published by IISD, the International Institute for Sustainable Development
in cooperation with the UNDP Secretariat
Special Report on Selected Side Events at the Fifteenth Session of the Commission on Sustainable Development (CSD-15)
30 April - 11 May 2007 | United Nations headquarters, New York
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Events convened on Monday, 30 April 2007

Industrial Development for the 21st Century

Presented by the UN Department for Economic and Social Affairs (DESA)

David O’Connor, DESA, introduced the panel discussion, which focused on aspects of a new UN-published book entitled “Industrial Development for the 21st Century: Sustainable Development Perspectives.”

José Antonio Ocampo, DESA, stated that industrialization is a necessary element of development. He said that governments should set industrial policy to achieve four main aims: structuring the evolution of labor activities to avoid social disruption as more productive practices are introduced; encouraging innovation, including in opening new markets; promoting linkages within domestic economies; and ensuring that industrial development reduces unemployment and underemployment.

Jomo Kwame Sundaram, DESA, also emphasized the importance of industrialization, and warned developing countries not to only focus on their traditional economic activities such as agriculture. He noted the ability of industry to employ labor and to innovate, and pointed out the need to selectively favor certain industries based on each country’s circumstances.

Vivek Chibber, New York University, said that rates of growth, employment and poverty reduction in the developing world had been disappointing over the last 25 years. He called for state intervention in industrial policy to ensure that increased income from development is redistributed across regions and social groups, and to strengthen labor and social organizations.

Mónica Kjöllerström, DESA, discussed the misconception that natural-resource-based economic activities are necessarily inflexible, low in innovation, and lacking in significant multiplier effects. She highlighted examples of innovative and value-added agricultural industries, such as fresh fruit exports from Chile, beef exports from Namibia, and fresh-cut flowers and vegetables from Kenya, which she said resulted from improvements in post-harvest production, transportation, logistics and marketing.

David Tommy, UNIDO, underlined that developing countries need to develop value-added industries, become domestically and internationally competitive, and achieve improvements in quality and marketing. He used the example of Nigeria to explain that lucrative exports of a commodity such as oil will only succeed in addressing poverty in the exporting country if the industry is linked to other sectors, ensuring that the overall economy is boosted.

Participants discussed: addressing uncertain employment and child labor in developing countries; avoiding policies that pursue economic growth at the cost of social wellbeing; WTO non-agricultural market access issues; and links between industrial development, demographic pressures and climate change.

Jomo Kwame Sundaram, DESA, said that industrial policy can promote cleaner development, and gave the example of “Asia’s Clean Revolution”, which involves incentives to encourage “greener” industrial processes and products.
José Antonio Ocampo, UN DESA, stated that industrialization is a necessary element of development, and said that countries with natural-resource-based economies should graduate towards industrialization and then services.
David O’Connor, DESA
Vivek Chibber, New York University
David Tommy, UNIDO
Mónica Kjöllerström, DESA
Adelina St. Clair, Southern Diaspora Research & Development Center
Winston Gereluk, International Trade Union Confederation (ITUC)
Contacts:
David O’Connor <oconnor3@un.org>
José Antonio Ocampo <ocampo@un.org>
Jomo Kwame Sundaram <jomo@un.org>
Vivek Chibber <vivek.chibber@nyu.edu>
Mónica Kjöllerström <kjollerstrom@un.org>
David Tommy <d.tommy@unido.org>

The Ethical Dimension of Climate Change

Presented by the Governments of the Marshall Islands and Tuvalu, and the Baha’i International Community

Chair Tahirih Naylor, Baha’i International Community, introduced the panel presentation and looked forward to a discussion examining the scientific, political and moral dimensions of climate change.

Highlighting the recent IPCC reports and the Stern Report, Enele Sosene Sopoaga, Former Ambassador and Permanent Representative of the Mission of the Tuvalu to the UN, emphasized that despite UNFCCC’s progress, action remains stalled due to: lack of global leadership; deficiency of public awareness; and absence of the moral responsibility to properly implement principles such as precaution and “polluter pays.”

Om Pradhan, United Nations Office of the High Representative for the Least Developed Countries, Landlocked Developing Countries, and Small Island Developing States (UN-OHRLLS), emphasized the need for developed countries to assist poor and vulnerable countries, especially SIDS, in addressing the adverse effects of climate change and developing their National Adaptation Programme of Action.

Tony Barnston, Columbia University, noted that the reality of climate change is still not universally accepted although scientific credibility has increased dramatically. He called on all governments to recognize global warming as a reality and for developed countries to lead the way in tackling climate change.

Donald Brown, Rock Ethics Institute, highlighted ethical dimensions that should be addressed when tackling climate change, including: who pays for damages; scientific uncertainty as a reason for political stagnation; the moral problems of cost-benefit analyses; and pinpointing the concentration of CO2 that humanity can handle, which he said was a question that would determine “who gets to live and who dies.”

Arthur Dahl, International Environment Forum, said that the enormous challenge of addressing climate change is an opportunity to make fundamental changes in society to address issues of poverty and discontinue exploiting the natural environment. He believed people could rise to the challenge by building an ethical and moral foundation for humanity.

Rabbi Lawrence Troster, GreenFaith, recognized that the faith communities increasingly view climate change as a moral issue that requires collaboration. He highlighted concepts within the Jewish faith that support the idea of sustainability, and believed that harmony between the natural and human world can be achieved when these moral concepts are practiced.

Participants then discussed: the disparity between the scientific and social acceptance of climate change; contraction and convergence in relation to greenhouse gas emissions; and the current economic system’s lack of moral and ethical debate.

Tony Barnston, Columbia University, described the issue of climate change as an "inconvenient hazard" that would take years for people to accept and address.
Arthur Dahl, International Environment Forum, raised fundamental questions relating to the current economic system, noting the absolute value placed on growth, and saying that no value has been placed on culture, art, or spirituality.
Rabbi Lawrence Troster, GreenFaith
Om Pradhan, United Nations Office of the High Representative for the Least Developed Countries, Landlocked Developing Countries, and Small Island Developing States (UN-OHRLLS)
Enele Sosene Sopoaga, Former Ambassador and Permanent Representative of the Mission of the Tuvalu to the UN
Chair Tahirih Naylor, Baha’i International Community
Contacts:
Tahirih Naylor <uno-nyc@bic.org>
Om Pradhan <pradhano@un.org>
Tony Barnston <tonyb@iri.columbia.edu>
Don Brown <brownd@state.pa.us>
Arthur Dahl <dahla@bluewin.ch or ief@bcca.org>
Lawrence Troster <ltroster@greenfaith.org>

Sustainable Management of Industrial Areas

Presented by the German Federal Ministry for Economic Cooperation and Development (BMZ), GTZ & UNEP

Natascha Beinker, BMZ, introduced the presentation, noting that a Sustainable Management of Industrial Areas (SMIA) approach was tested in a pilot project in three industrial zones in Tunisia.

Guido Sonnemann, UNEP, explained the methodological approach of the pilot project, noting that SMIA helps managers of industrial areas to enhance economic, environmental, organizational and social sustainability by applying a mix of management tools, including eco-mapping and an integrated training and consultancy programme. He described the sequencing of the pilot project from its preliminary study through to its final evaluation, and highlighted ways to improve SMIA’s methodology, including providing more external support to local consultants and allowing more time for diagnostic visits to the industrial areas.

Jean-François Vallés, e-parc, described lessons learned through the pilot project’s three case studies on: preventing flooding through maintenance of rainwater drainage systems; improving public lighting and saving energy; and improving communication with companies through an information bulletin. He said that general results included the commencement of a process of organizational learning for managers of industrial areas, while results specific to the case studies included reduced pollution and better risk management. He also identified the challenge of sustaining the results and integrating them into a system of continued improvement.

Harald Lossack, GTZ, noted that replication of the project would require, inter alia: involvement of relevant actors such as local institutions and consultants; and participation of managers of industrial areas from the same region in the training and follow-up process.

Participants discussed, inter alia, ways in which to incorporate renewable energy, labor rights, water conservation and water pollution prevention into SMIA.

Natascha Beinker, BMZ, noted the need to manage industrial areas sustainably, as they contribute considerably to the economic growth, local development and social structure of a region.
Jean-François Vallés, e-parc
Harald Lossack, GTZ, said that in order for the SMIA pilot project to be replicated, sufficient financing is required for international trainers, local consultants, and the local institutional project partner.
Guido Sonnemann, UNEP
Contacts:
Natascha Beinker <natascha.beinker@bmz.bund.de>
Guido Sonnemann <sc@unep.fr>
Jean-François Vallés <jfvalles@e-parc.com>
Harald Lossack <harald.lossack@gtz.de>

Initiative for an International Energy Efficiency Agreement (IEAA)

Presented by the EC Directorate-General for Energy and Transport

Luc Werring, EC Directorate-General for Energy and Transport, explained that the IEAA is a proposal for a new voluntary international platform for promoting energy efficiency through improving: information exchange; education and training; regulatory cooperation on energy efficiency; international benchmarking; public procurement; and research and cooperation in energy efficiency. He added that the EU hopes to curb its energy use by one-third, of which the majority can be achieved through improving end-use and power generation efficiency.

Huib de Bliek, Ministry of Economic Affairs, the Netherlands, outlined his country’s efforts to achieve sustainable public procurement within national and local governments. He explained that criteria have been developed for sustainable procurement of product categories including buildings, gas and electricity, car fleets, road construction, catering and office lighting and equipment. He said compliance would be achieved via cost-effective investments, political commitment and monitoring, and would not initially require subsidies.

Timo Husu, Motiva, Finland, outlined his country’s approach to energy efficiency, which provides incentives through voluntary energy conservation agreements between ministries, companies and communities. He explained that entering into an agreement entitles a company to certain subsidies, and includes steps such as: setting efficiency goals; undertaking an energy audit; undergoing training; and monitoring and reporting.

In discussions on the IEAA, participants considered issues including: involving the private sector in international initiatives; disseminating best practices; and financing energy efficiency initiatives in developing countries. On sustainable procurement, participants discussed: potential trade union partnerships; making tender processes sustainable, and the impacts on industries in developing countries if EU procurement standards were raised.

Luc Werring, EC Directorate-General for Energy and Transport
Huib de Bliek, Ministry of Economic Affairs, the Netherlands, outlined his country’s sustainable procurement policy, explaining that governments add credibility and exert market influence when they set a good example.
Timo Husu, Motiva, Finland
Participants during the side event
Contacts:
Luc Werring <luc.werring@ec.europa.eu>
Huib de Bliek <h.m.debliek@minez.nl>
Timo Husu <timo.husu@motiva.fi>
The Earth Negotiations Bulletin on the side (ENBOTS) © <enb@iisd.org> is a special publication of the International Institute for Sustainable Development (IISD) in cooperation with the United Nations Development Programme (UNDP). This issue has been written by Robynne Boyd and Andrew Brooke. The Digital Editor is Diego Noguera. The Editor is Chris Spence <chris@iisd.org> and the Director of IISD Reporting Services is Langston James “Kimo” Goree VI <kimo@iisd.org>. Funding for the publication of ENBOTS at the Fifteenth Session of the Commission on Sustainable Development (CSD-15) is provided by the United Nations Development Programme. The opinions expressed in ENBOTS are those of the authors and do not necessarily reflect the views of IISD and funders. Excerpts from ENBOTS may be used in non-commercial publications only with appropriate academic citation. For permission to use this material in commercial publications, contact the Director of IISD Reporting Services at <kimo@iisd.org>. Electronic versions of issues of ENBOTS from CSD-15 can be found on the Linkages website at http://www.iisd.ca/csd/csd15/enbots/. The ENBOTS Team at CSD-15 can be contacted by e-mail at <andrewb@iisd.org>.

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