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Pioneering Co-financing Venture as Private Sector Joins Clean Air Campaign

MANILA, PHILIPPINES (10 June 2003) - Eight private sector companies are joining forces with governments and nongovernment organizations (NGOs) in the Asian Development Bank-backed Clean Air Initiative for Asian Cities (CAI-Asia) to bring blue skies back to Asia, it was announced today.

The companies, which include Shell and Ford Motor Company, will bring financing and undertake activities to improve quality management, along with 20 of the largest cities in Asia and 60 national government agencies, NGOs, and universities that earlier joined CAI-Asia.

Ford Motor Company and Shell are joining the campaign as full private sector members, while AVL, Cerulean International, Corning, DEKRA, ESP, and MAHA are joining as associate private sector members.

"This is the first time that private sector firms are engaging in a multi-sector regional initiative on air quality management," says David Hodgkinson, an ADB Senior Cofinancing Officer.

"The participation of these organizations marks the start of a new modality for ADB, with private sector cofinancing for technical assistance projects allowing ADB to take on more projects."

ADB, the World Bank and the United States-Asia Environmental Partnership provide logistical and financial support to the initiative, which was founded in 2001 to promote and demonstrate innovative ways to improve the air quality of Asian cities through the sharing of experiences and building of partnerships.

The new members were welcomed to CAI-Asia at a special half-day conference at ADB's Headquarters that also launched a set of policy guidelines on vehicle emissions.

Air pollution is a major problem in Asia's cities, affecting the health of tens of millions and causing almost half a million premature deaths each year.

In a welcome speech, Supat Wangwongwatana, Chairperson of the Clean Air Initiative, applauded the private sector for becoming involved in air quality management.

"We need the knowledge that the private sector has to take effective measures to reduce air pollution and we need the commitment of the private sector to ensure such measures are actually taken," he said.

Eli Santiago, Vice President Retail Sales and Operations, Shell Oil Products-East, speaking on behalf of the private sector members, emphasized that their involvement reflects the increasing importance attached to the environment by companies in Asia.

"By joining CAI-Asia we have committed ourselves to its mission," he said. "We have also been asked to involve ourselves actively in the work of CAI-Asia."

Apart from making financial contributions, private sector companies can also use their technical know-how, Mr. Santiago said. He cited, as an example, Shell bringing oil companies in Asia together around the table to discuss how cleaner fuels can be made available over the next 10 years.

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