“Public-Private Partnerships for industrial energy efficiency -  A perspective on opportunities

and challenges”

Rainer Stifter on behalf of UNIDO

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Contents

1. About UNIDO

2. Context and rationale of UNIDO Energy Programme

• Industrial Energy Efficiency (IEE)

3. PPP on EE indicators for motor-driven systems

4. The Clean Tech Open Model

• Support development and build partnerships for clean technologies

• UNIDO experience

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UNIDO (www.unido.org)

The United Nations Industrial Development Organization (UNIDO) is a specialized agency of the United Nations with the mandate is:

i. to promote and accelerate sustainable industrial development in developing countries and economies in transition;

ii. to work towards improving living conditions in the world’s poorest countries by drawing on its combined global resources and expertise.

UNIDO activities are focused on three thematic priorities:

1) POVERTY REDUCTION THROUGH PRODUCTIVE ACTIVITIES

2) TRADE CAPACITY BUILDING

3) ENERGY AND ENVIRONMENT

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Demand for EnergyWorld primary energy demand in the New Policies Scenario

Source: IEA World Energy Outlook 2011

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Climate Change Policy Scenarios

Source: IEA/UNIDO 2010

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3 Targets

1. Universal Energy Access by 2030

2. Double Energy Efficiency by 2030

3. Double Share of RE in Global Energy Mix by 2030

Launching PPPs;

Cleantech Competition

Mobilizing stakeholder

s

Multi-stakeholder platform for

action

Galvanizing commitments

Capacity building and

Energy planning for low-carbon

growth

Zambia

Ukraine

Chad

ThailandSierra Leone

Nigeria

Liberia

Cambodia

India

Guinea

EgyptCuba

Cote d‘Ivoire

Sri Lanka

Albania

UNIDO Energy and CC Programme Footprint

Cape Verde

Gambia

Cameroon

Comoros

Kenya

Lesotho

Madagascar

Mozambique

South Africa

Sudan

Laos

Colombia

Chile

Dominican Republic

Uruguay

Tanzania

Ecuador

Burkina Faso

Macedonia ( FRY)

Turkey

Moldova

Russia

Iran

Pakistan

China

Malaysia

Indonesia

PhilippinesVietnamMexico

Peru

Nicaragua

Costa Rica

Brazil

Paraguay

Uganda

Bangladesh

Countries distribution •Latin America - 12•Africa - 21•Europe - 6•Asia - 13

Total of 52 Countries

UNIDO Funds Co-Financing Total

218 Mio US$ 740 Mio US$ 958 Mio US$

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UNIDO Energy and CC ProgrammeThematic Areas Industrial Energy Efficiency

• Energy Management Systems & Std

• Energy systems optimization

• Benchmarking

Renewable Energy Technologies• Productive uses

• Industrial applications

• Biofuels (industrial processing)

Low-carbon & advanced tech.• Specific energy and resource efficient

• Hydrogen

• CCS for industrial applications

Services Policy and regulatory advice and

development support

Capacity building for institutions, EE service providers and industrial enterprises

Support to demonstration, deployment and transfer of technologies

Pilot projects

Global forum and knowledge sharing activities

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Why Industrial Energy EfficiencyIncremental energy demand by sector and region in the New Policies Scenario, 2009-2035

Source: IEA World Energy Outlook 2011

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PPP for Industrial Energy Efficiency Indicators

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Context• Electric motor-driven systems account for approximately 60% of

manufacturing final electricity use worldwide• Motor systems represent a largely untapped, cost-effective source for IEE

savings that could be realized with existing technologies• Potential EE savings of 10-15% can be achieved in by motor-system

optimization, corresponding to 120 billion USD in annual savings by 2030.

Many are the barriers that are preventing to capture such potential including• Lack of or ineffective policies• Failure to understand economic potential at enterprise & policy level• Inadequate methodologies and insufficient data to quantifying magnitude

& cost-effectiveness of energy savings, and track improvements in motor system energy efficiency at the enterprise, sector, national

EE Indicators in the area of motor systems

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Objective of the PPPHelp decision-makers & motor-driven system (MDS) industry in accelerating deployment of energy efficiency best-available practices and technologies

Why a PPP• Industry support critical for MDS technology information and data

collection • MDS industry to benefits from better and broader knowledge of national

and regional markets size, MDS technologies potential, stronger supporting policies and better informed clients

Promoters and partnersUNIDO and Global Green Growth Institute are leading this initiative.

Proposed partners include International Partnership for Energy Efficiency Cooperation (IPEEC), the International Energy Agency (IEA),

EE Indicators in the area of motor systems

Approach and Next StepsAPPROACHLink motor system EE indicators to discipline of Energy Management System and ISO 50001 for energy performance indicatorsBuild on UNIDO and IEA past and ongoing work on motor-system efficiency indicators, policy development and implementation support

NEXT STEPSConduct consultations with Industry through UNIDO Green Industry PlatformInitiate consultations with experts on setting up a Practitioners Network (to support data collection, exchange of knowledge and information)Explore links with ISO processesInvite collaboration from other relevant and interested partners and stakeholders

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UNIDO EnMS/ISO 50001/SO Programme

Ongoing discussion

Operational

South AfricaMoldovaRussiaTurkeyEcuadorMalaysia

ThailandViet NamPhilippinesEgyptIndonesia

Countries ……. EnMS/ISO5001

Total UNIDO&GEF Funds Total Co-Funding Total Project Funding

52 Mio US$ 426 Mio US$ 478 Mio US$

Operational in 11 countries

Ongoing & planned activitiesin more than 10 countries

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The Clean Tech Open Model

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The CleanTech Open Model

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The CleanTech Open Model

Mission: To find, fund & foster entrepreneurs with big ideas that address today’s most urgent energy, environmental & economic challengesCORE PROGRAM ELEMENTSMentoring• Specialists and generalist. Many volunteering

• Business clinic

Training • Business, Tech Business, Cleantech Business;

Innovate, Iterate, Validate

Access to Capital• Relationships with Venture Capital firms & angel

groups

• National Investor “Series” Events

Showcases and Alumni

SIX CATEGORIES

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The CleanTech Open Model

Sponsors and Partners

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UNIDO Piloting of Clean Tech Open in South Africa

Goal: Platform for promoting low carbon technologies in SMEs

THREE CATEGORIES

DUAL TRACK COMPETITION

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UNIDO Piloting of Clean Tech Open in South Africa

Goal: Platform for promoting low carbon technologies in SMEs

MENTORS WINNERS AND RUNNERS-UP

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UNIDO Piloting of Clean Tech Open in South Africa

Results1. Successful in stimulating and boosting clean technologies

dissemination and development in SMEs

2. Great response from enterprises and private sector – by businesses for businesses

3. Effective leverage of public resources and donor programs

4. Built partnership networks and catalyzed business opportunities

UNIDO working with the Global Environment Facility and the Clean Tech Open for replicating competition and business development platform to other 5 countries during 2013-2015

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Opportunities and Challenges for PPP in IEE

Climate Change mitigation goals and policies

Corporate image (environment, social responsibility, etc.)

Market access/consolidation and business development opportunities

Green and donor financing

Cost reduction and enhanced competiveness for ultimate beneficiaries

Multiplicity and larger number of partners

Value proposition for private sector

Modalities of partners engagement and collaboration

Novelty of approach

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Thank you for your attention