WRITTEN QUESTION E-2711/96 by Klaus Rehder (PSE) to the Commission (16 October 1996)

Subject: Renewable energy

To what extent and under what conditions does the European Union promote projects in the Third World, e.g. in Africa, aimed at power production by solar energy?

Answer given by Mr Pinheiro on behalf of the Commission (13 November 1996)

The Commission is very much aware of the importance of sustainable energy policies in the context of development cooperation with third countries, in particular with Sub-Saharan Africa. For example, it is a key part of the current communication from the Commission on Europe-Asia co-operation strategy for energy ((COM(96) 308. )).

In this context, the Lomé Convention emphasises the need for the promotion of new and renewable sources of energy. Within the framework of the integration of the environmental dimension in development cooperation activities and the promotion of projects with primarily environmental objectives, renewable energy is considered as a means to contribute to the implementation of the Climate Convention and the principles related to sustainable forest managements. Moreover, in Morocco the Commission supports a decentralised energy programme which aims at providing energy (solar, hydro power) to remote areas (MECU 4). Also in Morocco, the European investment bank is considering support for a private wind energy project at commercial terms, while the EIB has also supported the manufacturing of photo voltaic panels in that country.

Whilst there is no specific budget for such activities, under either the European development fund (EDF) or the Community budget, the Commission has financed a number of projects in this area. For example, the regional solar programme for the Sahel is providing solar electricity for water pumps in villages at a cost of MECU 34. In many other cases, renewable energy activities are subcomponents of larger rural development programmes. For this reason it is not possible to provide a total figure for the amount devoted to solar energy activities in developing countries.

Through the Synergy and Joule-Thermie programmes, the Commission also promotes the use of new and renewable energies, namely solar energy for power production, in third world countries.

The Synergy programme provides support to co-operation actions in the fields of energy policy development and institutional building with countries in the third world. In this context, renewable energy sources have been considered in the course of projects aiming at defining energy strategies (India). A study to investigate legal barriers to the use of geothermy in Latin America is also in hand. Furthermore, a study focusing on the use of renewable energy sources in South African rural electrification is in the inception stage.

The Joulie-Thermie programme, through the associated measures, provides support to actions aimed at promoting Community clean and efficient energy technologies inside and outside the Community including in the third world thereby assisting the transfer and penetration of these technologies in those markets that offer the highest potential. In addition, the Commission has strengthened relations with major international financial institutions (e.g. World Bank) and other donors in order to overcome the financial barriers to technology transfer and ease the international investment in energy projects (e.g. solar energy for rural electrification) in those countries.