Transcript English - Global Environment Facility

RBEC UNDP-GEF Climate Change
Mitigation Portfolio:
Lessons Learnt
John O’Brien
Regional Technical Advisor, Climate Change
Mitigation
UNDP – Bratislava Regional Centre
Sub-Regional Workshop for GEF Focal Points &
Constituency Meeting
14-15 April 2010
RBEC Energy and Environment CoP Meeting
Presentation Overview
 Overview of UNDP GEF CC Portfolio
 Lessons Learned during GEF - 4
 Looking towards GEF - 5
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RBEC Energy and Environment CoP Meeting
UNDP GEF Climate Change Activities Globally
Objective:
Assist developing countries to develop and
adopt low carbon and climate resilient
strategies/development through promotion
of market transformation for EE, RE and
Sustainable Transport technologies
Renewable Energy
Energy Efficiency
Portfolio: US$ 865 m
Portfolio: US$ 1 billion
Transport
Portfolio: US$ 890 m
 UNDP has 132 Country Offices in 6 Regions
 We are Country Driven
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RBEC Energy and Environment CoP Meeting
UNDP GEF Portfolio Overview - Energy-Efficiency is Number One Priority
Resources mobilized in GEF IV - US 66.6 $ million – 54 million
in EE; 3.9 million in RE; and 8 million in transport.
25
22.6
20
15
9.79
9.45
10
6.6
5
3.5
1.09
1
1
1.9
1
2.6
1
1
3.06
1
0
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RBEC Energy and Environment CoP Meeting
UNDP interventions in Europe and CIS region are focused
on Removing Barriers to EE
 Low energy efficiency (even new EU members), little use
of renewable energy (except hydro) → most energy- and
carbon-intensive economies globally
World average
Source: World Resources Institute 2008
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RBEC Energy and Environment CoP Meeting
UNDP key priority: Energy efficiency in Buildings
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•
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•
40% of energy used in buildings
Building stock 2-3 times less efficient than in EU
Utilities account for 20% in poor households income
30% reduction in costs can make a substantial difference
Source: UNDP/GEF Project Document, Kyrgyzstan
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RBEC Energy and Environment CoP Meeting
UNDP key priority: Energy Efficiency in buildings
- Poorly designed and
Barriers to remove:
How do you think about work the heating supply
system in your apartment?
Don’t work at all
No answer
20,5%
1,8%
insufficiently enforced legal
and regulatory framework
- Weak capacities to
Good
47, 7%
Bad
30, 1%
Turkmenistan: 50% of customers
are not satisfied with heat systems
identify and implement
energy efficiency measures
among municipalities,
tenants and district heating
companies
- Financing Barrier –
access to credit is very
difficult – Scaling Up
Source: UNDP/GEF Project Report
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RBEC Energy and Environment CoP Meeting
Lessons Learned: Municipal EE in Croatia
- Policy-level support: National EE
BEFORE
Energy Charter
Advocacy kit under UNDP
“House in Order” project
Master-plan with the Programme of
Implementation 2008-2016
- Energy Charter: signed by ALL
towns and counties in the Republic of
Croatia
- Over 40 million USD
investments leveraged in energy EE
across Croatia
- 91,5% of households are aware of
availability and the
benefits of EE products
related to home appliances
- Project budget: 13 M US$ (on-going)
with UNDP/GEF contribution 3.5 M$
Source: UNDP-GEF Project in Croatia
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RBEC Energy and Environment CoP Meeting
Lessons Learned: EE Renovation in Bulgaria
- 28 voluntary associations of
BEFORE
condominium owners for the
purposes of renovation and future
maintenance created;
- 7 multifamily buildings fully
renovated and 21 buildings
AFTER
undergoing renovation
- Annual energy saving: 50-75% due
to EE renovation
Source: UNDP/GEF Project Booklet, Bulagria
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RBEC Energy and Environment CoP Meeting
Upscaling EE Activities : Options for Consideration
OPTIONS TO CONSIDER
OPTION EXPLAINED and WHAT IS NEEDED
Loan Guarantees for Banks
Banks are reluctant to provide loans to home owners, due to
inability to provide security;
If banks provide loans, the interest rates are too high
Guarantee by a “third party” could help
More analysis needed on how this might work and collaboration
with the various IFIs.
Free energy audits and/or
interest free loans
(provided by Government)
Average size of a loan for household EE is low:less than US$
10,000. A government programme for interest free loans for this
purpose and free energy audits could work (Action Energy
Programme in UK)
Analysis of lessons learnt from similar programs
Carbon finance
No impact to date on the EE field – transaction costs are high;
number of emission reductions small/project basis.
New Programme of Activities (PoA) under CDM – will combine
activities at national/sub-national/regional level in one project
Analysis needed on the use of the PoA approach in EE in buildings
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RBEC Energy and Environment CoP Meeting
UNDP key priorities: Renewable energy
Small hydro power: Georgia,
Kyrgyzstan and Tajikistan
Wind power: Kazakhstan
Biomass: Slovakia, Belarus, Poland,
BiH, Slovenia, Latvia
Solar Water Heating: Albania
 Security of Supply is critical (for biomass projects)
 Long-term PPA is critical for electricity generation projects
 Demonstration projects can play a ‘catalytic effect’
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RBEC Energy and Environment CoP Meeting
Lessons learnt: Working Well and Areas for Improvement
We are working well when it comes to
 working at a local level (municipalities, local governments)
 changes in policies, legislation, regulation
 awareness raising activities
 guidebooks, training materials
 demonstration activities
Where we can and need to improve
 Coordination with other Agencies
 Finding Investors/Engaging Private Sector
 Upscaling Activities & Replication
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Lessons Learned: Engaging the Private Sector
How do we engage the private sector more effectively
 staff/consultants with experience working in the private
sector at a senior level – managing risk
 understand concepts of risks and returns and how we
can assist with reducing risks/enhancing returns
 choose ‘world class companies’ to work with
 specific role within our projects of leveraging
private sector investment
In our projects : reward results, reward sucess
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RBEC Energy and Environment CoP Meeting
Looking to GEF 5 – Areas for Focus for UNDP
Primary Focus
 Energy-Efficiency in Buildings
- In particular EE in residential buildings & public buildings
 Removing Barriers to Renewable Energy
- esp. biomass
Secondary Focus
 Sustainable Transport
 Carbon Forestry (incl. cross cutting projects)
Integrate focus on linkages with carbon markets (CDM, JI)
into our projects under GEF – 5 (Carbon Finance is the
future)
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Thank you!