Pep15 A New Environment Strategy For The World Bank Group

Pep15 A New Environment Strategy For The World Bank Group

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  Kulsum Ahmed, EnvironmentDepartment, WBG March 2, 2010 Lilongwe, Malawi worldbank.org/environmentconsultations
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  1984 – EnvironmentalImpact Assessments in investment lending adopted 1987 – Environment Department created 1992 – World Development Report (WDR) on Environment published 1993 – Global Environment Facility launched 1997 – Safeguards Policies adopted and Pollution Prevention and Abatement Handbook published 1999 – Prototype Carbon Fund launched 2001 – World Bank Environment Strategy 2003 – Equator Principles established (led by the IFC); WDR on Sustainable Development published 2006 – Sustainable Development Network (SDN) created 2006 – Policy and Performance Standards on Social and Environmental Sustainability adopted IFC – MIGA (Multilateral Investment Guarantee Agency) adopts in 2007 2008 – Strategic Framework on Development and Climate Change approved 2009 ~ 2010 – Development of Environment Strategy 2010 for the World Bank Group Group 2
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  Increased policy-based lendingfor environment Mainstreaming funds to support environment in sector portfolios Raised profile of safeguards management Increased environmental analysis (CEAs, SEAs) Raised the profile of environment in country strategies SDN integration 4
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  Clean Energy InvestmentFramework (CEIF) for increased lending for RE and EE, and increased energy access Energy FY 09 $8.2 billion invested - more than 40 percent in low carbon projects, including new renewable energy, energy efficiency, and hydropower Improved livestock management to reduce emissions, combat Agriculture desertification, harness biogas and improve water quality More efficient use of water in irrigated agriculture Rural water supply projects to significantly reduced disease Water and Country Water Resources Assistance Strategies (CWRAS) to Sanitation define strategic issues in 18 countries Urban transport planning integrated with air quality improvement strategies (Bus Rapid Transit) (i.e. Argentina, Transport Mexico, Brazil and India) Centralized management systems for improved regulation Improved local environment for millions of slum dwellers Urban Improved collection of disposal of more than one hundred million tons of solid waste per year 5
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  A Strategy forClimate Resilient Growth has been prepared in Africa Growing demand for Development Policy Lending for the Environment including in Colombia, Mexico, Brazil, Ghana, India Assessment of Poverty, Environment and Health Linkages in Egypt, Yemen and Djibouti Expanded Bank assistance in Sub-Saharan Africa for management of protected areas In East Asia region land management has been improved through tenure security and scaled up water management
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  For the firsttime more people live in cities than in rural areas Puts pressure on environmental resources, but Provides opportunity for environmentally sustainable service delivery to large numbers of people 8
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  Climate Change isa development challenge ◦ Developing countries will bear 70-80 percent of costs of damages caused by climate change ◦ Many countries lack sufficient technical and financial capacity to manage climate risks ◦ Economic growth alone is unlikely to counter threats, especially if it remains carbon intensive Climate Change requires climate-smart development ◦ World needs to act now, act together, and act differently 9
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  Environmental 24% of disease burden and 23% of all deaths in developing countries due to environmental risk factors Health Half of malnutrition is caused by poor sanitation from lack of access to safe water and Pollution Indoor air pollution responsible for 1.5 million deaths from respiratory illness; Management 2.7% of global burden of disease Weak inter-ministerial coordination Governance & Lack of coordination among different levels of government Institutions Under-funded environmental institutions Enforcement Sustainable Deterioration seen in water, air, forests, grasslands, marine resources, agro- Natural ecosystems Resource Overfishing: 75% of global fish stocks are fully or over-exploited. Management Ecosystem loss 10
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  A number oflarge economies will move to middle- income status Yet, there will also be many fragile/conflict affected states Populations in developed countries will be aging, while developing countries will have large young, unemployed As in last few years, commodity prices (food, energy, etc.) likely to continue to rise Bank will be one of many lending institutions globally, with a relatively small environment portfolio… 11
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  FY09, ENRM portfolioamounted to $13 billion (10% of total) Active Environment and Natural Resource Management (ENRM) Portfolio 12
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  2008 Independent Evaluationsaid: ◦ Greater attention to environmental sustainability ◦ More cross-sectoral and spatially-oriented approaches ◦ Strengthen staff skills ◦ Better measurement of activities and results ◦ Better coordination among WBG institutions and external partners 13
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  Bank will needto build on its comparative advantages: ◦ Learning through lending operations to a diverse set of countries ◦ Gathering and disseminating knowledge across countries ◦ Facilitating South-South exchanges of knowledge ◦ Ability to leverage finance, especially for unproven ventures and markets ◦ Convening powers in international arenas, unlike other regional organizations
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  Promoting Sustainable Development ◦Proper accounting for natural resource depletion, conversion to other forms of capital (physical, human, etc.) ◦ Promoting investment in natural resources (watersheds, forests, etc.) to generate growth Promoting Environmental Sustainability ◦ Where there are limits to capital substitutability ◦ E.g. beyond certain limits fish stocks can’t regenerate, forests can’t support critical ecosystem services Promoting Green Growth ◦ That is, cleaner, low-carbon, and climate-resilient growth ◦ By an aggressive move to leapfrogging
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  Work to exploitsynergies with other sectors in the World Bank by: ◦ Developing common goals for environmental sustainability ◦ Identifying measurable indicators in other sector strategies Sector Strategies: ◦ Urban Strategy (just completed consultations) ◦ Energy Strategy (ongoing consultations) ◦ Social Development Strategy (under review) ◦ Information and Communication Technology Strategy ◦ Transport, Infrastructure Strategies, Education, etc.
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  Climate Change Env & Soc Risk Management Business Opportunities in E&S IFC Sustainability Policy Climate Change $1 bn. investment in i) Sustainable Energy Markets Renewable/Energy ii) Sustainable Energy Finance Efficiency iii) Cleaner Production Performance Standards on iv) Sustainable Water Social and Environmental Sustainability Labor & Social Assets Leading GHG impact metrics: i)Gender i. CC stocktaking ii)Labor ii.GHG calculator IFC Leading Convergence of iii)Community Investment E&S Practice in Financial Sector Support private sector’s Biodiversity Loss adaptation to climate Disclosure Policy i) Sustainable Forestry change risks ii) Eco-Standards EHS Guidelines 17
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  TOPIC Monitoring and MeasuringEnvironmental Sustainability Trade- Growth, Poverty and the Environment: Understanding the Trade-offs and Synergies Environment and Natural Resources for Growth and Poverty Alleviation: A Alleviation: Sub- Framework for World Bank Assistance in Sub-Saharan Africa Rebalancing the Environment Agenda: Climate Change and Core Environmental Challenges Prevention: Climate Change, Environmental Degradation, and Competition Prevention: Middle- Identification of Policy Options in Middle-East and North Africa Environmental Mainstreaming and Sustainability Conflict Resolution Mechanisms for Environmental Disputes Role of Environmental Development Policy Loans in Supporting Sustainability Sustainability 18
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  TOPIC Pollution Management (withspecial reference to legacy pollution in Eastern and Central Europe) Biodiversity Management: Should the WBG be engaged and how? Environmental Services: • Valuation of Ecosystem Services • Financing Environmental Services Innovative Financing for the Environment Strengthening Environmental Governance and Institutions: What is the role for the WBG? Towards More Sustainable Outcomes with Stronger Environmental Governance Governance and Institutions in Latin America and the Caribbean Greening Agenda for World Bank Group
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  Provide feedback directlyonline 1. What should the role of the Bank be in helping developing countries to achieve sustainable development? 2. What should the role of the IFC and MIGA be in helping private sector stakeholders to achieve sustainable development? 3. What should be the balance in the Bank Group’s role between addressing country/client specific priorities and global public goods agendas? 4. How can the WBG assess progress in ensuring environmental sustainability across its entire portfolio? 5. Any other issues? 20
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  A gap betweenwhat the WBG says and does is perceived. WBG should increase coordination within its sectors and with other development partners. What is the definition of environmental sustainability? The 2010 Strategy should include measurement and monitoring systems for environmental sustainability. WBG should have greater role of knowledge sharing and capacity building (sharing lessons on SWAPs and DPLs). WBG should have stronger role on strengthening Environmental Governance.