ANTIGUA AND BARBUDA - OAS

1 ANTIGUA AND BARBUDANATIONAL ENERGY POLICY AUGUST 2011 NEP_AntiguaBarbuda_Layout 1 6/27/13 6:23 PM Page C1 Prepared by the National Energy Task Force under the Office of the Prime Minister of the Government of ANTIGUA and BARBUDA and the Department of Sustainable Development of the General Secretariat of the Organization of American States with the expert advice of the German ProfEC GmbH under the European Union funded initiative Caribbean Sustainable Energy Program (CSEP) . The views expressed herein are presented for informational purposes only and do not represent the opinions or official positions of the European Union, the Organization of American States, its General Secretariat, or any of its member photo: Courtesy of Girvan PigottNEP_AntiguaBarbuda_Layout 1 6/13/13 11:36 AM Page C2iGovernment ofAntigua and BarbudaOFFICE OF THE PRIME MINISTERST.

2 JOHN S, ANTIGUAHONORABLE W. BALDWIN SPENCERPRIME MINISTERANTIGUA & BARBUDA IN AN EFFORT TO PLAY OUR PART IN COMBATING climate change and rising fuel prices has developed a comprehensive National Energy Policy (NEP) like many other Small Island Developing States (SIDS). ANTIGUA is aware thatour dependence on energy affects all sectors within our society and has made the commit-ment to meet the energy needs of the present generation by 2030 while safeguarding theenvironment and enabling future generations to meet their own energy needs. However, we recognize that there is the need for constant work if we are to achieve our goals.

3 There must be greater emphasis placed on Energy Security and Energy Inde-pendence if ANTIGUA is to transition from a country that sources our energy from foreigncountries to one that can produce and distribute newer and cleaner forms of energy. ANTIGUA must aim at quenching our thirst for energy by becoming a more Energy Efficient state through the promotion of cleaner technologies and capacity buildingthroughout the various & BARBUDA National Energy Policy has strategically identified five (5) priority areasto accomplish our set of goals outlined within the policy. These priority areas are EnergyCost Reduction, Diversification of Energy Sources, Electricity Reliability, Environmental Protection and Stimulate New Economic is with great focus on these priority areas that ANTIGUA & BARBUDA will be able to meetour ambitious targets of a reduction in the overall energy intensity of the economy by10%, a renewable energy penetration of 15% by 2030, an improvement in the quality ofelectricity supply, greater focus on the preservation of our environment by reducing ourcarbon footprint and the birth of clean energy focused the same time.

4 ANTIGUA & BARBUDA Government is committed to exploring different options of harnessing the potential of cleaner forms of energy within all the relevant sectors of our society. Nonetheless greater emphasis will be placed on the power andtransportation sectors given that these sectors have greatly impacted upon all other industries within our would like to thank all agencies and individuals who have played a roll in the creation ofAntigua & BARBUDA 's National Energy Policy with special thanks to the National EnergyTaskforce and to Ambassador Joan H. Underwood for her dedication and commitment toseeing this policy through to its our work for a cleaner and greener ANTIGUA and BARBUDA be a W.

5 Baldwin SpencerPrime MinisterTel: (268) 562-3860 ext. 286 Fax: (268) 562-0351 NEP_AntiguaBarbuda_Layout 1 6/10/13 5:31 PM Page iiiEXECUTIVE Vision Outlook on energy and the Energy Related Agreements and Power Current Energy Energy Demand Power STRATEGIC Strategic Cost and Efficient Use of Energy New Economic/ Business Means and ENERGY POLICY POWER Energy Fossil Fuels/Non-Renewable Energy Waste to Emerging Energy Efficiency Supply Demand Legal and Regulatory APUA Land Planning ANTIGUA and BARBUDA Investment Authority Development Control Authority (DCA)

6 National Solid Waste Management Authority Institutional Energy Adisory Sustainable Energy Eastern Caribbean Energy Regulatory Authority (ECERA)..235. Transportation Ground Efficiency and Emission Public Aviation Environment and OTHER USES OF Small Legal and Regulatory Institutional IMPLEMENTATION AND Development of the Sustainable Energy Action Plan (SEAP).. Reporting and SUPPLEMENTARY List of OF CONTENTSNEP_AntiguaBarbuda_Layout 1 6/10/13 5:31 PM Page ii1 EXECUTIVESUMMARYANTIGUA AND BARBUDA NEEDS TO RADICALLY CHANGE THE WAY IT sources, distributes and uses energy.

7 First, the country imports all of its energy in the form of refined petroleum products, placing a considerable burden on its relatively small economy. Thecombined effects of limited demand for imported fossil fuel, diseconomies of scale in electricityproduction, low efficiency in electricity distribution and a highly inefficient transportation sector, result in ever increasing energy prices for business and households. At the same time, the growthin global demand for crude oil, uncertainties about future oil supply and unpredictable market behavior, mean that oil prices will remain volatile for the foreseeable future, exposing the countryto significant financial risks.

8 For these reasons, and the negative and significant impact that fossilfuel has on the environment, ANTIGUA and BARBUDA needs to re-think the way it sources and consumes energy. This National Energy Policy (NEP) document sets out the Government of ANTIGUA & BARBUDA s approach in achieving its vision that:By 2030 ANTIGUA & BARBUDA will meet the needs of the present generation while safeguard-ing the environment and enabling future generations to meet their own energy needs. Allcitizens and residents will have access to affordable efficient, socially responsible and reliableforms of policy document follows widespread consultation and is intended to foster the developmentof an appropriate legal, regulatory, institutional and economic framework.

9 The goals and strategies are consistent with the government s overall macro-economic policies and are designedto create a stable sustainable and efficient energy sector that fosters national economic and social development. Priority will be given to the following five goals:uEnergy Cost Reduction- Targeted efficiency and conservationmeasures designed to reduce the overall energy intensity of the economy by 10% below a 2010 baseline within 10 of Energy Sources- Reformed market frame-work and mandated targets to achieve 15% renewable energy in theelectricity supply by 2030. uElectricity Reliability Improvement- Regulatory reform designed to protect consumer interest and improve the quality of electricity Protection Laws and regulations which ensurethat environmental considerations are an integral part of the energypermit process and in the planning and execution of energy new Economic Opportunities Incentives andmarket mechanisms to create an enabling environment for private investment in renewable energy and energy efficiency measures, including support for education and training.

10 NEP_AntiguaBarbuda_Layout 1 6/10/13 5:31 PM Page 1 ANTIGUA AND BARBUDA2 EXECUTIVESUMMARYP ower SectorTransformation of the electricity supply will involve moving from a total dependence on fossilfuel to a mix of which includes solar, wind and waste to energy. To this end, the governmentwill facilitate resource assessments and pre-feasibility studies to understand the technicalchallenges, economic feasibility and environmental considerations in relation to deployingthese technologies in an ANTIGUA & BARBUDA context. Additionally energy conservation and efficiency improvements in supply and demand will be key strategies in achieving the overallobjective lowing costs to consumers.