2030 WRG MONGOLIA ENGAGEMENT Key Lessons Learned on Multi-Stakeholder Governance Executive Summary T his report captures the lessons learned from 2030 Water Resources Group’s (2030 WRG) Mongolia Multi-Stakeholder Platform (MSP) to strengthen 2030 WRG’s ongoing and future multi-stakeholder programmes, marking the exit of the 2030 WRG as the facilitator and secretariat of the Mongolia MSP. To do this, relevant documentation was reviewed, and key partners were interviewed, including members of the 2030 WRG team. The focus was both on the overall program (approach, milestones and achievements, theory-in-use) and 2030 WRG’s functioning as the multi-stakeholder platform facilitator. Setting the Scene 2030 Mongolia Engagement: A Brief Overview Mongolia faces important water resources To address the water resources challenges, important reforms to the legal and challenges. High reliance on groundwater policy environment of water resources management have been ongoing for decades. due to rainfall variability, in combination Translating these reforms into practice proved difficult, though. This moved Tsakhiagiin with its increasing consumption by Elbegdorj, then President of the People’s Republic of Mongolia, to ask 2030 WRG in 2011 to support Mongolia in improving its water resources management through an MSP industries and mounting pollution are approach. In 2013, the 2030 WRG Mongolia partnership was officially launched. putting pressure on limited groundwater resources. A high-demand scenario under 2030 WRG engagements follow a three-step process of engagement known as a technical assessment conducted by Analysis-Convening-Transformation (ACT). Accordingly, 2030 WRG kickstarted its 2030 WRG sketches a reality that by Mongolia engagement with a targeted analysis of the country’s water challenges and 2030, 43% of the total water demand in opportunities. This was followed by convening a multi-stakeholder platform Steering Board comprising public and private sector and civil society decision-makers. The the capital city of Ulaanbaatar, and by analytics identified three workstreams: 2040, 34% of the water demand in the mining sector, will not be met by existing WORKSTREAM supplies. This strain on Mongolia’s water 1 Water demand reduction and supply augmentation WORKSTREAM resources is intensified by climate change, leading to an annual mean air temperature 2 Water valuation and incentives for sustainable water management WORKSTREAM increase of 2.25°C, which is triple the global average. 3 Strengthening water governance with multi-stakeholder partnership STEERING BOARD Chaired by State Secretary, Ministry of Environment and Tourism (MET) WORKSTREAMS 1 2 3 Water demand reduction and Water valuation and incentives for Strengthening water governance with supply augmentation sustainable water management multi-stakeholder partnership Chair: Head of Enabling legal Chair: Head of Green Setting water Chair: Head of River Strengthening water Water Resources environment for Development Policy ecological- Basin Administration governance at river Division – MET wastewater treatment Planning Department economic valuation Division – MET basin level and reuse – MET Figure 1. 2030 WRG Mongolia partnership workstreams overview While 2030 WRG facilitated the processes, local partners were always in the lead. The engagement that followed supported the Mongolian Government to strengthen water resources governance and management at a national level and at the river basin level. Central to this was 1) generating analytics to focus and ground multi-stakeholder processes and dialogues, 2) improving the policy framework, including supporting policy instruments, for more effective implementation, 3) incentivizing and stimulating more sustainable water resources management practices, and 4) strengthening water resources governance and management at the river basin level. Key activities were analyzed, multi-stakeholder consultations conducted, joint appraisals of international best practices undertaken, lessons identified, and capacity building undertaken. The following key achievements can be celebrated: 1. Outputs contributing to improved water resources policy framework, including supporting policy instruments: ❙ Revised and improved methodology for water ecological-economic valuation ❙ National Standards for Treated Wastewater Reuse (MNS6734: 2018) ❙ Revised and improved water pollution fee law, including uptake of polluter pays principle and a simpler methodology to estimate pollution levels in domestic and industrial wastewater ❙ Assessment and recommendations for improving urban water tariff system ❙ New national Integrated Water Resources Management (IWRM) strategy and plan, aligned with the new national development policy program, Vision 2050, and the Environmental Targeted Program (ETP) 2. Outputs contributing to improved water resources management: incentivizing and stimulating better water resources management ❙ Voluntary Code of Practice for mine water management signed by 11 mining companies ❙ Golden Drop award ❙ Demo project at the Teachers’ Development Institute in Ulaanbaatar to show feasibility and added value of reusing treated wastewater and providing a replicable approach ❙ Wastewater reuse projects in Ulaanbaatar resulting from 2030 WRG’s technical hydro-economic analysis on Ulaanbaatar city, which mobilized close to $100 million from the Millennium Challenge Corporation ❙ Groundwater portal and dashboard 3. Output contributing to improved water resources governance and management at the river basin level ❙ Improved River Basin Council (RBC) guidelines ❙ Improved capacity and knowledge dissemination at the stakeholder level to ensure adequate performance of the RBC Multi-stakeholder Platform Resilience Appraisal To appraise 2030 WRG’s performance as facilitating unit, the KORUMO multi-stakeholder platform resilience dashboard (MSP resilience dashboard) was used. It has five indicators to evaluate performance: visioning, facilitation, adaptability, governance, and financial sustainability. KORUMO scored 2030 WRG’s performance based on their review. 2030 WRG scored well, especially in terms of facilitation, governance, and financial sustainability. They were fully in service of the MSPs and principles such as transparency, ownership and inclusion guided the entire process. This was time-consuming and labor intensive, but it was also fundamental to the achievements of the program. In terms of visioning, 2030 WRG also performed well. Their performance could have been improved, however, by adding an adaptive theory-of-change to the design of the ACT approach. Lessons Unearthed Safeguard shared vision by guiding multi- you start’ attitude. Having milestones to celebrate intensify LESSON stakeholder interventions with explicit, coherent, stakeholders’ drive. In line with this, it is also worthwhile investing 1 and consistent visioning. The programme reveals a coherent and consistent theory-in- in an exit strategy of the external facilitator into the MSP design. It should be an integral part of the plan. This aligns expectations use. To safeguard unity and effectiveness of multi-stakeholder and can ensure a suitable exit at an opportune moment. processes an explicit theory-of-change is beneficial. Use analytics effectively and prioritize LESSON 4 Effective facilitation of an MSP implies working knowledge exchange. Analytics can be used to LESSON 2 in service of the MSP. Having a neutral broker ground complex dialogues and processes. They can stimulate a successful MSP, especially in can demystify challenges and provide a focus tense situations where trust between partners on solutions. To realize this, stakeholders must understand the is lacking and stakeholders are not yet aligned in terms of the analytics involved and this often implies targeted engagement interests they pursue. Neutrality should be complemented with with specific stakeholders to guide them through relevant data competence. In particular, the ability to thoroughly understand and documentation. the context and its inherent complexities, but also the different stakeholders’ needs and interests. Regarding stakeholders, 2030 In addition to using data, knowledge exchange should be a priority WRG learned that engaging the right stakeholders, in a balanced of any multi-stakeholder process. Knowledge exchange can way from the start is an important ingredient for success. It might drive progress by, for instance, avoiding MSPs from reinventing be time-consuming and labor intensive but is key to an effective the wheel. It can also, however, drive replication and upscaling. MSP. Lastly, adhering to guiding principles like transparency, Knowledge exchange is relevant at both international and local continuous engagement, inclusiveness, and the maintenance of levels. In case of international lessons and best practices, it is high-quality will cultivate ownership, accountability, and respect. relevant to include experts who can help translate and adapt This is key to effectively facilitating an MSP. foreign solutions to local realities effectively. Be concrete and ‘finish what you start’. By Embrace serendipitous opportunism by LESSON LESSON 3 being sensitive and responsive to contextual 5 focusing on concrete outputs and anchoring such outputs for durability, stakeholders opportunities when envisioning an MSP. remain motivated, and the sustainability of Sometimes various elements, such as the MSP is more likely. If an output involves planning, involve willingness and resources, come together to produce fruitful the stakeholders who need to execute the plan. This will ensure opportunities. Being sensitive and responsive to such situations higher impact. Accompany concrete outputs with a ‘finish what can provide a notable impetus for progress. Conclusion Considering the water resources challenges that Mongolia faces, improving the country’s water resources management is critical. In 2013, 2030 WRG and the Mongolian government launched the 2030 WRG Mongolian partnership to support efforts to improve water resources management in Mongolia. From 2013 to 2022, 2030 WRG led the MSP to implement more sustainable practices throughout the extractive sector, enabled a legal and policy environment that is more conducive to sustainable water resources management, and increased capacity where actual implementation of more sustainable management practices are relevant, i.e., at the river basin level. Successful ingredients of the 2030 WRG approach included: ❙ Commitment to the MSPs and their partners ❙ Competent and knowledgeable interventions for impact on the ground ❙ Inclusive and qualitative engagements to align stakeholders and drive the sustainability of initiatives This, together with the importance given to transparency, cultivated important levels of respect and ownership as well as mutual accountability. In addition, 2030 WRG facilitated the MSPs to anchor outputs in both legal and policy frameworks and human capacity. This is powerful, as it will increase the probability of the MSP’s impact enduring. Partners are positive about the advances made and feel that they could not have attained these reforms and changes as competently and timely without the facilitation of 2030 WRG. As 2030 WRG withdraws, it will be up to the local partners to reflect and see how they will move forward. The knowledge and competence are in Mongolia. Ultimately, it is up to the partners to take this forward. Facilitating multi-stakeholder processes to address complex issues, such as water resources management, however, is not straightforward and this is where this report and in particular the lessons included intend to contribute.