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Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development and cooperation in Arctic regions On February, 14-15th 2012 On February, 14-15th 2012 ACSAO-SE02 Stockholm Doc 3.2b Mar 2012 Financial Mechanisms Concept Presentation

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Page 1: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Ministry of Regional Development of the Russian Federation

Development of national and international financial

mechanisms of support of a sustainable development and cooperation in Arctic regions

On February, 14-15th 2012 On February, 14-15th 2012 On February, 14-15th 2012 On February, 14-15th 2012

ACSAO-SE02 StockholmDoc 3.2b Mar 2012Financial Mechanisms Concept Presentation

Page 2: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Doesn't cause doubts urgency of questions of maintenance of the corresponding volume of financing and the organization of mechanisms of financing

Projects of the Arctic Council.

1. As to a political forum of the highest level the corresponding organizational and financial mechanism is necessary for mandate realization for the Arctic Council. The decision of problems of its strengthening assumes mobilization of resources, first of all financial on priorities of joint actions and interaction projects.

2. According to the confirmed declarations following the results of meetings of ministers, the AC in respect of the strengthening and development of approaches to the organization of financing of projects has passed a way from an interaction greeting on examination and financing of its projects with Global ecological fund (GEF), UNEP, Nordic Environment Financing Corporation (NEFCO), World Bank Group, EBRD and the Scandinavian Investment bank. To a stage – creations of the tool of support of projects the AC (PSI), supported as the mechanism on activization of processes of selection of projects the AC in priority directions of its activity, mobilization of financial resources for their realization. The experimental phase of this project on which resources will be concentrated on pilot projects against pollution in Arctic regions is established.

3. Strategic and comprehensive planning of activity of the Arctic Council and its working groups which in particular is carried out in project SDWG Strategic Planning (Canada) will demand to provide higher and predicted level of financing for realization of the long-term objectives coordinated at regional and international levels of programs and projects in the field of a sustainable development.

1. As to a political forum of the highest level the corresponding organizational and financial mechanism is necessary for mandate realization for the Arctic Council. The decision of problems of its strengthening assumes mobilization of resources, first of all financial on priorities of joint actions and interaction projects.

2. According to the confirmed declarations following the results of meetings of ministers, the AC in respect of the strengthening and development of approaches to the organization of financing of projects has passed a way from an interaction greeting on examination and financing of its projects with Global ecological fund (GEF), UNEP, Nordic Environment Financing Corporation (NEFCO), World Bank Group, EBRD and the Scandinavian Investment bank. To a stage – creations of the tool of support of projects the AC (PSI), supported as the mechanism on activization of processes of selection of projects the AC in priority directions of its activity, mobilization of financial resources for their realization. The experimental phase of this project on which resources will be concentrated on pilot projects against pollution in Arctic regions is established.

3. Strategic and comprehensive planning of activity of the Arctic Council and its working groups which in particular is carried out in project SDWG Strategic Planning (Canada) will demand to provide higher and predicted level of financing for realization of the long-term objectives coordinated at regional and international levels of programs and projects in the field of a sustainable development.

Ministry of Regional Development of the Russian Federation Ministry of Regional Development of the Russian Federation

Page 3: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Current condition of financing of projects of a sustainable development and cooperation

During the period 2009-2011г. by participants the AC it is prepared and spent-68 projects, actions and reports, according to plans on 2011-2013г. Their quantity increases to 120. Specificity of projects the AC, is that it, as a rule, the projects of the international level demanding special and special control systems, coordination of activity, control, mobilization of financial resources of many participants and from many sources, and also definition of priorities of directions of use of financial resources.

Financing sources - the finance of the Governments, the international financial institutions and banks, business and the various organizations.

The PSI only begins the tool of Support of Projects is high-grade to function. The order of the government of the Russian Federation in May, 2011 the decision on entering of a payment of the Russian Federation at a rate of 10 million euro for 3 years in the tool of support of projects the PSI AC is accepted. There are questions of its status, mechanisms of attraction of interested Arctic member states, observers and others, to participation in financing of this tool.

Ministry of Regional Development of the Russian Federation Ministry of Regional Development of the Russian Federation

Page 4: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Task

To prepare the review and offers on perfection of financial mechanisms at national and international levels on support of a sustainable development and cooperation in the Arctic regions.

To improve mechanisms of coordination and interaction of participants of financing of projects the AC, mechanisms of mobilization of resources of the international financial organizations, business, the various organizations, including governmental on realization of priority projects the AC.

To offer directions and supervising principles on the organization of work PSI, to define priorities of its development.

Ministry of Regional Development of the Russian FederationMinistry of Regional Development of the Russian Federation

Page 5: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Russia is the initiator of the project «Development of national and international financial mechanisms of support of a sustainable development and cooperation in the Arctic

regions»

The project purpose is the estimation of efficiency of national and international methods and tools of mobilization of financial resources for realization of projects of a sustainable development and cooperation in the Arctic regions. Preparation of offers on mechanisms of integration of financing of projects of the Arctic Council at national, subregional, regional and international levels, to mechanisms of interaction of the Arctic Council with the international financial organizations. Studying of prospects of development of financial mechanisms (possibility of creation of the international fund on the basis of development of the tool of support of projects the AC (PSI)) and other innovative approaches.

Ministry of Regional Development of the Russian FederationMinistry of Regional Development of the Russian Federation

Page 6: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Within the limits of the project it is planned:

1) to carry out the analysis of problems of financing of projects of a sustainable development and cooperation in Arctic regions, including projects of the Arctic Council.

2) to state a look-ahead quantitative estimation of financial requirements for successful performance of decisions and recommendations of the Arctic Council.

3) to сonsider traditional both innovative national and international methods and tools of mobilization of financial resources, including for realization of projects of a sustainable development.

4) to define possible nonconventional sources of additional resources, on the basis of studying of experience of the international intergovernmental organizations in sphere of attraction of off-budget financial resources for realization of projects, to study possibility of use of new forms of redistribution and mobilization of additional and governmental and private financial resources, including voluntary payments on private channels and the non-governmental organizations, and also mechanisms of interaction with the international partners and the financial organizations.

5) to prepare offers on interaction of the Arctic Council with the international financial organizations, offers on integration of financial resources and tools for financing of projects of the Arctic Council. To offer mechanisms of interaction concerning financing of projects of the Arctic Council with the countries and the organizations having the status of observers of the Arctic Council.

Ministry of Regional Development of the Russian FederationMinistry of Regional Development of the Russian Federation

Page 7: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

6) to offer methods of integration of the international financial mechanisms in the basic national budgetary processes, business processes and procedures and a policy of financial institutions. To formulate recommendations about formation of national mechanisms of financing of the Arctic projects of a sustainable development with use of the international experience.

7) At last stage of the project the analysis of prospects of development of the tool of support of projects the AC (PSI) will be carried out. It is planned to prepare offers on financial technologies and procedures, which in immediate prospects have the best possibilities of to be the coordinated countries participants and to be the most effective for their interaction with a view of the decision of joint problems, will provide access to financial assets and their allocation on the basis of the is mutual-coordinated criteria considering equation of interests of all participants.

Ministry of Regional Development of the Russian FederationMinistry of Regional Development of the Russian Federation

Within the limits of the project it is planned:

Within the limits of the project it is planned:

Page 8: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Results of the project

Results of the project will be reflected in the Report prepared by the international group of leading experts (supervising group), including representatives of Working group SDWG and other working groups (first of all ACAP), representatives of scientific community, public authorities of the countries of participants of the Arctic Council, associations and representatives of communities and the radical people in the Arctic Council, and also the countries and the organizations having the status of observers of the Arctic Council.

Stages of realization of the project and report preparation - 2011-2013г. 2011-2012г. Creation of the international expert working group on Report preparation. Preparation of offers on interaction of the Arctic Council with the international financial organizations,

offers on integration of financial resources and tools for financing of projects of the Arctic Council. Offers on mechanisms of interaction concerning financing of projects of the Arctic Council with the countries and the organizations having the status of observers of the Arctic Council.

The organization of Conference with participation of the states of the Arctic Council and the international financial institutions, the countries and the organizations of observers of the Arctic Council.

The organization of carrying out of round tables and meetings in the countries-participants and the countries of observers of the Arctic Council.

Preparation and discussion of the intermediate Report on Council of senior officials SAO. 2013г. Preparation of offers on development and technology of functioning PSI, as tool of support of

projects of the Arctic Council. The report on SAO and recommendations for a ministerial meeting in 2013г. In kingdom of Sweden.

Ministry of Regional Development of the Russian FederationMinistry of Regional Development of the Russian Federation

Page 9: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Actions Period The executive

Preparation of the concept of the project August-December 2011

Leader of the project

Formation of supervising group, the statement of structure, the regulations of work

May - 2012 Leader of the project together with SDWG and АСАР and NEFCO

The international conference with participation of the international financial institutions

2012 supervising commission of experts under the project

Working inter-regional meetings, meetings, sessions of working group in the countries-participants (according to plan)

2012-2013 supervising commission of experts under the project

Publications of researches of experts on financial mechanisms

2012-2013 supervising commission of experts under the project

Preparation and report Discussion on SAO (according to plan)

At autumn session of the senior officials 2012

supervising commission of experts under the project

Estimation of prospects of development and the offer on technology of functioning PSI.

2013 supervising commission of experts under the project

Report completion 2012-2013 supervising commission of experts under the project

Preparation and report representation on a meeting of ministers

Маy 2013 supervising commission of experts under the project

Ministry of Regional Development of the Russian FederationThe project description, including methods which will be used also the

work plan.

Ministry of Regional Development of the Russian FederationThe project description, including methods which will be used also the

work plan.

Page 10: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Ministry of Regional Development of the Russian Federation

The basic expenses under the project will make expenses on the organization and carrying out of the international conference and on the organization of carrying out of working meetings of experts under the project. Carrying out of conference and working meetings of experts will organize the Ministry of Regional Development of the Russian Federation at the expense of own financial resources. It is expected that experts of the participating countries of the Arctic project provide the participation in the project independently.

Page 11: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

The presentation of the concept of the project has passed at the international conference «Northern by sea to strategic stability and partnership equal in rights in Arctic regions», passing on August, 7-

10th 2011г. on the ice breaker Yamal.

Ministry of Regional Development of the Russian FederationMinistry of Regional Development of the Russian Federation

Page 12: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

For today the Russian part of experts under the project is formed

» Voronkov Lev Sergeevich-Phd. The professor the leading researcher the head of the North European direction of the Center North European and the Baltic researches IMEMO

Sokolov Vasily Ivanovich-Phd. The head of department of Canada of Institute of the USA and Canada Russian Academy of Sciences

Peshkov Andrey Sergeevich- CHAIR the Arctic Contaminants Action Program ACAP, the deserved ecologist of the Russian Federation

Vlasova Victoriya Valerevna-Phd. The Aide to the Minister for Regional Development of the Russian Federation

Experts of the Ministry of Finance of the Russian Federation and the Ministry of economic development and trade of the Russian Federation will take part in the project

And other experts

Ministry of Regional Development of the Russian FederationMinistry of Regional Development of the Russian Federation

Page 13: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Ministry of Regional Development of the Russian FederationSupport and the consent on participation and cooperation under the project has

expressed NEFCO

Ministry of Regional Development of the Russian FederationSupport and the consent on participation and cooperation under the project has

expressed NEFCO

Page 14: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Support and the consent on participation and cooperation under the project has expressed ACAP Arctic Council

www.ac-acap.org

On February, 10th, 2012 to the Aide to the Minister for Regional Development of the Russian Federation V.V.Vlasova

Dear Victoria Valerevna,Coordination of work of the financial mechanisms providing a sustainable development of the

Russian North including at performance of the international obligations of Russia accepted by the country at joining to Organization for Economic Co-operation and Development, OECD and the WTO,

becomes especially actual in the conditions of activization foreign (including not Arctic) the states in the Russian Arctic regions, an intensification of economic development of the Arctic seas.

It is from its part ready to take part in work planned by you in the area of Advisory council taking into account institutional possibilities АСАP, Council Barentseva/Evroarktichesky / of the Euroarctic

region (СБЕР), IPP(ИПП) and other international organizations.Yours faithfullyChairman АCAP,The deserved ecologist of the Russian Federation A.S.Peshkov

On February, 10th, 2012 to the Aide to the Minister for Regional Development of the Russian Federation V.V.Vlasova

Dear Victoria Valerevna,Coordination of work of the financial mechanisms providing a sustainable development of the

Russian North including at performance of the international obligations of Russia accepted by the country at joining to Organization for Economic Co-operation and Development, OECD and the WTO,

becomes especially actual in the conditions of activization foreign (including not Arctic) the states in the Russian Arctic regions, an intensification of economic development of the Arctic seas.

It is from its part ready to take part in work planned by you in the area of Advisory council taking into account institutional possibilities АСАP, Council Barentseva/Evroarktichesky / of the Euroarctic

region (СБЕР), IPP(ИПП) and other international organizations.Yours faithfullyChairman АCAP,The deserved ecologist of the Russian Federation A.S.Peshkov

Page 15: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Support and the consent on participation and cooperation under the project has expressed Carleton University (Canada)

Page 16: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Support and the consent on participation and cooperation under the project has expressed UNEP

Page 17: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Support and the consent on participation and cooperation under the project has expressed RAIPON

Hello Victoria. Once again it was pleasant to get acquainted with you in Gallivare and to learn about the project on financial mechanisms. I hope, in the future, we can cooperate and help to advance any general initiatives. Also we are interested to take part in the project as the expert party and in controls. Let's wait from you for the further update under the project. Let's meet in Stockholm. Good luck!Yours faithfully, Yours faithfully, Dmitry BerezhkovThe Vice-president of Association of the radical small people of the North, Siberia and the Far East the Russian Federation .

With regards Dmitry BerezhkovVice-president of Russian Association of indigenous peoples of the North (RAIPON)-------------------------------------119415, Moscow, P.O. Box 110Tel. +7(495) 748-31-24Fax. +7(495) 748-49-59E-mail [email protected], [email protected] www.raipon.info

Hello Victoria. Once again it was pleasant to get acquainted with you in Gallivare and to learn about the project on financial mechanisms. I hope, in the future, we can cooperate and help to advance any general initiatives. Also we are interested to take part in the project as the expert party and in controls. Let's wait from you for the further update under the project. Let's meet in Stockholm. Good luck!Yours faithfully, Yours faithfully, Dmitry BerezhkovThe Vice-president of Association of the radical small people of the North, Siberia and the Far East the Russian Federation .

With regards Dmitry BerezhkovVice-president of Russian Association of indigenous peoples of the North (RAIPON)-------------------------------------119415, Moscow, P.O. Box 110Tel. +7(495) 748-31-24Fax. +7(495) 748-49-59E-mail [email protected], [email protected] www.raipon.info

Page 18: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Support and the consent on participation and cooperation under the project has expressed Norwegian Institute of International

Affairs (NUPI)

Dear Viktoriya Vlasova,   Thank you for the email you sent to the Norwegian Institute of International Affairs (NUPI), regarding your Ministry's project, 'Development

of national and international financial mechanisms supporting sustainable development in Arctic regions.' We have discussed the matter internally at NUPI and decided that my competence is likely most relevant for the expert group.

  I have been a Senior Research Fellow at NUPI for the past six year and am Adjunct Professor at the Centre for High North Business and

Governance, University of Nordland (Bodø, Norway). My research focuses on Arctic international politics as well as Russian, Canadian and Norwegian northern policies. My PhD work at the Scott Polar Research Institute at the University of Cambridge focused on international sustainable development efforts in the Arctic, and the results may also be useful for your project. Please let me know if you would like further information or a CV for your consideration.

  In terms of what I can contribute to the project, I would be able to participate in workshops and conferences as well as provide some

feedback on written material. NUPI runs on project funding and thus my ability to contribute larger amounts of time to writing text for the final report is limited.

  Please do not hestitate to contact me if you would like to discuss further (in English or Russian is fine) ([email protected]: mobile +47

45004240).   This reply is copied to Helge Blakkisrud (Head of the Department of Russian and Eurasian Studies) and Silje Nålsund (for archiving).   Best wishes from Oslo,   Elana Wilson Rowe, PhD Senior Research Fellow, NUPI

Page 19: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Within the limits of the project it is planned in 2012г. Carrying out of the international

conference in Moscow.

The organizer of conference-Ministry of Regional Development of the Russian Federation led by the Minister – Basargin Victor

Ministry of Regional Development of the Russian FederationMinistry of Regional Development of the Russian Federation

Page 20: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Ministry of Regional Development of the Russian Federation

The international commission of experts will be generated till May 2012года

The leader of the project - Russia. From the Russian Federation the project represent - the Ministry of Regional development of the Russian Federation, IMEMO, the Institute of the USA and Canada of the Russian Academy of Sciences, participate experts of the Ministry of Finance of the Russian Federation and the Ministry of economic development and trade of the Russian Federation.

Russia acts only as the organizer of process on project preparation, incurs the decision of the technical questions, all decisions under the project will be accepted by the international commission of experts

Preliminary participation of following organizations is supposed: The international organizations, including financial - (GEF), UNEP, Nordic Environment Financing

Corporation (NEFCO), Scandinavian Investment bank, The USA - the Californian University; the Commission of researches on Arctic regions Canada - Canadian Institute of International affairs; Canadian International Development Agency,

International institute for sustainable development; North American Arctic institute Norway – International peace research Institute, Institute of International Affairs; the Norwegian

polar institute, University Tromso. Denmark - Danish Institute for International Studies; Finland - Finnish Institute of International Affairs; And others in the lead experts from Sweden and Iceland We are ready to consider any offers on structure of participants and we invite all experts to

cooperation under the project

Page 21: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Ministry of Regional Development of the Russian Federation

Influence of results of the project on strengthening of the Arctic Council

All these measures will allow to pass from financing of separate projects by the various countries to the organization of mechanisms of financing on priority lines of activity of the Arctic Council.

As a result of realization of the given measures level of planned character and predictability of financial streams, their concentration on the international priorities, a transparency, predictability and responsibility of procedures of decision-making will raise. The share of qualitative projects of the Arctic Council corresponding to the strategic international purposes and interests will increase.

Perfection of financial mechanisms will promote improvement of coordination of cooperation.

Will allow to provide the integrated and substantial approach to management and planning by activity, on the basis of the coordinated priorities.

Page 22: Ministry of Regional Development of the Russian Federation Development of national and international financial mechanisms of support of a sustainable development

Effect from realization of the project for the countries of participants of the Arctic Council

Recommendations of a working commission of experts of the project will allow:

- To expand financial sources and possibilities of realization of the Arctic programs and sustainable development and cooperation projects;

- To create mechanisms of long-term partnership with the international organizations in interests of system work;

- To raise quality of management of the Arctic projects at the expense of use of standards of world level;

- To involve the international financial innovations to expand access to financial technologies;

- To improve intraregional coordination and cooperation in the field of realization of the Arctic projects, including a sustainable development between the regional companies, funds, programs and establishments, regional banks of development.

Ministry of Regional Development of the Russian FederationMinistry of Regional Development of the Russian Federation