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Hanoi, November 24, 2004 -- Vietnam produces over 15 million tons of waste each year, most of which is not safely disposed, posing a significant threat to public health and the environment. The proper handling of waste -- including reuse and recycling, collection, treatment and disposal -- is crucial to providing a cost effective waste management system that is able to reduce risk to public health and the environment, according to the latest Vietnam Environment Monitor.  The Vietnam Environment Monitor 2004, the third in the Monitor series tracking key environment trends in the country, examines the issue of solid waste and identifies the challenges for improvement to solid waste management in Vietnam. This Monitor is an outcome of a joint effort by the Ministry of Natural Resources and Environment, the World Bank and the Canadian International Development Agency (CIDA) through its Waste-Econ project.  Mr. Mai Ai Truc, Minister of Natural Resources and Environment, said at the launch ceremony:  "Vietnam is projected to be one of the world's fastest growing economies. However, the country's rapid economic growth also presents an unprecedented environmental challenge, particularly for burgeoning urban and industrial areas, where solid waste has become a growing problem imposing serious health and environmental impacts."  Urban areas, which contain only 24 percent of the population of the country, produce more than 6 million tons, or 50 percent-of the country's municipal waste. By 2010, municipal waste generation is expected to increase by over 60 percent, while industrial waste would increase by 50 percent and hazardous waste generation by over threefold.  Vietnam has responded to solid waste issues with a sound legal framework, an aggressive investment plan, and an emphasis on improving local services, especially in major cities. "Considerable progress has been made in the past decade to improve waste management in Vietnam, but a large unfinished agenda remains. This new Environment Monitor is intended to give policy makers and others a clear picture of the state of solid and hazardous waste trends and help response to this emerging issue," said World Bank Country Director for Vietnam, Klaus Rohland.  The Vietnam Environment Monitor 2004 supports current efforts in Vietnam by providing an overview of the solid waste management sector, consisting of waste generation; waste handling, including collection, disposal, treatment, and recycling; and management issues, including policy, institutional, budget, and financing. It concludes with a summary describing the challenges for Vietnam to achieve cost-effective solid waste management that can help reduce poverty, improve public health, and enhance environmental quality.  "The report makes it clear that successfully addressing solid waste management will require a combination of incentives, regulations, enforcement and public participation", said Mr. Dean Frank, Head of Aid, Vietnam Program, Canadian International Development Agency.  "Vietnam's solid waste management needs are substantial in relation to existing capacity and the continued growth of urban areas and industrial development, said Ms. Thanh Phuong, team leader of the report. "Without undertaking the necessary measures to establish effective handling, treatment, and disposal systems, the growing quantities of waste can have various impacts, from increased health risks to environmental degradation."  According to the Monitor, the broad challenges facing Vietnam include: Increasing the attention to SWM systems as integral parts of urban development programs, improving the balance of investments and their technical appropriateness. Improving the financial and social sustainability of SWM investments. Addressing the looming problems of hazardous waste generated by industrial enterprises, hospitals, and stockpiled agricultural chemicals. Improving the protection of vulnerable groups.
 Within these broad challenges, the specific priorities are:  Improving investments, operations and the sustainability of investments for municipal waste management services. Making investments that are cost-effective, targeted to priority areas, and based on appropriate technology is a key task. A combination of focused subsidies from the government and some cross subsidies for the poor, expansion of community-based arrangements, participation of private sector and getting polluters to pay should be promoted and supported by policies and other economic incentives.  Enhancing hazardous waste management regulations and practices. There is an urgent need to establish industrial hazardous waste management systems, including both factory-based handling, treatment, and disposal systems, and centralized or shared hazardous waste treatment facilities.  Improving institutional effectiveness, monitoring, and enforcement. Complementing the development of infrastructure, improving cost-effective management of solid waste management providers, strengthening regulatory institutions for environmental oversight, monitoring, and enforcement of municipal waste management practices are the priorities.  Creating incentives for waste minimization and recycling. Support to the informal waste sector could include micro-credit programs, development of recycling markets, integration of informal sector activities into the formal sector, assistance in the creation of waste cooperatives, and consultation on new waste management initiatives. Composting operations and cleaner production technologies could also be expanded. Economic and other incentives should be promoted for source separation and development of private sector recycling operations.  Improving public information, enhancing social acceptability of waste disposal and treatment, and engaging communities in waste management. The public must be made aware of the negative consequences of improper waste management practices, and also their accountability in paying for better waste management services. Supporting initiatives that offer communities better opportunities to self-organize around community-based waste management issues is important.  Protecting vulnerable groups such as waste pickers, poor women, and children. Initiatives to reduce the hazardous nature of their work, gender equality and provision of expanded micro-credit opportunities for women in the informal sector, providing child pickers with educational support and alternative vocational training, should be considered.   Notes to Editors Environment Monitors focus on environmental trends, challenges, and priorities and are meant to inform and engage policymakers and stakeholders. This Monitor is the third in the series of reports initiated in 2002. The first Vietnam Environment Monitor reviewed general environmental trends. The second focused on water resources management. Environment Monitor 2004 discusses solid waste management issues.
The World Bank strongly supports Vietnam's efforts in attaining Vietnam's localized Millennium Development Goals and targets.
The World Bank provides three type of services to Vietnam: (1) design and financing of development projects; (2) analytical work, policy advice, and technical assistance; and (3) donor dialogue facilitation. In addition, every year the Bank co-chairs the Consultative Group (CG) meeting in which all donors gather to discuss the aid program for Vietnam.
Since reengaging in Vietnam in 1993, the World Bank has supported 35 projects to help fight poverty in Vietnam through finance for agriculture, infrastructure, health programs, schools, and other essential needs.
During the last 10 years, US$ 3.8 billion has been committed to Vietnam, of which $1.7 billion has been disbursed. This makes Vietnam the largest IDA-only borrower in the world.
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