The United Nations Economic and Social Commission for Asia and the Pacific (ESCAP) and the International Renewable Energy Agency (IRENA) will work together to improve access to sustainable energy, bolstering the Asia-Pacific region’s response to the COVID-19 pandemic. The two organisations will offer recommendations to governments in the region positioning the energy transition as an integral part of the immediate response to the crisis and medium to long-term recovery efforts.
Asia-Pacific, home to half of the world’s population, is largely dependent on fossil fuels. Diesel, for instance, fuels the majority of the region’s off-grid electricity needs. According to ESCAP, 200 million people in the Asia Pacific region live without electricity and 1.2 billion people without access to clean cooking fuel. Joint efforts will focus on developing sustainable energy policies that are closely integrated with health and industrial development policies to bolster recovery efforts and rebuild economies.
“The pandemic is an opportunity for us to rethink our economic growth path that has come at a heavy cost to the people and planet,” said Armida Salsiah Alisjahbana, United Nations Under-Secretary-General and Executive Secretary of ESCAP. “To bring about a fundamental shift for the energy transition, we need to adopt the motto of ‘no more business as usual’ for all stakeholders. Policymakers should not lose sight of the looming climate crisis, but rather design economic stimulus packages with social inclusion and environmental sustainability built into every decision in particular sustainable energy development.”
“We are living in truly unprecedented times, calling for decisive and cooperative action among the international community to save lives and support livelihoods all over the world,” said IRENA Director-General Francesco La Camera. “The Asia-Pacific region faces unique energy challenges that undermine the ability of governments to respond to this crisis and build economic resilience. Renewables can underpin these efforts and therefore can play an instrumental role in both the response and the recovery.”
With national budgets strained by immediate COVID-19 needs, short to medium-term energy access investment may represent less of a priority for governments. However, underinvestment in this area could severely impact the capacity of rural health centres to support front-line health workers and provide essential services to COVID-19 patients. When a vaccine does become available, the provision of cold storage and refrigerated transport across large areas will be critical. Decentralized renewable energy technologies such as solar will be key for large-scale immunization efforts in developing countries.
Furthermore, slow progress in mainstreaming clean cooking solutions may expose millions of people to the dangerous combination of particulates and COVID-19. Scientists are already investigating links between air pollution and higher levels of coronavirus mortality, with preliminary results showing a probable correlation between the two.
Renewables can be deployed rapidly and are therefore well-placed to support immediate crisis response efforts including electrification of public health value chains. In the medium to long-term, renewables-based energy systems can also be an engine of sustainable growth. Renewable energy costs in many parts of the world now outcompete traditional energy sources, presenting cost saving opportunities for governments and consumers while boosting energy security, building energy independence and supporting climate-related nationally determined contributions.
According to IRENA’s recently launched Global Renewables Outlook report, renewables can supply more than half of all power needs in Southeast Asia alone by 2030, boosting the regional economy by more than 4.4 per cent and growing jobs by close to 50 per cent in the process. In a recent COVID-19 policy report for Asia and the Pacific, ESCAP identified renewable energy as one of the main sectors to include in stimulus packages.
During the 10th IRENA Assembly last January, ESCAP and IRENA signed a Memorandum of Understanding to work together to increase the uptake of renewable energy in the Asia-Pacific region, support the implementation of the Paris Agreement, and contribute to the achievement of SDG7 by 2030.
Policy Measures to Advance Jordan’s Transition to Renewables
A new report published today by the International Renewable Energy Agency (IRENA) has identified a series of policy measures that can help advance the energy transition towards renewable energy in Jordan.
The “Renewables Readiness Assessment: The Hashemite Kingdom of Jordan” – developed in co-operation with Jordan’s Ministry of Energy and Mineral Resources, suggests opportunities exist to deepen private sector engagement in national efforts to reach a 31 per cent share of renewables in total power by 2030.
“The recommendations of this report comply with the newly issued Energy strategy 2020-2030 and its action plan,” said H.E. Engineer Hala Zawati, Minister of Energy and Mineral Resources in Jordan. “We are fully aware that to achieve all these ambitious targets, a strong partnership between the public and private sectors is needed. We are also eager to work with international friends and partners to make renewable energy a main pillar of the Jordan energy sector.”
The report presents policy action areas to increase energy security and boost supply diversity through the accelerated uptake of renewables and includes ideas to boost end-use electrification and increase the availability of energy transition investments from domestic institutions.
Jordan’s share of electricity from renewables grew from almost zero in 2014 to around 20 per cent in 2020 thanks to enabling frameworks and policies that have supported the deployment of renewable energy technologies, including solar photovoltaic (PV) and onshore wind.
“Jordan boasts significant renewable energy resource potential that if realised will reduce consumer energy costs, improve national energy security, create jobs and stimulate sustainable growth – boosting post COVID-19 economic recovery efforts,” said IRENA Director-General Francesco La Camera. “This report highlights a series of policy and regulatory measures that will allow Jordan to build on its energy transition progress to date and align it with 2030 national decarbonisation goals.”
Capacity building in local financing institutions and project developers can drive their engagement in the energy transition, the report says, while helping the country to meet its needs in important areas such as the build-out of electric charging infrastructure for the transport system.
Challenges associated with integrating higher shares of renewables in Jordan can be addressed by building and upgrading transmission and distribution infrastructure, deploying storage, promoting demand-side management and incentivising electrification of heating, cooling and transportation.
Renewables Readiness Assessment: Jordan lists concrete recommendations around the following seven action areas:
- Provide the conditions for renewables to grow in the power sector
- Foster continued growth of renewable power generation
- Plan for the integration of higher shares of renewable power
- Incentivise the use of renewables for heating and cooling
- Support renewable options for transport and mobility
- Catalyse renewable energy investment
- Strengthen local industries and create jobs in renewables
World Bank Supports Angolan’s Electrification with $250 Million
The World Bank approved $250 million to improve the operational performance of the electricity sector utilities and increase electricity access in selected cities of Angola.
The Electricity Sector Improvement and Access Project will finance electrification investments in the provinces of Luanda, Benguela, Huila, and Huambo, delivering 196,500 new electricity connections that will benefit close to one million people and 93,857 public lights.
The project will focus on electricity access expansion and improvement of revenue collection, electricity service improvement, capacity improvement of the public electricity producer (PRODEL, Empresa Pública de Produção de Electricidade), and strengthening sustainable management of generation plants. The project also aims to increase the commercial performance of the national electricity distribution company (Empresa Nacional de Distribuição de Electricidade, ENDE) as well as provide financing to the national transport network Rede Nacional de Transporte, RNT) for targeted interventions to improve and optimize the dispatch of electricity supply and the overall management of the national transmission network. Furthermore, the Project will also finance immediate measures to raise the operational, commercial and technical capacity of the three national power utilities, leading to significant electricity service improvement.
“Investment in infrastructure, especially in energy, is key to economic development ”, said Jean-Christophe Carret, World Bank Country Director to Angola “Quality access to electricity services will have a spillover effect in many other sectors, including agribusiness, health, education, just to name a few.”
Angola’s power generation capacity, largely based on hydropower, has developed at a fast pace with the national installed generation capacity quadrupling in just one decade, but transport, distribution and cost recovery remain very challenging. Less than 40 percent of Angolans have access to electricity, with inadequate electricity services impacting poverty, productivity and regional disparities. Therefore, the project aims to deliver the most critical actions needed to help expand electricity access, improve the operational and commercial performance of utilities, and ultimately boost their creditworthiness. This, in turn, will contribute to reducing extreme poverty, improving the resilience of communities to impacts arising from COVID-19, and increasing shared prosperity.
The total project cost is $417 million, financed with a $250 million loan from the World Bank and a credit of $167 million from Agence Française de Développement.
IEA and SICA to collaborate on clean energy transitions in Central America
The International Energy Agency (IEA) and the Central American Integration System (SICA) have signed a Memorandum of Understanding (MoU) to promote clean energy transitions in Central America. Under the MoU, the two organisations will expand their cooperation on energy data and statistics, energy efficiency and climate resilience of electricity systems. These have all been identified as key areas for energy transitions and climate change mitigation in the region under SICA’s Central American 2030 Sustainable Energy Strategy.
“The IEA is pleased to team up with SICA to expand our work in Central America, a dynamic region that is home to over 55 million people and has excellent clean energy potential with distinctive transition opportunities and challenges,” said IEA Deputy Executive Director David Turk.
Under its Clean Energy Transitions Programme, the IEA has been expanding its collaboration in Latin America. This is taking place both bilaterally with key partner countries – including the two largest economies, Brazil and Mexico – and on a regional level through cooperation with leading regional organisations, including the Latin American Energy Organisation (OLADE) and the Inter-American Development Bank. The signing of the IEA-SICA Memorandum of Understanding is a new milestone for the IEA’s engagement with the region.
“Today’s signing ceremony marks an important step for SICA’s work on clean energy transitions – an important priority for our member countries, which can now benefit from the IEA’s leading analysis and expertise,” said Vinicio Cerezo, SICA Secretary General.
The Central American Integration System (Sistema de Integración Centroamericana, or SICA) is an economic and political organisation composed of Belize, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, Panamá and the Dominican Republic, that works to foster closer ties and integration across Central America and the Dominican Republic to promote peace, liberty, democracy and development in the region.
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