1. Catalysing Ocean Finance: The GloBallast Case Study
Andrew Hudson
Head, UNDP Water & Ocean Governance Pgm & Principal Technical Advisor, Int’l Waters, UNDP-GEF

2. Catalysing Ocean Finance – Key Messages
Most ocean threats – hypoxia, acidification, habitat loss, ocean warming, invasive aquatic species – accelerating
All are due to policy & market failures; for ship invasives is lack of internalizing cost of ‘clean’ ballast water in ship operations
Suite of (3) methodologies have proven effective at achieving local, national, regional and global ocean governance reforms
Modest sums public finance (GEF$) can create enabling policy environment which can catalyse sizeable sums public & private finance and transform entire ocean sectors towards sustainability
Opportunity in late 1990’s to build on and strengthen international efforts on ballast water already underway through IMO

3. Catalysing Ocean Finance Case Studies
Case Study
Methodology/Approach
GEF Grants
($ m.)
Catalysed Public & Private Finance
Catalytic Ocean Finance Ratio
Result
Danube/Black Sea basin
TDA/SAP
51.9
2,980
57:1
Reduced nutrient loads, reversal of Black Sea hypoxic area
Yellow Sea LME
14.744
10,860
737:1
30% reduction fishing capacity, 10% reduction nutrient discharges every 5 years
Rio de la Plata /Maritime Front
9.31
2,620
281:1
Significant reductions in sewage, nutrient, industrial pollution loads to RPMF
E. Asian Seas /PEMSEA
ICM
36.1
10,000
277:1
11% of East Asian coastline under ICM (vs. ~0% baseline); 20% target for 2015
W/C Pacific Fisheries
Build on regional legal framework
15.1
3,214
222:1
Moving 1/3 world’s tuna fishery towards sustainability
GloBallast
Build on global legal framework 14
35,000
2,500:1
New global convention on ship BW; significant reductions in invasive species introductions

4. Generic Approach to building on global and regional legal frameworks

5. GloBallast Project Strategy

6. GloBallast – Catalysing a Global Convention on Ship Ballast Water

7. New opportunities to further catalyse shipping sector transformation towards sustainability

8. Shipping energy efficiency standards
Approach
Tools, methodologies, standards, guidelines to promote uptake IMO EE guidelines
Ship Management Plans (SEEMP)
Ship Design Standards (EEDI)
Facilitate PS R&D
Costs/Benefits/Catalysis
Public Cost: $10-20 million
Benefits and avoided costs:
Climate impacts $19 billion/yr (2050)
Fuel savings $90-$310/billion/yr (2030)
Catalysed Finance: many billions $

9. Ship Hull Fouling – Invasive Species Vector
Approach
Support convention negotiations & enhanced nat’l/reg’l implementation capacity
Tools, methodologies, standards, guidelines
Facilitate private sector technology R&D
Costs/Benefits/Catalysis
Public costs: $10 million
Benefits/avoided costs: $10-90 billion/yr
Catalysed Finance:
$10-30 billion?