Transcript Eritrea country Background

Workshop for EUEI Facilitation and
Policy Dialogue
By
Ghirmai Abraham (PhD), Ministry of National
Development
and
Semereab Habtetsion (PhD)
Department of Energy,
Maputo, April 11-15, 2005
Country Energy background
2003 Energy Consumption: 718,000 toe
66.8% by the household
13.8% by transport
9.2% by public and commercial
7.7% by the energy industry, and
2.5% by the Manufacturing industry.
 The sources of primary energy were 65% biomass,
32.3% oil products and 2.7% electricity,
 According to the 2002 EDHS
National access to electricity 32.2%;
Asmara 99%, other urban 61%, all urban 78%
Rural only 3%
 Over 80% of the energy needs of rural enterprises is
met by biomass or animate/human labour
 Electricity consumption in 2003 was 63 kWh/capita
 Forest take-off 2.4-2.8% while threshold for
sustainability is 1.25%, thus, unsustainable
 66% living below the poverty level
.
Associated environmental and
social problems
 Very high dependence on unmanaged and
unsustainable biomass energy
Threat to desertification
Health hazard to women and children
Too much time and energy spent to collect biomass
Loss of soil nutrients due to dung and agri-residue
usage for energy
Inefficient traditional stoves, etc.
Very high prevalence of poverty
Cont’d
 Rural poor unable to change their way of
life due lack of modern energy
 The need for more rural-focussed energy
policies and institutional frameworks
 Minimum penetration of the private sector
 Too many barriers for promoting RETs and
other energy to rural areas
 Heavy dependence on imported oil
Mitigation of GHGs Emissions
Top priority in least developed countries is poverty reduction
Thus, adaptation rather than mitigation to climate change effects
Nevertheless, some positive measures of GHG mitigation include:
 
Commissioning of new power station and transmission lines which have the
potential of reducing 45,000 tons of CO2 per year
 
Rehabilitation and voltage conversion in Asmara and Massawa- has the
potential of reducing losses by 50% and CO2 of 21,000 tons/yr
 
Efficiency improvement of traditional woodstoves; each improved stove
reduces fuelwood consumption by 50% and 0.6 ton of CO2/year
 
Renewable energy resource assessment (wind, solar and geothermal) in
progress
• pilot 4 M$ project in progress (GEF+GoE)
Summary of Major Achievements so far
 Power generation capacity increased from <30 MW in
1991 to over 150 MW now
 Transmission lines from <150 km to over 350 km now
 Distribution from 800 km to over 1300 km now
 Rehabilitation of power distribution system initiated
 Per capita consumption from 16 kWh to over 60 now
 Over 600 kW solar system installed
 Wind and solar resource assessment conducted
 Wind energy applications project initiated
 Dissemination of improved stoves in Progress
 Energy Laws Regulations & Standards enacted
 Upstream and downstream oil business expanded
The way forward
Sustainable development of the sector through
 Expansion of power generation and T & D
 Enhanced rural electrification by extending the grid
 Enhanced energy efficiency or rational use of energy
 Dissemination of improved stove program
 Decentralised energy systems
 Increased use of renewable energy technologies
 Institutional capacity building and restructuring
 Policy, planning and transfer of technology and skills
 Enforcing appropriate Legislative Framework
The future of the power Sector
Facts about the Electricity Sector
Faces typical problems of developing country
utilities
 It has now been corporitised
Separation of urban/rural business will prevail
Rural Electrification in progress on cost sharing
principle b/n Govt and communities
Existing tariffs averages US 11 cents/kWh
Power Policy and Strategic Plan
• Expansion from different sources
• Make power utilities financially self
sufficient
• Avoid subsidies that are not pro-poor
• Facilitate private investment
• Establish RE Fund and operational manual
• Develop human and institutional Capacity
Energy and Poverty Reduction
The Parallel MDGs for Energy
• Reduce by 2015 those without access to adequate
lighting
• Reduce by 2015 those without access to
sustainable form of cooking
• Energize all rural educational, health and clean
water supply systems
• Provide Sustainable energy for rural Income
Generating Activities
Power Sector Reform measures
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Electricity Proclamation No 141/2004
Regulatory Function Established
Restructuring of EEC’s financial account
Corporate restructuring of EEC
Establish transparent mechanism for tariffs
Consultants engaged in power sector reform
and associated capacity building – all with World
Bank assistance
RETs Development Initiatives
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25 stations assessing wind and solar
Over 600 kW solar systems installed
Pilot wind energy project initiated
Good prospects for geothermal energy
Hydropower potential not studied
22,000 improved stoves installed
3 Biogas plants, 1 cotton briquette firm
Energy Research and Training Centre formed to
promote RETs
Pilot Wind Energy Project
GEF/GoE supported on 50% basis
 Install 3x250 kW wind farm at Assab
 6 decentralised wind hybrid and 2 wind pumps
 Technical Barrier removal measures to realise these
 Wind and solar resource database analyses
 Replication potential to be assessed in over 320 villages
 Training and capacity building
 Public and private awareness measures
 PPA and wheeling arrangements
 Innovative financing mechanisms
 Local manufacture of wind energy structures
The EUEI for Africa Nairobi
Conference recommended
• Rural energy in general and rural electrification in
particular
• Energy for households, biomass and substitutes
• Strategies and policies for the energy especially
pro-poor
• Capacity building at all levels
These are very much in line with our ‘parallel MDG’
Goals