own policies and
procedures."11 The  Panel  evaluates the
Bank's performance against the standards
set forth  in the Bank's operational policies
and procedures. It is comprised of three
permanent members, each  of whom serves
for five years.  To ensure  independence,
                             Panel members cannot have served the
                             Bank in any capacity for the two years pre-
                             ceding their selection. More importantly,
                             Panel members can  never work for the
                             Bank again. The Panel also has a perma-
                             nent Secretariat with five staff.12
                                     Claims can be filed by any affected
                             party or parties (other than a single individ-
                             ual) in the borrower's territory.^ The affect-
                             ed parties' local representative, the Bank's
                             Board of Executive Directors, or, in some
                             cases, any one Executive Director, is also
                             eligible to file  claims. In  a  deliberate
                             attempt to limit the role of NGOs and their
                             lawyers, non-local representatives can rep-
                             resent affected parties only in "exceptional
                             cases" where  "appropriate  representation
                             is not locally available."14
                                     Claims must be in writing and must
                             explain how the affected parties' interests
                             have been, or are likely to be,  directly
                             affected by "a  failure of the Bank to follow
                             its operational  policies and procedures with
                             respect to the design, appraisal and/or
                             implementation of a project financed by the
                             Bank."1s The  claimant must demonstrate
                             that it has exhausted other remedies by
                             first providing Bank  staff  a reasonable
                             opportunity to respond to the allegations.
                             Upon  receiving  a  complete request for
                             inspection that is not clearly outside the
                             scope of the Panel's authority,16 the Panel
                             registers  the  claim, notifies the  claimant
                             and the Board of Executive Directors, and
                             forwards a copy of the claim to Bank Man-
                             agement, which has twenty-one days to
                             respond.17 The Panel then has twenty-one
                             days to review  Management's response
                             and to make  a recommendation to the
                             Board of Executive  Directors  regarding
                             whether the claim warrants a full investiga-
                             tion.^
                                     The Board  of Executive Directors
                             has exclusive authority to authorize or deny
                             a full investigation. Although this led to sig-
                             nificant politicization of the Panel  process
                             in the first few years, since  changes made
                             in 1999 the Board has supported  every
                             Panel recommendation for an  investiga-
                             tion.19 Once an investigation is authorized,
                             the Panel enjoys broad investigatory pow-
                             ers including access to all Bank staff. Mem-

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                                                                   HUNTER   231
bers of the public may also provide the
Panel with supplemental information rele-
vant to the claim. After the investigation, the
Panel issues a report evaluating the Bank's
compliance with its policies. Within  six
weeks, Management must submit to the
Board of Executive Directors a report and
recommendations  in  response  to the
Panel's findings. The Panel's Report, Man-
agement's  recommendations, and the
Board's decision are released two weeks
after Board consideration.
       As of January 1, 2005, the Inspec-
tion Panel had received thirty-three formal
requests for inspection and registered thir-
ty of them.20 The Panel has found the eligi-
bility requirements have been met and rec-
ommended an investigation in seventeen
claims, and the Board has approved inves-
tigations  in thirteen of those requests.20
The Board has approved every investiga-
tion recommended by the Panel  since a
clarification of the eligibility procedures was
made in 2000.

3 HOW THE INTERNATIONAL
  FINANCE CORPORATION
  OMBUDSMAN'S OFFICE WORKS

       The President of the World Bank
Group created the Office of the Compliance
Advisor/Ombudsman  (CAO) in  1999  to
address complaints relating to the  Group's
private sector arms - the  International
Finance Corporation and the Multilateral
Investment Guarantee Agency - neither of
which  were  covered by the Inspection
Panel. Although the Office of the  Compli-
ance Advisor/Ombudsman's office has both
an advisory and compliance function, it
considers its  ombudsman  function as its
primary and most important responsibility.
The ombudsman function was designed to
respond "to complaints by persons who are
affected  by  projects  by  attempting  to
resolve the issues raised using a  flexible,
problem-solving approach."22 Any individ-
ual, group, community, entity or other party
affected or likely to be affected by the social
or environmental impacts of an Internation-
al Finance  Corporation  or  Multilateral
Investment Guarantee Agency project may
make a complaint to the ombudsman. Rep-
resentatives of those affected by a project
may also file a complaint, with appropriate
proof of the representation.
       The Office of the Compliance Advi-
sor/Ombudsman acknowledges receipt of
all complaints, typically within five days of
receipt. The Office of the Compliance Advi-
sor/Ombudsman then  evaluates whether
the complaint falls within its mandate, and,
if it does, whether to accept or reject the
complaint. Complaints must demonstrate
that the complainant has been, or is likely
to be, affected by actual or potential social
or environmental  impacts on the ground.
The complaint must relate to an aspect of
the planning,  implementation or impact of
an  International Finance Corporation or
Multilateral Investment Guarantee Agency
project. Complaints that are "malicious, triv-
ial or which have  been generated to gain
competitive advantage" are not accepted.^
The Office of  the Compliance Advisor/
Ombudsman  also determines whether it
thinks a  problem-solving approach - for
example  facilitated dialogue, consultation
or  mediation  -  could  be  effective  in
addressing the complainant's concerns.
       Once a complaint is accepted, the
Office of the Compliance Advisor/Ombuds-
man immediately notifies the complainant,
registers the  complaint, refers the com-
plaint to the relevant International Finance
Corporation   or Multilateral Investment
Guarantee Agency  personnel  with a
request  for information,  and informs the
project sponsor of the complaint. Manage-
ment has 20  working days to respond to
the request for information.
       The Office of the Compliance Advi-
sor/Ombudsman then undertakes a prelim-
inary assessment to determine how it pro-
poses  to handle the complaint.   This
process  is not time-bound but  normally
takes 30 working days after the decision to
accept the complaint. After the preliminary
assessment, the Office of the Compliance
Advisor/Ombudsman  provides  to   the
claimant a specific proposal for how it pro-
poses to address their complaint.

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
       The Office of the Compliance Advi-
sor/Ombudsman's  proposal may include
anything from convening informal consulta-
tions with International Finance Corpora-
tion/Multilateral  Investment  Guarantee
Agency or the project sponsor to organizing
a more formal mediation process. One of
the options outlined will also be a compli-
ance audit in complaints that raise any
issue of compliance with the International
Finance  Corporation/Multilateral Invest-
ment Guarantee Agency policies. Overall,
the ombudsman's office seeks to take a
proactive and flexible approach where the
"aim is to identify problems,  recommend
practical remedial action and address sys-
temic issues that have contributed to the
problems, rather than to find fault."24
       The Office of the Compliance Advi-
sor/Ombudsman has broad investigatory
powers, including authority to review Inter-
national Finance Corporation or Multilateral
Investment Guarantee Agency files; meet
with the affected  people,  International
Finance Corporation or Multilateral Invest-
ment   Guarantee  Agency staff, project
sponsors, and  host country  government
officials;  conduct project site  visits,;  hold
public meetings in the project area; request
written  submissions from any source; and
engage expert consultants to  research or
address specific issues.25 The Office of the
Compliance  Advisor/Ombudsman  con-
cludes  the complaint process either when a
settlement agreement has been reached or
when further investigation or problem-solv-
ing e fforts are unlikely to be productive. At
that point, the  Office of the  Compliance
Advisor/  Ombudsman  informs  the com-
plainant of its decision and provides a report
to the President of the World Bank Group,
which  may include specific recommenda-
tions regarding  issues raised  by the com-
plaint.  The Office of the Compliance Advi-
sor/Ombudsman may also conduct a com-
pliance audit to address non-compliance
issues  identified in the course of responding
to the  complaint or may refer any policy
issues  to the  advisory role of Office of the
Compliance Advisor/Ombudsman.
       As of January 2005, the Office of
the  Compliance  Advisor/Ombudsmans
                             function has  received  approximately  40
                             claims, 20 of which had  come from one
                             project - the Baku-Tbilisi-Ceyhan pipeline.
                             Some of these claims have resulted in long
                             and complex involvements by the Office of
                             the Compliance Advisor/ Ombudsman's, for
                             example complaints relating to the New-
                             mont Corporation's Yanacocha gold mine
                             in Peru, and others have involved relatively
                             short interventions, for example a case
                             involving one family's inadequate compen-
                             sation for  land lost to the construction of
                             Chile's Pangue Dam. The  Office of the
                             Compliance Advisor/ Ombudsman is still
                             too new to evaluate its ultimate effective-
                             ness in meeting  the  aspirations of the
                             claimants, but it is pioneering the use of
                             alternative dispute resolution methodolo-
                             gies for civil society complaints in the inter-
                             national context. The compliance side of
                             the  Office of the Compliance Advisor/
                             Ombudsman has had less experience thus
                             far  (with  only  its first two  compliance
                             reviews in process), but may yet provide
                             citizen-based  compliance  oversight similar
                             to that of the Inspection  Panel.

                             4 ASIA DEVELOPMENT BANK

                             In theory at least, the two  approaches - of
                             an ombudsman  and a compliance mecha-
                             nism - can coexist in one  accountability
                             system. That theory is now being tested by
                             the Asian  Development  Bank's new mech-
                             anism created in 2004.26 The Asian Devel-
                             opment Bank accountability  mechanism
                             requires complainants to go  first to a "spe-
                             cial  project facilitator," which  despite the
                             name is intended to raise  the affected per-
                             sons' concerns with the project to the proj-
                             ect sponsor and Asian Development Bank
                             staff and seek a mutually  acceptable solu-
                             tion  through  flexible  dispute resolution
                             processes. If the claimant  is unsatisfied
                             with the process, the claimant can at any
                             time request a compliance review from an
                             independent  "compliance review panel"
                             patterned  closely after the World Bank
                             Inspection Panel. The Asian Development
                             Bank mechanism  has already received
                             several complaints in just its first year of
                             operation.

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                                                                  HUNTER   233
       5 CONCLUDING REFLECTIONS

       Innovations  like the  Inspection
Panel, the International Finance Corpora-
tion's   Office   of    the   Compliance
Advisor/Ombudsman and the other citizen-
based  enforcement  mechanisms  reflect
major shifts in the paradigm of how envi-
ronmental and social  policies are enforced,
and who enforces them, at the  internation-
al  level. This shift reflects civil society's
demands for a greater and more direct role
in decisions that profoundly affect the qual-
ity of their lives and environment. It extends
to  the international sphere the important
role citizen enforcement played in securing
environmental protection at the national
level. It also reflects the increasingly out-
ward orientation of international organiza-
tions in their efforts to interact directly with
civil society.
       Less clear yet is whether these cit-
izen enforcement mechanisms will  ulti-
mately be sufficiently  robust to provide pos-
itive results for the  affected people who
bring  the  claims. An evaluation  of the
Inspection Panel showed that about half of
the claimants who brought cases felt that
the process resulted in some important
benefits for them.27 Others  saw initial
advantages from the press and pressure
that was created by  filing the  claims, but
those advantages disappeared as the spot-
light from the  Panel process faded. These
findings argue for more monitoring authori-
ty and for more commitment from the under-
lying institutions to implement the findings
of these enforcement mechanisms.

6 REFERENCES

1 IBRD/IDA Operational Policy  4.01: Envi-
 ronmental Assessment (1999).
2 IBRD/IDA Operational Policy 4.12: Invol-
 untary Resettlement (2001).
3 IBRD/IDA Operational Directive 4.20:
 Indigenous Peoples (1991).
4 International Finance Corporation Safe-
 guard    Policies,   last   viewed   at
 http://ifcln1.ifc.org/ifcext/enviro.nsf/Con-
 tent/ Safeguardpolicies on  February 22,
 2005; The World Bank, Pollution Preven-
 tion  and Abatement Handbook: Toward
 Cleaner Production (1998).
5 OECD  Recommendation on  Common
 Approaches on Environment and Official-
 ly Supported Export Credits, Dec. 18,
 2003. The  OECD Common Approaches
 allow export credit agencies to bench-
 mark their standards against  regional
 development banks as well as the Inter-
 national Finance Corporation.
6 The  Equator  Principles:  An  industry
 approach forfinancial institutions in deter-
 mining, assessing and managing environ-
 mental & social risk in project financing
 (June 4, 2003), available at http://www.
 equator-principles.com/principles.shtm.
7 The five citizen enforcement mechanisms
 include: (1) the World Bank Inspection
 Panel; (2) the International Finance Cor-
 poration's  Compliance   Advisor   and
 Ombudsman; (3) the Asian Development
 Bank's Accountability Mechanism; (4) the
 InterAmerican Development Bank's Inde-
 pendent Investigation Mechanism;  and
 (5) the European Bank for Reconstruction
 and Development's Compliance Office.
8 The  three  bilateral financial institutions
 are (1)  the Japan  Bank for Investment
 Cooperation's Compliance Examiners; (2)
 the Environment Development Canada's
 Compliance Officer; and  (3)  the  US
 Overseas  Private  Investment Corpora-
 tion's ombudsman.
9 See e.g., Wold & Zaelke,  Establishing an
 Independent Review Board at the Euro -
 pean Bank for Reconstruction and Devel -
 opment: A Model for Improving MDB
 Decision-making, 2 DUKE ENVT'L LAW &
 POLICY FORUM 59 (1992); The World
 Bank's  New  Inspection  Panel and the
 Need to Create an International Frame -
 work Agreement for Administrative Proce -
 dures, Testimony of Durwood  Zaelke,
 President, and David Hunter, Senior Staff
 Attorney, Center for International Environ-
 mental  Law,  in  WORLD  BANK  DIS-
 CLOSURE  POLICY AND INSPECTION
 PANEL: HEARING BEFORE THE SUB-
 COMMITTEE ON INTERNATIONAL  DE-
 VELOPMENT,  FINANCE, TRADE AND
 MONETARY POLICY OF THE COMMIT-

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234
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
 TEE  ON  BANKING,  FINANCE  AND
 URBAN  AFFAIRS, HOUSE  OF  REP,
 103RD  CONGRESS,  2ND SESSION
 152-63 (June 21, 1994).

1° This summary of the Panel's operations
  was adopted from D. Hunter, Using the
  World Bank Inspection Panel to Defend
  the Interests of Project-Affected People,
  4 CHI. J. INT'L 1.201(2003).
11 Inspection Panel,  The Inspection Panel
  for the  International Bank for Recon -
  struction and Development and Interna -
  tional Development Association: Operat -
  ing Procedures, 34 ILM 510, 511 (1995)
  [hereinafter Inspection  Panel Proce-
  dures]. For a general discussion of how
  the Panel operates, see Dana L. Clark, A
  Citizen's  Guide to  the  World  Bank
  Inspection  Panel  (CIEL  2d ed 1999),
  available online at  http://www.ciel.org/
  Publications/citizensguide.pdf  (visited
  Jan 27, 2003).
12 For  more  information,  see  Inspection
  Panel website, available online at http://
  worldbank.org/ipn/ipnweb.nsf   (visited
  Jan 27, 2003).
13 Inspection Panel Procedures, supra note
  11.
14 Id.
15 Id.
16 Several types of complaints are explicitly
  beyond the Panel's jurisdiction, including
  complaints (i) addressing actions that
  are the responsibility of parties  other
  than the Bank,  (ii) relating to procure-
  ment decisions, (iii) filed after a loan's
  closing date or after 95  percent of the
  loan has been disbursed, or (iv) matters
  already  heard by the Panel unless justi-
  fied by new evidence.
17 Id at 522.
is Id.
19 See World Bank, Conclusions of the
  Second  Review  of the  World  Bank
  Inspection  Panel, 39  ILM  249,  250
  (2000). Prior to the 1999 clarification, the
  Executive Directors frequently rejected
  the  Panel's  recommendations for an
                               investigation, typically deciding instead
                               to adopt 'action plans' that Bank Man-
                               agement had prepared in response to
                               the claims.  Although in  some cases
                               these action plans were responsive to
                               the claimants' concerns, the Board's pre-
                               emptive  approval of the action  plans
                               meant that the claims were never fully
                               evaluated nor was implementation of the
                               action plans adequately monitored. The
                               claimants also never received their 'day
                               in court' to have their allegations formal-
                               ly validated.
                             20 See   Inspection  Panel,  Summary  of
                               Requests for Inspection, available online
                               at http:// wbln0018.worldbank.org/IPN/
                               SummaryofRequests (visited Feb.  17,
                               2005).
                             2i Id. Although the Summary of Requests
                               for Inspection indicates that only nine of
                               the recommended investigations were
                               approved, the World Bank Board has
                               approved an  additional  investigation
                               since the document was updated. See
                               Press Release, Inspection Panel, World
                               Bank Board  Approves the  Inspection
                               Panel's Recommendation: The Panel to
                               Investigate  whether  the  Bank  has
                               Observed its Policies and Procedures in
                               the Cameroon Pipeline Project (Dec 18,
                               2002),     available     online     at
                               http://wbln0018.worldbank.org/ipn/ipn-
                               web.nsf//pressrelease12182002/$FILE/p
                               ress+release+12+18+2002.pdf (visited
                               Jan 27, 2003).
                             22 Office  of  the   Compliance Advisor/
                               Ombudsman's Operational  Guidelines,
                               April 2000, at p. 7.
                             23|d. at p. 17.
                             24|d. at p. 13.
                             25 Id., at p. 22-23.
                             26 Asian Development Bank, Review of the
                               Inspection Function: Establishment of a
                               New Asian Development Bank Account-
                               ability Mechanism (May, 2003).
                             27 D. Clark, J. Fox & K. Treakle, Demand-
                               ing Accountability: Civil-Society Claims
                               and  the World Bank  Inspection  Panel
                               (2003).

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                                                                  KlLLMER    235
DESIGNING MANDATORY DISCLOSURE TO PROMOTE SYNERGIES
BETWEEN PUBLIC AND PRIVATE ENFORCEMENT

KlLLMER, ANNETTE B.
Environment and Natural Resource Specialist, Inter-American Development Bank
1300 New York Avenue, N.W., Washington, DC 20577, United States, akillmer@mac.com
SUMMARY

       This article describes the role of mandatory information disclosure approaches as
a remedy to limitations of traditional command-and-control regulation.
1 INTRODUCTION

       The task of reducing process pollu-
tion in a community setting, where emis-
sions from the manufacture of products
negatively affect the  larger community,
presents a particular challenge to environ-
mental practitioners, since there tends to
be a lack of formal relationships between
the polluter and those affected by the pollu-
tion (Tietenberg & Wheeler, 1998). This is
especially true when industrial  activity
affects larger segments of society or even
the global environment, as is, for example,
the case with the emissions of greenhouse
gases.  Yet,  even  under a  'sustainable
development scenario' of the future, it is
likely that the global level of industrial pro-
duction will increase relative to current lev-
els. As  the  World  Development Report
2003 points out, improving the quality of life
for current and future generations in devel-
oping countries will require a "substantial
growth in income and productivity" (World
Bank, 2003, p. xiii).  This growth is desir-
able, because industrial production has a
valuable,  positive  impact   on   society
through the manufacture of consumable
goods and the provision of  employment.
However, pollution intensity has to decline
at a rate commensurate with  the growth of
industrial output to prevent a net increase
in pollution (World Bank, 2000). Thus, envi-
ronmental  practitioners are faced with the
challenge of reducing the negative impacts
of industrial production - to the point of
altogether preventing  the  most harmful
emissions and wastes - so that they do not
entirely offset the positive impacts.

       The traditional approach to control-
ling pollution is through command-and-con-
trol regulation that stipulates a fixed, uni-
formly applicable environmental target, as
well as rules for monitoring and,  if neces-
sary,  enforcing1  compliance with  this
requirement (U.S. Congress, 1995). Com-
mand-and-control regulation can be very
powerful and is often employed when strict
adherence to a standard is required to pre-
vent deleterious consequences to human
health. Yet, as several scholars have point-
ed out, in both developed and developing
countries,  regulatory agencies  charged
with monitoring and enforcing these poli-
cies  frequently operate  under the con-
straints of limited budgets  and restricted
maximum financial penalties,  which  limits
the effectiveness of command-and-control
regulation (Dasgupta,  Laplante, & Mamin-
gi, 2001; Foulon, Lanoie, & Laplante, 2002;
Gunningham, Philipson, & Grabosky, 1999;
Harrington,  1988; Hentschel   &  Randall,
2000; Heyes, 2000; Laplante & Rilstone,
1996; World Bank, 2000). Moreover, from
an  economic  development perspective,
uniform standards  are considered ineffi-
cient if  abatement cost functions  differ

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236
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
between the regulated firms (Liibbe-Wolff,
2001; Office  of  Technology Assessment,
1995). To remedy these limitations, envi-
ronmental practitioners and scholars have
explored a variety of court-based and mar-
ket-based instruments, as well as - more
recently - information-disclosure approach-
es.2 This last type of approach, as a sup-
plement to traditional command-and-con-
trol regulation, is the focus of the current
paper.
       Mandatory information disclosure
approaches to pollution prevention have
acquired the reputation of a promising poli-
cy instrument in developed and developing
countries  (Stephan,  2002;  Tietenberg,
1998; World Bank, 2000,  and references
therein). In contrast to other environmental
policy instruments, information disclosure
approaches are not designed to influence
pollution levels directly, but rather require
firms to  regularly disclose certain environ-
mentally relevant information about their
processes or products to the general public
(Anderson & Lohof,  1997). This disclosure
can have considerable negative or positive
consequences for  the  disclosing firms,
because civil society may choose against
or in favor of a firm's products based on the
information provided. Similarly, the disclo-
sure may change a firm's market valuation
if it gives rise to concerns over future liabil-
ities or indicates  precautions against such
liabilities through  good environmental man-
agement (Anderson & Lohof, 1997; Barth &
McNichols, 1994; Blacconiere & Northcut,
1997; Garber &  Hammitt, 1998;  Konar &
Cohen,  1997, 2001; World Bank, 2000).
Empirical  evidence  from the  U.S.  Toxic
Release Inventory (TRI),  Indonesia's Pro-
gram  for Pollution Control, Evaluation and
Rating (PROPER)  and other disclosure
programs reveals significant improvements
in the participating  firms'  environmental
performances, in  some cases beyond com-
pliance  requirements, and the U.S. Toxic
Release Inventory  has even  resulted  in
proactive  initiatives  by heavily  polluting
industries (Afsah & Vincent, 1997; Arora &
Cason,  1995; Kappas, 1998; Khanna &
Damon,  1999;  Konar & Cohen, 1997;
Tietenberg & Wheeler,  1998; World Bank,
                              2000). Judging by these examples, manda-
                              tory  information  disclosures,  or  more
                              specifically the private efforts to enforce
                              pollution reductions that result from this dis-
                              closure, hold the promise of reducing the
                              need for costly regulatory enforcement -
                              which is clearly an  appealing  prospect
                              given the aforementioned restricted regula-
                              tory budgets.
                                     The challenge at this point, though,
                              is that the empirical evidence on  mandato-
                              ry information disclosure in the  reduction of
                              process pollution comes primarily from two
                              cases (the U.S. Toxic Release  Inventory
                              and  Indonesia's   PROPER),   and  the
                              dynamics introduced by the involvement of
                              civil society have received only limited ana-
                              lytic attention (Cunningham et al.,  1999;
                              Heyes, 2000; Stephan, 2002). As such, our
                              understanding of the circumstances in
                              which public and private efforts to reduce
                              pollution  are  indeed  complementary, or
                              "additive" (Heyes, 1998,  p. 59),  is insuffi-
                              cient to confidently generalize  from the
                              experiences of  Toxic  Release  Inventory
                              and PROPER. To improve our understand-
                              ing of these dynamics, a recent research
                              study considers the conditions under which  ,
                              the regulator's and civil society's efforts to
                              enforce  pollution reductions are comple-
                              mentary, and how the regulator can foster
                              this positive interplay (Killmer, 2004).  The
                              present paper draws on the key arguments
                              and findings from this larger study to derive
                              a set of recommendations that are pivotal
                              to   designing   mandatory  disclosure
                              approaches in ways that promote syner-
                              gies between  public and private enforce-
                              ment.
                                     Specifically, a systematic analysis
                              of the dynamics introduced by the involve-
                              ment of civil society in  pollution prevention
                              enforcement suggests  that the design and
                              implementation of a mandatory disclosure
                              policy should:
                              — Involve careful consideration of (a) what
                                information is presented, (b) how it is
                                presented and distributed, (c) how civil
                                society can be assisted in its use of the
                                information  through capacity building
                                and other education initiatives, and (d)
                                whether the existing  legal  and institu-

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                                                                    KlLLMER    237
   tional context permits the level of civil
   society involvement that the disclosure
   policy is supposed to encourage.
— Take into account that the effectiveness
   of  different  avenues  for civil society
   involvement varies with the regulatory
   context as well as with the nature and
   number of polluting firms.
— Make provisions to allow for a greater
   flexibility in the regulator's behavior than
   is generally accommodated by tradition-
   al command-and-control regulations.
       The  next section introduces the
analytical  model that was developed by
Killmer (2004) to investigate the dynamics
of interest here. Section 3 presents the key
insights provided by the model with respect
to conditions that  promote or hinder the
effective involvement of civil society  in the
enforcement process. The final section  of
this paper discusses the policy implications
that follow from these insights - particular-
ly those that  reveal counter-productive
dynamics - and thereby arrives at the rec-
ommendations listed above.

2 AN ANALYTICAL MODEL OF
  CIVIL SOCIETY INVOLVEMENT'

       The standard theory with respect
to imperfectly enforceable regulations  is
one of choice under uncertainty (Heyes,
1998). Much  of the literature in environ-
mental enforcement traces its roots to the
classic economic  analysis of  crime  by
Becker (1968), which suggests that an indi-
vidual or entity will weigh the certain cost of
compliance against the  expected penalty
for non-compliance  (Cohen, 1998; Heyes,
1998, 2000). A corollary of this theory is the
principle of marginal deterrence  (Shavell,
1992; Stigler, 1970), according to which the
decision to comply or not depends on the
absolute  expected  penalty, whereas the
decision about the  extent of non-compli-
ance depends on the marginal  expected
penalty. In the context of reducing process
pollution, these two theories predict that a
rational firm will comply with a performance
standard if and only if its cost of reducing
emissions to  the level of the standard  is
equal to or less than the expected penalty.
       The theories further predict that
non-compliant firms will emit at the level
where the increase in the expected penalty
associated with emitting one more unit of
pollution equals the abatement costs fore-
gone by emitting that extra unit.  Under this
traditional economic model of compliance
and enforcement, the firm's objective with
respect to a particular pollutant can be
 minxTotal=Abatement+p(monitot) * p(enforce) * Penalty[x-s]
    Cost   Cost[x]                     (Eq.1)
generically expressed as shown in Eq. 1,
where Abatement Cost[x] is the expense
incurred to achieve pollution level x, the
Penalty is a  function of the  difference
between actual emissions, x, and the  legal
pollution standard, s, and the likelihood of
having to pay the penalty is dependent on
the probabilities of monitoring and enforce-
ment (which, in more complex models, are
often specified to depend on  x and/or  s).
       The theories  do not specify the
source of the penalty, but  the theoretic
models in the pollution control literature
have largely focused on regulatory fines
associated with command-and-control reg-
ulation and on taxes or permit costs asso-
ciated with economic incentive instruments
(see overview by Cohen, 1998  and refer-
ence cited therein). In these models, the
regulator chooses certain parameters  (e.g.
the amount of the fine or  tax), and these
choices influence the  level of compliance
and hence the level of system-wide pollu-
tion abatement.
       However,  over the past decade,
civil society has noticeably entered into the
picture - though by and large not into the
equation of analytical enforcement models
- as a second source of pressure toward
pollution reductions. The systematic publi-
cation of environmental data in a  readily
accessible format  (such as the internet-
accessible Toxic Release  Inventory data-
base in the U.S.) has greatly assisted  pub-
lic participation in the enforcement process
by virtually eliminating the direct cost to civil
society of collecting the necessary informa-
tion. As such, public disclosure provides
the victims of process pollution with the

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
 minxTotal=Abatement + p(monitoi){ p(enforce) •
    Cost   Cost[x]
 + {1 - p(monitor)} * Penalty[d-s] + p(target) * CivilFinefd]
                   Penalty[x-s] + p(levyfine) * Fine[x-d]}
                                      (Eq.2)
data needed to create incentives for pol-
luters to control their emissions (Tietenberg
& Wheeler, 1998), and hence considerably
lowers the transaction costs of achieving a
more efficient outcome (Coase, 1960). In
short,  mandatory information disclosure
introduces civil society as a third party into
the  traditional  firm-regulator dyad  -  a
change that alters the firm's cost function in
several important ways, as shown in the
generic objective function for firms given by
Eq.2.
       The first alteration compared to Eq.
1 is that the regulator is now monitoring two
aspects of a firm's performance, namely
compliance with the pollution standard (as
before) and accurate disclosure. If, during
monitoring,  the regulator finds that dis-
closed emissions, d, are below actual emis-
sions, x, the firm would be fined for under-
disclosure with a certain probability3, which
translates into an additional expected cost
of p(monitor)*p(levyfine)*Fir\e[x-d] for the
firm. Second, a firm can choose to self-dis-
close a violation of magnitude [d-s] and
incur the associated penalty for non-com-
pliance. This  behavior has  an expected
cost of {1 - p(A77on/tor)}*Penalty[d-s]. The
third additional cost is any financial pres-
sure  brought  directly  by  civil  society
(CivilFine) against  polluting  firms.  The
expected cost from such pressure is a func-
tion of disclosed emissions, d, since that is
the information civil society acts on, and of
p(target), the  probability of  civil society
being successful in targeting a certain firm
and bringing direct financial pressure to
bear. Thus, combining a traditional pollu-
tion  standard with a mandatory disclosure
requirement can result in three additional
sources for increasing costs of non-compli-
ance to firms and hence for inducing them
to abate their levels of pollution.
        In making their decision, it is also
crucial that firms take  into  account the
behavioral flexibility of civil society. Unlike
the regulator, whose  actions are circum-
scribed by statutes and rules, civil society
             can exert pressure toward
             pollution reductions through
             various behaviors.  For the
             purpose of this discussion,
             six common types of inter-
vention are considered:
i.  No Action: Civil society receives infor-
   mation, but does not act on it.
ii.  Market Pressure: Civil society exerts
   direct pressure on firms through markets.
iii. Suits Against Firms: Civil society brings
   suits  against  certain non-compliant
   firms.
iv. Suit Against Agency: Civil society brings
   legal actions against  the regulator to
   increase the agency's monitoring and
   enforcement efforts.
v.  Suit Against Agency & Market Pressure:
   A combination of interventions (i) and (iv).
vi. Suits Against Agency & Firms: A combi-
   nation of interventions  (ii) and (iv).
       The  No Action case is included
here not only because it provides the com-
parison case to traditional models that do
not include civil society, but also because it
serves as a reminder that the mere wide-
spread publication of data does not auto-
matically translate into private actions. For
the  other intervention  behaviors,  it is
assumed that they are carried out with the
intention to  have an overall positive effect
on pollution reductions.
        Depending on which intervention
behavior civil society chooses, the firm will
face a slightly different objective function.
For example, the CivilFine term is likely to
be significant when civil society exerts mar-
ket pressure or brings suits against firms
(either alone or in combination with a judi-
cial  action  against the regulator), but is
equal to zero in the 'No Action' case and in
the pure 'Suit Against Agency' case. The
latter case differs from the No Action case,
in that civil  society can influence the firm
indirectly through a  successful judicial
action by inducing the regulator to increase
p(monitor), p(enforce) or p(levyfine). Thus,
firms  face  different objective functions
depending on the behavior of civil society.
Moreover, firms have only limited ability to

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                                                                     KlLLMER   239
foretell how civil society will intervene in the
process, unless  civil society is a priori
restricted in  its choices (for example,  a
country's legislation may not give its citi-
zens the necessary legal standing to  bring
judiciary actions).  In  this  way,  private
involvement  in the enforcement process
reduces the  predictability of interactions
within the system compared to  the tradi-
tional, highly  codified interactions between
firms and the enforcement agency.
        An important question  from the
perspective  of  environmental  decision
makers is whether - despite  or because of
this reduced  predictability - civil society's
involvement in the enforcement process is
ultimately effective4 in achieving pollution
reductions  beyond those that  could be
achieved by the regulator alone. This ques-
tion has been addressed in some detail by
Killmer  (2004) through  analytically solving
the particular  objective functions firms
would face under various sets of enforce-
ment conditions, whereby the sets of condi-
tions differ from each other  in the type of
intervention chosen by civil society, the reg-
ulator's  enforcement strategy,  and the
financial constraints imposed on  the regu-
lator and/or  civil society. Comparing the
solutions across the various  sets of condi-
tions reveals a number of important dynam-
ics that  policy makers should take into con-
sideration when designing mandatory dis-
closure  policies.

3 KEY FINDINGS REVEAL POTENTIAL
  CONFLICTS AND SYNERGIES

        With  regard to the effectiveness of
civil society involvement in enforcing pollu-
tion prevention policies,  the comparison of
environmental  outcomes under various
enforcement  conditions offers  four key
insights.
  Finding 1:  Under certain conditions,
  excluding civil society from the enforce-
  ment process through enforcing solely
  the performance standard (and expend-
  ing no resources on enforcing the disclo-
  sure  policy) leads to  the most effective
  environmental outcome.
       The dynamic described by Finding
1 can be observed when civil society exerts
pressure directly on firms, through the mar-
ket or legal suits, but has only limited
resources at its disposal to do so. The find-
ing is even more clearly illustrated in the No
Action case, where an exclusive  enforce-
ment of the performance standard is the
most effective and cost-effective5 strategy
for a budget-constrained regulator. Thus, if
civil society  does not have or chooses not
to expend  the  resources  to participate
meaningfully in the enforcement process,
excluding  civil society by not enforcing the
disclosure requirement allows the regulator
to focus all its resources on achieving lower
pollution levels.
        It  is important to note,  however,
that Finding  1 refers to reducing pollution in
an effective manner. Foregoing the moni-
toring and enforcement of an existing dis-
closure requirement is clearly not the most
desirable  strategy from a public access
perspective. Thus, Finding 1  also serves to
illustrate that achieving the  most effective
pollution reduction and the best public
access to information are  not invariably
compatible  objectives, even though both
are generally considered socially desirable.
       The dynamics just described indi-
cate that the effectiveness of civil society's
involvement depends on its resources for
such an involvement. In addition, civil soci-
ety's effectiveness depends either directly
or indirectly on the regulator's resources.
The direct link is apparent in the dynamics
associated with legal actions against the
regulatory agency:
   Finding 2: Suits brought by civil society
   against a social-cost-minimizing regula-
   tor, either solely or in combination with
   direct pressure on polluting firms, will
   increase  the  effectiveness of  enforce-
   ment if and only if the regulator is not
   bound by a budget constraint.
       Finding  2 emphasizes  that civil
society actions against a social-cost-mini-
mizing regulator do not have a positive
effect  unless the  regulator  is  able to
increase enforcement efforts in response to
those actions6. In this latter case, civil soci-

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
ety intervention can lead to more effective
pollution control because judicial actions
can induce the regulator to enforce pollu-
tion abatement beyond the social-cost min-
imizing level. (It is worth  noting that, while
abating pollution beyond the social-cost
minimizing level may be effective, it is not,
economically speaking, efficient.) On the
other hand, if the regulator  is unable to
increase its enforcement effort  due to a
binding budget constraint, judicial actions
that prescribe a  change in regulatory
behavior invariably mean that the available
resources have to be reallocated,  for exam-
ple to an increase in enforcement at the
expense of monitoring. Yet, a social-cost-
minimizing regulator would be expected to
choose the highest level of pollution control
feasible  within the binding budget  con-
straint,   and  hence  a   reallocation  of
resources would not lead to a more effec-
tive  outcome.  Moreover,  bringing   legal
actions against a budget-constraint regula-
tor is likely to reduce overall cost-effective-
ness compared to the No Action alterna-
tive, since the same amount or less pollu-
tion is reduced but at a higher cost, due to
the cost incurred by civil,society.
       An indirect link between  civil  soci-
ety's  effectiveness  and  the regulator's
budget resources is illustrated by the third
finding:
   Finding 3: Private enforcement through
   market pressure creates a disincentive
   for firms to disclose, particularly for firms
   with high levels of emissions.
        Under  a  combined  performance
standard/disclosure policy, the firm is faced
not only with penalties from the regulator
for non-compliance with the policy require-
ments, but also with the possibility that civil
society will  penalize  it for any disclosed
emissions. Firms can evade the pressure
from civil society to some extent  by under-
reporting their emissions.7 As modeled for
the purposes of the  present analysis, the
mandatory disclosure policy anticipates
this behavior and includes a regulatory fine
on under-reporting,  but (consistent  with
reality) this fine is not levied with certainty.
                              Thus, in making their disclosure decision,
                              firms have to weigh the expected cost of
                              inaccurate disclosure against the cost of
                              revealing their true emissions, which con-
                              sist of the  regulatory fine for non-compli-
                              ance with  the standard  and the  penalty
                              from  civil  society.  Since this combined
                              penalty from regulator and civil  society
                              tends to increase with a greater extent of
                              non-compliance,  firms that  know them-
                              selves to emit above the standard have an
                              increasing  incentive to under-report the
                              higher their levels of emissions.
                                      At  the same time,  civil society's
                              interventions are based on  the disclosed
                              information, and it is reasonable to assume
                              that civil society is particularly interested in
                              reducing pollution from firms that are emit-
                              ting  considerably  above the standard.
                              Hence, by  creating incentives for firms to
                              under-disclose, civil society inadvertently
                              limits its own involvement in the enforce-
                              ment process - unless the regulator coun-
                              teracts  the deterioration  in  data quality
                              through more stringent enforcement of the
                              disclosure  requirement8.  This  in  turn
                              requires the  availability  of  regulatory
                              resources and hence establishes an indi-
                              rect  link between  civil society's effective-
                              ness and the regulator's budget.
                                      It is  important to  note  that  an
                              increasing   demand   on    regulatory
                              resources  as a  result  of  civil  society
                              involvement is diametrically opposed  to
                              one  of the commonly cited  benefits  of
                              involving civil society in the enforcement
                              process, namely that it reduces the need
                              for costly regulatory enforcement. Finding 3
                              illustrates  that  mandatory   disclosure
                              requires some form of enforcement  to
                              ensure that the  requested information is
                              disclosed - and disclosed accurately. Yet, it
                              is in  large part the paucity of good informa-
                              tion about  actual emissions  that limits the
                              regulator's  ability to enforce pollution stan-
                              dards and other traditional command-and-
                              control regulations that demand continuous
                              compliance. Moreover, it is similarly difficult
                              for the regulator to gain access to complete
                              and  accurate pollution data, regardless of
                              whether the data are used to satisfy a per-

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                                                                    KlLLMER    241
formance standard or a disclosure require-
ment. Thus, mandatory information disclo-
sure does not circumvent the acquisition of
reliable information on which to act - and
hence does not resolve one of the funda-
mental problems  the regulator faces in
enforcing pollution control.
       Yet, despite  the   countervailing
dynamics mentioned  in conjunction with
the first three findings, the regulator's and
civil society's enforcement efforts can work
synergistically under certain conditions and
lead to more effective pollution control than
could be achieved by the regulator alone.
   Finding 4: Public and private enforce-
   ment is most likely to be complementary
   when the regulatory  budget  is binding
   and civil society exerts a reasonable
   level of direct pressure  on firms, either
   through markets or through citizen suits.
       Given a binding  regulatory budget,
the enforcement agency by itself is not in a
position to induce firms to reduce pollution
to the social-cost-minimizing level. Howev-
er, if  civil  society  has  the  necessary
resources to create incentives for firms to
reduce pollution  (see also Finding 1), the
regulator's best strategy  is to focus on
enforcing the disclosure requirement and
hence provide civil society with good-quali-
ty  information  about  actual emissions,
which  are then best used to exert direct
pressure on firms through the  market or
through citizen suits (see also Finding 2).
The regulator's task of obtaining reliable
information will be slightly complicated by
the fact that civil society levies a penalty on
disclosing  information  about  pollution,
rather than on the pollution  itself, when it
exerts pressure on the disclosing firms (see
also Finding 3). Nevertheless, under these
conditions, the positive effects of civil soci-
ety's involvement can be sufficiently large
to   outweigh   any   counter-productive
changes in firms' behaviors as well as the
constraints  imposed  on   the  regulator
through its budget. Judging by the empiri-
cal evidence available, this situation is in
fact given in the context of both the U.S.
Toxic Release Inventory and Indonesia's
PROPER, and it is presumably the situa-
tion envisioned for similar programs, such
as the ones in Canada, Mexico, the Euro-
pean  Union, and the Philippines (Environ-
ment  Canada, 2005; European Commis-
sion, 2004; Nauman, 2003; Presencia Ciu-
dadana, 2004; World Bank, 2000).

4 RECOMMENDATIONS FOR
  EFFECTIVE DISCLOSURE
  POLICIES REVISITED

       The  analysis  of the economic
model reveals three countervailing dynam-
ics that suggest, at least in theory, that the
success of the Toxic Release Inventory and
Indonesia's Program for Pollution  Control,
Evaulation and Rating may be the excep-
tion  rather  than  the rule. However, as
revealed by  the fourth finding, these coun-
tervailing dynamics do not occur invariably
- indeed, they can  be  largely avoided by
paying  due  attention  to their  possible
occurrence during policy design and imple-
mentation.
       As such,  the findings presented
here have three major policy implications.
First, it is important to establish that there is
a demand from civil society for the  informa-
tion provided, and that civil society has the
ability to become  meaningfully involved in
the enforcement  process. (Establishing
demand accurately  is unlikely to be feasi-
ble, but already active participation by the
intended target audience in the design and
implementation of the  policy will  be  very
helpful in gauging demand.)  While  non-
governmental organizations, shareholders
and competing firms in various countries
are adept at leveraging funds and taking
advantage of legal provisions that grant
them  access to the environmental policy
process, neither the demand for informa-
tion, nor the skills or legal provisions neces-
sary to act on it can be taken for granted.
Therefore, the design and implementation
of a mandatory disclosure policy should
involve careful consideration of  (a) what
information is presented,  (b) how it is pre-
sented and distributed, (c) how civil society
can be assisted in its use of the information
through capacity building and other educa-
tion initiatives, and (d) whether the existing

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
legal and institutional context permits the
level of civil society involvement that the
disclosure policy is supposed to encour-
age.
       Second, not all avenues for civil
society involvement are equally effective in
a given context. For example, while judicial
actions against the regulatory can certainly
be effective to achieve certain goals, Find-
ing 2 illustrates that they can also be inef-
fective or even counter-productive in some
contexts.  Similarly, citizen  suits against
firms tend to be limited by the existing pol-
lution standard, since they usually require
evidence that a firm is out of compliance
with an  existing regulation.  Nor  can it be
presumed that it  is always feasible for
shareholders, consumers or competitors to
exert  effective market pressure; a small
number of polluters, publicly-traded firms,
and those that produce products  or servic-
es which are directly traded  to consumers
are more easily targeted  effectively through
stock markets or consumer  boycotts then
large  numbers of polluters,  privately-held
firms, or those that produce  raw  materials
or  intermediate  goods. Therefore,  the
design and implementation of a mandatory
disclosure policy should take into account
that the effectiveness of different avenues
for civil society involvement varies with the
regulatory context  as well as  with  the
nature and number of polluting firms.
       Third,  introducing a mandatory dis-
closure  approach (and hence civil society
as a third party to the traditional regulator-
firm dyad) fundamentally changes the role
of the regulator. In this new context, the
regulator is not only charged with maximiz-
ing compliance by the polluting firms within
the usual budget  and maximum-penalty
constraints.  The regulator  also has  to
strategically respond to changes in firms'
behaviors  arising  from  civil  society's
involvement (which itself may vary in type
and intensity),  as well as operate under any
constraints imposed through legal actions
against the  enforcement agency. There-
fore, the design and implementation of a
mandatory disclosure policy should make
provisions to allow for a certain flexibility in
                              the regulator's behavior. Given such flexi-
                              bility, the regulator will be in a better posi-
                              tion  to  effectively adapt  its behavior to
                              these new demands.
                                     Thus,  systematic  analysis of the
                              dynamics  introduced   by  civil  society
                              involvement in the enforcement of pollution
                              prevention polices reveals important coun-
                              tervailing dynamics. Yet, these dynamics
                              can be forestalled through circumspect pol-
                              icy design and implementation, and  envi-
                              ronmental practitioners can thereby foster
                              a positive interplay between the regulator's
                              and civil society's efforts to enforce pollu-
                              tion reductions.

                              5 REFERENCES

                              1  Monitoring is here defined as the process
                                of verifying a firm's emission data and
                                compliance  with  the  standard,   and
                                enforcement  as  the  undertaking  of
                                actions (e.g.  imposing a penalty) to com-
                                pel a non-compliant firm into reducing its
                                emissions. Both public and private actors
                                can enforce compliance, yet governmen-
                                tal regulatory agencies are bound by any
                                enforcement rules specified in the associ-
                                ated regulations for the standard.
                              2 As used in this paper, court-based instru -
                                merits include tort law cases, citizen suits
                                and statutory liability  claims,  market-
                                based  instruments  include  pollution
                                charges and taxes, as well as tradable
                                permits and  pollution credits,  and  infor -
                                mation disclosure approaches  refer to
                                policies that require the systematic disclo-
                                sure of information by firms. Thus, the lat-
                                ter term does not include voluntary  or ad
                                hoc publications of information, such as
                                may occur through participation in volun-
                                tary eco-labeling  schemes,  corporate
                                reports,  court cases  or 'leaks'  to the
                                press.
                              3 Small  infractions are  unlikely to be pur-
                                sued, but, for example, the U.S. EPA can
                                levy up to US$27,500 per violation for fail-
                                ure to report the mandated information for
                                the Toxic Release Inventory on time.
                              4 Effectiveness in the current context refers

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                                                                   KlLLMER   243
 to  the  amount of  pollution  reduced,
 specifically the difference between the
 total amount of pollution in the absence of
 the policy (counter-factual case) and the
 total amount of pollution actually emitted
 by the firms in the system under a certain
 set of enforcement conditions.
5 Cost-effectiveness is here defined as the
 amount of financial resources expended
 per unit of pollution reduced.
6 This finding applies in the short- to medi-
 um-term.  In the medium- to long-term,
 successful judiciary actions may be used
 by the regulator to make its enforcement
 processes more efficient, to lobby for an
 increase in its budget or to leverage the
 pressure from civil society into obtaining
 other additional resources.
7 Incidentally, the model used in this analy-
 sis assumes that civil society can  exert
 some market pressure on targeted firms
 even in the absence of information, mir-
 roring, for example, reputational effects
 on firms in 'dirty industries'.
s In the United States, the regulator  often
 has access to self-reporting or monitor-
 ing-based data through other sources, but
 this situation is atypical, particularly in
 developing countries.

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
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                                                                    KLEIN   245
MEASURABLE TARGETS FOR ENFORCEMENT PERFORMANCE

KLEIN, WOUT
Project Manager, Inspectorate of Housing, Spatial Planning and the Environment
P.O. Box 16191, 2500 BD The Hague, The Netherlands, wout.klein@minvrom.nl
SUMMARY

       One of the minimum criteria for a professional environmental enforcement process
in the Netherlands1 is having a set of measurable targets for enforcement performance. It
is a subject of continuous, but useless, debate whether these targets should be in terms of
input (time, money), throughput (projects, procedures), output (inspections, enforcement
actions) or outcome  (compliance,  environmental results). All these types of target have
their own field of application. Quite what is the best type of target depends on the sort of
activity and on the stakeholder, so  in practice an inspectorate will combine all (four) types
of target. Whatever target is set, it should be monitored in the performance phase, and it
should be evaluated and improved  so that new actions, priorities and targets can be set in
the next planning phase.
1 INTRODUCTION

       The minimum criteria for a profes-
sional enforcement process that have been
agreed   in  the  Netherlands  require,
amongst other things, that measurable tar-
gets be set for enforcement performance.
       There are several different types of
target and they are generally classified as
either input, throughput, output or outcome
targets.  Often there  is discussion about
which type of target is best. Whilst politi-
cians and the public are often only interest-
ed in the  outcome, inspectorate  managers
feel they can only influence their own input
and  performance and so  believe  they
should be judged  on  these criteria alone.
How should this discussion be handled?
This paper sketches a general approach to
this issue. It is based on the report (avail-
able in Dutch only) "Meetbare doelstellin-
gen" (Measurable targets) (L. Rings and M.
Scholten).

2 THE FUNCTION OF TARGETS

       Targets  do not exist in isolation.
They are part of the management process
or management cycle of a professional
organisation. That process of professional
environmental enforcement is described in
detail and set out in terms of minimum cri-
teria in the Dutch project bearing the same
name. See W. Klein, "Minimum criteria for a
professional environmental  enforcement
process".  This  control process  is  also
described in clear terms in the sub-report
entitled "Besturen met kengetallen" (Man-
agement by indicators) (J. Tholen  and  J.
Wijnker).
       Before an enforcement target can
be formulated, the problem  must first be
defined (on the basis of an environmental
analysis and risk analysis). Next, the corre-
sponding enforcement task and activity
should be identified. Depending on the type
of enforcement task and the preciseness
with which  it is defined, an input, output,
compliance or environmental target can
then be formulated.  Generally speaking,
the  more precisely the problem that is the
subject of enforcement has been defined,
the  more precisely the enforcement  task
can be formulated and, consequently, the

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246
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Figure 1: Location of targets in the management process
                                                         Other
                                                       influences
'' Ito,






* IJTOCiBSS ,-
Efficiency

Number of
hours spent on
enforcement


* ,„,! til


(Quality criteria
promoting
professionalism)
nil

put



; 	 .. " ^wjifc

$''
Effect

Number of inspections
carried out
Number of sanctions
imposed
set, -".



Compliance
behavior
Environmental
effect
 K  V
                                               Indicators
more precise the target.

3 TYPES OF TARGET

       The general classification of tar-
gets ranging from input to outcome can be
specified as follows in relation to environ-
mental enforcement:
— input targets;
— performance targets;
— compliance targets;
— environmental targets.
       The first two types of target tell us
something about the organisation itself: the
effort made (number of hours) and the per-
formance delivered (number of inspections
carried  out  or  number   of  sanctions
imposed) by an enforcement organisation.
With the aid of these targets, it is possible
to measure an enforcement organisation's
efficiency. These targets fit in perfectly with
the existing planning and control practice of
the government.
                                    The last two types of target tell us
                             something about the effect of the enforce-
                             ment actions on the target group (compli-
                             ance behaviour) and on the environment
                             (environmental  effect). These targets are
                             an  indicator of the effectiveness  of the
                             enforcement actions (see Figure 2).

                             4 TARGET, ENFORCEMENT TASK
                               AND STAKEHOLDER

                                    No single type of  target is either
                             more or less important than  any other.
                             What is important is that a particular type of
                             target is applied to a particular type  of
                             enforcement task and the  manner  of
                             accountability (most)  appropriate to that
                             type of target. It is also important to know
                             for which actor the target is formulated.
                             — The enforcement body wants to be able
                                to do its work without interference and to
                                a high level of accuracy and quality. This
                                is best achieved by means  of an input
                                target specifying how much time and
                                other resources are available.

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                                                                      KLEIN   247
Figure 2: Types of target and their interrelationship
 K  V
— The manager  wants  to  manage  his
  responsibilities well and as fully as pos-
  sible with the resources available. This
  is best achieved with a performance tar-
  get indicating what needs to be done.
— The inspector, the judicial authorities
  and the minister responsible  want to
  see conformity with standards and do
  not wish to be confronted with unexpect-
  ed disasters or breaches of standards.
  This is best achieved with a compliance
  target indicating the risk in the event of
  non-compliance.
— The citizens and  government want  the
  highest possible quality of living environ-
  ment.  This is  best achieved with  an
  effect target indicating the type and level
  of quality to be achieved.

5 SMART FORMULATION

       In order to be effective, every form
of (enforcement) target must be formulated
in unambiguous terms and only capable of
a single interpretation. In order to achieve
this,  enforcement targets should formulat-
ed in "SMART" terms.  This means that  the
targets must be:
— Specific: The target  must relate to a spe-
  cific enforcement  task, target  group
  and/or regulation  or (selection of) regu-
  lations.
— Measurable: The target must be meas-
   urable. This means that the target must
   be formulated in quantitative terms and
   that it is clear which elements are to be
   measured.
— Acceptable: The result set out in the tar-
   get should be sufficiently acceptable to
   the organisation.
— Realistic: The organisation must be real-
   istically able to meet the target.
— Timed: The target should have a set
   period within which the effort or perform-
   ance is to be delivered, or within which
   the effect  (compliance behaviour  or
   environmental effect) is to be achieved.

6 CHOICE OF ENFORCEMENT TARGET

       The choice of a particular enforce-
ment target  depends on the type  of
enforcement task and the preciseness with
which that task is  described.  Generally
speaking, the more precisely the problem
that  is  the  subject  of  enforcement  is
described, the more precisely the enforce-
ment task can be formulated and, as a con-
sequence, the more precise the target.
       Enforcement  tasks  include,  for
instance:
— exploratory survey of current  compli-
   ance behaviour, or of ways of influenc-

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248
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Figure 3: Overview of choice of target type
                                        I will do
                                       something
                                       about this.
                                        I will do
                                          this,
                                                                  Performance
  Problem
   If  V
                          I would like
                          to see this
                           behavior.
                                                                   Compliance
                                      I would like
                                       to achieve
                                      this quality
                                         (tevel),;
                                                       in ironment:
   ing that behaviour or performing inspec-
   tions;
— enforcement of specific laws and regula-
   tions, possibly further specified for cer-
   tain target groups and topics;
— implementation of enforcement projects
   focusing  on  sectors, target groups,
   areas, topics or collaborative projects;
— comprehensive enforcement.
       Each task may have a different
object, and that object also determines the
character of the measurable target.  See
Figure 3.
       The  tasks  can be identified  and
specified according to the particular context
in each country. In the case of the Nether-
lands, for example, a card entitled "Measur-
able enforcement  targets" is used.  This
                             card provides the following details for each
                             type of target:
                             — definition of the target;
                             — practical examples of the target;
                             — possibilities for use;
                             — parameters  (user requirements) that
                                apply to the definition of that target;
                             — examples of how the type of target in
                                question can be formulated;
                             — overview of possible indicators used
                                with the target.

                             7 REFERENCES

                             1 See Klein,  Minimum Criteria For a Profes-
                               sional Environmental Enforcement Pro-
                               cess,  7th  INECE  Conference  Proceed-

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                                                                       KLEIN   249
 ings Vol. 1. Available online at http://www.
 inece.org/conference/7/vol1 /.

8 BIBLIOGRAPHY

Klein, W., "Minimum Criteria For A Profes-
sional  Environmental  Enforcement  Pro-
cess"  (in  English),  2002.  Available  at
http://www.lim-info.nl/professionalisering.
Rings, L.  and Scholten,  M.,  "Meetbare
doelstellingen" (Measurable  targets), sub-
report  (in  Dutch) of the  Dutch  project
towards a more professional environmental
enforcement process. Available at http://
www.lim-info.nl/professionalisering.
Tholen, J. and  Wijnker,  J.,  "Besturen met
kengetallen" (Management by indicators),
sub-report (in Dutch) of the Dutch  project
towards a more professional environmental
enforcement process. Available at http://
www.lim-info.nl/professionalisering.

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250          SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                                   KLEIN   251
MINIMUM CRITERIA FOR A PROFESSIONAL
ENVIRONMENTAL ENFORCEMENT PROCESS, PART II

KLEIN, WOUT
Project Manager, Inspectorate of Housing, Spatial Planning and the Environment,
P.O. Box 16191, 2500 BD The Hague, The Netherlands, wout.klein@minvrom.nl
SUMMARY

       Environmental enforcement agencies (inspectorates) in the  Netherlands have
adopted a set of minimum criteria or quality standards that should be met by any Inspec-
torate in order to ensure a professional enforcement process. In an orchestrated campaign
from 2002 through 2005, the Inspectorates made an enormous leap forward to accomplish
this objective.
1 INTRODUCTION

       From 2002 through 2005, a nation-
al project was carried out in the Nether-
lands by all Inspectorates  of the local,
provincial, and national governments to
improve, or rather ensure, a "professional
environmental enforcement process" within
all these agencies.
       This project started by designating
the minimum criteria for such a profession-
al process.  Consequently, all agencies in
the Netherlands went through a self-evalu-
ation process to determine  the extent to
which they satisfied these criteria on 1 Jan-
uary 2003. As was to be expected, not one
of the  approximately 550 agencies was
completely professional. On the contrary,
the vast majority of the Inspectorates could
not satisfy more than  half of the minimum
criteria. This was no surprise, but it was a
perfect starting point for  a collective
improvement activity.
       All  agencies  committed them-
selves  to fulfillment of the criteria by 1 Jan-
uary 2005.  Again they conducted a self-
evaluation; its results are presented in this
paper.
2 THE PROJECT

       The project aiming at a "profes-
sional environmental enforcement process"
in the Netherlands was initiated in 2001 by
the then Minister of Housing, Spatial Plan-
ning  and the Environment, Mr. Jan Pronk.
Mr. Pronk proposed a rearrangement of
inspecting  authorities, in particular to
reduce the number of inspecting bodies
from  500 to no more than 50.
       The competent authorities respon-
sible for the existing Inspectorates suc-
cessfully opposed this policy by arguing
that  the main focus  should not be the
organization of the Inspectorates but rather
the quality of their performance. They pro-
posed the development of a set of mini-
mum criteria for a professional environ-
mental  enforcement  process,  thereby
ensuring:
— Professional people.
— Professional policies.
— Professional procedures.
— Professional performance.
— Professional products.
       The  Minister  agreed that  if the
existing Inspectorates could prove that they

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252
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
satisfied the elaborated set of minimum cri-
teria by January 2005, then the reduction of
the number of Inspectorates would become
unnecessary.  The elaborated set of mini-
mum  criteria was developed during the
spring and summer of 2002 and was finally
adopted on 1 November 2002. To establish
a reference for improvements, all Inspec-
torates conducted a self-evaluation on how
they fulfilled the minimum criteria on  1 Jan-
uary 2003. An independent consultant veri-
fied all of these self-evaluations. A report
was published with the national results of
this "zero measurement" and all Inspec-
torates and authorities had a clear insight
into what had to be improved.
       The years 2003  and 2004 were
used  for improvement activities.  In the
Inspectorates, teams  were  appointed to
develop strategies or protocols. Inspec-
torates from neighboring  municipalities or
with similar tasks, such as the 10 bodies of
"Rijkswaterstaat"  (the   Department  of
Waterways  and  Public  Works),  came
together to develop methods and policies.
On the national level, a group of partici-
pants from all kinds of authorities organized
the communication on  these  initiatives,
facilitated the dissemination of good prac-
tices,  conducted several studies, and pro-
posed several good practices  of general
use.
       The "final measurement" of the sit-
                              uation on 1 January 2005 was conducted in
                              exactly the same way as the zero measure-
                              ment.

                              3 RESULTS

                                     The results can be seen from the
                              percentage of criteria that were fulfilled by
                              the Inspectorates. As there are roughly 50
                              minimum criteria, each criterion that is not
                              fulfilled reduces the  score by 2%. This
                              means that an Inspectorate that scores 90%
                              did not satisfy 5 of the minimum criteria.

                              3.1     A Great Leap Forward, But...
                                     Given the results of the final meas-
                              urement,  it can be concluded that the
                              enforcement agencies  have made a great
                              leap forward in professionalizing their envi-
                              ronmental enforcement.
                                     The  following  table shows  the
                              degree  to which all enforcement agencies
                              satisfy the minimum criteria in  2005, and
                              the extent to which they satisfied those cri-
                              teria in 2003. The table shows that in 2003
                              no single agency or organization fulfilled
                              more than  90% of the minimum criteria. In
                              2005,  32.9% of the  agencies satisfied
                              100% of the minimum criteria and 40.6%
                              fulfill 90% to 100% of the criteria. This
                              means that in 2005, 73.5% of all enforce-
                              ment agencies satisfy more than 90% of all
                              minimum criteria. This great majority of the
Table 1: Extent to which the enforcement agencies satisfied the minimum criteria during
        the zero measurement in 2003 and the final measurement in 2005
% minimum criteria
100
90-100
80-90
60-80
40-60
20-40
<20
Absolute numbers and (%)
Enforcement agencies
Zero measurement 2003
(Out of 542 agencies)
-
-
8 (2%)
122 (22%)
145 (27%)
212 (39%)
55(10%)
Absolute numbers and (%)
Enforcement agencies
Final measurement 2005
(Out of 517 agencies)
170(32,9%)
210 (40,6%)
56(10,8%)
65(12,6%)
8(1,5%)
6(1,2%)
2 (0,4%)

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                                                                      KLEIN   253
Table 2: Number of enforcement agencies that satisfy all minimum elements
Enforcement Agencies
Local government
Provincial government
VenW Inspectorate
Rijkswaterstaat-diensten (Agencies of the
Ministry of Waterways and Public Works)
VROM-lnspectie (Inspectorate for
Housing, Spatial Planning and the
Environment)
Waterschappen (District Water Boards)
Total
Number meeting all
(Out of 51 7
minimum elements
agencies)
141 (30%)
7 (58%)
1 (100%)
10(100%)

11 (42%)
170 (32.9%)
agencies have turned in a tremendous per-
formance during this time, mainly thanks to
the hard work and dedication of the civil
servants and managers.

3.2     Final Target Not Achieved
       The objective and the administra-
tive commitment at the start of the project
were  aimed  at  getting all  enforcement
agencies in the Netherlands to satisfy all
the minimum elements of the quality crite-
ria by 1 January 2005. This would mean
that 100%  of the agencies would satisfy
100% of the minimum quality criteria.
       That target was not achieved. Of
the 517 agencies, 170 now satisfy 100% of
the minimum elements and  210 satisfy
between 90% and 100% of those elements.
Together, this is over 73% of all agencies.
The other 27% therefore satisfy less than
90% of the quality criteria and have thus
professionally organized their enforcement
process in  an unsatisfactory way. For 16
agencies, in the two years or more that
were available to them, they could not sat-
isfy more than a maximum of 60% of the
agreed quality criteria. Furthermore, during
the verification process,  it was noticeable
that the attention of the enforcement agen-
cies was mainly directed at the elements
and criteria and to a lesser extent on their
mutual relationship.
       At  present,  almost  33%  of all
enforcement agencies satisfy all the mini-
mum  criteria.  Compared  to the original
objective, this result is quite disappointing.
       It should be noted here, however,
that cases where criteria are "not satisfied"
sometimes involve minimal deviations. For
example, the VROM Inspectorate does not
score 100% but 98% because  it does not
satisfy the criterion "Supervision strategy".
The VROM Inspectorate does indeed have
supervision strategies for all of its  varied
and different tasks, but it has no compre-
hensive supervision strategy.
       In practice, the main focus is on the
137 (26.5%) agencies that satisfy less than
90% of the minimum criteria.

3.3    Use of the Statutory Instruments
       While  making the agreements  in
2002, a statutory regulation was designed
for those cases in which the criteria would
not be satisfied after 1 January 2005. The
Provincial Governments  are playing  an
important role in this area as  directors and
prime movers.  If considered necessary, the
State  can also take on its responsibility -
for example, by reducing the overall num-
ber of  Inspectorates.  These  statutory
instruments, which have since been imple-
mented, will now  be used to nonetheless
bring stragglers to a professional enforce-
ment level. That can have far-reaching con-
sequences for those stragglers.

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
It basically means the following:
— Agencies which satisfy 100% of the cri-
  teria in the final  measurement. These
  will  receive the compliments of  the
  Provincial director and will be urged to
  vigorously continue with the implemen-
  tation of further professionalization.
  These agencies will also be highlighted
  as best practice and in that way will help
  to achieve  a further dissemination of
  professional   enforcement   in   the
  Province.
— Agencies which do not satisfy 100% of
  the criteria in the final measurement but
  which the Provincial director believes
  can still satisfy those criteria under their
  own steam and in the short term (in any
  case before 1 October 2005). These
  agencies will receive notification  from
  the Provincial director about which miss-
  ing elements they will be expected to
  have within  which period of time, includ-
  ing notification that if they do not satisfy
  the criteria  on time the provincial  gov-
  ernment will issue an instruction  ('pre-
  announcement' instruction).
— Agencies which do not satisfy 100% of
  the criteria in the final measurement and
  which the Provincial director believes
  still cannot satisfy them  under their own
                                 steam  or in  the short term, a  strict
                                 timetable will apply.  In those cases, the
                                 Provincial Executive should instigate the
                                 instruction procedure on or shortly after
                                 1  October 2005 at the latest. That also
                                 applies to those situations for which it is
                                 clear on 1 October 2005 that the identi-
                                 fied  deficiencies  have    not   been
                                 resolved.
                                     This  further  handling  of  the
                              process will still be coordinated and moni-
                              tored nationally.  In 2007, there will be an
                              evaluation of how the statutory system and
                              the quality criteria are functioning.

                              4 REFERENCES

                              1 See Klein, W.  "Minimum Criteria For A
                               Professional Environmental Enforcement
                               Process,  " INECE 7t Conference Pro-
                               ceedings,  Vol 1. Available at http://www.
                               inece.org/conference/7/voh/.
                              2 Id.
                              3 Klein, W.  "Minimum Criteria for a Profes-
                               sional Environmental Enforcement Pro-
                               cess"  (in  English),  2002,  available  at
                               http://www.lim-info.nl/professionalisation
                              4 More material  (in  Dutch) on the Dutch
                               project is available  at http://www.lim-
                               info.nl/professionalisation

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                                                            KRAVCHENKO   255
STRENGTHENING IMPLEMENTATION OF MEAS:
THE INNOVATIVE AARHUS COMPLIANCE MECHANISM

KRAVCHENKO, SVITLANA
Vice-Chair of the Compliance Committee under the Aarhus Convention; Professor of
Law, J.D., Ph.D., LL.D., University of Oregon School of Law, 1515 Agate St., Eugene,
OR, slana@icmp.lviv.ua
SUMMARY

       International compliance mechanisms vary greatly from one multilateral environ-
mental agreement (MEA) to another. The compliance mechanism established under the
Aarhus Public Participation Convention1 is unique in some respects. This article will pro-
vide a brief look at its innovations.
1 INTRODUCTION

       The  United  States  made  an
appearance at the First Meeting of the
Parties under the Convention in Lucca,
Italy, in 2002, apparently for the  primary
purpose of criticizing the compliance mech-
anism. In a prepared statement, delivered
forcefully, it noted a 'Variety of unusual pro-
cedural roles that may be performed by
non-State, non-Party actors, including the
nomination of members of the Committee
and the ability to trigger certain communi-
cation requirements by Parties under these
provisions." The United States stated fur-
ther that "the United States will not recog-
nize this regime as precedent."2 The
Western European nations participating in
the Meeting of the Partiess responded with
vigor from the floor4 and proceeded to
adopt the compliance mechanism by a
unanimous vote.5
       What sparked such debate? What
were the innovations adopted in this com-
pliance mechanism? How is the  mecha-
nism actually being implemented? And is it
likely that this mechanism will be success-
ful in improving compliance by Parties, as
compared to  compliance  mechanisms
used under other MEAs?
2 AARHUS AND PUBLIC
  PARTICIPATION: LAYING
  THE GROUNDWORK FOR
  DEMOCRATIC "REVOLUTIONS"

       After the fall of the Berlin Wall in
1989 and the breakup of the Soviet Union
in 1991, Western Europeans were deter-
mined to bring democracy and wisdom
from the West to the East. The Aarhus Con-
vention became a key part of the democra-
tization process of Central Europe, Eastern
Europe, the Caucasus region, and Central
Asia.e
       Democratization - both in the vot-
ing  booth and in the halls of bureaucratic
decisionmaking -  is surely  succeeding.
After several years of debilitating civil war
in former Yugoslavia, we all witnessed the
inspiring protest against government vote
fraud that became a democratic revolution
in Serbia in 2000. Then, 12 years after the
fall of the Soviet Union, we marveled at the
seemingly swift "Rose Revolution" in the
Republic of Georgia in 2003, as citizens
again took to the streets to demand that
those who had falsified the election resign.
Finally,  the cliff hanging weeks of demon-
strations and legal actions of the Ukraine's
Orange Revolution, after yet another exam-

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
pie of massive vote fraud on the part of the
authorities, resulted in the January 2005
inauguration  of the first  President  of
Ukraine after a  re-run of the election that
became truly free and fair.
       These events did not "drop from
the Moon," as we say in Ukraine. Rather,
they grew from the soil of local grassroots
democratic activism, watered by interna-
tional efforts to broaden public participation
in  government decisionmaking, and fertil-
ized by both local and international support
for the steady growth of civil society.
       Two particular international efforts
to  broaden public participation between
election days deserve special recognition.
The  Regional Environmental Center for
Central and Eastern Europe (REC) in Hun-
gary provided funding, guidance, and inspi-
ration for a whole generation of local advo-
cates for environmental democracy (public
participation in environmental decisionmak-
ing) through projects including the seminal
publication of a four-volume series of books
titled Doors to Democracy.7
       The second event combined inter-
national   diplomacy   with   grassroots
activism.  Negotiations  throughout .the
1990s culminated in the  signing of  the
Aarhus Public Participation Convention in
Denmark in 1998 by 35 countries. Efforts to
obtain the required minimum number of 16
ratifications of the  Convention resulted in
its entry into force just three years later in
October 2001.s
       During the  negotiation of the Con-
vention between 1996 and 1998, the gov-
ernments of Western, Central, and Eastern
Europe and the Caucasus and Central Asia
broke new ground in the involvement of
civil  society  in  international diplomatic
negotiations.  Early on,  the  participants
decided that because the goal of this Con-
vention  was to  provide  new avenues for
transparency  and  public participation in
government  decisionmaking,  it  made
sense to apply those principles in the very
process being used to create the Conven-
tion. As a consequence,  nongovernmental
organizations were invited to form an NGO
coalition  and take seats at the negotiating
table. To an  extent apparently unprece-
                             dented in the  negotiations of MEAs, the
                             NGO "observers" were given their own
                             "flag" of identification at the table and the
                             right to request the floor and offer the views
                             of civil society at each stage of the negoti-
                             ating process. They were able to lobby gov-
                             ernmental delegates in the  corridors and
                             coffee shops, and they offered specific lan-
                             guage for the Convention, some of which
                             was accepted by the delegates from partic-
                             ipating countries.9
                                    In the period between signing the
                             Convention  in  1998,  entry into force in
                             2001, and the first Meeting of the Parties in
                             2002, a great deal of preparatory work had
                             to take place.  Under the  auspices of the
                             United Nations  Economic Commission  for
                             Europe (UNECE) in  Geneva, the countries
                             that negotiated the Convention worked in
                             task forces and intergovernmental working
                             groups to design various measures neces-
                             sary for the  smooth functioning of a new
                             MEA. These included holding Meetings of
                             the Signatories  in Moldova and Croatia,
                             drafting  proposed   Rules of Procedure,
                             preparing proposals for a Bureau of the
                             Convention  and Working Groups of the
                             Parties to function between Meetings of the
                             Parties,  and  designing  a  Compliance
                             Mechanism required by the Convention. As
                             before,  NGO representatives were con-
                             stant participant-observers  in  all  these
                             processes.10

                             3 INNOVATIVE NATURE OF THE
                               AARHUS COMPLIANCE COMMITTEE

                                    One of the  most significant and
                             interesting innovations for  MEAs  is the
                             compliance mechanism that was created to
                             help ensure that countries comply with the
                             commitments that they have made to one
                             another  in the Aarhus Convention. The
                             compliance  mechanism is  now working.
                             Ten cases have been brought to the Com-
                             pliance Committee by NGOs and, in one
                             case, by a government. The Aarhus compli-
                             ance mechanism has several innovative
                             features.
                                    First, pursuant to Decision  I/7 of
                             the  Meeting of the Parties  (2002)" the
                             Compliance Committee consists of eight

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                                                               KRAVCHENKO   257
independent experts who have recognized
competence in the field and who serve in
their personal capacity. In comparison with
other conventions, which have compliance
mechanisms consisting of representatives
of governments,12 this structure is more
dynamic and flexible  because members
can express their own opinions and do not
have obligations to check with their govern-
ments. One example of the effect of  a com-
pliance  committee consisting of  Parties
instead of independent experts occurred at
a  conference  where  a member  of  the
Espoo Convention's  Implementation Com-
mittee encountered an NGO representative
who had filed a complaint with the Commit-
tee. She said to him,  "How can you oppose
your own government? Shame on you!"13
        Furthermore,  while  serving  as
independent experts, they are expected to
give their best professional judgment in the
matters  brought before them, and not com-
promise that judgment in order to achieve
diplomatic or  political goals. The commit-
tee's recommendations go to the Meetings
of the Parties, where  governments have
the opportunity to bring  diplomatic  and
political concerns to bear in reaching a,
decision.
        Second, members of the Commit-
tee were nominated not only by Parties and
Signatories (which is the general rule), but
also by  non-governmental  organizations
promoting environmental  protection  and
falling within the scope of article 10, para-
graph 5, of the Convention. This was one of
the features that drew the ire of the repre-
sentative of the United States at the first
Meeting of the Parties in Lucca, Italy, in
2002.
       Third, the Compliance Committee
accepts not only the submissions of  Parties
and referrals  from the Secretariat about
non-compliance   with  the  Convention
(which is a rule in other conventions)14 but
also communications from the public. Arti-
cle 15 of the Convention provides:
   The Meeting of the Parties shall estab-
   lish,  on  a consensus  basis, optional
   arrangements of a non-confrontational,
   non-judicial and consultative nature for
   reviewing compliance with the  provi-
  sions of this Convention. These arrange-
  ments shall allow for appropriate public
  involvement and may include the option
  of considering  communications from
  members of the public on matters relat-
  ed to this Convention.15 This was fol-
  lowed by  adoption  of the compliance
  mechanism, which provides that "com-
  munications may be brought before the
  Committee by one or more members of
  the public concerning that Party's com-
  pliance with the Convention."16
       This  openness to public participa-
tion by civil society has already produced
remarkable results in the functioning of the
committee. Eleven cases have been initiat-
ed by communications from NGOs.17

4 TRANSPARENCY OF THE
  COMPLIANCE COMMITTEE
  PROCEDURE

       According  to  the  Committee's
Modus Operand!, in order to facilitate pub-
lic access to information related to compli-
ance issues, the Committee agreed that
communications that had, on a preliminary
basis, been determined to be admissible
should be  posted on the UNECE website
after they had been forwarded to the Par-
ties concerned.18
       Almost all information in the Com-
pliance Committee is open. No information
held by the Committee is to be kept confi-
dential unless it falls under the narrow
grounds for exemption in Article 4, para-
graphs 3 and 4 of the Convention. In addi-
tion, information is to be kept confidential if
the person who submitted information  to
the Committee has asked to keep it confi-
dential because of concern that she or he
may be penalized, persecuted or harassed.
       The Committee requested the Sec-
retariat to  publicize all official documenta-
tion and new aspects of modus operand!
through the website to enable the public to
track the processing of submissions, refer-
rals and communications.
       The Compliance Committee meet-
ings are open for the public, except for the
deliberations and decision-making. Non-
governmental   organizations  such  as

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258
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Earthjustice and the Center of International
Environmental Law participate regularly in
the Committee  meetings as observers,
offering their comments on each case. The
Committee invites parties to a dispute - the
Party (state) concerned or the Party mak-
ing a submission,  and the member of the
public making  a  communication to the
Committee - to Committee meetings  in
order to participate in the discussion. They
can participate in the entire meeting except
during closed deliberations involving adop-
tion of findings, and measures and recom-
mendations of the  Meeting of the Parties.

5 THE POWER OF THE COMMITTEE

       The Compliance Committee began
to address the merits of the communica-
tions at its sixth  meeting,  in December
2004 in Geneva. The Committee's Chair-
man, Prof. Veit Koester (Denmark), a dis-
tinguished veteran of negotiations on many
international environmental  treaties,  has
stated that: "If and when the Committee
does reach some conclusions, these will be
referred to the Meeting  of the Parties,
which will be the final arbiter  as to whether
or not there is a case of non-compliance."19
       The Committee makes recommen-
dations to the Meeting of the Parties.  In
addition,   the   compliance   mechanism
adopted by the First Meeting of the Parties
provides  that, with a goal of addressing
compliance issues without delay prior to a
Meeting of the  Parties, the Compliance
Committee may, in consultation with the
Party concerned, "provide advice and facil-
itate assistance  to   individual  Parties
regarding the implementation of the Con-
vention.'^
       Furthermore,  with the agreement
of the Party concerned, the Committee can
(prior to a Meeting of the Parties) take the
measures listed  in  paragraph 37(b), (c) and
(d) of the compliance mechanism, namely:
   [M]ake  recommendations to the  Party
   concerned; request the Party concerned
   to submit a strategy, including a  time
   schedule, to the Compliance Committee
   regarding the achievement of compli-
                               ance with the Convention and to report
                               on the implementation of this strategy; in
                               cases of communications from the pub-
                               lic, make recommendations to the Party
                               concerned  on  specific  measures  to
                               address the matter raised by the mem-
                               ber of the public.21

                             6 NATIONAL REPORTS

                                    In addition to the complaint proce-
                             dure, the required submission of a National
                             Report by each Party has the potential to
                             become an important tool, especially if
                             NGOs are allowed to participate. The Com-
                             pliance Committee will make a report and
                             the Secretariat will make a synthesis report
                             to the 2005 Meeting of the Parties based
                             on the National Reports. On the invitation
                             of the Secretariat the Compliance Commit-
                             tee plays a consultative role in preparation
                             of a synthesis report. However, it is already
                             obvious that some Parties do not treat this
                             duty to report seriously.22 Only 16 out of 33
                             Parties sent their National Reports on time,
                             plus another 4 submitted them with a small
                             delay. In addition, the quality of National
                             Reports differed greatly. For example, Turk-
                             menistan wrote a report just two pages long
                             and did not provide any information, and it
                             was of low quality. Ukraine's report was too
                             long and repetitive. The Reports of  Norway
                             and  Belarus,  on  the  other hand, were
                             excellent.
                                    Almost all National Reports were
                             made in a transparent and participatory
                             process. Governments sent draft reports to
                             NGOs or put them on a website, and held
                             consultations or public hearings. The public
                             had a chance to submit comments. In some
                             National Reports public  comments were
                             taken into account or even  included in  the
                             addendum (Armenia,  Kyrgystan). Many
                             other countries, however, provided no indi-
                             cation in their National Reports of whether
                             the  public participation made any differ-
                             ence or whether public  comments were
                             taken into account.
                                    The 2005 National Reports show
                             that many countries changed their legisla-
                             tion to comply with the Aarhus Convention.

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                                                                KRAVCHENKO   259
Western European countries, according to
their  legal  traditions,  made  legislative
changes before ratification.  EECCA coun-
tries, on the other hand, continue to change
their domestic laws after ratification. The
Constitutions in several countries declare
that international treaties and conventions
have direct effect on the legal system, but
without clear transposition of Convention
provisions into national legislation there is
little hope that real change will occur as a
mere result of ratification.
       The National Reports do show that
a great deal of progress has been  made by
EECCA countries in terms of making envi-
ronmental  information  available  on  the
Internet, which was only a dream a few
years ago.  Furthermore, Aarhus  Conven-
tion information centers have been created
in many  countries. Trainings have  been
organized for NGOs and decision makers.
Still, problems exist. Countries in transition
identified obstacles in their  2005  National
Reports such as lack of capacity to imple-
ment the Aarhus Convention, financial diffi-
culties, and a low level of  public aware-
ness.

7  FIRST CASES BEFORE THE
   AARHUS COMPLIANCE COMMITTEE

       All EECCA countries (except Rus-
sia and Uzbekistan) signed the Convention
and ratified it, but this does not necessarily
mean that they will comply with it. There is
a longstanding tradition to have internation-
al conventions and domestic laws on paper
but with inadequate enforcement. Of  the
eleven cases under consideration by  the
Committee,  eight are about alleged non-
compliance  of  EECCA  countries. Three
cases  of alleged non-compliance  by Par-
ties, which were considered by the Compli-
ance  Committee  at  its 7th meeting on
February 16-18, 2005, will illustrate  the
range of issues that face the Parties and
the public.
       Kazakhstan ratified the Convention
in 2001, which as an international treaty
ratified by Kazakhstan, has direct applica-
bility in the Kazakh legal system. Kaza-
khstan's  Law on Ecological Expertise
(adopted in 1997) contains general provi-
sions on public participation, but it was not
implemented in the case of construction of
the Gornyi Gigant power  line23 because
regulations for public participation were not
adopted until 2004.
       Turkmenistan deposited its instru-
ment of accession to the  Convention on
June 21, 1999. The Convention entered
into force for Turkmenistan on October 30,
2001. On October 21, 2003, a new law "On
Public  Associations" was  adopted.  This
Law does not comply with the Convention,
according to the decision  of the Compli-
ance Committee at its 7th meeting.  The
Law introduced a new regime for registra-
tion, operation, and liquidation of non-gov-
ernmental organizations. This appears to
be in breach of the provisions of article 3,
paragraph 4, of the  Convention,  which
require a country to provide for appropriate
recognition of and support to associations,
organizations or groups promoting environ-
mental protection and to ensure  that its
national legal system incorporates this obli-
gation. It also does not comply with article
3, paragraph 9, which requires countries to
provide the possibility for the public to exer-
cise their rights under the Convention with-
out discrimination as to citizenship, nation-
ality, domicile, or location of an entity's reg-
istered seat.24
       The Committee received a submis-
sion by the Government of Romania con-
cerning compliance by the Government of
Ukraine with the treaty.
       The submission, made on June 7,
2004, alleged a violation by Ukraine of the
provision  that  ensures that the public
affected or likely to be affected by the Bys-
troe deep-water navigation canal project in
the Danube Delta was informed early in the
decision-making procedure about the fact
that the project was subject to a national
and transboundary environmental impact
assessment procedure. The Committee
agreed to consider the issues side-by-side
with a communication on the Bystroe canal
made by the Ukrainian NGO Ecopravo-Lviv
on May 5, 2004.
       The  Committee determined  that
Ukraine failed to provide for proper notifica-

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260
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
tion and participation of civil society in its
decision-making, in particular, the organi-
zations that indicated their  interest  in the
procedure, as  required under article 6.
Ukraine also failed to allow the public to
study the information on the  project  and
prepare and submit its comments. The
Party did  not  allow the public  officials
responsible for making the  decision suffi-
cient  time to  take  any  comments  into
account in a meaningful way,  as required
under article 6,  paragraph 8.
       The Committee found that the lack
of clarity with regard to the public participa-
tion requirement in EIA and  environmental
decision-making procedure on projects,
such as time frames and modalities of a
public consultation process, requirements
to take its outcome into account, and obli-
gations with regard to making information
available in the context of article 6, indi-
cates the absence of a transparent  and
consistent framework for implementation of
the Convention and constitutes non-com-
pliance with article 3, paragraph  1  of the
Convention.25

8 PROSPECTS FOR SUCCESS

       The  first  attempts  to evaluate
implementation of  the Aarhus Convention
show both  difficulties and  successes in
building an  environmental  democracy,
improving transparency, and enhancing the
quality of decision-making. The Convention
gives citizens the possibility to control their
governments and  to make an increased
contribution to the protection of the environ-
ment. The Convention is an important inter-
national instrument for the protection of the
right to a healthy environment.  Most impor-
tantly, the Convention's novel compliance
mechanism is an ambitious effort to bring
democracy and participation  to the very
heart of compliance itself. Whether this will
be successful will depend on the Commit-
tee itself, the Meeting of the Parties,  and
whether citizens will continue to be vigilant
in demanding compliance with their Con-
vention.
                            9  REFERENCES

                            1 Convention  on Access  to  Information,
                              Public Participation in Decision Making
                              and Access to Justice in Environmental
                              Matters, signed in Aarhus,  Denmark, on
                              June 25, 1998 (in force from October 30,
                              2001).
                            2 Statement By The Delegation  Of The
                              United  States  With Respect To  The
                              Establishment Of The Compliance Mech-
                              anism,  Annex  to  REPORT  OF THE
                              FIRST MEETING  OF  THE PARTIES,
                              page 19,  available at http://www.unece.
                              org/env/documents/2002/pp/
                              ece.mp.pp.2.e.pdf.
                            3 The vast  majority of Western  European
                              nations had not ratified the Aarhus Con-
                              vention by the time  of the First Meeting of
                              the Parties,  but participated fully as Sig-
                              natories.
                            4 REPORT  OF THE  FIRST MEETING OF
                              THE PARTIES, paragraph 46, page 8,
                              available  at http://www.unece.org/env/
                              documents/2002/pp/ece. mp.pp.2.e.pdf.
                            s  Id. at paragraph 47, page 9.
                            6 I use "Central Europe" for  the Visigrad
                              states of the Czech Republic, Hungary,
                              Poland, and Slovakia. As for those states
                              further east, "Eastern Europe, Caucasus,
                              and Central Asia"  (EECCA) is the term
                              now widely used in  international meetings
                              to replace the former appellations "former
                              Soviet Union" and  the "Newly Indepen-
                              dent States of the  former Soviet  Union"
                              (NIS).
                            7 The present author was project leader
                              and editor for the volume covering sever-
                              al states of the former Soviet Union. S.
                              Kravchenko, DOORS TO DEMOCRACY:
                              CURRENT TRENDS AND  PRACTICES
                              IN    PUBLIC   PARTICIPATION   IN
                              ENVIRONMENTAL DECISIONMAKING
                              IN THE NEWLY INDEPENDENT STATES
                              (Regional    Environmental    Center,
                              Budapest,  Hungary,  1998)  (with co-
                              authors)  (English), available  at http://
                              www. rec.org/REC/Publications/
                              PPDoors/NIS/PPDoorsNIS.pdf.

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                                                              KRAVCHENKO   261
8 Two-thirds of the  countries providing
  these early ratifications came from the
  EECCA, (the former Soviet Union). The
  author was hired by the European Union
  to organize "open parliamentary meet-
  ings" in the countries of the EECCA in
  order to promote ratification by their par-
  liaments. Her title was Director, Parlia-
  mentary Component, EU-TACIS Envi-
  ronmental Awareness Raising Program
  for Newly Independent States and Mon-
  golia        (1998-1999).       See
  http://www.hcg.helsinki.fi/projects/TEAP
  2.html.
9 Tne most thorough study of NGO involve-
  ment  in the negotiation of the Aarhus
  Convention, by  Magdi Toth-Nagy  of
  REC,  has not been published  but is in
  the present author's files. The present
  author participated in most of the negoti-
  ations.
10 The present author served as a non-
  governmental expert on the Task Force
  for Rules of Procedure and Compliance
  Mechanism, and as a nongovernmental
  representative on the subsequent Inter-
  governmental Working  Group  on the
  same matters.
10 See  http://www.unece.org/env/pp/docu-
  ments/1/ece. mp.pp.2.add.8.e.pdf.
12 For example, the Espoo Convention on
  Environmental  Impact Assessment  in
  Transboundary Context provides that the
  Implementation Committee consists of
  eight Parties to the Convention, each of
  which appoints a member of the Commit-
  tee. See http://www.unece.org/env/eia.
13 Incident relayed to the author by the
  NGO representative.
14 For example, see http://www.unece.org/
  env/eia.
is See http://www.unece.org/env/pp/treaty-
  text.htm.
is Decision I/7, Review of Compliance, VI,
  Communications from the Public, para-
  graph  18,  available  at  http://www.
  unece.org/env/pp/documents/1/ece.mp.
  pp.2.add.8.e.pdf.
i7 An  additional complaint was lodged by
  the Government of Romania against the
  Government of Ukraine.
18 Guidance Document on Aarhus Conven-
  tion Compliance Mechanism, "Modus
  Operandi,"  page  8,   available  at
  http://www.unece.org/env/pp/compli-
  ance/manualv2.doc.
19 UNECE press  release, May 14, 2004,
  available at http://www.unece.org/press/
  pr2004/ 04env_p08e.htm.
20 Decision I/7, Review of Compliance, VI,
  Consideration By The Compliance Com-
  mittee,  paragraph 36,   available at
  http://www.unece.org/env/pp/docu-
  ments/1 / ece.mp.pp.2.add.8.e.pdf.
21 Id.
22 National Reports will be available on the
  UNECE website prior to the Second
  Meeting of the Parties in May 2005.
23 ACCC/C/2004/02.
24 AACC/C/2004/05.
25 ACCC/S/2004/1; ACCC/C/2004/04.

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262          SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                           KREMLIS, DusiK   263
THE CHALLENGE OF THE IMPLEMENTATION
OF THE ENVIRONMENTAL ACQUIS COMMUNAUTAIRE
IN THE NEW MEMBER STATES

KREMLIS, GEORGES1 and DUSIK, JAN2
1 Head of the Legal Implementation and Enforcement Unit, Environment Directorate
 General, European Commission, Georges.Kremlis@cec.eu.int
2 Director of the EU Department, Ministry of Environment, Czech Republic
SUMMARY

       The greatest ever enlargement of the European Union has taken place on 1 May
2004, with the accession of ten new Member States, the extension of the EU territory by
twenty-three percent and the increase of population by twenty per cent. Moreover, the
accession of eight of the new Member States consolidated the  fall of the iron curtain
between Eastern and Western Europe which lasted for over 40 years after the Second
World War. This article describes the possible difficulties that the new Member States will
very likely face to comply with their obligations under EC environmental legislation.
1 INTRODUCTION

       A strong emphasis has been put on
compliance by the applicants for EU mem-
bership with the acquis communautaire...
       As a result, all new Member States
are now presumed to  have harmonized
their legislation to the EU standards and to
comply with the membership obligations.
Of course, similarly to previous EU enlarge-
ments, a number of unilateral transitional
periods have been granted to  the  new
Members (including in the field of environ-
ment), and the EU has also "benefited"
from a number of multilateral transitional
periods (e.g. in free movement of workers
or concerning the Schengen  acquis); and it
will take several years before  the  new
countries  meet the Maastricht criteria
allowing them to participate in the  Monetary
Union. Another unique feature was the pro-
vision of pre-accession financing through
ISPA,  Phare and SAPARD; indeed around
R3.5 billion are expected to be spent in the
new Member States, Bulgaria and Roma-
nia for environment during 2000-6. Howev-
er, all in all, this biggest ever EU enlarge-
ment is also believed to be the most care-
fully and timely prepared one...

2 THE DEFICIT OF IMPLEMENTATION
  OF THE ENVIRONMENTAL ACQUIS
  INTHEEU-15

       The EU environmental policy and
legislation has been gradually adopted
since the 1970s and is traditionally fighting
"for the place in the sun" with the econom-
ic policies, in particular with the single mar-
ket ("growth and  competitiveness versus
environmental protection"). A number of
important judgments of the European Court
of Justice helped to identify the mutual
position of the two streams of the EU poli-
cy: the most recent  examples include  the
Commission v. United Kingdom case C-
30/01  (judgment of 23 September 2003) on
the application of  single market legislation
with environmental components for Gibral-
tar or the ongoing  litigation in the case
Commission v. Austria (C-320/03) concern-
ing environmentally driven restrictions of

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
transport over the Alps. Nevertheless, the
environmental acquis1 at present counts for
561 pieces of binding legislation,  most
importantly Directives, which the  Member
States are obliged to transpose, implement
and enforce. And the field of environmental
legislation is a dynamic one, with  few new
pieces of legislation adopted every year to
review existing legislation or to cover new
areas (e.g. the "Arhus package")....

2.1     Specificity of EC
       Environmental Legislation
       There  are  some  peculiarities
embodied  in environmental  directives
which distinguish these from other areas of
Community law and which are important for
realising the causes of the implementation
deficit in the Member States.
       First of all, EC environmental direc-
tives are characterised by a number of sec-
ondary obligations  (i.e.  obligations that
have to be complied with at a  later stage
after the  entry into application  of a direc-
tive). Therefore,  ensuring compliance is not
limited to a  straightforward exercise of
transposition,  as might be the case in some
areas, but it  is  necessary to ensure at a
later stage, e.g.  adoption of plans and pro-
grammes, designations or establishment of
protected zones and areas etc. Some of
the secondary obligations also imply estab-
lishment of infrastructure and major invest-
ments (urban  wastewater treatment, drink-
ing water, landfills etc.).
       Secondly,  compliance with  EC
environmental law is often related to the
use of EC funding (namely LIFE, Structural
Funds, Cohesion Fund, TENs and the pre-
accession funds) or to funding  from loans
of the European Investment Bank. When it
is required to be informed of projects, the
Commission  carries out a scrutiny of the
utilisation of EC funds to ensure that proj-
ects conform with Community legislation
especially for environment, competition
and public procurement - see Article 12 of
Council Regulation (EC) No.  1260/99 lay-
ing down general provisions on Structural
Funds3, Article 8.1 of Council  Regulation
(EC) No  1164/94 establishing a Cohesion
Fund4, as amended, and for the TENs Arti-
                             cle 7 on Compatibility of Council Regulation
                             2236/95 as amendeds).
                                     However, the cohesion  policy is
                             implemented in a decentralised way, and
                             therefore  the Commission is only made
                             aware of  the largest projects (Cohesion
                             Fund and  Large European Regional Devel-
                             opment Fund (ERDF) projects).
                                     Finally, many pieces of EC environ-
                             mental legislation have a strong public par-
                             ticipation component. This is now empha-
                             sized by the forthcoming ratification by the
                             EC  of  the  so-called Arhus Convention
                             (Convention  on Access to Information,
                             Public Participation in Decision-making and
                             Access to Justice_ in Environmental Mat-
                             ters, adopted in Arhus, Denmark, on 25
                             June 1998), whose three pillars require not
                             only access  of public  to  environmental
                             information and public participation in deci-
                             sion-making involving environmental mat-
                             ters, but also  access of the public to justice
                             in this domain. Directives corresponding to
                             the three pillars have been adopted or are
                             expected  to be adopted to implement the
                             Arhus Convention  within  the  European
                             Union legal order.

                             2.2     The Extent and Types of
                                     Problems in Application of
                                     EC Environmental Legislation
                                     There are a number of sectors of
                             the environmental legislation which cause
                             more implementation problems than oth-
                             erss: nature protection, water and air quali-
                             ty, waste management and environmental
                             impact assessment. In nature protection,
                             the main problems include non conformity
                             of transposing legislation, insufficient des-
                             ignation of Natura 2000 sites,  incorrect
                             assessment of plans and projects affecting
                             the  protected  sites and  breaches  of
                             requirements  for  strict  protection   of
                             species. The water quality issues  mainly
                             relate to secondary obligations, such as
                             designations  of protected zones, adoption
                             of pollution reduction programmes or con-
                             struction  of  sewerage and wastewater
                             treatment systems,  while drinking water
                             problems occur in  few areas of the EU.
                             Most problems with the air quality, on the
                             contrary, concern lack of transposition or

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                                                             KREMLIS, DusiK   265
reporting to the Commission. Non-conform-
ity of legislation and lack of adoption of
management plans are the most typical
issues in the waste sector, together with the
operation of illegal landfills in several Mem-
ber States. Finally, concerns about environ-
mental  impact  assessment stem  mainly
from complaints and are largely procedural,
since Directive 85/337/EEC9 is a procedur-
al one; the material aspects would refer to
obligations from the legislation in other sec-
tors, such as the two major nature protec-
tion Directives^...
       The  available  statistics  demon-
strate that compliance with EC environ-
mental legislation still proves to be difficult
in the EU-15  and the number of infringe-
ments per year does not seem to diminish.
The  Commission tries to  take proactive
measures to  avoid starting full-bloodied
infringement procedures, such as: package
meetings, during  which  complaints  or
infringement cases  are discussed with the
authorities of the Member States; bilateral
or multilateral proactive meetings to explain
how Member States should  comply with
their obligations; various guidance  docu-
ments; or reminder letters on adoption of
new directives and  deadlines for  their
transposition. The work of IMPEL, the infor-
mal  network  of Member States and the
Commission for the  implementation and
enforcement  of  environmental law, has
been also beneficial for ensuring consistent
implementation  and  enforcement  of  the
acquis throughout the Community, mainly
through exchange of information, training
of inspectors  and  development  of best
practice. Of course, the different breaches
vary in gravity - and  the aim of the Com-
mission is to focus its attention in pursuing
the infringements on serious breaches of a
systematic character rather than on individ-
ual procedural omissions or isolated indi-
vidual cases of bad application, which are
often at centre of complaints from the citi-
zens. An upstream  approach which identi-
fies the systemic shortcomings is preferred
to a downstream one which tackles the
symptoms. But in any case the deficit of
implementation  of  the  environmental
acquis already in the EU of 15 Members is
obvious and has to be tackled through a
combination of both proactive and enforce-
ment means.

3 CHALLENGES OF IMPLEMENTATION
  OF THE ENVIRONMENTAL ACQUIS
  IN THE NEW MEMBERM STATES

       We mentioned in the beginning of
this article that this enlargement is argued
to be the best prepared one ever, since the
preparation for membership was monitored
by the Commission some seven years prior
to accession (starting with the Opinions on
Application for Membership  of the Euro-
pean Union of the candidate countries on
July 1997). Publication of annual reports of
the  Commission on  progress of individual
applicant countries in harmonising legisla-
tion and practice with the EU was always
high on the political agenda and criticisms
of slow progress appeared on front pages
of newspapers. The monitoring continued
even after the signature of the Accession
Treaty, with the possibility for  the EU to
impose safeguard measures should the
pace of harmonisation not be maintained.
       However, given the rather unsatis-
factory record of compliance with EC envi-
ronmental  law by  the  EU-15, it can  be
expected that the new Member States will
face similar problems. A number of factors,
specific for these new countries, confirm
such forecasts.
       Even more than  in  the old EU
Members, environment is low on the politi-
cal  agenda. This was apparent already in
the  pre-accession period when various
political and economic lobbies were trying
to bypass or at least delay adoption of leg-
islation transposing  EC  environmental
directives  and budgetary  allocations  for
environmental protection were decreasing.
A major challenge is obviously the financ-
ing  of approximation. The costs of imple-
menting the environmental acquis in the
ten  new Member States were estimated at
€ 50-80 billion and investments required
from these countries were estimated at 2 to
3 per cent of GDP, higher than what is at
present being allocated.11
       The EU will significantly contribute

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
to financing implementation by provision of
resources from EU funds. € 21.7 billion will
be made available to the  new Member
States from the Structural Funds and the
Cohesion Fund until the end of the current
budgetary  period (31.12.2006),  out of
which € 3 billion in the Cohesion Fund is
earmarked for the environment, while other
environmental projects can be supported
from the main Structural Funds. These con-
tributions, together with the pre-accession
funding from Phare, ISPA and SAPARD
instruments, should significantly  contribute
to financing implementation measures. The
experience in the EU15 also shows that
national budgets  must also be set aside,
and indeed should be more substantial.
       Apart from finding sufficient finan-
cial resources to  cover remaining invest-
ment needs and co-financing of EC-funded
projects, two other challenges emerge in
relation to EC funding. The first  is the so-
called conditionality, i.e. compliance of co-
financed projects with EC environmental
legislation and policy. Another issue, which
is specific for the new Member  States, is
the establishment of adequate administra-
tive capacity to prepare 'pipelines' of proj-
ects of sufficient quality and to properly
manage the use of EC funds12. High atten-
tion to these  issues has proven essential
for maximising the utilisation of the EC
funds by the beneficiary Member States
and should be seen as a priority also by the
new Members.
       Well  performing  administrative
structures will be necessary not only for
administering  EC funding,  but also in
ensuring correct implementation of the  EC
environmental law in general. Many envi-
ronmental Directives require issuing of per-
mits, monitoring of pollution and fulfilment
of secondary obligations. A number of insti-
tutions, both horizontally and vertically, are
typically involved in implementing these
obligations and they need to be adequately
staffed and well coordinated. A number of
twinning projects  under Phare have been
carried out  in the  Central and Eastern
Europe candidate countries prior to acces-
sion to  strengthen  their administrative
capacity and to provide relevant training.
                              Preparedness  of administration to cope
                              with obligations arising from EU member-
                              ship has also been checked through peer
                              reviews in 2002 and 2003, as part of the
                              monitoring of accession preparations.
                                     Other possible drawbacks are defi-
                              ciencies in law enforcement and a lack of
                              legal culture in the  countries in transition.
                              The disobedience of legislation is not pri-
                              marily seen by the society as a negative
                              feature, especially when it does not affect
                              private individuals or property. Harm to the
                              state property or to a public interest is gen-
                              erally better accepted by the people. This
                              may be particularly relevant for compliance
                              with nature protection obligations, since it is
                              more difficult to carry out monetary valua-
                              tion of the damage  caused to natural fea-
                              tures. It is however fair to say that there are
                              positive trends in these countries, and peo-
                              ple start to discover the importance of non-
                              material assets, such as clean rivers or bio-
                              logical wealth.
                                     Finally, only slow progress is being
                              made by the new Member States towards
                              ensuring  effective  public  participation in
                              environmental decision-making. Of course
                              the EC legislation (such as on the environ-
                              mental impact assessment or access to
                              information) directly related to participative
                              democracy  has  been transposed  into
                              national legislation, but experience shows
                              that  practical  application  lags  behind.
                              Assaults on the basic principles of public
                              participation were experienced when trans-
                              posing legislation containing such provi-
                              sions in the legislative process (such as the
                              transposition of the  nature directives in the
                              Czech  Republic's  parliament).  We  may
                              therefore expect a number of complaints by
                              the citizens of the new Member States con-
                              cerning access to environmental informa-
                              tion and  public participation  in decision
                              making.

                              4 MEASURES TO FACE THE
                               CHALLENGES POSED BY
                               ENLARGEMENT

                                     From 1 May  2004, the ten new
                              Member States are subject  to the  same
                              obligations as the  EU-15. They have to

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                                                              KREMLIS, DusiK   267
comply with EC legislation, the national leg-
islation transposing directives in force must
be notified by that date and practical com-
pliance must be ensured as well. Specific
arrangements apply only  in accordance
with the transitional periods as agreed dur-
ing the accession negotiations and spelled
out in the Act of Accession^. Should the
new Member States fail to comply with their
obligations, the Commission may initiate
the infringement  procedure  pursuant to
Article 226 of the EC Treaty.  Similarly, the
Commission has a duty to investigate com-
plaints lodged by  EU citizens or  NGOs
against the new Member States.
       The Act of Accession  of the ten
new Member  States also foresees a num-
ber of intermediate  targets within the
agreed transitional periods. This is the first
enlargement where such an  arrangement
has been made with the new Member
States, with the aim to gradually fulfil the
EC legal obligations rather  than  waiting
until the (sometimes extensive) transitional
periods elapse. The fulfilment of intermedi-
ate targets will be monitored as a matter of
priority; non-compliance with these targets
may trigger an infringement procedure.
       A number of measures to eliminate
possible opening of infringements immedi-
ately after accession have been undertak-
en both generally and in the environmental
field. As concerns transposing legislation,
the acceding countries were invited to use
the pre-notification database for gradual
storage of transposing legislation in  an
electronic version, aimed at avoiding a
backlog of notifications  on  the  date of
accession. Most of the transposing legisla-
tion has been notified in this way  and is
now  considered  officially  notified  to the
Commission.
       Two systematic approaches have
been  undertaken  as  concerns ensuring
compliance with environmental legislation
by the Directorate-General for the Environ-
ment of the Commission. Shortly before the
accession a series of environmental proac-
tive meetings  have been carried out in the
new Member States, with the aim to explain
to their national authorities responsible for
compliance and  enforcement  how com-
plaint and infringement procedures work in
practice, how to prevent  escalation of
infringements  and how to  communicate
effectively on these matters with the rele-
vant Commission services. Those  meet-
ings have been highly  appreciated by all
new Member States, as they provided first-
hand  practical  information  and  enabled
contact with the Commission counterpart in
the matters of compliance with EC environ-
mental law. Such  meetings can provide a
solid basis not only for bringing  infringe-
ments to an  end in the most effective way,
but can also be followed by package meet-
ings and other specific meetings as cur-
rently organised with the existing  Member
States.
       DG Environment of the Commis-
sion has also launched a systematic con-
formity  check for the  ten  new Member
States,  building on  a similar experience
with the EU-15. The objective is to  analyse,
within the next two years, transposing leg-
islation for the main Directives and remove
any non-compliance in an  early stage, in
close collaboration between the Commis-
sion and the Member States concerned.
       Concerning complaint and infringe-
ment procedures, the same priorities as the
ones for the EU-15 will apply, in line with
the   White   Paper   on   European
Governancei4 and the Commission Com-
munication on Better Monitoring of Com-
munity Law1s. The first priority will be the
non-communication cases (in the absence
of notification  of transposing measures),
followed by  the cases of non-conformity
(based on the conformity checking exer-
cise) and horizontal bad application cases
(secondary obligations, transitional periods
contained in the Act of Accession including
intermediate targets to  be met and condi-
tionally of EC funding). Of course this will
not exclude  handling of all received com-
plaints, as required by the EC Treaty and
by the Commission Communication to the
European Parliament and the European
Ombudsman  on  the  Relations  with the
complainant in respect of infringements of
Community law^. Such non-priority com-
plaints can be handled through alternative
means (e.g. package meetings)  and the

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
complainants should be encouraged to use
the available national means of redress.

5 CONCLUSIONS

       In this article, the possible difficul-
ties that the new Member States will very
likely face to comply with their obligations
under EC environmental legislation were
tentatively addressed. The  key messages
could be summarized as follows.
1. During the period prior to accession, the
   maximum possible  was done, under
   close surveillance of the Commission.
   Therefore all obligations should in theory
   have been formally fulfilled by 1  May
   2004. However, we can however expect
   that there will be failures, gaps and omis-
   sions.
2. It is natural that there will be infringe-
   ments  and  that the Commission  will
   receive complaints from citizens from the
   new Member States; this has  been the
   case for all previous EU enlargements. It
   is also likely that the number of cases
   will be growing gradually  rather than in a
   single step.  Experience with the EU-15
   shows that the more public awareness
   you raise the more complaints are trig-
   gered by the citizens who know better
   their rights.
3. The spectrum of problems, complaints
   and infringement cases against the new
   Member States is not expected to signif-
   icantly differ from the situation in EU-15.
   It is also likely that they will concern sim-
   ilar issues, although there may be some
   specific aspects, such as the  require-
   ments to implement the  investment
   heavy environmental acquis, inadequate
   administrative capacity  or the lack of
   legal culture, which might cause some
   variations compared to the business-as-
   usual in the EU-15.
4. Limiting escalation of infringements will
   require effective use of proactive meas-
   ures as described above, including bilat-
   eral meetings with the national authori-
   ties to  discuss complaints, infringement
   cases  or difficulties in implementation.
                               The same is of course valid for the exist-
                               ing Member States.
                             5. The EC funding should be to the maxi-
                               mum possible extent prioritised for co-
                               financing  of measures bringing about
                               compliance with obligations of the envi-
                               ronmental acquis. Good project prepara-
                               tion will have to be ensured. In turn the
                               acquis itself must also be respected for
                               the construction and financing of infra-
                               structure projects.
                             6.Finally,  the  performance  of  countries
                               which just acceded to the European
                               Union will be under strong scrutiny, since
                               this is the biggest ever enlargement and
                               the new Members are less developed
                               compared to the  EU-15 average. The
                               success or failure of this  enlargement
                               will be crucial for deciding  about poten-
                               tial future enlargements of the  EU and it
                               would  also  be  the  most   suitable
                               response to the recent escalation of anti-
                               European  trends both in the old and the
                               new Member States.

                             6 REFERENCES

                              1 Based mainly on Article 175 of  the EC
                              Treaty, but also on Articles 95 and 308 of
                              the EC Treaty
                              2 Data  from CELEX  database,  19 May
                              2004;  including all  amendments  and
                              technical adaptations.
                              3QJ 1161,26/06/1999, p. 1.
                              4QJ 1130,25/05/1994, p. 1.
                              5QJ L 228, 23/09/1995, p. 1.
                              8 For details, see Fourth Annual Survey on
                              the implementation and enforcement of
                              Community environmental law - 2002;
                              Commission   Staff  Working  Paper
                               SEC(2003)804.
                              9 OJ L 175, 05/07/1985, p. 40.
                             10 Directive 79/409/EEC, OJ L 103, 25/04/
                               1979, p. 1, and Directive 92/43/EEC, OJ
                               1206,22/07/1992, p. 7.
                             11 Communication from the Commission to
                               the Council and the European Parlia-
                               ment  on  2003  Environment Policy

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                                                             KREMLIS, DusiK   269
  Review, COM(2003)745 final, page 38.
12 Communication from the Commission on
  the Challenge of environmental financing
  in   the  candidate   countries,   COM
  (2001)304 final, p. 3.
13 Act concerning the conditions of acces-
  sion of the Czech Republic, the Republic
  of  Estonia, the Republic of Cyprus,  the
  Republic  of  Latvia, the Republic  of
  Lithuania, the Republic of Hungary,  the
  Republic  of  Malta,  the Republic  of
  Poland, the Republic of Slovenia and the
  Slovak Republic and the adjustments to
  the Treaties  on which  the  European
  Union is founded, OJ L 236, 23/09/2003,
  p. 33.
14 COM(2001)428 final, p. 25.
is COM (2002)725 final, p. 11.
16COM(2002)141 final.

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270          SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                LEINSTER, GRAY, HOWES, CLARK  271
COMPLIANCE PROMOTION IN THE UNITED KINGDOM

LEINSTER, PAUL,1 GRAY, JIM,2 HOWES, CHRIS,3 and CLARK, ROSIE4
1 Director of Operations, Environment Agency (England and Wales),
 paul.leinster@environment-agency.gov.uk
2 Head of Regulatory Development, Environment Agency (England and Wales),
 jim.gray@environment-agency.gov.uk
3 Enforcement Policy Manager, Environment Agency (England and Wales),
 chris.howes@environment-agency.gov.uk
4 Policy Adviser, Modern Regulation, Environment Agency (England and Wales),
 rosie.clark@environment-agency.gov.uk
SUMMARY

       Society demands high environmental standards and expects companies, and indi-
viduals, to behave responsibly. The Environment Agency is the leading public body protect-
ing and improving the environment in England and Wales.
       Traditional regulatory approaches have achieved much to reduce environmental
impacts. However, the nature of regulation has to change to keep pace with changes in the
economy and society. The Environment Agency has responded to this challenge through
its "Modernising Regulation Change Programme".
       This article describes some of the approaches adopted by the Environment Agency
to promote compliance with legal requirements and to encourage the environment to be at
the centre of business thinking.
1 PRINCIPLES OF MODERN
  REGULATION

       The Agency believes modern regu-
lation focuses on outcomes  and is risk
based. Modern regulatory systems should
encourage businesses and individuals to
improve, rewarding good performers, while
remaining tough on those who  do not meet
acceptable standards. In order to achieve
this, modern regulation must be:
— proportionate, allocating resources and
  implementing systems according to the
  risks involved;
— transparent,  with  clear  rules  and
  processes for industry and local commu-
  nities;
— consistent, within and between sectors,
  and over time;
— targeted on the environmental outcome
   to be achieved, taking into account envi-
   ronmental needs, best practice, sector
   specific  and  geographical  circum-
   stances;
— cost effective.
       This means that we will concen-
trate our resources  where the risks to the
environment are highest,  including  the
highest hazards or the poorest performing
operators. We  will  focus on  systems to
improve environmental quality. Consistent
with this principle, we will adopt a propor-
tionate approach where we  see good per-
formance. We have  developed a screening
method to assess risks to the environment
in a quantitative fashion.
       Transparency and trust are also
vital aspects of our  relationship with com-

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272
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
munities and society as a whole, and we
must at all times be seen to maintain a neu-
tral, open and fair stance. Accordingly, we
make information on the  environmental
performance of business and our perform-
ance as a regulator widely available.

2 TOOLS FOR
  MODERN REGULATION

       Adopting a risk-based approach to
regulation, matching  intervention measures
to environmental performance, has implica-
tions  for all  involved  in the  regulatory
process. ...
       Direct regulation is the traditional
approach  to  controlling  emissions  or
abstractions, with permits specifying what a
company can and cannot do at a particular
site. As a modern regulator we are also
developing risk based assessment  meth-
ods   and  actively   promote  voluntary
schemes. A number of these approaches
are described below. ...

3 OPERATOR POLLUTION AND
  RISK APPRAISAL

       The Agency  aims  to  target  its
resources on those  companies that pose
the greatest risks to  the environment. Two
schemes for  Operator and Pollution Risk
Appraisal (OPRA) have been developed to
assist the Agency in its regulation  of the
Integrated Pollution  Control (IPC) regimes
for major process industry and the Waste
Management Licensing regime. With the
implementation of two new European Com-
munity Directives in England and Wales,1
elements of  the waste industry  and the
large  manufacturing sectors are brought
under one  regulatory regime for the first
time.
       In keeping with our  aim  to intro-
duce  common approaches to regulation
across a range of regulatory regimes, the
new  Environmental  Protection  Operator
and Pollution Risk Appraisal (EP OPRA)
methodology has been developed  as  an
important step  in  developing a unified
approach to  risk assessment across our
regulatory regimes. The EP OPRA scheme
                             fits within a recognised national framework
                             for environmental  risk  assessment  and
                             management.2 It incorporates an element
                             of professional judgement, but the method
                             itself is simple to apply and objective  in
                             nature and a  public consultation on the
                             scheme  was  held  in  2002.  Details  of
                             responses are on the Agency's web site.3
                                    EP OPRA will help the Agency tar-
                             get its regulatory effort  on those activities
                             that present the greatest risk to the environ-
                             ment. Outputs from this scheme are being
                             built into the proposed charging scheme for
                             the PPC regulatory regime. As noted previ-
                             ously,  charges for regulation are set  to
                             reflect the  level  of  regulatory action
                             required. EP OPRA has four attributes.
                             Three  reflect the environmental hazard  of
                             the operation  and  the  fourth measures
                             Operator  performance. In general,  the
                             higher the score, the greater the regulatory
                             level of activity required.  ...

                             4 HOW THE AGENCY
                               PROMOTES COMPLIANCE

                                    Companies need to accept respon-
                             sibility  for their actions and this should be
                             reflected  in business culture as well as  in
                             their operational  targets.  The principle  of
                             'polluter pays' is now well accepted, where-
                             by businesses should be held to be account-
                             able for their  actions. As noted previously,
                             the Agency's  Operator  and  Pollution  Risk
                             Appraisal system supports the polluter pays
                             principle through a cost recovery  charging
                             framework  which can provide  a  financial
                             incentive to operators to reduce their envi-
                             ronmental risks and impacts. By identifying,
                             managing and reducing key risk areas,
                             businesses can reduce their Operator and
                             Pollution Risk Appraisal (risk) profile, which
                             will then  be reflected in lower compliance
                             activities and, consequently,  charges.  In
                             addition,  businesses can benefit, in some
                             circumstances,  from  cost  savings  in
                             reduced   waste  and   minimisation   of
                             resource use,  and  avoid costs associated
                             with pollution  incidents.  Promoting corpo-
                             rate responsibility can  improve corporate
                             image with an associated positive impact
                             on shareholder value, as well as impacting

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                                                 LEINSTER, GRAY, HOWES, CLARK   273
for example on a Company's credit rating
or insurance premium.
4.1     Optimising environmental
       improvement
       The Environment Agency is devel-
oping sector plans  and guidance, which
address the specific issues associated with
particular sectors. Sector plans relate to a
coherent, recognisable, target  group and
define the national and local outcomes and
risks that we believe should be addressed
for that group. The sector may be a partic-
ular industry (such as nuclear  or agricul-
ture), or a recreational  area  (such  as
angling). This approach allows us to priori-
tise the regulatory workload between and
within sectors. The overall objective is to
optimise achieving environmental improve-
ments.
       Key to optimising environmental
performance is to identify current  good
practice relevant to the sector,  to educate
and advise  businesses and individuals and
to communicate information to the public.

4.2    Identifying Good Practice
       Good Practice includes reviewing
techniques  and experience from within the
sector and across other sectors  where sim-
ilar environmental problems and processes
may be encountered. Such reviews are not
restricted to England and Wales and the
Environment Agency is keen to learn from
the experience of other countries. Good
practice also  includes the  reduction  of
unnecessary bureaucracy which may inhib-
it the introduction of innovative solutions to
poor environmental performance. In  addi-
tion, we encourage full life cycle ('cradle to
grave') analysis of processes to promote
good environmental management through-
out the whole supply chain.

4.3    Education
       Businesses and individuals need to
be more aware of how their actions impact
on the environment and human  health.
Education  and  advice  can  help  raise
awareness  of the issues by providing  clear
information  relevant  to specific  audiences,
demonstrating  potential  improvements
(including cost savings) through case stud-
ies, and highlighting  national, regional or
sector initiatives. We also seek to raise
awareness of regulatory requirements, so
that businesses and individuals understand
fully their responsibilities.
       Education campaigns can be more
resource effective than traditional regula-
tion in situations of high volume low envi-
ronmental risk.  For example, the Agency
runs targeted educational initiatives such
as the "national tyres campaign" to promote
recycling and minimise illegal tipping.
4.4
Information
       We regularly publish environmen-
tal performance information for England
and Wales, making use of communication
tools  such  as our  Pollution  Inventory,
What's in Your Backyard and Spotlight on
business environmental  performance to
provide information about environmental
performance to a wide audience. These
publications are updated annually and are
available on our website.4 "Spotlight" both
publicly praises  good  performers and
names and shames poor  performers. This
we believe  helps  companies  internalise
their environmental performance. What's in
Your Backyard publishes details of Inte-
grated Pollution Control OPRA and Waste
OPRA scores for local facilities.
       We also encourage individual busi-
nesses to make information on their envi-
ronmental  performance   accessible  to
stakeholders, including local communities
and investors, and we know that this infor-
mation is used to guide  investment deci-
sions.

4.5    Compliance assessment
       The  Environment  Agency has
developed a range of tools which are being
progressively implemented to help  to
assess risks. These include Compliance
Assessment Plans (CAPs) and the Compli-
ance Classification Scheme (CCS).
       Compliance Assessment Plans are
used to ensure that compliance against all
requirements of permits and other regulato-
ry instruments are checked within a defined

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
period.  The  Compliance  Classification
Scheme assesses the performance of a
site against the conditions set in Agency
issued permits. It is recognised that some
non-compliances  will  present a greater
environmental risk than others. The Com-
pliance Classification Scheme is used to
classify non-compliance with permit condi-
tions according to potential impact on the
environment and provides information to
support  consistent  and  proportionate
responses to non-compliances. This also
allows national  profiling  of  sectors and
companies. The  potential risk categories
used within the Compliance Classification
Scheme are  ranked from 1  (the highest
potential risk arising from a non-compli-
ance) to category 4 (where  no immediate
risk of harm to the environment is likely).
These categories are then used to inform
our enforcement activities, and are linked
clearly to our Enforcement and Prosecution
Policy.

4.6    Stakeholder involvement
       Stakeholder involvement can take
many forms, and embraces many types of
stakeholders. Consultation at the outset of
introducing new regulatory tools is perhaps
the most obvious form of  stakeholder
involvement. Typically, we seek to identify
affected businesses and local communities
and other interested parties  (industry or
sector representative groups, non-govern-
mental organisations, local liaison bodies,
etc) and approach each of these individual-
ly. We also publish an invitation to provide
comment on our web-site, with provision of
a clear route to seek  further  information.
For more broad ranging consultations  we
publish documents for national distribution.
       The use of environmental informa-
tion to guide investment decisions is also a
form of stakeholder involvement and feed-
back suggests that companies, as well as
environmental groups, respond positively
to the opportunity to discuss issues with  the
regulators.

4.7    Performance review
       Activities which potentially impact
                             on the environment require monitoring so
                             that the risk of adverse effects can be eval-
                             uated and appropriate action taken. The
                             development of minimum criteria for envi-
                             ronmental inspection is a Recommendation
                             from the European Parliament which the
                             UK has agreed to implement. This requires
                             environmental inspections to be planned in
                             advance and the Agency sees its policy of
                             developing Compliance Assessment Plans
                             as a means of fulfilling this obligation.
                                     The role of the operator is to:
                             — carry out monitoring and analysis to suit-
                                able  standards;
                             — assess and act upon the results within
                                their own EMS;
                             — make information available.
                                     The role of the regulator is to:
                             — specify the standards for monitoring and
                                analysis;
                             — ensure  the  operator  complies  with
                                monitoring requirements;
                             — act upon the results in  a proportionate
                                manner;
                             — publish information on performance and
                                response.
                                     Through internal review, business-
                             es should be encouraged to take responsi-
                             bility for ensuring that they are not having
                             an adverse impact on the environment,  or
                             on people.

                             4.8     Enforcement
                                     Regulatory  regimes  need to be
                             backed up by penalties or disincentives to
                             non-compliance. Where businesses do not
                             comply with  legislation, the Environment
                             Agency will use  its enforcement powers
                             firmly and fairly to prevent pollution or envi-
                             ronmental damage, or to require remedial
                             action.

                             5 REFERENCES

                              1 Integrated Pollution Prevention and Con-
                               trol (IPPC) and  the  Landfill  Directive
                               (LFD), introduced in England and Wales
                               through regulations made under the Pol-
                               lution Prevention and Control Act 1999

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                                                LEINSTER, GRAY, HOWES, CLARK   275
2 Department for  Environment Transport
  and the Regions,  Environment Agency
  and the Institute  of  Environment  and
  Health.  Guidelines for Environmental
  Risk Assessment and Management.  Sta-
  tionary Office, 2000
3  http://www.environment-agency.gov.uk/
  yourenv/consultations
4  http://www.environment-agency.gov.uk

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                                                         MREMA, BRUCH   277
UNEP GUIDELINES, MANUAL, AND PILOT ACTIVITIES ON
COMPLIANCE WITH AND ENFORCEMENT OF MULTILATERAL
ENVIRONMENTAL AGREEMENTS

MREMA, ELIZABETH1 and BRUCH, CARL2


1 Senior Legal Officer, United Nations Environment Programme, Division of Environmen-
 tal Policy Implementation, Elizabeth.Mrema@unep.org
2 Legal Officer, United Nations Environment Programme, Division of Environmental Policy
 Implementation, Carl.Bruch@unep.org

P.O. Box 47074, Nairobi 00100, Kenya
SUMMARY

       After decades of developing international environmental agreements, norms, and
institutions, there is a paradigm shift from normative development toward implementation.
The United Nations Environment Programme (UNEP) has undertaken many measures to
assist countries and other stakeholders in improving compliance with and enforcement of
multilateral environmental agreements (MEAs). In 2002, the UNEP Governing Council
adopted Guidelines on Compliance with and Enforcement of Multilateral Environmental
Agreements. Since then, UNEP has promoted the use of the Guidelines to improve imple-
mentation of MEAs around the world. UNEP has developed a Manual that expands  upon
the Guidelines and provides practical examples of how governments, NGOs, MEA Secre-
tariats, and others have applied the approaches set forth in the Guidelines to implement
MEAs. This Manual has been refined iteratively through a series of regional capacity build-
ing workshops convened by UNEP. Building upon the Guidelines, Manual, and lessons
learned from the regional workshops, UNEP has also launched a series of pilot projects on
compliance and enforcement, including a project with INECE to develop and test indicators
of compliance with and enforcement of MEAs. This chapter provides an overview of the
Guidelines, Manual and regional workshops, and pilot projects that UNEP has undertaken
to improve compliance with and enforcement of MEAs.
1 INTRODUCTION

1.1     Background to the Guidelines
       UNEP developed the Guidelines
through an  evolving  and  participatory
process. Recognizing the growing interest
in compliance and enforcement of environ-
mental law including MEAs, UNEP devel-
oped elements of draft Guidelines in 1999
and convened a Working Group of Experts
on Compliance and Enforcement of Envi-
ronmental Conventions. The experts rec-
ommended that the Guidelines be divided
into two sections, one that addressed com-
pliance  issues  and  the   other  that
addressed enforcement and environmental
crimes. UNEP submitted the draft Guide-
lines to Governments for their review and
comment. In 2000 and 2001, UNEP con-
vened two advisory group meetings (one in
Nairobi and one in Geneva), in which MEA
Secretariats also participated. Based on
the feedback from these meetings, UNEP
refined the Guidelines.
       On 22-26 October 2001,  UNEP

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     SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
convened an intergovernmental meeting of
experts. All governments were invited, and
ultimately 78 governments participated in
finalizing the  Guidelines at this meeting.
The  UNEP Governing Council ultimately
reviewed, considered,  and  adopted the
Guidelines in February 2002.1
1.2
Nature of the Guidelines
       The Guidelines seek to promote
implementation of a broad range of MEAs,
present and future. This  includes agree-
ments on  everything from hazardous
wastes and chemicals, to desertification
and land degradation, to  biodiversity and
wildlife, to climate change and depletion of
the ozone layer.
       The Guidelines are  necessarily
non-binding and advisory, and they do not
affect MEA  obligations in any way. In order
to be relevant to a broad range of MEAs,
the Guidelines  set forth  a "tool box" of
actions,  approaches, and  measures  to
strengthen  the international  and national
implementation  of MEAs. As such, the
Guidelines  seek to inform  and improve the
manner in  which  Parties  implement their
MEA commitments. Thus, the selection and
application  of specific tools in the Guide-
lines to the specific context of a particular
MEA will depend on the characteristics of
that  MEA,  as well as the context of the
country, countries, or organization seeking
to apply the tools.

1.3    Scope and Content of
       the Guidelines
       The Guidelines include an intro-
duction and two chapters, one on compli-
ance  and the other on enforcement. The
substantive division of the Guidelines into
compliance and  enforcement reflects the
conceptual framework articulated by the
experts and refined by the Government
representatives participating in the devel-
opment of  the Guidelines.  The experts
divided implementation measures into two
broad categories: those actions that relate
to whether a Party (i.e., a nation) is in com-
pliance  with an  MEA, and  those on-the-
ground actions that a Party takes to imple-
ment an  MEA. Consequently, the former
set of actions relates primarily to the inter-
national context and whether a nation is in
good standing with the other Parties (i.e.,
the Compliance chapter), and the latter set
of actions relates primarily to the national
context and the  actual application  of the
agreement at the national level (i.e., the
Enforcement chapter). As will  become
readily apparent, though, while these gen-
eralities hold, there is some overlap.
       The compliance guidance address-
es the  entire process of  developing and
implementing MEAs.  Accordingly,  these
Guidelines promote effective preparation
for and participation in negotiations through
a variety of tools such as exchange of infor-
mation, consultations, intra- and  inter-gov-
ernmental  coordination,  assessment  of
domestic capacities, and the need to pro-
mote synergies and avoid overlaps. The
Compliance Guidelines also set forth a
range  of institutional  mechanisms and
approaches to promote compliance. Some
of these may be  included  in the  text of an
MEA, while others may be adopted  by the
MEA Conference of the Parties, Secretari-
at, or other competent body. Such mecha-
nisms  include: reviews of implementation
and effectiveness; national implementation
plans;  reporting,  monitoring, and verifica-
tion; non-compliance mechanisms and pro-
cedures;  and dispute settlement. There are
also  some relatively brief  Guidelines
addressing  national measures  to  imple-
ment MEAs, and most of these measures
are expanded upon in the following chap-
ter, dealing with enforcement. The Compli-
ance chapter concludes with a discussion
of measures to promote capacity building,
technology transfer, and international coop-
eration.
       In  contrast to the  Compliance
chapter, which emphasizes the internation-
al context, the Enforcement chapter focus-
es on  specific  measures to implement
MEAs at  the national level. In this context,
"enforcement" encompasses a broad range
of actions, starting with effective  laws, reg-
ulations,  and institutional frameworks, but
also entailing concerted capacity building,

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                                                             MREMA, BRUCH    279
public awareness and education, and inter-
national  cooperation  and  coordination.
While the specific legal, social, economic,
and cultural contexts of a nation affect com-
pliance, the Enforcement chapter recog-
nizes that  national implementation  and
enforcement measures are most effective
when they take into account the particular
national context. The Enforcement chapter
provides a variety of considerations (e.g.,
clarity, feasibility, coordination, and authori-
ty) and a long list of approaches, tools, and
arrangements.
       The measures enumerated in the
Guidelines  have proven to be relatively
comprehensive: in more than three years
of intense review and discussion following
the adoption of the Guidelines, few (if any)
practices or considerations have been
raised that are not already provided for in
the Guidelines. This is due in large part to
the broad range of experts, countries, and
perspectives involved in  elaborating  the
Guidelines.  It is also due to the  general
nature of the Guidelines.  In  short,  the
Guidelines adopt a "tool box" approach, but
they do not provide much guidance on how
to use these tools, individually or in concert
with  other tools.

2 THE UNEP MANUAL AND
  REGIONAL WORKSHOPS

       When it adopted the Guidelines,
the UNEP Governing Council (GC) sought
to disseminate them  widely to Govern-
ments,  MEA Secretariats,  international
organizations,  and   other   institutions
involved  in  implementing MEAs. The  GC
also  sought to promote use  of the Guide-
lines through the UNEP work program, in
collaboration with States and international
organizations. Thus, GC asked UNEP to
strengthen  capacity of developing coun-
tries, particularly the least developed coun-
tries and countries with economies in tran-
sition, to implement  and enforce MEAs
using,  inter alia,  the  Guidelines.2   In
strengthening  capacity  of  countries  to
implement and enforce MEAs, UNEP has
pursued  a three-pronged approach,  pur-
suant to its work plan, that involves (1)
developing and refining a Manual, (2) con-
vening regional workshops to disseminate
the Guidelines and test the Manual, and (3)
conducting pilot activities.
       UNEP has developed a Manual
that expands upon the tools set forth in the
Guidelines. If the Guidelines are a "tool
box," then the Manual is a sort of "user's
guide" for those tools. Structured as an
annotated commentary on the Guidelines
and using clear simple language, the Man-
ual provides explanatory text, case studies,
checklists,   references   to   additional
resources, and annexes with supplemen-
tary information. UNEP initially developed
the Manual as a desk study, and UNEP has
revised the Manual following each regional
workshop to take into account substantive,
editorial, and formatting comments, as well
as new case  studies of national, regional,
and international experiences highlighted
in the workshops. UNEP has also updated
the Manual on a rolling basis to incorporate
feedback from other events and reviewers.
       UNEP also has convened a series
of regional workshops on compliance with
and enforcement of MEAs. At the time of
writing, six regional workshops had been
concluded for Asia and the Pacific, English-
Speaking Caribbean, South East Europe,
English-Speaking  Africa, the   EECCA
(Eastern  Europe,  Caucasus,  and Central
Asia) Region, and Spanish-speaking Latin
American and  Caribbean countries.  In
addition,   UNEP  has disseminated  the
Guidelines and Manual to developed coun-
tries around  the world and sought  their
feedback through a number  of meetings
organized by them,  such as the  North
American Commission for Environmental
Cooperation   and  IMPEL.  The final  two
workshops - for Francophone Africa and
Arabic-speaking West Asia - will be held in
the first half  of 2005.  Following these two
workshops, UNEP will finalize the Manual,
translate it into the UN languages, and dis-
seminate it widely for use by Governments,
MEA Secretariats, and other stakeholders.3
       These workshops  have two  pri-
mary goals. The workshops seek to build
capacity of developing countries and coun-
tries with economies in transition to use the

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
resources in the Guidelines and the Manu-
al to improve compliance with and enforce-
ment  of  MEAs.  In  this capacity,  UNEP
familiarizes  participants with use of the
Guidelines and Manual. In addition,  MEA
Secretariats play a  key role in educating
participants about best  practices in imple-
menting  and  enforcing their  respective
agreements. The workshops also facilitate
an exchange of experiences within a region
regarding how to develop, comply  with,
implement, and enforce MEAs, as well as
challenges faced. In this context, partici-
pants are able to learn from the experi-
ences of countries with similar legal, social,
cultural, and economic  contexts. Through
this exchange of experiences as well as
specific discussions  regarding the Manual,
UNEP  identifies   new  case  studies,
explanatory  text,   and other  ways  to
improve the Manual. As such, the work-
shops have facilitated the iterative revision
and refinement of the Manual and helped to
ensure regional balance and relevance.

3 PILOT ACTIVITIES

       The  regional workshops have also
provided a sustained dialogue regarding
the challenges that countries face in  com-
plying with and enforcing MEAs, as well as
ways  that countries can (and do)  meet
those challenges. It is  not surprising that
limited technical, financial, and personnel
resources are a significant concern  for
many  countries. Nevertheless, the  vast
majority of countries participating in the
workshops have had at least a few - and in
some cases, many -  innovative experi-
ences in developing, implementing, and
enforcing MEAs. While resources remain a
chronic and  sometimes severe challenge,
countries are developing a variety of cre-
ative mechanisms and  institutions for the
implementation and  enforcement of MEAs.
       Due to the limited resources that
many developing countries face, the work-
shops have seen recurrent, widespread
interest in   a  few  general  themes  and
approaches. These areas of priority include
strengthening the skills  of their MEA nego-
tiators, development of legislation imple-
                             menting MEAs, and strengthening capacity
                             of institutions to implement and enforce
                             MEAs. The countries have also expressed
                             the  importance  of  a  few cross-cutting
                             themes, including synergies, cost-benefit
                             analysis,  and public  participation.  For
                             example, there is particular interest in tak-
                             ing advantage of synergies among related
                             MEAs as a means to more efficiently imple-
                             ment MEA commitments.
                                    UNEP is undertaking  a suite of
                             pilot projects that respond to the needs and
                             priorities that countries have expressed in
                             complying with and enforcing MEAs. These
                             pilot projects utilize the  Guidelines  and
                             Manual in  various ways, but they generally
                             seek to build capacity and develop innova-
                             tive approaches in three areas:  the negoti-
                             ation of MEAs, the implementation of MEAs
                             through national legislation  and  regula-
                             tions, and  the practical implementation and
                             enforcement of MEAs. Many of these activ-
                             ities emphasize synergies,  particularly in
                             developing laws and training customs offi-
                             cers and  judges,  but also in developing
                             indicators  of MEA implementation. A num-
                             ber of  activities also highlight  the impor-
                             tance of public participation in implementa-
                             tion of  MEAs, for example in MEA negotia-
                             tions,  in  the development of  national
                             reports, and in conducting transboundary
                             environmental impact assessments.  The
                             current activities are scheduled to be com-
                             pleted  by the end of 2005, with subsequent
                             activities building upon the experiences of
                             the pilot activities.
                                    As noted above, there is particular
                             interest in implementing  related MEAs
                             through synergistic  approaches. These
                             synergies  may be thematic, so that a coun-
                             try may  implement a  cluster of related
                             MEAs  through a single, holistic law. For
                             example, UNEP is working with the Organi-
                             zation  of  Eastern  Caribbean States to
                             develop frame harmonized legislation to
                             implement the Convention on Biological
                             Diversity (CBD), the Convention on Inter-
                             national  Trade in   Endangered  Species
                             (CITES), the  Ramsar Convention on Wet-
                             lands,  the World Heritage Convention, and
                             other  regional  and  international agree-
                             ments  relating  to  biological  diversity.

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                                                              MREMA, BRUCH   281
Rather than undertake five (or more) sepa-
rate legislative reforms that could yield a
patchwork  of  overlapping  legislation,  a
country can pursue a single process that
yields a more effective law that addresses
potential synergies and overlaps in a delib-
erate fashion. Moreover, the length of time
necessary to produce the larger law is gen-
erally perceived to be less than that neces-
sary to develop a series of separate imple-
menting legislation.  Similar thematic clus-
ters may occur in the context of hazardous
substances and wastes, regional seas, and
atmosphere, and other UNEP pilot projects
seek to provide innovative models for syn-
ergistic implementation of MEAs in national
legislation. For example, UNEP is collabo-
rating with INECE to develop and pilot test
national compliance and enforcement indi-
cators for two clusters of MEAs: biodiversi-
ty and  hazardous waste/chemicals MEAs.
       Operational  synergies are  also
possible, particularly in capacity building.
For example, customs officers are at the
front lines in regulating trade in endangered
species, ozone-depleting substances, haz-
ardous waste, and certain chemicals. While
expert  knowledge  and  comprehensive
training are often necessary  to discern
legal from illegal trade, basic training and
awareness  raising of customs officers can
go a long way  in helping to identify poten-
tially illegal trade.  Accordingly,  UNEP,
INTERPOL, the World Customs Organiza-
tion, and the Secretariats of five (and per-
haps six) MEAs have launched the Green
Customs Initiative to build capacity of cus-
toms officers on trade-related MEAs. Other
operational  synergies  may be seen  in
capacity building  of the prosecutors and
judges, who are charged with prosecuting
and deciding cases dealing with potential
violations of national laws  implementing
MEAs.  As such,  a general awareness of
and sensitivity to MEAs can be essential to
effective enforcement; and general training
on  MEAs may be more appropriate and
cost-effective than MEA-specific training.
Ongoing UNEP pilot projects address all of
these operational synergies.
4 CONCLUSIONS

       The UNEP Guidelines have proven
to be an important and timely set of tools to
assist in the implementation of MEAs. The
Guidelines have inspired  initiatives  to
develop other international and  regional
guidelines on  MEA compliance, implemen-
tation, and enforcement. Moreover, MEA
Secretariats,  international and  regional
institutions, NGOs, and other organizations
have undertaken a variety of measures to
promote compliance and enforcement in
recent years. For example, MEA Secretari-
ats are developing and strengthening com-
pliance  mechanisms, as  well as other
approaches to promote effective implemen-
tation. Countries are developing new and
innovative approaches to implementation.
The Manual captures many of these expe-
riences, within the  broader framework of
the UNEP Guidelines.
       There is still  much work to be done
in building capacity and in developing the
specific modalities for implementing MEAs
more  efficiently.  Nevertheless, there  are
grounds for optimism. As UNEP's regional
workshops have highlighted, developing
countries around the world have been cre-
atively meeting the challenges with innova-
tive approaches. These innovations need
to be cultivated and supported, and the les-
sons of these  experiences  need to be
examined for their  potential  relevance in
other countries and contexts.

5 REFERENCES

1 UNEP GC Special Session (SS) Decision
  VII/4 (2002). The  Guidelines are avail-
  able  in the  six  UN  languages  at
  http://www.unep.Org/DEPI/programmes/l
  aw_implementation.html.
2 UNEP Governing  Council Special Ses-
  sion Decision VII/4 (2002).
3 The  draft  Manual  is  available   at
  http://www.unep.Org/DEPI/programmes/l
  aw_implementation.html.

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                                                                PlCOLOTTI   283
ARGENTINE CASE STUDY: USING HUMAN
RIGHTS AS AN ENFORCEMENT TOOL TO ENSURE
THE RIGHTS TO SAFE DRINKING WATER

PlCOLOTTI, ROMINA
Executive Director, Center for Human Rights and Environment, Argentina,
romina@cedha.org.ar
SUMMARY

       This article exemplifies with a real case how linking environment and human rights
can be used to promote enforcement of environmental law. We start from the basis that
human rights law provides substantive and procedural elements as well as institutional
mechanisms that can be incorporated by environmental law with a view to achieving effec-
tive environmental protection.
1 INTRODUCTION

       Even though the protection of the
environment has been consecrated in a
number of international instruments and
universal recognition has  been achieved
concerning the need to act in certain areas
to prevent the destruction of the Earth, this
protection has been based more on rheto-
ric and good will rather than on enforceabil-
ity. International environmental law has not
provided the mechanisms necessary for
individuals to legally claim the fulfillment of
the obligations assumed by States in envi-
ronmental treaties. We understand by envi-
ronmental enforcement, the ability to claim
before a judge the fulfillment of obligations
and the realization  of rights that concern
the protection of the environment.
       For its part, international human
rights law has been able to advance signif-
icantly with respect to enforcement. Inter-
national justice forums have been created
to which individuals can resort in order to
demand that States fulfill their obligations
and achieve the  realization  of rights that
are included in human rights treaties. Like-
wise,  international human rights law has
succeeded in penetrating  into the States'
domestic legislation  through  legislative
reforms that recognize and promote its
application by local tribunals.
       Environmental and human rights
law have essential points in common that
enable the creation of a field of cooperation
between the twoi:
— Both disciplines have deep social roots;
   even though human rights law is  more
   rooted within the collective conscious-
   ness, the  accelerated process of  envi-
   ronmental degradation is generating a
   new "environmental consciousness".
— Both are purposeful legal systems with
   objectives of universal consent and of
   variable content,  open  to  reality and
   social  changes. The contents of both
   disciplines need be adapted to dynamic
   social processes, their normative corpus
   must meet the needs of each social era,
   with the objective of fulfilling its protec-
   tive ends.2
— Internationalization. The international
   community has assumed the commit-
   ment  to observe  the   realization of
   human rights and  respect for the  envi-
   ronment. From the  Second World  Wars
   onwards, the relationship State-individ-
   ual is of pertinence to the international
   community. On the other  hand, the phe-

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
   nomena brought on by environmental
   degradation transcend political bound-
   aries and is of critical importance to the
   preservation of world peace and securi-
   ty. The protection of the environment is
   internationalized, while the State-Planet
   Earth relationship becomes a concern of
   the international community.
— Universalization. Both areas of law tend
   to universalize their object of protec-
   tion. Human Rights are presented as
   universal and the protection of the envi-
   ronment appears as everyone's
   responsibility.
       The advancement of the relation-
ship between human  rights and the envi-
ronment would enable the incorporation of
human rights principles within an environ-
mental scope, such as anti-discrimination
standards, the need for social participation,
protection of vulnerable groups, etc. At the
same time,  the human rights system would
be strengthened  by  the  incorporation  of
environmental  concerns,  enabling the
expansion  of the scope  of human  rights
protection and generation  of concrete solu-
tions for cases of abuses.4 Finally, one of
the most important consequences, is  to
provide victims of environmental degrada-
tion  the possibility to access to justice.
Given  the  present situation  of  absolute
helplessness suffered by victims of envi-
ronmental  degradation,  linking  human
rights and the environment brings such vic-
tims closer to the mechanisms  of protection
that are provided for by human rights law.
       The linkage between human rights
and the environment reveals  itself clearly
and irrefutably. Environmental degradation
severely affects the use and enjoyment of
most internationally  recognized human
rights.  Thus, for example, the right to life
and  to health, are critically  affected  by
problems of environmental degradation^
the right to equality before the  law is affect-
ed by  the disproportionate way in which
certain sectors of the population bear envi-
ronmental burden (environmental discrimi-
nation), the right to work is affected by envi-
ronmental conditions  in the work place, the
right to property is affected by environmen-
                              tal degradation, etc.e
                                     Experience in the  human rights
                              arena has shown that the way to make
                              rights effective is to promote their enforce-
                              ment. It is timely to consider which are the
                              elements that made possible advances on
                              the enforcement of human rights  and
                              whether these can be applied to environ-
                              mental law.
                                     The first element stems from the
                              recognition that human rights are funda-
                              mental rights:  the  possibility  of  social
                              cohabitation  is given by the existence  of
                              norms and principles that imply the concep-
                              tion of immutable values, of limits that can-
                              not be transgressed, of  norms that are
                              internalized within the collective conscious-
                              ness as  unyielding pillars not subject  to
                              controversies.  Human  rights  are  the
                              trustees of this solid normative nucleus.
                                     The second is the general consent
                              as regards these rights, which implies their
                              legal crystallization at an international scale
                              through treaties and declarations with uni-
                              versal vocation and their hierarchical  con-
                              stitutional incorporation into the domestic
                              judicial systems of States.
                                     The third element resides in the
                              possibility given to individuals to  access
                              justice in  order to claim for the enforceabil-
                              jty of these norms and the application  of
                              specific substantive and procedural human
                              rights principles in concrete cases.  This
                              access to justice is in itself a human right,
                              of which people cannot be deprived.
                                     When these elements of enforce-
                              ment are applied to the scope of environ-
                              mental law, it is possible to sustain, as
                              regards the first of these elements, that the
                              environmental crisis threatens the viability
                              and quality of life on the planet. The funda-
                              mental nature of this problem is irrefutable.
                              This has generated the universal consent
                              necessary to  elevate the protection of the
                              environment  before  international  public
                              law.  Hence, the right to a healthy environ-
                              ment is beginning to be recognized  as a
                              human right.7
                                     The second element pertaining to
                              enforcement  in human rights appears in
                              environmental law in the sense that, most
                              constitutions   that have  been  recently

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                                                                  PlCOLOTTI   285
reformed incorporate the protection of the
environment, hence, assigning this protec-
tion constitutional hierarchy. 8
       It is the third element, dealing with
access to justice that  has  not yet  been
completed in the area of environmental
law; it prevents its enforcement, and thus,
the full force and effectiveness of environ-
mental law.  In the case that follows we
used a human rights strategy to strengthen
the access to justice of environmental vic-
tims and  to  ensure  environmental law
enforcement.
       In a research program studying the
dimensions of  poverty,  human rights and
environment, [Center for Human Rights
and Environment] (CEDHA) [identified] the
lack of access to safe drinking water in out-
lying poor neighborhoods as a critical  prob-
lem of the city of Cordoba, Argentina.  Local
research took place over a two year period,
targeting  specific  geographical  areas
around Cordoba, characterized by high lev-
els of poverty. The study disclosed that the
lack of access to safe drinking water is. a
common and recurring problem in the poor-
est communities of the local population.
       The  problem  has four  principal
dimensions:
1. The lack of access to the local water dis-
  tribution gridmap;
2. The  contamination of water distributed
  by the  existing local network, principally
  due to lacking state control over the con-
  tracted cooperative providers who are
  charged with  providing water to  poor
  communities;
3. The contamination  of  subterranean
  waters, principally due to lacking sanita-
  tion  infrastructure,  and  contaminated
  water spillover from homemade sanita-
  tion systems (household water pits);
4.  Contamination of home water storage
  tanks, principally caused by inadequate
  covers, poor maintenance  and hygiene,
  lacking  regular controls,  atmospheric
  contamination  due to the nearby use of
  agro-pesticides and  chemicals in high
  population density areas, the presence
  and use of nearby incinerators of patho-
  genic waste, crematories, or other indus-
  trial pollution.
       Considering that we have a favor-
able judicial system and framework that
recognizes human rights as having consti-
tutional hierarchy on health,  an adequate
standard of living, the right to food, and the
right to a  healthy environment^ and the
great need for the  State to  perceive the
problem of access to safe drinking water as
a human rights problem, Center for Human
Rights and Environment, Argentina decid-
ed  to  begin to litigate  leading  cases
addressing the various dimensions of the
problem in the city of Cordoba.
       The  criteria Center  for Human
Rights and Environment, Argentina uses to
select cases are: population density, the
degree of  poverty; existing lack of access
to safe drinking water; proximity to the dis-
tribution   public  water  gridmap;  social
organization of  the affected community;
judicial viability of the case.
       The  principal  obstacles encoun-
tered were: the lack  of tradition in the court
system to  enforce these rights, the limited
capacity of the judicial sector to believe in,
or feel they can influence public policy deci-
sions, the economic  crisis of the country, as
well as of the provincial and municipal gov-
ernment.

2 FACTS OF THE CASE

       The  present case addresses the
lack of access to safe drinking water in
three poor neighborhoods in the city of Cor-
doba, which  are  not included in the public
water gridmap,  and whose subterranean
home water  pits are highly contaminated
with fecal matter, nitrates and nitrites.
       The  affected neighborhoods are:
Chacras de la Merced, Villa la Merced, and
Cooperativa Unidos with a population of
approximately 4,500.  Of these, 49% are
women, and 51%  men. Average female
age is 27, male, 25. Approximately 43% are
minors of less then  17, and nearly 5% are
persons above the age of 64. Approximate-
ly 30% of the neighborhoods  population is
actively employed,  while  unemployment
surpasses 23%.  The  average household

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
monthly income  (in families with at  least
one employed member) is US$175. The
level of illiteracy is nearly 3%.1°
       Towards the end of the 1960s, the
city built a Sewer-Water Treatment Facili-
ty11 (called the EDAR Bajo Grande) on the
coasts of the Suquia River, two kilometers
upstream from Chacras de la Merced com -
munity, which predates construction of the
facility some 30  years.  Chacras de la
Merced borders with Villa la Merced and
Cooperativa  Unidos  communities.  The
EDAR facility  was inaugurated  in 1987,
under municipal control,  with the capacity
to treat 120 thousand cubic meters/hour of
sewer water.
       Due to the continued growth of the
city of Cordoba, the municipality continued
authorizing  new  sewage  connections,
increasing the volume of sewer water going
into the plant. As a consequence, the  plant
today, has two extremely urgent problems:
the first has to do with the lack of basic
product supplies to treat the  sewer water
and the lack of maintenance. The  plant is
currently operating at 70% of capacity, due
to these limitations; the  second  problem,
has to do with the quantity of flow of sewer
water into the plant. Assuming  the plant
were functioning at 100% capacity, it can
only treat 120,000  m3/hr, and at present,
the plant receives on average  between
140,000 andl50,000 m3/hr. This suggests
that the plant is receiving between 600,000
and 800,000 liters of sewage water that it
cannot treat, not even if it were to operate
at 100% capacity.
       The large gap between the quanti-
ty of incoming liquid and the  ability of the
facility to treat it, results in direct daily spills
of untreated  sewerage  water  into  the
Suqufa River.
       In July of 2003, a representative
from CEQUIMAP laboratory^, arrived at
Chacras de la Merced, by invitation of Cen-
ter  for Human  Rights and Environment,
Argentina, to take five water samples from
the community. The fecal bacterial  content
(coliformes  fecales)  of  the  river down-
stream from the plant,  shows  a  40-fold
increase  with  respect to the river water
sample taken upstream from the  plant.
                                    The tests taken from homes in the
                             community are also testimony of severe
                             contamination  with  fecal  mater,  with
                             increasing  contamination directly propor-
                             tional to the proximity of the home to the
                             plant. Some of the tests show up to 2000
                             fecal coliformes. The World Health Organi-
                             zaiton (WHO) establishes that there should
                             be no presence of fecal coliformes in water
                             destined for human consumption.

                             3 LEGAL STRATEGY

                                    The legal strategy chosen  in the
                             case parallels Center for Human Rights
                             and Environment, Argentina's general legal
                             strategy,  grounded in the  objective of
                             enforcing  Economic, Social and Cultural
                             Rights (ESCRs). Center for Human Rights
                             and Environment, Argentina is working to
                             create  the relevant favorable environmen-
                             tal jurisprudence that would permit the con-
                             tinuous advancement towards the com-
                             plete enforcement of  all ESCRs. In  this
                             manner, we distinguish violated rights from
                             rights  chosen for their enforcement. At
                             present,  while the contamination of the
                             water source resulted  in the violation of
                             multiple human rights, we chose only cer-
                             tain rights upon which to claim for judicial
                             enforcement, including, the right to safe
                             drinking water, the right to a healthy envi-
                             ronment, the right to health, and the right to
                             an adequate standard of living.
                                    Center for Human Rights and Envi-
                             ronment, Argentina chose to present an
                             injunction  (in Spanish, amparo) based on
                             two main criteria and with a view to expe-
                             dite the process as much as possible.13
                             The case was limited mainly to secure safe
                             drinking water for the  affected parties, as
                             well as to immediately cease contamination
                             of the Suquia River.
                                    The action was filed  against the
                             Provincial  State,  as well  as against the
                             Municipality of Cordoba. The action against
                             the State  was based  on its obligation to
                             ensure that the water of the River Suquia
                             be suitable for human and industrial con-
                             sumption, and for its obligation to provide
                             direct or indirect access to safe drinking
                             water to the public and in conformity with

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                                                                   PlCOLOTTI   287
internal legislation. The action against the
municipality centered on the injurious and
treacherous nature of the  environmental
degradation and its consequences on peo-
ple. This strategy permitted us to broaden
the range of potentially responsible parties
for the  violation of rights,  holding these
accountable in differentiated but collective
terms. The State, we argued, is the guaran-
tor of human rights, irrespective of the inter-
nal structure it might chose to adopt.
        Likewise,  this approach permitted
us to capitalize on existing and ongoing
internal conflict between the municipality
and the province.  Instead of the two politi-
cal levels claming innocence in the matter,
they proceeded to fingerpoint responsibili-
ties at one another. Nevertheless, this dual-
ity  and  conflict between  political  levels
which at one state of the case was favor-
able, became problematic at the moment of
executing the court order, as the political
differences created significant barriers to
carrying out the sentence.
        As part of the judicial  strategy,
Center for Human Rights and Environment,
Argentina requested the presence of the
affected communities at multiple stages of
the process, an unusual practice in injunc-
tion filings which exerted strong  political
pressure on all of  the parties involved. The
filing  was  made  by Center for   Human
Rights and Environment, Argentina jointly
with four community residents, which also
lent their homes for the mentioned water
sampling.i*
The strategy involved utilizing the action as
a political pressure mechanism, with  the
objective of opening a Pandora's box of
subsequent thousand+ filings from other
affected community members, in the case
that the first action did not result in a per-
manent solution to the access to safe drink-
ing water problem.
        In the end, the case was sustained
with evidence coming  primarily from  the
State's  own reports on the functioning of
the Treatment Facility and the levels of con-
tamination of  the Suquia River.
        The following international human
rights legislation were evoked in the case
filing: The Universal Declaration of Human
Rights, the International Covenant on Eco-
nomic, Social and Cultural Rights^, and
the Convention of the Rights of the Child.
3.1
The Sentence
       The case was resolved in the first
instance. The judge decided: to accept the
standing of the NGO (CEDHA) and the 4
affected  residents; that the  State was
responsible  in  violating  the rights  to  a
healthy environment, to an adequate living
standard, to access safe drinking  water,
and the right to health. It also recognized
the human  right to safe drinking water,
implied by the right to health. The judge
explicitly cited the Universal Declaration of
Human Rights, the International Covenant
on Economic, Social and Cultural  Rights,
and General Observation Number 15. He
also recognized the immediacy with which
the State must address the environmental
situation, and that this requires the utmost
diligence with a view to avoid irreversible
damage to the ecosystem and as a conse-
quence,  to those individuals who inhabit
the mentioned environment. He also recog-
nize[d] that "the environment is not only a
collective good, without requisite sine qua
non for [the existence of people], due to
which it is an individual patrimony and at
the same time, a collective one, with impli-
cations for present and future generations,
for which not only must we act in defense of
present values, but in the name of future
persons and environmental values".
       With respect to the judicial enforce-
ment of these rights, he stated that "while it
is good that in a State of rule of law...that a
Judicial entity not conduct activities of the
responsibility of the Parliament  or  Presi-
dency, the discretionary and privative com-
petence of an organ of the State have lim-
its,  and  that the action  of  the  Judiciary
power,  faced  with the degeneration  of
those responsibilities, does not imply  an
invasion of  one power over another, but
rather the  framing of public authority to
uphold the Constitution and the law.
       Finally,  the sentence  order[ed]:
"that the municipality of Cordoba adopt all

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of the measures necessary relative to the
functioning of the EDAR Bajo Grande, in
order to minimize the environmental impact
caused by it, until a permanent solution can
be attained with respect to its functioning;
and that  the Provincial State assure the
injunction filers a provision  of 200 daily
liters of safe drinking water, until the appro-
priate public works be carried out to ensure
the full access to the  public water service,
as per decree 529/94." Case costs  are
awarded to the plaintiff.
3.2
Execution of the Sentence
       We achieved, within the process,
that the municipality present an "integral
sewage plan" in which US$1.75  million
shall be invested for rehabilitation of the
existing infrastructure, and US$6 million to
increase plant capacity.  We requested for-
mal clarification of the sentence so that the
Judge precisely orders the measures nec-
essary relative to the functioning of the
plant, in order to minimize the environmen-
tal impact produced by it, until a permanent
solution is reached, specifying  activities
and their implementation timeframe.
       In  December 2004, the Province of
Cordoba commenced public works on the
perforation of new water pits, construction
of new water storage facilities, the installa-
tion of a new hydro-powered tank, as well
as the necessary piping to channel water to
the neighborhoods,  which will eventually
provide permanent access to safe drinking
water to Chacras de la Merced, Cooperati -
vas  Unidos,  and  Villa  la Merced.  The
municipality has promised to provide the
necessary pipes for home connections.^
Construction  work  is expected to end in
March 2005.

4 CONCLUSION

       The request for the  provision of
permanent access to safe drinking water is
not merely the simple request of the provi-
sion of a public service. It is rather, found-
ed in the will to assure the full realization of
human rights to health,  food, an adequate
standard of living, and a healthy environ-
ment. The judge of the case, wisely, poised
himself as the guarantor of the  human
rights of the residents of these neighbor-
hoods.  We believe  that  this sentence
makes an  important step towards the judi-
cial enforcement of these rights.

5 REFERENCES

 1 See A.A. Cancado Trindade, "The Paral-
  lel Evolutions of International   Human
  Rights Protection  and  Environmental
  Protection and the  Absence of Restric-
  tions upon the Exercise of Recognized
  Human  Rights",  in  the  Inter-American
  Institute  of Human Rights Magazine, No.
  13, January-June 1991.
 2 Alexandra Kiss, Definition  et  nature
  juridique d'un droit  de I'homme 3 I'envi -
  ronnement, en Environnement et droits
  de I'homme, Pascal Kromarek, directrice
  de publication, 1987
 s Michael  J. Kane,  Promoting Political
  Rights to protect the Environment,  THE
  YALE JOURNAL OF INTERNATIONAL
  LAW,  Volume 18, Number 1, pgs.389-
  390
 4 Michael  R. Anderson,  Human  Rights
  Approaches to Environmental Protection:
  An Overview in Alan E. Boyle & Michael
  R. Anderson,  Eds., HUMAN RIGHTS
  APPROACHES TO ENVIRONMENTAL
  PROTECTION 1-4,  21-23 (1996).
 s It has been estimated that roughly 60 per
  cent of the global burden of disease from
  acute respiratory infections, 90 per cent
  from  diarrhea disease, 50 per cent from
  chronic respiratory conditions and 90 per
  cent  from  malaria could be avoided by
  simple  environmental   interventions.
  World Health Organization. 1997. Health
  and Environment in Sustainable Devel -
  opment: Five  Years after the Earth Sum -
  mil Geneva: World  Health Organization
 6 Judge Weeremantry from the Internation-
  al Court  of Justice makes a reflection in
  this vein: The protection of the environ-
  ment is  ... a vital part of contemporary
  human rights doctrine, for it is a sine qua
  non for numerous human rights such as
  the right to health  and the right to  life

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                                                                   PlCOLOTTI   289
 itself. It is scarcely necessary to elabo-
 rate on this, as damage to the environ-
 ment can impair and undermine all the
 human rights spoken of in the Universal
 Declaration and  other human  rights
 instruments.     Gabcikovo-Nagymaros
 Case (Hungary-Slovakia), ICJ, Judgment
 of Sept. 25,1997 (Sep. Op. Judge Weer-
 mantry) at 4.
7 The Additional Protocol to the American
 Convention on the matter of Economic,
 Social, and Cultural Rights "Protocol of
 San Salvador "in force since December
 16th of 1999, in its article 11 recognizes:
   "1. Every person has the right to live
       in a healthy environment and to be
       provided with basic public services.
     2. The State parties will promote the
       protection,    preservation,   and
       improvement of the environment."
  The African Charter of Human Rights, in
  force since 1986,  in its article 24 recog-
  nizes: "every person has the right to a
  satisfactory and favourable environment
  for his development" la traduccion nos
  pertenece]
8 This is reflected in most of the constitu-
 tions in  the region  that recognize the
 importance of the environment: constitu-
 tion of Bolivia of 1967 (article 137), con-
 stitution  of Brazil of 1988  (article 225),
 constitution of Chile of 1980 (article 19),
 constitution of Colombia of 1991 (articles
 8,49, 79,80,86, and 88), constitution of
 Cuba of 1992 (articles 11 and 27), consti-
  tution of El Salvador of 1983 (article 69),
  constitution of Ecuador of 1983 (article
  19), constitution of Guatemala of 1985
  (article 97),  constitution  of Guyana of
  1980 ( articles 25 and 36), constitution of
  Haiti of 1987 (articles 253 and 258), con-
  stitution of Honduras of  1982 (article
  145), constitution of Mexico  of  19178
  (article 25), constitution of Nicaragua of
  1987 (articles 60 and 102), constitution of
  Panama of 1980 (article  110), constitu-
  tion of  Paraguay of 1967 (article 132),
  constitution of Peru of 1993 (article 2  inc.
  22), constitution of Uruguay of 1997 (arti-
  cle 47), constitution  of Costa Rica (arti-
  cles 468 and 508).
s The National Constitution incorporates 11
  human rights treaties with Constitutional
  hierarchy,  including:  the  Covenant  on
  Economic, Social and  Cultural Rights,
  the  Universal  Declaration on  Human
  Rights,  and  The Convention  on  the
  Rights of the Child.
10 Stats from "Perfil de la Pobreza en Cor-
  doba",  SEHAS.
11 Henceforth "plant" or "facility".
12 A laboratory of the National University of
  Cordoba.
13 No  more expedient judicial remedy
  exists.
i4 We carefully chose those sites where we
  could clearly construct solid evidence of
  the contamination of the Suqula River by
  the plant and the high degree of contam-
  ination of the home water pits. For exam-

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  pie, we took samples from the River
  before and after the plant, and in one of
  the local schools of one of the neighbor-
  hoods, where approximately 300 chil-
  dren attend school,  eat and drink water
  daily from a local water pit.
15 Henceforth the ESCR Covenant

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                                                             PRATT, MAURI   291
ENVIRONMENTAL ENFORCEMENT AND COMPLIANCE
AND ITS ROLE IN ENHANCING COMPETITIVENESS
IN DEVELOPING COUNTRIES

PRATT, LAWRENCE1 and MAURI, CAROLINA2
1 Associate Director, Latin American Center for Competitiveness and Sustainable
 Development, INCAE, Costa Rica, Lawrence.Pratt@incae.edu
2 President, EcoConsulta, Costa Rica, caromauri@racsa.co.cr
SUMMARY

       There is strong evidence that improved environmental performance is positively
correlated with increased competitiveness. The article explores the implications of this rela-
tionship to emerging policy frameworks in developing countries and describes the role of
enforcement and compliance in promoting competitiveness. The article concludes by pre-
senting a "laundry list" of attributes of an environmental regime capable of enhancing com-
petitiveness.
1 PERCEPTIONS OF ENVIRONMENT
  AND COMPETITIVENESS

       Historically, in  developing regions
such as Latin America, many in the private
sector (as well  as in government) have
believed that improving environmental per-
formance has only negative effects on the
countries' ability to  improve  competitive-
ness. The  traditional  view argues that:
increased costs  to firms to upgrade tech-
nology and treat  externalities hurt firm level
cost-competitiveness in  the  international
marketplace, stringent national environ-
mental standards encourage companies to
invest in countries with less stringent stan-
dards, the costs  to governments of enforc-
ing environmental legislation could be bet-
ter used elsewhere, and, improved environ-
mental performance is a "luxury" for wealth-
ier countries that poor countries cannot
afford.
      While there is a certain logic to the
arguments, and in certain cases all can be
true, the experience of firms and countries
over the past decade has led to deeper
understanding of how environmental per-
formance relates to the more traditional
economic policy goals of nations - such as
furthering trade relationships and improv-
ing firm competitiveness. This new experi-
ence has shown that the issues are much
more complex than we had imagined, and
that the traditional view is, at a minimum,
overly simplistic, and at the  limit largely
incorrect in the context of most developing
countries.
       We now know that there are strong
positive relationships between good envi-
ronmental performance  and increased
country and firm competitiveness. These
newly understood relations have important
implications for integrating environmental
policy (and its effective implementation and
enforcement)  across many  aspects  of
national policy-making and programs. The
following three sections of the paper attempt
to articulate the arguments for the positive
relationships.  The two  following  sections
examine in more detail the potential role of

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E&C [enforcement and compliance] strate-
gies and programs and considerations for
developing country policy-makers.

2 FIRM LEVEL COMPETITIVENESS

       At the firm level, there are  clear
links between higher levels of environmen-
tal performance and improved competitive-
ness. Many are well known and well-docu-
mented,  others are anecdotal  or simply
believed  by  business   peopje   and
researchers to be relevant, pending  more
empirical research.
       First,  the cost differential between
environmentally "sound" and environmen-
tally "unsound" products  is a relatively
small component of the cost structure for
most companies. In the  United  States,
arguably the country with the most expen-
sive environmental regulatory system with
which to comply, the average costs of com-
pliance  with all environmental regulation
has been estimated at  less than one per-
cent of total costs.
       Second, producing with less waste
is usually more profitable. Waste products
are, by definition,  raw materials that enter
into a process which are not used in the
final  product.  Eliminating the  waste
streams  by incorporating them into the
product, reusing them or recycling them are
always more profitable alternatives to treat-
ing the  product for disposal (and usually
more profitable than throwing the product
away untreated)....

2.1    New Understanding
       of Opportunities
       The other manner in which the tra-
ditional  view  of  environmental  costs  is
being challenged  is through  increasing
opportunities  for  realizing  market  value
from improved environmental performance.
Globalization, increased connectivity, and
changes  in stakeholder expectations  of
firm's behavior are creating opportunities
for firms to increase value for consumers,
business customers and investors.  (Pratt
2000, SustainAbility 2002).
                              2.1.1   Relating to Firm Business
                                     Opportunities

                              2.1.1.1  Efficiency
                                     As discussed above, there are very
                              good opportunities for  firms to invest in
                              making their production processes more
                              efficient, and their products more valuable
                              per unit of energy and raw materials usage.
                              Investments in energy  and material effi-
                              ciency  can be highly profitable and can
                              increase  long-term  competitiveness for
                              many firms. In developing countries, partic-
                              ularly those of Latin America, there are out-
                              standing opportunities for investment. High
                              costs of capital (due to macroeconomic fac-
                              tors), a historic scarcity of investment capi-
                              tal and a  tradition  of  relatively  closed
                              economies (limiting much cost competition)
                              have led to underinvestment in new tech-
                              nology  and allowed  processes  to be con-
                              siderably less efficient than global competi-
                              tors. As these economies open there will be
                              increasing need to improve efficiency and
                              ample  opportunities to move to cleaner,
                              more-efficient production technology. For-
                              tunately, greater macroeconomic stability
                              should  allow investment costs to be more
                              manageable permitting increased invest-
                              ment.
                                     Enforcement and Compliance pro-
                              grams can play an important role in improv-
                              ing  efficiency in a number  of circum-
                              stances. Where regulatory systems push
                              firms toward higher levels of performance
                              (such   as  more  stringent  effluent stan-
                              dards), Enforcement and Compliance pro-
                              grams  can  be structured to allow compa-
                              nies to pursue a variety  of options for
                              achieving the regulatory goals.  For exam-
                              ple, gains in process efficiency are almost
                              always competitiveness enhancing while
                              investments in pollution control  technology
                              rarely are. Another important  area is in
                              advancing environmental goals in sectors
                              that are highly competitive locally.  There
                              are many  cases where many actors in a
                              given industry all want to pursue more envi-
                              ronmentally-sound production  paths, but
                              no single actor is willing to go first for fear
                              of the others gaining an advantage by not
                              following the same path.1

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                                                                PRATT, MAURI   293
2.1.1.2 Adapting to trends toward more
       environmentally sound products
       Trends in consumer markets and
"business to business" markets are reward-
ing firms  with  environmentally  superior
products and  services  and increasingly
rejecting products that are lacking in certain
attributes.   For  example, in markets  for
foodstuffs, organic and other "sustainable"
agricultural products are growing rapidly as
market segments. Organic sales alone rep-
resent over $20 billion of sales in each'the
US and Europe, and now account for about
2% of the total food market. While still rela-
tively small, historic growth rates of around
20% per year (versus less than 2% for con-
ventional foodstuffs)  make it a very inter-
esting market. Developing countries have
outstanding potential to take advantage of
these opportunities  (due to lower  labor
costs,  and frequently favorable  climatic
conditions).
       In  business to business relations,
entire industries are moving to ensure that
their products incorporate environmental
aspects. The ISO14001 environmental
management systems standard has proven
to be the preferred vehicle for "B to B" envi-
ronmental relationships. ISO14001 is now
a "de facto" requirement for most of the
value  chains supplying the electronics and
automobile industries and will likely take on
similar importance in  other industries.
       Trends  in  forestry products (for
sustainably managed timber sources) and
fisheries (for  more responsible capturing
practices) and a number of other industries
are indicative of the strength of these
trends.

2.1.1.3 Innovation
       There is strong evidence from a
number of industries of increased  product
and process  innovation  emerging as  a
result of stringent environmental standards.
       There is little doubt  that the suc-
cess of industries such as the air emissions
reduction industry that emerged in Califor-
nia was a direct result of a "home-grown"
response to that state's stringent air emis-
sions  standards. Similarly, it is clear that
Sweden's domination of the cellulose pulp
processing industry is due to the extremely
efficient production machinery developed in
Sweden to meet that country's demanding
air, water and waste standards.
       The relevant point for Enforcement
and Compliance programs in this area is
that compliance,  per  se,  does not stifle
innovation. However, it is clear that regula-
tory regimes can either stifle [or] encourage
innovation depending on a number of char-
acteristics discussed later in the  paper.

2.1.2   Relating to Stakeholder Issues
       Perhaps the greatest change in the
environment-competitiveness  relationship
has been the increasing number of different
stakeholders taking an interest in firm-level
performance. Increased awareness of the
negative consequences of poor environ-
mental performance, increased speed of
communications, and increased  empower-
ment  of communities  and civil  society in
general have led to greater  interest and
involvement, and have increased the risks
of weak environmental performance. Much
of the risk is tied to the effectiveness of a
country's  regulatory   system   and   its
Enforcement and  Compliance mecha-
nisms.
       Social license to operate/
       Avoidance of direct action
       Enforcement and Compliance play
a critical role in this sphere. Fair and con-
scientious  application  of environmental
standards strengthens the legitimacy of a
regulatory regime. If rules are unclear or
not clearly understood,  Enforcement and
Compliance can "save the day" by stepping
in to clarify the conflict.  Conversely, where
rules are clear failure of an Enforcement
and Compliance effort to lead to a just out-
come (or a perceived just outcome) can
undermine confidence  and  negate  the
effectiveness of the regulatory system.

2.1.2.2 Regulatory risk
       Without clear and clearly enforced
standards (particularly regarding emissions
parameters), firms face a great deal of risk.

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Citizen complaints or arbitrary or capricious
action by officials can lead to sanctions (in
Latin America temporary  closure is the
most common sanction). A more sophisti-
cated and stable system increases pre-
dictability  and transparency and  greatly
reduces  the risk  of  regulatory  action.
Enforcement and Compliance is the inter-
face between the rules themselves and the
firms that are obliged to implement them. If
this function is fulfilled in a consistent and
transparent way, firms benefit from lower
costs (they understand what is expected of
them and focus on that) and lower risk (of
misunderstandings or arbitrary actions).

2.1.2.3 Risk for financiers
       Enforcement and Compliance pro-
fessionals should consider strategies  for
working with the financial sector to help
finance practitioners understand the obliga-
tions  their  clients face  and  determine
strategies for  ensuring that risks to the
company  (and  by extension  their finan-
ciers) are managed effectively.

2.1.3   Evidence
       The most compelling support  for
positive links between environmental per-
formance  and firm level competitiveness
come from changes evident in the financial
markets. Today, roughly one seventh  of all
globally invested funds include specific
exclusions (called "filters" or "screens") for
a number of sectors seen as objectionable
or "unethical" (such as arms, nuclear ener-
gy, tobacco,  gambling). This is in response
to demand from individual and institutional
investors (such as pension funds) who pre-
fer not to have their savings and invest-
ments  used to finance those industries.
From  1996 to  1999  total  assets  in
"screened" funds grew  80% during the past
three years,  compared to just over 40% for
the rest of the market. (Social Investment
Forum 1999)
       A number of financial organizations
are testing the theory  that sound environ-
mental performers are also superior finan-
cial performers by building mutual funds
that include only companies that pass rela-
                             tively high "filters" for environmental and
                             social performance. Because these funds
                             are new and relatively small (total market
                             capitalization of all the funds is only US$1
                             to US$2 billion), it is too early to draw con-
                             clusions, but results thus far are encourag-
                             ing. A1998 comprehensive review of these
                             funds showed that they were performing
                             well against established benchmark index-
                             es. (Ganzi 1998) Most of the funds also
                             showed a much faster rebound  from the
                             stock market crash of 2000 and  2001
                             (author's  review).  A detailed  study  by
                             ABN/AMRO, a leading Dutch financial insti-
                             tution concluded that while the case cannot
                             yet be made for superior performance  of
                             sustainability-based investment funds, per-
                             formance  is at a minimum as good for eth-
                             ically oriented portfolios including environ-
                             mental ones. (ABN/AMRO 2001)
                                     As noted previously,  most of the
                             data to support  links  between  superior
                             environmental performance and improved
                             competitiveness are based  on  industry
                             observations and case studies. However,
                             empirical  research on environmental per-
                             formance  and capital markets shows that
                             the most successful and valuable multina-
                             tional firms are those that adhere to the
                             highest environmental  standards.(Dowell
                             and Hart 1998) The authors researched the
                             relationship between firm value creation
                             and  the stringency  of internal company
                             environmental standards for over 500 pub-
                             licly  traded, U.S.-based multinationals  in
                             non service sectors. The study found that
                             multinationals that  have internal worldwide
                             standards higher than any individual coun-
                             tries' standards are those with the highest
                             levels of value creation. In  contrast, firms
                             that adhere to the  lowest standards in the
                             countries  in which they operate are  those
                             with the lowest value.

                             3 TRADE AND ENVIRONMENT

                                     Nearly every developing country in
                             the world  is pursuing economic strategies
                             that  feature export-led economic growth.
                             Environmental performance is critical in at
                             least two dimensions of these economic
                             strategies.

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                                                                PRATT, MAURI   295
3.1     Import Requirements and
       restrictions
       Most   industrialized   countries
already have  in  place  stringent  rules
regarding  the environmental attributes of
products entering their borders (limitations
on chemical residues, types  of plastics
used, even packaging materials). In addi-
tion, international trade rules allow coun-
tries to restrict imports of products that are
produced using certain processes that are
deemed harmful (such as those that harm
endangered species). To realize the poten-
tial from export-led growth, countries (and
companies operating in them) must ensure
that their products meet both the standards
required by the destination market as well
as those conditions established by export-
ing  country. In addition,  they must pay
increasing attention to the manner in which
export products are harvested and  pro-
duced to ensure adherence to more strin-
gent process-based requirements.
       For  the natural  resource-based
economies of most developing countries,
this issue underlines the importance of reg-
ulatory programs and  sound Enforcement
and Compliance initiatives in areas such as
agricultural  chemicals  and  pesticides,
marine and coastal resources (particularly
marine mammals, turtles, wetlands and
mangroves), and endangered species pro-
tection. A limited  number of  "problems"
identified  in industrialized countries can
ruin an entire industry, even  if the failures
are  from  only one  firm. For example,
Guatemala's berry industry  has  been
destroyed twice in the past ten years due to
an embargo on exports to the United States
(imposed by the U.S. due to Guatemala's
failure to adequately manage chemical and
biological risks affecting the berries' quali-
ty). In both cases, more serious attention to
chemical use and biological contamination
would have eliminated the problem. A small
number of containers of  Chilean  grapes
found to have unacceptably high levels of
pesticide for the U.S. market led to an
embargo of all Chilean  grapes for a lengthy
period.
       Other  cases can be found,  and
trade rules at an international level are
moving toward allowing countries greater
latitude to restrict imports based on unde-
sirable environmental criteria. (USD 2002)
Tropical timber is an interesting example.
Due to an agreement of the International
Tropical Timber Organization, international
trade rules now  allow any WTO member
country to prohibit the importation of wood
or wood products that are not certified as
coming from sustainable sources. While it
is not yet in any country's interest to exer-
cise this right, WTO  rules allow the restric-
tion to be implemented at any time. The key
for developing countries to protect their tim-
ber exports is to put in place  programs
(with  appropriate compliance  assurance
mechanisms) that promote sustainable for-
est management and reduce the likelihood
of any of their exports being rejected for
lack of certification.

3.2    Trade Policy and Strategy
       Most developing countries are pur-
suing closer trading relationships with the
U.S. and Europe, primarily in the form of
free trade agreements. In the case of the
United States in particular it is clear that
environmental issues are a critical compo-
nent of reaching the agreement. Concerns
in the United States  regarding trading part-
ners' environmental and labor performance
are considered to be the most serious polit-
ical obstacles to furthering  trade agree-
ments.
       The North American Free Trade
Agreement (NAFTA, between  the  U.S.,
Canada and  Mexico) included an entire
parallel agreement obliging the countries to
undertake a wide variety of activities to
strengthen environmental  performance,
resource management,  and cooperation.
This agreement is largely responsible for a
wholesale change in Mexico's environmen-
tal laws, regulations and approach toward
more sound environmental management.
Both the obligations of the agreement and
a sophisticated understanding of the com-
petitive implications of environmental per-
formance for Mexican exporters have led to
dramatic improvements in many areas.

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
       Responsible  environmental  stan-
dards and the ability and will  to enforce
them are part of the "price of admission" to
closer trading ties with the U.S. It is clear in
all of the post-NAFTA  trade agreement
processes (with Chile, Singapore, Jordan
and the Central American nations) that the
U.S. expects all  of its trading partners to
have in place laws,  rules, administrative
structure and Enforcement and Compli-
ance  programs  necessary  to  ensure
responsible  environmental performance,
and that it will sanction its trading partners
if their enforcement and compliance sys-
tems do not ensure that the rules are fol-
lowed.
       Enforcement and Compliance's
role is critical. The United States in particu-
lar looks frequently  to Enforcement and
Compliance  indicators to assess whether
or not countries  are taking  appropriate
action to ensure compliance with the envi-
ronmental laws and  regulations. For this
reason, Latin American countries' Enforce-
ment and Compliance programs will likely
be in the "spotlight"  of any potential dis-
agreements or disputes.

4 BUSINESS CLIMATE

       Each year since 1992, the World
Economic Forum  has  published annual
assessments of countries' competitiveness
including  rankings.  In  1997,  the  WEF
began including a number of environmental
variables in  recognition of an emerging
understanding of the  relationship between
environmental performance and the devel-
opment path of countries.
       Today, the WEF  environmental
determinants of business climate and the
subsequent  rankings comprise one of the
11 "chapters" of the analysis and rankings.
The issues assessed, analyzed and ranked
are:
— Stringency of air, water,  waste disposal,
   chemical and overall environmental reg-
   ulation.
— Speed of  adoption and enacting of envi-
   ronmental rules.
                              — Level of government priority to enacting
                                international environmental regulations.
                              — Flexibility offered by system and author-
                                ities to meet required obligations.
                              — Consistency and fairness of environ-
                                mental enforcement.
                              — Perceptions of effect of compliance on
                                firm competitiveness.
                              — Extent of public-private cooperation to
                                reach environmental gains.
                              — Prevalence of environmental manage-
                                ment systems.
                                     The critical issue for policy-makers
                              is that a very "mainstream" business policy
                              organization is completely convinced of the
                              positive linkages between environmental
                              performance and  a  healthy competitive
                              business climate. Countries seeking  to
                              improve their ranking (which is seen inter-
                              nationally as  an  important barometer of
                              economic development potential) will need
                              to take these criteria into account when
                              working to strengthen their business cli-
                              mate.
                                     A 2001 analysis of the  results of
                              the indicators reached an important conclu-
                              sion:
                                     "the quality of a nation's environ-
                              mental  regulatory regime  is strongly and
                              positively correlated with its  competitive-
                              ness.." (page 95) and continues:
                                     "The analysis provides  consider-
                              able empirical evidence that cross-country
                              differences in  environmental performance
                              are associated with the quality of the envi-
                              ronmental regime in place. We find that the
                              rigor  and structure of the environmental
                              regulations have particular impact, as does
                              emphasis on enforcement."
                                     For developing countries, this pro-
                              vides a very strong competitiveness and
                              business-climate case for advancing more
                              stringent regulatory  structures, and for
                              developing much  greater  capacity  to
                              ensure  compliance with established  laws
                              and regulations.
                                     It is important to note that Enforce-
                              ment and Compliance plays a direct or indi-
                              rect role in  nearly every one of the key envi-
                              ronmental business climate factors. Some

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                                                              PRATT, MAURI   297
are direct - such as perceived consistency
and fairness, and the level of public and pri-
vate cooperation. Others are indirect - for
example, the stringency of regimes (in par-
ticular in developing countries stringency is
very much related  to actions taken by
Enforcement and Compliance programs),
flexibility, and perceived benefits on com-
petitiveness.

5 THE ROLE OF ENFORCEMENT
  AND COMPLIANCE IN
  PROMOTING COMPETITIVENESS

       There  is  strong  evidence  that
improved  environmental  performance is
positively correlated with  increased com-
petitiveness. Further, we understand from
experience in  both rich countries and
developing countries that environmental
performance in the economy in general is
largely a function of stringency of the envi-
ronmental regulatory regime  and  of  the
seriousness of Enforcement and Compli-
ance efforts and programs. At the firm level,
companies are frequently rewarded  in the
market place by improved environmental
performance.
       Experience in developing countries
has shown that without effective Enforce-
ment and Compliance, progress toward
national environmental goals will be limited.
There is evidence that effective environ-
mental Enforcement and Compliance sys-
tems (based on fundamentally sound regu-
latory structures) can play an important role
in encouraging firms to improve environ-
mental performance, which can strengthen
broader competitiveness-related goals at
the national level.
       One of the  challenges in  using
Enforcement and Compliance as a tool to
strengthen competitiveness is that Enforce-
ment and Compliance, by virtue of its role
in an overall  environmental regime, is a
function of the policies and rules set out by
the country. It is hard for Enforcement and
Compliance efforts alone to compensate
for deficiencies in the laws and regulations.
If the overall regulatory regime is misguid-
ed in this regard,  then Enforcement and
Compliance will likely have little or no posi-
tive competitive impact.
       Compliance and enforcement can
also have neutral or even  negative effects
on competitiveness. Enforcement of rules
that do not assist local companies in realiz-
ing environmental benefits will not improve
competitiveness (though it may not harm it
either).  In  some  cases,  countries must
enforce rules to achieve social and environ-
mental goals that may harm the competi-
tiveness of companies.  Also,  uneven,
unpredictable or inconsistent compliance
and  enforcement  sends  mixed  signals,
allowing  firms  to gain short term  advan-

tages over  local competitors through non-
compliance.

6 CONSIDERATIONS FOR
  DEVELOPING COUNTRIES

       As in many areas of environmental
policy, implementation in developing coun-
tries implies a great number of challenges.
Among the most relevant ones to be con-
sidered include:
— Relatively immature regulatory systems
— Limited  national budgets  leading  to
   weak (underfunded, understaffed) insti-
   tutions.
— Lack of understanding of how environ-
   mental performance relates to competi-
   tiveness.
— Predominance   of   traditional  views
   among private sector and government
   officials emphasizing  "costs" of environ-
   mental performance.
— Unique  natural  resource bases  that
   present different challenges and reduce
   the possibility of "cut and paste" strate-
   gies from the U.S. and E.U.
       A consensus "laundry list" of attrib-
utes of an  overall  environmental  regime
capable  of enhancing competitiveness
would include:
— Clear and stable  rules based on a sound
   legislative mandate.
— Clear and clearly delineated obligations
   for regulated community and other soci-
   etal actors.

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
— Clear performance parameters for regu-
   lated community (numeric, unequivocal).
— Mechanisms that drive and support the
   development of related industries and
   infrastructure (this allows for cost-effec-
   tive waste management, a deep market
   for production  equipment and control
   technologies, and other items).
— Rules designed to force companies  to
   internalize the costs of low levels  of
   environmental performance and which
   reward  companies  that  reduce their
   externalities on the society.
— Long-term goals that avoid technologi-
   cal  "lock-in" (permitting  technological
   revolution, rather than just evolution  to
   meet increasingly stringent standards).
— That allow the regulated community cer-
   tain  flexibility in choice  of solution  to
   reach regulatory goals.
— Emphasis  on  solutions  that  reduce
   waste  (materials, water  and  energy)
   rather than seek to treat it.
— Goals  that  push  firms toward global
   product and process standards and the
   expectations of international  trading
   partners.
— Structures  that permit  cost-effective
   Enforcement and Compliance (burdens
   of proof, standards).
— Clear and simple legal procedures for
   the regulated community which reduce
   paperwork and time and effort interact-
   ing with authorities.
       One particular advantage in most
developing countries at this time is that
their regulatory systems are still relatively
immature. The  immature systems may per-
mit greater latitude  to  improve  them
through regulation or  decree,  and  more
specifically they may  allow Enforcement
and Compliance professionals to "simulate"
more ideal attributes through their policies,
strategies and programs.
       The  most pressing question for
Enforcement and Compliance planners in a
given country is to what extent the current
systems and rules grant the degrees  of
freedom necessary to engage in competi-
                             tiveness-enhancing    activities?   Only
                             detailed country-by-country analysis can
                             answer this question and develop recom-
                             mendations for expanding the space in
                             which Enforcement and Compliance pro-
                             grams can engage in these issues.

                             7 REFERENCES

                             1 A well known case is the Costa Rican cof-
                              fee processing sector. A voluntary agree-
                              ment among  all firms and the Environ-
                              ment Ministry permitted all companies to
                              simultaneously pursue very large reduc-
                              tions in biological oxygen demand without
                              risk.

                             8 BIBLIOGRAPHY

                             ABN/Amro, "Title",  ABN/AMRO, Amster-
                             dam, 2001.
                             Dowell, Glenn, Stuart Hart  and Bernard
                             Yeung. "Do Corporate Global Environmen-
                             tal Standards Create or Destroy Market
                             Value?" Management Science, June 1998.
                             Environmental  Law Institute, "Innovation,
                             Cost and Environmental Regulation: Per-
                             spectives on Business, Policy and Legal
                             Factors Affecting The Cost of Environmen-
                             tal Compliance," Environmental Law Insti-
                             tute, Washington, DC 1999.
                             Esty, Daniel C. and Michael  E.  Porter,
                             "Chapter  2.1  Ranking National Environ-
                             mental Regulation  and  Performance: A
                             Leading Indicator of Future Competitive-
                             ness?" in The Global Competitiveness
                             Report 2001 -2002. World Economic Forum
                             and Harvard University. Oxford University
                             Press. 2001.
                             Ganzi, John, S. Buffet  and R. Dunn,  "A
                             Review of Publicly Available Funds that
                             Focus on  Financial and Environmental Per-
                             formance." A  report by the Environment
                             and Finance Enterprise for the U.S. Envi-
                             ronmental Protection Agency,  November
                             1998.
                             Jaffe, Adam et al. (1995). "Environmental
                             Regulation and the Competitiveness of US
                             Manufacturing: What Does the Evidence
                             Tell Us?"  Journal of Environmental Litera-
                             ture, Vol. XXXIII March 1995.

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                                                                       N   299
USD, "Name", Bridges, No.  XX, Geneva,
2002.
Panayotou, Theodore, editor, The Environ -
ment for Central American Competitive -
ness, Harvard University Press, Boston,
2000.
Porter, Michael E. The Competitive Advan -
tage of Nations, Free Press, New York,
1998. Porter, M.E. and C. van der Linde
(1995), "Toward a new conception of the
environment competitiveness relationship,"
Journal of Economic Perspectives 9(4), 97-
118.
Pratt, Lawrence P., "Rethinking the Private
Sector-Environment Relationship in Latin
America," Background Paper for the Semi-
nar on the "New Vision for Sustainability:
Private  Sector  and  the  Environment"
IDB/IIC Annual Meeting of the Board  of
Governors New Orleans, Louisiana, March
25, 2000.
Social Investment Forum, 1999 Report on
Socially Responsible Investing Trends  in
the United States, November 4, 1999.
SustainAbility, "Developing  Value:  The
Business Case for Sustainability in Emerg-
ing Markets," SustainAbility and Interna-
tional Finance Corporation, London, 2002.
UBS, general  information on investment
funds at  http://www.ubs.com/ e/globalam/
emea/switzerland/funds/ecoperformance.h
tml, January 23, 2004.

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                                                                  SARMA   301
COMPLIANCE WITH THE MONTREAL PROTOCOL

SARMA, K. MADHAVA


Former Executive Secretary, Ozone Secretariat, United Nations Environment Programme



SUMMARY

       This article presents an overview of the compliance provisions of the Montreal Pro-
tocol on Substances that Deplete the Ozone Layer framers of the Montreal Protocol. The
article describes experience with the non-compliance procedure and details the impact of
compliance activities on consumption of ozone depleting substances.
1 VIENNA CONVENTION FOR THE
  PROTECTION OF THE OZONE
  LAYER AND THE MONTREAL
  PROTOCOL ON SUBSTANCES THAT
  DEPLETE THE OZONE LAYER

       Scientists first postulated, in the
early  1970s,  that emissions of nitrogen
oxides, from fertilizers or from large fleets
of supersonic airplanes like the  European
Concorde, for example, could reach the
stratosphere, 10 to 15 kilometers above the
earth's surface, and damage the thin  layer
of stratospheric ozone. This layer protects
the  earth from excessive  UV-B radiation
that could damage  human  health,  plant
productivity and  materials. Mario Molina
and Sherwood  Roland  demonstrated in
1974 that the emissions of human made
halocarbons would reach the stratosphere
and deplete the ozone layer. These  halo-
carbons, first invented and commercialized
in 1928, were considered "wonder chemi-
cals" because of their long life,  and  were
used in many industries and  processes
such  as refrigeration,  air  conditioning,
metal cleaning, and fire fighting.
       The United Nations Environment
Programme established,  in  1977, a Coordi-
nating Committee on the Ozone layer, con-
sisting of the world's leading experts, to
study the issue and suggest scientific solu-
tions to the problem.  At the same time, the
UNEP initiated international diplomatic dis-
cussions to take steps to solve the prob-
lem. The continuing scientific studies iden-
tified halocarbons as the  main cause of
ozone  depletion.2  Prolonged  diplomatic
discussions  over  the next eight  years
resulted in the Vienna Convention for the
Protection of the Ozone Layer in 1985. It
was only a framework convention, provid-
ing for the Parties to the Convention to
study,  research, and  report on various
aspects of the ozone depletion. The Con-
vention  provided for further Protocols as
needed to deal with the ozone depletion.
       In 1985, British and Japanese sci-
entists discovered  complete destruction of
ozone over the Antarctic in the spring sea-
son (an "ozone  hole") and further experi-
ments confirmed the role of halocarbons in
ozone  depletion.  Continuing  diplomatic
negotiations piloted by UNEP resulted, in
1987, in the  Montreal Protocol on Sub-
stances that  Deplete the  Ozone  Layer
under the Convention. The Protocol listed
eight ozone-depleting substances (ODS)
but prescribed only mild control measures
for each   Party   to  the  Protocol  to
freeze/reduce its production and consump-
tion of these ozone-depleting substances.
The Protocol, however, provided for adjust-
ing or amending the Protocol after periodi-
cal scientific  and  technological assess-
ments at least once every four years. Since

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then, following such assessments, the Pro-
tocol was strengthened by the Govern-
ments five times through adjustments and
amendments (in 1990,  1992, 1995, 1997
and 1999). The Protocol now  mandates
total phase out of production and consump-
tion of  96  listed  ozone-depleting sub-
stances by all the Parties in a  specified
time frame.s  The list of controlled sub-
stances was annexed to the Protocol in
four Annexes (A, B, C and E), and within
these Annexes, in nine groups. The control
measures were applicable  group-wise.
Five groups of substances were to be grad-
ually phased out by 1996, one  by 1994,
one by 2002. one by 2005. and one group
by 2030 {of HCFCs.  which  are ozone
depleting but with a low Ozone Depletion
Potential and used as substitutes for CFC).
The developing countries were given a
grace period to  implement the  control
measures.   The  Protocol  established,
through Article 12,  a Secretariat with duties
as defined in that Article. UNEP provides
the Secretariat ("the Ozone Secretariat").

2 LEGAL PROVISIONS IN THE
 , CONVENTION AND THE PROTOCOL
  ON COMPLIANCE

       The  Vienna Convention, in Article
11 and in Decision 7 of the First Confer-
ence of the Parties (COP) in 1989,4 provid-
ed for an elaborate procedure for settle-
ment of disputes between Parties. This pro-
cedure applies to any Protocol unless the
Protocol provides otherwise. The Conven-
tion prescribed reporting on many sub-
stances but  these  reporting  obligations
were waived by the Decision VCIII/4 of the
third COP5 as reporting on ozone-depleting
substances  under the  Montreal Protocol
was considered sufficient.
       Article 8 of the Protocol specified
that the Parties should approve procedures
and institutions for determining non-compli-
ance by Parties and for treatment of Parties
found to be in non-compliance. An interim
procedure was first  approved by Decision
II/5 of the second Meeting of the Parties in
1990  and annexed to the  report of the
meeting as Annex III. It was finalized by
                             Decision IV/5 of the fourth Meeting of the
                             Parties in 1992 and annexed to the report
                             of the meeting as Annex IV. It was reviewed
                             with minor changes by Decision X/10 of the
                             tenth  Meeting  of the Parties in 1998 and
                             annexed to the report of the meeting. The
                             procedure will apply without prejudice to
                             the operation of the settlement of disputes
                             procedure laid down in Article 11 of the
                             Vienna Convention. It is reproduced below.
                                    Non-Compliance Procedure of the
                             Montreal Protocol
                             "1. If one or more Parties have reservations
                                regarding another Party's implementa-
                                tion of its obligations under the Protocol,
                                those concerns may be addressed in
                                writing to the Secretariat. Such a sub-
                                mission shall be supported by corrobo-
                                rating information.
                             2. The Secretariat shall, within two weeks
                               of its  receiving  a submission, send a
                               copy of that submission to the Party
                               whose implementation  of a particular
                               provision of the Protocol is at issue. Any
                               reply and information in support thereof
                               are to be submitted to  the Secretariat
                               and to the Parties involved within three
                               months of the date of the dispatch or
                               such longer  period as the circumstances
                               of any particular case may require. If the
                               Secretariat has not received a reply from
                               the Party three months after sending it
                               the original submission, the Secretariat
                               shall send a reminder to the Party that it
                               has yet to provide its reply. The Secre-
                               tariat shall,  as soon as the reply and
                               information from the Party are available,
                               but not later than six months after receiv-
                               ing the submission, transmit the submis-
                               sion, the reply and the information, if
                               any, provided by the Parties to the Imple-
                               mentation Committee referred to in para-
                               graph  5, which shall consider the matter
                               as soon as practicable.
                             3. Where the Secretariat, during the course
                               of preparing its report, becomes aware
                               of possible non-compliance by any Party
                               with its obligations under the Protocol, it
                               may request the Party concerned to fur-
                               nish necessary information about the
                               matter. If there is no response from the

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                                                                     SARMA   303
  Party concerned within three months or
  such longer period as the circumstances
  of the matter may require or the matter is
  not  resolved through administrative
  action or through diplomatic contacts,
  the Secretariat shall include the matter in
  its report to the  Meeting of the Parties
  pursuant to Article 12 (c) of the Protocol
  and inform the Implementation Commit-
  tee, which shall  consider the matter as
  soon as practicable.
4. Where a Party concludes that, despite
  having made its best, bona fide efforts, it
  is unable to comply fully with its obliga-
  tions under the Protocol, it may address
  to the Secretariat a submission in writ-
  ing, explaining, in particular, the specific
  circumstances that it considers to be the
  cause of its non-compliance. The Secre-
  tariat shall transmit  such submission to
  the Implementation Committee, which
  shall consider it as soon as practicable.
5. An  Implementation Committee is hereby
  established. It shall consist of 10 Parties
  elected by the Meeting  of the Parties for
  two years, based on equitable geograph-
  ical distribution. Each Party so elected to
  the Committee  shall  be requested to
  notify the Secretariat, within two months
  of its election, of who is to represent it
  and shall endeavour to  ensure that such
  representation remains throughout the
  entire term of office. Outgoing Parties
  may be  re-elected  for one  immediate
  consecutive term. A Party that has com-
  pleted a second consecutive  two-year
  term as a Committee member shall be
  eligible for election  again only after an
  absence of one year from the Commit-
  tee. The Committee shall  elect its own
  President  and  Vice-President.  Each
  shall serve for one year at a time. The
  Vice-President shall, in addition, serve
  as the rapporteur of the Committee.
6. The Implementation Committee shall,
  unless it decides otherwise, meet twice a
  year.  The Secretariat shall arrange for
  and service its meetings.
7. The functions  of the  Implementation
  Committee shall be:
  (a) To  receive,  consider and report on
     any submission in accordance with
     paragraphs  1, 2 and 4;
  (b) To  receive,  consider and report on
     any information or observations for-
     warded by the Secretariat in connec-
     tion with the preparation  of the
     reports referred to in Article 12(c) of
     the Protocol and on any other infor-
     mation received and forwarded by
     the  Secretariat concerning compli-
     ance with the provisions of the Proto-
     col;
  (c) To request, where it considers neces-
     sary, through the Secretariat, further
     information on matters under its con-
     sideration;
  (d) To  identify  the facts and possible
     causes relating to individual cases of
     noncompliance referred to the  Com-
     mittee, as  best it can, and  make
     appropriate  recommendations to the
     Meeting of the Parties;
  (e) To  undertake, upon the invitation of
     the  Party concerned,  information-
     gathering in the territory of that Party
     for fulfilling the functions of the  Com-
     mittee;
  (f) To maintain,  in particular for the pur-
     poses of drawing up its recommenda-
     tions, an exchange of information with
     the  Executive Committee of the  Multi-
     lateral Fund related to the provision of
     financial and technical co-operation,
     including the transfer of technologies
     to Parties operating under Article 5,
     paragraph 1, of the Protocol.
8. The  Implementation  Committee  shall
  consider the submissions, information
  and  observations referred to in  para-
  graph 7 with a view to securing an ami-
  cable solution of the matter on the  basis
  of respect for the provisions of the Proto-
  col.
9. The  Implementation  Committee  shall
  report  to  the Meeting of the Parties,
  including any recommendations it con-
  siders  appropriate. The  report shall be
  made available to the Parties not later

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
  than six weeks before their meeting.
  After receiving a report by the Commit-
  tee the Parties may, taking into consider-
  ation the circumstances of the matter,
  decide upon and call for steps to bring
  about full compliance with  the Protocol,
  including measures to assist the Parties'
  compliance with the Protocol, and to fur-
  ther the Protocol's objectives.
10. Where a Party that is not a member of
   the Implementation Committee is iden-
   tified in a submission under paragraph
   1, or itself makes such a submission, it
   shall be entitled to participate in the
   consideration by the Committee of that
   submission.
11. No Party, whether or not  a member of
   the    Implementation   Committee,
   involved in a matter under considera-
   tion by the Implementation Committee,
   shall take part  in the  elaboration and
   adoption of recommendations on that
   matter to be included in the report of the
   Committee.
  12. The  Parties involved  in  a  matter
      referred to in paragraphs 1, 3 or 4
      shall inform, through the Secretariat,
     the  Meeting of the Parties of the
      results of proceedings taken under
     Article 11 of the Convention regard-
      ing possible  non-compliance, about
      implementation of those results and
      about implementation  of any deci-
      sion of the Parties pursuant to para-
      graph 9.
  13. The  Meeting of  the  Parties may,
      pending completion of proceedings
      initiated under Article 11 of the Con-
      vention,  issue an interim call and/or
      recommendations.
  14. The  Meeting of the  Parties may
      request the Implementation Commit-
      tee  to  make recommendations to
      assist the Meeting's consideration of
      matters of possible  non-compliance.
  15. The members of the Implementation
      Committee and any Party involved in
      its deliberations  shall  protect the
      confidentiality  of  information they
      receive in confidence.
                                16. The report, which shall not contain
                                   any information received in  confi-
                                   dence,  shall  be made available to
                                   any person upon request. All infor-
                                   mation  exchanged by or with the
                                   Committee that is related to any rec-
                                   ommendation by the Committee to
                                   the Meeting of the Parties shall be
                                   made available by the Secretariat to
                                   any Party upon  its  request;  that
                                   Party shall ensure the confidentiality
                                   of the information  it has received in
                                   confidence."

                              2.1     Responses to Non-compliance:
                                     The fourth Meeting of the Parties in
                              1992, by Decision IV/18, finalized, in Annex
                              V of its report, the "Indicative list of meas-
                              ures  that might  be  taken by a Meeting of
                              the Parties in respect of non-compliance
                              with the Protocol:"
                              A. Appropriate assistance, including assis-
                                tance for the  collection and reporting of
                                data, technical assistance, technology
                                transfer and financial  assistance, infor-
                                mation transfer and training.
                              B. Issuing warnings.
                              C. Suspension,  in  accordance  with the
                                applicable rules of international law con-
                                cerning the suspension of the operation
                                of a treaty, of specific rights and privi-
                                leges under the Protocol, whether or not
                                subject to  time  limits, including those
                                concerned with industrial rationalization,
                                production, consumption, trade, transfer
                                of technology, financial mechanism, and
                                institutional arrangements.

                              2.2     Implications of the Responses
                                     and Circumstances Giving Rise to
                                     Their Application

                                     Response A:
                                     The Protocol established a Finan-
                              cial   Mechanism, including  a Multilateral
                              Fund,  under  Article  10,  to meet all the
                              agreed incremental costs for Article 5 Par-
                              ties.  Decision IV/18, in Annex VIII  to the
                              report of the fourth  Meeting of the Parties,
                              finalized a list  of incremental costs and per-

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                                                                     SARMA   305
mitted the Executive Committee of the MF
to interpret the costs and to add to the list,
if appropriate. The permissible costs cover
all the facets of assistance mentioned in A
of Paragraph 14 above. The Global  Envi-
ronment  Facility (GEF),  established  in
1991, has the mandate of assisting all eligi-
ble  countries to implement measures to
solve the global environmental problems of
ozone depletion, climate change, bio-diver-
sity and pollution of international waters.
The  list of Parties recognized by GEF as
eligible for assistance includes many in the
list of Article 5 Parties that are eligible for
assistance by MF.  It also includes many
countries of Eastern Europe and of the for-
mer USSR (Countries with their Economies
in Transition ())e that have not been classi-
fied  as developing countries  (and hence
not eligible for assistance by the Multilater-
al Fund). By the time GEF came into exis-
tence the Protocol had already established
the  Multilateral Fund, and the GEF assis-
tance for the protection of the ozone layer
is only for the Parties not eligible for assis-
tance by the MF.
       Response B:
       Warnings have been administered
by Meeting of the Parties to non-compliant
Parties in some cases,  as elaborated later
in this Article, when the Implementation
Committee noted that the Parties in non-
compliance  have  not put in adequate
efforts. The  warnings contained a threat
that the Parties will be deprived of assis-
tance or that response C would be applied
if they do not return to the path of compli-
ance.
       Response C:
       Suspension of rights  and  privi-
leges.  The  rights and privileges could
include:
— Industrial  rationalization: Non-Article 5
  Parties have the right  to transfer their
  production rights  for  ozone-depleting
  substances to each other and consump-
  tion  rights  for HCFCs (Article  2, Para-
  graphs 5 and 5bis).
— Trade: If a party's rights under Article 4
   are suspended,  other Parties cannot
   trade  in  ozone-depleting  substances
   with that Party (Article 4, Paragraphs 1 -
   1 sex. Paragraphs. 2-2 sex). That Party
   cannot export products containing CFCs
   (air conditioners, etc.) to Parties (Article
   4, Paragraph 3, read with Decision III/5
   of the Third ).
— Assistance from MF or GEF (Articles 10
   and 10 A).

3 REPORTING AND VERIFICATION

       All  the  Parties  have  to send
detailed reports to the Secretariat under
Articles 4B, 7, and 9. Under Article 7, each
Party ratifying the Protocol  shall report,
within three months of becoming a Party, its
data of production, imports and exports of
each of the ozone-depleting substances for
the base year of that ozone-depleting sub-
stances and, thereafter, every year, before
September 30th of  the succeeding year.
Each  Party shall  also  submit  data  on
ozone-depleting substances destroyed,
used as feed stock, exported to or imported
from Parties and non-Parties,  and imports
and   exports  of  recycled  substances.
Regional economic  integration  organiza-
tions are allowed to report consumption fig-
ures for all of their members together, and
the members of such  organizations need
not report the consumption figures, though
they have to report their production figures
individually. Currently, the European Union
is  the only organization recognized as a
Regional Economic  Integration Organiza-
tion for this purpose.  Article 9 mandates
that  each  Party cooperate  in  research,
development,   public  awareness   and
exchange of information regarding tech-
nologies to reduce emissions, alternatives
to  ozone-depleting substances, and costs
and benefits of control strategies. In addi-
tion, Article 9 requires that each Party sub-
mit a biannual report with a summary of its
activities. Article 4B prescribes that each
Party to the Montreal Amendment to the
Montreal Protocol implement licensing sys-
tems for import and export of ozone-deplet-
ing substances within the time prescribed

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and report after implementation.
       In addition to the data to be report-
ed under Article 7, the s have made many
decisions requesting  Parties  to  submit
more data to enable the s to verify compli-
ance with the control measures and the
decisions of the Protocol. Those applying
for essential use exemptions have to report
in the format approved by Decision Vlll/ 9
of the Eighth . Decision VI/19 of the sixth
mandated an annual report from the Par-
ties on their list of reclamation facilities for
ozone-depleting substances. Other deci-
sions include  Decision  VIII/32, Decision
IV/17a, Decision X/7,  Decision X/11,  and
Decision  V/15.
       The Parties send their reports to
the Ozone Secretariat. The Ozone Secre-
tariat analyses the data received and iden-
tifies those parties that have not reported
fully and  those who have not fulfilled the
control measures applicable to them.  The
Implementation committee considers the
report of the Secretariat at its meetings,
usually held in conjunction with s and the
meetings of the Working Groups of Parties.
       The Secretariat checks the data
reported  by the Parties for internal consis-
tency and requests clarification from the
Parties when necessary. However,  the
Secretariat has no right to reject the data
submitted. Based on a recommendation by
the   Implementation   committee,   the
Seventh   decided in  DecisionVII/20  that
while the Secretariat could seek clarifica-
tions from a Party regarding its data, the
data provided by a Party should be used.
       The Non-Compliance  Procedure,
in paragraph 7(e) (please see paragraph 6
above) provided that  the committee  can
undertake, upon the invitation of the Party
concerned, information-gathering in the ter-
ritory of that Party to carry out the functions
of the Committee. However, such informa-
tion-gathering has not  been  carried out
anywhere at this time, and the committee
relies solely  on the data supplied  by a
Party.
       The highly  detailed data  to  be
reported  for all of the 96 controlled ozone-
depleting substances has proved to be very
difficult for all the countries, particularly for
                              developing countries. The chemicals have
                              uses in thousands of industries and were
                              not controlled in any way prior to the Proto-
                              col.  Hence  every Party had  to introduce
                              new regulations and train many profession-
                              als, including customs officers, to report on
                              the  imports and exports of the  ozone-
                              depleting substances.^  Where a party  has
                              many points of entry into its country,  the
                              data collection was delayed and, at times,
                              incomplete.  The Parties also relied on data
                              given by traders, which  is inherently biased
                              to some extent. Occasionally, doubts have
                              been expressed  regarding the reliability of
                              data, most recently by the Technology  and
                              Economic Assessment Panel,s which found
                              some inconsistencies when it tried to  use
                              the data for  calculating the projected future
                              demand for ozone-depleting substances by
                              Article 5 Parties. The data, however, gives
                              a good idea  of the degree of compliance by
                              individual Parties.
                                     Status of Reporting: Initially,  the
                              number of Parties reporting was low, but it
                              has improved over  the  years.  Decision
                              VII/14 of the Seventh   held  in 1995,  for
                              example, lamented that only 82 of the  126
                              Parties reported the 1993 data and only 60
                              reported the 1994 data by December 1995.
                              The report of the Secretariat on data for the
                              Sixteenth  in November 2004 noted  the
                              steady improvement in reporting under Arti-
                              cle 7 over time. By October 2004, all of the
                              Parties have reported for 2002 and more
                              than eighty percent have reported for 2003.
                              While the reporting under Article 9 was  reg-
                              ular in the initial years, it was sporadic in
                              later  years,  probably due  to the repetitive
                              nature of the reports and because the activ-
                              ities of the Multilateral  Fund have  fulfilled
                              the needs of the Article 5 Parties for infor-
                              mation. Sporadic decisionsa up to the 12th
                              , until the year 2000, reminded the Parties
                              for reports.

                              4 EXPERIENCE WITH  THE
                               NON-COMPLIANCE  PROCEDURE

                              4.1     Identifying Non-compliance:
                                     To date, no  Party has submitted,
                              under paragraph 1 of the Non-compliance
                              Procedure,  any representation regarding

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                                                                    SARMA   307
non-compliance by another Party. The non-
compliance cases noted so far, with a sin-
gle exception, are all under paragraph 3 of
the Procedure from the Secretariat reports
on annual data submitted under Article 7.
An exception was when, in 1994, the Russ-
ian Federation and some Parties of Eastern
Europe and the former USSR, which are
classified as non-Article 5 Parties, submit-
ted a statement to the , to the effect that
they  might not  meet compliance require-
ments for the phase out of halons  by 1994,
and  CFCs by  1996, due in  part to their
domestic conditions. This  submission  was
treated by the Secretariat  as a submission
under Paragraph 4 of the  Non-compliance
procedure and referred to the Implementa-
tion Committee.

4.2    Decisions by s on  Reporting and
       Non-complianceio

4.2.1    Non-compliance with Reporting
As noted in Paragraph 15 above,  many
Parties, in the initial years, found it difficult
to report all of the details required annual-
ly under Article 7 of the Protocol, particu-
larly  in the initial years after ratification.
The situation improved gradually The Arti-
cle 5 Parties and Countries with their
Economies in Transition improved their
performance on reporting after receiving
technical assistance from MF or GEF. The
Implementation Committees and s took a
sympathetic view of this problem, with
respect to the Article 5 Parties in the initial
years, because  compliance with the con-
trol measures only started in 1999 for
these Parties. On the recommendation of
the Committee, the s made decisions urg-
ing the Parties to report expeditiously and
giving advise on how to improve reporting.
With  regard to non-reporting under Articles
4B and 9, the Parties, in their decisions,
merely urged the Parties to report.

4.2.2   Procedure for Dealing
       with Non-compliance with  the
       Control  Measures
In cases of non-compliance with the con-
trol measures, the Implementation Com-
mittee and  adopted the procedure of
requesting that the concerned Parties sub-
mit benchmarks and annual targets for a
return to compliance. The performance of
the Party was reviewed every year with
reference to these benchmarks. The deci-
sions of the s, based on a close scrutiny
and recommendation by the implementa-
tion committee, were based on the circum-
stances of each situation.
       Article 5 Parties: From 2001 (13th )
onwards, thirty Article 5 Parties were iden-
tified as in non-compliance status based on
the data submitted. The s noted their non-
compliance, asked them to  submit their
plan  of action and benchmarks to return to
compliance, and decided that to the degree
that a Party "is working towards and meet-
ing specific Protocol control  measures, it
should continue to be  treated in the same
manner as a Party in  good standing  and
should continue to receive  international
assistance." They were also cautioned, in
accordance with item  B of the indicative
measures approved by the  Procedure, that
"in the event it fails to return to compliance
in a timely manner, the  Parties shall consid-
er measures,  consistent with item C of the
indicative list of  measures,"  including
actions available under Article 4, such as
ensuring that the  supply  of the ozone-
depleting substances,  the  subject of non-
compliance, is ceased  and the trading Par-
ties are not contributing to a continuing sit-
uation of non-compliance.11  13 Article 5
Parties were considered to  be in "potential
non-compliance"  since  they  offered  no
explanation for exceeding the levels of con-
sumption mandated  under  the  control
measures and were cautioned under the
same terms as (a) above.12  The s noted the
benchmarks submitted by eighteen Parties
and issued the warning as described in (a)
above.1 s
       To date, no Article 5 Party,  has
been deprived of assistance or had rights
and privileges suspended,  as provided by
item  C of the indicative measures.
       Non-compliance by the Countries
with their Economies in Transition Parties:
As mentioned already,  the Russian Feder-
ation and three other Parties made a state-

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
ment to the sixth  in 1994 about their inabil-
ity to  comply with the  control  measures
within the prescribed time. In the seventh 's
meeting in 1995, its Decisions VII/14-19
noted the  potential non-compliance men-
tioned by the Parties. It  recommended
international assistance to the  Parties.
Through Decision VII/18,  it "allowed" the
Russian Federation to export to the  non-
Article 5 Parties of the former USSR, which
traditionally depended on Russia for all of
its supply  of ozone-depleting substances.
This implicitly suspended  the right of the
Russian Federation to export to other non-
Article 5 Parties, or to Article 5 Parties, to
meet their basic domestic needs as provid-
ed in Articles 2A-2F and 2H. The Countries
with their Economies in Transition Parties
that came  to notice as non-compliant were
Azerbaijan,  Bulgaria,  Estonia,   Czech
Republic,  Estonia,  Kazakhstan,  Latvia,
Lithuania,  Poland,  Russian  Federation,
Ukraine, Tajikistan, Turkmenistan, Uzbek-
istan,  and Armenia (subsequently reclassi-
fied as operating  under Article 5).
       For  each of these Parties,  the
implementation  Committee pursued its
course of obtaining data, identifying actual
or  potential  non-compliance, obtained
plans  of action and benchmarks to  return to
compliance,  and monitored their perform-
ance  in relation to the benchmarks every
year.  The  s  recommended assistance by
the GEF in each case.14 Furthermore, they
called for  explanations when the bench-
marks were  not met.15 Almost all the Par-
ties returned to a state of compliance with
the control  measures. The only   Party
noticed for non-compliance by the 16th in
2004 was Azerbaijan. The 15th in  the year
2003   recognized  and appreciated  the
return to full compliance by the  Russian
Federation in the year 2002,  the largest
Party  (XIV/35).

4.2.3   Non-compliance by the
       Industrialized Countries
       There were no instances of non-
compliance by the industrialized countries.
Decision XV/24 noticed potential non-com-
pliance by Israel due to excess consump-
                             tion of Methyl Bromide in 2002, and
                             requested an explanation. The representa-
                             tive of Israel explained16 the figures show-
                             ing compliance to the 32nd meeting of the
                             implementation Committee, resolving the
                             matter.

                             5 RESULTS OF COMPLIANCE

                                    Of the 188 Parties to  the Montreal
                             Protocol, 143 are classified as operating
                             under Article 5. The  average  of consump-
                             tion (and production) in the  years 1995,
                             1996, and 1997, was treated as their base
                             figure for their control measures for CFCs,
                             the  most consumed  ozone-depleting  sub-
                             stances. Their base figure for CFCs was
                             about 162,500  tonnes in 1995-97.  This
                             consumption came down to 90,800 tonnes
                             in  2002, a  forty-five  percent  decrease,
                             while only a freeze is mandated until 2005.
                             While about 35 Article 5 Parties came to
                             notice for non-compliance,  some of them
                             more than once, their excess  consumption
                             of CFCs noticed for the year 200117 by the
                             Secretariat was.only about 1200 tonnes,
                             while for the year 2003,18 it was about 410
                             tonnes. Most of the  non-complying states
                             are low  volume  consuming  countries.
                             Some of the non-complying Parties ratified
                             the  Protocol very late and  the MF assis-
                             tance to survey their ozone-depleting sub-
                             stances consumption and implement solu-
                             tions to shift to alternatives is taking time.
                             Some  use ozone-depleting  substances
                             only for maintenance of the existing equip-
                             ment, and drop-in substitutes or CFCs from
                             recycling, are not available. Many were tiny
                             countries yet to establish the capacity to
                             implement.
                                    The  consumption  of the   was
                             146,000 tonnes of CFCs in 1986 (about fif-
                             teen percent of world consumption). The
                             non-compliance noticed in 1996 was  for 9
                             Parties with a consumption  of CFCs of
                             18,000 tonnes, while a total  phase out is
                             mandated for  them. Their  consumption
                             came down to about 500 tonnes in 2002.
                                    The overall consumption of CFCs
                             in the world came down from about 1.1 mil-
                             lion tonnes in 1986 to 92,000 tonnes  in

-------
                                                                     SARMA   309
2002, a reduction of more than ninety per-
cent and is continuously declining. The per-
formance of the Protocol is now hailed as
one of outstanding success.
       Scientific Assessment has verified
the success. The  Scientific Assessment
Panel Report of  2002, as  reflected in the
Synthesis Report of all the Assessment
Panels, noted:
       The Montreal Protocol is working,
and the ozone-layer depletion from the Pro-
tocol's controlled substances is expected to
begin to ameliorate within the next decade
or so. The total combined effective abun-
dances of anthropogenic chlorine contain-
ing and bromine-containing ozone-deplet-
ing gases in the  lower atmosphere (tropo-
sphere) peaked in the 1992-1994 time peri-
od and are continuing to decline. Further-
more,  the stratospheric  abundances of
ozone-depleting gases are now at or near a
peak. Thereafter, the level  of stratospheric
ozone should increase, all other influences
assumed constant, but ozone variability will
make detection of the onset of the  long-
term recovery difficult.  Future ozone levels
will also be influenced  by other changes in
atmospheric composition  and by climate
change. Based on  assumed compliance
with the amended and adjusted Protocol by
all Parties,  the Antarctic ozone "hole" is
expected to disappear by the middle of this
century-again, with all  other influences
assumed constant.19

6 FACTORS FOR
  PROMOTING COMPLIANCE

6.1  Protocol Designed for
    Universal Ratification
       The framers of the Protocol recog-
nized that over eighty-five  percent of the
world's  consumption  of  ozone-depleting
substances  is by industrialized countries
and the large number of developing coun-
tries bore only a small part of the responsi-
bility for the ozone  depletion. The limited
capacity of the  developing countries to
phase out  ozone-depleting  substances
expeditiously through alternative technolo-
gies was acknowledged. The Governments
also quickly realized that the cooperation of
all of the countries in the world is essential
to repair the ozone layer, as countries stay-
ing out of the Protocol and increasing their
consumption  of  ozone-depleting  sub-
stances could counteract the reduction by
the Parties to the Protocol. The principle of
"common  but differentiated responsibility"
for  global environmental problems was
given a practical shape in the Protocol. It
was also  felt that  no punitive measures
would succeed in forcing countries to ratify
and implement the Protocol. Hence, many
important  features  of the Protocol  are
designed to  encourage universal  ratifica-
tion.
— The  Protocol  provided  for  periodic
   assessment  of  the control  measures
   based on  available scientific, environ-
   mental, technical,  and economic infor-
   mation  by  panels of experts (Article 6).
— Parties may decide on adjustments and
   amendments to the Protocol  based on
   such assessments (Article  2, Para-
   graphs  9 and 10).
— To assuage worries about lack of alter-
   natives to particular  uses  of  ozone-
   depleting substances, it was provided in
   the Articles  2A-2I  relating  to  control
   measures  on the ozone-depleting sub-
   stances, that a can periodically exempt
   "essential" or "critical"  uses of ozone-
   depleting substances from a total phase
   out.
— Developing  countries20  satisfying the
   conditions in Article 5 were allowed  to
   implement the control measures some
   years after other countries implemented
   those measures, under a "grace period"
   (Article 5).
— Article 9 mandated that the Parties shall
   cooperate  in promoting research, devel-
   opment, and exchange of information on
   technologies to reduce emissions  of
   ozone-depleting substances, alterna-
   tives to ozone-depleting substances and
   products  using  ozone-depleting  sub-
   stances, and costs  and benefits of con-
   trol strategies, and in promoting public
   awareness of environmental  effects  of

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
   the ozone-depleting substances.
— A Financial Mechanism, including the
   Multilateral Fund, subscribed to by Par-
   ties that are not Article 5 Parties (non-
   Article 5  Parties), was  established to
   meet all the agreed incremental costs of
   the  Article 5 Parties (Article  10). The
   Multilateral Fund has the United Nations
   Development Programme,  The United
   Nations  Environment Programme, the
   United Nations Industrial Development
   Organization and the World Bank as its
   implementing agencies.
— Every Party is mandated to take every
   practicable  step  to  transfer  the  best
   available substitutes and technologies
   to Article 5 Parties (Article 10A).
— The Protocol recognizes that the capac-
   ity of Article 5 Parties to implement the
   control  measures will depend on the
   effective implementation of Articles 10
   and 10A (Article 5, Paragraph 5).
— Any Article 5 Party may at any time noti-
   fy that it is unable to implement its con:
   trol measures due to inadequate imple-
   mentation of Articles 10 and 10A and the
   non-compliance procedure  shall not be
   invoked against it till a Meeting of Par-
   ties () decides on an appropriate action
   (Article 5, Paragraph 6).
       Whenever there was a strong dif-
ference of opinion between countries dur-
ing Meetings of Parties, a compromise was
arrived at rather than a majority imposing
its will. As a result of these inclusive meas-
ures and attitude, almost all  the govern-
ments of the world, 188 so far,  have ratified
the Convention and  the Protocol. The only
seven countries that did not ratify the Pro-
tocol so far are very small countries- Andor-
ra, Equatorial Guinea, Eritrea, East Timor,
Iraq, San Marino, and the Vatican.

6.2     Flexible Responses to
        Non-compliance
       The Non-Compliance procedure
does not define non-compliance with the
Protocol. An Ad-hoc Working Group of legal
experts discussed the  issues in  1991 but
                             there was no consensus.21 We have to
                             infer, from the provisions of the Protocol,
                             situations of non-compliance.
                                     The crux of the Protocol is reduc-
                             tion and phase out of production and con-
                             sumption of ozone-depleting substances
                             according  to the prescribed time sched-
                             ules. Non-observance of the control meas-
                             ures is, obviously, non-compliance. Report-
                             ing under Articles 4B, 7, and 9, is mandato-
                             ry and enables the Meetings of the Parties
                             to verify compliance. Non-reporting will be
                             non-compliance.
                                     Article 10 establishes a Financial
                             Mechanism including a Multilateral Fund
                             (MF) to assist Article  5 Parties. The MF
                             shall be financed by contributions from Par-
                             ties not operating under Article 5. If a non-
                             Article 5 Party does not  contribute, is it non-
                             compliance? Discussions in the legal work-
                             ing group of the Parties in 199122 revealed
                             totally different interpretations by the mem-
                             bers. Some argued that non-payment is
                             obviously non-compliance. Others felt that
                             it is not non-compliance since the Protocol
                             does not mention that the contributions are
                             "assessed" as in the United Nations. Until
                             now, no Party cared to test the  interpreta-
                             tion by complaining about non-payment,
                             even though a number of Parties, including
                             the  Russian Federation and countries of
                             the former USSR, never paid any contribu-
                             tion to the Multilateral Fund. Perhaps all of
                             the Parties realized, without formally recog-
                             nizing it, that these  Parties were unable to
                             pay. The dues from these Parties are still in
                             the  books of the MF as arrears to be col-
                             lected.

                             6.3     Capacity Building and
                                     Technology Transfer
                                     The Multilateral Fund is assisting
                             the  143 Parties classified as Article 5 Par-
                             ties, and the Global Environmental Facility
                             is assisting the 19 Parties, in implementing
                             control measures. The assistance is very
                             comprehensive and includes institutional
                             strengthening in the Governments of the
                             Parties, training,  information  exchange,
                             and meeting the incremental costs of tech-
                             nology transfer and conversion of indus-

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                                                                    SARMA   311
tries and processes to ozone-friendly tech-
nologies. During the years 1991-2004, the
non-Article 5 Parties have pledged  nearly
US$1.89 billion and paid nearly US$1.63
billion to the Multilateral Fund. The arrears
of US$257 million are almost wholly from
the Parties that were a part of the former
USSR, which expressed their inability to
pay the Fund. In fact, they themselves are
receiving funds from the GEF.  The Fund
has, during  1991-2004, financed  nearly
4,600 projects for Article 5 Parties, to assist
them  in implementing the control meas-
ures.23 The GEF has spent nearly US$150
million in the for the same purpose.24

7 A NON-CONFRONTATIONIST
  PROCESS

       The Parties to the Protocol realized
that non-compliance with the control  meas-
ures of the Protocol by a Party might not
only lead to disputes between Parties but
also, will more importantly, delay the  recov-
ery of the ozone layer and affect the global
environment. Also, it decreases the con-
sumption of alternatives to ozone-depleting
substances and thus has  an  economic
impact on the alternatives'  industry. The
Parties also realized that non-compliance
may be mostly due to lack  of capacity of
that Party to create awareness of the ozone
depletion problem and to inform and edu-
cate their citizenry and industry on the need
and methozone-depleting substances for
adopting alternatives. Occasionally, there is
a lack of political will, particularly when the
country is facing  other severe  problems,
such as civil strife, and the Montreal  Proto-
col is  of a very low priority in comparison.
No country benefits from non-compliance.
In fact, it loses the advantages of new tech-
nologies. Hence s concentrated on  assis-
tance and on warnings to promote political
will, rather than on the suspension of rights.
       The Parties also decided  early on
that a punitive  approach would have to be
applied with discrimination in order to pro-
mote  compliance. Every country  needs
ozone-depleting  substances for  mainte-
nance and trade measures, and to deprive
them of ozone-depleting substances may
lead to illegal trade. Declaring a Party to be
in non-compliance, and taking harsh meas-
ures,  may drive  it away and  increase
ozone-depleting substances consumption,
undermining the Protocol. The Parties real-
ized, that while all Parties are to be treated
equally, each Party has a different capacity
to implement measures. The Implementa-
tion Committee and the Meetings of the
Parties studied each case proactively and
implemented different solutions depending
on the causes for failure to implement.
       The framers of the Montreal Proto-
col realized that the objective of the Proto-
col may be defeated if any significant num-
ber of countries,  particularly those with
capacity to produce ozone-depleting sub-
stances, refrains from joining the Protocol,
and that  there are no punitive measures
available  to force a country to join the glob-
al effort to protect the ozone layer.

8 REFERENCES

1 The Decisions of the Meetings of the Par-
 ties () quoted in this paper are numbered
 as Roman numerals in capitals, slash,
 Arabic  numbers.  X/21,  for example,
 means decision 21 of the tenth . The Con-
 vention, the Protocol, and  all the deci-
 sions of meetings of the Parties up to the
 end of the year 2002 (Sixth Conference of
 the Parties to the Convention (COP) and
 14th Meeting Of the Parties to the Mon-
 treal  Protocol ()) are contained in the
 Handbook for the International  Treaties
 for the  Protection of the Ozone Layer,
 2003 edition, Ozone Secretariat. The
 decisions of the 15th and 16th s are con-
 tained  in  UNEP/  OZLPRO/15/9  of
 November     11,      2003     and
 UNEP/OZL.PRO/1/17 of November 2004
 respectively. No  notes are  given in this
 paper, except for the decision number,
 when quoting decisions of the s. Where
 other documents are quoted, notes have
 been given as footnotes giving the num-
 ber or name of the document.
2 Paragraphs 1 and 2 based on Chapter 1
 of S. O. Andersen  and  K. Madhava
 Sarma,  "Protecting the Ozone Layer: The
 United Nations History," 2002.

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
3 Paragraphs 3 and 4 based on Andersen
 and Madhava Sarma, supra note 2.
4UNEP/OZLCONV/1/5 Dated 28 April
 1989.
5 UNEP/OZL.CONV/3/6 Dated 23 Novem-
 ber 1993.
e Evaluation Report #1-00  of the Global
 Environment Facility, Study of Impacts of
 GEF Activities on  Phase-out of Ozone
 Depleting Substances, 2003.
7 See Andersen  and  Madhava Sarma,
 Chapter 7, pgs. 274-278, supra note 2.
8 Report  of  the  TEAP Basic Domestic
 Needs Task Force (October 2004) avail-
 able from the Ozone Secretariat.
9|/4, 11/14, VI/2, IX/1,X/2,XII/6.
1o Handbook on the  International Treaties
  to Protect the Ozone Layer, 2003,
11 Decisions XIII/21-25, XIV/18-25, 29, 32,
  XV/24, 25, 33, 41, 42, 45, XVI/22,26.
12 Decisions XIII/16, XV/21,22.
13 XIV/26-44.
14VII/25,  IX/29,  31, X/27, XI11/17,  18,
  XIV/31.
is XIV/28, XV/28, XVI/21.
                            16 UNEP/OzLPro/lmpCom/32/6   dated
                               August 11, 2004.
                            17UNEP/OZL.PRO/15/4, dated  October
                              14,2003.
                            18UNEP/OZL.PRO.16/4, dated  October
                              18, 2004.
                            19 UNEP/OZL.PRO/WG1/23/3, dated Feb-
                              ruary 25, 2003.
                            20 Decision 1/12E of the first decided on the
                              list of developing countries.  Later  s
                              added Turkey  (Ml/8), Georgia (VII/29),
                              Moldova (IX/6), South Africa (IX/27), Kir-
                              gyzstan (XI1/11), Armenia (XIV/2) and
                              Turkmenistan  (XVI/39).  Slovenia,  a
                              break-away   country   of   former
                              Yugoslavia, recognized as a developing
                              country and Malta were taken out of the
                              list at their own request (XI1/12
                            21 UNEP/OZL.PRO/WG3/3 Dated 9 Nov-
                              ember 1991
                            22 Id.
                            23 UNEP/OZL.PRO/16/10,Report  of the
                              Executive Committee to the 16th .
                            24 Supra note 6.

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                                                                   SHKALIM    313
FIXING A CRITICAL PROBLEM: USED OIL FILTERS
SHKALIM, ZOHAR
Director of the Enforcement Coordination Division, Ministry of the Environment,
PO Box 34033 Jerusalem, Israel, 95464, zoharsh@sviva.gov.il
SUMMARY

       This paper  presents  a brief overview of the  environmental  problem solving
approach that helped Israel address the problem of water and soil contamination from used
oil.
1 INTRODUCTION

       In 2002, the Ministry of the  Envi-
ronment of Israel (in cooperation with the
Israel  Garage Association)  initiated  a
unique pioneer project for the collection of
used oil from the country's garages. Today,
there is  no  question that the  project
worked.
       The project is a product of cooper-
ation - among divisions within the Ministry
of the Environment and relevant stakehold-
ers outside the ministry, including the  Israel
Garage Association, the country's major
bus companies, the Israel Police and vehi-
cle import companies. Utilizing the Environ-
mental Problem Solving model, which was
developed in the United States by Dr. Mal-
colm Sparrow, all of the stakeholders came
together to "fix" a critical problem - the con-
tamination of water sources and soil from
used oil originating in  garages throughout
the country.

2 PROJECT OVERVIEW

2.1     Collection of Used Oil Filters
       for  Recycling
       While  the project  included three
components - collection of used  oil filters
for  recycling,  collection of used oil for
reuse, and installation of oil/fuel separators
- the greatest progress was achieved in the
collection of used oil filters.
       It is estimated that used oil filters
include up to 0.5 liters of used oil each. Yet
until recently, most of this oil made its way
to the municipal waste system. Of some
2000 garages that produce about 3 million
used oil filters  per year, only a few dozen
collected about 14,000 used filters on a vol-
untary basis prior to the initiation of the
project.  Today,  as a result of increased
enforcement, education and cooperation
with the Israel Garage Association, the
number of garages which have contractual-
ly committed to collect used oil filters has
increased to 1,300 - some 65% of the total.
And even more impressive - the number of
filters collected from these garages has
skyrocketed, reaching 1.26 million in 2003.
       And finally, the market forces which
helped catalyze this revolution also  brought
about the purchase and operation of an oil
filter recycling machine in Ramat Hovav
which separates the used filters into their
components: the  metal and used oil are
transferred for recycling and the oil-saturat-
ed paper is transferred for incineration.

2.2    Collection of Used Oil for Reuse
       In  2003, some 15,922 tons of used
oil were collected, nearly a  quarter of the
total quantity of mineral oil  sold per year
and 56% of the quantity of used oil avail-
able for collection from garages. This rep-

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
resents a 12% increase in comparison to
2002. Moreover, the establishment of an
additional plant for used oil recycling led to
a doubling in the quantity recycled and a
two-thirds reduction in the quantity export-
ed for recycling in comparison to 2002.

2.3     Installation of Oil/Fuel Separators
        At the beginning of the used oil col-
lection project, nearly no garages in Israel
had  installed oil/fuel  separators. Today,
some  210  oil  separators  have  been
installed and enforcement measures have
been stepped up. Dozens of warnings have
been   issued  to  garages  concerning
requirements for oil/fuel separators.

3  CONCLUSION: A WIN-WIN
   APPROACH

        The Environmental  Problem  Solv-
ing approach calls for picking important
problems and fixing them. This is exactly
what Israel did. Utilizing a well-structured
                              procedure, the Ministry of the Environment
                              set about to clearly define a critical prob-
                              lem,  establish a steering committee with
                              the participation of relevant stakeholders,
                              determine indicators  for problem solving,
                              and formulate a detailed action plan. The
                              initial goal called for  the collection  of
                              350,000  used oil filters  per  year.  The
                              results far exceeded expectations. Using
                              carrot and stick methozone-depleting sub-
                              stances, the method worked so well that
                              used filter collection  companies were set
                              up,  contracts were  signed,  a recycling
                              machine was purchased - and most impor-
                              tant of all -1.5 million filters were collected.
                                     The initiators of the project in the
                              Ministry of the Environment, Dr. Motti Sela,
                              director of the  Industry  and  Business
                              Licensing   Division,   and  Adv.   Zohar
                              Shkalim, director of the Enforcement Coor-
                              dination Division, are more than pleased
                              with the results. Yet both are determined to
                              keep fingers on pulse. Both are  convinced
                              that market forces, education, and stringent
                              enforcement have made a difference.

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                                                                   STAHL 315
USING INDICATORS TO LEAD ENVIRONMENTAL
COMPLIANCE AND ENFORCEMENT PROGRAMS

STAHL, MICHAEL M.
Director, Office of Enforcement and Compliance Assurance, United States Environmental
Protection Agency, stahl.michael@epa.gov
SUMMARY

Many environmental compliance and enforcement (ECE) programs around the world are
making good progress in identifying and implementing performance indicators. But at pres-
ent, very few countries have moved into the next stage of actually using performance indi-
cators to: 1) monitor and manage operations; 2) improve program effectiveness; and 3)
enhance accountability to political overseers and the public. This article explains why ECE
programs need to develop and use performance indicators, describes patterns emerging
from the progress being made by many countries toward identifying and implementing ECE
indicators, discusses how indicators can be used to manage and improve ECE programs,
and suggests ways to ensure continued progress for ECE indicators and programs.
1 WHY DO ECE PROGRAMS NEED
  PERFORMANCE INDICATORS

       For  many years,  international
organizations,  environmental protection
agencies of national and provincial govern-
ments, and various  non-governmental
organizations (NGOs)  interested in envi-
ronmental matters  have used indicators to
characterize  environmental  conditions.
These indicators provide a sense of the
current condition of the  air, land, and water
and help  identify whether their quality is
improving or deteriorating.!
       Many forces contribute to the state
of environmental conditions.  In the "pres-
sure/state/response" model  used by the
Organization for Economic  Cooperation
and Development (OECD), various human
activities (often involving energy, transport,
industry, agriculture, and others) put direct
and indirect pressure  on the air, water,
land, and other living resources, and these
pressures are mitigated by various societal
responses, including economic forces and
actions by government agencies and pro-
grams.2
       Among the responses of govern-
ment are programs designed specifically to
protect the environment by setting stan-
dards and regulating behavior and industri-
al practices that have an adverse impact on
the environment. A fundamental element of
environmental protection programs at the
local, provincial, national, and international
level is to ensure compliance with environ-
mental laws and regulations.

1.1     The Special Mission and
       Obligation of ECE Programs
       A premise of this article is that pro-
grams to ensure compliance with environ-
mental laws deserve and need their own
distinct effort to develop and use  perform-
ance indicators. There are three arguments
in support of this premise. The first argu-
ment is that environmental protection sys-
tems cannot be effective in improving envi-
ronmental conditions if the laws and regu-
lations designed to protect the environment
are not known, respected, and  obeyed.
ECE programs play a crucial role in ensur-
ing compliance with environmental laws, it

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316
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
FIGURE 1. Three-Stage Model for Developing and Using Indicators
ibgel
IfliiiitSfyfeBff
ftaie$ftKl In&Usi&Hft
Bat Practice*
Determine scope I
1
Consult with stakeholder
and staff
1
Apply logic model
I
Develop guiding principles
|
Select criteria for
evaluating indicators
1
Develop common definitions
for key terms
	 i 	
Inventory existing -
:3"
[ Consult with experts j
^ 	 * ""
:..:;:•: O:-;>;;. i,.;^-
Monitor implementation 1
J"
• " \ :
- " :": .-:":""" •'.!•
i' Develop and distribulc
•f implementation plan
	 	 ;:::

Ensure timely and accurate
reporting
i;t: '
-'"'
"X ••'"

, • '. sugn .
> Witot::

Btstfrmctictt
Monitor performance with
regular reports


Analyze perform ana; of
organizational units


Review effectiveness trf
specific programs


Report to external
audiences


Analyze behind
the numbers
' O ;

is their primary mission to bring about such
compliance.  Second,  the  absence of  a
credible environmental compliance pro-
gram will mean that a major incentive for
voluntary efforts to go beyond compliance
will also be absent if no one is even bother-
ing to comply, why  even consider  going
beyond  compliance?  Thus,  programs
designed to ensure compliance are not just
a building block in an environmental protec-
tion system, they provide the foundation on
which the system is built. The third and less
recognized argument is that ECE programs
often use tools (e.g., enforcement actions)
that impose penalties and/or obligations.
These programs are, in turn, obligated to
use these  authorities fairly and wisely. Per-
formance   indicators,  especially  when
shared with the public, can help determine
whether  authorities  and  resources  are
                             being used appropriately.
                                    For all of the above reasons, it is
                             crucial for environmental  ministers, staff
                             and managers of ECE programs, regulated
                             industries and facilities, legislative over-
                             seers, and the public to know if environ-
                             mental compliance efforts are succeeding,
                             and  if they are not, how they can  be
                             improved. ECE indicators can  help provide
                             this knowledge.
                                    A well-designed set or system of
                             performance indicators can be a powerful
                             tool  to direct ECE programs toward  the
                             most important results. Indicators can be
                             used to:
                             1. Monitor and manage day-to-day opera-
                                tions of ECE programs;
                             2. Identify and correct performance issues
                                and problems in  ECE programs;

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                                                                     STAHL   317
3. Adjust strategies and resource allocation
  to improve the effectiveness of ECE pro-
  grams;
4. Provide an account of program perform-
  ance to political overseers and the pub-
  lic.
       Each   of  these   uses  will  be
described further in this article under Sec-
tion  3, "Using  Indicators  to Manage and
Improve ECE Programs."

2 PROGRESS TOWARDS
  IDENTIFYING AND IMPLEMENTING
  ECE INDICATORS

       Under  the auspices of organiza-
tions such as the International Network for
Environmental Compliance and Enforce-
ment (INECE), the  World Bank Institute,
and  the OECD, good progress is being
made by many countries in developing per-
formance  indicators for  their ECE pro-
grams. While one uniform set of indicators
is not emerging from these efforts, some of
these countries are being guided  by a
three-stage framework which suggests: 1)
identifying  indicators; 2)  designing and
implementing indicators; and 3) using indi-
cators as three steps on a path to follow for
developing ECE indicators.3 For each of
these three stages a set of best practices
has  begun to  emerge to help  countries
manage their ECE indicators projects. Fig-
ure 1 lists the best practices for each of the
three stages of the indicators framework.4

2.1     Emerging Patterns
       As more countries make progress
along the  path of developing ECE indica-
tors,  there are some patterns that can now
be identified:
1. Most  Participating Countries in Identifi-
  cation and  Implementation Stages. In
  addition to providing a path for countries
  to follow, the framework also serves as a
  set of basic milestones for assessing the
  progress of countries currently develop-
  ing ECE indicators.  Many countries are
  now on this path and have progressed to
  the first milestone (i.e., they  are identify-
  ing indicators) or even  to the second
  (i.e., they are designing and implement-
  ing indicators). Projects in Brazil, Mexi-
  co, Argentina, and Costa Rica, among
  others, are currently involved in identify-
  ing and implementing indicators. Only a
  few countries have taken the path all the
  way to the point of using indicators to
  manage their programs, and these coun-
  tries are only in the early stages of using
  indicators as a management tool. Pro-
  jects in the  United States and Canada
  are beginning to  use indicators to man-
  age all or part of their ECE programs.5
2. Indicators Tailored to Unique  Circum-
  stances. Most countries in the identifica-
  tion and implementation stage are devel-
  oping indicators that are tailored for their
  unique circumstances. While  many ECE
  programs are learning from examples
  used by other countries,  indicators are
  being selected for implementation based
  on institutional needs and conditions of
  individual agencies or programs. This
  means that there is not one universal set
  of ECE indicators being adopted, but
  varying sets with some common indica-
  tors or characteristics.
3. Four Types  of Indicators Projects. The
  ECE indicators projects going on around
  the world fit  into one of four categories,
  depending on whether they are compre-
  hensive or focused with respect to the
  laws and requirements they include, and
  whether they are national or sub-nation-
  al in terms of the jurisdiction they cover.
  The four categories are:
  a) Comprehensive national indicators -
     These are used to  assess effective-
     ness  of  national  ECE  programs'
     efforts to  ensure compliance with all
     national  statutes and regulations.
     Developing a  set of comprehensive
     national indicators  is very complex,
     since it involves many persons, multi-
     ple agencies, collection of data from
     many sources, and may necessitate
     development of a national data sys-
     tem.
  b) Comprehensive sub-national indica-

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
     tors -  These  are  used to assess
     effectiveness of an ECE program of a
     regional or district office of a national
     agency,  a state/provincial environ-
     mental agency,  or a local or municipal
     agency. This type of effort  has the
     advantage of being a more manage-
     able  size than  a  comprehensive
     national effort, and can often provide
     a means of testing a system of indica-
     tors that can later be applied to the
     national program.
  c) Focused national indicators - These
     are used  when a national environ-
     mental  agency wants to  assess the
     effectiveness of a focused  national
     initiative to address a specific  non-
     compliance pattern  or environmental
     risk. For example,  focused  national
     indicators might be  developed for an
     inspection and  enforcement initiative
     to improve  compliance  among the
     petroleum refining industry, a targeted
     enforcement  initiative  to improve
     compliance  with  all  air  pollution
     requirements, or a strategy that inte-
     grates incentives and enforcement to
     reduce  emissions of a specific pollu-
     tant into water bodies.
  d) Focused  sub-national indicators -
     These  are  used when  a regional,
     provincial/state,  or local/municipal
     agency wants to assess the effective-
     ness of a focused initiative to address
     a specific non-compliance pattern or
     environmental risk. For example, this
     type  of indicator  system might be
     developed for a regional or state  effort
     to use  inspections and enforcement
     to control deforestation, or a munici-
     pal initiative to combine assistance
     followed by enforcement actions to
     limit illegal dumping of waste on the
     land.
4. Common Set of Barriers. Another pattern
  that can be identified from the indicators
  projects going on  around the world is a
  set of barriers that many ECE programs
  confront as  they try to develop indica-
  tors. Those barriers are:
                                a) Compliance  culture  in  formative
                                  stages - In some countries, the obli-
                                  gation to comply with environmental
                                  (and other) laws is not yet ingrained
                                  deeply and the rule of law is not yet
                                  embraced fully by citizens, business-
                                  es and institutions of government.
                                b) Environmental laws not fully imple-
                                  mented - Environmental laws may be
                                  relatively new, they may  have been
                                  changed significantly, and there may
                                  be impediments to  implementation of
                                  specific sections of  a law.
                                c) Environmental agencies not mature -
                                  The operation of environmental agen-
                                  cies  may not be very sophisticated,
                                  they  may possess limited capabilities,
                                  or they may have resource shortages.
                                d) Systematic data collection lacking -
                                  Some countries may lack data sys-
                                  tems or  may  be only beginning to
                                  develop them.
                                e) Duration of implementation - Identify-
                                  ing and implementing a useful set of
                                  performance indicators takes a signif-
                                  icant amount of time and commitment
                                  of personnel, and the effort required
                                  may sometimes seem disproportion-
                                  ate to  the value to be gained from
                                  developing and using  performance
                                  indicators.
                                f) Lack of analytical  skills - Agencies
                                 often lack the  ability to interpret the
                                 meaning  of indicators, i.e., to deter-
                                 mine what's behind the numbers, as
                                 this requires a sophisticated  under-
                                 standing of program operations and a
                                 skill for diagnosing problems.
                                g) Misuse by external audiences - The
                                  prospect of performance indicators
                                  being inadvertently or knowingly mis-
                                  used by  advocacy  groups or legisla-
                                  tive  overseers sometimes discour-
                                  ages program managers from devel-
                                  oping and using indicators.

                              3 USING  INDICATORS TO MANAGE
                               AND IMPROVE ECE PROGRAMS

                                     Public management literature sug-

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                                                                     STAHL   319
gests that performance indicators can be
used for a wide range of purposes in public
sector programs and organizations. In his
article entitled,  "Why Measure  Perfor-
mance? Different Purposes Require Differ-
ent Measures," Robert Behn of Harvard
Universitye  identifies eight specific mana-
gerial purposes that can be served by per-
formance indicators. According to Behn,
the eight purposes are to evaluate, control,
budget,  motivate,  promote,  celebrate,
learn, and improve. Behn asserts that no
single indicator is appropriate for all eight
purposes, and that each purpose address-
es a  different management question and
requires specific  input, output, or outcome
indicators. A very similar list of uses of per-
formance indicators was previously offered
by Harry Hatry of the Urban Institute.?

3.1    Four Uses of ECE Indicators
       These purposes are  relevant (in
varying degrees) to  any public program or
organization, not just ECE programs. Build-
ing on these eight broad purposes,  it would
be useful to  adapt  them to describe the
specific uses that ECE  practitioners are
making of performance indicators. For ECE
practitioners,  four distinct but related uses
seem appropriate.
       The first  use of performance indi-
cators for ECE practitioners is to  monitor
and manage program operations. Monthly
or quarterly reports  to program managers
and staff about key outputs and outcomes
can be a very useful management tool to
ensure  that  resources  are   being  used
appropriately  to produce specific activities
or results. Such reports can be organized
to break out data for a program as a whole
(e.g.,  the national enforcement program),
for specific program components (e.g., the
enforcement of air pollution laws),  and for
particular organizational  units (e.g.,  a
regional  or provincial office of a national
program).
       The second use  of performance
indicators for ECE practitioners is to identi-
fy and correct  performance  issues and
problems. Data from input, output, and out-
come indicators can be organized to com-
pare the current year to the previous year,
illustrate  a trend over a longer period of
years,  compare the  performance of one
program component or organizational unit
to another during the same period, and to
assess performance in achieving a particu-
lar goal or target. Indicators can highlight
deficiencies and anomalies, allowing staff
and managers to further analyze the cause
of performance which deviates from past
trends or current targets.
       A third use of indicators by ECE
practitioners is to evaluate and adjust pro-
gram strategies and resource allocation to
improve effectiveness. By analyzing pat-
terns between inputs, outputs, and out-
comes, ECE practitioners can  learn more
about what combination of activities pro-
duces  the  most  important results.  Such
analysis can build a chain that improves the
effectiveness  of  the ECE  program  B
resources are shifted to produce more of
the  right  combination of activities, which
increases the contribution of the ECE pro-
gram to important outcomes  that protect
the environment.
       A fourth use  of indicators by ECE
practitioners is to report to~ political  over-
seers and the public about program per-
formance.  ECE  programs  can  be  well-
served by providing to external audiences
an annual  (or more  frequent)  account of
activities  performed and results achieved.
Reports that  emphasize results and out-
comes achieved through activities and out-
puts of the program can enhance support
for the compliance and enforcement mis-
sion. By  describing  accomplishments in
terms that emphasize results - pounds of
pollution  reduced  through enforcement
actions, improved environmental manage-
ment practices at facilities from compliance
assistance, improved rates of compliance
in an industry sector - an account of per-
formance is provided that is meaningful to
multiple audiences.

3.2     Lessons that Inform Use
       of ECE Indicators
       As ECE practitioners use perform-
ance indicators for these purposes, they

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320
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
should be informed by two lessons from the
experience of countries that have begun
using indicators to manage their ECE pro-
grams. The first lesson is that the limita-
tions of indicators need to be understood.
Indicators that show the amount of an out-
put or outcome produced do not tell pro-
gram personnel all they need to  know
about that output or outcome. For example,
an indicator can tell  ECE  program man-
agers that the number of inspections con-
ducted in 2004 is fifteen percent lower than
the number conducted in 2003, but it can-
not explain why the number is lower. To
learn that,  more analysis is needed of pro-
gram operations, sometimes using qualita-
tive information to understand the reasons
for the reduction in inspections. Thus, indi-
cators provide a kind of warning light that
signals a need for deeper analysis or fur-
ther investigation of the forces and influ-
ences that shape program performance.
       A second lesson learned from the
use of ECE indicators is that intermediate
outcomes  provide very valuable manage-
ment information. Efforts to develop indica-
tors often attempt to leap from measuring
basic outputs (e.g.,  the number of enforce-
ment actions taken) to measuring complex
end outcomes (e.g., improvements in ambi-
ent air quality), ignoring many valuable
results that are produced between activities
and ultimate outcomes. Hatry defines inter-
mediate outcomes as events, occurrences,
or changes in conditions, behavior, or atti-
tudes "expected to lead to the ends desired
but are not the ends themselves."8 Thus, in
the context of ECE  programs, examples of
intermediate outcomes  might  be invest-
ment in  pollution  control equipment  or
implementation  of improved environmental
management  practices  resulting  from
enforcement  actions  taken  at facilities.
These outcomes will contribute to the end
outcome (e.g., an improvement in ambient
air quality) but they are not the end them-
selves.
       Hatry points out two advantages of
intermediate outcomes that are relevant
and important for ECE  practitioners and
programs.9 Intermediate outcomes, by def-
inition, occur before B and are expected to
                             help lead to  B the  end outcomes. As a
                             result, intermediate outcomes usually pro-
                             vide more timely information than end out-
                             comes. A second advantage is that pro-
                             grams almost always have more influence
                             over intermediate outcomes than they do
                             over end outcomes.  Stated another way,
                             there is often a direct causal link between a
                             program  activity  (e.g.,  an enforcement
                             action) and an intermediate outcome (e.g.,
                             an  investment in  pollution control equip-
                             ment required as a condition of the enforce-
                             ment settlement). This direct causal  link
                             allows ECE programs to make a clear and
                             credible claim that they have produced out-
                             comes that would  not have occurred in the
                             absence of the program.

                             3.3    Benefits of Using ECE Indicators
                                    When  used  appropriately,  indica-
                             tors have been able to provide a variety of
                             benefits to ECE practitioners.
                             1. Improved Control of Program  Opera-
                                tions. Even a very basic set of outcome
                                indicators will  increase understanding
                                about what  is being accomplished, and
                                when combined with data about inputs,
                                judgments can  be  made about whether
                                resources are being used efficiently. At a
                                minimum, basic output indicators can
                                help determine whether program staff
                                are  performing fundamental program
                                activities.
                             2. Improved  Goal-setting  and Strategy
                                Development. By  using  indicators as a
                                management tool, goals  can  be set
                                regarding the  amount of activities or
                                results that  should be produced over a
                                period of time. Indicators can also be
                                used to identify needed adjustments in
                                the mix of  activities or results the pro-
                                gram is producing.
                             3. Improved  Resource Allocation Deci-
                                sions.  Output and outcome  indicators
                                can  be analyzed  to determine whether
                                resources need to be increased,  shifted,
                                or altered in some way to meet goals
                                and achieve desired results.  Indicators
                                provide an understanding of the relation-
                                ship between  outputs and  outcomes,

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                                                                    STAHL   321
  thereby enhancing the ability of program
  managers to increase resource  invest-
  ments in preferred outcomes.
4. Improved Identification and Correction of
  Performance Problems.  Indicators that
  can be organized by type of output or
  outcome, by organizational unit,  and by
  program  area increase  program man-
  agers' ability  to identify performance
  problems and investigate them further to
  design solutions.
5. Improved Ability to Motivate Employees.
  There is much truth to the oft-repeated
  statement,  "What gets  measured gets
  done." Performance indicators send a
  clear  signal to program personnel about
  what  needs to be accomplished.  Setting
  a goal to achieve a certain amount of a
  specific output tends to organize and
  focus some  portion of  resources on
  achieving the goal.

6. Improved Ability to  Communicate with
  the Public.  Performance indicators help
  external audiences understand and sup-
  port program activities. Output indicators
  can convey to the public that funds are
  producing some amount of inspections,
  enforcement actions, or other activities.
  Outcome  indicators  can convey that
  these activities are resulting in important
  outcomes such as  reduced  pollution,
  increased compliance,  and improved
  environmental management at facilities.
       Although the challenges and barri-
ers associated with identifying and imple-
menting ECE indicators are formidable, the
benefits derived from using the indicators
to manage and improve programs are sig-
nificant.  Countries that  have made it to the
third milestone on the path - i.e., using indi-
cators - have recognized that the benefits
of using indicators outweigh the costs of
implementing.

4 ENSURING FURTHER
  PROGRESS FOR ECE INDICATORS
  AND  PROGRAMS

       ECE practitioners using indicators
as a management tool need to form a com-
munity of practice to learn from each oth-
ers' experience and to show the way for
other practitioners who are on the path of
identifying, implementing, and using indica-
tors. Such  a community is necessary if
ECE programs want to receive the  maxi-
mum benefit from performance indicators.

4.1     The Need for a Community
       of Practice
       While the creation of sets or sys-
tems of indicators is  an important step
toward making ECE programs  more effec-
tive, systems of indicators by  themselves
cannot bring about improved performance
in ECE programs. Setting up a system of
indicators can be seen as acquiring a tool,
but the tool needs to be used continuously
by program managers and staff. Over time,
program personnel gain more experience
and skill in using the tool, they hone and
sharpen the tool to make it more useful,
and ultimately the program to which they
apply the tool becomes more effective.
       There is not much accumulated
experience  in using ECE indicators for pro-
gram  management  and  improvement,
since most countries are still in the identifi-
cation and  implementation stages of their
ECE indicators projects. But a community
of practice for ECE indicators could make a
significant contribution to creating a cadre
of experienced, thoughtful program leaders
who document their knowledge, report it to
interested colleagues around the world,
and advance the collective learning of ECE
practitioners. This community  of  practice
should encourage its  members to report
periodically to a central repository  about
the progress or challenges associated with
their indicators projects. Members should
also be encouraged to post "indicator bul-
letins" to provide examples of  how indica-
tors are being used to manage and improve
ECE programs, and e-dialogues about spe-
cific topics  can be used to promote more
frequent communication among members
about ideas and developments in perform-
ance measurement.10

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SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
 4.2     Toward Performance-Based
        Management for ECE Programs
        Ultimately, if ECE programs are to
 make their maximum contribution to envi-
 ronmental protection, they will need to join
 other  government programs  in moving
 toward performance-based management.
 This movement toward performance-based
 management is global, as described in var-
 ious books and articles about global trends
 in public management reform.11 In his arti-
 cle entitled "Performance-Based Manage-
 ment:  Responding  to the Challenges,"
 Joseph  Wholey defines  performance-
 based management as "the purposeful use
 of resources and information to achieve
 and demonstrate  measurable  progress
 toward agency and program goals."12 The
 United States Government Accountability
 Office  (GAO) describes three key steps in
 performance-based   management:   (a)
 developing a reasonable level of agree-
 ment on mission, goals,  and strategies for
 achieving the goals; (b) implementing per-
 formance measurement systems of  suffi-
 cient quality to document performance and
 support decision making; and (c) using per-
• formance information as a basis for deci-
 sion making at various organizational lev-
 els.13  Wholey  suggests that in coming
 years there will be a premium on managers
 and staff with the knowledge, skills, and
 abilities to apply performance-based man-
 agement to their programs. This will require
 training on how to use performance infor-
 mation: in agency and program manage-
 ment systems; to provide accountability to
 key stakeholders and the public; to demon-
 strate  effective or improved performance;
 and to support resource allocation and
 other policy decision making. 14
        ECE  practitioners,  through  their
 work on  indicators,  have  established  a
 steady pace of progress toward "imple-
 menting performance measurement sys-
 tems of sufficient quality" and applying per-
 formance-based management to their pro-
 grams. Managers and staff of ECE pro-
 grams can determine whether they  have
 succeeded  in  becoming  performance-
 based programs by  watching for specific
                             changes. (Perhaps these are best viewed
                             as five indicators of program improvement.)
                             ECE programs have reached the threshold
                             for high  performance  when  they are:
                             addressing significant environmental, pub-
                             lic health, and compliance problems; using
                             data to make strategic decisions for better
                             utilization of resources; using  the most
                             appropriate tool to achieve the best out-
                             come; assessing the effectiveness of pro-
                             gram activities to ensure desired program
                             performance; and effectively communicat-
                             ing the environmental, public health and
                             compliance outcomes to the public.  When
                             this threshold is reached, the  hard work of
                             identifying, implementing, and  using per-
                             formance indicators will have paid off and
                             the effectiveness of ECE programs can be
                             fully realized.

                             5 REFERENCES

                             1 A relatively recent example of indicators
                              pertaining  to  environmental  conditions
                              can be found in, EPA, "Draft Report on
                              the  Environment  2003,"EPA-260-R-02-
                              006,  June  2003,  also  available  at
                              http://www.epa.gov/indicators/.
                             2 Linster, Myriam, "OECD Work on Environ-
                              mental Indicators," in  Measuring What
                              Matters, Proceedings from the INECE-
                              OECD Workshop on Environmental Com-
                              pliance  and  Enforcement   Indicators,
                              November 3-4, 2003, pg. 168.
                             3 Stahl, Michael, "Performance  Indicators
                              for   Environmental  Compliance  and
                              Enforcement Programs: The U.S. EPA
                              Experience," in Measuring What Matters,
                              Proceedings  from  the  INECE-OECD
                              Workshop on Environmental Compliance
                              and Enforcement Indicators, November 3
                              -4,2003, pg. 150- 157.
                             4 These best practices are described in an
                              upcoming INECE publication entitled,
                              "Performance Measurement Guidance for
                              Compliance and Enforcement Practition-
                              ers," written by Michael Stahl in consulta-
                              tion  with the INECE Indicators Expert
                              Working Group.
                             5 Descriptions of many  of these projects

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                                                                    STAHL   323
 can  be found at the INECE web site,
 http://www.inece.org/forumsindicators.
 html.
e Behn,  Robert D., "Why Measure Perfor-
 mance? Different Purposes Require Dif-
 ferent  Measures," Public Administration
 Review, Vol. 63,  No.5., September/Octo-
 ber 2003, pg. 586 - 606.
7 Hatry, Harry, Performance Measurement:
 Getting Results, The Urban  Institute
 Press, Washington, D.C., 1999, p.158
s Hatry, Harry, IBID, p. 16.
9 Hatry, Harry, IBID, p.19.
10 The INECE web site currently provides
  many useful features for  practitioners
  interested in ECE indicators, and could
  easily be  adapted to provide a visible
  forum for  "indicators bulletins." INECE
  has also conducted e-dialogues on indi-
  cators topics on their web site.
11 See, for example, Kettl, Donald R, The
  Global Public Management Revolution,
  Brookings Institution Press, Washington,
  D.C.,  2000,  pg.  2.  Kettl  describes
  "accountability for results," and a "focus
  on  outputs and outcomes instead  of
  processes and  structures "as a  core
  characteristic of  the global movemen tto-
  ward reform of public management.
12 Wholey, Joseph  S., "Performance-Based
  Management: Responding to the Chal-
  lenges,"  Public Productivity and Man -
  agement Review, Vol. 22, No. 3., pg.
  288.
13 Wholey, Joseph S., IBID, pg. 289.
14 Wholey, Joseph S., IBID, pg. 303.

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324          SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                             LIST OF PARTICIPANTS   325
LIST OF PARTICIPANTS
Dr. Sheila Abed
Chair
IUCN Commission on
Environmental Law
Bonn
Paraguay
sheila.abed@idea.org.py;
sheila.abed@iucn.org

Ms. Anita Akella
Consultant
Flora International Environmental
Consulting
2667 Chateau Way
Livermore, CA 94550
United States
1-323-868-2762
anita@flora-consulting.com

Ms. Ada Alegre Chang
Ministry of Energy and Mines
Peru
aalegre@minem.gob.pe

Ms. Nawzat AH
Member
IUCN Commission on
Environmental Law
Jordan
nawzat@hotmail.com

Mr.  Ebrahim AH
Environmental Specialist, Director
Environmental Assessment and Planning
Directorate
PO  Box 32657
Salmabad 32657
Kingdom of Bahrain
973-17-875154
973-17-874615
alLebrahim72@hotmail.com
Mr. Jonathan Allotey
Acting Executive Director
Environmental Protection Agency
P.O. Box M-326
91 Sralets Road
Accra, Ghana
23-32-166-2693
23-32-166-2690
JAIIotey@epaghana.org, epaed®
africaonline.com.gh

Mr. Mohammed  Altoraif
National Comission for Wildlife
Conservation and Development
P.O. Box61681
Riyadh
Saudi Arabia
966-1-4415590

Mr. Yousef Al-Wetaid
General Manager
National Comission for Wildlife
Conservation and Development
P.O. Box61681
Riyadh
Saudi Arabia
966-1-4415590
yousef@conserv-train.org.sa

Dr. Media Baccar
Consultant
International Fund for Animal Welfare
9 rue Mohamid All Tahir
1082 Mutuelleville
Tunis, Tunisia
216-22-302959
216-71 -282929
hbaccar2000 @ yahoo .fr

Dr. Gilbert Bankobeza
Legal Officer
United Nations Environment Programme
Ozone Secretariat
P.O. Box 30552
Nairobi, Kenya
254-2-623854
254-2-623913
gilly.bankobeza@unep.org

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326
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Mr. Abdelkader Baouendi
Expert en Environment
L'Audit Environmental
130 Avenue Habib Bougatfa
La Bardo 200
Tunisia
216-71 586.217
216-71 504.176
baouendi@planet.tn

Mr. Mohamed Ben Hassine
Chief of Service
Ministere de I'Environnement et du
Developpement Durable
12 Rue Cameroun
Belvedere  1002
Tunisia
bhassinegr@yahoo.fr

Mr. Hassane Bendahmane
National  Coordinator
L'autoevaluation Nationale des
Capacites a Renforcer en
Matiere de I'Environnement
Morocco
212-37-77-21-66-
212-37-77-21-66
bendahmane@ancre.ma

Mr. Antonio Benjamin
Public Prosecutor for Sao Paulo
Law for a Green Planet  Institute
R. Cons. Rodrigues Alves 948/92
Rua Bage, 139/194
Sao Paulo 04012-140
Brazil
55-11-3119-9700
planetaverde @ planetaverde.org

Mr Renzo Benocci
Director
Pollution Enforcement
Environment Canada
351 St-Joseph
17th Floor PVM
Gatineau ON K1A OH3
Canada
1-819-953-1523
1-819-953-3459
Renzo. Benocci ©ec.gc.ca
                               Mr. Hocine Benyahia
                               Treasurer and Project Manager
                               National Federation for the Protection of
                               the Environment
                               Algeria
                               fnpe_algerie@yahoo.fr; benhoc@caramail.com

                               Mrs. Mihaela Beu
                               Regional Chief Commissar
                               National Environmental Guard
                               str. Dorobantilor, 99
                               Cluj-Napoca 400609
                               Romania
                               40-264-410719
                               40-264-410719
                               gmcj@cluj.astral.ro

                               Dr. Adriana Bianchi
                               Senior Policy and Development Specialist
                               The World Bank Institute
                               1818 H Street,  NW
                               Room J4-085
                               Washington DC 20433
                               United States
                               1-202-473-6371
                               1-202-676-0977
                               abianchi@worldbank.org
                                                          9
                               Mr. Cees Jan Bloemendaal
                               Province of Overijssel
                               PO Box 10078
                               Zwolle 8000GB
                               The Netherlands
                               31-38-4252135
                               31-38-4254855
                               CJP.Bloemendaal@prv-overijssel.nl

                               Ms. Anna Bobo-Remijn
                               Legal Coordinator
                               European Commission
                               Belgium
                               32-2-799-0334
                               32-2-299-4123
                               anna.bobo-remijn@cec.eu.int

                               Mr. El Walid Boulekroune
                               213-70-51-35-90
                               walid@djazair-connect.com

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                                                             LIST OF PARTICIPANTS   327
Ms. Brenda Brito Carmo
Vice Executive Director and Researcher
IMAZON -Amazon Institute of People and
Environment
Rd Mario Covas km 01, Pass Pau D'arco, Conj
Village Pau D'arco, n 09
Ananindeua Para
Brazil
55-91-235-4214
brendabrito@imazon.org.br

Ms. Susan Bromm
Director
Office of Site Remediation Enforcement
U.S. Environmental Protection Agency
1200 Pennsylvania Avenue, NW
MC2271A
Washington DC 20460
United States
1-202-564-5110
1-202-564-0094
bromm.susan@epa.gov

Mr. Carl Bruch
Legal Officer
United Nations Environment Programme
1707 H Street, NW, Suite 300
Washington DC 20006
United States
1-202-974-1303
1-202-785-2096
carl.bruch@rona.unep.org

Ms. Angela Bularga
Coordinator
NIS Environmental Compliance and Enforce-
ment Network
Organization for Economic Cooperation and
Development
2, rue Andre  Pascal
Paris, Cedex 16 75775
France
33-14-524-9863
33-14-524-9671
Angela.Bularga@oecd.org

Mr. Poul Byskov
Senior Engineer
Norwegian Pollution Control Authority
PO Box 8100 Dep.
Olso  NO-0032
Norway
poul.byskov@sft.no
Ms. Paula Caldwell St-Onge
Director General
Environment Canada
351 St. Joseph Boulevard
17th Floor, Place Vincent Massey
Gatineau Quebec K1AOH3
Canada
1-819-997-2019
1-819-997-0086
paula.caldwell ©ec.gc.ca

Ms. Deb Callahan
President
League of Conservation Voters
1920 L Street NW
Washington DC
deb_callahan @ lcv.org

Ms. Donna  Campbell
Executive Director
Legal Services
New South Wales Department of Environment
and Conservation
59-61 Goulbourn Street
Sydney South NSW 1232 2000
Australia
61-29-99-56103
61-29-99-55951
donna.campbell@environment.nsw.gov.au

Mr. Hassan Chouaouta
Conseiller
Deutsche Gesellschaft fur Technische
Zusammenarbeit (GTZ)
B.P. 433
10000
Rabat
Morocco
212-37-680710
212-37-680711
chouaouta@gtz-pgpe.ma

Mr. John Chouinard
Director
Conservation & Protection
Department of Fisheries and Oceans
104 Dalhousie Street
Quebec G1K7Y7
Canada
ChouinardJo@dfo-mpo.gc.ca

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328
SEVENTH INTERNATIONAL CONFERENCE ON EMVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Dr. Bill Clark
International Liasion Officer
Nature and National Parks Protection Authority
3 Rehov Am Veolamo
Givat Shaul
Jerusalem  95463
Israel
97-22-566-5214
97-22-561-1871
clarkb@netvision.net.il

Ms. Maria Comino
Team Leader - Reforms
Department of Infrastructure, Planning and
Natural Resources
GPO Box 3927
Sydney  2002
Australia
61-2-9762-8392
61-2-9762-8716
maria.comino@dipnr.nsw.gov.au

Mr. Kenneth Cook
President
Environmental Working Group
1436 U Street NW
Suite 100
Washington QC 20009
United Staters
ken@ewg.org

Mr. Matthew Cooper
Environmental Media Consultant
3001 4th Street
Santa Monica CA 90405
United States
1-310-612-6844
1-310-450-2350
arda@earthlink.net; arda@paradise.net.nz

Mr. Yves Corriveau
Legal Counsel
Environment Canada
351 St. Joseph Blvd.
17th  Floor
Hull Quebec
Canada
1-514-861-4022
1-514-861-8949
Yves.Corriveau@ec.gc.ca
                                Mr. Victor Cotruta
                                Executive Director
                                Regional Environmental Centre (REC) -
                                Moldova
                                57/1,  B. Bodoni Street
                                Office 107-111
                                Chisinau MD 2005
                                Moldova
                                373-2-23-86-85
                                373-2-23-86-86
                                vcotruta@moldova.md, victor.cotruta@rec.md

                                Mr. John Cruden
                                Deputy Assistant Attorney General
                                U.S. Department of Justice
                                950 Pennsylvania Avenue, NW
                                Room 2718
                                Washington DC 20530-0001
                                United States
                                1-202-514-2718
                                1-202-514-0557
                                john.cruden@usdoj.gov

                                Mr. Jim Curlin
                                Information Manager
                                United Nations Environment Programme
                                Tour Mirabeau
                                39-43 quai Andre CitroDn
                                Paris  Cedex 15 75739
                                France
                                33-1-44-37-1455
                                33-1-4437-1474
                                jcurlin@unep.fr

                                Mr. Neil Davies
                                Environment Agency (England and Wales)
                                Rio House, Waterside Drive, Aztec West
                                Almondsbury Bristol BS32 4UD
                                United Kingdom
                                neil.davies@environment-agency.gov.uk

                                Mohamed Rida Derder
                                Special Consultant
                                INECE Secretariat
                                2141  Wisconsin Avenue, Suite D2
                                Washington, DC 20007
                                1-202-338-1300
                                ridaderder@juno.com

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                                                             LIST OF PARTICIPANTS    329
Ms. Franceses DiCosmo
U.S. Environmental Protection Agency
1650 Arch St.
Philadelphia PA 19103-2029
United States
dicosmo.francesca@epa.gov

Mr. Mihail Dimovski
Programme Manager
Regional  Environment Center for Central and
Eastern Europe & BERGEN
Ady Endre 9-11
Szentendre  2000
Hungary
36-26-504-052
36-26-311-294
mdimovski@rec.org

Mr. Zoran Dimovski
State Environmental Inspector
Ministry of Environment and Phisycal Planning
ul.Drezdenska 52
Skopje 1000
Republic of Macedonia
38-92-306-6930
38-92-36-6931
zdimovski61 ©mt.net.mk

Ms. Maria Di Paola
Director on Research and Training
Fundacion Ambiente y Recursos Naturales
Buenos Aires 1428
Argentina
54-11-4783-7032
+54-11-4783-7032*223
medipaola@farn.org.ar

Mr. Azzedine  Downes
Vice President
International Fund for Animal Welfare
POBox 193
Yarmouth Port MA 02675
United States
adownes@ifaw.org
Mr. Rene Drolet
Director
Compliance Assurance
Environment Canada
351 St Joseph Boulevard
17th Floor PVM
Gatineau Quebec K1A OH3
Canada
1-819-994-0738
1-819-997-0086
Rene.Drolet@ec.gc.ca

Mr. Ofir Drori
Director
The Last Great Ape Organization (LAGA)
Valley Nlongkak
POB4916
Yaounde
Cameroon
lastgreatape@yahoo.com

Ms. Linda Duncan
Consultant on Environmental Law & Policy
9816-90 Avenue
Edmonton AB T6E 2T1
Canada
1-780-433-8806
1-780-433-6099

Mr. Driss El Harrhouri
Gendarmerie Royale
Marrakech
Morocco
212-061-954-480

Mr. El Hassan El Izary
Ministry of the Interior
Morocco
212-044-308-439

Mr. Nor El Yakine
Gendarmerie Royale
Marrakech
Morocco
212-061-954-480

Mr. Abdallah Elyacoubi
Ministry of the Environment
Morocco
elyabdou@yahoo.fr

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330
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Mr. Mohamed Elyazghi
Minister
Ministry of Territory Planning, Environment and
Water
Rabat
Morocco

Mr. Mohamed Fdrissi
Ministry of the Interior
Morocco
212-044-308-439

Ms. Melissa Fourie
Project Manager
Department of Environmental Affairs & Tourism
Pretoria
South Africa
27-012-310-3583
27-0123204431
mfourie@deat.gov.za

Ms. Dadouch Fouzia
Ministere de  I'lnterieur
36, Angle Avenue EI-Abtal et Rue Oum Errabia
Agdal - Rabat
Morocco
212-7-766-658
dadouchf@yahoo.fr; dadouch.f@menara.ma

Mr. Joe Freedman
Office of General Counsel
U.S. Environmental Protection Agency
1200 Pennsylvania Avenue, N. W.
Mail  Code: 2313A
Washington DC 20460
United  States
1-202-564-5406
freedman.joseph@epa.gov

Mr. Mike Frizzel
2141 Wisconsin Ave, NW, Suite D2
Washington DC 20007
United  States
1-202-338-1300
1-202-338-1810
inece@inece.org
                                Mr. Sibusiso Gamede
                                Consultant on Legal Issues
                                Basel Convention Regional Centre
                                c/o CSIR, Meiring Naude Road Block 4, Room
                                130
                                P.O. BOX 109
                                Silverton Pretoria 0127
                                South Africa
                                27-12-349-1130
                                27-12-349-1043
                                gamede@sjp.co.za

                                Mr. Paul Gavrel
                                Office of Enforcement
                                Environment Canada
                                351  St. Joseph Boulevard
                                Place Vincent Massey - 17th Floor
                                Hull Quebec
                                Canada
                                1-819-953-0762
                                Paul.Gavrel@ec.gc.ca

                                Mr. Daniel Geisbacher
                                Head Inspector and National IMPEL
                                Coordinator
                                Slovak Inspectorate of the Environment
                                Karloveska 2
                                Bratislava 84222
                                Slovak Republic
                                42-126-542-6950
                                42-126-542-3181
                                geisbacher@sizp.sk

                                Mr. Jo Gerardu
                                Inspector for  International Affairs
                                Inspectorate of Housing,  Spatial Planning and
                                the Environment (VROM-lnspectorate)
                                VI/AL I PC 500
                                PO Box 16191
                                The Hague 2500 BD
                                The Netherlands
                                31-70-339-2536
                                31-70-339-1985
                                Jo.Gerardu@minvrom.nl

                                Mr. Theo de  Gelder
                                Senior Inspector
                                Netherlands Emission Authority
                                The Netherlands
                                tdgelder@zeelandnet.nl

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                                                              LIST OF PARTICIPANTS   331
Mr. Jose Pablo Gonzalez
Adjunct Attorney General
Chief Environmental Prosecutor
P.O.  Box 586-2070
San Jose
Costa Rica
506-295-3401
506-295-3541
jpgonzalez@poder-judicial.go.cr

Mr. Dave Gorman
Better Regulation Manager
Scottish Environment Protection Agency
Erskine Court
Castle Business Park
Stirling Scotland FK9 4TR
United Kingdom
44-1786-457-700
44-1786-446885
dave.gorman@sepa.org.uk

Mr. Jim  Gray
Head of Regulatory Development
Environment Agency (England and Wales)
Rio House
Aztec West, Almondsbury
Bristol South Gloucestershire BS32 4UD
United Kingdom
44-1454-624400
44-1454-624032
jim.gray@environment-agency.gov.uk

Mr. David Grossman
Staff Attorney
INECE Secretariat
2141 Wisconsin Avenue, NW
Washington DC 20007
United States
dgrossman @ inece.org

Ms. Violeta Gustale
Communication Specialist
Institute de Derecho y Economfa Ambiental
(IDEA)
Nicanor Torales 150
Asuncion 1851
Paraguay
595-21-614620
595-21-662543
violeta.gustale@idea.org.py
Ms. Christine Hanson
General Counsel, Legal Services Branch
Department of Infrastructure Planning and
Natural Resources
GPO Box 3927
Sydney NSW 2001
Australia
61-2-9762-8010
61-2-9762-8716
christine.hanson@dipnr.nsw.gov.au

Sir John Harman
Chairman
Environment Agency (England and Wales)
Millbank Tower 25th Floor
21/24 Millbank
London SW1P4XL
United Kingdom
john.harman@environment-agency.gov.uk

Ms. Phyllis Harris
Principal Deputy Assistant Administrator
U.S. Environmental Protection Agency
1200 Pennsylvania Ave, NW, MC 2201A
Washington DC 20460
United States
1-202-564-2450
1-202501 3842
harris.phyllis@epa.gov

Mr. Robert Heiss
Director
International Compliance Assurance Division
U.S. Environmental Protection Agency
1200 Pennsylvania Avenue NW
Ariel Rios Building, Mail Code #2222A
Washington DC 20460
United States
heiss.robert@epa.gov

Mr. Markku Hietamaki
Environmental Counsellor
Ministry of the Environment
P.O. Box 35 GOVERNMENT
Helsinki FIN-00023
Finland
358-9-1603-9703
358-9-1603-9453
markku.hietamaki@ymparisto.fi, Markku.
Hietamaki@vyh.fi

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332
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Mr. Barry Hill
Director
Office of Environmental Justice
U.S. Environmental Protection Agency
1200 Pennsylvania Ave, NW
Washington DC 20460
United States
hill.barry@epa.gov

Mr. Harvey Himberg
Sr. Environmental Specialist
Environmentally and Socially Sustainable
Development Network
The World Bank
MC5-128
Washington, DC
1-202-458-9099
hhimberg@worldbank.org

Mr. Antero Honkasalo
Director
Department for Environmental Proection in
Trade and Industry
Ministry of the Environment
P.O.  Box 380
Helsinki 00131
Finland
358-9-1991-9345
358-9-1991-9453
antero.honkasalo@ymparisto.fi

Mrs. Dorine Hornung
Inspectorate of Housing, Spatial Planning and
the Environment (VROM-lnspectorate)
P.O.  Box 850
Eindhoven 5600 AW
The Netherlands
dorine.hornung@minvrom.nl

Mr. Chris Howes
Enforcement Policy Manager
Environment Agency (England and Wales)
Rio House Waterside Drive
Aztec West
Almondsbury Bristol BS32 4UD
United Kingdom
44-14-5462-4029
chris.howes@environment-agency.gov.uk
                                Mrs. Zahia Ibersienne
                                ANPE
                                Algeria
                                213-72-33-43-80
                                iber-zahia@ hotmail .com

                                Ms. Aesah Javier
                                Administrative Assistant
                                INECE Secretariat
                                United States
                                1-202-338-1300
                                1-202-338-1810
                                ajavier@inece.org

                                Mr. Davis Jones
                                Environmental Scientist
                                U.S. Environmental Protection Agency
                                1200 Pennsylvania Avenue, NW
                                Mail Code 2254A
                                Washington DC 20460
                                United States
                                1-202-564-6035
                                1-202-564-0073
                                Jones.Davis@epa.gov

                                Dr. Palamagamba Kabudi
                                Institutional and Legal Framework for
                                Environmental Management Project, Vice
                                President's Office
                                PO Box 75335
                                Dar es Salaam
                                Tanzania
                                255-22-211-8416
                                255-22-211-9355
                                pjkabudi@udsm.ac.tz

                                Mr. Donald Kaniaru
                                Kaniaru  & Kaniaru Advocates
                                ABC Bank House, 1st Floor, Woodvale Groove,
                                Westlands
                                P.O. Box 1038
                                Sarit Centre Nairobi 00606
                                Kenya
                                254-20-4455-1275
                                254-20-445-1276
                                wkaniaru@africaonline.co.ke

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                                                              LIST OF PARTICIPANTS    333
Mr. Bakary Kante
Director
Division of Policy Development & Law
United Nations Environment Programme
PO Box 30552
Nairobi
Kenya
bakary.kante@unep.org

Ms. Ayse Karadeniz
Asst. Environmental Expert Turkish
Ministry of Env. and Forestry
Turkey
90-312-2879963
90-312-2855875
ozgekaradeniz@hotmail.com

Mr. Nikolay Kenanov
Director
Ministry of Environment and Water
67 William Gladstone Str
Sofia  1000
Bulgaria
359-2-9406387
359-2-9813384

Mr. Wout Klein
Project Manager
Inspectorate of Housing, Spatial  Planning and
the Environment (VROM-lnspectorate)
PO Box 16191 IPC500
The Hague 2500 BD
The Netherlands
31-573-401756
31-573-401675
wout.klein@minvrom.nl

Mr. Albert Koehl
Lawyer
Sierra Legal Defence Fund
30 St. Patrick  St.
Suite 900
Toronto ON M5T 3A3
Canada
1-416-368-7533
1-416-363-2746
akoehl @ sierralegal .org
Mr. Fred Kok
Secretary
Landelijk Overleg Milieuhandhaving
Koningskade 40-2596 AA
The Hague
The Netherlands
31-703-519701
31-705-3519707
fkok@lomsecretariaat.nl

Mr. George Kremlis
Head of Unit
European Commission
200 Rue de la Loi
BU9 1/185
Brussels  B-1049
Belgium
32-22-966-526
32-22-991-070
Georges.Kremlis@cec.eu.int

Mr. Joe Kruger
Visiting Scholar
Resources for the Future
1616 P St. NW
Washington DC 20036
United States
1-202-328-5052
1-202-328-5137
Kruger@rff.org

Mr. Mohammed Lididi
Secretary General
Ministry of Justice
Ministere de la Justice
Place de la Mamounia
Rabat 10000
Morocco
212-37-73-22-74
212-37-73-47-25
lididi@justice.gov.ma

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334
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Mr. Yvan Lafleur
Director
Wildlife Enforcement
Environment Canada
351 St. Joseph Blvd.
16th Floor PVM
Gatineau Quebec K1AOH3
Canada
1-819-953-4383
1-819-994-5836
Yvan.Lafleur@ec.gc.ca

Mr. Sheng Shuo Lang
Deputy Chief Officer
Multilateral Fund for the Montreal Protocol Sec-
retariat
1800 McGill College Avenue
27 Floor
Montreal Quebec H3A 3J6
Canada
1-514-282-1122
slang@unmfs.org

Mr. Andrew Lauterback
Senior Criminal Enforcement Counsel
U.S. Environmental Protection Agency
One Congress Street
Boston MA 02114
United States
1-617-918-1724
1-617-918-0724
lauterback.andrew@epa.gov

Mr. Kenneth Ledgerwood
Environment and Heritage Service
Calvert House, Castle Place Belfast BTI IFY
Northern Ireland BT1  1FY
United Kingdom
44-28-254-716
44-28-254-700
ken.ledgerwood@doeni.gov.uk

Ms. Ghizlane Legsai
Ministry of the Territory Planning, Water and
Environment
Rabat
Morocco
legsaighizlane@yahoo.fr
                                Mr. Peter Lehner
                                Chief
                                Environmental Protection Bureau
                                New York Attorney General
                                120 Broadway
                                26th Floor
                                New York NY 10028
                                United States
                                1-212-416-8450
                                1-212-416-6007
                                peter.lehner@oag.state.ny.us

                                Mr. Pierre Lemieux
                                Director
                                Conservation and Protection - Enforcement
                                Department of Fisheries and Oceans
                                200 Kent Street
                                OttawaONK1AOE6
                                Canada
                                lemieuxpie@dfo-mpo.gc.ca

                                Mr. Michael LeRoy-Dyson
                                Senior Operator
                                Ministry for the Environment
                                45 Tower Center
                                Auckland City
                                New Zealand
                                649-366-2000x7184
                                649-366-2155
                                Michael.LeRoy-Dyson@MfE.govt.nz

                                Mr. Ryan Levitt
                                Enforcement Officer, EPB, Prairies and
                                Northern Region
                                Environment Canada
                                #200,4999-98
                                Edmonton AB T6B2X3
                                Canada
                                780-951-8631
                                ryan.levitt@ec.gc.ca

                                Ms. Myriam Linster
                                Principal Administrator
                                Organisation for Economic Co-operation and
                                Development (OECD)
                                2, rue Andre Pascal
                                Paris Cedex 16 75775
                                France
                                33-1-45-24-97-44
                                33-1 -45-24-78-76
                                myriam.linster@oecd.org

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                                                             LIST OF PARTICIPANTS    335
Ms. Tamara Malkova
Director
Charity Information Center, Green Dossier
Kiev
Ukraine
tamara@bg.net.ua

Mr. Himot Maran
IMPEL Coordinator
Estonian Environmental Inspectorate
Kopli76, EE-10416 Tallinn
Estonia
himot.maran@kki.ee

Mr. Kenneth Markowitz
President, Earthpace LLC
Consultant to IGSD/INECE Secretariat
2141 Wisconsin Ave, NW, Suite D2
Washington DC 20007
United States
1-202-338-1300
1-202-338-1810
kjm@earthpace.com; ken@inece.org

Mr. Thomas Maslany
U.S. Environmental Protection Agency
(Retired)
1405 Perkiomenville Road
Perkiomenville PA 18074
United States
tmaslany@nni.com

Ms. Linda Massopust
2141 Wisconsin Ave, NW, Suite D2
Washington DC 20007
United States
1-202-338-1300
1-202-338-1810
inece@inece.org

Mr. Bharat Mathur
Acting Regional Administrator
U.S. Environmental Protection Agency
77 West Jackson Blvd.
Chicago IL 60604-3507
United States
mathur.bharat@epa.gov
Mr. George Matovu
Natural Resources Management Specialist
(Aquatics)
National Environment Management Authority
(NEMA)
P.O. Box 22255
Kampala
Uganda
256-77-615222
256-41-257521
glubega@nemaug.org

Ms. Marti ne Meerburg
Inspector
Ministry of Housing, Spatial Planning
Environment (VROM)
PO Box 20061
2500 EB Den Haag
The Netherlands
martine.meerburg @ minvrom.nl

Mr. Mohamed Mehdi
Administrator
Department of Environment
Ministry of Territory Planning, Water,
and Environment
Morocco
037681500
mehdi.env@caramail.com

Ms. Oiya Melen
Attorney
Ecopravo-Lviv
Krushelnytska str. 2
Lviv 79000
Ukraine
380-322-72-2746
380-322-97-1446
molya@darkwing.uoregon.edu;
epac@mail.lviv.ua

Mr. Krzysztof Michalak
Administrator
Organisation for Economic Co-operation and
Development (OECD)
2, rue Andre Pascal
Paris,  Cedex 16  75775
France
33-14-524-9600
33-14-430-6399
krzysztof.michalak@oecd.org

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336
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Dr. Ladislav Miko
Director
Directorate DG.ENV.B: Protecting the Natural
Environment
European Commission
Brussels
Belgium
32-2-2987237
32-2-2953892
Ladislav.Miko@cec.eu.int

Ms. Sladana Miocic
Advisor
Management Board
Koturaska 43
Zagreb 10000
Croatia
385-1-6304-892
385-1-6128-089
sladana.miocic@fina.hr

Mr. Jassim Moh'd AM Nasser
Environmental Inspector
Environmental Assessment and Planning
Directorate
PO Box 32657
Kingdom of Bahrain
973-17-875154
973-17-874615

Mr. Wolfgang Morbach
Chef de Programme
Deutsche Gesellschaft fur Technische
Zusammenarbeit (GTZ)
B.P. 753
Tunis 1080
Tunisia
216-71 233677
216-71 234722
wolfgang.morbach@gtz.de

Ms. Elizabeth Mamma Mrema
Senior Legal Officer & Acting Chief
United Nations Environment Programme
P.O. Box 30552
Nairobi Kenya
Kenya
25-42-624-252
25-42-623-859
Elizabeth.Mrema@unep.org
                                Ms. Marcia Mulkey
                                Visiting Professor of Law
                                Temple University
                                1719N. Broad Street
                                Philadelphia PA 19122-6098
                                United States
                                1-215-204-8006
                                Marcia.mulkey@temple.edu

                                Mr. Martin Murray
                                Policy Manager
                                Environment Agency (England and Wales)
                                Rio House Waterside Drive
                                Aztec West
                                Bristol
                                United Kingdom
                                44-14-54205501
                                44-14-54624032
                                martin.murray@environment-agency.gov.uk

                                Mr. Peter Murtha
                                Director
                                Office of Criminal Enforcement, Forensics,
                                and Training
                                U.S. Environmental Protection Agency
                                1200 Pennsylvania Ave. NW
                                Mail Code 2231-A
                                Washington DC 20460
                                United States        ->
                                murtha.peter@epa.gov

                                Ms. Melanie Nakagawa
                                INECE Secretariat
                                2141 Wisconsin Ave, NW
                                Suite D2
                                Washington DC 20007
                                United States
                                1-202-338-1300
                                1-202-338-1810
                                inece@inece.org

                                Dr. Felix  Nascher
                                Director General
                                Ministry of Environment
                                Dr. Grass-Strasse 10
                                FL-9490
                                Vaduz
                                Liechtenstein
                                423-236-6400
                                423-236-6411
                                felix.nascher@awnl.liv.li

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                                                              LIST OF PARTICIPANTS   337
Mr. Ceazar Natividad
Engineer IV
Laguna Lake Development Authority, DENR
Capitol Compound
Shaw Blvd.
Pasig City  Metro Manila 1100
Philippines
632-631-4157
632-635-6683
czar_natividad ©yahoo.com

Mr. Ike Ndlovu
Compliance Monitoring
Department of Environmental Affairs and
Tourism  (DEAT)
South Africa
27-012-310-3710
indlovu@deat.gov.za

Mr. Georgi Nedev
Expert
Ministry  of Environment and Water
67 William Gladstone Str
Sofia
Sofia City  1000
Bulgaria
359-2-980-60-23
359-2-981-33-84
nedev@moew.government.bg

Mr. Alberto Ninio
Senior Counsel
The World Bank
1818 H Street, NW
Washington DC 20433
United States
1-202-458-1750
aninio@worldbank.org

Ms. Cristina Nogues
Public Relations  Specialist
Institute  de Derecho y Economia Ambiental
(IDEA)
Nicanor Torales 150
Asuncion
Paraguay
595-21-614620
595-21-662543
cristina.nogues@idea.org.py
Mr. Axel Olearius
Junior Expert
Deutsche Gesellschaft fur Technische
Zusammenarbeit (GTZ)
Rabat
Morocco
212-023-303791
axel.olearius@gtz.de

Ms. Katia Opalka
Legal Officer
Commission for Environmental Cooperation
393 St-Jacques Street West
Suite 200
Montreal QCH2Y1N9
Canada
kopalka@cec.org

Mr. Antonio Oposa Jr.
Lawyer
Suite 6-J Westgate Tower
Investment Drive
1780 Alabang
Muntinlupa City
Philippines
632-809-6122
632-809-3176
tonyoposajr@yahoo.com

Ms. Naima Oumoussa
Ministry of Territory Planning, Water and
Environment
Morocco
212-62-517330
dpcc@minenv.gov.ma

Mr. Lee Paddock
Director of Environmental Law Programs
Pace University
78 North Broadway
White Plains NY 10603
United States
1-914-422-4209
lpaddock@law.pace.edu

Ms. Krystyna Panek-Gondek
Director
Chief Inspectorate for Environmental Protection
Wawelska ul. 52/54
Warsaw 00922
Poland
k.panek@gios.gov.pl

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338
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Mr. Bradley Parks
Development Policy Officer
Millenium Challenge Corporation
1000 Wilson Blvd. 14th Floor
Arlington VA
United States
1-202-521-3613
1-202-521-3700
parksbc @ mcc.gov

Mr. Dave Pascoe
Manager
Emergencies and Enforcement Division
Environment Canada
4905 Dufferin Street
Downsview Ontario M3H 5T4
Canada
1-416-739-5897
1-416-739-4903
dave.pascoe@ec.gc.ca

Judge Vladimir Passos de Freitas
Chief Justice
Tribunal Regional Federal - 4a. Regico
R. Otavio Francisco Caruso da Rocha, 300
Porto Alegre
Brazil
55-51-3213-3003
55-51-3330-4762
vladimir.freitas@terra.com.br

Ms. Anita Patekar
Head Inspector for Environmental Protection
Ministry of  Environmental Protection and
Physical Planning
Gajeva 30a
Zagreb 10000
Croatia
385-1-37-12797
385-1-37-12713
anita.pokrovac.patekar@mzopu.hr

Ms. Catherine  Pearce
Climate Change Campaign Coordinator
Friends of the Earth International
26-28  Underwood Street
London  N1 7JQ
United Kingdom
44-20-7566-1723
44-20-7490-0881
catp@foe.co.uk
                                Ms. Waltraud Petek
                                Head of Department
                                Federal Ministry of Environment
                                Austria
                                43-1-51522-2123
                                43-1-51522-7122
                                waltraud.petek@bmlfuw.gv.at

                                Ms. Romina Picolotti
                                Directora Del Programa De Acce
                                Fundacion Centra de Derechos Humanos y
                                Ambiente (CEDHA)
                                General Paz 186 101'A
                                Cordoba CORDOBA 5000
                                Argentina
                                54-0351-4256278
                                romina@cedha.org.ar

                                Dr. Peter Pluschke
                                Program Director
                                Deutsche Gesellschaft fur Technische
                                Zusammenarbeit (GTZ)
                                Rabat
                                Morocco
                                peter.pluschke@gtz.de

                                Justice Amadeo Postiglione
                                President
                                International Court of the  Environment
                                Foundation (ICEF)
                                Corte Suprema di Cassazione
                                Piazza Cavour
                                Rome 00193
                                Italy
                                39-06-663-2490
                                39-06-688-3403
                                icef.postiglione@tiscali.it

                                Mr. Dariusz Prasek
                                Head, Operation Supoort
                                European Bank for Reconstruction and
                                Development (EBRD)
                                One Exchange Square
                                London EC2A2JN
                                United Kingdom
                                44-207-338-6873
                                44-207-338-6848
                                prasekd@ebrd.com

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                                                             LIST OF PARTICIPANTS   339
Mr. Peter Pueschel
Head
Wildlife Trade Program
International Fund for Animal Welfare
Yarmouth Port MA
United States
ppueschel@ifaw.org

Ms. Gloria Ramos
Lawyer
National Environmental Action Team
2/F S. Estenzo Bldng., M.L. Quezon Avenue
Cabancalan
Mandaue City Cebu
Philippines
63-32-343-9464
63-32-420-7400
gollyramos@yahoo.com

Dr. Moshibudi Rampedi
General Manager
Department of Finance and Economic
Development, Limpopo Province South Africa
46 Hans van Rensburg Street
Polokwane 0700
South Africa
27-015-298-7073
27-015-291-5480
rampedimp@finptb.norprov.gov.za

Mr. G.H.J Ranter
Gedeputeerde Staten van Overijssel
Postbus 10078
8000GB Zwolle
The Netherlands
pj.v.zanten@prv-overijssel.nl

Dr. Rosalind Reeve
Consultant
International Fund for Animal Welfare
P.O. Box 47074
Nairobi
Kenya
254-733-616869
254-20-375-0943
ros@africaonline.co.ke
Ms. Meredith Reeves
Senior Reseacher, Earthpace LLC
Consultant to IGSD/INECE Secretariat
2141 Wisconsin Ave NW, Suite D-2
Washington DC 20007
United States
1-202-338-4400
1-202-338-4401
mreeves@earthpace.com

Mr. Jan Rinzema
Trade Secretarty
Royal Netherlands Embassy
40 Rue de Tunis
Rabat
Morocco
212-64-163208
212-37-705085
jan.rinzema@minbuza.nl

Mr. Arthur Roborgh
Ministry of Housing, Spatial Planning and the
Environment
Postbus 30945
2500 GX  The Hague
The Netherlands
31-70-3395375
31-70-3391306
arthur.roborgh@minvrom.nl

Dr. Roberto Rodriguez Rojas
Director
Environmental Law Program
Comision Centroamericana de Ambiente y
Desarrollo (CCAD)
rrodriguez@ccad.ws

Ms. Sandy Rowden
Environment Agency (England & Wales)
Rio House, Waterside Drive
Aztec West
Almondsbury Bristol BS32 4UD
United Kingdom
sandy.rowden@environment-agency.gov.uk

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340
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Mr. Mladen Rudez
Head of Department
Federal Ministry of Physical Planning and
Environment
Titova 9a
Sarajevo  71000
Bosnia-Herzegowina
387-33-445-031
387-33-445-031
m.rudez@bih.net.ba

Dr. Henk Ruessink
Head of Department
Inspectorate of Housing, Spatial Planning and
the Environment (VROM-lnspectorate)
PO Box 30020
9700 RM Groningen
The Netherlands
31-50-599-2700
31-50-599-2699
henk.ruessink@minvrom.nl

Mr. Kenneth Ruffing
Deputy Director
Organisation for Economic Co-operation and
Development (OECD)
rue 2 Andre Pascal
Cedex 16 Paris 75775
France
33-14-524-9310
33-14-524-7876
kenneth.ruffing@oecd.org

Dr. Iwona Rummel-Bulska
Senior Legal Advisor
World Meteorological Organization
7 bis, avenue de la Paix
Case postale No. 2300
Geneva CH 1211
Switzerland
41-22-730-8111
41-22-730-8181
irummel-bulska@wmo.int; rummel_l@
gateway.wmo.ch

Dr. Ketevan Samadashvili
Regional  Environment Center — Caucasus
74, Chavchavadze Ave., office 901
Tbilisi  0162
Georgia
995-32-253649
995-32-253648
keti .samadashvili @ rec-caucasus.org
                                Mr. V.D. Sapronov
                                Division Chief
                                Federal Environmental, Industrial and Nuclear
                                Supervision Service of Russia
                                Taganskaya St., 34
                                Moscow
                                Russia
                                platonov@gan.ru

                                Mr. Terence Shears
                                EU and International Relations Adviser
                                Environment Agency for England and Wales
                                Rio House
                                Waterside Drive, Aztec West
                                Almondsbury Bristol BS32 4UD
                                United Kingdom
                                44-14-54-205743
                                44-14-54-205533
                                terence .shears® environment-agency.gov. u k

                                Justice Adel Omar Sherif
                                Deputy Chief Justice
                                The Supreme Constitutional Court
                                Cornish el-Nile, Maadi
                                Cairo
                                Egypt
                                20-2526-7080
                                20-2525-6979
                                sccourt@idsc.net.eg

                                Adv. (Mrs.) Zohar Shkalim
                                Director
                                Ministry of the  Environment
                                POB 34033
                                Jerusalem 95464
                                Israel
                                972-2-655-3808
                                972-2-655-3823
                                zoharsh@sviva.gov.il

                                Ms. Walker Smith
                                Director
                                Office of Civil Enforcement
                                U.S. Environmental Protection Agency
                                1200 Pennsylvania Ave. NW
                                Mail Code 2241-A
                                Washington DC 20406
                                United States
                                smith.walker@epa.gov

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                                                              LIST OF PARTICIPANTS   341
Mr. Noah Smith
Editor
BNA's International Environment Reporter
1231 25th St. N.W.
Washington DC 20037
United States
1-202-452-6366
1-202-452-5331
nsmith@bna.com

Mr. Dmitri Smyslov
Deputy Director
Federal Environmental, Industrial and Nuclear
Supervision Service of Russia
Taganskayast., 34
Moscow
Russia
platonov@gan.ru

Ms. Sabine Sommer
Desk Officer
Ministry for the Environment - Lower Saxony
32-22-994-383
32-22-991-070
sab.som@gmx.net

Mr. Pavel Sremer
Deputy Director
Czech Environmental Inspectorate
267 Na brehu, Prague 9
Prague
Czech Republic
42-28-389-1564
42-28-389-2662
sremer@cizp.cz

Mr. Michael Stahl
Director
Office of Compliance
U.S. Environmental Protection Agency
1200 Pennsylvania Avenue NW (2221 A)
Washington DC 20460
United States
1-202-564-2280
1-202-564-0027
stahl.michael@epa.gov
Ms. Ljiljana Stanojevic
Chief
Ministry for Science and Environmental
Protection of Serbia
Gospodar Jevremova 6/3
Sabac  15 000
Serbia and Montenegro
381-153-46912
381-153-46912
ekosabac@ptt.yu

Mr. Matthew Stilwell
Institute for Governance and Sustainable
Development (Geneva)
Geneva
Switzerland
41-22-917-8695
41-22-917-8076
stilwell@bluewin.ch

Mr. Scott Stone
Staff Attorney
INECE Secretariat
2141 Wisconsin Avenue NW
Washington DC 20007
United States
sstone@inece.org

Mr. Ahmed Tarawneh
Police Officer
Jordan

Ms. Makhiba Tjela
Principal Environment Officer (Legal)
Ministry of Tourism, Environment, and Culture
PO Box 10993
Maseru  100
Lesotho
266-2231-1767
266-22-310194
mtjela@ananzi.co.za, lea@lea.org.Is

Dr. Warapong Tungittiplakorn
Environmental Official
Pollution Control Department
Paholyothin Road
Sam Sen Nai
Payathahi Bangkok 10400
Thailand
662-298-2623
662-298-2596
warapong.t@pcd.go.th

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342
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Ms. Clare Twelvetrees
International Relations Advisor
Environment Agency
Millbank Tower
25th Floor, 21-24 Millbank
London  SW1P4XL
United Kingdom
44-020-78 63 8670
44-020 7863 8753
clare.twelvetrees@environment-agency.gov.uk

Mr. David Uhlmann
Chief
Environmental Crimes Section
U.S. Department of Justice
P.O. Box 23985
Washington DC
United States
1-202-305-0337
1-202-305-0396
david.uhlmann@usdoj.gov

Mr. Pieter Van Geel
State Secretary for the Environment
PO Box  20951
2500 EZ Den Haag
The Netherlands
publiekvoorlichting@minvrom.nl          *

Mr. Doug Varchol
Environmental Film  Maker
dvarchol@bren.ucsb.edu

Mr. Thomas Voltaggio
Deputy Regional Administrator
U.S. Environmental  Protection Agency
1650 Arch St.
Philadelphia PA 19103-2029
United States
voltaggio.tom@epa.gov

Mr. Gerard Wolters
Inspector General
Inspectorate for Housing, Spatial Planning and
the Environment (VROM)
VI/AL I PC 500
P.O. Box 16191
The Hague 2500 BD
The Netherlands
31-70-339-4620
31-70-339-1905
gerard.wolters@minvrom.nl
                                Ms. Maryna Yanush
                                Vice Director
                                Ministry of Natural Resources and
                                Environmental Protection
                                10, Kollektornaya str.
                                Minsk
                                Belarus
                                375-17-2209473
                                375-17-2204571
                                yanush-marina@tut.by

                                Mr. Durwood Zaelke
                                Director, INECE Secretariat
                                President, Intitule for Governance &
                                Sustainable Development (IGSD)
                                2141 Wisconsin Avenue NW, Suite D2
                                Washington DC 20007
                                United States
                                1-202-338-1300
                                1-202-338-1810
                                zaelke@inece.org

                                Mr. Zehar Athmane
                                Advisor
                                Ministry of Land Management and Environment
                                Algeria
                                213-21-432889
                                zehar_althmane@hotmail.com

                                Ms. Maria Christina Zucca
                                Associate Legal Officer
                                United Nations Environment Programme
                                PO Box 30552
                                Room T-313
                                Nairobi
                                Kenya
                                254-20-624573
                                254-20-624324
                                cristina.zucca@unep.org

                                Mr. Fouad Zyadi
                                Head
                                Monitoring and Conflict Division
                                Ministry of Territory Planning, Water and
                                Environment
                                36, Avenue Al  Abtal
                                Agdal, Rabat
                                Morocco
                                212-37-77-26-44
                                dcont@minenv.gov.ma

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                                                                 LIST OF PARTICIPANTS   343
Mr. Brahim Zyani
Director
Regulation and Control Division
Ministry of Territory Planning, Water and
Environment
36, Avenue Al Abtal
Agdal, Rabat
Morocco
212-37-77-25-73
drc@minenv.gov.ma

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344          SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

-------
                                              LIST OF PARTICIPANTS BY REGION   345
COUNTRY
AFRICA
NAME
TITLE
ORGANIZATION
Cameroon
Egypt
Ghana
Kenya
South Africa
South Africa
South Africa
South Africa
Tanzania
Uganda
Mr. Ofir Drori
Justice Adel Omar
Sherif
Mr. Jonathan Allotey
Mrs. Elizabeth
Maruma Mrema
Ms. Melissa Fourie
Mr. Ike Ndlovu
Dr. Moshibudi
Rampedi
Mr. Sibusiso Gamede
Dr. Palamagamba
Kabudi
Mr. George Matovu
Director
Deputy Chief Justice
Acting Executive Director
Senior Legal Officer & Acting
Chief, Implementation of
Environmental Law Branch,
Division of Environmental Policy
Implementation
Project Manager
Compliance Monitoring
General Manager, Regulatory
and Environmental Impact
Management
Lawyer
Vice President's Office
Natural Resources Management
Specialist (Aquatics)
The Last Great Ape Organization
The Supreme Constitutional Court
Environmental Protection Agency
United Nations Environment
Programme
Department of Environmental Affairs
and Tourism
Department of Environmental Affairs
and Tourism
Department of Finance and Economic
Development, Limpopo Province
Smit, Jones & Pratt
Institutional and Legal Framework for
Environmental Management Project of
the Vice President's Office
National Environment Management
Authority (NEMA)
ASIA & THE PACIFIC
Australia
Australia
Australia
New Zealand
Philippines
Philippines
Philippines
Thailand
Ms. Christine Hanson
Ms. Donna Campbell
Ms. Maria Comino
Mr. Michael LeRoy-
Dyson
Mr. Antonio Oposa Jr.
Mr. Ceazar Natividad
Ms. Gloria Ramos
Dr. Warapong
Tungittiplakorn
General Counsel, Legal
Services Branch
Executive Director, Legal
Services
Team Leader - Reforms
Senior Operator, Sustainable
Industries and Climate Change
Group
Lawyer
Engineer IV
Lawyer
Environmental Official
Department of Infrastructure Planning
and Natural Resources
New South Wales Department of
Environment and Conservation
Department of Infrastructure, Planning
and Natural Resources
Ministry for the Environment
Philippines
Laguna Lake Development Authority,
Department of Environment and
Natural Resources
National Environmental Action Team
Pollution Control Department

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346
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
 CENTRAL & EASTERN EUROPE
Bosnia and
Herzegovina
Bulgaria
Bulgaria
Croatia
Croatia
Czech
Republic
Estonia
Georgia
Hungary
Macedonia
Moldova
Poland
Romania
Russia
Russia
Serbia
Slovak
Republic
Ukraine
Ukraine
Mr. Mladen Rudez
Mr. Georgi Nedev
Mr. Nikolay Kenanov
Ms. Sladana Miocic
Ms. Anita Patekar
Mr. Pavel Sremer
Mr. Himot Maran
Dr. Ketevan
Samadashvili
Mr. Mihail Dimovski
Mr. Zoran Dimovski
Mr. Victor Cotruta
Ms. Krystyna Panek-
Gondek
Mrs. Mihaela Beu
Mr. V.D. Sapronov
Mr. Dmitri Smyslov
Ms. Ljiljana Stanojevic
Mr. Daniel Geisbacher
Mrs. Tamara Malkova
Ms. Olya Melen
Head of Department
Expert
Director
Advisor
Head Inspector for
Environmental Protection
Deputy Director
Coordinator, EU Implementation
and Enforcement of
Environmental Law (IMPEL)
Network

Programme Manager
State Environmental Inspector
Executive Director
Director
Regional Chief Commissar
Division Chief
Deputy Director
Chief
Head Inspector and National
Coordinator for the EU
Implementation and
Enforcement of Environmental
Law (IMPEL) Network
Director
Attourney
Federal Ministry of Physical Planning
and Environment
Ministry of Environment and Water
Ministry of Environment and Water
Management Board
Ministry of Environmental Protection
and Physical Planning
International Co-operation
Estonian Environmental Inspectorate
Regional Environment Center -
Caucasus
Regional Environment Center for
Central and Eastern Europe; Balkan
Environmental Regulatory Compliance
and Enforcement Network (BERCEN)
Ministry of Environment and Physical
Planning
Regional Environmental Centre -
Moldova
Chief Inspectorate for Environmental
Protection
National Environmental Guard
Federal Environmental, Industrial and
Nuclear Supervision Service of Russia
Federal Environmental, Industrial and
Nuclear Supervision Service of Russia
Ministry for Science and Environmental
Protection of Serbia
Slovak Inspectorate of the
Environment
Charity Information Center, Green
Dossier
Ecopravo-Lviv

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                                                   LIST OF PARTICIPANTS BY REGION   347
CENTRAL AMERICA
Costa Rica
El Salvador
Mr. Jose Pablo
Gonzalez
Dr. Roberto Rodriguez
Rojas
Adjunct Attorney General
Director, Environmental Law
Program
Chief Environmental Prosecutor
Comisibn Centroamericana de
Ambiente y Desarrollo (CCAD)
SOUTH AMERICA
Argentina
Argentina
Brazil
Brazil
Brazil
Paraguay
Paraguay
Peru
Ms. Romina Picolotti
Ms. Maria Oi Paola
Judge Vladimir Passos
de Freitas
Mr. Antonio Benjamin
Ms. Brenda Brito
Carmo
Ms. Christina Nogues
Ms. Violeta Gustale
Ms. Ada Alegre Chang
President and Founder
Director on Research and
Training
Chief Justice
Public Prosecutor for Sao Paulo
Vice Executive Director and
Researcher
Public Relations Specialist
Communication Specialist

Centra de Derechos Humanos y
Ambiente (CEDHA)
Fundacion Ambiente y Recursos
Maturates (FARM)
Tribunal Regional Federal - 4a. RegiSo
Law for a Green Planet Institute
IMAZON - Amazon Institute of People
and Environment
Institute de Derecho y Economia
Ambiental (IDEA)
Institute de Derecho y Economia
Ambiental (IDEA)
Ministry of Energy and Mining
INTERNATIONAL






Ms. Katia Opalka
Mr. Harvey Himberg
Mr. Dariusz Prasek
Ms. Sabine Sommer
Dr. Ladislav Miko
Mr. George Kremlis
Legal Officer
Sr. Environmental Specialist
-5*
Head, Operation Support
Desk Officer
Director, Directorate DG.ENV.B:
Protecting the Natural
Environment
EU Implementation and
Enforcement of Environmental
Law (IMPEL) Network
Coordinator
Commission for Environmental
Cooperation
Environmentally and Socially
Sustainable Development Network
European Bank for Reconstruction &
Development
European Commission
European Commission
European Commission

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348
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT





















Ms. Ana Bobo-Remijn
Mr. Durwood Zaelke
Mr. Kenneth
Markowitz
Mr. David Grossman
Ms. Melanie
Nakagawa
Ms. Meredith Reeves
Mr. Scott Stone
Ms. Aesah Javier
Ms. Linda Massapouts
Mr. Mike Frizzel
Mr. Matthew Stilwell
Mr. Azzedine Downes
Mr. Peter Pueschel
Dr. Rosalind Reeve
Dr. Sheila Abed
Ms. Nawzat Alt
Mr. Donald Kaniaru
Mr. Sheng Shou Lang
Mr. Kenneth Ruffing
Ms. Angela Bularga
Mr. Krzysztof Michalak
Legal Coordinator
Director
President, Earthpace LLC
Consultant, IGSD/INECE
Staff Attorney

Senior Researcher, Earthpace
LLC
Constant, IGSD/INECE
Staff Attorney
Administrative Assistant



Vice President
Head, Wildlife Trade Program
Consultant
Chair
Member

Deputy Chief Officer
Deputy Director, Environment
Directorate
Coordinator, NIS Environmental
Compliance and Enforcement
Network
Administrator, Eastern
Europe/Central Asia and China
Programmes Non-Member
Countries Division
European Commission
INECE Secretariat
INECE Secretariat
INECE Secretariat
INECE Secretariat
INECE Secretariat
INECE Secretariat
INECE Secretariat
INECE Secretariat
INECE Secretariat
Institute for Governance & Sustainable
Development (Geneva)
International Fund for Animal Welfare
International Fund for Animal Welfare
International Fund for Animal Welfare
IUCN Commission on Environmental
Law
IUCN Commission on Environmental
Law
Kaniaru & Kaniaru Advocates
Multilateral Fund for the Montreal
Protocol Secretariat
Organisation for Economic Co-
operation and Development
Organisation for Economic Co-
operation and Development
Organisation for Economic Co-
operation and Development

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                                                    LIST OF PARTICIPANTS BY REGION   349








Ms. Myriam Linster
Mr. Bakary Kante
Dr. Gilbert Bankobeza
Mr. Carl Bruch
Ms. Maria Christina
Zucca
Mr. JimCurlin
Mr, Alberto Ninio
Dr. Adriana Bianchi
Principal Administrator,
Environment Directorate
Director, Division of Policy
Development and Law
Legal Officer
Legal Officer
Associate Legal Officer
Information Manager, Division of
Technology, Industry, and
Economics
Senior Counsel
Senior Policy and Development
Specialist
Organisation for Economic Co-
operation and Development
United Nations Environment
Programme
United Nations Environment
Programme
Ozone Secretarial
United Nations Environment
Programme
United Nations Environment
Programme
United Nations Environment
Programme
World Bank
World Bank Institute
MIDDLE EAST & NORTH AFRICA
Algeria
Algeria
Algeria
Algeria
Bahrain
Bahrain
Israel
Israel
Jordan
Morocco
Morocco
Ms. Zahia Ibersienne
Mr. El Walid
Boulekroune
Mr. Athmane Zehar
Mr. Hocine Benyahia
Mr. Jassim AH Nasser
Mr. Ebrahim Ali
Mrs. Zohar Shkalim
Dr. Bill Clark
Mr. Ahmed Tarawneh
Mr. Hassan
Chouaouta
Mr. Axel Olearius


Advisor
Treasurer and Project Manager
Environmental inspector
Environmental Specialist,
Director
Director
International Liasion Officer
Police Officer
Conseiller
Junior Expert
Agence National Pour la Protection de
('Environment (ANPE)
Ministere de I'Amenagement du
Territoire et de I'Environrtement
Ministery of Land Management and
Environment
National Federation for the Protection
of the Environment
Director, Environmental Assessment
and Planning Directorate
Environmental Assessment and
Planning Directorate
Ministry of the Environment
Nature and National Parks Protection
Authority
Jordan
Deutsche Gesellschaft fur Technische
Zusammenarbeit (GTZ)
Deutsche Gesellschaft fur Technische
Zusammenarbeit (GTZ)

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350
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
Morocco
Morocco
Morocco
Morocco
Morocco
Morocco
Morocco
Morocco
Morocco
Morocco
Morocco
Morocco
Morocco
Morocco
Morocco
Morocco
Morocco
Morocco
Saudi Arabia
Saudi Arabia
Tunisia
Tunisia
Dr. Peter Pluschke Program Director
Mr. Wolfgang Morbach
Mr. Nor El Yakine
Mr. Driss El Harrhouri
Mr. Mohamed Rida
Derder
Mr. Hassane
Bendahmane
Ms. Dadouch Fouzia
Mr. Mohamed Lididi
Ms. Naima Oumoussa
Mr. Mohamed Mehdi
Mr. Brahim Zyani
Mr. Fouad Zyadi
Mr. Mohamed EL
Yazghi
Mr. Abdallah
Elyacoubi
Mr. Mohamed Fdrissi
Mr. El Hassan El Izary
Ms. Ghizlane Legsai
Mr. Jan Rinzema
Mr. Yousef Al-Wetaid
Mr. Mohammed
Altoraif
Dr. Media Baccar
Mr. Abdelkader
Baouendi
Program Director


Special Consultant
National Coordinator

Secretary General


Director, Regulation and Control
Division
Head, Monitoring and Conflict
Division
Minister




Trade Secretary, Economic
Section
General Manager

Consultant
Expert on Environment
Deutsche Gesellschaft fur Technische
Zusammenarbeit (GTZ)
Deutsche Gesellschaft filr Technische
Zusammenarbeit (GTZ)
Gendarmerie Royale
Gendarmerie Royale
INECE Secretariat
L'Autoevaluation Nationale des
Capacites a Renforcer en Matiere de
I'Environnement (ANCRE)
Ministere de I'lnterieur
Ministry of Justice
Ministry of Territory Planning, Water
and Environment
Ministry of Territory Planning, Water
and Environment
Ministry of Territory Planning, Water
and Environment
Ministry of Territory Planning, Water
and Environment
Ministry of Territory Planning, Water,
and the Environment
Ministry of the Environment
Ministry of the Interior
Ministry of the Interior
Ministry of the Territory Planning,
Water and Environment
Royal Netherlands Embassy
National Comission for Wildlife
Conservation and Development
National Comission for Wildlife
Conservation and Development
International Fund for Animal Welfare
L'Audit Environmental

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                                                     LIST OF PARTICIPANTS BY REGION   351
Tunisia
Turkey
Mr. Mohamed Ben
Hassine
Ms. Ayse Karadeniz
Chief of Service
Assistant Environmental Expert
Ministers de I'Environnement et du
Developpement Durable
Ministry of Environment and Forestry
NORTH AMERICA
Canada
Canada
Canada
Canada
Canada
Canada
Canada
Canada
Canada
Canada
Canada
Canada
United States
United States
United States
United States
United States
United States
United States
United States
United States
United States
Ms. Linda Duncan
Mr. Pierre Lemieux
Mr. John Chouinard
Ms. Paula Caldwell
St-Onge
Mr. Ryan Levitt
Mr. Rene Drolet
Mr. Dave Pascoe
Mr Renzo Benocci
Mr. Yvan Lafleur
Mr. Paul Gavrel
Mr. Yves Corriveau
Mr. Albert Koehl
Mr. Doug Varchol
Mr. Noah Smith
Mr. Kenneth Cook
Ms. Anita Akella
Ms. Deb Callahan
Mr. Bradley Parks
Mr. Peter Lehner
Mr. Lee Paddock
Mr. Joe Kruger
Ms. Marcia Mulkey
Consultant on Environmental
Law & Policy
Director, Conservation and
Protection - Enforcement
Director, Conservation &
Protection
Director General, National
Programs Directorate
Enforcement Officer
Director, Compliance Assurance
Manager, Emergencies and
Enforcement Division
Director, Pollution Enforcement
Director, Wildlife Enforcement
Office of Enforcement
Legal Counsel
Lawyer
Environmental Film Maker
Editor
President
Consultant
President
Development Policy Officer
Chief, Environmental Protection
Bureau
Director of Environmental Law
Programs
Visiting Scholar
Visiting Professor of Law

Department of Fisheries and Oceans
Department of Fisheries and Oceans
Environment Canada
Environment Canada
Environment Canada
Environment Canada
Environment Canada
Environment Canada
Environment Canada
Environment Canada
Sierra Legal Defence Fund

BNA's International Environment
Reporter
Environmental Working Group
Flora International Environmental
Consulting
League of Conservation Voters
Millenium Challenge Corporation
New York Attorney General's Office
Pace University
Resources for the Future
Temple University

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352
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
United States
United States
United States
United States
United States
United States
United States
United States
United States
United States
United States
United States
United States
United States
United States
United States
United States
Mr. John Cruden
Mr. David Uhlmann
Ms. Susan Bromm
Mr, Bharat Mathur
Ms. Francesca
DiCosmo
Ms. Walker Smith
Mr. Michael Stahl
Mr. Peter Murtha
Ms. Phyllis Harris
Mr. Davis Jones
Mr. Andrew
Lauterback
Mr. Barry Hill
Mr. Thomas Maslany
Mr. Robert Heiss
Mr. Joe Freedman
Mr. Thomas Voltaggio
Mr. Matthew Cooper
Deputy Assistant Attorney
General, Environment and
Natural Resources Division
Chief, Environmental Crimes
Section
Director, Office of Site
Remediation Enforcement
Acting Regional Administrator,
Region 5
US EPA Region 3
Director, Office of Civil
Enforcement
Director, Office of Compliance
Director, Office of Criminal
Enforcement, Forensics, and
Training
Principal Deputy Assistant
Administrator, Office of
Enforcement and Compliance
Office of Enforcement &
Compliance Assurance
Senior Criminal Enforcement
Counsel
Director, Office of Environmental
Justice

Director, International
Compliance Assurance Division
Office of General Counsel
Deputy Regional Administrator,
Region 3

U.S. Department of Justice
U.S. Department of Justice
U.S. Environmental Protection Agency
U.S. Environmental Protection Agency
U.S. Environmental Protection Agency
U.S. Environmental Protection Agency
U.S. Environmental Protection Agency
U.S. Environmental Protection Agency
U.S. Environmental Protection Agency
U.S. Environmental Protection Agency
U.S. Environmental Protection Agency
U.S. Environmental Protection Agency
U.S. Environmental Protection Agency
(Retired)
U.S. Environmental Protection Agency
U.S. Environmental Protection Agency
U.S. Environmental Protection Agency
Environmental Media Consultant
 WESTERN EUROPE
Austria
Cyprus
Ms. Waltraud Petek
Ms. Maryna Yanush
Head of Department
Vice Director
Federal Ministry of Environment
Ministry of Natural Resources and
Environmental Protection of the
Republic of Belarus

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LIST OF PARTICIPANTS BY REGION    353
Finland
Finland
Italy
Liechtenstein
Malta
Norway
Switzerland
The
Netherlands
The
Netherlands
The
Netherlands
The
Netherlands
The
Netherlands
The
Netherlands
The
Netherlands
The
Netherlands
The
Netherlands
The
Netherlands
Mr. Markku Hietamaki
Mr. Antero Honkasalo
Justice Amadeo
Postiglione
Dr. Felix Nascher
Ms. 'Makhiba Tjela
Mr. Poul Byskov
Dr. Iwona Rummel-
Bulska
Mr. G. H, J. Ranter
Ms. Marline Meerburg
Mr. Gerard Wolters
Dr. Henk Ruessink
Mr. Jo Gerardu
Mrs. Dorine Hornung
Mr. Wout Klein
Mr. Fred Kok
Mr. Arthur Roborgh
Mr. Theo de Geider
Environmental Counsellor,
Department for Environmental
Protection
Director, Department for
Environmental Protection in
Trade and Industry
President
Director General, National Office
of Forests, Nature and
Landscape
Principal Environment Officer
(Legal)
Senior Engineer
Senior Legal Advisor

Inspector
Inspector General
Head of Department
Inspector for International Affairs

Project Manager
Secretary

Senior Inspector.
Ministry of the Environment
Ministry of the Environment
International Court of the Environment
Foundation (ICEF)
Ministry of Environment
Ministry of Tourism, Environment, and
Culture
Norwegian Pollution Control Authority
World Meteorological Organization
Gedeputeerde Staten van Overijssel
Inspectorate of Housing, Spatial
Planning and the Environment of the
Ministry
Inspectorate of Housing, Spatial
Planning and the Environment of the
Ministry
Inspectorate of Housing, Spatial
Planning and the Environment of the
Ministry
Inspectorate of Housing, Spatial
Planning and the Environment of the
Ministry
Inspectorate of Housing, Spatial
Planning and the Environment of the
Ministry
Inspectorate of Housing, Spatial
Planning and the Environment of the
Ministry
Landelijk Overleg Milieuhandhaving
Ministry of Housing, Spatial Planning
and the Environment (VROM)
Netherlands Emission Authority

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354
SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT
The
Netherlands
The
Netherlands
United
Kingdom
United
Kingdom
United
Kingdom
United
Kingdom
United
Kingdom
United
Kingdom
United
Kingdom
United
Kingdom
United
Kingdom
United
Kingdom
United
Kingdom
Mr. Gees Jan
Bloemendaal
Mr. Pieter Van Geel
Sir John Harman
Mr. Martin Murray
Mr. Neil Davies
Ms. Clare Twelvetrees
Mr. Terence Shears
Mr. Jim Gray
Ms. Sandy Rowden
Mr. Chris Howes
Mr. Kenneth
Ledgerwood
Ms. Catherine Pearce
Mr. Dave Gorman

State Secretary, Environnment
Chairman
Policy Manager

International Relations Advisor
EU and Int'l Relations Adviser
Head of Regulatory
Development

Enforcement Policy Manager

Coordinator, International
Climate Change Programme
Better Regulation Manager
Province of Overijssel
The Netherlands
Environment Agency (England and
Wales)
Environment Agency (England and
Wales)
Environment Agency (England and
Wales)
Environment Agency (England and
Wales)
Environment Agency (England and
Wales)
Environment Agency (England and
Wales)
Environment Agency (England and
Wales)
Environment Agency (England and
Wales)
Environment and Heritage Service
Friends of the Earth
Scottish Environment Protection
Agency

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                                    PROJECT MANAGEMENT AND CONFERENCE SUPPORT   355
       PROJECT MANAGEMENT AND CONFERENCE SUPPORT

                               Durwood Zaelke
                                     Director
                                INECE Secretariat
                         2141 Wisconsin Ave NW Suite D2
                              Washington DC  20007
                              phone: 202.338.1300
                                fax: 202.338.1810
                            email: dzaelke@inece.org
Jo Gerardu
Inspectorate of Housing, Spatial
Planning and the Environment
VI/AL IPC 500, P.O. Box 16191
2500 BD The Hague, Netherlands
phone:+31-70-3392536
fax:+31-70-3391985
email: jo.gerardu@minvrom.nl

Dave Grossman
Staff Attorney
INECE Secretariat
email: dgrossman@inece.org

Aesah Javier
Administrative Assistant
INECE Secretariat
email: aiavier@inece.org

Davis Jones
US Environmental Protection Agency
Mail Code: 2254A
1200 Pennsylvania Ave NW
Washington  DC  20460
phone: 202.564.6035
fax: 202.564.0073
email: iones.davis@epa.gov

Scott Stone
Staff Attorney
INECE Secretariat
email: sstone@inece.org
CONSULTANTS

Kenneth Markowitz
President
Earthpace LLC
2141 Wisconsin Ave NW Suite D2
Washington DC 20007
phone: 202.338.4400
fax: 202.338.4401
email: kim@earthpace.com

Marcy Markowitz
Chief Executive Officer
Earthpace LLC
email: mim@earthpace.com

Meredith Reeves
Senior Research Associate
Earthpace LLC
email: mreeves@earthpace.com

Mohamed Rida Derder
Special Consultant for  North Africa
INECE Secretariat
email: ridaderder@juno.com

Linda Massopust
INECE Secretariat
email: inece@inece.org

Mike Frizzell
INECE Secretariat
email: inece@inece.org

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356          SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT

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                                                         ACKNOWLEDGEMENTS   357
ACKNOWLEDGEMENTS
       The Seventh International Confer-
ence on  Environmental Compliance and
Enforcement in Marrakech, Morocco, was
a huge success, and it could not have hap-
pened without the dedicated work and con-
tributions of many people and organiza-
tions.
       First, we express a special note of
thanks to the  conference  moderators,
speakers, experts, facilitators, rapporteurs,
and those who prepared  papers. These
colleagues all made a special effort  to
share  their  experiences  and  facilitate
informed exchanges  at the  Conference.
Thanks also  to  those who contributed
materials for the Conference exhibits.
       The Executive Planning Commit-
tee (EPC) of INECE, whose membership is
listed on page i of the Proceedings, provid-
ed leadership and guidance in  the design of
the program, selection of the speakers and
topic experts, and  identification of individu-
als from a range of nations who were in the
best position to share practical experience
in environmental compliance  and enforce-
ment, to improve or develop domestic com-
pliance and enforcement programs, and to
engage in ongoing networking, capacity
building,  and  enforcement  cooperation.
Special thanks must go to our distinguished
colleagues, EPC Co-Chairs Gerard Wolters
and Phyllis Harris,  who chaired our interac-
tive plenary discussions  throughout the
week.
       Mohamed  Rida  Derder, INECE
special counsel to  the North African region,
and  the  Moroccan Ministry  of Territory
Planning, Water,  and the Environment -
under the leadership of Minister Mohamed
El Yazghi and with invaluable efforts from
Fouad Zyadi, Naima Oumoussa, Abdallah
Elyacoubi, and Brahim Ziyani - provided
essential logistical support and guidance
on integrating key regional elements into
the program.
       Funding of the Conference  logis-
tics, planning, and workshop development
was provided by the conference sponsors:
the United States Environmental Protection
Agency; the Netherlands Ministry of Hous-
ing,  Spatial  Planning and  the Environ-
ment's International Environmental Affairs
Department; the Organisation for Econom-
ic Co-operation  and  Development;  the
European  Commission;   Environment
Agency, England and Wales; Environment
Canada; the Ministry of Territory Planning,
Water, and Environment, Morocco; the Min-
istry of Justice, Morocco; United Nations
Environment Programme; the World Bank
Institute;  United  States  Department  of
State; the International Fund for Animal
Welfare; Institute for Governance & Sus-
tainable Development; Ministry of the Envi-
ronment, Finland; Deutsche Gesellschaft
fur Technische Zusammenarbeit (GTZ);
Royal Air Maroc; Centre  de Developpe-
ment   des   Energies   Renouvelables
(CDER); Ciments du Maroc  (CIMAR); and
Ceske Svyacarsko (National Park Bohemi-
an Switzerland of the Czech  Republic) and
Appian Group.
       The Editors wish  to give special
recognition to the United States Environ-
mental Protection Agency for funding the
development and publication of the Confer-
ence Proceedings.
        Funding of many participants was
graciously offered by The Netherlands Min-
istry of Housing, Spatial Planning and the
Environment's Department of International
Environmental Affairs; the United States
Environmental  Protection  Agency;  the
World Bank  Institute; the government of
Finland; the European Commission;  the
International  Fund  for Animal  Walfare;
Environment Agency, England and Wales;
the United States Department of State; and
the North American Commission on Envi-
ronmental Cooperation.
       A special note of thanks is offered
to our distinguished colleagues from Envi-
ronment Canada for their translation assis-
tance throughout the conference, and in
particular their translation of the Marrakech
Statement.

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358         SEVENTH INTERNATIONAL CONFERENCE ON ENVIRONMENTAL COMPLIANCE AND ENFORCEMENT


       A note of thanks must also go to
the American  Embassy and  the Dutch
Embassy in Rabat, in particular Jan Rinze-
ma and Caroline Weijers.
       Finally, we would  like to thank
Dave Grossman,  Meredith Reeves, Marcy
Markowitz,  Scott Stone, Aesah Javier,
Taleen  Khoury, Anne Snyder, Nancy Chen,
Daniel  Hall, Gia Skoumbis, Cari Shiftman,
Nina Bafundo, John  Cossa,  Corianne
lacovelli,  Mike Frizzell, and Linda Masso-
pust for  their invaluable  assistance  in
preparing this volume of the Proceedings.
       With great appreciation,
       THE EDITORS
Cover design and graphics,
Kenneth Markowitz & Earthpace LLC
Layout and design,
The Bluemont Company
Printing, Spectrum Printing
For more information, please visit the
INECE website at http://www.inece.org

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      Sustainable
      Development

    Good Governance

      Rule of Law

Compliance & Enforcement
  http://www.inece.org

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            I      N     E     C     E
International Network for Environmental Compliance and Enforcement
  VROM 5055

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