Kofi A. Agyarko, Director, Renewable Energy,
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Kofi A. Agyarko, Director, Renewable Energy, Energy Efficiency Climate Change Issue of import inefficient cooling equipment with obsolete HFC and High-GWP HFC refrigerant! MOP35, Nairobi 23 October 2023 The Ugly Face of Dumping NEW
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Kofi A. Agyarko, Director, Renewable Energy, Energy Efficiency & Climate Change Issue of import inefficient cooling equipment with obsolete HFC and High-GWP HFC refrigerant! MOP35, Nairobi 23 October 2023<br>
02
The Ugly Face of Dumping NEW APPLIANCES! Why new inefficient appliances with obsolete refrigerants dumped in Africa wasting precious money on electricity and service with air pollution and climate change from greenhouse gas and toxic fossil fuel emissions?
How can global companies and their home countries hope to be respected when they exploit export markets with products they would not sell to their own citizens?
Why not global cooperation to stop shipping
of products so easily identified as damaging to
local prosperity and global environment?
Please work with Africa to end this dumping
madness! 3<br>
How can global companies and their home countries hope to be respected when they exploit export markets with products they would not sell to their own citizens?
Why not global cooperation to stop shipping
of products so easily identified as damaging to
local prosperity and global environment?
Please work with Africa to end this dumping
madness! 3<br>
03
Environmentally Harmful Dumping of Inefficient and Obsolete Air Conditioners in Africa African AC markets dominated by low-efficiency equipment using obsolete refrigerants
Used and defective products are exported from the European Union and Asia to Africa Origins of low efficiency RACs sold in 10 African countries (N=651,273). Source: CLASP/IGSD, Environmentally Harmful Dumping of Inefficient and Obsolete Air Conditioners in Africa (2020). 4<br>
Used and defective products are exported from the European Union and Asia to Africa Origins of low efficiency RACs sold in 10 African countries (N=651,273). Source: CLASP/IGSD, Environmentally Harmful Dumping of Inefficient and Obsolete Air Conditioners in Africa (2020). 4<br>
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The Harmful Effects of Environmental Dumping Triggers the poverty spiral – keeps users in perpetual poverty because of high running cost.
Increasing dependence on obsolete refrigerants that increasingly becoming expensive and unavailable
Flooding the market with poor quality equipment chases away quality products – “market for lemons”
stresses the grid, transformer overloads resulting in black outs and brown outs
Increases non-recyclable refuse
Hampers efforts to meet international obligations. 5<br>
Increasing dependence on obsolete refrigerants that increasingly becoming expensive and unavailable
Flooding the market with poor quality equipment chases away quality products – “market for lemons”
stresses the grid, transformer overloads resulting in black outs and brown outs
Increases non-recyclable refuse
Hampers efforts to meet international obligations. 5<br>
05
Africa is leading efforts to raise awareness of, identify solutions, call partners to action, and stop environmental dumping 6<br>
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First energy efficiency decision adopted immediately after the Kigali Amendment was agreed (introduced by Rwanda & Morocco), sought to implement anti-dumping measures
(Oct. 2016) At the side event Stopping Environmental Dumping at the 30th Meeting of the Parties to the Montreal Protocol (Nov. 2018), Rwanda drew attention to the problems caused by the dumping of obsolete and inefficient equipment in African markets, which undermined climate efforts by African countries. Anti-dumping included in African Ministerial Conference on the Environment (AMCEN)
Decision 17/1 (Nov. 2019) (among other Decisions) At the side event Stop Environmental Dumping: Latest Analysis and Tools at the Combined 12th Meeting of the Conference of the Parties to the Vienna Convention and 32nd Meeting of the Parties to the Montreal Protocol (Nov. 2020), Ghana presented its experiences battling an ever-rising tide of obsolete cooling appliance imports. 7<br>
(Oct. 2016) At the side event Stopping Environmental Dumping at the 30th Meeting of the Parties to the Montreal Protocol (Nov. 2018), Rwanda drew attention to the problems caused by the dumping of obsolete and inefficient equipment in African markets, which undermined climate efforts by African countries. Anti-dumping included in African Ministerial Conference on the Environment (AMCEN)
Decision 17/1 (Nov. 2019) (among other Decisions) At the side event Stop Environmental Dumping: Latest Analysis and Tools at the Combined 12th Meeting of the Conference of the Parties to the Vienna Convention and 32nd Meeting of the Parties to the Montreal Protocol (Nov. 2020), Ghana presented its experiences battling an ever-rising tide of obsolete cooling appliance imports. 7<br>
07
15th Session of the AMCEN (Egypt, 2015)
Resulted in Cairo Declaration, which solidified and unified African support for an HFC amendment under the Montreal Protocol
16th Session of the AMCEN (Libreville, 2017)
Resulted in Libreville Declaration, which welcomed and pledged support for the Kigali Amendment
17th Session of the AMCEN (Durban, 2019)
Decision 17/1: Urged Parties of the Montreal Protocol to adopt an action plan to prevent market penetration of obsolete equipment while facilitating access to secure energy-efficient technologies.
Also urged African states which have not yet ratified the Kigali Amendment to ratify and implement it as soon as possible.
Decision 17/2: Emphasized ”the benefits of improving air quality, including through managing, and as nationally appropriate reducing short-lived climate pollutants”
19th Ordinary Session of the AMCEN (Durban, 2019)
Again resulted in a decision to urge Parties to the Montreal Protocol to adopt an action plan to prevent market penetration of obsolete equipment in Africa
Extraordinary Meeting of the AMCEN (Virtual, 2020)
Agreed to include in the African Green Stimulus Program:
“To urge Parties to the Montreal Protocol to adopt an action plan preventing
the market penetration of obsolete equipment in Africa while facilitating
access to secure and energy-efficient technologies on the continent.” 8<br>
Resulted in Cairo Declaration, which solidified and unified African support for an HFC amendment under the Montreal Protocol
16th Session of the AMCEN (Libreville, 2017)
Resulted in Libreville Declaration, which welcomed and pledged support for the Kigali Amendment
17th Session of the AMCEN (Durban, 2019)
Decision 17/1: Urged Parties of the Montreal Protocol to adopt an action plan to prevent market penetration of obsolete equipment while facilitating access to secure energy-efficient technologies.
Also urged African states which have not yet ratified the Kigali Amendment to ratify and implement it as soon as possible.
Decision 17/2: Emphasized ”the benefits of improving air quality, including through managing, and as nationally appropriate reducing short-lived climate pollutants”
19th Ordinary Session of the AMCEN (Durban, 2019)
Again resulted in a decision to urge Parties to the Montreal Protocol to adopt an action plan to prevent market penetration of obsolete equipment in Africa
Extraordinary Meeting of the AMCEN (Virtual, 2020)
Agreed to include in the African Green Stimulus Program:
“To urge Parties to the Montreal Protocol to adopt an action plan preventing
the market penetration of obsolete equipment in Africa while facilitating
access to secure and energy-efficient technologies on the continent.” 8<br>
08
Low volume consuming countries that are technology takers (importing only) have the greatest potential to benefit from capacity building to implement policies to avoid risks associated with environmental dumping of inefficient technologies and obsolete refrigerants. Montreal Protocol Technology and Economic Assessment Panel (TEAP), Energy Efficiency Task Force Report. 9<br>
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Examples of African Support for Stop Dumping Efforts “Preventing the dumping of inefficient RAC equipment into Africa will assist the continent to contribute to the goals of the Kigali Amendment and promote the use of EE equipment.”
Engr. Idris A.I, Asst Director, Nigeria National Ozone Officer, Federal Ministry of Environment
“Many thanks for this initiative, which is great, and may help our continent and I hope, we may find a way, to protect our market.”
Samuel Paré, Burkina Faso National Ozone Unit Coordinator, Ministry of Environment, Green Economy and Climate Change
“The National Ozone Unit in Libya asserts you its full support… We are very keen to protect our environment from dumping with the mutual equipment that damage our natural environment.”
Dr. Khalifa Elawej, Director, Libya National Ozone Unit, Environment General Authority
“Our African Market should really be protected from dumping of obsolete technologies.”
M. Kirui, Kenya National Ozone Unit Coordinator, Ministry of Environment, Natural Resources and Regional Development Authorities
“[This allows us] to settle a process in order to curb the scourge of importing obsolete equipment and old discarded equipment.”
Vidémé Amèh Djossou, Togo National Ozone Coordinator, Ministry of Environment and Forest Resources 10<br>
Engr. Idris A.I, Asst Director, Nigeria National Ozone Officer, Federal Ministry of Environment
“Many thanks for this initiative, which is great, and may help our continent and I hope, we may find a way, to protect our market.”
Samuel Paré, Burkina Faso National Ozone Unit Coordinator, Ministry of Environment, Green Economy and Climate Change
“The National Ozone Unit in Libya asserts you its full support… We are very keen to protect our environment from dumping with the mutual equipment that damage our natural environment.”
Dr. Khalifa Elawej, Director, Libya National Ozone Unit, Environment General Authority
“Our African Market should really be protected from dumping of obsolete technologies.”
M. Kirui, Kenya National Ozone Unit Coordinator, Ministry of Environment, Natural Resources and Regional Development Authorities
“[This allows us] to settle a process in order to curb the scourge of importing obsolete equipment and old discarded equipment.”
Vidémé Amèh Djossou, Togo National Ozone Coordinator, Ministry of Environment and Forest Resources 10<br>
10
Clarion call to ACTION Ghana, on behalf of Africa, welcomes importing- and exporting-country stakeholder:
Help in championing our efforts within the Montreal Protocol to help us stop environmental dumping
Manufacture and marketing in Africa of next-generation, energy-efficient and lower-global warming potential cooling appliances
Technical and legal support in halting the environmental injustices arising from environmental dumping and recovering compensatory and punitive damages.
Technological and trade support that will stop brain drain; attract investment and give hope to the future generation 11<br>
Help in championing our efforts within the Montreal Protocol to help us stop environmental dumping
Manufacture and marketing in Africa of next-generation, energy-efficient and lower-global warming potential cooling appliances
Technical and legal support in halting the environmental injustices arising from environmental dumping and recovering compensatory and punitive damages.
Technological and trade support that will stop brain drain; attract investment and give hope to the future generation 11<br>
11
Thanks
Asante sana
Danke
Merci
Takk
Shukran
Aseda
oshe GIVE ME HOPE TO LIVE 12<br>
Asante sana
Danke
Merci
Takk
Shukran
Aseda
oshe GIVE ME HOPE TO LIVE 12<br>
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Selected Bibliography New case studies on environmental dumping and related solutions are underway. Ghana energy officials are lead authors in “The Importance of Stopping Dumping in Ghana: The Case of Inefficient New and Used Cooling Appliances with Obsolete Refrigerants,” (forthcoming, Duke Environmental Law & Policy Forum, Fall 2021).
Environmental dumping inhibits the market for higher-quality, energy efficient cooling products. K.A. Agyarko, R. Opoku & R. Van Buskirk (2020) Removing Barriers and Promoting Demand-Side Energy Efficiency in Households in Sub-Saharan Africa: A Case Study in Ghana, ENERGY POLICY 137: p. 3 (“In ‘Market for lemons,’ Akerlof describes how when a market does not provide consumers reliable information regarding product quality, then the dynamics of the market causes a flood of cheaper, more profitable low-quality products that force higher quality products out of the market. Because of the inability of consumers to reliably identify higher quality products, sellers of high-quality products are unable to make profitable sales and the higher quality products disappear from the market.”), available at: https://doi.org/10.1016/j.enpol.2019.111149
Environmental dumping increases Ghana’s carbon footprint and makes it more difficult to fulfill environmental treaty obligations. Centre for Energy, Environment, and Sustainable Development (2020) Domestic Refrigerating Appliance and Room Air Conditioner Market and Feasibility Assessment: ECOWAS Refrigerators and ACs Initiative (ECOFRIDGES) in Ghana, p. 2 (“over 2 million inefficient refrigeration appliances are used in households in Ghana, presenting economic cost that runs into hundreds of millions of dollars in electricity bills to the national economy while resulting in increased carbon footprint of the country (each inefficient appliance generates over 0.7 tons of carbon emissions annually. On the other hand, the annual energy consumption of ACs range between 1,532 to 2,680 kWh/yr, depending on the cooling capacity (GIZ 2018). Furthermore, most of the old refrigerators and ACs use environmentally harmful refrigerants that are released into the atmosphere, especially in cases when they are improperly discarded. At least 2 tons of ozone-depleting substances are released into the atmosphere through this phenomenon.”), https://doi.org/10.1016/j.enpol.2019.111149, citing S. Gyamfi, F.A. Diawu, E.N. Kumi, F. Sika & M. Modjinou (2017) The energy efficiency situation in Ghana, RENEWABLE AND SUSTAINABLE ENERGY REVIEWS 82: 1415–1423 (no link available) and GIZ Green Cooling Initiative (2018) Ghana’s Greenhouse Gas Inventory and Technology Gap Analysis for the Refrigeration and Air Conditioning Sector, https://www.green-cooling-initiative.org/fileadmin/Publications/2018_GCI_Inventory_Report_Ghana.pdf 13<br>
Environmental dumping inhibits the market for higher-quality, energy efficient cooling products. K.A. Agyarko, R. Opoku & R. Van Buskirk (2020) Removing Barriers and Promoting Demand-Side Energy Efficiency in Households in Sub-Saharan Africa: A Case Study in Ghana, ENERGY POLICY 137: p. 3 (“In ‘Market for lemons,’ Akerlof describes how when a market does not provide consumers reliable information regarding product quality, then the dynamics of the market causes a flood of cheaper, more profitable low-quality products that force higher quality products out of the market. Because of the inability of consumers to reliably identify higher quality products, sellers of high-quality products are unable to make profitable sales and the higher quality products disappear from the market.”), available at: https://doi.org/10.1016/j.enpol.2019.111149
Environmental dumping increases Ghana’s carbon footprint and makes it more difficult to fulfill environmental treaty obligations. Centre for Energy, Environment, and Sustainable Development (2020) Domestic Refrigerating Appliance and Room Air Conditioner Market and Feasibility Assessment: ECOWAS Refrigerators and ACs Initiative (ECOFRIDGES) in Ghana, p. 2 (“over 2 million inefficient refrigeration appliances are used in households in Ghana, presenting economic cost that runs into hundreds of millions of dollars in electricity bills to the national economy while resulting in increased carbon footprint of the country (each inefficient appliance generates over 0.7 tons of carbon emissions annually. On the other hand, the annual energy consumption of ACs range between 1,532 to 2,680 kWh/yr, depending on the cooling capacity (GIZ 2018). Furthermore, most of the old refrigerators and ACs use environmentally harmful refrigerants that are released into the atmosphere, especially in cases when they are improperly discarded. At least 2 tons of ozone-depleting substances are released into the atmosphere through this phenomenon.”), https://doi.org/10.1016/j.enpol.2019.111149, citing S. Gyamfi, F.A. Diawu, E.N. Kumi, F. Sika & M. Modjinou (2017) The energy efficiency situation in Ghana, RENEWABLE AND SUSTAINABLE ENERGY REVIEWS 82: 1415–1423 (no link available) and GIZ Green Cooling Initiative (2018) Ghana’s Greenhouse Gas Inventory and Technology Gap Analysis for the Refrigeration and Air Conditioning Sector, https://www.green-cooling-initiative.org/fileadmin/Publications/2018_GCI_Inventory_Report_Ghana.pdf 13<br>
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Research has also documented that, of 650,000 new, low efficiency air conditioners sold in 10 African countries in 2018, 170,000 were imported products that did not meet the minimum energy efficiency standards and almost all contained obsolete refrigerants that are powerful ozone-depleting and greenhouse gases scheduled for phase out and phasedown under the Montreal Protocol. CLASP and IGSD, Environmentally Harmful Dumping of Inefficient and Obsolete Air Conditioners in Africa (24 June 2020), available at: https://www.clasp.ngo/research/all/environmentally-harmful-dumping-of-inefficient-and-obsolete-air-conditioners-in-africa/
The International Energy Agency and UN Environment Programme Cooling Emissions and Policy Synthesis Report: Benefits of cooling efficiency and the Kigali Amendment (July 2020) recognizes that “[e]ffective anti-environmental dumping campaigns can help transform markets.” https://wedocs.unep.org/bitstream/handle/20.500.11822/33094/CoolRep.pdf?sequence=1&isAllowed=y
The Intergovernmental Panel on Climate Change (IPCC) has also recognized in its Special Report on Global Warming of 1.5°C that policy tools, (which include tools to stop environmental dumping), can help mobilize resources to secure equity of transition to climate-resilient development. https://www.ipcc.ch/site/assets/uploads/sites/2/2019/05/SR15_SPM_version_report_LR.pdf
The export of refrigeration and air conditioning equipment that cannot be legally sold in the country of export, or that is unusable in the country of export, is environmental dumping. Environmental dumping of refrigeration and air conditioning equipment includes: “1) export of technology that cannot legally be sold in the country of export as a consequence of failure to meet environmental, safety, energy efficiency, or other product standards; and 2) export of technology that is unusable in the country of export because refrigerants are no longer available because of national regulation or phaseout and phasedown control schedules under the Montreal Protocol.” https://delpf.law.duke.edu/article/defining-the-legal-and-policy-framework-to-stop-the-dumping-of-environmentally-harmful-products-andersen-vol29-iss1/
See also P. Fleming, A Flood of Polluting Air Conditioners Hampers Africa’s Climate Efforts, Yale360, September 9, 2020. https://e360.yale.edu/features/a-flood-of-polluting-air-conditioners-hampers-africas-climate-efforts 14<br>
The International Energy Agency and UN Environment Programme Cooling Emissions and Policy Synthesis Report: Benefits of cooling efficiency and the Kigali Amendment (July 2020) recognizes that “[e]ffective anti-environmental dumping campaigns can help transform markets.” https://wedocs.unep.org/bitstream/handle/20.500.11822/33094/CoolRep.pdf?sequence=1&isAllowed=y
The Intergovernmental Panel on Climate Change (IPCC) has also recognized in its Special Report on Global Warming of 1.5°C that policy tools, (which include tools to stop environmental dumping), can help mobilize resources to secure equity of transition to climate-resilient development. https://www.ipcc.ch/site/assets/uploads/sites/2/2019/05/SR15_SPM_version_report_LR.pdf
The export of refrigeration and air conditioning equipment that cannot be legally sold in the country of export, or that is unusable in the country of export, is environmental dumping. Environmental dumping of refrigeration and air conditioning equipment includes: “1) export of technology that cannot legally be sold in the country of export as a consequence of failure to meet environmental, safety, energy efficiency, or other product standards; and 2) export of technology that is unusable in the country of export because refrigerants are no longer available because of national regulation or phaseout and phasedown control schedules under the Montreal Protocol.” https://delpf.law.duke.edu/article/defining-the-legal-and-policy-framework-to-stop-the-dumping-of-environmentally-harmful-products-andersen-vol29-iss1/
See also P. Fleming, A Flood of Polluting Air Conditioners Hampers Africa’s Climate Efforts, Yale360, September 9, 2020. https://e360.yale.edu/features/a-flood-of-polluting-air-conditioners-hampers-africas-climate-efforts 14<br>
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Backup Slides 15<br>
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Environmental Dumping Defined Environmentally Harmful Dumping is the practice of exporting products to another country or territory that:
Contain hazardous substances,
Have environmental performance lower than is in the interest of consumers or that is contrary to the interests of the local and global commons, and/or
Can undermine the ability of the importing country to fulfill international environmental treaty commitments
Environmentally harmful product dumping includes export of technology that cannot legally be sold in the country of export as a consequence of failing to meet environmental, safety, energy efficiency, or other product standards 16<br>
Contain hazardous substances,
Have environmental performance lower than is in the interest of consumers or that is contrary to the interests of the local and global commons, and/or
Can undermine the ability of the importing country to fulfill international environmental treaty commitments
Environmentally harmful product dumping includes export of technology that cannot legally be sold in the country of export as a consequence of failing to meet environmental, safety, energy efficiency, or other product standards 16<br>
16
1st Sustainability Step: Stop Dumping Forcefully apply legal tools consistent with international trade law to stop dumping of obsolete and inefficient appliances in all of Africa
Meticulously build the legal foundation for increasingly stringent punishment and retribution for environmental dumping
Strengthen capacity for investigation and monitoring of all activities that may involve environmental dumping 17<br>
Meticulously build the legal foundation for increasingly stringent punishment and retribution for environmental dumping
Strengthen capacity for investigation and monitoring of all activities that may involve environmental dumping 17<br>
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Aggregate markets with Buyers Clubs and Bulk Procurement for affordable ownership of high-efficiency appliances
Train and enforce proper installation and service for life-cycle energy efficiency
Replace of older appliances that were inefficient when purchased, contain ozone-depleting and greenhouse gas refrigerants, and were improperly installed and maintained for energy efficiency
Transition from fossil fuel to clean renewable hydropower, solar, and wind energy 2nd Sustainability Step: Market Transformation 18<br>
Train and enforce proper installation and service for life-cycle energy efficiency
Replace of older appliances that were inefficient when purchased, contain ozone-depleting and greenhouse gas refrigerants, and were improperly installed and maintained for energy efficiency
Transition from fossil fuel to clean renewable hydropower, solar, and wind energy 2nd Sustainability Step: Market Transformation 18<br>
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Super-efficient appliances with sustainable refrigerants optimized for each climate:
Best available technology designed and manufactured in Africa for value-added jobs and economic development
Powered by clean energy sources
Money saved on electricity spent locally for health, nutrition, education, entertainment, and other purchases contributing to quality of life and community strengthening
Centers of engineering, legal, and economic excellence making the most of the natural capital of Africa and its people 3rd Sustainability Step 19<br>
Best available technology designed and manufactured in Africa for value-added jobs and economic development
Powered by clean energy sources
Money saved on electricity spent locally for health, nutrition, education, entertainment, and other purchases contributing to quality of life and community strengthening
Centers of engineering, legal, and economic excellence making the most of the natural capital of Africa and its people 3rd Sustainability Step 19<br>