Conference Room 4, UN Conference Center (UNCC) November 2014, Bangkok, Thailand

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1 EU SE4ALL FACILITY Centre for Energy Enironment Resources Deelopment ECONOMIC AND SOCIAL COMMISSION FOR ASIA AND THE PACIFIC (ESCAP) 2014 Policy Dialogue on Energy for Sustainable Deelopment for Asia and the Pacific Conference Room 4, UN Conference Center (UNCC) Noember 2014, Bangkok, Thailand 1 / 19

2 The UN Sustainable Energy for All initiatie Three ambitious objecties by 2030: 1) Ensuring uniersal access to modern energy serices (electicity and clean cooking) 2) Doubling the global rate of improement in energy efficiency 3) Doubling the share of renewable energy in the global energy mix Global SE4All targets for the entire world s. Business as usual 100% 90% 80% Access to electricity (1) % target : 100% b.a.u: 88% 70% / 19

3 100% 80% 60% Access to clean cooking (2) % target : 100% b.a.u: 70% 40% % 30% 20% Share of renewable energy (4) % target : 36% b.a.u: 19.4% 10% % -1% % b.a.u: -0.8% -2% -3% Improement of energy efficiency (3) target : -2.6% 3 / 19

4 First Achieements 85 countries opted in and more than 160 organizations committed to contribute Country Action Reference Document, in 3 steps: diagnostic, action agenda and inestment prospectus Thirty opt-in countries selected as Focus Countries, and inestment prospectuses were already prepared for 12 countries Dedicated international networks drawing together businesses, inestors, and ciil society Knowledge hubs: the IRENA (for renewable energy), the WB s ESMAP project (for energy access) and the Copenhagen Centre on Energy Efficiency (for energy efficiency) Dedicated databases and a first Reports issued in 2013, others will follow eery second year. Accountability Framework that will track indiidual commitments UN declared the Decade for Sustainable Energy for All. The Sustainable Deelopment Goals (SDGs) will explicitly include energy and fully repeat the SE4All s objecties. 4 / 19

5 5 / 19

6 Energy Landscape in the Beneficiary Countries 6 / 19

7 Energy Landscape in the Beneficiary Countries 7 / 19

8 Paths to Sustainable Energy for All Situation with regard to the SE4All s targets aries widely from country to country, howeer there are common issues to be addressed: 1) Innoatie models needed for rural areas 2) Keeping up with the rapid urban growth 3) Oercoming financing barriers 4) Shifting from traditional to modern biomass Shifting from traditional to modern biomass is an important challenge that will require exploiting the biomass potential to its full capacity: Bagasse-based cogeneration Rice-husk fuelled power plants Biodigesters for households and institutions Briquettes or pellets made of agricultural residue 8 / 19

9 Paths to Sustainable Energy for All 5) The ways of promoting energy efficiency in industries First step : know one s actual energy consumption through an energy audit Deelopment of dedicated trainings and the certification of trained energy auditors Establishment of an appropriate regulatory framework Creation of benchmarks will help factory managers to assess their own performance Energy Manager will be responsible for purchasing energy, oersee energy consuming processes, undertake appropriate energy saings inestment, and monitor the actual consumption through time Deelopment of dedicated financing tools 6) Towards energy efficient housing Improe efficiency, reduce energy consumption and grating renewable energy sources in the housing sector EU experience shows, the challenge is at the same time technical, social, economic and een psychological Technology transfer has a role to play. BUT most actions in this domain will succeed only if tailored to the specific context Refurbishment of existing buildings Energy subsidies still in application in many countries are a huge obstacle in the way of energy-efficient refurbishment of the building stock New buildings need to put in place a wide range of legal, regulatory and oluntary mechanisms Capacity building and awareness raising Creation of a label system by allowing prospectie buyers to identify high-performance buildings 9 / 19

10 The Size of the Challenge 10 / 19

11 SE4All Oerall Objectie and Purpose Support, in the framework of the Sustainable Energy for All initiatie, the targeted deeloping countries to improe their policy and regulatory framework conditions aiming at proiding attractie and enabling conditions for increased public and priate inestment in energy access, energy supplies, renewable energy as well as energy efficiency. Delier of high leel technical assistance to support committed countries to reach the SE4All objecties: Initial stocktaking, technical support in the elaboration and implementation of national energy sector policies and reforms Capacity building Technical support in preparation of inestment projects Project demonstration 11 / 19

12 Possible Beneficiaries, Target Groups and Stakeholders Global leel SE4All Global Facilitation Team SE4All Partners and Supporters Other releant multilateral / bilateral bodies International banks & inestors Legend Regional leel Institutions (global) Rier Basin Authorities Regional Economic Communities Energy Cooperation Agencies Institutions (regional) National Leel Priate sector Ministries of Finance, Industry, Enironment, Planning etc Ministry in charge of Energy Regulator Got Agencies (EE, RES, Electrification ) SE4All Focal Point EU Delegation Local representations of IFIs National institutions and public sector Stateowned enterprises Priate businesses and industry Local Banks Ciil society, NGOs Final beneficiaries: populations Population, ciil society 12 / 19

13 The European Union s Role in SE4All Commitment to improing energy access, energy efficiency and renewable energy, long before the launch of the SE4All initiatie The targets set in 2007 gie substance to the EU s commitment to sustainable energy within its own boundaries, while EuropeAid s long lasting inolement in transition and deeloping countries has already resulted in important achieements in terms of energy access These commitments started to come into effect inter alia with the 65 M Technical Assistance Facility (TAF) Thanks to the momentum created by the SE4All initiatie, International Financial Institutions (IFI) and the priate sector are willing to bring their technical knowledge and to inest in quality projects, while most of the countries are committed to implementing the necessary reforms to allow the priate sector to enter into the game Necessary linkage between these stakeholders is sometimes missing, and the countries can hae difficulties in creating the required enabling enironment The Technical Assistance Facility is the perfect tool to bridge these gaps 13 / 19

14 The European Union s role in SE4All The EU has chosen to set up this Technical Assistance Facility (TAF) to allow reforms, capacity building, and financing plans for projects to be implemented faster Lifecycle of any sizeable project usually implies down-time, for instance when a tender process has to be carried out in between two steps. With the TA Facility, the project will benefit from the swift mobilisation of the Consultant s experts who are dedicated to making things happen. 14 / 19

15 World «minus» Africa This Contract will coer countries from Neighborhood (East and South), Asia (including Central Asia), Latin America, Caribbean and Pacific and Regional Bodies within these Regions, although no more than ten at any one time. The required inputs for each country may significantly ary, within the range of potential serices requested. Target groups will ary according to the Terms of Reference (ToRs) to be elaborated for each technical assistance mission/task and in line with the contract purpose and objecties. The Contractor will ensure that for each mission appropriate consultations are carried out, in coordination with the EU Delegations, with local authorities (that may include ministries in charge of energy, agriculture, industry, enironment etc.) and any other stakeholders such as donors, deelopment banks, businesses, ciil society, as appropriate. 15 / 19

16 Potential Beneficiary Countries 16 / 19

17 Results to be achieed 1. The swift deelopment and implementation of technical assistance packages that will ary significantly across the countries. Technical assistance will be proided subject to the willingness and the readiness of the country to demonstrate the necessary political commitment to undertake appropriate reforms 2. Up to ten countries could be proided with simultaneous technical assistance missions/support at any point in time, during implementation. Such technical assistance missions (of a single expert or a multidisciplinary experts team) could be launched in an accelerated, flexible and efficient manner 3. Each technical assistance mission/task will be gien appropriate isibility necessary to demonstrate the Commission s commitment and support in meeting the SE4All objecties, both globally and in the countries directly concerned 4. The organisation of ad hoc eents such as workshops, seminars, conferences, etc. and the deelopment of suitable promotional material may well be integral parts of any technical assistance mission 17 / 19

18 Risks 1. Insufficient priate sector participation: ODA will not be sufficient alone to achiee uniersal access to energy, so priate sector participation is important 2. Insufficient financing and implementation capacity: It will also be necessary to increase domestic financing 3. Insufficient take up of aailable funding under the SE4All TAF: this is considered unlikely as many countries hae already expressed interest and seeral EU Delegations hae reported interest as well. 4. In relation to the aboe three risks, it is clear that the achieement of the SE4All objecties by 2030 will require economic growth, in deeloping as well as deeloped countries, a risk that cannot be mitigated under TAF 5. Excessie demand for aailable funding under the TAF: Unless there is exchange of information and efficient coordination of the initiaties supported by each donor, there is a risk that certain actiities may be duplicated at country leel 18 / 19

19 Thank you! For more information: Director Centre for Energy Enironment Resources Deelopment (CEERD) Tel Fax ceerd@ceerd.net or t.lefere@ceerd.net 19 / 19