NGO funding: What your government can do for you
The lack of funding is a familiar problem for environmental NGOs
throughout Central and Eastern Europe. Many NGOs turn to organizations
like the REC for funding of projects, but they are also turning to
their governments for assistance. Such cooperation is a sign of new
relationships forming between government and citizen groups. But just
how much are governments giving?
For this Focus section, The Bulletin conducted an informal survey of
REC Local Representatives to learn what governments of the Region are
doing to help environmental NGOs. The facts in the following three
pages are based on their responses to the survey. The information
includes approximately how much money in grants has been available
since 1990, how and where NGOs can apply for funds, the fairness of the
funding process, and some general statements about the relationship
between NGOs and their governments.
This is valuable information, but as far a we know, no one has ever
tried to gather it before. The reason for this is simple - it is
difficult to obtain. As readers will notice, we could not receive
complete and precise data from all 10 countries, nor were we able to
verify all the information. The main reason for this is that government
agencies record their expenditures differently; some simply do not
record the amount of money they give to NGOs. Instead they may track it
by topic (such as environmental education or water protection) or by
sector (public, private institutions, municipalities). Others do not
release this information, or do so only reluctantly because of old
habits, or because it is difficult even for officials to obtain it.
Nevertheless, these results say much about governments, their financial
circumstances, their attitudes toward NGOs, and the differences among
the national environmental movements in the Region.
Five countries have national environmental protection funds that grant
and loan large amounts of money to many different kinds of public and
private institutions, and small amounts are occasionally awarded to
NGOs. The money is collected in environmental taxes and fines from
polluters. Unfortunately, exact figures on the amounts given from
national funds to NGOs could not be compiled for this report. The
countries with national environmental protection funds are: Bulgaria,
the Czech Republic, Hungary, Poland, and the Slovak Republic.
In 1994 Albania's Committee of Environment Protection funded
environmental NGOs for the first time in the country's history.
Unfortunately, because of a severe lack of financial resources, that
amount totalled about USD 60, which came from an environmental tax on
polluters based only on an unenforced rule. Such funding was not
included in the committee's budget.
To get money, NGOs need only apply. A key criterion is that NGOs need
to have a good reputation within the environmental NGO community.
Funds Awarded:
1990-1993: Committee of Environmental Protection: None.
1994: CEP: USD 60 to 2 NGOs.
Bulgaria
The Ministry of Environment, a small but important government funding
source, has good relations with NGOs and awards funds fairly. The
ministry partially or wholly finances NGO projects that have been
evaluated and approved by the respective offices of the ministry and
the Department of Information and Public Relations. All environmental
NGOs can apply. Funds are channelled to the ministry of environment
from Bulgaria's national environmental protection fund. In the
ministry's simple procedure, two criteria are that projects be of high
quality and be in compliance with the national strategy and policy for
environmental protection. The ministry will soon make funds available
on a competitive basis for earmarked subjects. This will occur two or
three times a year allowing all NGOs to take part.
Funds Awarded:
1990-1992: Amounts not available.
1993: Ministry of Environment (MoE): USD 14,000. Number of NGOs not available
1994 (to September): MoE: USD 18,600.
Croatia
Croatia's government has not budgeted any funds to finance
environmental NGOs. Because of the war, money for humanitarian causes
has taken precedence over environmental funding. The two main sources
of funds until November 1994 were the Ministry of Civil Engineering and
Environmental Protection, and the Ministry of Education and Culture.
(This has changed because of government restructuring. The new State
Directorate for Environment will be responsible for all environmental
issues, including funding of NGOs.) The first source was the only
source of funds until 1994. Financing from it was small and dependent
upon the private donors who responded to requests made by the
government for specific projects. Usually, the assistance to NGOs is
not financial, but in-kind. It includes press conference space,
telephone use, and translating and publishing of documents. Rules for
awarding grants to NGOs exist within the ministries, but are not
publicly available. The Parliamentary Committee for Environmental
Protection provides infrequent small amounts of support. Croatia hopes
to soon establish a national protection fund which would improve the
funding situation.
Funds awarded:
1990-1992: Amounts not available.
1993: Ministry of Environment (MoE): USD 4,500 to approximately 6 NGOs.
1994: MoE: USD 23,500 to approximately 6 NGOs.
Czech Republic
In the Czech Republic, NGOs have benefitted from the sympathy of
environment ministers who have NGO or academic backgrounds. The money
awarded by the Ministry of Environment is based on applications it
receives. Competition for funds in the Czech Republic has increased
every year since 1989. Most of the funds go to the Czech Republic's
largest and strongest NGO, the Czech Union for Nature Conservation
(CSOP).
The Ministry of Environment is the main government source of NGO
funds. There are two kinds of grants NGOs can apply for: (1)"direct"
grants on varying subjects, and (2)"indirect" grants based on a topic
determined and announced by the ministry and awarded on a competitive
basis. The Ministry of Education and the national environmental
protection fund also give grants of an unspecified amount. Information
on funding before the split of Czechoslovakia in 1992 is not available.
Funds Awarded:
1990-1992: Amounts not available.
1993: Ministry of Environment (MoE). USD 372,700 to 46 NGOs.
1994: MoE: USD 376,400 to 49 NGOs.
Hungary
Hungarian environmental NGOs have access to several sources of
government funding. Offering a total of nearly USD 1 million per year,
they are: the Hungarian Parliament, the Ministry for Environment and
Regional Policy, and the Ministry of Culture and Education. The biggest
funder for all kinds of NGOs is Parliament. It makes grant decisions at
the beginning of each year and has a very short and general set of
guidelines available to the public. Some NGOs have criticized the
parliament for a lack of transparency in its decision making process.
Others have criticized it for favoritism. The ministry of environment,
on the other hand, has a good relationship with NGOs, particularly in
its nature conservation department. The Ministry of Culture and
Education advertises calls for tenders on a variety of subjects.
Hungary has also established a national environmental protection fund.
Funds Awarded:
1990: Ministry of Environment (MoE): USD 583,000 to 1 NGO.
1991: MoE: USD 473,000.
Ministry of Culture and Education (MoCE): USD 54,000 to 40 NGOs.
Hungarian Parliament (HP): USD 772,000 to 37 NGOs.
1992: MoE: USD 443,000.
MoCE: USD 50,600 40 to NGOs.
HP: USD 802,000 to 44 NGOs.
1993: MoE: USD 327,000.
MoCE: USD 28,000 40 to NGOs.
HP: USD 644,900 to 49 NGOs.
1994: MoE: USD 333,300.
MoCE: USD 28,600 40 to NGOs.
HP: USD 76,000 to 49 NGOs.
Government Funding to Environmental NGOs
based on an informal survey of REC Local Representatives
Total awarded in 1994 (in USD*)
1994 Government Funding as a Percentage of GDP**
*Excluding grants from National Environmental Protection Funds
**Source for GDP figures (1993): Morgan Stanley
There are two large obstacles for environmental NGOs in the Former
Yugoslav Republic of Macedonia. First is the financial crisis which
draws attention and funds away from environmental protection. Second is
the attitude of some government officials who still oppose funding NGOs
in principle because they believe that NGOs are opposed to government.
The government of FYR Macedonia has given almost no money to
environmental NGOs so far. Organizations may ask for grants in FYR
Macedonia from the Ministry for Physical Planning, Civil Engineering,
Traffic, and Ecology (the ministry of environment), but there are no
guidelines describing the types of projects that will be funded. The
ministry has no money in its budget for funding NGOs. The Ministry of
Science funds all types of research projects on a competitive basis
provided the project manager has a Ph.D. Qualifying NGOs have never
applied for these. Instead, they receive sponsorship from businesses
and international funding sources. Some municipalities lend office or
conference space (3 NGOs so far).
Funds Awarded:
1990-1993: Amounts not available.
1994: USD 1,800 to 1 NGO.
Poland
Three government funding sources in Poland are open to NGOs, and
they distribute many grants and loans. The first source, the Ministry
of Environmental Protection, Natural Resources and Forestry, funds
research, inventory and design work, operational costs (salaries,
equipment), and environmental education projects (if they are part of a
larger nature conservation project). Any NGO is eligible for support
from the ministry and there are no political preferences. In 1994, the
ministry gave priority to national or inter-regional projects.
The second source, Ecofund, is a mechanism that transfers foreign debt
to environmental purposes. It can only fund part of the costs of any
project and projects must relate to biodiversity protection. Ecofund
supports only investments and well-defined projects which produce
specific measurable environmental results. It prefers bigger projects
(USD 10,000 and above) which have clear accounting methods. Some NGOs
have advantages. Most of the awarded NGO projects involved direct
activities protecting birds of prey and wetland habitats. Ecofund
grants money to the National Foundation for Environmental Protection,
which is not an NGO in the strict sense because it is not a grassroots
citizen movement, yet is included in the NGO category because it is not
a governmental organization per se.
Local governments also support NGOs with an unspecified amount.
Importantly, there is also a national environmental protection fund in
Poland.
Funds Awarded:
1990-1992: Amounts not available.
1993: Ministry of Environment (MoE): USD 86,700 to 21 NGOs.
Ecofund: USD 32,000 to 4 NGOs.
1994 (to November): MoE: USD 166,000 to 11 NGOs.
Ecofund: USD 79,204 to 4 NGOs.
1995: Ecofund: USD 65,732 planned (may still be doubled).
Romania
The Ministry of Youth and Sport is the only source of government
funding to environmental NGOs in Romania. Registered youth NGOs can
apply through the Education and Ecological Training Program for their
environmental projects. The Ministry of Youth and Sport's local
branches can also give grants to youth associations that are not
registered. The Education and Ecological Training Program supports
trainings, trips based on certain subjects, working camps, experience
exchange, fellowships, round tables, seminars, conferences, workshops,
contests, exhibitions, publications, clubs, and local projects.
Funds Awarded:
1990-1993: Amounts not available.
1994: Ministry of Youth and Sport: USD 47,000 to 30 NGOs.
1995: MYS: USD 117,600 planned.
Slovak Republic
The Sloval people have had six governments since the regime changes
in 1989. The Slovak Ministry of Environment created guidelines for
funding in 1993 to provide consistency in funding policy, but political
changes within the ministry, where some ministers have been more
receptive to NGOs than others, has considerabley affected the
government's relationship with NGOs.
In both 1993 and 1994, the Slovak Ministry of Environment and the
Slovak Republic's national environmental protection fund gave money for
NGO projects. Officially, funding is based upon proposals that are
reviewed by a ministerial committee. The majority of these funds are
usually given to the larger and older NGOs in the country, like the
Slovak Union of Nature and Landscape Protectors (SZOPK), which have
benefitted from their long relationships with the ministries. Grants
are given only to projects with concrete actions. The amount given to
Slovak NGOs is not fixed. As the total budget of the Slovak ministry of
environment decreases each year, less funding is available to Slovak
NGOs.
Funds Awarded:
1990: Ministry of Environment (MoE): USD 265,357 to 3 NGOs.
1991: MoE: USD 335,000 to 3 NGOs.
1992: MoE: USD 214,300 to 3 NGOs.
1993: MoE: USD 100,000 to 3 NGOs.
1994: MoE: USD 32,300 to 3 NGOs.
1995: MoE: USD 32,300 to 3 NGOs planned.
The Ministry of Environment is the main source of government funds for
environmental NGOs in Slovenia. The relationship between NGOs and the
ministry is generally good because of the new environmental minister
who better understands NGOs' needs and is more receptive towards public
participation.
At the beginning of each year, the ministry of environment announces
a call for tenders on various environmental topics related to
environmental protection and urban planning in which all NGOs may
participate. Political orientation is not relevant in the grant
process. Funds for grants come from the national budget. NGOs may apply
to other ministries, such as the Ministry of Economic Affairs and the
Ministry of Education, for grants, but these other ministries have less
confidence in public groups and rarely award grants.
The figures below include support for public-oriented environmental
projects and direct awards to NGOs. In-kind support is also given.
Funds Awarded (data for 1991-1993 approximate):
1990: Amounts not available.
1991: Ministry of Environment (MoE) USD 15,600 to 3 NGOs.
1992: MoE: USD 81,800 to 3 NGOs.
1993: MoE: USD 37,800 to 3 NGOs.
1994: MoE: USD 118,300 to 28 NGOs.
1995: MoE: USD 113,400 planned.
THE BULLETIN * WINTER 1994