Ozone Secretariat UNEP Agenda Item 3: Report by the Secretariat on Article 7 Data under the Montreal Protocol: --------------------- 45th Meeting of the Implementation Committee under the Non-Compliance Procedure 4 – 5 November 2010 Bangkok, Thailand Ozone Secretariat UNEP

Overview of issues covered Status of Compliance with Data Reporting Obligations Status of compliance with the control measures Production of CFCs in non-A5 Parties to meet the BDN of A5 Parties (decision XVII/12(2)) Consolidated record of cases of stockpiling 2

Data Reporting Requirements under Article 7 paragraphs 1 & 2: Base Year Data Requirement under Article 7 Paragraphs 1 & 2 is for reporting of data for the following years and groups of substances, all required within 6 months: 1986 for annex A 1989 for annexes B & C 1991 for annex E 3

Status of Base Year & Baseline Data Reporting: Base Year Data & Baseline Data: With the achievement of universal ratification in 2009, there are no new Parties to the Montreal Protocol required to report base year data 4

Data Reporting Requirements under Article 7 paragraph 3 : Annual Data Second category of data reporting requirement is to report data every year from the year of entry into force of the Protocol or Amendment for a ratifying Party Requirement defined in Article 7 paragraph 3 Annual reporting is required for ALL Parties, whether producing or not, whether consuming or not 5

Status of Annual Data Reporting under Article 7 paragraphs 3 and 3 bis For the years 1986 to 2008, all the 196 Parties (100%) required to report data in this period have complied with their data reporting obligations under Article 7 paragraphs 3 and 3 bis For the year 2009, [178] Parties have reported so far – [11] more have reported since 21 October 2010 when document 45/2/Add.1 was prepared Therefore [18] Parties of those listed in paragraph 4, section B of document 45/2/Add.1, are still in non- compliance with obligation to report annual data for the year 2009. 6

Libyan Arab Jamahiriya Luxembourg Mali Non-compliance with Annual Data Reporting 2009 under Article 7 paragraphs 3 and 3 bis Marshall Islands Mozambique Nauru Qatar Romania Sao Tome and Principe Slovenia Syrian Arab Republic United Arab Emirates Bolivia Burundi Cape Verde Congo (Republic) Cook Islands Eritrea Libyan Arab Jamahiriya Luxembourg Mali 7

Timeliness of Annual Data Reporting: Parties reporting by 30th June and 30th Sept

Control Measures Applicable to Non-Article 5 Parties for the year 2009 For Non-Article 5 Parties, the applicable Control Measures defined by Articles 2A-2I For 2009 for production* and consumption* a) Annexes A, B, C/II, C/III & E: Phase-out of both Prod & Cons b) HCFCs (C/I) Production: Freeze at baseline levels c) HCFCs (C/I) Consumption: No greater than 65% of the baseline * except for quantities allowed, approved or exempted by the Protocol or the Meeting of Parties

Non-Article 5 Control measures: Exemptions and Allowances Exemptions for essential uses of CFCs are approved yearly by Meetings of the Parties Exemptions for 2009 are contained in decision XX/2 Similarly, exemptions for critical uses of methyl bromide are approved yearly Exemptions for 2009 are contained in decision XX/5 Additionally, the Protocol provides allowances for extra production to meet the basic domestic needs of Article 5 Parties (≈ 10-15% of baselines)

Non-Article 5 Control measures: Other Factors to Consider The Secretariat takes into account transfer of production rights between Parties. A summary of these transfers is usually presented in the end of year data report Laboratory and analytical uses by Non-A5 Parties enjoy a global exemption (latest decision XXI/6 extends this exemption up to the year 2014 with some exceptions) Finally, decision XVIII/17 requested the Committee to defer consideration of possible non-compliance attributable to stockpiling under scenarios covered by that decision until 21st MOP which agreed to place it on the agenda of 22nd MOP

Non-Article 5 Parties compliance with the control measures for 2008 Non-Article 5 Parties’ deviations from the Consumption and Production control measures and the associated clarifications are presented in table 11 of document 45/2 As will be noted from the table, for Non-Article 5 Parties, we do not have any cases yet of non-compliance with the control measures Therefore for Non-Article 5 Parties for 2009 data received so far, there are no cases of possible non-compliance to be considered by the committee. 12

Control Measures Applicable to Article 5 Parties for the year 2009 Control Measures for Article 5 Parties – are defined under Article 5 paragraphs 8.bis & 8.ter Annex Group 2009 maximum limit* CFCs - Annexes A/I 15% of baseline Halons - Annexes A/II 50% of baseline Other CFCs - Annex B/I 15% of baseline CCL4 - Annex B/II 15% of baseline TCA - Annex B/III 70% of baseline HBFCs - Annexes C/II Phase out from 1996 BCM - Annexes C/III Phase out from 2002 MeBr - Annex E/I 80% of baseline

Control Measures for Article 5 Parties: Allowances and Exceptions Similar to non-Article 5 Parties, the Protocol provides allowances for extra production to meet the basic domestic needs of Article 5 Parties (≈ 10-15% of baselines) Decision XVIII/17 applies equally to Article 5 Parties – a decision that requested the Committee to defer consideration of situations of possible non-compliance attributable to stockpiling under scenarios covered by that decision until 21st MOP which agreed to place issue on the agenda of 22nd MOP

Control Measures for Article 5 Parties: Further Exemptions Additionally, decision XIX/17 directed Implementation Committee to defer consideration of possible non-compliance for Article 5 Parties attributable to Laboratory and Analytical Uses of CCL4 until 2010 Finally, for Parties that were previously subject to decisions on non-compliance, and where those decisions contain agreed annual benchmarks reflecting commitment by those Parties to comply, those benchmarks are used as primary determinant of their commitments to reduce production and/or consumption levels

Article 5 Parties Compliance with the control measures for 2009 As will be noted from table 14 of document 45/2, most of the Parties under close monitoring due to previous situations of non-compliance are complying with commitments agreed in decisions of the Parties, with most being in compliance with control measures

Article 5 Parties with non-compliant situations with the control measures for 2009 There are no cases of non-compliance arising out of the data reported for 2009 by Article 5 Parties All Parties with non-compliance decisions below had their ODS consumption for 2009 within benchmark commitments with no cases on non-compliance Albania (decision XV/26) Armenia (decision XVIII/20) Belize (decision XIV/33) Bosnia and Herzegovina (decision XV/30 and XXI/18) Dominica (decision XVIII/22)

Article 5 Parties with non-compliant situations with the control measures for 2009 Ecuador (decision XX/16) Iran (Islamic Republic of) (decision XIX/27) Kyrgyzstan (decision XVII/36) Lesotho (decision XVI/25) Mexico (decisions XVIII/30 and XXI/20) Namibia (decision XV/38) Nepal (decision XVI/27) Nigeria (decision XIV/30) Paraguay (decision XIX/22) Saint Vincent and the Grenadines (decision XVI/30) Somalia (decision XX/19) Uruguay (decision XVII/39)

Production in 2009 of CFCs in Non-Article 5 Parties to meet basic domestic needs of Article 5 Parties (decision XVII/12(2)) Decision requested the Secretariat to report the level of production of CFCs in non-Article 5 Parties to meet basic domestic needs of Article 5 Parties as compared to their allowed production Decision also requested to include available data on transfer of production rights

Transfer Source /Destination Party Production in 2009 of CFCs in non-Article 5 Parties to meet basic domestic needs of Article 5 Parties (decision XVII/12(2)) Country BDN Allowance (ODP t) Transfer Source /Destination Party Transfer (ODP t) BDN Produced ODP t France 519.5 To Spain (519.49) N.R. Greece 219 Italy 961.7 Japan 318 Netherlands 25.3

Production in 2009 of CFCs in non-Article 5 Parties to meet basic domestic needs of Article 5 Parties (decision XVII/12(2)) Country BDN Allowance (ODP t) Transfer Source/ Destination Party Transfer (ODP t) BDN Produced ODP t Russian Federation 194.6 Spain 407.7 From France From UK 519.49 525 1426 United Kingdom 1154.6 To Spain To USA (525) (412) United States 821.9 412 252.8 All Parties involved in the transfer of production rights, notified the Secretariat of the transfers, except Spain which is yet to confirm acceptance of transfer from France

Agenda Item 3: Report by the Secretariat on Article 9 Data under the Montreal Protocol: Article 9 of the Protocol provides for each party to submit to the Secretariat, every 2 years, summary of activities doen to promote public awareness and exchange of information on environmental effects of ODS emissions Two Parties 2 (Egypt and Lithuania) have reported information on this issue. The information is posted on Secretariat website.