Policies for a Better Environment PROGRESS IN EASTERN EUROPE, CAUCASUS Policies for a Better AND CENTRAL ASIA Environment The political and economic landscape in the countries of Eastern Europe, Caucasus and Central Asia is evolving. Are environmental policies keeping pace? What major environmental policy measures PROGRESS IN EASTERN EUROPE, have been taken by each country? What are the main barriers to further progress? What are the emerging policy issues and priority areas for action? CAUCASUS AND CENTRAL ASIA In 2003, the Ministers of Environment of the 12 countries of Eastern Europe, Caucasus and Central Asia (EECCA), together with their partners in the “Environment for Europe” process, adopted the EECCA Environment Strategy. The Strategy aims to promote sustainable development through environmental policy reform and environmental partnerships. This book provides a review of progress in achieving the Strategy’s objectives, and provides a solid analytical base for discussions on future environmental co-operation between EECCA countries and their partners. Preparation of this report has involved a unique process of collaboration among all the major international institutions active on environmental issues in this region. By focusing on the policy actions taken by EECCA countries, it complements Europe’s Environment: The Fourth Assessment – prepared by the European Environment Agency – which assesses environmental conditions in the pan-European region. The full text of this book is available on line via these links: www.sourceoecd.org/environment/9789264027343 www.sourceoecd.org/transitioneconomies/9264027343 Those with access to all OECD books on line should use this link: www.sourceoecd.org/9789264027343 SourceOECD is the OECD’s online library of books, periodicals and statistical databases. For more information about this award-winning service and free trials ask your librarian, or write to us at [email protected]. P o lic ie s f o r a B UNECE e t t e r E n v ir o n m e n t ISBN 978-92-64-02734-3 -:HSTCQE=UW\XYX: 97 2007 10 1 P w�w�w�.�o�e�c�d�.�o��r�g�/�p�u�b�l�i�s�h�i�n�g POLICIES FOR A BETTER ENVIRONMENT Progress in Eastern Europe, Caucasus and Central Asia ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT The OECD is a unique forum where the governments of 30 democracies work together to address the economic, social and environmental challenges of globalisation. The OECD is also at the forefront of efforts to understand and to help governments respond to new developments and concerns, such as corporate governance, the information economy and the challenges of an ageing population. The Organisation provides a setting where governments can compare policy experiences, seek answers to common problems, identify good practice and work to co-ordinate domestic and international policies. The OECD member countries are: Australia, Austria, Belgium, Canada, the Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Japan, Korea, Luxembourg, Mexico, the Netherlands, New Zealand, Norway, Poland, Portugal, the Slovak Republic, Spain, Sweden, Switzerland, Turkey, the United Kingdom and the United States. The Commission of the European Communities takes part in the work of the OECD. OECD Publishing disseminates widely the results of the Organisation’s statistics gathering and research on economic, social and environmental issues, as well as the conventions, guidelines and standards agreed by its members This work is published on the responsibility of the Secretary-General of the OECD. The opinions expressed and arguments employed herein do not necessarily reflect the official views of the Organisation or of the governments of its member countries, nor those of the governments of the non-members who have participated in this work. © OECD 2007 © 2007 IBRD/The World Bank: Objective 4.4 Agriculture, Forestry and Environment No reproduction, copy, transmission or translation of this publication may be made without written permission. Applications should be sent to OECD Publishing [email protected] or by fax 33 1 45 24 99 30. Permission to photocopy a portion of this work should be addressed to the Centre français d’exploitation du droit de copie (CFC), 20, rue des Grands-Augustins, 75006 Paris, France, fax 33 1 46 34 67 19, [email protected] or (for US only) to Copyright Clearance Center (CCC), 222 Rosewood Drive, Danvers, MA 01923, USA, fax 1 978 646 8600, [email protected]. Foreword FOREWORD Since 1991, the “Environment for Europe” process has provided a framework for improving environmental policies and outcomes in the pan-European region. In 1993, the Task Force for the Implementation of the Environmental Action Programme for Central and Eastern Europe (EAP Task Force) was established to support the integration of the environment into the broader process of economic and political reform in transition economies. With the enlargement of the European Union, the focus of the EAP Task Force’s work has shifted east, and is now concentrated on the countries of Eastern Europe, Caucasus and Central Asia (EECCA). In 2003, at the fifth “Environment for Europe” Conference in Kiev, Environment Ministers of the pan-European region adopted an Environment Strategy for EECCA countries. Ministers asked the EAP Task Force to lead the effort to facilitate and support the achievement of the objectives of the EECCA Environment Strategy. This report assesses the progress that has been made so far in achieving the objectives of the Strategy and focuses on actual policy measures taken by EECCA governments. It will serve to support discussions at the sixth “Environment for Europe” Conference, to be held in Belgrade in October 2007. The report was prepared by the EAP Task Force Secretariat, located in OECD’s Environment Directorate, in collaboration with a number of international organisations and regional stakeholders – UNDP, UNECE, UNEP, WHO, World Bank, the Regional Environmental Centres for Central and Eastern Europe, Russia, Moldova, the Caucasus and Central Asia, and the NGO network European ECO-Forum. Work on the report was also closely co-ordinated with the European Environment Agency’s Fourth Assessment of environmental conditions in the pan-European region, and was overseen by the EAP Task Force which currently is co-chaired by the European Commission and Kazakhstan. EECCA governments have driven the report’s intent and structure, provided a wealth of information and reviewed its final draft. Several donors – the European Commission, the Netherlands, Norway, Switzerland and the United Kingdom – have supported financially its preparation. The main message is that, in a still difficult context, EECCA countries have made some progress in improving environmental management, but a major implementation gap persists. In an increasingly diverse region, progress is not even across countries or environmental policy areas. Finance is a barrier in all areas, but it is not always the most important one: creating a more effective incentive structure for environmental improvement through policy and institutional reform is also essential. The report delineates the main elements of a more coherent and effective reform agenda, both at the general level and within each policy area. We are confident that it will provide a good basis for discussion by Ministers at the Belgrade Conference. Soledad Blanco Nurlan Iskakov EAP Task Force Co-chair EAP Task Force Co-chair Director for International Affairs Minister of Environment DG Environment – European Commission Government of Kazakhstan POLICIES FOR A BETTER ENVIRONMENT Progress in Eastern Europe, Caucasus and Central Asia 3 Acknowledgements ACKNOWLEDGEMENTS Many people have contributed in different ways to this report. In OECD’s Environment Directorate, the project was managed by Roberto Martín-Hurtado, who also drafted the report. Brendan Gillespie and Eija Kiiskinen provided overall guidance. Carla Bertuzzi was in charge of the statistical work. Aziza Nasirova co-ordinated the publication and communication efforts. Shukhrat Ziyaviddinov provided administrative support. Victor Cotruta (REC-Moldova) and Yelena Yerzakovich (CAREC) assisted the OECD core team in the collection of information. OECD’s Public Affairs and Communication Directorate was responsible for the publication of the report. Beatrix de Koster edited the report for English language. Stanislav Kuld translated the report into Russian. The Translation Division of the OECD was in charge of the translation of the Executive Summary into French. Chapter 1 on environmental institutions and policies is based on a background paper prepared by Angela Bularga and Eugene Mazur (OECD). Chapter 4.4 on agriculture and forestry is based on a background paper prepared by a World Bank team including William Sutton, Peter Whitford, Suzette Pedroso-Galinato and Emanuela Montanari Stephens. Chapter 6.2 on public participation and Chapter 6.3 on environmental education are based on background papers prepared by the NGO network European ECO-Forum. Other colleagues who have provided input, whether in the form of early advice, short written input or comments to different drafts, include Franck Wefering (CABRI-Volga project), Bulat Yessekin (CAREC), Palle Lindgaard (DHI), Mary Crass, Stephen Perkins (ECMT), Peter Bosch, Jaroslav Fiala, Adriana Gheorghe, Pawel Kazmierczyk, Gabriele Schoning, David Stanners (EEA), Gevork Arakelyan, Lidia Astanina, Muazama Burkhanova, Ibragimjon Domuladjanov, Victoria Elias, Fikret Jaffarov, Oleg Pechenyuk, Olga Ponizova, Alyona Vassilieva (European ECO-Forum), Meredydd Evans, Isabel Murray, Alexandrina Platonova (IEA), Nils-Axel Braathen, Peter Borkey, Nadia Caid, Tatiana Efimova, Henrik Harjula, Xavier Leflaive, Alexander Martoussevich, Nelly Petkova (OECD), Craig Davies (PPC), Oreola Ivanova, Kliment Mindjov, Jerome Simpson, Magdolna Toth-Nagy (REC), Keti Samadashvili (REC-Caucasus), Vladimir Litvak, Henrietta Martinakova, Juerg Staudemann (UNDP), Nickolai Denisov, Matthew Gubb, Ivonne Higuero, Viktor Novikov, Nelson Sabogal, Otto Simonett, Rie Tsutsumi, Elena Veligosh (UNEP), Tea Aulavuo, Kaj Barlund, Ella Behlyarova, Francesca Bernardini, Marianna Bolshakova, Keith Bull, Mikhail Kokine, Catherine Masson, Bo Libert, Michael Stanley-Jones (UNECE), Dafina Dalbokova, Michal Krzyzanowski, Francesca Racioppi, Hiroko Takasawa (WHO), Marjory-Anne Bromhead, Rita Cestti, Darejan Kapanadze, Grzegorz Peszko (World Bank) and Andriy Demydenko (independent consultant). EECCA participants of the sub-regional meetings that took place in Moscow, Almaty and Tbilisi in May- June 2005 (hosted by Russian REC, CAREC and REC-Caucasus, respectively), the regional meetings that took place in Kiev and Paris in May and November 2006 and the EAP Task Force meeting that took place in Brussels in March 2007, as well as their colleagues in the Ministries of Environment and other ministries, have provided a wealth of information and many useful comments, but are too numerous to be acknowledged individually here. The preparation of this report was made possible by financial contributions from the European Commission (TACIS), the Netherlands, Norway, Switzerland and the United Kingdom (DEFRA). 4 POLICIES FOR A BETTER ENVIRONMENT Progress in Eastern Europe, Caucasus and Central Asia Contributing organisations CONTRIBUTING ORGANISATIONS Task Force for the Implementation of the Environmental Action Programme (EAP Task Force) – www.oecd.org/env/eap The mission of the EAP Task Force is to facilitate and support environmental policy reform in the countries of Eastern Europe, Caucasus and Central Asia (EECCA) by promoting the integration of environmental considerations into the processes of economic, social and political reform and by upgrading institutional and human capacities for environmental management. Established in 1993 as part of the “Environment for Europe” process, the EAP Task Force brings together policy-makers from Central and Eastern Europe, EECCA and donor countries, international institutions and other stakeholders. The Organisation for Economic Co-operation and Development (OECD) serves as its Secretariat. United Nations Development Programme (UNDP) – www.undp.org The UNDP is the UN’s global development network, advocating for change to help people build a better life. UNDP is on the ground with 166 country offices, working as a trusted partner with governments, civil society and the private sector on their own solutions to global and national development challenges. Environment and energy are essential for human development. The poor are disproportionately affected by environmental degradation and lack of access to safe, affordable natural resources and energy services. UNDP helps countries strengthen their capacity to address these challenges at global, national and community levels, identifying and sharing best practices, providing innovative policy advice and linking partners through pilot projects that help poor people build sustainable livelihoods. With a USD 5 billion portfolio of environment and energy projects, UNDP is also one of the world’s largest providers of technical assistance in the area of climate change. United Nations Economic Commission for Europe (UNECE) – www.unece.org The UNECE is one of the five regional commissions of the United Nations. UNECE provides a regional forum for governments to develop conventions, norms and standards with the goal of harmonising action and facilitating communication between member States. The aim of the UNECE’s environmental activities is to reduce pollution so as to minimise environmental damage and conserve our natural resources for future generations, with a view to safeguarding the environment and human health and promoting sustainable development. United Nations Environment Programme (UNEP) – www.unep.org The mission of the UNEP is to provide leadership and encourage partnership in caring for the environment by inspiring, informing, and enabling nations and peoples to improve their quality of life without compromising that of future generations. UNEP was established in 1972 to serve as the “voice of the environment” within the UN system. UNEP is organised into divisions that reflect the Programme’s agreed priorities: early warning and assessment; policy development and law; policy implementation; regional cooperation; communications and public information; trade, industry and economics; support for conventions and other multilateral environmental agreements (MEAs); and implementation of projects under the Global Environment Facility (GEF). UNEP participates in the “Environment for Europe” process through the Regional Office for Europe, which facilitates the implementation of UNEP’s programme in Europe. POLICIES FOR A BETTER ENVIRONMENT Progress in Eastern Europe, Caucasus and Central Asia 5 Contributing organisations World Health Organisation (WHO) – www.who.int The WHO was established in 1948 as the specialised agency of the United Nations responsible for directing and coordinating authority for international health matters and public health. One of the WHO’s constitutional functions is to provide objective an reliable information and advice in the field of human health. It fulfils this responsibility in part through its publications programmes, seeking to help countries make policies that benefit public health and address their most pressing public health concerns. The World Bank – www.worldbank.org The World Bank is a source of financial and technical assistance to developing countries around the world. It is made up of two unique development institutions owned by 185 member countries—the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA). Each institution plays a different but supportive role in global poverty reduction and the improvement of living standards. The IBRD focuses on middle income and creditworthy poor countries, while IDA focuses on the poorest countries in the world. Together these institutions provide low-interest loans, interest-free credit and grants to developing countries for education, health, infrastructure, communications and many other purposes. Project Preparation Committee (PPC) – www.ppcenvironment.org The PPC has supported the development of environmental investment projects in Central and Eastern Europe, the Caucasus and Central Asia since 1993. It facilitates dialogue between donors, international financial institutions (IFIs) and client countries with project needs. With the continued support of its donor members, including the provision of PPC Officers working inside IFI banking teams, the PPC provides: i) support for the identification, preparation and financing of environmental investment projects; ii) opportunities for coordination, matchmaking and networking between stakeholders, and iii) access to good practice materials and support for capacity building. The secretariat of the PPC is at the European Bank for Reconstruction and Development in London. Regional Environmental Centre for the Caucasus (REC Caucasus) – www.rec-caucasus.org The REC Caucasus is an independent, non-for-profit organisation, established in spring of 2000, following the decision made at the 1995 “Environment for Europe” Ministerial Conference, to work for environment and sustainable development and to strengthen the role of civil society in the Caucasus region. To achieve its mission the Centre encourages co-operation among non-governmental organisations, governments, business, academic institutions, media and other stakeholders by supporting free exchange of information, offering advice and funding and promoting public participation in environmental decision-making. Regional Environmental Centre of Central Asia (CAREC) – www.carec.kz The CAREC is an independent non-profit international organisation, acting in accordance with the law of the Republic of Kazakhstan, with its Headquarters based in Almaty and Affiliates based in Dushanbe (Tadjikistan), Bishkek (Kyrgyz Republic) and Tashkent (Uzbekistan). CAREC has been co-established by five Central Asian countries, Commission of European Communities and UNDP to promote environmental cooperation in Central Asia at the national and regional levels, between non-governmental organisations, state bodies, businesses, local self-governance bodies and other stakeholders. 6 POLICIES FOR A BETTER ENVIRONMENT Progress in Eastern Europe, Caucasus and Central Asia Contributing organisations Regional Environmental Centre for Moldova (REC Moldova) – www.rec.md The REC Moldova was established in 1998 by the Government of Moldova and the European Commission as an independent, international, non-for-profit and non-political organisation to assist in solving of environmental problems through the promotion of co-operation between NGOs, governmental bodies, local communities, the business sector and all other environmental stakeholders at both national and regional levels, to increase education, information and public participation in the environmental decision making process in Moldova and neighbouring countries. Russian Regional Environmental Centre (RREC) – www.rusrec.ru The RREC is an international organisation with a special status, established by the European Commission and the Russian Government. The RREC works with federal and regional governments of the Russian Federation, and their partners. The RREC organises consultations and training for government bodies and natural resources users, facilitates capacity building of non-governmental organisations and the development of civil society. The RREC portfolio includes numerous projects and initiatives involving interaction among various sectors of society, establishment of new institutions and support for partnerships. Regional Environmental Centre for Central and Eastern Europe (REC) – www.rec.org The REC is an independent international organisation established in 1990 by Hungary, the United States and the European Commission. Today this non-advocacy, not-for-profit organisation is legally based on a charter signed by the governments of 29 countries and the European Commission. The REC’s mission is to assist in solving the environmental problems of CEE by promoting co-operation among non-governmental organisations, private institutions, governments, businesses and other environmental stakeholders, and by promoting the free exchange of information and public participation in environmental decision making. The REC has Headquarters in Szentendre, Hungary, and country offices as well as field offices in 16 Central and Eastern European (CEE) countries. European ECO-Forum – www.eco-forum.org The European ECO-Forum is a network of more than 200 environmental citizen’s organisations (ECOs) throughout the entire Europe, sharing a common interest in pan-European co-operation for a better environment. The ECO-Forum follows the official Pan-European co-operation. Its Co- ordination Board is composed of Chair, Treasurer and Issue Groups Co-ordinators. The Co-ordination Unit of the ECO-Forum is hosted by Eco-Accord. POLICIES FOR A BETTER ENVIRONMENT Progress in Eastern Europe, Caucasus and Central Asia 7 TABLE OF CONTENTS ABBREVIATIONS ..................................................................................................................... 10 EXECUTIVE SUMMARY ...................................................................................................... 12 RÉSUMÉ .......................................................................................................................................... 15 INTRODUCTION ...................................................................................................................... 19 PART I: PROGRESS ACROSS STRATEGIC OBJECTIVES ............................ 25 1. ENVIRONMENTAL LEGISLATION, POLICIES AND INSTITUTIONS ........................ 26 2. POLLUTION PREVENTION AND CONTROL ................................................................... 33 2.1. Air Quality ............................................................................................................................ 33 2.2. Water Supply and Sanitation ............................................................................................. 37 2.3. Waste and Chemicals Management ................................................................................. 41 3. SUSTAINABLE MANAGEMENT OF NATURAL RESOURCES ..................................... 45 3.1. Water Resources Management .......................................................................................... 45 3.2. Biodiversity Conservation .................................................................................................. 50 4. ENVIRONMENTAL POLICY INTEGRATION .................................................................... 54 4.1. Overall Issues ....................................................................................................................... 54 4.2. Energy and Environment ................................................................................................... 57 4.3. Transport and Environment .............................................................................................. 61 4.4. Agriculture, Forestry and Environment .......................................................................... 66 5. FINANCE FOR ENVIRONMENT ........................................................................................... 70 6. ENVIRONMENTAL INFORMATION AND PUBLIC AWARENESS ............................. 78 6.1. Environmental Monitoring and Information Management ........................................ 78 6.2. Public Participation in Environmental Decision-Making ............................................. 82 6.3. Environmental Education .................................................................................................. 86 7. TRANSBOUNDARY ISSUES AND MULTILATERAL ENVIRONMENTAL AGREEMENTS ............................................................................................................................... 90 8. CONCLUSIONS ......................................................................................................................... 94 8 POLICIES FOR A BETTER ENVIRONMENT Progress in Eastern Europe, Caucasus and Central Asia