Renewable Energy and Energy Efficiency Partnership (REEEP) Blending traditional fuels with renewables: Lessons from the Pacific

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1 Renewable Energy and Energy Efficiency Partnership (REEEP) Blending traditional fuels with renewables: Lessons from the Pacific WLPGA Asia Summit Kuala Lumpur, Malaysia 23 February 2010 Eva Oberender Regional Director REEEP South East Asia & Pacific

2 Overview Background on REEEP Energy For All Partnership Case study from the Pacific: Clean diesel opportunities Hybrid systems of LPG and renewables Discussion about opportunities & activities

3 Renewable Energy and Energy Efficiency Partnership an international partnership established at the 2002 World Summit on Sustainable Development in Johannesburg working primarily in developing countries and in countries in transition

4 REEEP s focus facilitating the development of market conditions for the accelerated uptake of renewable energy and energy efficient technologies through: structuring policy and regulatory initiatives for clean energy, and facilitating financing for clean energy projects REEEP adds unique value of bringing the private sector to the table

5 REEEP partners - businesses - G8 countries - developing countries - NGOs Currently some 300 partners: 42 Governments International organisations, NGOs and businesses, universities

6 Regional Secretariats delivering value

7 REEEP s goals: increase the sustainability of demand and supply side of energy systems reduce market barriers and financial obstacles for renewables and energy efficiency systems establish on-the-ground project activities that are targeting policy improvements and innovative finance mechanisms improve energy access for the poor through reliable and clean energy services replicate success across the developed and developing world

8 Energy poverty 1.8 billion people rely on traditional biomass fuels pollution from these fuels kills about 2.5m women and children each year kerosene expenditure totals to $38b/year or $50/year/household

9 Breaking the vicious cycle Source: UNIDO

10 Lighting as a first step on the energy ladder

11 Development benefits

12 Provision of sustainable lighting through microfinance

13 LP Gas partnering with renewable energy Portability and storability makes LP Gas a perfect complement to distributed renewable energy sources (eg. solar, wind and wave energy) Reduces reliance on centrally produced electricity LP Gas used in combination with renewable sources improves energy reliability while reducing the overall life-cycle costs An LP Gas powered generator, with a small storage tank, provides an ideal back up

14 Renewable LPG hybrid systems Hybrid systems are being optimized for use in small-scale wind or solar distributed generation systems Hybrid systems support a range of applications: Off-grid renewable energy systems for homes and businesses Off-grid commercial and industrial applications, such as telecommunications and railroads Off-grid renewable energy installations for: Farms and ranches National parks and other remote state and county sites Remote lodging and recreation sites

15 Renewable LPG hybrid systems An ideal solution for providing energy to remote communities that takes advantage of renewable energy and LPG s long term storability

16 REEEP s goals: increase the sustainability of demand and supply side of energy systems reduce market barriers and financial obstacles for renewables and energy efficiency systems establish on-the-ground project activities that are targeting policy improvements and innovative finance mechanisms improve energy access for the poor through reliable and clean energy services replicate success across the developed and developing world

17 Provide access to reliable and affordable modern energy services to 100 million people in Asia and the Pacific by 2015 REEEP member of SC & Chairs Pacific WG

18 Steering Committee Provide high-level, strategic inputs on the establishment, operations and sustainability of the partnership Pacific Working Group conduit for a comprehensive strategy on providing access to clean energy in the Pacific replicate successful models on a larger scale throughout Asia

19 Project Portfolio Capacity building Microscale RE Small-scale RE Microfinance Training and accreditation Large-scale RE Large-scale clean & bio-diesel Technical training for power utilities Policy d ment& implementation

20 The Clean Diesel in Pacific Study Majority of PICs heavily reliant on imported fossil fuels Generating plants are of varying ages and conditions Diesel generation will continue to be a critical source of electricity Utilities have strong economic drivers to ensure return on assets Governments have responsibility to promote improved environmental outcomes lower GHG profile on generation Governments also have social responsibility to secure access to energy for all

21 The Clean Diesel in Pacific Study? How can the quality and energy efficiency of existing diesel-based generation be improved economically environmentally Utilise waste heat from exiting generating facilities Introduce partial or total fuel substitution using blended gas and/or biofuels

22 Opportunity to blend LPG (as well as LNG and CNG) with traditional fuels to reduce the environmental impact Economic and technical environment must be suitable cost of LPG ability to store LPG Our relationship with the LPG industry is important to provide support to communities we are looking to service

23 Coherent response to both climate change and the global economic downturn presents a unique opportunity to expedite a move to a low-carbon future capable of sustainable growth and providing a better quality of life for all people Partnership between RE & LPG works

24 thank you

25 REEEP questions? Eva Oberender Regional Director, REEEP Southeast Asia & Pacific T: