Priority Options

African Union/Brazil/UNIDO Bio-Fuels
Seminar in Africa
30th July – 1st August 2007
Addis Ababa, Ethiopia
Action Plan for Biofuels
Development in Africa
Draft
Bio-fuels in Africa
Draft Action Plan
• 10 year (short & medium/longterm)
• Priority options
• Main programmes
• Key actors and roles
• Platform for implementation –
Regional Biofuels Network
Bio-fuels in Africa
Action Plan
• 10year action plan
– Short/Near Term programme (4
years)
– Medium to Long Term programme
(next 5-10 years)
Priority Options
• Focus on
– Bio-ethanol
– Biomass cogeneration
– Biogas
– Bio-diesel
– Biomass Gasification
Priority Options
Will Vary According to Country’s
Specific Characteristics
• Ecological Regions
– Drylands (Arid and Semi Arid areas)
– Wetlands (Moist and rainland areas)
• Different biofuel feedstock best
adapted to different ecological
regions e.g. biodiesel in drylands and
bioethanol in wetlands
Priority Options
Will Vary According to Country’s Specific Characteristics
• Drylands (Arid and Semi Arid areas)
– Short Term Options
• Biodiesel
• Bioethanol
• Cogeneration
– Medium to Long Term options
• Biogas
• Biomass Gasification
Priority Options
Will Vary According to Country’s Specific Characteristics
• Wetlands (Moist and rainland areas)
– Short Term Options
• Bioethanol
• Cogeneration
• Biogas
– Medium to Long Term options
• Biodiesel
• Biomass Gasification
Key Programmes
Will Vary According to Country’s Specific
Characteristics
• Enabling policy and institutional
framework
• Financing mechanisms
• Resource assessment - feedstock
availability and sustainability
• Strengthening technical expertise
DRY LANDS/ WETLANDS
Bio diesel
Bio ethanol
Biomass Cogeneration
Biogas
Biomass Gasification
PROGRAMMES
Enabling Policy and Institutional Framework
Financing Mechanisms
Resource Assessment – Feedstock
Availability and Sustainability
Strengthening Technical Expertise
KEY ACTORS AND ROLES
African Governments (Technocrats and Policy Makers) – Ministries in charge of
Agriculture, Energy, Industry, Finance; Environment; Agro-industries (Private and
Public Sector); Research institutions, Regional Bodies (AU, UNIDO, UNDP,
UNEP, ECA); International Organizations (World Bank and EU) Financial
Institutions such as African Development Bank (AfDB); Other Stakeholders
(Refineries and Fuel Distributors, Farmers Associations, Automobile Industry,
Quality Standards Boards, Private Entrepreneurs and Banks, Media
PLATFORM FOR IMPLEMENTATION - REGIONAL BIOFUELS NETWORK
Enabling policy and
institutional framework
• Outputs and Indicators:
– Technical studies on policies, institutional structures
and associated trade issues
– Policy events to debate policy options and review
policy documents
– Training workshops
– Study tours
• Key indicators of progress and success:
– Number of countries that establish supportive policy
measures such as pre-defined prices/tariffs ($/litre
and/or $/kWh) and national targets for biofuels
(millions of litres and/or MW installed capacity).
Financing mechanisms
• Outputs and Indicators:
– Technical studies on pricing and incentives for
biofuels;
– Pre-feasibility and Feasibility assessments on
viability of bio-fuels projects
– Training workshops and study tours on financial
assessments and pricing may be organized based on
the requirements of specific countries
• Key indicators of progress and success:
– Additional investment funds successfully mobilized
for biofuel investments
– Number and capacity of Greenfield biofuel
investments (joint venture or other packages) that
are successfully initiated
Resource Assessment &
Sustainability Indicators
• Outputs and Indicators:
– Reports, studies and assessments on
biofuel resource assessment and
sustainability indicators/standards
• Key indicators of progress and
success:
– Widely available, regularly updated and
verified resource assessment database
and development of widely accepted,
flexible, adaptable and cost-effective
sustainability indicators/standards
Capacity Building &
Strengthening Technical
Expertise
• Outputs and Indicators:
– Biofuels pilot and demonstration projects
– Training workshops and study tours on biofuels
technologies organized based on the requirements
of specific countries
• Key indicators of progress and success:
– Number of pilot and demonstration projects
– Number of African biofuel specialists that are
trained and the level of technological
development.
– Proportion of equipment used in biofuel
investments that is locally designed, assembled
and/or manufactured.
Key Actors and Roles
• African Governments
(Technocrats and Policy Makers) Ministries in-charge of
Agriculture, Energy, Industry,
Finance, Environment;
– Policy formulation and enactment of
legislation
– Establishing incentives for biofuels
• Agro-industries (Private and
Public Sector)
– Project development – Greenfield
investments
– Supply of biofuel feedstocks
Key Actors and Roles
• Regional & Sub-Regional Bodies
(AU, UNIDO, AFREC, ECA, Subregional agencies)
– Coordination of institutions/stakeholders
– Lobbying commercial and marketing
bodies to expand local markets for
biofuels
– Mobilizing financing
– Promoting investment and joint ventures
– Coordinate exchange of skills and knowhow
Key Actors and Roles
• Financial institutions such as the
African Development Bank (AfDB)
– Guidance on investment strategy for biofuels
– Assist with assessment and prioritization of
biofuels investment opportunities
– Mobilizing of co-finance
• Other stakeholders (Refineries and fuel
distributors; Farmers associations;
Automobile industry; Quality and
Standards Boards; Research
Institutions; Private entrepreneurs and
banks)
– Actively engaged in development process and
should provide inputs
National Level
Suggested Way Forward to be Adapted to
Country’s Priorities and Specific
Charateristics
• Short Term
– Focus on proven options that build on
existing agro-industries that use available
agro-wastes (such as bioethanol in
existing sugar industries) to minimize
start-up costs and reduce risk
– Undertake regularly updated detailed
resource assessments, stocktaking on
existing bio-energy investments,
initiatives and planned expansions
National Level
Suggested Way Forward to be Adapted to
Country’s Priorities and Specific
Charateristics
• Short Term
– Set pre-determined prices for bioenergy
options
– Establish supportive regulatory and policy
measures such as standard PPAs and
blending requirements
– Concentrate on investment analysis and
preparation of “bankable” investment
proposals
– Encourage national, regional and
international exchange of experience,
skills and technologies (regional
bioenergy network)
National Level
Suggested Way Forward to be Adapted to
Country’s Priorities and Specific
Characteristics
• Medium to Long Term
– Continue to regularly update detailed
resource assessments, stocktaking on
existing bio-energy investments,
initiatives and planned expansions
– Support R&D and local adaptation
– Initiate pilot and demonstration
investments
– Strengthen national, regional and global
technical exchange of skills, experience
and information
Platform for Implementation
Regional Biofuels Network
•
Assist in coordinate and supporting implementation of
action plan which African Governments are expected to lead
•
Subject to support from African Governments, the Network
could possibly be part of International Biofuels Network
initiative UNIDO in collaboration with AU, AFREC, ECA and
subregional institutions
•
Core membership from African countries and institutions
•
Participation of global biofuel leaders such as Brazil
•
Expected to establish Centers of excellence for each biofuel
option and/or agro-ecological region
•
Centres of excellence to spearhead development of option
in the region – nodal points for action and follow-up
•
Centres of excellence could be jointly hosted or jointly
managed by sub-regional agencies and leading research
institutions/independent research centres/NGOs within a
continental umbrella of African Governments, AU, AFREC
and ECA