Biofuels technologies: Potential for South-South cooperation

1. Biofuels technologies: Potential for South-South cooperation High-level seminar on interregional cooperation Abdoulie Janneh, UN Under-Secretary-General and Executive Secretary of the Economic Commission for Africa Santiago, Chile 8 June 2007

2. 1 Structure of the presentation • Recent initiatives in South-South cooperation • Energy supply – a challenge to be addressed to achieve the MDGs • Biofuels technologies and South-South cooperation initiatives • Strengthening interregional cooperation • Role for the Regional Commissions

3. 2 South-South Cooperation • Many successful examples • Africa – Latin America • Africa-South America Summit • Africa – Brazil/Cuba: Vaccine • Africa – Cuba: Medical schools • Africa –Asia • China-Africa Cooperation Forum • India-Africa Fund • Advantages • Similarities – development contexts, cultural and historical paths • Mutual respect and cooperation without conditionalities • Addresses capacity-building and financing needs

4. 3 Some facts • Africa accounts for 12% of world’s oil supply, but only about 3.5% of world’s petroleum consumption • Heavy reliance on traditional biomass fuels • Wood, charcoal, straw, agricultural residues and dung • In Africa, biomass fuels represent 90% of total primary energy consumed

5. 4 Energy: A challenge for developing countries • Energy and economic development • Adequate energy supply necessary for accelerated economic growth and sustained poverty reduction • Strong and positive correlation between per capita GDP and energy consumption • If poorer countries are to meet the MDGs, and NEPAD priorities in Africa, the energy challenge must be addressed

6. 5 • Modern biomass-derived fuels • Gaseous fuels (biogas) • Liquid fuels (ethanol and biodiesel) • Why a renewed interest • Increasing demand for energy • High and volatile oil prices • Environmental concerns • Availability of new technologies Reasons for investing in biofuels

7. Limited access to information on options/opportunities • High capital cost and lack of access to finance • Need for • Promoting effective use of these technologies • Involving small-scale farmers in production • Strengthening technical capacity to operate and maintain these technologies • Developing conducive policy, legal and regulatory frameworks • Developing local markets for biofuels 6 Challenges of biofuels technologies in Africa

8. 7 Ongoing inter-regional initiatives in Africa • National level • Senegal will launch a biofuel programme in 2007 in cooperation with Brazil and India • Sub-regional level • Government of India to promote biofuels in West Africa region through ECOWAS Bank for Investment and Development (EBID) • Regional level • Africa – South America Summit (2006) • AU/Brazil/UNIDO to develop a roadmap for biofuels development in Africa • ECA could develop policies & strategies on biofuels development in Africa

9. 8 Strengthening cooperation: A role for the regional commissions • Policy analysis and advocacy • Assessment of biofuels development • Scenario building and risk analysis • Monitoring the implementation of the Africa-South America Summit Outcome • Consensus building • Interregional seminars/workshops • High-level meetings • Facilitating engagement with G-8 and other blocks • Technical assistance • Contributing to elaborating continent-wide strategies • Enhancing capacity to set up policy, legal and regulatory frameworks

10. Better use and focus of Development Account projects • ECA proposal for the 6th tranche: Innovative financing mechanisms for new and renewable energy projects • Promote fora for exchanges between the private sector of leading countries in biofuel technology development and counterparts in Africa 9 How to scale up cooperation

11. Thank you!Please visit www.uneca.org