Presentation on the 2023-24 Programme of Work of the GATF for the Sustainable Infrastructure Programme in Asia (SIPA).

1. 2022 ANNUAL MEETING OF THE
GREEN ACTION TASK FORCE
Highlights from the draft of the 2023-24 Programme of
Work of the GREEN Action Task Force
Item 7.5: Sustainable Infrastructure in Central Asia
1 July 2022
Tbilisi, Georgia
Virginie Marchal
SIPA Co-Lead
Environment Directorate
Virginie.Marchal@OECD.org
Jean-François Lengellé
SIPA Co-Lead
Global Relations and Co-operation Directorate
Jean-Francois.Lengelle@OECD.org

2. • Overview of SIPA (Sustainable Infrastructure Programme)
• Deep dives/highlights of some ongoing activities
– Asset-level multidimensional sustainability assessment (SAVi)
– National framework conditions – the case of transport infra.
• Immediate next steps
Presentation’s structure

3. Sustainable Infrastructure Programme in Asia
An ambitious technical assistance and capacity building programme
PROJECT
GOALS
ACTIVITIES
AND SCOPE
• Country-level technical assistance, policy dialogues and capacity building in
Kazakhstan, Mongolia and Uzbekistan as well as Indonesia, the Philippines and
Thailand
• Regional and international peer learning through regional conferences, trainings
and workshops
• Support Asian governments transition towards net-zero, resilient energy,
transport and industry systems
• Leverage business and private sector investments
• Promote international standards for sustainable infrastructure
PARTNERS
Implementation started on 1 October 2021

4. Outcomes - four transformative areas
1. PLANNING
3. MOBILISING
FINANCIERS AND
BUSINESSES
2. ENABLING POLICIES
IN ENERGY,
TRANSPORT,
INDUSTRY
• Decarbonising transport strategies (national and
regional)
• Clean Energy Finance and Investment reviews
• Greening energy-intensive industries
• Long-term strategic infrastructure planning
• Project-level evaluation and prioritisation
• Sustainable finance principles
• Due diligence for responsible business conduct
4. REGIONAL AND
INTERNATIONAL PEER
LEARNING
• Regional Policy Network on Sustainable
Infrastructure
• Regional training programmes through local
knowledge institutions

5. Selected countries in CA and SEA Regional coverage (China, CA, SEA)
WP.1. Low emission
development strategies
• Decarbonisation pathways
• Strategic foresight
WP.3. Asset-level
assessments
• Promotion of
sustainability criteria in
infrastructure
investment projects
WP.1. Accelerating
investment in clean energy
• Clean energy and finance
roadmaps
• Fossil fuel subsidies reforms
policy dialogues
WP.2. Decarbonising
transport systems
• Decarbonising regional
freight
• National roadmaps for
resilient and decarbonised
transport
WP.3. Decarbonising
energy-intensive industries
• National roadmaps for
decarbonised industry
• Regional policy dialogues
WP.1. Green and sustainable
finance principles
• Policy dialogues with Chinese
investors
• Due diligence in project
finance
WP.2. Promoting
Responsible Business
Conduct (RBC)
• RBC policy reviews
• Case studies and workshops
on infrastructure-relevant
sectors (e.g. construction,
transport)
1. Strategic infrastructure
planning and project
evaluation
2. National framework
conditions
4. Regional peer learning and
knowledge management
3. Mobilising businesses and
financiers
WP.1. Regional capacity
development and peer
learning
• Regional network of
knowledge institutions CA
and SEA
• Regional training
programmes
WP.2. Regional policy
dialogues on sustainable
infrastructure
• Regional policy dialogue
(CA)
• Regional policy dialogue
(SEA)
China, CA, SEA
Detailed outputs and activities
WP.2. Climate adaptation,
natural capital and
ecosystem services
• Geospatial assessments
• Mainstreaming resilience
in institutional processes

6. • Through this new programme, we aim to create a
Central Asian community on sustainable
infrastructure decision makers, practitioners and
experts.
• We aim to engage key participants in Central Asia
across the infrastructure project cycle, from
upstream strategic planning, investment project
preparation, financing, implementation and delivery.
Overall objectives

7. Sustainable Asset Valuation (SAVi)
and Assessments
Michail Kapetanakis
05/30/2022

8. IISD’s Sustainable Asset Valuation
(SAVi) is an assessment methodology
that helps governments and
investors steer capital towards
sustainable infrastructure and
demonstrates how this can deliver
better value-for-money for all
Governments
& Cities
Investors Citizens
• How does environmental, social and economic
performance increase value for money for
taxpayers?
• Is sustainable infrastructure systematically more
expensive to build? Can these costs be
recuperated during the use phase?
• Do sustainable assets trigger more positive
externalities such as higher GDP, Green GDP,
employments, innovation, productivity, etc.?
• Will this asset help trigger sustainable
development?
Questions SAVi can answer for Governments
& Cities

9. SAVi Methodology
Simulation
Customization
Valuation
Based on systems thinking, system dynamics
simulation, and project finance modelling
Developed by placing a financial value on economic,
social and environmental externalities and risks
Customized to reflect local conditions and needs
Co-created through a multi-stakeholder approach that
enables the identification of material risks and
opportunities that are unique to the project
Co-creation

10. Steps of the SAVi Methodology

11. Externalities
• Cost of air pollution
• Cost of CO2 emissions
• Cost of fuel use
• Cost of accidents
• Cost of noise pollution
• Cost of road maintenance
• Employment creation
• Benefits from physical
activity
• Value of time saved
• Increase in retail revenues
• Increase in property
prices
Added Benefits
Avoided Costs
Example: BRT in Indonesia - Causal Loop
Diagram

12. Where to find data, how to use the data store?
IISD and KnowlEdge
developed an app that
allows to view and
download location-specific
climate data from the
Climate Data Store, and to
integrate the data into
SAVi.
Users can select the
location, climate indicator,
climate scenario and
climate model
The app presents climate
data as graphs showing
time series or as maps. The app is available here:
https://cds.climate.copernicus.eu/apps/27053/iisd-demo
EU Copernicus data for climate change impacts

13. Project 1: Sustainable Infrastructure in Kazakhstan,
Green Buildings and Sustainable Transport: Overview
Within the context of sustainable
infrastructure in Kazakhstan, two
complementary assessments
for the analysis of transport and
trade sustainability will be
undertaken. One concerns the
transport sector and will compare
investment in roads vs rail. The
second concerns the creation of the
new trade hub and will compare
investments in conventional vs
green buildings.
The main objectives the project are
to increase efficiency of trade, to
increase energy efficiency, to
reduce congestion, commuting
costs and emissions and to create
employment.

14. Project 1: Sustainable Infrastructure in Kazakhstan,
Green Buildings and Sustainable Transport : detail
A SAVi assessment of this project will provide information on
(i) The environmental and societal benefits (e.g., avoided emissions, avoided air pollution and
health costs, the value of time saved)
(ii) The economic benefits (e.g., employment creation from transport and energy generation,
productivity benefits and generally added benefits from improved economic activity).
(iii) The multi-dimensional outcomes of the Green Buildings and Sustainable Transport
assessments, and the synergies created by simultaneous implementation (e.g., potential for
trade efficiencies, energy efficiency in implementation and employment creation)
Comparing the societal viability
of rail vs road investment and
of green infrastructure vs grey
infrastructure investment and
their associated benefits and
costs.
Demonstrating the financial
and economic viability of the
project

15. Project 2: Reconstruction of Highway in Uchkuduk –
Kazakhstan Border, Uzbekistan : Overview
The planned route of the highway
will pass through an increasingly
important corridor between the
Republic of Karakalpakstan
(through the city of Uchkuduk)
and the Navoi region with access
to Kazakhstan. The project will
help provide an adequate,
efficient, safe and sustainable road
network in the region which will
contribute to economic growth and
increase domestic and foreign
trade.
The main objectives the project is
to increase road capacity, reduce
operating costs of vehicle, reduce
travel time and increase trade.

16. Project 2: Reconstruction of Highway in Uchkuduk –
Kazakhstan Border, Uzbekistan : detail
A SAVi assessment of this project will provide information on
(i) The environmental, social and economic costs and benefits (e.g., increases in trade and
productivity benefits, value of time saved, generally added benefits from increased
economic activity, but also the cost of increased GHG emissions)
(ii) The assessment of the implication of transport investments for public finances, in the
short, medium and longer term, under different climate change scenarios
(iii) The comparison of the performance of the project with other, potentially complementary
transport modes such as railway
Demonstrating the financial
and economic viability of the
project
Assessing the complementarity
with other transport modes (e.g
rail) and land use/zoning
strategies.

17. SUSTAINABLE
TRANSPORT
DEVELOPMENT
Overview of ITF’s project activity in
Central Asia

18. Think Tank
Intergovernmental Organisation
 64 member countries on five continents
 Only transport body with a global mandate for all modes
Universal Access
Safety and
Security Connectivity
Decarbonising
Transport
About ITF
Annual Summit
 World’s largest gathering of transport ministers (every May in Leipzig)
 A platform for knowledge sharing, discussion and pre-negotiation
18
Digitalisation
 Policy-relevant research and analysis
 Modelling, data, statistics and best practices

19. 19
Decarbonising Transport in Emerging Economies
In the context of the ITF’s wider Decarbonising Transport (DT) initiative,
the DTEE project helps governments of emerging countries to establish
pathways to reducing transport CO2 emissions and meet CO2 reduction
targets under the Paris Agreement.
Quantitative
assessment
framework
Capacity
enhancement
Policy dialogue
 Supporting transport decarbonisation in
Argentina, Azerbaijan, India and Morocco.
 Developing a tailored transport emissions
assessment framework and policy scenarios.
 Helping each government to identify effective
transport CO2 mitigation measures.

20. 20
Decarbonising Azerbaijan’s transport system
 No policy action leads to annual CO2 emissions
growing by 50% between 2015 and 2050.
 Current policies are insufficient. Annual CO2
emissions grow by around 25% in the same period.
 Climate Ambition scenario allows to achieve the
necessary reductions in annual CO2 emissions.
Ambitious policies can halve annual transport
CO2 emissions by 2050
0
1
2
3
4
5
6
7
8
9
Base Year Baseline
scenario
Current
Policy
scenario
Climate
Ambition
scenario
Baseline
scenario
Current
Policy
scenario
Climate
Ambition
scenario
2015 2030 2050
Million
tonnes
Transport CO2 in Azerbaijan in 2015, 2030 and 2050
by scenario and sector
Passenger transport - Baku Passenger transport - Excl. Baku Freight transport

21. SIPA-T project structure
21
Sustainable Infrastructure Programme
in Asia - Transport (SIPA-T)
Southeast Asia
The Philippines
Central Asia
Uzbekistan Mongolia
Analyse and quantify the environmental externalities,
regional connectivity impacts, and local socio-
economic benefits of current and planned freight
transport infrastructure projects in Central Asia and
Southeast Asia using the ITF International Freight Model.
Regional Component
Leverage ITF Transport Model Suite and ITF Transport
Climate Action Directory to help national governments in
the two regions to develop sustainable transport
infrastructure roadmaps with a specific focus tailored to
their needs.
National Component

22. 22
National Studies
Sustainable urban mobility in Ulaanbaatar (2022)
Part 1: Understanding the urban
transport context in Ulaanbaatar
Part 2: Quantitative assessment of
decarbonising pathways for Ulaanbaatar
Part 3: Dissemination of best practices
on sustainable urban mobility
Initial methodology workshop
 ITF modelling work & theory
 Policies to achieve transport decarbonisation
Fact-finding mission
 Dialogue with local stakeholders & data collection
Upcoming tasks
 Ulaanbaatar passenger transport scenario tool
development
 Capacity building

23. 23
Urban mobility improvement plan
 Governance and procurement
 Integrated land-use and transport planning
 Financing mechanisms
 Public transport network and fleet
 Taxi and on-demand services
 Light and shared mobility
 Parking reform
 Digital solutions and supporting policies
 Decarbonisation agenda
National Studies
Sustainable urban mobility in Tashkent (2022)
Part 1: Understanding the urban
transport context in Tashkent
Part 2: Developing an urban mobility
improvement plan for Tashkent
Part 3: Quantitative assessment of
decarbonising pathways for Tashkent
Part 4: Dissemination of best practices
on sustainable urban mobility

24. 24
Part 1: Stocktaking of current / planned
transport infrastructure projects and policies
Part 2: Scenario analysis to identify potential
infrastructure / connectivity gaps
Part 4: Roadmap for improved and sustainable
regional freight network
Regional Study
Sustainable regional connectivity in Central Asia (2023-2024)
Part 5: Dissemination of project findings & best
practices on sustainable regional freight
 Analysis along three dimensions:
 Benchmarking
 Connectivity index and traffic flows
 Governance and planning
 Use of the ITF International Freight Model
 Regional and country-specific recommendations
Focus on the most
pressing issues in
transport infrastructure,
logistics and
institutional capacity
Part 3: Effectiveness of soft / hard measures to
close the gaps and their environmental impacts

25. INTERNATIONAL TRANSPORT FORUM
2 RUE ANDRÉ PASCAL
F-75775 PARIS CEDEX 16
25
CONTACT US
Guineng CHEN
Transport Programme Lead
Email: Guineng.CHEN@itf-oecd.org
Yaroslav KHOLODOV
Project Manager (Uzbekistan)
Email: Yaroslav.KHOLODOV@itf-oecd.org
Mallory TROUVÉ
Project Manager (Mongolia)
Email: Mallory.TROUVE@itf-oecd.org

26.  2022 Summer School on Sustainable Infrastructure
 Co-organisers: University of Central Asia (UCA) and the OECD
 Date: 21-23 September 2022
 Venue: Karven Four Seasons resort of Issyk-Kul, Kyrgyz Republic
 Participants: 20-30 policymakers from Ministries or Government
Agencies responsible for national development and planning in the
areas of economy and finance, infrastructure, energy, transportation
and environment
 Participating countries: Kazakhstan, Kyrgyzstan, Mongolia, and
Uzbekistan.
Immediate next steps

27. Thank you
sipa@oecd.org