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Finance conference fails millions
of poor people and the environment
Monterrey, Mexico 21, March 2002: As the
world's leaders gathered today in Monterrey for the final days of
the UN International Conference on Financing for Development it
is clear that after three days of negotiations there is little to
help billions of poor people around the world and the environment.
"This conference which was meant to provide
real financial help to millions of poor, has been hijacked by an
industry agenda with input from Non Governmental Oganisations (NGOs)
kept, at best, to a minimum, and at worst, they have been excluded
from the discussions.
Decisions that will affect billions of people around
the world and the environment have been made behind closed doors"
said Greenpeace campaigner, Paul Horsman, in Monterrey.
The negotiations here in Monterrey have exposed
the hypocrisy of governments' rhetoric on sustainable development.
Unless there are substantial changes, particularly in the thinking
of Northern governments, the outcome of the forthcoming Johannesburg
World Summit on Sustainable Development looks bleak.
"The only sustainable thing about this conference
has been sustained discussions of how governments, dancing to the
tune played by industry, ensure business access to markets. The
so-called 'Monterrey Consensus' is simply an agreement between Industry
and governments which will not address the widening gap between
rich and poor nor the increasing degradation of the global environment
- there can be no consensus when the voices of billions are not
represented," added Horsman.
The Monterrey conference has done little to help
the alleviation of poverty and environmental protection to achieve
sustainable development which, in the 10 years since the Rio Earth
Summit when the gap between rich and poor has widened and the environmental
degradation increased. The Monterrey Consensus is simply an agreement
which enables governments to rubber stamp ongoing environmental
degradation and increasing disaffection by billions of poor people.
Furthermore, none of the eight test cases (1) for
some success at Monterrey which Greenpeace laid down has been addressed.
One key issue is that the International Financial Institutions and
national governments should give priority to the funding for sustainable
energy, such as efficiency and renewable energy sources as a means
to fight against poverty. Access to clean energy is a key driver
for development which is sustainable in economic, social and environmental
terms.
At the Johannesburg Earth Summit, Greenpeace is
calling for the launch of a massive uptake of renewable energy globally
and for the two billion people who have no access to modern energy
services.
Notes:
Greenpeace calls upon the participants in the Monterrey
conference to:
1. Call upon the IFIs and national governments
to give priority to the funding of sustainable energy, such as efficiency
and renewable energy sources; as a means to fight against poverty,
and in line with the Monterrey consensus view that the IFIs must
act in a manner that is consistent with the agreements adopted by
UN institutions in the field of the environment;
2. Agree that the governments of OECD countries should immediately
target 20 percent of their energy sector lending and support in
the form of guarantees via their Export Credit Agencies to renewable
energy and energy efficiency programmes. This should be followed
by a plan to phase out support for non-sustainable 'conventional'
energy activities within five years, and to ensure the same measure
is adopted for all IFIs that OECD governments support;
3. Agree on a binding timetable for OECD countries to achieve at
least the target of 0.7 percent of GDP for Overseas Development
Aid (ODA), which was agreed at Rio 10 years ago. ODA has continued
to shrink since 1992; only the Netherlands, Denmark, Norway, Luxembourg
and Sweden are currently meeting this target. The Monterrey Consensus
reiterates the 0.7 percent target, but without a time-table there
is little doubt that the OECD countries will be as inactive as they
have been since Rio;
4. Agree to cancel the foreign debt and debt service of developing
countries. Servicing massive foreign debt has been one of the major
factors behind increased pressure on the biodiversity of developing
countries, in contradiction with the goals of the Convention on
Biological Diversity of 1992; environmentally and socially destructive
measures and adjustment programmes have been promoted and forced
upon developing countries by the IMF and the World Bank, in breach
of the stated commitment of these organisations to favour sustainable
development. Instead, OECD governments should, for example, increase
their financial commitments to promote the sustainable use and conservation
of ancient forests;
5. Recognise the 'common but differentiated responsibilities' for
environmental destruction enshrined in the Rio agreements of 1992.
The Rio agreements (Agenda 21, the Rio Declaration, the UN Framework
Convention on Climate Change and the Convention on Biological Diversity)
emphasised that it is primarily the responsibility of the industrialised
countries -- who have received the "benefits" from environmental
degradation -- to take action and to assist developing countries.
Several countries, led by the US, have nevertheless since opposed
this principle, and have used their position as bargaining chip;
see for example George Bush on the Kyoto Protocol;
6. Agree to take effective steps to ensure that transnational corporations
are legally bound to act responsibly. The Monterrey Consensus contains
nice words about the need for the business sector to take account
of the broader implications of their activities, but there is no
reason to believe that corporations will take notice and end their
"double standards" in developing countries as long as
these requirements are not legally binding;
7. Adopt a time-table to put an end to trade-distorting export subsidies
and environmentally destructive subsidies within the next decade.
The Monterrey consensus "acknowledges" that subsidies
are of particular concern to developing countries, but fails to
propose action to resolve this which is at the heart of the continued
inequity between developing and industrialised countries. Environmentally
destructive subsidies (for example in the energy, agriculture and
forestry sectors) have also undermined the Rio agreements, and put
the sustainable and clean production sectors at a disadvantage.
For example, annual subsidies to the fossil fuel and nuclear industries
amount to between $US 250 - 300 billion, undermining the implementation
of the UN Framework Convention on Climate Change; and
8. Agree that international trade rules must be subordinate to environmental
rules, and not the reverse, and that legitimate restrictions to
international trade can be important tools for sustainable development.
Since the creation of the World Trade Organisation (WTO) two years
after the 1992 Earth Summit, WTO member states have been challenging
legitimate trade-restricting measures aimed at protecting the environment
and consumers, such as moratoria, bans and other restrictions to
the use of genetically modified organisms in food and agriculture.
International trade can be an important tool for poverty eradication
and development, but it must recognise environmental limits and
social concerns.
Media contacts
Contacts: Greenpeace campaigners in Monterrey: Paul Horsman (English)
Juergen Knirsch (German) ++52 818 054 1772; Rosa Moreno (Spanish
& French)+52 818 705 4475; Cecilia Navarro (Spanish) +52 (01)
555 940 6033
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