Thu, 06 Jun 2002

What it will take to save the world

Martin Khor, Director, Third World Network A network of environment and development NGOs Based in Penang, Malaysia

The negotiations in Bali have reached a critical stage as the Ministers arrive and very few days remain. Much is at stake: the future of Earth's environment and the people's development. But the results so far are very disappointing. Almost all the NGOs (and quite a few delegations too!) fear the Johannesburg Summit will take us many steps back instead of forward.

The very first square bracket and bold text (indicating a dispute) in the draft Implementation Plan (2 June) is on the principle of "common but differentiated responsibility". Proposals by the G77 to restructure debt through debt relief and cancellation, and to comprehensively address developing countries' problems in implementing the imbalanced WTO agreements, are being opposed by the major rich countries.

The already very modest proposals to strengthen the institutions that will follow up on WSSD's decisions are being watered down further.

What we are seeing in Bali so far is part of the trend since Rio. The global environment and development crises have worsened, and political commitment to address them has declined to an abysmally low level.

A major reason is the ascent of a particular type of globalization. Corporations took over more power as governments deregulated and privatized. More countries fell into debt and the IMF continued to wrongly apply its restrictive macroeconomic policies combined with rapid liberalization even to some of the hitherto high-growth developing countries.

Most important, the WTO and its rules came into being, thus institutionalizing "globalization". The 1995 Marakkesh agreements setting up WTO overrode the 1992 Rio agreements. But whilst developing countries were pressured to free their markets with devastating results to small industries and farms, rich countries continued to protect their own agriculture and textiles sectors, and their firms earned higher profits through stricter patent and copyright regimes.

To redress this, Bali and Johannesburg must have a vision based on building on the good things from Rio: the environment- development link; the North-South partnership; equity between and within nations and between the present and future generations; and expanding the rights of people to fulfill their needs and to a clean, safe environment.

The following is a checklist of elements needed to make Bali and WSSD a success:

The hallmark principle of "Common but Differentiated Responsibility" should be operationalized in all areas and issues. The other hallmark, the "precautionary principle" must also be developed and widely used, as a key means to put a check on unregulated technological development (for example, genetic engineering).

A North-South compact must be formed. A clear program should be initiated on aid, debt relief, terms of trade, technology assessment and transfer, IPR regimes appropriate to development, etc. A listing of the environmental imperatives, with a priority agenda of the most critical things that need doing immediately, should similarly be done, with a clear implementation plan with target and commitments.

The North must take the lead: in accepting a plan to change its unsustainable production and consumption models, in helping the South in its transition to sustainability; and in initiating global policy and governance reforms. The South must become serious in devising the sustainable development approach by giving priority to the social and environmental agenda which until now is inadequate or missing.

The forces of unfettered globalization must be tamed by a collective effort of governments: to regulate companies through a framework convention of corporate accountability; to regulate financial markets and restrain the free flow of speculative capital; to reexamine the dinosaur-age policies of Bretton Woods institutions; to reform the WTO principles and rules so as to realistically suit the needs of communities and developing countries.

The attempts to introduce new agreements (on investment, competition, procurement, trade facilitation) into the WTO should be reversed, otherwise sustainable development will not be able to recover from the blow. Perhaps the greatest single achievement that WSSD can attain is to reverse the disastrous trends in WTO that Doha has set in motion.

We need a big shift in global governance. We need changes in the institutions that have power. We need to build quickly a global sustainable development architecture, with the three legs (social, environment, economic) all developing strongly and evenly. A strengthened CSD is one obvious answer: how to do that should be a key point of Bali and Johannesburg.

Finally the role and rights of the ordinary people, the local communities, and groups fighting for sustainable development and justice, must be recognized and expanded.

To achieve the above is a huge challenge. Yet it must be done if WSSD is to succeed. The Bali meeting so far does not give hope. A few developed countries appear intent on bringing us backwards, so that some people are worried that WSSD will become "Rio Minus Ten." There are precious few days left to reverse this attitude. Much is at stake, and the world's people are watching.