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PART I. INTRODUCTION

The Greening EU International Cooperation Toolbox replaces the 2016 guidelines ‘Integrating the environment and climate change into EU international cooperation and development’. It consists of a core section and annexes that offer more detailed guidance and tools.

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This is a living toolbox that will be updated periodically.

1.1. PURPOSE AND POLICY CONTEXT

1.1.1. Embracing the environmental and climate agenda                            

The challenge. We are facing three major and inter-related environmental crises: climate change, bio- diversity collapse and pollution. All sectors must contribute to the green transition, not only by mitigating their negative environmental impacts, but by aligning policies and actions to environmental and climate objectives and actively contributing to the solutions. The ambitious environmental and climate goals and targets set by the international community and the EU will not be achieved with a business-as-usual approach. It is time to step up our action to accelerate the green transition.

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Click here to check key definitions.

1.1.2. International policy commitments

THE UN 2030 AGENDA FOR SUSTAINABLE DEVELOPMENT

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How the EU ensures its international cooperation is aligned with the Paris Agreement and the Global Biodiversity Framework

As per the OECD[2], an international cooperation that is effectively aligned with the Paris Agreement:

Does not undermine the Paris Agreement but rather contributes to the required transformation.

Catalyses countries’ transitions to low-emissions, climate-resilient pathways.

✅ Supports the short- and long-term processes under the Paris Agreement.

✅ Proactively responds to evidence and opportunities to address needs in developing countries.

Paris alignment within EU cooperation is ensured through:

  • The stringent application of the objective of Art. 29 of the NDICI-GE, as no actions or measures can be supported which are incompatible with the recipient country’s nationally determined contributions (NDC).
  • The integration of climate considerations and contributions from the programming phase and across all sectors of EU action.
  • The environmental and climate screening of all EU-supported actions, to determine if a given action is likely to have significant adverse impacts on the environment/climate or is at significant risk from climate change.
  • A growing portfolio of dedicated actions supporting a transition to low-emission, climate-resilient pathways at country, sector or local level.

 Alignment with the Global Biodiversity Framework in the context of EU cooperation, addressing its 2050 goals and implementing its 2030 targets also implies implementing a `do no harm´ principle[3], as well as:

  • Protecting and restoring nature, through the continuous support to protected areas, and beyond these areas including through Team Europe approaches and flagship initiatives such as NaturAfrica.
  • Ensuring the sustainable use and management of biodiversity, by valuing and enhancing nature’s contributions to people and the economy, through the integration of biodiversity objectives in the portfolio, promoting a do more good approach, and improving monitoring and evaluation on biodiversity projects.
  • Supporting all parties to ensure adequate means of implementation, by mobilising resources from all sources (including international, domestic, public and private). This may be achieved through the adoption of ambitious targets in biodiversity financial commitments, mainstreaming biodiversity and the support to capacity-building, technical and scientific cooperation, notably in least developed countries and small island developing states (SIDS).

[2] OECD (2019), Aligning Development Co-operation and Climate Action: The Only Way Forward, The Development Dimension, OECD Publishing, Paris.

[3] In 2024, OECD DAC members are working to develop a common understanding of an alignment with the GBF. See: Meeting of the OECD Council at Ministerial Level, Paris, 7-8 June 2023.


1.1.3. EU policy commitments

Systematic environmental integration is a legal obligation established by the Treaty on the Functioning of the European Union which stipulates that environmental protection requirements must be integrated into the definition and implementation of the Unions policies and activities, in particular with a view to promoting sustainable development (Art. 11).

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Click here to learn more about the main Green Deal policies and measures of relevance for international cooperation.

1.1.4. EU international cooperation instruments

NDICI-GLOBAL EUROPE AND IPA III

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Global Gateway’s green and clean principle

The Global Gateway is a climate-neutral strategy to speed up sustainable development and recovery, create inclusive growth and jobs and transition to a cleaner and more circular global economy. It will invest in developing infrastructures that are clean, climate-resilient and aligned with pathways towards net-zero emissions. Projects will live up to the European Green Deal oath to ‘do no harm’ and ensure the use of Environmental Impact Assessments and Strategic Environmental Assessments.

 1.1.5. A new ambition in practice

Transformative change is urgently needed to deliver the 2030 Agenda, the Paris Agreement and the Global Biodiversity Framework, in line with the European Green Deal. Business-as-usual will not achieve sustainability but instead risks breaching planetary tipping points with irreversible effects for the environment and thereby human societies and the economy. Goals for 2030 and beyond will only be achieved through transformative changes across economic, social, political and technological domains.

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To reach the ambitious EU green targets by 2030, transformative actions need to be launched now, across all sectors

Guiding principles for translating our new ambition into action

Key principles and steps for an enhanced greening approach, matching the ambition of international goals and the European Green Deal include:

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Make greening everyone's responsibility

Greening cuts across all sectors and programmes of EU cooperation. To achieve results, it needs strong signals of commitment by management (from Heads of Units to the DG; from Head of Cooperation to Heads of Delegation; from middle-management to staff at all levels). Moreover, it needs to be championed by well-trained colleagues throughout the organisation and be based on institutional learning. It requires the active engagement of each and every colleague involved in designing and implementing our actions.

Apply a green lens early on

The best chance of identifying environmental benefits is to apply a ‘green lens approach’ from the earliest stage of the identification of an action, when development options are still open. ‘Anything that can be green should be green’ is a good guiding principle. Identifying greening opportunities upstream leads to more meaningful, effective and efficient opportunities for transformational change. Greening efforts should apply from the programming phase and the policy dialogue that underpins them, as well as to the development of investment pipelines, and then be further reflected along the cycle.

Focus on positive contributions

We must move from merely doing no harm to doing good. In practical terms this means to proactively seek win-wins for environmental sustainability and climate action while achieving economic and social benefits. Some examples include the use of nature-based solutions and identifying synergies between sector objectives and environmental and climate objectives.

Ensure interventions are environment- and climate-proof

The application of the DNH and DNSH principles ensures no significant harm to the environment and climate, including avoiding excluded activities. On the other hand, it is necessary to identify how environmental degradation processes and climate change can affect the feasibility, effectiveness and sustainability of our project. Both dimensions need to be taken into consideration. This is often referred to as the ‘double materiality’.

Cover all steps of the intervention cycle

Ensure the environmental and climate intentions identified at the start of an action are well transmitted throughout the intervention cycle. Avoid or minimise the risk of dilution, when green ambitions lose their strength during formulation or implementation. Uplift green action until it leads to meaningful results, through regular reviews during implementation, and by embedding climate and environmental issues in mid-term and final evaluations.

Look beyond sector horizons

Many actions at sector level may not have environmental or climate benefits in mind from the start. Yet, in the context of a green paradigm shift, all sectors have a role to play. For instance, public finance management can be a key enabler of an integrated government green transition.

All financial instruments need to contribute

Aligning financial instruments with environment and climate objectives is essential to accelerate the transition. A green and inclusive transition requires the mobilisation of significant public and private funds, including through innovative schemes and partnerships. Setting the scene for a green economy implies working on enabling environments and greening public finance reforms, notably with the leverage of budget support. Regulatory frameworks, green fiscal reforms, sustainable finance taxonomies and green bonds can attract new financial flows and boost green investments, while averting investments in environmentally harmful activities. Green taxes can address market failures by ensuring that the polluter pays and foster producers and consumer behavioural change towards greener economies.

Promote the greening of sector policies, plans and strategies at national level

An effective way to advance transformational change is to support partner governments to align their own development policies and investment plans to environment and climate change objectives. The EU can provide technical assistance and capacity development, and promote the use of instruments such as Strategic Environmental Assessment (SEA) to this effect.

Use evidence and monitor environmental and climate performance

Seek information and evidence to improve understanding on climate and environmental issues and to identify green solutions. Support tracking, monitoring & evaluation and re- porting on green action, by using relevant indicators and verifying there are real contributions to the environment. Ensure climate and environmental issues are considered in lessons learnt to feed future action. Build evidence on benefits of green action to influence decision makers and harness their motivation to promote sound environmental and cli- mate policies.


Advocate the green transformation in policy dialogue with partners

The green transformation requires coordinated action by many actors from various sectors. It requires awareness and strong commitment. Introducing environment and climate change as a systematic feature in our policy dialogue not only advances EU values and commitments towards sustainability but helps to consolidate the building block for transformational change at national and regional level. Build bridges with local government, civil society and the private sector to embrace and support the green transition, in particular to promote innovation, out-of-the-box ideas and question the carbon-based economy model.


1.2. CLIMATE AND BIODIVERSITY FINANCIAL TARGETS

1.2.1. Background

The NDICI-Global Europe, Pre-Accession Assistance (IPA III) and Ukraine Facility regulations, as well as the regulation for the Reform and Growth Facility for the Western Balkans, and the Decision on the Overseas Association including Greenland (DOAG), include targets for climate and biodiversity finance for the period 2021-2027. Climate and biodiversity targets are complementary and not mutually exclusive. Where possible, the same programme/action should help to achieve several objectives.

1.2.2. Climate targets

After achieving the USD 100 billion climate finance goal in 2022, the new collective quantified goal (NCQG) to be adopted in Azerbaijan during UNFCCC COP29, will add another layer of political discussion to the reform of the international financial architecture. The NCQG is a new global climate finance goal that the Conference of the Parties serving as the meeting of the Parties to the Paris Agreement (CMA) shall set from a floor of USD 100 billion per year, prior to 2025. This new goal will be set in the context of meaningful mitigation actions and transparency on implementation, considering the needs and priorities of developing countries.

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Recital 24 of the Council Decision on the Overseas Association, including Greenland (DOAG) states that actions under this programme are expected to contribute 25 % of their overall financial envelope to climate objectives.

1.2.3. Biodiversity targets

The Global Biodiversity Framework sets ambitious financial targets. They address financing from all sources: domestic and international, public and private. Global biodiversity finance from all sources must reach USD 200 billion per year by 2030. As part of the agreement, international biodiversity finance must increase to USD 20 billion a year by 2025, and USD 30 billion by 2030. The agreement calls for the alignment of financial flows and investments with biodiversity objectives. Public and private financial flows must stop destroying nature and must, as far as possible, become nature positive. The targets also provide for the identification, elimination, phasing-out or reform of subsidies that are harmful for biodiversity by at least USD 500 billion per year by 2030.

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1.2.4. Tracking EU support

Annual funding allocated to climate action, combating desertification and biodiversity is subject to an annual tracking system based on the OECD DAC methodology[9] using of the Rio markers[10], without excluding the use of more precise methodologies where these are available. Aid to environment and support to disaster risk reduction are measured based on the corresponding OECD policy markers.

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