Communication from the Commission to the Council and the European Parliament - External Action - Thematic programme for environment and sustainable management of natural resources including energy
Date: 2006-01-25
Institutions: European Commission
Subjects: EU programme, EU relations, cooperation policy, energy resources, environmental policy, management of resources, natural resources, sustainable development

COMMISSION OF THE EUROPEAN COMMUNITIES 

Brussels, 25.1.2006 
COM(2006) 20 final 

COMMUNICATION FROM THE COMMISSION TO THE COUNCIL AND THE 
EUROPEAN PARLIAMENT 

External Action: Thematic Programme For Environment and Sustainable Management 
of Natural Resources including Energy 

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TABLE OF CONTENTS 

1. 

2. 

2.1. 

2.2. 

Introduction .................................................................................................................. 3 

Context ......................................................................................................................... 4 

Supporting the Environment and the Sustainable Management of Natural Resources, 
including Energy, outside the EU’s borders. ............................................................... 4 

EU and EC policy for the environment and sustainable management of natural 
resources, including energy.......................................................................................... 5 

2.3. 

Past experience and lessons learned............................................................................. 6 

2.3.1.  Overview of current instruments.................................................................................. 6 

2.3.2.  Lessons from the wider international context: the need for leadership, greater 

coherence, coordinated EU action and the implementation of commitments.............. 7 

2.4. 

Rationale for a thematic approach................................................................................ 8 

3. 

3.1. 

3.2. 

3.3. 

4. 

Thematic programme ................................................................................................... 9 

Scope of the programme .............................................................................................. 9 

Programming principles ............................................................................................. 10 

Objectives................................................................................................................... 11 

Priorities ..................................................................................................................... 11 

4.1.  Working upstream on MDG7: promoting environmental sustainability ................... 11 

4.2. 

4.3. 

4.4. 

4.5. 

Promoting implementation of EU initiatives and internationally agreed commitments
.................................................................................................................................... 12 

Better integration by the EU ...................................................................................... 14 

Strengthening environmental governance and EU leadership ................................... 14 

Support for sustainable energy options in partner countries and regions .................. 15 

Annexes 

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COMMUNICATION FROM THE COMMISSION TO THE COUNCIL AND THE 
EUROPEAN PARLIAMENT 

External Action: Thematic Programme For Environment and Sustainable 
Management of Natural Resources including Energy 

1. 

INTRODUCTION 

In  an  effort  to  rationalise  and  simplify  the  current  legislative  framework  governing 
external actions of the Community, the European Commission has proposed a set of six 
new instruments under the Financial Perspectives 2007 to 2013. Three of the instruments 
(for humanitarian aid, for stability and for macro-financial assistance) are of a horizontal 
nature and will respond to particular needs and circumstances. The other three (for pre-
accession assistance, for supporting the European neighbourhood and partnership policy 
and for development cooperation and economic cooperation) are designed to implement 
specific policies and have a defined geographical coverage. In future, these instruments 
will provide the basic legislative acts for Community expenditure in support of external 
cooperation programmes, including appropriate thematic  programmes,  and  will  replace, 
inter alia, the existing thematic regulations. 

According to these proposals, thematic programmes provide distinctive value added and 
comprise activities  complementing geographical programmes,  which  continue to  be the 
privileged framework for Community cooperation with third countries.1  

The  Commission  has  committed  itself  to  entering  into  discussions  with  the  European 
Parliament  and  the  Council  on  the  scope,  objectives  and  priorities  of  each  thematic 
programme, on the basis of formal communications to both Institutions. The result of this 
process will provide policy guidelines for the subsequent stages of programming, notably 
the external thematic strategy papers to be drawn up in accordance with the provisions of 
the above instruments. 

A  thematic  programme  for  the  environment  and  sustainable  management  of  natural 
resources,  including  energy,  is  proposed  to  address  the  environmental  dimension  of 
development and other external policies as well as to help promote the European Union’s 
environmental and energy policies abroad.  

Following a consultation process, a number of suggestions from civil society have been 
incorporated in the thematic programme. 

1 

See  Communication  from  the  Commission  to  the  Council  and  the  European  Parliament  on 
“External Actions through Thematic Programmes under the Future Financial Perspectives 2007–
2013” - COM(2005) 324, 3.8.2005. 

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2. 

CONTEXT 

2.1. 

Supporting  the  Environment  and  the  Sustainable  Management  of  Natural 
Resources, including Energy, outside the EU’s borders 

In the last 50 years the world’s population has almost trebled and humans have changed 
eco-systems extensively to meet the growing demand for food, fresh water, timber, fibre 
and  fuel.  There  have  been  substantial  net  gains  in  human  well-being  and  economic 
development but, as a result of human pressures, two thirds of the planet’s key ecosystem 
services are being  degraded or used  unsustainably and present an obstacle to achieving 
the MDGs, as demonstrated by the recent Millennium Ecosystems Assessment2.  

Further population growth of 2 billion is predicted by 2030 and combined with the long-
term economic growth rate needed to pull everyone out of extreme poverty, could result 
in  the  world  economy  growing  fourfold  by  20503.  It  is  essential  to  ensure  that  natural 
resources are used sustainably so that production and consumption patterns do not exceed 
the earth’s capacity to supply resources or absorb the wastes and emissions generated by 
such  growth.  This  will  be  a  fundamental  challenge  for  the  world  community,  and 
especially for the emerging economies and developing countries including in the context 
of  energy  where  international  cooperation  is  critical  given  current  pressure  on  existing 
resources and threats to global energy supply security.  

Environmental problems do not respect political frontiers and globalisation is increasing 
the  need  to  treat  environmental  issues  in  an  international  context.  Sustainable 
development in Europe requires a concern for and active engagement in the sustainable 
development of the rest of the planet. The EU also supports environmental protection and 
the  sustainable  management  of  natural  resources  as  part  of  its  efforts  to  strengthen  the 
social dimension of globalisation. 

The  EU  has  taken  the  lead  in  reaching  international  agreement  on  environmental 
commitments, and has been very conscious of the need to help developing countries fulfil 
the  Johannesburg  Plan  of 
their  resulting  obligations.  Many  are  embodied 
Implementation from the World Summit on Sustainable Development (see Annex 1).  

in 

Indeed,  the  environment  matters  particularly  to  people  living  in  poverty.  The  poor 
depend  directly  on  a  wide  range  of  natural  resources  and  ecosystem  services  for  their 
livelihoods,  and  hence  on  the  sustainable  management  of  resources  such  as  water, 
energy, soils, forests, wetlands, wildlife and fish stocks, and are particularly vulnerable to 
environmental  hazards.  Air  and  water  pollution  affect  the  lives  of  urban  populations  in 
particular.  Livelihoods  can  be  enhanced  by  ensuring  continued  and  equitable  access  to 
natural  resources,  including  sustainable  energy,  and  by  preventing  environmental 
degradation; health can be improved by enhancing air and water quality, safely managing 
waste water, chemicals and wastes, and combating pollution; while vulnerability can be 
reduced  by  mitigating  environmental  hazards,  adapting  to  climate  change,  securing 
sustainable energy supply, conserving the biodiversity on which the poor depend in times 
of stress and addressing resource-based conflicts. The adverse effects of climate change 
will increase the vulnerability of the poor and will therefore need to be fully integrated 

2 
3 

http://www.millenniumassessment.org/en/index.aspx 
World Development Report 2003: Sustainable Development in a Dynamic World (World Bank). 

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into  all  aspects  of  development  planning.  The  key  challenges  most  relevant  to  the 
thematic programme are summarised in Annex 2. 

2.2. 

EU  and  EC  policy  for  the  environment  and  sustainable  management  of 
natural resources, including energy 

The  EU  Sustainable  Development  Strategy,  which  is  currently  under  review,  aims  to 
bring  about  a  high  level  of  economic  prosperity,  social  equity  and  cohesion,  and 
environmental  protection,  and  sets  out  key  international  objectives,  namely:  poverty 
eradication, combating social exclusion, promoting health, making globalisation work for 
sustainable development, achieving sustainable patterns of production and consumption, 
sustainably  managing  natural  and  environmental 
resources,  and  strengthening 
governance for sustainable development.  

The  recent  European  Consensus  on  Development4  (also  referred  to  as  Development 
Policy Statement or DPS) commits the EU to providing more and better aid. It sets the 
eradication of poverty in the context of sustainable development, including pursuit of the 
Millennium  Development  Goals,  as  the  primary  and  overarching  objective  of  EU 
development  cooperation.  Environmental  sustainability 
is  MDG  7,  and  both 
environmental  care  and  sustainable  energy  are  crucial  to  many  of  the  other  MDGs. 
Support  for  the  environment  and  the  sustainable  management  of  natural  resources,  as 
well  as  water  and  energy,  are  two  of  the  nine  key  areas  for  Community  development 
cooperation.  It  is  recognised  that  developing  countries  need  a  long-term  integrated 
approach to energy supply and demand, in which renewable energy and energy efficiency 
play  a  key  role.  The  Consensus  stressed  the  need  for  stronger  environmental 
mainstreaming  across  EC  development  efforts  and  for  helping  developing  countries 
integrate  environment  into  their  development  strategies.  The  role  of  Community  aid  in 
promoting  coherence  between development policy and other EU  policies, including the 
environment, is highlighted. 

The  Consensus  stresses  the  EU’s  determination  to  assist  developing  countries  in 
achieving  the  objectives  agreed  at  the  UN  conferences,  including  the  Johannesburg 
World Summit on Sustainable Development and implementing Multilateral Environment 
Agreements (MEAs). It draws particular attention to the challenge of climate change in 
the  context  of  development  cooperation.  It  notes  the  added  value  of  Community 
contributions to global initiatives linked to the MDGs and global public goods and agrees 
to  consider  these  on  a  case  by  case  basis.  The  important  commitments  taken  in  the 
Consensus are also reflected in other key recent policy documents, including the Strategy 
for Accelerating Progress towards Attaining the MDGs. 

The EU launched important initiatives at the World Summit on Sustainable Development 
(WSSD)  in  2002,  including  the  Water  Initiative  (EUWI),  the  Energy  Initiative  (EUEI) 
COOPENER5, the external dimension of the EC programme “Intelligent Energy Europe6, 
the  Johannesburg  renewable  energy  Coalition  and  the  Action  Plan  for  Forest  Law 
Enforcement, Governance and Trade (FLEGT). These have promoted EU coordination, 

4 

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6 

Joint  Statement  of  22  November  2005  agreed  by  the  European  Parliament,  Council  and 
Commission. 
Decision No 1230/2003/EC. 
COM(2002) 408 of 17.7.2002. 

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encouraged  policy  dialogue  with  developing  countries  and  emerging  economies,  civil 
society and the private sector, and contributed to a range of programmes and actions. 

Environmental policy at the Community level is set out in the 6th Environmental Action 
Programme7.  This  identifies  four  priorities:  tackling  climate  change,  protecting  nature 
and  biodiversity,  contributing  to  health  and  the  quality  of  life,  and  promoting  the 
sustainable use of natural resources and management of wastes. It highlights a number of 
strategic  approaches,  including  the  integration  of  environmental  policy  in  all  other 
Community  policies  and  involving  stakeholders  in  decision-making.  This  approach  has 
helped  the  EU  to  take  the  lead  internationally  in  strengthening  global  environmental 
governance,  reaching  agreement  on  MEAs,  establishing  less  formal  international 
processes  and  pressing  for  mutual  supportiveness  between  trade,  external  relations, 
development and environment policies worldwide. 

The  European  Union’s  energy  policy  has  three  main  objectives  aimed  at  attaining 
sustainable  development.  These  are:  to  give  consumers  competitive  energy  prices  by 
increasing  competition  in  energy  markets,  to  ensure  security  of  energy  supplies,  and  to 
reduce the energy  system’s  environmental impact to acceptable levels. Achieving these 
objectives requires (1) enhanced dialogue and cooperation with the EU partner countries 
and  regions,  on  combating  climate  change  and  securing  energy  supplies;  (2)  the 
integration  of  energy  considerations  in  development  and  poverty  reduction  efforts;  and 
(3)  strengthened  policy  co-ordination  and  coherence,  as  well  as  support  to  capacity 
building for energy decision makers.  

The  2004  Enlargement  and  forthcoming  enlargement  rounds  including  the  accession  of 
Bulgaria  and  Romania  had  and  will  have  important  implications  for  EU  environmental 
policy towards neighbouring states and energy relations with them. Under the European 
Neighbourhood Policy (ENP) environment and energy cooperation takes on a particular 
importance  given  our  shared  resources  and  ecosystems.  The  EU  encourages  all  of  the 
Union’s neighbours to take up their full responsibility for improving the environment and 
to contribute to meeting international environmental objectives.  

To be successful, this thematic programme will rely on a good scientific knowledge base, 
building  of  capacity  to  apply  new  knowledge  and  promote  innovation,  and  the 
involvement of scientists and institutions from partner countries, in particular developing 
countries. Successive EU Research Framework Programmes have helped to provide this 
foundation,  especially  through  the  International  Science  and  Technology  Cooperation 
Programme (INCO). 

2.3. 

Past experience and lessons learned  

2.3.1.  Overview of current instruments 

The EC currently finances programmes on tropical forests, the environment, international 
environmental processes, and energy in various ways. 

A  budget  line  for  tropical  forests  and  the  environment  in  developing  countries  has 
provided €249 million in support of sustainable forest management and €93 million for 

7 

Decision No 1600/2002/EC of the European Parliament and the Council. 

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environmental  protection  over  the  period  2000-2006.  Funds  have  been  focused  on 
innovative and strategic pilot actions. 

A  recent  evaluation  of  the  budget  line  concluded  that  lessons  learned  from  projects 
should  contribute  to  the  national  policy  dialogue,  and  be  used  as  a  basis  for  the 
programming  of  EC  country  and  regional  aid  and  stressed  that  further  efforts  were 
needed to improve take up. The evaluation noted the need to establish long-term policy 
dialogue  with  governments,  to  ensure  that  the  environment  and  forests  are  fully 
integrated into PRSPs and CSPs8. The evaluation also highlighted the need for flexibility 
to finance emerging priorities and EU policy initiatives, such as the EU Action Plan on 
Climate Change and Development and the EU Action Plan for Forest Law Enforcement, 
Governance and Trade (FLEGT). 

Additional support of €53 million between 2000 and 2006 is being provided through the 
LIFE-Third Countries Programme, which aims to establish capacities and administrative 
structures  and  support  environmental  policy  and  action  programmes  in  third  countries 
bordering the Mediterranean and the Baltic Sea. 

The  four-year  (2003-2006)  Intelligent  Energy  –  Europe  programme  has  an  external 
component,  “COOPENER”,  established  as  part  of  the  EU  Energy  Initiative,  which  has 
been used to create an enabling regulatory policy, planning and institutional environment 
for  the  provision  of  energy  in  support  of  the  MDGs.  An  ex  ante  evaluation9  of  the 
programme  highlighted  the  importance  of  regional  cooperation  and  multi-disciplinary 
project teams that will be stimulated through the COOPENER funded projects, as well as 
the fact that the critical role of energy in development and poverty eradication has been 
largely overlooked in the recent past.  

2.3.2.  Lessons  from  the  wider  international  context:  the  need  for  leadership,  greater 

coherence, coordinated EU action and the implementation of commitments 

Support for MEAs and other international environmental processes is provided, inter alia, 
from  the  €8  million  p.a.  International  Environment  budget  line.  Together  with  much 
larger  support  from  the  MS,  the  EC’s  assistance  has  financed  over  50%  over  the  core 
costs  and  even  more  of  the  additional  work  of  the  Conventions.  Thus,  EU  funding  has 
been crucial in putting the international environmental architecture in place. That task is 
now largely done, although continuing support will be needed for governance structures 
and global environment assessment.  

The  focus  has  moved  to  implementation,  which  requires  resources  of  a  completely 
different magnitude. The EU will continue to play a key role in the multilateral context.  

Although  less  affluent  countries  may  be  strongly  committed  to  internationally  agreed 
objectives,  structural  barriers,  market  failures  and  resource  and  capacity  constraints 
frequently  stand  in  the  way  of  national  implementation.  Even  when  environmental 
objectives  are  integrated  into  national  strategies  for  achieving  the  MDGs,  they  do  not 
feature  prominently  enough  to  ensure  that  modest  investments  are  made  in  insuring 

8 
9 

Poverty Reduction Strategy Papers and EC Country Strategy Papers. 
“Ex  ante  evaluation  of  a  renewed  multiannual  Community  programme  in  the  field  of  energy 
(2007-2013)”, September 2004. 

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against  expensive  environmental  degradation.  Moreover,  the  benefits  of  environmental 
protection  tend  to  be  long-term  and  it  is  difficult  to  reconcile  them  with  the  short 
planning horizons dictated by poverty. 

If the Union wants to extend its international leadership to promoting implementation, it 
will  need  to  fit  greater  support  for  environmental  protection  and  sustainable  resource 
management  including  energy  into  Europe’s  expanding  aid  budgets.  Support  could  be 
provided entirely by the Member States but experience suggests that the EC provides a 
very  appropriate  channel.  The  EU  has  long  proved  to  be  effective  in  negotiating 
in 
ambitious  environmental  and  sustainable 
international  processes.  However,  there  has  been  less  coordination  to  promote 
implementation  in  partner  countries.  The  expertise  of  MS  and  the  Commission  has  not 
been pooled and there has been no visible critical mass of effective EU support. Greater 
EU  coordination  is  certainly  required  and  greater  EC  financial  involvement  would 
facilitate this. 

resource  management  objectives 

This  does  not  mean  that  the  EC  is  the  only  joint  channel.  The  Global  Environmental 
Facility was established precisely as a joint initiative to help developing countries meet 
the  incremental  costs  of  providing  global  benefits.  However,  the  latest  replenishment 
negotiations  have  shown  that  EU  MS  want  to  do  more  than  certain  other  donors. 
Moreover, the GEF has a precise mandate and does not cover all important issues. 

Innovative  and  flexible  funding  mechanisms  are  urgently  required  in  particular  to 
promote  the  transfer  of  environmentally  sound  technologies.  For  example,  there  is 
interest in using public resources and ODA as levers to attract more resources from the 
private  sector,  development  banks  and  financial  institutions  through  public-private 
partnerships  (PPPs).  Recent  experience  from  the  EUEI,  COOPENER  and  JREC  shows 
that the EU can provide valuable assistance in developing countries and regions as well 
as  in  emerging  economies,  by  establishing  flexible  financial  support  instruments  which 
complement the approaches that have been put in place in recent years by other donors. 
This has proved to be effective in enhancing the integration of energy into development 
polices and strategies and improving coherence.  

2.4. 

Rationale for a thematic approach  

Country  and  regional  programmes  are  the  prime  instruments  for  cooperation  with  third 
countries,  and  most  support  for  the  environment  and  the  sustainable  management  of 
natural  resources,  including  energy,  should  be  channelled  through  them.  This  applies 
especially for issues that are local or regional in nature. 

However, a thematic approach is an essential tool for a more coordinated, coherent and 
effective  EU  approach  and  offers  great  scope  to  complement  and  add  value  to  the 
geographical instruments through: 

•  A  specific  focus  on  issues  that  are  clearly  identified  as  global  priorities  and  the 
possibility of promoting global public goods and combating global public bads which 
are  difficult  to  tackle  through  geographical  programmes.  This  includes  political 
visibility in support of high-profile activities. 

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•  Provision  of  an  effective  coordinated  means  of  promoting  the  EU’s  own  policy 
priorities  by  allowing  the  EU  to  play  a  fuller  role  in  international  organisations, 
environmental  and  energy  initiatives,  processes  and  partnerships  and  provide 
operational 
to  Multilateral  Environmental  Agreements  and  other 
organisations. 

support 

•  Coverage  of  all  partner  countries,  except  the  pre-accession  and  potential  candidate 
countries,  thus  making  it  possible  to  fund  transboundary,  regional,  interregional, 
subregional  and  global  initiatives,  and  to  support  policy  dialogue  at  regional,  inter-
regional and global level. 

•  A flexible programming cycle, offering the ability to adapt and adopt approaches that 
differ  from  those  commonly  used  in  the  geographical  instruments.  It  includes 
flexibility  in  the  choice  of  implementing  partners,  allowing  partnerships  with 
community-based  organisations,  research  organisations,  civil  society,  the  private 
sector and international bodies and organisations.  

•  The  possibility  to  enhance  the  integration  of  the  environment  and  energy  into 
development  policies/strategies  and  planning.  This  includes  support  for  the  potential 
for pursuing and scaling-up of innovative actions as solutions to complex challenges, 
as a first step towards integrating such activities in geographical aid instruments. 

Finally, a thematic approach is also needed where objectives cannot be achieved through 
country and regional programmes, for example in post-conflict situations.  

The  thematic  programme  should  lead  to  actions  in  partner  countries  and  regions  which 
are  additional  to  and  coherent  with  actions  funded  under  the  geographical  instruments. 
Therefore,  it  is  of  fundamental  importance  that  the  existence  of  a  thematic 
programme  is  not  taken  as  justification  to  leave  aside  the  environment,  natural 
resources and energy when programming country and regional strategies. Particular 
attention  should  be  given  to  the  need  to  integrate  both  the  mitigation  of  and  the 
adaptation  to  climate  change,  as  well  as  sustainable  energy  options  in  geographical 
programmes to promote long-term economic viability and environmental sustainability of 
EU support.  

3. 

THEMATIC PROGRAMME 

3.1. 

Scope of the programme 

While  the  bulk  of  the  resources  available  under  the  Development  Cooperation  and 
Economic  Cooperation  Instrument  will  have  a  development  focus,  the  proposed  new 
external policy instruments will also be used to promote the EU’s other policies abroad. 
The DCECI and the ENPI will both be used to fund this thematic programme.  

The  programme  will  support  measures  that  address  the  environmental  dimension  of 
external policy, especially development policy, and promote the EU’s environmental and 
sustainable  energy  policy  abroad.  The  programme  will  cover  all  geographical  regions 
except  the  pre-accession  and  potential  candidate  countries.  The  main  focus  will  be  on 
global  actions  and  measures  in  developing  countries,  complemented  by  actions  in 

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emerging  economies,  and,  to  a  very  limited  extent,  industrialised  countries  through 
policy dialogue and coalition-building.  

The  thematic  programme  will  also  support  central  policy  dialogue,  coordination, 
analysis, and consultation functions of existing and new EU policy initiatives, including 
the EUWI, EUEI, JREC and FLEGT. 

Consideration will be given to the scope for involving the thematic programme in global 
initiatives, and funds related to global public goods.  

Regular  contributions  to  the  core  costs  of  MEAs  to  which  EC  is  a  Party  will  not  be 
financed under the thematic programme but will continue to be paid through a separate 
budget line under the External Heading.  

3.2. 

Programming principles  

Measures  under  the  thematic  programme  will  be  based  on  the  following  guiding 
principles: 

•  Subsidiarity  and  complementarity,  with  geographical  programmes  as  explained  in 
the rationale for a thematic programme above. Coordination and joint work with MS 
and other donors will be very important. 

•  Coherence  at  internal  and  external  level,  in  line  with  the  Paris  declaration  on  aid 

effectiveness. 

•  Partnership, by working with a wide range of inter-governmental, state and non-state 

actors at global, regional, national or local level.  

•  Consultation, including involving civil society and the private sector in the process of 
multi-annual programming, and through dialogue on new developments and trends.  

•  Innovation  and  dissemination,  with  support  for  innovative  policies,  strategies  and 

approaches and appropriate ways for their dissemination and replication. 

•  Cross-cutting  issues  will  be  taken  into  account.  Women,  children  and  indigenous 
people  are  particularly  affected  by  environmental  degradation,  unsustainable  natural 
resource  use  and  lack  of  access  to  sustainable  and  affordable  energy  services. 
Democracy  and  respect  for  human  rights  and  equal  opportunities  between  men  and 
women  help  effective  environmental  advocacy  while  good  governance  is  a 
prerequisite for balancing the pillars of sustainable development.  

•  Conflict prevention and resolution. Natural  resources  (including energy resources) 
are  a  growing  source  of  regional  conflicts which  threatens  social  and  environmental 
stability. These conflicts can have a global effect (amongst other effects) as they may 
impact  our  energy  supplies.  In  dealing  with  natural  resources  one  has  to  take  into 
account  if  income  derived  from  these  resources  does  not  cause  or  fuel  conflict,  but 
rather fosters sustainable development. Specific support for transparency initiatives of 
extractive 
to  monitor  social  and  environmental 
consequences. Conscious disaster preparedness can also successfully contribute to the 

industries  will  contribute 

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conservation of the environment and avoid negative impacts on the security of energy 
supplies.  

The  programme  will  be  implemented  in  accordance  with  the  2000  Reform  of  the 
Management  of  External  Assistance  which  foresees  inter  alia,  deconcentration  of 
management responsibilities to the delegations where appropriate.  

Four-year  (2007-2010)  and,  subsequently,  three-year  (2011-2013)  Thematic  Strategy 
Papers  (programming  documents)  will  be  decided  by  the  Commission  following  the 
Comitology procedures. 

On  the  basis  of  this  multi-annual  programming,  the  Commission  will  produce  annual 
work  plans  which  establish  priority  actions  to  be  supported,  specific  objectives, 
anticipated results as well as indicative amounts. 

As  for  the  mid-term  review,  an  external  evaluation  of  the  operations  during  the  first 
three-year period (2007-2009) will be carried out to provide input to the preparations for 
the second Thematic Strategy Paper (2011-2013). The reports will be transmitted to and 
discussed with Member States and the European Parliament. 

3.3. 

Objectives 

The objectives of the programme are to:  

•  assist developing countries to achieve the Millennium Development Goals and notably 
to make progress towards MDG7 on environmental sustainability by providing tools 
and examples of good practice and innovative approaches;  

•  promote environmental integration and sustainable management of natural resources, 

including energy across all EC external assistance; 

•  promote  coherence  in  EU  policies  that  affect  the  global  environment  and  the  global 

security of energy supplies or those of partner countries;  

•  enable  the  European  Community  and  assist  the  EU  to  meet  their  international 
obligations and commitments under MEAs and other processes, especially with regard 
to assisting developing countries;  

•  promote  international  environmental  governance  and  EU  environmental  and  energy 

policies abroad; 

•  support sustainable energy options in partner countries and regions. 

4. 

PRIORITIES  

The thematic programme will provide support under the following broad headings: 

4.1.  Working upstream on MDG7: promoting environmental sustainability 

Issues to be addressed include: 

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•  Capacity  building  for  environmental  integration  in  developing  countries, 
including capacity to integrate the environment in regional and national development 
strategies and improve environmental policy analysis; capacity to start implementing 
obligations  and  commitments  under  global  or  regional  environmental  conventions, 
initiatives  and  processes;  and  capacity  to  strengthen  natural  resources  research  and 
management, including energy. 

•  Supporting  civil  society  actors  and  consultative  platforms,  which  play  an 
important  role  in  policy  advocacy,  and  action  to  promote  environmental  protection 
and sustainable resource use, including energy.  

•  Environmental  monitoring  and  assessment  to  improve  the  quality  of  data  and 

indicators and thereby raise awareness and allow informed policy-making.  

•  Developing  innovative  approaches,  such  as  payment  for  environmental  services, 
environmental  fiscal  reform,  public-private  partnerships,  innovative  market-based 
policy  instruments,  science-supported  policy  approaches  and  the  promotion  of 
environmentally beneficial technologies and mechanisms for transfer of technologies 
(know how) to developing countries.  

•  Drawing on EU experience. Twinning and other structures established to disseminate 
EU  approaches  could  be  used  to  share  our  experience  and  establish  strong  ties  with 
key countries.  

4.2. 

Promoting  implementation  of  EU  initiatives  and  internationally  agreed 
commitments 

The  EU  favours  country-owned  and  country-driven  external  assistance.  Yet  there  are 
structural reasons why the environmental dimension of sustainable development tends to 
be  given  lower  priority  by  our  partners  and  this  affects  the  long-term  viability  of 
development  choices.  Support  given  through  the  thematic  programme  should  seek  to 
encourage and enhance the efficiency of mainstreaming environmental considerations in 
national  priority  setting.  In  the  case  of  environmental  global  public  goods,  the  choices 
made  on  pursuing  the  environmental  dimension  of  sustainable  development  and  the 
degree  of  implementation  of  internationally  agreed  commitments  have  impacts  on  all 
countries. Candidates for thematic support include: 

•  EU  initiatives  for  sustainable  development.  The  thematic  programme  will 
complement  geographical  support  and  underpin  existing  EU  initiatives,  in  particular 
through facilitating policy dialogue, coordination, analysis and consultation processes. 
Current  initiatives,  notably  EUWI,  EUEI,  JREC  and  FLEGT,  together  with  possible 
actions on emerging policy priorities provide frameworks for cooperation between the 
EU  and  partner  countries,  including  governments,  private  sector  and  civil  society. 
They also provide an opportunity to leverage private sector equity support by means 
of innovative approaches. 

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•  Climate  change.  Implementation  of  the  EU  Action  Plan  on  Climate  Change  in  the 
Context  of  Development  Cooperation10,  especially  mainstreaming  actions  related  to 
the  four  strategic  objectives  of  the  Action  Plan.  In  addition,  implementation  of  the 
Strategy  for  Winning  the  Battle  Against  Global  Climate  Change11,  particularly 
through  capacity  building,  analysing  and  raising  awareness  of  mitigation  and 
adaptation  possibilities  and  needs  in  key  economic  sectors,  support  to  developing 
countries’  efforts  to  reduce  greenhouse  gas  emissions  and  leverage  investment  in 
clean technologies and the preparation of adaptation plans. 

•  Biodiversity. Support for the 2010 target on significantly reducing biodiversity loss, 
especially  in  areas  of  high  biodiversity.  Measures  will  be  based  around  the  EU 
Biodiversity  Action  Plan  for  Economic  and  Development  Cooperation,  including 
strengthening  the  capacity  of  the  relevant  agencies  involved  in  the  conservation  and 
sustainable use of biodiversity, including agricultural biodiversity. Attention will also 
be given to capacity building on bio-safety.  

•  Desertification.  Priority  actions  identified  under  the  UNCCD,  such  as  the  provision 
of  tools  to  assist  in  the  mainstreaming  of  the  Convention  objectives  in  development 
strategies. 

•  Forests.  The  programme  will  support  interventions  that  enhance  the  contribution  of 
forests  to  sustainable  development,  such  as  community-based  management  of  forest 
resources  and  conservation  areas,  and  sector-wide  processes  of  policy  reform 
including national forest programme processes. Innovative approaches linking forests 
to climate change, conflict prevention and health will be encouraged.  

•  Illegal  logging  and  forest  governance.  Poor  governance,  corruption  and  illegal 
logging  are  key  constraints  to  the  sustainable  and  equitable  management  of  forests, 
and  thus  to  the  benefits  flowing  to  society  and  future  generations  from  forest  goods 
and services. The EC has undertaken to improve forest sector governance and tackling 
illegal logging through FLEGT.  

•  Fisheries  and  marine  resources.  The  programme  will  focus  on  strengthening 
fisheries  and  marine  management  and  governance,  particularly  transboundary  issues 
and  environmental  measures  that  enhance  the  sustainability  use  of  fisheries  and 
marine resources, as well as protection of coral reefs and coastal zone management.  

•  Compliance  with  environmental  standards  (for  products  and  production 
processes).  Producers  in  developing  countries  have  to  meet  increasingly  stringent 
standards,  including  sustainability  parameters,  for  export  markets  in  developed 
countries. Eco labels and private certification schemes, meeting internationally agreed 
standards,  are  playing  an  increasing  role  in  developed  country  export  markets. 
Assistance  could  be  provided  to  help  producers  in  developing  countries  to  comply 
with these new requirements. 

10 

11 

Action  Plan  to  accompany  the  EU  Strategy  on  Climate  Change  in  the  Context  of  Development 
Cooperation 1 (Action Plan 2004-2008), agreed by the Council on 22 November 2004. 
Commission Communication “Winning the Battle against Global Climate Change” of 9 February 
2005 - COM(2005) 35. 

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•  Sound  chemicals  and  wastes  management.  This  area  is  particularly  neglected  in 
development  cooperation  and  new  initiatives  are  underway  to  increase  the  priority 
given to them. These include the Strategic Plan for the Basel Convention on hazardous 
wastes, the Rotterdam and Stockholm Conventions on chemicals and the forthcoming 
Strategic Approach to International Chemicals Management.  

•  Air  pollution.  In  particular  in  large  cities  in  developing  countries  this  is  a  major 
health  hazard.  The  EU  can  offer  expertise  to  help  improve  an  understanding  of  the 
issue and the regulation of trans-boundary air pollution. 

•  Sustainable  production  and  consumption.  Emerging  economies  in  particular  are 
keen  to  benefit  from  EU  experience  on  policy  approaches  and  the  use  of  different 
instruments  such  as  legislation  and  economic  measures  to  ensure  that  rapid  growth 
does not lead to unacceptable environmental and energy security impacts. 

4.3. 

Better integration by the EU 

•  Poverty  and  the  environment  under  new  forms  of  aid  delivery.  A  shift  towards 
budget  support  and  donor  harmonisation  means  that  new  approaches  are  needed  to 
integrate  consideration  of  impacts  on  the  environment  in  policy-making.  Specific 
measures  will  be  required  to  address  poverty  and  environment  linkages,  to  improve 
donor coordination, and to undertake broad strategic environmental assessments. 

•  Strengthening expertise for the EU and promoting coherence. The new DPS calls 
on the Commission to enhance its analytical capacities on a number of development 
issues  and  to  act  as  a  resource  for  the  EU,  reflecting  the  Paris  Declaration  on  Aid 
Effectiveness.  Enhanced  capacities  could  also  promote  coherence  between  EU 
policies that affect the global environment or the environment of partner countries. 

•  Integration  and  deconcentration.  As  part  of  aid  management  Delegations  are 
expected  to  ensure  that  specialist  help  is  available  where  needed  and  this  reinforces 
the case for working in conjunction with the MS. The thematic programme could help 
to further enhance the required expertise in both the environment and energy sectors.  

4.4. 

Strengthening environmental governance and EU leadership  

The  EU  has  a  vital  interest  in  strong  international  environmental  governance.  Better 
governance  should  help  all  governments  to  understand  and  deal  with  the  issues  and 
increase the priority given to sustainability. This requires: 

•  Working  for  coherence  between  the  environmental  and  the  other  pillars  of 
international governance for sustainable development. The EU gives high priority 
to  a  more  coherent  institutional  framework  for  environment  activities  in  the  UN 
system.  Transforming  UNEP  into  a  UN  Environment  Organisation  would  create  the 
potential to be more effective in promoting policy coherence at global level. 

•  Assisting  regional  and  international  environmental  monitoring  and  assessment. 
Support  is  needed  for  the  effective  participation  of  scientists  and  experts  from  less 
affluent  countries,  and  disseminating  results  to  decision-makers.  This  would  include 
international  cooperation  on  environmental-economic  modelling  along  with  capacity 

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building  for  environmental  policy  analysis,  and  capacity  building  for  space-based 
monitoring and in-situ information technologies systems.  

•  Providing additional support to the Secretariats of MEAs to enhance international 
environmental  governance  and  the  EU’s  leadership  role.  Support  could  give  the 
Secretariats  access  to  additional  expertise,  and  hence  accelerate  their  work  and 
improve coherence, and encourage the Secretariats and UNEP to work better between 
themselves  and  with  UN  development  agencies  and  the  IFIs.  There  is  a  need  to 
support the participation of developing countries in MEA meetings.  

•  Promoting  effective  compliance  and  enforcement  measures  for  MEAs,  including 
by supporting monitoring and advocacy groups. Developing countries understandably 
want  capacity  building  assistance  rather  than  punitive  measures  to  improve 
compliance. 

•  Supporting international environmental and energy organisations and processes, 
including  UNEP  and  the  UN  Commission  for  Sustainable  Development,  the  UN 
Forum  on  Forests,  the  Strategic  Approach  to  International  Chemicals  Management, 
the International Panel on the Sustainable Use of Resources, OECD, the International 
Energy  Agency,  discussions  on  long-term  cooperative  action  to  address  climate 
change, trade and environment processes, and partnership initiatives. 

•  Supporting  civil  society  and  environmental  and  energy  policy  think  tanks. 
International  and  regional  civil  society  groups  and  environmental  policy  think  tanks 
have  important  international  advocacy  functions  and  build  local  capacity  in 
developing, and neighbouring countries through national partners.  

•  Improving  the  efficiency  of  international  negotiations.  Building  negotiating 
capacity  in  developing  countries  and  improving  the  EU’s  outreach  through  dialogue 
with partners would pay dividends. 

4.5. 

Support for sustainable energy options in partner countries and regions 

A coordinated approach is required which builds on the former COOPENER actions the 
core  functions  of  the  EU  Energy  Initiative,  and  the  EU-sponsored  Johannesburg 
Renewable Energy Coalition. Key objectives should include institutional support related 
to improving access to sustainable energy services for poverty alleviation in developing 
countries and regions, as well as support for actions in emerging economies which aim to 
improve  the  security  of  global  energy  supplies  and  protect  the  global  environment. 
Support given through the thematic programme should primarily address: 

•  Integration  of  sustainable  energy  in  development  plans  and  strategies  (notably 

poverty reduction strategies) at regional, national and local levels. 

•  Developing institutional support and technical assistance, as well as strengthening 
capacity  in  policy  development,  regulation  and  energy  planning,  including  through 
support for twining initiatives to share the EU experience and to establish links with 
key countries, and for well targeted public procurement. 

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•  Creating  a  favourable  legislative  and  policy  framework  to  attract  new  business 
and investors in renewable energy and in efficient energy production and use, as well 
as to pave the way for technology leapfrogging in these fields. 

•  Enhancing the role of energy as a means to create income generation for the poor, 
and to protect/increase income generation for other energy end users by setting up a 
critical mass of human capital with up-to-date knowledge and expertise in the private 
sector, in particular in the energy services and targeted end-use sectors. 

•  Promoting  innovative  financing  approaches,  including  public  and/or  private 
sustainable  energy  partnerships  and  mechanisms,  to  encourage  technology  transfer 
and deployment. 

•  Encouraging  regional  cooperation  between  Governments,  non-governmental 
organisations  and  the  private  sector  in  the  above  areas,  and  preparing  the  way  for 
regional interconnection infrastructure that can produce economies of scale, especially 
in  small  countries,  for  example,  as  proposed  in  the  new  EU  Strategy  for  Africa12. 
Close coordination with other donors and lending programmes will be essential for the 
successful implementation of this priority.  

These initiatives should be implemented in close relation with the future EC programme 
“Intelligent  Energy  –  Europe”13,  which  is  part  of  the  2007-2013  Competitiveness  and 
Innovation  Framework  Programme,  since  they  provide  an  opportunity  to  reflect  EU 
policy externally. 

12 
13 

COM(2005) 489. 
COOPENER II. 

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ANNEX 1  

Annex 1: Important Commitments by the EU and the International Community 

The European Consensus on Development 

-  Primary  and  overarching  objective  of  EU  development  cooperation  is  the  eradication  of  poverty  in  the 
context of sustainable development, including pursuit of the MDGs 

- Help developing countries to achieve the objectives agreed at the UN conferences. 

- improving policy coherence for development in order to accelerate progress towards attaining the MDGs, 
COM (2005)134 final. 

Climate (Kyoto Protocol) 

-  Developed  countries  are  committed  to  reducing  their  collective  greenhouse  gas  emissions  by  about  5% 
below 1990 levels in the period 2008 – 2012. The EU 15 target is -8%. 

Biodiversity and Natural Resources (JPoI) 

- Achieve, by 2010, a significant reduction in the current rate of loss of biological diversity. 

-  Maintain  or  restore  depleted  fish  stocks  to  levels  that  can  produce  the  maximum  sustainable  yield  by 
2015.  

Forests (EU commitment at WSSD) 

- FLEGT is a political commitment to improve forest governance and eliminate illegal logging 

Desertification (JPoI) 

-  Integrate  measures  to  prevent  and  combat  desertification  in  poverty  and  sustainable  development 
strategies 

Chemicals (JPoI) 

-  Aim,  by  2020,  to  use  and  produce  chemicals  in  ways  that  do  not  lead  to  significant  adverse  effects  on 
human health and the environment. 

Water (MDG 7, JPoI and EU commitments at WSSD) 

- Develop integrated water resources management and water efficiency plans by 2005. 

- Halve, by 2015, the proportion of people without access to safe drinking water and basic sanitation 

- The EU Water Initiative is a political commitment by Member States and the Commission to contribute to 
the achievement of the MDG and WSSD targets for water and sanitation and provides a framework for 
dialogue with partner countries and stakeholders on sector policies and priorities. 

Energy (JPoI and EU commitments at WSSD) 

-  Improve  access  to  reliable  and  affordable  energy  services  for  sustainable  development,  sufficient  to 
facilitate  the  achievement  of  the  Millennium  Development  Goals  and  meet  the  growing  need  for  energy 
services in the longer term to achieve sustainable development (JPoI Paras 9 & 20).  

- The EU Energy Initiative is a long-term political commitment by Member States and the Commission to 
increase the focus on the role of energy in poverty alleviation and sustainable development, as well as in 
facilitating the achievement of the MDGs. 

-  The  Johannesburg  Renewable  Energy  Coalition.  A  coalition  of  88  governments  are  cooperating  to 
substantially  increase  the  global  share  of  renewable  energy  through  the  market  on  the  basis  of  ambitious 
time-bound targets and regular reviews of progress. 

Sustainable Development (JPoI) 

- Encourage and promote the development of a 10-year framework of programmes to accelerate the shift 
towards sustainable consumption and production. 

Governance (JPoI and the UN Millennium Summit Review) 

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-  Adopt  new  measures  to  consolidate  institutional  arrangements  for  sustainable  development  at 
international, regional and national levels. 

- Agreement to explore the possibility of a more coherent institutional framework to allow more efficient 
environmental governance within the UN system. 

Research: the EU Framework Programmes for Research (FP6 and FP7):  

- The new framework programme for 2007 - 2013 will support relevant research, and provide background 
for “knowledge based approach”.  

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ANNEX 2 

A non-exhaustive list of key environment and sustainable natural resource issues, 
including energy, which are of concern to the EU 

In the last 50 years the world’s population has almost trebled and humans have changed eco-
systems  more  extensively  that  in  any  similar  time  period  to  meet  the  growing  demand  for 
food,  fresh  water,  timber,  fibre  and  fuel.  For  example,  between  1960  and  2000  world  food 
production increased by about 2.5 times, water use doubled, timber production grew by 50% 
and hydropower capacity doubled14. In the same period atmospheric concentrations of carbon 
dioxide grew by 20% above pre-industrial levels. As a result of these pressures, 15 of the 24 
ecosystem services examined by the Millennium Ecosystem Assessment are being degraded 
or used unsustainably and present an obstacle to achieving the MDGs. These services include 
provision of capture fisheries, wild food, wood fuel, genetic resources, natural medicines and 
fresh water, as well as air and water purification, erosion control and the regulation of natural 
hazards and pests.  

Further  population  growth  of  2 billion  is  predicted  by  2030.  Combined  with  the  long-term 
economic growth rate required to pull everyone out of extreme poverty (3.6% per capita p.a. 
in low income countries), this means the world economy could grow fourfold by 205015. It is 
essential  to  ensure  that  natural  resources  are  used  sustainably  so  that  production  and 
consumption  patterns  do  not  exceed  the  earth’s  capacity  to  supply  resources  or  absorb  the 
wastes and emissions generated by such growth. This will be a fundamental challenge for the 
world  community,  and  especially  for  the  emerging  economies  and  developing  countries. 
Efforts  over  the  next  10  years  to  make  patterns  of  development  more  sustainable  will  be 
crucial in affecting the long-term outcome.  

The main issues are highlighted in more detail in the following paragraphs.  

Climate  change.  During  the  last  century  the  earth’s  average  surface  temperature  rose  by 
around 0.6˚C and is predicted to rise by a further 1.4 to 5.8˚C by 210016, with a consequent 
rise  in  sea  levels  of  9  to  88  cm  threatening  island  and  coastal  communities,  and  greater 
frequency  and  severity  of  extreme  weather  events.  Predicted  temperature  rises  will  have 
profound consequences for water cycles, agriculture, disease and biodiversity, and the number 
of environmental refugees is expected to rise to 50 million by 2010 and up to 200 million by 
2050  as  a  result17.  Addressing  climate  change  requires  international  cooperation  aimed 
achieving  the  existing  Kyoto  Protocol  Commitments,  but  also  to  develop  long-term 
cooperative  action.  Mitigation  of  greenhouse  gas  emissions  is  crucial,  especially  in 
industrialised countries and emerging economies. Substantial changes are needed in how the 
world produces and uses energy, as is technological change in all economic sectors. In view 
of  the  already  unavoidable  impact  of  climate  change,  in  many  developing  countries 
cooperation  will  need  to  concentrate  on  adaptation  and  on  reducing  vulnerability  to  climate 
change but should also stimulate investment in clean technologies.  

14 
15 
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17 

Millennium Ecosystem Assessment. 
World Development Report 2003: Sustainable Development in a Dynamic World (World Bank). 
Intergovernmental Panel on Climate Change, 3rd Assessment Report. 
Myers, N. (2005) Environmental refugees: an emergent security issue, 13th Economic Forum, Prague 
23-27 May. 

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Biodiversity. Maintaining biodiversity at genetic,  species and ecosystem levels  offers  many 
local and global benefits. Healthy and fully-functioning ecosystems provide a wide range of 
essential goods, such as foods, fuels, building materials and medicines. They also provide a 
variety of services, such as cycling nutrients, creating fertile soils, fixing carbon, purifying air 
and water, providing genetic material for crops and livestock, pollination, controlling floods 
and  erosion,  and  checking  pests,  diseases  and  alien  species.  Ecosystems  support  primary 
production  (agriculture,  fisheries,  forestry),  secondary  production  (textiles,  pharmaceuticals) 
and  service  industries  (tourism,  well-being,  recreation).  The  costs  of  failing  to  protect 
biodiversity  are  immense  –  in  terms  of  lost  goods  and  services  to  these  sectors  of  the 
economy.  Further,  restoring  degraded  ecosystems,  or  substituting  artificially  for  these 
biodiversity  goods  and  services  where  natural  systems  fail  is  frequently  much  more  costly 
than  looking  after  them  in  the  first  place.  Poor  people  in  developing  countries,  with  little 
access to markets, are particularly reliant on ecosystem goods and services. 

Water. One third of the world’s population live in countries that are water-stressed18 and this 
proportion is likely to increase to two thirds by 2025 with implications for peace and security. 
Over 1.1 billion people have no access to safe drinking water and 2.4 billion lack improved 
sanitation. Integrated water resources management is essential worldwide if human needs for 
consumption,  agriculture  and  industry  are  to  be  balanced  with  the  water  needs  of  healthy 
ecosystems.  Polluted  ecosystems  and  poor  water  management  have  a  detrimental  effect  on 
economic growth, health and livelihoods. Improving access to safe water and sanitation and 
improved  water  resource  management  are  key  steps  to  achieving  many  of  the  Millennium 
Development Goals (MDGs). 

Forest  management.  Natural  forests  are  centres  of  biodiversity  and  important  stores  of 
carbon  and  disturbing  these  ecosystems  contributes  to  biodiversity  loss  and  climate  change. 
An  estimated  1.6  billion  poor  people  rely  heavily  on  forests  for  their  livelihoods,  including 
food  security  (bushmeat,  fruits  and  vegetables),  health  (medicinal  plants),  shelter  (building 
materials), and energy (fuelwood and charcoal). Forests also provide environmental services 
such as watershed protection. Forest-based industries are an important source of employment 
and  export  revenues,  and  are  a  driver  of  economic  growth.  Rapid  global  deforestation  and 
poor governance jeopardise this valuable resource endowment.  

Fisheries  and  marine  resources.  Lack  of  effective  governance  often  results  in  over-
exploitation  of  the  resource  base,  threatening  the  nutritional  status  of  major  population 
groups,  particularly  people  from  the  poorest  African  and  South  Asian  countries,  for  whom 
fish  and  marine  products  constitute  an  essential  part  of  their  protein  intake.  Coral  reefs  are 
major centres of biodiversity and important in protecting shorelines, which are often densely 
inhabited and the basis for considerable economic development through eco-tourism. 

Desertification  and  land  degradation  lead  to  the  loss  of  productive  land.  An  estimated  900 
million people across the world live in ‘drylands’, which cover about 30% of the earth’s land 
surface. These drylands, which have low and variable rainfall, are very fragile. Due to their low 
productivity,  they  are  also  often  politically  and  economically  marginalised  and  receive  little 
attention from most governments. Surveys show that nearly 70% of drylands worldwide suffer 
varying degrees of degradation and desertification. 

18 

Countries using more than 10% of total supply where water shortage is likely to impede development. 

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Use  of  natural  resources  in  growing  economies.  The  links  between  growth  and  natural 
resource  use  change  depending  on  the  absolute  level  of  development.  In  poor  societies  the 
links  between  poverty  and  natural  resource  degradation  often  lead  to  a  vicious  circle  of 
negative growth, increasing poverty and further over-exploitation of the natural resource base. 
As economies develop, different patterns set in and positive economic growth brings a new 
set of environmental pressures. Rich economies such as the EU have an ecological footprint 
that  extends  beyond  its  borders.  Indeed,  the  EU  contains  7%  of  the  world’s  population  but 
consumes 16% of the products of the earth’s biocapacity19. In emerging economies and even 
in developing countries with significant wealthier sectors of society, the environmental effects 
of  affluence  are  of  growing  concern.  Natural  resources  need  to  be  managed  sustainably  to 
break  the  link  between  economic  growth  and  environmental  degradation.  This  needs  to  be 
done  by  taking  into  account  the  full  life  cycle  of  resource  use,  covering  their  supply,  use 
phase and the final disposal of waste. New EU policies, including the Thematic Strategies on 
resource use, waste and Integrated Product Policy, build on this logic, aiming to ensure that 
the negative impacts of resource use and products are reduced without simply shifting them to 
other countries. These policy developments are of great interest to emerging economies.  

Bio-technology promises remarkable advances in medicine, agriculture and other fields and may 
have the potential to decrease pressure on land use, increase sustainable yields on marginal lands 
and reduce the use of water and agro-chemicals in agriculture. However, genetic engineering is a 
very new field and there are potential adverse effects on biological diversity and risks to human 
health.  These  could  be  of  particular  concern  in  developing  countries  which  house  most  of  the 
wild  relatives  of  domesticated  crops  but  lack  capacity  to  assess  and  manage  risks  and  thus  to 
ensure bio-safety. 

Chemicals and pesticides can bring enormous benefits to man and are the products of rapidly 
growing and globalising industries. However, when badly managed they are also the cause of 
major  health  and  other  problems,  especially  in  developing  countries.  Uncontrolled  transport 
and storage of hazardous waste and unsound management of all wastes also bring threats to 
the environment and human health. The costs of unsound chemicals and toxics management 
are  widespread  and  borne  disproportionately  by  the  poor;  yet  least  developed  countries  are 
often unaware of the economic burdens posed by poor management. 

Energy  access.  Nearly  two  billion  people  do  not  have  access  to  modern  energy  services. 
Developing countries’ supplies of energy are insecure and unreliable: firewood, charcoal, crop 
residues and animal wastes account for approximately 30% of primary energy use; electricity 
supplies are limited and often erratic; and net oil importers are particularly vulnerable to high 
global  oil  prices.  Better  access  to  secure,  affordable  and  sustainable  energy  services  is 
essential  for  achieving  the  MDGs,  for  the  eradication  of  poverty,  and  to  support  the 
productivity increases and economic growth both in rural and in urban areas.  

19 

The  European  environment:  State  and  outlook  2005.  European  Environment  Agency  -  NB:  figures 
quoted include Switzerland. 

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Secure and affordable energy supplies. The volatility of energy prices (notably oil and gas) 
brings  important  economic  impacts  to  all  countries  and  the  businesses  on  which  their 
economies depend, especially those countries with emerging economies. Working together to 
establish plans, strategies and systems for ensuring secure and sustainable energy services at 
affordable  prices,  without  causing  excessive  damage  to  either  the  local  or  the  global 
environment, is therefore an important priority for both the public and private sectors in the 
EU and for its neighbours and partners worldwide. 

Air Pollution is closely related to the burning of fossil fuels, in particular coal, and thus there 
are  clear  links  between  air  pollution  and  policies  on  energy  and  climate  change.  Such 
pollution  is  growing  rapidly  in  emerging  economies.  Tackling  air  pollution  brings  major 
health benefits not only in those economies but even in poorer, biomass-dependent developing 
countries. Nearly 1.6 million people die each year from the effects of indoor pollution from 
fuelwood and other solid fuels20. Air pollution travels long distances. While emissions from 
the  EU  are  decreasing  there  is  increasing  evidence  that  the  long  range  transport  of  air 
pollution  into  the  EU  is  increasing.  This  is  one  of  the  reasons  why  the  Commission  is  co-
chairing  a  “Task  Force  on  Hemispheric  Transport  of  Air  Pollution”,  which  looks  at  the 
technical/scientific issues surrounding hemispheric contributions to air pollution. Recently the 
UNEP  has  drawn  attention  to  the  trans-boundary  effects  of  air  pollution  from  the  emerging 
economies of Asia. 

20 

WHO (2000) Air pollution, WHO Fact sheet 187. 

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ANNEX 3 

Current Funding instruments 

Regulations (EC) No 2493/2000 and (EC) No 2494/2000 on the Environment in Developing 
Countries  and  Tropical  Forests  and  Other  Forests  in  Developing  Countries  expire  in  2006. 
These budget lines were first created in 1992 to implement pilot actions and strategic studies 
and  merged  in  2001  into  budget  line  21  02  05.  The  emphasis  is  on  work  in  developing 
countries  that  fosters  sustainable  forest  management  and  environmental  protection  and 
allocations are made both through calls for proposals aimed at NGOs, among others, and by 
way of targeted projects undertaken by IGOs in support of EC policy objectives. 

Table: funding by different sectors (budget line 21-02-05, 218 M € between 2000-2004) 

Total funding from Environment and Tropical Forests 
Budgetline 2000-2004 (218 Mln€)

Sustainable development
17%

Energy
1%

Desertification
2%

Climate Change
5%

Biodiversity
10%

Others
1%

Chemicals
2%

Water
1% Trade
3%

Capacity Building
12%

Governance
5%

Oceans and Fisheries
2%

Forests
39%

Note: for sectors such as energy, this graph does not reflect the overall share of granted 
support. In fact, support to energy projects has also been given in the frame of other headings 
like under “forest”, “sustainable development” and others.

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The Life-Third countries part of Regulation (EC) No 1682/2004 expires at the end of 2006. It 
is active in non-EU countries around the Mediterranean and Baltic seas and helps to establish 
the  capacities  and  administrative  structures  needed  in  the  environmental  sector  and  in  the 
development of environmental policy and action programmes. Priority is given to projects that 
promote  cooperation  at  trans-frontier,  trans-national  or  regional  level.  The  Commission’s 
International Environment budget line 07 02 01 commits between €6 and 8 million a year, of 
which an increasing share (currently about €2 million) is needed for regular contributions for 
the core costs of MEAs. The legal basis for regular contributions is provided by the decisions 
on EC ratification while the rest of the line is based on the Annual Work Programme of DG 
Environment. The line supports global and European regional MEAs and other international 
environmental processes. For example, using the budget line and other resources, the EC pays 
for  preparatory  analytical  work  required  for  negotiations,  helps  developing  countries  to 
participate in environmental meetings, and holds dialogues with key partners on major issues. 

Budget  Lines  06.04.02  and  06.01.04.09  “COOPENER”  funds  initiatives  that  promote 
renewable  energy  sources  and  energy  efficiency  in  developing  countries,  and  address 
sustainable energy services for poverty alleviation in the context of the EUEI. €5 million p.a. 
was committed on these budget lines in 2003-05. 

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List of Acronyms 

DCECI 
DPS 

6th EAP 

EC 
ENPI 
EUEI 
EUWI 
EU 
FLEGT 
GEF 
FP6 
IEA 
IEE 
IFI 
IISD 
IUCN 
IPA 
IPCC 
JPoI 
JREC 
MEA 
MDG 
PEP 
PRSP 
NGO 
SAICM 
UNCBD 
UNCCD 
UNFCC 
UNDP 
UNEP 
UNFF 
UNITAR 
WRI 
WWF 
WSSD 
ACP-EU 
EDF 
AMCOW 
FEMA 
AFLEG 

Development Cooperation and Economic Cooperation Instrument 
Development  Policy  Statement  adopted  by  the  Council,  European  Parliament 
and the Commission on 22 November 2005 
Sixth  Environmental  Action  Programme,  Decision  1600/2002/EC,  OJ  L242/1 
of 10/09/2002 
European Community 
European Neighbourhood Policy Instrument  
European Union Energy Initiative 
European Union Water Initiative 
European Union 
Forest Law Enforcement, Governance and Trade 
Global Environment Facility 
Framework Programme for Research no 6 
International Energy Agency  
Intelligent Energy - Europe  
International Financial Institution 
International Institute for Sustainable Development  
World Conservation Union 
Pre-Accession Instrument 
Inter-governmental Panel on Climate Change 
Johannesburg Plan of Implementation adopted at WSSD 
Johannesburg Renewable Energy Coalition 
Multilateral Environmental Agreement  
Millennium Development Goals  
Poverty-Environment Partnership  
Poverty Reduction Strategy Paper 
Non-Governmental Organisation 
Strategic Approach to International Chemicals Management 
United Nations Convention on Biological Diversity 
United Nations Convention on Combating Desertification  
United Nations Framework Convention on Climate Change 
United Nations Development Program  
United Nations Environmental Programme 
United Nations Forum on Forests 
United Nations Institute for Training and Research 
World Resources Institute 
World Wide Fund for Nature  
World Summit for Sustainable Development 
Africa – Caribbean – Pacific - European Union 
European Development Fund 
African Ministerial Conference on Water 
African Ministers for Water and for Energy  
African Forest Law Enforcement and Governance 

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