PARTNERSHIPS FOR AN ENERGY TRANSITION: TRANSFORMING THE SAN ANDRÉS ARCHIPELAGO Date: March 17 th, 2016 Location: Electri International Cartagena, Colombia Presenter: Luci Restrepo, SOPESA
OUTLINE OF PRESENTATION 1. Partnerships & Goal 2. The Island Story 3. Potential 4. Process
IMPLEMENTATION PARTNERSHIPS RMI-CWR engage with businesses, communities, institutions and entrepreneurs to accelerate the adoption of market-based solutions that cost-effectively shift from fossil fuels to efficiency and renewables. DNV GL and KEMA is an independent foundation that works provides power flow modelling, technology evaluation and generation, transmission and distribution investments. SOPESA S.A. E.S.P. is the archipelago's utility company. Generates, distributes and commercializes the energy. EEDAS - the energy company of the archipelago department of San Andrés, Providencia, and Santa Catalina - develops all activities related to electricity service in the department.
GOVERNMENTAL PARTNERS NATIONAL Departamento Nacional de Gestión del Riesgo y Desastres Office of the President Ministry of Mine and Energy UPME LOCAL EEDAS CORALINA Local Goverment SENA San Andrés Gente de Mar 5
PROJECT S GOAL To accelerate commercial opportunities to transition island economies off fossil fuels and create a blueprint for other isolated economies.
THE STORY
SAN ANDRÉS, PROVIDENCIA AND SANTA CATALINA ARCHIPELAGO San Andrés is the main island, with a 27 square kilometers and a 75.000 population.
SAN ANDRÉS, PROVIDENCIA & SANTA CATALINA ARCHIPELAGO Providencia and Santa Catalina, smaller islands, with 5.000 people.
ELECTRICITY CHARACTERISTICS San Andrés Total customers: 18.336 Installed Capacity: 64 MW Peak Demand: 31 MW Providence Total Customers: 2.151 Installed Capacity: 4 MW Peak Demand: 1.8 MW Sector San Andrés Providence Residential 15.940 1.756 Industrial/ Hotel 72 21 Commercial 2.077 256 Official 157 85 Other 90 33 Total 18.336 2.151
HOW FUEL GET S TO THE ISLAND ~ 250,000 gallons of diesel shipped each week ~ Lasts five to seven days at the SOPESA holding tanks
Estimated annual GWh/year ESTIMATED ENERGY CONSUMPTION ON ISLAND 350 300 250 200 150 100 50 0 All Other Residential Buildings Commercial & Hotels On Island Transportation Total Consumption Aviation
Cost Per kwh USD RESIDENTIAL RATES 0.3 Residential Customer Class (Level 1-6) 0.25 0.2 0.08 0.12 0.15 0.1 0.05 0.18 0.14 0.26 0 0 187 188-800 800 Subsidy Costo to user
Cost per kwh USD ALL OTHER CUSTOMER RATES 0.30 0.25 Customer Class 0.20 0.11 0.13 0.11 0.15 Subsidy 0.10 Cost to User 0.05 0.13 0.11 0.13 0.00 Industrial and Commercial Official Special
SUMMARY Environmental Hazards. Weekly shipping and vulnerable to storms and delays. Highly subsidized. Huge subsidy burden carried by the National Government. High electricity prices for customers. Even with subsidy, still paying highest electricity prices in Colombia.
THE POTENTIAL
Average On-shore Annual Wind Resource (m/s) Portugal Spain Germany Denmark UK Hawaii Texas California San Andres Denmark UK Germany Portugal Spain San Andres Texas California Hawaii Average Annual Solar Resource (kwh/m2) RENEWABLE ENERGY RESOURCE POTENTIAL 8 6 6 Range of Estimates 4 4 2 2 0 0 Wind Potential Solar Potential
WIND FEASIBILITY ASSESSMENT 18
SOLAR ROOFTOP POTENTIAL DNV GL completed a preliminary review of existing large commercial and government/public buildings (e.g., hotels, sports stadiums, etc.) for rooftop solar PV, and estimated ~3.5 MW potential (examples shown below and to the right ). 19
THE PROCESS
THE ISLAND PLAYBOOK 21
PHASE 0 AND 1: ISLAND ENGAGEMENT AND SETTING THE VISION 1. Get alignment and engagement from key stakeholders. Agreement on the suggested process and roles of the team are determined 2. Set vision and target for an energy transition. Solicit the community s voice in establishing San Andrés and Providencia s vision and unlock some of the bottlenecks. Host a visioning workshop that will explore future energy goals and targets dovetailed with a series of community consultations 22
PHASE II AND III: OPPORTUNITY ROADMAP & PROJECT PREPARATION 1. Investigate the economics and financial feasibility of viable energy pathways. Develop a fact base. Identify future energy scenarios. 2. Identify the necessary policy and regulatory revisions that need to be made. 3. Develop a strategy and business plan. 4. Help develop a pipeline of bankable RE projects 23
THANK YOU! CONTACT: DIRECCIONPROYECTOS@ SOPESA.COM