The Global Environment Facility Council, established under the Instrument for the Establishment of the Restructured GEF, first met in July 1994. Since that time, the Council has worked diligently to approve policies and procedures to enable the GEF to fulfill its unique mission as a financial mechanism for activities aimed at protecting the global environment. One of the Council's major actions was the adoption of the GEF Operational Strategy.
When the GEF was restructured after its pilot phase and established as a permanent mechanism, it was essential to develop a road map to guide its actions and to ensure that its resources would be utilized cost effectively to maximize global environmental benefits. This operational strategy is such a road map. It is intended to provide a framework for programmatic cohesiveness and integration among the many entities that participate in the GEF, including the three Implementing Agencies (UNDP, UNEP and the World Bank), the Scientific and Technical Advisory Panel (STAP), the GEF Secretariat, and the international conventions for which the GEF provides operational support and funds for implementation.
The GEF was created to fulfill a unique niche - that of providing financing for programs and projects to achieve global environment benefits in four focal areas: biodiversity, climate change, international waters, and ozone layer depletion -- and in land degradation as it relates to these focal areas.
At the United Nations Conference on Environment and Development (UNCED) in Rio, two important conventions dealing with biodiversity conservation and climate change were signed, signaling a new era of environmental treaty making and partnership. These two conventions and the Montreal Protocol on Substances that Deplete the Ozone Layer recognize that while developing countries are not responsible for the majority of damage to the global environment, they could become major contributors in the near future. To secure the participation of developing countries in the implementation of these conventions, financial resources are to be made available by developed countries.
To this end, the GEF has emerged as both a facilitator and a funding mechanism for integrating global environment concerns into the development process and for realizing the goals of these global environmental conventions. Both the Biodiversity Convention and the Climate Change Convention have designated the GEF to serve as the financial mechanism of the convention on an interim basis. The relationship between the GEF and these two conventions is another example of the innovativeness of both the Facility and international treaty making for purposes of the global environment insofar as the relationship is designed to ensure a bridge between the goals and aspirations of treaty negotiations and the implementation of the commitments and objectives of such treaties.
In accordance with the provisions of the conventions and the GEF Instrument, the use of GEF resources for purposes of the conventions is to be in conformity with the policies, program priorities and eligibility criteria decided by the Conference of the Parties of each of those conventions. The Conference of the Parties (COP) to the Convention on Biological Diversity at its first meeting (Nassau, Bahamas, November 28-December 9, 1994), approved the policy, strategy, program priorities and eligibility criteria for access to, and utilization of, financial resources under the Convention's financial mechanism. Similarly the Conference of the Parties to the UN Framework Convention on Climate Change at its first meeting (Berlin, Germany, March 28-April 7, 1995) adopted initial guidance on policies, program priorities and eligibility criteria to be followed by the operating entity or entities of the financial mechanism. The guidance of both conventions has been fully reflected in the GEF operational strategy.
Although the GEF is not a financial mechanism for the Montreal Protocol, the operational strategy provides that the GEF operational policies concerning ozone layer depletion will be consistent with those of the Montreal Protocol and its amendments. For the international waters focal area, there are numerous relevant international treaties and conventions. These have also been fully taken into account in this strategy.
The operational strategy was prepared on the basis of consultations and preparatory work of the GEF Secretariat and the GEF Implementing Agencies. STAP also contributed to the preparation of the strategy. The secretariats of the international conventions were consulted so as to ensure that the strategy fully integrates the guidance approved by their COPs. The GEF Secretariat also sponsored five regional consultations in Africa, Asia, Europe, Latin American and North America involving thinkers and practitioners in the environment and development fields which contributed to the development of the operational strategy. Finally, the operational strategy was reviewed and revised by the GEF Council during two of its meetings. The Council approved the strategy at its meeting in October 1995.
What's next? Consistent with the strategy, operational programs will be developed to provide strategic frameworks for the development of country-driven projects and coordination of GEF activities. The operational programs will be implemented through projects in recipient countries. Flexibility will be an integral element of implementing this strategy so that the GEF may respond to changing circumstances, and may learn from and be responsive to evolving scientific and technical knowledge, insights of countries, and guidance of the conventions. The conventions in particular are expected to provide on-going guidance concerning policies and program priorities. Monitoring and evaluation of GEF activities will make a particularly important contribution. The GEF's unique mission in the global environment requires it to develop programs and projects whose design, although scientifically based, may be more innovative and experimental than that of regular development projects, making it particularly important that activities be continuously tracked and results disseminated.
As the GEF moves forward in implementing this strategy, every effort will be made to strengthen its capacity as a mechanism promoting international cooperation for the purpose of achieving global environmental benefits within a framework of national sustainable development.
MOHAMED T. EL-ASHRY
CEO and Chairman
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