impact assessment survey of recent energy interventions on the security and sustainability of the...

7/31/2019 Impact Assessment Survey of Recent Energy Interventions on the Security and Sustainability of the Caribbean En

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Impact Assessment Survey of Recent Energy Interventions on the Security & Sustainability of the Caribbean Energy Sector

CONTENTS

VOLUME 1 (Regional Report)Pg #

1 EXECUTIVE SUMMARY ...1

2 BASELINE CONDITIONS 19995

OVERALL STATUS OF THE REGION WITHRESPECT TO ENERGY BEFORE RECENT INTERVENTIONS.5

3 RECENT ENERGY INTERVENTIONS IN THE REGION16

4 IMPACT OF INTERVENTIONS19

5 GAPS AND RECOMMENDATIONS FOR IMPROVEMENT23

6 BARRIERS AFTER NEW INTERVENTIONS 2000 TO 2009.....29

7 STRATEGIES TO OVERCOME BARRIERS..31

8 INTERVENTIONS STILL NEEDED BEYOND 2009..33

9 UNDP ASSISTANCE....35

10 CONCLUSION..37


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1 BARBADOS.40

2 CUBA....45

3 DOMINICA..49

4 GRENADA...53

5 GUYANA..58

6 JAMAICA63

7 ST. KITTS/NEVIS...70

8 ST. LUCIA74

9 TRINIDAD & TOBAGO.....79

APPENDICES

APPENDIX 1..QUESTIONNAIRE...............84

APPENDIX 11.TABLES............103

APPENDIX 111INTERVENTIONS LISTINGS BY COUNTRY.107

APPENDIX 1V.EVENTS LISTING BY YEAR..122

APPENDIX V...AGENCIES FUNDING INTERVENTION..138

APPENDIX V1.AGENCIES IMPLEMENTING ENERGY

INTERVENTIONS.142

APPENDIX VII... CHARTS OF ENERGY INTERVENTIONS.......148


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EXECUTIVE SUMMARY

1.1 Several countries in the Caribbean have been consuming high levels of importedfossil fuels over the years, although these countries possess abundant renewableenergy (RE) resource potential which remains largely under-exploited anduntapped. Recently, however, there has been an increasing trend in the use ofRenewable Energy technologies in the region. The contribution of thesetechnologies to the total energy mix in the Caribbean needs to be assessed todetermine the way forward which should result in reduced dependence on

imported commercial fuels.

1.2 Many of the efforts in Renewable Energy have been geared toward short termresearch projects and studies rather than commercial energy supply andinvestments. Except for a few isolated cases (the use of solar energy in Barbadosand wind energy in Jamaica), the impact of renewable energy on the economicdevelopment of the respective countries has continued to be minimal.

1.3 The Energy Efficiency efforts have centered primarily on energy conservationinitiatives and Utilities with some government agencies developing

information/awareness brochures on the wattage of household appliances. As faras is known, there are but a few Energy Service Companies (ESCOs) operating inthe region in the area of energy audits and much of their efforts are gearedtowards the hotel industry. This area is, however, expected to come into its ownwith the introduction of the Caribbean Hotel Energy Efficiency ActionProgramme (CHENACT) project just being implemented.

1.4 Over the past ten years there have been some regional and national initiativesaimed at creating and encouraging an enabling environment to have the regionbetter prepared to cope with the dwindling reserves and increasing prices of fossil

fuels. These range from the PetroCaribe initiative between Venezuela and anumber of Caribbean countries; to national incandescent light bulb replacementprogrammes supported by the Government of Cuba; to public sector energyconservation and auditing; to projects such as the Caribbean Renewable Energy


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Development Project (CREDP) and the Bioenergy in the Caribbean project. Onthe other hand, there have not been many studies to assess the collective impact of

these energy interventions in the region over the years.

1.5 It is against this background that this study was undertaken. The objective is todetermine the impact of these interventions using the year of 1999 as a point ofreference - it being the year the region was deemed to be poised for take off withrespect to energy.

The instrument used in the assessment/review conducted was a questionnaireaimed at capturing information from the various agencies in the participatingcountries responsible for implementing or executing the interventions.

Nine countries, namely Barbados, Cuba, Dominica, Grenada, Guyana, Jamaica, StLucia, St Kitts/Nevis and Trinidad & Tobago participated in the study (Phase I).The interventions cited for Cuba are not comprehensive as key persons associatedwith their many interventions were on vacation. The relevant information will besupplied subsequent to their return from leave in September.

1.6 The assessments captured information on current energy interventions, types,benefits and impacts, gaps arising, barriers encountered, strategies to overcomethe barriers as they relate to energy efficiency, conservation and renewableenergy. Follow-up actions and future and planned interventions were alsoidentified.

1.7 Over three hundred (300) energy interventions in the nine countries were recordedof which some 10 % related to petroleum issues, 60 % to renewable energy;18 %to energy efficiency and 12% involved both renewable energy and energyefficiency. A further breakdown showed that of the total 21% were policy related;34% focussed on capacity building; 15% on assessment/feasibility studies; 3%on awareness and information support and 30% primarily related to equipmentand technology. (See Annex II for details).

A database of these interventions will be available on the Caribbean InformationPlatform on Renewable Energy (CIPORE).

1.8 The results of this assessment shows a number of areas which have beenidentified as impacting positively on the nine participating countries in relation to


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current interventions and which can be used as key indicators in deciding onfuture interventions. They include:

Increased Capacity

Savings

New Social programs New markets New equipment/technology

Finance

Increased awareness Increased information flows

Behavioural change

Job creation

Income realisation

Improved quality of life

Several energy interventions were regional in scope, particularly in the areas oftraining and capacity building and these are highlighted in the report. For the mostpart, interventions were varied and diverse throughout the different countries.They ranged from resource assessments, new technology; demonstration projects,training workshops, study tours, reports and feasibility studies to actual equipmentinstallations.

Many appeared sporadic and isolated, failing to take into account an overallbroader energy context within which they could have been placed. Whileimportant and necessary, many individual interventions were carried out byseveral agencies but these efforts lacked the linkages required for cohesion andintegration at the country/regional level. It is felt that had this approach beentaken, greater impact overall could have been created. Much of this could be dueto the absence of final energy policies in several of the countries - a frameworkwhich might help pull future energy interventions into a more integratedapproach.

The beneficiaries of the interventions comprised almost all segments of societyand included low income farmers, residents of poor rural housing schemes,women in rural communities, patients in rural communities, private and publicsectors, students in schools and Universities, consumers, Energy ServiceCompanies (ESCOs), as well as the utilities.


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Approximately 100 Local Agencies were involved in the implementation of theseinterventions at the country level with some countries seeing as many as 5

agencies involved at one time.

Over40 agencies were involved in financing the interventions. It was difficult toascertain at this time, the total value of financing associated with all interventionsas time did not permit and this information was not readily available. However,from the data collected it could be estimated that this could well be in the order ofover 2 US$ billion.

Many of the interventions while common to several countries impacted thecountries in different ways. Overall, many positive impacts appeared to have beenexperienced in the countries as they strove for solutions to their dependency on

imported fossil fuels. Most were, however, small and very incremental, appearingto have minimal, if any, impact on energy consumption and the national energyimport bill (to be confirmed with more research in Phase II) and perhaps couldeasily be missed in the overall scheme of things. Nevertheless, in such cases,impacts in fact were realised.

Lack of Policy, proper infrastructure, awareness, information flows andfinance were identified as barriers to energy development in 1999. The currentassessment also showed that these barriers remained despite major regionalinterventions specifically geared to the removal of these.

A number of gaps were still outstanding from completed interventions andrespondents identified specific strategies to address them. These are noted in thestudy.

1.9 Overall it is hoped that this assessment will be able to garner information whichcould provide a solid foundation and practice framework for assessing impact offuture programmes prior to their implementation.


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2.0 BASELINE CONDITIONS 1999

2.1 Overall status of the region with respect to Energy before recentinterventions

2.1.1 Petroleum imports

The year 1999 marked the beginning of the period (10 years) for the study duringwhich the region continued to have a high dependency on oil and petroleum basedproducts imports. Commercial energy consumption was 93% dependent on fossilsources with the remaining balance (7%) being met from renewable sources. Mostcountries within the region continued to face harsh economic conditions due tothe upward trend in oil prices and the need to find scarce foreign exchange to

purchase this lifeblood of the economy.

Imports of energy for the region was in the range of 123.2 millionbarrels ofpetroleum and petroleum productscosting the economies of the Caribbean a totalof approximately US$2.5 (bn) per annum.

Energy imports and costs for the 9 countries at the end of 1999 wereapproximately 108 million barrels costing approximately US$2.1 billion. (SeeTable 1)

Table 1 - Petroleum Imports and Values

1999COUNTRY IMPORTS(000s Bbls)

CIF VALUE(000s US$)

BARBADOS 3,362.0 73,824.3

CUBA 48,261.9 1,002,767.4

DOMINICA 272.0 7,623.0

GRENADA 516.2 14,778.1

GUYANA 4,140.5 99,689.2

JAMAICA 22,853.1 422,034.8

ST. KITTS/NEVIS 310.9 7,807.2

ST. LUCIA 1,006.7 29,391.7

TRINIDAD/TOBAGO 27,697.3 493,213.1

TOTAL 108,420.6 2,151,128.8


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The failure to use better technologies, subsidized fuel prices (with respect tointernational market prices), and the transportation industrys high and inefficient

consumption were some of the explanations for the regions energy intensity.

2.1.2 Electricity Generation

Total commercial electricity generation in 1999 for the nine (9) countries stood atapproximately 25,088.4 GWH with an installed capacity of 6,991 MW. Theelectricity generated for the nine (9) countries resulted in the consumption ofapproximately 31.1 million barrels of oil. This represented 32.5% of totalregional petroleum energy consumption for the year. Total regional oilconsumption for electricity generation was 35 million barrels representing28.5% of total oil imports and approximately 37% of total regional petroleum

energy consumption.

Table 2 Electricity Generation & Installed Capacity

1999COUNTRY ELECTRICITY GENERATION

(GWh)INSTALLED CAPACITY

(MW)

BARBADOS 764.3 185.5

CUBA 14,492.2 4,284.3

DOMINICA 74.6 18.7

GRENADA 122.2 27.7

GUYANA 444.4 300.4

JAMAICA 3,193.6 662.7

ST. KITTS/NEVIS 126.5 35.3

ST. LUCIA 256.2 59.9

TRINIDAD/TOBAGO 5,614.4 1,416.7

TOTALS 25,088.4 6,991.2

Table 3 Electricity Consumption for 1999

SECTORSMWh

(000s)

INDUSTRY 8,125,203.6

STREET LIGHTING 81,305.9

GOVERNMENT 151,103.2

TOURISM 206,940.8

RESIDENTIAL 6,708,544.4COMMERCE 1,618,597.0

OTHER 2,954,424.5

TOTAL 19,846,119.4


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Total regional electricity consumption in 1999 stood at 21,949.2 GWH. Of this

total 19,846.1 GWH of electricity was consumed by the 9 countries as follows,Industry 8,125 GWH,Residential 6,709 GWH, Commerce 1,619 GWH, withthe other sectors accounting for the balance of 3,393 GWH (See Table 3) .

Trinidad and Tobago had the highest KWh per Capita (3,707.9) while Guyanashowed the lowest (373.1). During 1999, technical and non-technical losses inelectricity within the region ranged between 1.2% and 21.8% of gross generation.The lowest losses in electricity within the nine (9) countries, was seen at 2%(St.Kitts/Nevis) while the highest losses was seen at 17.4% (Cuba) of grosselectricity generation.

These losses were mainly attributable to the use of obsolete technology forgeneration purposes and theft of electricity due to poor infrastructure in somecountries.

2.1.3 Petroleum production

Compared to the demand for fossil based energy in the region, there was littlesupplies of Crude Oil and Natural Gas and where available (Trinidad & Tobago,Cuba and Barbados) there was unequal distribution of the resources.

Crude oilTotal Crude Oil production for among the oil producing Caribbean countriesunder study in 1999 was in the range of 62 million barrels.

Natural gasNatural gas production totalled 2,975.2 billion barrels with Cuba accounting forapproximately 97% of total. Natural gas in Cuba is primarily utilized locallywithin the nickel manufacturing industry, resulting from the withdrawal of Sovietsupport in the early 90s, Cuba focused on increasing production of thiscommodity in order to diversify its energy resources

With the need to diversify energy sources Trinidad and Tobago also increased itsNatural Gas production and was the largest LNG exporter to the United States.The first LNG train to produce LNG was created in Trinidad and Tobago in


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March 1999. Total production of Natural gas at the end of that year in Trinidadand Tobago amounted to some 82billion barrels.

Table 4 Crude Oil & Natural Gas Production for 1999

COUNTRYCRUDE OIL

PRODUCTIONNATURAL GASPRODUCTION

(000's Bbls) (000's Bbls)

BARBADOS 704.6 290.4

CUBA 15,659.1 2,892,940.0

TRINIDAD & TOBAGO 45,686.0 81,955.8

N/A N/A

TOTAL 62,049.7 2,975,186.2

2.1.4 Petroleum Consumption/End Use

In 1999, total energy consumption among the 9 countries amounted to some81 million barrels of oil with the major sectors of consumption being ElectricUtility - 31 million barrels, Transportation - 20 million barrels, Manufacturing- 9 million barrels, Commercial - 6.4 million barrels and Residential - 4.3million barrels.

For the nine (9) countries, the products consumed in the highest quantitieswere Fuel Oil 38.1 million bbls, Diesel, 20.2 million bbls, Unleaded

Gasoline - 12.2 million bbls, Turbo Fuel - 5.8 million bbls and LPG - 1.8million bbls.

Table 5 - Total Petroleum Consumption by Products for 1999(9 countries)

(000's Bbls)

AVGAS 99

TURBO FUEL 5,780

UNLEADED 12,249

FUELOIL 38,186

KEROSENE 1,556

DIESEL 20,211

L.P.G 1,785MAR.DIES 1,221

OTHER 5.

TOTAL 81,092


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Other products consumed included Marine Diesel Oil, Aviation Gasoline and

Kerosene together accounting for a total of2.88 million barrels.

Table 6 - Total Consumption by Sectors (9 countries) for 1999

(000's Bbls)

AGRICULTURE 2,751

COMMERCIAL 6,495

TRANSPORTATION 20,228

CEMENT 467

GOVERNMENT 125

RESIDENTIAL 4,274

ELECTRIC UTILITY 31,137

TOURISM 79

OTHER MFG 8,981

CONSTR. 1,265

SUGAR MFG 153

OTHER 5,137

TOTAL 81,092.

The electricity and transportation sectors within countries together accountedfor approximately 63% of total energy consumption.

Table 7 - Energy Consumption & Intensity 1999

(9 countries)COUNTRY GDP

CURRENTPRICES

(US$)MILLION

FINALCONSUMPTION

(000's Bbls)

GDP PERCAPITA

US$GDP/POP

ENERGYINTENSITY000's Bbls/US$GDP

BARBADOS 2,072.4 3,738.8 7,750.2 1.8

CUBA d/na 42,130.6 d/na d/na

DOMINICA 225.8 272.0 3,153.6 1.2

GRENADA 308.9 449.5 3,067.5 1.5

GUYANA 565.6 4,123.0 724.0 7.3

JAMAICA 6,817.9 23,415.8 2,633.0 3.4

ST. KITTS/NEVIS 256.8 310.9 6,070.9 1.2

ST. LUCIA 562.3 939.3 3,658.4 1.7

TRINIDAD/TOBAGO 6,404.6 5,712.3 4,981.4 0.9


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Energy consumption per capita for the year was 5.4 barrels with average

energy intensity ranging from 0.9 (000s Bbls/US$GDP) in Trinidad andTobago to 7.3(000s Bbls/US$GDP) in Guyana. The average GDP per Capitafor the region was US$6745.1 and theaverage GDP per Capita for the ninecountries was US$4004.9 (See Table 7).

Table 7.1 Energy Vs Cost - 1999 (9 countries)

COUNTRY TOTALENERGYIMPORT

(000's Bbls)

TOTALENERGYIMPORTCOST

(US$MILL.)

TOTALIMPORTS

COST(US$MILL.)

ENERGYIMPORTCOST%IMPORTCOST

FOREIGNEXCHANGE

(FE)EARNINGS(US$MILL.)

ENERGYIMPORTCOST %

FE

BARBADOS 3,362.0 73.8 1,108.1 6.7 1,273.0 5.8

CUBA 48,261.9 1,002.8 d/na d/na d/na d/na

DOMINICA 272.0 7.6 123.4 6.2 156.8 4.9

GRENADA 516.2 14.8 184.5 8.0 236.5 6.2

GUYANA 4,140.5 99.7 540.5 18.4 504.8 19.7

JAMAICA 22,853.1 422.0 2,903.7 14.5 3,250.5 13.0

ST. KITTS/NEVIS 310.9 7.8 135.1 5.8 144.5 5.4

ST. LUCIA 1,006.7 29.4 312.0 9.4 382.0 7.7

TRINIDAD/TOBAGO 27,697.3 493.2 2,752.2 17.9 2,815.8 17.5

2.1.5 Pricing

The price of oil, like the price of all commodities, is subject to major swings overtime and will affect an overall business cycle. As demand for oil exceedsproduction capacity, prices rise sharply because both demand and supply arefairly inelastic in the short run.

During 1999, world crude oil prices ranged between U$9.86 and US$23.33 perbbl, resulting in an annual average of US$16.55 per bbl.

Retail prices for various petroleum products during the year fluctuated as worldoil prices moved upward. Prices for the major used petroleum products ranged

between US$0.37/litre and US$0.74/litre for Gasoline, US$0.17/litre andUS$0.57/litre for Diesel, US$0.18/litre and US$1.42/litre for Kerosene andUS$0.17/litre and US$0.70/litre for Liquid Petroleum Gas. Trinidad and Tobagohaving its own oil resources reflected the lowest prices for all products throughoutthe year.


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2.1.6 Renewable Energy

Many of the Caribbean countries are endowed with huge renewable energyresources: (wind, solar, hydropower, geothermal and biomass). Two decades priorto 1999, some 120 projects and studies on various aspects of RE have beenundertaken in the region with according to the data available, solar energystudies accounting for some 30%, biomass 35%, hydropower18% wind 8% andgeothermal 3% of total.

The cost of these projects had been estimated at US$30m. But despite theseinvestments, except for a few isolated cases (the use of solar water heating inBarbados) the impact of renewable energy on the economies continued to beminimal.

Some of the renewable energy activities were taking place during this period wereas follows:

Hydropower:

By 1999 there was some limited installed hydropower capacity in the region.Belize had an installed capacity of 25MW, Cuba had 57.4 MW, Dominica had7.6MW, Jamaica had 21.5MW, St Vincent and the Grenadines had 5.6MW,and Suriname had 189MW.

Solar EnergyThe drying of several crops (nutmegs, ginger, yams, sweet potatoes, fruits ofall kinds) was being investigated as well as the drying of timber and animalfeeds. Many types of dryers were also built ranging from the simple wirebasket to large roof collectors.

Several photovoltaics systems were installed in hinterland communities butexperienced failure rates of approximately 36%.

Wind energyOnly Curacao could boast of installed capacity of a 3.3 MW wind farm at that

time. Antigua experimented with a 120kW wind turbine and Montserrat with asmall 85kW unit. Barbados had a 9MW plant.


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A number of wind resource assessments had been carried out under a USAIDprogramme which indicated some potential for wind in a number of countries.

BiomassMany still relied on biomass fuels like fuel wood, charcoal and plant andanimal wastes for energy supply. Low electrification rates still remained insome of the vast hinterlands of Belize and Guyana.

Timber, rice, sugar and citrus wastes as well as biogas resources were beinginvestigated by these countries in terms of their existing quantities based ontheir natural resources. Some thermal electric generators fuel by these biomasssources were built and used as trials.

Geothermal EnergyThere are several potential sites for geothermal energy particularly along theLesser Antilles. As a result, extensive field investigations were being carriedout for the presence of geothermal resources in Dominica, Grenada, StKitts/Nevis, St Lucia and Montserrat, Guadeloupe, Martinique, St Vincent andthe Grenadines.

Already a 4.2MW geothermal power plant was in operation in Guadeloupe.

2.1.7 Energy efficiency initiatives

Emphasis on energy efficiency was placed on the following at that time:

Demand side management -JamaicaA major energy efficiency exercise occurred between 1994 and 1997 whenJamaica introduced a demand side management program funded byGEF/World Bank, IDB/Rockefeller Foundation and the Canadian TrustFacility as a way of reducing the demand for electricity. This program wasintended to jump start energy efficiency initiatives in a number of areas,

The residential sector was targeted and a number of items (compactfluorescent lights, low flow shower heads, aerators for sinks and

refrigerator gaskets were distributed to participants.


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A PV pilot programme was also launched to demonstrate the performanceof this type of application. Solar panels and AC inverters were installed in

two villages.Retrofit initiatives were also undertaken in the commercial and industrialsectors by way of full retrofit up-front to the customer with a repaymentprogram through their utility bills.

A solar water heating program was also launched aimed at targeting thehotel sector at the time only 22 hotels were using solar water heatingfacilities out of a total of about 177.

Demand side management - BarbadosBarbados undertook a comprehensive demand side Management study

which looked at the technical as well as economic energy managementpotential together with a cost benefit analysis.

2.1.8 Barriers up to 1999

According to studies which took place in 1999, main findings of thebarriers to energy at the time encompassed:

General

Lack of commitment on the part of governments to pursue energypolicies.

Lack of systematic resource assessments for renewable energyresources.

Lack of human resources to facilitate policy development.

Lack of interest and commitment of utilities. Discrimination of taxation with respect to RE products.

Finance

Lack of project developers.

Insufficient acceptance of RE. Lack of funding of projects. Lack of available funding for ESCOs for EE projects. Lack of low interest funding.


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High costs of EE Equipment.

Capacity building

Weak and limited capacity with respect to energy issues.

Lack of overall adequate infrastructure.

Design

Need to influence design relevant to the needs of users.

Awareness

Lack of strategies to educate, sensitise and promote energyefficiency among policy makers.

Equipment

Lack of availability of EE equipment to stimulate distributors.

Low quality of imports.

Standards

Lack of appropriate standards and sustainability of verification

procedures.

2.1.9 Awareness InitiativesMany of the Utilities had been producing leaflets/flyers/ brochures aimedat guiding the energy efficiency efforts of homeowners as well ascommercial and industrial operations.

2.1.10 Policy

On the policy side, one major co-ordinated regional response was a

CARICOM Heads of Government meeting in 1983 where a regionalEnergy Action Plan was initiated as a knee jerk reaction to the energycrisis of the 70s.


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Since the formation of that Regional Energy Action Plan in 1983, therehad been no meeting of regional energy ministers. As a result there had

been no co-ordinated energy policies corresponding to energydevelopments over this period.With respect to individual country policies/plans only Jamaica, St Lucia,Guyana, Trinidad and Tobago had any type of framework in place toguide their individual energy developments.

2.1.11 Energy project financing

Many countries experienced severe economic difficulties, low purchasingpower and limited access to international funding.

2.1.12 Capacity building

Some areas in need of capacity building include a lack of capability ofmost governments to assess resource data, prepare and assess feasibilitystudies, prepare project documents and set targets for energy at the countrylevel.

2.1.13 AwarenessTwo assessment surveys were conducted in 1999 which sought to examinethe awareness levels of stakeholders throughout the Caribbean with

respect to RE. These surveys looked at information delivery systems,awareness of RE technologies, as well as information resources available.

TV documentaries, videos were identified as forms of presentations forRE technologies. Policy makers were one of the major groups whichlacked knowledge of many of the energy technologies and how theyworked.

Besides solar energy, wind and hydropower, there was not muchknowledge on the other technologies.


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2.1.14 Climate change

While the region experienced relatively decent incomes from tourism itwas still being highly exposed to the negative impacts of climate changesand environmental damages (rises in sea level, hurricanes, flooding anddamage to coral reef s.

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3.0 RECENT ENERGY INTERVENTIONS IN THE REGION

3.1 An intervention as defined in this study is any energy event, project, programme,workshop, seminar, assessment/feasibility study or any other related area that istaking place regionally, sub-regionally, among individual or groups of countries

in the Caribbean. Since 1999, there have been numerous energy initiatives whichhave sought to impact the Caribbean energy landscape and present a completelydifferent picture today.

Over three hundred (300) interventions have been reported as having taken placethroughout the Caribbean over the ten (10) years period. Much emphasis wasplaced on Renewable Energy with major initiatives such as the CaribbeanRenewable Energy Development Programme implemented by the CARICOMSecretariat, the Global Environment Facility.

Of the total number of interventions Barbados represented 15% of interventions

reported; Cuba 4%; Dominica 7%; Grenada 9%; Guyana 22%; Jamaica 17%; StKitts/Nevis 4%; St Lucia 8% and Trinidad and Tobago 7%. Interventions whichspanned the entire Caribbean and not attributed to any one country made up 7%.

There were over100 implementing Agencies involved during the period.

Since 1999, there have also been a number of interventions which have beenregional in scope (serving several groups of countries in the region) which havehad some measure of impact on the countries.

Of this number, some eleven (11) of them had, and still have as their objectives -working with the countries on developing a sustainable energy path throughdifferent forms of renewables. There were another five (5) which looked atadvancing the energy efficiency and energy conservation efforts of the countriesand three dealt with Petroleum related issues.


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Among these interventions eight (8) were committed to focusing ondevelopment of Policy in the various countries; three (3) in the area of Finance;

five (5) were Capacity building initiatives and three (3) focused on Awareness.

Below is a list of regional interventions reported. Details can be found in thedatabase on the CIPORE platform.

3.2 Regional interventions focusing on Renewable /Sustainable Energy1. The Global Sustainable Energy Islands Initiative (GSEII) 2000 present.2. The Caribbean Renewable Energy Development Programme- Phase I 2002

to present.3. The Sustainable Energy for Sustainable Development in the Caribbean 2003

2010.4. GeoCaribes /Geothermal Phase I - Dominica, St Lucia and St Kitts and

Nevis.5. Preparation of a geothermal- based cross border electrical interconnection in

the Caribbean. Dominica, St Lucia and St Kitts and Nevis.6. The Renewable Energy in the Americas initiative7. The Renewable Energy and Energy Efficiency Partnership (REEEP)8. The Latin American and Caribbean Initiative for Sustainable Development

2006 -2007.9. The Caribbean Energy Sustainable program OECS (2008 2010) -

IDB/CARILEC.10.The Bioenergy in the Caribbean: supporting policy dialogue on sustainable

energy services for SIDS through South South co-operation 2007 -2009

11.The Sustainable Energy and Climate Change Initiative (SECCI) - 2009

3.3 Regional Interventions focussing with Energy Efficiency1. The Renewable Energy and Energy Efficiency Partnership (REEEP)2. The Caribbean Renewable Energy Development Programme Phase II-

GTZ 2008 to present3. The Caribbean Hotel Energy Efficiency Action Programme. (CHENACT)

2009.


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3.4 Regional Electricity and Petroleum initiatives.

4. Electricity reform in the OECS - World Bank.5. PetroCaribe Government of Venezuela.6. Regional electricity co-operation and integration in the Americas/Caribbean.7. Energy efficiency in the Caribbean - UNDP/GEF/OLADE 20038. Cuban Energy Savings Light Bulb project- Government of Cuba

3.5 Regional Interventions dealing with Policy1. The Global Sustainable Energy Islands Initiative (GSEII).2. C Phase I 2002 to present3. The Sustainable Energy for Sustainable Development in the Caribbean.4. The Latin American and Caribbean Initiative for Sustainable Development.5. The Renewable Energy and Energy Efficiency Partnership (REEEP)6. The Bio-energy in the Caribbean.7. The Caribbean Energy Sustainable Program (CSEP)8. The Sustainable Energy and Climate Change Initiative (SECCI)-2009.

3.7 Regional Interventions dealing with Finance1. Establishment of a Sustainable Energy Investment Fund- (SEIF)2. Establishment of a Caribbean Renewable Energy Technical Assistance

Facility (CRETAF) - CREDP.3. The Caribbean Solar Financing Program (CSFP)

3.8 Regional Interventions dealing with Capacity1. The Caribbean Renewable Energy Technical Assistance Facility (CRETAF)2. Technical and Vocational Qualification (TVET) for the Installation and

Maintenance of Solar Hot Water Heaters. (CREDP).3. The Caribbean Energy Sustainable Program (CSEP).4. Caribbean Renewable Energy & Energy Efficiency and Bio-energy Action

Programme (CREBAP).5. First Caribbean Sustainable Energy Forum (CSEF).

3.9 Regional Interventions dealing with Information

1.

Establishment of a virtual renewable energy demonstration centre, based onan actual project in SIDS.2. Development of a network of professionals, companies and businesses to

provide national leadership for sustainable energy.3. Development of a renewable energy information platform.


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4.0 IMPACT OF INTERVENTIONS

According to the results of the survey the nine countries have experiencedpositive impacts in the following areas:

4.1 Increased Capacity

Training, certification, skills development, opportunities and experience are someof the positive impact of interventions. Specifically, these included technicians inthe installation and operations of photovoltaic systems, hotel personnel in energyconservation techniques and efficient maintenance of plants as well as technicians

and custom officers in refrigeration and AC refrigerants.

Development of Associations of certified technicians as well as theimplementation of good industrial practices to provide local support was alsointroduced.

In some areas the technology developed was being used as models for learning. Inparticular, the Micro-hydro unit in St Lucia was being used to facilitate toursexposing students to career opportunities.

.Development of sectoral policies such as the Agro-energy policy in Guyana led to

the development of biofuels infrastructure - in terms of finance, skills andinstitutional strengthening.

4.2 Social programmes

PetroCaribe negotiations brought with it the financing of a number of Socialprogrammes arising mainly from the deferred payments under the Agreement,as well as financial and non-financial instruments through the ALBA-Caribe Fundsupporting some 48 social projects with investments estimated at $222 M. Theseprograms are expected to see benefits in areas such as public health care, higher

education, housing, transportation systems as well as cultural and sports activities.4.3 Savings

According to the study, savings were experienced in electricity bills to consumersas a result of the change over from incandescent bulbs to compact fluorescent


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under the Cuban Light bulb project. Seven countries - St Lucia, Barbados, Cuba,Jamaica, Guyana, St Kitts,/Nevis, Dominica participated and benefitted from

this project.

Anticipated reduction and savings are expected for energy import costs forcommercial entities when geothermal is realised in Nevis as well as the proposedLamberts East Wind farm generating project with the anticipated displacement offuel costs by $5.6 million per year from the project intervention. The TeacherTraining College in Grenada also benefitted from savings in their electricity billas a result of the PV installation.

Under the PetroCaribe agreement security of supplies and stability in priceswithin a band are experienced when oil market prices are high thus leading to

savings.

.4.4 Job creation

Many interventions led to job creation both locally and internationally.Interventions which brought about job creation on the local scene included theCommunity based recycling program in Guyana which led to the employment ofUniversity students in the firm involved in solar energy equipment; the bagassemodernisation project which saw increased employment of persons in the sugarindustry (1800 persons) in Guyana; the renewable energy systems design and

energy conservation project in Barbados as well as the introduction ofPetroCaribe which saw the formation of several local companies affiliated to theVenezuela PDVSA .

There were also job opportunities for international experts and locals frominterventions such as the CREDP, geothermal project in Nevis and the CubanLight Bulb projects.

4.5 Equipment/Technology

A number of small number of equipment related to technology were introducedfollowing some of the interventions. Jamaica saw the installation of a 20MW

wind farm which is linked to the grid with potential for expansion. Grenada sawthe development of a small 1.7kW photovoltaic system for the T MarryshowTeachers Training College primarily for training purposes but which is linked alsoto the grid, many experienced financial and technical recovery and recycling


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equipment for ozone from the Climate change project. Guyana benefited from andsaw the generation of added sources of electricity (bagasse co-generation)

10mwh/day which is tied into the national grid. In addition, wastes from thedistilleries were utilized.

The commissioning of wind power plant is scheduled to take place in 2010 aswell as the supply of geothermal energy to the grid with the signing of a Powerpurchase agreement with the utility in Nevis. A micro-hydro unit was installed inSt Lucia leading to significant reduction in costs of electricity (diesel generation).

4.6 Policy/Plans/Regulation

There has been a fair amount of activity taking place in this area over the past 10years. Many energy committees have been formed to recommend and developpolicies. Some have been prepared and accepted as drafts but most fail to reachthe enactment stage. There is also a regional Energy task Force in place which hasdrafted a regional energy policy for review by the CARICOM Heads.

There are plans afoot for the establishment of a sub-regional ElectricityRegulation body in the Eastern Caribbean by the IDB which will help OECScountries observe standards and enforcement which would guarantee servicequality in the electricity sector. Dominica has already established an Electricity

Regulation body to observe standards and initiate enforcement.

The OAS and UNDP Barbados are currently undertaking policy assessments andconsultations in this area.

Sustainable Energy Plans are in place for Grenada and Dominica and a draft hasbeen prepared for St Kitts/Nevis.

St Lucia implemented waivers for companies promoting renewable energy andenergy efficiency and making it more attractive for use.

4.7 Improved quality of life


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With the introduction of some small renewable energy projects, Guyana in particular,benefited from improved quality of service /health care to rural communities through

implementation photovoltaic systems leading to:

o A lowering of incidence of vaccine preventable diseases.o Better immunisation coverage.o Improved health sanitation.

Improvement was seen in the quality of life of women in the rural areas intargeted communities (Wowetto Region 9), through implementation of REequipment:

o Solar freezers to facilitate village shops.

o Solar water pumps to provide irrigation for schools.o Solarlights.

leading to increased economic wealth for the community.

4.8 Information/ Increased awareness

Much knowledge was gained of the various countries RE potential for wind,geothermal etc., in terms of the quality and quantity of resource. This wasobtained through the various resource assessments undertaken under the CREDP.

The development and commissioning of a regional Information platform inRenewable Energy was also introduced under this program in an effort tofacilitate easy access to information in this area.

Increased awareness were cited many times throughout the survey from thevarious training and demonstration projects Micro-hydro to students in St Lucia,the use of biodiesel using vegetable oil as a source of fuel to students in Guyana,the Light Bulb projects in many countries, to name a few.

4.9 New Markets

Expansion of new markets could be seen particularly in the Geothermal projectwhich began in St Kitts/Nevis and saw expansions to Dominica, St Lucia andSaba indicating interest and further development in this area.


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4.10 Behavioural change

Dominica experienced a shift in culture in the energy sector with the introductionof regulatory oversight. The Cuban light bulb project in most instances, led to thefostering of attitudinal changes through awareness of consumers of increasedenergy efficiency and energy savings equipment, in particular, bulbs.

4.11 Income generation

Many of the communities in Guyana benefitted from income generation as aresult of the interventions. Some projects became eligible for carbon creditsthrough the Clean Development Mechanism.

4.12 Beneficiaries

Beneficiaries of the many interventions included low income farmers of poorrural housing schemes, women in rural communities, patients in ruralcommunities, private and public sectors, consumers, ESCOs, as well as theutilities.

5.0 GAPS AND RECOMMENDATIONS FOR IMPROVEMENT

5.1 Policy

The assessment survey shows that energy policies are still needed at the countrylevel and where they exist are outdated and in dire need of updating to fall in linewith the current global energy environment.

In 1999 of the nine countries understudy, three countries, namely Jamaica,Guyana, and Barbados had policies in some form.

To date, many of the countries have policies in some form of draft stages that arebeing upgraded this can be seen as some improvement. Where draft policies exist,however, according to respondents, many say that these are still seen as


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restrictive, outdated with unattainable goals which are not realistic and thereforemay not be achieved despite numerous interventions by the Caribbean Renewable

Energy Development Program (CREDP) among others, which specificallytargeted policy development.

According to feedback from the survey, this lack of energy policy is seen as amajor gap that needs to be filled urgently. Lack of proper legislation andregulatory oversight has been cited by respondents as leading to a lack of co-ordination in the energy sector. This absence of a framework for guiding theoverall energy sector development, according to survey results has left theElectric Utilities and Independent Power Producers (IPPs), in particular, tooperate in an ad hoc fashion. It therefore makes it more difficult for IPPs tooperate and Energy Services Companies (ESCOs) to develop.

One suggestion is that this is due to cost constraints associated with proper gridside measures. Others feel that there is still too much dependency on fossil fuelsrather than the other aspects of energy. There is, therefore, the need for greateremphasis on policies which would increase the average persons access toRenewable Energy and Energy efficiency.

It must be noted that countries are at different stages of policy development- somehave plans in place while others are working on their energy policies but targetshave been set many have not even been endorsed.One gap identified was that the issue of net metering was not included in many

of the policies so that consumers with RE and self supplies could sell to the gridin an effort to lower electrical demand at peak hours. Another gap was the needfor encouragement of the use of natural light and ventilation in building codes tobe articulated in the Policies.

Some respondents also saw gaps in the policies and feel that energy policiesshould be linked to other sectoral policies such as housing, (solar water heaters inhomes), agro-industry (solar crop dyers, pumps etc), health (photovoltaic systemsin remote clinics) as many of the issues are all-encompassing.

5.1.1 Recommendations

From the survey it is being recommended that:


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Policies need to be more bottom up rather than top-down inorder to obtain the necessary buy in from all of the stakeholders.

Plans need to move to energy policies so that greater weight couldbe put on them and targets could become more attainable.

Governments should initiate the correct enabling environmentwhich is still necessary to allow energy policies to be pursued andtargets achieved.

Specific areas within the policy should not only speak toRenewable Energy but also Energy Conservation and energyefficiency targets. These should also be incorporated into the

national planning and budget of governments and should become apart of the national policy agenda.

5.2 Finance

There is a general call for special facilities/windows to be put in place for thefinancing of energy projects in the region. It had been pointed out that the highinterest rate regime in many of the countries and the lack of information on bankslending policy has led to low rate of commercial bank financing for RE and otherenergy projects. Experience therefore indicated that seeking funding via

commercial means prove quite onerous and when pursued, had limited chances ofsuccess.

As a result, developers have indicated that they were still looking for funding tofinance their projects. Small property owners, guest houses and others also haddifficulty finding funding necessary to meet the recommendations arising fromenergy audits and are seeking reasonable financing mechanisms.

Government agencies have complained of continual budgetary cuts whichprevented further expansion of energy, in particular, renewable energy.

Funding was still being sought by students in lecture led projects in poorsituations where projects are continuous.


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One of the recommendations arising from the survey is that Governments need tolook at increased budgetary allocation and funding from some kind of a Nationalfund for energy to cover costs related to energy projects such as contractedexpertise, research activities and tax incentives.

Support/loans for energy related studies and different areas of development couldalso benefit if funds are invested wisely.

5.3 Capacity

The survey results identify that there is still a huge dependency on the contractingof international expertise and relevant specialists even though there has beenevidence of a build-up of regional/local capacity slowly and over time.

However areas identified as gaps include the limited government capacity forenergy policy analysis despite numerous interventions over the past ten years.

With respect to energy efficiency, training continues to be identified as anecessity in the area of energy audits. More energy auditors are said to be neededto be trained so as to bring down the costs to the consumers. Some small propertyowners have expressed concern with the limited human resources at their disposal

for project implementation which would contribute to businesses sustainability.There continues to be limited technical capability in the maintenance andservicing of photovoltaic equipment which is used in remote areas. Some initialtraining has been offered through agencies such as PAHO, UNICEF but this is notconsidered to be sufficient.

There is still a need for international consultants to conduct relevant trainingcourses notwithstanding the attendant high costs.

A major gap was also cited in the structure and the way in which research,projects and research were conducted - Universities/Colleges have been left out of

the process in many instances and not seen as being part of problem solving.

There is a call for more programs for teachers together with Universities andgovernment offices.


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The results of the survey points to the need for training in both public and privatesectors as well as Academia. Involvement of the Universities should continue wellbeyond the development of projects.

This training should focus on the development of capacity, in particular, amonggovernment employees at various levels to enable them to:

design regionally specific systems and produce them at local/regionalrates.

perform hands-on energy installations.

With respect to research it was felt that more emphasis should be placed on whatis termed developmental research rather than much of the classical researchwhich is currently being undertaken at the University/College levels and shouldrelate more to the country/region rather than what takes place in the overseasenvironment.

Collaboration with other overseas knowledgeable groups in similar fields was

seen to be important and in this way, could bolster local/regional trainingprograms.

The use of on-line training courses could be offered and could go a far way incutting down the expenditure for travel. A wider local audience could participateand become involved.

5.4 Information/ Awareness

Approximately 65% of respondents identified the need for greater awareness andsensitization programmes for the public. However, where persons were aware, itwas felt that the capacity to effect changes was lacking.


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In many instances, there were no awareness campaigns in place to inform publicon energy issues of importance to them particularly the issues relating to energy

efficiency and conservation.

This continues to be difficult as library facilities in many instances are non -existent.

Concerns were expressed that even while in this information age, persons werestill not very willing to share information.

A need has been identified for a meeting of experts to sensitise persons on theimportance of sharing and making information available. This task can be

undertaken by the Caribbean Energy Information System.


Approximately 65% of respondents in the survey felt that greater energyawareness interventions were necessary. Many feel that a regional program whichis properly co-ordinated can go a long way in changing the mindset of citizensand promote the use of renewable resources with which the region is endowed.

A recommendation has been made for the selection of a major project

(sector/residential/commercial) to educate and advise suppliers and manufacturersof energy efficient equipment and provide guidance.


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6.0 BARRIERS AFTER NEW INTERVENTIONS 2000 to 2009

From the information collated so far, the barriers which still exist at 2009 havebeen identified as follows:

6.1 Policy

The issue of a lack of energy policies being in place continues to be a majorbarrier to energy development in the region. Respondents cited lack ofexperienced legal personnel in governments to draft policy, lack of use of

scientific data for the creation of the policy and the absence of a regional bodyparticularly among the OECS to regulate the various electricity sectors as some ofthe contributory factors.

Specific barriers seen in this area included:

Lack of incentives from government to facilitate the purchase and installationof renewable energy technologies.

Limited Buy in from stakeholders with respect to the completion of energypolicy.

Slow Changes in traditional and cultural behaviour, especially among utilities.

Inability to retain a skilled workforce required to build a modern low-carboneconomy. Inadequate correlation and linkages of related institutions and policy

framework. Lack of subsidies to support and promote non carbon energy generation.

6.2 Capacity

While major strides have been made in the area of developing capacity in thevarious countries with some 40% of the interventions having been completed in

this area, many continue to identify a lack of capacity particularly in the area ofRE technologies and is summed up as:


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Limited technical and human capacity for conceptualisation, development andimplementation of low carbon technologies.

6.3 Finance

All countries identified a lack of adequate financing for initiatives as a barrier.

6.4 PetroCaribe

Many barriers still exist in relation to negotiations with respect to the Petrocaribeissues.Reduction in the frequency of ships coming to the island with fuel was intended toreduce costs to some individual countries. However, government storage facilities

were not in place in many of the countries hence had to rely on temporary privatesector storage for fuel which still continue as there is no storage facility on thepart of the government. As a result, costs remain basically the same as additionalstorage facilities for fuel are still needed.

Construction of tanks which was designed for storage and to be funded byPDVSA Venezuela is also still outstanding.

6.5 New Equipment/Installation

With respect to work on buildings (roof and electricals) poor infrastructure thathad to be strengthened to allow installation of the PV systems was a barrier andcaused delays to the projects.

6.6 Information

Data Capture and collection Lack of Public Awareness Inadequate fibre optic and telecommunications capacity and infrastructure


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7.0 STRATEGIES TO OVERCOME BARRIERS

7.1 Policy

Energy policies that are bottom-up where stakeholders are consultedfirst and consensus reached before drafting are seen as important.

Link sectoral policies to energy policies to provide guidance in termsof management, monitoring and evaluation.

Provide incentives for the purchase and installation of equipmentassociated with renewable energy and energy efficiency technologies.

Set realistic targets and try to meet them so that reduction in petroleumdependency can take place.

7.2 New Equipment and Installation

Enact appropriate building codes required among other things roofsdesigned for PV systems.

Use wind-driven generators that can be dismantled in less than an houras a requirement for wind equipment in order to withstand hurricanespeeds.

7.3 Information

Increase awareness /education for all, in particular, small hoteliers inthe use of Alternative Energy and Energy Conservation.

Sensitise persons to the importance and need for information flow. Implement legislation to ensure required data is captured and shared.

7.4 Capacity

o Determine national requirements for developmental initiatives including

human and technical capacity and match with training.o Continue training at teachers training colleges and for teachers in schools.o Improve the curriculum development as it relates to capacity building.o Introduce more hands-on and on-line training programmes.


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o Tailor training programmes to be more focused on developmental issues.

7.5 Social Programs

Set up a permanent base in countries where persons can come in andexchange bulbs (incandescent for compact fluorescent) rather than tryingto reach them in their homes.


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8.0 INTERVENTIONS STILL NEEDED BEYOND 2009

8.1 Policy

o Creation of an enabling environment for energy through the creation of anenergy policy.

o Establishment of strong governance implementation, follow up andevaluation - with respect to energy development.

8.2 New Equipment Installation

o Introduction of a program to control the importation of energy efficiencyequipment entering the countries.

o Realisation of installation /establishment of a medium sized hydropowerfacility in Guyana to alleviate shortfall in energy supply.

o Securing of more reliable renewable energy equipment for the healthcentre in remote areas.

o Expansion of photovoltaic equipment program into more remote ruralareas in Guyana.

8.3 Information

An evaluation of the regional Phase out project and the extent to whichconsumers are more aware and are purchasing EE appliances.

A training program which looks at the economic viability of PV systems .Implementation of awareness programs for energy conservation andenergy efficiency and for sensitising the population to the importance ofbecoming energy conscious. The making of energy conservation as a wayof life for the citizens.

8.4 Finance

Funding of more courses in photovoltaic engineering and economics.

Expansion of investments into bio-fuels, hydropower, wind farms andphotovoltaic systems. More tax incentives for energy projects with environmental protection

strategies to be initiated.


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More funding for promoting energy efficiency initiatives such as the useof energy saving appliances.

8.5 Capacity

Improvement in technicians through training, as regulations evolves. Greater input into the school curriculum in particular, tertiary institutions

in order to build local capacity. A program to take research and ideas into the community by tertiary

students in the Caribbean. Greater emphasis and training in micro-hydro-electric power generation

and a need to work with watershed groups to meet this objective. Upgrading of the T Marryshow Teachers Training College to become a

Centre for Solar energy research in Grenada.


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9.0 UNDP ASSISTANCE

These areas were identified as needing UNDPs future intervention:

9.1 Finance Provide funding for sustainable livelihoods type projects. Facilitate access to investments/financing facilities. Create a Small Island Development fund for energy projects so as to remove

the hurdles encountered with commercial banks. Provide funding and technical assistance to the small hotel sector to facilitate

the change adopt recommended measures to energy efficiency.

9.2 Policy Provide guidance to Ministries of Finance, Bureau of Standards and related

agencies regarding the issue of taxes, incentives, standards as they relate toenergy efficiency.

Support efforts /negotiations for a RE development policy framework throughmore aggressive marketing of energy options to the countries.

Provide guidance to government on how to implement more energy - friendlypolicies.

Provide assistance in energy sector policy analysis and support forimplementation of strategies.

Finding ways of continuing with projects such as the Cuban Light Bulb to

impact low income households.

9.3 Capacity Assistance in the development of a dynamic and vibrant curriculum for an

Associate/Undergraduate degree in Renewable Energy in Grenada. Support the building of technical and human capacity for policy reforms, RE and

energy efficiency programmes.

9.4 Awareness Facilitate access to agencies with related information that can guide successful

implementation of related projects.


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Facilitateawareness programmes Energy Awareness week for example toaid in the change of mindset of consumers from fossil fuels to RE and energy

efficiency. This could be a regional programme. Select one sub sector (residential, commercial, etc.) follow up with an intense

education program regarding the suppliers/manufacturers of efficient energyequipment and the benefits to be gained from this type of equipment.

Use the Latille micro-hydro project in St Lucia as a model to developsimilar projects around the island and throughout the Caribbean.


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10. CONCLUSION

10.1 Phase I of this Impact Assessment study is primarily a qualitative one providinginformation on the status of the region and individual countries as they relate toenergy development. It focussed only on nine countries and identified variousinterventions which have taken place over the past ten (10) years 1999-2008, bothat the regional and national levels. It identified factors which have contributedto the kinds of positive impact which countries can experience as a result ofenergy interventions. 1999 was identified as the baseline year of the study anddata was used as a reference point for the interventions to follow. Informationwas presented in the those countries on the energy conditions in 1999 ascompared to 2009. Barriers to energy development were identified both before

and after these interventions as well as areas anticipated for necessary furtherdevelopment.

10.2 Over300 interventions were reported on by the countries. Capacity buildingwas one of the areas showing strong intervention overall during this periodfollowed closely Policy and Finance as regional projects, in particular,clearly targetted these areas. However, ironically, these were the same areasranking the highest when respondents were asked to identify issues needingnew interventions and requiring UNDPs future assistance.

10.3 One reason for this could be that when beneficiaries of Capacity Building

become more exposed and knowledgeable about new technologies, they demandthe means/resources with which to transform their acquired and new-foundawareness and capacity into practical, tangible developmental outcomes. Theyalso look to a structured framework with which their outcomes can be linked.

10.4 There were a number of interventions which were either just beginning or beingproposed and major benefits and impact were envisaged. There is no doubt thatthese energy initiatives will gain momentum overtime and could easily changethe situation somewhat if realised, but it was too early to assess their impactsbeyond the objectives stated.

10.5 It must be noted that the timeframe and budget in Phase I did not permit for acomplete assessment of the interventions which occurred. There is need for morework and in-depth analysis to be done some of which include:

Expansion of regional scope to include remaining seven (7) countries.


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Completion of collection of petroleum data to 2009 to permit greatercomparison on consumption patterns between 1999 and 2009.

Identification of factors causing adverse impact. Collection of more detailed information on the financing associated with

interventions.

Development of tools to establish impact and benefits prior to the decision-making process on an intervention.

10.6 These will, however, come in the later phases - (Phase II and III) of the projectwhere more in-depth research and appropriate tools (model, cost-benefitanalyses, etc) will be applied.


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VOLUME II

COUNTRY REPORTS


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1.0 BARBADOS

1.1 Baseline conditions: Energy scenario up to 1999

PetroleumDuring the baseline year of 1999, Barbados imported some 3,362,000 bbls ofpetroleum products costing 73.8 (US$ mill); even though it is an oil producerand partially satisfies its own oil and gas requirements. This energy expenditurerepresented 6.7% of total imports to the country and 5.8% from its foreignexchange earnings. Total installed capacity (diesel, steam turbines, and gasturbines) was 185.5MW in 1999. Electricity generated was in the order of 764.3GWh.

Renewable EnergyThere is high potential in renewable energy sources such as wind, solar andbiofuels in Barbados. Up to 1999 some 33,000 solar water heaters were alreadyinstalled on the island. The Barbados Light and Power Company (BLPC) hadbenefited by not having to produce the equivalent of about 19% of its 1998production total. At the time, the 33,000 solar water heaters represented some30 to 35 MW of electric generating capacity.

Much work had already being done on the development of solar crop dryers,solar stills, and solar photovoltaic (PV) systems.

The Government of Barbados collaborated with the Centre for Resource

Management and Environmental Studies (CERMES) University of the WestIndies to construct solar stills in every secondary school in the country in aneffort to provide distilled water for use in science laboratories and for otherpurposes. There was also a major workshop held in 1999 on the operation ofsolar stills to give capacity building support. This initiative has been successfulto the extent where the use of electric stills is almost a thing of the past. Twolarge scale solar dryers and a number of small scale dryers were in operation.

Wind assessments were also being carried out with a view to installing a windfarm at Lamberts. Bagasse was being used mainly in sugar factories forcogeneration.

Energy efficiency


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There were limited interventions occurring in Barbados with respect to energyefficiency at the time.

1.1.1 Energy Interventions since 1999

Approximately forty (40) new energy interventions were identified for Barbados.Of this number, 80% were related to renewable energy, while the remaining 20%related to energy efficiency. All interventions benefited from internationalfunds. These included the UNDP, European Investment Bank, GlobalEnvironmental Facility, the OAS and the World Bank, to name a few.

Barbados continued to earn income from the sale of licences for explorationcontracts in the oil and gas sector to multinationals and to benefit from thissector. Over 70,000 households have also benefited from natural gas which ispiped to the homes for domestic use thus reducing dependence on domestic fuelimports. Barbados has estimated natural gas reserves of 141.4 million cubicmetres but supplies are quickly being depleted and expected to run out in thenext five to fifteen years. It has identified huge offshore potential but lacks thecapital investments required for exploitation. It hopes to benefit from theproposed Trinidad and Tobago natural gas pipeline for additional gas supplies.

With its onshore reserves dwindling, and becoming much more difficult toaccess, in recent times the government has turned its attention to focussing onrenewable energy through its recent draft energy policy committing 30 % of the

island's primary electricity to renewable energy by 2012. Currently, bagasse andsolar water heaters contribute 15 percent of the island's primary energy supplyand the government is looking to expand this to include wind energy and fuelcane production issues.

Already there have been interventions such as the biodiesel from vegetable oilinitiative in schools where business students are able to develop entrepreneurialskills from being involved in such energy-related projects. In an effort to explorethe potential for solar photovoltaic systems and gain installation and operatingexperience, the Electric Utility Company also got involved in the installation ofsmall photovoltaic systems. There are plans afoot for the implementation ofwind farms and the introduction of wind energy into the energy mix.

The government has recently signed an agreement with the Inter AmericanDevelopment Bank (IDB) that will assess the potential of renewable energysources, adopt energy efficiency practices and look at the feasibility of bioenergy.


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It is hoped that this exercise would lead to the creation of a regulatoryframework which would take the country along a path of sustainable energy.

In regards to energy conservation and efficiency measures the government islooking to increase energy-efficiency by promoting energy efficient technologiesand usage particularly in the public sector and public buildings.

The feasibility of alternative fuels for transport is also being studied.

1.1.2 Impact of interventions 1999 -2009

Petroleum issues

Income realisation from sale of exploration licences and explorationcontract.

Exports of oil and gas.

Renewable Energy

Increased Capacity - Training and skills development opportunities andexperience were gained during the installation and operations ofphotovoltaic systems project.

Greater awareness was created among students in biodiesel as a fuel usingvegetable oil as the source.

Subject related training workshops for teachers of CXC/CAPE regional

examinations.

Income realisationThe community-based recycling project in Barbados at the Lester VaughnSecondary School led to some measure of income generation.

1.1.3 Beneficiaries

Students, private sector.

1.1.4 Barriers to interventions

Much more investment was required than planned for equipment to set upthe biodiesel plant. Many challenges were encountered in ensuring that all


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components were running effectively and able to process the raw materials toensure complete and successful implementation.

Lack of proper infrastructure (roof and electrical) to allow installation of PVsystems thus causing delays to the PV project.

Incentives needed from government to facilitate the purchase andinstallation of renewable energy technologies.

Increased costs due to large capital investments in technology andinfrastructure and on-going maintenance.

Access and availability of affordable technologies and products.

1.1.5 Strategies to overcome barriers

Ensure that appropriate infrastructure is in place for buildings which will beused for distributed PV electricity generation.

Government incentives should be provided for the purchase and installationof renewable energy technologies.

Provision of capital for large energy investments.

1.1.6 Lessons learnt from interventions

Objectives of intervention need to be realistic and country defined to increasecountry ownership.

Specific needs to be addressed by the end of the intervention. Gains in installations and operating expenses.

1.1.7 Interventions needed beyond 2009

Despite the recent energy interventions, there continues to be a call in Barbadosfor strong energy policy which is needed to guide the energy mix of the country.There is also a call for more community-based initiatives. More specifically

interventions are needed in the following regard: Policy There is still a need to reduce the level of dependence on fossil fuels

Integrate technically and economically proven alternative energy sourcesinto the energy mix of Barbados Light and Power Company (BLPC).


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Capacity - Reduce dependency on imported energy by building morecapacity in renewable energy technologies.

.

1.1.8 UNDP assistance

Policy - Facilitate the development of a national development energy policyin Barbados.

Awareness - Advertise for community-based initiatives because manycommunities do not know that funding exists until the project concept hasbeen shelved.


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1.2 CUBA

1.2.1 Baseline interventions: Energy scenario up to 1999

PetroleumDuring the baseline year of 1999, Cuba imported some 48,261.9 bbls ofpetroleum products costing 1002.77 (US$ mill). Total installed capacity (gas,oil, hydropower, sugarcane biomass and fuelwood) was 4284.3MW. Electricitygenerated was in the order of 14,492.2GWh.

Cuba has a growing energy demand fuelled by population and economic growth.According to the International Atomic Energy Agency report, Cuba: A CountryProfile on Sustainable Energy Development, only since 1999, did gas begin to playa considerable role in the total primary energy supply (TPES). Prior to that itwas dominated by oil and biomass.

Renewable Energy

Cuba had benefited from programme activities approved by Parliament, such asin 1993 where the extended use of hydropower, waste-based energy sources,solar energy, wind energy and biogas were supported.

Up to 1999 over 4,500 solar water heaters were installed in schools, hotels andhospitals on the island. Several photovoltaic systems were installed mainly in the

health and education centres. The exploitation of this resource was relativelylow at the time.

A demonstration project was also in place for wind energy. More than 6,000wind turbines/windmills were being used for water pumping.

Bagasse was being used mainly in sugar factories, efforts were made to increaseefficiency in this area.

Several micro/mini hydropower plants were scattered throughout the island.

Energy efficiency

Cuba had also benefited from programme activities approved by Parliament. In1993 the higher efficiency in the use of bagasse in the sugar industry to allow


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the industry to provide itself with its energy requirements and to increase theelectricity delivered to the National Electric System (NES) was supported.

1.2.2 Energy Interventions since 1999

By 2009, Cuba had made significant strides in the development of its energysector. During the period 1999 to 2009 there were several new energyinterventions under Cubas Energy Revolution- La Revolucion Energetica.There is a super program which now encompasses distributed power, electrictariff adjustment, and energy efficiency for domestic appliance, domesticrefrigerator change, and lighting home efficiency improvement. Alongside thisare several nationwide awareness programmes to support these initiatives. Otherinitiatives include wind parks, hydro-power stations and the PetroCaribeAgreement.

Most related to renewable energy, but more so on energy efficiency andeducation which Cuba feels is the first step in any successful energy revolution.All interventions benefited from strong government support and someinternational funding from countries such as China, India as well Venezuelathrough the PetroCaribe Agreement.

The interventions ranged from energy efficiency and conservation, technicalassistance, increasing the availability and reliability of the national electric grid,incorporating more renewable energy technologies into the energy portfolio;

increasing the exploration and production of local oil and gas; and greaterinternational cooperation and export of skills to the Caribbean under the CubanLight Bulb Project.

1.2.3 Impact of interventions 1999 - 2009

Petroleum issues

Policy/Regulation New residential electrical tariff structure. Upgrade of electricity infrastructure (posts, cables etc.)

Greater installed capacity.All led to stability in electricity distribution.

Capacity Training workshops.

Savings Reduction in oil imports as a result of all the interventions.


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Behavioural change - Culture change in the energy sector.Renewable Energy

Increased Capacity - Training and skills development experience ininstallation and operations of hydro-electricity, wind and photovoltaicsystems leading to reduced dependency on fossil fuels.

New Technology/equipment - Establishment of wind farms and hydro-electricity plants in various parts of Cuba.

New markets - Hosting of study tour of Cuba energy installations forCaribbean energy professionals.

Job creation - Creation of jobs locally as a result of expansion in REinfrastructure.

Increased Information Identification of Wind resource assessments inmore than 30 regions.

Energy efficiency

Awareness Energy efficient awareness programs for the public to givesupport to the fossil fuel reduction effort.

New markets/job creation - Skills export to the Caribbean under theCuban Light Bulb Project.

Contribution to climate change

Reduction in millions of tons of carbon emissions as a result of the superenergy project.

1.2.4 Beneficiaries

Public sector, private sector, average consumer.

1.2.5 Barriers to interventions

Hurricane damage to installed wind equipment.


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1.2.6 Strategies to overcome barriers

The acquisition of wind-driven generators that can be dismantled at short notice

1.2.7 Interventions needed beyond 2009

New Technology/Equipment More technology and equipment forfurther expansion of wind farms in other parts of Cuba as current projectsare only providing a small fraction of RE requirements.

1.2.8 UNDP assistance

Finance/Capacity - Funding for future training and wind and hydro-electric projects.


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1.3 DOMINICA

1.3.1 Baseline conditions to 1999

Dominica is one the few countries in the Caribbean that is not large

impact assessment survey of recent energy interventions on the security and sustainability of the...

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