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Iceland, a world leader in clean energy, supports Africa’s push for geothermal power

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At the beginning of the 20th century, Iceland was one of Europe’s poorest countries, its people relying on a precarious and polluting mix of imported coal and local peat for electricity.

But over the next century, the island nation would pull off one of the great energy makeovers in history, casting off fossil fuels and embracing geothermal power. Today, nearly 100 percent of Iceland’s electricity comes from renewable sources, a transformation that has helped make its 366,000 people some of the wealthiest in Europe.

For the last decade, Iceland has been working with the United Nations Environment Programme (UNEP) to spark a similar energy revolution in Eastern Africa. Iceland has done everything from financing exploration projects to training future geothermal engineers.

“We are a small country, but we try to focus our efforts in certain areas and this is one of them,” said Guðmundur Ingi Guðbrandsson, Iceland’s Minister of the Environment and Natural Resources. He called the country’s partnership with UNEP “fruitful”.

Harnessing geothermal energy means harnessing the heat from within the Earth, which is carried by water or steam onto the surface. There are many ways in which the hot water can be released – through geysers, hot springs, steam vents, underwater hydrothermal vents – and they are all potential sources of geothermal energy.

Iceland, a pioneer in the use of geothermal energy, is home to more than 200 volcanoes and a large number of hot springs, and therefore has an abundant source of hot, easily accessible underground water. This is converted to energy both for power generation and direct use applications.

Half a world away, East African countries are sitting atop a similar bounty. They line the Great East African Rift System, a 6,500-kilometre depression that stretches from northern Syria to central Mozambique. The rift is a hub of tectonic activity. Along much of its length, heat from the interior of the earth bursts to the surface. It’s estimated that if Eastern Africa could harness that energy, it could generate 20 gigawatts of electricity. That is significant in a region plagued by energy shortages, where – depending on the country – 25 to 89 percent of the population did not have access to energy in 2018.

Iceland is an important partner and co-financier of the UNEP African Rift Geothermal Development Facility Project. The effort, launched in 2010, is designed to spur geothermal investments in Eritrea, Ethiopia, Kenya, Rwanda, Tanzania and Uganda. Between 2012 and 2019, Iceland also helped seven countries in East Africa develop their expertise in geothermal energy through the Geothermal Exploration Project.

“Geothermal is hundred percent indigenous, environmentally friendly and a technology that has been under-utilized for too long in the continent,” said Meseret Teklemariam Zemedkun, Energy Programme Manager at UNEP. “It is time to take this technology off the back burner in order to power livelihoods, fuel development and reduce dependence on polluting and unpredictable fossil fuels.”

Iceland is also home to the Geothermal Training Programme of the United Nations University (UNU-GTP). Established in 1978, it has graduated more than 1,300 fellows from 100 developing countries. About 39 percent of the trainees during 1979-2016 have come from 17 African countries. This indicates a significant contribution of UNU-GTP in enhancing the capacities of the region.

Along with several partners, including the UNEP, the country is also helping to establish the African Geothermal Center of Excellence. To be based in Kenya, which has been developing geothermal power since the 1970s, the centre will help train young African geothermal scientists, engineers, drillers, technicians and financiers to ensure secured and sustainable geothermal development in Africa.

In the energy sector, the partnership between Iceland and UNEP is expanding to support women through the African Women Energy Entrepreneurs Framework. The aim is to overcome the main barriers and challenges that hinder the establishment, growth and development of women entrepreneurs in the energy sector in Africa.

“Iceland has been a steadfast and important partner to UNEP in bringing geothermal expertise to East Africa,” said Meseret Teklemariam Zemedkun. “We are proud of the partnership and the results we have achieved, and happy to be expanding the partnership to support women and youth in the energy sector.”

Iceland is not only an important partner to UNEP because of the technical and financial support provided to energy projects. It is also one of the Member States that has consistently paid their “fair share” to the Environment Fund of UNEP – thereby supporting all of UNEP’s work.

UN Environment

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Strength of IEA-ASEAN energy cooperation highlighted at Ministerial meeting

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IEA Executive Director Fatih Birol spoke today to Energy Ministers from across Southeast Asia about the latest global and regional energy trends, pathways to net zero emissions and the importance of clean energy investment.

He was participating in the seventh annual dialogue between the IEA and Ministers from the Association of Southeast Asian Nations (ASEAN) – the economic bloc comprised of 10 Southeast Asian economies. The meeting was hosted via video link by Brunei Darussalam, which is chairing ASEAN’s 39th annual Ministers on Energy Meeting (AMEM). 

“The IEA remains firmly committed to assisting ASEAN and its member states in developing pathways towards net zero that respect their capacities and capabilities,” Dr Birol told the Ministers. “One of the key messages from the IEA’s Roadmap to Net Zero by 2050 Roadmap is that not all countries are starting the race to net zero from the same place. I have and will continue to underscore the importance of ensuring that a greater share of global clean energy investment is directed towards the emerging and developing economies including in Southeast Asia to unlock new economic growth possibilities and emissions reductions.’’

This year’s ministerial marks the tenth anniversary of IEA-ASEAN energy cooperation, which was established with a Memorandum of Understanding at the 2011 AMEM in Brunei’s capital, Bandar Seri Begawan. The Ministers and Dr Birol welcomed the adoption of a Commemorative Statement on IEA-ASEAN Energy Cooperation. 

The IEA has significantly scaled up its work with ASEAN and its Member States over the past six years. Indonesia and Thailand became IEA Association Countries in 2015, and Singapore did so the following year. In 2019, under Thailand’s Chairmanship, the IEA was named a Strategic Partner of ASEAN.

The IEA is committed to continue working with ASEAN and its Member States on key energy priorities, including energy security, energy efficiency, clean energy, energy investments and decarbonisation. 

“On this, the tenth anniversary of our collaboration, the IEA is more determined than ever to continue to work hand in hand with our partners in the region to help achieve your energy goals,’’ Dr Birol said. “I very much look forward to the next ten years.” 

The ASEAN Chair in 2022 will be held by Cambodia.

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Indonesia’s First Pumped Storage Hydropower Plant to Support Energy Transition

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The World Bank’s Board of Executive Directors today approved a US$380 million loan to develop Indonesia’s first pumped storage hydropower plant, aiming to improve power generation capacity during peak demand, while supporting the country’s energy transition and decarbonization goals.

“The Indonesian government is committed to reduce greenhouse gas emissions through, among others,  development of renewable energy, energy conservation, and use of clean energy technology. Emission reduction in the energy sector will be driven by new and renewable energy generation and application of energy efficiency,” said Arifin Tasrif, Minister of Energy and Mineral Resources of the Republic of Indonesia.

Over 80 percent of the power generated for the Java-Bali grid, which supplies electricity to 70 percent of the country’s population, comes from fossil fuels. A key measure to support Indonesia’s decarbonization agenda is the development of energy storage to enable integration of renewable energy into the grid. Pumped storage hydropower plays a crucial role in this approach.

The financing will support the construction of the Upper Cisokan pumped storage hydropower plant, to be located between Jakarta and Bandung, with an expected capacity of 1,040 MW. The facility will have significant power generation capacity to meet peak demand, provide significant storage capacity to enable a larger penetration of renewable energies and, because of its close location to two large demand centers, will alleviate increasing transmission loads on the grid. As a result, a more environmentally friendly and reliable supply of electricity will benefit consumers in Java and Bali.

“We are excited about this project as it will be the first of its kind for Indonesia. It represents a turning point for Indonesia’s decarbonization pathway. The World Bank will continue to support Indonesia in its efforts to achieve resilient, sustainable, and inclusive development that will benefit the people of Indonesia now and in the future,” said Satu Kahkonen, World Bank Country Director for Indonesia and Timor-Leste.

Pumped storage hydropower makes use of two water reservoirs at different elevations. At times of low electricity demand or when there is abundant generation from clean power sources, such as solar energy, power from the grid is used to pump water to the upper reservoir. Power is generated during peak demand, usually evening hours, as water moves down to the lower reservoir using a turbine, when electricity generation costs are high.

The project will help enhance the system flexibility and efficiency in balancing supply and demand, and therefore improve the reliability and quality of electricity services in Java and Bali. It also aims to support the government to integrate variable renewable energy into the Java-Bali grid, and to do so in an environmentally and socially sustainable manner.

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Iran determined to boost oil exports despite sanctions

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Iranian Oil Minister Javad Oji has said the Islamic Republic is determined to increase its oil exports despite the U.S. sanctions on the country’s oil industry, adding that the use of oil sanctions as a “political tool” would harm the market.

“There is strong will in Iran to increase oil exports despite the unjust and illegal U.S. sanctions; I promise that good things will happen regarding Iran’s oil sales in the coming months,” Oji told the state TV.

As reported by IRIB, Oji noted that Iran can barter its crude oil for goods or even for services and investment not only in the oil industry but also in other sectors as well.

“Oil sales have dropped dramatically since the imposition of unjust sanctions, but this capacity exists in the Oil Ministry and all the industry’s departments to increase oil sales,” the minister said.

Iranian oil exports have plunged under U.S. sanctions, which were reimposed three years ago after Washington abandoned Tehran’s 2015 nuclear deal with six powers.

“Iran will return to its pre-sanctions crude production level as soon as U.S. sanctions on Iran are lifted,” Oji said.

“We are against using oil as a political tool that would harm the oil market.”

Since April 9, Tehran and six world powers have been in talks to revive the nuclear pact. The sixth round of the negotiations adjourned on June 20. The next round of talks has yet to be scheduled.

Oji said Iran backed a decision made by the Organization of the Petroleum Exporting Countries and allies, a group known as OPEC+, on Wednesday to stick to a policy from July of phasing out record output cuts by adding 400,000 barrels per day (bpd) a month to the market.

Iran has been gradually boosting crude oil production to get ready for a strong comeback into the global market as the talks with world powers over the nuclear deal show signs of progress.

According to a Bloomberg report, National Iranian Oil Company (NIOC) officials have stated that the country’s oil fields are going through overhaul operations and connections with oil buyers are being re-established.

“In the most optimistic estimates, the country could return to pre-sanctions production levels of almost four million barrels a day in as little as three months,” the report published in May stated.

EF/MA

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