APEC Environmental Goods and Services Work Program

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1 APEC Environmental Good and Service In Sydney in 2007 APEC Leader committed, through wide-ranging and ambitiou action, a et out in the Sydney Action Agenda, to enuring the energy need of the economie whilt addreing the iue of environmental quality and contributing to the reduction of greenhoue ga emiion. Leader alo affirmed that An open global trade and invetment ytem i central to our clean development objective and market opening in the World Trade Organization (WTO) would advance our climate and energy ecurity goal. and recognized that Joint reearch, development, deployment and tranfer of low and zero emiion technologie will be crucial in our hared effort to addre climate. 2. The 2007 Leader Action Agenda included co-operative action and initiative deigned to achieve an objective of upporting economic growth and development of the Aia Pacific region and to further contribute to the reduction of global greenhoue ga emiion. 3. The Committee on Trade and Invetment (CTI) ha worked ince then to addre Leader intruction, including by developing an EGS work program a a contribution to APEC broader objective of promoting utainable economic growth in the region. Central to the CTI work in thi area i the recognition that an open global trade and invetment ytem i neceary for the diemination and increaed utilization of EGS, and that thi would be part of APEC contribution to global development, economic, and environment objective. 4. The APEC EGS me Framework wa endored by Miniter at the 2008 AMM. The objective of the Framework are to upport the development of the EGS ector in APEC and to provide a coherent etting for the work under way in variou APEC bodie. The Framework ha four component: (a) reearch and development, (b) upply, (c) trade and (d) demand. The full decription of the four framework component i a follow: a. Reearch and development: For both good and ervice, thi refer to developing new and better EGS through innovation and R&D which addre not only trade in EGS but alo environment and development (i.e. rural development, job creation and applied technology). APEC economie can hare idea and bet practice on innovation and R&D programme that pur the development of EGS. b. Supply: For good, thi include the incorporation of cleaner, more reource and energy efficient technologie. For ervice, thi include the training of killed peronnel. Both entail a need for more focu and invetment in the EGS indutry. APEC economie can explore way to facilitate invetment in EGS and hare bet practice in developing the EGS indutry ector. c. Trade: Thi component aim to improve trade in EGS through trade facilitation and trade liberaliation. For the former, APEC (Market Acce Group)/GOS (Group on Service) have been developing project that facilitate trade in EGS. For trade liberaliation, thi component adhere to the Doha Para 31(iii) mandate. Recogniing that the negotiation will be done in the WTO, APEC /GOS can come up with way to upport the negotiation in the WTO. d. : An increae in demand will create incentive for the market to increae R&D and invetment in EGS. APEC economie can look into haring bet practice in public education on EGS and pro-egs conumer policie, uch a meauring and howing the impact of EGS on the environment. 5. In July 2009 APEC Miniter Reponible for Trade (MRT) welcomed the progre made o far in the development of an APEC work program for EGS (environmental good and ervice) a et out in the EGS Framework. They intructed official to finalie the work program for conideration by the 2009 APEC Miniterial Meeting (AMM). 6. Conequently, CTI taked the Market Acce Group () to conduct a Mapping Exercie, which identified the work tream relevant to the EGS Framework currently underway acro 83

2 APEC fora and ub-fora. The Mapping Matrix i appended here a Annex 1. It include activitie and project initiated or under way in To allow for improved overight by APEC economie of the myriad of initiative underway in APEC in thi area, and to identify area of potential collaboration, the Mapping Matrix will be updated regularly by the APEC Secretariat. Keeping the Mapping Matrix up-to-date will alo help u to prevent duplication of reource acro APEC fora and ub-fora. 7. Baed on the reult of the mapping exercie, APEC member agreed to take the following action in order to upport utainable economic growth in the region, advance APEC work to increae utilization of EGS, reduce barrier to trade and invetment in EGS and enhance the capabilitie of member to develop their EGS ector: Launch and continue to contribute to the Environmental Good and Service Information Ex (EGSIE), a Web ite that will erve a a foundation for future work on EGS in APEC, and will promote greater tranparency, information-haring, collaboration, and diemination of EGS in the APEC region and globally. Identify a package of follow-up action that would enable economie to enhance their utainable economic development and contribute to the growth of the APEC region. Three key apect of thi would be an identification of: (1) good and ervice for which, via increaed utilization, an economy would be able to contribute toward climate mitigation a well a utainable economic development; (2) concrete tep to facilitate the diffuion of climate friendly and other EGS technologie o a to increae the capabilitie of economie to maintain utainable growth; and (3) capacity-building activitie to help enure that APEC economie, epecially developing economie, are able to cultivate and further develop their EGS ector and meet their utainable growth goal, including identifying area of technology tranfer of interet to economie and initiating a erie of cae tudie o a to better undertand the need of developing economie in thi area. Promote greater diemination and utilization of EGS by raiing awarene of the differing economic condition and reultant need of economie; undertaking work to addre nontariff barrier and enhance market driver to environmental good through cloe cooperation among relevant fora, uch a local content requirement; explore greater harmonization and convergence of tandard, particularly in the area of energy ; facilitate invetment in the EGS ector; and Improve undertanding and market acce for environmental ervice and ervice relevant to climate mitigation. 84

3 APEC EGS Project Mapping At MRT thi year, Miniter agreed that APEC could make an important contribution to the ucce of the Copenhagen Conference by exploring way to reduce barrier to trade and invetment in environmental good and ervice (EGS), in particular thoe good and ervice that contribute to the ucce of our climate effort. Miniter alo intructed official to finalize the EGS work programme for conideration by AMM The matrix below i a lit of EGS project which are being developed by APEC fora and help make EGS more available in the APEC region. The matrix preuppoe that there i no definition of EGS. The categorie utilied in thi matrix are intended a broad example only. It will be provided by to CTI Chair for conideration in her drafting up an EGS work programme. CTI (Committee on Trade and Invetment) CTI Decription of Study on Good Regulatory Practice for Good and Service Neceary or Deirable for Climate Change Mitigation and Adaption Survey on the current tatu of applying trade related environmental tandard (TREM) Objective To ait Member Economie to adopt trade-facilitating regulatory meaure for good and ervice neceary or deirable for climate mitigation and adaption To help member, epecially developing member, to build capacity to implement trade-related environmental tandard by bet practice and experience haring Singapore Categorie * (iii) climate Trade Viet Nam (vi) other Trade PSU i expected to complete the tudy by October A next tep, Member Economie may conenually decide on the approach in developing a et of GRP for uch good and ervice. Quetionnaire ha been ent out, Seminar hould take place in Viet Nam in December 2009 (CTI/29/2009T) (Market Acce Group) Environmental Good and Service Information Ex To provide public and private takeholder in APEC economie with a mean to acce and hare the Canada, New Zealand, (ii) energy R&D; Trial verion online May 2009 Formal launch planned in November 2009 * Some broad categorie of EGS, which the project could help increae the ue of, include: (i) environmentally friendly technology good and ervice (technology); (ii) energy good and ervice (energy ); (iii) environmental good and ervice neceary or deirable for climate mitigation and adaption (climate ); (iv) clean air; (v) clean water and (vi) other (eg renewable energy, water water management, environmental monitoring, analyi and aement equipment). The EGS me framework endored by Miniter in 2008 ue the baic value-chain of EGS a a framework to holitically addre all apect of EGS. Four component et out by the framework are: R&D, Supply, Trade and. 85

4 Decription of (EGSIE) hop on Trade and Environment Objective latet information, tudie, project and commitment on EGS To facilitate the haring of idea, information and experience between participant to provide APEC policymaker with tool to develop effective environmental regulation and to develop policie and regulation that do not ditort trade in environmental technologie, good and ervice. US Autralia, Indoneia Categorie * (iii) climate, (iv) clean air, (v) clean water (vi) other Held on May 2009, Jakarta hop on Environmental Good and Service To enhance undertanding of i) role and relevance of developing economie to dieminating environmental good; ii) role and relevance of technologie to achieving enhanced energy conervation and ; and iii) idea of etablihment of a common platform to eliminate/moderate exiting obtacle. Autralia, Japan, New Zealand, Singapore (i)technology (iii)energy, (iii) climate Held on 28 July 2009, Singapore (CTI/32/2009T) Survey of Major Impediment and Market Driver to the Development of trade in Environmental Good To hare information on impediment to expanded trade in environmental good and to help market of environmental good more wellfunctioning Autralia, Japan,, (iv)clean air, (v)clean water (vi) other Budget propoal to be ubmitted. To be completed

5 Decription of on Remanufacturing Objective To raie awarene about buine practice of remanufacturing and to enhance undertanding of APEC Economie repective remanufacturing capabilitie and regime impacting trade in remanufactured good. Categorie * US (vi) other Trade hop held on 21 February 2009, Singapore Quetionnaire ubmitted by US at , and anwer to be circulated by economie before 1, 2010 GOS (Group on Service) SCSC (Sub- Committee on Standard and Conformance) Survey on APEC Trade Liberaliation in Environmental Service Trade Facilitation Tak Force (TFTF) To hare information of trade liberalization trend in environmental ervice for APEC economie. In the long run, it could alo be regarded a a poitive repone to meeting the challenge of the climate. To ex view and information on the nexu between the trade and technical apect of product-related environmental tandard, technical regulation and conformity aement procedure. China Korea, US,, (iv)clean air, (v)clean water (vi) other,, (iv)clean air, (v)clean water Report currently being finalized (CTI/31/2008T) Etablihed in 2006 The mot recent TFTF held on February 23, 2009 to ex view and information on the connection between trade and productrelated environmental tandard, technical regulation and conformity aement procedure. EWG (Energy ing Group) APEC Cooperative Energy Efficiency Deign for Sutainability (CEEDS) To promote high-performance energy policy meaure in developing economie in the APEC region. The focu will be on how to apply uch meaure to the unique condition of each economy. Japan The chedule of the Phae 1 CEEDS proce will be deigned to allow the final report to be ubmitted to the APEC Leader meeting in A CEEDS i a multi-year project, CEEDS will be expanded to cover different et of meaure in different ector in the coming everal year. (EWG14/2009A) 87

6 Decription of Objective Categorie * EWG, EGEE&C (EWG/Expert Group on Energy Efficiency and Conervation) APEC Energy Standard Information Sytem (ESIS) - To provide up-to-date information about appliance and equipment energy tandard and regulation; - To provide Communitie of Practice for expert and official to dicu effort to harmonize and rationalize the teting, labelling, and minimum energy tandard for pecific appliance and equipment; and other. New Zealand Ongoing EWG, EGEE&C Uing Smart Grid to Enhance the Ue of Energy Efficiency and Renewable Energy Technologie. To undertand how mart grid technologie and practice have been ued to enable new product and ervice, optimize the ue of power grid, allow greater ue of renewable energy option, and encourage greater demand-ide repone in APEC economie US Draft (The project would fund a report on the tatu and potential, within APEC economie, of mart grid technologie to enhance the ue of renewable energy and energy efficient building, appliance and equipment.) EWG, EGEE&C Energy-Saving Window: Survey of Policie and to Promote Advanced Window and Glazing Technologie in APEC Economie To compile information on recent effort to reduce building energy ue through advanced window and glazing technologie in APEC economie. By aeing the current market tatu of energy-aving window and barrier to their increaed ue, the project will alo help guide deciion on new policie or program to promote them. US ; Trade In implementation (EWG10/2009A) 88

7 (Indutrial Science and Technology ing Group) Decription of Promoting Sutainable Development through Environmentally Sound Recycling Objective To demontrate a new regional model for environmentally ound recycling. Categorie * US R&D Seminar to be held in the late fall of 2009 on building a recycling-baed economy (RBE) among APEC economie. Webite, which would promote environmentally and economically ound recycling between APEC economie, will be operational by the end of the project. Utilization and protection of water reource To conduct reearch and analyi of river bain water reource; to open a webite for utilization and protection of water reource; and to build up an expert reearch group China (v) water R&D; Supply Sympoium on Utilization and Protection of Water Reource would be held in Suzhou, China from September Develop the ecoenvironmental impact aement etimating tool To develop the prototype technology of deign for electronic wate recycling to reduce carbon foot print and to reach the optimum ue of reource. Chinee Taipei ; R&D Propoal ha been ubmitted to the APEC Secretariat for SPAP aement. Will eek APEC fund. Reearch on the Future of Low Carbon Society: Climate Change and Strategie for Economie in APEC Beyond 2050 To foreight the future ociety where low carbon economy and lifetyle become the principal driver governing trade and development. The expected outcome include hort, middle, and long term trategie for the region in technological development in reponding to the need of the future ociety enviioned. Thailand R&D; An online, real-time urvey i being prepared by an international working group whoe member conit of repreentative from a large number of APEC member economie. The urvey, to be targeted mainly at expert in APEC, will be officially launched after enough number of international expert to repond to the urvey are olicited. 89

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