The Africa-EU Energy Partnership

Transcription

1 The Africa-EU Energy Partnership A long-term framework for structured political dialogue and cooperation on energy issues Renewable Energies for Rural Electrification: a Win-win Combination European Sustainable Energy Week 2008 Rui Costa Energy Team Economic Development Unit DG Development European Commission

2 Mapping of darkness

3 The main drivers Energy access 1.6 billion without electricity Over 2.4 billion cook with traditional fuels Energy-linked poverty & drudgery of women Climate change 80% of total energy consumption comes from fossil fuels Impacts on infrastructure Deforestation Energy prices and security Commercial energy use is growing (about 1.7% p.a. in industrialised and 3.8% p.a. in developing countries) Volatile prices

4 Energy Access Access to energy services underpins achievement of MDGs Energy access for basic human needs (education, health) and gender equality Essential for economic growth (e.g. lack of electricity access a major obstacle to doing business) Africa has the lowest access level in the World. About 80% of population has limited access to modern energy

5 Issues Energy prices and security Current high fossil fuel prices (SSA countries use twice as much oil per unit of economic output than OECD countries) Security of supply - vulnerability and instability Policy responses Improve efficiency not only energy supply/demand infrastructure but also look for opportunities to build efficient energy futures into industry, urban development, transport programmes (end-use efficiency) Diversify supply source and region Use indigenous resources particularly renewables.. Only 7% of hydropower potential used

6 Climate change Per Capita Energy Related CO 2 Source: IEA World Energy Outlook 2004

7 Climate change impacts/adaptation Food and water security Increased vulnerability for poor Impacts on energy supply? (e.g. biomass) Impacts on energy and other infrastructure? (e.g. hydropower)

8 Africa increases the attention to energy AU/NEPAD objectives and its Short-Term Action Plan for Infrastructure (I-STAP) give high priority to energy: increase Africans access to reliable and affordable commercial energy supply from 10% to 35% or more within 20 years improve the reliability and lower the costs of energy supply to productive activities in order to enable economic growth of 6% p.a. reverse environmental degradation that is associated with the use of traditional fuels in rural areas integrate transmission grids and gas pipelines so as to facilitate te cross-border energy flows Regional organizations are active in the energy area. Utilities are cooperating via Power Pools More and more African governments draw attention to energy at the national level

9 Europe responding by increasing the EU-Africa Energy Dialogue EU energy dialogue with Africa since the 2002 Johannesburg Summit. Main focus on access to energy services and the MDGs EU responses: Energy in Development Policy, Energy Facility, Infrastructure Trust Fund, Energy in National Programmes, Communication on Climate Change Expanding global energy agenda: energy security becomes a key concern energy access remains a key issue for Africa climate change moves even higher on the agenda EU scope and dialogue expands accordingly, including the energy dialogue with Africa Leading to the EU-Africa Energy Partnership

10 Our joint challenges Energy security a common European and African issue Trade in energy increases energy security: there is a common interest in open, well functioning energy markets Energy access in Africa Access to modern energy services: there is a huge potential for renewable energy solutions and for the use of Africa s energy resources for Africa s s development Environment and climate change Sustainable use of biomass in household energy Climate change: Africa has a limited contribution to CO2 emissions, but it is vulnerable to the effects focus on adaptation

11 Objectives Objectives and outcomes of the Partnership Effective Africa-EU dialogue on energy access and energy security Improved access to reliable, secure, affordable climate friendly and sustainable energy services for both continents Increased European and African investments in energy infrastructure ure in Africa, including promotion of renewable energy and energy efficiency Expected outcomes Scaled up investment in energy infrastructure, including the promotion of sustainable renewable energy and improved energy efficiency on both the supply and demand sides Improved management of energy resources, including increased development elopment oriented use of oil and gas generated resources Improved electrification rates, development of networks and of crossc ross-border interconnections and other energy exchange infrastructure in Africa and between African and Europe Improved institutional, technical capacities and donor coordination ion Expanded Africa-EU technology cooperation and transfer in the energy field Climate change mainstreamed into energy development cooperation

12 Activities under the Partnership Implement already existing EU support to energy in Africa Joint analysis, discussion and capacity building Progress in enabling frameworks at all levels in Africa. Strengthen African energy institutions. Twinning Contacts and exchange between EU bodies and their African counterparts Explore possibilities to launch dialogue on nuclear energy Explore the use of innovative financing methods for small scale facilities through PPPs Mobilize increased grant funding and capital from all sources Examine the creation of African Energy Funds Elaborate gas recovery plans through the GGFRP Promote regional integration of African energy markets Promote energy interconnections between Africa and Europe Explore possibilities for launching a major renewable energy cooperation program in Africa Mainstream climate change into energy development cooperation Hold a high level Africa-EU dialogue meeting every two years

13 The state of play & the way forward EU-Africa Summit December. High level endorsement of the Partnership, as part of the Lisbon Joint Strategy and Action Plan Define with African stakeholders appropriate institutional arrangements for the implementation of the Partnership Fine tune and implement Action Plan Mobilise additional resources and actions via an integrated framework of instruments Look beyond 2010 Monitoring and reporting: Joint reports to EU-AU Ministerial Troika meetings Reports to future EU-Africa Summits

14 Rural electrification and renewables in Africa and the Partnership Related expected outcomes Improvement of electrification rates Scaled up energy infrastructure including the promotion of sustainable renewable energy Related activities Explore the possibility of using innovative financing and guarantee methods, notably small-scale scale facilities through PPP Examine the creation of Rural Electrification Funds Explore the possibilities for launching a major cooperation programme ramme in the field of renewable energy sources in Africa Further implement already agreed EU support to the African energy y sector (through the Energy Facility, the Africa component of ENTRP, of which the Africa component of GEEREF, etc.)

15 Trends in EU-ACP energy cooperation (1) Reinforcement of the EU-Africa Partnership on Infrastructure and the Infrastructure Trust Fund (contribution from the 9th EDF, replenishment under the 10th EDF) Increased importance of energy in 10th EDF national and regional strategies Reinforcement of the EU Energy Initiative, implementation of the first projects under the EU-ACP Energy Facility (9th EDF funds, replenishment under the 10th EDF)

16 Trends in EU-ACP energy cooperation (2) 40,0 10th EDF - repartition Energie M e u r o s 30,0 20,0 10,0 0,0 Burkina Burundi Cook Djibouti Guinea Kiribati Liberia Marshall Micronesi Nauru Niue Palau Sierra Sw azilan Tanzania Tonga Energie 5,0 9,0 1,0 17,0 23,0 6,7 30,0 4,5 7,5 2,3 2,6 2,5 12,0 9,0 8,0 5,0 Almost nonexistent in the 9th EDF, the energy sector will benefit from 145 M M under 10th EDF NIPs 16 countries (8 in SSA and 8 in the Pacific) have chosen energy as a focal sector. Other countries have included energy components in their focal sectors