Trade, Globalization and the GEG System Ambassadors Seminar on Global Environmental Governance New York, 16 October 2007

Environment is not self-contained Most of the decisions affecting the environment are taken outside the GEG system Trade rules and dispute settlement Investment agreements and arbitration Security How to mainstream and is mainstreaming the answer?

Trade The environment is reflected in the WTO preamble Environment is all over the WTO negotiation agenda MEAs use trade measures for compliance and enforcement Environmental regulations, standards and norms affect trade

Investment No international investment regime But the bilateral investment agreements can affect the scope for environmental action Massive investment is required for the transition to sustainable development The conditions governing that investment are key to success

Security The link between environment and security is increasingly well established Stability is the precondition for sustainable development The absence of stability undermines environmental action: illegal trade, refugee movement, spread of disease, etc.

GEG reform challenges Whatever deeply affects the environment is a legitimate environmental concern The world can no longer afford for environment to be an afterthought The environmental community must organize so that it can interact more positively with, and participate more effectively in, other policy communities and processes

What might we do now? Establish a process to make operational the call in the WTO Preamble to align trade liberalization with sustainable development Ask UNEP to lead a serious campaign for harmonization of environmental standards that affect trade, including accelerating technical equivalence and mutual recognition