APPENDIX B – Barrier Analysis 45
The Renewable Energy Strategy and Investment Plan (RE-SIP) lays out the Solomon Island''s renewable energy targets and policy outcome and strategies and financial requirements for achieving a sustainable energy future for all Solomon Islanders.
The Solomon Islands is blessed with potential renewable energy resources however most of these resources have not been exploited due to a number of barriers and challenges including the geographical locations of these resources which are far away from available demand. In addition, there have been limited opportunities in terms of financial and technical resources and capacities, our cultural and social issues to enhance the use of these resources. These challenges have contributed to a low percentage of total populations having access to electricity.
The government realised the potential that the energy sector will contribute to the economic growth and therefore has included the energy sector as its priority list for investment. In 2009 through its foreign investment reform, the government has created better enabling environment for private sectors and investment through the amendment of its Foreign Investment Act 2005 and Regulation 2006. The government is looking well ahead to the contribution of the two renewable energy developments being supported for private investments; the Tina Hydro Power Development and the Savo Geothermal Project.
The targets that have been assessed and adopted in the 2014 National Energy Policy for utilising the renewable energy potentials are promising for all Solomon Islanders. The potential for renewable energy use and technologies for power generation has been assessed through the Asian Development Bank Renewable Energy Investment Plan and has identified renewable energy targets for the short term (2020), the medium term (2030) and long term (2050). There is expectation that the 100% renewable energy share in the power generation can be achieved by 2050. The RE-SIP is a five years strategy, therefore will provide guidance to meeting the short term renewable energy target of 50% renewable energy by 2020.
The Energy Division of the Ministry of Mines, Energy and Rural Electrification is to coordinate the effective deliverables of the RE-SIP and the SINEP policy outcomes for rural electrification while the state owned utility, the Solomon Islands Electricity Authority will coordinate the implementation of renewable energy options for the urban areas, including its outstations in the provinces.
Again I need to reiterate the need for the activation of a national Energy Advisory Committee, comprised of high –level multi-sectoral members tasked with assessing, monitoring the progress of the RE-SIP including other energy strategies and investment plans and to achieve the overarching focus area of our National Development Strategy; building better lives for all Solomon Islands.
It is with great pleasure to know that this RE –SIP when implemented effectively will contribute to improving the livelihoods of all the people of the Solomon Islands through the access to sustainable, appropriate and affordable energy services and therefore I urge all stakeholders and those that have interest in this RE –S IP to provide support, guidance and advice throughout its implementation and its future continuation.
I wish to thank all national stakeholders including the communities and the development partners that have contributed toward developing this renewable energy strategy and investment plan.
Minister for Mines, Energy and Rural Electrification
The Renewable energy strategy and investment plan (RE –SIP) provides a way forward for strengthening the renewable energy sector in the Solomon Islands, highlighting the potentials and investments for the renewable energy options, resources and technologies.
The RE-SIP has three main objectives;
1. Provides policy guidance and instruments (standards, regulations, net –metering policies) to enhance the use of renewable energy resources and their potentials.
The Solomon Islands government has set a 50% renewable energy use for power generation by 2020 to be achieved through its Tina Hydro Development Project and the Savo Geothermal projects, both developments to be commissioned by the end of 2017.
The RE –SIP includes both renewable energy options and investments for solar and hydro resources for both rural and urban areas. The RE-SIP proposed rural electrifications to all households, provincial centres and institutions, through micro grid solar and hydro and solar home systems for rural households.
There are three policy statements which are aligned to the strategies;
The RE-SIP is based on achieving the SIG 2020 target of 50% of energy being supplied by renewables in particular the Savo Geothermal, Tina Hydro Development, micro grid hydro where there is water resources available and sola PV for SIEA outstations and standalone solar PV systems of 100Wp for rural households. Land issues are still key challenges in particular for the use of hydro resources and therefore solar home systems can be considered the best option for rural areas, when land issues, population density and access are taken into account.
The RE-SIP will require a total investment of $75.00 million to 2020 to achieve a 44% country wide household electrification rate and a total investment of $234.15 million to 2030 to achieve a 71% household electrification rate.
The REIP Report prepared under the Asian Development Bank technical assistance through its Provincial Renewable Energy Project provided much needed information for the development of the RE-SIP. The final report was presented to the Energy Division of the Ministry of Mines, Energy and Rural Electrification in June 2013. The REIP findings and recommendations was adopted as part of this RE –SIP while the policy outcomes and strategies were identified during the review of the 2009 SINEP and at the National Energy Forum conducted in Honiara in November 2013.
The RE –SIP is presented as Volume 4 of the 2014 National Energy Policy and Strategic Plan of the Ministry of Mines, Energy and Rural Electrification.
The RE –SIP is presented into three sections; the Energy Sector Overview, Renewable Technologies and Options, Renewable energy Strategy and Investment Plan.
The formulation of the RE – SIP strategy was done as part of the review and formulation of the 2014 Solomon Islands National Energy Policy (SINEP) and the formulation of the subsequent energy sub sectors strategies and investment plan ; the energy efficiency and conservation strategies and investment Plan (EE-EC-SIP) and petroleum strategies and investment plan (PET-SIP).
The Ministry of Energy, Mines and Rural Electrification has been instrumental in directing the development of SINEP and energy sub sectors strategy and investment plans as it sees a need for a more cohesive approach to its planning and that all its efforts are aligned to the National Development Strategy key focus areas. A five years approach to budget allocations by Parliament has also been adopted by the Solomon Islands Government in 2014 and this provides a clear direction in financial resources that are available against implementation of sectoral policies and strategies.
The RE- SIP is a five year plan and is intended as a guiding document to the Solomon Islands government and development partners.
There are about 996 islands in the Solomon Islands (SI), totalling 28,450 square kilometres (km2), of which land accounts for 27,540 km2, dispersed over 800,000 km2 of sea. Approximately 350 islands are inhabited including the six main islands of Guadalcanal (the largest, where the capital Honiara is located), Malaita, Makira, Isabel, Choiseul and New Georgia. The group lies between 155o 30'' and 170o 30'' East longitude and between 5o 10'' and 12o 45'' South latitude, northeast of Australia. The climate is tropical monsoon, with few extremes of temperature and weather. The islands are mostly rugged and mountainous with some low coral atolls. The Exclusive Economic Zone extends to 200 nautical miles (370 km) with an area of 1.34 million km2.
Figure 1 Solomon Islands
The population of Solomon Islands on 22 November 2009 was 515,870. This means an increase of 106,828 persons (26%) compared with the population size of 409,042 reported in the Census of 21 November 1999. The annual rate of growth since 1999 was 2.3%, which is lower than the annual growth rate between 1986 and 1999 (2.8%) census. Males were 51.3% of the total, out numbering
females by 264,455 to 251,415. About 80.3% of the population (75,916 households) lived in rural villages and 19.7% were considered urban. Overall, there were 17 people per km2 and the average household size was 5.5 persons. Urban and rural population by island is shown in.
Source: Solomon Islands Government (SIG), Solomon Islands National Statistics Office. 2012. Statistical Bulletin No 6: 2012, Basic Tables and Census Description, 2009 Population and Housing Census. Honiara
Table 2 Growth of Urban Population 1976-2009
Table 3 Honiara Population and Persons per Household 1970-2009
The economy of the Solomon Islands is made up of a mixed subsistence sector on which the majority of the population is dependent, and a small monetised sector dominated by large scale commercial enterprises. These sectors straddle both rural and urban space. Production in the mixed subsistence sector includes household production for self-consumption and surpluses for sale to local and urban markets as well as household production of cash crops for the export market. The monetised sector comprises commercial enterprises and organisations involved in primary production, manufacturing and the service industries. This includes the provision of public goods and services by the government and goods and services provided by statutory bodies.
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