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United States - Asia Environmental Partnership
Work Plan 2001 - Vietnam

EXECUTIVE SUMMARY

When US-AEP launched operations in Vietnam a year and half ago, we defined our overall goal to become a valued partner of Vietnam to help it manage the environmental challenges inherent in increased urban and industrial growth.  Substantial progress has been made.  We have staffed an office of committed professionals and launched a program sensitive to both Vietnamese requirements and the United States' broader objective of increased economic engagement.  Highlights of that engagement include:

                Successful trade and partnership-building missions to the states of New England, the Air and Waste Management Association and the Water Environment Federation.

                A working relationship between the National Environmental Agency and the U.S. Environmental Protection Agency to partner in the restructuring of the National  environmental law.

 

                A commitment to phase out unleaded gas and a partnership with both the World Bank and the Government of Vietnam to partner in the phase out program.

 

                The initial steps in launching resource cities partnerships between Vietnamese and American municipalities which will inform both practices and the program of multilateral donors.

 

                A successful CSG grant that presented environmental technologies of North Carolina and which resulted in a number of potential trade leads.

 

In only short time the sum of these and other activities is a set of relationships and intiatives with environmental agencies, governments and the private sector comparable to US-AEP's program in other countries.

 US-AEP's 2000-2003 workplan objective (attached) builds and expands on those initiatives.  We will present both U.S. private investment and public engagement in Vietnam as a creative long-term relationship with benefits for both Vietnam and the United States.  We will engage Vietnam on selected development issues of environmental and urban management.  We will support U.S. trade and investment opportunities during Vietnam's transition to a market-driven, industrial economy.  In doing all this, we will work closely with the country team, the government, other donors, and the U.S. private sector. Broadly, we see engagement in four specific areas:

 Urban Engagement:  Vietnam faces the same problem as other countries in Asia -- a huge demand for urban services but limited regulatory and oversight capacity.  US-AEP will array its urban engagement with other donors such as the World Bank and broker a partnership between the cities of Seattle and Hai Phong. Additionally, a second city relationship is planned for development along the same lines.  US-AEP has also been working with the government and the World Bank on a national program to phase out leaded gasoline. Additionally, we plan to collaborate with the Asian Development Bank on the selected urban projects.

Engagement on Key Issues Related to the Overall Regulatory Framework:  US-AEP has already brokered a collaborative and deepening relationship between the Vietnamese National Environmental Agency and the U.S. Environmental Protection Agency.  Under that, EPA will continue to help revamp the national environmental law.  In Ho Chi Minh City, US-EPA and the California Air Resources Board will deepen the capacity to monitor and manage air quality issues.  We expect both activities will be a multi-year effort.  Our long term goal to develop the U.S. Environmental Protection Agency as one of the National Environmental Agency's chief international partners for accessing international best practices and testing innovative policy initiatives.  Additionally, we plan to expand and integrate these efforts into our regional-wide Regulatory Dialogue.

Trade & Investment:  A large percentage of our program will concentrate on commercial and investment opportunities arrayed around the Foreign Commercial Office's marketing plan and strategic objectives.  The tech rep office in Vietnam will replicate the most successful commercial efforts of US-AEP in other countries in twinning professionals with their U.S. counterparts and stimulating interest in American environmental technology while working closely with the Trade Development Agency, the Asian Development Bank and others.  Additionally, while the other elements of the US-AEP program are selected on their own merits, many offer substantial trade and investment potential, and these will be pursued as well.

 Special Opportunities:  There are some specific opportunities unique to Vietnam.  We will build on the work with the Ho Chi Minh DOSTE on their effort to reach out and promoted clean production practices to the substantial foreign investment and private companies in the area.  We also will look at cooperation with the other USAID assistance, particularly on competitiveness issues and trade policy in the context of ASEAN. Finally, while foreign investment by US companies is substantial, even more so is the investment of countries such as Korea, Singapore and Taiwan.  Throughout the year, we will explore the potential for collaborative work with those economies.


UNITED STATES-ASIA ENVIRONMENTAL PARTNERSHIP

Program Approach  

The United States-Asia Environmental Partnership (US-AEP) is a public-private inter-agency partnership of the U.S. Agency for International Development (USAID) with the U.S. Department of Commerce, the U.S. Environmental Protection Agency, other U.S. government and state agencies, and the private sector.  Created in 1992 by a presidential initiative, US-AEP promotes the adoption of clean, efficient technologies, policies and practices by Asian industries, cities and governing entities.  The context of US-AEP's engagement is economic as well as environmental, harnessing the broad-based desire in Asia for accelerated but cleaner economic growth to drive a "clean revolution" of sustainable development.  US-AEP's approach is to pursue sustainable change in the way Asia proceeds with the industrial and urban growth needed to address poverty through a development assistance approach founded on two basic premises:

 

1.               To form a nexus between sustainable development and trade, particularly with the United States, to the mutual benefit of each; and

 

2.               To create and promote lasting partnerships, locally, regionally and internationally, that will carry on beyond the reach and longevity of development agencies.

 

US-AEP's approach to fostering a transformation to clean growth is to engage key decision makers in the public and private sectors, and harness those forces which serve as incentives for change:  market, political, corporate, regulatory, and public advocacy.  Ultimately, the future of the environment in Asia will be determined by these key Asian decision-makers, including individuals, institutions, and the general public.

US-AEP targets four main areas related to the interdependent goals of environmental quality and economic growth:

                Public policy and environmental regulation;

                Urban environmental management;

                Corporate governance and environmental management; and

                The transfer of U.S. environmental technology, expertise and practices through trade and investment.

 

Woven through these four areas is an emphasis on energy and resource efficiency and other measures that reduce greenhouse gas emissions and thereby mitigate the impact of developing Asia on global climate change.

 In order to leverage resources from outside the U.S. government and to create self-sustaining partnerships that will outlive development assistance, US-AEP enlists the expertise and commitment of U.S. and Asian stakeholders:  professional associations, large multinational corporations, small-to medium- sized U.S. private sector firms, U.S. states, and  Asian and American municipalities and non-governmental organizations.  Through the partnership of USAID and U.S. Department of Commerce, Asia's environmental quality and economic growth are mutually advanced by connecting Asia's decision-makers with the best in American environmental technology and expertise.

US-AEP's engagement with a wide variety of partners serves another key component of the US-AEP vision:  supporting U.S. foreign policy interests and fostering improved international relations in many sectors of American society.  By facilitating the active participation of the business community and public sector at state and municipal levels, US-AEP makes development assistance relevant to Americans not normally directly concerned with international relations.

 

US-AEP STRATEGY FOR VIETNAM  2000-2003

US-AEP's objectives in Vietnam are three-fold.  First, to help present both U.S. private investment and public engagement in Vietnam as a creative long-term relationship with benefits for both Vietnam and the United States.  Second, to do that by engaging Vietnam on selected development issues supporting creative overall environmental and urban management.   Third, to support U.S. trade and investment opportunities which will arise during Vietnam's transition to a market-driven, industrial economy.

Background:

The movement to a market driven economy in Vietnam is still in progress.  Per capita income is low at $375 and GDP growth after a number of years of high growth is now in the 5% range.  Nevertheless, Vietnam's economic development continues to shift away from agriculture to industry.  This trend present US-AEP with both special challenges and unique opportunities to deepen both commercial and development engagement.

For Vietnam's short-term economic prospects, developmentalists in Vietnam share a broad policy consensus, but opinions vary on the country's ability to unwind the entitlements, bureaucratic caution and non-transparency issues that are part of the current setting.  Last year, for example, calculating in amortization costs, Vietnam had a net zero disbursement of foreign assistance, despite its status as one of the largest aid recipients in Asia.  (A substantial portion of those aid flows is going to environmental urban infrastructure.)  A national party congress is scheduled for 2001, and many of these issues will be debated.

Over the longer term, however, there is a consensus by the donors that Vietnam's growth and reform will be driven by two undeniable realities: macroeconomic trends and the aspirations of the younger generation.  The first reality are the broad macroeconomic trends that govern future development.  Vietnam will need to liberalize its foreign investment regime if it is to accelerate exports, earn foreign exchange to finance its development and maintain a rate of job creation that matches new entries into the labor market.   Secondly, the present generation is less tied to historical experience; over 50% of the current population were born after 1975.  Rather than benchmarking economic success against Vietnam's historical growth rates, they are more inclined to compare performance to that of their dynamic neighbors of ASEAN and East Asia.  Vietnam, for example, would have to sustain an 8% per year growth rate continuously for the next 25 years to reach Thailand's 1995 GDP.  

International aid representatives share a consensus on the core policy prescriptions but differ over prospects for the short term and the approach to take to promote reform.   Additionally, the reform message that the government has been projecting is sometimes ambiguous.  

 Despite all that, however, there is a reform agenda; the government has signed on, and the donors and the IMF have arrayed their assistance to work with Vietnam to implement it. .  Central to reform are the interrelated issues of financial sector reform and reducing the role of state owned enterprises (SOEs).  SOEs currently command about 60% of available capital and their sluggish performance poses a tremendous drag on economic growth and government revenues.  Nearly one half of SOEs will have to be equitized and around 7 billion dollars of loans will eventually have to be written off largely because of the under-performance of state owned enterprises.

STRATEGY:

Given the unique circumstances of Vietnam, our strategic focus will be directed to those areas which offer the most opportunity for progress and mutual collaboration.  Activities will center on looking for creative solutions to environmental problems in a way that tries to introduce new approaches into the thinking of environmental stakeholders.   We also plan to work in cooperation with the government, other donors, and the U.S. private sector.  The UN, ADB, WB, Canadians, Japan as well as the Nordic countries all have substantial aid programs and in-country experience in dealing with industrial and urban issues.   Our tech rep office will offer a mix of assistance comparable to that of other longer established AEP officers with engagement in four specific areas:

                Improved Public Policy and Environmental Regulation

                Improved Urban Management

                Increased Trade and Investment

                Special Opportunities

 Improved Public Policy and Environmental Regulations:

 In the year since it is inception, the US-AEP program in Vietnam has engaged a broad base of key actors in Vietnam. In particular, US-AEP has already brokered a collaborative and deepening relationship with the Vietnamese National Environmental Agency and the U.S. Environmental Protection Agency. EPA is helping to revamp the national environmental law. In Ho Chi Minh City, US-EPA and the California Air Resources Board are monitoring and managing air quality issued in that city. We expect that each of these activities, together with the underlying challenge of capacity building, will be a multi-year effort. We would like to develop the U.S. Environmental Protection Agency as one of the National Environmental Agency�s chief international partners on matters of environmental policy, accessing international best practices and testing innovative policy initiatives.

 Improved Urban Engagement:

 While Vietnam is unique in many respects, in the urban area, it faces exactly the same set of problems as other countries in Asia. Waste management, the demand for water and wastewater treatment are all straining Vietnamese municipalities.  This rapid industrialization is straining the country's ability to both craft and implement the correct urban and industrial policies as well as expand the environmental oversight that is also needed.  These challenges are compounded by an undeveloped financial system and capital market.  Furthermore, even the best strategies and programs of reform are constrained by Vietnam's shortfall in trained expertise and unfamiliarity with the best practices of OECD countries and Vietnam's neighbors.  

Given this situation, US-AEP will array its urban engagement closely around the activities -- the Asian Development Bank and the World Bank.   As one example, US-AEP is brokering a partnership between the cities of Seattle and Hai Phong in close collaboration with the World Bank.  The Bank has at least three major urban related projects coming on-stream which should be influenced by the work that comes out of that partnership.    Additionally, a second city relationship is under consideration which could be developed along the same lines.  In a related area, US-AEP has also been working with the government and the World Bank on a national program to phase out leaded gasoline and have used their Asian network to show Vietnamese officials Thailand's phase-out experience.  We expect that dialogue and collaboration to continue.  Finally, we plan to collaborate with the Asian Development Bank on the urban and water projects that are coming on stream.

Increased Trade and Investment

One of the largest components of our program and budget will be on the commercial and investment opportunities on those areas of interest to the U.S. Foreign Commercial-Vietnam. We will promote increased technology transfer arrayed around the Foreign Commercial Officer�s marketing plan and strategic objectives. Specific activities supporting will include delegations to attend WEFTEC, WasteExpo, A&WMA, three trade shows as well as NASDA exchanges. The tech rep office in Vietnam will seek to replicate the most successful commercial efforts of US-AEP in other countries in twinning professionals with their U.S. counterparts and stimulating interest in American environmental technology while working closely with the Trade Development Agency, the Export-Import Bank, and OPIC.

 Additional, in the development activities noted earlier, the goal of the US-AEP program will be to work on the environmental problem cited but also be conscious of the inherent investment opportunities. For example, the work with the World Bank on urban partnerships offers substantial commercial opportunity and have strong implications for U.S. engineering contracts and sales of equipment and services. While the other elements of the US-AEP program are selected on their own merits, nearly all of them offer substantial trade and investment potential. In opportunities, and program our exchange resources accordingly.  

Special Opportunities

 There are some specific opportunities which are special to Vietnam.  First, Vietnam has reached its current level of development by drawing on significant foreign investment mostly around the production of consumer non-durables and electronics industries in the Ho Chi Minh City/Dong Ngai Province area.  The area accounts for some 70% of all of Vietnam's manufacturing exports and seems the ripest for limited but potentially replicable clean technology efforts.  It encompasses the majority of privately owned firms and is covered by a regional environmental office (DOSTE) that is proactive and willing to experiment with innovative approaches.  Just one example, the regional office has an outreach program to the many small factories in the area.  We plan to show the experience in the Philippines where an association of pollution officers appears to be a program that could be applied to Vietnam with some modification.

 Second, more broadly, USAID is expanding its presence and intensifying work on financial sector reform building out from its existing relationship with the U.S.-Vietnam Trade Council.   Vietnam will have to do substantial work on issues related to more deeply harmonizing their trading regime with ASEAN, their commitment to join the Asian Free Trade Association (AFTA) as part of their APEC membership and their plans to join the World Trade Organization. For the Vietnamese economy to become more competitive there will need to be changes in macro economic policy, national investment choices, human resource development and economic management. Subject to additional discussions between the Secretariat in Washington and other USAID offices, we plan to cooperate with the broader USAID effort as they work on the issue of competitiveness.  

Finally, while foreign investment by US companies is substantial, even more so is the investment of countries such as Korea, Singapore and Taiwan.   Throughout the year, we will explore the potential for collaborative work with those economies, ourselves and Vietnam.

I.   Activities Description

1.      Improved Public Policy and Environmental Regulations

US-AEP has already brokered a collaborative and deepening relationship between the Vietnamese National Environmental Agency and the U.S. Environmental Protection Agency.  Under that, EPA will continue to help revamp the national environmental law. In Ho Chi Minh City, US EPA and the California Air Resources Board will deepen the capacity to monitor and manage air quality issues.  We expect both activities will be a multi-year effort.  Our long term goal is to develop the U.S. Environmental Protection Agency as one of the National Environmental Agency's chief international partners for accessing international best practices and testing innovative policy initiatives.  Additionally, we plan to expand these efforts into our regional-wide Regulatory Dialogue. Regulatory development, for example, is relatively more advanced in Thailand. We anticipate exchanges to Thailand funded from regulatory  resources to complement and be part of EPA�s work in Vietnam. In essence we will have one �policy conservation� with key roles for EPA, the regulatory dialogue staff, and potential partnership with the World Bank.

US-AEP Activity Description

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Country:              VIETNAM

Activity Name:    LEGAL PROJECT INCLUDING PILOT PROJECTS AND

INTERNET TRAINING

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Description of Activity:  EPA will conduct a planned three year cooperative program to enhance the institutional capacity of counterpart environmental regulatory authorities to implement environmental laws and protect public health and the environment in Vietnam.

 Since the passage of the Environmental Protection Law in 1993, Vietnam has experienced significant industrialization that has adversely affected the environment and the public's health.  Senior Vietnamese officials from several organizations including MOSTE, the National Environmental Agency, and the National Assembly are now planning to revise and upgrade the Law to promote greater environmental protection.  By studying environmental laws and environmental management structures from the US as well as other countries, environmental and legal Vietnamese officials will determine the legal processes and environmental management strategies appropriate to ensure the Law is effectively implemented.  By 2003, NEA plans to submit a revised law to the Prime Minister and National Assembly for approval.

1.                  EPA will develop a framework for restructuring the 1993 Vietnam Law on Environmental Protection, draft potential new Articles and in collaboration with NEA, support 1 or 2 "pilot projects" to test the law revision process in a specific program.  NEA, for their part, will provide a list of necessary new Articles (e.g., permitting and licensing, toxic substances, eco-tourism) and draft implementing regulations and guidance for existing Articles.

2.                  In November 2000, EPA in collaboration with US-AEP, will work with NEA and other key Vietnamese groups to conduct a workshop to discuss the proposed framework for the Law restructuring, initial drafts of new Law Articles, approaches to environmental management and planning and design the scope and time line for "pilot projects."

3.                  In 2001, EPA will implement "pilot projects."  Based on the results of the first workshop, EPA will revise existing Articles, if appropriate, draft new articles, as necessary, and conduct additional workshops.

4.                  To support the legal project, EPA will work with NEA, MOSTE and DOSTE Information Technology experts to conduct Internet training.

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Expected Results:  Upgrade the 1993 Environmental Protection Law of Vietnam.  Design 1-2 pilot program that will help key environmental and legal Vietnamese officials design and gain hands-on experience implementing a program to test the law revision process and conduct Internet training that will support the legal project.

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Relationship to US-AEP Country Strategy: This effort directly addresses the US-AEP strategy of developing the U.S. Environmental Protection Agency as one of the National Environmental Agency's chief international partners on matters of environmental policy, accessing international best practices and testing innovative policy initiatives.

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Asian and Regional Partners:  MOSTE, National Environmental Agency, National Assembly, regional MOSTE offices

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Anticipated Cost Share:  NEA and MOSTE will be expected to arrange the logistics for the workshop scheduled for this fall and organize the pilot project implementation.

We anticipate one EEP study tour to the US in FY 2001 consisting of 3 senior officials including officials such as Mr. Vice Minister Mr. Pham Khoi Nguyen of MOSTE, Dr. Nguyen Ngoc Sinh, Director General, NEA and Dr. Nguyen Dac Hy, Director of Policy Division, NEA. Funding for this will come from regulatory funds and be done in coordination with US-AEP regulatory staff and USEPA.

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Milestone Dates: 

August: 2000: Establish working group

September 2000: Submit a proposed framework for Law restructuring.

October 2000: EPA will submit initial drafts of new Law Articles.

November/December 2000: NEA and EPA will jointly conduct the workshop.  NEA and EPA will define scope and timeline for "pilot projects." (Schedules for the remainder of the effort will be done in December 2000)

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Lead Responsibility for US-AEP:  Harley Laing/Sarita Hoyt of US EPA with support of the country coordinator and the tech rep office of US-AEP

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Primary Intermediate Result:  Regulatory/Policy Program Advisory Group

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 US-AEP Activity Description

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Country:                    Regional (Vietnam-based)

Activity Name:          Environmental Regulatory Dialogue

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Description of Activity:  US-AEP is working regionally to expand dialogue between environmental regulatory officials, private sector leaders, and other experts from Asian and industrialized countries.  The principal objectives are to: (1) create a network committed to strengthening Asian environmental regulatory systems; and (2) improve understanding of regulatory challenges and develop innovative solutions.  A first in-country activity is being launched in Thailand with the Thai Environmental Law and Policy Forum.

 Given the regional ambitions of this initiative, Vietnam seems appropriate for the next tier of country activity for a number of reasons.  First, Vietnam in is the process of revising its basic environmental legislation, indicating that there is real interest in looking at the overall regulatory framework.  Second, US-EPA has managed to begin specific policy dialogue-related initiative, indicating that there is interest in outside collaboration.  Third, through its initiative on unleaded gasoline phase-out in Vietnam, US-AEP in Vietnam worked closely with US-AEP in Thailand to nurture a working relationship between the Pollution Control Department of MOSTE/Thailand and the National Environmental Agency of MOSTE Vietnam.  The potential to expand that relationship is real and should be aggressively explored.

There is more limited public discussion on policy issues in Vietnam than there is in Thailand.  But given the above factors, an effort to develop a dialogue in Vietnam seems compelling.  The first phase of development would consist of an assessment visit of Violette and Zvinakis, hopefully joined by Sarita Hoyt of EPA, which will determine the prospects for developing a consensus on policies for strengthening regulatory program areas.  Additionally, it will identify a policy group in Vietnam to work with.  There are a number of them, each with different strengths that should be assessed.

Subject to positive indications, a three-day event will be held in Hanoi in May of 2001.  US-AEP will: (1) participate in preliminary working groups meetings to help identify and prioritize regulatory issues for the three-day workshop event; (2) provide information and contacts related to policy options, strategies, and lessons learned; and (3) fund travel and expenses of selected experts from the regional budget.  As part of regional activities, US-AEP will continue to work with international donors such as the World Bank with which we already have an active partnership in Vietnam and with the ADB who have just completed a clean production action plan for Vietnam.

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Expected Results:  Environmental laws and policies strengthened; networks expanded

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Relationship to US-AEP Country Strategy:  Supports overall regional objective to expand US-AEP's regulatory dialogue, and complements USEPA bilateral capacity building activity in Vietnam.

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Asian and Regional Partners:  National Environmental Agency of the Ministry of Science, Technology and the Environment and a policy institute in Vietnam to be determined.

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Anticipated Cost Share:  It is anticipated that NEA will arrange the working group meeting and participation of Vietnamese participants.  The World Bank will provide experts to support forum activities, most notably working group meetings in advance of the workshop.  Other U.S. groups such as ABA may send experts to the workshop.

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Milestone Dates:

Assessment Visit of Violette and Zvinakis September 2000

Three-day Workshop: Spring/Summer 2000

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Lead Responsibility for US-AEP:  Paul Violette of PADCO/Hagler Bailly and Dennis Zvinakis, country coordinator with support for the US-AEP tech rep office and the U.S. EPA.

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Primary Intermediate Result: 1 - Improved public policy

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2.      Urban Environmental Management

Vietnam faces the same problem as other countries in Asia -- a huge demand for urban services but limited regulatory and oversight capacity.  US-AEP will array its urban engagement with other donors such as the World Bank and broker a partnership between the cities of Seattle and Haiphong.  Additionally, a second city relationship is under consideration, which could be developed along the same lines.  US-AEP has also been working with the government and the World Bank on a national program to phase out leaded gasoline.  Additionally, we plan to collaborate with the Asian Development Bank on the selected urban projects.

US-AEP Activity Description

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Country:                      VIET NAM

Activity Name:                        AIR QUALITY INITIATIVE IN HCMC

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Description of Activity:  Effective air quality monitoring is a essential for environmental improvement, and a number of other donors have been addressing this issue.  The Department of Science, Technology and Environment (DOSTE) in Ho Chi Minh City (HCMC) and the Center for Analysis, Standards and Experiment (CASE) are receiving financial assistance and general technical training from the United Nations Development Program (UNDP) and the Danish Aid Agency (DANIDA) to initiate an air monitoring program.  HCMC DOSTE has selected CASE as the laboratory to analyze the air samples.  The HCMC DOSTE air monitoring program will occur in two phases -- initial installation and system expansion.

Currently, UNDP and DANIDA have installed four air monitoring stations using US equipment for HCMC DOSTE.  In addition, a private Vietnamese contractor has been hired to service the equipment.  During the second phase, the Asian Development Bank (ADB) and NORAD, the Norwegian Aid Agency, are planning to expand the air monitoring network by around five more stations.

 Building upon the UNDP and DANIDA funded project, California Air Resources Board, the Sacramento Air Quality Management District and EPA will work closely with the HCMC DOSTE and CASE officials to provide the following targeted technical expertise:

 

1.              Developing Standard Operating Procedures:  Share guidelines and conduct training of Standard Operating Procedures (SOP) methodology for field as well as laboratory operations to help CASE and DOSTE officials interpret the air data to better understand the state and quality of ambient air in HCMC.  Help officials to apply sampling methodology for the passive samplers in a correct and technical manner.

2.              Build Quality Assurance into overall management:  Establish precise and accurate information for Particulate Matter 10 by installing co-located samplers at one of the existing sites.  In addition, a parallel study should be performed using a Size Selective Inlet (SSI) to determine the PM sampler correlation to a reference sampler.  There are at least two US vendors who distribute this type of equipment.  This would support Vietnam's commitment to lead phase out by providing HCMC DOSTE with ambient lead concentrations from the analysis of the SSI filters.

 

3.              Equipment and Service Audit:  Conduct a third party performance audit of the air monitoring equipment as well as of the company providing the services.

4.              Air Quality Index and Data Analysis:  California Air Resources Board expert would assist CASE and DOSTE officials to analyze air data while Sacramento Air Quality Management District officials would work closely with DOSTE officials to identify ways to share the data with the public and begin to develop an air quality index.

 The project will be done closely in parallel with the PA legal project to upgrade the 1993 Viet Nam Environmental Protection Law.

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Expected Results:  An increased capacity of key Vietnamese entities, notably CASE laboratory and government DOSTE officials in HCMC to manage an air quality measuring system over a large urban area that meets international environmental standards.

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Relationship to US-AEP Country Strategy:  Addresses US-AEP goals of reducing urban air pollution and promoting institutional capacity building. Develops sustainable relationships with US environmental agencies.

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Asian and Regional Partners:  National Environmental Agency, Ministry of Science Technology and the Environment, Ho Chi Minh DOSTE, Center for Analysis, Standards and Experiment (CASE)

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Anticipated Cost Share:  HCMC DOSTE, MOSTE and CASE will provide in-kind support to help to organize the training.

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Milestone Dates:

Fall 2000 - Purchase and Ship equipment to HCMC; Organize a SOP and data analysis training for CASE and HCMC DOSTE officials

Spring 2000 - Conduct Additional Training and third party audit

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Lead Responsibility for US-AEP:  Hieu Le/ Sarita Hoyt of the U.S. Environment Protection Agency with support of the US-AEP tech rep office and the country coordinator.

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Primary Intermediate Result:  Urban - Address urban air pollution.

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US-AEP Activity Description

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Country:                      VIETNAM

Activity Name:            LEAD PHASE-OUT -- PUBLIC OUTREACH

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Description of Activity:  Vietnam has committed itself to phasing out leaded gasoline by June 2000.  In part, this resulted for the international workshop to phase lead out of gasoline in Vietnam sponsored by the Vietnamese Ministry of Transport, the World Bank, the US-AEP and others in December 1999.  The next steps include the establishment of a Lead Phase Out Committee chaired by the Ministry of Transport and address technical and financial issues related to lead phase out.

 As part of that effort, various international agencies have assumed specific supportive tasks. US-AEP's contribution will be to support the U.S. EPA to work on the public education dimension of the program.  EPA will work closely with USIS and with the Ministry of Transport, the Vietnam Vehicle Register, Ministry of Information, Viet Nam Television, MOSTE, Ministry of Industry, Viet Nam Petrol, Petrolimex, Ministry of Trade, Ministry of Customs and other key partners to help implement a national public outreach campaign targeting targeted audiences including drivers and school children.  The focus of the program will be to increase the awareness and understanding of the health effects of lead in gasoline; educating the public about the different issues associated with lead; and implementing public outreach campaigns based on EPA's Communications for Environmental Results training and other strategies by enlisting key stakeholders from government and the public to improve air quality in Viet Nam.

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Expected Results:  The full phase out of unleaded gasoline in Vietnam and as a result a significant improvement of air quality throughout the country.

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Relationship to US-AEP Country Strategy:  The effort is directly related to US-AEP's strategy of addressing key environmental issues by developing linkages with U.S. centers of comparable expertise, in this case the U.S. Environmental Protection Agency.

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Asian and Regional Partners:  World Bank, CIDA, UNDP, Ministry of Transport, National Environmental Agency, Ministry of Science Technology and the Environment, Ministry of Information, Viet Nam Television, Petrolimex, Viet Nam Petrol

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Anticipated Cost Share:  Vietnamese Lead Phase Out Steering Committee will provide in-kind support while Vietnamese state media will contribute air time for the presentations.

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Milestone Dates:

Fall 2000 - Organize workshop to design national public outreach campaign.

Spring 2001 - Follow-up with key stakeholders about impact of campaign.

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Lead Responsibility for US-AEP:  Sarita Hoyt EPA/ Tech Rep office Hanoi, with support from the country coordinator.

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Primary Intermediate Result:  Urban - Eliminate the use of leaded gasoline.

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 US-AEP Activity Description

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Country:                      Vietnam

Activity Name:                        URBAN MANAGEMENT AND FINANCE -- Haiphong,

Vietnam & Second Resource City

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Description of Activity:  The objective of the Urban Management and Finance Activity is to develop sustainable relationships between cities in Vietnam and centers of urban excellence in the United States.  The immediate objective is to develop a master plan for the city of Haiphong, Vietnam.  The process of developing and implementing the Master Plan would incorporate distinct components:

The first phase entails the inclusion of Haiphong in the Resource Cities Program of ICMA.  ICMA is an international partnership program where skills and successes of U.S. cities are shared with cities in developing and transitional countries.  In Vietnam, the city of Haiphong, would be paired with Seattle, Washington with the support of a local NGO ( COFTIBD already selected).  The initial "diagnostic" phase of the partnership will be completed October 15.  Afterwards, the longer term nature of technical support will be determined.  A Seattle City Planner, Henry Sharpe, will coordinate this activity with Haiphong, Seattle and ICMA.  In addition, a Vietnamese Planner will be hired to assist Mr. Sharpe in the field.  The second phase of specific assistance will begin in October of 2000 and continue through May 2002.

Assuming progress in Hai Phong, we will formally begin the Resource Cities Activity for Haiphong and initiate the selection process for a second city.  A symposium will be held at the end of the Seattle/Haiphong partnership for local and national government officials of Vietnam that are interested in learning about new practices initiated as a result of the partnership.

The third phase will focus on Vietnam's move toward a more decentralized governing structure and the importance in building a support network for local government officials.  Non-governmental organizations (NGOs) support can take many forms, however, for Vietnam we will assess the viability of a Municipal Support Center. Functionally, the Center could:

 

                provide a networking system for local government units within Vietnam and with the Pan-Asia region

 

                coordinate all activities related to Resource City partnerships in Vietnam

 

                become a repository for information collected about new, innovative practices being tested under the nascent decentralized structure of government

                be converted into a Professional Municipal Association, as political climate allows

 

                facilitate the delivery of training, workshops and the fielding of technical experts to member local government units

 

The development of Municipal Support Center, the partnership with NGOs, and the consequential community-based organizations affiliations that will occur, are critical as a resource base to promote new practices and address future challenges that the government may not be in the position to support.

The fourth phase will target technical assistance for local governments interested in an initiative on more efficient service delivery that effectively addresses environmental issues.  This technical assistance will be in conjunction with the activities of the Resource Cities Program and the Municipal Support Center.  It will be incumbent of the local officials to write a report documenting the results of the assistance.  The reports would become the property of the Municipal Support Center.

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Expected Results:

 

1.              For Haiphong, a Master Plan focused on improved urban environmental management as a result of best practices sharing between U.S. cities and Asian counterpart.

 

2.              Identification and agreement between Haiphong and Seattle on follow-up areas for technical cooperation.

 

3.              Establish a NGO as effective organization for building urban networks within Vietnam.

 

4.              Identification of a second Resource Cities Partnership.

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Relationship to US-AEP Country Strategy:  Supports USAEP Vietnam strategy of improving urban environmental management by strengthening the capacity of local government units (LGUs) to address the impact of urbanization on the environment through partnerships with U.S. urban management models.

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Asian and Regional Partners:  COFTIBD (Consultancy Foundation for Training, Investment, and Business Development), World Bank, Hai Phong Peoples Committee, RUDO (Jakarta office), ICMA

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Anticipated Cost Share:   1 to 1 - include Global/Environment Contributions; in-kind contributions from the city government of Hai Phong.

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Milestone Dates:

July 30, 2000 - Arrival of Seattle City Planner, Henry Sharpe

October 2000 - MOU among Haiphong, Seattle and ICMA

October 2000 - Begin selection process for second Resource City

November 2000 - Final Report from Henry Sharpe

November 2000 - Design of schedule for the remainder of the activity.

November-July 2000 - Exchanges between the Seattle and Hai Phong.

September 2001 - Carry out a workshop.

December 2001 - Complete the program

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Lead Responsibility:  Richard Sheppard, Deputy Executive Director and Jeremy Hagger with support of country coordinator, and the US-AEP tech rep office in country. During the year responsibility for activity management will be transferred to the Hanoi US-AEP office.

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Primary Intermediate Result:  1.2 Improved urban environmental management

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3.      Transfer of US Technology and Practice Through Trade & Investment

 A large percentage of our program will concentrate on commercial and investment opportunities transfer arrayed around the Foreign Commercial Office's marketing plan and strategic objectives.  The tech rep office in Vietnam will replicate the most successful commercial efforts of US-AEP in other countries in twinning professionals with their U.S. counterparts and stimulating interest in American environmental technology while working closely with the Trade Development Agency, ADB and others. NASDA grants will be identified in the course of the tech reps' commercial promotion activities and also in conjunction with the other activities in the portfolio, such as our collaborative relationship with the World Bank and in our air quality monitoring activities with the DOSTE of Ho Chi Minh City. 

US-AEP Activity Description

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Country:                Vietnam

Activity Name:      Vietnam Provincial Towns Water Supply Study Tour

Contact Person:    Nguyen Anh Tuan (Vietnam) & Stacy Bonnaffons (USAEP/ ADB)

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Description of Activity:  The purpose of this study tour is to help showcase US technology and expertise at the time when Vietnamese officials will be making significant consultancy and procurement decisions.  Study tour to the U.S. is focused on the primary cities involved in the Asian Development Bank- funded water projects for Vietnam:  Second Provincial Towns Water Supply and Third Provincial Towns Water Supply and Sanitation.  Second Provincial Towns is a $69 million loan approved in 1997 and ongoing.  The Third Provincial Towns is currently undergoing a feasibility study and is anticipated to be a $85 million in 2001.  Hosts include Ford Meter Box (Wabash, IN) who would like to host the group for one day for a factory tour and demonstration of how a water supply connection is properly made.  Other options for site visits include a pipe supplier, full-scale operational municipal facilities, etc.  Timing would be determined as the ADB procurement schedule takes place.

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Expected Results:  Educate the provincial decision-makers on U.S products and services, particularly as the specification for equipment is being designed for the ensuing ADB loan.  The expected goal is technology transfer (under defined USFCS success measures), including anticipated sales of U.S. equipment and technical services under the ADB-funded projects in Vietnam.

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Relationship to US-AEP Strategic Objective:  This activity meets the objective to transfer US environmental technology and best practices to Vietnam, focuses on the top priority of water supply.

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Asian and Regional Partners:  Ministry of Construction, Management Board of Water Supply and Sanitation Department, provincial government agencies, ADB

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Anticipated Cost Share:  Private companies in the US will cover some of the costs of site visits (local transportation and meals).

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Milestone Dates:  Implementation of the Third Provincial Towns Project Preparatory TA (feasibility study) - $1 million, approved in December 1999. Final report expected by the end of 2000.

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Lead Responsibility for US-AEP:  Nguyen Anh Tuan (Vietnam) and Stacy Bonnaffons (US-AEP/ADB)

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Primary Intermediate Result:  1.4 Increased technology transfer

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Date:  Late 2000 or First Quarter of 2001

US-AEP Activity Description

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Country:          Vietnam

Activity           Name: Promotion of Trade & Investment in the Air Sector

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Description of Activity:  US-AEP will promote U.S. firm involvement in the business opportunities arising from the EPA's work on clean air monitoring in Ho Chi Minh City and with the effort to phase out leaded gasoline.  Specific activities planned at this time are the trade leads on air sector opportunities.  The AEP office also will organize a delegation to attend the AWMA conference in the U.S. in June (Orlando) and a spin-off site visit as has been done in previous years.

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Expected Results:  Sales (and other commercial success stories) for U.S. firms in the air sector.

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Relationship to US-AEP Country Strategy:  These activities meet our objective to transfer U.S. environmental technology and best practices to Vietnam.

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Asian and Regional Partners:  Indirectly with EPA and the World Bank continuing.

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Anticipated Cost Share:  To be determined but approximately 50/50.

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Milestone Dates:  June 2001 AWMA

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Lead Responsibility for US-AEP:  Ms. Van/Mr. Tuan

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Primary Intermediate Result:  1.4 Increased trade and investment

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US-AEP Activity Description

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Country:              Vietnam

Activity Name:   Promotion of Trade & Investment  in the Water and Wastewater Sector

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Description of Activity:  These activities will continue to develop the market and increase sales of water and wastewater treatment equipment and services at WEFTEC 2001.  The Tech Rep will recruit, organize, and lead a delegation of buyers, clients, decision-makers to the Annual Meeting and Exhibition of the Water Environment Federation (WEF) - USA.  The delegates will have one-on-one meetings, visit wastewater treatment facilities.  The Tech Rep will make a presentation on the "Environmental Business Opportunities in the Vietnam" and will have her own one-on-one meetings.

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Expected Results:  Increased trade and investment activities indicated by the increase in the number of trade leads generated, success stories,  and distributorship agreements.

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Relationship to US-AEP Country Strategy:  This is in line with the country strategy, water and wastewater sector is one of our priority sectors for FY 2001.

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Asian and Regional Partners:  private sector Vietnam

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Anticipated Cost Share:  WEFTEC delegates will shoulder their own expenses in attending the annual meeting and exhibition, support from AEP will be setting up of 1 on 1 meetings and spin-off site visits.

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Milestone Dates:  Q1, Q3, and Q4

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Lead Responsibility for US-AEP:  Ms. Van/Mr. Tuan. with assistance of Stacy Bonnaffons and country coordinator

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Primary Intermediate Result:  IR 1.4 Increased trade and investment

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Date:  July 20, 2000

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US-AEP Activity Description

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Country:             Vietnam

Activity Name:   Promotion of Trade & Investment  in the Solid Waste Management Sector

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Description of Activity:  While there are no specific events related to solid waste management, we will be alert to opportunities to trade and investment opportunities arise first out of the sister city exercise and secondly out of the work that is being financed by either the Asian Development Bank and the World Bank.  Should firm opportunities come up we will consider participation in WASTECON 2001 in October 2001.  As of now no exchange is planned and we will rely on NASDA grants and trade leads as our main tools.

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Expected Results:  Increased Trade & Investment activities manifested by increase in the number of trade leads generated, success stories, joint venture and distributorship agreements.

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Relationship to US-AEP Country Strategy:  This is in line with the country strategy, solid waste management and disposal is one of our priority sectors for FY 2001.

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Asian and Regional Partners:  none

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Milestone Dates:  to be determined

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Lead Responsibility for US-AEP:  Alma Madrazo and Joy A. Jochico

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Primary Intermediate Result:  IR 1.4 Increased technology transfer

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Review of US-AEP Workplan for FY 2000

US-AEP Vietnam officially its office in Vietnam a year ago. It quickly established relationships with partners in Vietnam: bilateral and multi-lateral organizations as well as with Governmental agencies of Vietnam. We have two ongoing activities being implemented in the close collaboration with the World Bank: (1) Phase out of leaded gasoline; and (2) Seattle and Hai Phong sister city project. These projects built up a very good relationship with the other donors in Vietnam and with the World Bank in particular, and they will consolidate other activities of US-AEP in Vietnam. The workplan for FY 2000 of US-AEP was divided into four categories and description of accomplishments presented is below:

1.             Improved Public Policy Regulation

A.      Capacity Building  

US-AEP/Vietnam with the USEPA support strengthening the National Environmental Agency�s capacity to deal with environmental management, notably to revise the Environmental Protection Law of 1993.  In 2000, USEPA experts traveled to Vietnam to discuss a framework for cooperation, the structure of the revised law as well as the new articles. In September, USEPA experts will arrive to prepare for a workshop to discuss the structure of the law as well as the implementing rules and regulations. These activities will carry on and are described in the 2000-2003 workplan.

B.      Unleaded Gasoline Initiative

US-AEP/Vietnam�s engagement worked with the Environmental  Exchange Program and USEPA on a 1999 stakeholders meeting co-hosted by Ministry of Transport, the World Bank, and US-AEP/Vietnam. This stakeholders meeting led to the creation of draft terms of reference (TOR) by the Ministry of Transport (MOT) and the World Bank and a government commitment to phase out unleaded gasoline. US-AEP/Vietnam will be a lead participant in implementation of the program, especially the public awareness portion. The Directive is expected to the signed by the Deputy Prime Minister and issued shortly. The activities which will be done are described in the current workplan.

 C.      HCMC/Doste Air Quality Monitoring Activities

US-AEP/Vietnam cooperates with the Ho Chi Minh City Department of Science, Technology and Environment (DoSTE) to facilitate training, standards-implementation and data review assistance on air monitoring, particularly as pertains to US-AEP/USEPA unleaded fuel activities, including ambient urban lead level monitoring. These activities will carry on and are described in the workplan.

2.             Improved Urban Environmental Management

In the year 2000, US-AEP/Vietnam and USAID�s Jakarta-based Regional Urban Development Office (RUDO) will work towards a Resource Cities initiative fostering goal-oriented project relationships between several cities in the United States and Vietnam. The cities selected were Seattle and Hai Phong. A city planer, Mr. Henry Sharpe from the city of Seattle came to Hai Phong to work with the Hai Phong officials on its urban planning for three months starting in August. Exchanges between the city of Seattle and Hai Phong will be carried out from end of October. The project is working closely with the World Bank and the urban infrastructure projects the bank will fund in Hai Phong.

3.             Improved Corporate Environmental Management

 A.      HCMC-DoSTE Waste Minimization Project  

US-AEP/Vietnam sponsored a visit by responsible officials from HCMC-DoSTE along with businesses from the city to see, compare and learn from experiences of their peer program officers in the Philippines and clean production management, oversight and inspection. Leaders in both cities have begun an informal channel of communication which offers the potential for further development.

4.       Increased Environmental Technology Transfer

 Our tech transfer mission in Vietnam is to accelerate and improve the quality of the transfer of sound American environmental technology through project support of Vietnamese users and American producers.

 A.      CSG/SEI Grants  

US-AEP sponsors an environmental and trade-related development grants through the Council of State Government (CSG) to the Kenan Institute and VCCI to introduce environmental goods and services from North Carolina to the Vietnamese urban sector. A workshop on environment and business was organized in December 1999 in Hanoi. In 2000, a workshop on medical waste technologies have been held in Hanoi and HCMC to introduce the US�s advanced technologies. A Trade mission for a delegation from North Carolina to Hanoi and HCMC was held in July included a workshop and one-on-one meeting of the US companies and the Vietnamese partners. The grant is in its final stages and following up potential trade leads.

B.            NASDA Grants

US-AEP financed trade development grants of the National Association of State Development Agencies (NASDA). In 1999, Envirotech Services obtained a US-AEP financed NASDA grant in support of various landfill technology option workshops. US-AEP/Vietnam will seek or encourage approximately four additional US-AEP-funded NASDA grants for in-country activity in FY 2001.

 C.            EEP Events

 US-AEP/Vietnam nominated delegates to participate in regional and international Environmental Exchange Program (EEP) events throughout the year. The total was 10 exchanges of 20 participants.  

D.            Trade Delegations

 US-AEP/Vietnam recruited and led delegations to regional and international trade shows, including WasteExpo (May 2000), A&WMA (June 2000) and WEFTEC (October 2000), 23 participants have attended the trade events. Potential trade leads are being monitored.

 E.      Market Analyses

 US-AEP/Vietnam contracted for preparation of a FY 2000 environmental technology market report. The study will be supplemented by an Industry Sector Analysis focusing on a particular sector or sub-sector such as solid waste management, industrial water and wastewater, municipal water and wastewater. The report has submitted and approved by the US DOC Washington, publication is excepted by end 2000. The study should be a valuable marketing tool.

 
 

 

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