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Published by the
International Institute for Sustainable Development (iisd)
Vol. 95 No. 04
Friday, 4 June 2004
RENEWABLES HIGHLIGHTS:
THURSDAY, 3 JUNE 2004
The Ministerial
segment of renewables 2004 began on Thursday. Speeches were given by
Gerhard Schröder, Chancellor of the Federal Republic of Germany, Klaus
Töpfer, UNEP Executive Director, Margot Wallström, European
Commisssioner for the Environment, Peter Woicke, Managing Director of
the World Bank, Tony Blair, UK Prime Minister, and several Ministers and
other dignitaries. In the afternoon, Ministerial Roundtables addressed:
policies for renewable energy market development; financing options; and
strengthening capacities, research and technology development, and
institutions. In the evening, delegates discussed the Conference
outcomes. Throughout the day, numerous side events took place.
PLENARY SESSIONS
Following a performance of music and dance,
Co-Chair Heidemarie Wieczorek-Zeul, Germany’s Federal Minister for
Economic Cooperation and Development, opened the Ministerial Segment.
She stressed that the vision of renewable energy as the energy of the
future must now be turned into reality.
Co-Chair Jürgen Trittin, Germany’s Federal Minister for the Environment,
Nature Conservation and Nuclear Safety, underscored the importance of
the renewables 2004 draft International Action Programme, which includes
country programmes to increase the use of renewable energies. He noted
that reducing the cost of renewables is the best way to ensure their
uptake in developing countries.
Klaus Töpfer, UNEP Executive Director, recommended improving energy
access in rural areas to avoid increasing urbanization. He suggested
creating an “ecological stability pact,” setting out clear obligations
for countries to achieve renewables targets and report on their plans to
achieve them.
Hama Amadou, Prime Minister of Niger, highlighted the economic burden of
imported fossil fuels on least developed countries, and called for
further international cooperation to foster renewable energy.
In a video address, Tony Blair, Prime Minister of the UK, said that
renewable energy development is critical for mitigating climate change,
which is the “single most important issue in the long term.” Noting a
shift toward supporting solutions at the local level, Peter Woicke,
World Bank Managing Director, announced the Bank’s intention to maintain
20% annual growth in funding for energy efficiency and renewable energy
over the next five years.
Margot Wallström, European Commissioner for the Environment, highlighted
progress toward achieving the EU target of 20% electricity generation
from renewables by 2010, and said targets for the period 2010-2020 were
being prepared.
Gerhard Schröder, Chancellor of the Federal Republic of Germany,
highlighted the appropriate timing of the conference, noting the current
high oil prices. He said a diverse energy supply is important not only
on economic grounds but also as a matter of security. He stressed the
need for implementation of the Kyoto Protocol and urged the Russian
Federation to ratify.
Dilma Rousseff, Brazil’s Minister for Energy outlined the central
principles of the Brasilia Platform, including: synergies between
renewable energy and job creation; natural resource use appropriate to
specific national circumstances; sovereignty over natural resources; and
cost effectiveness. Abdulrahman Tarmoom, Yemen’s Minister of Electricity
stated that Yemen’s biggest challenges are rural electrification and
freshwater supply. He outlined the results of the renewables 2004
preparatory meeting for the Middle East and North African region, noting
that investment in renewable energy should go together with energy
efficiency.
Prommin Lertsuridej, Thailand’s Minister for Energy, recalled the
preparatory meeting for the Asia-Pacific region, which called for an
increase in renewable energy and more environmentally friendly
technologies. He noted that the challenge is to implement national
policy frameworks to encourage the mainstreaming of renewable energy.
Syda Namirembe Bbumba, Uganda’s Minister of Energy and Mineral
Development, reported on the outcomes of the preparatory meeting for
Africa, stressing the need for technology transfer, using the
continent’s rich energy resources, and promoting the sustainable use of
biomass.
Dermot Ahern, Ireland’s Minister for Communications, Marine and Natural
Resources, stressed the need to apply the polluter pays principle to
energy and to reduce administrative barriers to the distribution of
electricity from renewables in the EU. Zhang Guogoa, National
Development and Reform Commission, China, identified renewable energy as
essential for achieving a national goal to provide electricity to more
than 30 million people currently without access by 2020. Sheila Dikshit,
Chief Minister of New Delhi, India, highlighted the successful reduction
of air pollution in Delhi arising from a compulsory shift to single fuel
compressed natural gas for all public transport, and said citizens
should be “placed at the helm of decision making.”
Delegates then heard a statement from José Antonio Ocampo, UN
Under-Secretary General, Department of Economic and Social Affairs. He
identified an urgent need to increase the scale of energy production
from renewables, and supported the internalization of environmental
externalities and the provision of subsidies for
renewable energy.
David Hales, Stakeholder Forum for Our Common Future, reported from the
Multi-Stakeholder Dialogue. He noted general agreement that the poor in
developing countries have the greatest needs, and women are suffering
most. He said civil society supports energy prices that reflect all
related costs, while not all government delegates could agree on this.
Hermann Scheer, Chair of the International Parliamentary Forum, reported
that over 300 members of parliament from eight countries had agreed that
renewable energy, inter alia, needs to be developed without delay, is a
“common good” of mankind, and brings various macroeconomic benefits. He
also called for the establishment of an international renewable energy
agency.
DISCUSSION OF CONFERENCE OUTCOMES
In the evening, delegates met to discuss the Conference outcomes in a
session co-chaired by Jürgen Trittin and Heidemarie Wieczorek-Zeul.
Conference Facilitator Mohammed El-Ashry presented the draft Policy
Recommendations for Renewable Energies. He underlined that the
recommendations contained a non-prescriptive menu of options. Micheal
Hofmann and Rainer Hinrichs-Rahlwes, Co-Chairs of the International
Steering Committee (Germany), presented the draft International Action
Programme, which includes 150 voluntary programmes and actions. Several
countries also presented additional projects and programmes.
Conference Facilitator El-Ashry then presented the latest draft of the
political declaration. Responding to the draft, UGANDA called for a
clarification on the definition of renewable energy and, with SOUTH
AFRICA, ETHIOPIA, BRAZIL, CHINA and SENEGAL, recommended that medium and
large hydropower be included in the definition. SOUTH AFRICA, SWEDEN and
DENMARK called for references to gender mainstreaming and women’s
participation. IRAN, supported by INDIA and SAUDI ARABIA, called for the
deletion of text on the internalization of external costs and the
removal of barriers. Supported by DENMARK and BRAZIL, INDIA called for
the inclusion of the principle of common but differentiated
responsibilities and respective capabilities. SAUDI ARABIA said all
references to follow-up work by the Commission on Sustainable
Development should be removed. MEXICO said the need to promote local
research and development capacities should be recognized. The US opposed
prescriptive text on ODA, offering an alternative formulation which
notes that financial incentives and a higher share of ODA as catalytic
funding should be considered. DENMARK expressed concern that language in
the document had been weakened, particularly regarding renewable energy
targets. Supported by the EC, he proposed re-inserting text on the need
for a level playing field, and maintaining text on the internalization
of external costs and the removal of barriers. The EC said the
declaration should recognize targets set by countries and regions. NGOs
called for the inclusion of the Extractive Industries Review target of
increasing financing from International Financial Institutions. In
closing, Co-Chair Wieczorek-Zeul called on participants to commit
themselves to the goals of eradicating poverty and promoting peace and
sustainable development.
MINISTERIAL ROUNDTABLES
POLICIES FOR RENEWABLE ENERGY MARKET
DEVELOPMENT
Co-Chair Simone Probst, Germany’s Federal Ministry of the Environment,
introduced the Roundtable on policies for renewables by outlining
Germany’s Renewable Energy Act, which establishes tariffs and guarantees
framework conditions for renewable energy. Noting that increased oil
prices have encouraged a departure from oil resource dependency,
Co-Chair Serge Lepeltier, France’s Minister of the Environment and
Sustainable Development, described national policies that oblige grid
operators to purchase electricity from renewable energy sources and
guarantee distribution. He noted that a White Paper currently under
discussion in the French Parliament proposes the imposition of energy
saving standards on suppliers, and the establishment of certifications
for energy saving.
Noting that current carbon prices do not reflect the true costs of
fossil fuels, keynote speaker Svend Sigaard, Vestas Wind Systems A/S,
stressed the need to internalize the external costs of energy to create
a level playing field.
Ministers and other senior officials then presented their perspectives
on policies for renewable energy market development. TUNISIA supported
an appropriate legal framework that provides incentives for renewables,
while MOROCCO expressed its interest in green certificates. ALBANIA
noted efforts to establish regional grid sharing and its support for the
Kyoto Protocol. ICELAND discussed its geothermal energy policies and
efforts towards capacity building in developing countries.
PAKISTAN supported the proposal for an international renewable energy
agency and proposed the establishment of a world renewable energy bank
located in a developing country. COSTA RICA highlighted national
policies in support of the Clean Development Mechanism as a key element
in its efforts to ensure technology transfer and greenhouse gas
reductions.
SAUDI ARABIA stressed that OPEC is not responsible for high oil prices
and disputed the suggestion that oil is a problem in electricity
generation, as its share of the market is small compared with nuclear
and coal. He also called for an end to coal and nuclear power subsidies.
Summarizing the discussions, Christopher Flavin, WorldWatch Institute,
said he sensed a “political momentum we would not have found five years
ago.”
FINANCING OPTIONS FOR RENEWABLE ENERGY
The Roundtable on Financing Options for Renewable Energy was co-chaired
by Janez Kopac, Slovenia’s Minister of the Environment, Spatial Planning
and Energy, and Alan Ganoo, Mauritius’ Minister of Public Utilities.
Jamal Saghir, World Bank, presented a report on the Plenary session on
financing options held on Wednesday. This was followed by a keynote
address by Enrique Iglesias, Inter-American Development Bank, who listed
barriers to renewable energy, including uncertainties over capital, and
lack of institutional capacity. He called for, inter alia: support from
bilateral and multilateral sources for capacity building in the area of
renewable energy; an increased role for the state in reducing
uncertainties and in limiting and sharing risks; and partnerships
between multilateral institutions, the private sector, and stakeholders.
In the discussion that followed, BENIN suggested a levy on oil and
electricity to finance renewables. SWEDEN drew attention to various
obstacles, such as fossil fuel subsidies and trade barriers for
renewable technologies. INDONESIA suggested that the political
declaration should include a 20% target for funding institutions’ total
energy portfolios. He said high priority should be given to local
development and production of renewable energy technologies in
developing countries that are appropriate to their particular needs.
KENYA highlighted the challenge of fulfilling donors’ policies that
require private sector involvement in renewable energy projects.
MALI and NIGERIA called for affordable renewable energy technologies for
developing countries through market creation and cost reduction. ANGOLA
noted that its recent war had destroyed forests and reserves that had
provided the country’s energy sources, and stressed the need to rebuild
the country. He emphasized the potential for hydropower. FINLAND
emphasized the need to reinforce existing policies and measures to
promote renewable energy and energy efficiency. The EUROPEAN COMMISSION
(EC) noted that the European Bank of Reconstruction and Development is
committed to increasing its financial support for renewable energy and
energy efficiency, but stressed the need to put in place clear national
legal frameworks.
BRAZIL reported that 91% of its renewable energy comes from
hydroelectric power and, noting the decline in external finance for this
energy source, urged multilateral financial institutions to increase
their funding. Iglesias highlighted Latin America’s hydropower
potential, but stressed that multilateral institutions have become
increasingly reluctant to finance dams because of public resistance due
to potentially harmful environmental and social impacts. Peter Woicke,
World Bank, emphasized that dams will be built in developing countries
even without the assistance of multilateral institutions. However, he
added that if multilateral institutions are not involved, it is likely
that the dams built would cause even more severe social and
environmental impacts than might otherwise have been the case.
STRENGTHENING CAPACITIES, RESEARCH AND TECHNOLOGY DEVELOPMENT, AND
INSTITUTIONS
This Roundtable was co-chaired by Mohammed Boutaleb, Morocco’s Minister
for Energy and Mines, and Moritz Leuenberger, Switzerland’s Head of the
Federal Department of Environment, Transport, Energy and Communications.
Noting that the world has finite fossil fuel resources and a limited
capacity to cope with the emissions resulting from their use, David
Garman, Acting Under-Secretary, US Department of Energy, said we must
look to emissions-free energy sources, including renewable energy.
IRAN recommended the establishment of an international renewable energy
agency under the supervision of the UN to assist technology transfer to
developing countries. SWEDEN emphasized the need for institutional
capacity building and the establishment of good governance as a
prerequisite for effective renewables investment. She also called for
gender impact assessments. EGYPT urged greater consideration of small,
decentralized energy systems, in addition to large-scale renewables.
MOROCCO stated that renewables can only be made competitive by
establishing appropriate financing mechanisms. Calling for “less talk
and more action,” JAMAICA urged ministers to integrate renewable energy
policies into their national plans. SINGAPORE underscored its commitment
to cooperate with other nations in pursuing innovative renewable and
clean energy solutions.
SIERRA LEONE provided an overview of programmes being implemented in
cooperation with multilateral institutions. INDONESIA highlighted its
technical and human capabilities for renewable energy, but noted the
need for additional funds to maintain and develop them. ITALY identified
bilateral and multilateral arrangements as the most suitable frameworks
for capacity building for renewable energy, and suggested the
establishment of an energy center for the Mediterranean region. The US
stressed the importance of research and development to bring down the
costs of renewable energy technologies, arguing that this will
facilitate implementation of policies to foster renewables. The
INTERNATIONAL SUSTAINABLE ENERGY ORGANIZATION called for the
certification and standardization of renewables, especially in the
biomass sector.
Ogunlade Davidson, University of Sierra Leone, summarized the
interventions, noting comments on the need to create innovative
financial mechanisms and a stable business environment, and positive
results from technical standard setting. He recommended collaborative
measures for research and development and the broad distribution of
results in order to facilitate capacity development.
SIDE EVENTS
Renewables, Energy Policy and Climate
Targets
Organized by the European Renewable Energy Council, Greenpeace and WWF
Bill Hare, Greenpeace International, stressed
the urgent need to keep the global temperature increase below 2ºC to
avoid dangerous and abrupt climate change. He said this was an essential
motivation for a switch from fossil fuels to renewables and the adoption
of energy efficiency technologies.
Gulio Volpi, WWF, called for the EU to adopt a target for 25% renewable
energy by 2020. He said WWF’s vision for the power sector was to make it
carbon neutral in industrialized countries by 2050, and to develop an
efficient and renewable-based power sector in developing countries.
Arthouros Zervos, European Wind Energy Association, addressed the
options for providing half of the global energy supply from renewables
by 2040, outlining the need for ambitious growth rates, additional
support measures, regional actions, increased electrification for the
poor, and implementation of the Kyoto Protocol.
Joaquin Nieto, Trade Union Confederation of CCOO, outlined the role of
trade unions in supporting renewable energy in Spain. He said that trade
unions can play an important role by facilitating the transition from
the conventional energy sector to a new energy model, increasing
awareness among workers and promoting skills development in the sector.
Link to more information:
http://www.greenpeace.org
http://www.panda.org/epo
http://www.erec-renewables.org
http://www.istas.net
Contact:
Bill Hare: hare@pik-potsdam.de
Giulio Volpi: gvolpi@wwfepo.org
Arthouros Zervos: zervos@fluid.mech.ntua.gr
Joaquin Nieto: jnieto@ccoo.es
Increasing the global uptake of renewable
and energy efficient technologies
Presented by the Renewable Energy and Energy Efficiency Partnership (REEEP)
This side event focused on REEEP, the partnership launched by the UK at
the WSSD. Jeremy Eppel, UK Department for Environment, Food and Rural
Affairs, outlined progress made in developing REEEP, including the
recent establishment of a Secretariat based in Vienna, Austria, and the
drafting of a work programme for 2004-2008.
Stephen Timms, UK Minister of State for Energy, expressed satisfaction
at the momentum generated by REEEP, including the growing international
support from the US and other countries.
Participants also heard from the newly-appointed Director of REEEP’s
International Secretariat, Marianne Moscoso-Osterkorn, who said the
Secretariat would act as an information hub, providing contacts and
examples of best practice. She said REEEP welcomes new members, and
seeks new funding for its members.
Regarding REEEP’s work in increasing renewable energy use and energy
efficiency, other speakers highlighted the promotion of good practice
and capacity building, and the importance of securing project funding
from various sources, including the European Bank for Reconstruction and
Development and other financial institutions.
Links to more information:
http://www.reeep.org
Contact:
Marianne Moscoso-Osterkorn:
marianne.osterkorn@reeep.org
THINGS
TO LOOK FOR TODAY
PLENARY: A Ministerial Panel will take
place from 9:00-10:30 am to address Energy Services and the Millennium
Development Goals - The role of renewable energy and energy efficiency.
A second Panel will take place from 10:30 am-12:00 pm to discuss the
contribution of renewable energy to meeting the climate challenge. From
12:00-1:00 pm the conference outcomes will be presented for adoption,
and Ministers Trittin and Wieczorek-Zeul will close renewables 2004.
RENEWABLES 2004 BULLETIN: A final summary of the renewables 2004
conference will be available online on 7 June 2004 at
http://www.iisd.ca/sd/ren2004
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