Report Of The Twelfth Meeting Of The Parties

Distr.
GENERAL

UNEP/OzL.Pro.12/9
10 January 2001

ORIGINAL: ENGLISH
TWELFTH MEETING OF THE PARTIES TO
THE MONTREAL PROTOCOL ON
SUBSTANCES THAT DEPLETE
THE OZONE LAYER

Ouagadougou, Burkina Faso, 11-14 December 2000

REPORT OF THE TWELFTH MEETING OF THE PARTIES TO
THE MONTREAL PROTOCOL ON SUBSTANCES THAT DEPLETE
THE OZONE LAYER

1. The Twelfth Meeting of the Parties to the Montreal Protocol on Substances that Deplete the Ozone Layer was held at the Ouagadougou International Conference Centre in Ouagadougou, Burkina Faso, from 11 to 14 December 2000. It consisted of a preparatory segment, held from 11 to 12 December, and a high-level segment, held on 13 and 14 December.

I. OPENING OF THE MEETING

2. The preparatory segment of the Twelfth Meeting of the Parties was opened by its Co-Chair, Mr. Milton Catelin of Australia, at 10 a.m. on 11 December 2000. Opening statements were made by Mr. Fidèle Hien, Minister of the Environment and Water of Burkina Faso, and Mr. Michael Graber, Officer-in-Charge of the Ozone Secretariat, on behalf of Mr. Klaus Töpfer, the Executive Director of the United Nations Environment Programme (UNEP).
3. In his opening address, Mr Hien welcomed all participants to his country and expressed pride and gratitude at the honour accorded by the Parties in decision XI/293, accepting Burkina Faso's invitation to host the Twelfth Meeting of the Parties. He viewed the attention accorded to Burkina Faso by the United Nations as a sign of encouragement to its people in their endeavours to implement the many programmes for the protection of the environment. For decades, the country had faced the problem of land degradation and environmental deterioration as a result of encroaching desertification. But while the people had struggled to attain self-sufficiency in food supplies, other problems had emerged, such as pollution and further degradation of the environment, which had resulted in negative impacts on the people's health. The environmental problems could be traced back mainly to rapid but poorly conceived urbanization, the diversification of production and the lack of adequate infrastructure.
4. Concern over the environment was anchored in the 1991 Constitution. Burkina Faso was a signatory of the major environmental agreements, such as the Convention on Biological Diversity, the Basel Convention on Transboundary Movements of Hazardous Wastes and Their Disposal, the United Nations Framework Convention on Climate Change, the United Nations Convention to Combat Desertification and the Vienna Convention for the Protection of the Ozone Layer and its Montreal Protocol. Moreover, Burkina  Faso had ratified the London and Copenhagen Amendments - a testimony to its conviction that all the countries in the world, both North and South, had to assume the duty of ensuring better protection of the global environment, no matter what their own specific problems might be. Such a perception of how best to tackle the global environmental problems explained Africa's positive approach to the international agreements and, in particular, to the Vienna Convention and the Montreal Protocol.
5. He described some of Burkina Faso's efforts and actions, in cooperation with UNEP and other implementing agencies, for the implementation of the Montreal Protocol and the protection of the ozone layer, and stressed that such efforts needed to be continued and extended to the informal sector, which was of importance in respect of refrigeration and air-conditioning. In concluding, he pointed to the many complex areas of the agenda before the current Meeting and wished all participants success in their deliberations, which were of great significance in helping the global community to advance along the path of saving the ozone layer.
6. Mr. Graber welcomed the participants on behalf of the Executive Director of UNEP, and expressed appreciation to the Government of Burkina Faso for its efforts in organizing the meeting.
7. The first substantive issue on the agenda was a proposal to adjust Article 2H of the Protocol in order to rectify a technical drafting error in the adjustments adopted at Beijing. A draft decision and proposed adjustments had been prepared by the Legal Drafting Group. Proposals were also before the Parties for further adjustments to the HCFC phase-out schedule for Article 5 Parties.
8. He pointed out that The President of the Implementation Committee would be presenting a report on data reporting for 1997, 1998 and 1999 . and He paid tribute to the Parties for their excellent record in data reporting, which would not have been possible without the efforts of National Ozone Units and regional networks, and the support they received from the Multilateral Fund. He reminded Parties of the need to continue their data reporting efforts and comply with the deadline of 30 September each year.
9. After reporting on the number of new Parties to the Vienna Convention and the Montreal Protocol, he mentioned that a draft decision was before the Parties concerning the long-term strategy for ODS disposal and destruction technologies, as well as another on prevention of illegal trade in ODS and products containing ODS. Other issues included that of new ozone-depleting chemicals, reclassification of Parties in terms of Article 5 and measures to facilitate the transition from CFC-based metered-dose inhalers (MDIs). Lastly, the Parties would need to decide on the dates and venue of their Thirteenth Meeting.

II. ORGANIZATIONAL MATTERS

A. Attendance

10. The Meeting of the Parties was attended by representatives of the following Parties: Antigua and Barbuda, Argentina, Armenia, Australia, Bahamas, Bangladesh, Barbados, Belarus, Belgium, Belize, Benin, Bolivia, Botswana, Brazil, Bulgaria, Burkina Faso, Burundi, Canada, Chad, Chile, China, Colombia, Congo, Costa Rica, Côte d'Ivoire, Croatia, Cuba, Czech Republic, Denmark, Djibouti, Dominican Republic, Ecuador, Egypt, El Salvador, Ethiopia, European Community, Finland, France, Gabon, Gambia, Georgia, Germany, Ghana, Guinea, Haiti, Honduras, Hungary, India, Iran (Islamic Republic of), Israel, Italy, Jamaica, Japan, Jordan, Kenya, Kuwait Kyrgyzstan, Liberia, Libyan Arab Jamahiriya, Liechtenstein, Lithuania, Madagascar, Malawi, Malaysia, Mali, Malta, Mauritius, Mexico, Mongolia, Morocco, Mozambique, Netherlands, New Zealand, Nicaragua, Niger, Nigeria, Norway, Oman, Pakistan, Philippines, Poland, Republic of Korea, Romania, Russian Federation, Senegal, Singapore, Slovakia, Solomon Islands, South Africa, Sri Lanka, Sudan, Sweden, Switzerland, Syrian Arab Republic, Thailand, Togo, Tunisia, Turkey, United Kingdom of Great Britain and Northern Ireland, United Republic of Tanzania, United States of America, Uruguay, Venezuela, Viet Nam, Zambia, Zimbabwe.
11. The following non-Parties were represented: Equatorial Guinea, Guinea Bissau, Holy See.
12. Representatives of the following United Nations bodies and specialized agencies also attended: secretariat of the Multilateral Fund for the Implementation of the Montreal Protocol, United Nations Development Programme (UNDP), UNEP Division of Environmental Conventions, UNEP Division of Technology, Industry and Economics, United Nations Industrial Development Organization (UNIDO), United Nations Office at Nairobi (UNON), World Bank, World Meteorological Organization (WMO).
13. The following intergovernmental and non-governmental bodies and agencies were also represented:
    Agence Intergovernmental de la Francophone, American Lung Association, Commission Union Economique et Monétaire Ouest Africaine, Environmental Investigation Agency, Glaxo Wellcome, Greenpeace International, Indian Chemical Manufacturers Association, Industrial Technology Research Institute (ITRI), International Pharmaceutical Aerosol Consortium, Japan Fluorocarbon Manufacturers Association, Japan Industrial Conference for Ozone Layer Protection, Japan Refrigeration and Air-Conditioning Industry Association, Matsushita Electric Industrial Co. Ltd., Navin Fluorine Industries, Otsuka Pharmaceutical Co. Ltd., PREC Institute Inc., R&M Consultancy Inc., Refrigerant Gas Manufacturers' Association, Trane Company.

B. Officers

14. Mr. Milton Catelin (Australia) and Mr. John Ashe (Antigua and Barbuda), Co-Chairs of the Open-ended Working Group of the Parties to the Montreal Protocol, served as Co-Chairs of the preparatory segment of the Twelfth Meeting of the Parties.

C. Adoption of the agenda

15. The Co-Chair reported that item 3 (h) of the provisional agenda (UNEP/OzL.Pro.12/1) had been withdrawn at the request of the Party concerned.
16. Following a proposal by one representative, speaking on behalf of the European Union and its member States, the meeting agreed to insert a new item 3 (c) on its agenda on metered-dose inhalers.
17. Following a proposal by one representative, speaking on behalf of a regional group, the meeting agreed to discuss its proposal related to illegal trade in CFCs under item 3 (i) of its amended agenda.
18. A member of the Secretariat mentioned the request made by Slovenia to be removed from the list of developing countries. The request was included in the amended agenda as item 3 (l).
19. The following agenda for the technical segment of the combined meeting was adopted, as amended, on the basis of the provisional agenda which had been circulated:

I. Preparatory segment (11 and to 122 December)

1. Statement by a representative of the Government of Burkina Faso;
2. Statement by the Executive Director of the United Nations Environment Programme (UNEP).

1. Adoption of the agenda;
2. Organization of work.

4. Presentations by the representatives of United Nations agencies and the World Bank.
5. Presentation by the Chair of the Executive Committee of the Multilateral Fund for the Implementation of the Montreal Protocol.
6. Presentation by the President of the Implementation Committee.
7. Statements by heads of delegations.
8. Report of the Co-Chairs of the preparatory segment and consideration of the recommended decisions.
9. Date and venue of the Thirteenth Meeting of the Parties to the Montreal Protocol.
10. Other matters.
11. Adoption of the report of the Twelfth Meeting of the Parties to the Montreal Protocol.
12. Closure of the meeting.

90. Speaking on behalf of the Bureau, a member of the secretariat reported that the Bureau of the Twelfth Meeting of the Parties to the Montreal Protocol had approved the credentials of the representatives of 69 Parties to the Twelfth Meeting of the Parties, out of 119 Parties represented at the Meeting. The Bureau had also provisionally approved the representation of four Parties on the understanding that they would send their credentials to the Secretariat in due course. Parties with no credentials had been requested to transmit them to the Secretariat as soon as possible.

E. Summary presentations by the assessment panels

91. Mr. P. J. Aucamp, Co-Chair of the Scientific Assessment Panel, presented the report of the Panel on behalf of the Co-Chairs. He indicated that determination of the ozone-depleting potential (ODP) of short-lived gases presented a difficulty, since their residence time in the atmosphere varied with the seasons and the place of emission. The normal ODP concept did not apply directly and either a range of ODPs could be given, depending on location, or an estimate of cumulative ozone loss.
92. Concerning n-propyl bromide, he reported that the atmospheric lifetime was 11-14 days and the expected ODP was 0.0002-0.06 depending on the location of the emissions and the season in that hemisphere.
93. There was only one publication on hexachlorobutadiene (HCBD) and the study carried out by Canada. Currently, the Panel did not have enough information to determine an ODP for HCBD.
94. In relation to the 2002 assessment of the Scientific Assessment Panel, the process for preparing the 2002 assessment had already begun. The request for nominations of scientific experts had been sent in September 2000 and, by 30 November 2000, 32 countries had sent their nominations. The deadline for nominations had been extended to 31 December 2000. The appointment of the authors and the establishment of the outline would take place in May 2001 and would be carried out by an ad hoc Scientific Steering Group of experts, under the guidance of the Co-Chairs. The first draft of the report would be completed by October 2001 and the second draft by February 2002. The written international scientific peer review would start in march 2002 and the panel peer review would take place in June 2002. The final report would be ready by January 2003, as per the request made by the Eleventh Meeting of the Parties.
95. The representative of Canada expressed appreciation for the monitoring efforts of all countries to provide data on the processes taking place within the ozone layer. He expressed particular appreciation for the work carried out by the Netherlands, which had led to a greater understanding of the effects of ozone depletion.
96. Mr. Jan C. van der Leun, Co-Chair of the Environmental Effects Assessment Panel, referred to the summary produced by that panel on recent findings on effects of ozone depletion. It had been made available to all participants as document UNEP/OzL.Pro.12/INF/1. He focused on two questions posed by the Parties.
97. First, did hexachlorobutadiene (HCBD) have environmental effects? Toxicologists on the Environmental Effects Panel had critically reviewed a Canadian report on the chemical, and found it scientifically sound. This chemical indeed constituted a hazard to the environment. To complete the overall picture, he quoted a conclusion by the Scientific Assessment Panel that the ozone-depleting potential of HCBD was still uncertain.
98. Second, at the request of the Eleventh Meeting of the Parties, the Environmental Effects Panel had also paid attention to interactions between ozone depletion and climate change. Such interactions occurred at three levels: between components of the atmosphere, between atmosphere and biosphere and between effects in the biosphere. The Co-Chair gave examples in the three classes. Several interactions under study raised concerns of longer-lasting and more severe effects.
99. Mr. Stephen O. Andersen, Co-Chair of the Technology and Economic Assessment Panel, began the report on progress in technical and economic feasibility of alternatives and substitutes to ozone-depleting substances. The Technology and Economic Assessment Panel and its Technical Options Committees (TOCs) had completed reports on HFCs and PFCs used to replace ODS and on annual progress (including essential use nominations and other topics), and had participated in the preparation of the reports of the Intergovernmental Panel on Climate Change. Environmentally acceptable and cost-effective options existed for virtually every chloroflurocarbon, carbon tetrachloride, methyl chloroform, halon and methyl bromide application, with some exceptions, such as feedstock and process agents, propellants for declining uses in metered-dose inhalers, and critical halon uses.
100. Mr. David Okioga, Co-Chair of the Methyl Bromide TOC, mentioned that the consumption of methyl bromide had been substantially reduced in a number of countries, apart from an increase in the African and Asian regions. He said that alternatives were available to methyl bromide, with only a very few exceptions. Control of emissions has been achieved in soil applications, but research was still in progress to control emissions in space fumigation.
101. Mr. Ashley Woodcock, Co-Chair of the Aerosol TOC, reported that the transition from chlorofluorocarbon metered-dose inhalers was under way and that technical barriers were being overcome. He stated that the Technology and Economic Assessment Panel encouraged all Parties to develop transition strategies, and indicated the need to plan the availability of adequate pharmaceutical-grade CFCs to meet patients needs during the transition.
102. Mr. Lambert Kuijpers, Co-Chair of the Technology and Economic Assessment Panel, elaborated on the ongoing assignments to the Panel, particularly on process agents, halon management plans and estimating n-propyl bromide emissions in the spring of 2001. He outlined the future efforts to be undertaken by the Panel, and emphasized that full assessment efforts had been started by all TOCs, which were bringing their memberships to adequate levels, paying specific attention to participation by experts from Article 5(1) countries and countries with economies in transition. He then highlighted the present composition of the Technology and Economic Assessment Panel and mentioned that, under the Panel, the TOCs and task forces had more than 200 members from 46 countries; he also mentioned that he would be pleased to report progress in membership in 2001. He then concluded the presentation by summarizing the Panel's suggestion for new members of the Technology and Economic Assessment Panel, which had already been accepted by Parties.
103. Mr. Gary Taylor, Co-Chair of the Halons TOC, announced that on 1 January 2001, UNEP was launching a new business-to-business (B2B) Web portal, the online Halon Trader (www.halontrader.org). The Web site had been developed by UNEP's Division of Technology, Industry and Economics, under the guidance of the Halons TOC, to facilitate the international exchange of "banked" halons. It was the first business-to-business Web portal to support compliance with a multilateral environmental agreement.

F. Presentations by the representatives of United Nations agencies
and the World Bank

UNDP

104. Mr. Frank Pinto, Chief of the Montreal Protocol Unit of UNDP, noted that it was rare for a Meeting of the Parties to be held in a low-volume-consuming country, which made the present Meeting a welcome opportunity for a country such as Burkina Faso to demonstrate its commitment to the protection of the global ozone layer. He noted that UNDP had received over $292 million in funding for more than 1,100 projects under the Multilateral Fund, which would eliminate 37,375 ODP tons. The projects were taking place in 71 countries, in all geographical regions. By the end of 1999, UNDP had disbursed over $157 million, completed 625 projects and eliminated over 15,000 tons of ozone-depleting substances.
105. Among UNDP's specific contributions, he listed the development of strategies for ODS phase-out in small and medium-sized enterprises; the preparation of the China Solvent Sector Plan; the development of a procedure to involve all stakeholders in the formulation and implementation of methyl bromide replacement demonstration and investment projects; and the development of an incentive approach to handle commercial refrigeration end-user sector programmes within the overall framework of a refrigerant management plan.
106. UNDP, like the other implementing agencies, had taken preliminary steps towards a country-driven approach, and was prepared to go further down that road. As December 2000 marked 10 years of UNDP's involvement with the Montreal Protocol, UNDP had committed itself to a second decade of effort to ensure that the Protocol's goals were met.

UNEP

107. The representative of UNEP gave a presentation entitled "UNEP OzonAction - your enabling and empowering partner: from 'grace' to 'compliance'". He outlined UNEP's efforts in assisting low-volume-consuming countries through non-investment and institutional strengthening projects, and highlighted a number of innovative approaches that had been adopted, including the establishment of National Ozone Committees to prepare country programmes, the creation of regional networks, the use of refrigerant management plans, the formation of the "halon trader" business-to-business Web portal, the use of electronic discussion forums, and the establishment of North-South and South-South collaborative partnerships. Data reporting by Article 5(1) Parties had improved significantly, and UNEP's trends analysis showed that 76 countries were likely to meet the freeze of CFC and halon consumption, 36 were likely to meet the freeze with some additional efforts, and only 3 countries seemed to have difficulties and would require additional assistance. He said that 65 per cent of Parties assisted by UNEP through institutional strengthening, and 80 per cent of Parties assisted by UNEP through network assistance, had already gone beyond the minimum achievements required for compliance. He finished by listing the new challenges which the Parties to the Montreal Protocol were now facing, including the problems of illegal trade and dumping and the need to improve data reporting, provide enhanced policy-setting assistance and promote training and public awareness.
UNIDO

 

108. The representative of UNIDO said that the Montreal Protocol was widely recognized as the ideal model of an international environmental treaty, with much of its success being attributable to its ability to evolve in line with the latest environmental information and technological and scientific developments. The main emphasis of UNIDO's assistance under the Protocol lay in technical advice to and capacity-building for the various key players in industry, to ensure their market competitiveness. Such services were rendered through awareness creation and enhancement; training in cleaner production technology; technical and financial support for the conversion of production lines; replacement or retrofitting of equipment for adaptation to the new substances; and capacity-building in national authorities and enterprises.
109. As an implementing agency under the Multilateral Fund, UNIDO was assisting 59 developing countries, in partnership with their National Ozone Units, environmental authorities, industrial associations and industrial enterprises. It had a portfolio of 384 investment, recovery and recycling and demonstration projects, totalling some $218 million, which would phase out 28,513 ODP tons, 20,021 of them by the end of 2000.
110. Industry had played a leadership role in the phase-out process. It was industry which had invested in the research, development and marketing of alternative chemicals and technologies, and which was now carrying out the changeover to non-ODS alternatives, usually at lower cost than had originally been anticipated. Without such a contribution from industry, progress would have been much slower, and a continuing commitment from industry was essential to achieving the full restoration of the ozone layer.

World Bank

111. The representative of the World Bank said that the Bank had assisted Article 5 countries around the world to complete and reduce their ODS consumption and production by a total of 105,000 ODP tons through the completion of over 250 projects financed by the Multilateral Fund (out of over 500 approved projects and four sectoral ODS phase-out plans), with a disbursement of over $286 million from the Fund to date. All the countries in which the World Bank was active would be able to meet their freeze obligations under the Montreal Protocol. Of the nine countries with economies in transition in which the Bank was involved under GEF, five had completed their phase-out projects, two more would complete their projects by the end of this year, one would complete in 2001 and the last in 2003. In addition, the Russian Federation had, through the Special Initiative co-financed by a number of countries and GEF, signed an agreement with the Bank on 25 October which would ensure that all seven of its CFC production plants would be closed and dismantled no later than 20 December 2000.

G. Presentation by the chair of the Executive Committee of the
Multilateral Fund for the implementation of the Montreal Protocol

112. Mr. Heinrich Kraus, Vice-Chair of the Executive Committee of the Multilateral Fund for the Implementation of the Montreal Protocol, presented the Committee's report (UNEP/OzL.Pro/12/7 and Corr. 1 and 2) to the Twelfth Meeting of the Parties on behalf of Mr. P. V. Jayakrishnan, Chair of the Executive Committee, who was unable to attend the current meeting.
113. He explained that the report covered the activities undertaken by the Executive Committee since the Eleventh Meeting of the Parties. It included an annex, prepared in response to decision VIII/31, updating information on actions taken by the Executive Committee to improve the functioning of the Financial Mechanism. During the reporting period, the Executive Committee had held its thirtieth meeting in Montreal on 29 and 30 March 2000; the thirty-first meeting had been held in Geneva from 5 to 7 July 2000, just before the twentieth meeting of the Open-ended Working Group; and the thirty-second meeting had been held in Ouagadougou during the preceding week, from 6 to 8 December 2000.
114. In accordance with decision XI/9 of the Eleventh Meeting of the Parties, the meetings of the Executive Committee had been attended by representatives from Australia, Germany, Japan, the Netherlands, Slovakia, Sweden and the United States of America, representing countries not operating under paragraph 1 of Article 5 of the Montreal Protocol, and by representatives from the Bahamas, Brazil, China, the Dominican Republic, India, Tunisia and Uganda, representing Parties operating under paragraph 1 of Article 5. The first two meetings of the year had been chaired by Mr. Vishwanath Anand (India), while the thirty-second meeting had been chaired by Mr. P. V. Jayakrishnan (India).
115. The report before the Parties contained a comprehensive but concise summary of the business of the Executive Committee during the year 2000, arranged according to the responsibilities and areas of activity of the Committee. Most substantive decisions taken by the Committee were referred to in the report. Not all administrative decisions were included. However, all the decisions of the Executive Committee taken during the reporting period could be found in the reports of its meetings, copies of which were distributed to

all Parties. Those reports and the reports of the Sub-Committee on Project Review and the Sub-Committee on Monitoring, Evaluation and Finance could also be found on the Web site of the Secretariat of the Multilateral Fund (www.unmfs.org).

116. In section B of the report, dealing with financial matters, paragraphs 8-11 indicated the status of the Multilateral Fund as advised by the Treasurer. The Vice-Chair was pleased to be able to report that there had been sufficient funds on hand throughout the reporting period to enable the Executive Committee to allocate funds without delay to all the projects and activities it wished to approve at each meeting. Arrears in contributions represented only 10 per cent of pledges, of which 7 per cent was associated with countries with economies in transition. The status of the Fund continued to show an enviable record.
117. In line with the new era of compliance for countries operating under paragraph 1 of Article 5, in the year 2000, the Executive Committee had devoted time and effort to strategic planning, so that its work over the coming years could assist Article 5 countries to meet their commitments to the Protocol's phase-out schedule. The Committee had adopted a framework for the objective, priorities, problems and modalities for strategic planning of the Multilateral Fund as the basis for future work, and had decided to continue its work on strategic planning at its next meeting. Those activities were referred to in section C of the report, which also addressed business planning.
118. Section D of the report contained a synopsis of the achievements of the Multilateral Fund in the year 2000. Projects and activities approved since the inception of the Fund were planned to achieve a phase-out of over 120,000 tons of ozone-depleting substances. Of that total, 18,000 tons were attributable to the 215 investment and demonstration projects approved in the year under review.
119. At its meetings in 2000, the Executive Committee had also approved a total of 249 non-investment projects and activities. The report highlighted some of the noteworthy activities in each of the industrial sectors in which assistance had been provided, making special mention of the phase-out agreements, which were becoming an increasingly important part of the operations of the Multilateral Fund. Under those agreements, an overall level of funding was decided, in return for which the country guaranteed to achieve a complete phase-out in the sector or industrial application involved within a specified period of time. Those agreements were now being extended to the methyl bromide sector, where progress commanded high priority in view of the impending freeze on methyl bromide consumption in Article 5 countries in 2002.
120. The Executive Committee had also approved the funding of another seven refrigerant management plans for low-volume-consuming countries, bringing to 57 the number of countries with such plans under implementation. The Committee had also approved country programmes for countries which were commencing their work under the Montreal Protocol, and had funded some 50 institutional strengthening and technical assistance projects.
121. Section E of the report outlined the monitoring and evaluation programme under the Multilateral Fund. In 2000, the Article 5 countries, the implementing agencies and the Committee itself had benefited from a report prepared by the Fund secretariat concerning the status of Article 5 countries in relation to their individual national consumption targets. The Executive Committee had noted that there were discrepancies, as usual, between the data submitted to the Ozone Secretariat and the Fund secretariat and had requested the implementing agencies to attempt to reconcile the discrepancies. The Committee had also urged national ozone units to provide more explicit data, especially in the refrigerant sector. The Committee had requested the secretariat to continue the analysis each year and to liaise with relevant countries and agencies to improve the quality of the data.
122. During the period under review, the Committee had considered final reports arising from the year 2000 monitoring and evaluation work programme. The Committee had also approved the monitoring and evaluation work programme for the year 2001.
123. Section F of the report provided an overview of the policy issues considered by the Executive Committee during the year. He drew attention to the fact that, consistent with the increasing importance currently attached to understanding the remaining levels of consumption in countries, the Committee had asked that countries indicate to the Fund secretariat the ODS phased out from all projects completed in the previous year, to provide a clearer picture of what remained to be done in each sector.
124. Section G of the report referred to the requirement to report on actions taken to improve the Financial Mechanism arising from various decisions of Meetings of the Parties. That report was provided in the annex, in the format requested by the Parties. Section H contained a brief statement of the activities of the Fund secretariat in the period under review.

H. Presentation by the President of the Implementation Committee

125. Mr. Mamadou Diallo Iam (Mali), President of the Implementation Committee, reported on the twenty-fifth meeting of the Committee, held in Ouagadougou on 9 December 2000 to consider issues based on the secretariat's report on data for 1998 and 1999 and review the follow-up to the Committee's previous recommendations, as well as to consider the analysis of data reported and policies adopted by Article 5 Parties to achieve compliance with initial control measures under the Protocol.
126. Following the presentation of a secretariat report on compliance with data reporting requirements and the ODS phase-out schedule, and on instances of deviations from the phase-out schedule by a few Parties, representatives of a number of Parties had appeared before the Committee to provide further information. The Committee had noted the information provided by the European Community, India, Israel and the Russian Federation.
127. The Committee had agreed that, since it would be examining data relating to the first year of compliance for Article 5 Parties in 2001, production and consumption data should be sent to the secretariat as early as possible, and no later than 30 September 2001.
128. Concerning funding by GEF, the Committee had agreed to recommend to the Meeting of the Parties a decision requesting GEF to clarify its position regarding existing and future funding activities.
129. The Committee had also agreed to recommend that the term of office of its members and officers should be set at 1 January to 31 December each year, and that new members should elect the President and Vice-President for the next year during the preceding Meeting of the Parties.
130. Lastly, the Committee had agreed on steps to be taken to clarify a reporting requirement on process agents set out in decision X/14.

I. Statements by heads of delegations

131. In the ensuing general debate, the Meeting heard statements from the representatives of 42 Parties to the Protocol and one non-governmental organization.
132. All representatives who took the floor thanked the Government and people of Burkina Faso for the excellent arrangements and the warm and generous hospitality extended to participants.
133. Many representatives expressed their appreciation of work done by the assessment panels, the Implementation Committee, the Executive Committee, the secretariat of the Multilateral Fund, the implementing agencies and the Ozone Secretariat. Several said that the increasing emphasis on innovative approaches such as country-driven and compliance-driven programming definitely led to significant successes.
134. One speaker commented that the Executive Committee of the Multilateral Fund had in recent years focused on sectoral and national projects, which could be very effective through putting control in the hands of the Article 5 countries. All too often the Executive Committee and the secretariat had followed an habitual way of working which put Article 5 countries in the passenger seats. It was time to leave behind such de-motivating "micro-management" and for Article 5 countries to take over their responsibilities for work under the Montreal Protocol.
135. Many speakers referred to the achievements of their countries in working to eliminate ODS, and in some cases discussed their difficulties. Many also described their progress in developing laws and regulations to enforce the provisions.
136. One speaker said that the regional networking system put in place by UNEP had been of vital importance in pursuing the goals of the Montreal Protocol, allowing countries to share knowledge and experience with colleagues from their regions.
137. One speaker commented that a few implementing agencies delayed the timely disbursement of funds, causing unnecessary delays in approved projects. Another requested that business plans for future years have a special funding window allowing differentiated thresholds of cost effectiveness for SMEs in all sectors.
138. Many speakers commented that reports available to the Meeting of the Parties indicated that remarkable results had been achieved through joint efforts, making the Montreal Protocol a very successful model of global environmental cooperation. Worldwide consumption of ODS had been reduced by 85 per cent. Production and consumption of CFCs, halons, carbon tetrachloride and methyl chloroform have been phased out in developed countries and developing countries were now starting their own phase-out of CFCs.
139. Many speakers stressed that the Parties should not be complacent. They said that the hole in the ozone layer over the Antarctic region had continued to spread, covering an area twice the size of Europe, and the effects had even reached the southern end of South America, forcing residents there to stay indoors for several days because of the serious risk of harm by ultraviolet radiation to their skin and eyes. In northern latitudes, ultraviolet radiation could also be expected to show a remarkable increase in the coming decade, a cause of great concern for both the people and ecosystems.
140. Many speakers commented that while there were predictions that the recovery of the ozone layer could be expected in about half a century, this might be delayed by climate change.
141. Several speakers observed that the Parties now faced new challenges. Developing countries operating under Article 5 had now completed the first year of their compliance phase for the freeze on CFCs, which began in July 1999. They said modalities and strategies should be examined as a continuous exercise and that circumstances might call for some further changes in the framework that had guided efforts under the Montreal Protocol. Some areas of concern could be addressed by assessment panels and the Executive Committee.
142. One speaker commented that when new ODS were identified they should be immediately controlled and phased out as soon as practicable.
143. Several speakers expressed their appreciation to the donor countries of the Multilateral Fund, which had made it possible for countries operating under Article 5 to implement their commitments under the Montreal Protocol. Non-Article 5 countries were expected to play a major role in supporting the efforts of Article 5 countries by securing more stable and predictable flows of financial and technological resources for Article 5 Parties to meet their genuine needs for carrying out control measures. Several speakers added that it was still necessary to put into the hands of Article 5 countries the means required to collect, store and destroy CFCs and halons removed from use, and in some cases assistance was needed to replace halons in old installations.
144. Several speakers commented on the paradox that some recommended alternatives to CFCs were now listed under the Kyoto Protocol as greenhouse gases, and the Kyoto Protocol parties were committed to reducing their emissions. One said it would be essential to define in advance a schedule for the reduction of HCFCs in countries operating under Article 5, so that those countries could initiate appropriate reduction strategies. Another said scientific advice confirmed that in order to protect the ozone layer it was also necessary to limit as much as possible any contribution to the greenhouse effect.
145. Several speakers from Article 5 countries voiced strong reservations about any increase in their commitments on HCFCs, which might disrupt the phase-out of CFCs.
146. One speaker from a developed country expressed regret that the Parties at this stage had failed to agree on a new study by the Technology and Economic Assessment Panel of the future use of HCFCs and expressed the hope that the next meeting of the Open-ended Working Group would be able to address the concerns of Article 5 countries adequately.
147. Several Article 5 countries observed that they would need additional help to meet their commitments to a 50 per cent reduction in the use of Annex A Group I substances by 2005, and to an 85 per cent reduction in the use of carbon tetrachloride by the same year. A speaker from a developed country commented that both technical and financial solutions were needed on carbon tetrachloride.
148. Several speakers called for close interaction between agreements protecting the ozone layer and other international conventions on the environment.
149. One speaker from a maritime nation urged the parties to consider how the shipping industry, on a global scale, could embrace the goal of the Montreal Protocol, and urged Parties to accept the 1997 Annex VI of the MARPOL Convention, which had so far been accepted by only three countries.
150. Several speakers from Article 5 countries referred to agricultural use of methyl bromide, saying research was still required and the suitability of alternatives needed to be demonstrated under field conditions. A speaker from a developed country said that high priority should be given to securing the increased use of alternatives already available for several methyl bromide applications.
151. Several speakers said that while the mechanism of the Multilateral Fund was well evolved, transfer of ozone-friendly technology to developing countries was also essential in capacity-building efforts under the Montreal Protocol. This included the technology required to produce non-CFC MDIs, which, one speaker noted, were controlled by multinational pharmaceutical companies.
152. One speaker warned that the phase-out of CFC MDI production in developed countries might lead to an increase of CFC MDI production in Article 5 countries.

J. Report by the co-chairs of the preparatory segment and
consideration of the recommended decisions

153. The Co-Chairs of the preparatory segment informed the high-level segment about the main issues covered in the deliberations of the technical segments and pointed to the draft decisions negotiated by the technical segment, which were before the high-level segment for consideration.

VII. DATE AND VENUE OF THE THIRTEENTH MEETING OF THE PARTIES
TO THE MONTREAL PROTOCOL

154. The Meeting of the Parties accepted with acclamation an offer by the Government of Sri Lanka to host the Thirteenth Meeting of the Parties in Sri Lanka in 2001. A member of the Secretariat said it would negotiate the details with the Sri Lankan authorities.

VIII. ADOPTION OF DECISIONS

155. The Meeting of the Parties adopted a number of decisions on the basis of the draft decisions contained in document UNEP/OzL.Pro.12/8/Rev.2 and on the basis of proposals submitted during the current Meeting. The text of the decisions, as adopted, is contained in the following paragraph.

A. Decisions

156. The Twelfth Meeting of the Parties decides:

1. To take note, with appreciation, of the conclusions of the Legal Drafting Group as to an unintended error in the Beijing Adjustment regarding the level of allowable production of methyl bromide for basic domestic needs;
2. To take note of the fact that the average production of methyl bromide for basic domestic needs in non-Article 5 Parties reported for the period 1995-1999 did not exceed 10 per cent of their calculated level of production in 1991;
3. To express the hope and expectation that, in the light of the above, each Party's methyl bromide production levels during 2001 will continue to remain within the 10 per cent production allowance for methyl bromide for basic domestic needs, as intended by the Parties in Beijing.

1. For the purposes of this decision, "chlorofluorocarbon metered-dose inhaler product" means a chlorofluorocarbon-containing metered-dose inhaler of a particular brand name or company, active ingredient(s) and strength;
2. That any chlorofluorocarbon metered-dose inhaler product approved after 31 December 2000 for treatment of asthma and/or chronic obstructive pulmonary disease in a non-Article 5(1) Party is not an essential use unless the product meets the criteria set out in paragraph 1(a) of decision IV/25;
3. With respect to any chlorofluorocarbon metered-dose inhaler active ingredient or category of products that a Party has determined to be non-essential and thereby not authorized for domestic use, to request:

1. Develop a national or regional transition strategy based on economically and technically feasible alternatives or substitutes that it deems acceptable from the standpoint of environment and health and that includes effective criteria and measures for determining when chlorofluorocarbon metered-dose inhaler product(s) is/are no longer essential;
2. Submit the text of any such strategy to the Secretariat by 31 January 2002;
3. Report to the Secretariat by 31 January each year thereafter on progress made on its transition to chlorofluorocarbon-free metered-dose inhalers;

6. To encourage each Article 5(1) Party to:

1. All or part of its essential use authorization to another existing metered-dose inhaler company; or
2. Chlorofluorocarbons to another metered-dose inhaler company provided that the transfer complies with national/regional licence or other authorization requirements;

Noting decisions II/11, III/10, IV/11, V/26 and VII/35 on destruction technologies and the previous work of the Ad Hoc Technical Advisory Committee on Destruction Technologies;

Also noting the innovations that have taken place in the field of destruction technologies since the last report of Advisory Committee;

Recognizing that the management of contaminated and surplus ozone-depleting substances would benefit from further information on destruction technologies and an evaluation of disposal options;

Recognizing the threat of illegal trade in ozone-depleting substances, mixtures and products containing ozone-depleting substances to the global process of ozone layer protection,

Understanding the importance of control of trade in ozone-depleting substances, mixtures and products containing ozone-depleting substances in all Parties in view of the need for global implementation of the provisions of the Montreal Protocol,

Acknowledging that presently the effective control at national borders of trade in ozone-depleting substances, mixtures and products containing ozone-depleting substances is very difficult due to problems in ozone-depleting substances identification, the complexity of relevant customs codes, the lack of an internationally accepted common labelling system and the lack of specially trained customs officers, and the need to approach most of these problems by concerted action at the international level,

Acknowledging that it is important to understand the status of and take into account ongoing work in this area by other international bodies, and take into consideration previous decisions of the Parties, including decisions IX/22, X/18 and XI/26,

Decision XII/17. Ouagadougou Declaration at the Twelfth Meeting of the Parties to the Montreal Protocol

157. With regard to decision XII/15, on financial matters, financial report and budgets, the delegation of Japan, while joining the consensus on the draft decision on financial matters, wished to state that the budget for the Trust Fund for the Montreal Protocol should be governed by the "zero nominal growth" principle, as in the case of the budgets of other organizations in the United Nations system. From that point of view, Japan would consider the proposed budget for 2002 critically next year. Japan called on the Secretairat to continue and, where appropriate, further strengthen prudence in financial management to attain zero nominal growth.

IX. OTHER MATTERS

 

Continuation of discussion of HCFCs

 

158. The high-level segment agreed that the next meeting of the Open-ended Working Group should continue discussion on the use of HCFCs in Parties operating under Article 5(1).

Statement by the representative of China

 

159. The representative of China protested at the presence of an unauthorized person in the diplomatic area reserved for government representatives during the statement by the President of Burkina Faso at the opening of the high-level segment, which constituted a serious incident. He regretted that the secretariat had not taken steps to avoid the incident, and said that China reserved the right to make a further reaction on the matter.
160. In reply, the Officer-in-Charge of the Ozone Secretariat expressed regret at the incident and pointed out that the matter had been drawn to the attention of the Secretariat too late for any action to be taken. He assured the representative of China that such an incident would not happen again.

X. ADOPTION OF THE REPORT

 

161. The present report was adopted on Thursday, 14 December 2000, on the basis of the draft report submitted to the meeting.

XI. CLOSURE OF THE MEETING

 

162. After the customary exchange of courtesies, the meeting rose at 5.45 p.m. on Thursday, 14 December 2000.

* 2001Contribution from reserve was based on Decision XI/21, paragraph 5 of the 11th Meeting of the Parties to the Montreal Protocol,

** 2001 Contributions of Parties was based on Decision XI/21, paragraph 6 of the 11th Meeting of the Parties to the Montreal Protocol.

EXPLANATORY NOTES FOR THE BUDGET REVISION FOR 2001 AND PROPOSED 2002 BUDGET FOR THE TRUST FUND FOR THE MONTREAL PROTOCOL

General: - All figures are in US dollars (US$).