Presented at the Air & Waste Management Association�s 92^nd Annual Meeting

I would like to thank the A&WMA for the honor and opportunity to speak to you today. Your organization is a wonderful partner of the US-AEP and I am delighted to be here. My purpose in speaking to you, however, is not as the Director of US-AEP, but as a development professional that has been around for longer than I care, or can, remember.

In preparing for my talk, I kept coming back to the A&WMA's vision statement. It says: "[The A&WMA strives] to be the premier international environmental organization promoting global environmental responsibility." The statement truly impressed me when I read this for the first time. It succinctly captures the important values of quality, competitiveness, professionalism, moral obligation, and community that I believe we all share. In fact, it dovetails nicely with a principle guiding the work of the development community, from which I come. We at USAID, and similar organizations, aim to make a difference in people's lives -- especially those of the poor -- by promoting environmentally sustainable economic development.

Our missions have a lot in common, and while we are rightly proud of our successes, we have no right to be satisfied. A phenomenon is underway in the developing world that we must master: rapid, environmentally unsustainable, urban growth. This phenomenon's most ubiquitous example is the so-called "Megacity": usually defined as an urban area with a population of 10 million or more. In the cities and megacities of the developing world, children are suffering severe consequences from environmental and economic dysfunction. Every year, more than 12 million children under the age of five die in the developing world. To understand the importance of this tragedy imagine that ALL of the children living in the 31 eastern states of the United States dying in a single year. That is what it amounts to.

The risks of dying faced by children less than five in the developing world are almost twelve times those faced by children in industrial countries. Tragically, most of these deaths are from preventable causes. Fourteen percent are due to diseases for which we already have vaccines. Childhood diarrhea causes nearly a quarter of these deaths, and roughly the same portion is due to pneumonia and other respiratory infections.

Because their immature lungs more readily absorb pollutants than those of their parents, their lung deposit rate is 2.7 times higher than adults. As a result, children are especially vulnerable to the air pollution that is prevalent in the cities of developing countries. For instance, in India's cities--some of the world's most polluted--airborne particulate matter, carbon monoxide, nitrogen oxide, hydrocarbons, lead, and sulphur dioxide can be found at more than double the WHO standard. Indeed, a recent study in India showed airborne particulate matter levels 16 to 91 times that of the WHO guideline. In India, air pollution has led to a very high incidence of acute respiratory illness. In 1997, it resulted in 2.5 million premature deaths. Although the long-term effects of air pollution are still under study, the social and economic impacts are no doubt severe.

The growth of cities we know in the United States and Europe was fueled by industrialization that began in the 19th Century. The pace of urbanization we experienced was relatively manageable. At the dawn of this century, there were only 16 industrial cities with populations of one million or more. That pace has significantly accelerated: there are now 326 such cities -- two-thirds of which are in the developing world. Indeed, in 2000, the same proportion of the world's total urban population of 2.92 billion will reside in the developing world. Please consider the following:

• Total world population increased by 50% between 1975-2000 while total urban population increased by 90% during the same period.
• Between 2000-2025, total urban population will increase by 2.15 billion--equivalent to eight megacities a year for 25 years.

Most of the developed world's modern urban infrastructure (and its standards and technology) was built in response to the needs of the industrial city in the 19th Century. Times have changed. As we enter the 21st Century, we need to formulate new approaches to master the urbanization process and the very large cities that are emerging. We have no choice.

Dysfunctional cities suffer from unnecessarily rampant environmental mismanagement, disease, inequities and crime. Irregular development disproportionately contributes to environmental hazards and climate change. According to the UNCHS, there are more than 600 million people in urban areas whose lives and health are under a continuous threat.

Problems include unemployment/social unrest--in many cities of the developing world finding high rates of unemployment is common (exceeding 20%) among young people.

Another concern with these cities is inefficient, unmanaged growth. Lack of planned growth leads to high emissions of greenhouse gases, other pollutants, and high congestion costs. For example, the World Bank estimates that Bangkok loses $400 million a year in lost productivity from traffic congestion alone. Rapidly growing cities are having trouble keeping pace with urban service requirements too. According to the World Bank, 588 million urban dwellers in these countries lack adequate access to sanitation, 280 million lack potable water, and 70 percent of solid waste in these cities never gets collected.

The environmental damage caused by inadequate delivery of essential services is also of great concern in urban areas. Ninety to 95 percent of domestic sewage and 75 percent of industrial waste is discharged untreated into surface waters of the developing world. In Poland, 75 percent of its rivers are too polluted for industrial use. One-third of the rivers in the Czech Republic are considered "dead."

Along with environmental damage, severe public health problems plague many developing world's cities. For instance, the World Bank estimates that pollution induced health costs in Jakarta are about $300 million a year. In Eastern Europe and the Newly Independent States, 500 million people are at risk. Analyzed in economic terms, the OECD estimates the social cost of air pollution in developing countries to be upwards of 0.5% of GDP.

The very real challenges presented by the city and megacities of today should not detract from the significant benefits that urbanization and industrialization can offer society. Well-functioning cities embody the diversity and energy of human pursuits. They are engines of economic and social progress. The World Bank estimates that 80 percent of future economic growth will occur in towns and cities. Benefits of urbanization and industrialization include significant contribution to a country's GDP and increased employment. For instance, Bangkok represents a sixth of Thailand's population, yet contributes more than half the country's GDP.

Urbanization is also responsible for improving the standard of living for many in the developing world. Rates of urbanization strongly correlate to increases in per capita income and improved access to essential services and amenities. Urban dwellers have higher incomes, and live healthier, easier lives than their rural counterparts. Urbanization also generally results in more educational opportunities. Results also include improvements in the status of women, an increase in family planning, increased life expectancy, and lower infant mortality.

The end game we seek is how to optimize the benefits of urbanization and industrialization and reduce the obvious costs--unintended environmental perils and social ills.

Our lofty missions suggest that we should care. Yet besides our moral obligation, there are plenty of other compelling reasons to take action. Our security, environmental well-being, and economic interests would also be well served.

According to U.S. News and World Report, 'Growing populations, widening gaps between the rich and poor, continuing revolutions in communications will incite new ethnic and civil conflicts - and could demand U.S. military intervention with increasing frequency."

The economies of the U.S. and developing world are increasingly interconnected. We now depend upon the developing world for low cost production and services. Unfortunately, environmental degradation is common as these countries lack effective environmental management. We ignore these problems at our own peril. A few years ago, untreated sewage flowing into the Bay of Bengal off Bangladesh made its way into the bilge tanks of a freighter headed for South America. A new strain of cholera then emerged in the coastal waters off Lima, Peru and 320,000 people were affected.

Finally, developing countries represent a large, new market for environmental services and technology estimated at $500 billion. As we approach the year 2000, four out of five of the world's inhabitants are living in developing countries. More than one-half of these live in urban places where the vast majority of trade and investment will occur. U.S. exports to the developing world have doubled over the past decade. Our exports are now the fastest-growing part of the economy and 12 million jobs now depend on our success in doing business overseas.

Developing countries realize that western models for urban infrastructure provision need to be rethought. There is a need for new approaches and technology. They are beginning to recognize that western-style industrialization, because of its heavy use of raw materials and energy, is a highly toxic and costly model. When cities are expanded and new plants are built, city and industrial developers and managers have the option of focusing on new design, technology, and production efficiencies. There is an opportunity to base future urbanization and industrialization on a clean foundation. Modernizing countries can apply technologies already proven in the industrialized countries including pollution control and remediation. Yet they can also transform basic urbanization and industrial processes --building in efficiency and soundness from the start.

Leadership makes a difference. Each of us has witnessed an instance of outstanding leadership. While the Robert Moses (New York), and Jaime Lerners (Curitiba) have their critics, no one questions the impact that they as individuals have had. Unfortunately, enlightened leadership often goes unnoticed. There are many mayors, like the former Mayor of Biratnagar, Nepal, that have tackled corruption in their cities and reinvested the proceeds in programs like school and clinic construction, vaccinations, and adult education. We need to seek out, foster, and sustain leadership such as this.

Changing attitudes and behavior on a grand scale is possible. Who would have believed that we could have changed our society's perception of 'smoking' in a single generation and translated that into enforceable action? There was a time, not too long ago, when every table of every restaurant in every city had an ashtray. Most homes in America had half a dozen ashtrays strewn about. Today finding an ashtray in a restaurant is about as hard as it is to find good service.

Environmental remediation? We have been there, and we have done that. Through the efforts of environmental professionals, such as yourselves, we have made tremendous progress in combating the negative effects of our own country's industrialization and urbanization. We improved our environment beyond what many thought was possible by transforming our image of what was acceptable. By applying the best known practices to improve the environment, and by setting goals beyond the then attainable limits of technology, we produced enviable results.

In one generation, we cleaned up the Potomac, formerly one of America's most endangered rivers.

In two generations, we cleaned up Pittsburgh and most of America. In 1933, at noon, cars uneasily plied the streets of Pittsburgh with their lights on. Today, with help from environmental professionals, Pittsburgh is considered one of America's most livable cities.

In two more generations, or less, if we apply ourselves, we can clean up the world.

The goal for both development and environmental professionals vis a vis the challenges of the developing world are the same--to foster environmentally sustainable development. Still, each group has a different role to play in this transformation. For the U.S. development community, we need to link effective urban management to the development challenges of the 21^st Century. We also aim to transform the urban environment by helping to change the way that cities do business -- especially with industry and commerce, urban stakeholders, and the environment. Transforming the urban environment cannot be accomplished without upholding the principles of good governance, accountability, and transparency.

Addressing the challenges of our developing cities also requires that we rationalize the roles of the public and private sector, and those of central, state, and local government. Smart industrialization and urbanization require an enabling policy, and an adequate legal, regulatory, and a fiscal framework for urban environmental development that is good for business, yet, environmentally friendly.

Finally, we aim to provide opportunities for exchanges and interaction between US businesses and prospective clients overseas.

The environmental professional also has a critical role in harmonizing smart industrialization with environmental concerns. We ask that U.S. environmental professionals replicate U.S. successes overseas. While cleaning up the Potomac and Pittsburgh, you also got the harmful lead out of our nation's gasoline. You did that quickly, efficiently, and economically. Let us replicate that success story overseas where they desperately need it.

Another way you can help is by getting engaged. Select a topic, find a partner, be a champion --- get the lead out --- please.

Partnerships are excellent tools we can use. The US-AEP and A&WMA partnership has been a great success. We hope that you will continue to participate in A&WMA partnerships and networking opportunities. Conferences such as this week's event, are excellent forums for sharing best practices, new ideas, and new technologies.

I would like to conclude by thanking Mike Roy for his vision and the work he and his staff has put into the international urban air forum. I would also like to mention the 100 delegates from Asia attending this forum, sponsored by US-AEP through a cooperative agreement with the National Association of State Development Agencies and another 10 through the Institute for International Education --here is an example of an excellent networking opportunity!

We have in this room a wealth of expertise that can play a key role in shaping the sustainable cities of our children's dreams. I hope that the new relationships you form here, the knowledge you gain from this event, and the technologies you see in the exposition area, will all serve, in a meaningful way, toward that end.