Presentation by Ozone Secretariat - National Ozone Unit and Customs Twinning Workshop for countries of the SADC region, Africa Anglophone Network ...
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Presentation by Ozone Secretariat National Ozone Unit and Customs Twinning Workshop for countries of the SADC region, Africa Anglophone Network 24-26 October 2018, Johannesburg South Africa Katherine Theotocatos/Ozone Secretariat
Contents • What is the Ozone Secretariat • Recap on sources of law on ozone depletion • Illegal trade reports • Export-import data differences
What is the Ozone Secretariat? Secretariat for the Vienna Convention and the Montreal Protocol, hosted by UN Environment Mandate from Convention, Protocol and various decisions of the parties Responsible for • Making sure the MOP and the COP happen • Facilitating the work of MP institutions e.g. implementation committee (compliance) and assessment panels (science) • Receiving and reviewing data that parties report on consumption, production and other issues • Reporting to the parties on the data and any relevant matters • Not to be confused with OzonAction, Law Division or Multilateral Fund Secretariat
Recap on sources of law on ozone depletion
Applicable legal instruments Vienna Convention for the protection of the ozone layer (1985) • Agreement to tackle the problem and observe the ozone layer Montreal Protocol on substances that deplete the ozone layer (1987) • Defined controlled substances, set control measures and set timeframes to phase out ODSs • From 1 Jan 2019 will control phasedown of HFCs Specific legislation for each party to implement the Montreal Protocol
Key Montreal Protocol provisions on trade (1) Article 4: control of trade with non-parties • Bans import from and export to states not party • (but may be permitted if the non-party is in full compliance with Articles 2, 2A-2J and 4 and has reported data specific in Article 7 to this effect) ➢ For HFCs entry into force is 2033 ➢ For all other substances, there are no ‘non-parties’
Montreal Protocol provisions on trade (2)
Article 4B: Licensing
Paragraph 1
• Parties to have licensing systems in place for new, used,
recycled and reclaimed controlled substances in annexes A,
B, C, and E
➢ Relates to CFCs, halons, HCFCs, methyl chloroform, carbon
tetrachloride, methyl bromide,
➢ DONE: all parties have licensing systems in place for
ODSsMontreal Protocol provisions on trade (3) Article 4B Paragraph 2bis, 3 and 4 • Parties shall … establish and implement a licensing system for import and export of new, used, recycled and reclaimed Annex F substances • Parties to report to Secretariat on establishment and operation of their licensing systems • Secretariat periodically to report to all parties and forward for ImpCom consideration ➢ Relates to HFCs ➢ Deadline: 1 Jan 2019 or within 3 months of entry into force ➢ Article 5 parties not in a position to do so may delay until 1 January 2021 ➢ STILL TO DO
Purpose of licensing system
• To prevent oversupply and dumping of ODSs
• To collect information to facilitate compliance with reporting
requirements
• To assist in the prevention of illegal traffic of controlled
substances, including through
• notification and regular reporting by exporting countries to importing
countries
• by allowing cross-checking of information between exporting and
importing countries
• To monitor imports and exports of ODSs
Source decisions: VII/9, IX/8, XV/20, XVI/32, XVII/23, XVIII/35,
XIX/26, XX/14, XXI/12, XXII/19, XXIII/31, XXIV/17, XXV/15Practical suggestions from decision XIX/12 To improve implementation and enforcement, parties could: • Share information with other parties, e.g. through iPIC • Establish import and/or export quotas • Establish permits and oblige importers and exporters to report domestically on the use of such permits • Monitor transit movements (trans-shipments) e.g. by identifying each shipment with a unique consignment reference number • Ban or control the use of non-refillable containers • Establish appropriate minimum requirements for labelling and documentation • Cross-check trade information, including through private- public partnerships
Illegal trade reports
What is illegal trade? Can include: • Import or export of phased out substances • Import or export of controlled substances without valid licence or permit • Exceeding allocated quota • Import from or export to non-party (hypothetical right now for HFCs, will apply from 2033) • other?
Decision XIV/7: Monitoring of trade and preventing illegal trade • Invites parties to report fully proved cases of illegal trade to Ozone Secretariat • Captured amounts are not counted against the party’s consumption as long as ODS is not placed on the market • Ozone Secretariat to disseminate such information http://ozone.unep.org/information-reported-parties-montreal- protocol-illegal-trade-ozone-depleting-substances-paragraph-7 ➢ Voluntary reporting ➢ To facilitate exchange of information ➢ Secretariat role limited to information dissemination
Information reported on illegal trade (1) More than 40 reports to date Reports from SADC countries to date 2018: Namibia 2007: Seychelles Methods of detection in all reports to date • Sampling (identified incorrect labelling) • Surveillance (identified illegal scrapping of refrigerators) • Spot checks at checkpoints • Tip-offs • Comparing license data with reported data • Comparing gross weight of the goods with declared weight
Information reported on illegal trade (2) Actions taken in all reports to date • Arrests • Fines • Seizure for destruction • Seizure, to be consumed within national consumption limit • Seizure for use in a public institution • Offender to pay cost of the proceedings • Reshipment at the cost of the importing company • Revocation of the ODS import license • Treat shipping company as an offender in addition to supplier and importer
Export-import data differences
Differences in reported trade data IMPORTANT: ✓ Not a compliance issue ✓ Allows for discussion between the parties concerned to identify and resolve any issues
Article 7 reporting: data form 2 on exports
Reporting of exports – mandatory
Reporting of destinations – not mandatoryArticle 7 reporting: annex 1 to data form 1
This form is not mandatoryKey decisions on trade information (1)
Decision XVII/16: Preventing illegal trade in ODSs
Paragraph 4
• Requested Ozone Secretariat to revise reporting format to
cover exports (including re-exports)
• Urged parties to implement the revised reporting format
• Requested Ozone Secretariat to report back aggregated
information received from the exporters to the importing
parties
➢ Voluntary reporting
➢ Information provided in April 2018 to 12 countries in this
groupKey decisions on trade information (2)
Decision XXIV/12: differences between data reported on
imports and exports
Paragraph 2
• Requested Ozone Secretariat to compile …aggregated
information on controlled substances … received from
the importing/re-importing party and to provide this
uniquely and solely to the exporting party concerned
when requested, in a manner that will maintain
information deemed to be confidential
➢ Voluntary reporting
➢ Secretariat sent reminders to exporting countries to
submit requests in April 2018; one party present
requested this information2017 export – import differences (1)
Exports to No of Imports by
No. Country (tonnes) Exporters (tonnes) Variance
1 Angola 252.801 2 190 -33%
2 Botswana 8 1 156 95%
3 Eswatini 6 1 13.6 56%
4 Lesotho 0.2 1 12.765 98%
5 Malawi 0 0 128.8 100%
6 Mauritius 107.885 2 112 4%
7 Mozambique 45.166 2 91.52 51%
8 Namibia 62.494 2 48.702 -28%
9 Seychelles 6.72 2 6.49** -4%
10 South Africa 2677.024* 6 2447.6 -9%
United Republic of -355%
11 Tanzania 95.096 4 20.89
12 Zambia 35 1 45 22%
13 Zimbabwe 16.874 2 192.39 91%
*Including recovered exports
**Including recovered imports2017 export – import differences (3) Source countries: • China • European Union • India • Israel • Mauritius • Singapore • South Africa • United States of America
2016 export – import differences (1)
Exports to No of Imports by
No. Country (tonnes) Exporters (tonnes) Variance
1 Angola 222.922* 4 210 -6%
2 Botswana 35.237 2 171 79%
3 Eswatini 0.7 1 21.2 97%
4 Lesotho - 0 12.84 100%
5 Malawi 22.012 2 149.6 85%
6 Mauritius 92.42** 2 110.97 17%
7 Mozambique 62.71 2 128 51%
8 Namibia 25.726 2 68.38 62%
9 Seychelles 3.382 2 6.1 45%
10 South Africa 2839.208 4 2843.953 0%
United Republic of -591%
11 Tanzania
145.088 4 20.99
12 Zambia 30.254 1 50 39%
13 Zimbabwe 55.098 2 172.58 68%
* Plus 3.808 recovered
** Plus 20 recovered2016 export – import differences (3) Source countries: • China • European Union • India • Israel • Mauritius • New Zealand • Singapore • South Africa • United States of America
2016: Differences between imports and exports:
regional and global statistics
No of Exportations No des Importations
Region Parties vers (tonnes) Exportateurs par (tonnes) Variance
Africa 41 17,195 2 23,350 26%
Asia 47 139,072 2 133,673 -4%
LAC 9 2,071 1 2,100 1%
EECA 32 30,463 2 29,075 -5%
WE& 9 18,170 4 21,422 15%
others
(Africa, Asia, LAC, Eastern Europe & Central Asia, Western Europe & others)
Global 138 206,971 2 209,620 1%
NB: 99.3% of exports reported had destinations specifiedPossible reasons for data differences
✓ Voluntary reporting
✓ Different national methodologies for imports and exports
✓ Inefficiencies in licensing systems
✓ Time lag in reporting (e.g. export in December but import
is received in January)
✓ Trans-shipment issues
✓ Mislabelling, misdeclaration (e.g. incorrect HS codes)
✓ Unintentional e.g. human error by e.g. traders,
customs brokers
✓ Intentional (illegal trade)Thank you Katherine.Theotocatos@un.org
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