SCE Chair s Report to SOM

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SCE Chair s Report to SOM The SOM Steering Committee on ECOTECH (SCE) met in Cebu, the Philippines on 4 September 2015. Key outcomes of the meeting were as follows: 1. SCE adopted and agreed to recommend the SOM to endorse the 3 rd revision of the APEC Capacity Building Policy, which reflects the agreement by the BMC (2015/SOM3/SCE/023), and agreed on the following procedures : a. The BMC will establish a dedicated small working group to explore options to implement certain aspects of the SCE capacity building policy, relevant to BMC; b. This small working group will be set up immediately after the final endorsement of the Capacity Building Policy, with a view to holding its first meeting in the margins of SOM1 in Peru next year, with the participation of interested SCE members; and, c. Subject to the progress and outcome of its discussion, the BMC small working group will recommend to BMC on the appropriate timing to hold a joint session with SCE, if needed, for the implementation of the SCE capacity building policy. 2. SCE approved the revised workplan of MOI (2015/SOM3/SCE/028) and it also agreed to recommend the SOM to endorse the revised ToR of MOI (2015/SOM3/SCE/027). 3. SCE endorsed and agreed to recommend the SOM to approve the ToR of Group of Friends on Disability Issues (GOFD) (2015/SOM3/SCE/031). 4. SCE endorsed the 2015 SCE Fora Report (2015/SOM3/SCE/007) with the recommendations contained therein, including the recommendation to the SOM to endorse the Digital Economy Action Plan for MSMEs (Annex1 of SMEWG s report). 5. SCE endorsed the independent assessment report on the SMEWG (2015/SOM3/SCE/005). 6. SCE decided to conduct independent assessment on TELWG, ACTWG, ATCWG/HLPDAB and PPWE in 2016. 7. SCE approved the updated Strategic Plan of EGILAT for 2013 2017 (2015/SOM3/SCE/014) and the Strategic Plan of PPSTI for 2016 2025 (2015/SOM3/SCE/013). 8. SCE endorsed and agreed to recommend the SOM to endorse the Common Understanding on the Scope of Illegal Logging and Associated Trade (2015/SOM3/SCE/017) and Timber Legality Template (2015/SOM3/SCE/018). 9. SCE endorsed and agreed to recommend the SOM to approve the revised ToRs of TWG (2015/SOM3/SCE/020) and HWG (2015/SOM3/SCE/021). 10. SCE endorsed and agreed to recommend the SOM to endorse the State of APEC Tourism Report (2015/SOM3/SCE/024). 1

The SCE Chair also notes that SCE fora made significant progress since SOM2 of 2015 to move ahead with the 2015 priorities. Such achievements include but are not limited to : A. Enhancing Regional Economic Integration TWG endorsed the proposal by Peru and started its preparation to hold the Tourism Ministerial Meeting in Peru on 21 May 2016. It also decided to submit a State of the Tourism Report to SOM and the Leaders. EGILAT finalized two major documents in timber trade, which are Timber Legality Guidance Template and Common Understanding of the Scope of Illegal Logging and Associated Trade. EGILAT and ACTWG held a joint meeting on 25 August 2015 on synergies and alternatives to strengthen the cooperation related to combatting illegal logging and associated trade. EGILAT also held a joint meeting with SCCP to discuss ways to enhance collaboration. TPTWG agreed to consider the establishment of the Task Force on Pathfinder to the APEC Transportation Card. CTWG Secure Travel Workshop on Countering Foreign Terrorist Fighter Travel was held on 30 31 August as a self funded project by the US. B. Fostering SMEs Participation in the Regional and Global Economy SMEWG agreed on the Digital Economy Action Plan for MSMEs and made preparations for the SME Ministerial Meeting in September 2015 and decided to work with Peru on the proposed Ministerial Meeting in 2016. It also worked with the SCSC for enhanced cross fora collaboration. It implemented a number of projects and workshops, which include APEC Accelerator Network Forum I, Facilitating SME Trade through Better Understanding of NTMs in the Asia Pacific Region, APEC SME Business Matching and Internship Consortium for Global Value Chain Integration, SME Technology Entrepreneurship Conference and 2nd Business Ethics for SME Forum. SMEWG also contributed to the Boracay Action Agenda (BAA) to Globalize MSMEs through, among others, participating in the stock taking exercise on SMEs related projects and providing comments on the draft BAA through their respective Senior Official Office. C. Investing in Human Capital Development PPSTI supported the Host Economy initiative to hold the first High Level Policy Dialogue on Science and Technology in Higher Education on 13 14 August 2015. SMEWG implemented such capacity building events as Supply Chain Capacity Building for SMEs and Train the Trainer Workshop on Promoting SMEs Business Continuity Plans. D. Building Sustainable and Resilient Communities PPSTI awarded the 2015 ASPIRE Prize to a Korean scientist for his work on climate modelling and prediction and finalized its Strategic Plan for the period 2016 2015. 2

HWG adopted the Health Emergency Response Working Manual for Health Hotline and the Roadmap for Healthy Asia Pacific 2020. MTF held the Mining Capacity Building Workshop and Public Private Dialogue on 25 26 August 2015 and discussed the management of the mining sub fund and such critical issues as the extension of the mandate and the Strategic Plan to guide the MTF s activities. ACTWG successfully held the 2nd APEC Network of Anti Corruption Authorities and Law Enforcement Agencies (ACT NET) meeting, which gave delegates an opportunity to discuss and exchange experiences regarding International Cooperation in Asset Recovery and Money Laundering, Fugitive Repatriation, and Bribery Cases, among others. EWG has introduced a new process to vet and endorse EWG projects with strengthened coordination mechanism between the EWG and EWG s expert groups. It also started preparing for the Energy Ministers Meeting to be held 12 14 October 2015. It launched the APEC Oil and Gas Security Initiative (OGSI), expanding upon existing Oil and Gas Security Exercises (OGSE), including an Oil and Gas Security Network (OGSN) and a series of Oil and Gas Security Studies (OGSS). A follow up Peer Review on Energy Efficiency (PREE) in the Philippines was completed. The Voluntary Peer Review on Inefficient Fossil Fuel Subsidy (VPR IFFSR) for New Zealand was completed. Energy Smart Communities Initiative (ESCI) 2014 Best Practice Awards were granted. Recommendations The SCE recommends the SOM: 1. To endorse this report to SOM; 2. To endorse the Policy on APEC s Capacity Building Through ECOTECH(2015/SOM3/SCE/023) and the following procedures : a. The BMC will establish a dedicated small working group to explore options to implement certain aspects of the SCE capacity building policy, relevant to BMC; b. This small working group will be set up immediately after the final endorsement of the Capacity Building Policy, with a view to holding its first meeting in the margins of SOM1 in Peru next year, with the participation of interested SCE members; and, c. Subject to the progress and outcome of its discussion, the BMC small working group will recommend to BMC on the appropriate timing to hold a joint session with SCE, if needed, for the implementation of the SCE capacity building policy; 3. To approve the revised Terms of Reference of TWG (2015/SOM3/SCE/020), HWG (2015/SOM3/SCE/021) and MOI (2015/SOM3/SCE/027); 4. To approve the Terms of Reference of Group of Friends on Disability Issues (2015/SOM3/SCE/031); 5. To endorse the Digital Economy Action Plan for MSMEs (Annex1 of SMEWG s Fora Report(Annex 13 of 2015/SOM3/SCE/007), the Common Understanding of the Scope of Illegal Logging and Associated Trade (2015/SOM3/SCE/017), the Timber Legality Template(2015/SOM3/SCE/018) and the State of APEC Tourism Report(2015/SOM3/SCE/024). Attachment: Summary Report The Third Meeting of the 2015 SOM Steering Committee on ECOTECH. 3

Summary Report The Third Meeting of the 2015 SOM Steering Committee on ECOTECH 4 September 2015 Cebu, the Philippines The Third Meeting of the SOM Steering Committee on ECOTECH (SCE) was held in Cebu, the Philippines, on 4 September 2015. The meeting was chaired by Mr. Raúl Salazar, Senior Official of Peru for APEC. The Vice Chairmanship of the Meeting was served by the Philippines. The meeting was attended by the delegations of all 21 APEC Economies and PECC. Agenda Item 1: Welcome by the SCE Chair The SCE Chair welcomed the members to the meeting, underlining the importance of adopting the Capacity Building Policy and SCE s role in facilitating the SCE fora s work by taking necessary administrative actions. Agenda Item 2: Adoption of the Agenda The Meeting adopted the draft agenda as presented in 2015/SOM3/SCE/001. Agenda Item 3: Economic and Technical Cooperation Planning 3.1 SCE to hear BMC s views on and to consider and adopt APEC Capacity Building Policy as well as the SCE Chair s cover note on follow-up procedures. The SCE Chair briefed on the intersessional actions taken to improve and build consensus on the Capacity Building Policy paper, including circulation of two revised versions, based on the comments from the SCE and BMC Members. Mr. Zhou, the BMC Chair was invited to report on the outcome of BMC deliberations on this issue, including the pre BMC meeting and the BMC Meeting held on 1 and 2 September 2015. The BMC Chair confirmed BMC s support for the third revision of the paper (2015/SOM3/SCE/023) and proposed the following procedures : i) to establish a dedicated small working group to explore options to implement certain aspects of the SCE capacity building policy, relevant to BMC, ii) to set it up immediately after the final endorsement of the Capacity Building Policy, with a view to holding its first meeting in the margins of SOM1 in Peru next year, with the participation of interested SCE members, and iii) for the small group to recommend to BMC on the appropriate timing to hold a joint session with SCE, if needed, for the implementation of the SCE capacity building policy, and subject to the progress and outcome of its discussion. The SCE Chair proposed to adopt the third revision of the document (2015/SOM3/SCE/023) and to recommend the procedures proposed by the BMC Chair, to the SOM for its endorsement. Many delegations welcomed the third revision and underlined the importance of the capacity building activities of APEC, and some highlighted that they also contribute to raise the profile of APEC amongst domestic agencies. They also expressed the need to review the financing mechanism and the project approval and evaluation procedures through the upcoming process. Some delegations showed their willingness to participate in the small group to be set up by the BMC. 4

Delegations agreed to adopt the third revision of the Capacity Building Policy and to recommend SOM to endorse the procedures as proposed by the Chairs of SCE and BMC. Agenda Item 4: Cross cutting issues 4.1. SCE to note a report from MOI. Mr. Arifin Rudiyanto reported on progress achieved by MOI at its Steering Council Meeting (2015/SOM3/SCE/016) and requested the SCE to endorse its revised workplan (2015/SOM3/SCE/028) as well as its revised ToR (2015/SOM3/SCE/027). Japan updated the state of play on Exploration on Strengthening of Maritime Connectivity including its report to MOI Steering Council Meeting, and appreciated ABAC s support on this. Some delegations underlined the importance of moving forward with ocean related initiatives at APEC and shared information on their ocean related activities. SCE approved the revised workplan and agreed to recommend the SOM to approve the revised ToR. 4.2. SCE to note a report from TFI. Dr. Francesca Cook Hagen, a consultant for the mid term review on TFI, presented her findings (2015/SOM3/SCE/019) and plans to share the final draft report on the TFI for comments.. Delegations shared their views on the challenges in implementing this initiative, the aspiration for further improving the programs to facilitate travel and more alignment with broader APEC endeavours. SCE took note of the report and the views expressed. 4.3 SCE to note a report from APEC Group of Friends on Disability Issues. The Coordinator of the APEC Group of Friends on Disability Issues reported on the outcome of the first APEC Group of Friends on Disability Issues, including the agreement on its workplan and its ToR, and recommended the SCE to endorse its ToR (2015/SOM3/SCE/031). Many delegations welcomed the successful hosting of the first meeting of the GOF on Disability Issues and expressed their support for the ToR. Some suggested to coordinate more closely with HRDWG, including in reporting. One delegation reiterated the need to provide reasonable accommodation to facilitate access of participants with disabilities. The SCE Chair, representing the next year s APEC host, stated that since Peru was not aware of these additional requests on host economies, it would make an effort to make them available, as far as reasonable and possible, during the next meeting of GOFD. SCE agreed to recommend the SOM to approve the ToR. 4.4 SCE to note any other updates of cross-cutting issues. The U.S. reported on the outcome of the recent workshops on combatting wildlife trafficking, which were held in association with SCCP and ACTWG. 5

Indonesia sought support from other delegations for its projects in such cross cutting areas as health traditional medicine as well as women SMEs, which will be submitted next year. Agenda Item 5: SCE Fora Administration 5.1 SCE to consider the 2015 Fora Report. Dr Alan Bollard, the Executive Director of the APEC Secretariat, presented the 2015 Fora Report (2015/SOM3/SCE/007) to SCE and highlighted that all sixteen fora had submitted their reports. He proposed SCE to accept the recommendations proposed in the report, including allowing the fora to update their reports even after the SCE3. He also stated that the APEC Secretariat will make further efforts to improve this report in the coming years. Japan presented two documents on economic empowerment of women and women s entrepreneurship (2015/SOM3/SCE/010 and 011). Australia briefed about the recent MTF workshop (2015/SOM3/SCE/015) and pointed out the need to extend the mandate of the MTF beyond 2016 to enable the planned activities and ongoing private sector engagement to be undertaken. Thailand referred to some of the noteworthy recommendations from EGILAT (non approval of project funding), EPWG (need to develop fora management guidelines), EWG (involvement in urbanization initiatives), SMEWG (closer cooperation with such other fora as FMP) and PPSTI (non approval of project funding). SCE endorsed the 2015 Fora Report with the recommendations contained therein. 5.2 SCE to consider any matters arising from the independent assessments of EPWG, OFWG and SMEWG. The APEC Secretariat briefed on the current status of four independent assessments being carried in this year (2015/SOM3/SCE/012) and proposed to consider and endorse the independent assessment report on SMEWG(2015/SOM3/SCE/005). Some delegations stressed the need for SMEWG s closer coordination and cooperation with other relevant fora on SME related initiatives and activities, including access to finance. SCE endorsed the independent assessment report on SMEWG. 5.3 SCE to consider and decide which fora should be subject to independent assessments in 2016. The APEC Secretariat proposed to undertake independent assessments on TELWG, ACTWG, ATCWG/HLPDAB and PPWE for 2016 (2015/SOM/SCE3/002). SCE approved the proposal. 5.4 SCE to note any other updates of sub-fora. SCE took note of the submission of the PPSTI on its 6 th Meeting (2015/SOM3/SCE/008). SCE also approved the Strategic Plan of PPSTI for 2016 2025 (2015/SOM3/SCE/013). Ms Emmeline Verzosa, the Chair of the PPWE, gave an update on the work of PPWE, in particular, on cross fora collaboration as well as on the Women and Economy Fora (2015/SOM3/SCE/030) to be held in September 2015 in Manila, the Philippines. She encouraged early registration of interested delegates. 6

SCE approved the revised Strategic Plan of EGILAT for 2013 2017 (2015/SOM3/SCE/014). SCE endorsed the Common Understanding on the Scope of Illegal Logging and Associated Trade (2015/SOM3/SCE/017) and Timber Legality Guidance Template (2015/SOM3/SCE/018) and agreed to recommend the SOM to endorse them. Delegations welcomed these documents. Some delegations underlined the importance of engagement of the economies, urging them to fill out and submit the templates. China urged to submit the assessment report regarding the APEC 2020 forest cover goal. Papua New Guinea informed that the 3 rd Forestry Ministerial Meeting will be held in Port Moresby in October 2015. SCE endorsed and agreed to recommend the SOM to approve the revised ToRs of TWG (2015/SOM3/SCE/020). SCE also endorsed and agreed to recommend the SOM to endorse the State of APEC Tourism Report (2015/SOM3/SCE/024). SCE endorsed and agreed to recommend the SOM to approve the revised ToR of HWG (2015/SOM3/SCE/021). SCE took note of the MTF s report on the implementation of the recommendations in the independent assessment, which was conducted last year. The Philippines announced that the SME Ministerial Meeting will be held in Iloilo, the Philippines, in September 2015 (2015/SOM3/SCE/029). Agenda Item 6: Other Business China presented the Guidelines and Eligibility Criteria of Three New ASF sub funds (2015/SOM3/SCE/025) and highlighted the role of the SCE in the operation of the fund. 6.1 Document access Members will be invited to establish the classification of all documents relating to this meeting. SCE agreed on the Document Classification List as stated in document 2015/SOM3/SCE/000. *** 7