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					Danish Environmental Protection Agency
Financial Resource Mobilisation
for Implementation of the
Strategic Plan for the Basel
Convention
Part I - Guidance Note

March 2004
                                     Danish Environmental Protection Agency
                                     Financial Resource Mobilisation for
                                     Implementation of the Strategic Plan for the
                                     Basel Convention
                                     Part I - Guidance Note

                                     March 2004




Report no.        58231_01
Issue no.         2
Date of issue     March 2004


Prepared          AEJ, BIM, EB, HHU
Checked           APA
Approved          HHU




D:\Docstoc\Working\pdf\0b0ea7d2-332c-4231-b8e4-99c8bf9aa92b.doc                     .
Financial Resource Mobilisation for Implementation of the Strategic Plan for the Basel Convention - Guidance Note
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                               Table of Contents
                               Summary                                                                               6

                               1           Financial Resource Mobilisation for the
                                           Implementation of the Strategic Plan for the
                                           Basel Convention                                                          9
                               1.1         Background                                                                9
                               1.2         Aim, Target Group and Structure                                          10

                               2           Resource Mobilisation for Waste Management                               11
                               2.1         General Strategic Approach to Environmental
                                           Financing                                                                11
                               2.2         Main Waste Management Actions and Drivers at
                                           Country Level                                                            12
                               2.3         Summary of Steps in Financial Resource
                                           Mobilisation                                                             14
                               2.4         Steps in Implementing the Basel Convention,
                                           including Financial Resource Mobilisation                                15
                               2.4.1       Step 1: National Working Group                                           15
                               2.4.2       Step 2: Baseline                                                         15
                               2.4.3       Step 3: Waste Management Options                                         16
                               2.4.4       Step 4: Funding Possibilities                                            16
                               2.4.5       Step 5: Strategy / Plan                                                  20
                               2.4.6       Step 6: Raising of National and International Funds                      21
                               2.4.7       Step 7: Implementation of Actions                                        22

                               3           Sources of Funding for Implementing the Basel
                                           Convention                                                               23
                               3.1         National Funding Sources in Overview                                     23
                               3.1.1       Financing by Users                                                       23
                               3.1.2       Public Budgets                                                           24
                               3.1.3       Environmental Funds                                                      25


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Financial Resource Mobilisation for Implementation of the Strategic Plan for the Basel Convention - Guidance Note
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                               3.1.4       National NGOs                                                            25
                               3.1.5       Domestic Banks and Lending Institutions                                  25
                               3.2         International Funding Sources in Overview                                25
                               3.2.1       International Development Banks                                          26
                               3.2.2       International Development Funds                                          27
                               3.2.3       International Commercial Banks                                           27
                               3.2.4       Financial Mechanisms of the Basel Convention                             27
                               3.2.5       Multilateral Grant Donors                                                29
                               3.2.6       Bilateral Grant Donors and Lending Facilities                            30
                               3.2.7       International NGOs                                                       31
                               3.2.8       Innovative Financing                                                     31
                               3.2.9       Partnership with Industry                                                31

                               4           About the Fact Sheets on Possible Funding
                                           Sources for Waste Management                                             33




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                               List of Acronyms and Abbreviations
                              COP                       Conference of the Parties
                              EAP                       Environmental Action Programme for Central and Eastern
                                                        Europe
                              EFS                       Environmental Financing Strategy
                              EDF                       European Development Fund
                              EIB                       European Investment Bank
                              ESM                       Environmentally Sound Management
                              FAO                       Food and Agriculture Organization
                              IBRD                      International Bank for Reconstruction and Development
                              IDA                       International Development Association
                              IOCM                      Inter-Organization Programme for the Sound Management
                                                        of Chemicals
                              NGO                       Non-governmental organisation
                              OECD                      Organisation for Economic Co-operation and Development
                              UN                        United Nations
                              UNEP                      United Nations Environment Programme
                              UNITAR                    United Nations Institute for Training and Research
                              USD                       Unites States Dollar




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                               Summary
Background                     In December 2002 the COP adopted a Strategic Plan for Implementation of the
                               Basel Convention. However, resources available from the Basel Convention for
                               environmentally sound management of waste are limited. Only an amount of
                               USD 1.2 million has been allocated for activities of the Strategic Plan for
                               2003-2004.

                               If the objectives of the Convention are to be reached, funding is required from
                               other funding sources. The Strategic Plan therefore stresses that resource
                               mobilisation is a key element for ensuring that identified priority activities can
                               be undertaken.

Aim and target group           The aim of this note is to provide developing countries and countries with
                               economies in transition with guidance on the issue of mobilising resources to
                               assist them in implementing the Basel Convention. The main target group is
                               government ministries and other institutions responsible for the practical
                               implementation of the provisions of the Basel Convention on a national level.

Types of actions               In order to implement the Basel Convention a Party is required to take action in
                               a number of areas related to waste management. These may include:

                               •     Institutional and legal analyses;

                               •     Waste management planning (preparation of waste inventory,
                                     identification of ESM options, assessment of transboundary movement of
                                     wastes, development of policy, strategy and plan to meet Basel Convention
                                     objectives);

                               •     Implementation of waste management (establishment of institutional and
                                     legal frameworks, reduction of transboundary movements of hazardous
                                     waste, promotion and introduction of cleaner technologies, collection,
                                     recovery, storage and disposal of waste, awareness raising, etc.).

Quantification of BC           Financial resource mobilisation deals with how to obtain sufficient funding to
goals and Party                meet a desired goal. The goals of the Basel Convention cannot be specified in
obligations                    quantitative terms. Similarly, it is not possible to determine very precisely what
                               the requirements are for a Party to implement the Basel Convention.




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                               Preparation of a national policy, strategy and action plan that define national
                               targets is useful for a country to determine, which action to take and the
                               corresponding funding requirements. Only when this has been done is it
                               possible to identify the most realistic and prospective sources of funding with a
                               view to mobilising funds for implementation.

Steps in financial             This is illustrated in the figure below that describes a series of steps that
resource                       characterise a typical resource mobilisation process. Depending on the status on
mobilisation                   implementation, a country may opt to go through these steps, fully and/or
                               partially, to implement the Basel Convention, including the mobilisation of
                               funds for the purpose.

                               Steps in National Implementation of the Basel Convention, including
                               Financial Resource Mobilisation




                               A key message of the above figure is first of all that financial resource
                               mobilisation should be seen as an integral part of implementing the Basel
                               Convention and secondly that resource considerations should be made very
                               early in the process to ensure realistic planning and implementation.


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Funding sources                The funding sources that may be considered are shown in the figure below.
                               They comprise national funds, Basel Convention funds and funds from
                               international loan and grant agencies. National funding plays an important role
                               in resource mobilisation, possibly together with international sources in co-
                               financing arrangements. New and innovative forms of financing could also be
                               considered.

                               Overview of Funding Sources for Implementation of the Basel Convention




                               These funding sources are described in more detail in Chapter 3 of the guidance
                               note, and detailed fact sheet on international and bilateral funding sources are
                               provided in Part II - Fact Sheets on Possible Funding Sources for Waste
                               Management.

Use of guidance                This guidance note describes how countries can undertake financial resource
                               mobilisation. Naturally, countries are not required to follow the steps suggested
                               or the recommendations made. Furthermore, the information on funding
                               sources gives a static picture only. New national financing modalities keep
                               being developed, international funding agencies change strategies and focus
                               and new, combined and innovative funding modalities emerge. The guidance
                               note should be read against this background.




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                               1           Financial Resource Mobilisation for the
                                           Implementation of the Strategic Plan for
                                           the Basel Convention

                               1.1         Background
Basel Convention               At its 6th meeting in December 2002 the Conference of the Parties (COP) to
resources                      the Basel Convention adopted a Strategic Plan for the Implementation of the
                               Basel Convention.

                               However, financial resources and in-kind assistance available from the Basel
                               Convention for environmentally sound management of waste are limited. Only
                               USD 1.2 million has been allocated for activities of the Strategic Plan for 2003-
                               2004. In May 2003, 15 projects were selected for implementation and USD
                               800,000 out of the above amount was allocated for the purpose.

                               If the objectives of the Convention are to be reached, funding is required from
                               other funding sources. The Strategic Plan therefore stresses that resource
                               mobilisation is a key element in ensuring that identified priority activities can
                               be undertaken.

Mobilisation of                Funding of national activities to implement the Basel Convention is provided
financial resources            by either national or international sources. National sources of funding are
                               normally mobilised as part of a political and economic prioritisation process.
                               Funding from international funding agencies is subject to similar prioritisation
                               processes, relating to which countries to assist, what sectors to focus on and the
                               types of assistance to be provided.

                               In order to mobilise funding for waste management activities it is therefore
                               essential to recognise and understand:

                               •     the main drivers of environmental action in the areas concerned;

                               •     the main driving forces underlying the prioritisation processes related to
                                     national and international funding; and

                               •     the typical procedural and administrative framework (often referred to as
                                     "the project cycle") of the processes.




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                               1.2         Aim, Target Group and Structure
Aim                            This note provides developing countries and countries with economies in
                               transition (also referred to as transition countries) with guidance on how to
                               mobilise resources to assist them in meeting the objectives of the Basel
                               Convention.

                               The note aims to give an overview of a series of steps, that characterise a
                               typical resource mobilisation process, and describes the activities that could
                               suitably be undertaken in each step.

Target group                   The main target group is government ministries and other institutions
                               responsible for the practical implementation of the Basel Convention in a
                               national context. The Basel Convention Regional Centres may also benefit
                               from the guidance.

Structure of note              In addition to this introductory chapter the note contains the following chapters:

                               Chapter 2 provides an overview of the issues to be considered and steps
                               involved in mobilising resources for actions related to implementing the Basel
                               Convention. This overview is followed by a detailed elaboration of the steps.

                               Chapter 3 describes in overall terms the different types of national and
                               international funding sources that may be considered in connection with
                               resource mobilisation.

                               Part II - Fact Sheets on Possible Funding Sources for Waste Management
                               contains fact sheets for a series of international funding agencies and bilateral
                               donors that may be approached in connection with resource mobilisation for
                               implementation of the Basel Convention. The list is not exhaustive but contains
                               the majority of the larger international sources that provide funding for
                               environmental action.




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                               2           Resource Mobilisation for Waste
                                           Management

                               2.1         General Strategic Approach to Environmental
                                           Financing
                               Financial resource mobilisation for environmental action is about how to obtain
                               a level of financing for the sector, which is sufficient to cover the costs of
                               meeting the desired targets through concrete actions, including those required
                               to meet the provisions of international environmental conventions.

                               This task has given rise to the development of environmental financing strategy
                               methodologies to determine the costs of achieving goals, how these costs may
                               be minimised, and the challenge of matching costs with available resources.

Lessons learnt                 Major lessons learnt from applying these methodologies at the country level are
                               that:

                               •     financing should be considered at an early stage in the planning process;
                                     and

                               •     financing is an integral part of target-setting and policy-making.

                               This is important in relation to implementation of the Basel Convention at
                               national level.

Environmental                  An example of such a methodology is the one developed under the auspices of
financing strategy             the OECD EAP Task Force and the Environment for Europe Process, which
methodologies                  addresses the financial issues related to achieving environmental goals, see Box
- an example                   2.1 below. This guidance note is based on experience gained from developing
                               and using the Environmental Financing Strategy (EFS) described in the box and
                               lessons learned from similar initiatives.




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                               Box 2.1 Environmental Financing Strategy (EFS) Methodology

                               Environmental Financing Strategy - the concept
                               An environmental financing strategy is a methodological framework for medium to long-
                               term strategic balancing of (1) environmental and service targets in the environmental
                               sectors that require investment in heavy infrastructure with (2) funding available in the
                               future for these sectors.
                               Shortcomings of traditional sector programmes
                               Sector policies and programmes are typically based on a thorough analysis of the problems
                               and the regulatory framework in the environmental sector concerned. They identify long-
                               term objectives and overall priorities. In addition, sector policies and programmes often
                               include a list of short-term measures proposed for immediate inclusion in the public
                               budgets.
                               However, the task of translating these environmental objectives into time-bound and ranked
                               targets has proven to be difficult. Cost-benefit analyses have rarely been made to prioritise
                               targets and estimates of the cost of actions and related responsibilities for action have often
                               been lacking. Finally, analysing and documenting how the costs can be financed and how
                               targets and related financing should be phased over time have rarely been carried out.
                               The EFS specifies expenditure needs and the supply of finance
                               The EFS concept has been designed to address some of the shortcomings identified
                               above. The financing strategy is prepared by analysing the funding needs related to the
                               environmental objectives stated in the sector programme and by comparing these with the
                               available supply of finance.
                               FEASIBLE Model
                               A computerised decision support tool called FEASIBLE supports the practical application of
                               the above methodological framework. The key feature of FEASIBLE is the use of generic
                               expenditure functions. These expenditure functions allow easy estimation of the funding
                               needs of alternative service and environmental targets with a limited data collection effort.
                               Source: OECD (2003): Financing Strategies for Water and Environmental Infrastructure.



                               2.2         Main Waste Management Actions and Drivers at
                                           Country Level
Waste related actions          In order to implement the Basel Convention a Party is required to take action in
                               a number of areas related to waste management. The most important of these
                               are sought identified in Table 2.1, which also indicates the typical main drivers
                               of action in a country. It should be emphasised that the typology of actions used
                               in the table is not synonymous with the "fields" and "clusters" used in the
                               Action Table of the "Strategic Plan for the Implementation of the Basel
                               Convention".

Main drivers of action An important conclusion to be drawn from the table is that the public sector in a
                       country is the main driver of action related to most institutional and regulatory
                       initiatives as well as action concerning waste-related promotion, information,
                       education and awareness-raising.

                               The more investment-heavy actions, principally the introduction of cleaner
                               technologies, are primarily the responsibility of the owners of the production
                               facilities that generate the waste.




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Financial Resource Mobilisation for Implementation of the Strategic Plan for the Basel Convention - Guidance Note
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                               Table 2.1         Key Management Actions to Implement the Basel Convention and Main
                                                 Drivers of Action

                                 Key Waste-related Actions                             Main Driver of Action in Party
                                                                                       Countries 1)
                                 Institutional and legal analyses
                                 • Institutional analysis                              • National and regional governments
                                                                                       • (District / Municipal authorities)
                                 • Legal analysis and drafting of legislation          • National government
                                 Waste management planning
                                 • Preparation of waste inventory                      • National and regional governments
                                  and identification of related                        • (District / Municipal authorities)
                                  environmentally sound management
                                  options
                                 • Assessment of transboundary movement                • National and regional governments
                                  of hazardous and other wastes                        • (District / Municipal authorities)
                                 • Development of policy, strategy and plan            • National and regional governments
                                  to meet waste management objectives                  • (District / Municipal authorities)
                                 • Implementation of waste management
                                 • Establishment of institutional and                  • National and regional governments
                                  administrative frameworks and capacity               • District / Municipal authorities
                                  for implementation of national
                                  legislation
                                 • Reduction of transboundary movements                • National and regional governments
                                  of hazardous wastes, including adherence             • District / Municipal authorities
                                  to the control system                                • Production companies
                                                                                       • Power utilities
                                 • Promotion of cleaner technologies                   • National and regional governments
                                                                                       • Industry / trade organisations
                                                                                       • Production companies
                                 • Introduction of cleaner technologies to             • Production companies
                                  minimise generation of hazardous wastes              • Waste management facilities and
                                  and other wastes                                       industry
                                                                                       • Power utilities
                                                                                       • Public procurement offices
                                 • Information, education and awareness-               • National and regional governments
                                  raising to support waste minimisation                • District / Municipal authorities
                                  and environmentally sound management                 • Industry / trade organisations
                                  of wastes                                            • Environmental NGOs
                                                                                       • (Consumer organisations)
                                 • Establishment of waste management                   • National and regional governments
                                  infrastructure (collection, recovery,                • Municipal authorities
                                  storage and disposal, etc.)                          • Production companies
                                                                                       • Waste management facilities and
                                                                                         industry
                               1) Drivers in brackets indicate typically less important actors.




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                               2.3         Summary of Steps in Financial Resource
                                           Mobilisation
                               Financial resource mobilisation should be seen as an integral part of
                               implementing the Basel Convention, which is carried out through steps such as:
                               establishing country-specific obligations, determining status on
                               implementation, developing a plan for the implementation of the Basel
                               Convention, identifying financial resource requirements etc. The steps involved
                               in the process could be those shown in Figure 2.1.

                               Figure 2.1        Steps in National Implementation of the Basel Convention, including
                                                 Financial Resource Mobilisation




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                               2.4         Steps in Implementing the Basel Convention,
                                           including Financial Resource Mobilisation
                               The steps in a country's implementation of the Basel Convention shown in
                               Table 2.1 are described in detail below. Emphasis is given to the steps that are
                               particularly important in relation to resource mobilisation.


                               2.4.1 Step 1: National Working Group
                               The responsibility for implementing international environmental conventions
                               often rests with the environmental or resource ministry in a country. Most
                               countries already have an organisational body responsible for dealing with the
                               Basel Convention issues. However, if this is not the case, it is advisable that the
                               relevant ministry be officially assigned the primary responsibility for dealing
                               with the issues relating to the Basel Convention.

                               The ministry would be given the mandate to establish a national multi-
                               stakeholder co-ordinating mechanism or Working Group for the purpose of
                               dealing systematically with the implementation of Basel Convention, including
                               financial resource mobilisation. The National Working Group would combine
                               expertise on technical, financial and administrative aspects of waste
                               management. The national Basel Convention focal point could head the
                               Working Group or equivalent body.

                               It is important that the Working Group be composed of representatives from all
                               ministries and/or institutions and stakeholders involved in the management of
                               hazardous and other wastes. The responsible ministry would be expected to
                               provide the Working Group with administrative support.


                               2.4.2 Step 2: Baseline
                               The basis (foundation) for planning a country's actions with a view to
                               implementing the Basel Convention is to establish a baseline.

                               Firstly, the Working Group would have to determine, in precise terms, what the
                               country's obligations are as a Party to the Basel Convention. Once these have
                               been established, a status on implementing the obligations should be made in
                               order to determine which items are still outstanding.

                               Institutional and legal analyses would normally have to be made (if this has not
                               already been done) to establish the frameworks within which the future
                               implementation of the Convention should take place. The analyses will
                               typically identify areas that require action to support implementation.

                               The most fundamental element of the baseline is a detailed national waste
                               inventory, including waste audits. Some developing countries and countries
                               with economies in transition have already conducted detailed inventories,
                               including waste audits, often with external assistance, but in many countries a
                               comprehensive waste inventory has not been made.



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                               2.4.3 Step 3: Waste Management Options
                               The results of the institutional and legal analysis, as well as the waste
                               inventory, will define a number of areas where future action is required. These
                               would include actions of the types indicated in Table 2.1.

                               In each of the relevant areas concerned, waste management options to address
                               the issues should be identified and related to the national situation. The Basel
                               Convention secretariat, UNEP, FAO, OECD and other organisations have
                               compiled information and technical guidelines that make up a useful basis for
                               identifying waste management options. Examples of Basel Convention
                               guidelines are the Technical Guidelines on the Identification and Management
                               of Used Tyres (1999) and the Instruction Manual for Control System for
                               Transboundary Movements of Hazardous Wastes and other Wastes (1998).

                               Once identified, the costs of implementing the activities related to the options
                               considered should be assessed at a level of detail that would allow preliminary
                               considerations of priorities and the needs for resource mobilisation.


                               2.4.4 Step 4: Funding Possibilities
                               As described in the introduction, the financial support and in-kind assistance
                               presently available from the Basel Convention's own funds are far from
                               sufficient to allow the Parties to take adequate action to meet the objectives of
                               the Convention. Funding must therefore be obtained from other sources. The
                               Conventions own funds may primarily be used for capacity building,
                               development of guidance and implementation tools, information dissemination,
                               awareness-raising and education.

                               This section describes a proposed procedure to follow in order to identify
                               funding possibilities.

Identifying funding            Once the activities and management options for the implementation of the
possibilities                  Basel Convention have been identified the following procedure may be
                               followed:

                               1. Review management options and related finance requirements against
                                  possible funding sources;

                               2. Explore national funding possibilities with the ministries or other bodies
                                  concerned;

                               3. Contact the ministry or other agency responsible for coordination of
                                  assistance from international funding agencies (including bilateral donors);

                               4. Contact the relevant international funding agencies to explore the potential
                                  for financial and/or technical assistance.

                               This process is elaborated in the following.




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                               1.    Review management options against possible funding sources

                               The National Working Group on financial resource mobilisation will review the
                               management options and their implementation costs against possible national
                               and international funding sources, initially as a "desk review". This will most
                               likely point to the most relevant and promising sources.

                               In certain cases co-financing would be needed and possible, here defined as
                               combinations of national and international funding sources and/or the
                               involvement of more than one international funding agency.

                               In undertaking this desk review a number of funding sources should be
                               considered. An overview of these is given in Figure 2.2 and described in the
                               following paragraphs. Ongoing initiatives in the field of "innovative financing"
                               and "partnership with industry", which are described in Chapter 3, could also be
                               considered.

                               2.    Explore national funding possibilities with the ministries or other bodies
                                     concerned

                               In the many cases where national funding sources are considered relevant,
                               possibly in a co-financing arrangement with international agencies, these
                               possibilities should be explored with the authorities concerned, industrial
                               organisations, companies etc. Use of public budgets and similar funding may
                               lengthen the implementation process due to complex budget procedures.

                               3.    Contact agency responsible for co-ordination of international assistance

                               Most countries have one ministry, which is responsible for the co-ordination of
                               foreign assistance (foreign aid). In many countries it is the ministry of finance,
                               the ministry of economy or a similar body. Other, especially larger countries,
                               have different ministries or bodies responsible for different types of assistance -
                               often on a sector basis.

                               It is recommended to contact and liaise with the co-ordination body concerned
                               to determine which funding opportunities would be the most promising, taking
                               into account the discussions and negotiations regarding assistance that the co-
                               ordination body holds with the bilateral or multilateral sources of assistance. As
                               above, the scope for co-financing should be explored.

                               4.    Contact relevant international funding agencies to explore the potential for
                                     assistance

                               With regard to international funding agencies, informal contacts could be made
                               at this point in order to investigate funding prospects, either to the local
                               representation of the agencies concerned, if such exist, or to the agencies'
                               headquarters. If assistance is possible and realistic, information on the correct
                               points of contacts and procedures for applying for assistance should be
                               obtained.



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Overview of                    Funding of BC implementation activities may be obtained from different
potential funding              sources. The sources can be divided into five main groups characterised by
sources for BC                 different providers of capital and different types of financing offered. The five
implementation                 groups are indicated in Figure 2.2.

                               Figure 2.2        Overview of Funding Sources for Implementation of the Basel
                                                 Convention




                               These funding sources are described in more detail in Chapter 3, and detailed
                               fact sheets on international and bilateral funding sources are provided in
                               Part II - Fact Sheets on Possible Funding Sources for Waste Management.

Overview of funding            The main and most realistic funding sources that may be drawn on for the
sources for                    individual types of action are suggested in Table 2.2. The intension of the table
individual BC-                 is to assist countries in focusing attention on the most relevant sources when
related actions                seeking funding. It must be underlined that the match between type of action
                               and possible funding sources is only indicative.

                               The costs of undertaking actions may take the form of administrative costs
                               (primarily manpower costs), investment costs and operating costs. Although it
                               is impossible to stringently characterise the funding sources by the type of
                               funding offered, experience shows that grant donors typically cover
                               administrative costs of softer actions and interventions while development
                               banks and development funds finance investment costs. Operating costs are
                               rarely covered by international funding agencies and would typically have to be
                               financed by national sources.



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                               Table 2.2       Possible Funding Sources for Main Waste Management Actions to
                                               Implement the Basel Convention

                                 Type of Action                                         Most Relevant Funding Sources 1)
                                 Institutional and Legal Analyses
                                 • Institutional analysis                               • National public budgets
                                                                                        • Basel Convention funds
                                                                                        • Bilateral grant donors
                                                                                        • Multilateral grant donors
                                 • Legal analysis and drafting of legislation           • National public budgets
                                                                                        • Basel Convention funds
                                                                                        • Bilateral grant donors
                                                                                        • Multilateral grant donors
                                 Waste management planning
                                 • Preparation of waste inventory and        • National public budgets
                                   identification of related environmentally • Bilateral grant donors
                                   sound management options                  • Multilateral grant donors
                                                                             • Basel Convention funds
                                                                             • (Environmental NGOs)
                                 • Assessment of transboundary movement of • National public budgets
                                   hazardous and other wastes                • Basel Convention funds
                                                                             • (Bilateral grant donors)
                                                                             • (Multilateral grant donors)
                                 • Development of policy, strategy and plan  • National public budgets
                                   to meet waste management objectives       • Basel Convention funds
                                                                             • Multilateral grant donors
                                                                             • Bilateral grant donors
                                 Implementation of waste management
                                 • Establishment of institutional and                   • National public budgets
                                  administrative frameworks and capacity                • Multilateral grant donors
                                  for implementation of national legislation            • Bilateral grant donors
                                                                                        • Basel Convention funds
                                 • Reduction of transboundary movements of              • National public budgets
                                  hazardous wastes, including adherence                 • Company self-financing
                                  to the control system                                 • (Multilateral grant donors)
                                                                                        • (Bilateral grant donors)
                                                                                        • (Basel Convention funds)
                                 • Promotion of cleaner technologies                    • Basel Convention funds
                                                                                        • National environmental funds
                                                                                        • National public budgets
                                                                                        • Industry / trade organisations
                                                                                        • Multilateral grant donors
                                                                                        • Bilateral grant donors
                                                                                        • Environmental NGOs
                                 • Introduction of cleaner technologies to              • Company self-financing
                                  minimise generation of hazardous wastes               • International development banks
                                  and other wastes                                       and funds
                                                                                        • Bilateral lending agencies
                                                                                        • Commercial banks
                                                                                        National environmental funds



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                                   Type of Action                                         Most Relevant Funding Sources 1)
                                   • Information, education and awareness-                • Basel Convention funds
                                    raising in support of waste minimisation              • National environmental funds
                                    and                                                   • National public budgets
                                    environmentally sound management of                   • Multilateral grant donors
                                    wastes                                                • Bilateral grant donors
                                                                                          • Environmental NGOs
                                   • Establishment of waste management                    • National public budgets
                                    infrastructure (collection, recovery, storage         • Company user charges
                                    and disposal, etc.)                                   • International development funds
                                                                                            and banks
                                                                                          • Bilateral grant donors and lending
                                                                                            agencies
                                                                                          • Commercial banks
                               1) Funding sources in brackets indicate less likely or realistic sources.

                               Once funding possibilities have been reviewed it may turn out that the
                               prospects for obtaining funding for some of the types of waste management
                               actions identified in Step 3 are poor. It may therefore be necessary to revisit
                               these options and consider alternative, possibly less ambitious and costly,
                               solutions. This is reflected by the loop including Steps 3 and 4 in Figure 2.1.


                               2.4.5 Step 5: Strategy / Plan
                               A country may opt to develop a national strategy and/or action plan that defines
                               and describes the country's strategy, commitments and the specific actions it
                               intends to undertake with regard to the management of waste. This should be
                               done in a manner, which is consistent with international best practices and in
                               accordance with the provisions of the Basel Convention.

                               In order to be as realistic/accurate as possible, the action plan should take into
                               account the availability of funding from potential national and international
                               sources identified in the previously mentioned step 4, preferably after having
                               made informal contact with the said donors in order to gauge the possibilities of
                               obtaining funding and other assistance. This will entail prioritisation of
                               management options to maximise impact in a short and longer-term
                               perspective. Otherwise the strategy / plan may end up being a wish list out of
                               touch with reality.

                               Issues to consider when prioritising funding opportunities include:

                               •      the priority that the funding sources give to the activities concerned;
                               •      the extent of support received from the funding sources previously,
                                      especially in the field of environment;
                               •      complementarity with related activities in the country;
                               •      best mix of national and international funding sources.




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                               A key element of the plan is a financial resource mobilisation strategy, which
                               may include the following:

                               1. List of actions to be undertaken in the short, medium and long term,
                                  distinguishing between the types of action included in Table 2.1 regarding:
                                     -     institutional and legal analysis
                                     -     waste management planning
                                     -     implementation of waste management.
                               2. Funding sources and type of funding for the actions listed in item 1.,
                                  broken down by:
                                     -     national and international sources;
                                     -     type and conditions: grant, loan, mixed, interest rate, repayment, etc.
                                     -     responsibility for repayment of loans and possibly on-lending
                                           conditions to be imposed on beneficiary companies and organisations.
                               3. Procedures and action to be taken to obtain funding.
                               4. Addresses, tel. etc. of contact persons in funding agencies.


                               It is important that the action plan be prepared through a process, which
                               involves all relevant stakeholders in order to ensure full endorsement of the
                               plan. The aim is to secure commitment and active participation in the
                               implementation of the plan.


                               2.4.6 Step 6: Raising of National and International Funds
                               Before any action can begin, the resources required will have to be procured.
                               More substantive dialogues should follow up on the informal contacts initially
                               made, either directly, or through the local aid co-ordination body. The aim
                               would be to align expectations with the latest prospects and receive advice form
                               the potential funding sources on how to proceed.

                               The Basel Secretariat and/or the Basel Convention Regional Centres can assist
                               a country in preparing project documents and in managing the administrative
                               procedures when applying for financial assistance from the likely funding
                               sources.

                               The Secretariat has developed project proposal formats for applying for
                               assistance from the Convention's own funds and can further assist in building
                               strategic partnerships with funding agencies and coordinating the development
                               of proposals. In some cases, the Secretariat or the Regional Centres may submit
                               proposals to donors on behalf of an applicant country or a group of countries.

                               It is important that the action plan or other financing plan is supported by
                               realistic commitments by the funding sources concerned to finance the
                               environmental actions included in the plan, be they of a short, medium or long


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                               term nature. If the funds mobilised do not realistically match the funding
                               requirements as estimated in the financing plan, it may be necessary to revise
                               the action plan accordingly. This is reflected by the loop including Steps 5 and
                               6 in Figure 2.1.


                               2.4.7 Step 7: Implementation of Actions
                               When funding has been obtained, implementation of action can proceed. For a
                               number of actions, the implementation process may extend over one or more
                               years. It is therefore advisable to establish close contact with the funding
                               agencies concerned and to maintain the dialogue on assistance beyond the
                               requirements in terms of reporting for short-term projects for which assistance
                               has been received.




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                               3           Sources of Funding for Implementing the
                                           Basel Convention
National/                      Funds to cover waste management initiatives may be sought from national or
international sources          international sources of funding. National sources include the public budget in
of funding                     the given country, company self-financing, financing by users through user
                               charges, etc. International sources include various global or regional
                               development banks and funds, multilateral and bilateral donor agencies, etc.

Importance of                  The funds available from international sources are limited and cannot cover all
national financing             the financing needs of Parties. National sources of finance therefore play a very
                               important role. In addition, in the case of international loan-based financing, the
                               national entity that takes the loan will eventually have to repay the loan. This
                               may also be considered national financing.

Overview of sources            Acknowledging the importance of national financing, a short overview of
                               national funding sources is included below in Section 3.1. Next, an overview of
                               international funding sources is presented in Section 3.2.

Fact sheets                    This overview is supported by fact sheets for the most important international
                               sources of funding presented in: Part II - Fact Sheets on Possible Funding
                               Sources for Waste Management.


                               3.1         National Funding Sources in Overview
                               National sources may be divided into the following groups:

                               •     Financing by users;
                               •     Public budgets;
                               •     Environmental funds;
                               •     NGOs;
                               •     Domestic banks and lending institutions.


                               3.1.1 Financing by Users
                               Financing by the users of waste management services may either come from
                               user charge payments or user self-financing.




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                               User charges are a source of financing to sustain the provision of certain waste
                               management services such as waste collection and treatment. User self-
                               financing describes the situation where generators of waste (e.g. large industrial
                               companies) invest in and operate their own recycling systems, treatment
                               facilities, etc.

User charges                   In most countries, financing by way of user charges is seen as the main source
                               of finance for covering operating and maintenance costs associated with the
                               provision of waste management services. In some countries the practise is that
                               investment costs should also be covered by user charges, while public budgets
                               are seen as the main source of finance for investments in other countries.

                               The legal and institutional framework governing user charge payment systems
                               in a country is very important for the level of financing that can be generated,
                               and therefore also for the financial targets that can be achieved. Examples of
                               different approaches are that in some countries users pay a fixed fee for a
                               certain service, while in other countries payment for the same type of service is
                               based on the extent to which the service is received.

User self-financing            Countries apply the concept of user self-financing to varying degrees. This type
                               of financing is of particular importance for the introduction of cleaner
                               technologies and production processes since many companies are willing to
                               make investments that will subsequently reduce their operating costs and help
                               develop and maintain a green image. However, user self-financing may also be
                               induced by legal requirements. For example, companies may be required by
                               law to set up systems for taking back used products such as batteries and
                               product packaging.


                               3.1.2 Public Budgets
                               Financing may come from public budgets at various government levels. This
                               may be federal, state, regional or municipal level depending on the country in
                               question. Public budgets may provide three relevant types of funding:

                               •     Funding of the operating costs of running the administrative apparatus
                                     (ministries, etc.);

                               •     Subsidies for operation and maintenance of services systems made
                                     available to the public;

                               •     Investment funding, which is typically provided within the framework of
                                     procedures for public investment planning and included in public
                                     investment plans (PIP) or similar plans.

                               Funding of activities from the public budget is most often agreed upon in
                               annual consultation and negotiation processes between line ministries and the
                               ministry of finance (treasury), the ministry of economic development, or
                               similar body.




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                               The financing is provided in the form of transfers (grants) from an annual
                               budget. Ultimately, the source of this financing is the taxpayers. In developing
                               and transition countries the funds available from the public budget are generally
                               scarce and environmental concerns must compete with other pertinent issues
                               such as health care, water supply, infrastructure, etc.


                               3.1.3 Environmental Funds
                               Some countries have established environmental funds. The funds are typically
                               public funding sources outside the regular public budget. They primarily
                               provide funding in the form of grants and/or loans, sometimes including the use
                               of revolving funds. Environmental funds are the only source of national finance
                               that normally uses a formalised project-by-project application procedure.
                               Financing is usually allocated on the basis of certain overall priorities and on
                               the quality of the application for funds.


                               3.1.4 National NGOs
                               National NGOs in developing and transition countries tend to have very limited
                               financial resources of their own. They are often dependent on financing from
                               international NGOs and/or multilateral and bilateral grant donors. However,
                               they may play an important part in providing in kind contributions for
                               implementation of actions such as education, awareness raising and training.


                               3.1.5 Domestic Banks and Lending Institutions
                               These sources of financing may be willing to invest in infrastructure subject to
                               financial viability of the projects concerned. Hence, future revenues from user
                               charges, possibly combined with subsidies from the public budget, must be
                               sufficient to ensure acceptable financial returns on the investment.

                               Domestic loan capital may be scarce, or comparatively expensive, because of
                               low creditworthiness of a country. Banks get some of their capital from the
                               international capital markets and may only be able to do so at high interest
                               rates. Some banks have access to capital on better terms through credit lines
                               from international development banks, see Section 3.2.1 below.


                               3.2         International Funding Sources in Overview
                               International sources of funding may be divided into the following main groups
                               based on their different sources of capital and different types of financing
                               provided:

                               Global or regional banks and funds:

                               •     International development banks;
                               •     International development funds;
                               •     International commercial banks.



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                               Further:

                               •     Financial Mechanisms of the Basel Convention;
                               •     Multilateral grant donors;
                               •     Bilateral grant donors and lending facilities;
                               •     International NGOs.

                               3.2.1 International Development Banks
                               It is common to distinguish between regional and global development banks.
                               While only countries in a specific region are eligible for financing from the
                               regional development banks (e.g. Asia, Africa or Latin America), global
                               development banks operate in all regions of the world.

Mode of operation              In principle, development banks operate in a manner similar to that of
                               commercial banks. They get their capital on the international capital markets.
                               The difference is that they are established by a number of member countries
                               that subscribe capital to the bank. The banks are able to get international capital
                               on favourable terms and pass these terms on to countries with low
                               creditworthiness, which would not normally allow them to borrow capital on
                               such terms. Compared to commercial banks, development banks have more
                               elaborate procedures for loan approval, which means that the transaction costs
                               of the loans are typically higher than for commercial loans.

Lending terms                  The core business of the development banks is to provide loans for larger
                               investment projects, often in a co-financing arrangement with other sources of
                               finance. Development banks are generally able to provide loans on more
                               favourable terms than commercial banks. Three key parameters of the lending
                               terms are: interest rate, grace period and repayment period. The grace period is
                               an initial period during which no payment of the principal is due. The
                               repayment period is the period during which the borrower must pay down the
                               loan.

Criteria and access            Like the commercial banks, development banks also provide loans on the basic
                               criteria that projects must be financially viable. In addition, development banks
                               are guided by priorities decided by the member countries concerning countries,
                               sectors, themes, etc. to be supported.

                               Development Banks typically provide lending for programmes and projects to
                               countries based on country strategies outlining the priorities. Country strategies
                               are negotiated with the relevant authorities in the country concerned and take
                               into account national policies and strategies. Access to this type of funding is
                               therefore, to a high degree, dependent on the ability to establish a national
                               agenda on the issue in question.

                               Most development banks have a local representation in the larger recipient
                               countries.




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                               3.2.2 International Development Funds
                               International development funds comprise financing institutions that provide
                               loans on concessional or "soft" terms. Such soft loan terms may include no or
                               low interest and/or without the fees normally charged by banks. International
                               development funds comprise institutions/facilities such as IDA and EDF (see
                               fact sheets in Part II).

Mode of operation              Development funds are established by a number of member countries that
                               pledge and give donations to the fund. These donations are the primary source
                               of capital. The funds are often managed by international development banks or
                               have a link with these. For example, the IDA and the IBRD are both World
                               Bank institutions and the EDF is managed by the EIB.

                               The funding is intended for countries with very low creditworthiness. These
                               countries may not even be able to borrow from international development
                               banks. The financing is limited to the resources available in the fund concerned
                               and an important aspect of the fund administration is therefore to decide on the
                               allocation of these scarce resources between the countries eligible for funding.

Lending terms                  Funds are mainly allocated to large investment projects. The loans are provided
                               at very favourable terms with low or no interest, small or no fees and with
                               longer maturities and grace periods than development banks can offer. Some
                               development funds also provide funding in the form of grants.

Criteria and access            The procedures for deciding on criteria and possible access to development
                               funds are very similar to those used by development banks, see above.


                               3.2.3 International Commercial Banks
                               International commercial banks are lending institutions that provide capital on
                               market terms. Their capital comes from borrowings on international capital
                               markets. Their criteria for providing financing are focused on creditworthiness
                               and financial viability of the project. Most developing and transition countries
                               will not be able (or cannot afford) to borrow from these banks because of low
                               creditworthiness and high costs of borrowing (often very high interest rates).


                               3.2.4 Financial Mechanisms of the Basel Convention
                               The Basel Convention has two financial mechanisms:1

                               •     the Trust Fund for the Basel Convention on the Control of Transboundary
                                     Movements of Hazardous Wastes and Their Disposal (the Basel
                                     Convention Trust Fund);



                               1
                                The financial mechanisms of the Basel Convention were determined subsequent to the
                               entry into force of the Convention at the First Conference of the Parties to the Basel Con-
                               vention.


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                               •     the Trust Fund to Assist Developing Countries and Other Countries in
                                     Need of Technical Assistance in the Implementation of the Basel
                                     Convention on the Control of Transboundary Movements of Hazardous
                                     Wastes and their Disposal (the Technical Cooperation Trust Fund).

The Basel                      The Basel Convention Trust Fund provides financial support for the ordinary
Convention Trust               expenditures of the secretariat of the Basel Convention for which sustainable
Fund                           funding is required. In accordance with the Terms of Reference of the Trust
                               Fund, the contributions by Parties to the Basel Convention Trust Fund are
                               agreed based on the United Nations scale of assessment and are adjusted to take
                               into account the difference between the membership of the United Nations and
                               the Parties to the Basel Convention.

The Technical                  The Technical Cooperation Trust Fund is a voluntary trust fund, which receives
Cooperation Trust              mainly earmarked contributions by donors for technical cooperation activities
Fund                           and for the facilitation of participation in the meetings of the Basel Convention.

- technical assistance         Technical assistance activities include:
  activities                   • Development of national legislation, regulations, and standards;
                               • Identification of main hazardous waste streams and preparation of national
                                   plans for the management of hazardous wastes;
                               • Ad hoc advice provided to Parties, non-Parties, and others (e.g., industry,
                                   universities);
                               • Provision of information and documentation related to the Basel
                                   Convention.

- enlargement of the           The COP 5 in 1999 decided, on an interim basis, to enlarge the scope of the
  scope of the Fund            Technical Cooperation Trust Fund to assist the Contraction Parties which are
                               developing countries or countries with economies in transition in cases of
                               emergency and compensation for damage resulting from incidents arising from
                               transboundary movements of hazardous wastes and other wastes covered by the
                               Basel Convention.

                               Funds may be used for the following purposes:

                               •     Emergency assistance, including rapid assessment of the magnitude of
                                     damage occurred or damage that may occur, emergency measures to
                                     prevent or mitigate the damage and a clearing-house mechanism to help
                                     identify Parties and entities in a position to provide assistance;

                               •     Compensation for damage to and re-instatement of the environment;

                               •     Capacity building and transfer of technology and putting in place of
                                     measures to prevent accidents and damage to the environment caused by
                                     transboundary movement of hazardous wastes and other wastes and their
                                     disposal.

                               A set of interim guidelines on administration of the funds, including application
                               procedures, were approved by COP 6.



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- administration and           The Technical Co-operation Trust Fund is administered by UNEP, in
  procedures                   accordance with the financial regulations and rules of the United Nations, the
                               general procedures governing the operations of the Environment Fund of the
                               United Nations Environment Programme, and the terms of reference for the
                               administration of this Trust Fund.

- budget and                   Figures from the Secretariat of the Basel Convention indicate that contributions
  contributions                amounts to approximately one quarter of the budget for the years 2000 - 2002.
                               The budget is approximately USD 4.6 million for 2003 and USD 5.3 million for
                               2004. For 2003, only 1.5 % of the budget has been paid as per 30 September
                               2003.

                               Another mechanism of importance under the Convention is the facilitation by
                               the Secretariat of bilateral assistance activities among Parties, including
                               capacity building activities. Significant funding for some of the Basel
                               Convention Regional Centres is not channelled through the Technical
                               Cooperation Trust Fund but provided on a bilateral basis.

Additional funds for           Finally, the COP 6 authorised, on an exceptional basis, the Executive Secretary
projects                       to the Basel Convention in addition to the approved budget, to use
implementing the               USD 1.2 million in the period 2003 - 2004 from the reserve and balance of the
Strategic Plan                 Basel Convention Trust Fund for activities to implement the Strategic Plan.


                               3.2.5 Multilateral Grant Donors
                               These organisations mainly include UN organisations providing grant funds.
                               The most important in relation to support for actions related to waste
                               management are described in separate fact sheets in Part II - Fact Sheets on
                               Possible Funding Sources for Waste Management.

Mode of operation              Generally, these organisations are established to deal with specific issues with
                               global implications such as environmental issues, health, agriculture, etc. They
                               often have multiple functions related to the particular issue covered of which
                               support for projects in developing/transition countries is just one. The resources
                               for the grants provided are made up of donations from various governments and
                               are often quite scarce. Most often the type of support provided is technical
                               assistance such as capacity building, training, information dissemination, etc.

Criteria and access            The multilateral donors have various criteria for support, which are often linked
                               to strategic concerns and the prospects of being able to (i) replicate projects in
                               several countries and (i) financial sustainability of the projects since the funds
                               are limited.

                               Some donors rely on a country-programming approach to establish priorities.
                               They are often also represented locally or in the region. Others have more
                               limited funds and also a more centralised approach.




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                               3.2.6 Bilateral Grant Donors and Lending Facilities
                               A number of countries are engaged in development assistance. They apply a
                               variety of modalities for providing bilateral assistance (i.e. assistance from one
                               country to another) to developing and transition countries. There are some
                               similarities, however.

Mode of operation              Most countries have established national aid agencies, usually under the
                               Ministry of Foreign Affairs or a similar ministry. The majority of countries
                               provide assistance to environmental programmes or projects in general, but
                               some specifically to the waste sector. Some countries have set up special
                               facilities for environmental assistance through their Ministry of Environment.

Terms and conditions           The most common form of bilateral assistance is grant based. However, many
                               countries also have some kind of facility for loan-based finance. In some
                               countries this is placed within the aid agency, in other countries it is a separate
                               institution. The loan terms offered differ between countries.

Criteria and access            Bilateral aid agencies generally have to follow the overall priorities and
                               programmes adopted and prioritised by the governments of their countries.
                               These set out the overall thematic priorities and, in some cases, regions and
                               countries that receive priority. Prioritised environmental programmes and
                               projects typically have to contribute to the attainment of overall sustainable
                               development and poverty reduction objectives of the agencies concerned.

                               It is common that bilateral assistance is based on a country and sector
                               programming approach. This means that the assistance is provided within a
                               planning framework, which sets out the sectors and categories of programmes
                               and projects that an agency intends to support in any particular country. The
                               common approach is that the planning framework is developed in a joint effort
                               between the donor and the recipient country. The aim of this approach is to co-
                               ordinate the assistance with policies and plans of the recipient country and with
                               other possible external assistance.

                               The national priorities as laid out by ministries of finance, economic planning
                               or similar bodies therefore play an important role in the programming process.
                               In order to received assistance addressing waste issues it is therefore very
                               important to have these issues put on the national environment agenda. A
                               dialogue between the national environment authorities and the ministries
                               responsible for national finances and economic planning must therefore be
                               consistently maintained.

                               In addition to programmed assistance, some bilateral aid agencies operate
                               various types of responsive, flexible financing facilities for projects of a smaller
                               scale. Such facilities may focus on a specific sector or type of projects, or it
                               may be open to many types of activities. Some facilities are operated by the
                               local representation, usually embassies, in the recipient country. They may be
                               availed of by national organisations in the recipient countries. Normally these
                               facilities publish material that describes which types of projects and




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                               programmes that may receive assistance and procedures describing how to
                               apply.

                               Bilateral aid agencies are usually represented by local offices in the countries of
                               operation through the embassy of the country concerned or a similar
                               representation. It is recommended to contact relevant embassies to enquire
                               about the possibilities for funding and the procedures to be followed. In
                               addition, most agencies have well-functioning websites providing information
                               on the general priorities of the agencies', country programmes and particular
                               financing facilities.


                               3.2.7 International NGOs
                               International NGOs obtain their funds from membership fees and other
                               contributions from individuals, trusts and legacies, donations from
                               corporations, and government and aid agencies.

                               The NGOs are to a large degree dependent on the sources of finance mentioned
                               above and have only limited funds, which could be called their own. However,
                               they can play an important role in providing support to national NGOs and, in
                               particular, in relation to projects focusing on awareness and education as well
                               as small-scale, community based actions.


                               3.2.8 Innovative Financing
                               In recent years new approaches have been taken to finance environmental
                               projects, often referred to as "innovative financing". Innovative financing
                               strategies are designed to fill the financing gaps that traditional financing
                               modalities cannot cover. They typically combine grants from the public sector
                               or international development funding sources with private sector investment in
                               order to bring down the project costs, thereby making the environmental
                               projects more affordable for companies and users and the debt service more
                               manageable.

                               Innovative financing for environmental projects in developing countries and
                               countries with economies in transition typically falls in two main categories:

                               •     grants to countries to establish revolving funds, and
                               •     concessional lending.

                               There is considerable scope for developing these concepts and combining them
                               to suit the needs of the Basel Convention Parties. Experience from projects in
                               related fields could serve as inspiration.


                               3.2.9 Partnership with Industry
                               The Basel Convention is in the process of exploring the possibility of
                               developing partnerships with industry. The objective is to launch initiatives and
                               undertake activities to improve environmental performance of selected sectors


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                               in industry and enhance their contribution to sustainable development.2 This is
                               to be attained through a structured dialogue among industry sectors and
                               between industry and the Parties.

                               The initiative is not as such a means to provide funding for environmental
                               action but an instrument for pro-active exchange of information, experience and
                               know-how among concerned stakeholders. The initiative will contribute to the
                               prevention of waste generation without necessarily requiring any significant
                               investment. Further, it will reduce the financial needs to achieve environmental
                               sound management of hazardous and other wastes.




                               2
                                   See UNEP/CHW.6/32/Add.1 (October 2002): Partnership with Industry.


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                               4           About the Fact Sheets on Possible
                                           Funding Sources for Waste Management
                               In addition to this Guidance Note, fact sheets for important international
                               sources of funding have been prepared and presented in Part II of this report:
                               Fact Sheets on Possible Funding Sources for Waste Management.

                               The fact sheets are intended to provide key information on potential funding
                               agencies and programme to a broad target group by providing an overview of:

                               •     The strategies and priorities of the funding sources with particular focus on
                                     regions/countries and waste-related issues;

                               •     The main types of financing offered (only sub-programmes or specific
                                     small windows of financing that are of relevance to waste management are
                                     mentioned);

                               •     Key information on access to funding as seen from the point of view of the
                                     recipient countries.

                               The fact sheets provide a snapshot of the situation as per September 2003,3
                               however, priorities and modalities of the financing institutions change over
                               time. It is, therefore, advisable always to check with the web-sites of the
                               financing institutions to get the latest information and to contact the institutions
                               directly to discuss concrete projects and funding possibilities at an early stage.

                               The fact sheets are presented with reference to the categories presented in
                               Chapter 3:

                               •     International development banks;
                               •     International development funds;
                               •     Multilateral grant donors; and
                               •     Bilateral donors agencies.

                               As regards bilateral agencies, only a selected number of fact sheets have been
                               prepared.


                               3
                                The information provided in the fact sheets was collected from the websites of the rele-
                               vant institutions.


                                                                                                                            .
National Re-
sources/
Funds

● User charges
● Company
self-                                                                                                                 34
                 Financial Resource Mobilisation for Implementation of the Strategic Plan for the Basel Convention - Guidance Note   34
  financing
● Public budg-
ets
● Environ-
                                                For a quick overview, Annex 1 of Part II contains a table covering all the
mental funds
● Commercial                                    financing institutions (except bilateral) for which fact sheets have been
banks                                           elaborated as well as some additional sources with a more limited role in
                                                relation to financing of projects in the waste sector.

                                                Furthermore, reference is made to the draft UNITAR/IOMC Guidance Note on
                                                Financial Resources Mobilisation,4 which contains a number of fact sheets for
                                                bilateral sources of funding.




                                                4
                                                 UNITAR/IOMC: "Financial Resource Mobilisation for the Sound Management of
                                                Chemicals", Working Draft, July 2001.


                                                                                                                                      .

				
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