REGIONAL WORKSHOP ON ENERGY EFFICIENCY Ouagadougou, 12-13 April 2010 REPORT
I INTRODUCTION 1. The ECOWAS Regional Centre for Renewable Energy and Energy Efficiency (ECREEE), in collaboration with the ECOWAS and UEMOA Commissions, and supported by the French Ministry of Foreign and European Affairs (MAEE), ADEME of France and the 2ie University organised a Regional Workshop on Energy Efficiency in Ouagadougou, from April 12 to 13, 2010. The Workshop was preceded by the successful completion of the investigation phase, December 2009 to February 2010, which assessed the current situation, the potential for energy savings, the framework conditions and the possible national actors on energy efficiency in the ECOWAS region. 2. The objective of the workshop was to define a regional action plan to address the issues of energy efficiency in the ECOWAS/UEMOA Region. The workshop also sought to identify priorities for national and regional action plans on energy efficiency. By sharing of experience and success stories, the workshop purposed to build awareness among decision makers of the potential for energy efficiency. The workshop was also intended to contribute to the work plan of the ECOWAS regional Centre on Renewable Energy and Energy Efficiency (ECREEE). The workshop concluded with concrete proposals for action, to be submitted to the region's development partners. 3. The experts of the Ministry in charge of Energy and the electricity utilities from the following countries participated in the meeting: Benin Burkina Faso Cape Verde Côte d Ivoire The Gambia Ghana Guinea Guinea-Bissau Liberia Mali Niger Nigeria Senegal Sierra Leone Togo 4. The following national regulatory bodies attended the meeting: Energy Commission of Ghana Nigerian Electricity Regulatory Commission (NERC) of Nigeria 5. The following international financing institutions and development partners were in attendance: United Nations Development Programme (UNDP) United Nations Industrial Development Organisation (UNIDO) European Union (EU) ECOWAS Bank for Investment and Development (EBID) Agence Française de Développement (AFD) ADEME 2
The World Bank Austrian Development Agency (ADA) 6. The following organisations and projects were also represented at the meeting: West Africa Power Pool (WAPP) ECOWAS Regional Electricity Regulatory Authority (ERERA) AERE The list of participants is attached to this report as Annex B. 7. The opening ceremony comprised speeches from the Chargé de l Energie au Département du développement de l entreprise, Energie et Télécoms of the Commission de l UEMOA, the Interim Director of the ECOWAS Centre for Renewable Energy and Energy Efficiency (ECREEE), the Chargée de mission, Afrique Subsaharienne - Océan Indien Amérique Latine of ADEME, and the CEO of AERE. In their speeches, the speakers drew attention to the general importance of energy efficiency for the West African region and globally. They highlighted the increasingly high oil and gas prices, concerns about rapidly increasing worldwide GHG emissions, and uncertainty about the security of supply, and stressed the need for energy efficiency opportunities to be maximized. For these reasons, the speakers underscored the need to ensure increased market penetration of energy efficiency technologies and services, as well as make progress in identifying and providing concrete action proposals to the ECREEE work programme. II ELECTION OF BUREAU 8. The following Bureau was elected: Nigeria Chairman Rapporteurs-representing the groups in the breakout session Ghana Senegal Niger III CONDUCT OF DELIBERATIONS 9. ADOPTION OF AGENDA The workshop program combined plenary sessions (based on presentations and exchange of experience) with small group breakout sessions focusing on specific national problems, conditions and potential solutions. The workshop addressed energy efficiency with practical examples, covering: the situation in West Africa; administrative and service sector buildings; domestic energy use; industry and transport; electricity generation and distribution. The agenda is attached to this report as Annex C. 3
10 PRESENTATION OF ITEMS OF THE AGENDA. During the plenary sessions, presentations were made on the following items on the agenda: 10.1 Estimation of the Potential for Savings in Electricity Consumption: The presentation commenced with available data on electricity consumption for the countries of the ECOWAS region: overall consumption, and consumption by major sectors (industry, services, households) for countries where this data is available. The presentation highlighted available data on some national energy efficiency programmes: an estimation of the savings realised in Ghana through the distribution of 6 million CFLs.; Ivory Coast: savings potential estimated at 10.5 bn FCFA/year. Actions realised have saved the administration 48.65 bn FCFA for the period 1985-2009; the Mali "Strategy for the development of rational use of energy" plans to achieve annual savings of 178 ktep. 10.2 Energy Efficiency Policies in the World : What Policies for Africa? This presentation highlighted the results of an ADEME/WEC study on energy efficiency policies applied throughout the world. Twenty different types of measures are applied in at least 10% of the countries studied, the most widely applied being: labelling of refrigerators; labelling of air conditioners; minimum performance standards for refrigerators; energy efficiency investment funds. The study shows that 2/3 of countries around the world have a specific agency responsible for energy efficiency. Many countries, notably in Europe and North America, use regulations on energy performance for buildings. A variety of systems used for energy efficiency labelling directed at consumers were presented. Well over half the countries use fiscal or financial measures to encourage EE. In Africa, Egypt, Tunisia, Algeria, Senegal, Ghana, Nigeria and South Africa have instituted EE measures. A variety of innovative schemes were presented. 10.3 Energy Efficiency in Buildings This presentation highlighted the principles of thermal comfort in buildings, and their application in the climatic zones of ECOWAS. The specificity of types of buildings traditional, individual modern, collective modern was pointed out. Large modern buildings account for almost 1/3 of electricity consumption in West Africa. The principles of bio-climatic architecture were presented, stressing the role of choice of building sites, design, construction practices, choice of equipment and modalities of building use. 10.4 Energy Efficiency in Industry: This presentation stressed the role of public authorities in encouraging EE in industry. In the power sector capital intensive with few actors - public authorities could concentrate on investment financing mechanisms, on acquisition of specialised know-how and on public support in reducing commercial losses. In industry, public authorities can use a "vertical" approach concentrated on specific industries, for instance cement and breweries. Alternatively, a "horizontal" approach can be used to favour EE in technologies used in all industries: motors, fans, pumps, air compressors and chillers. Energy savings in industry have very rapid payback, but involve complex decision mechanisms. Thus public action should be used in decision aid mechanisms: labelling and performance standards; energy use audits; ESCO and financing schemes; training and competence centres; fiscal and tariff measures; voluntary agreements; regulations. 4
10.5 UNIDO Industrial Energy Efficiency and Technology Programme This presentation highlighted the general situation of energy use and energy efficiency in the industrial sector. It presented figures to show that globally, industry has the potential to reduce its energy intensity and emissions by up to 26 32%, providing a 8-12% reduction in total energy use and CO2 emissions. Potentials are above average in DCs and TEs. Given that industrial energy use can be up to 50% of the total national energy use, while global growth of industrial energy demand and CO2 emissions are concentrated in emerging economies. EE is thus considered as one of the cheapest ways of creating more energy available for the country. Energy efficiency improvements could also increase competitiveness and growth. It stated further that though governments are increasingly aware, and concerned about, both energy security and climate change, there was the need to provide the assistance necessary to accelerate development of capacity to respond effectively by incorporating energy efficiency at the initial stages. It then gave an overview of some initiatives under the UNIDO s Energy Programme, which include, Technical Co-operation, Service areas, Global Forum, and Focus Areas. The overall objectives of this programme is to adopt a programmatic approach to promote renewable energy and energy efficiency projects at the national /regional level in countries of the region. It also seeks to scale up access based on renewable energy and promoting energy efficiency measures in industrial, households and public sectors; create markets to catalyze private sector investments and public-private partnerships; promote renewable energy based mini-grids for enhancing access and supporting productive capacities, amongst others. 10.6 Financing Energy Efficiency and Implementation Models in Developing Countries: This presentation highlighted the Energy Efficiency Financing and Implementation Models available to Developing Countries. It presented facts that stressed the importance of Energy Efficiency, and added that though the benefits were obvious, there has been little progress due to numerous institutional, informational, technical, financial and behavioural barriers across a diverse range of stakeholders. Other challenges include the lack of international consensus on approaches (e.g., regulation vs. incentives vs. information) i.e., appropriate role of government, over reliance on Western models - local markets require local solutions, the invisibility of EE, which makes EE hard to measure, as well as the lack of incentives - mixed institutional incentives, low prices, behavioural inertia, and EE scale-up challenges. It therefore advocated the need for appropriate delivery mechanisms to identify, package, finance and implement EE projects across sectors and end users in an effective and efficient manner. 11. Group Sessions During the breakout sessions, the participants worked in three (3) groups. Each country made a presention on its current energy efficiency situation and specificities. And based on the presentations given by the experts, the participants outlined the conditions for success and concluded with recommendations. IV RECOMMENDATIONS At the end of the workshop, the participants reached agreement on the following regional action plan, and requested ECREEE to coordinate the activities of the regional energy efficiency programme in close collaboration and support of regional and international partners (ECOWAS, UEMOA, WAPP, EBID, ERERA, EU, UNDP, ADA, ADEME, AFD, the World Bank, UNIDO, AERE): Drafting a White Paper on Energy Efficiency for the ECOWAS and UEMOA States: o Development of a common, harmonised legislative framework on energy efficiency (including building codes and lighting); o Promulgation of directives on energy efficiency; o General framework for building codes; o Creation of a framework for discussion on the power sector; Creation of an information system on energy efficiency and "good practices" 5
Gradual phase out of incandescent lamps, and creation of mechanisms for dissemination of CFLs. Aid in the creation of financing mechanisms. Energy performance labelling, certification, standards and test centres for household appliances and office equipment. Use of local materials in construction. Capacity building, training, education and regional cooperation in support of national action on energy efficiency. Finally, the meeting recommended that the report be presented to the meeting of ECOWAS Energy Ministers and the ECOWAS Council of Ministers for their endorsement and the necessary political backing/support. 6