RENEWABLE ENERGY GENERATION INVESTMENTS and IMPROVEMENTS IN PRIVATE SECTOR , FINANCING FOR SUSTAINABLE
The
(SDGs), adopted by the UN General Assembly in Sep’2015, are a set of 17 global goals, which seek to end poverty by 2030, promote peace, and preserve the planet for future generations.
What about SDGs?
Sustainable Development Goals : SDGs
are more ambitious than their predecessor, the Millennium Development Goals (MDGs). Because they cover a broad range of interconnected issues, from ending poverty to addressing inequality and creating sustainable economic growth, from governance to global public goods such as climate change.
Multilateral Development Banks-MDBs
(MDBs) provided USD 23.8 billion in financing in 2013 to address the challenges of climate change and, since 2011, have provided over USD 75 billion in climate finance to developing and emerging economies.
Of the total USD 23.8 billion in climate finance, 80%, or USD 18.9 billion, was dedicated to mitigation and 20%, or USD 4.8 billion, to adaptation.
Of the total commitments, 9%, or USD 2.2 billion, came from external resources, such as bilateral or multilateral donors, including the Global Environment Facility and the Climate Investment Funds.
International Development Association role (IDA) The (IDA) is the part of the World Bank that helps the world’s poorest countries.
Established in 1960, IDA aims to reduce poverty by providing loans (called “credits”) and grants for programs that boost economic growth, reduce inequalities, and improve people’s living conditions.
FACTS ABOUT KOSOVO : Population:
1.9 million Kosovo is one of the poorest countries in Europe, with almost a third of the population living below the poverty line and one in 10 people living in extreme poverty. The average per capita income is about one-tenth that of the EU. Kosovo has one of the highest unemployment rate in Europe, overall rate about 33 % . Unemployment for youth aged 15-24 years is about 60%. ****Job creation, is a major priority for the country**** Source: World Bank
Unemployment Rates in Kosovo
FACTS ABOUT KOSOVO :
GDP (PPP): $17.4 billion Growth 3.3% 5-year compound Annual Growth 3.0% Unemployment: 33% (60% of it is youth) Inflation (CPI): -0.5% FDI Inflow: $359.8 million Kosovo GDP per capita 2000-2017 was recorded : at 3785.59 US dollars in 2015. (The GDP per Capita in Kosovo is equivalent to 30 percent of the world's average)
GDP per capita averaged 3009.95 USD from 2000 until 2015, Highest GDP per capita of 3785.59 USD in 2015, Lowest GDP per capita was recorded of 1919.84 USD in the year 2000.
KOSOVO GDP PER CAPITA
Increasing Trend of Debt to GDP
Corruption Index 2010-2016
THE WORLD BANK FOR THE POOREST
As of September 20, 2016, the active lending portfolio amounted to US$116.7 million, across 7 projects in the areas of: - Energy, - Education, - Public sector reform, - Cadastre, - Agriculture, - Health, and - The financial sector ď‚›
World Bank Strategy in Kosovo
ď‚›
IDA net commitment in Kosovo = $116.75 million
Renewable Energy Sources (res) ? Are defined as Self-Generating
• Are used to generate
CLEAN Energy (or Green Energy).
•Does not emission dangerous elements & does not generate Pollution into the environment. • Are Sustainable Sources: Enable fulfilment of the energy requirements for the upcoming years, it means that: in addition to being renewable, create Energy Efficiency also.
Types of Renewable Energy Sources • Solar energy • Wind energy • Hydro energy (water power) • Biomass • Geothermal Energy
Triange of ENERGY Source:Vattenfall,2011
According to IEA : (iea=International Energy Agency )
TOTAL ENERGY DEMAND IN GLOBAL LEVEL IS PREDICTED TO BE INCREASED BY 21 % UNTIL YEAR
2030
Focus on PRIVATE FINANCE : In
developing countries is growing fast. Public-private partnerships are the most common. Foreign direct investment (FDI) led many actors to expand blended mechanisms of financing. Private finance is the largest international flow to developing countries: FDI totalled US$472 billion in 2011, and loan disbursements almost US$700 billion. These are enormous numbers, especially in comparison to the amount of official development assistance (ODA) available. Realising the end of poverty will require partnerships and the alignment of actors from all sectors.
Key Development Needs for Public-Private Partnership ( PPP )
Development of general PPP policies; Development and management of the national PPP programme; Implementing regulations and clarifications regarding rules, procedures and standards for PPP projects and project documents that are binding for all public authorities; Ensuring the proper implementation of laws,regulations related to PPP projects; Acting as a contracting authority for specific projects; Approval of the economic support to projects; Public-Private Partnerships Challenges (PPP) Oversight and review of performance compliance ,project execution; Review and approval of proposed amendments and modifications to agreements; Management of a national PPP registry; Making decisions relating to the use of funds deriving from PPP appropriations; Making other relevant decisions relating to PPPs.
REASONS Renewable Sources DEVELOPMENT IN KOSOVO Dependence of the Kosovo economy from elevated global oil prices (Fluctuations of oil prices) High dependency structure of economy to import of electrical energy. From the past, Kosovo has a history of permanent developing energy crisis, which are used to it. Political conflicts and instability with neighbor country Serbia.
REASONS Renewable Sources DEVELOPMENT IN KOSOVO
Efforts
to avoid environmental degradation and
climate.
The uncertainty in the use of non-renewable energy resources (fuel, coal, discharge of oil) .
Support
from government through policies.
These reasons, will guide investors toward improvements of RES investment level.
Business Climate Attractive for investments if : Ensuring of Return on Investment (ROI) Overall Risks regarding to investments has a descending trend Economical and Political Stability (which is a considerable factor in conflict,fragile developing countries).
Challenges of Kosovo in Small Hydropowers
Conclusions
Protection of the environment is the primary obligation of every individual. Economic growth and the use of renewable energy sources, investments will create new jobs, with a chain effect to reduction of the employment rate ,especially youth of the country. Exploring the knowledge about the use of technology as a catalyst in ensuring the quality of the environment that lead to quality of life and wellbeing. Green technology is seen as a tool to help people maintain environmental sustainability locally in Kosovo and indicating also globally. Funding will not only help people who want venture projects in green energy, but may encourage those who have little capital to be involved, to cooperate and to operate in green technology sector.
RECOMENDED GOVERMENTAL INITIATIVES, IN PROMOTION OF RENEWABLE ENERGY SOURCES
Recommended Improvements in Energy Sector Investments of Kosovo
“A nation that destroys its soils destroys itself. Forests are the lungs of our land, purifying the air and giving fresh strength to our people. “ Franklin D. Roosevelt “One thing is sure. We have to do something. We have to do the best, we know how at the moment.... If it doesn't turn out right, we can modify it as we go along.” Franklin D. Roosevelt
Thank You! !