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Nationwide engagement to develop inclusive renewable energy options for low income households and businesses
Nationwide engagement to develop inclusive renewable energy options for low income households and businesses
Future Earth delivered a wide-ranging package of work on "Inclusive Renewable Energy Investment" for the Government of Antigua and Barbuda, Department of the Environment, under the NDC Partnership "Climate Action Enhancement Package" (CAEP) jointly delivered by GGGI, IRENA and Climate Analytics.
Antigua's electricity grid
Context
Context
The Department of the Environment coordinates GHG mitigation action across government and is responsible for the monitoring, reporting and verification of climate action. Electricity is generated by the Antigua Power Company under PPA with the Antigua Public Utilities Authority (APUA) regulated by the Ministry of Public Utilities. IPPs are permitted under contract with APUA which sets prices and defines performance standards and in 2015, a net billing tariff flat rate of USD 0.167 was adopted. Electricity is expensive at >USD 0.37/kWh for domestic consumers and above the Caribbean regional average of USD 0.33/kWh. Overall household electricity consumption is 31% of the total.
The Renewable Energy Act of 2015, which established the legal, economic and institutional basis under Article 3 to establish the framework for the accelerated development and advancement of renewable energy resources. The 2015 Biennial Updata Report GHG Inventory recommended that indigenous energy resources should be developed, which in this case would be primarily from wind and photovoltaic systems to reduce use of fossil fuels and of course GHG emissions.
Promoting renewable energy solutions is a market opportunity for the private sector, however for the 18% of residents classed as vulnerable, the high initial cost of investment, household income insecurity and access to suitable finance constrains uptake unless these barriers can be adjusted to include this section of the wider market.
Approach
Approach
To support the implementation of the updated NDC and to develop inclusive policies, the Department of Environment, Government of Antigua and Barbuda Future Earth’s team delivered the work on the ground as the Inclusive Renewable Energy Investment Strategist. Click here for project details.
Over 18 months, we worked closely with the Department of Environment in delivering a stakeholder mapping exercise and a nationwide survey on the acceptability and affordability of renewable energy solutions collecting >7,000 data points. We built capacity at the DOE and the National Statistics Office to develop and deliver remote telephone surveys and to use statistical analysis to interpret the results.
Outputs and outcomes
Outputs and outcomes
On the basis of both desk based research and the above national Acceptability & Affordability of Renewable Energy survey, Future Earth developed the Inclusive Renewable Energy Investment Strategy and Workplan.
We also research and developed a Policy Guide to Inclusive Investment Opportunities in Renewable Energy, including proposing a self-financing Equitable Leasing Model, to be delivered by public or private companies and serve the most economically vulnerable communities and small businesses.
Impact
Impact
The project helped the Department of Environment to understand the barriers and opportunities for men, women and youth to invest in low carbon energy and identify realistic opportunities and novel strategies for financing domestic solar energy.
The outputs formed part of the Antigua and Barbuda’s Government submissions to the UNFCCC and informed the development of the 2021 NDC. A number of recommendations were taken forwards.
Strategic framework for national capital creation
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