Tunisia s Strategy on Climate Change Focus on mitigation initiatives & NAMAs development in the energy sector

Tunisia’s Strategy on Climate Change

Focus on mitigation initiatives & NAMAs

development

in the energy sector

Imed Fadhel

Climate Change National Focal Point Tunisia

National context

Land Use Change and Forestry

9%

Waste

5%

Gross GHG emissions distribution by source

- GDP distribution: 55% Services, 33%

Industry and 12% Agriculture;

-Since early 2000s, net importer of energy due to depletion of its fossil resources and the important growth of its energy demand.

-Total GHG emissions in Tunisia:32

million CO₂e // 3.4 tCO₂e per capita.

Context (energy sector)

A: Evolution of GDP and GHG emissions due to energy B: Evolution of the primary energy use _{(toe per capita)}

C: Evolution of the primary energy intensity in toe/1000 TND 1 TND = 0.6 USD

D: Evolution of GHG emissions due to energy In 1000 tCO2e

National Strategy on Climate Change

GHG mitigation objectives

Ambitious objectives:

1. Reduction of the carbon intensity of the

economy of about 60% in 2030 compared to

2009 levels

:

– Promoting EE policies and measures to contribute to

the continuous decreasing of the carbon intensity of

about 2-3% per year;

– Increasing

the

share

of

RE

in

the

electricity

consumption to 30% in 2030 (

less than 1% now

).

Overview of NAMAs Development in Tunisia

(1)

NAMA support Project for The Tunisian Solar Plan (TSP)

• The TSP represents the most important

programmed initiative in the energy sector (EE

and RE).

• TSP is covering 2010-2030 with the identification

of 40 projects in the first period 2010-2016.

• Two main objectives

:

Reduction in energy demand by 24% in 2016 & 40%

in 2030;

Increasing the share of RE in electricity generation

capacity to 11% in 2016 and 30% in 2030.

Overview of NAMAs Development in Tunisia

(1)

NAMA support Project for The Tunisian Solar Plan (TSP) –

continue

• TSP potential evaluated on the basis of two scenarios:

– A baseline scenario: continuity of the current trends in energy conservation;

– A mitigation scenario : full implementation of the TSP and results in carbon intensity decrease to 0.48 tCO₂e per 1000 TND in 2030.

• In the reference scenario, the GHG emissions level would reach 60 million tCO₂e in 2030 and, thus, would increase with an average rate of 3.7% per year between 2009 and 2030.

• In the mitigation scenario, the reinforcement of actions in EE and RE would limit the GHG emissions growth rate to 1.1% per year. The GHG emissions would reach 35 million tCO₂e in 2030.

Overview of NAMAs Development in Tunisia

(1)

NAMA support project for The Tunisian Solar Plan (TSP) –

continue

The avoided GHG emissions would reach 6 million

tCO₂e by 2016 and 25 million tCO₂e by 2030.

Mitigation potential of the TSP in million tonnes of CO₂ equivalent

Overview of NAMAs Development in Tunisia

(1)

NAMA support Project for The Tunisian Solar Plan (TSP) –

continue

• The project document is under conception / to be submitted to GEF in early 2014

(GEF contribution ≈ 4 million USD, Co-financing ≈ 63 million USD);

• Main Project objectives:

– Complete a comprehensive barrier analysis for mitigation options in the energy generation and end-use sector, relating specifically to targets and objectives outlined in the TSP;

– Identify, analyse, screen and design 3 NAMAs that are aligned with TSP targets and objectives;

– Develop a NAMA enabling environment («joined-up»

institutional framework, operational multi-sectoral policy

dialogue, defined and approved policy and financial tools (fiscal incentives, feed-in tariffs, net-metering, concessional credits, loan programme facility, etc.).

Overview of NAMAs Development in Tunisia

(2)

GHG mitigation mechanism for the cement sector

Supported by the German Government

0,000 1,000 2,000 3,000 4,000 5,000 6,000 7,000 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 MtCO2e Process emissions 56% Direct emissions 34% Indirect emissions 10%

Context of the cement sector in Tunisia – relevance of the mechanism:

Energy and climate change indicators:

The final energy consumption (O.7 million toe) of the cement sector represents the 1/3 of the total energy consumption by the inds. sector. Total GHG emissions of the sector reached 6.4 million tCO₂e in 2009.

Emissions due to industrial processes: 56%

Emissions due to thermal energy use: 34%

Emissions due to electricity use: 10%

The mechanism is under conception with a view to being “adapted” to the UNFCCC “mechanisms”: the

NAMAs and the future NMM

Overview of NAMAs Development in Tunisia

(2)

GHG mitigation mechanism for the cement sector-

How can the emissions of the cement sector be mitigated:

An in-depth discussions and dialogue with the cement sector have helped identify GHG mitigation potential of 8 million tCO₂e over 2014-2020 based on

the implementation of 4 categories of emission reduction measures: - EE: 1.7 million tCO₂e over 2014-2020

- RE: 2.5 million tCO₂e over 2014-2020

- Co-processing (use of waste as fuel): 2.6 million tCO₂e over 2014-2020

- Finer segmenting of the cement market allowing reduction of the

Overview of NAMAs Development in Tunisia

(2)

GHG mitigation mechanism for the cement sector-

Structure of the mitigation mechanism

Voluntary agreement between cement producers and the Tunisian government

Achievement/exceeding targets

Individual performance contracts

The organizational component is the cornerstone of the

mechanism: it comprises the setting up of a management unit (at the national Agency for Energy Conservation) and the conclusion and the

implementation of a volontary agreement between Tunisan Gov. and the Cement sector

Overview of NAMAs Development in Tunisia

(2)

GHG mitigation mechanism for the cement sector-

- Cost of the implementation of the mitigation mechanism is around 7

million Euros and would allow the mobilization of invest of around 970 million Euros in less carbon-intensive technologies.

-The National Agency for Energy Conservation (ANME)and GIZ are preparing the launch of the mechanism and are in dialogue with various international donors.

National Agency for Energy

Conservation (ANME), Ministries of Environment, Industry, Energy, Infrastructure, cement producers, donors, etc.

Management Unit of the Mitigation Mechanism

Overview of NAMAs Development in Tunisia

(3)

The building sector NAMA -

Supported by the German Government

Context of the building sector in Tunisia – relevance of the NAMA:

Largest energy consuming sector (over 3 million toe in 2012)

Has the largest GHG mitigation potential to be achieved by energy

efficiency measures: 21 million of tCO₂e over 2014-2020

GHG mitigation potential for the Transport, Building and Industry sectors

In 1000 tCO₂e

Distribution of energy consumption by sector (2012)

Overview of NAMAs Development in Tunisia

(3)

The building sector NAMA -

Objective: Promote energy efficiency (EE) and use of renewable energies in the building sector:

Focus on thermal insulation, enhanced building design, EE appliances, efficient lighting, use of SWH systems and PV Sys.;

Embedded in the national strategy on EE;

Builds on existing national energy conservation programmes.

Core of the NAMA: Funding vehicle tprovide subsidies, soft

loans or other incentives to building owners or investors in energy efficient technologies

Extension or scaling up of an existing funding vehicle for solar water heaters and roofing insulation;

Additional incentive schemes for comprehensive coverage of building energy efficiency measures.

Overview of NAMAs Development in Tunisia

(3)

The building sector NAMA -

Other measures:

•Training and capacity building Prog. to develop knowledge and skills base required for widespread implementation of EE technologies;

• Public awareness raising and educational campaign;

NAMA development activities and next steps:

Support the Tunisian Gov. to define and develop a comprehensive NAMA proposal and finance strategy, through the elaboration of

Technical-economic analysis of the building sector in Tunisia, including

-Barriers for EE technologies in the building sector;

-Mitigation potential and cost of different technology options. Implementation plan including a comprehensive monitoring, reporting and verification (MRV) system;

NAMA proposal and finance plan to a sufficient level of detail to attract international NAMA funding and investment.

Overview of NAMAs Development in Tunisia

(4)

The sanitation (wastewater treatment) sector NAMA

Supported by the German Government

Context of the sanitation sector – relevance of the NAMA

• Baseline scenario: 0.79 million tCO2e in 2020 and 0.94 million

tCO₂e in 2030

• 84% of the emissions are due to wastewater and sludge

management (CH₄) and 16% are due to the energy consumption.

Main objectives of the Initiative:

-Develop GHG mitigation potential of the sanitation sector;

- Analyze different mitigation options (reuse of sludge to produce biogas, energy efficiency measures, use of renewable energies and process change).

- Develop a NAMA proposal and finance plan to attract international NAMA funding and investment.

Overview of NAMAs Development in Tunisia

(5)

The Agriculture, Land Use Change and Forestry NAMA

Supported by the German Government

Context – relevance of the NAMA

• The sectors represent jointly the 2nd source of GHG emissions in Tunisia (29% of the total Gross GHG emissions in 2000)

• Preliminary studies: mitigation potential exceeding 3 million

tCO₂e by 2020.

Main objectives of the Initiative:

-Develop GHG mitigation potential ;

- Analyze different mitigation options (efficient use of fertilizers, improvement of cattle breeding, biomass conservation and

plantation, etc. ).

- Develop a NAMA proposal and finance plan to attract international NAMA funding and investment.