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www.amee.ma       I. Introductory Introducing the Energy 1 Letter Efficiency Magazine On behalf of the EE Global Alliance (EEGA) and the AOB Group, we are proud to issue this special edition of the Energy Efficiency Magazine focused on energy efficiency’s role in global economic recovery. As COVID-19 continues to devastate economies around the globe, it is critical to highlight how energy efficiency solutions can support 2 countries’ rapid and sustainable recovery. Because climate change remains one of the world’s greatest challenges even during the pandemic - and will outlive the current health and economic crisis - we are releasing this special digital edition during Climate Week NYC, an event run by the Climate Group in association with the United Nations and the City of New York. In addition to helping 3 countries get back on their feet economically, energy efficiency can provide more than 40% of the emissions abatement required by 2040 to meet the goals outlined in the Paris Agreement (IEA, 2018).

In this magazine, you’ll read timely updates and ideas from a diverse suite of renowned international experts with one common theme: our collective global economic recovery efforts must prioritize energy efficiency. Authors reflect on lessons learned from recovery efforts following the 2008 Great Recession, the kinds of policies and programs 4 needed to sustainably recover today, and the private sector’s role. We are excited to share this magazine with you.

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Hafid Boutaleb Laura Van Wie McGrory Business Research Manager Vice President, Strategic Initiatives 6 AOB Group Alliance to Save Energy/EEGA www.amee.ma

The AOB Group is an international publisher focused on energy and climate change. Since 2016, the AOB Group has issued the annual EE Magazine during the UNFCCC’s Conference of Parties (COP).

The EEGA—an international coalition of government, corporate, and NGO energy efficiency leaders—was launched by the Alliance to Save Energy in 2019 with the mission to support accelerated investment and implementation of energy efficiency solutions to meet global climate goals.

3 Contents

I. Energy Efficiency: A Key Economic Recovery Strategy

Energy Efficiency in Recovery Plans Gives Europe an Ace up 8 its Sleeves for Both Today’s and Tomorrow’s Challenges Monica Frassoni, President, European Alliance to Save Energy (EU-ASE)

COVID-19 Recovery: The Power of Energy Efficiency to 11 Jumpstart Economic Stimulus Alyssa Fischer, Energy Efficiency Policy Analyst, International Energy Agency

Charting a New Course: Aligning Climate, Efficiency, and 13 Economic Development Jennifer Layke, Global Energy Program Director, World Resources Institute

Energy Efficiency Reduces Waste, Cuts Carbon and Can Get 15 Canadians Back to Work After the Pandemic - Just Ask Your Aunt Mary Corey Diamond, Executive Director, Efficiency Canada

Energy Efficiency: The Pathway to Economic Recovery in 17 the U.S. Midwest Stacey Paradis, Executive Director, Midwest Energy Efficiency Alliance

COVID-19 Recovery Through SE4All’s Efficiency & 19 Renewable Accelerators Kofi Agyarko, Director for Renewable Energy, Energy Efficiency, and Climate Change, Ghana Energy Commission

An Interview with Bertrand Piccard, an “Inspioneer” for 22 Efficient Solutions Bertrand Piccard, Initiator and Chairman, Solar Impulse Foundation

Energy Efficiency Planning: A Solution for Growing 24 Programs Jalel Chabchoub, Chief Investment Officer and Energy Efficient Expert, African Development Bank Group

Exploring Innovations in Energy Efficiency and Hydrogen as 26 a Clean Energy Carrier Badr Ikken, CEO of IRESEN

For further information contact [email protected]

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II. Policy Approaches to Stimulating Investment

How Energy Efficiency is Transforming the Market and 29 Workforce in Canada The Honorable Seamus O’Regan, Minister of Natural Resources, Canada

Morocco: The Transformation of AMEE fOr a Green 31 Recovery Saïd Mouline, CEO of AMEE, Moroccan Energy Efficiency Agency

U.S. Federal Policy Approaches to Renewing the Energy 33 Efficiency Sector President, Business Council for Sustainable Energy (BCSE), United States

When Citizens Make Policy: France’s Climate Citizen 35 Convention, Energy Efficiency, and the Importance of Education • Benoit Lebot, former Executive Director, International Partnership for Energy Efficiency Cooperation (IPEEC) • Jurei Yada, Coordination Lead, Bern Network on Financing Data for Development, PARIS21 Secretariat

It’s Time for a Global Refresh to Revitalize Financing for 37 Energy Efficiency Investments • Filippo Berardi, Senior Climate Change Specialist and Climate Change Mitigation Coordinator, Global Environment Facility (GEF) • David Rodgers, Clean Energy Expert and former GEF Climate Change Mitigation Coordinator

III. Sector-Based Approaches

Accelerating Recovery through Energy Efficiency - The 39 Industrial Energy Accelerator Rana Ghoneim, Industrial Development Officer, United Nations Industrial Development Organization

Energy Transition: Stay Cool and Get to Zero 41 Dan Hamza-Goodacre, Non-Executive Director, Kigali Cooling Efficiency Program (K-CEP)

Build Back Better: Cooling the Post-COVID World Efficiently 43 • Karan Mangotra, Associate Director, The Energy and Resources Institute (TERI), India • Manjeet Singh, Associate Fellow, TERI, India

For further information contact [email protected]

5 Contents

New Morroccan Leadership Under the Montreal Protocol 45 with Co-Benefits for COVID-19 Economic Recovery • Mohamed Rida Derder, Special Counsel for MENA and Africa, Institute for Governance & Sustainable Development (IGSD) • Stephen O. Andersen, Director of Research, IGSD

How the District Energy Accelerator Can Help Accelerate 47 the Recovery through Energy Efficiency • Benjamin Hickman, Regional Technical Advisor for Asia and Europe, United Nations Environment Programme (UNEP) District Energy in Cities Initiative • Celia Martinez, Technical Coordinator, UNEP District Energy in Cities Initiative

Why Any Recovery Package Must Include Vehicle Efficiency 49 Sheila Watson, Deputy Director, FIA Foundation

Accelerating the Recovery for People Through Building 51 Energy Efficiency Debbie Weyl, Manager, Buildings Initiative, WRI Ross Center for Sustainable Cities

IV. The Private Sector’s Role

Building Back BETTER with Remote, Rapid Energy Retrofit 53 Analysis • Carolyn Szum, Program Manager, Lawrence Berkeley National Laboratory • Clay Nesler, Vice President, Global Energy and Sustainability, Johnson Controls and Interim President, Alliance to Save Energy

We Can Recover the Private Sector - While Taking Climate 55 Action Helen Clarkson, CEO, The Climate Group

BANK OF AFRICA: Committed to Sustainable Energy 57 Finance Amal Benaissa, PhD, Manager of Sustainable Finance at BANK OF AFRICA - BMCE Group,

Carbon Neutrality: The New Normal for Signify 59 Harry Verhaar, Head of Global Public & Government Affairs Signify

For further information contact [email protected]

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Find out more about Interact City City www.interact-lighting.com/city I. Energy Energy Efficiency in Efficiency: Recovery Plans Gives Europe an Ace up A Key its Sleeves for Both Economic Today’s and Tomorrow’s Recovery Challenges Strategy

Monica Frassoni President, European Alliance to Save Energy (EU-ASE) Crucial for climate mitigation, energy efficiency programs energy efficiency should be a key which supported a construction focus area in Member States’ sector hard-hit by the crisis. stimulus programmes. This However, that recovery was would greatly benefit the bloc’s energy and carbon intensive:

economy, while setting the EU on global CO2 emissions declined the path to becoming a leading by 400 million tonnes in 2009, player in global markets. but they rebounded by 1.7 billion tonnes in 2010 in the sharpest European Union governments upswing in history. This cannot are in the process of designing be repeated in a decade which massive stimulus packages to is crucial to mitigating the effects sustain socio-economic recovery of climate change and preventing following the devastating impact the irreversible effect of dramatic of COVID-19. The plan is to temperature rise. This is even develop spending programmes more true for Europe, since the large enough to bring the bloc has pledged to achieve economy back on track, while climate neutrality by 2050. The at the same time ensuring that EU needs to learn from what investments are aligned with happened with the last crisis Europe’s sustainable economic and show the world how to growth strategy as outlined by the pursue recovery while cutting European Green Deal. energy consumption and related emissions. Against this backdrop, it is useful to look back at the last Here are a few reasons why time when major public stimulus energy efficiency policies should plans were implemented: the be among the key areas of • The EU needs to learn from global financial crisis of late 2008. national and European stimulus what happened with the last As IEA’s Fatih Birol has rightly programmes. crisis and show the world recalled, the extra spending on how to pursue recovery clean energy following the 2008 First, energy efficiency while cutting energy crisis contributed positively to is paramount for climate consumption and related economic recovery. Recovery mitigation: through existing emissions. was also made possible through technologies, it is possible to

8 reduce energy consumption, efficient and ecologically friendly increase the efficiency of the buildings will pay back quickly I. Energy entire energy system and with dividends and millions of accelerate the integration well-paying, local jobs. of renewables. According to Efficiency: the IEA, 76% of the European This explains why energy greenhouse gas emission efficiency is a ‘must have’ reductions required to keep in government stimulus A Key temperature increases below programmes. EU Heads of State 1.5°C must come from energy and Government have agreed efficiency. to provide the Union with the Economic necessary means to address Secondly, from an industrial point the challenges posed by the of view, energy efficiency has COVID-19 pandemic and decided Recovery great added value as its value to mobilize 750 billion EUR to chain is deeply European. In fact, be committed by end of 2023. Europe hosts some of the most Member States should seize this Strategy innovative and successful energy opportunity and invest without efficiency companies in the world. hesitation in efficiency projects at The members of the European national and local levels. Alliance to Save Energy are global “champions” that export While the 30% climate target technologies and drive innovation. for the expenditure of these Hundreds of other players, resources is a step in the right especially small and medium-size direction, EU governments enterprises (SMEs), also operate should agree on clearer rules and in this field locally across the stringent green conditionalities for continent. qualitative use of recovery funds. Additionally, resources should Investing in energy efficiency be earmarked for investments in also means investing in European sectors with high potential, like innovation, especially when construction. it comes to the construction sector. According to data from It is time for Member States the European Patent Office, to fully implement the energy green construction-related patent efficiency first principle to avoid filings have tripled in a little new costly energy infrastructure over a decade. These include that would jeopardise EU efforts technologies for energy-efficient to reach climate neutrality by insulation, “green” lighting, and 2050. Finally, Members should incorporating renewable energies modernize their economies to in buildings. increase resilience and tackle climate change impacts without If Europe develops a delay. technological leadership in energy efficiency, it will have a strong This would bring great economic • The EU needs to learn from competitive advantage helping and social benefits in the short what happened with the last with access to global markets. term and contribute to protecting crisis and show the world how Indeed, innovations developed in the environment in the long term. to pursue recovery while cutting Europe and investments in more energy consumption and related emissions.

• Energy efficiency is paramount for climate mitigation: through existing technologies, it is possible to reduce energy consumption, increase the efficiency of the entire energy system and accelerate the integration of renewables.

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I. Energy COVID-19 Recovery: The Efficiency: Power of Energy Efficiency to Jump-Start Economic A Key Stimulus Economic Recovery Strategy

Alyssa Fischer Energy Efficiency Analyst, International Energy Agency

Over the course of 2020, Sustainable Recovery found that countries around the world have every USD 1 million of investment felt the devastating impacts of in energy efficiency measures COVID-19, including loss of life, creates around 10-15 jobs. skyrocketing unemployment, and Well-designed recovery the closure of small businesses. programs can support this In response, governments have existing workforce and create been hard at work developing new opportunities. The IEA’s and implementing rapid response Sustainable Recovery Plan plans to safeguard the health and outlines policy measures and well-being of their populations investments that could boost while stemming job losses and global economic growth by creating new opportunities. 1.1% per year and save or Energy efficiency investments create 9 million jobs per year as part of stimulus packages while reducing global carbon represent an opportunity for emissions. About one third of new governments to achieve their jobs would be created through recovery goals while supporting investments in energy efficiency. the clean energy transition. These energy efficiency IEA’s analysis of the role of energy investments can take a variety efficiency in recovery packages of forms. In the buildings and from years past indicates that construction sector, energy considerable shares of stimulus efficiency improvements in spending will be put toward housing, schools, hospitals, and building, construction, and government buildings can be infrastructure initiatives, as effective at creating new jobs, well as programs to incentivize with around 60% of the funds large purchases, like cars, spent on home energy efficiency appliances, and other energy- retrofits going towards labour. using technologies. Integrating energy efficiency principles into Investment in infrastructure • Energy efficiency these types of programs has been such as smart grids, public investments as part shown to create jobs across the transportation systems, of stimulus packages economy, especially in labor- street-lighting, electric vehicle represent an opportunity intensive sectors like construction charging networks, and next- for governments to achieve and manufacturing and at small generation digital networks can their recovery goals while and medium-sized businesses. In create jobs while accelerating supporting the clean energy fact, the IEA’s Special Report on the transition to sustainable, transition.

11 low-carbon energy systems of Energy efficiency projects are the future. often “shovel-ready,” cost I. Energy effective, and improve economic For example, India’s National competitiveness and resilience in Street Lighting Programme the long-term, making them ideal Efficiency: upgraded approximately 11 for sustainable recovery from the million streetlights with efficient COVID-19 pandemic. The wide LEDs, delivering greenhouse gas range of short- and long-term A Key emissions reductions of 5 million opportunities presented by energy tonnes per year while creating efficiency means that there is a around 13,000 jobs. solution suited to every type of Economic community, city, or country. Additionally, technology replacement programs that Leaders around the world have Recovery provide incentives to consumers realized the unique value of to replace old, inefficient products energy efficiency; for example, can improve consumer efficiency the Global Commission for Urgent Strategy at scale while encouraging Action on Energy Efficiency is a consumer spending, leading coalition of global leaders from to jobs in the recycling, the private and public sector who manufacturing, transport, and have developed a comprehensive retail industries. For example, set of 10 adaptable in Colombia in 2017, a program recommendations based on best to replace one million inefficient practices from around the world. refrigerators with new models that Early, decisive action to integrate used 25% less energy delivered energy efficiency into every lower energy bills for consumers aspect of a recovery plan will be and reduced demand for energy essential to maximize all potential subsidies among low-income benefits available. The inclusive, households. An estimated sustainable, and prosperous 12,000 jobs were created by the future the world needs depends program. upon it.

• Investment in infrastructure such as smart grids, public transportation systems, streetlighting, electric vehicle charging networks, and next-generation digital networks can create jobs while accelerating the transition to sustainable, low-carbon energy systems of the future.

12 Back to Table of Contents > I. Energy Charting a New Course: Efficiency: Aligning Climate, Efficiency, and Economic A Key Development Economic Recovery Strategy

Jennifer Layke Global Director, Energy Program, World Resources Institute

COVID-19 has resulted in importantly, building back immense loss of life, and better entails putting people has caused unprecedented at the heart of recovery damage to global economies: plans, especially those who the coronavirus pandemic’s are currently most vulnerable; impact on jobs has been 10 creating more jobs while pulling times bigger than that of the people out of poverty; and 2007-2008 global financial crisis. building resilience to future crises. Young people, women, and low- income households have been This is where the energy sector disproportionately affected by the comes in. Energy has played economic stress of the pandemic. a critical role in the response Governments around the world to COVID-19. In places where are scrambling to stem the crisis: there is reliable energy, essential it’s estimated that $9 trillion USD items continue to be delivered, has been spent globally on fiscal hospitals have been able to emergency response measures. provide care, and millions of Some of these will have a people have been able to work long-term influence; however, and study from home while only a handful of governments maintaining social contact have announced intentions online. We already know that to implement plans beyond transforming the energy system immediate economic relief. and investing in renewable energy and energy efficient buildings is As countries spend money to imperative to meeting climate recover – and to get people targets and keeping the planet back to work – they have an cool. We also know that before opportunity to break free from the pandemic, jobs in the clean investing in fossil fuel-driven energy sector – particularly in growth, which threatens human energy efficiency – were growing • Building back better entails health and exacerbates inequality. fast. Emissions would have been putting people at the heart Instead, they can stabilize 60% higher without 40 years of of recovery plans, especially financial markets and economies investment in energy efficiency, those who are currently by building back better. Countries and consumers would be paying most vulnerable; creating can take advantage of low- $800 billion more per year in more jobs while pulling carbon investment opportunities energy costs. people out of poverty; and to reduce GHG emissions and building resilience to future air pollution while rebooting Here are just a few ways energy crises economies. Additionally, and efficiency programs can help

13 contribute to building back better, efficiency and renewables, according to the IEA’s Sustainable annual energy-related GHG I. Energy Recovery Plan: emissions will be 4.5 billion tons lower in 2023 than they • Growing economies: Energy would be otherwise. 2019 Efficiency: efficiency investments have would be the definitive peak in the potential to increase global global emissions, with energy economic growth by 1.1% each efficiency measures delivering A Key year, raising the global GDP the largest overall emissions 3.5% higher in 2023 than it reductions. would be otherwise. Economic Long-term investment in the • Creating jobs: Building back global energy sector makes better could save or create nine countries more resilient to future Recovery million jobs per year, with the crises. Now is a critical moment largest number of new jobs in for governments to build back energy efficiency (35%) and better and secure the future Strategy another 25% in power systems, of their energy systems, the particularly in wind, solar, and livelihoods of their citizens, and electricity grid modernization. the stability of their economies. Many of these new jobs would be specialized and technical, requiring training programs.

• Building more resilient and cleaner energy systems: According to the IEA, if governments choose to build back better by investing in

• Energy efficiency investments have the potential to increase global economic growth by 1.1% each year, raising the global GDP 3.5% higher in 2023 than it would be otherwise.

14 Back to Table of Contents > I. Energy Energy Efficiency Reduces Efficiency: Waste, Cuts Carbon and Can Get Canadians A Key Back to Work After the Economic Pandemic - Just Ask Your Recovery Aunt Mary Strategy

Corey Diamond Executive Director, Efficiency Canada Shuttering many businesses and in the wake of COVID-19, and putting millions out of work, Henderson said she hopes that COVID-19 threw a serious wrench Blue House can help train the into Canada’s economy. As the next generation of workers in country begins to rebuild its the field, particularly women and economic prospects, energy people of colour. efficiency investments have many “There’s so much that could be benefits including job creation done with a rising workforce that necessitate a closer look. that could carry out significant retrofits,” Henderson said. Shawna Henderson, CEO of the training company Blue House At Efficiency Canada – a Carleton Energy in Halifax, Nova Scotia University-based organization is a veteran in energy efficiency, of which I am the executive having worked in the industry director – we advocate for energy since 1991. In 2001, as a single efficiency businesses like Blue mother, she began training people House Energy. Through our in energy efficiency and related advocacy, we connect workers construction fields, driving herself in the field and help raise their and her kids around her home profiles through campaigns province until she eventually like Our Human Energy, which decided to take her business tells stories of energy efficiency online. She launched Blue workers like Henderson. House Energy’s online education platform in 2012. Creating jobs and helping Canadian businesses is one Henderson said that even before of the pillars behind energy COVID-19, the largely male efficiency, and our work at workforce that builds and retrofits Efficiency Canada. But there are buildings was dwindling because many other reasons to champion many current workers are retiring it as a cause. Countless buildings and there are fewer people to across the country need upgrades replenish their ranks. Her online and retrofits. For example, platform saw an increase in schools urgently need upgrades interest during the pandemic, to heating, ventilation, and air

15 conditioning systems to protect federal, municipal, and provincial against the spread of COVID-19 governments of Canada need I. Energy in winter, while making them more to work to create long-lasting, comfortable places to learn. coordinated energy efficiency After a summer full of air policies. Governments and Efficiency: conditioner use and before businesses should also work to Canada’s cold winters, energy develop more funding models like efficiency can help reduce grants and low-interest financing. A Key people’s electrical and natural gas bills. This is especially According to research by ECO important considering how many Canada, in 2018, around 436,000 Economic households took a hit to their Canadians were employed at savings and saw an increase in energy efficiency businesses. energy bills, or slipped into energy Recovery poverty during the pandemic, as This number surpassed two it allows Canadians and Canadian other huge sectors in the businesses to save money that country: mining, quarrying, and Strategy could otherwise be used on other oil and gas (204,000 people) and necessities. telecommunications (123,000 people). That’s a significant chunk Besides cutting costs and of our economy, and therefore our unemployment, energy economic recovery. efficiency can also cut emissions, an important move It’s also not just construction as Canada works to meet its workers and insulation installers climate goals. Improvements in working in the field. For instance, energy efficiency can account Henderson’s company – made for 40% of the reductions up of six full-time staff and a few committed to in the Paris dozen contractors – employs Agreement, making it the administrators and people “cheapest and most abundant working in creative fields. source of energy,” in Canada, according to a statement from The bulk of energy efficiency the Office of the Minister of workers are also employed by Natural Resources Canada. small, local businesses: the During a respiratory pandemic, kinds of businesses that have we should all be thinking about struggled the most to weather the lowering emissions and air pandemic. pollution. “Here in Canada, it’s going to In the end, energy efficiency is the • After a summer full of air help us go beyond Paris 2030 mom and pop shops, and your conditioner use and before and get to net zero by 2050. aunt Mary who runs an insulation Canada’s cold winters, Improvements in energy efficiency business in your town. Local jobs energy efficiency can help enable Canadians to fight climate are at the core of it. Investments reduce people’s electrical change in a way that’s accessible in energy efficiency now will help and natural gas bills. to them,” the statement read. us build the secure and healthy future we want for ourselves and • Besides cutting costs and As an important part of the our families: let’s start building unemployment, energy country’s recovery plan, the back better, today. efficiency can also cut emissions, an important move as Canada works to meet its climate goals. Improvements in energy efficiency can account for 40% of the reductions committed to in the Paris Agreement, making it the “cheapest and most abundant source of energy,” in Canada, according to a statement from the Office of the Minister of Natural Resources Canada.

16 Back to Table of Contents > I. Energy Energy Efficiency: The Efficiency: Pathway to Economic Recovery in the U.S. Midwest A Key Economic Recovery Strategy Stacey Paradis Executive Director, Midwest Energy Efficiency Alliance Throughout the last decade, So how can energy efficiency energy efficiency has been the be the pathway to economic quiet workhorse in the United recovery? States’ Midwestern region: Saving consumers and businesses Energy efficiency is a labor- money, reducing emissions, and intensive industry. It requires positively impacting communities individuals with different skill – urban, suburban and rural – sets, education levels, and across the region. backgrounds to work together at different segments of the supply In 2020, the Midwest was chain. Utilities and partners need expected to have invested $1.87 to create innovative solutions billion in energy efficiency, and to for customer programs with save 8 million MWh of electricity new safety measures due to the and 164 million therms of natural pandemic. Contractors need the gas throughout the calendar year. resources to be able to reach these customers, whether a Since 2010, more than $17.5 single-family home, commercial billion has been spent on energy business, multifamily building, efficiency, helping families and or larger industrial facility while businesses save energy and prioritizing the safety of the lower their bills while creating employee and customer. At each local jobs. As of early 2020, clean point, there is an opportunity energy companies employed for more job creation within more than 744,000 people in the the community being served. Midwest, adding 7,500 new jobs Energy efficiency programs are in 2019 alone, according to Clean also nimble and can be targeted Jobs Midwest. Of those jobs, to benefit communities most 534,567 were in energy efficiency, impacted by the virus. representing more than 70% of all clean energy jobs. This work also creates an immediate impact. Energy • For essential businesses, Unfortunately, the COVID-19 efficiency upgrades within homes manufacturers, and decrease energy use, increase schools, energy efficiency pandemic has been devasting investments can help to our industry. Through May comfort, improve indoor air reduce costs at a time 2020, 131,660 Midwest clean quality, and reduce monthly when our local economies energy workers have filed for bills when people need it most. are struggling and unemployment; 91,992 of those For essential businesses, organizational budgets are were energy efficiency workers. manufacturers, and schools, being watched closely. energy efficiency investments

17 can help reduce costs at a time efficiency industry. Sustainable when our local economies are infrastructure and clean energy I. Energy struggling and organizational need to be at the forefront of budgets are being watched recovery packages, as these closely. For every dollar stimulus efforts will spur Efficiency: invested in energy efficiency, rebuilding efforts in communities consumers get back $2-$3 across the Midwest and the in energy savings benefits, country and ensure progress A Key which they can then spend in other ways to ignite economic toward meeting climate goals. activity. Economic During the 2008 recession, energy Looking toward the future to efficiency was a key component clean energy goals of the American Recovery and Recovery Reinvestment Act, stimulating Energy efficiency is also a key investment across the country to component in a clean energy create jobs and opportunities for Strategy future. As many municipalities, innovation. cities, and states are establishing clean energy goals, energy $2.86 billion was allocated to the efficiency cannot be ignored in Midwest for weatherization, state plans to meet energy demand energy programs and energy within an achievable investment. efficiency and conservation block grants at that time. As we Energy efficiency has also long debate support in response to the been the leading employer in pandemic, we need to ensure that the clean energy economy, and government dollars complement for a good reason. These jobs existing utility programs to are local, hired within the same ensure maximum energy savings community they are benefiting, and positive economic and and long-lasting. As long-term environmental impact starting in plans take shape, there is a 2021. significant opportunity to get people back to work. As we look toward economic recovery, we need federal, state, Bills on the table and local governments to support our industry and work with us There are many bills at play on a path forward to ensure that at the federal and state levels energy efficiency investments to help revitalize the energy continue in 2020 and beyond.

• For every dollar invested in energy efficiency, consumers get back $2-$3 in energy savings benefits, which they can then spend in other ways to ignite economic activity.

18 Back to Table of Contents > I. Energy COVID-19 Recovery Efficiency: through SEforALL’s Energy Efficiency & Renewable A Key Energy Accelerators Economic Recovery Strategy

Kofi Agyarko Director of Renewable Energy, Energy Efficiency & Climate Change (REEECC) - Energy Commission, Ghana The global economy has been more to either maintain the quality shaken by the sudden advent of their health care delivery or of COVID-19. Both developed improve it to ensure high recovery and developing economies rate for patients. Access to have experienced disruptions to reliable and affordable electricity their Gross Domestic Product is therefore crucial to managing with its attendant problems this pandemic. One way by which like unemployment. However, SEforALL accelerators could there is a silver lining beneath support developing countries in the pandemic clouds as it increasing access to electricity presents a chance to change and modern energy services is from business-as-usual to a by facilitating adoption of more more aggressive and innovative affordable and durable renewable way of doing things. The United energy and energy-efficient Nation’s Sustainable Energy technologies. This could support for All (SEforALL) Energy rural populations to be actively Efficiency and Renewable involved in economic activities Energy Accelerators are like production and processing of potential enablers that can food products and raw materials help developing economies for industries. increase electricity access rate while tapping into huge energy Energy efficiency can also • The United Nation’s efficiency potentials. reduce costs in underserved Sustainable Energy for All communities. Cooling, ventilation, (SEforALL) Energy Efficiency The three action pillars of refrigeration, and heating and Renewable Energy SEforALL – ensure universal appliances are among the highest Accelerators are potential access to modern energy consumers of electricity in the enablers that can help services, increase the share of residential, commercial, and developing economies renewable energy in the national industrial sectors. Introduction of increase electricity access energy mix, and increase the energy performance standards national rate of improvement in and labeling regimes that rate while tapping into huge energy efficiency – as supported ensure efficient appliances energy efficiency potentials. by specialized accelerators could are used can save money and facilitate a speedy recovery from energy for families in need. • Introduction of energy the negative impacts of COVID-19 Support for cooling appliances performance standards and in the micro- and macro- in homes under the United for labeling regimes that ensure economy. The health sector is Efficiency (U4E) accelerator efficient appliances are the most impacted by COVID-19, could be especially timely used can save money and and countries have had to spend for beneficiaries who may be energy for families in need.

19 spending more on electricity as pupils and students in off-grid a result of various “Stay Home” communities, the situation is I. Energy directives. Other energy efficiency further compounded by lack Accelerators could provide of good lighting for studying at additional support in the form of night. Renewable energy and Efficiency: grants for consumer and supplier energy efficiency accelerators finance schemes to facilitate could support recovery in the purchase of these more efficient education sector by supporting A Key appliances. the transfer of more affordable off-grid lighting and low power Education is another sector that consuming learning devices Economic is hard hit by the COVID-19 to support learning activities. pandemic. Most schools around Lighting accelerators could also the globe are still shut and facilitate access to affordable Recovery classes have migrated to virtual energy-efficient lamps and control platforms. The equity gap has devices like motion sensors by been further widened because households and businesses. Strategy virtual learning platforms are Finally, in industry, Accelerators mainly accessed via internet working on energy management on electrical and electronic systems (EnMS) could devices like computers. For facilitate the rapid transfer of

Children studying with rechargeable lantern

best practices, innovations, portfolio, reach, and visibility. technologies, and tailored- Governments, policy makers, financing mechanisms to enhance businesses and consumers are viability. more likely to be receptive to energy efficiency interventions The pandemic, though a global that promise significant returns crisis, presents opportunities that on investments and savings from SEforALL energy efficiency and the “electricity generated” at the renewable energy accelerators national level. This is a great time could harness to expand their to act – fast, big, and with a bang.

20 Back to Table of Contents > CLEAN ENERGY FOR A SUSTAINABLE RECOVERY

BANK OF AFRICA IS COMMITTED TO THE ENERGY TRANSITION

BANK OF AFRICA – Plc. registered Capital 1 998 204 600 Dirhams Financial institution - Order of Approval n° 2348-94 of August 23th 1994 - 140 Hassan II avenue 20 039 Casablanca - Morocco - Trade Register: 27129 Casablanca – Tax Id: 01085112 I. Energy An Interview with Efficiency: Bertrand Piccard, an “Inspioneer” For Efficient A Key Solutions Economic Recovery Strategy

Bertrand Piccard Initiator and Chairman, Solar Impulse Foundation

Bertrand Piccard is the founder of a major economic crisis, the the Solar Impulse Foundation. In amplitude of which is still unclear. 2016, he completed the first ever But there are also immense circumnavigation of the globe in opportunities coming out of this a solar-powered airplane. He is crisis. The COVID-19 pandemic now developing collaborations has revealed many weaknesses of with political and economic our world: a fragile and inefficient decision-makers to give them economy, creating inequalities practical solutions for achieving and a huge amount of pollution. clean economic growth. His goal is to select 1000 solutions that This means there are thousands can protect the environment in a of opportunities for entrepreneurs profitable way and present them to build new business models, to decision-makers to fast-track new ways of producing and their implementation. consuming, new systems, technologies, and processes. All 1. To what extent does the of which must combine financial COVID-19 crisis offer us a viability and protection of the chance to build a circular, environment. sustainable, and highly competitive economy? Because of COVID-19, we take less for granted. Life on autopilot Of course, these times are has been disrupted, and the challenging as we are facing whispers are growing about a new path forward – letting go of

• If ever there’s a right time to create a circular, sustainable, and highly competitive economy, it is

now. ©️Solar Impulse | Revillard | Rezo.ch

22 the old ways of thinking. If ever something crucial for an industry there’s a right time to create a that is constantly criticized. I. Energy circular, sustainable, and highly So if today, some people say competitive economy, it is now. that the aeronautic industry will In fact, if we don’t act now, we never manage to be clean and Efficiency: probably never will, and if we sustainable or recover from this don’t embrace sustainability as crisis, I think they’re completely an economic path, we won’t last wrong. A Key on this planet because we will run out of resources. It’s that simple. At the Solar Impulse Foundation we’re identifying different tracks Economic 2. As the President of Solar on the path to energy efficiency Impulse, you flew around the for the aeronautic sector. Not only world in a solar-powered aircraft. with new technologies, but also Recovery Were there useful insights for the with more modern procedures, on aeronautics sector and how it the ground and in the air. can better capitalize on energy 3. Energy efficiency is an Strategy efficiency? essential, clean, and profitable solution for economic recovery. Of course, Solar Impulse, by How can we expand upon its achieving the first ever round-the- potential? world solar flight, was a source of inspiration for the aeronautics Our world has been until now, a sector at an innovation level. The world of waste, wasting between light weight of the carbon fibers 50 and 75% of the energy and the we used, the energy density food we produce, as well as the of our batteries, the energy natural resources we extract. This efficiency of our solar cells, and is why for me the argument for the efficiency of our engine…All energy efficiency is logical even of these were phenomenal. more than ecological. It’s the fact that we’re going to create But I think, more than the even more jobs and make a technological feat, the most lot of profit to implement the important message of Solar technologies that are going to Impulse was to show that nothing help us to save energy, food, is impossible. People laughed at and natural resources. The me when I first imagined a solar- financial argument is therefore powered aircraft. But by getting the argument we have to put rid of our certitudes and our old forward each time we speak with ways of thinking, by pushing politicians and corporate leaders the boundaries and the limits, rather than only focusing on the we made it a reality. And that’s benefits on the environment.

• For me the argument for energy efficiency is logical even more than ecological. It’s the fact that we’re going to create even more jobs and make a lot of profit to implement the technologies that are going to help us to save energy, food, and

natural resources. ©️Solar Impulse | Revillard | Rezo.ch

23 Back to Table of Contents > I. Energy Energy Efficiency Efficiency: Planning: Solution for Growing Problems A Key Economic Recovery Strategy Jalel Chabchoub Chief Investment Officer and Energy Efficiency Expert, African Development Bank Following the COVID-19 crisis, we and have a direct impact on the need a clear plan to reorganize overall development path and priorities and ensure better social well-being. resilience to protect against future hazards, particularly Energy efficiency should be those affecting the production included in planning for all and consumption of energy. energy-related installations Re-thinking current systems is and infrastructure to increase essential to ensure more efficient project outputs and outcomes. and effective use of our resources Efficiency is not only an going forward. important pillar for reliable and optimal electricity production, In recent decades, support and distribution, and consumption, assistance to African countries but also offers better on energy efficiency through management and increased international institutions has resources efficiency. continuously increased. However, Despite the significant efforts of according to the latest report international and development of the Regulatory Indicators organizations, energy efficiency for Sustainable Energy (RISE), is still in a precarious stage African countries are still at the in Africa. The absence of a bottom of the scale. Out of the governmental global action plan 44 listed African countries, just considering the overall impact 14% scored over 50% on the on countries’ different sectors 12 energy efficiency assessment has prevented these efforts from indicators. This indicates that converging to tangible results. It despite efforts, efficiency is not is the government’s responsibility a priority for governments and to put in place the main energy that the necessary pillars to have efficiency market pillars; then a sustainable energy efficiency through general mobilization of market are far from firmly stakeholders the development established. and implementation of efficiency programs can be achieved. Most African countries still suffer • Efficiency is not only an from limited electricity access Government buy-in and important pillar for reliable and generation capacities, ownership are sine qua non and optimal electricity load shedding, high technical for developing an energy production, distribution, and commercial losses, high efficiency market and leading and consumption, but also electricity bills, lack of resources, by example is the main seed offers better management and capacity to invest in efficient for market establishment. This and increased resources equipment. These persisting can be attained through the efficiency. problems are amplifying over time establishment of a National

24 Energy Efficiency Action Plan under an Energy Performance (NEEAP) that defines government Contract (EPC) approach. I. Energy strategy, specific actions, and Under an EPC, the performance programs to be untaken with of projects is continuously targeted performance objectives monitored while ensuring that Efficiency: for different sectors. NEEAPs the achieved savings will pay should cover technological, for the investments during a economic, social, and defined contractual period. The A Key environmental dimensions; structure commonly known consider best practices and as a Super ESCO additionally innovation; prioritize stakeholder provides necessary technical Economic management; and identify assistance for the development financial and technical resources of private ESCOs, offers project and needs. financing, and establishes Recovery required tools and procedures A NEEAP is the triangular stone for the development of an energy for governments to establish efficiency market. Strategy a clear vision adopted and approved by all government The African Development Bank stakeholders. However, to ignite (AfDB) has already investigated implementation, governments with certain regional member should lead by example to lay countries the opportunity to the first brick in market building. support the development of This could be demonstrated by Super ESCOs, particularly in establishing a dedicated structure Morocco, Kenya, and potentially to develop and implement in Senegal with the support of projects for government the Sustainable Energy Fund for facilities. This structure, acting Africa (SEFA). With the AfDB’s on the behalf of government assistance, the first Super ESCO institutions, would identify energy in Africa is under implementation. efficiency projects and ensure Structures like these will change viability through private Energy the landscape of energy efficiency Service Companies (ESCOs) in Africa going forward.

• A National Energy Efficiency Action Plan (NEEAP) is the triangular stone for governments to establish a clear vision adopted and approved by all government stakeholders.

25 Back to Table of Contents > I. Energy Exploring Innovations Efficiency: in Energy Efficiency and Hydrogen as a Clean A Key Energy Carrier Economic Recovery Strategy

Badr Ikken CEO of IRESEN Interview has been lightly edited However, the recent for clarity and length. establishment of tax incentive instruments such as the research IRESEN is a research institute tax credit and the establishment specialized in clean energies of a corporate tax credit will help and the environment. How does remove the financial obstacle scientific research engage and motivate companies to get the public and private sectors even closer to necessary R&D and affect change regarding infrastructure. consumption and supply habits? And what are the main IRESEN has developed a obstacles for research? multitude of innovations in energy efficiency. Which are Morocco is resolutely committed the most impactful? And when to an energy transition strategy will these innovations be based on a participatory commercially available? approach and a commitment from the public and private sectors. Energy efficiency in buildings Whether it was technologies, is both a major issue we are products, or services, scientific facing but also a primary research is at the rendezvous. objective that cannot be For example, the gradual achieved without the strong replacement of state gasoline involvement of professional and and diesel vehicles by electric R&D stakeholders who must vehicles is based on several work hand in hand to bring new technological innovations. The solutions and services on the electric car cannot evolve without Moroccan and African market. synergy and the development of its infrastructure. This is why This is the reason why we are IRESEN launched an R&D project proud to have co-organized the to develop an innovative charging «SOLAR DECATHLON AFRICA» infrastructure, connected and in 2019, the largest student adapted to the electricity network. green building competition in the world. It brought together more Turning research activities into than 1,000 students dedicated to economically viable applications energy efficiency from 20 different is not always easy. The R&D countries to build high energy efforts deployed at the national performance houses exclusively level remain uncorrelated by with local materials. Thanks to national economic activity. The their knowledge and know-how, economy still relies on the import these students gained support of technological solutions and from several manufacturers who products and does not sufficiently were able to help them innovate prioritize local development. across the entire building value

26 chain: from the valuation of strategies for climate protection, new materials to the application and today, thanks to a strong of artificial intelligence for the Royal vision and achievements in I. Energy management of the building. As a the clean energy sector, we can result, 18 small houses were built, engage in the development of this and are still on the solar campus new sector with high added value. Efficiency: of IRESEN’s new research platform, «GREEN & SMART Energy efficiency is a BUILDING PARK,» to serve as transversal tool, even a state of A Key living labs for further research. mind, which must be observed in all stages of projects, in Although energy savings are on a particular those related to Economic case-by-case basis, we were able sustainable development, from to reach a 60% savings average their design and study phases rate for each house. to the implementation.

Recovery For the coming few months and This is true for hydrogen years, we will promote several innovation as well. Hydrogen technological developments such should be oriented as a priority Strategy as the use of hemp sheets for for the decarbonization of thermal and sound insulation, applications or sectors that solar thermal air conditioning, are difficult to «electrify,» compressed and sun-dried namely heavy industry: steel, bricks and tiles, the storage petrochemicals, chemicals, of photovoltaic electricity in heavy transport (trucks), maritime second-life batteries to ensure and aeronautics, etc. The energy in the evening, the use of this clean fuel in these use of phosphogypsum as a sectors will greatly contribute to construction material, and the use improved energy efficiency in the of micro-algae for the treatment manufacturing, transformation, or of gray water. operation processes.

IRESEN will soon be launching The «World Power-to-X Summit» the «World Power-to-X will be an opportunity to discuss Summit,» a major event which the progress of regional, national, mainly deals with the potential and international strategies to of hydrogen as a clean energy be implemented, and above all carrier. What role does it have highlight great opportunities in for energy efficiency? the clean energy sector which will help to decarbonize our country Morocco has always stood out and bring us even closer to a for its proactive and ambitious sustainable economy.

• Energy efficiency in buildings is both a major issue we are facing but also a primary objective that cannot be achieved without the strong involvement of professional and R&D stakeholders who must work hand in hand to bring 18 energy efficient small houses were built after the Solar Decathlon took place in 2019, on the solar new solutions and services campus of IRESEN’s new research platform, «Green & Smart Building Park” in Benguerir, Morocco on the Moroccan and African market.

• Energy efficiency is a transversal tool, even a state of mind, which must be observed in all stages of projects, in particular those related to sustainable development, from their design and study phases to the implementation. Green & Smart Building Park - Benguerir, Morocco

27 Back to Table of Contents >

II. Policy How Energy Efficiency is Approaches Transforming the Market and Workforce in Canada to Stimulating Investment

The Honorable Seamus O’Regan Minister of Natural Resources, Canada Canada has a unique opportunity our economies moving. to think boldly and act bravely to To move us forward on this create a stronger, more equitable, goal, this summer I announced and more sustainable society. that Canada is joining 15 like- minded countries and supporting This is the Government of organizations which make up the Canada’s vision for a post- Three Percent Club. This Club is Pandemic economic recovery. committed to working for a three An ambitious recovery plan for per cent improvement in global all Canadians, that leaves no one energy efficiency every year. behind and delivers on our pledge of net zero emissions by 2050. To support this global goal, we are expanding existing programs Enhancing energy efficiency will and developing new ones to be centre-stage in that plan. harness the full potential of energy efficiency. Last year, Not just because it will get us we announced an additional one-third of the way to our one billion dollars in funding international commitments on to increase energy efficiency climate change, but because in residential, commercial, and it is an effective way to create multi-unit buildings. good, green jobs while reducing power bills for families and small The Federation of Canadian businesses at a time when they Municipalities is delivering need it most. this through three initiatives in the Green Municipal Fund: The appeal is clear. Done right, collaboration on community energy efficiency can support climate action; community the more than 435,000 existing eco-efficiency acceleration; and jobs in the field and create new sustainable affordable housing ones in communities across innovation. the country – all while reducing greenhouse gas emissions, During the COVID-19 crisis, saving Canadians money, and our government has supported • Done right, energy increasing competitiveness. Canadians and our industries. efficiency can support the We have provided wage more than 435,000 existing We are exploring ways to subsidies and financial assistance jobs in the field and create create jobs for construction programs, including to companies new ones in communities workers, architects, window in the energy efficiency sector. across the country – all manufacturers, and insulation while reducing greenhouse installers. These are women and Most recently, we announced gas emissions, saving men, living in rural, urban, remote over $200,000 for e-training Canadians money, and and Indigenous communities. opportunities for Canadians, increasing competitiveness. These are the people who can get which will prepare them for jobs

29 in this growing field. Investment in This focus on the building sector training is particularly timely and is intentional because this sector II. Policy critical because, as a report by accounts for 17 per cent of ECO Canada confirmed last year, Canada’s GHG emissions. In fact, seven in 10 employers reported according to the International Approaches that a lack of qualified workers Energy Agency’s 2018 Energy was one of the major barriers for Efficiency Potential in Canada growth. to 2050 report, the building sector has the most potential to We are also working with to deliver reductions in energy experienced partners. Efficiency demand. Industry partners and Canada is creating a training regulators are echoing this Stimulating hub that will help Canadians message: a massive retrofit of better understand work in the Canada’s building stock will energy efficiency sector. The reduce emissions, promote Investment Heating, Refrigeration and Air economic development, and Conditioning Institute of Canada create skilled jobs. and the Canadian Institute for Energy Training will also receive We are working closely with funding to provide virtual training the provinces and territories to to Canadians at a discounted decarbonise buildings. Build rate during the pandemic. We are Smart: Canada’s Building making sure Canadians have the Strategy was endorsed by all skills they need to lead our clean territorial, provincial, and federal energy future. leaders in 2017. It outlines key pathways, including net zero We will continue to advance energy building codes for new energy efficiency through builds by 2030, an energy code potential measures such as: for existing buildings, continuing to raise appliance and equipment • Free energy audits; standards, and expanding efforts • Financial assistance for retrofits; to retrofit existing buildings. • New measures to increase the market for Energy Star certified We are taking concrete action products; and on energy efficiency. It is good • New ways to get the private for the climate. It is good for our sector playing a bigger role in pocketbooks. And it is a source retrofitting large buildings, such of good jobs that will transform as office towers. markets and workforces, at home and abroad.

• Industry partners and regulators are echoing this message: a massive retrofit of Canada’s building stock will reduce emissions, promote economic development, and create skilled jobs

30 Back to Table of Contents > II. Policy Morocco : The Approaches Transformation of AMEE for a Green Recovery to Stimulating Investment

Saïd Mouline, CEO of AMEE, Moroccan Energy Efficiency Agency 1- Which aspect is the most Decarbonized industry: important for economic Moroccan exporting industry recovery: will have to adapt to the upcoming mechanisms at the cheaper energy, cleaner energy, borders that will beput in place or encouragingenergy users by many countries, through to save energy? How do you massive implementation of convince these actors that the energy efficiency and renewable goals they seek can be achieved energy.AMEE will support while consuming less energy? this programtechnically and In his last speech on July 29, financially. 2020, King Mohammed VI presented the main titles of a Decarbonized energy: roadmap for a quick economic recovery through a dedicated The government exemplarity fund. This plan integrates all the program aims to reduce energy aid and support measures for a consumption and energy bill gradualreboot of various sectors for public buildings. AMEE strongly affected by the covid-19 is supporting this program crisis in order to restore job by performing the energy creation and confidence. audits and implementing the recommended solutions – solar Since 2016, AMEE - the photovoltaic, efficient lighting and Moroccan Agency for Energy air conditioning, among other Efficiency - has been the public measures. agency in charge of implementing the government’s energy Entrepreneurship & Capacity efficiency policy to reduce the building: country’s energy dependence, under the supervision of the AMEE will support Ministry of Energy, Mines and entrepreneurship in the green Environment. In March 2020, economy area through different • In March 2020, AMEE’s AMEE’s missions have been measures. missions have been extended to include the extended to include the development of sustainable • Fiscal provisions will be development of sustainable mobility and clean industrial deployed in many forms. Fiscal production in the country, incentives will also target green mobility and clean industrial beside its historic missions in industrial companies and production in the country, energy efficiency in industry, Energy Service Companies beside its historic missions transport, building, agriculture (ESCOs). in energy efficiency in and cities.The Agency is now • Teleworking will be also industry, transport, building, under the supervision of the promoted in order to reduce agriculture and cities.The Ministry of Industry, Trade, commuting. Agency is now under the Green and Digital Economy. • Large training programs will The agency’s actions will follow be deployed for green jobs supervision of the Ministry differentthose axes. in buildings, industry and of Industry, Trade, Green agriculture, including through and Digital Economy.

31 e-learning. on capacity building, technical • Moroccan green label will be and financial support for the created for local industries. proposed green solutions. II. Policy It is also important to note that AMEE has strengthened its tools support from AMEE will not be and programs intended for these limited to the Ecostart initiative. Approaches sectors to encourage investment Indeed, AMEE will continue to in energy saving measures but support the winners beyond also in the green sectors of this initiative by providing them to the future, to strengthen the with technical support for the weakeraspects of our productive implementation of their projects. apparatus by taking into In addition, they will benefit from account energy as a factor of high visibility through the AMEE Stimulating competitiveness. With strategic website, our social networks,and measures, we can save more than our media partners specializing in 20% of ourenergy bill, optimize the green economy. Investment the use of raw materials, reduce waste, and accelerate toward the 3. What ecological solutions energy transition and carbon-free can help respond to the health production. crisis?

2. What does the Ecostart The current health crisis has project led by AMEE, ANPME certainly had some positive and GIZ consist of and how does impacts on the environment it integrate energy efficiency? through the slowdown in mobility, social distancing, and In the current context, it the decline in activity – although isnecessary to recall that in these benefits are transitory addition to the very difficult health since carbon emissions and situation affecting our planet, an other pollutants will return to economic crisis - unprecedented their former levels as soon as since the great depression - is the epidemic subsides. On looming before us. To address the other hand, the massive this, we will have to bring real use of protective masks and sustainable responses by defining hydroalcoholic gels is creating a recovery strategies focused on huge trail of medical waste in the the green economy. environment.

In terms of employment, This is why, in my opinion, our according to the International best response to the health Labor Organization, the COVID-19 crisis is to change the way we pandemic threatens around 25 plan and program the economic million jobs worldwide. In our recovery by fostering a green country the impact will also be and sustainable economy, while very significant: all sectors have promoting local production been impacted, and manypeople and reducing dependence have lost or will lose their jobs. on an unstable international We must help and support them market that consumes foreign through initiatives like Ecostart currency. Even with a low price and its call for projects. Our of fossil fuel, we should not make agency AMEE, with ANPME a mistake by investing in the (the Moroccan SME Promotion old and dirty economybut really Agency) and GiZ (the German accelerating the transition to the cooperation), is interested green one. insupportingthe selected projects

About AMEE AMEE is the only strategic public agency Created in 2016, whose mission is to • This is why, in my opinion, implement government policy on energy efficiency. our best response to the It is the result of the transformation, in 2016 of the National Agency for the health crisis is to change the Development of Renewable Energies and Energy Efficiency ADEREE, which was way we plan and program transformed in 2009, of the Center for the Development of Renewable Energies the economic recovery CDER, created in 1982. by fostering a green and In March 2020, AMEE came under the supervision of the Ministry of Industry, sustainable economy, while Trade, Green and Digital Economy. Today there is a new framework for the green promoting local production economy with dedicated agency. AMEE will now encompass green economy by keeping its energy efficiency missions, but above all with new missions related and reducing dependence to clean production in industry and sustainable mobility. on an unstable international market that consumes AMEE has a technological platform at its Marrakech site which houses a Green platform training center specialized in energy efficiency in several sectors, such foreign currency. as industry, construction, transport, agriculture and lighting.

32 Back to Table of Contents > II. Policy U.S. Federal Policy Approaches Approaches to Renewing the Energy Efficiency to Sector Stimulating Investment

Lisa Jacobson President, Business Council for Sustainable Energy (BCSE), United States There are 360,000 reasons to get the Alliance to Save Energy, and the American energy efficiency other trade associations for the economy back to work, fast. industry are working to inform That’s one for every job lost in the U.S. Congress on how many the efficiency sector since the jobs are at risk and the measures start of the COVID-19 pandemic legislators can take to protect – jobs that can be recovered if and expand the positive effects of companies are able to weather energy efficiency work. Many of the current economic slowdown these steps include incentivizing and rehire these hundreds of demand for energy efficiency thousands of skilled workers. and leveraging federal funding to A big risk for the sector is that unlock private investment. local employers may not have the bridge capital to remain in Policies that the BCSE and other business until the economic advocates support include: situation allows for putting people back to work. Policy can provide • Leveraging federal grant funding relief and that relief is needed with private sector capital for now. upgrades to schools, hospitals, military bases, and other The federal government’s mission-critical buildings. Paycheck Protection Program, • Setting standards for federal now closed to applications, and building new construction and other short-term relief measures renovation aimed at meeting have been invaluable to small high efficiency or even net-zero businesses as they absorbed the energy goals. initial shock of the pandemic. • Expanding and extending However, more than seven incentives for efficiency months into the crisis, the ability investments through the tax of these businesses to return to code, such as the 25C tax credit work varies across the country for homeowner energy efficiency and more assistance is needed. improvements and the 179D One way to get business energy-efficient commercial moving again is to boost building tax deduction. demand for energy-efficient products and services. • One way to get business In addition, Congress is moving again is to boost considering the American Organizations like the Business Energy Innovation Act (AEIA), a demand for energy-efficient Council for Sustainable Energy, products and services. bipartisan piece of legislation that

33 would be a great step forward of Energy Weatherization in modernizing American energy Assistance Program. II. Policy policy and setting the energy efficiency industry on a stable Federal policymakers can growth trajectory. significantly reduce the long- Approaches term uncertainty facing the The AEIA includes a suite of American energy efficiency industry and its workforce by energy efficiency measures, adopting policy support now. to such as the creation of grants for For the benefit of both local energy efficiency improvements economies and global efforts for schools and nonprofits, to combat climate change, Stimulating workforce training programs, America cannot afford to let the and materials research and energy efficiency sector make a manufacturing investments. It gradual recovery. With a strong Investment would also authorize a Federal policy response, the American Energy Management Program energy efficiency sector will return and expand federal performance in full force, supporting millions contracting programs (where the of American families and creating contractor is compensated based a more efficient and resilient built on demonstrated cost savings environment. from efficiency improvements). The package also reauthorizes and expands the U.S. Department

• Federal policymakers can significantly reduce the long-term uncertainty facing the American energy efficiency industry and its workforce by adopting policy support now. For the benefit of both local economies and global efforts to combat climate change, America cannot afford to let the energy efficiency sector make a gradual recovery.

34 Back to Table of Contents > II. Policy When Citizens Make Approaches Policy: France’s Climate Citizen Convention, to Energy Efficiency, and the Stimulating Importance of Education Investment

Benoit Lebot Former Executive Director of the International Partnership for Energy Efficiency Cooperation (IPEEC) Jurei Yada Coordination Lead, Bern Network on Financing Data for Development, PARIS21 Secretariat In October 2019, a group of change. To conduct their work, 150 French citizens from all they first embarked on a series backgrounds and age groups of informatory interviews with a were brought together by the range of experts from different French Government to form fields: physicists, climate change the Climate Citizen Convention specialists, policymakers, (CCC). Their task? Nothing less economists, and civil society than developing France’s future representatives. Then over policies for climate action. These ten working weekends, the were ordinary citizens, selected group met to pen a series of completely at random, with no 150 proposals for the French formal training in climate issues Government, putting forth a or public policy. Yet in the space range of financial, technical, and of six months, they produced a behavioral measures for local and set of recommendations for the national implementation. These French President that surprised proposals were presented to the many experts in their ambition French President, Emmanuel and vision for how France Macron, and his cabinet in June could reduce its greenhouse 2020 and included the following gas (GHG) emissions in line recommendations, among others: with its commitments under the Paris Agreement. How did they • To amend the national achieve this – and what does constitution to introduce strict their success tell us about citizen environmental protection participation in policymaking, clauses for future French climate ambition, and even legislation. accelerating energy efficiency? • To lower energy demand through greater energy The Process efficiency in the built environment, transportation, The members of the CCC and industry including by began their journey with only introducing mandatory a basic understanding of the provisions for deep renovation main issues relating to climate of existing building stock,

35 banning coal and oil furnaces France to attain its target of for space heating, reducing reducing GHG emissions by II. Policy the highway speed limit 40% by 2030. This casts doubt from 130km/h to 110km/h, on some inherent assumptions, and mainstreaming carbon such as that ordinary citizens Approaches disclosures in industry. care more for convenience and • To ban commercials and continuing their normal lives advertisement campaigns than engaging with technically to for products and lifestyles complex questions – let alone incompatible with a low carbon endorsing potentially disruptive society. policy changes to protect the Stimulating • To encourage and prioritize planet. For the energy efficiency investments into renewable community, there is a lesson here energy. for how we could communicate, Investment advocate, and raise the visibility The CCC’s work concluded of energy efficiency beyond our with the French Government’s field. There is also hope that decision to adopt 146 of the certain biases can be overcome 150 proposals, which will now through processes like the CCC – go through France’s legislative not one citizen who was selected process to become law. chose to leave the group before the work was done, regardless The Lessons of what their personal views may have been on the climate crisis. The CCC shows us the critical importance of educating Knowledge is at the heart citizens as the basis for of climate action, and is in participatory, fact-driven particular at the heart of the policymaking. For example, energy transition we face. The members of the group may not question is how we can promote have started out with any notion open exchanges and knowledge- of energy efficiency, but through sharing approaches that reach successful citizen engagement those who may not otherwise and knowledge-sharing with have chosen to care, learn more, experts, they ended up proposing or affect change. it as one of the solutions for

The views and opinions expressed in this article belong solely to the authors and do not represent those of the institutions where the authors are employed.

• The Climate Citizen Convention (CCC) shows us the critical importance of educating citizens as the basis for participatory, fact- driven policymaking. • Knowledge is at the heart of climate action, and is in particular at the heart of the energy transition we face.

36 Back to Table of Contents > II. Policy It’s Time for a Global Approaches Refresh to Revitalize Financing for Energy to Efficiency Investments Stimulating Investment

Filippo Berardi Senior Climate Change Specialist and Climate Change Coordinator, Global Environment Facility (GEF) David Rodgers Former GEF Climate Change Coordinator Is there a missing ingredient that further investments, we believe it is restricting financing for energy is time to launch a global refresh efficiency investments? We know of policies that promote energy that most efficiency projects have efficiency. positive net present value and relatively short payback periods, This is particularly important and yet we are not seeing the considering two elements: first, volume of investment that we energy efficiency alone could would expect to see. In fact, deliver more than 40% of the recent data by the International emission reductions needed to Energy Agency (IEA) shows that meet the objectives of the Paris the rate at which technologies Agreement. And second, energy and processes are becoming efficiency is one of the most more energy-efficient is slowing. cost-effective sectors stimulus At the Global Environment Facility packages can focus on to (GEF), early support helped many support climate-compatible developing countries pioneer recovery and job creation in a successful policies that resulted post-COVID-19 world. in billions of dollars in energy- efficient investments. To stimulate

Figure 1. Construction and manufacturing jobs created per million dollars of capital investment and spending by measure

• Energy efficiency is one of the most cost-effective sectors stimulus packages can focus on to support climate-compatible recovery and job creation in a post- COVID-19 world. Source: International Energy Agency. Sustainable Recovery - World Energy Outlook Special Report 37 Since its inception in 1991, the pandemic economic recovery, we GEF has invested more than $1.3 propose a three-tiered approach: billion in support of more than II. Policy 240 energy efficiency projects in 1. We must initiate a global developing countries, leveraging policy refresh for energy $14 billion in co-financing. From efficiency. The call for renewed Approaches the early days, GEF projects and enhanced regulatory promoted enabling environments frameworks should incorporate that de-risk private sector policies that create self- investments, testing innovative reinforcing and evolving to business models and creating ratchets; standards that are capacity in government agencies updated on a regular basis; and financial institutions. targets that are re-evaluated Stimulating periodically; and funding To remove barriers and incentivize streams for enforcement that efficiency, GEF resources are locked in through tailored helped clear a path for stronger funding mechanisms. To Investment building codes, energy efficiency this end, initiatives such as labelling, and innovative the Three Percent Club are investment vehicles while looking instrumental to promoting to establish ecosystems of policy ambition while matching technical intermediaries such country needs with provision of as energy services companies. support. Countries such as India and 2. International development China, and many others across agencies and financial Asia, Africa, and Latin America, institutions, including the used GEF funding to establish the GEF, must work together to foundational polices to legislate, spearhead the development of regulate, and finance energy a new generation of efficiency efficiency investments. policy interventions. These interventions must address More recently, building on a changing country needs and successful partnership with help governments enact the Sustainable Energy for All, the plans presented in their NDCs, GEF invested in a family of energy while enhancing their ability efficiency accelerators. Each to follow a sustainable green accelerator covers a specific recovery path after COVID-19. sub-sector – such as vehicle 3. We must provide credible efficiency standards, appliances, investment roadmaps so that buildings, lighting, industry, and donors can mobilize resources urban district energy – and brings for energy efficiency initiatives together public and private sector along with other critical global actors to “accelerate” actions needs. We can do this by and commitments at national building on the momentum and sub-national levels toward created by the efficiency- more stringent energy efficiency related initiatives presented policies and targets. at the 2019 Climate Action Summit, and by leveraging the These experiences illustrate a UK COP Presidency’s intention common-sense understanding of making efficiency one of the within the GEF community key themes for COP26. that well-designed policies drive financing for energy The challenges of the post efficiency investments. Despite COVID-19 world and the stall in this understanding, we see global efficiency investments lower than expected demand call for a massive global for GEF support for policy refresh in energy efficiency interventions. One obvious policy – energy efficiency 2.0. explanation is that the nature We believe the approach outlined of the GEF is to innovate and above will help national and local catalyze: once foundational governments gain the support policies are established, they need to launch and sustain national governments are this effort, which in turn will drive encouraged to provide sufficient financing for energy efficiency funding for implementation, investments at the project and enforcement, updates, training, product level. At the GEF, we and communication, as well as • The challenges of the post will continue to place energy to continue to fund incentive efficiency at the heart of our COVID-19 world and the mechanisms. policy support for countries going stall in global efficiency forward, as we are convinced that investments call for a ------efficiency improvements play a pivotal role in maximizing returns massive global refresh in To counterbalance these trends energy efficiency policy – for the economy and the global and unlock energy efficiency’s environment. energy efficiency 2.0. full potential to contribute to both climate mitigation and post- 38 Back to Table of Contents > III. Sector- Accelerating Recovery Based through Energy Efficiency: The Industrial Energy Approaches Accelerator

Rana Ghoneim Chief, Energy Systems and Infrastructure Division, United Nations Industrial Development Organization When the COVID-19 crisis participants have reduced hit, bringing economies and their energy bills by up to 15% industries to a standstill, there with simple low- and no-cost were just 10 years left to meet the measures. This is in addition to United Nation’s 2030 Agenda for the operational efficiency gains Sustainable Development. With made with the implementation production stopped or slowed for of energy management systems many companies and demand and by improving the quality of reduced for certain products, data on project performance. industry remains one of the These efforts also increase the sectors most affected. As the bankability of projects: The economic engine slowly restarts, energy savings resulting from companies, especially small innovative efficiency measures and medium-sized enterprises will free capital for SMEs to re- (SMEs), are looking into ways invigorate their cash flows during to recover and cut costs as economic recovery. they try to stay afloat. There is a risk that this could lead to UNIDO has worked with more more job losses and a peak in than 3,500 enterprises in 20 energy consumption and related countries over the past 10 years emissions if sustainability goals and has contributed to energy are sacrificed in the name of cost savings of more than USD cost savings. Rather, now is $400 million. There is enormous an opportune time to invest potential to expand upon these in energy efficiency as the savings if energy efficiency is cheapest and most effective more widely adopted across more way to rapidly generate new industries and countries. jobs, reduce energy bills, and curb emissions.

Energy Efficiency is Critical for SME Survival During the Build Back Better Phase • Now is an opportune time to invest in energy efficiency The United Nations Industrial as the cheapest and most Development Organization effective way to rapidly (UNIDO) provides industrial generate new jobs, reduce energy efficiency programs energy bills, and curb around the world. Many business emissions.

39 performance indicators. Even so, SMEs often don’t The effect of the pandemic have the technical capacity doubles the urgency for to identify and implement the action if we are to achieve most beneficial projects nor the the sustainable development goals and drive a sustainable financial capacity to fund more and resilient recovery. Given costly measures. This is why industry’s huge consumption in 2020, UNIDO re-directed its of global energy resources, our efforts, drawing on its experience challenge now is to scale-up to produce a series of knowledge and expand what we started kits about industrial energy 10 years ago. Working together efficiency designed to equip and making practical knowledge industry practitioners to take accessible is a powerful way the first steps toward improving to help now. Help us share this efficiency. We have just launched knowledge today. the first of five energy efficiency solutions toolkits on Energy Management Systems, including practical answers to common questions and a growing list of UNIDO experts with a wealth of experience in working with industry. By the end of 2020, the Efficiency Solutions series will • The effect of the pandemic include toolkits on motor-driven doubles the urgency systems, industrial heat, industrial for action if we are to cooling, and energy metrics and achieve the sustainable development goals and drive a sustainable and resilient recovery.

40 Back to Table of Contents > III. Sector- Energy Transition: Stay Based Cool and Get to Zero Approaches

Dan Hamza-Goodacre Non-Executive Director, Kigali Cooling Efficiency Program (K-CEP) It’s hard to ignore the fact that Getting to zero emissions the world is getting warmer. for cooling will require a The last five-year period has multipronged approach that been the warmest five years on transforms how cooling is record, so if we’re to achieve generated and used. This the Paris Agreement target approach consists of four key of limiting global temperature steps: reduce, shift, improve, rise to 1.5°C, then all countries, and protect. industries, and organizations must urgently work toward zero Firstly, to reduce cooling greenhouse gas emissions. To emissions we need to reduce the do this, we cannot ignore the need for mechanized cooling. cooling sector. By adopting a combination of passive cooling techniques Refrigeration and air conditioning and nature-based solutions, (AC) are estimated to be buildings and cities will become responsible for around 7-10% cooler, reducing the need for air of global CO2 emissions – three conditioning and thus emissions. times more than aviation and Sustainable design techniques shipping combined – yet are like reflective materials and often overlooked. This blindspot green spaces are proven to is a double-edged sword: Not reduce internal and external only does mechanized cooling temperatures, but require better use super-polluting F-gases, policies, building codes, and which can be up to 12,000 times financial incentives. Reducing more harmful than CO , it also 2 cooling emissions will also require consumes huge – and often • If we’re to achieve the changes in behavior, including inefficient – amounts of energy. Paris Agreement target of not ‘overcooling’ buildings and In India, for example, we expect limiting global temperature adjusting activity levels during the there to be an additional 112 rise to 1.5°C, then all hottest parts of the day. countries, industries, million AC units by 2030, which would consume 150 gigawatts of and organizations must Secondly, we need to shift away energy, the equivalent of 300 new urgently work toward zero from polluting forms of cooling power plants. greenhouse gas emissions. and toward technologies To do this, we cannot ignore Despite these problems, global that emit fewer GHGs, both the cooling sector. access to cooling is vital for in terms of direct (refrigerants) human health and prosperity, and indirect (energy) emissions. • Getting to zero emissions particularly in a warming world. In regard to refrigerants, cutting for cooling will require a Cooling helps to keep food fresh the production and consumption multipronged approach that all along the ‘cold chains’ that of hydrofluorocarbons (HFCs) transforms how cooling is supply our nutritional needs, in cooling has the potential generated and used. This keeps temperature-sensitive to avoid up to 0.5°C of global approach consists of four vaccines and medicines viable, warming by the end of the key steps: reduce, shift, and maintains human comfort in century. We also need to adopt improve, and protect. buildings. better practices when it comes to

41 equipment disposal; around 90% can be a rapid solution, but we of refrigerant emissions occur must move beyond incremental III. Sector- when refrigerators and ACs are improvements in technology and disposed of due to dumping or commit to making significant Based damage. changes. To cut indirect emissions, we The final piece of the puzzle is must focus on transitioning to to ensure that we protect those Approaches low- or zero-carbon energy who are most vulnerable to sources. If global cooling use a lack of access to cooling. increases to the expected 5.6 Cooling is not a luxury, and global billion AC units by 2050, that access is vital for the realization alone will require the combined of several UN Sustainable current electricity capacity of Development Goals. We cannot the US, EU, and Japan. While simply limit cooling’s climate renewable energy is crucial impact by limiting global access. to reducing GHG emissions while meeting this growth, it’s Developing a pathway to unfortunately not that simple. zero emissions for cooling is Not all renewable sources are complicated but necessary. By compatible with the nuances adopting better building design of cooling, such as meeting and urban planning, moving away night demand or sustaining the from polluting refrigerants and constant temperatures needed for energy sources, and increasing refrigeration. the energy efficiency of cooling technology, we could drastically For these reasons, innovation in reduce the negative impacts of energy storage, including thermal the cooling sector. No single energy storage, will be critical. component will get us to zero. District cooling and evaporative cooling can also be greatly scaled As you read this, a consortium up. of the Kigali Cooling Efficiency Program (K-CEP), the Carbon Thirdly, we must urgently Trust, the UN Cool Coalition, and improve the efficiency of Oxford University is developing cooling appliances, which, if a pathway to zero for the cooling done correctly, could save nearly sector, as part of the COP26 $3 trillion in energy costs by Champions and Marrakesh 2050. Improvements in cooling Partnership ‘Climate Action efficiency are expected to double Pathways’ campaign. More the climate benefits of phasing information will be released later out HFCs, leading to 1°C of this year. In the meantime, stay warming avoided by the end of cool (sustainably!). the century. Increased efficiency

42 Back to Table of Contents > III. Sector- Build Back Better: Cooling Based the Post-COVID-19 World Efficiently Approaches

Karan Mangotra Associate Director, The Energy and Resources Institute (TERI) Manjeet Singh Associate Fellow, TERI The COVID-19 crisis has farmers’ income, and healthcare. highlighted the need for robust By upgrading this infrastructure infrastructure at all levels. with the latest, energy-efficient Overarching public health technologies, as well as looking infrastructure must consider at integration of renewables, not just healthcare facilities, but the benefits of a reliable cold food and energy security. As the chain can be expanded while world recovers from COVID-19 minimizing climate impacts. and takes action to address the accelerating threat of Countries must also look at a climate change, it is critical for host of options to improve the countries to take steps to shore sustainability of air conditioning up infrastructure in a way that as temperatures rise. One responds to both crises – while approach is through building ensuring reliable energy access energy codes, minimum energy for all. In almost no sector is this performance standards (MEPS), as important as cooling. and labeling. The MEPS and labeling program in India have For example, amidst the COVID contributed to about 43% pandemic, issues related to of market average efficiency supply-chains – which provide improvement for room air- essential items such as food conditioners over the past 12 and medicine to populations – years. Additionally, a revised have gained prominence, with methodology for evaluating challenges even more severe in air conditioner performance developing countries where the in India has promoted better supply chain infrastructure is international market synergies often not effective and especially and advancement in adoption of fragile along the cold chain. About new energy-efficient technologies one-third of all food produced in the country. A good consumer globally for human consumption communication strategy is • As the world recovers from is either lost or wasted, which also critical to increase market COVID-19 and takes action severely impacts farmers’ penetration of more efficient to address the accelerating incomes, wastes precious products. threat of climate change, resources, and generates it is critical for countries greenhouse gases. In India, the Another consideration for to take steps to shore up government took steps to prevent improving cooling efficiency is infrastructure in a way that this waste through its Cooling overcoming the initial price hump responds to both crises Action Plan, which emphasizes which makes energy-efficient – while ensuring reliable cold chain infrastructure and equipment less competitive energy access for all. its benefits for food security, on the shelf as compared to

43 conventional (less efficient, Infrastructure. Agreements must higher Global Warming Potential) also start thinking beyond short- III. Sector- technologies – although energy and medium-term targets, and savings make these products plan for a long-term strategy more cost effective in the long that ensures coordination across Based term. The hump can be minimized developmental policy and while maximizing climate benefits climate action and considers by a combination of appropriate compounding risks. Approaches financial interventions, such as grants and/or low-cost loans for Finally, there are two key energy efficiency enhancements, aspects that countries should bundled with incremental consider to address sustainable financing for hydrofluorocarbon and accessible cooling in a (HFC) phasedown. post-COVID world. First, as in India, countries should prepare This can also be mitigated national Cooling Action Plans: It through innovative financial is the need of the hour to have models such as bulk procurement an integrated, long-term vision and demand aggregation to drive toward cooling encompassing down prices. Under the Unnat refrigerant transition, reducing Jyoti by Affordable LED’s for demand, energy efficiency, and All (UJALA) Scheme, using the advancing technology options. economy of scale, the Indian Secondly, countries and government has procured a organizations should join substantial volume of LED bulbs, coalitions to catalyze technology with the dual aim of increasing the development. There is potential market size and lowering the cost to build on existing networks of energy-efficient LED lighting. (Clean Energy Ministerial, Industry Bulk procurement programs are Transition Leadership Group, effective mechanisms that allow Mission Innovation) – especially penetration of next generation on cooling. technologies. Enhanced collaboration enables The role of international, pooling together experiences multilateral agreements in and expertise to enhance achieving climate and sustainable the effectiveness of policy development goals also must coordination and impact. The be acknowledged. These TERI-led SHEETAL – Alliance agreements play a crucial role for Sustainable Habitat, Energy in nudging national policies Efficiency and Thermal Comfort to combat climate and also for All is one such initiative to encourage sub-national and enhance collaboration with civil non-state actors to act. This was society to maximize the impact of evident at the 2019 UN Climate research. There is a need for more Summit, where major businesses such collaborations. and industries pledged to reduce emissions. Several Indian industry Economies are at the tipping front-runners were also part of point for global cooling the ‘Industry Transition Track’ demand, and any delay in led jointly by the Government of action would bring disastrous India and Sweden. Multilateral consequences for emissions. agreements can play a crucial Integrated national actions and role in building new alliances and global collaborative efforts are coalitions as highlighted by the a path forward for cooling the International Solar Alliance and post-COVID-19 world affordably, the Coalition for Disaster Resilient efficiently, and sustainably.

• Economies are at the tipping point for global cooling demand, and any delay in action would bring disastrous consequences for emissions.

44 Back to Table of Contents > III. Sector- New Moroccan Leadership Based under the Montreal Protocol with Co-Benefits Approaches for COVID-19 Recovery

Mohammed Rida Derder Special Counsel for MENA and Africa, Institute for Governance and Sustainable Development (IGSD) Stephen O. Anderson Director of Research, IGSD Building on decades of Moroccan system, damage agricultural leadership regarding the Montreal and natural ecosystems, and Protocol on Substances that deteriorate paints and plastics. Deplete the Ozone Layer, In 2009, Morocco, the Federated collaborators including Agence States of Micronesia, and Marocaine de l’Efficacité Mauritius were the first countries Énergétique (AMEE), the Morocco to advocate for the Montreal National Ozone Unit, BANK OF Protocol to control ozone-safe AFRICA - BMCE Group, AOB hydrofluorocarbons (HFCs) – Business Consultant Group, which were once necessary and the Institute for Governance to rapidly phaseout ODSs, but and Sustainable Development are still powerful greenhouse (IGSD) will seek funding to gases (GHGs) no longer immediately replace older needed due to technological room air conditioners (RACs) in advancements commercializing government facilities that were more environmentally-friendly inefficient when purchased, poorly alternatives. This pioneering installed and badly maintained for Morocco Leadership was lifetime energy efficiency, and are successful in 2016 when all 197 expensive to operate with health Parties to the Montreal Protocol impacts from fossil fuels burned agreed to the Kigali Amendment for electricity generation. to phase down the production and consumption of HFCs, and Morocco has earned a global also agreed to simultaneously reputation for extraordinary increase energy efficiency during leadership on ozone and the transition. Morocco chose climate protection. The to phasedown HFCs under the Morocco National Ozone Unit fastest schedule for developing is part of a global network of countries, rather than the slower offices specifically created schedule permitted for developing under the Montreal Protocol countries with high ambient to share information, build temperatures. capacity, and guide investment • Morocco has earned to phaseout ozone-depleting In response to the Kigali a global reputation for substances (ODS) that cause Amendment, AMEE partnered extraordinary leadership skin cancer and cataracts, with BANK OF AFRICA - BMCE on ozone and climate suppress the human immune Group, AOB, IGSD, and others protection.

45 in forming the Morocco Bankers Recovery from the COVID-19- Room Air Conditioner Buyers induced recession can also be III. Sector- Club to stop the dumping of accelerated by this program inefficient ACs with obsolete through 1) jobs created in hydrochlorofluorocarbon marketing, sales, distribution, Based (HCFC) 22 and HFC-410A installation, and service of the and to aggregate demand new RACs, 2) recovery and for high-efficiency RACs with destruction in local cement Approaches low-global warming potential kilns of ozone-depleting and (GWP) refrigerants. As part of greenhouse gas refrigerants, 3) this partnership, AMEE and the recycling of useful AC parts IGSD signed a memorandum of and materials, and 4) increased understanding to develop a new local commerce, as savings in metric for AC performance that energy realized by the new super- considers the local circumstances efficient ACs purchased in bulk of climate and urban heat islands are spent locally. and the time-of-day carbon intensity of electricity. The metric Shifting spending from foreign developed by AMEE, IGSD, and to local purchases improves other partners was published by balance of trade, strengthens the American Society of Heating, domestic currency, and creates Refrigerating and Air-Conditioning jobs and prosperity as funds Engineers (ASHRAE). circulate in the local economy. Added to that are the community Success in the new project benefits of mass replacement replacing older RACs in of RACs and their service to government buildings will prove maintain energy efficiency over the economic merit of expanding the life of the appliance. This AC replacements in Morocco community impact grows over and replicating the strategy time as savings accumulate throughout Africa. The model on avoided fuel and energy is likely appropriate for the infrastructure and as the income replacement of older refrigeration from the new jobs circulates in and AC equipment in applications the local economy. other than room RACs.

• Shifting spending from foreign to local purchases improves balance of trade, strengthens domestic currency, and creates jobs and prosperity as funds circulate in the local economy

46 Back to Table of Contents > III. Sector- How the District Energy Based Accelerator Can Help Accelerate the Recovery Approaches through Energy Efficiency

Benjamin Hickman Regional Technical Advisor for Asia and Europe, United Nations Environment Programme (UNEP) District Energy in Cities Initiative Celia Martinez Technical Coordinator, UNEP District Energy in Cities Initiative The COVID-19 pandemic poses accounts for 50% of total energy a major challenge to humankind demand from buildings globally, and has taken an enormous with this demand predominantly emotional toll. In many of the met through fossil fuels. cities where the District Energy in Cities initiative – coordinated by While there may be difficulties for the United Nations Environment district energy projects ahead, Programme as part of the there are also opportunities. The Sustainable Energy for All EE increased importance of indoor Accelerator platform– is active, air quality and comfort at home COVID-19 has resulted in the and work could boost demand for drafting of officials from across higher quality, more efficient, and municipal departments into centralized Heating, Ventilation emergency response teams. It and Air Conditioning (HVAC) is important to acknowledge systems. Such systems are the their heroic efforts in combatting easiest to connect to district and controlling the virus. While energy. Additionally, citizens this has placed many projects who witnessed the drop in air on pause, when the pandemic pollution experienced during comes under control, we will be lockdowns may feel compelled ready to provide the technical to act on maintaining cleaner air support needed to deliver more by choosing more sustainable energy-efficient, resilient, and options. Finally, tighter budgets in cost-effective heating and cooling the real estate sector could make through district energy systems. some building developers open to district energy to shift expensive But it is unlikely to be business heating or cooling systems off as usual. District energy projects their balance sheet. may face challenges due to • District energy projects economic uncertainty in the real District energy systems should create high quality, local estate sector, tighter municipal also be considered a central jobs and help cities and budgets, and new work patterns element of green recovery plans countries retain wealth by rendering some commercial and economic stimulus. District using local resources and floorspace obsolete. But whether energy projects create high floorspace is heated or cooled quality, local jobs and help reducing energy bills by at home or at work, the result is cities and countries retain up to 50% through energy the same – heating and cooling wealth by using local resources efficiency.

47 and reducing energy bills by emissions. In Morocco, a district up to 50% through energy cooling prefeasibility study III. Sector- efficiency. District energy performed by the initiative in projects provide long, stable the city of Marrakech revealed returns allowing them to grow that district cooling would Based from covering a single block to improve cooling efficiency of a city-wide network in 10-20 connected buildings by 47%

years. Unfortunately, district and reduce cooling-related CO2 Approaches energy projects aren’t as easy as emissions by 46%. In Chile, the plugging in an air-conditioner or study “Heat Roadmap Chile” an electric radiator – they require performed in collaboration with expert planning, forward-looking Aalborg University showed that municipal officials and real estate with a market potential of 40%, companies, strong coordination, district heating could contribute and upfront development costs. to reducing the country’s total UNEP and our partners bring this primary energy consumption by

tailored support to willing cities, 13% and overall CO2 emissions and we have seen a general surge by 20%. in interest in the countries where we work. This is reflected in city District energy systems can activities but also new national provide the jobs, resilience, frameworks like India’s Cooling sustainability, and economic Action Plan, which promotes returns demanded by citizens. In district cooling as crucial for a post-COVID world, UNEP and hydrofluorocarbon phasedown, partners will work hard to ensure or Chile’s Presidential Plan, district energy is a key element which prioritizes district heating of building back better and work as a strategy to tackle terrible air with all stakeholders to accelerate pollution in the country’s South. the green recovery by facilitating the decarbonization of the heating Besides cities and space heating and cooling sector. and cooling, UNEP is expanding district energy activities to look ------at integration with data centres, industrial heating and cooling The District Energy in Cities demand, and the urban cold initiative is a public-private chain. For example, in India, we partnership coordinated by the are supporting the greenfield United Nations Environment Hyderabad PharmaCity – a new Programme that supports cities pharmaceutical industrial city – to and countries in developing prepare and tender what will be and emerging economies to India’s largest district heating and accelerate investments on district cooling system. energy systems. The Initiative is one of five energy efficiency With UNEP support, the accelerators of Sustainable economic benefits of district Energy for All. For more energy can be achieved while information on the District Energy tackling the climate crisis in Cities Initiative, please visit: through reduced primary www.districtenergyinitiative.org energy consumption and

• With UNEP support, the economic benefits of district energy can be achieved whiletackling the climate crisis through reduced primary energy consumption and emissions.

48 Back to Table of Contents > III. Sector- Why Any Recovery Based Package Must Address Vehicle Efficiency Approaches

Sheila Watson Deputy Director, FIA Foundation The auto industry has been the Environmental Protection significantly affected by Agency’s own modelling of the COVID-19. Vehicle manufacturers U.S. light-duty vehicle efficiency shut down factories and standards for 2025-30 originally showrooms to safeguard workers’ estimated that $600 spent per health, and sales stalled with vehicle on efficiency would vehicle use dropping dramatically. lead to $2,200 in benefits, Vehicle manufacturers were including $1,400 in fuel savings. already facing challenges: global The U.S. has subsequently sales have plateaued for the revised its vehicle standards past five years, with most growth downward, a decision that the now occurring only in emerging International Council on Clean markets. Weak finances, poor Transportation (ICCT) described consumer confidence as well as as “fundamentally flawed” since rapid developments in electric any consumer buying a vehicle in and autonomous technology 2025 would have recouped their have caused significant market investment in the third year of disruption. ownership.

Governments may now be Fuel Economy Policy is Vital for under pressure to roll back fuel Cutting Carbon Emissions economy regulations to lower production costs. But to do this Transportation uses a large would be a mistake – increasing amount of energy and is total fuel costs and delaying responsible for just under a vital action to tackle climate quarter of total carbon dioxide change. As governments emissions worldwide. This means • As governments consider consider economic stimulus that fuel efficiency measures economic stimulus and and recovery, this is the time have enormous potential for recovery, this is the time to accelerate policies and energy and emissions savings: to accelerate policies and investments to transform The International Energy investments to transform mobility with a focus on Agency (IEA) estimates that mobility with a focus on efficient, zero emission, low- fuel economy policies for efficient, zero emission, low- carbon vehicles. passenger transport have saved carbon vehicles. the equivalent of 2.5 EJ of energy Fuel Economy Policy Saves between 2015 and 2018. • The International Energy Money Agency estimates that The Global Fuel Economy fuel economy policies for In the EU, net fuel cost savings Initiative (GFEI) has undertaken passenger transport have from adopted policies are scenario modelling which shows saved the equivalent of 2.5 expected to be around double that even with further growth in EJ of energy between 2015 the additional cost of efficiency the total number of vehicles on and 2018. improvements. Across the pond, the road, improvements to internal

49 combustion engine vehicles could global CO2 emissions since limit overall emissions at near 2010 after the power sector. III. Sector- current levels by 2050, saving The global fleet of SUVs has five Mtonnes of CO2eq emissions seen its emissions grow by

globally compared with current nearly 0.55 Gt CO2 during the Based adopted policies. However, this last decade. North America and is not enough to meet our climate Australia have particularly high goals. A widespread switch to market shares of large vehicles. Approaches electric vehicles (EVs) is urgently However, the largest increases needed. This could achieve globally have been in the small further reductions of between SUV segment which includes three to five Mtonnes – depending many ‘crossover’ models. on the extent to which the On average, SUVs consume electricity grid is decarbonized. about a quarter more energy than medium-size cars. Using We Need to Sharpen the Policy fuel economy standards and Focus on Key Issues financial incentives to reverse this trend could lower overall GFEI also monitors trends in emissions. average fuel economy over time. Average fuel economy • Support the transition to EVs: improvements in advanced Electric motors are significantly economies (measured in liters more efficient than internal of gas equivalent/km) slowed to combustion engines and only 0.2% per year between 2015 will offer increasing climate and 2017, and even reversed in savings over time as the carbon almost 20 countries. A significant intensity of the electricity grid trend has been the reduction improves. However, although in sales of diesel vehicles there has been some growth in the largest EU markets, in more efficient electric where diesel market share has powertrains, these still only declined by between 5-15% make up a small proportion of since 2014. This shift away from sales. The latest data from the diesel (which tends to be more IEA for 2019 suggests that 2.1 efficient) followed the dieselgate million electric vehicles were scandal, which showed that sold in 2019, taking the total vehicles emitted far higher levels to 7.2 millon – still just 1% of dangerous nitrogen oxide of all vehicles. Fuel economy emissions on the road than they policy can accelerate the did in laboratory tests. We need transition to EVs, including to get our efficiency gains back through zero emission vehicle on track through focused, future- mandates, which have been minded policy. There are several introduced in California and ways to accelerate improvements: China. Actions taken within the next decade will be key for this • Encourage smaller vehicle size: transition; although batteries Increasing sales of larger sport and charging infrastructure are utility vehicles (SUVs) have rapidly improving, additional undermined the overall impact incentives are still needed. of efficiency improvements. Future investment in vehicle According to the IEA, SUVs manufacturing needs to be were the second-largest focused on the transition to EVs contributor to the increase in to ensure cleaner mobility.

50 Back to Table of Contents > III. Sector- Accelerating Recovery for Based People through Building Energy Efficiency Approaches

Debbie Weyl Manager, Buildings Initiative, World Resources Institute (WRI) Ross Center for Sustainable Cities Energy-efficient buildings are in conjunction with energy an important key to unlocking efficiency improvements – can recovery from the health and improve people’s health and economic crises of COVID-19, livelihoods. For example, building as well as a critical solution for energy efficiency retrofits can addressing the climate crisis. The reduce symptoms of respiratory IEA estimates that sustainable and cardiovascular conditions, buildings can save more than US arthritis, and allergies. These $1 trillion by 2050, which will be health impacts far outweigh the critical to households, companies, costs of upgrades, with benefit- and governments. What’s more, cost ratios as high as 4:1 when much of the extraordinary health and wellbeing impacts are opportunity to improve the included. buildings sector – both in the near term and long term – remains In addition to health frustratingly untapped. Efficiency improvements, energy-efficient improvements are a ready buildings provide additional intervention, waiting for a simple benefits to people by reducing push that could reap multiple household energy bills and benefits. thus energy poverty, improving • In addition to health access to efficient household improvements, energy- While the building sector is appliances, and enhancing efficient buildings provide often seen as highly technical, resilience to future climatic or additional benefits to people action is critical because of its economic crises. by reducing household direct impact on people – and energy bills and thus energy people must be the focus of this Achieving these benefits requires poverty, improving access recovery. So let’s start by looking improvements to millions of to efficient household at people, and work backwards homes, office buildings, and other appliances, and enhancing to the technical improvements buildings – a fact often seen as a in buildings that can provide real hurdle. But as national, state, and resilience to future climatic benefits. local governments seek ways to or economic crises. kickstart economic recovery after People, especially those who COVID-19, this challenge can • Every million dollars live in cities, spend most of their be an opportunity. Every million invested in building energy time in buildings. The average dollars invested in building efficiency measures can person in the U.S. spends 90% energy efficiency measures create between 9 and 30 of their lives inside. We’ve seen can create between 9 and 30 jobs, many of which require increasing evidence that airflow jobs, many of which require little little training and can be and ventilation in buildings is a training and can be rapidly scaled rapidly scaled up due to factor in the spread of COVID-19. up due to an existing construction an existing construction Improvements to these ventilation workforce. workforce. systems – which can be made

51 The IEA’s Sustainable Recovery efficiency and decarbonization Plan estimates that some 9 million policies and programs. In 55 III. Sector- energy efficiency jobs could be cities and states across 25 created worldwide in the next countries, the BEA has built three years, mostly by renovating stakeholder coalitions led and Based buildings. informed by local partners, using global expertise to improve the Energy efficiency is the first building sector. The BEA builds Approaches building block to decarbonizing local institutional and technical the building sector, and more capacity, enabling governments ambitious improvements toward to set these more ambitious goals decarbonization can accelerate that lead to improved outcomes renovation and construction for people. activity. For example, one study found that a 27% efficiency Energy-efficient buildings bring improvement in buildings in multiple benefits to people – Europe between 2016 and 2030 better health, reduced energy would create 2 million new jobs. bills, reduced energy poverty, improved resilience, and more Since 2015, the Building jobs – and put us one step closer Efficiency Accelerator (BEA) has to the greener, more resilient accelerated local government future we all seek. implementation of building

52 Back to Table of Contents > IV. The Building Back BETTER Private with Remote, Rapid Energy Retrofit Analysis Sector’s Role

Carolyn Szum Program Manager, Lawrence Berkeley National Laboratory Clay Nesler Vice President of Global Energy and Sustainability, Johnson Controls and Interim President, Alliance to Save Energy While transportation and industry In June, Lawrence Berkeley tend to come to mind when National Laboratory and Johnson people think of the primary Controls released the beta culprits of energy consumption, version of the Building Efficiency another sector globally actually Targeting Tool for Energy Retrofits tops that list: buildings. The (BETTER) – a free, open-source buildings sector is the world’s web application available here. largest source of primary By analyzing easily accessible energy consumption – nearly building data and monthly energy 40% – and ranks second after usage and weather data, BETTER the industrial sector as a global quickly benchmarks a building’s source of direct and indirect energy use against peers or a carbon dioxide emissions from portfolio and quantifies energy, fuel. According to the World cost, and greenhouse gas Economic Forum, nearly half reduction potential. BETTER is of all energy consumed by then able to recommend energy buildings could be avoided with efficiency improvements to turn new energy-efficient systems this potential into reality. and equipment. Additionally, the source code of BETTER’s modular, cross- Traditionally, preparing buildings platform analytical engine for energy efficiency retrofits can can be adopted, modifed and be a complex, time-intensive, redistributed freely under an and expensive process which requires on-site energy audits open-source license, allowing and sometimes energy simulation users to incorporate the tool’s analysis. These obstacles often analytical capabilities into delay building owners from their own software platforms pursuing the cost-saving retrofits and applications. Any – and in the age of COVID-19, enhancements to the code are could prevent progress altogether shared, contributing to ongoing due to economic setbacks and improvements to the tool. restrictions on in-person work. However, advancements in the In this unprecedented time of science of data-driven building a global pandemic, BETTER’s • According to the World energy analysis are overcoming analysis also can be completed Economic Forum, nearly half these barriers by enabling without on-site audits or of all energy consumed by building professionals worldwide inspections, enabling energy buildings could be avoided to quickly target energy efficiency efficiency workers to continue with new energy-efficient improvements remotely and at a to plan and develop building systems and equipment. lower cost. retrofit and retro-commissioning

53 projects. This can help preserve organizations are providing jobs during a time when technical assistance and training IV. The nearly 400,000 U.S. energy on the BETTER tool to the efficiency workers have been BEA network of 55 cities in 25 left unemployed because of countries around the world. Private COVID-19. Moreover, because BETTER is just one example of the minimal data inputs and of countless innovations in easy data entry process, BETTER energy efficiency science that Sector’s Role fosters equity and energy justice are making it easier to meet our by ensuring that detailed no-cost/ energy goals and drive job- low-cost and capital improvement creating investment. As leaders recommendations are available worldwide consider how to build for buildings even in the most back better, they should leverage economically disadvantaged these recent advancements to communities. enable a faster, more equitable recovery and make the benefits of An earlier version of BETTER has energy efficiency more accessible already been used by a variety for all. Learn more about whether of organizations, including public BETTER may be suitable to school districts, universities, support your national, state, and energy service companies. local, or organizational building The World Resources Institute efficiency goals here. and other Building Efficiency Accelerator (BEA) partner

• BETTER is just one example of countless innovations in energy efficiency science that are making it easier to meet our energy goals and drive job-creating investment.

54 Back to Table of Contents > IV. The We Can Recover the Private Private Sector - While Taking Climate Action Sector’s Role

Helen Clarkson CEO, The Climate Group The COVID-19 pandemic has the troubled seas of the post- hit the private sector hard. 2020 pandemic economy, business has presented challenges to should look to energy efficiency business communities that no as a life raft. amount of risk management or careful financial planning could Our EP100 initiative, in have foreseen. As governments partnership with the Alliance to across the world tentatively plan Save Energy, is working with for economic recovery, the private a leading group of energy- sector is still very much struggling smart companies committed – with massive job losses and to improving their energy looming global recession. This productivity to drive wider might seem like a moment to turn corporate action. On-site energy away from climate action, and generation, retrofitting buildings to push sustainability measures with efficient LED lighting, and to the bottom of business installing upgraded insulation can agendas. However, a recent poll improve a building’s efficiency of the Climate Group’s 350+ level to over 90%. business members showed an overwhelming commitment Working toward more energy- to sustainability despite the smart buildings is particularly challenges of the pandemic. Of timely in 2020. With lower the private sector professionals occupancy and use of surveyed, 97% said their long- commercial and industrial • A recent poll of the Climate term sustainability strategy buildings as many companies Group’s 350+ business remains unchanged. continue to work remotely, members showed an there is a unique moment of Nearly all our business members opportunity to refurbish and overwhelming commitment (96%) feel that climate action is retrofit workspaces. Working with to sustainability despite the just as, if not more, important to the World Green Building Council, challenges of the pandemic. their business now compared businesses can join EP100 via to pre COVID-19, reflecting an the Net Zero Carbon Buildings • Improving energy ongoing sense of urgency around pathway, committing to owning, productivity is a proven way climate action. Unless we keep occupying and developing to add enormous value to our resolve focused on halving buildings that operate at net zero global GDP, cut costs, and emissions by 2030, we risk carbon emissions by 2030. EP100 help companies deliver on more crisis events in the future. companies are adapting and their climate commitments. Improving energy productivity is rethinking ways of working toward In the troubled seas of the a proven way to add enormous more energy-smart buildings. Our postpandemic economy, value to global GDP, cut costs, members know that action is not business should look to and help companies deliver on optional, and it’s been great to energy efficiency as a life their climate commitments. In see EP100’s membership grow raft.

55 despite the challenges of the members play a leading role pandemic with 13 companies in mitigating climate impact IV. The joining on World Environment Day by investing in energy-efficient in June. cooling that will also generate substantial financial savings. Private More productive use of energy in commercial and industrial Implementing energy efficiency buildings also generates measures in buildings can help Sector’s Role significant savings for businesses turn the financial troubles of – more important than ever in the 2020 into financial savings – current climate. As companies creating new green collar jobs, look for every opportunity reducing energy bills, and cutting to cut costs and improve costs. A recent report by the profitability, shareholders should International Energy Agency (IEA) be asking their companies on sustainable recovery in the what commitments they are energy sector found that energy undertaking to create more efficiency measures would deliver energy-efficient workspaces. the largest overall emissions Businesses can look to EP100 reductions, and that $1 invested for examples of corporate in energy efficiency generates $2 leadership in this field. Fashion of savings. Businesses can boost retailer H&M, a member of EP100 their bottom line at a time when since 2017, cut electricity use in this is sorely needed. Energy stores by over 10% in three years efficiency initiatives like EP100 are and has saved over €120,000 more important than ever to help from replacing 9,250 lightbulbs the private sector get back on its with LEDs. The EP100 Cooling feet – and now is the opportune Challenge helps our business moment to sign up.

56 Back to Table of Contents > IV. The BANK OF AFRICA: Private Committed to Sustainable Energy Finance Sector’s Role

Amal Benaissa, PhD Manager of Sustainable Finance at BANK OF AFRICA - BMCE Group, As the world continues to wrestle becoming a Founding Signatory with the COVID-19 pandemic, of the “Principles of Responsible climate risks and the transition Banking.” to a green economy remain at the heart of BANK OF AFRICA The Group further signed - BMCE Group’s priorities. Over on to the European Bank for the past 15 years, the pan-African Reconstruction and Development banking group with Moroccan (EBRD) and UNEP FI “Statement roots has consolidated its position by Financial Institutions on Energy as a regional sustainable finance Efficiency Finance” in 2015, pioneer actively committed to pledging to increase investment contributing to the energy transi- in clean energy, and to date has tion in Morocco and across the financed major wind energy and African continent. desalination projects. BANK OF AFRICA also issued a Green Bond Well aware of the rising in 2016 during COP22 to finance national energy challenges in energy efficiency and renewable Morocco, BANK OF AFRICA has energy projects. continuously financed projects related the implementation of the BANK OF AFRICA’s Sustainable national energy strategy, which Energy Solutions for SMEs: includes Law 99-12 regarding MorSEFF / MorGEFF Programs sustainable development, Law 47-09 on energy efficiency, BANK OF AFRICA contributed and Laws 13-09 and 58/15 on to co-creating the energy the development of renewable efficiency market in Morocco energy. when it became the first Partner of the Morocco Sustainable BANK OF AFRICA’s uptake of Energy Efficiency Financing sustainable energy finance can Facility (MorSEFF), a dedicated be traced back to its long-held financing facility for small and conviction that the financial medium-sized enterprises (SMEs) sector has a fundamental role in and corporations. MorSEFF • BANK OF AFRICA’s uptake the achievement of sustainable was developed in 2015 with development goals, including EBRD, EIB, KfW, and AFD with of sustainable energy the support of the European finance can be traced back the transition to a low-carbon future. In 2000, BANK OF Union. The Bank later signed to its long-held conviction onto a similar facility in 2017 – that the financial sector has AFRICA became the first African signatory of the United Nations the Morocco Green Economy a fundamental role in the Environment Programme Finance Financing Facility (MorGEFF) – in achievement of sustainable Initiative (UNEP FI) Statement and partnership with EBRD, with a development goals, in 2019 re-affirmed its stance by grant from the Green Climate including the transition to a Fund. low-carbon future.

57 their survival in light of the The Bank’s “Cap Energy” product pandemic, it is important to IV. The was born out of these programs invoke the financial advantage and to date has disbursed of energy efficiency as the more than 65 million Euros in proverbial lowest-hanging fruit, Private sustainable loans to SMEs. meaning that energy savings can be more easily translated Customers benefitted from a into financial savings for unique blended package offering companies and industry. Sector’s Role financing, free technical assis- tance including a free energy In a post COVID-19 reality, audit, and an investment bonus cutting costs from resource that increased the appetite for this utilization – energy, water, waste new market. Positive spin-offs for – is more pertinent than ever as clients were applicable in multiple clean technological innovations industries including transport, accelerate, and especially in the industry, and construction. MENA region where climate risks are vital. In parallel, the Bank raised awareness among its customers Bespoke programs such as through roadshows and MorSEFF and MorGEFF must seminars encouraging low- continue to be offered in Morocco energy technologies, focusing and other parts of the African on renewable energies and continent in partnership with strengthening local production. commercial banks like BANK OF AFRICA, with the support of DFIs, In 2017, BANK OF AFRICA was MDBs, and other grant donors, awarded the Sustainable Energy to boost investment in energy Gold Award by the EBRD in efficiency and enable positive recognition of its commitment impacts on the economy, the to green and inclusive growth environment, and society. through the MorSEFF program, impacting more than a hundred Looking ahead, BANK OF AFRICA companies across all regions in remains firmly committed not Morocco. only to the immediate health and economic emergency, but also to Post-COVID 19: Looking Ahead a sustainable recovery, and will to a Sustainable Economic continue to sow partnerships to Recovery refine its sustainable financing solutions to better support SMEs As investment activity and corporations during and after weakens and SMEs focus on the pandemic.

• As investment activity weakens and SMEs focus on their survival in light of the pandemic, it is important to invoke the financial advantage of BANK OF AFRICA - BMCE Group, is a regional leader and pioneer energy efficiency as the in sustainable and inclusive finance. With a passion to contribute to proverbial lowest-hanging the development of Positive Impact Finance in Morocco and across fruit, meaning that energy the African continent, Amal Benaissa’s work involves developing savings can be more easily innovative financial products, services and partnerships that yield translated into financial positive environmental and/or environmental impacts. savings for companies and industry.

58 Back to Table of Contents > A Message Carbon Neutrality: The from Signify New Normal for Signify The lighting company wants to move “beyond” carbon neutrality in its next set of commitments

Harry Verhaar Head of Global Public & Government Affairs

Signify (Euronext: LIGHT), since 2018 became the new company name for Philips Lighting and is the world leader in lighting for professionals and consumers and lighting for the Internet of Things. Our Philips products, connected lighting systems and data-enabled services, Hidalgo Wind Farm in McCook, Texas deliver business value and transform life in homes, buildings and public (EDP Renewables North America LLC) spaces. With 2019 sales of EUR 6.2 billion, we have approximately 32,000 employees and are present in over 70 countries. Information for investors can be found on the Investor Relations page. Five years since announcing 10 years to accelerate the global its commitment to COP21 adoption of energy efficient LED delegates in Paris, Signify has lighting and through Signify’s • “Only 1% of buildings become 100% carbon neutral. support of RE100 and EV100,” undergo renovation each she added. year which is a huge missed The company, formerly known as opportunity,” Harry Verhaar Philips Lighting, has reduced its Turning a Vision into Reality operational emissions by more added. “If we bring this than 70% since 2010, making it The company has met its renovation rate to 3% per the first major lighting company targets through moving all its year, we will slash the in the world to reach carbon global markets to sustainable energy consumption of our neutrality. Energy efficiency methods of operation and aligning building sector, create local has played a key role in this with goals set out in the Paris skilled jobs, and improve accomplishment. Agreement. the quality of life for EU It’s also committed to a new Speaking on its approach, chief citizens.” journey which will see it focus executive Eric Rondolat said, “it’s on “doubling its positive impact been a collective effort as we •“This is not a time to pause on the environment and society” shifted to more energy-efficient and celebrate but a time through a five-year sustainability technologies, optimised logistics, to become even more programme. reduced our business travel and moved to 100% renewable ambitious and accelerate “We would like to congratulate electricity.” our efforts to address Signify on their fantastic these challenges,” CEO achievement of carbon neutrality It’s energy efficiency that has Eric Rondolat insisted. across all operations in 2020,” been a particular focus for “Growth for sustainability said Helen Clarkson, CEO of Signify, having transitioned to The Climate Group, in a recent advanced technologies in offices and providing a great place company press release. and factories, as well as looking to work are firmly anchored at more sustainable transport as central parts of our “We have been working in modes. company strategy.” partnership with Signify for over

59 The company’s car fleet, for achieving a carbon neutral world,” example, is moving to electric argues Verhaar. vehicles and its buildings are IV. The being powered by electricity “Only 1% of buildings undergo created from renewable energies; renovation each year which is made possible through two virtual a huge missed opportunity,” Private power purchase agreements. Verhaar added, “if we bring In 2016, Signify signed a deal with this renovation rate to 3% per a windfarm in Texas to reduce year, we will slash the energy carbon emissions in the States consumption of our building Sector’s Role and late last year the company sector, create local skilled jobs, made an agreement to purchase and improve the quality of life for at least ten years of electricity EU citizens.” from an onshore Polish windfarm that generates around 92 The company has called on Gigawatt hours annually. governments and municipalities to show leadership by committing In 2017, Signify was the first to energy savings in their own major international company buildings and joining initiatives to secure a renewable energy like the Net Zero Carbon deal in the Gulf region using the Buildings (NZCB) programme and pioneering International REC, a switching ministerial car fleets to renewable energy documenting EV’s through the EV100. standard used in regions where no similar documentation scheme What’s Next? exists. Despite the global economic To close its emissions gap, slowdown brought on by the Signify has been involved in a coronavirus pandemic, Signify number of carbon offsetting has now committed to embark programmes through its offsetting on a new five-year journey that partner South Pole. These have will go “beyond” carbon neutrality “reduced environmental impacts and double its positive impact on and increased the well-being of the environment and on society. local communities,” including a “This is not a time to pause and reforestation project in Colombia, celebrate but a time to become and an off-grid solar energy even more ambitious and programme in India to give rural accelerate our efforts to address populations more access to light. these challenges,” Rondolat The news is also proof that eco- insisted. “Growth for sustainability economic decoupling is possible, and providing a great place to as a previous CHN article on work are firmly anchored as the significance of LED lighting central parts of our company looked at. strategy.”

“It’s a great reminder that growth The Brighter Lives, Better World and energy consumption need 2025 programme will work not go hand in hand,” said Harry towards doubling the pace of Verhaar, Signify’s Head of Global the Paris Agreement, its circular Public and Government Affairs, revenues, its proceeds to adding “they can be decoupled, innovations that benefit society, enabling socio-economic and its percentage of women in development while at the same leadership, within the next five time contributing to protecting our years. climate.”

The company has long-promoted The integrated initiative touches decoupling through the use on six of the UN Sustainable of LED lighting, which is up to Development Goals; Good Health 80% more energy efficient than and Well-Being, Affordable and conventional lighting, as well as Clean Energy, Decent Work and through developing new products Economic Growth, Sustainable like solar-powered streetlights Cities and Communities, that can also decrease luminosity Responsible Consumption and when there’s no footfall. Production, and Climate Action.

Signify has also had building “The 2020’s are the Climate renovations as a focus in its fight Decade as we need to halve against climate change. global emissions by 2030 to get The EU building sector is us on track to meet the goals of responsible for 40% of the the Paris Agreement,” Climate region’s energy consumption Group’s Clarkson said, “so we and 36% of its greenhouse gas need more companies to follow Brighter Lives, Better World Signify’s lead in setting their own (YouTube video uploaded by Signify) emissions; “building renovation is therefore a vital short-cut to net zero targets.” 60 Back to Table of Contents >