Institutions-centered SEAInstitutions-centered SEA

STRATEGIC ENVIRONMENTAL ASSESSMENT IN AFRICA: STRATEGIC ENVIRONMENTAL ASSESSMENT IN AFRICA: CHALLENGES AND OPPORTUNITIES – REGIONAL CHALLENGES AND OPPORTUNITIES – REGIONAL

WORKSHOPWORKSHOP

Fernando Loayza, Senior SEA Specialist, World Bank

Addis Ababa, Ethiopia June 16-19, 2008

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Structure

• Part I:– Basic Concepts – SEA Legislation

• Part II:– I-EIA process– Selection of priorities– Institutional and political economy analysis

• Part III:– I-SEA management

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¿Why is an SEA useful?

• Integrates environmental, social and poverty

alleviation considerations into policies, plans

and programs (PPPs)

• Identify institutional and governance gaps

affecting PPPs sustainability

• Enhances legitimacy of PPPs

• Ultimately, improves sustainability of

development interventions including projects

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SEA is a planning tool in process of development

SIAEIAProject

PSIASEASectoral

PACSACEANational

PovertySocial Environ-mental

DimensionsLevel ofAnalysis

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Group Exercise

• Experience in CEA, CSA, PA, SEA or

PSIA

• ¿What was the assessment’s objective:

impact, process or institutional analysis?

• ¿How were the results used?

• Lessons learnt

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¿What is an SEA?

Analytical and participatory approach

Integrates environmental and social considerations into PPPs.

Evaluates inter linkages with economic considerations

(OECD DAC Guidance on SEA for Development Cooperation, 2006)

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EIA-SEA Continuum

• National health, education programs, etc.

• Government restructuring

• Typical projects/ programs subject to EIA

• Macroeconomic Policy• Sector Reform/Plans• National Development Plans• PRSP• Decentralization• Privatization

• Large Infrastructure Projects

Hig

h U

ncertain

ty Ind

irect imp

acts Lo

w

Institutions-centered approach

Impact-centered approach

Low Political economy complexity High in decision-making

Governance issues are critical

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SEA Legislation (I)

• SEA is usually referenced in EIA laws as EIA or EA of

PPPs, i.e., Ethiopia. Only recent legislation uses the term

SEA, i.e., South Africa

• Very few legal instruments ensure accountability for SEA

implementation. Sanctions for noncompliance are rare, i.e,

China

• Separation of responsibilities for preparing, approving and

monitoring SEA (Canadian Cabinet Directive) are seldom.

Key distinction between SEA and EIA.

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SEA Legislation (II)

• Usually EIA methodology is prescribed for

SEA. Few countries like Canada offer more

flexibility.

• Citizen participation is prescribed by law:

– Affected parties or

– Opening processes to the public

– Few cases both

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Effects of not undertaking I-SEA

• Key environmental, social and poverty alleviation

elements related with PPPs are left aside

• Potencial conflict during reform implementation

are not taken into account

• Risk of elite capture increases

• Political waning and delay in decision making

• Potential failure of reform

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I-SEA ProcessI-SEA Process

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KEY ISSUES AND INTER SECTOR LINKAGES

PRIORITIES SELECTION

SITUATION ANALYSIS:ENV, SOCIAL, POVERTY

PR

IOR

ITIE

S I

DE

NT

IFIC

AT

ION

ST

AK

EH

OL

DE

RS

EN

GA

GE

ME

NT

(P

AR

TIC

IPA

TO

RY

PO

LIC

Y D

IAL

OG

UE

)

STAKEHOLDERS IDENTIFICATION

STAKEHOLDERS ANALYSIS

INSTITUTIONAL STRENGTHENINGAND SOCIAL LEARNING PLAN

POLICY ACTION MATRIX

ST

AK

EH

OL

DE

RS

ID

EN

TIF

ICA

TIO

N

AS

SE

SS

ME

NT

OF

PO

LIC

Y A

ND

IN

ST

ITU

TIO

NA

L O

PT

ION

S

TO

AD

DR

ES

S T

HE

PR

IOR

ITIE

S

PROPOSED POLICY AND INSTITUTIONAL ADJUSTMENTS

PPP ASSESSMENT

INSTITUTIONAL ANALYSIS

ASSESSMENT OF POLITICALECONOMY VULNERABILITY

THE I-SEA PROCESSTHE I-SEA PROCESS

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Priorities selection …Priorities selection …

Analytical componentAnalytical componentStakeholders analysisStakeholders analysis Identification of key issues and inter sectoral Identification of key issues and inter sectoral

linkageslinkages

Participatory componentParticipatory component Involve all key stakeholders Involve all key stakeholders Voices of vulnerable stakeholders should be Voices of vulnerable stakeholders should be

heard heard

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Stakeholder analysis …Stakeholder analysis …

ObjectiveObjective: Comprehensive understanding of : Comprehensive understanding of

affected stakeholders affected stakeholders

Expected outcomeExpected outcome: understanding of political : understanding of political

economy context of the proposed PPP economy context of the proposed PPP Interest groups that will support the PPPInterest groups that will support the PPP

Interest groups that will oppose the PPPInterest groups that will oppose the PPP

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Situation analysis …Situation analysis …

ObjectiveObjective: identify key environmental and : identify key environmental and social issues, and inter sectoral linkages in the social issues, and inter sectoral linkages in the national, sectoral and/or regional context of the national, sectoral and/or regional context of the proposed PPP proposed PPP

Expected outcomeExpected outcome: understanding of the : understanding of the environmental, social, sectoral and regional environmental, social, sectoral and regional context of the proposed PPP context of the proposed PPP Risks for sustainable developmentRisks for sustainable development Opportunities for sustainable developmentOpportunities for sustainable development

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Identification and ranking of Identification and ranking of environmental issues …environmental issues …

Analyze the effect of existing Analyze the effect of existing

environmental issues on economic environmental issues on economic

growth and poverty alleviation growth and poverty alleviation

Cost of environmental degradationCost of environmental degradation

Productivity losses of natural resourcesProductivity losses of natural resources

Reduction of environmental servicesReduction of environmental services

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Identification and ranking of Identification and ranking of social issues …social issues …

Analize the effect of social issues on Analize the effect of social issues on equitable economic growth and the equitable economic growth and the widening of opportunities for vulnerable widening of opportunities for vulnerable groupsgroupsGender, generation, ethnic and cultural gapsGender, generation, ethnic and cultural gapsAccess to public goods and servicesAccess to public goods and servicesSocial capital and social safety netsSocial capital and social safety nets

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Ranking of key issues …Ranking of key issues …

Apply quantitative analysis as much as Apply quantitative analysis as much as possible possible

Apply multicriteria analysis to rank Apply multicriteria analysis to rank different issues when quantitative and different issues when quantitative and qualitative results are combinedqualitative results are combined

IMPORTANTIMPORTANT: communicate information : communicate information in a format accessible to weak and in a format accessible to weak and vulnerable stakeholdersvulnerable stakeholders

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Priorities selection …Priorities selection … Ensure preferences of weak and vulnerable Ensure preferences of weak and vulnerable

stakeholders influence the selection of priorities: stakeholders influence the selection of priorities: Surveys Surveys ANDAND focus groups and workshopsfocus groups and workshops

In public policy decision making processes the voices In public policy decision making processes the voices of traditionally marginalized stakeholders should be of traditionally marginalized stakeholders should be heard heard

Establish a trasparent process acceptable to all Establish a trasparent process acceptable to all stakeholdersstakeholders Public participation and consultation should be defined in a Public participation and consultation should be defined in a

participatory mannerparticipatory manner Intersectoral and advisory committees different from the I-SEA Intersectoral and advisory committees different from the I-SEA

team should guide the processteam should guide the process

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Summary and conclusion …Summary and conclusion …

Priority selection is critical in I-SEAPriority selection is critical in I-SEA Priorities should be defined by Priorities should be defined by

stakeholders for I-SEA legitimacystakeholders for I-SEA legitimacyStakeholders analysis is a critical output Stakeholders analysis is a critical output Give voice to weak and vulnerable Give voice to weak and vulnerable

stakeholders stakeholders Inform dialogue through a sound situation Inform dialogue through a sound situation

analysis analysis

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Institutional and Institutional and Political Political economy economy analysisanalysis

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Objective and expected outcomeObjective and expected outcome

Identify institutional and governance gaps and weaknesses to address priorities

Identify opportunities to address priorities and to strengthen capacities to seize opportunities

Identify potential exogenous factors that affect potential contribution of PPPs to sustainable development and poverty alleviation

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InstitutionsInstitutions

Formal and informal rules for the interaction of individuals and organizations

Effects of policy adjustments and reforms are mediated by institutions

Behavior of organizations and individuals are a response to incentives created by and cultural factors prevailing in society

Institutional analysis is not organizational analysis although the latter usually contributes to the former

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Strategic governance and institutional Strategic governance and institutional analysisanalysis

Institutional framework

Proposed PPP

Envisaged political economy

Broader governance context

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Institutional frameworkInstitutional framework

Strictly confined to selected priorities: Context of formal rules and costumes, and

differences between them. Ej. Land tenure system

Public and private organization framework, inclusive of inter sectoral mechanisms and capacity to detect action priorities

Incentives regime system

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Proposed PPPProposed PPP

Potential effects (positive or negative) on priorities Direct effects Short and long term

Potential influence (positive and negative) on the institutional framework to address priorities Creation or adjustment of rules Creation or adjustment of organizations Modifying or preserving incentives structure

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Political EconomyPolitical Economy

PPP potential beneficiaries in relation to the priorities Short, medium and long term Credibility of the policy or reform

sustainability

PPP potential losers in relation to the priorities Short, medium and long term Expected compensation

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Governance frameworkGovernance framework

Resolution mechanisms of different or opposing interests Formal and informal: access to the judiciary,

mediation and arbitration systems Other mechanisms to represent public interest:

independence of supervision and control authorities

Transparency and accountability of actions and decisions of policymakers

Means for interests of vulnerable and weak articulated stakeholders to be represented

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MethodsMethods

Most important: logical analysis based on best available evidence

Evidence must combine results from stakeholders analysis, literature review and public consultation processes

Progressive approach through iteration analysis

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I-SEA management

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Key issues

SEA team

Intersectoral committee

Following up and monitoring

Learning processes

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SEA Team

Multidisciplinary sectoral team

o Institutional and policy specialist

o Stakeholder engagement specialist

o Environmental and social sector specialists

o Other specialities

Be careful of EIA specialists!

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Inter sectoral committee

Involve key decision makers from the very beginningo Ideal: I-SEA is integrated into sector review

o If I-SEA is carried out in tandem, a concrete way of integrating I-SEA needs to be thougth through

o Ownership and communication of results are critical

Clarify the roles of stakeholders and inter sectoral committee

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Monitoring and follow up

Involve civil society

o Access to information

o Transparency and accountability

Sector prepares SEA along with sector PPP

Ministry of Environment and civil society

monitor and follow up

Strive to strengthening elements for social

learning

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THANK YOU.

I. Fernando Loayza, Ph.D.

Senior SEA Specialist

Environment Department

The World Bank

1818 H. Street, NW

Washington, DC 20433

Tel. (202) 458-7117

Fax. (202) 477-0565