Effective economic policies can create conditions that stimulate pollution reduction and prevention and more effective use of natural resources. The governments should build on these gains where possible but also establish effective and efficient environmental policies which set clear priorities, apply effective policy instruments to promote better environmental management and react in cases of non-compliance.

Even though many countries have elaborated environmental strategies and national and local action programmes, enacted new legislation and created environmental institutions further efforts are needed to increase the effectiveness and efficiency of policies and stimulate compliance with environmental requirements.

Environment and Globalisation Division of the Environment Directorate assists several transition and emerging economies, in particular in Eastern Europe, Caucasus and Central Asia and China , by carrying projects which aim to:

- reform environmental policy instruments, (permitting, standards, economic instruments) 

- strengthen enforcement strategies and instruments (economics of enforcement, compliance promotion,  self-monitoring), and

- optimise performance of environmental enforcement agencies (peer reviews, indicators, capacity buidling).

The methods of work include establishing and maintaining policy dialogue between policy and enforcement officials, experts and other stakeholders, summarising experience and good practices from the OECD and other countries, developing methodological and guidance documents, designing and carrying out pilot and demonstration projects.

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