Scoping Workshop on Environmental Fiscal Reform. Paris, 30-31 January 2003

The OECD Development Assistance Committee's Working Party on Development Co-operation and Environment (WP-ENV) agreed at its recent meeting on 12-13 November 2002 to take forward work on environmental fiscal reform. Following a more detailed discussion by interested members of WP-ENV, it was agreed that a scoping workshop should be held early in 2003. This would bring together key stakeholders including developing countries to define key areas for a future work programme. The workshop would also be a first step in one of the main objectives in the work program, which is to improve coordination between those working on environmental fiscal reform.

The objective of the workshop would be to agree on the overall focus, possible outputs and the process for work programme by the OECD DAC Working Party on Environment and Development on environmental fiscal reform, based on inputs from key stakeholders.

Participants invited to the workshop were Members of the OECD Development Assistance Committee (DAC) Working Party on Development Co-operation and Environment (WP-ENV) and other OECD expert groups (e.g. EPOC, fiscal group), international agencies (e.g. IMF, World Bank, IEA, UNEP), representatives from the People's Republic of China, India and South Africa, and interested research institutions (e.g. the International Institute for Environment and Development, IIED; and the International Institute for Sustainable Development, IISD)

Workshop Documents:

Workshop Agenda

List of Participants

Workshop Minutes

Overview of environmentally sustainable fiscal policy reforms. This summary note reviews the extent to which fiscal instruments can be used by developing countries to achieve fiscal and environmental goals without impeding fiscal discipline and with limited administrative capacity.

Fiscal instruments for environmental management: terminology. This document aims to clarify the various terms and concepts surrounding fiscal instruments used for environmental management.

Work Programme and Workshop Objectives. This presentation summarises the objectives of the Work Programme Item on Environmental Fiscal Reform of the DAC Working Party on Development Co-operation and Environment; as well as the specific objectives of the 30-31 January workshop.

Three papers by invited experts from developing countries (China; India; South Africa), provided a short overview of the:

-- Ongoing environmental fiscal reforms in the respective countries.
-- Challenges facing implementation.
-- Areas where further environmental fiscal reform is needed.
-- Ideas and suggestions for the OECD DAC work programme - in terms of areas for lesson learning and analysis, and what might be most helpful to support the implementation of environmental fiscal reform in the respective countries.

The energy sector and fiscal reform. This presentation by a representative of the International Energy Agency (IEA) summarises the main issues relating to fiscal reform in the energy sector.

Reform of forest revenue systems. This presentation by a representative of the World Bank focuses on fiscal reform issues in the forestry sector.