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EU and Ukraine kick-start strategic partnership on raw materials

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EU and Ukraine have launched a strategic partnership on raw materials, with the aim of achieving a closer integration of raw materials and batteries value chains. Vice-President Maroš Šefčovič and Prime Minister of Ukraine Denys Shmyhal signed a Memorandum of Understanding underpinning the partnership during the dedicated High Level Conference.

The strategic partnership with Ukraine will include activities along the entire value chain of both primary and secondary critical raw materials and batteries, and in line with the objectives of the EU’s Critical Raw Materials Action Plan, it will help diversify, strengthen and secure both sides’ supply of critical raw materials, essential for achieving the green and digital transitions. The partnership will also be decisive in preserving global competitiveness and developing resilience of EU and Ukrainian industry.

Today’s signature constitutes the first tangible deliverable under the enhanced cooperation between the European Union and Ukraine in the areas of the European Green Deal and the Industrial Strategy. It follows on the mutual commitment and interest expressed at the 7th Association Council meeting between the EU and Ukraine on 11 February 2011.

Concrete areas of work of the partnership

More specifically, the strategic partnership signed today will aim to develop three key areas of work, as defined in the Memorandum of Understanding.

  • First, it focuses on the approximation of policy and regulatory mining frameworks, and notably the environmental, social and governance criteria across all activities.
  • Secondly, the partnership aims to better integrate critical raw materials and battery value chains to develop minerals resources in Ukraine in a sustainable and socially responsible way. To do so, it will engage the European Raw Materials Alliance and the European Battery Alliance as platforms for EU and Ukrainian stakeholders, including funding and investment organisations, to collaborate and develop joint venture projects and other business opportunities. To this end, Vice-President Šefčovič formally accepted the membership of the Ministry of Ecology and Natural Resources of Ukraine to the two European industrial alliances.
  • Finally, the partnership also encourages closer collaboration in research and innovation along both raw materials and battery value chains using Horizon Europe.

Furthermore, the EU and Ukraine endorsed a first roadmap, a set of concrete activities and joint projects to advance the strategic partnership in the period 2021-2022. Specifically, it will help to:

  • Develop a low carbon strategy and roadmap to decarbonise raw material mining, extraction and processing in Ukraine;
  • Strengthen sustainable and responsible sourcing and processing of raw materials and batteries in Ukraine by organising capacity building events for public administration and trainings for companies;
  • Digitalise and strengthen data management of Ukrainian mineral resources/reserves by creating ‘Data room’ – a repository with digital geological reports, and de-classifying and re-assessing raw materials reserves using international standards;
  • Enhance the use of Earth-observation programmes and remote sensing to strengthen new resource exploration, and monitor environmental performance of mines during operations and post-closure;
  • Identify and conduct joint-venture projects for EU and Ukrainian industrial and investment actors by using Business Investment Platforms of the European industrial alliances.

The EU and Ministry of Ecology and Natural Resources also launched cooperation on the EU technical assistance support under the strategic partnership. The EU topped-up its 2021 technical assistance programme to the Ukrainian government and companies by € 750,000. Further substantial assistance support for capacity building, trainings and studies is foreseen as from 2022.

The European banks, i.e. the EIB and the EBRD, will also mobilise financial and investment instruments to support concrete actions under the Memorandum of Understanding and the Roadmap.

Today’s strategic partnership was developed under the existing framework of the EU-Ukraine High Level Industrial Dialogue – Working Group on Raw Materials. This collaboration structure will also be used for monitoring and discussing the matters of relevance to its implementation. A regular biennial high-level meeting, at ministerial level, will take stock of the strategic partnership, discuss possible new collaborations and endorse future roadmaps.

Members of the College said:

Vice-President Maroš Šefčovič, responsible for Interinstitutional Relations and Foresight, said: “I am honoured to launch, on behalf of the EU, this strategic partnership on raw materials and batteries with Ukraine. This new chapter in EU-Ukraine cooperation will not only strengthen our political bond, but will also bring a wide range of opportunities for EU and Ukrainian industry – and ultimately help create and preserve local jobs in future-oriented areas, intrinsically linked to the ongoing green and digital transitions.”

Commissioner Thierry Breton, responsible for the Internal Market said: “I am pleased to see concrete results of the Commission’s Action plan on Critical Raw Materials. This partnership will contribute to diversifying the EU supply of raw materials and addressing some of the strategic dependencies identified in the updated Industry Policy Strategy.   The high potential of the critical raw materials reserves in Ukraine, together with the need for modernisation of its extractive industry underpinned by improving the legal and administrative framework for investors and geographical vicinity, represent a solid base for the mutually beneficial partnership.”

Commissioner Olivér Várhelyi, responsible for Neighbourhood and Enlargement said: “The strategic partnership on raw materials and batteries will allow us to enhance economic links as launched under the EU-Ukraine Association Agreement, including the Deep and Comprehensive Free Trade Area (DCFTA). This will contribute to a strengthened resilience of the economy – a key aim of the recently adopted Economic and Investment Plan for the Eastern Partnership, in the implementation of which Ukraine will play an important role.”

Background

For Europe, this represents already the second partnership on raw materials signed recently, following the partnership with Canada signed on 15 June 2021.

In September 2020, the Commission published an Action Plan on Critical Raw Materials, to address the current and future challenges, and proposes actions to reduce Europe’s dependency on third countries. To do this, it proposes diversifying supply from both primary and secondary sources, improving resource efficiency and circularity while promoting responsible sourcing worldwide. The Action Plan aims to foster Europe’s transition towards a green and digital economy, and at the same time, bolster Europe’s resilience and open strategic autonomy in key technologies needed for such transition.

Similarly, the Commission adopted a strategic Action Plan for batteries in 2018, which sets out a comprehensive framework of measures to support all segments of the battery value chain, following the launch of the European Battery Alliance set up in 2017.

The EU-Ukraine Strategic partnership on raw materials and batteries is the second strategic partnership launched by the EU and will help to deliver the key objectives of the Critical Raw Materials Action Plan. The partnership on raw materials and batteries also builds on the Strategic Energy Partnership signed with Ukraine in 2016, which was instrumental in bringing two energy markets closer progressing with infrastructure development and the approximation of legal frameworks.

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Escalation of violence in Gaza

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Destruction in Gaza following an Israeli strike (file photo) UNOCHA/Mohammad Libed

The ongoing and serious escalation of violence in and around Gaza between Palestinian militants and Israel has claimed the lives of 13 Palestinians by Israeli airstrikes, including a 5-year-old child and one woman, informed Lynn Hastings, UN Humanitarian Coordinator in the territory.

In a statement published on Saturday, Ms. Hastings expressed her grave concern for the situation that has left more than 100 Palestinians injured, as well as 7 Israelis.

Residential areas in both Gaza and Israel have also been hit and 31 families in Gaza are now homeless.

“The humanitarian situation in Gaza is already dire and can only worsen with this most recent escalation.   The hostilities must stop to avoid more deaths and injuries of civilians in Gaza and Israel. The principles of international humanitarian law including those of distinction, precaution and proportionality must be respected by all parties”, she urged.

Basic services in danger

Ms. Hastings warned that fuel for the Gaza Power Plant is due to run out this Saturday and electricity has already been cut.

“The continued operation of basic service facilities such as hospitals, schools, warehouses, and designated shelters for internally displaced persons is essential and now at risk”, she cautioned.

The Humanitarian Coordinator added that movement and access of humanitarian personnel, for critical medical cases, and for essential goods, including food and fuel into Gaza, must not be impeded so that humanitarian needs can be met. 

She also underscored that Israeli authorities and Palestinian armed groups must immediately allow the United Nations and its humanitarian partners to bring in fuel, food, and medical supplies and to deploy humanitarian personnel in accordance with international principles.

“I reiterate the United Nations Special Coordinator’s appeal on all sides for an immediate de-escalation and halt to the violence, to avoid destructive ramifications, particularly for civilians”, Ms. Hastings concluded.

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Nuclear-free world is possible, test-ban treaty chief says

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Nuclear weapons will continue to pose a risk to humanity unless countries fully adhere to the treaty that prohibits their testing, a senior UN official said at a press conference in New York on Friday. 

Journalists were briefed by Robert Floyd, Executive Secretary of the body that oversees the Comprehensive Nuclear Test-Ban Treaty (CTBT), which opened for signature 25 years ago but has yet to enter into force because it requires ratification by a handful of key countries, which have nuclear capabilities. 

“Once in force, the CTBT will serve as an essential element of a nuclear weapons-free world. In order to achieve this world, we all aspire to, a universal and effectively verifiable prohibition on nuclear testing is a fundamental necessity,” he said. 

World at risk 

Mr. Floyd was speaking against the backdrop of the latest nuclear non-proliferation conference, which began this week at UN Headquarters after two years of pandemic-related delays. 

Countries are reviewing progress towards implementing the 50-year-old Treaty on the Non-Proliferation of Nuclear Weapons

At the opening on Monday, UN Secretary-General António Guterres warned that the world was “just one misunderstanding, one miscalculation, away from nuclear annihilation”

“Until we have full adherence to the CTBT, nuclear testing and the proliferation of nuclear weapons will continue to pose unacceptable risk to humanity,” said Mr. Floyd. 

Drop in testing 

The CTBT complements the non-proliferation treaty, said Mr. Floyd, and it has already made a difference in the world. 

“We’ve gone from over 2,000 nuclear tests conducted between 1945 and 1996, to fewer than 12 tests since the treaty opened for signature,” he said. “Only one country has tested this millennium.” 

The treaty has also received near-universal support. So far, 186 countries have signed the CTBT, and 174 have ratified it, four in the last six months alone.  

However, entry into force requires that the treaty must be signed and ratified by 44 specific nuclear technology holder countries, eight of which have yet to ratify it: China, Egypt, India, Iran, Israel, the Democratic People’s Republic of Korea, Pakistan and the United States. 

Asked about these countries, Mr. Floyd replied “they have their own calculus and strategic objectives and geopolitical considerations as to whether they feel free to move forward”, adding that they all support the CTBT and its objectives. 

Helping nations 

Mr. Floyd also reported on the activities of the organization that promotes the treaty, which he heads. 

The CTBTO, as it has known, has built a state-of-the-art verification system to detect nuclear explosions, capable of 24/7 monitoring.  

Staff also train inspectors from Member States so that they are ready to conduct on-site verifications once the treaty enters into force. Furthermore, countries use CTBTO data for civilian and scientific applications, such as tsunami warning systems and other university research. 

“Even without having entered into force, the CTBT is already helping to save lives in countries around the world,” said Mr. Floyd.  “Even those that have not yet ratified the treaty are benefiting from this global collaboration and technological expertise.” 

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Horn of Africa faces most ‘catastrophic’ food insecurity in decades

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A child of seven months is being examined for malnutrition due to the severe drought in Somalia. © UNICEF/Sebastian Rich

The World Health Organization (WHO) warned on Tuesday that the Greater Horn of Africa is experiencing one of the worst hunger crises of the last 70 years.  

More than 37 million people are facing acute hunger, with approximately seven million children under the age of five acutely malnourished in the region.  

While finding food and safe water is the absolute priority, WHO said that ensuring a strong health emergency response is needed to avert preventable disease and deaths.  

The UN agency is calling for $123.7 million to respond to rising health needs and prevent a food crisis from turning into a health crisis.  

“The situation is already catastrophic, and we need to act now,” said Ibrahima Soce Fall, WHO Assistant Director General for Emergencies Response. “We cannot continue in this underfunding crisis”. 

Severe drought  

The Horn of Africa includes Djibouti, Somalia, Sudan, South Sudan, Ethiopia, Uganda, and Kenya.  

Climate change, conflict, rising food prices and the COVID-19 pandemic have compounded one of the worst droughts in the region in recent decades, according to the WHO appeal

“There are now four seasons where the rain didn’t come as predicted and a fifth season is estimated to also fail. Places where there is drought the problem keeps worsening and worsening,” said WHO Incident Manager Sophie Maes.  

“In other places like South Sudan, there have been three years of consecutive flooding with almost 40 per cent of the country being flooded. And we are looking at something that is going to get worse in the near future.”  

Hunger crisis 

Over 37 million people in the region are projected to reach the third level of the Integrated Food Security Phase Classification scale (IPC3) and higher in the coming months.  

This means that the population is in crisis, and only marginally able to meet minimum food needs by depleting essential livelihood assets or through crisis-coping strategies. 

The effects of drought are particularly severe in eastern and southern Ethiopia, eastern and northern Kenya, and southern and central Somalia.  

Food insecurity in South Sudan has reached the most extreme levels since independence in 2011, with 8.3 million people comprising 75 per cent of the population facing severe food insecurity. 

Cost of inaction 

Acute malnutrition leads to increased migration as populations move in search of food and pasture, according to WHO. 

And disruptions often result in deteriorating hygiene and sanitation as outbreaks of infectious diseases, like cholera, measles, and malaria, are already on the rise.  

Moreover, weak vaccination coverage and health services with insufficient resources could see a widespread increase in the number of disease outbreaks in country and across borders.

Care for severely malnourished children with medical complications will be severely impacted and result in high child mortality rates.  

Disruptions in access to health care can further increase morbidity and mortality, as emergency conditions force populations to modify their health-seeking behaviour and prioritize access to life-saving resources such as food and water.

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