Energy Efficiency in Urban Areas

Monali RanadeCarbon Finance Unit

May 27, 2008

GHG Emission Reduction ScenariosEnergy Efficiency is the Lowest Cost

Mitigation Option…

Improved end use (demand side) energy efficiency most important contributor to reduced emissions

Other renewables

Biomass

Fossil fuel generation efficiency

Nuclear

Coal to gas

Hydropower

CCSPower

generation

End-useefficiency

Biofuels in transport

CCS in fuel transformation

CCS in industry

Fuel mix in buildings and industry

Source: IEA Energy Technology Perspectives 2006

IEA 2050 Scenario

IPCC 2030 Scenario

Source: IPCC 4th Assessment Report- WG.III, 2007

Some of the highest GHG reduction potential is in EE sectors are in the form of dispersed smaller measures (transport, buildings, industry)

Challenges for end use EE in CDMR

ED

/UN

IT

# OF UNITS

Long tail: large number of small end-use units owned by many ownersFe

w la

rge

units

Barriers to end-use EE:• Lack of enabling

policies • Lack of information

Financing Issues • Split incentives• More complex

design.

Source: World Bank (2007)

Interventions in Energy Sector CDM methodology

Street-lighting AMS II.CWater pumping AMS II.C, AM0020Buildings envelope, heating and cooling AMS II.E, AMS III.A. E.Electrical equipment (lighting, refrigeration, etc) AMS II.C

AM0048New District heating networks AM0044Efficiency improvement in district heating AM0058

Solar water heating AMS I.C

Solar lighting (streets or households) AMS I.A

Heat pumps for heating and cooling AM0072AMS I.C

Cook-stoves(solar, energy efficiency, renewable biomass)

AMS I.C., AMS II.C., AMS II.G

Project Example: Street-lightingKey data requirements• Identification of streets covered under the project• Detailed information on baseline light fittings: Number, type, wattage,

lumen• Mode and hours of operation of the street-lights• Manufacturer data on new light fittings: Number, type, wattage, lumen• Sample metering of light switching points to monitor hours of operation• Sample random survey of lights

Project Example: Water pumpingKey data requirements• Identification of pumping stations• Detailed information on baseline and new pumping systems:

Number, type, wattage, head, output• Mode and hours of operation• Metering of hours of operation, electricity consumption and water

outputProject Boundary

kWh Meter

Suggested Pump replacement

P 1

P 3

1200 mm dia rising main to IPS-2

P 2

m3

Project Example: Cook-stovesOptions:Thermal efficiency improvement only: AMS II.CRenewable biomass + thermal efficiency improvement: AMS II.GSolar energy + thermal efficiency improvement: AMS I.C

Key data requirements (common for all options)• Identification of geographical area and the baseline technology• Detailed information on baseline energy source (e.g., source of biomass)• Thermal efficiency of the baseline and project technology • Hours of use or quantity cooked• Sample tests and measurement of new technology

Thank You!

http://carbonfinance.org(mranade@worldbank.org)