WB grants $17m for ozone projects

WB grants $17m for ozone projects

JAKARTA (JP): The World Bank has agreed to provide US$17
million in grants to 18 Indonesian companies for the protection
of the ozone layer.

Benjamin Fisher, head of the World Bank's unit for social and
environmental impact, was quoted by the Antara news agency as
saying yesterday that the agreement, which was signed in
Washington D.C. on Nov. 10, 1994, is part of the bank's $90
million Montreal Protocol loan to 12 developing countries.

Under the agreement, the companies will be required to replace
ozone-destroying techniques and materials, such as CFCs, with
more environmentally-friendly methods. CFCs are still widely used
in Indonesia.

Following the signing of a memorandum of agreement between the
Ministry of Environment and Bank Uppindo on the implementation of
the ozone project, Fisher explained that the grant would be used
for the development of sub-projects, investments, and technical
assistance.

PT Sucofindo, a national consultant company, will draft the
proposals for the sub-projects and Bank Uppindo will be
responsible for the management of the grant, including its
distribution to the 18 companies.

Fisher said Bank Uppindo would receive $50,000 worth of
technical assistance to do their job, which will include
monitoring the project's implementation.

The Ministry of Environment, he said, would receive $50,000
for promotion, project selection and to conduct workshops
introducing ozone-friendly technologies.

According to Aca Sugandhi, an assistant to the state minister
of environment, the 18 companies were selected by the National
Development and Planning Board (Bappenas), the ministries of
finance, industry, trade and foreign affairs, under the
coordination of the Ministry of Environment.(pwn)