BRIEFING ON THE INTERNATIONAL RENEWABLE ENERGY AGENCY (IRENA)

MOKGADI MATHEKGANANOMAWETHU QASE

23 February 2010

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OUTLINE ON THE PRESENTATION

• Background to Irena• Objectives as Defined in the Statutes• Activities that will be Undertaken for the Benefit of

Member States including SA• Proposed Irena Organizational Chart• Financial Implications and the Ratification Process

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BACKGROUND TO IRENA

• The founding conference for the International Renewable Agency (IRENA) was in Bonn, Germany on 26th January 2009

• The founding conference established a Preparatory Commission for IRENA, which is intended to ensure the rapid and effective establishment of the Agency

• So far the work is carried out under the Preparatory Commission supported by an Administrative Committee.

• Three Session held to date, including the 1st session held at the Founding Conference in Germany. This Session granted observer status to states, entities, international organizations and other organizations working in the field of renewable energy

• 2nd Session was held at Sham El Shaik in Egypt in June 2009.

• At the third session, on 17 January 2010, South Africa represented by the Minister of Energy; Kyrgyzstan and Saint Vincent and the Grenadines) signed the Statutes.

• The total membership is currently at 143 Member States, and at least 26 countries and 43 organizations attended the 3rd Session as observers

• As of 15 Feb 2010, 11 members have ratified the Statutes, and only 14 signatures are outstanding to bring this Statutes into force

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OFFICES

• Signatories at the 2ND Preparatory Commission designated Abu Dhabi, the Capital city of the United Arab Emirates, as the interim headquarters of IRENA and Ms Hélѐne Pelosse of France was elected as IRENA’s interim Director General

• Other important decisions taken as this session included the designation of Bonn in Germany as the Centre for Technology and Innovation and

• Vienna in Austria as the Agency’s liaison office for cooperation

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THE SIGNIFICANCE OF IRENA

• There is a growing consensus that in order to cope with the challenges of our time, such as increasing global energy demand, global warming and rising energy prices, the world needs a massive scale up in renewable energy within a short period of time.

• This massive increase requires mobilization of human, technological and financial capacities on a global scale.

• Thus, IRENA intends to provide global leadership and expertise so to ensure renewable energy rapidly reaches its potential.

• IRENA will close an institutional gap. In other words, it is the first intergovernmental organisation to solely concentrate on renewable energy and offer support to industrialised and developing countries alike.

• IRENA will provide practical advice, and thus support member countries to improve

their regulatory frameworks and build capacity.

• The Agency will facilitate access to all relevant information, including reliable data on the potential of renewable energy, best practices, effective financial mechanisms and state-of-the-art technological expertise

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PROPOSED IRENA ORGANISATIONAL CHART

Interim Director GeneralASG

Press and Public Relations

P-5

Deputy Director General

D-2

Support ServicesP-5

Knowledge management, Innovation and Technology

D-1

Programmes, Capacity Building and Outreach, D-1

ITC BonnD-1

ILO ViennaP-5

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HOW IRENA OPERATES

• Formal Sessions are preceded by a meeting of the Administrative Committee which prepares documentation in advance of the official sessions

• The Agenda for the meetings includes reporting and discussions on the Programme and Budget for the year as well as presentations on “Best Practice”. All Member States are encouraged to present case studies on Best Practice so that knowledge and experiences can be shared for the benefit of all.

• At the 3rd Preparatory Commission Meeting the main objectives were to finalise decisions on the following:

– Staff regulations– Financial Regulations and Rules– Staff provident Fund– 2010 Work Programme and Budget;

• And to deliberate on the following reports:

– Report on the Headquarters Agreement – mainly to regulate the legal relations between the Commission and the UAE in order to secure immunities for the Commission and its subsidiary bodies including the Secretariat and staff

– Report on Regulations for secondment of staff – Highly qualified staff can be seconded from any of the Member States

– Report on the 2009 Work Programme and Budget– Work of the Preparatory Commission beyond its Third Session – Secretariat will develop a long

term Strategy for IRENA which will be presented at the Fourth Session

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HOW IRENA OPERATES

• The Fourth Session is scheduled for November 2010 in Abu Dhabi. The main aim of this Session is to ensure transparent and legally compliant hand over from the Commission to IRENA

• The actual date for the first meeting of the Assembly of IRENA is dependent on the Ratification of the Statutes by the 25th Member State. Since only 14 more ratifications are outstanding, the Assembly is likely to be convened by the end of 2010 or early in 2011

• During the transitional period, the Preparatory Commission at its third session decided to maintain the Administrative Committee chaired by Germany until the first Assembly of IRENA

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OBJECTIVES OF IRENA

• The Agency shall promote the widespread and increased adoption and the sustainable use of all forms renewable energy taking into account:

National and domestic priorities and benefits derived from a combined approach of RE AND Energy Efficiency measures

The contribution of RE to • environmental preservation, • climate protection, • economic growth and • social cohesion including poverty

alleviation and sustainable development

• Access to and security of energy supply

• Regional development and• Inter-generational responsibility

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ACTIVITIES THAT WILL BE UNDERTAKEN FOR THE BENEFIT OF IRENA MEMBERS

IRENA is established as a centre of excellence for RE technology. It will perform the following activities:

a. Analyse, monitor and, without obligations on Members’ policies, systematise current renewable energy practices, including policy instruments, incentives, investment mechanisms, best practices, available technologies, integrated systems and equipment, and success-failure factors;

b.) Initiate discussion and ensure interaction with other governmental and nongovernmental organisations and networks in this and other relevant fields;

c.) Provide relevant policy advice and assistance to its Members upon their

request, taking into account their respective needs, and stimulate international

discussions on renewable energy policy and its framework conditions;

d.) Improve pertinent knowledge and technology transfer and promote the

development of local capacity and competence in Member States including necessary interconnections;

e.) Offer capacity building including training and education to its Members;

• ccess to and security of energy supply

• Regional development and

• Inter-generational responsibility

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ACTIVITIES THAT WILL BE UNDERTAKEN FOR THE BENEFIT OF IRENA MEMBERS

f.) Provide to its Members upon their request advice on the financing for RE and support the application of related mechanisms

g.)Stimulate and encourage research, including on socio-economic issues, and foster research networks, joint research, development and deployment of technologies; and

i) Provide information about the development and deployment of national and international technical standards in relation to renewable energy, based on a sound understanding through active presence in the relevant fora.

j.) Furthermore, the Agency shall disseminate information and increase public

awareness on the benefits and potential offered by renewable energy.

K.) Overall, IRENA’s success will be based on the international community’s ability to transfer ideas, strategies and expertise.

As a result, an effective and strong network will be established enabling Member States, agency organs, private industry, the academic community and all other stakeholders to readily engage one another, exchange best practices, share knowledge and acknowledge the need to have as wide a geographical representation as possible.

• ccess to and security of energy supply

• Regional development and

• Inter-generational responsibility

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ABU DHABI FUND FOR DEVELOPMENT AND IRENA

• In support of IRENA’s mission to rapidly promote the development and widespread use of renewable energy, the Abu Dhabi Fund for Development (ADFD) will make an unprecedented commitment of up to AED 183 million (R366 million) annually, over the next seven years, to a new IRENA guided program.

• These funds will be provided under the form of soft loans and used solely to finance renewable energy projects in developing nations that are recommended and endorsed by IRENA.

• The mission of ADFD is to help developing countries achieve sustainable economic growth and reduce poverty by providing financial resources, forging partnerships in the public and private sectors and adopting international best practices to ensure aid effectiveness.

• Abu Dhabi also offered 20 full scholarships per class intake at the Masdar Institute for Science and Technology(MIST) for IRENA recommended students.

• The selection criteria and the governance procedure is still to be developed by the Secretariat, should be available in the 2nd half of 2010

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FINANCIAL IMPLICATIONS AS A MEMBER STATE AND RATIFICATION PROCESS

• Following the signing of the Statutes, all the Member States are expected to make annual financial contributions (voluntary at first) and also ratify their memberships as soon as possible.

• The State Law Advisers have examined the Statute of the International Renewable Energy Agency (IRENA) and said that the Statute is acceptable from an International law point of view and not in conflict with South Africa’s other international obligations and have accordingly certified the Statute.

• The Presidential approval was granted on 25 June 2009 (Presidential Minutes 658).

• As a Member State, the membership contribution for South Africa for 2010 is USD 66, 946 (approximately R513 thousand annually).

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THANK YOU

• Documents for further reference available on: http://www.irena.org

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