Toward a Sustainable Energy Future: A continuing partnership with the Caribbean
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1 Toward a Sustainable Energy Future: A continuing partnership with the Caribbean Mark Lambrides Department of Sustainable Development Organization of American States 23 July 2007
2 The Current Energy Regime: Key Challenges Nearly 100% of the electricity and transportation in the Caribbean is fueled by imported petroleum products (T&T is the exception) Electricity and gasoline costs are high and rising; due to international petroleum prices and small scale of handling/generation facilities Environmental impacts associated with diesel generators and transportation fleets have negative effects on the environment and tourism economy
3 Energy Sector Vulnerability in the Caribbean Sustainable Energy Fuel supply disruptions (weather threats to shipping, minimal storage capabilities, etc.) Fuel price fluctuations (economic hardships associated with rising costs) Climate risk (Hurricanes, sea level rise, increased frequency/strength of extreme weather events, etc.)
4 Power Generation in the Caribbean Country Thermal Hydro TOTAL Antigua and Barbuda Barbados Cuba 3, Dominica Dominican Republic 4, Grenada Haiti Jamaica* 1, Saint Lucia Saint Kitts & Nevis St. Vincent and the Grenadines Trinidad and Tobago 1, Source: Energy Information Administration (EIA), 2004 *Wind: Jamaica accounts for 20 MW.
5 Recent Energy Sector Trends in the Eastern Caribbean Push to open electricity markets to competition Seek alternative arrangements to secure coal, oil, gas, and other fuels Establish policies, plans, strategies, laws, etc. that favor sustainable energy Promote the development and use of biofuels and bio-electricity Promotion of increased energy efficiency
6 On-Going Sustainable Energy Programs/Initiatives in the Region: OAS Activities Global Sustainable Energy Islands Initiative (GSEII) Geo-Caraïbes St. Lucia Geothermal Project Dominica Geothermal Project Nevis Geothermal Project US-Brazil Biofuels Partnership St. Kitts and Nevis Bio-energy technical assistance Dominican Republic and Haiti Biofuels (and El Salvador) European Union Energy Initiative (EUEI) -> CREBAP
7 On-Going Sustainable Energy Programs/Initiatives in the Region: OAS Regional Activities Global Sustainable Energy Islands Initiative (GSEII) Collaboration of Donors, Countries and other Partners OAS, UNIDO, Climate Institute, ESG UNF, RBF, USAID, UK-FCO/REEEP Comprehensive Approach Established Sustainable Energy Plan processes: Grenada, Dominica, St. Lucia, St. Kitts and Nevis Delivery of technical and policy assistance, human and institutional capacity development, and project identification activities Support market transformation through project development activities
8 On-Going Sustainable Energy Programs/Initiatives in the Region: OAS Regional Activities Eastern Caribbean Geothermal Development Project (Geo-Caraïbes) GEF+ Funded St. Lucia, St. Kitts and Nevis, Dominica Partners: UNEP, OAS, AfD In response to multiple previous development efforts Resource exploration, Policy preparation, and Subsidized drilling risk finance Catalyze multiple commercial geothermal projects and inter-island electricity transmission
9 Eastern Caribbean Geothermal Development Project (Geo-Caraïbes) Key Activities Technical: Assess the resource/technical potential for the several sites and electricity interconnection scenario = Reduce resource uncertainty and development risks Policy/Legal: Reform legal framework and Develop Local/Regional Capacity = Reduce contract/policy uncertainties, expedite licensing/permitting, and strengthen local inputs Financial: Prepare Geothermal Drilling Risk Fund = Reduce financial risks associated with initial commercial exploration
10 Eastern Caribbean Geothermal Development Project (Geo-Caraïbes) Status of Project Developments: St. Lucia Dominica St. Kitts and Nevis
11 On-Going Sustainable Energy Programs/Initiatives in the Region: OAS Regional Activities: USA-Brazil Biofuels Partnership Bush-Lula agreement to cooperate and support Biofuels development in several third-party countries Dominican Republic, Haiti, El Salvador, St. Kitts and Nevis OAS providing technical assistance Policy/Market Reform Economic analysis Feasibility Studies Capacity Building
12 St. Kitts & Nevis Bio-Energy Feasibility and Development Program SKN sugar industry closed in 2005 OAS/GSEII team assessed biomass to energy alternatives (sugar and municipal waste) (2006) Options could include ethanol, electricity, other byproducts
13 Sugarcane Quantities and Characteristics for St. Kitts & Nevis Parameter Typical Value range Unit Available cultivable area 6,000 5,500 6,500 acres Sugarcane yield tons/acre Average distance of fields to mill Miles Sugarcane production 147, , ,950 tons/yr Sugarcane production 1, ,100 tons/day Sugarcane fiber content (d.m.) % d.m. Projected bagasse production 27,930 21,423 39,891 dry tons/yr Average length of grow cycle days/yr Duration of crushing/harvesting season days/yr Amount of reaping per ratoon planted reaping/ratoon Estimated cost of sugarcane as delivered to the processing plant US$/ton Amount of reaping per ratoon planted reaping/ratoon
14 St. Kitts and Nevis Current developments On-going technical assistance to Ministry (Dr. Albert Binger) Reduction of available land figures (4,500 acres) Preparation of land use map (Brazil/FGV) Articulation/commitment to bioenergy development strategy St. Kitts commitment to developer for fuel cane to energy (electricity and bio-diesel) Also, non-biofuels and non-geothermal developments: St. Kitts MOU for 10 MW wind Nevis MOU and Pending PPA for 1 MW wind
15 On-Going Sustainable Energy Programs/Initiatives in the Region: OAS Regional Activities EUEI Program: Increasing the Sustainability of the Energy Sector in the Caribbean through Improved Governance and Management Three year program to support sustainable energy development in the Caribbean Services: Technical assistance, capacity building, policy and planning, project identification and assessment Countries: Antigua & Barbuda, St. Vincent & Grenadines, Grenada, Bahamas, Dominica, St. Lucia, St. Kitts & Nevis Project Partners: OAS, CARICOM, CARILEC, and REEEP
16 EUEI Program: Increasing the Sustainability of the Energy Sector in the Caribbean through Improved Governance and Management Key Objectives: 1. Establish sustainable energy goals/targets through the adoption of national Sustainable Energy Plans (SEPs) in all project countries 2. Support the implementation of activities as outlined in each national SEP that addresses specific challenges or barriers.
17 EUEI Program: Increasing the Sustainability of the Energy Sector in the Caribbean through Improved Governance and Management Key Project Components: Establishment of a Regional Coordination Unit (RCU) in CARILEC offices, St. Lucia Establishment of national offices/focal points Development of key sustainable energy policies Organization of national and regional training events (including electric utility staff training, banker training and study tour to Europe) Project identification, assessment and preparation activities Transition project to CDB, IADB, others for project development Link to CREBAP
18 Other On-Going Sustainable Energy Programs/Initiatives in the Region Caribbean Renewable Energy Development Project CARICOM and GTZ CARICOM Regional Energy Policy OECS Sustainable Energy Policy Other Bilateral and multilateral energy assistance programs (Iceland, CIDA, UK, UNDP, CCCCC ) Link to the Caribbean Renewable Energy, Energy Efficiency, and Biomass Assistance Program (CREBAP)
19 Thank you! Mark Lambrides Energy Division Chief Department of Sustainable Development (DSD)
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