Decision 69/24

Following the report of the convenor of the contact group, the Executive Committee decided:

1. To note:
   1. The information on “Fund transfers and information on any interest accrued on funds held by China for stage I of its HCFC phase-out management plan, and historical implementation modalities of the Multilateral Fund (decision 68/22(a) and (b))” contained in document UNEP/OzL.Pro/ExCom/69/35;
   2. With appreciation, the input of UNDP, UNEP, UNIDO and the World Bank on their agreements with the Foreign Economic Cooperation Office of the Ministry of Environment Protection (FECO/MEP) for the implementation of stage I of the HCFC phase-out management plan (HPMP) for China;
   3. That China had stated that interest accrued could be returned to the implementing agencies or offset against future tranches;
2. To request:
   1. The Fund Secretariat, in collaboration with the implementing agencies and the Treasurer, to prepare a paper for consideration at the 71^st meeting on options as to how funds for the HPMP in China could be disbursed as close as possible to the time when funds were needed, taking into account the relevant agreements between the Executive Committee and the Treasurer, the Executive Committee and the implementing agencies, and between the Government of China and the implementing agencies;
   2. Implementing agencies to report on interest provided by China on funds transferred for the HPMP in the tranche implementation reports;
3. To urge the implementing agencies and the Treasurer to reach an agreement with the Fund Secretariat on how to record disbursement for the implementation modality, including means of returning balances used for stage I of the HPMP for China and similar projects, in the Fund’s annual progress and financial reports and the accounts of the Fund, and to report back to the 70^th meeting; and
4. To encourage the Secretariat to consider, in the context of the information document referred to in decision 69/22(b), options to ensure that:
   1. The level of funding for the first year of stage II would meet the 20 per cent disbursement threshold; and
   2. Subsequent tranches were considered in light of the need for cash and the likelihood of reaching the disbursement threshold.