The Montreal Protocol on Substances that Deplete the Ozone Layer

The Montreal Protocol on Substances that Deplete the Ozone Layer is a global agreement to protect the Earth’s ozone layer by phasing out the chemicals that deplete it. This phase-out plan includes both the production and consumption of ozone-depleting substances. The landmark agreement was signed in 1987 and entered into force in 1989.

The parties to the Protocol meet once a year to make decisions aimed at ensuring the successful implementation of the agreement. These include adjusting or amending the Protocol, which has been done six times since its creation. The most recent amendment, the Kigali Amendment, called for the phase-down of hydrofluorocarbons (HFCs) in 2016. These HFCs were used as replacements for a batch of ozone-depleting substances eliminated by the original Montreal Protocol. Although they do not deplete the ozone layer, they are known to be powerful greenhouse gases and, thus, contributors to climate change.

The Montreal Protocol provided a set of practical, actionable tasks that were universally agreed on. The Protocol has successfully met its objectives thus far and continues to safeguard the ozone layer today. Thanks to the collaborative effort of nations around the world, the ozone layer is well on its way to recovery.

Appendix II: Solutions on challenges regarding funding issues and flexibility in implementation

Overarching principles and timelines

To address the HFC phase-down, the Parties agree to revise within one year after the adoption of the amendment, procedures, criteria and guidelines of the MLF.

In addressing the HFC phase-down, revise the rules of procedure of the ExCom with a view to building in more flexibility for Article 5 Parties.

The Chair of the Executive Committee must report back to the Meeting of the Parties on the progress made in accordance with this decision, including on cases where Executive Committee deliberations have resulted in a change in the national strategy or the national technology choice submitted to the Executive Committee.

Principles on 2nd and 3rd conversions

That first conversions, in the context of a phase-down of HFCs, is defined as conversions of enterprises to low-GWP or zero-GWP alternatives that have never received any direct or indirect support, in part or in full, from the MLF, including enterprises that converted to HFCs with their own resources.

That enterprises that have already converted to HFCs in phasing out CFCs and/or HCFCs will be eligible to receive funding from the MLF to meet agreed incremental costs in the same manner as enterprises eligible for 1st conversions.

That enterprises that convert from HCFCs to high-GWP HFCs, after the adoption of an HFC amendment, under HPMPs already approved by the ExCom will be eligible to receive funding from the MLF for a subsequent conversion to low-GWP or zero‑GWP alternatives to meet agreed incremental costs in the same manner as enterprises eligible for 1st conversions.

That enterprises that convert from HCFCs to high-GWP HFCs with their own resources before the freeze date of HFC phase-down will be eligible to receive funding from the MLF to meet agreed incremental costs in the same manner as enterprises eligible for 1st conversions.

To agree that enterprises that convert from HFCs to lower-GWP HFCs with MLF support when no other alternatives are available will be eligible to receive funding from the MLF for a subsequent conversion to low-GWP or zero-GWP alternatives if necessary to meet the final HFC phase-down step.

Sustained aggregate reductions

Remaining eligible consumption for funding in tonnage will be determined on the basis of the starting point of the national aggregate consumption less the amount funded by previously approved projects in future multi-year agreement templates for HFC phase-down plans (Consistent with Dec. 35/57).

Enabling activities

Enabling activities will be supported by the MLF in any HFC phase-down agreement.

Capacity-building and training for handling HFC alternatives in the servicing sector, the manufacturing and production sectors

Institutional Strengthening

Article 4b Licensing

Reporting

Demonstration projects

Developing national strategies