REMARKS OF THE ASSISTANT SECRETARY GENERAL AT THE PRE-ECPA MEETING OF MINISTERS OF ENERGY OF THE CARIBBEAN AND OTHER HIGH LEVEL AUTHORITIES

October 6, 2014 - Miami, FL

Allow me to start today, by saying congratulations and job well done, to the ministers in this room, the staff and the policy makers in several countries, who have made significant strides, notable efforts and achievements, since we met in Aruba last year.

The OAS is encouraged by the marked strengthening in the resolve of Caribbean governments to pursue the path of sustainable energy.

Today, almost all Caribbean Governments have clear national energy policies and plans in place.

Just a few days ago we received word that the government of the Bahamas had formally adopted its National Energy Policy.

At the same time, more Caribbean governments are moving towards the installation of renewable energy infrastructure.

As we speak, practically every country in the sub-region, is actively pursuing some form of renewable energy: Jamaica is leading the way on wind energy, Barbados on solar, and St Kitts and Nevis, Dominica, Saint Lucia are leading the charge, so to speak on geothermal energy.

At the same time, action is being taken on the regulatory and capacity building aspects of the region’s shift to sustainable energy. Several countries have passed legislation to permit the operations of independent power producers.

Things are moving, and for this you must be commended.

Of course, there are challenges. The first among them is financing the shift to sustainable energy. We can't escape the fact that RE has very high up-front costs, and at the moment, many of our governments are facing serious debt challenges. Financing, as we all know, is neither cheap, nor is it free.

This is why I encourage and remind you today, of the power of consensus, and the possibilities which could manifest, if the region were to adopt a concerted, strategic, innovative and coordinated approach to resource mobilization.

The facts internationally are clear: there are, indeed, large pots of money lying in various global energy and climate funds, but accessing these funds requires specialized expertise which many countries do not possess. Working together can improve access to instruments, resources and tools. On previous occasions I made the suggestion to member states to consider the establishment of a sub-regional clearing house to assist with the technical, qualitative, legal, financial and cost/pricing assessment of initiatives and projects that are being offered by international institutions and the private sector.

Another key player that we must continue to encourage to join us at the table is the regions private sector. In the majority of Caribbean countries the electricity infrastructure is owned by the private sector and so it is critical that Governments continue to pursue meaningful engagement with the private sector, including through public-private sector partnerships.

Ladies and gentlemen, over the past 5 years, ECPA has been at work in the region.

In St. Kitts and Nevis, ECPA supported a market assessment of the potential of interconnection between St. Kitts and Puerto. That assessment indicated that interconnection between St. Kitts and Nevis and between Nevis and Puerto would enhance the commercial viability of a large-scale geothermal plant on Nevis.

In Antigua and Barbuda and St. Vincent and the Grenadines, ECPA supported the deployment of photo-voltaic systems.

In Grenada, ECPA supported the preparation of a draft Geothermal Resource Development Bill, which is a critical platform in the development of that island’s 20MW geothermal plant; and Dominica benefitted from intensive training in geothermal resource development through ECPA.

Under the Sustainable Communities project financed through a grant from the US Department of State, 5 NGOs in St. Kitts and Nevis, Antigua and Barbuda, Belize, and Grenada and the UWI (St. Augustine) each received grants of $50K each to implement pilot projects in that contribute to the sustainability of cities.

As I speak, additional work is on-going through the Sustainable Energy Capacity Building Initiative of ECPA, to help countries address critical commercialization challenges related to expanding the development and use of sustainable energy alternatives.

These examples offer clear evidence of ECPA’s potential to contribute to the region’s transition to sustainable energy. As you reflect today, on priority areas for future assistance from ECPA, permit me to challenge you to reflect on the contribution that Caribbean countries individually and collectively can make towards the attainment of ECPA’s goals.

The Caribbean may be wanting in many critical areas of sustainable development but I believe it has much to offer in several areas. In this regard, let us work to strengthen the existing Caribbean-to-Caribbean energy and climate technical cooperation programs which are available. I believe there is considerable scope for more to be done through direct country-to-country exchanges. Perhaps you may wish to consider inviting the support of ECPA in setting up such an exchange mechanism.

Ladies and Gentlemen, in essence our focus has to be on three areas simultaneously:

1. All efforts should be made to make conventional electricity generation with fossil fuels more environmentally friendly and efficient in terms of generation, distribution and pricing. In this regard we need to continue with energy saving education and outreach programs, but also tackle the obstacles that countries face in terms of modernizing and liberalizing the energy sector. Consideration may be given to an approach to discuss with the context of WTO an energy liberalization policy that would make it possible for countries with long term agreements with energy suppliers to renegotiate a more attractive, environmentally friendly energy portfolio.

2.Expand and extend existing partnerships within our countries between the different stakeholders, as well as with the international private sector and specialized international advocacy groups, with the aim of attracting new investors in the energy sector.

3. The need for Caribbean countries that benefit from special energy supply arrangements to prepare contingency plans in case there would be an unexpected interruption or drastic change of these cost-wise beneficial arrangements, especially in cases where the storage capacity on the basis of these special delivery arrangements is small and give cause to short term shortage of electricity in the country.

In closing, allow me to express sincere appreciation to the Government of the United States of America for its steadfast support of ECPA over the past 6 years.

It is our hope in the OAS that by the time you join your counterparts from other OAS member States in Mexico for the ECPA Ministerial next year, that ECPA will have become a full-fledged instrument of hemispheric cooperation that is owned and supported by all.

I thank you.