1. www.rcreee.org The Current Initiatives in Renewable Energy and Energy Efficiency across the Arab Region Eng. Samir Hassan Executive Director Regional Center for Renewable Energy and Energy Efficiency samir.hassan@rcreee.org

2. www.rcreee.org About RCREEE Energy Statistical Profile of the Region RE&EE Arabian Plans and Initiatives Barriers To Renewable Energy Deployment In the Member Countries Oriented Recommendation to face existing Challenges Presentation Content:

3. www.rcreee.org RCREEE stands for « Regional Centre for Renewable Energies and Energy Efficiency » RCREEE is an independent regional policy think tank, dedicated to the promotion of RE&EE in the MENA region, RCREEE main fields of work: - Policy Framework - Research and Development - Public Private Partnership - Capacity Building RCREEE is working to be a leading centre of excellence on the international level Who’s RCREEE? About RCREEE…..

4. www.rcreee.org RCREEE has ten founding members from the MENA region. The set up is sponsored by Egypt (also the host country), Germany, the EU and Denmark. RCREEE Member States: About RCREEE…..

5. www.rcreee.org Governance Structure Representatives of 10 Member States Executive Committee 5 representatives (Maghreb/Mashreq/host country plus two from the private sector) Secretariat Director Two Deputies, composition to reflect the regional character of the centre (Maghreb/Mashreq/host country) and the required expertise (RE/EE, R&D, PPP) Staff Board of Trustees (“BoT”) Advisory Membres 10 Correspondents (One for each Member State) Emminent persons (no voting rights) Development partners (no voting rights) About RCREEE…..

6. www.rcreee.org Energy Statistical Profile of the Arab Region - Efficiency - RE Potentials

7. www.rcreee.org Energy Statistical Profile Key parameters for hydrocarbon reserves and production in oil producers countries among RCREEE member states Source: BP and EIA Hydrocarbon Reserves and Production

8. www.rcreee.org Energy Statistical Profile Energy Independency is the percentage of energy imported compared to the total energy supply [(Domestic demand – Domestic supply) / Domestic demand]*100 = [net imports/ Domestic demand]*100 Energy Independency in some of RCREEE countries in 2008 Source: Plan Blue Project Energy Independency

9. www.rcreee.org Energy Efficiency Energy Statistical Profile…Efficiency Energy intensities from other regions (kgoe/GDP ($US) at market prices in 2005 $) Energy Intensity Energy use (toe) per capita in comparator groups Energy per Capita Source: Energy Information Administration: International Energy Statistics Database

10. www.rcreee.org Electricity intensity in RECREEE and other regions (kWh/$1990) Electricity Efficiency Energy Statistical Profile…Efficiency Source: Energy Information Administration: International Energy Statistics Database and UN Statistical Division Main Aggregates Data Base

11. www.rcreee.org Why Efficiency..? Energy Statistical Profile…Efficiency The results of the analysis show that the levels of energy use in RCREEE countries are generally higher compared to GDP than in other regions. High energy intensities will make industry in RCREEE countries uncompetitive and will expose the countries to potential oil price shocks and to large import bills for energy in some countries. There is a clear case for adopting enhanced policies for energy efficiency.

12. www.rcreee.org RE Opportunities The Arab Region is endowed with: Abundant solar radiation. Long duration of sunshine. Good to excellent wind speed. Significant hydro power. Reasonable quantities of biomass energy. However, RE is still facing many barriers and constraints vis-à-vis large scale deployment in the region. Thus, the objectives of this paper is to capture promising opportunities, to point out the prevailing challenges and to show the trends of RE sector. Energy Statistical Profile…RE Potentials

13. www.rcreee.org Solar Energy The capacity of solar energy resources is excellent in all member Countries with an annual global solar radiation varying between 4 to 8 kWh/m2. The region also enjoys high direct normal radiation and low average cloud cover. Electricity production from both Concentrating Solar Thermal Power (CSP) and Photovoltaic (PV) has a good potential, due to the fact that the incident solar radiation on the region is higher than the required value of (1800 kWh/m2/year). Energy Statistical Profile…RE Potentials

14. www.rcreee.org Solar Energy Map Energy Statistical Profile…RE Potentials

15. www.rcreee.org Solar Energy for Thermal Power Plants Energy Statistical Profile…RE Potentials

16. www.rcreee.org Direct normal and global horizontal irradiant Direct normal irradiance kWh/m 2 /y (for CSP) Global horizontal irradiance kWh/m 2 /y (for PV) Country 2,7002,310Jordan 2,0001,920Lebanon 2,2002,360Syria 2,2002,250Yemen 2,7001,970Algeria 2,8002,450Egypt 2,7001,940Libya 2,6002,000Morocco 2,4001,980Tunisia 2,1002,200Palestine Energy Statistical Profile…RE Potentials

17. www.rcreee.org Wind Energy MENA Countries have good potential of wind energy since most have an annual full load hours of over 1400 h/year, which is considered a long-term economic potential. Several countries such as Egypt and Morocco have a very good wind resources (wind velocity range between 8-11 m/sec) Energy Statistical Profile…RE Potentials

18. www.rcreee.org Wind Energy Map Energy Statistical Profile…RE Potentials

19. www.rcreee.org Potential of wind energy Energy Statistical Profile…RE Potentials Country Full load hours per year (h/y) Capacity Factor (%) Algeria1,78920 Bahrain1,36016 Egypt3,01534 Iraq1,78920 Jordan1,48317 Kuwait1,60518 Lebanon1,17613 Libya1,91222 Morocco2,70831 Oman2,46328 Qatar1,42116 Saudi Arabia1,78920 Syria1,78920 Tunisia1,78920 UAE1,17613 Yemen1,48317 Source: Al-Karaghouli A."Current Status of Renewable Energies in the Middle East – North African Region", UNEP/ROWA, June 2007. Capacity factor refers to the percentage of average annual full load hours to total annual number of hours (8760 h/y).

20. www.rcreee.org Potential of wind energy Energy Statistical Profile…RE Potentials

21. www.rcreee.org Biomass Energy Traditionally used widely in rural areas for small purposes. MENA Region is arid/semi-arid in nature, thus small amount of forest and agriculture residues are available The biomass energy potential is mainly available for most Countries from municipal waste. Energy Statistical Profile…RE Potentials

22. www.rcreee.org Hydro Energy Several countries in the region particularly, Egypt, Lebanon, Syria, Tunisia, Morocco and Algeria have hydro resource. The overall Share of hydro electricity is only 5.78% of the total electricity produced. This portion is very small compared to the available hydro potential in the Region. Energy Statistical Profile…RE Potentials

23. www.rcreee.org Energy Statistical Profile…RE Potentials Economic potentials of renewable energies for electricity generation in RCREEE member states (TWh /a ) Economic potentials of renewable energies for electricity generation Source: German Aerospace Center DLR (2005)

24. www.rcreee.org EE&RE National Targets

25. www.rcreee.org RE&EE National Targets National Renewable Energy Targets TargetsDate of AchievingCountry 10% (of P.E)2020Jordan 7% (of E.E)2030UAE 4% (of P.E)2014Tunisia 10% (of E.E)2030Algeria 1% (of E.E)2011Sudan 4.3% (of P.E)2030Syria 5% (of E.E)2020Kuwait 12% (of E.E)2020Lebanon 10% (of E.E) 25% (of E.E) 2020 2030 Libya 20% (of E.E)2020Egypt 42% (of E.E)2020Morocco P.E: Primary Energy E.E: Electrical Energy

26. www.rcreee.org National Energy Efficiency Targets North Africa CountriesDate of AchievingMiddle East Countries Algeria(2007-2011)1% per year Morocco (2020) (2030) 12% 15% Tunisia(2011)20% Egypt (2022) 8.3% Jordan (2020)20% Yemen (2025)15% in Power sector RE&EE National Targets

27. www.rcreee.org RE&EE Arabian Plans and Initiatives - Energy Efficiency Guideline - RE Strategy

28. www.rcreee.org RE&EE Arabian Plans and Initiatives - LAS is preparing an Arabian Strategy for RE. -RE&EE Experts Committee assigned to e the mission, RCREEE is a member in this committee The strategy includes five sections : 1- Electricity in the Arab world 2- Arabian Strategic Targets to develop RE 3- Strategy activating procedures 4- Expected Results 5- Conclusion RCREEE is a member of the team responsible of preparing the second section and is a leader of the team responsible for preparing the fourth section Arab Renewable Energy Strategy

29. www.rcreee.org RE&EE Arabian Plans and Initiatives Arab End Use Electrical Energy Efficiency Guideline Set a 10 year EE target Assign an existing or a new public entity to draw a 3 year National Energy Efficiency Action Plan (NEEAP) Public sector to lead by example (exemplary role), Utilities to provide services or contributing to a fund 3 years progress report to be submittal to League of Arab states showing the achieved savings RCREEE is a member of the team responsible of preparing the Arab EE guideline And will play the watch role for implementing and evaluating the NEEAPs

30. www.rcreee.org Barriers To RE&EE Deployment - Policies and Institutional Barriers - Economic Barriers - SocialBarriers - Market and Financial Barriers

31. www.rcreee.org Barriers To RE&EE Deployment Policies and Institutional Barriers The absence of an effective policies, legislations and regulations in some cases, Lack of favorable import for RE&EE products and components as well as conducive policies to promote RE&EE developments; Limited scope for R&D institutions to interface with international bodies and to share expertise already existing within the sector; Private Sector is heavily constrained by regulations Regulatory measures are requested to stimulate market opportunities and needs support to introduce innovative methodologies, attractive schemes, investment capital, and flexible financial mechanisms

32. www.rcreee.org Economic Barriers Generally high subsidies on oil and gas Different level of taxation & customs for RE&EE equipment Public sector RE&EE industry has no incentives to react to market demand No special incentives to promote RE&EE investment, Unavailability of financial mechanisms and instruments encouraging RE&EE manufacturing The high cost of capital, and lack of access to capital & financial institutions. Barriers To RE&EE Deployment

33. www.rcreee.org Social Barriers Lack of Information about technologies Energy has been available cheaply - no need to explore other options Lack of mainstream marketing of RE&EE options Lack of priority for domestic R&D programs Lack of training & education at university and professional or vocational level Eroded consumer trust Domestic expertise are not sufficiently considered Barriers To RE&EE Deployment

34. www.rcreee.org Market and Financial Barriers Direct financial incentive for both users and investors in RE&EE do not existed; Limited/No grants or attractive interest rate for loans allocated to the purchase of RE&EE systems and equipments. The lack of a specific line of financing, in particular for the urban SWH market, no guarantee fund for investors. Most RE&EE companies are small size with limited financial capacities. Low competitiveness due to fossil fuels prices,. No taxes reduction for RE&EE projects and importing. Barriers To RE&EE Deployment

35. www.rcreee.org Oriented Recommendation to face existing Challenges -Benchmarking of policy - Policy-making - Policy support to large scale RE developments - A common policy for standards and labels

36. www.rcreee.org Oriented Recommendation Benchmarking of policy Benchmarking of policies will enhance the regional work towards promotion of renewable energy and energy efficiency sector in the Arab region. This will facilitate the future coordination to achieve the addressed targets and to deal with RE&EE issues as a region. Benchmarking should be done by:  Annual benchmarking within the RCREEE member states.  Benchmarking against international experience.

37. www.rcreee.org Policy-making Policy making is one of the main important factor for the deployment of RE&EE. This measure should take into consideration:  Structuring, compilation and processing of evidences  Development of indicators  Monitoring the development and the implementation  Evaluation of the results  Developing the policy-making if needed Oriented Recommendation

38. www.rcreee.org Policy support to large scale renewable developments Large scale renewable energy projects need special support to be promoted and disseminated, this support will include: Financial compensation mechanisms Industrial modernization Maximizing local content Fostering R&D linkages Oriented Recommendation

39. www.rcreee.org A common policy for standards and labels Adopting a common policy for standards and labels; even for home appliances or for building or any other sector; is one of the major instruments for future coordination in RE&EE as a regional issue. Such goal to be implemented through:  Strengthening regulatory compliance  Sharing assets (e.g. certification entities)  Developing a common label in the long-term Oriented Recommendation

40. www.rcreee.org Thanks for your attention