Millennium Challenge Corporation recognizes that the pursuit of sustainable economic growth and a healthy environment are related.

Environmental Guidelines

In order to promote environmentally and social sound projects within its Compacts, MCC requires use of its Environmental Guidelines. These Guidelines define environment broadly—including involuntary resettlement, human health and safety as well as the natural environment.  If loss of access to resources or acquisition of land or assets may occur, MCC applies international good practices and employs the World Bank’s Involuntary Resettlement Policy.  Consistent with MCC’s principle of country ownership, conduct of environmental impact assessments and resettlement action plans is a country responsibility,  guided by MCC’s advice and subject to MCC review. MCC also requires consultation with affected parties and public disclosure of the documents.  The country must carry out measures recommended to mitigate adverse environmental and social impacts. Further, each project is expected to comply with country laws, regulations and standards, as well as requirements by which a country is bound under international agreements.

Environmental Indicator

In July 2006, MCC selected a Natural Resources Management Indicator (NRMI) to be used as one of its country eligibility criteria.

The NRMI is based on a proposal developed by a consortium comprised of Columbia University’s Center for International Earth Science Information (CIESIN), the Yale Center for Environmental Law and Policy (YCELP),  the University of New Hampshire Water Systems Analysis Group, the Wildlife Conservation Society, and the Columbia University Tropical Agriculture Program.

The NRMI is a composite index comprised of four separate indicators:

• eco-region protection
• access to improved sanitation
• access to improved water
• child mortality

Our Programs

El Salvador

As part of the $23.6 million Human Development Program in El Salvador, MCC is investing in water and sanitation projects which involve participatory planning and development of micro watershed management plans intended to establish integrated, long-term strategies for ensuring the sustainability of water resources in beneficiary communities.

Tanzania

MCC and the Government of Tanzania are taking precautions to ensure that upgrading roads does not threaten wildlife migration corridors and facilitate illegal poaching. In order to mitigate potential adverse impacts to wildlife and other natural resources, the Compact is funding the development and implementation of two Wildlife Management Areas (WMAs) which will support community-based conservation programs by providing rural communities with the responsibilities, rights, knowledge, and skills to promote wildlife and tourism as competitive and legitimate land-uses.

Namibia

In Namibia, MCC is funding a $6.7 million natural resource management project focused on increasing household incomes by conserving several indigenous plant species that have commercial value. Communities are provided with the technical resources and tools to improve the management and productivity of the plants.  Beneficiaries will also receive technical assistance to help them establish associations to improve their earnings from the resource.

Lesotho

In Lesotho, MCC is funding a $5 million wetlands conservation and management project which will bring together government, traditional chiefs, and local community members to devise measures for restoring and protecting fragile highland wetlands at the headwaters of the Orange River Basin. These wetlands naturally store and release water and provide pasture land and other subsistence benefits to rural communities. The conservation program will rehabilitate several severely degraded wetlands and examine alternative land management practices which could be implemented to reduce adverse impacts from grazing and other activities, and enhance the social and economic value of the wetlands to local populations.

MCC Goes Green

Matching a commitment to Conservation Abroad with Compliance and Innovation at Headquarters

Recent legislation, including the American Reinvestment and Recovery Act of February 2009, and the Energy Independence and Security Act of December 2007, highlight the importance of energy efficiency and conservation efforts across the U.S. domestic economy and, in particular, within the federal government – which by many reports is the world᾿s largest energy consumer.

MCC believes that energy and resource conservation reflect its core values and commitment to sustainability.  Even though the provisions referenced in the legislation do not generally apply to MCC because the agency headquarters is not in a federally-owned building, the agency is commitment to principles laid out in the legislation and has completed an initial audit of its headquarter operations to assess energy and resource consumption and identify opportunities to improve its environmental performance in a manner consistent with the tenor and substance of these laws.

MCC Headquarters Conservation Plan

In undertaking near-term opportunities for improvements in this area, MCC has already taken steps to reduce the impact of its headquarters operations on the environment. MCC paper now contains 100% post-consumer recycled content and MCC is pursuing strategies that will significantly reduce its paper consumption.  The organization is now eliminating most non-biodegradable food service items (cups, plates, plastic ware).  While much of MCC᾿s space already has motion sensors to automatically turn off lights when no one is around, MCC will make further investments to complete the installation of additional sensors, where needed, in its Washington offices In addition, MCC is aggressively educating staff on the need to change energy use behaviors, such as turning off lights, so that the agency can contribute to reducing costs and minimizing impacts on the environment from its energy consumption.

Going forward, MCC is committed to systematically addressing energy, travel and overall consumption impacts on the environment.  The organization is working to create incentives to reduce costs, energy and resource consumption, and looking at commuting and alternatives to travel, where appropriate, to address its carbon footprint.  Building on these efforts, MCC has already begun working to engage on our longer-term goals, including off-setting carbon emissions, practicing green procurement and enhancing recycling efforts.

These efforts are consistent with MCC’s core commitment to sustainability and will align MCC headquarter operations with the Obama administration᾿s efforts to increase energy efficiency and conservation within the federal bureaucracy.

MCC’s Executive Fleet Vehicles

In compliance with the Presidential Memorandum – Federal Fleet Performance, May 24, 2011 and the General Services Administration Bulletin FMR B-32 Motor Vehicle Management, MCC hereby discloses that MCC maintains an Executive Fleet as set forth below:

• Total Executive Fleet: One (1) vehicle
• Make: Chevy
• Model: Tahoe
• Year of Manufacture: 2011
• Fuel Type: Hybrid electric
• Office: Washington, DC

Climate Change

MCC is working with countries to develop programs that not only address poverty concerns but enhance natural resource management, maintain ecosystems and help countries bolster their resilience to the impacts of climate change.

Examples of how MCC’s poverty reduction projects also help countries address greenhouse gas emissions, adapt to the threat of climate change or meet energy needs through renewable alternatives, include:

• MCC’s Compact with Georgia includes approximately $50 million to help rehabilitate a natural gas pipeline, improve energy security and prevent volatile methane from leaking into the environment.
• MCC’s Compact with Lesotho is supporting a wetlands conservation and management project which is protecting and restoring fragile highland wetlands at the headwaters of the Orange River Basin.
• MCC’s Compact with El Salvador has financed the installment of nearly 1,000 solar power systems and is providing technical assistance for the management of solar power system operation and maintenance.
• MCC’s compact with Mongolia was recently amended to include a $47.2 million energy and environment project. This project is identifying energy efficient technologies such as mortgages for new energy efficient homes, heat-only or low-pressure boilers and solar thermal heating. The program is also producing consumer awareness campaigns on the benefits of energy efficient technologies, making available financial incentives so that such technologies can be quickly adopted and assisting in the development and production of the first commercial wind-powered electricity generation facility in Mongolia.