Our country experts on the exciting potential of industrial energy efficiency
The Industrial Energy Accelerator currently operates in five major industrial countries responsible for around 26 per cent of the world’s energy consumption. Each of our partner countries — Indonesia, China, Mexico, Brazil and Morocco — are home to major industries with huge energy efficiency potential.
This month, the Accelerator interviewed some of our in-country experts about what we stand to gain from industrial energy efficiency, and what needs to be done to make this largely invisible climate solution a reality. From raising awareness to supporting small and medium enterprises, engaging the finance sector and helping industry to manage energy use better, here’s what our experts said.
Click on the photos below to read each interview in full.
“It’s not just an issue of awareness among companies and SMEs. There is a financial challenge as well. Industrial companies need to access credit lines, but interest rates are high in Brazil. Generally, banks prefer safe and mainstream projects to finance which assure high returns. There is a high degree of perceived risk and uncertainty around industrial energy efficiency projects in Brazil, especially when SMEs are involved.”
Sustainable Finance Consultant at SITAWI Finance for Good
“Currently, most of the technology in China is actually quite complicated and is more suited for energy intensive enterprises rather than SMEs (small-medium sized enterprises). It’s often quite difficult for SMEs to access the finance needed to invest in complicated technology. Many are unable to provide sufficient information required by financial institutions, which results in increased financial risks and costs. So, we need to promote more accessible options and opportunities for SMEs.”
Tingyu Tina He
Carbon Trust Analyst based in Beijing
“Morocco is becoming a big industrial player, it is now among the five biggest car exporters to Europe. On top of that, Morocco imports almost all of its energy so the country really has no other option but to adopt energy efficiency. Morocco is already one of the most advanced countries in terms of laws and regulations dealing with energy efficiency. So, the potential for a wide-scale and rapid adoption of industrial energy efficiency throughout the country is very high.”
Owner and Director at Debeers Engineering and Management
“If you look at the way Indonesia is approaching its Nationally Determined Contributions (NDCs),a lot of the focus is either on reducing emissions through land use and deforestation or through renewable energy. We’ve never really strongly advocated for industrial energy efficiency. Yet, energy efficiency really is one of those ‘low hanging fruits’ which can significantly reduce emissions at a much lower cost and capital expenditure than say constructing solar power plants or wind farms.”
Funds and Platforms Senior Manager at South Pole Indonesia