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Modalities for an ACP EU Natural Disaster Facility International

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									    ACP/29/026/05 Rev.1           Brussels, 18 May 2005
    PAHD: NCK/bm




MODALITIES FOR AN ACP-EU NATURAL DISASTER FACILITY
       MODALITIES FOR AN ACP-EU NATURAL DISASTER FACILITY



A.   Introduction



1.   ACP States face a direct challenge to effectively build their resilience to the
     long term impact of natural disasters through developing and strengthening
     national and regional disaster risk reduction and disaster management
     activities. In this context ACP states recognize the agreed global strategic
     role of the Hyogo Framework 2005-2015, agreed to at the Second World
     Conference on Disaster Reduction in Kobe, January 2005. The recent high
     losses in human lives and the catastrophic effects upon the socio-economic
     infrastructure caused by the series of disasters in ACP states all indicate the
     increasingly destructive consequences of natural disasters. It is also
     important to pay particular attention to the specific requirements of Small
     Island Developing States which suffer, to a much greater extent, the adverse
     consequences of climate change, i.e. violent storms and rising sea levels.
     Disaster management to mitigate the negative impact of natural disasters in
     all ACP countries is therefore to be recognized as a high priority.

2.   The ACP group recognizes that disaster risk reduction and disaster
     management should be an integral part of national development strategies,
     especially in those countries which have a high degree of vulnerability to
     disasters. This is necessary to preserve development gains which have
     accrued over the years. Existing national and regional efforts at disaster risk
     reduction and disaster management require extra financial and technical
     assistance.

3.   ACP states recognize it is their responsibility to take the lead, and
     acknowledge the extensive support received from the EU. However, existing
     EU funding modalities to support the ACP states are no longer sufficiently
     responsive to provide the necessary strategic support to states.




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4.    ACP states supported by the EU and the international community have made
      long term commitments to improve disaster reduction activities by 2015 in the
      Hyogo Framework for Action and other recent global fora. These will require a
      strategic and programmatic rather than project-based approach. An ACP
      Disaster Facility will provide such a modality.

5.    Whilst the ACP Group acknowledges the important role played by ECHO, the
      Group recognizes that this is shot-term d humanitarian relief focused. In
      addition other EU initiatives are primarily post-event focused. Overall these do
      not address the issues of preparedness, mitigation and long term
      reconstruction and rehabilitation in a more strategic programmatic manner.

6.    The recent devastation caused by locusts, famine, drought, hurricanes,
      cyclones, flooding, landslides, earthquakes, volcanic eruptions and tsunamis in
      the ACP states attest to the urgent need to provide comprehensive
      mechanisms to assist ACP states with:-

       (a)    disaster risk reduction, preparedness and mitigation;

       (b)    response, recovery and long-term reconstruction and rehabilitation;
              and

       (c)    operating effective early warning systems that are people-focused, and
              completing vulnerability assessments and mapping.

 7.    The proposal for an ACP-EU Natural Disaster Facility has been positively
       received and endorsed at the highest political levels – the Joint ACP-EU
       Parliamentary Assembly and the ACP Council of Ministers held in November
       2004 and at the ACP Ministers responsible for Environment at their first
       meeting held in December 2004.




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8.    The proposal for an ACP-EU Natural Disaster Facility is also informed by the
      following:

     the EU has a key stake in the development of ACP states;

     a recognition that both the timing and quality of resources are critical to risk
      reduction; and

     disaster risk reduction practice is driven by resource availability.

     The establishment of an ACP-EU Natural Disaster Facility to improve ACP
      states capacities in disaster risk reduction and disaster management, as well
      as for rehabilitation and reconstruction activities is therefore an urgent priority.


B.    The ACP Policy Background


10.   The ACP Group is extremely concerned that in the Twenty First Century,
      Africa is the only Continent in the world where poverty is projected to rise with
      long-term negative effects for its people. This is partly due to the continent’s
      vulnerability to global climate change, particularly in the case of the least
      developed countries. The increased environmental threats which face the
      continent have resulted in the frequency of emergency and crisis situations in
      countries which continue to be subjected to natural disasters such as volcanic
      eruptions, extreme weather phenomena such as floods and droughts which
      threaten economic and food security and political stability.

11.   This phenomena is also evident in the Caribbean and the Pacific regions
      which suffer adverse social, cultural and economic consequences of natural
      disasters.




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C.    The Natural Disaster Reduction Challenges in ACP States


12.   As referenced in the Hyogo Framework for Action the natural disaster
      reduction challenges in ACP states are summarized as follows:

      The Mauritius Strategy for further implementation of the Barbados
      Programme of Action for Small Island Developing States underscores that
      small island developing States are located among the most vulnerable
      regions in the world in relation to the intensity and frequency of natural and
      environmental disasters and their increasing impact, and face
      disproportionately high economic, social and environmental consequences.
      Small island developing States have undertaken to strengthen their
      respective national frameworks for more effective disaster management and
      are committed, with the necessary support of the international community, to
      improve national disaster mitigation, preparedness and early warning
      capacity, increase public awareness about disaster reduction, stimulate
      interdisciplinary and inter-sectoral partnerships, mainstream risk management
      into their national planning process, address issues relating to insurance and
      reinsurance arrangements, and augment their capacity to predict and
      respond to emergency situations including those affecting human settlements
      stemming from natural and environmental disasters.

      Disasters in Africa pose a major obstacle to the African continent’s efforts to
      achieve sustainable development, especially in view of the region’s
      insufficient capacities to predict, monitor, deal with and mitigate disasters.
      Reducing the vulnerability of the African people to hazards is a necessary
      element of poverty reduction strategies, including efforts to protect past
      development gains. Financial and technical assistance is needed to
      strengthen the capacities of African countries, including observation and early
      warning systems, assessments, prevention, preparedness, response and
      recovery.




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13.   The objective of the ACP-EU Natural Disaster Facility is to provide the
      populations in ACP states with the capacity to improve their involvement in
      activities relating to disaster risk reduction and disaster management
      including preparedness and mitigation and post-disaster reconstruction and
      rehabilitation. The Facility is to operate:

      (a)   strengthening early warning systems in ACP states; and

      (b)   an adequate response to the financial and technical needs of those
            ACP states which are vulnerable to or affected by natural disasters.
            The preparation and implementation of disaster risk management
            plans will also significantly strengthen ACP states capacity to deal with
            the long term effects of natural disasters.


D.    Concrete Action in the ACP Regions


14.   Under this supportive political framework, the creation of a clearly focused
      Natural Disaster Facility as a new partnership between the states of the ACP
      Group and the EU will significantly build the capacity of ACP governments, as
      well as civil society and non-governmental organizations to:

      (a)   become better prepared for the onslaught of natural disasters; and

      (b)   effectively deal   with   post-natural   disaster   reconstruction   and
            rehabilitation.

15.   The creation of the facility will make a significant contribution towards the
      effective implementation of a sound and cost-effective global ACP response
      to existing regional policies; good environmental governance; effective
      exchange of quality data and information on the environment, climate change
      and natural disasters for use by ACP decision makers.

16.   Since 1985, the African Ministerial Conference on the Environment has also
      seized the opportunity to emerge as a political body for environmental
      advocacy and leadership in the region. In 2001, African leaders took the
      initiative and adopted the New Partnership for Africa’s Development, which
      established the common African vision to address the challenges facing
      Africa and to achieve the long term sustainable development for present and
      future generations.




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17.   In the Caribbean and the Pacific regions, small island states in particular have
      suffered long-term devastating consequences of floods, cyclones, storms and
      hurricanes. The recent occurrences highlight the vulnerability of small islands
      to the effects of climate change and rising sea levels. At the recent United
      Nations SIDS meeting in Mauritius (January 2005), there was widespread
      acknowledgement of the vulnerability of SIDs to natural and environmental
      disasters. On this occasion, the Alliance of Small Island States (AOSIS)
      reiterated their support of a holistic and integrated approach to address the
      issue of risk reduction.

18.   In this regard it is proposed that the financing of the Facility be sourced from
      the unallocated resources of the 9th EDF i.e. it is suggested that the
      “conditional billion” of the 9th EDF be targeted and made available for
      activities at national and regional levels. As an immediate follow-up activity,
      special resources are to be allocated to finance the Facility under the 10 th
      EDF.

E.    An ACP-EU Natural Disaster Facility for ACP countries


19.   The Facility is to operate as a flexible instrument which responds to clearly
      specified needs of ACP states that anticipate the onslaught of a natural
      disaster, or is recovering from the negative long-term effects of a natural
      disaster. The Facility is to act as a source that promotes preventive initiatives;
      disseminates information; and develops and strengthens research and
      management skills in ACP states.


      Key Principles:


         Targets:    The Facility is to establish a jointly managed ACP-EU
          framework to address the needs of ACP countries/regions which already
          have a coherent policy on natural disasters, or which are firmly committed
          to the development of programs of early-warning mechanisms and/or
          post-disaster rehabilitation or reconstruction. The Facility should also
          provide the foundation to attract additional financial contributions from EU
          Member States and other interested international organizations.




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         Ownership: The Facility is to be focused on ACP-EU public-private sector
          partnerships and will aim to strengthen the activities of ACP states which
          already have national and regional policy frameworks for disaster
          reduction. Special emphasis will be made to routinely involve the
          participation of ACP regional and international organizations (such as
          CARIFORUM, Pacific Forum and African Union) in the Facility’s Projects
          and activities.

         Flexibility: The Facility is to operate in a flexible manner, regarding the
          financial aspects under the 9th and 10th EDF and is open to joint financing
          from interested EU Member States; and grants from international lending
          institutions such as the World Bank Group, including the International
          Financial Corporation and Multilateral Investment Guarantee Agency) and
          International NGOs.


F.    The Financial Challenge and the need for a rapid-response flexible
      mechanism.


20.   As ACP States are particularly vulnerable to the effects of natural disasters.
      The ACP proposes two actions: first, to complement EU efforts in
      humanitarian assistance, and second to provide additional assistance for pre-
      disaster risk reduction in ACP states.

21.   The ACP recommends that the EU work with ACP to improve humanitarian
      assistance under ECHO. This joint effort will facilitate an improved joint ACP-
      EU response to those ACP states experiencing crisis. Specifically, ECHO
      should improve its mechanisms to provide fast track emergency response
      assistance.

22.   This assistance shall be jointly administered and implemented by the ACP
      and the EU to permit operations that are rapid, flexible and effective. A new
      Joint ACP-EU Natural Disaster Committee is to be appointed by the Joint
      ACP-EU Committee of Ambassadors, and will be responsible to implement a
      fast -track response to monitor and manage requests. Project requests are to
      be first analyzed by the ACP Secretariat Staff, and are to be forwarded on to
      the newly created Joint ACP-EU Natural Disaster Committee, for approval.
      There will therefore not be any need to create a Project Management Unit.




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23.    The new ACP-EU Facility is to provide the population in ACP States with the
      required capacity to create and develop early warning mechanisms; to reduce
      disaster risk through preventive measures; and promote long term post-crisis
      management in coordination with existing EU efforts. Financial assistance
      shall be provided to the affected region at the request of:

      (a)       ACP States affected by the crisis;
      (b)       The European Commission;
      (c)       Regional or International Organizations; and
      (d)       Local or International Non-State Organizations.


            Financing Sustainability:


24.   An all-ACP Disaster Management scheme is to ensure that risk reduction
      initiatives are conducted in a systematic manner. Disaster management
      actions are to be sufficiently modernized to improve the ACP region’s
      capacity to become prepared for, as well as to cope with the effects of a
      natural disaster. In order to deal with the increasing negative effects of
      climate change, the Facility should finance the improved capacity of:

               Mainstreaming of pro-active disaster management (balanced approach
                with an emphasis on disaster risk reduction and vulnerability-reducing
                actions following a disaster);

               Fostering financial mechanisms to provide incentives for disaster risk
                reduction;

               ACP institutions including meteorological centres to increase their
                collaboration with international forecasting centres;

               the development, and strengthening where appropriate, of “all hazards”
                early warning systems in ACP states and link them to new initiatives
                for a Global Observing System of Systems (GEOSS);




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   ACP states to gain enhanced access to information communication
    technology in order to disseminate information quickly to the population
    and to mobilize media support ;

   Non-State actors and Community Associations to build resilient
    communities and effectively respond to impending threats;

   Governments and the private sector to pursue practical, situation-
    appropriate joint initiatives. For example, in some locations
    underground electricity cable schemes may be expanded, appropriate
    building and settlement practices and prior planning of public utilities
    could be supported. in order to facilitate quick rehabilitation;

    comprehensive national and regional disaster management programs;
    and

   ACP states to support the development of national financial markets,
    including banking and insurance services. The ACP supports
    development of affordable insurance to cover natural and
    environmental hazards. This provision will address the problem of the
    ACP states which face increasing compensation costs after extreme
    weather related events result in:

    (a)   the withdrawal of insurance companies from the affected region;
          and
    (b)   insurance companies charging extremely high charges to
          provide insurance and re-insurance to cover the damage.




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           Public Sector-Private Sector Collaboration:


25.   The Facility will provide an effective global ACP approach to tackle the
      challenges of disaster risk reduction and management. ACP governments,
      private sector and civil society have a key role to play in reconstruction
      operations. Since both government and non-state actors are core principal
      partners in efforts at disaster prevention; mitigation and reconstruction and
      rehabilitation , they are to be both eligible to be funded from the ACP-EU
      Natural Disaster Facility. In this context, in the case of the NSAs, the
      guidelines of the jointly endorsed ACP-EU Eligibility Criteria for Non-State
      Actors access to funding under the EDF ACP-CE 2154/1/02 Rev.1 should
      apply.


      Local, national, regional and international Measures


26.   The Facility is to operate at all levels as a holistic disaster management entity
      which :

              is pro-active and has a multiple hazard focus;

               identifies adequate resources in accordance with the impact of the
               natural disaster; and

              provides for the active involvement of the public and private sectors,
               non-government organizations, regional, international, and community-
               based actors in disaster management.

27.       The Facility will promote ACP states capacity-building and assist states in
          their identification of priorities, and the communication of messages of
          disaster preparedness and disaster rehabilitation to local grass roots and
          civil society organizations at the regional and all-ACP levels. Effective
          decision making and management by government is an essential
          component of this Facility. Additionally, the Natural Disaster Facility will
          assist states on the road of recovery by targeting contributions in post–
          cyclone and post-hurricane recovery efforts.




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28.    Recognition will be given to the important role which culture plays in the
       building of resilient communities, especially when traditional psychological
       counselling is required to help devastated communities cope with the
       trauma of loss of kin; loss of resources and livelihoods; destruction of land
       and property.


G.     Priority ACP Activities to be Funded:


      (1)   The promotion of a culture of Disaster Risk Management


29.   The Facility will build the capacity of each ACP country to review and update
      its disaster risk management legislation. This includes the updating and
      publication of relevant codes and standards that are accompanied by
      effective systems to ensure compliance.

30.   The Facility will work to ensure that the citizen’s fundamental right to the
      highest possible standard of security and protection against hazards is
      incorporated into legal or constitutional frameworks.

31.   The Facility will promote education programmes that are acknowledged to be
      cost-effective and will promote a culture of safety. These programmes will
      involve the use of indigenous knowledge for protecting people, habitats,
      livelihoods and cultural heritage from natural hazards.




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32.   The Natural Disaster Facility will, inter alia, work to:

            Facilitate inter-ACP regional sharing of experiences and best practices;

            Strengthen information and public awareness through media and civil
             society involvement for dissemination and implementation;

            Promote Community empowerment through capacity building and
             enhancing community resilience by building knowledge bases;

            Reinforce partnerships and cooperation on disaster risk reduction
             policy and strategy;

            Incorporate disaster research in science policy for applied research
             and practice;

            Incorporate disaster risk reduction into curricula at all levels of
             education;

            Undertake initiatives at the grass root levels which utilize indigenous
             and traditional knowledge bases; and

            Develop communication strategies for disaster reduction, including on
             line and on-site education curricula for practitioners and field workers.


      (2)    Early Warning Mechanisms , Monitoring Potential Disasters, Risk
             Recognition and Management.


33.   Through the development of, and strengthening where appropriate early
      warning mechanisms, each ACP state will be given enhanced capacity to
      reduce risk through multi-hazard approaches that consistently respond to the
      dynamic nature of the risk and respond to the processes of social, economic,
      institutional and environmental change. The Facility will be guided by the
      recognition of the important role played by early warning mechanisms in
      reducing the loss of lives. At the operational level, the Facility will ensure that
      early warning mechanisms are closely related to the development of critical
      local information, evacuation infrastructure and procedures and community
      level education.




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34.   A key objective is to target the development of practical early warning plans
      for each ACP vulnerable community over the next 3 years, and the creation of
      policies to promote effective cooperation for data sharing and preparedness
      at national and international levels.


      (3)      Improved risk reduction strategies


35.   The Facility will ensure that the Management of the long term impact of
      natural disasters is linked to the promotion of financial risk-sharing
      mechanisms, especially insurance and reinsurance schemes; public and
      private compensation schemes to victims; public-private dialogue which focus
      on vulnerable populations and communities; post -disaster reconstruction and
      rehabilitation; and a gender sensitive approach to localized community based
      management. The Facility will inter alia, foster partnerships, including public-
      private partnership for disaster risk reduction to develop:

           Management tools and initiatives to form a key link between
            understanding pre-disaster vulnerability and post-disaster relief and
            rehabilitation;
           Financial risk-sharing mechanisms that focus on vulnerable populations
            and communities;
           National and regional insurance funds with international partnerships;
           Training and Education programs for professionals;
           Specific benchmarks for safe building practices; reconstruction and land-
            use planning regulations; marine and coastal management; and
           A government-led multi-disciplinary inter-sector collective lesson-learning
            exercise that evaluates post-disaster response, in the immediate
            aftermath of a natural disaster.


      Conclusion:


36.   The Facility will assist ACP states and their regions to adopt policies and
      strategic plans for disaster risk management that explicitly integrates disaster
      risk reduction into sectoral policies and programs. The long term objective is
      therefore to promote a coordinated all-ACP multi-stakeholder and multi-sector
      platform for disaster risk reduction that is recognized and supported by each
      government.




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