Energy Access for Development: UNIDO’s Strategy and Services 20 March 2014 Chua Chin Pen Representative and Director UNIDO Regional Office in Thailand 1 Inclusive and Sustainable Industrial Development UNIDO: Partner for Prosperity • Specialized UN agency mandated to promote inclusive and sustainable industrial development (ISID) for lasting prosperity for all • Three thematic proirities: – Poverty reduction through productive activities – Trade capacity building – Energy and environment Inclusive and Sustainable Industrial Development 2 Energy and Climate Change Team Energy and Climate Change Branch Normative and Advisory Role Research and Global Forums Projects and Programmes Inclusive and Sustainable Industrial Development 3 WHERE DO WE GO Renewable Energy Strategy New business paradigm – Distributed energy Mini-grids Productive uses Renewable energy enterprises Business Models Green industry (local manufacturing) Industrial Applications 1. Create business development opportunities through increasing access to energy through minigrids; 2. Mainstream the use of renewable energy in industry (SMEs); 3. Support innovative business models to promote renewable energy in the business sector Inclusive and Sustainable Industrial Development 4 UNIDO Renewable Energy Portfolio Ukraine Armenia Albania Pakistan Egypt Cuba Dominican Republic Nicaragua Cape Verde Gambia Guinea Sierra Leone Liberia Costa Rica Colombia Ecuador Legend Hydro Chad Cameroon Laos Sudan Cambodia Nigeria Cote d‘Ivoire Thailand Sri Lanka Uganda Kenya Rwanda Tanzania Comoros Peru Zambia Brazil Wind Solar India Bangladesh Mexico Paraguay Madagascar Mozambique Chile South Africa Uruguay Biomass No. of Project Lesotho GEF 3 GEF 4 GEF 5 Other TOTAL 2 14 16 29 61 Inclusive and Sustainable Industrial Development 5 Funding Sources for RE Projects OUNF, 2,363,000 Spain MDG Achievement Fund, Financed by recipient 945,000 UNDP, 1,909,000 Government, Austria, 1,997,000 349,000 Trust Funds, 4,801,000 IDF, 2,721,000 Austria UNDP OUNF Spain MDG Achievement Fund GEF, 101,000,000 Financed by recipient Government Trust Funds All figures are in US$ IDF Inclusive and Sustainable Industrial Development 6 Increasing GEF-UNIDO Renewable Energy Portfolio GEF FUNDING GEF 5 GEF 4 GEF 3 US$ 8 US$ 26 Million US$ 67 Million CO-FINANCING GEF 5 GEF 4 NO. OF PROJECTS US$ 255 GEF 3 US$ 92 US$ 16 GEF 5 GEF 4 23 GEF 3 15 2 Inclusive and Sustainable Industrial Development 7 Delivery of Renewable Energy Based Modern Services in Cuba - The case of Isla de la Juventud The project will install: • a large biomass gasifier plant (3.5 MW) for power generation, Biomass power plant on the Isla de la Juventud • four gasifier applications (about 6 MW thermal) to be placed at four industrial sites for heat production • wind farm to produce 1.5 MW of electricity Total project budget: US$ 5,337,000 Inclusive and Sustainable Industrial Development 8 Renewable Energy Based Economic Development: Hybrid Based Rural Community Development Centres in Remote islands in the Maldives • Solar PV - Hybrid Wind was installed at Goidhoo and Fainu Island • Possibility to scaling up of such a RE project, since the region has vast wind and solar potential Total project budget: US$ 266,800 Solar PV - Hybrid Wind at Goidhoo Island Inclusive and Sustainable Industrial Development 9 Example: Promoting business models for increasing penetration and scaling up of solar energy in India •Objective: promoting industrial applications of solar energy in selected industrial sectors in India •Primary focus on medium to high temperature applications (i.e. between 150 and 400° C) •Target sectors include Food Processing Industry, Paper and Pulp, Fertilizer, Breweries, Pharmaceutical, Textile (Finishing), Refineries, Rubber, Desalination. •The pharmaceutical, food processing, dairy and breweries industries are the largest industrial users of process cooling. Project will cover solar heating and cooling applications Project expected to start in Q1 2014 06/06/11 Inclusive and Sustainable Industrial Development 10 Example: Organic waste streams for industrial renewable energy applications in India • Donor & Budget: GEF-5; 3.3 MUSD • Resource: Bio-residues in industries for (an)aerobic digestion • Sectors: sugar / fruit processing/ poultry (tentative) • Status: preparatory phase ongoing – until Q3 2014 • Project expected to start Q1 2015 Inclusive and Sustainable Industrial Development 11 Renewable energy-based electricity generation for isolated minigrids in Zambia The project would install: Location of Minigrid Sites in Zambia • Biomass gasifier power plant for 500 kW of electricity generation • Small hydropower station to generate 1 MW of electricity • Solar energy mini-grid with an outputs of 36 kW The project will also contribute to a legal, institutional and policy framework to provide for a favorable environment for commercial deployment of renewable energy based mini-grids in rural areas of the country Total project budget: US$ 6,324,007 Inclusive and Sustainable Industrial Development 12 Regional Centre for Renewable Energy and Energy Efficiency (ECREEE) in Praia, Cape Verde ECREEE is a specialized institution of the Economic Community of West African States supported by UNIDO, the Governments of Austria, Cape Verde and Spain The centre focuses on: Developing RE and EE markets in West Africa Policy and capacity development Designing financing mechanisms Implementing demonstration projects with potential for regional scaling-up The official opening of Regional Centre for Renewable Energy and Energy Efficiency held on 6 July 2010 in Praia, Cape Verde Total project budget: US$ 2,692,566 Inclusive and Sustainable Industrial Development 13 International, Regional & Innovation Technology Centres • UNIDO International Solar Energy Center for Technology Promotion and Transfer at Lanzhou, China • The International Centre for Science and High Technology in Trieste, Italy • International Network on Small Hydro Power (IN-SHP) with headquarters in Hangzhou, China • International Centre for Hydrogen Energy Technologies in Istanbul, Turkey • ECOWAS Regional Centre for Renewable Energy and Energy Efficiency (ECREEE) in Praia, Cape Verde (Regional Centres for EAC, SADC and Pacific Islands are under development) • Regional Centre for Small Hydro Power (SHP) in Trivandrum (India) • Regional Centre for Small Hydro Power (SHP) in Abuja (Nigeria) Inclusive and Sustainable Industrial Development 14 UNIDO Renewable Energy in the Region Country Project Title Budget (USD) Cambodia Scaling up Solar Battery Charging Station and Capacity (Ongoing) Building for Gasifier's Manufacturers 587,620 TT: Using biomass for Sustainable Energy 1,890,000 Cambodia Biogas-Based Rural Energy Enterprises (REE) (Pipeline) Development Malaysia Malaysian Clean Technology Innovation Competition and (Ongoing) Entrepreneurship Acceleration Programme GHG Emissions Reductions in Targeted Industrial SubSectors through EE and Application of Solar Thermal Systems Malaysia Electric Vehicles and Hydrogen technology for Low carbon (Pipeline) for Transport Sector 15 Inclusive and Sustainable Industrial Development 1,500,499 990,000 4,370,000 2,000,000 15 UNIDO Renewable Energy in the Region Country Lao PDR (Pipeline) Project Title Budget (USD) Reducing Green House Gas Emissions in the Industrial Sector through Pelletization Technology 1,400,000 Thailand TT: the Pilot Case of Ethanol Production from Cassava (Ongoing) 2,970,000 Thailand (Pipeline) Promoting Small Biomass Power Plants in Rural Thailand 1,000,000 Greening Industry through Low Carbon Technology Application for SMEs 2,000,000 Reduction of GHG Emission in Thai Industries through Promoting Investments of the Production and Usage of Solid Bio-fuel 4,380,000 Cleantech Promotion Programme for SMEs in Thailand 2,000,000 Inclusive and Sustainable Industrial Development 16 UNIDO in Myanmar (Ongoing) Project Title Budget Donor 2,500,000 Euro NORAD 500,000 Euro Japan 3,100,000 USD GEF Enabling Activities to Facilitate Early Action on the Implementation of the Stockholm Convention POPs (Persistent Organic Pollutants: POPs) 550,000 USD GEF Fostering Pro-Poor and Inclusive SME Development in Myanmar – Preparatory Assistance 320,000 Euro Italy Pilot National Resource Efficient and Cleaner Production (RECP) Programme, Myanmar 565,000 USD SECO Strengthening the National Quality Infrastructure Development for Trade Regional Project: Green Industry for Low Carbon Growth in Cambodia, Lao PDR and Myanmar Improvement of Industrial Energy Efficiency in MyanmarPreparatory Assistance Inclusive and Sustainable Industrial Development 17 UNIDO in Myanmar (Pipeline) Project Title Budget Potential Donor Promotion of Renewable Technology in the Rice Milling Sector in Myanmar 300,000 USD Centre for South-South Industrial Cooperation Empowerment through Capacity Building on Sustainable Bamboo Community Development for Rural Livelihoods and Poverty Reduction 300,000 USD Centre for South-South Industrial Cooperation Industrial Statistics 710,000 USD TBC Value Chain Development for the Rice Sector 1,200,000 USD TBC Youth Empowerment through Training in Operation, Maintenance and Repair of Agricultural Machinery for Income Generation and Livelihood Development 1,000,000 USD TBC Inclusive and Sustainable Industrial Development 18 Thank you for your attention Inclusive and Sustainable Industrial Development CONTEXT GLOBAL CHALLENGES • Energy Poverty • Energy Security • Climate Change Access to Energy is a pre-requisite for Poverty Reduction and Achievements of MDGs SE4ALL Initiative 20 Inclusive and Sustainable Industrial Development Global Industrial Energy Use • Industry is a key driver of growth for poverty reduction China 23% • Industry accounts for about 1/3 of global final energy use – 40% of electricity use – 77% of coal and derivatives use – 37% of natural gas use and 1/3 of global CO2 emissions Source: IEA, 2007 & 2009 OECD 43% Other Asia 11% FSU 9% Africa NonOECD Middle Latin 3% Europe East America 6% 1% 4% Global industrial energy use by regions 21 Inclusive and Sustainable Industrial Development Incremental Levels of Access to Energy Adapted from AGECC 2010 Report Inclusive and Sustainable Industrial Development 22 Carbon footprint reduction opportunities for the agro - processing industries of Tanzania • Identifying opportunities for reducing the carbon footprint associated with agro-processing industries • Help to impart understanding and equip the agro-processing industries to take up the challenge and make the reductions in Tanzania • Part of a UN Joint Programme on the Environment underway in Tanzania Sisal Fibre drying – outdoors, Tanzania • Five agro-processing industries were Total project budget: US$ 247,243 examined in more detail in terms of opportunities for the reduction of the carbon emissions Inclusive and Sustainable Industrial Development 23 Observatory for Renewable Energy in Latin America and the Caribbean • Tool to promote renewable energy, in particular for productive uses and industrial applications • In total 20 countries in LAC endorsed the programme and activities already initiated in 8 of them • Relies on a powerful knowledge platform • The main goals are: -increasing the access to the existing know-how, - promoting that member countries see their renewable energy generating capacity and ability to attract investments strengthened Opening session of the Iberoamerican Ministerial Meeting, held in 2006 in Montevideo, Uruguay Total project budget: US$ US$ 3,336,897 Inclusive and Sustainable Industrial Development 24