"INOGATE Technical Secretariat & Integrated Programme in support of the Initiative and the energy objectives" Project

BUILDING PARTNERSHIPS FOR

www..org INOGATE New ITS Project State of play and potential of the cooperation in energy efficiency and renewables within the EaP

by Dr. Lemlem Said Issa Team Leader INOGATE New ITS Project for Euronest EaP Workshp, Vilnius, 20th September 2013 INOGATE: Specific objectives

• To assist the countries in strengthening energy institutional governance • To support PC in improving business climate for EE / RES • To support PC in improving energy economic planning • To enhance convergence of Gas and Electricity Markets • To increase efficiency of the gas and electricity supply infrastructures INOGATE: The overall objective

• Contribute to the progress of the INOGATE Partner Countries in the achievement of the and the Eastern Partnership objectives.

• Support a reduction in Partner Country dependency on fossil fuels and imports.

• Improve the security of Partner Country energy supply.

• Control climate change overall. INOGATE Policy Framework 1996-2012

Baku For ENP Bilateral Initiative Region

MoU Eastern Partnership MoU Astana Declaration & MoU Energy Road Map Energy MoU Community Treaty MoU

INOGATE NEW ITS Project - Components • Component A – Enhanced assistance in support of the Baku Initiative/Eastern Partnership as well as the objectives • Component B – Enhance convergence of Gas and Electricity Markets on the basis of the EU internal energy market principles • Component C – Strengthen energy institutional governance in relation to sustainable energy, in particular by focussing on institutional capacity • Component D – Enhanced use and harmonisation of energy statistics in line with European standards Objectives

• Support to Baku Initiative and Eastern Partnership

• Sustainable Energy (Component C): – Enable favourable investment climate for RES and EE – Raise awareness of EE/RES (public & government) – Develop institutional framework for SE

AZERBAIJAN Component C: Partner Countries

MOLDOVA

UKRAINE Sustainable Energy Partners & Stakeholders

• Energy regulators • Energy agencies • Educational institutions • Technical institutions • Donors and LFIs • International donors and LFIs • Energy associations • NGOs Sustainable Energy

What can Component C provide?

1. Technical Assistance

2. Capacity Building

3. Awareness Raising Technical Assistance: Active applications

Armenia 4 Azerbaijan 8 Belarus 3 Georgia 2 2 Ukraine 2 Total 21 Technical Assistance: Sample Task - AHEF.26.BY • Title - Improvement of the current legislation aimed at RES promotion in heat and electricity generation • Beneficiary - Ministry of Natural Resources and Environmental Protection of the Republic of Belarus • Tangible results - No of primary or secondary legislation proposed for adoption: 2 Assistance through AHEF

• Supporting efforts of PCs in closer integration with the European structures o Georgia applied for full membership of EnC o ITS workshop helped to learn more about a) benefits and commitments b) legislation and gaps (dedicated Issue Paper) o Participation of Armenia – additional incentive for moving closer to full membership o Follow-up event in Armenia - workshop by ITS for in- depth analysis of EnC membership requirements for Armenia Assistance through AHEF

• Supporting state entities in developing SE o Helping the Ministry of Natural Resources and Environmental Protection of Belarus in developing secondary legislation in line with the EU standards

o Enhancing capacity of the Energy Efficiency Agency in Moldova in energy audits o EEA is a key stakeholder in EE/RES o EEA plans implementing 25 projects with the total investment of around 5 mln EUR Assistance through AHEF

• Supporting academia and business sector o Helping two universities in Armenia to develop cutting edge curricula on sustainable energy o Developing new skills in teaching SE based on the European experience o Enhancing knowledge and potential of future generation to advance SE in Armenia o Helping banking sector for effective SE financing o Enhancing capacity of the Bank of Georgia staff, a major commercial bank in Georgia o The Bank of Georgia signed an MoU with the Ministry of Energy of Georgia to invest around 300 mln USD in building 7 new HPPs Awareness Raising

• Top-down: build demand among policy makers – challenge: stimulate demand through targeted awareness raising of policy makers

• Bottom-up: considerable interest in awareness raising for general public – advantage: use the momentum for raising awareness among wider public Awareness Raising: Main focus

Objective

Facilitate Policy & development of Wider enabling public law makers environment for SE

Increase Reach out to interest in general legislation & society - reducing stimulate admin. demand for barriers SE Awareness Raising

Communication workshops conducted in 5 PCs (workshop in Ukraine pending)

Over 90 participants in Armenia, Azerbaijan, Belarus, Georgia and Moldova

Stakeholder participation: state organisations, academia, businesses, international organisations, civil society, media

Discussions on awareness raising needs, main thrust of awareness raising campaigns, interest of stakeholders and resources Capacity Building

• Training Needs Assessment

• Development of Capacity Building Plan

• Implementation of workshops

• Best Practice and Actual Demonstrations Capacity Building Combined Event: Workshop + Study Tour

Participant groups solving workshop exercises

Plant tour of cooling Plant tour of bio-fueled storage system power plant Capacity Building - Highlights

• Combined event on SE financing in Austria o Sharing experience and learning from the Austrian bank in effective SE financing o Learn more about European experience o Network with peers and experts o “Continuity” – the Bank of Georgia: a) participated in the combined event b) received dedicated workshop for its staff on SE financing.

• ITS aims to facilitate networking and exchange of experience between peers Capacity Building - Highlights

• Study visits on bio-energy in Slovakia o Contribution to developing legislation: draft proposal on amendments to the law in Ukraine o New bio-energy projects developed and implemented: Azerbaijan, Belarus, Moldova o Existing projects improved: Belarus, Moldova o Networking: maintaining contacts with peers from Europe o Professional development: participation in local events and sharing knowledge locally – “multiplier effect” Highlights in Numbers

Event Number of participants Bio-energy study visit in Slovakia 18 Capacity building on EU Directives 34 and obligations in sustainable energy (from Georgia and Armenia) under the EnC Treaty - Georgia Enhancing skills in industrial energy 45 audit for bankable projects in Moldova Combined event on sustainable 19 energy banking in Austria Effective financing of SE projects for 27 the Bank of Georgia Improving university curricula in 90 students and 15 professors EE/RES in Armenia from two universities in Armenia (planned) The C-Team Sustainable Energy Experts

Larry Good Key Expert

Sasha Khatuna Vahan Antonenko, Didbaridze, Babajanyan, Policy Awareness Finance Raising [email protected] ESIB contract framework

Start January 2010 End January 2014 Duration 48 months Countries 11 Why ESIB? (Energy Saving Initiative in Buildings: Eastern Europe, & Central Asia)

Contribute to releasing the energy saving potential due to low energy efficiency in raising buildings awareness promoting financing demonstrating mechanisms technical and improving economic feasibility legislation, of energy efficiency in norms and construction and standards maintenance of and buildings ESIB Activities and Events Task 1 Awareness

• ESIB Webpage www.inogate-ee.org, +900 visitors/month • 15 Webinars on energy efficiency topics, +40 participants • Training of students in schools and universities • Competitions for students and for journalists on energy efficiency • Dissemination of Newsletters, booklets and leaflets • Elaboration of an “Awareness Toolbox” for the use of government agencies and departments • Training of journalists on EE issues (Astana, Baku, , Chisinau, Kiev, Bishkek, > 100 trainees) ESIB Activities and Events Task 2 Legislative • Analysis of the legislation related to Energy Efficiency in Buildings, standards and norms • Gap analysis with EBPDs in the INOGATE countries • Analysis of the legislation that regulates setting up of Home Owners Associations identifying the main barriers to energy efficiency rehabilitation • Labeling of Electric Appliances • Draft legilsation in four countries was analysed, in the remaining six countries analysis is ongoing • Setting up of condominiums in three countries: KG, UA and AZ. Publication of a handbook for homeowners in residential buildings ESIB Activities and Events Task 3 Banking & Financing

• Assessment of the Investment Climate in the participating Countries • Publication of a Handbook for Bankers on financing energy efficiency in the building sector • Elaborated the financial plans for EE rehabilitation of buildings based on the results of energy • Introduced to top management of +15 commercial banks concepts of new products such as eco-credit • Training of bankers (KZ and BY, 30 bankers) • Presentation of the Handbook • Financing a pilot project Thank you for your attention!

More information: [email protected] [email protected]

Visit web portal: www.inogate.org

Lemlem Said Issa, Team leader, [email protected] 26/28 Kudriavska Str. , Kiev 04053 Tel: +380 44 230 2754 Fax: +380 44 230 2753