3RD EXTRAORDINARY MEETING OF THE PARTIES
TO
THE MONTREAL PROTOCOL
ON SUBSTANCES THAT DEPLETE THE OZONE LAYER
22-23 JULY 2016
VIENNA, AUSTRIA
STATEMENT
BY
india
MINISTRY OF ENVIRONMENT, FOREST AND CLIMATE CHANGE
GOVERNMENT OF INDIA
MadamPresident, Excellencies, Distinguished Delegates, Ladies and Gentlemen,
Madam President, I take this opportunity to compliment the Government of Austria for hosting the 3rd Extraordinary Meeting of the Parties to the Montreal Protocoland for its warm hospitalityand the Secretariat,especially the Executive Secretary of the Ozone Secretariatand her team, for making all the arrangements for the meeting.
The Montreal Protocol on Substances that Deplete the Ozone Layer is indeedone of the most successful International Environment Treaty in history. Ithas focused objectives and well defined targets for phase-out of production and consumption of Ozone Depleting Substances (ODSs). At the same time, it has a dynamic process for evolving policy instruments based on scientific and technical advancements.
One of the key reasons for the success of the Montreal Protocol is that it has deployed significant and effective means of implementation to achieve its goals. It had created, in the very beginning, a robust and transparent mechanism for providing technical and financial assistance to the developing countries to meet their obligations as per schedule. In the twenty-nine years of its operation, this treat has fostered a degree of international cooperation that has been outstanding, and that is the reason why it has led to effective phase-out of production and consumption of several ODSs.
One of the key factors of this accomplishment was that the industrialized countries haveacknowledged their historic responsibility for production, consumption and emissions of ODSs that had caused the stratospheric ozone hole. Recognition of this fact and resultant actions by the developed countries had encouraged thedeveloping countries to take commitments for phasing out production and consumption of ODSswith grace period of 10 to 17 years. Such Common but Differentiated Responsibilities (CBDR) can now serve as a model for further international cooperation in addressing our emergent challenges.
Madam President,As party to the Vienna Convention and its Montreal Protocol,Indiahas played her part fully and constructively towards protection of the stratospheric ozone. We have developed and put in place policies/regulations for phase-out of ODSs as per agreed schedule under the Montreal Protocol. We have encouraged the industry to move for early adoption of non-ODS technologies through policy and regulatory measures. Since 1995, fiscal incentives in terms of customs and excise duty exemption have been provided to the investments made by industries on capital goods for converting to non-ODS technology.
With the help of efforts made by our industry and our stakeholders including consumers, we have successfully phased-out the production and consumption of Chlorofluorocarbons (CFCs), Carbontetrachloride (CTC), Halons, Methyl Chloroform and Methyl Bromide completely as per the Montreal Protocol Schedule.
Under our Environment (Protection) Act 1986, we have set up a regime for national phase-out of HCFCs and encourage the industry to meet the reduction targets as per schedule. Having considered the overall costs and benefits to the environment and the nation, as well as the state of preparedness of industry, we have even advanced our commitments for phase down of HCFCs by 10 years from 2040 to 2030. However, there are challenges that have to be encountered in the coming days.
The industry, particularly the Micro, Small and Medium Enterprises (MSMEs) is faces manychallenges in phase-out of HCFCs due to non-availability of safe,cost-effective and environment-friendly technologies for most of the applications.Recognizing this, India has designed the HPMP Stage-I by incorporating such sectors where availability of low-Global Warming Potential (GWP) gases is proven. Hence, our HPMP Stage-I focused first on the foam manufacturing enterprises where consumption of HCFCs is large. During the HPMP Stage-II, which is under finalization, we will involve a large number of MSMEsin other sectors. In this phase, the Executive Committee (Ex-Com) of the MLF should be directed to implement, while approving projects and Multi Year Plans, the decision XIX/6, paragraph 9 fully in its spirit as agreed rather than imposecondition in terms of choice of technology for industry.
MadamPresident, Let me now turn to the issue of HFCs and their treatment under the Montreal Protocol. India has been making efforts to understand the issues relating to this subject since the discussion on this subject began in 2009. After having assessed its pros and cons, India has submitted aproposal for amendment to the Montreal Protocolin April, 2015 which will facilitate phase-down of production and consumption of HFCs using expertise and institutions of the Montreal Protocol, even whilewe continue to include HFCs within the scope of UNFCCC and its Kyoto Protocol for accounting and reporting of emissions.
We believe that a flexible step-down function for the Article 5 Parties will be in global interest. Flexibility in terms of choice of alternative technologies will facilitate this transition at the least cost. Based on their national circumstances, every five years the Parties should have the freedom to decide the phase down for a period of next five years. This would not only enable the developing countries to meet the challenging compliance with HCFC phase-out obligations but also enable the industry in these countries to move at a doable pace. The national flexibility should be further supplemented by a global agreement on a definition and choice of low GWP alternatives.
The Parties to the Montreal Protocol have identified several challenges on the feasibility and ways of managing HFCs. While some challenges have been addressed, there are certain elements in respect of a few challenges where solutionsare yet to be found. Licensing cost for high cost replacement technologies to HFCs is one of them and the parties must have a clear guideline on financing of these new elements of cost. We must explore and find satisfactory solutions for such challenges if our proposals have to make headway.
The MLF has assisted Article 5 Parties in the past in meeting their obligations. Now, in view of the proposals for amendment to the Protocol, the Montreal Protocol Fund should be substantially augmented. Considering the urgent needs of growing energy use in the developing countries, it should also prioritize the projects for sectors like servicing and manufacturing over production. Moreover, the funding should be available for such period as would enable a meaningful transition to a low GWP alternative technology. This will ensure that the MLF enables a larger number of Parties in meeting their obligations.
Madam President, consensus approach in evolving decisions has significantly contributed to the success of the Montreal Protocol. Clearly, this requires labour and effort by all of us in our future endeavors. We are prepared to work with the parties in formal or informal settings in order to find a practical way forwardand help adopt our decisions by consensus.
Thank you.
************