APEC Secretariat Presented by Luis Enrique Vertiz © 2011 APEC Secretariat Report to EWG 42 Kaohsiung

APEC Secretariat Report on Key Developments APEC 2011 Priorities: strengthening regional economic integration and expanding trade; promoting green growth, and expanding regulatory cooperation and advancing regulatory convergence. Budget and Management Committee SCE results from San Francisco

Project Approval Sessions Session 3 / 2011 Concept Notes submitted by EWG members BMC in-principle approval: First round: 17 – 19 October (notify 20 Oct); Second round: 25 – 27 Oct (notify 28 Oct). The Proposals submitted by EWG members:

Concept Notes submitted to Session 3 /2011 Current Projects Project NameEconomy Unconventional Gas Expert WorkshopUnited States Smart Micro Grid (Piloting Smart Microgrid projects for Insular and Remote Localities in APEC economies) Russian Federation Distributed Energy Sources (Promotion of Energy Efficiency and Renewable Energy in Low Carbon Model Town of APEC through Distributed Energy Source – Identification of Potential, Challenges and Solutions) China Gas Fired Cogeneration Technology (Achieving Low-Carbon Development in APEC’s Communities by Using Higher-Efficiency and Cleaner Gas-Frerd Cogeneration Technology) China Maximizing the Energy Efficiency of Low Rank Coals (Maximizing Energy efficiency and Clean Utilization of Low Rank Coals through Innovative Technologies in APEC Economies) China LCMT Phase 2Japan Prospects for Marine Current Energy Generation in APECRussian Federation Best Practices in Energy Efficiency and Renewable Energy Technology in the Industrial Sector in APEC Thailand Carbon Capture Utilization and Storage (Feasibility of Accelerating the Deployment of Carbon Capture, Utilization and Storage [CCUS] in APEC Developing Economies United States APEC Workshop on Paths toward Sustainable Low Carbon Economies Based on Rational Use of Renewable Energies China

Multi-year projects: CriteriaRequirement TypeA single initiative that is usually broken down into phases or has multiple elements. The initiative must seek to build the capacity of members to reach strategic goals. AmountA maximum of US$500,000 of APEC funding can be approved for each multi-year project DurationFund disbursement over a maximum of five calendar years. The usual extension rules apply to multi-year projects. Proposing Forum Only SOM, Committees or SFOM may propose a multi-year project. Sub-fora, working groups, task forces etc. must go through their relevant Committee. Proposing economy A proposing economy will lead the multi-year project. This includes nomination of a project overseer and responsibility for reporting to the relevant APEC fora. Co-sponsorsA minimum of half of APEC member economies must volunteer to co-sponsor a multi-year project. Co-sponsorship contributions can take place in a number of ways, including: completing the Quality Assessment Framework; volunteering to participate in the project Steering Committee; leading certain aspects of the project; providing dedicated staff or other resources such as hosting; and offering co-funding contributions in cash or in kind. Project Overseer The PO will normally come from the proposing economy. The PO is accountable to the proposing forum, but should also provide reports to other fora involved in the project. Co-fundingA minimum co-funding level of 50% for developed economies and 20% for developing economies will be applied for OA and ASF projects Strategic priority There must be clear evidence that the project is a clear priority under the forum’s strategic plan and other broader APEC agendas Fora involvement Close cooperation from a minimum of two APEC fora in planning and implementation is required Involvement of non-APEC stakeholders There must be clear evidence that relevant external stakeholders (such as ABAC) are included in the project planning and implementation

Sample of a Multi Year Proposal Project Title:APEC Ease of Doing Business Multi-Year Project Source of funds (Select one) : Operational Account TILF Special Account APEC Support Fund X Sponsoring Committee:Economic Committee Associated Working Group / Sub-fora / Task-force(s): Committee on Trade and Investment (CTI) Proponent economy:United States Co-sponsoring economies:Brunei Darussalam; Indonesia, Japan, Korea, Malaysia, Mexico, New Zealand, Peru, Philippines, Singapore, Chinese Taipei, Thailand, Viet Nam Other non-APEC stakeholders involved: World Bank Expected start date:November 2011 Expected completion date; November 2015 Total amount being sought from APEC (US$): $ 403,500 Total co-funded amount (US$):Approximately $ 725,500 Total project cost (APEC + Co-funding in US Dls): $ 1, APEC funds: Estimated disbursal schedule Year 1Year 2Year 3Year 4Year 5 ( funds may be drawn down over a maximum of 5 calendar years) 128,50090,00060,000125,000 0

One more thing… ABAC 2011 Report to APEC Economic Leaders Create a regulatory, investment, and legal environment that encourages investment and action by the private sector. Convene an annual meeting of APEC Energy Ministers, with private sector participation comparable to that at the 2007 Darwin Meeting. Expand efforts to exchange best practices, standards and technologies for improved energy efficiency. In order for APEC to promote energy efficiency, each economy should also consider defining a Minimum Energy Efficiency Performance Standard… Alternative energy sources may increasingly become viable and contribute to the energy mix. Nuclear power… remains a clean source of energy for economies Eliminate inefficient fossil fuel subsidies to reflect the true cost of energy. Facilitate the dissemination of new energy-efficient and low-carbon technologies, specifically for household, industrial, transportation, smart grid and other uses

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