business solutions to enable energy access for all the wbcsd access to energy initiative ...
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Business solutions to enable energy access for all The WBCSD Access to Energy Initiative Washington D.C. February 21 st 2012. WBCSD Access to Energy Initiative. Maximizing the business contribution to expanding access to clean, reliable & affordable energy. - PowerPoint PPT PresentationTRANSCRIPT
Business solutions to enable energy
access for all
The WBCSD Access to Energy Initiative
Washington D.C. February 21st 2012
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WBCSD Access to Energy Initiative
Maximizing the business contribution to
expanding access to clean, reliable &
affordable energy
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New publication: Business solutions to enable energy access for all
19 member company case
studies
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Background to the publication• Expansion and transformation of energy systems
required.• Efficiency and reliability are critical for delivering
development benefits.• Business is a primary solution provider…• …but there are major barriers to investment.• Public investment is essential.• Maximizing the opportunity for business:
Reduction of financing gap. The business role as a solution provider. Efficient and effective implementation capabilities.
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Government Development Agencies
Financing Institutions
Communities Consumers/Householders
LARGE COMPANIES & UTILITIES
1. Efficient deployment of existing solutions at scale
2. Innovation & new solutions
3. Efficiency & reliability of the energy system
4. Knowledge & skills transfer
5. Financial resources6. Linkages with local firms
and social entrepreneurs
LOCAL FIRMS & SOCIAL ENTREPRENEURS
•Localized solutions to meet local customer needs•Last mile service delivery•Key producers and distributors
Partnering, supply chain, joint ventures etc.
Regulatory Agencies
NGOs
KEY STAKEHOLDERS
EXPANDING ACCESS TO
CLEAN, RELIABLE &
AFFORDABLE ENERGY
CONTRIBUTION OF BUSINESS
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MAXIMIZING THE BUSINESS
CONTRIBUTION TO PROVIDING
ACCESS TO CLEAN,
RELIABLE & AFFORDABLE
ENERGY SERVICES
1. BUSINESS MODEL INNOVATION
• Grid extension • Decentralized/renewable
energy systems• Products & appliances
2. ENABLING POLICY FRAMEWORKS
3. FINANCING MECHANISMS
COLLABORATION & PARTNERSHIPS(Governments, IFIs,
Development Agencies, Social entrepreneurs,
NGOs etc.)
DELIVERY OF GOODS & SERVICES
ENABLING ENVIRONMENT
Maximizing the business contribution
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• More affordable and reliable products and services.
• Overcoming or circumventing market barriers/failures.
• Increasing profitability and scalability of servicing poor customers.
Business model innovation
Improvement of the investment climate & removal of barriers
Products & appliances Grid extension
Distributed/renewable
energy systems
Enabling of private participation & Public Private Partnerships
(PPPs)
INVESTMENT CLIMATE
Prioritization in National Development Planning
PLANNING, COORDINATION & PRIORITIZATION
Policy coordination & coherence
Capacity building & skills development
Public investments in core infrastructure
SUPPORT TO KEY
SOLUTIONS
SIMPLIFIED POLICY FRAMEWORK FOR SCALING BUSINESS INVESTMENT
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0
10
20
30
40
50
2009 Annual requirement for universal access
by 2030
Bill
ion
dolla
rs (
2010
) Private finance
Developing country governments
Multilateral development banks
Bilateral official development assistance
The financing gap…
Source: IEA World Energy Outlook 2011
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• Challenge: (often) weak private financial case but clear social benefits warranting public investment.
• Public and development finance can be designed to leverage additional business investment to maximize impact.
• Other mechanisms/actors also important: Climate finance Local banking sector Microfinance Social/impact investment
Scaling up private investment
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Collaboration & partnerships
• Partnerships and cross-sector collaborative approaches between key stakeholders are essential to make all of these opportunity areas successful.
• Effective public private partnerships (PPPs) will be particularly important drivers of progress toward universal access to energy.
• Partnerships are also critical for: Making new business models work. Effective financing models. Coordination and advocacy for global action (e.g. Global
Alliance for Clean Cookstoves).
Contact: Matthew [email protected] +41 (0) 22 839 31 94
http://www.wbcsd.org/accesstoenergy.aspx