FH AACHEN, Jülich Campus. International Management 12 April 2012

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1 FH AACHEN, Jülich Campus International Management 12 April 2012

2 PAST PROBLEMS, CURRENT SOLUTIONS & FUTURE CHALLENGES Thachatat Kuvarakul

3 Energy Poverty Definition and current situation of energy poverty Importance of Energy Access What energy access can provide? Delivering Energy Access The roles of international community in energy access Future challenges... Obstacles to overcome Cover picture (previous slide): UNICEF

4 1 ENERGY POVERTY Definition and current situation of energy poverty Picture: Energy For All

5 POVERTY poverty is a denial of choices and opportunities, a violation of human dignity. It means lack of basic capacity to participate effectively in society. It means not having enough to feed and clothe a family, not having a school or clinic to go to, not having the land on which to grow one s food or a job to earn one s living, not having access to credit. It means insecurity, powerlessness and exclusion of individuals, households and communities. It means susceptibility to violence, and it often implies living in marginal or fragile environments, without access to clean water or sanitation.

6 ENERGY POVERTY Inadequate provision of minimum required energy services to a person or to a household. Picture: The Charcoal Project Picture: UN Foundation

7 ENERGY ACCESS(?) Energy Access is NOT just about connection Reliable? Affordable? connection Picture: Own artwork

8 Agriculture Commercial Transportation 3 3 LEVELS OF ENERGY ACCESS Domestic appliance Private transportation Lighting Health Education Heating 1 2 Basic human needs Productive uses Modern society needs 2000 kwh/person/yr 100 kwh/person/yr 100 kgoe/person/yr Germany (2009) 6779 kwh/person/year Source: The world bank

9 MODERN ENERGY ACCESS Access to Electricity On-grid extension Mini-grid Isolated off-grid Access to modern fuel Traditional fuel: Wood, Animal/Plant waste Modern fuel: LPG, natural gas Picture: UN Photo, Biogas digester expert (

10 ACCESS TO ELECTRICITY

11 ACCESS TO ELECTRICITY

12 20% 1.4 billion people of total population do NOT have access to electricity Source: IEA Picture: Own artwork Note: The human figures shown here are for statistical purpose only. Their appearance represent neither races nor nationality. All statistic is not exact (only approx.) ACCESS TO ELECTRICITY

13 Sub-Saharan Africa 585 million Other developing Asia 387 million India Picture: Own artwork 404 million Note: The human figures shown here are for statistical purpose only. Their appearance represent neither races nor nationality. All statistic is not exact (only approx.) 65 million China + Latin America + the rest of the world ACCESS TO ELECTRICITY

14 ACCESS TO MODERN FUEL

15 ACCESS TO MODERN FUEL

16 2.7 billion people do NOT have access to 38% Modern fuel Source: IEA Picture: Own artwork Note: The human figures shown here are for statistical purpose only. Their appearance represent neither races nor nationality. All statistic is not exact (only approx.) of total population ACCESS TO MODERN FUEL

17 Sub-Saharan Africa 653 million China 423 million Other developing Asia 659 million India Picture: Own artwork 855 million Note: The human figures shown here are for statistical purpose only. Their appearance represent neither races nor nationality. 85 million Latin America ACCESS TO MODERN FUEL

18 Million of people WHAT WE WILL HAVE IN THE FUTURE? Adapt from provided data in PPEO 2012 Practical Action

19 Million of people WHAT WE WILL HAVE IN THE FUTURE? Adapt from provided data in PPEO 2012 Practical Action

20 Million of people WHAT WE WILL HAVE IN THE FUTURE? Adapt from provided data in PPEO 2012 Practical Action

21 Investment in energy access (2011) 9.1 billion World GDP (62,911,253 Million) (Source: IMF, UN-DPKO, PPEO 2012, SIPRI) Global investment in energy infrastructure 1600 billion Estimated investment required for universal energy access 48 billion Military expense (world) 1630 billion Military expense (US) 698 billion Approved budget for UN Peacekeeping operation 7.8 billion Note: All are in US dollar

22 2 IMPORTANCE OF ENERGY ACCESS What energy access can provide? Which problem can be prevented? Picture: PPEO 2012 Practical Action

23 WHAT ENERGY ACCESS CAN HELP? PREVENT? Large-scale migration Violent regional conflict Low productivity, low income Inability to earn more for better life Picture: Own artwork Increased society gap Fighting for resources Danger of using Kerosene for lighting No access to information Chronic disease from smoke during cooking Misuse of poor peoples for wrong purposes Illegal grid connection Poverty Inequality of girls/women Lack of education

24 MILLENIUM DEVELOPMENT GOALS Eradicate extreme Poverty & Hunger Achieve universal Primary education Promote Gender Equality and Empower women Reducing child Motility rates Source: Meaningful Volunteer Improve Maternal Health Combat HIV/AIDS, Malaria and Other Diseases Ensure Environmental Sustainability Develop a Global Partnership for Development

25 ENERGY ACCESS itself does NOT solve any problem But it is a tool you need to solve the problems Education Justice system Health care Humanitarian aids Democracy Peace & security UN Photo/ Eskinder Debebe, Martine Perret, Eric Kanalstein, Marco Dormino, Mark Garten, Pasqual Gorriz

26 3 DELIVERING THE ENERGY ACCESS The roles of international community in energy access Picture: UN-Photo/Mark Garten

27 UNITED NATIONS Picture: Muhammad, Creative Common

28 22 22 sub-organizations organizations are have working Energy on in Energy focus

29

30 Energy Efficiency United Nations Industrial Development Organization United Nations Environment Programme Renewable Energy Energy Access United Nations Development Programme

31 2012 UN YEAR OF SUSTAINABLE ENERGY FOR ALL Picture: UN-Photo / Eskinder Debebe access to modern affordable energy services in developing countries is essential for the achievement of the internationally agreed development goals...

32 Million of people Adapt from provided data in PPEO 2012 Practical Action

33 Million of people Provide universal energy access Double rate of efficiency improvement Double share of renewable energy Adapt from provided data in PPEO 2012 Practical Action

34 3 (or 4) STEPS FOR SUSTAINED ENERGY ACCESS From perspective of international community 1. Step Stabilize the regions Help local government to develop the necessary regulation, policy or framework 2. Step Developing + Facilitating + Financing the construction of reliable energy infrastructure 3. Step Developing the financial instrument to make energy affordable 4. Step Other developments in other areas apart from energy (Educations, justice system etc.)

35 4 FUTURE CHALLENGES Obstacles to overcome Picture: UN-Photo/Eskinder Debebe

36 UNSTABLE REGIONS Source: UN-DPKO

37

38 FINANCIAL OBSTACLES (1) Sources of financing are limited and not well coordinated. Investment in energy access (2011) 9.1 billion Estimated investment required for universal energy access 48 billion Unless consumer as a whole are willing to pay for operating cost, energy access programme are unlikely to be sustainable.

39 OBJECTIVE TRADE-OFF Renewable Energy Reduce the share of fossil fuel Increase the share of Renewable Modern Energy Access Access to modern fuel (still by means of fossil fuel) Therefore, inevitable increase the share of fossil fuel

40 people success girls investment Providing energy access growth to all will power... prosperity Thank you for your attention... progress (available for download at: the planet Adapted based on: Sustainable Energy for All The future

41 REFERENCES 1. A vision statement by Ban Ki-Moon Secretary of the United Nations. (2011, November). Sustainable Energy for All. New York, USA: United Nation. 2. Asian Development Bank (ADB). Powering the poor: Projects to increase access to clean energy for all. Manila: Asian Development Bank. 3. IEA. (2010). Energy Poverty: How to make modern energy access universal? Paris: OECD/IEA. 4. Kammen, D. (2011, September 16). Can we close the energy access gap? Retrieved April 6, 2012, from The great energy challenge: 5. Kammen, D. (2011, July 20). More (and targeted) financing needed to expand energy access. Retrieved April 6, 2012, from The great energy challenge: 6. OECD/IEA. (2011). Energy for all: Financing access for the poor (special early excerpt of the World Energy Outlook 2011). Paris: International Energy Agency. 7. The secretary-general's Advisory Group on Energy and Climate Change. (2010). Energy for Sustainable Future: Summary Report and Recommendations. New York. 8. The Secretary-General's High-level Group on Sustainable Energy for All. (2012). Sustainable Energy for All: A Framework for Action. 9. United Nations Development Programme. (2010). UNDP and energy access for the poor: Energizing the Millennium Development Goals. New York: United Nations Development Programme. 10. Universal Energy Access Towards 2030: Role of Multilateral Agencies. (2011).

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