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Ozone Depleting Substances (ODS)

Ozone Hole

anchor tagOverview

anchor tagProgram Features

anchor tagCurrent Challenges
anchor tagFuture Challenges
anchor tagRelated Links


The East Asia and the Pacific (EAP) region program to phase out ozone depleting substances (ODS) is the largest in the world. Since the start of the program, the annual emission of ozone depleting substances (ODS) in the region has been reduced gradually from around 135,000 ODP tons/year to close to zero in 2008.  As the ozone depleting chemicals also have a very high global warning potential, the program has also resulted in an annual reduction of greenhouse gas emissions in the region of over 350 million tons of C02.

The program’s goal is to complete the phaseout of regional ODS production and consumption by 2010. This represents the phaseout of 237,000 tons of ODS, nearly 75 percent of the remaining ODS production and consumption in all developing countries.

The World Bank is one of the implementing agencies assisting developing countries meeting their obligations under the Montreal Protocol for the Protection of the Ozone Layer with funding from the Multilateral Fund of the Montreal Protection (Please not--the Ozone Trust Fund is an internal Bank account holding funding from the Multilateral Fund.  It is nothing but a holding account).  In East Asia and Pacific region, the Bank is providing financial and technical assistance to China, Indonesia, Malaysia, Philippines, Thailand and Vietnam to  implement their national programs for meeting their obligations under the Montreal Protocol, i.e. complete phase-out of production and consumption of chemicals with Ozone Depleting Potential (ODP) by January 2010. 

Program Features:

  • Total financial support of over US$600 million to the East Asia Pacific region since the start of the program;
  • National implementation with focus on national ownership and national capacity building;
  • The East Asia and the Pacific ODS program initiated a new phase-out and funding modality for the Montreal Protocol.  This  modality is based on sectoral and national ODS phase-out programs to replace a time consuming and less effective enterprise-by-enterprise phase-out modality with an overall national ODS phase-out plan with supporting policies, technical assistance, and financial incentives;
  • Development of policies and regulations for sustainable phase-out in the production and use of ODS; financial incentives to industries using ODS in their production, and the ODS producers.  Support is provided to refrigeration equipment manufacturers, halon equipment producers, vehicle manufacturers, aerosol and foam companies (note -- some of them are very large companies), and refrigeration servicing shops; ODS producers; and
  • Assistance provided to the countries is  to establishing a monitoring and evaluation system to ensure that agreed performance indicators can be monitored and independently verified.

Current challenges:

  • Assist the East Asia Pacific countries in meeting their final ODS phase-out obligation by January 1, 2010;
  • Maintain the capacity and infrastructure build up during the project to ensure that the results achieved are sustainable.  It is particularly important on policy enforcement and monitoring to ensure that producers will not revert back to the use of ODS in their production; and on monitoring of illegal ODS trade. 
    (this is part of the National phaseout program and is as important and challenging as any other ODS conversion like other ODS activities); and
    (Note -- Thus far, the MLF of the Montreal Protocol has not made it their mandate to destroy ODS.  So far, they have provided very limited funding for ODS destruction).

 Future challenges:

  • The parties of the Montreal Protocal decided to phase-out the production and use of  Hydrochlorofluorocarbons (HCFCs) in early 2008.  HCFCs are ODS and were introduced as a transitional substances to ODS in the 1990s, despite a small residual ODP, to allow an early phase-out of the more critical ozone depleting chemicals;
  • Five countries in the East Asia the Pacific countries have requested World Bank assistance to develop and implement the new HCFC program.  Both development and implementing of the HCFC phase-out programs will be very challenging, with China being the world largest HCFC producing and consuming country  in the world;
  • The new programs will aim at meeting the production and consumption freeze in 2013 and and a 10% reduction in 2015; and
  • It is critical to ensure that substitute technologies and chemicals to be used will not have negative impact on climate change.


Related Links:

Projects in ODS:

Montreal Protocol
Global Environmental Facility
Climate Change
Thailand Ozone Depleting Substance ODS Phase-out Project
Indonesia ODS Phase-out Project
Vietnam CFC and Halon Phase-out Project 
Malaysia ODS Phase-out Project Climate Change
Phlippines ODS Phase-out Project
China ODS III Phase-out Project
China ODS IV Phase-out Project


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