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Energy Efficiency Roadmap for Uganda Making Energy Efficiency Count

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Energy Efficiency Roadmap for Uganda Making Energy Efficiency Count Energy Efficiency Roadmap for Uganda Making Energy Efficiency Count ENERGY EFFICIENCY ROADMAP FOR UGANDA Making Energy Efficiency Count Authors: Stephane de la Rue du Can,1 David Pudleiner,2 David Jones,3 and Aleisha Khan4 This work was supported by Power Africa under Lawrence Berkeley National Laboratory Contract No. DE-AC02-05CH11231. Published May 2017 1 Lawrence Berkeley National Laboratory 2 ICF International 3 Tetra Tech 4 ICF International i ENERGY EFFICIENCY ROADMAP FOR UGANDA DISCLAIMERS This report was prepared as an account of work sponsored by an agency of the United States Government. Neither the United States Government nor any agency thereof, nor The Regents of the University of California, nor any of their employees, makes any warranty, express or implied, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process disclosed, or represents that its use would not infringe privately owned rights. Reference therein to any specific commercial product, process, or service by trade name, trademark, manufacturer, or otherwise does not necessarily constitute or imply its endorsement, recommendation, or favoring by the United States Government or any agency thereof, or The Regents of the University of California. The views of the authors do not necessarily reflect those of the United States Government or any agency thereof, or The Regents of the University of California. Ernest Orlando Lawrence Berkeley National Laboratory is an equal opportunity employer. ENERGY EFFICIENCY ROADMAP FOR UGANDA ii ACKNOWLEDGMENTS This project benefited greatly from intellectual and data input from many individuals and organiZations. Project Execution: The authors would like to thank Katrina Pielli of Power Africa, David Rogers and Oscar Ankunda from USAID Uganda, Commissioner James Baanabe Isingoma, Simon KalanZi, Usamah Kaggwa, Emmer Rava Musiime, David Birimumaso, Augustine Tsongo, Maclian Senyonga, and Emmanuel Sande Nsubuga of the Directorate of Energy Resources Development of the Ministry of Energy and Mineral Development, Uganda for providing significant and thoughtful input during the period of this study. Stakeholders: The authors also acknowledge the guidance and invaluable input provided by the various national and international experts from various industries in the development of the report, the names of whom are mentioned below. The list is in no way exhaustive. ° Romain Dillard – French Development Agency (AFD) ° Alexander Komakech and Isaiah Oonyu – AOT Consulting ° Geofrey Bakkabulindi, Eileen Lara, and Smith Tukahirwa – CREEC ° Dr. Geofrey Okoboi and Catherine Tumusiime – Electricity Regulatory Authority (ERA) ° Hans Peter – Royal Embassy of Norway ° Ludovic Durel – European Union Delegation ° Daniel Schuett and Merab Birungi Byaruhanga, Gesellschaft für Internationale Zusammenarbeit – Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH ° Edison Masereka and Janat Kajara – Kampala Capital City Authority (KCCA) ° Kathrin Kaestle – Kreditanstalt für Wiederaufbau (KfW) ° Abbey Achandere – Luster Technology ° Isaac Tumusiime – Energy Efficiency Association of Uganda (EEAU) ° Gideon Badagawa, Eng. Geoffrey Ssevugwawo, Francis Kisirinya, Sarah Bakehena, Esther Namukasa – Private Sector Foundation Uganda (PSFU) ° Godfrey Turyahikayo, Godfrey Werikhe Khaukha, Deborah Nantume, Charles Lutwama, Benon Bena – Rural Electrification Agency ° Job Mutyaba – Swedish International Development Agency (SIDA) ° Patricia Ejalu, Grace Winnie Eraku, Mukwaya Bernard and Martin Imalingat – Uganda National Bureau of Standards ° Specioza Kimera Ndagire, Roy Baguma, Desmond Opio Tutu – Uganda Energy Credit CapitaliZation Company (UECCC) ° Happy Asingwire – Uganda Cleaner Production Center (UCPC) ° Mubaraka Nkuutu Kirunda, Joseph Kyalimpa, Nurcan Alinc, Oketcho Lawrence Micheal, Ssenyondwa Allan – Uganda Manufacturers Association (UMA) ° Sam Zimbe, George Van der Merwe, Almero Grey, Peter Twesigye – UMEME iii ENERGY EFFICIENCY ROADMAP FOR UGANDA ° Abdeel Kyezira – Uganda National Renewable Energy and Energy Efficiency Alliance (UNREEA) ° Mbuso Gwafila – The World Bank ° Ibrahim Mutebi – World Wildlife Fund Reviewers: This report also benefited from the comments and inputs of several international expert reviewers, whose feedback has been invaluable in strengthening our analysis. In particular, thanks are due to Michael McNeil and Stephanie Ohshita (LBNL), Thibaud Voïta and Aamina Teladia (SEforALL) Martina Bosi and Jonathan Sinton (World Bank), Monica Bansal (USAID), Benoit Lebot (International Partnership for Energy Efficiency Cooperation), Xianli Xu (Copenhagen Center for Energy Efficiency), Aditya Chunekar (Prayas Energy Group), and Steve Thorne (independent consultant). ENERGY EFFICIENCY ROADMAP FOR UGANDA iv ABSTRACT Like many countries in Sub-Saharan Africa, Uganda has focused its energy sector investments largely on increasing energy access by increasing energy supply. The links between energy efficiency and energy access, the importance of energy efficiency in new energy supply, and the multiple benefits of energy efficiency for the level and quality of energy available, have been largely overlooked. Implementing energy efficiency in parallel with expanding both the electricity grid and new clean energy generation reduces electricity demand and helps optimiZe the power supply so that it can serve more customers reliably at minimum cost. Ensuring efficient appliances are incorporated into energy access efforts provides improved energy services to customers. Energy efficiency is an important contributor to access to modern energy. This Energy Efficiency Roadmap for Uganda (Roadmap) is a response to the important role that electrical energy efficiency5 can play in meeting Uganda’s energy goals. Power Africa and the United Nations Sustainable Energy for All (SEforALL) initiatives collaborated with more than 24 stakeholders in Uganda to develop this document. The document estimates that if the most efficient technologies on the market were adopted, 2,224 gigawatt hours could be saved in 2030 across all sectors, representing 31% of the projected load. This translates into 341 megawatts of peak demand reductions, energy access to an additional 6 million rural customers and reduction of carbon dioxide emissions by 10.6 million tonnes in 2030. The Roadmap also finds that 91% of this technical potential is cost-effective, and 47% is achievable under conservative assumptions. The Roadmap prioritiZes recommendations for implementing energy efficiency and maximizing benefits to meet the goals and priorities established in Uganda’s 2015 SEforALL Action Agenda. One important step is to create and increase demand for efficiency through long-term enabling policies and financial incentives combined with development of technical expertise in the labor force to allow for the promotion of new business models, such as energy service companies. A combination of enabling policies, financial schemes, regulations, enforcement, and skill development are needed to open the energy efficiency market. 5 Efficiency opportunities in the transportation sector and other fuels (e.g., biomass, kerosene) are outside the Roadmap scope. Authors identify this as an area of needed focus for future research. v ENERGY EFFICIENCY ROADMAP FOR UGANDA CONTENTS Disclaimers ...................................................................................................................... ii Acknowledgments .......................................................................................................... iii Abstract ........................................................................................................................... v List of Tables .................................................................................................................. vii List of Figures ................................................................................................................ viii Appendices ................................................................................................................... viii Acronyms ....................................................................................................................... ix 1. EXECUTIVE SUMMARY ......................................................................................... 1 1.1 Purpose of the Energy Efficiency Roadmap for Uganda .................................. 3 1.2 Situation Assessment: Build on Success and Address Barriers to Energy Efficiency ....................................................................................................................... 3 1.3 Electricity Savings: Assess the Potential .......................................................... 6 1.4 Energy Efficiency Action Plan: PrioritiZe Actions ............................................. 8 1.5 Conclusion: Making Energy Efficiency Count Requires Leadership ............... 12 2. INTRODUCTION ................................................................................................. 13 2.1 Objective ........................................................................................................ 14 2.2 Approach/Methodology ................................................................................ 14 2.3 Roadmap Outputs & Benefits ........................................................................ 15 3. SITUATION ASSESSMENT ...................................................................................
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