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GermanyLetter from NGOs to the German Chancellor Schroeder
on the German position on negotiations for an environmental agreement
for Export Credit and Investment Insurance Agencies (ECAs) at the OECD Dear Mr Schroeder, When you were elected three years ago, NGOs and citizens around the world who are concerned about the environment and human rights had high hopes that you would provide international leadership on these issues. On Export Credit and Investment Insurance Agency (ECA) reform however, the obstructionist behaviour of Germany in the Organisation for Economic Cooperation and Development (OECD) negotiations toward an environmental agreement has been to date quite surprising and disappointing. Specifically, your government has been a consistent blockage of negotiations to achieve public disclosure of environmental impact assessments, consultation with affected communities, and adherence to minimum internationally accepted and binding standards such as those of the European Union, the European Bank for Reconstruction and Development and the World Bank. Germany is a member of each of these bodies and supports along with other governments the exact policy safeguards that your Government is currently opposing for ECAs at the OECD. This is terribly surprising and disappointing given Germany's domestic practice of advanced environmental diligence. Export Credit and Insurance Investment Agencies (ECAs) have become the largest sources of public finance for large and heavy impact infrastructure and industrial projects in the developing world. Many of these projects are bringing about social and environmental destruction. A few examples of these projects, financed or insured by ECAs from a number of OECD member states include: · the Three Gorges Dam currently under construction in China which requires the displacement on 1.9 million people; · the catastrophic Ok Tedi mine in Papua New Guinea which has destroyed the livelihoods of 30,000 people living around and downstream from the mine site and is the subject of continuing legal action; · the risky Angra 2 nuclear power plant in Brasil which carries estimated construction costs of $US10b and is unlikely to prove economically viable over any timeframe; · the Bolivia to Brasil 'Cuiaba' pipeline project that has irreversibly damaged tropical forests and disrespected the rights of indigenous peoples in favour of multinational fossil fuel corporations through an illegitimate conservation fund, and; · Indonesian pulp and paper projects as Indah Kiat, which has caused environmental destruction through illegal logging to feed the mill and health hazards to local communities through the release of toxic effluents from the mill into local water courses. The severe environmental and human rights impacts of these and many similar projects around the world go hand in hand with significant contributions to crippling debt levels for many low income countries. Recent negotiations at the OECD have centered around achieving the most basic internationally accepted norms for transparency and public participation in the environmental impact assessment of projects supported by ECAs. These negotiations represent a critical first step towards ECA reform internationally. It is therefore deeply troubling that the German Government is obstructing progress at the OECD on even the basic internationally accepted norms for transparency, public participation and binding environmental standards. The US' ECAs have managed to subscribe to binding environmental standards for some time without detriment to the US economy. Other countries such as Japan are currently moving forward to increased transparency and higher environmental standards for their ECAs. Germany's obstructionism threatens its reputation for international environmental leadership. Mr. Schroeder, we look to you to implement progressive change in the German Government's approach on this issue. We call on you to show your leadership for environmental protection and the respect of human rights in the continuing negotiations at the OECD in the next months. Germany must participate in a more responsible way in these negotiations and support prior information disclosure, consultation with affected communities and binding environmental standards. For more information, we encourage you to contact German environment and development organisations that are active on this issue. These groups are part of a broader international campaign comprising in excess of 300 groups in more than 50 countries. The goals of this campaign are expressed in the Jakarta Declaration which is attached for your reference. More information on this campaign and progress of other ECAs around the world is available for reference at www.eca-watch.org. Yours sincerely, COUNTRY (in alphabetical order) ORGANIZATION |
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