Re-examined proposal for a COUNCIL REGULATION (EC) ON ENVIRONMENTAL MEASURES IN THE DEVELOPING COUNTRIES IN THE CONTEXT OF SUSTAINABLE DEVELOPMENT
Date: 1997-01-17
Institutions: European Commission
Subjects: action programme, developing countries, environmental policy, financial aid, sustainable development

COMMISSION OF THE EUROPEAN COMMUNITIES 

Brussels,  17.01.1997 
COM(97)3  final 

95/0161  (SYN) 

Re-examined  proposal  for a 

COUNCIL REGULATION (EC) 

ON ENVIRONMENTAL MEASURES IN THE DEVELOPING COUNTRIES IN 
THE CONTEXT OF SUSTAINABLE DEVELOPMENT 

(presented by the Commission  pursuant to Article  189 c (d) 
of the EC Treaty) 

EXPLANATORY  MEMORANDUM 

The  proposed  Regulation  establishes  the  objectives  of  and  procedures  for  operations 
financed  from  budget  heading  B7-6200  (ex  B7-5040)  "Environmental  measures  in  the 
developing countries in the context of sustainable  development". 

The  original  proposal  for  a  Regulation  was  presented  by  the  Commission  on 
27 June  1995 (OJ No C 20/1996). 

The  Council  adopted  a  common  position  on  27 June  of  this  year  (OJ  No  C  264/1996), 
and Parliament announced that it had been received on  19 July. 

On  the  basis  of  a report  by  Mrs  Taubira-Delannon,  Parliament  unanimously  adopted  43 
amendments at its second reading on  12 November  1996. 

Under Article  189c(d) of the EC Treaty, therefore, the Commission  should draw up  a re 
examined proposal  and express its opinion regarding the amendments. 

Those amendments which are to be included  in the re-examined proposal  in their  entirety 
are mainly  concerned  with  clarifying  or widening the scope of the Regulation  concerned 
(nos  13, 15, 17,  18, 21 to 24, 26 and  39). Other amendments underline the importance  of 
environmental  measures  and  sustainable  development (nos  1 and 4). Lastly, a number  of 
amendments  are  intended  to  re-establish  the  Commission's  original  position  on  certain 
general  matters,  e.g.  no  limit  on  the  duration  and  a  reference  amount  for  the  budget 
heading allocation (nos 5, 34, 44). 

The Commission  has included the following  amendments with some drafting  changes: 

No 2 
No 8 

Nos 9, 
10 & 12 
No 11 

No 14 
No  16 

(Over-subscribed  budget heading) 
(Pilot initiatives combining information campaigns with improvements to 
environmental management) 

(Drafting amendments concerning aid for local initiatives) 
(Addition of objectives dealing with land use planning and projects on transport 
and drinking water) 
(To avoid duplication) 
(Information  campaigns on hazardous substances) 

and the following  amendments  in part: 

No 7 
No 19 
No 31 
No 32 
No 35 
No 40 
No 41 

No 42 

(omission of the legal definition of "developing countries") 
(agreed as far as "operational instruments" is concerned) 
(Financing of studies not deleted) 
(Reference to local currency omitted) 
(No change to the ECU 2 million limit requiring consultation of the committee) 
(No change to the rules governing the advisory committee) 
(No deadline for presentation of the annual report and omission of the 
requirement to review all projects proposed) 
(Distribution of the financing guide by delegations instead of publication of the 
selection criteria in the Official  Journal) 

I 

In  the  interests  of  clarity  and  for  the  sake  of  consistency  in  the  Regulation,  the 
Commission  has not  included  amendments  25, 30, 37 and 43 which  are already  covered 
to  a  large  extent  either  by  the  provisions  of  the  common  position  or  by  other 
amendments. 

As regards problems of substance, the Commission is unable to adopt the  following 
amendments: 

No 3 

No 20 
No 28 
No 29 

No 38 

(Increase in funding to ECU 50 million by 2000, as this is not included in the 
perspectives allowed by the budgetary authorities) 
(Deletion of the possibility of financing evaluation and impact studies) 
(Omission of cofinancing) 
(On additional reporting requirements. The "participation of indigenous 
peoples" aspect is already covered by amendment 24) 
(Setting-up of an "environmental monitoring unit"). 

The list of amendments that the Commission has not included is attached in the Annex. 

Re-examined  proposal  for  a 

COUNCIL  REGULATION  CRC) 

ON  ENVIRONMENTAL  MEASURES  IN THE  DEVELOPING  COUNTRIES  IN 

THE  CONTEXT  OF SUSTAINABLE  DEVELOPMENT 

THE COUNCIL  OF THE EUROPEAN UNION, 

Having regard to the Treaty establishing the European Community, and in particular 

Articles  130s and  13 Ow thereof, 

Having regard to the proposal from  the Commission/1 ) 

Having regard to the opinion of the Economic and Social Committee,(2) 

Acting in accordance with the procedure referred to in Article  189c of the Treaty/3 ) 

OJ  No  C 20,  24.1.1996,  p.  4. 
OJ  No  C 82,  19.3.1996,  p.  18. 
Opinion  of  the  European  Parliament  of  9  May  1996  (not  yet  published  in  the  Official 
Journal),  Council  common  position  of  ...  (not  yet  published  in the  Official  Journal)  and 
Decision  of  the  European  Parliament  of  ...  (not  yet  published  in the  Official  Journal). 

ÉriflMMÉH 

2  ^ 

' 

(1)  Whereas  it  is  necessary  to  implement  sustainable  development  by  contributing  to 

the  genuine  integration  of  an  environmental  dimension  into  the  development 

process; 

(2)  Whereas 

the  creation  of  suitable 

instruments  and 

the 

implementation  of 

experimental  schemes  will  be  the  cornerstones  of  that  integration  in  all  the  fields 

concerned; 

(3)  Whereas  the  European  Parliament  adopted  a  resolution  on  14  May  1992  on  the 

environment and development  cooperation; 

(4)  Whereas  the  Community  and  its  Member  States  were  signatories  to  the  Rio 

Declaration and the Agenda 21 action programme; 

(5)  Whereas  the  Community  and  its  Member  States  ratified  the  Conventions  on 

Biological  Diversity  and  on  Climate  Change,  and  have  signed  the  Convention  on 

Desertification;  whereas they  are thus committed  to take  into account  the  common 

but  differing  responsibilities  of  developed  parties  and  developing  parties  on  the 

subject; 

(6)  Whereas  the resolution  of the  Council  and the Representatives  of the  Governments 

of  the  Member  States  of  1 February  1993  is  concerned  with  a  Community  policy 

and action programme on the environment and sustainable  development; 

(7)  Whereas,  since  resources  are  limited,  information  campaigns  and  pilot  projects 

conducted  in close  cooperation  with  local  experts  are  likely  to  have  the  maximum 

multiplier  effect; 

(8)  Whereas  it  is  important  to  integrate  the  internal  and  external  aspects  of  the 

European  Community's  environment  policy  in  order  to  have  a  coherent  answer  to 

the  problems  set  out  by  the  United  Nations  Conference  on  Environment  and 

Development 

(UNCED), 

in  particular  as 

regards 

the  effects  of  global 

environmental  changes on the state of the environment within the  Community; 

(9)  Whereas  it  is  necessary,  in  the  project  management  cycle,  for  any  proposal  for  a 

development  cooperation  project  to  be  evaluated  for  its  environmental  impact  by 

specific, appropriate procedures; 

(10)  Whereas, in particular where climate change and the conservation of biological  and 

genetic diversity  and resources (including the seas, coasts and soils) are  concerned, 

local  effects  have  undeniable  consequences  for  the  whole  earth  and  for  future 

generations  and consequently  for the well-being, health and security  of the  citizens 

of the Community, notably as far as access to genetic resources is concerned; 

(11)  Whereas the financial  instruments available to the Community for conservation and 

sustainable development should be usefully  supplemented by an instrument  dealing 

with environmental projects exclusively in the developing countries: 

(12)  Whereas  the  budget  heading  to  finance  projects  under  this  Regulation  is  always 

heavily  over-subscribed  with  requests  for  worthwhile  and  much  needed  actions  in 

developing  countries: 

(13)  Whereas,  in  view  of  the  scale  of  environmental  problems,  the  coordination  of  all 

EU financial  instruments is necessary with a view to achieving sustainability: 

(14)  Whereas  measures  need  to  be  taken  to  finance  the  activities  covered  by  this 

Regulation; 

(15)  Whereas detailed rules for  implementation, and in particular the form  of action, the 

recipients of the aid and the decision-making procedures should be laid down, 

HAS ADOPTED THIS  REGULATION: 

Article} 

1. The Community shall provide financial  assistance and technical expertise in 

developing countries for activities intended to help people in those countries to integrate 

environmental protection and notions of sustainable development into their evervdav  life. 

2. The assistance provided pursuant to this Regulation shall complement and  reinforce 

assistance provided pursuant to other instruments of development cooperation with a 

view to taking fully  into account environmental considerations in Community 

programmes. 

3. For the purposes of this Regulation "sustainable development" means improving the 
quality of human lives within the limits of the underlying ecosystem's capacity to sustain 

such  development. 

Article 2 

1. The activities to be carried out pursuant to this Regulation shall centre on: 

assisting  developing  countries  in designing  and  implementing  national  strategies  for 
sustainable  and  equitable  development,  including  global  environmental  issues  and 
strategies arising from  international conventions, 

improving  policies  and  practices  for  management  and  conservation  of  ecosystems, 
sustainable  use of renewable natural resources and for  environmentally  sensitive  use 
of non-renewable natural resources, 

preserving biological  diversity: 

• 

• 

• 

by the promotion  and the development of methods designed to ensure  sustainable 
and equitable use of biodiversity resources, 

through the conservation of the ecosystems and habitats necessary  for  maintaining 
species diversity and for the survival of endangered species, 

by identifying  and assessing biodiversity resources, 

preserving areas of high environmental impact and/or transregional ecosystems  such 

as marine ecosystems and coastal areas, watersheds, river/lake basins, underground 

water by preventing pollution and reducing sources of pollution and  supporting 

initiatives for the sustainable  management; 

- 

improving practices for soil conservation, grazing management and pastoral  farming 

in the areas of forest protection, improvement of livestock farming  methods, 

optimization of rearing techniques for wild animals, arable farming, tourism and the 

fight against  desertification; 

- 

improving the environment and land use planning through town planning and the 

implementation of technologically  appropriate plans and pilot projects for  transport. 

waste, waste water, drinking water supplies and air pollution; 

-  applying and transferring  technologies adapted to local environmental constraints and 

needs, particularly in the field of energy, especially renewable sources of energy. 

having regard to long-term environmental effects  and suitability for the traditional  life 

of the region  concerned: 

-  measures aimed at avoiding emissions harmful  to the climate, notably replacing 

particularly harmful  energy sources with other less harmful  ones; 

- 

facilitating  the adaptation of production processes in developing countries and making 

all economic operators and social players aware of the environmental  constraints that 

may have an impact on trade with developing countries (e.g. standards, labels, 

certification); 

-  making local people aware, notably by promoting information  campaigns, of the 

concept of sustainable development, in particular as regards problems associated  with 

population  growth, public health policies, non-viable production methods, use of 

hazardous chemical products and the dispersal of toxic waste in the  environment: 

-  promoting initiatives for the protection of ecosystems and habitats and preserving 

biological  diversity. 

2. Projects  eligible for financing  include: 

-  pilot  schemes  in  the  field,  including  information  exchange,  likely  to  contribute  to 

sustainable  development,  creation  of  environmental  awareness,  environmental 

education and sustainable management of natural resources, 

-  establishment  of  guidelines  and  operational 

instruments  aimed  at  promoting 

sustainable  development  and  environmental  integration,  particularly  in  the  form  of 

plans and integrated management programmes and economic instruments, 

-  environmental  impact  studies  on  sustainable  development  projects,  programmes, 

strategies  and policies, and  assessment  of their repercussions  for  social  and  economic 

development, 

- 

the establishment of national  green accounting systems. 

- 

inventory and statistical work, in order to improve environmental data and indicators, 

* 

- 

the introduction  of an environmental component in development cooperation  projects 

in order to distinguish, identify  and assess the sustainable dimension of such projects. 

3. Particular attention will be given to: 

-  projects resulting from  local initiatives and those geared to sustainable  management 

by means of innovative and low-cost measures: 

-  schemes to build up the institutional and operational capacities of developing 

countries at national, regional and local level, with the support also of non 

governmental  organizations (NGOs); 

- 

the provision of information  in advance to local people, followed  by their  involvement 

in and support for identifying,  planning and implementing projects; the special role 

and situation of women, in particular, will be taken into account; 

- 

regional projects  or projects which help to strengthen regional cooperation in the area 

of sustainable  development. 

Article 3 

Aid recipients and cooperation partners shall include not only states and regions but also 

decentralized departments, regional bodies, public agencies, traditional and local 

communities, private operators and industries, including cooperatives and NGOs and 

associations representing  local people. 

Article 4 

1. The instruments to be employed in the course of the activities referred  to in Article 2 

shall include studies, technical assistance, education, training and further  training or other 

services, supplies and works, as well as audits and evaluation and monitoring missions. 

2. Community  financing  may cover both investment, with the exception of the purchase 

of real estate, and, since the project must, if possible, aim at medium-term  viability, 

recurring expenditure (including administrative, maintenance and operating expenditure). 

However, with the exception of training, education and research programmes, operating 

costs may normally be covered only during the start-up phase and on a gradually 

decreasing basis. 

For projects  aiming at the preservation of biological diversity or the conservation of 

ecosystems, a contribution to expenditure on real estate shall be allowed. 

3.  A  contribution  from  the  partners  defined  in  Article  3  shall  be  sought  for  each 

cooperation operation. Their contribution  shall be requested according to their means and 

the nature of the operation  concerned. 

4.  Opportunities  may  be  sought  for  cofinancing  with  other  donors,  especially  with 

Member  States  and  the  international  organizations  concerned,  such  as  the  Global 

Environmental  Facility. 

5.  The  necessary  measures  shall  be taken to emphasize  the  Community  character  of  the 

aid provided pursuant to this Regulation. 

6. In  order to  attain  the  objectives  of consistency  and  complementarity  laid  down  in  the 

Treaty  and  with  the  aim  of  guaranteeing  optimum  efficiency  for  the  totality  of  these 

operations, the  Commission  may  take  all  coordination  measures  necessary,  including  in 

particular: 

(a)  the  establishment  of  a  system  for  the  systematic  exchange  and  analysis  of 

information  on  operations  financed  or  being  considered  for  financing  by  the 

Community and the Member States; 

(b)  on-the-spot  coordination  of  these  operations  by  means  of  regular  meetings  and 

exchanges  of  information  between  the  representatives  of  the  Commission  and 

Member  States,  the  beneficiary  countries  and  local  partners  (NGOs.  grassroots 

community  groups, associations). 

7.  In  order  to  obtain  the  greatest  possible  impact  globally  and  nationally,  the 

Commission,  in  liaison  with  the  Member  States,  shall  take  any  initiative  necessary  for 

ensuring  proper  coordination  and  close  collaboration  with  the  beneficiary  countries  and 

the  providers  of  funds  and  other  international  agencies  involved,  in  particular  those 

forming  part of the United Nations system. 

Article 5 

Financial  support pursuant to this Regulation shall take the form of grants. 

Article 6 

Deleted 

Article 7 

1.  Pursuant  to  Article  205  of  the  Treaty,  the  Commission  shall  be  responsible  for 

appraising,  deciding  and administering  operations  covered  by  this  Regulation  according 

to the  budgetary  and  other  procedures  in  force,  and  in  particular  those  laid  down  in  the 

Financial Regulation applicable to the general budget of the European  Communities. 

2.  Decisions  relating  to  grants  of  more  than  ECU  2  million  for  individual  operations 

financed  pursuant  to  this  Regulation  shall  be  adopted  under  the  procedure  laid  down  in 

Article 8. 

3.  The  Commission  shall  be  authorized  to  approve,  without  seeking  the  opinion  of  the 

Committee  referred  to  in  Article  8,  any  extra  commitments  needed  for  covering  any 

expected  or  real  cost  overruns  in  connection  with  the  operations,  provided  that  the 

overrun or additional  requirement  is less than or equal to 20% of the  initial  commitment 

fixed by the financing  decision. 

4.  All  financing  agreements  or  contracts  concluded  pursuant  to  this  Regulation  shall 

provide  for  the  Commission  and  the  Court  of  Auditors  to  conduct  on-the-spot  checks 

according to the usual procedures  laid down by the Commission  under the rules  in  force, 

in  particular  those  of  the  Financial  Regulation  applicable  to  the  general  budget  of  the 

European  Communities. 

5. Where operations are the subject  of financing  agreements between the Community  and 

the recipient  country, such agreements  shall  stipulate that the payment  of taxes, duties  or 

any other charges is not to be covered by the Community. 

6. Participation  in invitations to tender  and the award of contracts  shall  be open on equal 

terms  to  all  natural  and  legal  persons  of  the  Member  States,  the  recipient  countries  or 

other developing  countries. 

qmmmmmmmÊmmmçmmm 

7.  Supplies  shall  originate  in  the  Member  States,  the  recipient  country  or  other 

developing  countries.  In  exceptional  cases,  where  circumstances  warrant,  supplies  may 

originate elsewhere. 

8. Particular attention will be given to: 

- 

the pursuit of cost-effectiveness  and sustainable impact in project  design. 

- 

the clear definition  and monitoring  of objectives  and indicators of achievement  for  all 

projects, 

- 

reducing  inverse  capital  flows,  especially  in  the  services  sector,  bv  improving  the 

institutional  and operational  capacities of the developing countries-

Article 8 

1. The  Commission  shall  be assisted by the geographically-determined  Committee  of an 

advisory nature competent for  development. 

2.  The  representative  of  the  Commission  shall  submit  to  the  Committee  a  draft  of  the 

measures to be taken. The Committee  shall deliver  its opinion on the draft  within  a time 

limit  which  the  chairman  may  lay  down  according  to  the  urgency  of  the  matter^if 

necessary by taking a vote. 

The  opinion  shall  be recorded  in the minutes: in  addition  each  Member  State  shall  have 

the right to ask to have its position recorded in the minutes. 

The  Commission  shall  take  the  utmost  account  of  the  opinion  delivered  by  the 

Committee.  It  shall  inform  the  Committee  of the  manner  in  which  its  opinion  has  been 

taken into account. 

11 

Article 9 

An  exchange  of views  shall  take place  once a year on the basis of  a presentation  by  the 

representative  of  the  Commission  of  the  general  guidelines  for  the  operations  to  be 

carried  out  in  the  year  ahead,  in  the  framework  of  a joint  meeting  of  the  Committee 

referred  to in Article 8(1). 

Article 10 

1. After  each budget year, the Commission shall submit an annual report to the  European 

Parliament  and the  Council  giving a list of the partners in cofmanced  operations  and  the 

percentage of the cofinancing.  a summary of the operations financed  in the course of that 

year  and  an  evaluation, complete  with  figures,  of the  implementation  of  this  Regulation 

over that period. 

The  summary  shall 

in  particular  provide  information  about  the  qualitative  and 

quantitative  aspects  of  the  projects  funded,  the  results  obtained  from  the  projects  and 

those  with  whom  contracts  have  been  concluded.  The  report  shall  also  include  a 

quantified  summary of any independent evaluations conducted of specific  operations. 

2. The  Commission  shall regularly  assess operations  financed  by the  Community  with  a 

view  to  establishing  whether  the  objectives  aimed  at  by  those  operations  have  been 

achieved and to providing guidelines for improving the effectiveness  of future  operations. 

The Commission  shall submit to the Committee referred  to in Article 8 a summary  of the 

assessments  made  which,  if  appropriate,  may  be  examined  by  the  Committee.  The 

assessment reports shall be available to any Member States requesting them. 

3.  The  Commission  shall  inform  the  Member  States,  at  the  latest  one  month  after  its 

decision,  of  the  operations  and  projects  that  have  been  approved,  stating  their  cost  and 

nature, the recipient country and partners. 

12 

4.  The  financing  guide  indicating  guidelines  and  criteria  for  project  selection  shall  be 

published  and  distributed  among  interested  parties  bv  the  Commission's  offices, 

including its delegations in the recipient countries. 

AttifikOl 

This Regulation shall enter into force on the third day following that of its publication in 

the Official  Journal of the European Communities. 

This  Regulation  shall  be binding  in  its  entirety  and  directly  applicable  in  all  Member 

States. 

Done at Luxembourg,. 

For the Council 
The President 

timtam 

I3 

AMENDMENTS  NOT  INCLUDED  BY THE  COMMISSION 

No  Council common  position 

Recital  lib  (new) 

Parliament's  amendment 

(lib)  Whereas the funds to be attributed 
to this budget heading are to be  increased 
to ECU 50 million bv the year 2000: 

20  Article  2(2), third  indent 

- environmental  impact studies on 
sustainable development  projects. 
programmes, strategies and policies, and 
assessment of their repercussions on 
social and economic  development: 
25  Article  2(3), second  indent a (new). 

Deleted 

-  measures  relating  to  climate  protection 
of 
Objectives, 
Slich 
renewable  energy 
increased 
energy efficiency  and energy  saving; 

â§ 
sources, 

promotion 

28  Article  2(3a)  (new) 

29  Article  2(3b)  (new) 

3a. No support shall be given to  projects 
containing measures to cushion the  effect 
on the environment of EU or Member 
State projects funded  from  other 
programmes (including  environmental 
impact assessments and evaluations^: 

3b. Pilot schemes in the field carried  out 
under this Regulation  shall be the  subject 
of prior reports on their environmental, 
social, economic and cultural  impact, 
indicating the specific  aims and the 
qualitative and quantitative objectives. If 
necessaryr the local people shall be 
involved  in the assessment of those 
schemes. 

Where these schemes have an  impact on 
the traditional territories and ways of 
living of indigenous peoples  their 
informed  consent shall be essential. 

30 

also 

Article  3 
Aid  recipients  and  cooperation  partners 
shall  include  not  only  states  and  regions 
departments, 
but 
regional 
agencies, 
traditional  and  local  communities,  private 
including 
operators 
cooperatives  and  NGOs  and  associations 
representing  local people. 

decentralized 
bodies, 

industries, 

public 

and 

public 

bodies, 

Aid  recipients  and  cooperation  partners 
shall  include  decentralized  departments, 
regional 
agencies, 
traditional  and  local  communities,  private 
operators  and  industries,  cooperatives  and 
non-  governmental  organizations  and 
associations 
local  people, 
representing 
regions  and  states.  These  will  be  notified 
to the budgetary authority. 

4q 

37 

\ Article  7(7) 

7.  Supplies  shall  originate  in the  Member 
States,  the  recipient  country  oi  other 
exceptional 
developing 
cases,  where 
circumstances  warrant, 
Supplies mav originate elsewhere. 

countries. 

Irj 

in 

7.  Supplies  should  originate 
the 
member  states,  the  recipient  country  or 
other  developing  countries  in  particular 
othef  countries  in the region,  Exceptions 
may  be  made  by  arrangement  with  the 
responsible  department,  particularly 
in 
the  participants  would 
cases  where 
otherwise 
a 
disproportionate burden. 

incur  higher 

costs  or 

38  Article  7(7a) (new) 

43  Article  10b (new) 

7a The horizontal nature of the  projects 
under this Regulation requires the 
establishment of an environmental 
monitoring unit which will be responsible 
for the coordination, linking and 
integration of the various aspects of 
development cooperation projects  in order 
to maximize  investigation  and  follow-up. 

Article  10b 

the 

This Regulation shall be implemented  on a 
coherent  basis,  taking  into  account  the 
general  principles  outlined  in  Regulation 
(EEC)  443/92  on  financial  and  technical 
assistance  to.  and  economic  cooperation 
with, the developing  countries  in Asia and 
Latin  Américain 
ACP-EEC 
Convention  and  the  current  agreements 
southern  Mediterranean 
with 
countries,  while  also 
the 
criteria  common  to  all  stages  of  projects 
from  identification  to  assessment:  these 
criteria 
towards  an 
exchange  of  information,  harmonization 
of  working  methods 
and  mutual 
cooperation  at all stages of the  project. 

shall  be  geared 

respecting 

the 

OJ No L 52. 27.02.93. p. 

4Ç 

FINANCIAL  STATEMENT 

Item: B7-6200 Environment in the developing countries 

1.  Title of operation: 

Environment in the developing countries 

2.  Budget heading involved: 

B7-6200 

3.  Legal basis 

-  Treaty  on  European  Union,  Articles  13Or and  s  (Environment)  and  13 Ou and  w 

(Development). 

-  Proposal  (June  1995)  for  a  Council  Regulation  on  environmental  measures  in 

developing countries. 

4.  Description  of operation 

4.1  General  objective 

The appropriations in this budget heading are intended to finance schemes aimed 
at  integrating  an environmental  dimension  into the  development  process  with  a 
view  to  promoting  sustainable  economic  and  social  development  in  developing 
countries, this to be accomplished  through the initiation of new policies and  the 
consequent  generation of action programmes. 

The instruments employed and projects undertaken will focus on: 

-  Design and implementation of national sustainable development  strategies 
-  Management of ecosystems/Sustainable  use of renewable natural  resources 
-  Preserving biological  diversity 
-  Preserving areas of high environmental  impact and/or transregional 

- 

ecosystems 
Improving practices for  soil conservation and the management of sustainable 
development-related  areas 

-  Improving the urban  environment 
-  Technology  transfers 
-  Climate change 
-  Trade and the environment 
-  Raising awareness of the concept of sustainable  development 

% 

Ah 

4.2  Period covered and arrangements for renewal or extension 

The  policy  concerned  is  of  an  indefinite  nature.  Individual  operations  will  be 
renewable annually until this Regulation is adopted. 

5.  Classification  of expenditure 

Non-compulsory  expenditure / Differentiated  appropriations 

6.  Type of expenditure 

Subsidy covering up to  100% of costs. However: 

-  a  systematic  effort  will  be made  to  obtain  a contribution,  particularly  a  financial 

one, from the project  beneficiaries. 

-  cofinancing  arrangements  with  Member  States  and  multilateral  organizations 

(regional or other) will be investigated. 

7.  Financial  impact 

7.1  Method of calculating total cost of operation 

The average amount of the EC contribution to each measure included in this 
operation will be in excess of ECU 500 000 based on the following  costs: 

- Services provided (unit price) 

- Supply of equipment (cost price) 

- Operating expenditure (total price) 

7.2  Itemised breakdown of cost 

An equal distribution between eligible geographic regions is envisaged.  This 
may vary according to demand and/or priorities. 

Breakdown 

I 

Instruments 
Projects 

1996 
4 
U 

1 

1997 
4 
U 

** 

M 

7.3  Breakdown by subject area in 1997 

SUBJECT AREA 

Design and implementation of national sustainable 
development strategies 
Management of ecosystems/Sustainable use of renewable 
natural resources 
Preserving biological diversity 
Preserving areas of high environmental impact and/oi 
transregional ecosystems 
Improving practices for soil conservation and the 
management of sustainable development-related areas 
Improving the urban environment 
Technology transfers 
Climate change 
Trade and the environment 
Raising awareness of the concept of sustainable development 

1  % 
5 

15 

15 
15 

15 

15 
5 
5 
5 
5 

7.4  Indicative schedule of commitment appropriations 

B7-6200 

I 
I 

1996 
15 

(million ECU) 
I 
1 

DPB1997 
15 

8.  Fraud prevention  measures 

Technical checks by Commission officials, assisted by independent experts. 

The Commission, prior to payment, verifies the subsidies and the receipt of services 
and preparatory  studies, feasibility  studies and evaluation  reports  requested,  taking 
into  account  contractual  obligations  and  applying  recognized  principles  of 
economics and sound financial/general management. 

Fraud  prevention  measures  (audits,  submission  of reports, etc.)  are  included  in  all 
agreements or contracts concluded between the Commission and payment recipients. 

«» 

>* 

9.  Elements of cost-effectiveness  analysis 

9.1  Specific  and quantified  objectives; target population 

(a)  Support  for  governmental  organizations  and  Community  institutions  in  the 
decision-making  process  regarding  integration  of  the  environment  into 
development  cooperation  policies  and  programmes.  This  support  will 
involve  the  preparation  of  environmental  impact  studies,  strategic  policy 
positions  and  guidelines  and  the  evaluation  of policies  and  programmes  as 
regards  their  suitability  in  the  light  of  the  sustainable  development 
objectives. 

(b)  Promotion  of  efficient  and  prudent  management  of  natural  resources  as  a 
means  towards  improving  the  social  and  economic  living  conditions  of  the 
local  community  in  developing  countries,  In  practice  this  involves  support 
for projects  implemented  either directly by local people (local  communities, 
indigenous  groups,  NGOs,  etc.)  or  in  the  form  of  technical  assistance.  A 
financing  guide  was prepared  in  1995 and  distributed  to potential  partners; 
it explains the objectives sought and the procedures and criteria used. 

Since  1994,  an  inter-departmental  technical  committee  has  assisted  in  the 
pre-selection of projects. 

(c)  Types  of  action  financed  which  contribute  to  the  general  objectives  of  the 

budget heading: 

The  design  and  implementation  of  national  sustainable  development 
strategies 

Activities: 

-  Environmental  training 
-  Technical assistance to developing countries' civil services 

Sustainable  management  of  ecosystems  and/or  sustainable  use  of  natural 
resources 

Activities: 

Information  campaign and training 

- 
-  Development  of  pilot  activities  for  the  sustainable  management  of 

natural  resources 

mKBmmÊSÊsmmÊÊÈtmmsm» 

<* 

A*± 

Preserving  biological diversity 

Activities: 

-  Protection and/or sustainable use of fauna and  flora 
-  Creation  of  decision-making  tools,  such  as  databases,  action  plans, 

research studies and seminars. 

Preserving  areas  of  high  environmental  impact  and/or 
ecosystems 

transregional 

Activity: 

-  Design and implementation of watershed management  plans 

Improving practices for  soil conservation and management  in various  areas 

Activities : 

-  Measures to prevent  desertification 
- 

Improving  practices  for  soil  conservation  and  management  including 
development of innovative and sustainable agricultural activities. 

Improving  the urban environment 

Activities : 

-  Drawing  up  plans  for  the management  of  household,  hospital  and  toxic 

waste and waste water 

Technology transfers 

Activity: 

-  Demonstration projects to promote clean technologies 

Climate change 

Activity: 

-  Demonstration projects to encourage the use of solar energy 

Trade and the environment 

Activity: 

- 

Information  campaign  on  Community  legislation  in  the  field  of  the 
environment 

-  Promotion of eco-labels 

J&Q 

Raising  awareness  of the concept of sustainable  development 

Activity : 

- 

Information  campaigns, training workshops 

9.2  Grounds for the operation 

(a)  Need for Community financial aid 

Budget  heading  B7-6200  (ex  B7-5040)  was  created  in  1982  at  the 
instigation  of  Parliament  which,  along  with  the  Council,  had  stated 
into 
frequently 
development  operations. 

in  resolutions  the  need  to  integrate  the  environment 

This  principle  was  incorporated  in the  declarations  and  conventions  drawn 
up  at the  June  1992 Rio  Conference  (Agenda  21, Biodiversity  Convention, 
Climate Change Convention) and adopted by the Community. 

The  measures  covered  by  heading  B7-6200  are  designed  to  facilitate  the 
integration  process  through  the  creation  of  suitable  instruments  and  the 
undertaking  of  pilot  projects  with  a  multiplier  effect,  compatible  with 
larger-scale operations undertaken with ALA, MED or EDF  financing. 

The  budget  heading  aims  at  strengthening  coherence  and  complementarity 
between  operations  financed  by  the  Community  and  those  financed  by  the 
Member States in the environment field. 

The  results  of  pilot  schemes  facilitate  large-scale  operations  in  the  areas 
concerned in the long term. 

(b)  Choice of ways  and  means: 

by contract, by direct agreement (NGO) or 
by contract, following  invitation to tender (services, equipment) 

9.3  Monitoring  and  evaluation  of the  operation 

The  logical  framework  exercise  has  been  integrated  into  the  preparation, 
monitoring and evaluation of projects. 

Monitoring  and evaluation  indicators are selected  and  applied  in the case of 
each operation. Certain projects are subject to specific  evaluation; 

Several progress reports are required throughout the course of the project.  In 
many cases the Commission delegations carry out monitoring on the spot; 

x<\ 

is  under  way 

An  overall  evaluation  of  operations  financed  sine?  1990  from  this  budget 
the  Evaluation  Unit 
heading 
(DG VIII/A/2)  using  the  logical  framework  approach.  The  results  of  this 
evaluation  will  provide  a  means  for  confirming  the  indicators  used  in  the 
evaluation and monitoring of projects. 

in  collaboration  with 

9.4  Coherence with financial programming 

9.4.1  Is  the  operation  incorporated  in  the D Cs  financial  programming  for 

the relevant years? 

Yes 

9.4.2  To  which  broader  objective  defined 
the  objective  of 

programming  does 
correspond? 

the  D Cs 

financial 
in 
the  proposed  operation 

The  objective  of  the  operation  falls  within  the  development  cooperation 
policy set out in the Treaty on European Union (Article  130u). 

10.  Administrative  expenditure 

The  actual  mobilization  of the administrative  resources  required  will depend  on  the 
annual  Commission  decision on the allocation  of resources,  taking  into account  any 
additional  amounts  or  staff  allowed by the budgetary  authority. 

10.1.  Impact on the number of posts 

The  officials  required  can  be  assigned  from  existing  resources  within 
Directorates-General  IB and VIII. 

Type of post 

Staff  to  be  assigned  to  the 
project 
Permanent 
posts 

Temporary 
posts 

Officials  or 
temporary 
officials 
Other  staff 
Total 

A 
B 
C 

2 
1/2 
1/2 

3 

I 
1 

2 

of which 

Duration/ 
year 

By using 
existing staff  in 
the DG or 
service 
concerned 

By recourse 
to additional 
staff 

3 
1  1/2 
1/2 

5 

-

-

indefinite 

XL 

10.2. Overall financial impact of the additional staff 

Expenditure  on  the  staff  required  for  this  operation  will  be  covered  by 
mobilizing  existing  resources: 3 officials  + 2 temporary  officials  (grades  Al, 
A2, A4, A5): ECU 500 000 per year. 

10.3. Increase in other operational expenditure resulting from the operation 

The  resources  required  for  this  operation  will  be  obtained  by  recourse  to 
existing  resources.  The total  amount  will  be  ECU  42 400  per  year.  (Article 
* A/130:  Mission:  ECU  12 000  per  year  per  A official  /  temporary  A  official 
= ECU  36 000.  Article A/250: Meetings: 2 meetings  of 4 experts per year -
cost per expert per meeting ECU 800  = ECU 6 400). 

^ 2» 

ISSN 0254-1475 

COM(97)  3 final 

DOCUMENTS 

EN 

ll  14  01 

Catalogue  number  :  CB-CO-97-003-EN-C 

ISBN  92-78-14215-8 

Office  for  Official  Publications of the European  Communities 

L-2985  Luxembourg 

&<