RCREEE is an independent regional policy organization dedicated to promoting renewable energy and energy efficiency in the MENA region. The document summarizes renewable energy potentials, challenges, and trends in RCREEE member countries. It finds that while the MENA region has excellent solar, wind, hydro, and biomass resources, renewable energy deployment faces many barriers like a lack of effective policies and financing mechanisms. It concludes that countries have set renewable targets but need clear implementation strategies and tools to overcome challenges and accelerate renewable energy development in the region.
The role of technology and innovation in facilitating the transition towards ...
Session1 countries potentials, challenges and trends authored and_or presented by ashraf kraidy
1. Renewable Energies in the RCREEE Member Countries
Potentials, Challenges and Trends
RCREEE/MED-EMIP Joint Event on Occasion of the Second IRENA PrepCon
MENA Energized: Regional Challenges to Green the Power Sector
28 June, 2009, Sharm El Sheikh, Egypt
Eng. Ashraf Kraidy,
Senior Expert, RCREEE Interim Secretariat, Cairo
2. Who’s RCREEE?
• 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.
• RCREEE is working to be a leading centre of excellence on the
international level
MENA Energized: Regional Challenges to Green the Power Sector
3. RCREEE Members
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.
MENA Energized: Regional Challenges to Green the Power Sector
4. Governance Structure
Board of Trustees (“BoT”)
Advisory Members
Representatives of 10 Member States Development partners Emminent persons
(no voting rights) (no voting rights)
Executive Committee
5 representatives (Maghreb/Mashreq/host country
plus two from the private sector)
10 Secretariat
Correspondents Director
(One for each Two Deputies,
Member State) composition to reflect the regional character of the centre
(Maghreb/Mashreq/host country)
and the required expertise (RE/EE, R&D, PPP)
Staff
MENA Energized: Regional Challenges to Green the Power Sector
5. RE Opportunities in Member Countries
The MENA 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.
MENA Energized: Regional Challenges to Green the Power Sector
6. 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).
MENA Energized: Regional Challenges to Green the Power Sector
8. Solar Energy for Thermal Power
Plants
MENA Energized: Regional Challenges to Green the Power Sector
9. Direct normal and global horizontal
irradiant of member countries
Global horizontal Direct normal
irradiance irradiance Country
kWh/m2/y (for PV) kWh/m2/y (for CSP)
2,310 2,700 Jordan
1,920 2,000 Lebanon
2,360 2,200 Syria
2,250 2,200 Yemen
1,970 2,700 Algeria
2,450 2,800 Egypt
1,940 2,700 Libya
2,000 2,600 Morocco
1,980 2,400 Tunisia
2,200 2,100 Paledtine
MENA Energized: Regional Challenges to Green the Power Sector
10. 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)
MENA Energized: Regional Challenges to Green the Power Sector
11. Potential of wind energy in
member Countries
Full load hours per year (h/y) Country
1,483 Jordan
1,176 Lebanon
1,789 Syria
1,483 Yemen
1,789 Algeria
3,015 Egypt
1,912 Libya
2,708 Morocco
1,200 Palestine
1,789 Tunisia
MENA Energized: Regional Challenges to Green the Power Sector
12. 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.
MENA Energized: Regional Challenges to Green the Power Sector
13. 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.
MENA Energized: Regional Challenges to Green the Power Sector
14. Barriers To Renewable Energy Deployment
In the Member Countries
• In spite of the high potential of renewable energy
resources availability (solar, wind, biomass and hydro)
in the region, only small portions of these resources
are exploited at present.
• Excluding biomass and hydro, renewable energies are
negligible and represent less than 0.1% of the total
energy supply and less than 0.3% of the electric power
capacity.
• The situation varies from one country to another, but
overall a positive trend can recognized lately
MENA Energized: Regional Challenges to Green the Power Sector
15. Policies and Institutional Barriers
The absence of an effective policies, legislations and
regulations in some cases,
lack of favorable import for RE products and components as
well as conducive policies to promote RE developments;
limited scope for R&D institutions
regulatory measures are requested to stimulate market
opportunities and needs support to introduce innovative
methodologies, attractive schemes, investment capital, and
flexible financial mechanisms
MENA Energized: Regional Challenges to Green the Power Sector
16. Economic Barriers
Generally high subsidies on oil and gas
Different level of taxation & customs for RE equipment
Public sector RE industry has no incentives to react to market
demand
Private Sector is heavily constrained by regulations
No special incentives to promote RE investment,
Unavailability of financial mechanisms and instruments
encouraging RE manufacturing
MENA Energized: Regional Challenges to Green the Power Sector
17. Socio – Economic Barriers
Lack of Information about technologies
energy has been available cheaply - no need to explore
other options
Lack of priority for domestic R&D programs
Lack of training & education at university and professional
or vocational level
Weak consumer trust
Domestic expertise are not sufficiently considered
18. Market and Financial Barriers
Direct financial incentive for both users and investors in RE is
not existed;
No attractive interest rate allocated to the grants for the
purchase of RE equipments.
The lack of a specific line of financing.
RE companies are small size with limited financial capacities.
Low competitiveness due to fossil fuels prices,.
No taxes reduction for RE projects and importing.
19. RE TRENDS in Member Countries
Targets for future RE capacities have been put in all
members countries
How to achieve this target…. This is the big question
Implementation methods are not clear
Also implementation tools are not available
Strategies for RE development are needed to be put
according to the capabilities
MENA Energized: Regional Challenges to Green the Power Sector
20. RE Market Situation
Yemen Tunisia Syria Palestine Morocco Libya Lebanon Jordan Egypt Algeria
Independent Power
0 X 0 - X 0 X X X 0
Producers
BOO or BOT bases
0 X 0 - X 0 X X X 0
power plants
Local
X X X X X X X X X X
Manufacturing
Energy Service
Companies 0 0 X 0 0 - 0 X X -
(ESCOs)
Existing: x Planned: o Non-existing: -
MENA Energized: Regional Challenges to Green the Power Sector
21. RE Regulation and Incentives
Yemen Tunisia Syria Palestine Morocco Libya Lebanon Jordan Egypt Algeria
Feed-In Tariff &
- - - - - - - - 0 0
Premium
Quotas & Green
- 0 - - 0 - - - 0 0
Certificates
Reduction on taxes
- X O - X - 0 0 X 0
or import duties
Tax credits - - - - - - - - - -
Existing: x Planned: o Non-existing: -
MENA Energized: Regional Challenges to Green the Power Sector
22. Financial Indicators
Yemen Tunisia Syria Palestine Morocco Libya Lebanon Jordan Egypt Algeria
Clean Energy Fund - - - - - - - X - -
Public Investment &
- X X - X - 0 x 0 0
Loans
Subsidies X X X - - X X X X X
Taxes - X - X X - - - - -
Existing: x Planned: o Non-existing: -
MENA Energized: Regional Challenges to Green the Power Sector
23. Capacity Building & Institutional
Framework
Yemen Tunisia Syria Palestine Morocco Libya Lebanon Jordan Egypt Algeria
Training &
0 X X X X 0 X X X X
Education
Public Awareness
0 X 0 - - 0 X X X X
Campaigns
National
Institutional X X X X X X X X X X
Framework
International
0 0 X 0 0 - 0 X X -
Organizations
Existing: x Planned: o Non-existing: -
MENA Energized: Regional Challenges to Green the Power Sector
24. What RCREEE Can Do?
Transfer of best practice and exchange success stories
which arise across the region (energy policies)
Harmonize RE Policies in the member states towards
future RE dissemination strategies (MSP)
Become observer and Regional platform at International
forums (IRENA)
MENA Energized: Regional Challenges to Green the Power Sector
25. Conclusion
The political well for RE promoting is existed.
Targets have been put to be achieved
Institutional framework have been established
Policy framework for RE is in the progress to be
developed
Some RE pilot projects have been implemented
Capacity building is considered
Private sector still doesn't have the needed role
Incentives schemes still not sufficient
RE manufacturing is developing slowly
MENA Energized: Regional Challenges to Green the Power Sector
26. The big question
While we have the potential
&
We urgently need
&
We know the Challenges
&
We are working on the Trends
What are we waiting for????
MENA Energized: Regional Challenges to Green the Power Sector
27. Thanks for your Attention
Eng. Ashraf Kraidy,
Senior Expert, RCREEE Interim Secretariat, Cairo
www.rcreee.org
MENA Energized: Regional Challenges to Green the Power Sector