A-21: DECISION MAKING





                                             Distr.
                                             GENERAL

                                             A/CONF.151/26 (Vol. I)
                                             12 August 1992

                                             ORIGINAL:  ENGLISH




                 REPORT OF THE UNITED NATIONS CONFERENCE ON 
                         ENVIRONMENT AND DEVELOPMENT

                      (Rio de Janeiro, 3-14 June 1992)




                                Chapter 8

       INTEGRATING ENVIRONMENT AND DEVELOPMENT IN DECISION-MAKING


                              INTRODUCTION

8.1.  This chapter contains the following programme areas:

     (a)   Integrating environment and development at the policy, planning
and management levels;

     (b)   Providing an effective legal and regulatory framework;

     (c)   Making effective use of economic instruments and market and other
incentives;

     (d)   Establishing systems for integrated environmental and economic
accounting.


                             PROGRAMME AREAS

                A.  Integrating environment and development at the policy,
                    planning and management levels

Basis for action

8.2.  Prevailing systems for decision-making in many countries tend to
separate economic, social and environmental factors at the policy, planning
and management levels.  This influences the actions of all groups in society,
including Governments, industry and individuals, and has important
implications for the efficiency and sustainability of development.  An
adjustment or even a fundamental reshaping of decision-making, in the light
of country-specific conditions, may be necessary if environment and
development is to be put at the centre of economic and political
decision-making, in effect achieving a full integration of these factors.  In
recent years, some Governments have also begun to make significant changes in
the institutional structures of government in order to enable more systematic
consideration of the environment when decisions are made on economic, social,
fiscal, energy, agricultural, transportation, trade and other policies, as
well as the implications of policies in these areas for the environment.  New
forms of dialogue are also being developed for achieving better integration
among national and local government, industry, science, environmental groups
and the public in the process of developing effective approaches to
environment and development.  The responsibility for bringing about changes
lies with Governments in partnership with the private sector and local
authorities, and in collaboration with national, regional and international
organizations, including in particular UNEP, UNDP and the World Bank. 
Exchange of experience between countries can also be significant.  National
plans, goals and objectives, national rules, regulations and law, and the
specific situation in which different countries are placed are the overall
framework in which such integration takes place.  In this context, it must be
borne in mind that environmental standards may pose severe economic and social
costs if they are uniformly applied in developing countries. 

Objectives

8.3.  The overall objective is to improve or restructure the decision-making
process so that consideration of socio-economic and environmental issues is
fully integrated and a broader range of public participation assured. 
Recognizing that countries will develop their own priorities in accordance
with their prevailing conditions, needs, national plans, policies and
programmes, the following objectives are proposed:

    (a)  To conduct a national review of economic, sectoral and environmental
policies, strategies and plans to ensure the progressive integration of
environmental and developmental issues; 

    (b)  To strengthen institutional structures to allow the full integration
of environmental and developmental issues, at all levels of decision-making;

    (c)  To develop or improve mechanisms to facilitate the involvement of
concerned individuals, groups and organizations in decision-making at all
levels;

    (d)  To establish domestically determined procedures to integrate
environment and development issues in decision-making.

Activities

(a) Improving decision-making processes

8.4.  The primary need is to integrate environmental and developmental
decision-making processes.  To do this, Governments should conduct a national
review and, where appropriate, improve the processes of decision-making so as
to achieve the progressive integration of economic, social and environmental
issues in the pursuit of development that is economically efficient, socially
equitable and responsible and environmentally sound.  Countries will develop
their own priorities in accordance with their national plans, policies and
programmes for the following activities: 

    (a)  Ensuring the integration of economic, social and environmental
considerations in decision-making at all levels and in all ministries;

    (b)  Adopting a domestically formulated policy framework that reflects
a long-term perspective and cross-sectoral approach as the basis for
decisions, taking account of the linkages between and within the various
political, economic, social and environmental issues involved in the
development process;

    (c)  Establishing domestically determined ways and means to ensure the
coherence of sectoral, economic, social and environmental policies, plans and
policy instruments, including fiscal measures and the budget; these mechanisms
should apply at various levels and bring together those interested in the
development process;

    (d)  Monitoring and evaluating the development process systematically,
conducting regular reviews of the state of human resources development,
economic and social conditions and trends, the state of the environment and
natural resources; this could be complemented by annual environment and
development reviews, with a view to assessing sustainable development
achievements by the various sectors and departments of government; 
                (e)  Ensuring transparency of, and accountability for, the environmental
implications of economic and sectoral policies;

    (f)  Ensuring access by the public to relevant information, facilitating
the reception of public views and allowing for effective participation.

(b) Improving planning and management systems

8.5.  To support a more integrated approach to decision-making, the data
systems and analytical methods used to support such decision-making processes
may need to be improved.  Governments, in collaboration, where appropriate,
with national and international organizations, should review the status of the
planning and management system and, where necessary, modify and strengthen
procedures so as to facilitate the integrated consideration of social,
economic and environmental issues.  Countries will develop their own
priorities in accordance with their national plans, policies and programmes
for the following activities:

    (a)  Improving the use of data and information at all stages of planning
and management, making systematic and simultaneous use of social, economic,
developmental, ecological and environmental data; analysis should stress
interactions and synergisms; a broad range of analytical methods should be
encouraged so as to provide various points of view;

    (b)  Adopting comprehensive analytical procedures for prior and
simultaneous assessment of the impacts of decisions, including the impacts
within and among the economic, social and environmental spheres; these
procedures should extend beyond the project level to policies and programmes;
analysis should also include assessment of costs, benefits and risks;

    (c)  Adopting flexible and integrative planning approaches that allow the
consideration of multiple goals and enable adjustment of changing needs;
integrative area approaches at the ecosystem or watershed level can assist in
this approach;

    (d)  Adopting integrated management systems, particularly for the
management of natural resources; traditional or indigenous methods should be
studied and considered wherever they have proved effective; women's
traditional roles should not be marginalized as a result of the introduction
of new management systems;

    (e)  Adopting integrated approaches to sustainable development at the
regional level, including transboundary areas, subject to the requirements of
particular circumstances and needs;

    (f)  Using policy instruments (legal/regulatory and economic) as a tool
for planning and management, seeking incorporation of efficiency criteria in
decisions; instruments should be regularly reviewed and adapted to ensure that
they continue to be effective;

    (g)  Delegating planning and management responsibilities to the lowest
level of public authority consistent with effective action; in particular the
advantages of effective and equitable opportunities for participation by women
should be discussed;

    (h)  Establishing procedures for involving local communities in
contingency planning for environmental and industrial accidents, and
maintaining an open exchange of information on local hazards.

(c) Data and information

8.6.  Countries could develop systems for monitoring and evaluation of
progress towards achieving sustainable development by adopting indicators that
measure changes across economic, social and environmental dimensions.

(d) Adopting a national strategy for sustainable development

8.7.  Governments, in cooperation, where appropriate, with international
organizations, should adopt a national strategy for sustainable development
based on, inter alia, the implementation of decisions taken at the Conference,
particularly in respect of Agenda 21.  This strategy should build upon and
harmonize the various sectoral economic, social and environmental policies and
plans that are operating in the country.  The experience gained through
existing planning exercises such as national reports for the Conference,
national conservation strategies and environment action plans should be fully
used and incorporated into a country-driven sustainable development strategy. 
Its goals should be to ensure socially responsible economic development while
protecting the resource base and the environment for the benefit of future
generations.  It should be developed through the widest possible
participation.  It should be based on a thorough assessment of the current
situation and initiatives.

Means of implementation

(a) Financing and cost evaluation

8.8.  The Conference secretariat has estimated the average total annual cost
(1993-2000) of implementing the activities of this programme to be about
$50 million from the international community on grant or concessional terms. 
These are indicative and order-of-magnitude estimates only and have not been
reviewed by Governments.  Actual costs and financial terms, including any that
are non-concessional, will depend upon, inter alia, the specific strategies
and programmes Governments decide upon for implementation.

(b) Researching environment and development interactions

8.9.  Governments, in collaboration with the national and international
scientific community and in cooperation with international organizations, as
appropriate, should intensify efforts to clarify the interactions between and
within social, economic and environmental considerations.  Research should be
undertaken with the explicit objective of assisting policy decisions and
providing recommendations on improving management practices.

(c) Enhancing education and training

8.10.  Countries, in cooperation, where appropriate, with national, regional
or international organizations, should ensure that essential human resources
exist, or be developed, to undertake the integration of environment and
development at various stages of the decision-making and implementation
process.  To do this, they should improve education and technical training,
particularly for women and girls, by including interdisciplinary approaches,
as appropriate, in technical, vocational, university and other curricula. 
They should also undertake systematic training of government personnel,
planners and managers on a regular basis, giving priority to the requisite
integrative approaches and planning and management techniques that are suited
to country-specific conditions.

(d) Promoting public awareness

8.11.  Countries, in cooperation with national institutions and groups, the
media and the international community, should promote awareness in the public
at large, as well as in specialized circles, of the importance of considering
environment and development in an integrated manner, and should establish
mechanisms for facilitating a direct exchange of information and views with
the public.  Priority should be given to highlighting the responsibilities and
potential contributions of different social groups.

(e) Strengthen national institutional capacity

8.12.  Governments, in cooperation, where appropriate, with international
organizations, should strengthen national institutional capability and
capacity to integrate social, economic, developmental and environmental issues
at all levels of development decision-making and implementation.  Attention
should be given to moving away from narrow sectoral approaches, progressing
towards full cross-sectoral coordination and cooperation.



        B.  Providing an effective legal and regulatory framework
Basis for action

8.13.  Laws and regulations suited to country-specific conditions are among
the most important instruments for transforming environment and development
policies into action, not only through "command and control" methods, but also
as a normative framework for economic planning and market instruments.  Yet,
although the volume of legal texts in this field is steadily increasing, much
of the law-making in many countries seems to be ad hoc and piecemeal, or has
not been endowed with the necessary institutional machinery and authority for
enforcement and timely adjustment.

8.14.  While there is continuous need for law improvement in all countries,
many developing countries have been affected by shortcomings of laws and
regulations.  To effectively integrate environment and development in the
policies and practices of each country, it is essential to develop and
implement integrated, enforceable and effective laws and regulations that are
based upon sound social, ecological, economic and scientific principles.  It
is equally critical to develop workable programmes to review and enforce
compliance with the laws, regulations and standards that are adopted. 
Technical support may be needed for many countries to accomplish these goals. 
Technical cooperation requirements in this field include legal information,
advisory services and specialized training and institutional
capacity-building.

8.15.  The enactment and enforcement of laws and regulations (at the regional,
national, state/provincial or local/municipal level) are also essential for
the implementation of most international agreements in the field of
environment and development, as illustrated by the frequent treaty obligation
to report on legislative measures.  The survey of existing agreements
undertaken in the context of conference preparations has indicated problems
of compliance in this respect, and the need for improved national
implementation and, where appropriate, related technical assistance.  In
developing their national priorities, countries should take account of their
international obligations.

Objectives

8.16.  The overall objective is to promote, in the light of country-specific
conditions, the integration of environment and development policies through
appropriate legal and regulatory policies, instruments and enforcement
mechanisms at the national, state, provincial and local level.  Recognizing
that countries will develop their own priorities in accordance with their
needs and national and, where appropriate, regional plans, policies and
programmes, the following objectives are proposed:

    (a)  To disseminate information on effective legal and regulatory
innovations in the field of environment and development, including appropriate
instruments and compliance incentives, with a view to encouraging their wider
use and adoption at the national, state, provincial and local level;

    (b)  To support countries that request it in their national efforts to
modernize and strengthen the policy and legal framework of governance for
sustainable development, having due regard for local social values and
infrastructures;

    (c)  To encourage the development and implementation of national, state,
provincial and local programmes that assess and promote compliance and respond
appropriately to non-compliance.

Activities

(a) Making laws and regulations more effective

8.17.  Governments, with the support, where appropriate, of competent
international organizations, should regularly assess the laws and regulations
enacted and the related institutional/administrative machinery established at
the national/state and local/municipal level in the field of environment and
sustainable development, with a view to rendering them effective in practice. 
Programmes for this purpose could include the promotion of public awareness,
preparation and distribution of guidance material, and specialized training,
including workshops, seminars, education programmes and conferences, for
public officials who design, implement, monitor and enforce laws and
regulations.

(b) Establishing judicial and administrative procedures

8.18.  Governments and legislators, with the support, where appropriate, of
competent international organizations, should establish judicial and
administrative procedures for legal redress and remedy of actions affecting
environment and development that may be unlawful or infringe on rights under

the law, and should provide access to individuals, groups and organizations
with a recognized legal interest.

(c) Providing legal reference and support services

8.19.  Competent intergovernmental and non-governmental organizations could
cooperate to provide Governments and legislators, upon request, with an
integrated programme of environment and development law (sustainable
development law) services, carefully adapted to the specific requirements of
the recipient legal and administrative systems.  Such systems could usefully
include assistance in the preparation of comprehensive inventories and reviews
of national legal systems.  Past experience has demonstrated the usefulness
of combining specialized legal information services with legal expert advice. 
Within the United Nations system, closer cooperation among all agencies
concerned would avoid duplication of databases and facilitate division of
labour.  These agencies could examine the possibility and merit of performing
reviews of selected national legal systems.

(d) Establishing a cooperative training network for sustainable development
    law

8.20.  Competent international and academic institutions could, within agreed
frameworks, cooperate to provide, especially for trainees from developing
countries, postgraduate programmes and in-service training facilities in
environment and development law.  Such training should address both the
effective application and the progressive improvement of applicable laws, the
related skills of negotiating, drafting and mediation, and the training of
trainers.  Intergovernmental and non-governmental organizations already active
in this field could cooperate with related university programmes to harmonize
curriculum planning and to offer an optimal range of options to interested
Governments and potential sponsors.

(e) Developing effective national programmes for reviewing and enforcing
    compliance with national, state, provincial and local laws on
    environment and development

8.21.  Each country should develop integrated strategies to maximize
compliance with its laws and regulations relating to sustainable development,
with assistance from international organizations and other countries as
appropriate.  The strategies could include:

    (a)  Enforceable, effective laws, regulations and standards that are
based on sound economic, social and environmental principles and appropriate
risk assessment, incorporating sanctions designed to punish violations, obtain
redress and deter future violations;

    (b)  Mechanisms for promoting compliance;

    (c)  Institutional capacity for collecting compliance data, regularly
reviewing compliance, detecting violations, establishing enforcement
priorities, undertaking effective enforcement, and conducting periodic
evaluations of the effectiveness of compliance and enforcement programmes;

    (d)  Mechanisms for appropriate involvement of individuals and groups in
the development and enforcement of laws and regulations on environment and
development.

(f) National monitoring of legal follow-up to international instruments
8.22.  Contracting parties to international agreements, in consultation with
    the appropriate secretariats of relevant international conventions as
    appropriate, should improve practices and procedures for collecting
    information on legal and regulatory measures taken.  Contracting parties to
    international agreements could undertake sample surveys of domestic follow-up
    action subject to agreement by the sovereign States concerned.


Means of implementation

(a) Financing and cost evaluation

8.23.  The Conference secretariat has estimated the average total annual cost
(1993-2000) of implementing the activities of this programme to be about
$6 million from the international community on grant or concessional terms. 
These are indicative and order-of-magnitude estimates only and have not been
reviewed by Governments.  Actual costs and financial terms, including any that
are non-concessional, will depend upon, inter alia, the specific strategies
and programmes Governments decide upon for implementation.

(b) Scientific and technological means

8.24.  The programme relies essentially on a continuation of ongoing work for
legal data collection, translation and assessment.  Closer cooperation between
existing databases may be expected to lead to better division of labour
(e.g., in geographical coverage of national legislative gazettes and other
reference sources) and to improved standardization and compatibility of data,
as appropriate.

(c) Human resource development

8.25.  Participation in training is expected to benefit practitioners from
developing countries and to enhance training opportunities for women.  Demand
for this type of postgraduate and in-service training is known to be high. 
The seminars, workshops and conferences on review and enforcement that have
been held to date have been very successful and well attended.  The purpose
of these efforts is to develop resources (both human and institutional) to
design and implement effective programmes to continuously review and enforce
national and local laws, regulations and standards on sustainable development.

(d) Strengthening legal and institutional capacity

8.26.  A major part of the programme should be oriented towards improving the
legal-institutional capacities of countries to cope with national problems of
governance and effective law-making and law-applying in the field of
environment and sustainable development.  Regional centres of excellence could
be designated and supported to build up specialized databases and training
facilities for linguistic/cultural groups of legal systems.


             C.  Making effective use of economic instruments and market
                 and other incentives

Basis for action

8.27.  Environmental law and regulation are important but cannot alone be
expected to deal with the problems of environment and development.  Prices,
markets and governmental fiscal and economic policies also play a
complementary role in shaping attitudes and behaviour towards the environment.

8.28.  During the past several years, many Governments, primarily in
industrialized countries but also in Central and Eastern Europe and in
developing countries, have been making increasing use of economic approaches,
including those that are market-oriented.  Examples include the polluter-pays
principle and the more recent natural-resource-user-pays concept.

8.29.  Within a supportive international and national economic context and
given the necessary legal and regulatory framework, economic and
market-oriented approaches can in many cases enhance capacity to deal with the
issues of environment and development.  This would be achieved by providing
cost-effective solutions, applying integrated pollution prevention control,
promoting technological innovation and influencing environmental behaviour,
as well as providing financial resources to meet sustainable development
objectives.

8.30.  What is needed is an appropriate effort to explore and make more
effective and widespread use of economic and market-oriented approaches within
a broad framework of development policies, law and regulation suited to
country-specific conditions as part of a general transition to economic and
environmental policies that are supportive and mutually reinforcing.

Objectives

8.31.  Recognizing that countries will develop their own priorities in
accordance with their needs and national plans, policies and programmes, the
challenge is to achieve significant progress in the years ahead in meeting
three fundamental objectives:

    (a)  To incorporate environmental costs in the decisions of producers and
consumers, to reverse the tendency to treat the environment as a "free good"
and to pass these costs on to other parts of society, other countries, or to
future generations;

     (b)  To move more fully towards integration of social and environmental
costs into economic activities, so that prices will appropriately reflect the
relative scarcity and total value of resources and contribute towards the
prevention of environmental degradation;

     (c)  To include, wherever appropriate, the use of market principles in
the framing of economic instruments and policies to pursue sustainable
development.

Activities

(a)  Improving or reorienting governmental policies

8.32.  In the near term, Governments should consider gradually building on
experience with economic instruments and market mechanisms by undertaking to
reorient their policies, keeping in mind national plans, priorities and
objectives, in order to:

     (a)  Establish effective combinations of economic, regulatory and 
voluntary (self-regulatory) approaches;

     (b)  Remove or reduce those subsidies that do not conform with
sustainable development objectives;

     (c)  Reform or recast existing structures of economic and fiscal
incentives to meet environment and development objectives; 

     (d)  Establish a policy framework that encourages the creation of new
markets in pollution control and environmentally sounder resource management;

     (e)  Move towards pricing consistent with sustainable development
objectives.

8.33.  In particular, Governments should explore, in cooperation with business
and industry, as appropriate, how effective use can be made of economic
instruments and market mechanisms in the following areas:

     (a)  Issues related to energy, transportation, agriculture and forestry,
water, wastes, health, tourism and tertiary services;

     (b)  Global and transboundary issues;

     (c)  The development and introduction of environmentally sound technology
and its adaptation, diffusion and transfer to developing countries in
conformity with chapter 34.

(b)  Taking account of the particular circumstances of developing countries
     and countries with economies in transition

8.34.  A special effort should be made to develop applications of the use of
economic instruments and market mechanisms geared to the particular needs of
developing countries and countries with economies in transition, with the
assistance of regional and international economic and environmental
organizations and, as appropriate, non-governmental research institutes, by:

     (a)  Providing technical support to those countries on issues relating
to the application of economic instruments and market mechanisms;

     (b)  Encouraging regional seminars and, possibly, the development of
regional centres of expertise.

(c)  Creating an inventory of effective uses of economic instruments and
     market mechanisms

8.35.  Given the recognition that the use of economic instruments and market
mechanisms is relatively recent, exchange of information about different
countries' experiences with such approaches should be actively encouraged. 
In this regard, Governments should encourage the use of existing means of
information exchange to look at effective uses of economic instruments.

(d)  Increasing understanding of the role of economic instruments and market
     mechanisms

8.36.  Governments should encourage research and analysis on effective uses
of economic instruments and incentives with the assistance and support of
regional and international economic and environmental organizations, as well
as non-governmental research institutes, with a focus on such key issues as:

     (a)  The role of environmental taxation suited to national conditions;

     (b)  The implications of economic instruments and incentives for
competitiveness and international trade, and potential needs for appropriate
future international cooperation and coordination;

     (c)  The possible social and distributive implications of using various
instruments.

(e)  Establishing a process for focusing on pricing

8.37.  The theoretical advantages of using pricing policies, where
appropriate, need to be better understood, and accompanied by greater
understanding of what it means to take significant steps in this direction. 
Processes should therefore be initiated, in cooperation with business,
industry, large enterprises, transnational corporations, as well as other
social groups, as appropriate, at both the national and international levels,
to examine:

     (a)  The practical implications of moving towards greater reliance on
pricing that internalize environmental costs appropriate to help achieve
sustainable development objectives;

     (b)  The implications for resource pricing in the case of
resource-exporting countries, including the implications of such pricing
policies for developing countries;

     (c)  The methodologies used in valuing environmental costs.

(f)  Enhancing understanding of sustainable development economics

8.38.  Increased interest in economic instruments, including market
mechanisms, also requires a concerted effort to improve understanding of
sustainable development economics by:

     (a)  Encouraging institutions of higher learning to review their
curricula and strengthen studies in sustainable development economics;

     (b)  Encouraging regional and international economic organizations and
non-governmental research institutes with expertise in this area to provide
training sessions and seminars for government officials;

     (c)  Encouraging business and industry, including large industrial
enterprises and transnational corporations with expertise in environmental
matters, to organize training programmes for the private sector and other
groups.

Means of implementation

8.39.  This programme involves adjustments or reorientation of policies on the
part of Governments.  It also involves international and regional economic and
environmental organizations and agencies with expertise in this area,
including transnational corporations.

(a)  Financing and cost evaluation

8.40.  The Conference secretariat has estimated the average total annual cost
(1993-2000) of implementing the activities of this programme to be about
$5 million from the international community on grant or concessional terms. 
These are indicative and order-of-magnitude estimates only and have not been
reviewed by Governments.  Actual costs and financial terms, including any that
are non-concessional, will depend upon, inter alia, the specific strategies
and programmes Governments decide upon for implementation.


               D.  Establishing systems for integrated environmental and
                   economic accounting

Basis for action

8.41.  A first step towards the integration of sustainability into economic
management is the establishment of better measurement of the crucial role of
the environment as a source of natural capital and as a sink for by-products
generated during the production of man-made capital and other human
activities.  As sustainable development encompasses social, economic and
environmental dimensions, it is also important that national accounting
procedures are not restricted to measuring the production of goods and
services that are conventionally remunerated.  A common framework needs to be
developed whereby the contributions made by all sectors and activities of
society, that are not included in the conventional national accounts, are
included, to the extent consistent with sound theory and practicability, in
satellite accounts.  A programme to develop national systems of integrated
environmental and economic accounting in all countries is proposed.

Objectives

8.42.  The main objective is to expand existing systems of national economic
accounts in order to integrate environment and social dimensions in the
accounting framework, including at least satellite systems of accounts for
natural resources in all member States.  The resulting systems of integrated
environmental and economic accounting (IEEA) to be established in all member
States at the earliest date should be seen as a complement to, rather than a
substitute for, traditional national accounting practices for the foreseeable
future.  IEEAs would be designed to play an integral part in the national
development decision-making process.  National accounting agencies should work
in close collaboration with national environmental statistics as well as the
geographic and natural resource departments.  The definition of economically
active could be expanded to include people performing productive but unpaid
tasks in all countries.  This would enable their contribution to be adequately
measured and taken into account in decision-making.

Activities

(a)  Strengthening international cooperation

8.43.  The Statistical Office of the United Nations Secretariat should:

     (a)  Make available to all member States the methodologies contained in
the SNA Handbook on Integrated Environmental and Economic Accounting;

     (b)  In collaboration with other relevant United Nations organizations,
further develop, test, refine and then standardize the provisional concepts
and methods such as those proposed by the SNA Handbook, keeping member States
informed of the status of the work throughout this process;

     (c)  Coordinate, in close cooperation with other international
organizations, the training of national accountants, environmental
statisticians and national technical staff in small groups for the
establishment, adaptation and development of national IEEAs.

8.44.  The Department of Economic and Social Development of the United Nations
Secretariat, in close collaboration with other relevant United Nations
organizations, should:

     (a)  Support, in all member States, the utilization of sustainable
development indicators in national economic and social planning and
decision-making practices, with a view to ensuring that IEEAs are usefully
integrated in economic development planning at the national level;

     (b)  Promote improved environmental and economic and social data
collection.

(b)  Strengthening national accounting systems

8.45.  At the national level, the programme could be adopted mainly by the
agencies dealing with national accounts, in close cooperation with
environmental statistics and natural resource departments, with a view to
assisting national economic analysts and decision makers in charge of national
economic planning.  National institutions should play a crucial role not only
as the depositary of the system but also in its adaptation, establishment and
continuous use.  Unpaid productive work such as domestic work and child care
should be included, where appropriate, in satellite national accounts and
economic statistics.  Time-use surveys could be a first step in the process
of developing these satellite accounts.

(c)  Establishing an assessment process

8.46.  At the international level, the Statistical Commission should assemble
and review experience and advise member States on technical and methodological
issues related to the further development and implementation of IEEAs in
member States.

8.47.  Governments should seek to identify and consider measures to correct
price distortions arising from environmental programmes affecting land, water,
energy and other natural resources.

8.48.  Governments should encourage corporations:

     (a)  To provide relevant environmental information through transparent
reporting to shareholders, creditors, employees, governmental authorities,
consumers and the public;

     (b)  To develop and implement methods and rules for accounting for
sustaining development.

(d)  Strengthening data and information collection

8.49.  National Governments could consider implementing the necessary 
enhancement in data collection to set in place national IEEAs with a view to
contributing pragmatically to sound economic management.  Major efforts should
be made to augment the capacity to collect and analyse environmental data and
information and to integrate it with economic data, including gender
disaggregated data.  Efforts should also be made to develop physical
environmental accounts.  International donor agencies should consider
financing the development of intersectoral data banks to help ensure that
national planning for sustainable development is based on precise, reliable
and effective information and is suited to national conditions.

(e)  Strengthening technical cooperation

8.50.  The Statistical Office of the United Nations Secretariat, in close
collaboration with relevant United Nations organizations, should strengthen
existing mechanisms for technical cooperation among countries.  This should
also include exchange of experience in the establishment of IEEAs,
particularly in connection with the valuation of non-marketed natural
resources and standardization in data collection.  The cooperation of business
and industry, including large industrial enterprises and transnational
corporations with experience in valuation of such resources, should also be
sought.


Means of implementation

(a)  Financing and cost evaluation

8.51.  The Conference secretariat has estimated the average total annual cost
(1993-2000) of implementing the activities of this programme to be about
$2 million from the international community on grant or concessional terms. 
These are indicative and order-of-magnitude estimates only and have not been
reviewed by Governments.  Actual costs and financial terms, including any that
are non-concessional, will depend upon, inter alia, the specific strategies
and programmes Governments decide upon for implementation.

(b)  Strengthening institutions

8.52.  To ensure the application of IEEAs:

     (a)  National institutions in developing countries could be strengthened
to ensure the effective integration of environment and development at the
planning and decision-making levels;

     (b)  The Statistical Office should provide the necessary technical
support to member States, in close collaboration with the assessment process
to be established by the Statistical Commission; the Statistical Office should
provide appropriate support for establishing IEEAs, in collaboration with
relevant United Nations agencies.

(c)  Enhancing the use of information technology

8.53.  Guidelines and mechanisms could be developed and agreed upon for the
adaptation and diffusion of information technologies to developing countries. 
State-of-the-art data management technologies should be adopted for the most
efficient and widespread use of IEEAs.

(d)  Strengthening national capacity

8.54.  Governments, with the support of the international community, should
strengthen national institutional capacity to collect, store, organize, assess
and use data in decision-making.  Training in all areas related to the
establishment of IEEAs, and at all levels, will be required, especially in
developing countries.  This should include technical training of those
involved in economic and environmental analysis, data collection and national
accounting, as well as training decision makers to use such information in a
pragmatic and appropriate way.


END OF CHAPTER 8
