CIESIN

Box 1-C---Agencies and Organizations That Can Influence Greenhouse Emissions Abroad

This box briefly describes major U.S. and international "players" looking at climate change. While no organization seems to place a premium on discouraging climate-modifying emissions for that reason alone, most are exploring the ways in which their policies and programs may affect climate change. In addition to those listed below, there are also many regional organizations, industry-sponsored consortia, non-governmental organizations, and philanthropic foundations that influence energy and environment policy internationally.

U.S. Government Agencies

The Agency for International Development is the lead agency for administering foreign economic assistance through training, education and research, policy advice, technical assistance, and technology transfer. It is the second largest bilateral aid donor in the world (following Japan), spending over $2 billion in 1989 on nonmilitary Overseas Development Assistance. Of that sum, about 1 percent (between $100 to $200 million) is spent on energy projects. A.I.D. is presently undertaking an inventory of its activities and their related effect on climate change.

The Department of Agriculture promotes U.S. agricultural products and coordinates agricultural trade policy with other U.S. agencies. The Forest Service administers timber sales and other activities in national forests and is involved in international forestry issues. The Agricultural Stabilization and Conservation Service administers programs that provide cost-sharing for tree planting and forest management.

The Department of Commerce supports U.S. manufacturers and businesses in pursuing overseas export opportunities, collects and disseminates commercial information, and supports other U.S. overseas programs, including the Eximbank and the Overseas Private Investment Corp.

The Department of Energy is exploring, as a part of the forthcoming National Energy Strategy, how the U.S. energy program contributes to climate change problems and what technologies may be best suited to mitigate the problems. Among other programs, the department leads the multi-agency Committee on Renewable Energy Commerce and Trade, which promotes trade of U.S. renewable energy technologies.

The Department of State has responsibility for overall conduct of U.S. foreign policy. It is the lead agency in negotiating any international agreements and heads U.S. participation in the IPCC process.

The Department of Treasury has primary responsibility for U.S. financial policies affecting other countries and for international financial institutions. The department's Office of Multilateral Development Banks directs the U.S. Executive Directors that sit on the boards of the multilateral development banks (e.g., the World Bank); through the directors, the United States has been active in scrutinizing the banks' environmental policies. The department examines approximately 400 bank projects per year that might have adverse environmental effects.

The Environmental Protection Agency is examining climate change issues (including energy use, deforestation, sea-level rise, CFCs, and methane) in developed and developing countries; it provided technical support for U.S. involvement in the IPCC.

The U.S. Trade Representative is charged with formulating overall trade policy and with bilateral and multilateral trade negotiations.

Independent U.S. Agencies/Corporations

The Export-Import Bank (Eximbank) is an independent government agency that facilitates exports of U.S. goods and services, particularly in developing countries. Its main programs include direct loans to foreign borrowers, export credit guarantees and insurance, and discount loans. Since it is not a development assistance agency, it must have a reasonable assurance of repayment.

The Overseas Private Investment Corp. (OPIC) is a public/private corporation created by Congress that directly finances projects sponsored by U.S. private investors in developing countries and provides insurance against political risks for U.S. private investments in those countries. In 1987, OPIC accounted for over $8 billion in insurance and $230 million in directly financed projects.

The U.S. Trade and Development Program, housed in the U.S. International Development Cooperation Agency, funds feasibility and planning studies for projects involving export markets for U.S. goods and services; Its focus is primarily on large public sector projects.

Box 1-C--Agencies and Organizations That Can Influence Greenhouse Emissions Abroad---Continued

Multilateral Development Banks (MDBs)

The World Bank, the largest multilateral development bank, spent approximately $15 billion in 1989, including $3.3 billion in the energy sector. Bank funding for free-standing environmental projects from 1990 through 1992 is expected to be about $1.3 billion. The Bank recently issued an operational directive outlining procedures for assessing the environmental consequences of proposed projects; it is too early to ascertain its effects. In 1990, the United States lost its position as the largest international aid donor to Japan. This change will reduce the U.S. voting share in the Bank (1)

The three regional MDBs---the Asian Development Bank, African Development Bank, and Inter-American Development Bank---are also major sources of assistance and have a larger role than the World Bank in many countries, for example in Central America. The latter two banks have provided about $1 billion for energy sector projects since 1988. The Inter-American Development Bank, like the World Bank, has established procedures for evaluating environmental impacts.

United Nations Agencies

The UN Development Program (UNDP) provides funding and advisory services to developing countries dealing with trade in development technology. It spent approximately $122 million in 1988 for natural resource, energy, and environment projects.

The UN Food and Agriculture Organization (FAO) is active in rural and agricultural research and development, fuelwood and charcoal projects, and forestry issues (including coordinating the Tropical Forestry Action Plan).

The UN Population Fund (UNFPA) provides technical and monetary assistance to developing countries on population issues. It provided about $169 million in 1988 for programs in 141 developing countries.

The UN Environment Program (UNEP) coordinates environmental activities within the United Nations and led the development of the Montreal Protocol to Protect the Ozone Layer. Along with the World Meteorological Organization, UNEP coordinated the Intergovernmental Panel on Climate Change (IPCC), and is one of the managers of the World Climate Program.

The UN Industrial Development Organization (UNIDO) promotes industrialization in developing countries and provides assistance to improve industrial use of energy.

The World Meteorological Organization (WMO) monitors climate trends, provides a framework for research on global climate models, and facilitates the exchange of meteorological information between countries. Along with UNEP, it plays an important role in many activities involving climate change issues (see UNEP above).

International Science and Natural Resource Organizations

The International Council of Scientific Unions coordinates scientific research projects worldwide and works with non-governmental organizations and intergovernmental agencies. It runs the International Geosphere-Biosphere Program and is a joint manager of the World Climate Program with UNEP and WMO.

The Intergovernmental Panel on Climate Change (IPCC), set up in 1988 under the auspices of UNEP and WMO, has been the primary international forum for addressing climate change. Its three working groups were charged with: 1) assessing scientific evidence on climate change; 2) assessing likely impacts resulting from such change; and 3) considering possible response strategies for limiting or adapting to climate change. The groups were chaired by the United Kingdom, U.S.S.R., and United States, respectively. The IPCC's final report was presented to the UN General Assembly in the fall of 1990.

Other organizations focus on agriculture and forestry. The International Fund for Agricultural Development funded by OPEC and OECD members, makes financial resources available on concessional terms for agricultural development in developing countries. The Consultative Group on International Agricultural Research is a network of organizations that conducts agricultural research in developing countries. The International Tropical Timber Organization provides a framework for coordination between tropical timber producing and consuming countries and the Tropical Forestry Action Plan attempts to enhance donor cooperation and funding in sustainable forestry management.

1 In 1984, the United States had 19.5 percent of the voting power in the World Bank. this was larger than the combined voting power of the next three highest donors.