In 2016, Grenadian consumers paid an estimated over EC$90 million in electricity bills attributed to the use of refrigeration and air conditioning appliances.
This accounts for over an estimated 40% of total the electricity generated during this period. Within this total cost to consumers, almost 70% of the costs arises from the use of unitary air conditions (such as ductless split AC systems). This figure is estimated to increase significantly in the coming decades and paints a clear picture for need to mitigate greenhouse gas emissions through energy efficiency and financial products tailored to green cooling investments.
To this end, the National Ozone Unit (NOU) supported by the project “Cool contributions Fighting Climate Change: (C4) hosted a financial and energy services sector training during the past week facilitated by technical consultant Jan Bleyl, based in Germany. The Government of Grenada, through the NOU and supported by the C4 Project, continues its efforts to support and enhance the capacity of stakeholders involved in the cooling sector to be able to handle and access green alternative technology. The training focused on increasing the capacity of Energy Services Companies (ESCOs), Renewable Energy (RE) Suppliers, Public Utilities, and Banking Institutions in Investment-grade Calculation and Analysis of Energy Projects. Bleyl explained that while the model can be used everywhere in the world, the input data determines how it can be tailored to the specific local market conditions. For that reason, the workshop was preceded by a pre-workshop meeting with 3 experts representing: the banking sector, ensuring the models reflected the local banking requirements; public utility, Grenlec, ensured correct representative tariffs and interconnection policies; and, experienced local and regional energy auditor who provided data on local and regional RE and Energy Efficiency (EE) projects.
Leslie Smith, National Ozone Officer within the National Ozone Unit (NOU) based in the Energy Division of the Ministry of Infrastructure Development and Energy et. al. said the training, “would allow the financial institution to be in a better position to evaluation renewable energy and energy efficiency projects and to determine the economic viability of such projects. It will also assist project developers in ensuring that their project proposals are bankable and would meet the approval of financial institutions. Furthermore, the results of the workshop will contribute towards Grenada’s readiness and the mitigation actions with respect to the impacts of climate change.”
The training’s main objective was to generate awareness of the possibilities offered by financing of green cooling technologies, energy efficient technologies and renewable energy technologies in the Grenadian context. In particular, the training introduced financing models suitable for Grenada, and apply practical knowledge of tool-based calculation of investment cases for Green Cooling technologies in Grenada, including the techno-economic feasibility, cash flows, etc. The training hands-on approach enabled participants to apply these tools to their own case studies during the workshop so that they will be able to use them in their professional capacity after the 2-day event.
The workshop targeted participants from financial institutions likely to develop financial products to back investment in green technology as well as managers of companies which are investing in green technology projects.
Businessman, Everton Connor of ELCICS Inc., a company specialising in green energy installations, mainly Solar Photovoltaic (PV), said that the workshop provided the tools for financial institutions to understand business proposals so his company may access finance easier. He said, “The tools can also help us show the financial benefits of retrofitting a building to a potential client, thereby translating our technical proposal into a viable economical one for them.”
Natasha Joseph of the Grenada Development Bank confirmed that this tool will greatly assist financial institutions in evaluating proposals from customers who are pushing forward green energy projects. She said that she would go as far as saying that this is the most user-friendly tool to evaluate project feasibility that she have been presented with so far.
The C4 project is implemented by the National Ozone Unit (NOU) in the Energy Division of the Ministry of Infrastructure Development, Public Utilities, Energy, Transport and Implementation and the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ), and its aim is to improve the framework conditions that will encourage the use of energy-efficient and climate-friendly Refrigeration and AC equipment. The global programme “Cool Contribution fighting Climate Change” (C4), and the “Cool Training” initiative are both funded by the German Federal Ministry for the Environment, Nature Conservation and Nuclear Safety (BMU) as part of the International Climate Initiative (IKI).
Ministry of Infrastructure Development
NOW Grenada is not responsible for the opinions, statements or media content presented by contributors. In case of abuse, click here to report.