Number 1, March 2007 Welcome to the first issue of the Pacific Energy News for 2007. Reflecting on 2006, the Commission on Sustainable Development convened the CSD14 session that addressed the thematic cluster of Energy for Sustainable Development, Industrial Development, Air Pollution/Atmosphere and Climate Change where this provided the opportunity to report on progress in these sectors. 2007 now provides the opportunity to look at policy statements for the cluster. Hence the beginning of 2007 has seen the regional organisations contribute to the preparation of briefing documents for the PIF Missions in New York including technical support during the CSD15 Intergovernmental Preparatory Meeting (IPM) and will continue to provide similar levels of support during the CSD15 being convened between 30/4 – 11/5. In addition to this, planning and preparation of papers has commenced for the Regional Energy Meeting (REM) and the Pacific Energy Ministers Meeting (PEMM), where the theme is Energy Security for Sustainable Development and where the Forum Leaders decisions from the 2006 Forum will be addressed at the Energy Ministers Level. These meetings will be convened from 23-26 April, 2006, Rarotonga, Cook Islands. New development and positive moves toward increased application of renewable energy technology through tax incentives have been adopted in some countries, whilst some countries have developed energy policies, action plans and strategies to guide them forward on their energy developments; others require more assistance, commitment and good-will in the formulation of their national energy strategies. The PIEPSAP programme has in the past years availed itself to stakeholders’ consultations for policy formulation as and when required. Information exchange is critical, particularly in relation to the Clean Development Mechanism of the Kyoto Protocol, through this, respective opportunities and the challenges to our effective participation collectively identified. The reporting on the CSD15/IPM, regional project updates, current

trials on bio-fuel in the Fiji Transport sector and wave energy in New Caledonia, including a detailed report on the drop of fuel prices towards the end of last year are highlighted in this issue. Please enjoy reading!!

E n e r g y , E n v i r o n m e n t & E c o n o m i c s

Contents Regional Projects Update………….......

PIEPSAP CSD15/IPM Report PESTRAN REM & PEMM PIGARREP PECS PEG

Regional News…… Announcement…… Regional News …...

PIF Invitational Middle Management Programme Fuel Prices Drop as Oil Prices Slide Regional Energy Day, 2007 Subscription to Biofuel News “Introduction to RET” course Staff Update Biofuels trial in Fiji Pacific Cooperation in Wave Energy Clean Development Mechanism

National News……. PNG,RMI, Samoa,Tonga, Cook Is, Fiji, Vanuatu, Tuvalu, Niue

International News.

EU Energy plans at a Glance NZ must Invest in RE – Stern Review Russian Academics – CO2 not to blame for Global Warming Hydro power contributes to global warming

2007 Rolling Calendar of Events February 23 -24 26 -2 March March 5 – 9 12 – 16 19 - 23 26

CSD15 New York Missions Retreat CSD15 Intergovernmental Preparatory Meeting, New York PEG Sub-regional Workshop, Nadi Energy Efficiency National Workshop Energy Mission, Palau PEG Sub-regional Workshop, FSM Energy Mission , Guam

April 22 23-26

Regional Energy Day REM / PEMM 2007 –Rarotonga, Cook Islands

April – May 30 -11

CSD 15 Session of the Commission on Sustainable Development

Cook Islands: Support for the installation of wind monitoring

unit in the Cooks include on-site measurements prepared in the framework of a UNDP TRAC funded project

PIEPSAP Participation in EU-EDF 10 programming mission leading to inclusion of wind project in EDF 10 program.

Decision of additional support in the area of wind resource assessment is being looked into.

Fiji Islands: Fiji National Energy Policy Framework (NEPF).

Finalised and endorsed in November of 2006. Finalization and completion of a biofuel

resource assessment and feasibility study for sustainable electrification on Rotuma. Presentation and discussion of results with key stakeholders.

Procurement and Installation of wind monitoring units for Rotuma, March 2007.

Support for participation of Commerce Commission rep in Asia-Pacific regional regulator meeting. Contribution provided on poverty oriented universal service obligations policies.

Federated States of Micronesia: A tariff study for Pohnpei Utility Corporation

(PUC) done by consultants, study completed and accepted by PUC, Dec 2006

Support from PIEPSAP for additional work in the area of ownership options and private sector participation for PUC.

Support for hydropower feasibility study for Pohnpei, preferably as a co-funded activity.

Support for FSM’s National Energy Policy development.

Palau: Development of the PECS with project

inception and field work by consultants commencing in January 2007

Energy audit support and related training Country Mission by PIEPSAP Manager in

March 2007 (Progress control and participation in REP 5 steering committee meeting)

Solomon Islands: Review of electricity legislation and

development of framework for rural

electrification. Successful completion of

consensus building workshop that outlined the Next steps in the implementation of a

comprehensive Rural Electrification Strategy in close co-operation with World Bank. .

Tendering and procurement of a consultant for a tariff study for SIEA.

Support to SIEA in the participation in EAPIRF regional regulators meeting in Cambodia. Presentation on PIEPSAP at the meeting.

Request received to support SIEA in the area of MIS/GIS is being looked into.

A draft SAP developed and circulated finalised in early 2007.

Samoa: Successful inception of GIS/MIS project under

direct contract between UNDP Samoa and the preferred bidder for the project. Inception was in December 2006. GIS work focused on Strategic Asset and Risk Management.

Finalization of the National Energy Policy Framework.

Tonga: Legal support in the development of renewable

energy legislation by local legal consultant. Cabinet endorsed Tonga’s Renewable Energy

Policy in October 2006. Joint workshop with PIFS on energy security

and petroleum procurement. A shortlist of candidates for drafting of energy

legislation had been assembled.

Tuvalu: Wind measuring equipment had been

procured; installation is scheduled for early 2007.

Follow up on MIS/GIS work (training support). Support to Alofa Tuvalu in energy and

environmental education. A regional biogas initiative training scheduled

in Tuvalu.

Vanuatu: PIEPSAP follow up on policy implementation

development with key stakeholders and NSA Multi stakeholder policy workshop focused on

strategic planning in October and Dec, 2006. Draft NEPF is in place and ready for submission to the council of Ministers in early 2007.

Contact: PIEPSAP Project Manager: Gerhard Zieroth: gerhard@sopac.org

REGIONAL PROJECTS

PIEPSAP Project

Pacific Energy News (Number 1 –March 2007)

- 3 -

Delegates, As you have just heard the Small Island Developing States are particularly vulnerable to the impacts of Climate Change and Sea Level Rise. However it is important to note that for SIDS climate change does not stand alone, but jointly with the other three sectors of the thematic cluster for CSD14&CSD15 which are considered to all be intrinsically linked. In this presentation I will focus on issues related to energy that are of immediate importance to SIDS and therefore consider that these issues should accord a high level of attention. At this point and as an overarching factor, security of energy supply and access to energy are requirements necessary for sustainable development, this is pivotal, since most SIDS are nearly all totally dependent on imported fossil fuels for meeting the greater proportion of their energy needs. Compounding this for the Pacific SIDS is the fact that there still remain an estimated 70% of Pacific islanders that do not have access to modern energy supplies. Therefore and so as to address the issue of security of energy supply and access to energy, I will focus on the following sectors: - policy and planning, petroleum supply, renewable energy and energy efficiency and conservation which are consistent and in accord with those in the Report of the Secretary General (E/CN.17/2007/2) for this Intergovernmental Preparatory Meeting. For the Pacific SIDS the development of a regional energy policy has provided a guideline and basis for the development of National Energy Policies and Strategic Work Plans, and that a similar approach is currently being implemented in the Caribbean. However, there is still the need for technical assistance and capacity building for SIDS in not only the implementation of the national polices and plans but also in developing national capacity and skills to design project and programme proposals that will assist SIDS in accessing funding that will directly contribute to addressing the security of energy supply and access to energy. It is appropriate to note here that the development of national energy policies has been through a fully participatory approach where specific attention has been given to energy and gender. The energy and gender component being further strengthened through the Pacific Energy and Gender Network (PEG) where this has focused on the development of training materials, the convening of awareness building workshops at government level as well as the preparation of gender focused publications so as to reach out into rural and remote communities. As this capacity building and educational aspect of energy and gender awareness is in its infancy there is

the need for further support and assistance to ensure that this sector is strengthened for the betterment of SIDS communities as a whole. The incentives here are the direct linkages into the rural and remote communities, through contributing to reducing poverty and improving education and health. As most SIDS are nearly totally dependent on imported fossil fuels for meeting the greater proportion of their energy needs, in particular for electricity production and the transportation sector it is imperative that support (through technical and financial assistance) be provided so as to identify options for reducing the cost of imported petroleum products. This is also a high priority for the Pacific SIDS where the Pacific Island Leaders during the 2006 Pacific Islands Forum directed that there is the need to consider the option of bulk purchasing of petroleum products with the view to reducing costs – obviously to do this there is the urgent need immediate technical and expert support to review the regions current petroleum supply arrangements and determine what possible options are available to address this issue. Hence there is a need to develop and implement a strategy for the review of petroleum supply including bulk fuel purchasing and distribution options so as to ensure security of energy supply and access to energy for sustainable development. It is recognised that the reduction in the cost of petroleum products is not going to be the total solution and in parallel there needs to be an increase in the number of project, programmes and initiatives that allow for the integration appropriate new and renewable energy technologies into the energy supply within SIDS. Although there are new initiatives such as ADMIRE as a national energy project in the Republic of the Marshall Islands and the PIGGAREP as a regional project that addresses the reduction in greenhouse gasses through renewable energy, there is still the need for further such initiatives that will contribute towards achieving a more realistic increase in energy technologies into the energy mix. For SIDS the promotion of hydropower, wind, solar and biomass currently present opportunities where the technologies are proven. However, potential for other more innovative technologies such as biofuels, wave energy and ocean current still require to be developed as pilot project and proven before they are likely to become fully accepted as renewable energy options for integration in to the energy mix. As these evolve they will also assist in addressing the energy requirements of the urban as well as the rural communities. Until there is further rapid development in the increase and integration of these new and alternative renewable energy technologies within SIDS then there will remain limitations in contributing too and addressing the MDGs, Johannesburg Plan of Implementation, Barbados Plan of Implementation and Mauritius Strategy for Implementation where specific emphasis

Presentation Intergovernmental Preparatory Meeting - CSD15 SIDS Session

26th February 2007

Pacific Energy News (Number 1 –March 2007)

- 4 -

will be on issues such as energy and gender, health and education. SIDS dilemma in progressing the adoption and integration of new and renewable energy technologies at an appropriate rate is hindered from a number of aspects. The uniqueness of the SIDS must be fully recognised and acknowledged where each of the SIDS are to a significant degree individually unique. For example, they have different natural renewable energy resources and therefore different development needs – their geological structure geographical locations often expose them to extremes in weather events and hence increased vulnerability to installations such as wind turbines, flash flooding inundating hydropower scheme infrastructure or coastal structures. Other aspects of relevance are the initial high cost of implementation and following this the longer term maintenance costs. This therefore necessitates that special attention should be given to the SIDS case in supporting their efforts to increase the percentage of renewable in their energy mixes through the introduction of affordable and appropriate technologies. As identified earlier technologies such as solar, wind, biomass, hydropower and in some cases geothermal already contribute, but there needs be increased integration and opportunities provided to accommodate and integrate other emerging renewable energy technologies. However this can only be achieved if the following can be provided:-

•The immediate need for assistance in research and in understanding and quantifying the individual renewable energy resources which are available within SIDS; •The need for improved access to and the provision of financing, both public and private modalities that will facilitate to increasing the percentage of renewable energy as well as support the introduction of emerging new and innovative renewable energy technologies; •Technology transfer including support in resource assessment and evaluation for renewable energy technologies, technology research and development, and data collection; and •Increased capacity building across key sectors – such as policy development/ planning/development of project proposals/ strengthen technical institutions etc.

Further in regard to renewable energy, and more recently it is has been identified that “biofuels” can offer and provide a suite of new and emerging energy technology options as part of the renewable energy mix, in particular the use of coconut oil for Pacific SIDS, which needs the immediate input of technical assistance, improved access to and the provision financing, technology transfer and capacity building. However it should be noted that the development of biofuel initiatives for SIDS are severely disadvantaged from the perspective that there is the lack of established and approved baseline methodologies that enable access to development funding, such as that

available through the GEF and also linking these technologies to the CDM process. It is therefore urged that immediate attention be given to addressing the need for consideration to be given to SIDS in regard to improved access to and the provision of financing through appropriate mechanisms that can be realistically achieved by SIDS. This also links to the earlier referenced requirement for support and assistance with capacity building in the development of project and programme designs. Although the SIDS are striving towards sustainable development through the reduction and reliance on fossil fuels through increasing the percentage of renewable energy in the petroleum energy mix there is the growing recognition that the implementation of energy efficiency and conservation initiatives in parallel can provide real cost effect opportunities of reducing the reliance on imported petroleum products and the effective exploitation of natural energy resources as part of the energy mix in SIDS. As with renewable energy technologies SIDS also require now and in the future significant levels of assistance in addressing both the supply side and demand side of their energy sectors so as to ensure the benefits are optimised from the proposed initiatives which will primarily contribute towards reducing the use of imported petroleum products and support the increase of energy supplied from renewable energy resources. Referring to the inter-linkages and in relation to Industrial Development there is the need for support for small to medium sized enterprises in SIDS that links with energy efficiency and renewable energy for rural and remote areas, as well as the identification and promotion of niche markets for SIDS and small to medium sized enterprise development. Such initiatives will benefit from contributions in improving energy efficiency and energy conservation where this is already noted as a priority action for SIDS as relatively small improvements in energy efficiency can result in large savings for governments and communities Air Pollution/Atmosphere issues for SIDS predominantly relate to the need to pursue options for the development and use of cleaner burning biofuels as a means of reducing indoor and ambient air pollution where appropriate alternate options need to be made available along with information transfer to the relevant sectors. SIDS can benefit from access to technical support for alternative refrigeration and air-conditioning technologies specifically for the tourism and fisheries sector as an incentive means of reducing reliance on potentially ozone depleting substances or alternatives to ozone depleting substances that have high climate change potential. There are significant benefits from the capitilising on the opportunity for the provision of technical support through strengthening and utilizing inter-agency cooperation to address issues of compliance, monitoring and illegal trade.

Pacific Energy News (Number 1 –March 2007)

- 5 -

In conclusion SIDS are aware of the interaction and inter-linkages between the thematic cluster where it has been identified there is:-

•The need for support in the development and implementation of policies, plans and strategies; •The need to work towards reducing reliance on the use of fossil fuels, including the review of supply and pricing; •The need to increase the percentage of new and renewable energy in the energy mix; and •The need for promoting energy efficiency and energy conservation in supply and demand side sectors.

However, for SIDS to be able to realistically work toward and achieve these goals they need significant levels of assistance immediately. More specifically these include improved access to and the provision of financing through appropriate mechanisms that can be realistically achieved by SIDS, technical transfer and capacity building that should be available across the government, public, private and community sectors. Hence these are identified as the main components necessary for SIDS to be able to work towards ensuring security of energy supply and access to energy for sustainable development. Thank you.

Presenter: Paul Fairbairn, Manager Community Lifelines - Technical Adviser to the PIF New York

Mission Group Accredited through PNG, Chair of the PIF

PESTRAN The MSP Brief has been forwarded to New York by UNDP /GEF Bangkok. PESTRAN has also undergone a re-pipelining process as required by the GEF4 process in late 2006. The MSP now awaits the call for MSP submissions to GEF4 currently scheduled for June 2007. The primary objective of PESTRAN is the promotion of environmentally sustainable ground transportation systems for improving energy efficiency in transport and for improving public transport systems. Contact: Rupeni@sopac.org

REM & PEMM The Regional Energy Meeting (REM) and the Pacific Energy Ministers Meeting (PEMM) are both tentatively scheduled for the 23 & 24 April, 2007 and 25 & 26 April respectively. The venue is Rarotonga in the Cook Islands. The Theme for both meetings is Energy Security & Sustainable Development. For additional information and registration: Contact paul@sopac.org

PIGARREP Staff recruitment process is now being undertaken. Contact: brucec@sprep.org

Palau Energy Conservation Strategy (PECS)

SOPAC through PIEPSAP has provided funds for a consultancy to develop a Strategy towards achieving a 10% reduction in energy use by the Government of Palau. This was initiated through an Executive Order from the President of Palau. For further information:” Contact:Rupeni@sopac.org

PEG Sub-Regional Workshops The PEG Sub-Regional workshop held from 5-9th March in Fiji comprising of 5 Pacific Island Countries was a success after 5 days collaborating on Gender and Energy issues. Five project concepts were completed by participants with assistance from workshop facilitator and SOPAC staff. A second sub-regional workshop is to be conducted in Pohnpei, Federated States of Micronesia from 19-23rd March, 2007. Acknowledge to CTA for providing financial assistance toward the PEG programme and activities. For more information: Contact:yogita@sopac.org

Women reps from Samoa, Faasili Afamasaga and Hilda Kari from Solomon Is in a role play – PEG Nadi Workshop For more Project Updates:

Visit SOPAC website: www.sopac.org

Pacific Energy News (Number 1 –March 2007)

- 6 -

The report - “Proceedings of the Regional Strategic Planning and Awareness Raising Workshop Pacific Energy and Gender Networks (PEG)” was one of the 2005 Workshop’s outputs.

The meeting of the 15th Session of the UN Commission on Sustainable Development (CSD 15)was preceded by an Intergovernmental Preparatory Meeting (IPM) which took place in New York from 26 February to 2 March 2007 at the UN Headquarters. CSD 15 is the second, or policy year of the second implementation cycle during which the Commission continues it focus on the following areas, Energy for Sustainable Development, Industrial Development; Air Pollution/Atmosphere; and Climate Change. During the IPM, ENERGIA as an official Organizing Partners for the Women’s Major Group (Women), will be lobbying and advocating for the inclusion of gender and energy in the final outcome documents of meeting. ENERGIA has provided support to Pacific Energy and Gender Network (PEG) to participate in the IPM, and in continuation PEG’s substantial contribution to ENERGIA activities at CSD 14. Mr Anare Matakiviti attended the IPM, representing PEG. For more information on PEG activities: Contact: yogita@sopac.org For more information visit website: www.sopac.orghttp://www.sopac.org/About+PEG

Sub-Regional Workshop on Gender Mainstreaming in Energy Policy and Planning in the Pacific Island

PEG Resources

There are new resources that have been uploaded to the PEG resource library webpage and which are to be put into practice at the two workshops mentioned.

CSD – 15 Updates

PACIFIC ENERGY and GENDER NETWORK

Two sub-regional workshops are to be conducted as follows: Group 1: Participants from Fiji, Niue, Samoa, Solomon Islands and Vanuatu will attend the workshop to be convened at Tanoa International Hotel in Fiji from 3rd – 9th March, 2007. Group 2: Include four island states from the Federated States of Micronesia (FSM), Republic of Marshall Islands and Palau. The workshop to be conducted at Pohnpei in FSM from 19th – 23rd

March, 2007. The objective of the two workshops is to reinforce awareness raising and integration of gender equity into rural energy development, energy policies and action plans. The Workshop is funded by the Technical Centre for Agricultural and Rural Co-operation (CTA), with contributions from PIEPSAP project and SOPAC Secretariat.

This training manual “The Gender Face of Energy” has been adopted from the ENERGIA commissioned manual “Concepts in Gender and Energy – Module 1 for applicability to the Pacific region by including relevant and appropriate case studies.

The Gender Face of Energy” trainer’s guide is a manual for Gender and Energy training courses. It provides guidelines to the trainer on gender and energy concepts.

Pacific Energy News (Number 1 –March 2007)

7

The seventh Invitational Programme on Alternative Energy for Middle Management Officers of the Pacific Islands Forum (PIF) countries was organised by the Japan Atomic Industrial Forum, Inc. (JAIF) from October 23rd to 27th, 2006. The theme of the above program was “Global Environmental Issues and Energy” Based on the above theme and its importance to the living creatures, this programme was aimed to provide the middle management officers of the PIF member countries with relevant information on alternative energy technologies. The five-day programme was delivered through a combination of presentations and Technical Site Visits. Governmental representatives from Cook Islands Fiji, Kiribati, Nauru, Niue, Palau PNG, RMI, Samoa, Solomon Islands, Tonga and Vanuatu including PIFS participated in this programme. Overview of the Programme The programme convened on 23rd October with an introductory meeting chaired by the TEPCO Group Senior Managing Director. Following a short introductory session, a detailed presentation on environment and energy sustainability in Japan was delivered by Dr. Takahisa YOKOYAMA. Issues of major importance highlighted in this presentation included, environmental challenges, efforts to combat energy related problems, and new alternative energy technologies developed to provide security and sustainability of supply in Japan. A short roundtable discussion also took place enabling each of the representatives to update the Forum on the current status of their respective country’s alternative energy programmes/issues, and their expectations. A Technical Visit was made to the Shibuya Electric Energy Museum of the Tokyo Electric Power Co (TEPCO). The museum provided us with the latest information on electricity/energy, which was based on a two-way communication system and exhibits that were designed for visitors to participate in or experience. Cutaway models of TEPCO’s Electric Power Network, Thermal Electric Power Generation and Hydroelectric Power Generation systems were also exhibited. Useful Information Learnt and Applicability into FICs Similar to our region, Japan is also highly dependent on imports for 96% of its primary energy supply, which makes it highly vulnerable to supply disruptions. Due to the growing concerns about environmental problems resulting from energy use, Japan’s energy situation forced the country to focus on two prime concerns of energy security and environmental protection. In that respect, Japan’s energy policies and plans were aligned to achieve the

above through energy conservation measures, promotion of nuclear power generation, renewable energy, natural gas and coal. There is considerable high level agreement on promoting alternative energies in the Forum Island Countries (FICs) as part of the future fuel mix to protect our environment and better security of supply. It is already evident that appropriate steps have already been taken by responsible authorities in introducing alternative energy technologies into the region. In that regard, this programme has further strengthened the capacity of the FICs in identifying the gaps in the use of alternative energy technologies and recommending appropriate solutions.

The Ocean Energy and Hydro Power energy generating systems created the greatest interest among the participants, particularly the Pumped Hydro Power Generation System. Under this system, two hydro-dams are used (upper and lower), where the surplus electric power is used at night time to draw water from the lower dam to the upper dam by pumping to deal with the increased demand for electricity in the day time. However, some FIC representatives raised concern that the applicability of majority of the technologies visited during the five-day program was of little significance as more focus was on hydro, thermal and nuclear power and little on renewable energy and bio-mass. We also learnt that maintenance was a priority for efficient and smooth operation of the plants and technologies in Japan and all the plant stations devoted the required level of funds and manpower to carry out maintenance activities. This is main reason why the fact remains that Japan experiences 11 minutes of power outrage in 10 years which is equivalent to 1 minute per year. Overall, the programme was very well organised and coordinated, which enabled us to successfully complete all the planned meetings and technical visits at such a short time span. On behalf of all the PIFS member countries I would like to thank the organisers, particularly the JAIF and TEPCO Group for coordinating the programme. Nileshwan Prasad, Import Management Advisory Services, Pacific Island Forum Secretariat

REGIONAL NEWS

PIF Invitational Middle Management Programme 23rd – 27thOctober 2006

Pacific Energy News (Number 1 –March 2007)

8

Good news emerged in the Pacific market in the past few months, as local fuel prices continued to drop further. While it has been of little significance to consumers in the open competitive markets, it was a sweet relief to those in the regulated markets. Countries such as Cook Islands, Fiji, Tonga and Tuvalu, after waiting for relatively longer period, as per their price reviews, are now enjoying the benefits of lower fuel prices. In each of these regulated markets, regulation takes the form of setting price caps (maximum prices) on petroleum products. The recent reduction of fuel prices in these markets has been described as the pass-through of the late 2006 international benchmark price drops, after a prolonged period of price hike. The Pacific market fuel prices reduced in line with the International benchmark petroleum product prices, reported as the Mean of Platts Singapore (MOPS). In 2006, the Asia-Pacific benchmark product prices were extremely volatile, mainly due to instability in the Tapis crude oil prices. In August 2006, the Tapis crude oil price peaked at an all-time high of US$82 per barrel before losing significantly in the latter months by up to $20 per barrel closing at around $60/bbl in November. Towards the end of 2006, the price picked up steadily striking at around $65/bbl with an annual average of around $70/bbl, far above the 2005 average of $58/bbl. Several factors acted behind the huge volatility in crude oil prices in 2006. Such high prices during themid-2006 was due to several economic and geo-political factors such as the growing international tension over Iran’s nuclear development programme, the

instability in the Middle East and the flow of massive investment funds into the crude oil futures market combined with the strong economic growth in major oil consuming countries such as China, USA and India. A further push in the prices resulted from the huge supply disruption caused by the shut down of BP’s Prudhoe Bay supply centre due to pipeline corrosion, and escalating speculations of possible hurricane in the Gulf of Mexico, similar to that in 2005. As the above factors eased, crude and petroleum product prices started to fall rapidly during late August to early November. The steady decline in crude oil prices was attributed to political stability in oil producing regions such as the easing of geopolitical tensions with Iran and build-up of high inventory levels of gasoline and crude oil. It was also due to the weakening of the supply-demand fundamentals and the lack of hurricane activity in oil-producing regions of the Gulf of Mexico. In response to the continuous decline in crude oil prices, OPEC implemented a production cut in November and indicated for further cuts in the coming months. On top of this, speculators continued to have an impact on crude and product prices, voicing the possible erosion of inventories which once again resulted in another rising price-path. But due to the delay in OPEC’s further actions and crude oil and product inventories still staying at high levels, the rising price path did not last long resulting in further declines in January 2007. Based on the benchmark price patterns seen in the international oil market over the past few weeks, we expect the Tapis crude oil prices to return to a $60 mark. This would mean that the Pacific markets may expect further drop in their

2006 MOPS vs Tapis crude

50

55

60

65

70

75

80

85

90

95

100

2-Jan 1-Feb 3-Mar 4-Apr 4-May 5-Jun 5-Jul 4-Aug 5-Sep 5-Oct 6-Nov 6-Dec

US$

/bbl

Mogas Kero ADO Tapis

Fuel Prices Drop as Oil Prices Slide

Pacific Energy News (Number 1 –March 2007)

9

local prices in their upcoming price reviews.

PCD: Fiji Market In late 2006, the Pacific Islands Forum Secretariat assisted the Fiji Prices and Incomes Board (PIB) in compiling a Public Consultation Document (PCD) on petroleum pricing in Fiji, focusing on the current regulatory arrangements. The PCD was aimed to provide consumers with an understanding of petroleum pricing in Fiji and address concerns raised by the general public and industry stakeholders on the price lag between domestic prices (wholesale and retail), international benchmarks, and observable differences in neighbouring countries. The Board invited submissions from the interested parties through media advertisement and formal request to key industry participants specifically to seek their views and comments on the issues raised in the PCD. The key issues covered in the PCD mainly focused on the regulatory process, and information on the frequently asked questions of: (a) How petroleum prices are determined in Fiji?; (b) What influences movements in Fiji prices?; (c) Why are Fiji prices based on international benchmarks?; (d) Why don’t domestic prices follow the benchmarks closely?; (e) Why is our domestic pricing policy different from our neighbours?; It was envisaged by the Board that there is a lot of mis-information in the community about the fuel prices in Fiji. One example of mis-information is that it is often claimed that ‘petroleum prices increase quickly when international prices increase but do not decrease as fast when these prices fall’. Hence, the Board thought that public and industry stakeholders’ involvement was vital for it to engage into an informed decision making process. Upon receipt of the submissions from some stakeholders, the PIFS also assisted the PIB in analysing the views and concerns of these stakeholders, and compiling a report to determine the best methodology necessary to create a closer relationship between observable international market movements and local Fiji prices. Import Management Services Pacific Islands Forum Secretariat, Suva.

Regional Earth Day -22 April 2007 National Energy Contacts are requested to register their National Energy Day Activities to SOPAC by end of March, 2007. Please visit SOPAC website for more information: www.sopac.org/Regional+Earth+Day

Contact: koin@sopac.org

SUBCRIBTION TO BIOFUEL NEWS

SOPAC Energy Unit sends out regular messages about developments in the field of biofuels, with relevance to the Pacific. These messages can be read on: http://pacbiofuel.blogspot.com/ or send an email to jan@sopac.org to be added to the news list.

“Introduction to Renewable Energy Technologies” Course This is a short technical course at Queensland University of Technology offered through Distance Learning. Mrs Koin Etuati completed this course at the end of 2006 and she has found it very useful in the current work she is doing. She recommends this course to anyone who works on – energy planning & policy, feasibility study and designing of RETs. No pre-requisite is required but good mathematical skills are essential. She would like to thank Greenpeace Australia Pacific for extending its financial support towards completion of this course. Contact Koin at koin@sopac.org

Announcements

NEW STAFF: ENERGY SECTION

SOPAC welcomes Frank Vukikomoala, Project Officer – Energy. Frank started with SOPAC on 5th March, 2007. He completed his BSc degree on Physics and Chemistry in 2004. He recently completed his post-graduate diploma studies at USP at the end of 2006. One of Frank’s primary activities is to provide assistance and work with countries in helping them collate their energy data, update their energy supply/demand databases leading to the preparation andpublishing of Country Energy Statistics Yearbooks.

Pacific Energy News (Number 1 –March 2007)

10

Background During the course of 2006, Fiji Government has established the Biofuel Development Unit, with funding amongst others from the United Nations Development Programme (UNDP) in Suva. As part of the activities of the Biofuel Development Unit, LTA has embarked on setting up blending trials with Coconut Oil Methyl Ester (CME) at the suggestion of visiting consultants of Mr. Weingart and Ms. Manapol. SOPAC Community Lifelines Programme has assisted the Biofuel Development Unit with technical support and has been actively involved with LTA in the preparation of the blending trials. Coconut Methyl Ester (CME) is biodiesel that has been produced from coconut oil. In the Philippines, a blend of 1% CME in all diesel fuel has been mandated by a President Arroyo’s Biofuel Act of 2006. The act provides for a 2% level by 2008. Advantages of CME include the use of indigenous resources as opposed to importing fossil fuels, a decrease in emissions and a higher efficiency. This example led the LTA to considering biodiesel blending trials using Philippine CME produced by Chemrez. Annex 1 gives the Philippine biodiesel standard which the CME provided adheres to. Blending Trials Preparation As per 22 January, the LTA has commenced their CME blending trials with a range of vehicles in Fiji. The project is managed by Mr. John Lee. During November and December of 2006, interested individuals and companies have signed up to participate in the blending trials. During this period, they have been asked to record their fuel use by noting down the odometer reading and the number of litres of diesel fuel they enter into the tank. The engines have also been inspected for proper operation.

Blending Trial Implementation Participants in the blending trials are asked to continue record their fuel usage, and to add 2% of CME with their fuel when filling up. They have been given a special biofuel logbook with date, kms, fuel, litres, CME litres and signature of driver. Participants also obtain a 20-litre container, a 4 litre container, a 500 ml container with 100 ml indications, a funnel, and a hand pump. Participating vehicles include a number of buses, taxi-drivers, government vehicles, private vehicles, trucks and heavy machinery, all operating on diesel. The engines will be inspected after 5,000 km on any adverse effects. LTA also has taken opacity (exhaust colour) tests of all participating vehicles and will carry out opacity tests after 5,000 kms. Expected Problems No technical problems are expected. In case of heavy moisture in tanks, a fuel filter replacement might be necessary as CME tends to mix with water, whereas the moisture would stay separate from diesel only.

Expected Outcomes During mid-2007, the first preliminary results are expected from LTA on the impact of a 2% CME blend in the Fiji diesel. On the basis Philippine experiences, decreases in emissions are expected, and efficiency gains may be found due to the cleansing effect of CME on fuel lines, injector pumps and injectors. For more information contact: Jan Cloin at: jan@sopac.org

Figure 2: Fuel storage area with drums of CME and 20-xxlitre containers for participants. Mr. Lee (standing) and his assistant (sitting)

Figure 1: Drivers are given containers, a funnel and hand pump to fill 2% CME

BIOFUEL TRIALS Coconut Methyl Ester Blending Trial by LTA, Fiji

Pacific Energy News (Number 1 –March 2007)

11

Main tubes Power modulesMain tubes Power modules

Article compiled by Barbara V and Phlippe C of SRP

Société de Recherche du Pacifique, SRP, a New Caledonian based company created 2 years ago – is focussing on developing wave energy projects. To do so SRP is working closely with Ocean Power Delivery, the Scottish manufacturer of the first commercial wave energy converter: PELAMIS. For those who have not seen these big steel snakes, the principle of the Pelamis is based on a semi-submerged wave energy converter with a simple geometry configuration of individual cylindrical segments linked linearly by hinged joints. As waves pass down the length of the machine, the induced motions of the separate segments relative to one

another are resisted by hydraulic rams. Main tube cylinders are separated at each joint by shorter Power Conversion Module’s (PCM’s), each housing an independent power generation system. Located at either end of the PCM’s are pairs of hydraulic rams; one pair resisting a sway joint and the other end-pair resisting a heave joint. The hydraulic rams drive pressurised fluid into hydraulic motors which in turn drive an asynchronous generator. The electricity generated is evacuated at the front of the machine via a high voltage cable on the sea bed taking the generated power to the shore and a suitable grid connection. The device is moored in offshore depths >50m by a unique mooring spread which enables it to self-reference itself and face the predominant wave direction. The size of the machine is between 150m and 180m long with 3.5 to 4m diameter. OPD is currently installing a first commercial farm in Portugal, and with other contracts under negotiation. This is an exciting new green technology about which more will be heard of as the Pelamis is installed around the world. The Pacific has been assessed as quite big in terms of wave resources, as per a wave energy study undertaken by SOPAC in November 1996. SRP has been gathering information on potential sites in the Pacific, in the first instance concentrating on detailed feasibility studies for potential sites in New Caledonia, Maré, one of the Loyalty Islands.

This detailed feasibility study has covered several areas including bathymetry, wave resource, cable route, environmental, grid connection, authorisation, construction, maintenance, etc. Good progress has been made in relation to project funding. Once in place this will enable the installation of one Pelamis machine in Maré hopefully by early 2009. With many of the Pacific Islands heavily dependent on Diesel Generation there is a significant opportunity for deployment of Pelamis. This would reduce the Island’s dependency on imported fuel and encourage regional development Initial desktop studies have been undertaken for several other sites. Fiji is also envisaged as a potential maintenance base for projects in the neighbouring islands.

One important step forward for the Region could be the result of the investigation currently undertaken by SRP with a local partner in New Zealand, to assess fabricating the main tubes of the Pelamis locally. Capital is always an issue for any new infrastructure project, and therefore we try to minimise these costs by envisaging a

local fabrication to allow Island Nations access to this source of energy as it is a good way to stabilise the electricity production costs. A number of studies (both technical and financial) are being undertaken to enable the implementation of further projects in the area. The continuing cooperation with SOPAC on these studies, and on sharing experience and

information, is essential to the success of this adventure! Contact: Barbara VLAEMINCK/Philleppe Marcannet

Email: b.vlaeminck@srp-nc.com

PACIFIC COOPERATION IN WAVE ENERGY

Pacific Energy News (Number 1 –March 2007)

12

CDM Pipeline Overview This document is compiled each month by Jorgen

Fenhann, Adrian Lema of UNEP Risoe Centre

The CDM/JI Pipeline Overview contains all CDM/JI projects that have been sent for validation /determination It also contains the baseline & monitoring methodologies, a list of DOE’1s and several analyses. The spreadsheet can be downloaded from UNEP Risoe Centre CDM capacity building website: www.cd4cdm.org/Publications/CDMpipeline.xls.

Below is a summary of the CDM pipeline update for February, 2007

CDM news: The Pipeline now contains 1571 CDM projects. 492 of the projects are now registered and a further 91 are in the registration process. It is estimated that if 85% of all projects entering the Pipeline until the end of 2012 would be registered and if the average issuance success would be 76.3%, the amount of CER2s accumulated by the end of 2012 would be 2800 Million CERs. It is assume that an annual addition of 500 Million CERs annually until end 2011, since the new projects entering the pipeline in the year 2012 have no time to get CERs issued. This may be a conservative assumption since 1000 Million CERs have been added annually during the past 1.5 years per year. This projection means that the Adaptation Fund will contain 55 Million CERs at the end of 2012 (2% of the issued CERs). The Pipeline now contains a new analysis of the project type "Energy Efficiency in Industry": For each EE industry project the "sub-type" column in the "CDM-Project" sheet now contains information about which industry sector the project belong into. The new Chart 1 in the "Analysis2" sheet (to the right of the extended Table 7) shows that the large majority of the 161 EE industry projects are in heavy industry: 55 in Iron & steel, 31 in Cement, 17 in both Petrochemicals and in Chemicals, and 11 coke-oven projects. New methodologies have been approved during the 25th meeting of the Methodology Panel: NM0150: "Ghana efficient lighting retrofit project". NM0178: "Aerobic thermal treatment of municipal solid waste (MSW) without incineration in Parobé". NM0180: "BIOLUX Benji Biodiesel Beijing Project". (The first Biofuel methodology to be recommended for approval – cooking oil based biodiesel). The Methodology Panel also recommends a new methodological tool for approval: "Avoidance of double counting of emission reduction from the production of biofuels".

1 DOE – Designated Operating Entities 2 CERs – Carbon Emission Reductions

Key requirement to participate in the CDM The CDM under the Kyoto Protocol was developed basically for two reasons: • To allow countries with Greenhouse Gas (GHG)

emission targets under the Protocol (Annex 1 countries) to buy carbon emission reductions (CERs) from projects implemented in developing countries (countries without GHG targets).

• Projects implemented in developing countries are to assist them in their sustainable development.

In order to participate in a CDM, countries must meet three basic requirements: • Must have ratified the Kyoto Protocol; • Establishment of the National CDM Authority or

a DNA; • Provide a letter of approval (LoA), stating

voluntary participation in the proposed CDM projects and a statement that the project activity contributes to sustainable development.

Requirements to register a CDM projects are: • Development and Submission of a Project

Development Design (PDD) to the CDM- Executive Board. ( PDD are prepared by Designated Operating Entities (DOE)

• A Validation report prepared by the same DOE (as in small scale project) for project registration.

• Approval letter from the DNA of the host country.

• Financing proposal of the CDM project. The PDD is about the project’s design – that is how the project intends to reduce greenhouse gas (GHG) emissions below those levels that would otherwise have been emitted (baseline). Baseline methodologies used in formulation of PDD for CDM project activities are approved and recommended by the CDM Methodology Panel. The Modalities and Procedures of the CDM are developed by the Executive Board of the CDM under the guidance of the Conference of the Parties (COP)3 for both small scale project activities and for normal CDM projects. These documents are available on the UNFCCC4 website: http://unfccc.int/kyoto_protocol/ For further information, please contact koin@sopac.org

3 COP- Conference of the Parties 4UNFCCC- United Nation Framework on Climate Change Convention

CLEAN DEVELOPMENT MECHANISM (CDM)

Pacific Energy News (Number 1 –March 2007)

13

A rural electrification programme in PNG was implemented in another east coast village of Uritai. The Governor Chris Haiveta officially opened the 38KVA power generator that will provide electricity to sub-villages of Karikara, Seavara, Mekovu and Siapeharo 1 and 2. The electrification programme will improve the lives of the villages by providing lights and means to improve the quality of the catches using ice to store fish when transported to the main islands of Port Moresby and Kerema.

Mr Haiveta noted that there were certain times during the year when the villagers enjoy abundant catch from the river. However, due to transport problem in the area, they could not bring their catch to the market. The rural electrification project is the fourth in the region.

"The project will expand from Kerema to Kikori, with Vailala expected to be the next village to get electricity," Mr Haiveta said, that his aim is to promote downstream processing by providing the villages access to electricity."

Source: The National

Marshall Energy Company (MEC) ends 14 years deal with Mobil Oil. After 14 years of relying on Mobil Oil Micronesia as its sole fuel supplier, the main utility company in the Marshall Islands has switched to a South Korean supplier.

The delivery of fuel by the South Korea Networks tanker Oram Glory in Majuro Monday (30 Jan) confirmed the Marshall Energy Company's switch to a

new supplier. The tanker pumped 1.6 million gallons of diesel into MECs nearly empty tanks, which have a total holding capacity of 6 million gallons

Source: www.mecrmi.net/NEWS

MAJURO, Marshall Islands (Yokwe, Feb. 27) - New Solar Home Systems for the Marshalls' outer islands arrived in Majuro.

Valued at US$3 million dollars, the solar project is a joint venture of the Republic of China (ROC) and Taiwan’s MOTECH Industries Inc., a leading manufacturer of solar equipment. A MOTECH delegation, including General Manager Luke Chang and six solar power engineers, was scheduled to arrive Monday, February 26, in the Republic of the Marshall Islands' (RMI) capital atoll of Majuro. They will provide on-site installation training courses to their Marshallese counterpart Marshall Energy Company (MEC).

Officials of the RMI and Taiwan, as well as the MOTECH delegation, will attend the Donation Ceremony planned for Monday, March, 2007. Following a request from the RMI Government in April, an agreement with Taiwan to implement a Solar Home System project was signed November 13, 2006.

Marshall Islands Drop Mobil for South Korean Fuel Supplier. January, 3, 2007

MECs Bermen Laukon (sitting left) signs a one-year fuel deal with SK Network official last week, standing are MEC board members and SK officials

NATIONAL NEWS

PNG Province village gets electricity, January 9, 2007

Pacific Energy News (Number 1 –March 2007)

14

The funding for the Residential Renewable Energy Program in the outer islands comes from a US$3 million grant -- a two million advance from the 2007 ROC annual grant and an extra grant of one million. Each solar unit costs US$3200, but the systems were delivered without costs to the Marshalls. The RMI Government will be responsible to distribute and install the systems to the intended recipients at its own cost.

The ROC Embassy said that Ambassador Lien-Gene Chen, who helped to realize this Project, gives his best wishes to the people and Government of the RMI for the successful implementation of this project. Taiwan's assistance to the Marshalls has grown under the watch of the Ambassador.

"Ambassador Chen will be leaving the Marshall Islands for home services on February 28 after completing nearly four years’ tenure as the Taiwanese Ambassador to RMI," according to the Embassy.

Source: http://www.yokwe.net

People living on the island of Apolima in Samoa are now getting electricity 24 hours a day from solar power.

In recent years, the approximate 200 people on the island have received electricity for only 4 to 5 hours a day because of the high cost of running the island’s diesel power generator. The Prime Minister, Tuila’epa Sa’ilele Malielegao says it’s a challenge now for the world to seek other ways to generate power as one day oil could run out.

Source:www.rnzi.com

The Tongan government injected TOP2 million [US$980,000] into the Shoreline Power company to

pay its fuel bills and prop it up following the

destruction of its head office in the November 16 riots. The government will now have to raise an estimated TOP60 million [US$29.4 million]to buy back its power generation facility for Shoreline Power. In a Press Conference Prime Minister Sevele said that the interest by foreign companies, particularly Northpower to buy the Shoreline Power Source: (Matangi Tonga )

A wind farm project similar to that in Mangaia is being proposed for Rarotonga on a ridge situated above Kiikii in Cook Islands. The project is still in its infancy stage. The wind energy project is being [proposed] by the Cook Islands Investment Corporation and the Ministry of Energy. The Cook Islands Investment Corporation’s legal is to seek support and approval to conduct possible wind energy feasibility studies on their land. Director for Energy Mata Nooroa could not comment on the project referring all questions to Tangi Tereapii who he says is working with the Cook Islands Investment Corporation on the project. Meanwhile the government’s power authority is looking at the possible use of wind turbines to produce electricity for the whole country. Source: Cook Islands News

The fuel surcharge on electricity usage has been reduced by 59 percent. This means consumers will now pay 2.68 cents per kilowatt from the originally approved surcharge rate of 6.51 cents per kilowatt. The Commerce Commission said it had agreed that domestic users that consume less than 75kWh will be exempted from paying the surcharge. The new surcharge rate of 2.16 per kWh will be implemented from 15th February. The Authority Chief Executive, Rokoseru Nabalarua said it was vital for Fiji and the authority to continue to develop renewable energy resources for power generation so that there was a reduction on the dependence on expensive fossil fuel. Source: Fijitimes

Trade deficit is expected to drop further with falling oil prices combined with Vanuatu’s successful Trade petroleum products in power generation as well as in vehicles. Source: Island Business

Biofuel replacing petroleum products in power generation and vehicles Feb, 2007

Tonga Government forced to buy Power Utilities January 26, 2007

FEA reduces fuel surcharges due to increase in Hydro generation. January, 26

Wind Farm proposal in Cook Islands, January 24

Samoa’s Apolima turns to Solar Energy January 14

Pacific Energy News (Number 1 –March 2007)

15

An Alofa Tuvalu team is headed for Tuvalu to launch the construction of the first biogas digester units: the 1st step of the “Amatuku Micro Model” created by the French/Tuvaluan NGO to enable the Tuvaluan People to learn hands-on how to set up and maintain Renewable Energy Technologies. The Amatuku Micro Model is an effective, practical 1st step in the 10-year plan “Small is Beautiful”: assisting Tuvalu, the symbol of climate change vulnerability, to become a living, breathing, replicable model of an environmentally exemplary nation. An integral part of the Renewable Energy Study recommendations made by Alofa Tuvalu specialists Pierre Radanne and Sarah Hemstock, the “Amatuku Micro Model” will become the example to be reproduced nationwide on the 9 islands of the archipelago as well as the maintenance hub for the project. With biomass as a first objective, the “Amatuku Micro Model” will combine all proven RET: biogas from pigs and human waste, copra biodiesel, gasification from organic waste, a small windmill, thermal solar, PV systems, solar streetlights and compost toilets. The “Amatuku Micro Model” is being implemented with the support of the Ademe (French Energy Management Agency) and in partnership with the Government of Tuvalu and TMTI (Tuvalu Maritime Training Institute). TMTI’s teachers, staff and families, students and women’s groups who have shown interest in the project will be trained first. The idea is for trainees to become instructors to pass their new knowledge along. Alofa Tuvalu’s construction material was blocked several months in Fiji but the mobilization of the Alofa Tuvalu local team, coordinated by Cpt John Hensford in Fiji and Eti Esala in Tuvalu, finally succeeded in getting the shipment of sand, cement bags and bricks conveyed to the Amatuku islet. Christopher Horner, architectural consultant, Sikeli Raisuqe, biogas specialist and Anare Matakiviti (SOPAC) are on their way to launch the construction and first workshops. Gilliane Le Gallic, project initiator, and Sarah Hemstock will make the trip in April and will stay until July 2007. Source: Alofa Tuvalu Contact: alofatuvalu@alofatuvalu.tv SOPAC: anare@sopac.org

New Zealand is being called on to quickly sort out delays in getting a power generator to Niue where there are lengthy power outages. The island, which experienced a major fire at its power plant last year, is suffering a pay cuts every day after one of the two diesel generators broke down. Niue Power’s general manager Speedo Hetutu, says the island has in the past had four generators while the minister of pub lic works, Fisa Pihigia, says New Zealand needs to sort out the red tape which appears to be delaying a third generator being sent. Source and full report: www.rnzi.com

PNG Power Limited cut off power to the suburb of West Taraka in protest over an attack on its workers by armed men. However, the supply has been restored after a combined community and police effort resulted in the apprehension of two suspects allegedly involved in the attack on workers. PNG Power chief executive officer Patrick Mara said two PNG Power workers had gone to carry out line clearance work behind West Taraka. The power supply had been switched off to allow the workers to carry out the work. When they finished, they were returning to the Taraka substation to switch the power on when they were shot at. The tow linesmen managed to escape on foot to the West Taraka market where they got assistance. According to reports, gunmen opened fire on the vehicle the two workers were in as it neared the police station. The gunmen kept firing at the two even though they had stopped the vehicle. The attackers removed equipment, a digital camera and some money. Another attack on PNG Power crew was also reported on 9th March. Source: www.pidp.eastwestcenter.org

Niue Nudges New Zealand for Power Generation March 7

PNG utility cuts power to villages after attack March 13

Renewable Energy Training Centre – Construction of the first biogas digesters – March 9

Pacific Energy News (Number 1 –March 2007)

16

INTERNATIONAL

The European Commission has put forward far-reaching proposals to tackle climate change and boost security and competition in the EU's energy market. The commission is aiming for a new "industrial revolution" leading to a low-carbon economy. It is based on three pillars:

A true internal energy market

• Separating energy production from energy distribution by boosting competition and curbing the power of Europe's energy giants

• Strengthening independent regulatory control of the energy sector

Accelerating the shift to low-carbon energy

At least 20% of all EU energy should come from renewable sources by 2020 and 10% of vehicle fuel from biofuels, and these targets should be made binding for the first time

• The EU should also increase by at least 50% its annual spending on energy research for the next seven years

Energy efficiency

• The commission reiterates the objective of boosting the efficiency of energy use by 20% by 2020

• The commission proposes that the use of fuel-efficient vehicles is accelerated; tougher standards and better labelling on appliances; improved energy performance of the EU's existing buildings and improved efficiency of heat and electricity generation, transmission and distribution

• The commission also proposes a new international agreement on energy efficiency, based on a 30% cut in greenhouse gas emissions by all developed nations by 2020.

For full report: Visit website: http://news.bbc.co.uk/2/hi/science/nature

The Outcome of the Stern Review is that New Zealand MUST Invest in Local Renewable Energy.

“A local renewable power revolution could solve New Zealand’s electricity needs, make up its carbon credit shortfall, and provide climate change solutions” said Dr Tony Bittar, chair of the Sustainable Electricity Association (SEANZ) commenting on the release of the Stern Review in the UK.

“The Stern report at last addresses the economic consequences of Global Warming and Climate Change. Many world leaders have hidden behind the premise that our economies will continue to grow, and life will continue as normal. Now with a leading UK economist stating that we must all invest heavily if we are to mitigate the effects of Climate Change – we must kick start the New Zealand investment. We cannot wait on others before taking action”, stated Dr Bittar.

“The Prime Minister’s recent support for action to address climate change is very welcome. There is now a greater consensus on the need for real measures to reverse the adverse effects of Greenhouse gas emissions

The SEANZ highlighted a few key points below:

“The scientific evidence points to increasing risks of serious, irreversible impacts from climate change associated with business-as-usual (BAU) paths for emissions.”

“Emissions have been, and continue to be, driven by economic growth; yet stabilisation of greenhouse-gas concentrations in the atmosphere is feasible and consistent with continued growth.”

“Achieving these deep cuts in emissions will have a cost. The Review estimates the annual costs of stabilisation at 500-550ppm CO2 to be around 1% of GDP by 2050 - a level that is significant but manageable.”

“Policies are required to support the development of a range of low-carbon and high-efficiency technologies on an urgent timescale.

Source: www.scoop.co.nz/stories For full copy of the Stern Review: Contact: Paul Fairbairn: paul@sopac.org

EU energy plans at a Glance Stern Review: NZ MUST Invest in

Renewable Energy

Pacific Energy News (Number 1 –March 2007)

17

Russian academic says CO2 not to blame for global warming January 15, 2007 Rising levels of carbon dioxide and other gases emitted through human activity, generally believed to trap heat in the Earth's atmosphere, are an effect rather than the cause of global warming, a prominent Russian scientist said Monday. Habibullo Abdusamatov, head of the space research laboratory at the St. Petersburg-based Pulkovo Observatory, said global warming stems from an increase in the sun's activity. His view contradicts the international scientific consensus that climate change is attributable to the emission of greenhouse gases generated by industrial activities, such as the burning of fossil fuels and deforestation. "Global warming results not from the emission of greenhouse gases into the atmosphere, but from an unusually high level of solar radiation and a lengthy - almost throughout the last century - growth in its intensity," Abdusamatov told RIA Novosti in an interview. "It is no secret that when they go up, temperatures in the world's oceans trigger the emission of large amounts of carbon dioxide into the atmosphere. So the common view that man's industrial activity is a deciding factor in global warming has emerged from a misinterpretation of cause and effect relations." The Intergovernmental Panel on Climate Change, a UN panel of thousands of international scientists, widely regarded as an authority on climate change issues, has for many years held a consensus view that most of the warming experienced over the last half-century has been attributable to human activities. Abdusamatov, a doctor of mathematics and physics, is one of a small number of scientists around the world who continue to contest the view of the IPCC, the national science academies of the G8 nations, and other prominent scientific bodies. Full report: visit http://en.rian.ru/russia/20070115/59078992.html

Hydropower contributes to Global Warming

Hydropower has always been considered the cleanest forms of power generation, but a study published in Taiwan on Friday showed that hydropower contributes to global warming. According to the study conducted across Southeast Asia by the National Sun Yat-sen University and the National Central University, hydropower causes much more global warming than coal- or oil-fired power stations. "Hydropower has always been considered the cleanest form of power generation. But as dams prevent organic matters from flowing down stream, organic matters trapped at the bottom of reservoirs are deprived of the oxygen they need to decompose, thus producing methane and nitrous oxide," Professor Chen Chen-tong of the National Sun Yat-Sen University said. Chen said methane and nitrous oxide have different effects on global warming. "One ton of methane equals 21 tons of carbon dioxide and one ton of nitrous oxide equals 200 tons of carbon dioxide," he said. Chen warned that China's Three Gorges Dam will produce serious global-warming effects because the dam has blocked 75 per cent of the organic matters from flowing downstream. The Three Gorges Dam built in the middle reaches of the Yangtze River, began operation on May 20. The dam, the world's largest, is 185 metres high, 2 309 metres long and eight metres wide at the top, and can produce 18.2 kilowatts of electricity each year. Chen and his team spent three years studying rivers, lakes and reservoirs across Southeast Asia, to evaluate the impact of reservoirs on global warming.

Source: http://www.iol.co.za

We look forward to receiving comments, announcements and articles from our readers, Please send these to the following address:

PEN Newsletter, Community Lifelines Programme, SOPAC Secretariat, Private Mail Bag, GPO.

Suva, Fiji. or email Rupeni@sopac.org

Tel: (679) 3381377