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1 New Democratic Party of Canada Submission to the DFATD Consultation on the Draft Civil Society Partnership Policy Introduction August 2014 The New Democratic Party welcomes the opportunity from the Government of Canada to participate in the Department of Foreign Affairs, Trade and Development s consultation on the draft Civil Society Partnership Policy released in June Under the Conservative government, Canada s international development sector has been subject to major changes that have had a measurable negative effect on civil society. Canada s international assistance envelope is shrinking; the Conservative government is making changes, without proper consultation, to established funding mechanisms, policy priorities and focus countries; and a disproportionate focus on the private sector and a lack of engagement with Canadian civil society has resulted in a troubling picture. The Canadian international development sector is vibrant, experienced, and effective. Ongoing and meaningful participation is part of effective partnership, and CSO input should be actively sought in designing policy. The New Democratic Party is therefore encouraged by recent steps taken by DFATD leadership with regard to the draft Civil Society Partnership Policy, and we welcome recent indications from the Government of Canada that improved relationships with civil society will be a priority. However, we remain concerned that the general direction taken by the Conservatives misses the point of international development. In this document we outline our concerns and recommendations for the Government of Canada as it moves forward with its new civil society partnership policy. We also strongly encourage the Government of Canada to adopt the recommendations in the 2014 report, Establishing an enabling environment for civil society organizations in Canada: Key issues affection Canadian international development and humanitarian organizations, published by the Canadian Council for International Co-operation (CCIC) and the Inter-Council Network (ICN). Areas of Concern for the NDP Cuts to Official Development Assistance 1
2 New Democrats believe the goal of Canada s international development assistance should first and foremost be poverty reduction as prescribed by the Official Development Assistance Accountability Act (ODAAA). We note the May 2012 finding of the OECD Development Assistance Committee (DAC) peer review that Canada lacks a clear, top-level statement that sets out its vision for development cooperation. New Democrats oppose the severe cuts made by the Conservative government to Canada s international assistance envelope. At a time when other donors such as the United Kingdom are increasing their foreign aid, Canada s aid is declining. According to DAC, in 2013 Canada s rank as an aid donor fell from 6 th to 10 th, and Canada s aid- GNI ratio came in at 0.27% - well below the DAC average. In addition to expected cuts of nearly 8% over three years from , in the fiscal year Canada lapsed roughly $290 million in funds earmarked for foreign aid. Under the Conservatives Canada s international image as a generous donor has been tarnished. With this is mind, the NDP makes the following recommendations: Canada should immediately restore the aid budget and reverse the cuts, with a view to setting a timetable for reaching the goal of 0.7% ODA to GNI as soon as possible, as the OECD DAC review recommended. The Government of Canada should implement all recommendations from the 2012 OECD DAC review, including the recommendation that Canada establish a clear, simple and consistent vision for Canadian (international development) one that is anchored sustainably within its foreign policy and that remains stable over the long term. Official Development Assistance Accountability Act The Government of Canada s draft Civil Society Partnership Policy notes the importance of the Official Development Assistance Accountability Act (ODAAA), which mandates that Canadian ODA must be focused on poverty reduction, take into account the perspectives of the poor, and be consistent with international human rights standards. In its May 2013 report, the Auditor General of Canada found that the Government of Canada s ODA considerable contributions to multilateral organizations were made without a clear picture of how the work of those organizations met a key provision of the ODAAA, namely, that the organizations take into account the perspectives of the poor. 2
3 New Democrats are concerned that DFATD does not have a mechanism to properly monitor and implement the ODAAA in program development. The Conservative government has not shown how every part of its international development programming, especially partnerships with the extractive sector, contribute to poverty reduction, take into account the perspectives of the poor, and are consistent with international human rights standards. Recommendation: The Government of Canada must ensure that Canadian ODA follows the criteria outlined in the ODAAA, and that there are transparent mechanisms to account for this. Funding mechanisms and Canadian CSOs In addition to cuts to international development funding, changes within the funding structure at former CIDA/DFATD have had a number of negative impacts on the Canadian CSO sector. As the 2014 CCIC/ICN report outlines, many Canadian organizations have felt an impact on their work and their organizations as a result of changes to Partnership with Canadians Branch (PwCB) funding. The lack of adequate and predictable funding for the sector has had a negative impact on Canadian CSOs work on the ground. Faced with far fewer calls for proposals, many organizations have reduced their staff and international activities; long-term partnerships with CSOs in developing countries have ended; and some CSOs are at risk of closing entirely. CSOs need predictability, but also flexibility in order to achieve development outcomes in rapidly changing circumstances. The Government should also consider long-term funding that goes beyond shorter budget cycles. New Democrats believe that decreased funding, a lack of transparency and frequent changes in government priorities and funding mechanisms have resulted in a civil society sector that is struggling to adapt. Canada s civil society sector is experienced and effective at building long-term partnerships and achieving positive development outcomes overseas yet recent actions by the Government of Canada do not take into account the importance of long-term partnerships or established areas of Canadian international development expertise. Further, recent changes to Canada s countries of focus are concerning as this indicates a stronger alignment of our international assistance with trade interests. This trend leads us to question the neutrality of Canadian aid. New Democrats believe the private sector has an important role to play in international development and we encourage the development of new partnerships. However, we note that, while the work of Canadian companies in developing countries may contribute to economic growth, this does not automatically translate into increased 3
4 well-being of the population in general. Many more conditions including strong labour, human rights, gender equality, governance and environmental standards - also have to be met. Canada s development focus should start from the perspectives of the poor, as required by the ODAAA, rather than trade interests. Canadian CSOs have decades of experience working on these issues, and their expertise must form the backbone of Canadian interventions abroad. Further, the emphasis on partnering with the private sector especially Canadian extractives has led to much discomfort within the civil society sector. The Draft Civil Society Partnership Policy rightly notes the role of CSOs as implementers in providing services, including to poor and marginalized people, in areas underserved by governments or the private sector. However, we are concerned that CSOs with experience in advocacy and human rights, and those who are reluctant to partner with the private sector, are increasingly shut out of funding opportunities. Recommendations: The Government of Canada should consider different organizational needs and capacities when developing funding mechanisms. CSOs play diverse roles, including small and medium-sized CSOs that have established specialized geographic and thematic niches that allow them to be highly effective. CSO input should be actively sought in designing government policy. Funding mechanisms must be predictable and transparent. Effective development assistance depends on funding predictability. Canada s CSOs should be able to anticipate what resources may become available to them. The Government of Canada should consider how overly detailed requirements and funding applications affect CSOs, especially smaller and medium-sized CSOs with fewer staff and resources. The Fifth Report of the FAAE Committee, Responding to the Conflict in Syria, recommended That the Government of Canada disburse its pledged humanitarian funds as efficiently and immediately as possible, while giving its partner organizations as much flexibility as possible to respond to rapidly changing circumstances. The Government of Canada should also encourage its development assistance partners to demonstrate similar timeliness and flexibility in making and fulfilling their assistance commitments. The Government agreed to this recommendation, which should be standard practice. We recommend the Government of Canada adopt the recommendations of the New Democratic Party of Canada in response to the 2012 Report of the Standing Committee on Foreign Affairs and International Development on the role of the private sector in international development. We also recommend the Government apply, where appropriate, the recommendations in the NDP s Report on Foreign Affairs Committee Hearings on Corporate Social Responsibility (2014) and the NDP Submission 4
5 to the Government of Canada s Review of Corporate Social Responsibility Strategy for the Canadian Extractive Sector (2014). Engaging Canadians and Advocacy The New Democratic Party believes public engagement is a key element in successful international development policy, both at home and abroad. Under the Conservative government, however, CIDA abandoned the 10% allowable allocation to public engagement. We believe DFATD should support the active involvement of Canadians in development cooperation by reinstating or creating new funding mechanisms that support Canadian CSOs in engaging Canadians. The Government of Canada s draft Civil Society Partnership Policy notes that CSOs also contribute to development as advocates. The New Democratic Party believes that the Government of Canada should increase support to Canadian and developing country CSOs for advocacy work. Holding governments to account for the use of public funds and for policy choices and program implementation should be a priority. New Democrats also believe that the Canadian government should provide support for Canadian and developing country CSOs advocating international human rights, governance, labour, gender equality, and environmental standards, including in countries in which Canadian companies operate. Recommendations: DFATD should support the active involvement of Canadians in development cooperation by reinstating or creating new funding mechanisms that support Canadian CSOs in engaging Canadians. Conclusion The New Democratic Party is deeply concerned about the Conservative government s relationship to civil society in general. While we are encouraged by International Development Minister Christian Paradis recent steps towards improving relations with the civil society sector, on a broader scale this does not reconcile with the Conservative government s actions to silence progressive civil society organizations in the environmental, women s, human rights and other sectors. We hope, therefore, that DFATD will take seriously the recommendations from civil society, including CCIC and ICN as outlined in their 2014 report. Ongoing and meaningful consultation is part of effective partnership and effective development policy. Canada s civil society sector is well-place to advise the government on how to implement assistance in compliance with the ODAAA, develop mechanisms to improve citizen engagement, and ensure that Canada s international development policy truly reflects Canadian values and priorities. 5
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