Global Strategy for Energy Efficiency Market Formation to Mitigate Climate Change

Similar documents
REGIONAL WORKSHOP ON ENERGY EFFICIENCY. Ouagadougou, April 2010 REPORT

TERMS OF REFERENCE FOR INDIVIDUAL CONSULTANTS/CONTRACTORS (IC)

Eng. Moses Murengezi Simon Kalanzi Directorate of Energy Resources Development Ministry of Energy and Mineral Development, Uganda

An overview of the Energy Efficiency Strategy of the Republic of South Africa. Approved by Minister on 1 April 2005

Compendium of Energy Efficiency Policies of APEC Economies

Sustainable Economic Transformation as a Driver for Inclusive Growth and Competitiveness in Africa

Results of the Institutional Assessment

African Export-Import Bank Afreximbank

SADC ENERGY PROGRAMMES AND PROJECTS.

Best Practices in Energy Efficiency

Renewable Energy Development in Africa

Regional Collaboration Centres

Energy Solutions for Africa

Respondents Countries by Countries by Region (18) RECS (6) Region Region Countries

Policy and Regulatory Issues of Solar Power in Sub-Saharan Africa

Nairobi Framework Capacity Building in Africa

The Southern African Power Pool

Assessment of the Corridor Potentia l

THE 6 TH CONFERENCE OF AFRICAN MINISTERS FOR PUBLIC/CIVIL SERVICE REPORT ON THE IMPLEMENTATION OF THE AFRICAN PUBLIC SERVICE CHARTER

Mediterranean Association of the National Agencies for Energy Conservation. Overview of policies and good practices

Environmental goods in southern and eastern Africa. Trade patterns, tariffs and non-tariff barriers Willemien Viljoen 5 December 2011

DURBAN INVEST Presentation by Eskom

Regional RE, EE and Energy Access Monitoring & Reporting Framework Data Availability and Best Practices for RE/EE Data Collection

Economic and Social Council

THE NEW PARTNERSHIP FOR AFRICA S DEVELOPMENT (NEPAD)

Therefore, we need to advocate for increased volume and quality of investment of public fund through national budget.

INCORPORATING INFORMAL SECTOR INTO NATIONAL ACCOUNTS IN AFRICA

CAADP Implementation Status

Executive summary of the third synthesis report on technology needs identified by Parties not included in Annex I to the Convention

Key findings. Rana Adib. Click to edit Master subtitle style.

The changing African utility landscape - African Utility Week

Linking market mechanisms and climate finance in Africa

AFRICA S DEVELOPMENTAL ASPIRATIONS, the ENERGY CHALLENGE and MAXIMISING OPPORTUNITIES

Vol. - 1, Issue: June WTO Memberships in Africa: No of member nations: 42. Newest Entry: Seychelles (April, 2015) No of Observer nations: 5

Maximising the potential of Energy Efficiency and Demand Side Management in South Africa

STATUS OF CLEAN ENERGY DEVELOPMENT PROGRAMS IN GHANA

Our expertise in the telecommunications sector

Experience of Kaizen in Ethiopia and the way forward

Africa: Hydropower & Sustainable Development

Hon. Kornelia Shilunga Deputy Minister of Mines and Energy Finding the perfect Energy Mix for Africa 2016/04/25

MINISTERY OF ENERGY AND MINES Nicaragua

Energy Efficiency Roundtable. The IEA s 25 Energy Efficiency Policy Recommendations. 15 April 2013

Follow up of WSIS outcomes. Makane Faye

ECUADOR CASE STUDY ENERGY

FAO Statistical Initiatives in Measuring Investment in Agriculture: Global Investment dataset and Country Investment profiles

Terms of Reference: Regional Bioenergy Framework and Investment Strategy

Energy Cooperation Success Stories

Africa is on the move

NEED FOR AND USE OF ENVIRONMENTAL STATISTICS AND INDICATORS

Country profile of Morocco

Smart Public Policies Key to Powering Up Africa s Clean Energy Potential

P.O. BOX: 3243, ADDIS ABABA, ETHIOPIA, TEL.:(251-11) FAX: (251-11)

APPENDIX B: ENERGY-EFFICIENCY PROJECTS WITH POLICY COMPONENTS

Africa EU Action Programme to support improved transboundary basins management

SUB-SAHARAN AFRICA (SSA) POWER SECTOR STRATEGY. October 2016

Sharing Knowledge Across the Mediterranean Tunis,17 May 2012

Growing Intra-Africa Trade and Investment. By: Oluwatoyin Sanni Group CEO, United Capital Plc


Overview of the Southern African Power Pool (SAPP) energy programme for the Southern African Development Community (SADC)

Trade and Technology Transfer in Climate Change Context

Sustainable Energy Perspectives of the ECOWAS Region

Mutual Accountability (MA): Schedule of Joint Sector Reviews (JSRs)

15 TH ANNUAL EAST AFRICAN POWER INDUSTRY CONVENTION

AFRICA REGIONAL INTEGRATION CONSULTATION ON STATUS AND EMERGING WORLD BANK GROUP PRIORITIES

INTERNATIONAL CONFERENCE ON CLIMATE CHANGE STRATEGIES FOR AFRICAN AND MEDITERRANEAN REGIONS

M E D R E P Mediterranean Renewable Energy Programme Mr. Chedli Chakroun,

CAADP Framework and the CARD Initiative

International Co-operation: Part 1: IOD Networks. Sharing the Experience of the African Corporate Governance Network UNLOCKING AFRICAN POTENTIAL

AN OVERVIEW OF TRENDS IN IMPROVED COOK STOVE PRODUCTION AND DISSEMINATION IN UGANDA. East Africa Improved Stove Colloquium.

Energy Efficiency CDM Projects (small-scale) - Bundling & PoA

NATIONAL GHG INVENTORY SYSTEM

Angelica Salomon-Dealino & Dilip Limaye International Institute for Energy Conservation. Asian Development Bank, 19 June 2015

Reliable, affordable, and sustainable energy services for agriculture,

Addressing the energy challenges Needs and Perspectives

Technology Executive Committee

Md. Nazrul Islam, Joint Chief, Power Division, Ministry of Power, Energy & Mineral Resources

Progressing and sharing experience in development evaluation Context

Energy Efficiency Priorities: Ukraine. Short, Medium and Long-term Measures

13 October 2016 Presentation Document. Gaining a competitive edge in Africa Jorge Camarate

6. Africa. 6.1 Overview

4.1 The need for country assessments

Poultry Development in Eastern Africa, a regional perspective: Phase October 2017, Poultry Africa, Kigali.

Role of Renewable Energy in Combating Climate Change by

IEEJ: June 2009 TANZANIA ENERGY POLICY

In The Name of Allah. Islamic Republic State of Afghanistan Ministry of Energy and Water

How freight transport can contribute to the achievement of sustainable economic development in Zimbabwe

THE ECREEE VISION. Current and Future Trends. RG Executive Director Mahama Kappiah

SECTOR ASSESSMENT (SUMMARY): ENERGY 1

Climate Finance Readiness. A framework to scale-up climate action

Summary of the Roadmap of the ECOWAS Solar Energy Initiative (ESEI)

25/06/2014. INTRODUCTION / BACKGROUND 1 The West African Power Pool

Monitoring and Assessment of Greenhouse Gas Emissions and Mitigation Potential in Agriculture: The new GHG Emissions database in FAOSTAT

Sri Lanka Experience on DSM

EEP Africa Concept Note CfP 14

Rationale for OSBP Projects in Sub-Saharan Africa

Africa Sustainable Transport Forum. Summary of the Outcomes of the Inaugural Forum, held in Nairobi, Kenya, from 28 to 30 October 2014

IFACP IATA FIATA Air Cargo Program

African Development Bank Group Climate finance for Africa in Action

Cashew shell to power generation waste to wealth, a reality b e n i n c a j u. c o m

Workshop on trade in services negotiations in the CFTA

Transcription:

Global Strategy for Energy Efficiency Market Formation to Mitigate Climate Change Energy Efficiency Issues in Africa Presented by Mr Thierno Bocar TALL, Vice President Africa, GEE21 Geneva, October 18, 2010 1

Contents 1. The Energy Context in Africa 2. Regional Energy Efficiency Programs 3. Barriers to Energy Efficiency Promotion 4. Overcoming Structural Challenges 5. Action Plan for Energy Efficiency Promotion 6. Conclusion 2

1 The Energy Context in Africa 3

The African Energy Paradox Despite producing 7% of the world s commercial energy and being home to 13% of the globe s people Africa only consumes 3% the world s commercial energy Traditional energy sources such biomass represent 90% of total energy consumption Lowest electrification rate in the Word at 40% Source : IEA 4

Sustained Energy Deficiency In 2030 an estimated 1.4bn people will not have access to electricity 600m of these will be in Africa Source : IEA 5

Energy Efficiency Situation in Africa Africa is a very large continent with varied energy needs and with an energy efficiency market estimated to surpass $10bn/year over the next decade The situation varies from country to country according to their level of industrialization (ie South Africa vs Togo) Inefficient equipment use in industry, transportation and household sectors is the norm in most countries Much of this equipment is obsolete technology, which caries higher health and safety risk as well as higher pollution rates The greenhouse gas emission reduction potential for climate change mitigation is therefore tremendous Energy efficiency could help reduce the negative environmental impact of human activities and yield the same results as renewable energy 6

Africa has untapped potential An effective energy efficiency policy will help bridge Africa s energy deficit and reverse current inefficiencies Africa s energy efficiency potential is significant and remains largely untapped 7

2 Regional Energy Efficiency Programs 8

AMU Energy Efficiency Snapshot The potential for energy efficiency measures in AMU region is estimated to be more than $1.5bn annually (Hakim Zahar) This represents 3 5% of the total energy consumption costs in Tunisia, Morocco and Algeria Policies and programs for promoting energy efficiency have already been set up and implemented in some countries, particularly Tunisia, Morocco, Egypt and Algeria Existence of National energy efficiency agencies that are coordinate energy policy and program development Country Tunisia Morocco Algeria Egypt Agency Agence Nationale pour la Maitrise de l Energie (ANME) Agence de Développement des énergies renouvelables et de l efficacité énergétique (ADEREE) (previously CDER) Agence Nationale pour la Promotion et la Rationalisation de l Utilisation de l Energie (APRUE) Office of Energy Efficiency (OEE) 9

AMU Energy Efficiency policies Institutions and programs National, regional and local energy efficiency agencies as Ministry departments National programs for promoting energy efficiency with quantitative targets Regulatory measures exist in the three countries Energy Conservation Laws (Tunisia and Algeria) Minimum Energy Efficiency Performance Standards (MEPS) (Tunisia; Algeria) Financial and fiscal measures Minimum Energy Efficiency Performance Standards (MEPS) and labels (Tunisia; Algeria) Energy Services Companies (ESCOs) Development of energy efficiency commercial market through ESCOs 10

ECOWAS Energy Efficiency Snapshot West Africa Region is composed of 15 countries and 250 million people with a poor access to modern energy Some countries have established since the 1980 s a legal and regulatory framework for promoting Energy Efficiency This is the case of Cote d Ivoire, Senegal and Ghana and recently, Benin 11

ECOWAS Energy Efficiency policies Country Ivory Coast Senegal Ghana Benin Policies Energy efficiency policy introduced between 1980 1990 through a French cooperation initiative Draft building code to promote energy efficiency. The institutional building sector was the first to benefit from this initiative under the coordination of the Bureau des Economies d Energie (BEE) UNDP/GEF project allows the Government to carry out detailed energy audits of the major public and private buildings in the country. Technical knowledge allowed the introduction of the ESCO concept Supported by the World Bank the IEPF launched in 2000 a market transformation project for energy efficiency promotion in the commercial and industrial sectors. The project supported the creation of four ESCOs Energy efficiency consciousness was introduced in 1980 during the French REXCOOP programme Fifty Energy Audits in commercial and institutional buildings were carried out from 1996 to 1998 The hotel sector is implemented some projects with the participation of local ESCO A number of ESCO are operating in Senegal contributing to the development of the market Minimum Efficiency Performance Standards (MEPS) and labels for: Electrical appliances: refrigerators, Air Conditioners, Lamps Efficient Lighting Project (CDM project) Energy Efficiency Promotion Strategy Paper developed on behalf the Ministry of Mines and Energy Energy efficiency building code (under development) Demonstration projects are related to: Energy efficiency project in public building Efficient Lighting Project for the Domestic Sector 12

EAC Energy Efficiency Snapshot The East African Community (EAC) is a regional intergovernmental organization composed of the Republics of Kenya, Uganda, Tanzania, Rwanda and Burundi with its headquarters in Arusha, Tanzania The EAC member countries are facing raising energy demand with a limited supply capacity Within the framework of the Climate Change Convention the EAC member countries undertook various projects to develop energy efficiency market All the countries have already implemented policy and demonstration projects with regards to energy efficiency promotion 13

EAC Energy Efficiency policies Institutions and programs EAC Permanent Secretariat of the MEMD and Department of Energy Efficiency National program for promoting energy efficiency with quantitative targets The MEMD is implementing the Minimum Energy Performance Standards (MEPS) program with assistance from GTZ The program aims at developing and enforcing energy efficiency standards for five appliances; lighting appliances, electric motors, air conditioners, refrigerators, freezers, refrigerator/freezers 14

EAC Energy Efficiency policies Country Kenya Uganda Policy During the 80s, the government, through the Kenyan Ministry of Energy, made an attempt to introduce energy efficiency services. The government officers gave free energy audit services to industry, but there was little implementation. Neither was there any private sector involvement in the services In 2001, the GEF/UNDP supported energy efficiency project revived energy efficiency services in Kenya in a more robust manner In 2005, the GEF KAM Energy Efficiency Project resolved to establish an ESCO in Kenya by the end of the project in 2006. This was done using the trained manpower within the project and by providing training and institutional support through the Kenya Association of Manufacturers The last years have seen a number of new players enter the market in energy efficient equipment supply particularly lighting solutions and power regulators Uganda is one of the country with a strong political commitment for promoting energy efficiency Under the leadership on the Ministry of Energy and Mineral Development (MEMD), an energy policy paper, including a section related to Energy Conservation and Efficiency, has been adopted by the Government 15

SADC Energy Efficiency Snapshot Surplus capacity has run out, load shedding has become a reality in most of the countries, and this is now the right time to invest in energy efficiency in SADC region Most of the countries have therefore embarked upon immediate, short, medium and long term programs to address the situation as the demand is still growing fast and expected to nearly double by 2015, mainly due to growth in the mining sector in countries such Namibia or Botswana Energy efficiency is a critical issue in Southern Africa The region faces energy shortages; high demand growth & step loads; Rural Electrification needs, Shortage of human and financial resources; and Cost Reflectivity RSA sold surplus capacity at competitive prices to the rest of the countries in the region The low and non cost reflective tariffs served as a disincentive for any investment in power generation in some countries 16

SADEC Energy Efficiency policies Institutions National Energy Efficiency Agency (NEEA) established in 2006 to promote energy efficiency throughout the South African economy NEEA support projects for the public sector and targeted industrial endusers (in the residential sector as well as public and commercial buildings) NEEA is also responsible for the accreditation and development of the critical ESCO industry Energy Conservation Measures Dissemination of compact fluorescent lights Increasing the dissemination of solar water heaters in the residential sector Dissemination of solar water heaters in commercial / industrial buildings Voluntary Energy Audits New tariff structure Promoting commercial energy efficient lighting Introducing ripple control technologies, especially in smaller Local Authorities Enhancing commercial / industrial air conditioner efficiencies Financial arrangements to promote demand side management activities 17

SADEC Energy Efficiency policies Country South Africa Namibia Policy South Africa s national electric utility (ESKOM), formally recognized demand side management (DSM) in 1992 when integrated electricity planning (IEP) was first introduced Recognizing that South Africa might run out of capacity by 2006, the first DSM plan was produced in 1994. In this plan, the role of DSM was established and a wide range of DSM opportunities and alternatives available to Eskom were identified From small beginnings in the early 90s, Eskom s DSM programme has grown into a concerted national electricity saving effort officially initiated in 2002 Namibia is expected to experience both electricity supply bottlenecks and a substantial increase of electricity prices in the near future Under this scenario, demand side management project has been carried out by the Government to offer excellent opportunities to the power utility (NamPower) to more effectively match the supply and demand of electricity and deal with short and long term network constraints, while limiting consumer exposure to increasing regional electricity prices DSM in the electricity sector is aimed at reducing the consumer s demand for electricity and/or the timing of such usage. It is principally achieved through energy conservation and energy efficiency measures and technologies, as well as load shifting and load shedding 18

SADC Energy Deficit Forecast Capacity Planned Capacity Required Peak Demand after DSM 85000 80000 75000 70000 MW 65000 60000 55000 50000 45000 40000 2007 2008 2009 2010 2011 Year 2012 2013 2014 2015 19

Energy Efficiency Initiatives in the SAPP The SAPP was created in August 1995 through the signing of the Inter Governmental MOU to coordinate the regional energy policy and programmes The aim was to optimise the use of available energy resources in the region and support one another during emergencies. Faced with the above power supply challenges, the SAPP came up with the concept of a DSM which involves roll out energy efficient technologies that will reduce demand increase. Compact Fluorescent Lamps Commercial Lighting Solar Hot Heater Hot water Load Control 20

4 Barriers to Energy Efficiency Promotion 21

Barriers to Energy Efficiency Promotion Lack of financing for energy efficiency investments Energy efficiency investments are a new type of activity, as the return on investment is based upon operating cost savings Inadequate information available in the industrial sector Industrial end users are more concerned with enhancing operations through improved production and productivity rather than with reducing operational costs, including through energy efficiency measures. Lack of expertise and intermediaries who could develop projects The existing ESCOs are derived from consulting firms and have limited knowledge of the measurement and verification protocols 22

Barriers to Energy Efficiency Promotion Lack of policies Lack of public awareness Lack of trained personnel in the relevant governmental agencies Attitudes change of policy makers Habits of end users of energy Lack of energy efficiency agencies 23

5 Overcoming Structural Challenges 24

Strategy Develop policies on energy efficiency and integrate them into current energy policies Promote energy efficiency products and practices at the side of end users and energy generation Create awareness on renewable energy and energy efficiency Establish agency to promote the use of energy efficiency products and ensure energy efficiency practices Develop and imbibe energy efficiency technologies Develop appropriate drivers for the implementation of energy efficiency policy 25

Opportunities to overcome the key barriers Presentation of some pilot projects by region in line with national Climate Change mitigation strategies Regional projects in ECOWAS region: 1. Management of energy consumption in public building 2. Energy efficiency for large cities 3. Development of ESCO market in the commercial and industrial sectors Regional projects in EAC region: 1. Development of energy efficiency in the manufacturing sector 2. Diffusion of CFLs in the domestic and commercial sectors Regional projects in SADC region: 1. Demand Side Management project in SADC member countries 2. Energy management in the Small and medium size enterprise 26

5 Action Plan for Energy Efficiency promotion 27

Action Plan for Energy Efficiency promotion Period: 2011 2012 Phase 1 2011: Pan African comparative study on energy efficiency for the elaboration of an action plan for training, communication, policy formation and project identification to be implemented from 2012. Targets: Regional economic commissions; Development Agencies; Government ministries & national energy efficiency agencies Q1 : Comparative study April : Presentation to GEE21 meeting Q2 & 3 : Identification of action to be taken Q4 : Presentation to GEE21 meeting 2012 : Implementation of some actions 2012 2013: Monitoring and evaluation of projects and programmes implemented 28

For the formation of a regional and continental energy efficiency market the activities to be undertaken during 2011 are as follows: to review the existing framework identify actions to be undertaken both in the field of training, communication and the definition of a regulatory framework identification of projects to be implemented in 2012 build an environment that will enable sustainable implementation of the strategy 29

Renewable Energy + Energy Efficiency = Sustainable Development 30