Completing Renovation of Geneva Headquarters Is Matter of Necessity for United Nations Credibility, Cost-Effectiveness, Switzerland’s Speaker Tells Fifth Committee

Switzerland’s representative today urged the General Assembly’s Fifth Committee (Administrative and Budgetary) to stay the course on the United Nations’ nearly decade-long project to renovate its historic Geneva headquarters — a call that comes as those offices, along with UN Headquarters in New York, face the prospect of relocating staff to less expensive duty stations.

“Completing this project as conceived is not simply a preference — it is a necessity,” he said, stressing that the Palais des Nations is “a diplomatic platform for all Member States and the operational heart of international Geneva”.

The project — known as the strategic heritage plan of the UN Office at Geneva — is a large-scale renovation and modernization effort aimed at preserving and upgrading the historic Palais des Nations.  It has been unfolding in phases, beginning with the construction of Building H, a new sustainable office space designed to house staff during the refurbishment of older structures and to meet long-term operational needs.  The plan also includes the renovation of historic Buildings A, B, C, D and S, as well as the partial dismantling and modernization of Building E to enhance functionality and bring it up to current standards.  The project is now in its final phase, focused on completing the work on Building E.

He warned that leaving the complex only partially renovated — with outdated infrastructure, unresolved security risks and inadequate services for Member States — would undermine not only the safety of delegates and staff, but also the credibility and effectiveness of the United Nations “at a time when multilateralism is under pressure”.

“Any postponement or reduction in ambition at this stage will not reduce costs — it will increase them,” he cautioned.  “It would drive up long-term expenditure, delay the benefits of modernization and mean that the tens of millions already invested — by all of us — would only produce partial results.”  Calling for “courage to complete this project in its entirety — not half-heartedly, not postponed”, he noted that the host country has provided concrete assistance in the form of an interest-free loan.

“Multilateralism relies on the commitment of all,” he added, urging:  “Let us honour the commitments we have made, preserve the integrity of our joint investment, and ensure that the United Nations in Geneva is equipped to serve the world — not only today, but for generations to come.”

Updates Announced to Secretary-General’s Eleventh Progress Report on Strategic Heritage Plan

At the outset of the meeting, Kelvin Ong, Director of the Field Operations and Finance Division of the Office of Programme Planning, Finance and Budget at the Department of Management Strategy, Policy and Compliance, introduced the Secretary-General’s report on the update to the eleventh report on the strategic heritage plan of the United Nations Office at Geneva (document A/79/352/Add.1).

The report provides the information requested by the Assembly on the most cost-effective guaranteed maximum price agreement for Building E renovations, together with further options to avoid cost overruns and limit the consequences of delays in the overall project, including a clear and detailed cost-benefit analysis for each option.  It also contains the latest revised maximum cost to complete the full scope of the project, which amounts to SwF954.7 million, or 14 per cent above the present maximum cost of SwF836.5 million approved by the Assembly in 2015.

“A decision by the Assembly by the end of June 2025 is required, either to approve the revised maximum cost to complete the full scope of the project, including authorizing the Secretary-General to conclude the guaranteed maximum price agreement for Building E and proceed with the remaining work, or to reduce the scope of the project,” he said, adding:  “Any delay in a decision beyond the end of June will result in a setback to the overall project timeline and will amount to approximately SwF2.5 million per month during the ‘standstill’ period.”  Further, he warned that delays also expose the project to the risk of potential escalation in construction prices during such a period.

Advisory Committee on Administrative and Budgetary Questions (ACABQ) Raises Concern over Lack of Detailed, Disaggregated Data

Delegates also heard the introduction of the related report of the Advisory Committee on Administrative and Budgetary Questions (document A/79/7/Add.49).

Caroline Nalwanga, Vice-Chair of the expert body, which advises the Assembly on UN spending, expressed concern over the lack of detailed, disaggregated data needed to make an informed decision on remaining works, particularly for historic buildings and Building E.

Given the project’s advanced stage and the complexity of upcoming renovations, ACABQ believes that any reductions in scope — should the Assembly opt for them — must prioritize Building E and that decisions regarding additional funding or scope changes rest with the Assembly.  She also recalled that the interest-free loan from the host country was integral to project financing and said that more information on how potential changes would impact the loan would be shared with the Assembly during its deliberations.

Delegates Urge Balancing Project Ambition with Financial Reality

The representative of Iraq, speaking for the Group of 77 and China, affirmed the importance of maintaining and modernizing the UN’s Geneva facilities, while urging a comprehensive, transparent and cost-effective approach that balances ambition with financial reality.  Noting the complex challenges that contribute to the projected 14 per cent cost increase, she added:  “At the same time, we remain concerned of the continued delay in the completion of the SHP [strategic heritage plan], and stress the importance of effective project management, strict budgetary discipline and the need to prevent further cost overruns and implementation delays.”

The Group backed ACABQ’s call for more detailed, itemized cost information on the remaining work, including for Building E and the historic structures, to enable informed decision-making. She expressed hope for a timely resolution on the path forward.

Mexico’s delegate echoed the need for a balanced and financially sound decision, emphasizing that cost-effectiveness should account not only for immediate expenses, but also for the future impact of investments already made by Member States.  “We need to have greater clarity on the best alternative from a technical and budgetary standpoint, so that we can take informed decisions in a timely fashion,” he said.