EU SE4ALL FACILITY Lefevre_SE4AL… · vThe EU has chosen to set up this Technical Assistance Facility (TAF) to allow reforms, capacity building, and financing plans for projects

UNESCAP - 2014 Policy Dialogue on Energy for Sustainable Development for Asia and the Pacific,

UNCC, Bangkok, Thailand, 26-28 Nov. 2014

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Centre for Energy Environment Resources Development

EU SE4ALL FACILITY

ECONOMIC AND SOCIAL COMMISSION FOR ASIA AND THE PACIFIC (ESCAP)

2014 Policy Dialogue on Energy for Sustainable Development for Asia and the Pacific

Conference Room 4, UN Conference Center (UNCC)26 – 28 November 2014, Bangkok, Thailand



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The UN Sustainable Energy for All initiative

Three ambitious objectives by 2030:

1) Ensuring universal access to modern energy services (electicity and clean cooking)

2) Doubling the global rate of improvement in energy efficiency

3) Doubling the share of renewable energy in the global energy mix

Global SE4All targets for the entire world vs. “Business as usual”

70%

80%

90%

100%

1990 2000 2010 2020 2030

199076%

target : 100%

b.a.u: 88%

Accessto electricity (1)



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-3%

-2%

-1%

0%1990 2000 2010 2020 2030

1990-1.6%

target : -2.6%

b.a.u: -0.8%

Improvement of energy efficiency (3)

10%

20%

30%

40%

1990 2000 2010 2020 2030

199016.6%

target : 36%

b.a.u: 19.4%

Share of renewable energy (4)

40%

60%

80%

100%

1990 2000 2010 2020 2030

199047%

target : 100%

b.a.u: 70%

Access to clean cooking (2)



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First Achievements

v 85 countries “opted in” and more than 160 organizations committed tocontribute

v Country Action Reference Document, in 3 steps: diagnostic, action agendaand investment prospectus

v Thirty “opt-in” countries selected as “Focus Countries”, and investmentprospectuses were already prepared for 12 countries

v Dedicated international networks drawing together businesses, investors,and civil society

v Knowledge hubs: the IRENA (for renewable energy), the WB’s ESMAPproject (for energy access) and the Copenhagen Centre on EnergyEfficiency (for energy efficiency)

v Dedicated databases and a first Reports issued in 2013, others will followevery second year.

v Accountability Framework that will track individual commitments

v UN declared 2014-2024 the Decade for Sustainable Energy for All. TheSustainable Development Goals (SDGs) will explicitly include energy andfully repeat the SE4All’s objectives.



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http://www.se4all.org/



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Energy Landscape in the Beneficiary Countries



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Energy Landscape in the Beneficiary Countries



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Paths to Sustainable Energy for All

Situation with regard to the SE4All’s targets varies widely from country to country, however there are common issues to be addressed:

1) Innovative models needed for rural areas

2) Keeping up with the rapid urban growth

3) Overcoming financing barriers

4) Shifting from traditional to modern biomass

Shifting from traditional to modern biomass is an important challenge that willrequire exploiting the biomass potential to its full capacity:

v Bagasse-based cogeneration

v Rice-husk fuelled power plants

v Biodigesters for households and institutions

v Briquettes or pellets made of agricultural residue



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5) The ways of promoting energy efficiency in industries

v First step : know one’s actual energy consumption through an energy audit

v Development of dedicated trainings and the certification of trained energy auditors

v Establishment of an appropriate regulatory framework

v Creation of benchmarks will help factory managers to assess their own performance

v Energy Manager will be responsible for purchasing energy, oversee energy consuming processes, undertakeappropriate energy savings investment, and monitor the actual consumption through time

v Development of dedicated financing tools

6) Towards energy efficient housing

v Improve efficiency, reduce energy consumption and grating renewable energy sources in the housing sector

v EU experience shows, the challenge is at the same time technical, social, economic and even psychological

v Technology transfer has a role to play. BUT most actions in this domain will succeed only if tailored to the specificcontext

v Refurbishment of existing buildings

v Energy subsidies still in application in many countries are a huge obstacle in the way of energy-efficientrefurbishment of the building stock

v New buildings need to put in place a wide range of legal, regulatory and voluntary mechanisms

v Capacity building and awareness raising

v Creation of a label system by allowing prospective buyers to identify high-performance buildings

Paths to Sustainable Energy for All



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The Size of the Challenge



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SE4All Overall Objective and Purpose

“Support, in the framework of the Sustainable Energy for All initiative, the targeteddeveloping countries to improve their policy and regulatory framework conditions aimingat providing attractive and enabling conditions for increased public and private investmentin energy access, energy supplies, renewable energy as well as energy efficiency.”

Deliver of high level technical assistance to support committed countries to reach theSE4All objectives:

v Initial stocktaking, technical support in the elaboration and implementation of national

energy sector policies and reforms

v Capacity building

v Technical support in preparation of investment projects

v Project demonstration



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Possible Beneficiaries, Target Groups and Stakeholders

Ministry in charge of

EnergyRegulator

Govt Agencies(EE, RES,

Electrification…)

Global level

SE4All Global Facilitation Team

National Level

Ministries of Finance, Industry,

Environment, Planning etc

Private businesses

and industry

Civil society, NGOs

Local Banks

Final beneficiaries: populations

State-owned

enterprises

SE4All Focal Point

EU Dele-gation

Local represen-tations of

IFIs

Regional level

River Basin AuthoritiesRegional Economic

CommunitiesEnergy Cooperation Agencies

SE4All Partners and Supporters

Other relevant multilateral/ bilateral bodies

International banks & investors

Institutions (global)

Institutions (regional)

National institutions and public

sector

Population, civil society

Private sector

Legend



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The European Union’s Role in SE4All

v Commitment to improving energy access, energy efficiency and renewable energy, longbefore the launch of the SE4All initiative

v The “20-20-20” targets set in 2007 give substance to the EU’s commitment to sustainableenergy within its own boundaries, while EuropeAid’s long lasting involvement intransition and developing countries has already resulted in important achievements in termsof energy access

v These commitments started to come into effect inter alia with the 65 M€ TechnicalAssistance Facility (TAF)

v Thanks to the momentum created by the SE4All initiative, International FinancialInstitutions (IFI) and the private sector are willing to bring their technical knowledge andto invest in quality projects, while most of the countries are committed to implementing thenecessary reforms to allow the private sector to enter into the game

v Necessary linkage between these stakeholders is sometimes missing, and the countries canhave difficulties in creating the required enabling environment

v The Technical Assistance Facility is the perfect tool to bridge these gaps



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v The EU has chosen to set up thisTechnical Assistance Facility (TAF) toallow reforms, capacity building,and financing plans for projects to beimplemented faster

v Lifecycle of any sizeable projectusually implies down-time, forinstance when a tender process has tobe carried out in between two steps.With the TA Facility, the project willbenefit from the swift mobilisationof the Consultant’s experts who arededicated to “making thingshappen”.

The European Union’s role in SE4All



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World « minus » Africa

v This Contract will cover 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 vary, within the range of potential services requested.

v Target groups will vary according to the Terms of Reference (ToRs) to be elaborated for each technical assistance mission/task and in line with the contract purpose and objectives.

v 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, environment etc.) and any other stakeholders such as donors, development banks, businesses, civil society, as appropriate.



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Potential Beneficiary Countries



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Results to be achieved

1. The swift development and implementation of technical assistance packages that will vary significantly across the countries. Technical assistance will be provided 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 provided 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 given appropriate visibility necessary to demonstrate the Commission’s commitment and support in meeting the SE4All objectives, both globally and in the countries directly concerned

4. The organisation of ad hoc events such as workshops, seminars, conferences, etc. and the development of suitable promotional material may well be integral parts of any technical assistance mission



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Risks

1. Insufficient private sector participation: ODA will not be sufficient alone to achieve universal access to energy, so private sector participation is important

2. Insufficient financing and implementation capacity: It will also be necessary to increase domestic financing

3. Insufficient take up of available funding under the SE4All TAF: this is considered unlikely as many countries have already expressed interest and several EU Delegationshave reported interest as well.

4. In relation to the above three risks, it is clear that the achievement of the SE4All objectives by 2030 will require economic growth, in developing as well as developed countries, a risk that cannot be mitigated under TAF

5. Excessive demand for available funding under the TAF:Unless there is exchange of information and efficient coordination of the initiatives supported by each donor, there is a risk that certain activities may be duplicated at country level



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For more information:

Director

Centre for Energy Environment Resources Development (CEERD)

Tel +66 2 235 5817

Fax +66 2 236 9574

E-mail [email protected] or [email protected]

Thank you!

Documents

EU SE4ALL FACILITY Lefevre_SE4AL… · vThe EU has chosen to set up this Technical Assistance Facility (TAF) to allow reforms, capacity building, and financing plans for projects